BILL ANALYSIS Ó SB 1155 Page 1 Date of Hearing: August 3, 2016 ASSEMBLY COMMITTEE ON APPROPRIATIONS Lorena Gonzalez, Chair SB 1155 (Morrell) - As Amended June 23, 2016 ----------------------------------------------------------------- |Policy |Business and Professions |Vote:|15 - 0 | |Committee: | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | |Veterans Affairs | |7 - 0 | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: NoReimbursable: No SUMMARY: This bill requires, on or after January 1, 2018, every board under the Department of Consumer Affairs (DCA) to waive initial license fees for veterans. Specifically, this bill: 1)Requires every board within DCA to grant a fee waiver for the application for and issuance of an initial license to an applicant who supplies satisfactory evidence to the board that the applicant has served as an active duty member of the California National Guard or the United States Armed Forces and was honorably discharged. SB 1155 Page 2 2)Specifies that "satisfactory evidence" means a completed "Certificate of Release or Discharge from Active Duty" (DD Form 214). 3)Requires that a veteran be granted only one fee waiver, except as specified 4)Requires a fee waiver to apply only to an application of and a license issued to an individual veteran and not to an application of or a license issued to an individual veteran on behalf of a business or other entity. 5)Prohibits issuance of a waiver for any of the following: a) Renewal of a license. b) The application for and issuance of an additional license, a certificate, a registration, or a permit associated with the initial license. c) The application for an examination. SB 1155 Page 3 FISCAL EFFECT: 1)Annual revenue loss to DCA of $1.1 million (various special funds) to waive applicable fees for honorably discharged veterans. Minor costs to each board and bureau to establish the fee waiver in regulations prior to implementation. Staff notes that although most boards and bureaus indicate that the loss of revenue and any associated workload would be minor, this bill would exacerbate the fiscal issues of several funds within the DCA. 2)Minor and absorbable costs to DCA for additional workload to make necessary changes to the DCA's online licensing and enforcement system, BreEZe, and for updating websites related to applications. COMMENTS: 1)Purpose. According to the author, "This bill removes a barrier for veterans seeking work in California and encourages immediate entrance into the civilian workforce by waiving the application and initial license fees in order to receive an occupational license. These fees act as a barrier of entry to the workforce for the 240,000 to 360,000 veterans that separate from the military each year, many of whom would like to make California home... By removing a barrier, we can more effectively help veterans harness their invaluable skillsets thereby helping them find higher paying jobs, strengthening the economy, and chipping away at the growing issue of veteran homelessness." SB 1155 Page 4 2)Background. The DCA boards have implemented several policies to ease the burdens on military applicants, spouses, and licensees. For example, current law exempts licensees from penalties for reinstating a retired license if called to active duty. Current law also requires boards under the DCA to waive renewal fees, continuing education requirements, and other requirements for military licensees as long as specified requirements are met. In addition, after July 1, 2016, current law will require boards under the DCA to begin expediting the initial licensure process for applicants who are honorably discharged veterans. Similarly, this bill adds a one-time initial license fee waiver for applicants who are honorably discharged veterans. 3)Current Legislation. SB 1348 (Canella), pending on the Assembly Floor, requires boards under the DCA that authorize veterans to apply military experience and training towards licensure requirements to post information on the board's website about the application process. 4)Prior Legislation. AB 1057 (Medina), Chapter 693, Statutes of 2013, requires each board to inquire in every application for licensure if the individual applying for licensure is serving in, or has previously served in, the military. Analysis Prepared by:Jennifer Swenson / APPR. / (916) 319-2081 SB 1155 Page 5