BILL ANALYSIS                                                                                                                                                                                                    Ó






           ----------------------------------------------------------------- 
          |SENATE RULES COMMITTEE            |                       AB 2529|
          |Office of Senate Floor Analyses   |                              |
          |(916) 651-1520    Fax: (916)      |                              |
          |327-4478                          |                              |
           ----------------------------------------------------------------- 


                                   THIRD READING 


          Bill No:  AB 2529
          Author:   Linder (R) 
          Amended:  4/14/16 in Assembly
          Vote:     21 

           SENATE BUS., PROF. & ECON. DEV. COMMITTEE:  9-0, 6/20/16
           AYES:  Hill, Bates, Block, Gaines, Galgiani, Hernandez,  
            Jackson, Mendoza, Wieckowski

           SENATE APPROPRIATIONS COMMITTEE:  Senate Rule 28.8

           ASSEMBLY FLOOR:  79-0, 5/5/16 (Consent) - See last page for  
            vote

           SUBJECT:   Structural pest control


          SOURCE:    Pest Control Operators of California

          DIGEST:   This bill provides that a company registered to  
          perform structural pest control that hires or employs unlicensed  
          individuals to perform work on contracts or service agreements,  
          may do so for Branches 1, 2, or 3, as specified, and authorizes  
          a county agricultural commissioner to take disciplinary action  
          against an employer or employee for failing to wear personal  
          protective equipment, as specified.
          
          ANALYSIS:  

          Existing law:

          1)Establishes the Structural Pest Control Board (SPCB) under the  
            Department of Consumer Affairs to regulate the practice of  








                                                                    AB 2529  
                                                                    Page  2


            structural pest control.  (Business and Professions Code (BPC)  
            §§ 8500 - 8697.4)





          2)Defines "structural pest control," with respect to household  
            pests and wood destroying pests or organisms, as performing or  
            offering to perform any of the following:  





             a)   Identification of infestations or infections.





             b)   The making of an inspection or inspections for the  
               purpose of identifying or attempting to identify  
               infestations or infections of household or other structures  
               by those pests or organisms.



             c)   The making of inspection reports, recommendations,  
               estimates, and bids, whether oral or written, with respect  
               to those infestations or infections.



             d)   The making of contracts, or the submitting of bids for,  
               or the performance of any work including the making of  
               structural repairs or replacements, or the use of  
               pesticides, or mechanical devices for the purpose of  
               eliminating, exterminating, controlling or preventing  
               infestations or infections of those pests, or organisms.  
               (BPC § 8505)










                                                                    AB 2529  
                                                                    Page  3




          3)Classifies, for the purpose of delimiting the type and  
            character of work authorized by the various branch licenses,  
            the practice of pest control into the following three  
            branches:  (BPC § 8560)





             a)   Branch 1: fumigation licenses, which authorize the  
               practice relating to the control of household and  
               wood-destroying pests or organisms by fumigation with  
               poisonous or lethal gases.


             b)   Branch 2: general pest license, which authorize the  
               practice relating to the control of household pests,  
               excluding fumigation with poisonous or lethal gases.


             c)   Branch 3: termite licenses, which authorizes the  
               practice relating to the control of wood-destroying pests  
               or organisms by the use of insecticides, or structural  
               repairs and corrections, excluding fumigation with  
               poisonous or lethal gases.





          4)Defines "registered company" as a sole proprietorship,  
            partnership, corporation, or other business organization that  
            is registered with the SPCB to engage in the practice of  
            structural pest control.  (BPC § 8506.1)  





          5)Authorizes a registered company to hire or employ individuals  
            who are not licensed by the SPCB to perform work on contracts  
            covering wood-destroying organisms only after an operator or  







                                                                    AB 2529  
                                                                    Page  4


            field representative has fully completed the negotiation or  
            signing of the contract covering a given job.  (BPC § 8506.1)



          6)Provides that the SPCB shall delegate its authority to the  
            Director of Pesticide Regulation for designating county  
            agricultural commissioners.  (BPC §§ 8616, 8616.4)



          7)Provides that the county agricultural commissioner shall be  
            the lead agency for inspections and routine investigations of  
            pesticide use by structural pest control licensees and  
            registered companies, and of persons engaged in unlicensed  
            structural pest control.  Further provides that when a matter  
            is referred to the SPCB for disciplinary action, the SPCB  
            shall be the lead agency and may require that the commissioner  
            assist in any investigation.  (BPC § 8616.5)





          8)Provides that, if an employee is found during an inspection or  
            investigation not wearing personal protective equipment  
            required by regulation, the commissioner shall have the option  
            to use discretion in citing an employer only if evidence of  
            all of the following is provided:  





             a)   The employer has a written training program, has  
               provided training to the employee, and has maintained a  
               record of training as required by regulation.





             b)   The employer provided personal protective equipment as  
               required by regulation, the equipment was available at the  







                                                                    AB 2529  
                                                                    Page  5


               site when the employee was handling the pesticide or  
               pesticides, and the equipment was properly maintained and  
               in good working order.





             c)   The employer is in compliance with regulations relating  
               to the workplace and supervision of employees.





             d)   The employer has implemented and adheres to a written  
               company policy of disciplinary action for employees who  
               violate company policy or state or local laws or  
               regulations.





             e)   The employer has no history of repeated violations of  
               this section. 


