BILL NUMBER: AB 3601 ENROLLED 06/23/94 BILL TEXT PASSED THE SENATE JUNE 23, 1994 PASSED THE ASSEMBLY MAY 12, 1994 AMENDED IN ASSEMBLY APRIL 14, 1994 INTRODUCED BY Committee on Judiciary as presented by Assembly Member Weggeland on behalf of the committee (Archie-Hudson, Caldera, Connolly, Epple, Terry Friedman, Goldsmith, Horcher, Isenberg, Morrow, Snyder, Speier, and Statham) FEBRUARY 25, 1994 An act to amend Sections 166, 729, 3502, 3521.5, 4980.45, 6157.5, 6403, 8025.1, and 10145 of, and to amend and renumber Section 6086.13 of, the Business and Professions Code, to amend Sections 1785.11, 1785.13, 1950.5, 2982, 2984.3, 2986.2, and 3482.6 of, and to repeal Section 4722.5 of, the Civil Code, to amend Sections 405.21, 472b, and 695.220 of, to amend and renumber Section 383 of, to amend and renumber the heading of Article 3 (commencing with Section 405.30), Article 4 (commencing with Section 405.50), and Article 5 (commencing with Section 405.60) of Chapter 2 of Title 4.5 of Part 2 of, and to repeal Title 1 (commencing with Section 1823) of Part 3.5 of, the Code of Civil Procedure, to amend Sections 1981, 41305, 42238, 44277, 48911, 48918, 56034, 56155.5, 56366.1, 56775, and 60240 of the Education Code, to amend Sections 2552, 2601, and 6005 of the Elections Code, to amend Section 2110 of, and to add Section 4071.5 to, the Family Code, to amend Sections 857, 8051.2, 8598, and 12157 of the Fish and Game Code, to amend Sections 232, 235, 4104, 77417, and 77442 of, to amend and renumber Sections 239, 240, 241, 242, 243, 77501, 77502, 77503, 77504, and 77505 of, and to repeal Article 2 (commencing with Section 56732) of Chapter 7.5 of Division 20 of, the Food and Agricultural Code, to amend Sections 6159, 9020, 10207, 11135, 12811, 12945.2, 13960, 14669.8, 16367.5, 20013.7, 20013.75, 56375, 68059, and 95004 of, to amend and renumber Sections 6516.5 and 15819.32 of, to amend and renumber the heading of Chapter 11 (commencing with Section 15399.50) of Part 6.7 of Division 3 of Title 2 of, to repeal, amend, and renumber the heading of Article 3.6 (commencing with Section 15346) of Chapter 1 of Part 6.7 of Division 3 of Title 2 of, and to repeal Sections 12955.9, 26751, 41612, 53115.1, 54925.1, and 54952.2 of, the Government Code, to amend Sections 658.3, 1126, and 1171.5 of the Harbors and Navigation Code, to amend Sections 429.16, 1259.5, 1266, 1357, 1418.8, 1562.5, 1569.694, 10284, 10325, 11366.8, 25159.18, 25187, 25200.1.5, 25201.5, 25355.7, 26569.29, 33334.20, 33607.7, 33676, 42400.4, and 50406 of, to amend and renumber Sections 429.13, 429.14, 429.15, 1250.1, 1367.5, 17922.1, 25201.10, 25359.3, 33492.50, 33492.51, 33492.53, and 33492.69 of, to add the heading of Article 4 (commencing with Section 33492.70) to Chapter 4.5 of Part 1 of Division 24 of, to repeal Sections 1596.803, 33492.55, 33681.6, and 33682.1 of, to repeal Article 7.5 (commencing with Section 1389.1) of Chapter 2.2 of Division 2 of, to repeal Article 1 (commencing with Section 33492) of Chapter 4.5 of Part 1 of Division 24 of, and to repeal the heading of Article 2 (commencing with Section 33492.50) of Chapter 4.5 of Part 1 of Division 24 of, and to repeal the heading of Chapter 4.5 (commencing with Section 33492) of Part 1 of Division 24 of, the Health and Safety Code, to repeal Sections 10112.5 and 10384 of the Insurance Code, to amend Sections 53, 54.5, 55, 56, 60, 119, 125, 126, 133, 138.2 138.5, 3205, 3205.5, 3206, 3717, 4409, 4726, 4753.5, 5300, 5305, 5450, 5451, 5452, 5453, 5454, 5703, and 9021.9 of, and to repeal Section 2808 of, the Labor Code, to amend Sections 395.1 and 395.3 of the Military and Veterans Code, to amend Sections 987.2, 1170.1, 1203, 1203.1g, 12021, and 12305 of, to amend and renumber Section 11113 of, and to repeal Sections 209.5 and 215 of, the Penal Code, to amend Section 2051 of the Public Contract Code, to amend Sections 5029, 5079.01, 5079.12, 6217, 14571.7, 41780.2, 42291, 42950, and 60007 of, to amend and renumber Section 42145.5 of, and to repeal Section 5072.8 of, the Public Resources Code, to amend Sections 1007.5, 2872, 2891.1, 3910, 3911, and 99401.5 of, and to amend and renumber Section 2282.5 of, the Public Utilities Code, to amend Sections 74.3, 254.5, 2188.8, 6073, 6355, 6358.2, 13210, 13221, 17053.45, 17053.46, 17145, 18431.2, 18723, 24356.3, 30101, 41136, and 41137 of, to amend and renumber Sections 97.036, 97.038, and 19531 of, and to repeal Sections 18512, 30461.6, and 43152.11 of, the Revenue and Taxation Code, to amend Section 223 of the Streets and Highways Code, to amend Sections 1095, 1875, and 9601.7 of the Unemployment Insurance Code, to amend Sections 5002.6, 5024, and 11709.2 of the Vehicle Code, to amend Sections 366.21, 729, 731.6, 11325.2, 11400, 11462.05, 11466.2, 12301.6, 16516, and 19150 of, and to amend and renumber Section 14124.92 of, the Welfare and Institutions Code, to amend Section 23.5 of Chapter 503 of the Statutes of 1955, Section 2 of Chapter 775 of the Statutes of 1989, Section 22 of Chapter 1608 of the Statutes of 1990, Section 4 of Chapter 346 of the Statutes of 1992, and Section 10 of Chapter 312 of, and Sections 1 and 7 of Chapter 1270 of, the Statutes of 1993, relating to the maintenance of the codes. LEGISLATIVE COUNSEL'S DIGEST AB 3601, Committee on Judiciary. Maintenance of the codes. Existing law directs the Legislative Counsel to advise the Legislature from time to time as to legislation necessary to maintain the codes. This bill would restate existing provisions of law to effectuate the recommendations made by the Legislative Counsel to the Legislature for consideration during 1994 and would not make any substantive change in the law. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 166 of the Business and Professions Code is amended to read: 166. The director shall, by regulation, develop guidelines to prescribe components for mandatory continuing education programs administered by any board within the department. (a) The guidelines shall be developed to ensure that mandatory continuing education is used as a means to create a more competent licensing population, thereby enhancing public protection. The guidelines shall require mandatory continuing education programs to address, at least, the following: (1) Course validity. (2) Occupational relevancy. (3) Effective presentation. (4) Actual attendance. (5) Material assimilation. (6) Potential for application. (b) The director shall consider educational principles, and the guidelines shall prescribe mandatory continuing education program formats to include, but not be limited to, the following: (1) The specified audience. (2) Identification of what is to be learned. (3) Clear goals and objectives. (4) Relevant learning methods (participatory, hands-on, or clinical setting). (5) Evaluation, focused on the learner and the assessment of the intended learning outcomes (goals and objectives). (c) Any board within the department that, after January 1, 1993, proposes a mandatory continuing education program for its licensees shall submit the proposed program to the director for review to assure that the program contains all the elements set forth in this section and complies with the guidelines developed by the director. (d) Any board administering a mandatory continuing education program that proposes to amend its current program shall do so in a manner consistent with this section. (e) Any board currently administering a mandatory continuing education program shall review the components and requirements of the program to determine the extent to which they are consistent with the guidelines developed under this section. The board shall submit a report of their findings to the director. The report shall identify the similarities and differences of its mandatory continuing education program. The report shall include any board-specific needs to explain the variation from the director's guidelines. (f) Any board administering a mandatory continuing education program, when accepting hours for credit which are obtained out of state, shall ensure that the course for which credit is given is administered in accordance with the guidelines addressed in subdivision (a). (g) Nothing in this section or in the guidelines adopted by the director shall be construed to repeal any requirements for continuing education programs set forth in any other provision of this code. SEC. 2. Section 729 of the Business and Professions Code is amended to read: 729. (a) Any physician and surgeon, psychotherapist, or any person holding himself or herself out to be a physician and surgeon or psychotherapist, who engages in an act of sexual intercourse, sodomy, oral copulation, or sexual contact with a patient or client, or with a former patient or client when the relationship was terminated primarily for the purpose of engaging in those acts, unless the physician and surgeon or psychotherapist has referred the patient or client to an independent and objective physician and surgeon or psychotherapist, recommended by a third-party physician and surgeon or psychotherapist, for treatment, is guilty of sexual exploitation by a physician and surgeon or psychotherapist. (b) Sexual exploitation by a physician and surgeon or psychotherapist is a public offense: (1) An act in violation of subdivision (a) shall be punishable by imprisonment in a county jail for a period of not more than six months, or a fine not exceeding one thousand dollars ($1,000), or both. (2) Multiple acts in violation of subdivision (a) with a single victim, when the offender has no prior conviction for sexual exploitation, shall be punishable by imprisonment in a county jail for a period of not more than six months, or a fine not exceeding one thousand dollars ($1,000), or both. (3) An act or acts in violation of subdivision (a) with two or more victims shall be punishable by imprisonment in the state prison for a period of 16 months, two years, or three years, and a fine not exceeding ten thousand dollars ($10,000); or the act or acts shall be punishable by imprisonment in a county jail for a period of not more than one year, or a fine not exceeding one thousand dollars ($1,000), or both. (4) Two or more acts in violation of subdivision (a) with a single victim, when the offender has at least one prior conviction for sexual exploitation, shall be punishable by imprisonment in the state prison for a period of 16 months, two years, or three years, and a fine not exceeding ten thousand dollars ($10,000); or the act or acts shall be punishable by imprisonment in a county jail for a period of not more than one year, or a fine not exceeding one thousand dollars ($1,000), or both. (5) An act or acts in violation of subdivision (a) with two or more victims, and the offender has at least one prior conviction for sexual exploitation, shall be punishable by imprisonment in the state prison for a period of 16 months, two years, or three years, and a fine not exceeding ten thousand dollars ($10,000). For purposes of subdivision (a), in no instance shall consent of the patient or client be a defense. However, physicians and surgeons shall not be guilty of sexual exploitation for touching any intimate part of a patient or client unless the touching is outside the scope of medical examination and treatment, or the touching is done for sexual gratification. (c) For purposes of this section: (1) "Psychotherapist" has the same meaning as defined in Section 728. (2) "Sexual contact" means sexual intercourse or the touching of an intimate part of a patient for the purpose of sexual arousal, gratification, or abuse. (3) "Intimate part" and "touching" have the same meanings as defined in Section 243.4 of the Penal Code. (d) In the investigation and prosecution of a violation of this section, no person shall seek to obtain disclosure of any confidential files of other patients, clients, or former patients or clients of the physician and surgeon or psychotherapist. (e) This section does not apply to sexual contact between a physician and surgeon and his or her spouse or person in an equivalent domestic relationship when that physician and surgeon provides medical treatment, other than psychotherapeutic treatment, to his or her spouse or person in an equivalent domestic relationship. (f) If a physician and surgeon or psychotherapist in a professional partnership or similar group has sexual contact with a patient in violation of this section, another physician and surgeon or psychotherapist in the partnership or group shall not be subject to action under this section solely because of the occurrence of that sexual contact. SEC. 3. Section 3502 of the Business and Professions Code is amended to read: 3502. (a) Notwithstanding any other provision of law, a physician assistant may perform those medical services as set forth by the regulations of the board when the services are rendered under the supervision of a licensed physician and surgeon or of physicians and surgeons approved by the board, except as provided in Section 3502.5. (b) Notwithstanding any other provision of law, a trainee may perform those medical services as set forth by the regulations of the board when those services are rendered within the scope of an approved program. (c) No medical services may be performed under this chapter in any of the following areas: (1) The determination of the refractive states of the human eye, or the fitting or adaptation of lenses or frames for the aid thereof. (2) The prescribing or directing the use of, or using, any optical device in connection with ocular exercises, visual training, or orthoptics. (3) The prescribing of contact lenses for, or the fitting or adaptation of contact lenses to, the human eye. (4) The practice of dentistry or dental hygiene or the work of a dental auxiliary as defined in Chapter 4 (commencing with Section 1600). (d) This section shall not be construed in a manner that shall preclude the performance of routine visual screening as defined in Section 3501. SEC. 4. Section 3521.5 of the Business and Professions Code is amended to read: 3521.5. The committee shall report to the appropriate policy and fiscal committees of each house of the Legislature whenever the board approves a fee increase pursuant to Sections 3521 and 3521.1. The committee shall specify the reasons for each increase in the report. Reports prepared pursuant to this section shall identify the percentage of funds derived from an increase in fees pursuant to Senate Bill 1077 of the 1991-92 Regular Session (Chapter 917, Statutes of 1991) that will be used for investigational and enforcement activities by the board and committee. SEC. 5. Section 4980.45 of the Business and Professions Code is amended to read: 4980.45. (a) A licensed professional in private practice who is a marriage, family, and child counselor, a psychologist, a clinical social worker, a licensed physician certified in psychiatry by the American Board of Psychiatry and Neurology, or a licensed physician who has completed a residency in psychiatry and who is described in subdivision (f) of Section 4980.40 may supervise or employ, at any one time, no more than two unlicensed marriage, family, and child counselor registered interns in that private practice. (b) A marriage, family, and child counseling corporation, as defined in Section 4987.5, may employ, at any one time, no more than two registered interns for each employee or shareholder who is qualified to provide supervision pursuant to subdivision (f) of Section 4980.40. In no event shall any corporation employ, at any one time, more than 10 registered interns. In no event shall any supervisor supervise, at any one time, more than two registered interns. Persons who supervise interns shall be employed full time by the professional corporation and shall be actively