Amended in Assembly May 10, 2016

Amended in Assembly March 28, 2016

California Legislature—2015–16 Regular Session

Assembly Bill No. 2609

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, an educational travel 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 begin delete in end delete begin insert with end insert the begin delete materials end delete begin insert materials, to provide those disclosures to the school and specified school employees, end insert and to provide the materials in a sealed envelope or other packaging addressed to the parent or legal guardian of 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 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 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 false or misleading
advertising, promote high-quality educational travel experiences,
encourage public confidence in leadership conferences, and assist
organizations soliciting participation in these conferences in
complying with safe and reputable practices, it is the intent of the
Legislature to establish appropriate marketing restrictions and
disclosure requirements 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 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 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 begin delete both end delete begin insert all end insert 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 include begin delete in end delete begin insert with end insert 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 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.

(G) Whether or not a 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.

(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.

(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 the educational conference itself.

begin insert

(3) The organization shall provide the disclosures described in
paragraph (2) on separate documents addressed to the school and
to any employee thereof who is asked to distribute materials to a
student.

end insert

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.