             (BPC § 8616.9)



          9)Authorizes the SPCB or county agricultural commissioners, when  
            acting pursuant to BPC Section 8616.4, to suspend the right of  
            a structural pest control licensee or registered company to  
            work in a county for up to three working days or, for a  
            licensee, registered company, or an unlicensed individual  
            acting as a licensee, levy an administrative fine up to one  
            thousand dollars or direct the licensee to attend and pass a  
            SPCB-approved course of instruction at a cost not to exceed  
            the administrative fine, or both, as specified.  (BPC § 8617)


          This bill:







                                                                    AB 2529  
                                                                    Page  6



          1)Expands the authority of a registered company to hire or  
            employ individuals who are not licensed to practice structural  
            pest control to perform work on contracts covering any Branch  
            1, 2, or 3, or any combination of branches, after an operator  
            or field representative has fully completed the negotiation or  
            signing of the contract covering a given job.  Provides that  
            this provision not be construed to authorize an unlicensed  
            individual to perform work that requires a license. 

          2)Authorizes a county agricultural commissioner that finds  
            during an inspection or investigation an employee who is not  
            wearing personal protective equipment required by label or  
            regulation, to refer the violation by the employer for  
            statewide disciplinary action by the SPCB, or suspend the  
            right of the employer to work in the county for up to three  
            working days.  If the commissioner does neither, the  
            commissioner may assess an administrative fine against both  
            the employer and the employee.  If the commissioner does not  
            take disciplinary action against an employer, the commissioner  
            may assess an administrative fine against the employee only if  
            the employer provides evidence of all of the following: 

             a)   The employer has a written training program, has  
               provided training to the employee, and has maintained a  
               record of training as required by label or regulation;





             b)   The employer provided personal protective equipment  
               required by label or regulation, the equipment was  
               available at the site when the employee was handling the  
               pesticide or pesticides, and the equipment was properly  
               maintained and in good working order;





             c)   The employer is in compliance with regulations relating  
               to the workplace and supervision of employees;








                                                                    AB 2529  
                                                                    Page  7






             d)   The employer has documented implementation and adheres  
               to a written company policy of disciplinary action for  
               employees who violate company policy or state or local laws  
               or regulations; and,





             e)   The employer has not been disciplined or assessed an  
               administrative fine for a violation of the personal  
               protective equipment requirement for the previous two  
               years.



          3)Provides that a county agricultural commissioner may impose an  
            administrative fine assessed against an employer and shall not  
            be less than $700 nor more than $5,000. 





          4)Provides that a county agricultural commissioner may impose an  
            administrative fine assessed against an employee and shall not  
            be less than $250 nor more than $5,000. 





          5)Requires that when assessing an administrative fine, the SPCB  
            or commissioner consider the appropriateness of the amount of  
            the fine to the gravity of the violation, the good faith of  
            the licensee, and the history of prior violations.











                                                                    AB 2529  
                                                                    Page  8



          6)Provides that nothing in this section is intended to limit the  
            authority of the commissioner to take action against the  
            employee, including suspension of the employee's license or  
            referral of the violation for statewide disciplinary action by  
            the SPCB pursuant to BPC Section 8620.



          Comments


          Purpose.  The Pest Control Operators of California are the  
          sponsor of this bill.  According to the author, this bill  
          "enables a Branch 1 and Branch 2 registered company to be  
          equally competitive with a Branch 3 registered company in the  
          use of those services of employees or independent contractors,  
          who otherwise are not required to be licensed, to perform work  
          in connection with a pest control contract or service.  The  
          proposed changes to BPC § 8616.9 would provide authority and  
          guidelines for county enforcement personnel to take  
          administrative action against the employee if it is found that  
          the employer has met certain conditions."


          The changes this bill seeks to make were approved by the SPCB's  
          Act Review Committee, which reviews the structural pest control  
          practice act and recommends changes to the full SPCB.  The  
          approval was adopted by the SPCB at its October 8, 2015 meeting.




          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:YesLocal:   Yes


          SUPPORT:   (Verified8/2/16)


          Pest Control Operators of California (source)
          Newport Exterminating
          The Structural Pest Control Board
          Western Exterminator Company







                                                                    AB 2529  
                                                                    Page  9




          OPPOSITION:   (Verified8/2/16)


          None received


          ARGUMENTS IN SUPPORT:     The Structural Pest Control Board  
          writes that, "In 2010 the SPCB created the Act Review Committee  
          and directed it to review the Structural Pest Control Act to  
          recommend changes that would both strengthen consumer protection  
          and modernize the language.  The amendments being proposed by AB  
          2529 are recommendations from the Act Review Committee that the  
          SPCB voted unanimously to approve."


          ASSEMBLY FLOOR:  79-0, 5/5/16
          AYES:  Achadjian, Alejo, Travis Allen, Arambula, Atkins, Baker,  
            Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke,  
            Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley,  
            Cooper, Dababneh, Dahle, Daly, Dodd, Eggman, Frazier,  
            Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson,  
            Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger  
            Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey,  
            Levine, Linder, Lopez, Low, Maienschein, Mathis, Mayes,  
            McCarty, Medina, Melendez, Mullin, Nazarian, Obernolte,  
            O'Donnell, Olsen, Patterson, Quirk, Ridley-Thomas, Rodriguez,  
            Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting,  
            Wagner, Waldron, Weber, Wilk, Williams, Wood, Rendon
          NO VOTE RECORDED:  Beth Gaines

          Prepared by:Mark Mendoza / B., P. & E.D. / (916) 651-4104
          8/3/16 19:38:08


                                   ****  END  ****


          











                                                                    AB 2529  
                                                                    Page  10