engaged in performing professional services at and for the professional corporation. Employment and supervision within a marriage, family, and child counseling corporation shall be subject to all laws and regulations governing experience and supervision gained in a private practice setting. (c) Within 30 days of employment and within 30 days of termination of employment, in any allowable work setting, a registered intern shall notify the board in writing of the employment or termination of employment. The notice shall include the name of the registered intern, the full name and business address of the employer, the type of work setting where the intern is gaining hours of experience, and the date employment commenced or terminated. If an intern fails to notify the board within 30 days after the date of his or her employment or termination of employment, the board shall not accept any hours of experience gained during that period of employment prior to notification for the purposes of meeting the experience requirements for licensure. The board may, at its discretion, waive this requirement when it believes good cause exists. "Employment," as used in this section, means the gaining of hours of experience in an allowable setting as an employee or as a volunteer. This subdivision does not apply to hours gained on or after January 1, 1994. SEC. 6. Section 6086.13 of the Business and Professions Code, as added by Section 2 of Chapter 1265 of the Statutes of 1992, is amended and renumbered to read: 6086.15. (a) The State Bar shall issue an Annual Discipline Report by April 30 of each year describing the performance and condition of the State Bar discipline system. The report shall cover the previous calendar year and shall include accurate and complete descriptions of all of the following: (1) The existing backlog of cases within the discipline system. (2) The number of inquiries and complaints and their disposition. (3) The number and types of matters self-reported by members of the State Bar pursuant to subdivision (o) of Section 6068 and subdivision (c) of Section 6086.8. (4) The number and types of matters reported by other sources pursuant to Sections 6086.7 and 6086.8. (5) The speed of complaint handling and dispositions by type. (6) The number and types of filed notices to show cause and formal disciplinary outcomes. (7) The number and types of informal discipline outcomes, including petitions to terminate practice, interim suspensions and license restrictions, criminal conviction monitoring, letters of warning, private reprovals, admonitions, and agreements in lieu of discipline. (8) A description of the programs of the State Bar directed at assuring honesty and competence by attorneys. (9) A description of the programs of the State Bar directed at preventing acts warranting discipline. (10) A description of the condition of the Client Security Fund, including an accounting of payouts. (11) A report on the audits and decisions of the Complainants' Grievance Panel. (12) An accounting of the cost of the discipline system by function. (b) The Annual Discipline Report shall include statistical information presented in a consistent manner for year-to-year comparison and shall compare the information required under subdivision (a) to similar information for the previous three years. The report shall include the general data and tables included in the previous reports of the State Bar Discipline Monitor where feasible. (c) The Annual Discipline Report shall be presented to the Chief Justice of the Supreme Court, to the Governor, to the Speaker of the Assembly, and the President pro Tempore of the Senate for their consideration and shall be considered a public document. SEC. 7. Section 6157.5 of the Business and Professions Code is amended to read: 6157.5. The court shall report the name, address, and professional license number of any person found to be in violation of this article to the appropriate professional licensing agency for review and possible disciplinary action. SEC. 8. Section 6403 of the Business and Professions Code is amended to read: 6403. (a) The application for registration of a natural person shall contain all of the following statements about the applicant: (1) Name, age, address, and telephone number. (2) Whether he or she has been convicted of a felony, or of a misdemeanor under Section 6126 or 6127. (3) Whether he or she has been held liable in a civil action by final judgment or consented to the entry of a stipulated judgment, if the action alleged fraud, or the use of untrue or misleading representations, or the use of an unfair, unlawful, or deceptive business practice. (b) The application for registration of a partnership or corporation shall contain all of the following statements about the applicant: (1) The names, ages, addresses, and telephone numbers of the general partners or officers. (2) Whether the general partners or officers have ever been convicted of a felony. (3) Whether the general partners or officers have ever been held liable in a civil action by final judgment or have consented to the entry of a stipulated judgment. If the action alleged fraud, whether it involved the use of untrue or misleading representations, or the use of an unfair, unlawful, or deceptive business practice. SEC. 9. Section 8025.1 of the Business and Professions Code is amended to read: 8025.1. (a) In addition to the causes for discipline or denial of certification set forth in Section 8025, the board may suspend or revoke any certificate, or deny certification, on any of the following grounds: (1) That the applicant or licensee is incapable of performing the duties of a certified shorthand reporter due to physical or mental infirmity or incapacity. (2) That the applicant or licensee is unable to perform the duties of a certified shorthand reporter due to the abuse of chemical substances or alcohol. (b) For purposes of determining the existence or nonexistence of grounds for denial, suspension, or revocation of a license as set forth in this section, the board may, based upon a reasonable belief that grounds exist, require the applicant or licensee to submit to a physical or mental examination or examinations by a licensed physician as designated by the board. Failure to submit to, or to schedule, a physical or mental examination within 10 days of written demand by the board shall result in the automatic suspension of any license or the denial of any application. The denial of an application on any of the grounds set forth in this section shall be subject to the provisions of Sections 11504 and 11504.5 of the Government Code. The licensee may request a hearing to contest an automatic suspension of licensure under this section by sending a written request for hearing to the offices of the board within 12 days of the date that the board mails a notice of suspension to the licensee. If a hearing is requested, it shall be convened within 30 days after the receipt by the board of the written request for the hearing. The hearing shall be conducted in accordance with the provisions of Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code. The sole issue for determination in the hearing, whether for denial or suspension of license, shall be whether the licensee failed or refused to submit to the physical or mental examination after being duly ordered to do so by the board. Evidence that the licensee has, since the date of automatic suspension, submitted to a mental or physical examination shall be considered as mitigation of any failure or refusal to comply with the board's order, and may, in the sound discretion of the administrative law judge, constitute cause to set aside any automatic suspension. A decision shall be rendered by the administrative law judge within 10 days of the hearing and shall constitute the final determination as to the continuing status of any automatic suspension. (c) Following a physical or mental examination pursuant to subdivision (b), the physician conducting the examination shall determine whether the applicant or licensee is incapable of performing the duties of a certified shorthand reporter due to physical or mental infirmity or incapacity, or whether the applicant or licensee is unable to perform the duties of a certified shorthand reporter due to the abuse of chemical substances or alcohol. Where a medical determination is made that an impairment exists, and the finding is reported to the board, the board shall deny any application and any license shall be automatically suspended. The denial of an application on these grounds shall be subject to the provisions of Sections 11504 and 11504.5 of the Government Code. The licensee may request a hearing to contest an automatic suspension of licensure under this section by sending a written request for hearing to the offices of the board within 12 days of the date that the board mails a notice of suspension to the licensee. If a hearing is requested, it shall be convened within 30 days after the receipt by the board of the written request for hearing. The hearing shall be conducted in accordance with Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code. The sole issue for determination in the hearing, whether for denial or suspension of license, shall be whether the applicant or licensee is incapable of performing the duties of a certified shorthand reporter due to physical or mental infirmity or incapacity, or whether the applicant or licensee is unable to perform the duties of a certified shorthand reporter due to the abuse of chemical substances or alcohol. (d) For purposes of the hearing conducted pursuant to subdivision (c), the applicant or licensee shall, at a minimum, have the following rights: (1) To be represented by counsel. (2) To have a record made of the proceedings, copies of which may be obtained by the licentiate upon payment of any reasonable charges associated with the record. (3) To call, examine, and cross-examine witnesses. (4) To present and rebut evidence determined to be relevant. (5) To present oral argument. (e) The statutory period governing reapplication for licensure following denial of the application as set forth in Section 486 does not apply to licenses denied under this section. SEC. 10. Section 10145 of the Business and Professions Code is amended to read: 10145. (a) (1) A real estate broker who accepts funds belonging to others in connection with any transaction subject to this part shall deposit all funds that are not immediately placed into a neutral escrow depository or into the hands of the broker's principal, into a trust fund account maintained by the broker in a bank or recognized depository in this state. All funds deposited by the broker in a trust fund account shall be maintained there until disbursed by the broker in accordance with instructions from the person entitled to the funds. (2) Notwithstanding paragraph (1), until January 1, 1996, a real estate broker collecting payments or performing services for investors or note owners in connection with loans secured by a first lien on real property may deposit funds received in trust in an out-of-state depository institution insured by the Federal Deposit Insurance Corporation, if the investor or note owner is any one of the following: (A) The Federal National Mortgage Association, the Government National Mortgage Association, the Federal Home Loan Mortgage Corporation, the Federal Housing Administration, and the Veteran' s Administration. (B) Any bank or subsidiary thereof, bank holding company or subsidiary thereof, trust company, savings bank or savings and loan association or subsidiary thereof, savings bank or savings association holding company or subsidiary thereof, credit union, industrial bank or industrial loan company, or insurance company doing business under the authority of, and in accordance with, the laws of this state, any other state, or of the United States relating to banks, trust companies, savings banks or savings associations, credit unions, industrial banks or industrial loan companies, or insurance companies, as evidenced by a license, certificate, or charter issued by the United States or any state, district, territory, or commonwealth of the United States. (C) Trustees of a pension, profit sharing, or welfare fund, if the pension, profitsharing, or welfare fund has a net worth of not less than fifteen million dollars ($15,000,000). (D) Any corporation with outstanding securities registered under Section 12 of the Securities Exchange Act of 1934 or any wholly owned subsidiary of that corporation. (E) Any syndication or other combination of any of the entities specified in subparagraph (A), (B), (C), or (D) that is organized to purchase the promissory note. (F) The California Housing Finance Agency or any local housing finance agency organized under the Health and Safety Code. (G) A licensed real estate broker selling all or part of the loan, note, or contract to a lender or purchaser specified in subparagraphs (A) to (F), inclusive, of this subdivision. (3) Until January 1, 1996, a real estate broker who deposits funds held in trust in an out-of-state depository institution in accordance with the provisions of paragraph (2) shall make available, in this state, the books, records, and files pertaining to the trust accounts to the commissioner or the commissioner's representatives, or pay the reasonable expenses for travel and lodging incurred by the commissioner or the commissioner's representatives in order to conduct an examination at any out-of-state location. (4) The provisions of paragraphs (2) and (3) shall remain in effect only until January 1, 1996, and as of that date shall be of no force or effect unless a later enacted statute deletes or extends that date. (b) A real estate broker acting as a principal pursuant to Section 10131.1 or Article 6 (commencing with Section 10237) of this part shall place all funds received from others for the purchase of real property sales contracts or promissory notes secured directly or collaterally by liens on real property in a neutral escrow depository unless delivery of the contract or note is made simultaneously with the receipt of the purchase funds. (c) A real estate sales person who accepts trust funds from others on behalf of the broker under whom he or she is licensed shall immediately deliver the funds to the broker or, if so directed by the broker, shall place the funds into the hands of the broker's principal, into a neutral escrow depository, or shall deposit the funds into the broker's trust fund account. (d) If not otherwise expressly prohibited by a provision of this part, a real estate broker may, at the request of the owner of trust funds or of the principals to a transaction or series of transactions from whom the broker has received trust funds, deposit the funds into an interest-bearing account in a bank, savings and loan association, credit union, or industrial loan company whose accounts are insured by the Federal Deposit Insurance Corporation, if all of the following requirements are met: (1) The account is in the name of the broker as trustee for the specified beneficiary or specified principal of a transaction or series of transactions. (2) All of the funds in the account are covered by insurance provided by an agency of the federal government. (3) The funds in the account are kept separate, distinct, and apart from funds belonging to the broker or to any other person for whom the broker holds funds in trust. (4) The broker discloses to the person from whom the trust funds are received and to any beneficiary whose identity is known to the broker at the time of establishing the account the nature of the account, how interest will be calculated and paid under various circumstances, whether service