BILL NUMBER: AB 2609	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MARCH 28, 2016

INTRODUCED BY   Assembly Member Chau

                        FEBRUARY 19, 2016

   An act to add Section 17531.3 to the Business and Professions
Code, relating to advertising.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2609, as amended, Chau. Advertising: educational conferences.
   Existing law prohibits various specified advertising practices,
including, among others,  a prohibition on  an
educational travel  organization, as defined, from placing or
using   organization's, as defined, placement or use of
 any misleading or untruthful advertising or statements or
making  of  a substantial misrepresentation in conducting an
educational travel program. Under existing law, the violation of any
of these prohibitions is a misdemeanor.
   This bill would require an educational conference organization, as
defined, that provides materials related to an educational
conference, as defined, directly to a school or school employee for
purposes of distribution to a student to include specified
disclosures in the materials and to provide the materials in a sealed
envelope or other packaging addressed to the parent or legal
guardian of the student.  The bill would also prohibit the
organization from addressing the materials to a student by name or
otherwise requesting that materials be provided directly to the
student.  As a violation of these provisions would be a
crime, this bill would impose a state-mandated local program.
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  The Legislature finds and declares all of the
following:
   (a)  K-12   K-12  students are
particularly vulnerable to solicitations for educational leadership
conferences or forums that may appear to be selective awards or
competitive honors, but are in fact sophisticated 
solicitations, often   solicitations  from
for-profit companies.
   (b) While such conferences and forums may have merit as learning
experiences for students, it is nevertheless important to ensure that
students, parents, and teachers are not misled by these
solicitations. The State of California has previously enacted laws
regulating educational travel organizations in order to protect
students engaged in educational travel.
   (c) Because it is of the utmost importance that the State of
California take action to protect students from  misleading
or false   false or misleading  advertising,
promote  quality in   high-quality 
educational travel experiences, encourage public confidence in
leadership  conferences or forums,  
conferences,  and assist organizations soliciting participation
in these conferences  or forums  in complying with
safe and reputable practices, it is the intent of the Legislature to
establish appropriate  marketing restrictions and 
disclosure requirements  and further restrictions 
on these solicitations. 
   (d) The Legislature recognizes the contributions that many
nonprofit service organizations have made in the area of youth
leadership training, such as the Boys and Girls State programs
organized by the American Legion and the Rotary Youth Leadership
Awards and Interact programs operated by the Rotary Club. These
programs have demonstrated a strong commitment to youth education and
civic awareness in diverse communities across the nation for
decades, often at little or no cost to the participants. 
  SEC. 2.  Section 17531.3 is added to the Business and Professions
Code, to read:
   17531.3.  (a) For purposes of this section, the following terms
have the following meanings:
   (1) "Educational conference" means a  leadership 
conference, forum, camp, or other similar event,  intended to
develop the leadership, career, or college readiness of a student or
provide some other form of educational benefit,  when
participation in the event is represented as being limited to
students  nominated   receiving an award,
invitation, or nomination  to participate in the event.
   (2) "Educational conference organization" or "organization" means
a person, partnership, corporation, or other entity  that
operates in a for-profit manner and  that plans and advertises
educational conferences to students residing in the State of
California.
   (3) "Student" means a person who is enrolled in elementary or
secondary school, grade kindergarten through grade 12, at the time an
educational conference is arranged with an educational conference
organization.
   (b) An educational conference organization that provides materials
related to an educational conference directly to a school or any
employee thereof for purposes of distribution to a student shall
comply with  all   both  of the following:
   (1) The organization shall provide the materials in a sealed
envelope or other packaging addressed to the parent or legal guardian
of the student. 
   (2) The organization shall not address the materials to a student
by name or otherwise request that materials be provided directly to
the student.  
   (3) 
    (2)  The organization shall include in the materials all
of the following disclosures, in clear and conspicuous language:
   (A) That the materials constitute a solicitation for the sale of a
product.
   (B) The legal form of the organization making the solicitation,
including  whether the organization is a nonprofit or
for-profit   the for-profit status of the 
organization.
   (C) The legal owner, if any, of the organization making the
solicitation.
   (D) The specific eligibility criteria required for participation
in the solicited educational conference or conferences, if any.
   (E) An itemized list of the costs to participate in the
educational conference and the total price of participating in the
educational conference, including estimated expenses not included in
the price of the educational conference. 
   (F) That attendance at an educational conference may not affect a
student's chances of being admitted to college and that a parent or
guardian should contact the student's school counselor for more
information.  
   (F) 
    (G)  Whether or not a  third-party 
nomination  from a teacher or school administrator  is
required to participate in the educational conference, or if an
individual may be self-nominated or nominated by a parent or
guardian. 
   (G) 
    (H)  The total amount, if any, of funding or other
support, including employment or grants for school supplies, the
organization has provided to the student's school or the school's
employees during the last three years before the date of the
solicitation. 
   (H) 
    (I)  A phone number, email address, or Internet Web site
that a parent or guardian may use to contact a government agency
within the relevant jurisdiction for purposes of filing a complaint
related to the solicitation or  solicited educational
conference.   the educational conference itself. 
  SEC. 3.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.