BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | SB 1209|
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THIRD READING
Bill No: SB 1209
Author: Morrell (R)
Amended: 4/6/16
Vote: 21
SENATE BUS, PROF. & ECON. DEV. COMMITTEE: 8-0, 4/11/16
AYES: Hill, Berryhill, Block, Galgiani, Hernandez, Jackson,
Mendoza, Wieckowski
NO VOTE RECORDED: Bates
SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8
SUBJECT: Contractors: discipline
SOURCE: Contractors State License Board
DIGEST: This bill provides that citations issued against a
licensed contractor follow the contractor if issued another
license, and authorizes the disclosure of these citations within
existing disclosure timeframes.
ANALYSIS:
Existing law:
1) Provides for the licensure and regulation of more than
300,000 contractors under the Contractors State License Law
(Contractors Law) by the Contractors State License Board
(CSLB) within the Department of Consumer Affairs. The CSLB
is under the direction of the registrar of contractors.
(Business and Professions Code (BPC) § 7000 et seq.)
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2) Requires that citations be disclosed from the date of
issuance and for five years after the date of compliance if
no additional disciplinary actions have been filed against
the licensee during the five-year period. If additional
disciplinary actions were filed against the licensee during
the five-year period, all disciplinary actions are required
to be disclosed for as long as the most recent disciplinary
action is subject to disclosure under the section. At the
end of the specified time period, those citations will no
longer be disclosed.
(BPC § 7124.6 (e)(1))
3) Requires that accusations that result in suspension, stayed
suspension, or stayed revocation of the contractor's license
be disclosed from the date the accusation is filed and for
seven years after the accusation has been settled, including
the terms and conditions of probation if no additional
disciplinary actions have been filed against the licensee
during the seven-year period. If additional disciplinary
actions were filed against the licensee during the seven-year
period, all disciplinary actions will be posted for as long
as the most recent disciplinary action is subject to
disclosure under this section. At the end of the specified
time period, those accusations will no longer be disclosed.
(BPC § 7124.6 (e)(2))
This bill:
1) Requires that any disclosure also appear on the license
record of any other license that includes a qualifier that is
listed on the personnel of record of the license that was
issued the citation.
2) Extends existing disclosure timeframes to this requirement.
Background
The CSLB is responsible for implementation and enforcement of
the Contractors Law, including the laws and regulations related
to the licensure, practice, and discipline of the construction
industry in California. All businesses and individuals who
construct or alter, or offer to construct or alter, any
building, highway, road, parking facility, railroad, excavation,
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or other structure in California must be licensed by the CSLB if
the total cost (labor and materials) of one or more contracts on
the project is $500 or more.
The CSLB licenses approximately 300,000 contractors in 44
license classifications and two certifications. The CSLB issues
some 15,000 licenses each year, and more than 121,000 licenses
are renewed each year. A license may be issued to an
individual, partnership, corporation, limited liability company,
or joint venture. All licenses must have a qualifying
individual (also referred to as "qualifier"). A qualifying
individual is the person listed on the CSLB records who
satisfies the experience and examination requirements for a
license. Depending on the type of license, the qualifying
individual must be designated as an owner, responsible managing
employee, responsible managing officer, responsible managing
manager, responsible managing member, or qualifying partner in
the license records. A qualifying individual is required for
every classification and on each license issued by the CSLB; the
same person may serve as the qualifier for more than one
classification. The CSLB also registers some 9,600 home
improvement salespersons who are engaged in the sale of home
improvement goods and services.
The CSLB is the sponsor of this bill. According to the author,
"BPC § 7124.6 (e)(1) limits disclosure of a citation only to the
license subject to a complaint substantiating that citation.
Once that citation is disclosed, BPC § 7124.6 does not extend
that disclosure to licenses obtained or joined by persons
thereafter."
FISCAL EFFECT: Appropriation: No Fiscal
Com.:YesLocal: No
SUPPORT: (Verified4/25/16)
Contractors State License Board (source)
California Chapters of the National Electrical Contractors
Association
California Legislative Council of the Plumbing
Heating and Piping Industry
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Northern California Allied Traders
United Contractors
Wall and Ceiling Alliance
OPPOSITION: (Verified4/25/16)
California Professional Association of Specialty Contactors
ARGUMENTS IN SUPPORT: The CSLB believes that, "SB 1209
furthers the public protection goal of existing law, by
enhancing the disclosure to the public regarding contractors who
have been discipline by CSLB."
ARGUMENTS IN OPPOSITION: The California Professional
Association of Specialty Contactors (CPLPASC) writes that
"CALPASC appreciates the problem SB 1209 is trying to address,
and supports a very targeted solution. Unfortunately, SB 1209
is written too broadly at this time. CALPASC suggests that
amendments be made in the bill to limit the disclosure of the
citation information only for licenses where the actual license
qualifier is involved, and also only where the license holder
began applying for a new license after the circumstances giving
rise to the potential citation were incurred. If these types of
amendments were made to this bill CALPASC would strongly support
it."
Prepared by:Mark Mendoza / B., P. & E.D. / (916) 651-4104
4/27/16 15:57:25
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