charges will be paid to the depository and by whom, and possible notice requirements or penalties for withdrawal of funds from the account. (5) No interest earned on funds in the account shall inure directly or indirectly to the benefit of the broker nor to any person licensed to the broker. (6) In an executory sale, lease, or loan transaction in which the broker accepts funds in trust to be applied to the purchase, lease, or loan, the parties to the contract shall have specified in the contract or by collateral written agreement the person to whom interest earned on the funds is to be paid or credited. (e) The broker shall have no obligation to place trust funds into an interest-bearing account unless requested to do so and unless all of the conditions in subdivision (d) are met; nor, in any event, if he or she advises the party making the request that the funds will not be placed in an interest-bearing account. (f) Nothing in subdivision (d) precludes the commissioner from prescribing by regulation the circumstances in which and the conditions under which a real estate broker is authorized to deposit funds received in trust into an interest-bearing trust fund account. (g) The broker shall maintain a separate record of the receipt and disposition of all funds described in subdivisions (a) and (b), including any interest earned on the funds. (h) Upon request of the commissioner, a broker shall furnish to the commissioner an authorization for examination of financial records of any such trust fund accounts maintained in a financial institution, in accordance with the procedures set forth in Section 7473 of the Government Code. (i) As used in this section "neutral escrow" means an escrow business conducted by a person licensed under Division 6 (commencing with Section 17000) of the Financial Code or by any person described in paragraph (1) or (3) of subdivision (a) of Section 17006 of that code. SEC. 11. Section 1785.11 of the Civil Code is amended to read: 1785.11. (a) A consumer credit reporting agency shall furnish a consumer credit report only under the following circumstances: (1) In response to the order of a court having jurisdiction to issue such an order. (2) In accordance with the written instructions of the consumer to whom it relates. (3) To a person whom it has reason to believe: (A) Intends to use the information in connection with a credit transaction, or entering or enforcing an order of a court of competent jurisdiction for support, involving the consumer as to whom the information is to be furnished and involving the extension of credit to, or review or collection of an account of, the consumer; or (B) Intends to use the information for employment purposes; or (C) Intends to use the information in connection with the underwriting of insurance involving the consumer, or for insurance claims settlements; or (D) Intends to use the information in connection with a determination of the consumer's eligibility for a license or other benefit granted by a governmental instrumentality required by law to consider the applicant's financial responsibility or status; or (E) Intends to use the information in connection with the hiring of a dwelling unit, as defined in subdivision (c) of Section 1940; or (F) Otherwise has a legitimate business need for the information in connection with a business transaction involving the consumer. (b) A consumer credit reporting agency may furnish information for purposes of a credit transaction specified in subparagraph (A) of paragraph (4), where it is a credit transaction that is not initiated by the consumer, only under the circumstances specified in paragraph (1) or (2), as follows: (1) The consumer authorizes the consumer credit reporting agency to furnish the consumer credit report to the person. (2) The proposed transaction involves a firm offer of credit to the consumer, the consumer credit reporting agency has complied with subdivision (c), and the consumer has not elected pursuant to paragraph (1) of subdivision (c) to have the consumer's name excluded from lists of names provided by the consumer credit reporting agency for purposes of reporting in connection with the potential issuance of firm offers of credit. A consumer credit reporting agency may provide only the following information pursuant to this paragraph: (A) The name and address of the consumer. (B) Information pertaining to a consumer that is not identified or identifiable with a particular consumer. Except as provided in paragraph (2) of subdivision (a) of Section 1785.15, a consumer credit reporting agency shall not furnish to any person a record of inquiries solely resulting from credit transactions that are not initiated by the consumer. (c) (1) A consumer may elect to have his or her name and address excluded from any list provided by a consumer credit reporting agency pursuant to paragraph (2) of subdivision (b) by notifying the consumer credit reporting agency, by telephone or in writing, through the notification system maintained by the consumer credit reporting agency pursuant to subdivision (d), that the consumer does not consent to any use of consumer credit reports relating to the consumer in connection with any transaction that is not initiated by the consumer. (2) An election of a consumer under paragraph (1) shall be effective with respect to a consumer credit reporting agency, and any affiliate of the consumer credit reporting agency, on the date on which the consumer notifies the consumer credit reporting agency. (3) An election of a consumer under paragraph (1) shall terminate and be of no force or effect following notice from the consumer to the consumer credit reporting agency, through the system established pursuant to subdivision (d), that the election is no longer effective. (d) Each consumer credit reporting agency that furnishes a prequalifying report pursuant to subdivision (b) in connection with a credit transaction not initiated by the consumer shall establish and maintain a notification system, including a toll-free telephone number, that permits any consumer, with appropriate identification and for which the consumer credit reporting agency has a file, to notify the consumer credit reporting agency of the consumer's election to have the consumer' s name removed from any list of names and addresses provided by the consumer credit reporting agency, and by any affiliated consumer credit reporting agency, pursuant to paragraph (2) of subdivision (b). Compliance with the requirements of this subdivision by a consumer credit reporting agency shall constitute compliance with those requirements by any affiliate of that consumer credit reporting agency. (e) Each consumer credit reporting agency that compiles and maintains files on consumers on a nationwide basis shall establish and maintain a notification system under paragraph (1) of subdivision (d) jointly with its affiliated consumer credit reporting agencies. SEC. 12. Section 1785.13 of the Civil Code is amended to read: 1785.13. (a) No consumer credit reporting agency shall make any consumer credit report containing any of the following items of information: (1) Bankruptcies that, from the date of adjudication, antedate the report by more than 10 years. (2) Suits and judgments that, from the date of entry or renewal, antedate the report by more than seven years or until the governing statute of limitations has expired, whichever is the longer period. (3) Unlawful detainer actions, unless the lessor was the prevailing party. For purposes of this paragraph, the lessor shall be deemed to be the prevailing party only if (A) final judgment was awarded to the lessor (i) upon entry of the tenant' s default, (ii) upon the granting of the lessor's motion for summary judgment, or (iii) following trial, or (B) the action was resolved by a written settlement agreement between the parties that states that the unlawful detainer action may be reported. In any other instance in which the action is resolved by settlement agreement, the lessor shall not be deemed to be the prevailing party for purposes of this paragraph. (4) Paid tax liens that, from the date of payment, antedate the report by more than seven years. (5) Accounts placed for collection or charged to profit and loss that antedate the report by more than seven years. (6) Records of arrest, indictment, information, misdemeanor complaint, or conviction of a crime that, from the date of disposition, release, or parole, antedate the report by more than seven years. These items of information shall no longer be reported if at any time it is learned that in the case of a conviction a full pardon has been granted, or in the case of an arrest, indictment, information, or misdemeanor complaint a conviction did not result. (7) Any other adverse information that antedates the report by more than seven years. (b) The seven-year period specified in paragraphs (5) and (7) of subdivision (a) shall commence to run, with respect to any account that is placed for collection (internally or by referral to a third party, whichever is earlier), charged to profit and loss, or subjected to any similar action, upon the expiration of the 180-day period beginning on the date of the commencement of the delinquency that immediately preceded the collection activity, charge to profit and loss, or similar action. Where more than one of these actions is taken with respect to a particular account, the seven-year period specified in paragraphs (5) and (7) shall commence concurrently for all these actions on the date of the first of these actions. (c) Any consumer credit reporting agency that furnishes a consumer credit report containing information regarding any case involving a consumer arising under the bankruptcy provisions of Title 11 of the United States Code shall include an identification of the chapter of Title 11 of the United States Code under which the case arose if that can be ascertained from what was provided to the consumer credit reporting agency by the source of the information. (d) A consumer credit report shall not include any adverse information concerning a consumer antedating the report by more than 10 years or that otherwise is prohibited from being included in a consumer credit report. (e) If a consumer credit reporting agency is notified by a furnisher of credit information that an open-end credit account of the consumer has been closed by the consumer, any consumer credit report thereafter issued by the consumer credit reporting agency with respect to that consumer, and that includes information respecting that account, shall indicate the fact that the consumer has closed the account. For purposes of this subdivision, "open-end credit account" does not include any demand deposit account, such as a checking account, money market account, or share draft account. (f) Consumer credit reporting agencies shall not include medical information in their files on consumers or furnish medical information for employment or credit purposes in a consumer credit report without the consent of the consumer. (g) A consumer credit reporting agency shall include in any consumer credit report information, if any, on the failure of the consumer to pay overdue child or spousal support, where the information either was provided to the consumer credit reporting agency pursuant to Section 4752 or has been provided to the consumer credit reporting agency and verified by another federal, state, or local governmental agency. SEC. 13. Section 1950.5 of the Civil Code is amended to read: 1950.5. (a) This section applies to security for a rental agreement for residential property that is used as the dwelling of the tenant. (b) As used in this section, "security" means any payment, fee, deposit or charge, including, but not limited to, an advance payment of rent, used or to be used for any purpose, including, but not limited to, any of the following: (1) The compensation of a landlord for a tenant's default in the payment of rent. (2) The repair of damages to the premises, exclusive of ordinary wear and tear, caused by the tenant or by a guest or licensee of the tenant. (3) The cleaning of the premises upon termination of the tenancy. (4) To remedy future defaults by the tenant in any obligation under the rental agreement to restore, replace, or return personal property or appurtenances, exclusive of ordinary wear and tear, if the security deposit is authorized to be applied thereto by the rental agreement. (c) A landlord may not demand or receive security, however denominated, in an amount or value in excess of an amount equal to two months' rent, in the case of unfurnished residential property, and an amount equal to three months' rent, in the case of furnished residential property, in addition to any rent for the first month paid on or before initial occupancy. This subdivision does not prohibit an advance payment of not less than six months' rent where the term of the lease is six months or longer. This subdivision does not preclude a landlord and a tenant from entering into a mutual agreement for the landlord, at the request of the tenant and for a specified fee or charge, to make structural, decorative, furnishing, or other similar alterations, if the alterations are other than cleaning or repairing for which the landlord may charge the previous tenant as provided by subdivision (e). (d) Any security shall be held by the landlord for the tenant who is party to the lease or agreement. The claim of a tenant to the security shall be prior to the claim of any creditor of the landlord. (e) The landlord may claim of the security only those amounts as are reasonably necessary for the purposes specified in subdivision (b). The landlord may not assert a claim against the tenant or the security for damages to the premises or any defective conditions that preexisted the tenancy, for ordinary wear and tear or the effects thereof, whether the wear and tear preexisted the tenancy or occurred during the tenancy, or for the cumulative effects of ordinary wear and tear occurring during any one or more tenancies. (f) Within three weeks after the tenant has vacated the premises, the landlord shall furnish the tenant, by personal delivery or by first-class mail, postage prepaid, a copy of an itemized statement indicating the basis for, and the amount of, any security received and the disposition of the security and shall return any remaining portion of the security to the tenant. (g) Upon termination of the landlord's interest in the dwelling unit in question, whether by sale, assignment, death, appointment of receiver or otherwise, the landlord or the landlord's agent shall, within a reasonable time, do one of the following acts, either of which shall relieve the landlord of further liability with respect to the security held: (1) Transfer the portion of the security remaining after any lawful deductions made under subdivision (e) to the landlord's successor in interest. The landlord shall thereafter notify the tenant by personal delivery or by first-class mail, postage prepaid, of the transfer, of any claims made against the security, of the amount of the security deposited, and of the names of the successors in interest, their address, and their telephone number. If the notice to the tenant is made by personal delivery, the tenant shall acknowledge receipt of the notice and sign his or her name on the landlord's copy of the notice. (2) Return the portion of the security remaining after any lawful deductions made under subdivision (e) to the tenant, together with an accounting as provided in subdivision (f). (h) Prior to the voluntary transfer of a landlord's interest in a dwelling unit, the landlord shall deliver to the landlord's successor in interest a written statement indicating the following: (1) The security remaining after any lawful deductions are made. (2) An itemization of any lawful deductions from any security received. (3) His or her election under paragraph (1) or (2) of subdivision (g). Nothing in this subdivision shall affect the validity of title to the real property transferred in violation of the provisions of this subdivision. (i) In the event of noncompliance with subdivision (g), the landlord's successors in interest shall be jointly and severally liable with the landlord for repayment of the security, or that portion thereof to which the tenant is entitled, when and as provided in subdivisions (e) and (f). A successor in interest of a landlord may not require the tenant to post any security to replace that amount not transferred to the tenant or successors in interest as provided in subdivision (g), unless and until the successor in interest first makes restitution of the initial security as provided in paragraph (2) of subdivision (g) or provides the tenant with an accounting as provided in subdivision (f). Nothing in this subdivision shall preclude a successor in interest from recovering from the tenant compensatory damages that are in excess of the security received from the landlord previously paid by the tenant to the landlord. Notwithstanding the provisions of this subdivision, if, upon inquiry and reasonable investigation, a landlord's successor in interest has a good faith belief that the lawfully remaining security deposit is transferred to him or her or returned to the tenant pursuant to subdivision (g), he or she shall not be liable for damages as provided in subdivision (k), or any security not transferred pursuant to subdivision (g). (j) Upon receipt of any portion of the security under paragraph (1) of subdivision (g), the landlord's successors in interest shall have all of the rights and obligations of a landlord holding the security with respect to the security. (k) The bad faith claim or retention by a landlord or the landlord's successors in interest of the security or any portion thereof in violation of this section, or the bad faith demand of replacement security in violation of subdivision (i), may subject the landlord or the landlord's successors in interest to statutory damages of up to six hundred dollars ($600), in addition to actual damages. The court may award damages for bad faith whenever the facts warrant such an award, regardless of whether the injured party has specifically requested relief. In any action under this section, the landlord or the landlord's successors in interest shall have the burden of proof as to the reasonableness of the amounts claimed or the authority pursuant to this section to demand additional security deposits. (l) No lease or rental agreement shall contain any provision characterizing any security as "nonrefundable." (m) Any action under this section may be maintained in small claims court if the damages claimed, whether actual or statutory or both, are within the jurisdictional amount allowed by Section 116.220 of the Code of Civil Procedure. (n) Proof of the existence of and the amount of a security deposit may be established by any credible evidence, including, but not limited to, a canceled check, a receipt, a lease indicating the requirement of a deposit as well as the amount, prior consistent statements or actions of the landlord or tenant, or a statement under penalty of perjury that satisfies the credibility requirements set forth in Section 780 of the Evidence Code. (o) The amendments to this section made during the 1985 portion of the 1985-86 Regular Session of the Legislature that are set forth in subdivision (e) are declaratory of existing law. SEC. 14. Section 2982 of the Civil Code is amended to read: 2982. Every conditional sale contract subject to this chapter shall contain the disclosures required by Regulation Z whether or not Regulation Z applies to the transaction. In addition, to the extent applicable, the contract shall contain the other disclosures and notices required by, and shall satisfy the requirements and limitations of, this section. The disclosures required by subdivision (a) may be itemized or subtotaled to a greater extent than as required by that subdivision and shall be made together and in the sequence set forth in that subdivision. All other disclosures and notices may appear in the contract in any location or sequence and may be combined or interspersed with other provisions of the contract. (a) The contract shall contain the following disclosures, as applicable, which shall be labeled "itemization of the amount financed": (1) (A) The cash price, exclusive of document preparation fees, taxes imposed on the sale, pollution control certification fees, and the amount charged for a service contract. (B) The fee to be retained by the seller for document preparation. (C) The fee charged by the seller for certifying that the motor vehicle complies with applicable pollution control requirements. (D) Taxes imposed on the sale. (E) The amount charged for a service contract. (F) The total cash price, which is the sum of subparagraphs (A) to (E), inclusive. (2) An itemization of the amounts to be paid to any public officer for license, certificate of title, motor vehicle smog impact fee, and registration. (3) The aggregate amount of premiums agreed, upon execution of the contract, to be paid for policies of insurance included in the contract, excluding the amount of any insurance premium included in the finance charge. (4) The amount of the state fee for issuance of a certificate of compliance, noncompliance, or waiver pursuant to any applicable pollution control statute. (5) A subtotal representing the sum of the foregoing items. (6) The amount of the buyer's downpayment itemized to show the following: (A) The net agreed value of the property being traded in. (B) The amount of any portion of the downpayment to be deferred until not later than the due date of the second regularly scheduled installment under the contract and which is not subject to a finance charge. (C) The amount of any manufacturer's rebate applied or to be applied to the downpayment. (D) The remaining amount paid or to be paid by the buyer as a downpayment. (7) The amount of any administrative finance charge, labeled "prepaid finance charge." (8) The difference between item (5) and the sum of items (6) and (7), labeled "amount financed." (b) No particular terminology is required to disclose the items set forth in subdivision (a) except as expressly provided in that subdivision. (c) If payment of all or a portion of the downpayment is to be deferred, the deferred payment shall be reflected in the payment schedule disclosed pursuant to Regulation Z. (d) If the downpayment includes property being traded in, the contract shall contain a brief description of that property. (e) The contract shall contain the names and addresses of all persons to whom the notice required under Section 2983.2 and permitted under Sections 2983.5 and 2984 is to be sent. (f) (1) Where the contract includes a finance charge determined on the precomputed basis, the contract shall identify the method of computing the unearned portion of the finance charge in the event of prepayment in full of the buyer's obligation and contain a statement of the amount or method of computation of any charge that may be deducted from the amount of any unearned finance charge in computing the amount that will be credited to the obligation or refunded to the buyer. The method of computing the unearned portion of the finance charge shall be sufficiently identified with a reference to the actuarial method if the computation will be under that method. The method of computing the unearned portion of the finance charge shall be sufficiently identified with a reference to the Rule of 78's, the sum of the digits, or the sum of the periodic time balances method in all other cases, and those references shall be deemed to be equivalent for disclosure purposes. (2) Where the contract includes a finance charge that is determined on the simple-interest basis but provides for a minimum finance charge in the event of prepayment in full, the contract shall contain a statement of that fact and the amount of the minimum finance charge or its method of calculation. (g) (1) Where the contract includes a finance charge that is determined on the precomputed basis and provides that the unearned portion of the finance charge to be refunded upon full prepayment of the contract is to be determined by a method other than actuarial, the contract shall contain a notice, in at least 10-point boldface type if the contract is printed, reading as follows: "Notice to buyer: (1) Do not sign this agreement before you read it or if it contains any blank spaces to be filled in. (2) You are entitled to a completely filled-in copy of this agreement. (3) You can prepay the full amount due under this agreement at any time and obtain a partial refund of the finance charge if it is one dollar ($1) or more. Because of the way the amount of this refund will be figured, the time when you prepay could increase the ultimate cost of credit under this agreement. (4) If you default in the performance of your obligations under this agreement, the vehicle may be repossessed and you may be subject to suit and liability for the unpaid indebtedness evidenced by this agreement." (2) Where the contract includes a finance charge that is determined on the precomputed basis and provides for the actuarial method for computing the unearned portion of the finance charge upon prepayment in full, the contract shall contain a notice, in at least 10-point boldface type if the contract is printed, reading as follows: "Notice to buyer: (1) Do not sign this agreement before you read it or if it contains any blank spaces to be filled in. (2) You are entitled to a completely filled-in copy of this agreement. (3) You can prepay the full amount due under this agreement at any time and obtain a partial refund of the finance charge if it is one dollar ($1) or more. (4) If you default in the performance of your obligations under this agreement, the vehicle may be repossessed and you may be subject to suit and liability for the unpaid indebtedness evidenced by this agreement." (3) Where the contract includes a finance charge that is determined on the simple-interest basis, the contract shall contain a notice, in at least 10-point boldface type if the contract is printed, reading as follows: "Notice to buyer: (1) Do not sign this agreement before you read it or if it contains any blank spaces to be filled in. (2) You are entitled to a completely filled-in copy of this agreement. (3) You can prepay the full amount due under this agreement at any time. (4) If you default in the performance of your obligations under this agreement, the vehicle may be repossessed and you may be subject to suit and liability for the unpaid indebtedness evidenced by this agreement." (h) The contract shall contain a notice in at least 8-point boldface type, acknowledged by the buyer, that reads as follows: "If you have a complaint concerning this sale, you should try to resolve it with the seller. Complaints concerning unfair or deceptive practices or methods by the seller may be referred to the city attorney, the district attorney, or the Department of Motor Vehicles, Division of Investigations and Occupational Licensing, P.O. Box 93289, Sacramento, California 94232-3890, or any combination thereof. After this contract is signed, the seller may not change the financing or payment terms unless you agree in writing to the change. You do not have to agree to any change, and it is an unfair or deceptive practice for the seller to make a unilateral change. _____________________________ Buyer's Signature" (i) (1) The contract shall contain an itemization of any insurance included as part of the amount financed disclosed pursuant to paragraph (3) of subdivision (a) and of any insurance included as part of the finance charge. The itemization shall identify the type of insurance coverage and the premium charged therefor, and, if the insurance expires before the date of the last scheduled installment included in the repayment schedule, the term of the insurance shall be stated. (2) If any charge for insurance (other than for credit life or disability) is included in the contract balance and disbursement of any part thereof is to be made more than one year after the date of the conditional sale contract, any finance charge on the amount to be disbursed after one year shall be computed from the month the disbursement is to be made to the due date of the last installment under the conditional sale contract. (j) (1) The dollar amount of the disclosed finance charge shall not exceed the greater of: (A) (i) One and one-half percent on so much of the unpaid balance as does not exceed two hundred twenty-five dollars ($225), 11/6 percent on so much of the unpaid balance in excess of two hundred twenty-five dollars ($225) as does not exceed nine hundred dollars ($900), 5/6 of 1 percent on so much of the unpaid balance in excess of nine hundred dollars ($900) as does not exceed one thousand six hundred fifty dollars ($1,650), and 13/24 of 1 percent on that portion of the unpaid balance that exceeds one thousand six hundred fifty dollars ($1,650); or (ii) One percent of the entire unpaid balance; multiplied in either case by the number of months (computed on the basis of a full month for any fractional month period in excess of 15 days) elapsing between the date of the contract and the due date of the last installment; or (B) If the finance charge is determined by the precomputed basis, twenty-five dollars ($25); or (C) If the finance charge or a portion thereof is determined by the simple-interest basis: (i) Twenty-five dollars ($25) if the unpaid balance does not exceed one thousand dollars ($1,000), (ii) fifty dollars ($50) if the unpaid balance exceeds one thousand dollars ($1,000) but does not exceed two thousand dollars ($2,000), or (iii) seventy-five dollars ($75) if the unpaid balance exceeds two thousand dollars ($2,000). (2) The holder of the contract shall not charge, collect, or receive a finance charge that exceeds the disclosed finance charge, except to the extent (A) caused by the holder's receipt of one or more payments under a contract that provides for determination of the finance charge or a portion thereof on the 365-day basis at a time or times other than as originally scheduled whether or not the parties enter into an agreement pursuant to Section 2982.3, (B) permitted by paragraph (2), (3), or (4) of subdivision (c) of Section 226.17 of Regulation Z, or (C) permitted by subdivisions (a) and (c) of Section 2982.8. (3) If the finance charge or a portion thereof is determined by the simple-interest basis and the amount of the unpaid balance exceeds five thousand dollars ($5,000), the holder of the contract may, in lieu of its right to a minimum finance charge under subparagraph (C) of paragraph (1), charge, receive, or collect on the date of the contract an administrative finance charge not to exceed seventy-five dollars ($75), provided that the sum of the administrative finance charge and the portion of the finance charge determined by the simple-interest basis shall not exceed the maximum total finance charge permitted by subparagraph (A) of paragraph (1). Any administrative finance charge that is charged, received, or collected by a holder shall be deemed a finance charge earned on the date of the contract. (4) When a contract provides for unequal or irregular payments, or payments on other than a monthly basis, the maximum finance charge shall be at the effective rate provided for in paragraph (1), having due regard for the schedule of installments. (k) The contract may provide that, for each installment in default for a period of not less than 10 days, the buyer shall pay a delinquency charge in an amount not to exceed in the aggregate 5 percent of the delinquent installment, which amount may be collected only once on any installment regardless of the period during which it remains in default. Payments timely received by the seller under an extension or deferral agreement shall not be subject to a delinquency charge unless the charge is permitted by Section 2982.3. The contract may provide for reasonable collection costs and fees in the event of delinquency. (l) Notwithstanding any provision of a contract to the contrary, the buyer may pay at any time before maturity the entire indebtedness evidenced by the contract without penalty. In the event of prepayment in full: (1) If the finance charge was determined on the precomputed basis, the amount required to prepay the contract shall be the outstanding contract balance as of that date, provided, however, that the buyer shall be entitled to a refund credit in the amount of the unearned portion of the finance charge, except as provided in paragraphs (3) and (4). The amount of the unearned portion of the finance charge shall be at least as great a proportion of the finance charge, including any additional finance charge imposed pursuant to Section 2982.8 or other additional charge imposed because the contract has been extended, deferred, or refinanced, as the sum of the periodic monthly time balances payable more than 15 days after the date of prepayment bears to the sum of all the periodic monthly time balances under the schedule of installments in the contract or, if the contract has been extended, deferred, or refinanced, as so extended, deferred, or refinanced. Where the amount of the refund credit is less than one dollar ($1), no refund credit need be made by the holder. Any refund credit may be made in cash or credited to the outstanding obligations of the buyer under the contract. (2) If the finance charge or a portion thereof was determined on the simple-interest basis, the amount required to prepay the contract shall be the outstanding contract balance as of that date, including any earned finance charges that are unpaid as of that date and, if applicable, the amount provided in paragraph (3), and provided further that in cases where a finance charge is determined on the 360-day basis, the payments theretofore received will be assumed to have been received on their respective due dates regardless of the actual dates on which the payments were received. (3) Where the minimum finance charge provided by subparagraph (B) or subparagraph (C) of paragraph (1) of subdivision (j), if either is applicable, is greater than the earned finance charge as of the date of prepayment, the holder additionally shall be entitled to the difference. (4) This subdivision shall not impair the right of the seller or the seller's assignee to receive delinquency charges on delinquent installments and reasonable costs and fees as provided in subdivision (k) or extension or deferral agreement charges as provided in Section 2982.3. (5) Notwithstanding any provision of a contract to the contrary, whenever the indebtedness created by any contract is satisfied prior to its maturity through surrender of the motor vehicle, repossession of the motor vehicle, redemption of the motor vehicle after repossession, or any judgment, the outstanding obligation of the buyer shall be determined as provided in paragraph (1) or (2); provided further that the buyer's outstanding obligation shall be computed by the holder as of the date the holder recovers the value of the motor vehicle through disposition thereof or judgment is entered or, if the holder elects to keep the motor vehicle in satisfaction of the buyer's indebtedness, as of the date the holder takes possession of the motor vehicle. (m) Notwithstanding any other provision of this chapter to the contrary, any information required to be disclosed in a conditional sale contract under this chapter may be disclosed in any manner, method, or terminology required or permitted under Regulation Z, as in effect at the time that disclosure is made, except that permitted by paragraph (2) of subdivision (c) of Section 226.18 of Regulation Z, provided that all of the requirements and limitations set forth in subdivision (a) of this section are satisfied. Nothing in this chapter prohibits the disclosure in that contract of additional information required or permitted under Regulation Z, as in effect at the time that disclosure is made. (n) If the seller imposes a fee for document preparation, the contract shall contain a disclosure that the fee is not a governmental fee. (o) No seller may impose an application fee for a transaction governed by this chapter. (p) The seller or holder may charge and collect a fee not to exceed fifteen dollars ($15) for the return by a depository institution of a dishonored check, negotiated order of withdrawal, or share draft issued in connection with the contract, if the contract so provides or if the contract contains a generalized statement that the buyer may be liable for collection costs incurred in connection with the contract. (q) The contract shall disclose on its face, by printing the word "new" or "used" within a box outlined in red, that is not smaller than one-half inch high and one-half inch wide, whether the vehicle is sold as a new vehicle, as defined in Section 430 of the Vehicle Code, or a used vehicle, as defined in Section 665 of the Vehicle Code. (r) The contract shall contain a notice with a heading in at least 12-point boldface type and the text in at least 10-point boldface type, circumscribed by a line, immediately above the contract signature line, that reads as follows: _________________________________________________________________ ___ : : : THERE IS NO COOLING OFF PERIOD : : : : California law does not provide for a "cooling off" : : or other cancellation period for vehicle sales. Therefore, : : you cannot later cancel this contract simply because you : : change your mind, decide the vehicle costs too much, or wish : : you had acquired a different vehicle. After you sign below, : : you may only cancel this contract with the agreement of the : : seller or for legal cause, such as fraud. : : : ----------------------------------------------------------------- --- SEC. 15. Section 2984.3 of the Civil Code is amended to read: 2984.3. Any acknowledgment by the buyer of delivery of a copy of a conditional sale contract or purchase order and any vehicle purchase proposal and any credit statement that the seller has required or requested the buyer to sign, and that he or she has signed, during the contract negotiations, shall be printed or written in size equal to at least 10-point boldface type and, if contained in the contract, shall appear directly above the space reserved for the buyer's signature or adjacent to any other notices required by law to be placed immediately above the signature space. The buyer's written acknowledgment, conforming to the requirements of this section, of delivery of a completely filled-in copy of the contract, and a copy of the other documents shall be a rebuttable presumption of delivery in any action or proceeding by or against a third party without knowledge to the contrary when he or she acquired his or her interest in the contract. If the third party furnishes the buyer a copy of the documents, or a notice containing the disclosures identified in subdivision (a) of Section 2982, and stating that the buyer shall notify the third party in writing within 30 days if a copy of the documents was not furnished, and that notification is not given, it shall be conclusively presumed in favor of the third party that copies of the documents were furnished as required by this chapter. SEC. 16. Section 2986.2 of the Civil Code is amended to read: 2986.2. Every lease contract shall contain, in at least eight-point boldface type, above the space provided for the lessee's signature and circumscribed by a line, the following warnings which shall be signed or initialed by the lessee: (a) "Notice to the lessee: (1) Do not sign this agreement before you read it or if it contains any blank spaces to be filled in; (2) You are entitled to a completely filled in copy of this agreement; (3) If you default in the performance of your obligations under this agreement, the vehicle may be repossessed and you may be subject to suit and liability for the unpaid indebtedness evidenced by this agreement." "s/s ________________." lessee (b) "Warning--Unless a charge is included in this agreement for public liability or property damage insurance, payment for that coverage is not provided by this agreement." "s/s ________________." lessee (c) "Lessee has the right to return the vehicle, and receive a refund of any payments made if the credit application is not approved, unless nonapproval results from an incomplete appli- cation or from incorrect information provided by the lessee." "s/s ________________." lessee (d) "California law does not provide for a "cooling off" or other cancellation period for vehicle leases. Therefore, you cannot later cancel this lease simply because you change your mind, decide the vehicle costs too much, or wish you had acquired a different vehicle. You may cancel this lease only with the agreement of the lessor or for legal cause, such as fraud." "s/s _______________." lessee SEC. 17. Section 3482.6 of the Civil Code is amended to read: 3482.6. (a) No agricultural processing activity, operation, facility, or appurtenances thereof, conducted or maintained for commercial purposes, and in a manner consistent with proper and accepted customs and standards, shall be or become a nuisance, private or public, due to any changed condition in or about the locality, after the same has been in continuous operation for more than three years if it was not a nuisance at the time it begins. (b) If an agricultural processing activity, operation, facility, or appurtenances thereof substantially increases its activities or operations after January 1, 1993, then a public or private nuisance action may be brought with respect to those increases in activities or operations that have a significant effect on the environment. For increases in activities or operations that have been in effect more than three years, there shall be a rebuttable presumption affecting the burden of producing evidence that the increase was not substantial. (c) This section shall not supersede any other provision of law, except other provisions of this part, if the agricultural processing activity, operation, facility, or appurtenances thereof, constitute a nuisance, public or private, as specifically defined or described in the provision. (d) This section shall prevail over any contrary provision of any ordinance or regulation of any city, county, city and county, or other political subdivision of the state, except regulations adopted pursuant to Section 41700 of the Health and Safety Code as applied to agricultural processing activities, operations, facilities, or appurtenances thereof that are surrounded by housing or commercial development on the effective date of this section. However, nothing in this section shall preclude a city, county, city and county, or other political subdivision of this state, acting within its constitutional or statutory authority and not in conflict with other provisions of state law, from adopting an ordinance that allows notification to a prospective homeowner that the dwelling is in close proximity to an agricultural processing activity, operation, facility, or appurtenances thereof and is subject to provisions of this section consistent with Section 1102.6a. (e) For purposes of this section: (1) "Agricultural processing activity, operation, facility, or appurtenances thereof" includes, but is not limited to, the canning or freezing of agricultural products, the processing of dairy products, the production and bottling of beer and wine, the processing of meat and egg products, the drying of fruits and grains, the packing and cooling of fruits and vegetables, and the storage or warehousing of any agricultural products, and includes processing for wholesale or retail markets of agricultural products. (2) "Continuous operation" means at least 30 days of agricultural processing operations per year. (3) "Proper and accepted customs and standards" means the compliance with all applicable state and federal statutes and regulations governing the operation of the agricultural processing activity, operation, facility, or appurtenances thereof with respect to the condition or effect alleged to be a nuisance. (f) This section shall not apply to any litigation pending or cause of action accruing prior to January 1, 1993. SEC. 18. Section 4722.5 of the Civil Code is repealed. SEC. 19. Section 383 of the Code of Civil Procedure is amended and renumbered to read: 384. (a) It is the intent of the Legislature in enacting this section to ensure that the unpaid residuals in class action litigation are distributed, to the extent possible, in a manner designed either to further the purposes of the underlying causes of action, or to promote justice for all Californians. The Legislature finds that the use of funds collected by the State Bar pursuant to this section for these purposes is in the public interest, is a proper use of the funds, and is consistent with essential public and governmental purposes. (b) Prior to the entry of any judgment in a class action established pursuant to Section 382, the court shall determine the total amount that will be payable to all class members, if all class members are paid the amount to which they are entitled pursuant to the judgment. The court shall also set a date when the parties shall report to the court the total amount that was actually paid to the class members. After the report is received, the court shall amend the judgment to direct the defendant to pay the sum of the unpaid residue, plus interest on that sum at the legal rate of interest from the date of entry of the initial judgment, in any manner the court determines is consistent with the objectives and purposes of the underlying cause of action, including to child advocacy programs and to the California Legal Corps, as established pursuant to Section 6034 of the Business and Professions Code. The court shall ensure that notice is given to the State Bar of California of any such order. (c) Nothing in this section shall create an obligation or pledge of the credit of the State Bar of California. Neither the State Bar nor its officers and employees are liable for damage or injury arising out of any act or omission in the implementation or administration of this section. SEC. 20. Section 405.21 of the Code of Civil Procedure is amended to read: 405.21. An attorney of record in an action may sign a notice of pendency of action. Alternatively, a judge of the court in which an action that includes a real property claim is pending may, upon request of a party thereto, approve a notice of pendency of action. A notice of pendency of action shall not be recorded unless (a) it has been signed by the attorney of record, (b) it is signed by a party acting in propria persona and approved by a judge as provided in this section, or (c) the action is subject to Section 405.6. SEC. 21. The heading of Article 3 (commencing with Section 405.30) of Chapter 2 of Title 4.5 of Part 2 of the Code of Civil Procedure is amended and renumbered to read: CHAPTER 3. EXPUNGEMENT AND OTHER RELIEF SEC. 22. The heading of Article 4 (commencing with Section 405.50) of Chapter 2 of Title 4.5 of Part 2 of the Code of Civil Procedure is amended and renumbered to read: CHAPTER 4. WITHDRAWAL SEC. 23. The heading of Article 5 (commencing with Section 405.60) of Chapter 2 of Title 4.5 of Part 2 of the Code of Civil Procedure is amended and renumbered to read: CHAPTER 5. EFFECT OF WITHDRAWAL OR EXPUNGEMENT OF NOTICE SEC. 24. Section 472b of the Code of Civil Procedure is amended to read: 472b. When a demurrer to any pleading is sustained or overruled, and time to amend or answer is given, the time so given runs from the service of notice of the decision or order, unless that notice is waived in open court and the waiver is entered in the minutes or docket. SEC. 25. Section 695.220 of the Code of Civil Procedure is amended to read: 695.220. (a) Money received in satisfaction of a money judgment, except a money judgment for child support, is to be credited as follows: (1) The money is first to be credited against the amounts described in subdivision (b) of Section 685.050 that are collected by the levying officer. (2) Any remaining money is next to be credited against any fee due the court pursuant to Section 6103.5 or 68511.3 of the Government Code, which money is to be remitted to the court by the levying officer. (3) Any remaining money is next to be credited against the accrued interest that remains unsatisfied. (4) Any remaining money is to be credited against the principal amount of the judgment remaining unsatisfied. If the judgment is payable in installments, the remaining money is to be credited against the matured installments in the order in which they matured. (b) Satisfaction of a money judgment for child support is to be credited as follows: (1) The money is first to be credited against the current month's support. (2) Any remaining money is next to be credited against the accrued interest that remains unsatisfied. (3) Any remaining money is to be credited against the principal amount of the judgment remaining unsatisfied. (4) Notwithstanding the above, a collection received as a result of a tax refund offset is first to be credited against past due support assigned to the state prior to satisfaction pursuant to paragraphs (1), (2), and (3). SEC. 26. Title 1 (commencing with Section 1823) of Part 3.5 of the Code of Civil Procedure is repealed. SEC. 27. Section 1981 of the Education Code is amended to read: 1981. The county board of education may enroll in community schools any of the following: (a) Pupils who have been expelled from a school district, except those pupils who are expelled pursuant to subdivision (a) of Section 48915 under one or both of the following circumstances: (1) While attending continuation classes, opportunity classes, or alternative classes. (2) On one or more of the grounds set forth in subdivisions (a) to (e), inclusive, of Section 48900. (b) Pupils who have been referred to county community schools by a school district as a result of the recommendation by a school attendance review board or pupils whose school districts of attendance have, at the request of the pupil's parent or guardian, approved the pupil's enrollment in a county community school. (c) Pupils who are probation-referred pursuant to Sections 300, 601, 602, and 654 of the Welfare and Institutions Code, pupils who are on probation or parole and who are not in attendance in any school, or pupils who are expelled pursuant to subdivision (a) or (b) of Section 48915. (d) Homeless children. SEC. 28. Section 41305 of the Education Code is amended to read: 41305. The amounts provided under Section 41304 for any fiscal year shall be limited to the amounts appropriated in the annual Budget Act for the purposes of that section, and shall not exceed an amount equal to the sum of the moneys credited to the Driver Training Penalty Assessment Fund in the State Treasury during the preceding fiscal year and the amount by which the deposits in the Driver Training Penalty Assessment Fund on or after September 15, 1961, have exceeded the amounts required to reimburse the General Fund on account of transfers made after that date. SEC. 29. Section 42238 of the Education Code is amended to read: 42238. (a) For the 1984-85 fiscal year and each fiscal year thereafter, the county superintendent of schools shall determine a revenue limit for each school district in the county pursuant to this section. (b) The base revenue limit for the current fiscal year shall be determined by adding to the base revenue limit for the prior fiscal year the following amounts: (1) The inflation adjustment specified in Section 42238.1. (2) For the 1985-86 and 1986-87 fiscal years only, the equalization adjustment specified in Section 42238.4. (3) For the 1985-86 fiscal year, the amount received per unit of average daily attendance in the 1984-85 fiscal year pursuant to Section 42238.7. (4) For the 1985-86, 1986-87, and 1987-88 fiscal years, the amount per unit of average daily attendance received in the prior fiscal year pursuant to Section 42238.8. (c) Except for districts subject to subdivision (d), the base revenue limit computed pursuant to subdivision (b) shall be multiplied by the district average daily attendance computed pursuant to Section 42238.5. (d) For districts for which the number of units of average daily attendance determined pursuant to Section 42238.5 is greater for the current fiscal year than for the 1982-83 fiscal year, compute the following amount, in lieu of the amount computed pursuant to subdivision (c): (1) Multiply the base revenue limit computed pursuant to subdivision (c) by the average daily attendance computed pursuant to Section 42238.5 for the 1982-83 fiscal year. (2) Multiply the lesser of the amount in subdivision (c) or 1.05 times the statewide average base revenue limit per unit of average daily attendance for districts of similar type for the current fiscal year by the difference between the average daily attendance computed pursuant to Section 42238.5 for the current and 1982-83 fiscal years. (3) Add the amounts in paragraphs (1) and (2). (e) The base revenue limit per unit of average daily attendance shall be the lesser of the following amounts: (1) The amount determined in subdivision (b). (2) The amount computed pursuant to Section 42238 for the prior fiscal year divided by the prior fiscal year revenue limit average daily attendance times the sum of 1.0 and twice the percentage increase in revenue limits computed pursuant to Section 42238.1 for the current fiscal year. (f) For districts electing to compute units of average daily attendance pursuant to paragraph (3) of subdivision (a) of Section 42238.5, the amount computed pursuant to Article 4 (commencing with Section 42280) shall be added to the amount computed in subdivision (c) or (d), as appropriate. (g) For the 1984-85 fiscal year only, the county superintendent shall reduce the total revenue limit computed in this section by the amount of the decreased employer contributions to the Public Employees' Retirement System resulting from enactment of Chapter 330 of the Statutes of 1982, offset by any increase in those contributions, as of the 1983-84 fiscal year, resulting from subsequent changes in employer contribution rates. The reduction shall be calculated as follows: (1) Determine the amount of employer contributions that would have been made in the 1983-84 fiscal year if the applicable Public Employees' Retirement System employer contribution rate in effect immediately prior to the enactment of Chapter 330 of the Statutes of 1982 were in effect during the 1983-84 fiscal year. (2) Subtract from the amount determined in paragraph (1) the greater of subparagraph (A) or (B): (A) The amount of employer contributions that would have been made in the 1983-84 fiscal year if the applicable Public Employees' Retirement System employer contribution rate in effect immediately after the enactment of Chapter 330 of the Statutes of 1982 were in effect during the 1983-84 fiscal year. (B) The actual amount of employer contributions made to the Public Employees' Retirement System in the 1983-84 fiscal year. (3) For purposes of this subdivision, employer contributions to the Public Employees' Retirement System for any of the following shall be excluded from the calculation specified above: (A) Positions supported totally by federal funds that were subject to supplanting restrictions. (B) Positions supported by funds received pursuant to Section 42243.6. (C) Positions supported, to the extent of employer contributions not exceeding twenty-five thousand dollars ($25,000) by any single educational agency, from a revenue source determined on the basis of equity to be properly excludable from the provisions of this subdivision by the Superintendent of Public Instruction with the approval of the Director of Finance. (4) For accounting purposes, the reduction made by this subdivision may be reflected as an expenditure from appropriate sources of revenue as directed by the Superintendent of Public Instruction. (h) The Superintendent of Public Instruction shall apportion to each school district the amount determined in this section less the sum of: (1) The district's property tax revenue received pursuant to Chapter 3 (commencing with Section 75) and Chapter 6 (commencing with Section 95) of Part 0.5 of the Revenue and Taxation Code. (2) The amount, if any, received pursuant to Part 18.5 (commencing with Section 38101) of the Revenue and Taxation Code. (3) The amount, if any, received pursuant to Chapter 3 (commencing with Section 16140) of the Government Code. (4) Prior years taxes and taxes on the unsecured roll. (5) Fifty percent of the amount received pursuant to Section 41603. (6) The amount, if any, received pursuant to any provision of the Community Redevelopment Law (Part 1 (commencing with Section 33000) of Division 24 of the Health and Safety Code), except for any amount received pursuant to Section 33401 or 33676 of the Health and Safety Code that is used for land acquisition, facility construction, reconstruction, or remodeling, or deferred maintenance, except for any amount received pursuant to Section 33492.15, 33607.5, or 33607.7 of the Health and Safety Code that is allocated exclusively for educational facilities. (i) This section shall become operative July 1, 1984. SEC. 30. Section 44277 of the Education Code is amended to read: 44277. The Legislature recognizes that effective professional growth must continue to occur throughout the careers of all teachers, in order that teachers remain informed of changes in pedagogy, subject matter, and pupil needs. In enacting this section, it is the intent of the Legislature to establish professional growth requirements that give individual teachers a wide range of options to pursue as well as significant roles in determining the course of their professional growth. (a) The minimum requirements for maintaining the validity of the clear multiple or single subject teaching credential pursuant to Section 44251 shall be both of the following: (1) Successful service as a classroom teacher or successful service authorized by a services credential. The minimum length of service shall be equivalent to one-half of a school year. (2) Completion of an individual program of professional growth as prescribed in this section and by the commission. (b) An individual program of professional growth shall consist of a minimum of 150 clock hours of participation in activities that contribute to competence, performance, or effectiveness in the profession of education. Acceptable activities shall be defined by the commission to include, among other acceptable activities, the completion of courses offered by regionally accredited colleges and universities; participation in professional conferences, workshops, teacher center programs, or staff development programs; service as a mentor teacher pursuant to Section 44496; participation in school curriculum development projects; participation in systematic programs of observation and analysis of teaching; service in a leadership role in a professional organization; and participation in educational research or innovation efforts. Employing agencies and employees' bargaining agents may negotiate to agree on the terms of programs of professional growth within their jurisdictions, provided that the agreements shall be consistent with this section. (c) An individual program of professional growth shall be developed and planned by the holder of a clear teaching credential. (d) Effective January 1, 1991, an individual program of professional growth may include a basic course in cardiopulmonary resuscitation, which includes training in the subdiaphragmatic abdominal thrust (also known as the "Heimlich maneuver") and meets or exceeds the standards established by the American Heart Association or the American Red Cross for courses in that subject. A teacher's participation in this training option shall count towards the minimum 150 clock hours required to satisfy the professional growth requirements. (e) Before a holder of a clear teaching credential commences or amends an individual program of professional growth, a school principal, a mentor teacher provided for in Section 44496, or other district designee shall certify to the credentialholder that the planned program or amendment complies with this section and with regulations of the commission. (f) A clear teaching credential shall be deemed to remain valid so long as the holder of the credential, at five-year intervals, submits to the commission verification by a school principal, a mentor teacher, or other district designee that the holder has satisfied the minimum requirements specified in subdivision (a). In the absence of adequate verification, the commission shall invalidate the credential. Verification by a school principal, a mentor teacher, or other district designee shall be independent of any evaluation of the performance of the holder of the clear teaching credential that is conducted for the purpose of determining the credentialholder's employment status. The arbitrary refusal of a school principal, a mentor teacher, or other district designee to verify completion of an individual program of professional growth meeting the requirements of this section and commission regulations shall constitute grounds for an appeal as prescribed in Section 44278. SEC. 31. Section 48911 of the Education Code is amended to read: 48911. (a) The principal of the school, the principal's designee, or the superintendent of schools may suspend a pupil from the school for any of the reasons enumerated in Section 48900, and pursuant to Section 48900.5, for no more than five consecutive schooldays. (b) Suspension by the principal, the principal's designee, or the superintendent of schools shall be preceded by an informal conference conducted by the principal or the principal's designee or the superintendent of schools between the pupil and, whenever practicable, the teacher, supervisor, or school employee who referred the pupil to the principal, the principal' s designee, or the superintendent of schools. At the conference, the pupil shall be informed of the reason for the disciplinary action and the evidence against him or her and shall be given the opportunity to present his or her version and evidence in his or her defense. (c) A principal, the principal's designee, or the superintendent of schools may suspend a pupil without affording the pupil an opportunity for a conference only if the principal, the principal's designee, or the superintendent of schools determines that an emergency situation exists. "Emergency situation," as used in this article, means a situation determined by the principal, the principal's designee, or the superintendent of schools to constitute a clear and present danger to the life, safety, or health of pupils or school personnel. If a pupil is suspended without a conference prior to suspension, both the parent and the pupil shall be notified of the pupil's right to a conference and the pupil's right to return to school for the purpose of a conference. The conference shall be held within two schooldays, unless the pupil waives this right or is physically unable to attend for any reason, including, but not limited to, incarceration or hospitalization. The conference shall then be held as soon as the pupil is physically able to return to school for the conference. (d) At the time of suspension, a school employee shall make a reasonable effort to contact the pupil's parent or guardian in person or by telephone. Whenever a pupil is suspended from school, the parent or guardian shall be notified in writing of the suspension. (e) A school employee shall report the suspension of the pupil, including the cause therefor, to the governing board of the school district or to the school district superintendent in accordance with the regulations of the governing board. (f) The parent or guardian of any pupil shall respond without delay to any request from school officials to attend a conference regarding his or her child's behavior. No penalties may be imposed on a pupil for failure of the pupil's parent or guardian to attend a conference with school officials. Reinstatement of the suspended pupil shall not be contingent upon attendance by the pupil's parent or guardian at the conference. (g) In a case where expulsion from any school or suspension for the balance of the semester from continuation school is being processed by the governing board, the school district superintendent or other person designated by the superintendent in writing may extend the suspension until the governing board has rendered a decision in the action. However, an extension may be granted only if the school district superintendent or the superintendent's designee has determined, following a meeting in which the pupil and the pupil's parent or guardian are invited to participate, that the presence of the pupil at the school or in an alternative school placement would cause a danger to persons or property or a threat of disrupting the instructional process. If the pupil or the pupil's parent or guardian has requested a meeting to challenge the original suspension pursuant to Section 48914, the purpose of the meeting shall be to decide upon the extension of the suspension order under this section and may be held in conjunction with the initial meeting on the merits of the suspension. (h) Notwithstanding subdivisions (a) and (g), an individual with exceptional needs may be suspended for up to, but not more than, 10 consecutive schooldays if he or she poses an immediate threat to the safety of himself or herself or others. In the case of a truly dangerous child, a suspension may exceed 10 consecutive schooldays, or the pupil's placement may be changed, or both, if either of the following occurs: (1) The pupil's parent or guardian agrees. (2) A court order so provides. (i) For the purposes of this section, a "principal's designee" is any one or more administrators at the schoolsite specifically designated by the principal, in writing, to assist with disciplinary procedures. In the event that there is not an administrator in addition to the principal at the schoolsite, a certificated person at the schoolsite may be specifically designated by the principal, in writing, as a "principal's designee," to assist with disciplinary procedures. The principal may designate only one such person at a time as the principal's primary designee for the school year. An additional person meeting the requirements of this subdivision may be designated by the principal, in writing, to act for the purposes of this article when both the principal and the principal's primary designee are absent from the schoolsite. The name of the person, and the names of any person or persons designated as "principal's designee," shall be on file in the principal's office. This section is not an exception to, nor does it place any limitation on, Section 48903. SEC. 32. Section 48918 of the Education Code is amended to read: 48918. The governing board of each school district shall establish rules and regulations governing procedures for the expulsion of pupils. These procedures shall include, but are not necessarily limited to, all of the following: (a) The pupil shall be entitled to a hearing to determine whether the pupil should be expelled. An expulsion hearing shall be held within 30 schooldays after the date the principal or the superintendent of schools determines that the pupil has committed any of the acts enumerated in Section 48900, unless the pupil requests, in writing, that the hearing be postponed. The adopted rules and regulations shall specify that the pupil is entitled to at least one postponement of an expulsion hearing, for a period of not more than 30 calendar days. Any additional postponement may be granted at the discretion of the governing board. The decision of the governing board as to whether to expel a pupil shall be made within 10 schooldays after the conclusion of the hearing, unless the pupil requests in writing that the decision be postponed. If the hearing is held by a hearing officer or an administrative panel, or if the district governing board does not meet on a weekly basis, the governing board shall make its decision about a pupil's expulsion within 40 schooldays after the date of the pupil's removal from his or her school of attendance for the incident for which the recommendation for expulsion is made by the principal or the superintendent, unless the pupil requests in writing that the decision be postponed. In the event that compliance by the governing board with the time requirements for the conducting of an expulsion hearing under this subdivision is impracticable, the superintendent of schools or the superintendent's designee may, for good cause, extend the time period for the holding of the expulsion hearing for an additional five schooldays. Reasons for the extension of the time for the hearing shall be included as a part of the record at the time the expulsion hearing is conducted. Upon the commencement of the hearing, all matters shall be pursued and conducted with reasonable diligence and shall be concluded without any unnecessary delay. (b) Written notice of the hearing shall be forwarded to the pupil at least 10 calendar days prior to the date of the hearing. The notice shall include: the date and place of the hearing; a statement of the specific facts and charges upon which the proposed expulsion is based; a copy of the disciplinary rules of the district that relate to the alleged violation; a notice of the parent, guardian, or pupil's obligation pursuant to subdivision (b) of Section 48915.1; and notice of the opportunity for the pupil or the pupil's parent or guardian to appear in person or employ and be represented by counsel, to inspect and obtain copies of all documents to be used at the hearing, to confront and question all witnesses who testify at the hearing, to question all other evidence presented, and to present oral and documentary evidence on the pupil's behalf, including witnesses. (c) Notwithstanding Section 54593 of the Government Code and Section 35145 of this code, the governing board shall conduct a hearing to consider the expulsion of a pupil in a session closed to the public, unless the pupil requests, in writing, at least five days prior to the date of the hearing, that the hearing be conducted at a public meeting. Regardless of whether the expulsion hearing is conducted in a closed or public session, the governing board may meet in closed session for the purpose of deliberating and determining whether the pupil should be expelled. If the governing board or the hearing officer or administrative panel appointed under subdivision (d) to conduct the hearing admits any other person to a closed deliberation session, the parent or guardian of the pupil, the pupil, and the counsel of the pupil also shall be allowed to attend the closed deliberations. (d) In lieu of conducting an expulsion hearing itself, the governing board may contract with the county hearing officer, or with the Office of Administrative Hearings of the State of California pursuant to Chapter 14 (commencing with Section 27720) of Part 3 of Division 2 of Title 3 of the Government Code and Section 35207 of this code, for a hearing officer to conduct the hearing. The governing board also may appoint an impartial administrative panel of three or more certificated persons, none of whom are members of the board or employed on the staff of the school in which the pupil is enrolled. The hearing shall be conducted in accordance with all of the procedures established under this section. (e) Within three schooldays after the hearing, the hearing officer or administrative panel shall determine whether to recommend the expulsion of the pupil to the governing board. If the hearing officer or administrative panel decides not to recommend expulsion, the expulsion proceedings shall be terminated and the pupil immediately shall be reinstated and permitted to return to a classroom instructional program, any other instructional program, a rehabilitation program, or any combination of these programs. Placement in one or more of these programs shall be made by the superintendent of schools or the superintendent's designee after consultation with school district personnel, including the pupil's teachers, and the pupil's parent or guardian. The decision not to recommend expulsion shall be final. (f) If the hearing officer or administrative panel recommends expulsion, findings of fact in support of the recommendation shall be prepared and submitted to the governing board. All findings of fact and recommendations shall be based solely on the evidence adduced at the hearing. If the governing board accepts the recommendation calling for expulsion, acceptance shall be based either upon a review of the findings of fact and recommendations submitted by the hearing officer or panel or upon the results of any supplementary hearing conducted pursuant to this section that the governing board may order. The decision of the governing board to expel a pupil shall be based upon substantial evidence relevant to the charges adduced at the expulsion hearing or hearings. Except as provided in this section, no evidence to expel shall be based solely upon hearsay evidence. The governing board or the hearing officer or administrative panel may, upon a finding that good cause exists, determine that the disclosure of the identity of a witness and the testimony of that witness at the hearing would subject the witness to an unreasonable risk of harm. Upon this determination, the testimony of the witness may be presented at the hearing in the form of sworn declarations which shall be examined only by the governing board or the hearing officer or administrative panel. Copies of these sworn declarations, edited to delete the name and identity of the witness, shall be made available to the pupil. (g) A record of the hearing shall be made. The record may be maintained by any means, including electronic recording, so long as a reasonably accurate and complete written transcription of the proceedings can be made. (h) Technical rules of evidence shall not apply to the hearing, except that relevant evidence may be admitted and given probative effect only if it is the kind of evidence upon which reasonable persons are accustomed to rely in the conduct of serious affairs. A decision of the governing board to expel shall be supported by substantial evidence showing that the pupil committed any of the acts enumerated in Section 48900. (i) Whether an expulsion hearing is conducted by the governing board or before a hearing officer or administrative panel, final action to expel a pupil shall be taken only by the governing board in a public session. Written notice of any decision to expel or to suspend the enforcement of an expulsion order during a period of probation shall be sent by the superintendent of schools or his or her designee to the pupil or the pupil's parent or guardian, and shall be accompanied by notice of the right to appeal the expulsion to the county board of education and of the obligation of the parent, guardian, or pupil under subdivision (b) of Section 48915.1, upon the pupil's enrollment in a new school district, to inform that district of the expulsion. (j) The governing board shall maintain a record of each expulsion, including the cause therefor. Records of expulsions shall be a nonprivileged, disclosable public record. The expulsion order and the causes therefor shall be recorded in the pupil's mandatory interim record and shall be forwarded to any school in which the pupil subsequently enrolls upon receipt of a request from the admitting school for the pupil's school records. SEC. 33. Section 56034 of the Education Code is amended to read: 56034. "Nonpublic, nonsectarian school" means a private, nonsectarian school that enrolls individuals with exceptional needs pursuant to an individualized education program, employs at least one full-time teacher who holds an appropriate credential authorizing special education services, and is certified by the department. It does not include an organization or agency that operates as a public agency or offers public service, including, but not limited to, a state or local agency, an affiliate of a state or local agency, including a private, nonprofit corporation established or operated by a state or local agency, or a public university or college. A nonpublic, nonsectarian school also shall meet standards as prescribed by the superintendent and board. SEC. 34. Section 56155.5 of the Education Code is amended to read: 56155.5. (a) As used in this article, "licensed children's institution" means a residential facility which is licensed by the state, or other public agency having delegated authority by contract with the state to license, to provide nonmedical care to children, including, but not limited to, individuals with exceptional needs. "Licensed children's institution" includes a group home as defined by subdivision (a) of Section 80001 of Title 22 of the California Code of Regulations. As used in this article and Article 8.5 (commencing with Section 56775), a "licensed children's institution" does not include any of the following: (1) A juvenile court school, juvenile hall, juvenile home, day center, juvenile ranch, or juvenile camp administered pursuant to Article 2 (commencing with Section 48645) of Chapter 4 of Part 27. (2) A county community school program provided pursuant to Section 1981. (3) Any special education programs provided pursuant to Section 56150. (4) Any other public agency. (b) As used in this article, "foster family home" means a family residence that is licensed by the state, or other public agency having delegated authority by contract with the state to license, to provide 24-hour nonmedical care and supervision for not more than six foster children, including, but not limited to, individuals with exceptional needs. "Foster family home" includes a small family home as defined in paragraph (6) of subdivision (a) of Section 1502 of the Health and Safety Code. SEC. 35. Section 56366.1 of the Education Code is amended to read: 56366.1. (a) A nonpublic, nonsectarian school or agency that seeks certification shall file an application with the superintendent on forms provided by the department and include the following information on the application: (1) A description of the special education and designated instruction and services provided to individuals with exceptional needs if the application is for nonpublic, nonsectarian school certification. (2) A description of the designated instruction and services provided to individuals with exceptional needs if the application is for nonpublic, nonsectarian agency certification. (3) A list of appropriately qualified staff, a description of the credential, license, or registration that qualifies each staff member to render special education or designated instruction and services, and copies of their credentials, licenses, or certificates of registration with the appropriate state or national organization that has established standards for the service rendered. (4) An annual operating budget. (5) Affidavits and assurances necessary to comply with all applicable federal, state, and local laws and regulations which include criminal record summaries required of all nonpublic school or agency personnel having contact with minor children under Section 44237. (b) Unless the board grants a waiver pursuant to Section 56101, a nonpublic, nonsectarian school or agency shall file an application for certification between January 1 and March 1. (c) If the applicant operates a facility or program on more than one site, each site shall be certified. (d) If the applicant is part of a larger program or facility on the same site, the superintendent shall consider the effect of the total program on the applicant. A copy of the policies and standards for the nonpublic, nonsectarian school or agency and the larger program shall be available to the superintendent. (e) Prior to certification, the superintendent shall conduct an onsite review of the facility and program for which the applicant seeks certification. The superintendent may be assisted by representatives of the special education local plan area in which the applicant is located and a nonpublic, nonsectarian school or agency representative who does not have a conflict of interest with the applicant. The superintendent shall conduct an additional onsite review of the facility and program within five years after the certification effective date unless the superintendent conditionally certifies the school or agency or unless the superintendent receives a formal complaint against the school or agency. In the latter two cases, the superintendent shall conduct an onsite review at least annually. (f) Within 120 days after receipt of the application, the superintendent shall certify, conditionally certify, or deny certification to the applicant. If the superintendent fails to take one of these actions within 120 days, the applicant is automatically granted conditional certification for a period terminating on August 31 of the current school year. If certification is denied, the superintendent shall provide reasons for the denial. The superintendent may certify the school or agency for a period of not longer than five years. (g) Certification becomes effective on the date the nonpublic, nonsectarian school or agency meets all the application requirements and is approved by the superintendent. Certification may be retroactive if the school or agency met all the requirements of this section on the date the retroactive certification is effective. Certification expires on August 31 of the terminating year. (h) The superintendent shall annually review the certification of each nonpublic, nonsectarian school and agency. For this purpose, a certified school or agency shall annually update its application between August 1 and October 31, unless the board grants a waiver pursuant to Section 56101. The superintendent may conduct an onsite review as part of the annual review. (i) The superintendent may monitor a nonpublic, nonsectarian school or agency onsite at any time without prior notice when there is substantial reason to believe that there is an immediate danger to the health, safety, or welfare of a child. The superintendent shall document the concern and submit it to the nonpublic, nonsectarian school or agency at the time of the onsite monitoring. The superintendent shall require a written response to any noncompliance or deficiency found. (j) (1) Notwithstanding any other provision of law, the superintendent may not certify a nonpublic, nonsectarian school or agency that proposes to initiate or expand services to pupils who are currently educated, or were educated in the immediate prior fiscal year, in a juvenile court program, community school pursuant to Section 56150, or other nonspecial education program, including independent study or adult school, or both, unless the nonpublic, nonsectarian school or agency notifies the county superintendent of schools and the special education local plan area in which the proposed new or expanded nonpublic, nonsectarian school or agency is located of its intent to seek certification. The notification shall occur no later than the last day of the second school year prior to the date on which the proposed or expanding school or agency intends to initiate services. The notice shall include all of the following: (A) The date upon which the proposed nonpublic, nonsectarian school or agency is to be established. (B) The location of the proposed program or facility. (C) The number of pupils proposed for services, the number of pupils currently served in the juvenile court, community school, or other nonspecial education program, the current school services, including special education and related services, provided for these pupils, and the specific program of special education and related services to be provided under the proposed program. (D) The reason for the proposed change in services. (2) In addition to the requirements in subdivisions (a) to (e), inclusive, the superintendent shall require and consider the following in determining whether to certify a nonpublic, nonsectarian school or agency as described in this subdivision: (A) A complete statement of the information required as part of the notice under paragraph (1). (B) Documentation of the steps taken in preparation for the conversion to a nonpublic, nonsectarian school or agency, including information related to changes in the population to be served and the services to be provided pursuant to each pupil's individualized education program. (3) Before certifying the school or agency, the superintendent shall determine that certification of the new or expanding school or agency program is necessary for the provision of a free appropriate special education program to the affected pupils in the least restrictive environment. (4) Notwithstanding any other provision of law, the certification becomes effective no earlier than the first day of the second school year beginning after the school or agency provides the notification required pursuant to paragraph (1). SEC. 36. Section 56775 of the Education Code is amended to read: 56775. (a) For the 1980-81 fiscal year and each fiscal year thereafter, the superintendent shall apportion to each district and county superintendent providing programs pursuant to Article 5 (commencing with Section 56155) of Chapter 2 an amount equal to the difference, if any, between (1) the costs of contracts with nonpublic, nonsectarian schools to provide special education instruction, related services, or both, to pupils in licensed children's institutions, foster family homes, residential medical facilities, and other similar facilities funded under this chapter, and (2) the state and federal income received by the district or county superintendent for providing these programs. The sum of the excess cost, plus any state or federal income for these programs, shall not exceed the cost of contracts with nonpublic, nonsectarian schools to provide special education and related services for these pupils, as determined by the superintendent. (b) The cost of contracts with nonpublic, nonsectarian schools and agencies that a district or county office of education reports under this section shall not include any of the following costs that a district, county office, or special education local plan area may incur: (1) Administrative or indirect costs for the local education agency. (2) Direct support costs for the local education agency. (3) Transportation costs provided either directly or through a nonpublic, nonsectarian school or agency contract for use of services or equipment owned, leased, or contracted, by a district, special education local plan area, or county office for any pupils enrolled in nonpublic, nonsectarian school or agencies, unless provided directly or subcontracted by that nonpublic, nonsectarian school or agency pursuant to subdivisions (a) and (b) of Section 56366. (4) Costs for services routinely provided by the district or county office, including the following, unless the board grants a waiver under 56101: (A) School psychologist services other than those described in Sections 56324 and 56363 and included in a contract and individual services agreement under subdivision (a) of Section 56366. (B) School nurse services other than those described in Sections 49423.5, 56324, and 56363 and included in a contract and individual services agreement under subdivision (a) of Section 56366. (C) Language, speech, and hearing services other than those included in a contract and individual services agreement under subdivision (a) of Section 56366. (D) Modified, specialized, or adapted physical education services other than those included in a contract and individual services agreement under subdivision (a) of Section 56366. (5) Costs for nonspecial education programs or settings, including those provided for individuals with exceptional needs between the ages of birth and five years, inclusive, pursuant to Sections 56431 and 56441.8. (6) Costs for nonpublic, nonsectarian school or agency placements outside of the state unless the board has granted a waiver pursuant to subdivisions (e) and (f) of Section 56365. (7) Costs for related nonpublic, nonsectarian school pupil assessments by a school psychologist or school nurse pursuant to Sections 56320 and 56324. (8) Costs for services that the nonpublic, nonsectarian school or agency is not certified to provide. (9) Costs for services provided by personnel who do not meet the requirements specified in subdivision (e) of Section 56366. (d) A nonpublic, nonsectarian school or agency shall not claim and is not entitled to receive reimbursement for attendance unless the site where the pupil is receiving special education or designated instruction and services is certified. SEC. 37. Section 60240 of the Education Code is amended to read: 60240. The State Instructional Materials Fund is hereby continued in existence. The fund shall be a means of annually funding the acquisition of instructional materials as required by the Constitution of the State of California. Notwithstanding Section 13340 of the Government Code, all money in the fund is continuously appropriated to the State Department of Education without regard to fiscal years for carrying out the purposes of this part. It is the intent of the Legislature that the fund shall provide for flexibility of instructional materials. SEC. 38. Section 2552 of the Elections Code is amended to read: 2552. The presidential primary shall be consolidated with the statewide direct primary held in any year evenly divisible by the whole number four. This section shall become operative on January 1, 1998. SEC. 39. Section 2601 of the Elections Code is amended to read: 2601. (a) Except as provided in Sections 35443, 36503.5, and 36504 of the Government Code, a general municipal election shall be held on the second Tuesday in April of even-numbered years, or on the first Tuesday after the first Monday in March of odd-numbered years. (b) A city council may enact an ordinance to move the date of its general municipal election from the second Tuesday in April of even-numbered years to the first Tuesday after the first Monday in March of odd-numbered years. (c) As the result of the adoption of an ordinance pursuant to this section, no term of office shall be increased or decreased by more than 12 months. As used in this subdivision, "12 months" means the period between the day upon which the term of office otherwise would have commenced and the first Tuesday after the first Monday in March of the odd-numbered year in which the election is held, inclusive. (d) If an election is held pursuant to subdivision (a) and the election is consolidated with another election, Part 2.5 (commencing with Section 23300) of Division 14, except Section 23302, shall govern the consolidation, and, if the county clerk is requested to conduct the municipal election, Section 22003 shall be applicable to that election. (e) Within 30 days after the ordinance becomes operative pursuant to subdivision (b), the city clerk shall cause a notice to be mailed to all registered voters informing the voters of the change in the election date. The notice shall also inform the voters that as a result in the change in election date, elected city officeholders' terms in office will be changed. (f) If a city adopts an ordinance pursuant to subdivision (b), the municipal election following the adoption of the ordinance and each municipal election thereafter shall be conducted on the date specified by the city council, in accordance with subdivision (b), unless the ordinance in question is later repealed by the city council. (g) If the date of a general municipal election is changed pursuant to this section, at least one election shall be held before the ordinance may be subsequently repealed or amended. SEC. 40. Section 6005 of the Elections Code is amended to read: 6005. The chairman of the state central committee shall notify the Secretary of State on or before the first day of February immediately preceding the presidential primary as to the number of delegates to represent the state in the next national convention of his or her party. This section shall become operative on January 1, 1998. SEC. 41. Section 2110 of the Family Code is amended to read: 2110. In the case of a default judgment, the petitioner may waive the final declaration of disclosure requirements provided in this chapter, but a preliminary declaration of disclosure by the petitioner is required. SEC. 42. Section 4071.5 is added to the Family Code, to read: 4071.5. For purposes of computing the minimum level of child support under Section 4070, no hardship shall be deemed to exist and no deduction from income shall be granted if aid payments are being made pursuant to Chapter 2 (commencing with Section 11200) of Part 3 of Division 9 of the Welfare and Institutions Code on behalf of a child or children of the parent seeking the deduction, even if the payments are being received by the other parent. SEC. 43. Section 857 of the Fish and Game Code is amended to read: 857. (a) Notwithstanding any other provision of law, the status of a person as an employee, agent, or licensee of the department does not confer upon that person a special right or privilege to knowingly enter private land without either the consent of the owner or a search warrant, an inspection warrant. (b) (1) Subdivision (a) does not apply to employees, agents, or licensees of the department in the event of an emergency. For purposes of this section, "emergency" means a sudden, unexpected occurrence, involving a clear and imminent danger demanding immediate action to prevent or mitigate loss of, or damage to, wildlife, wildlife resources, or wildlife habitat. (2) Subdivision (a) does not apply to a sworn peace officer authorized pursuant to subdivision (f) of Section 830.2 of the Penal Code or, if necessary for law enforcement purposes, to other departmental personnel accompanying a sworn peace officer. Subdivision (a) shall not be construed to define or alter any authority conferred on those peace officers by any other law or court decision. (3) Subdivision (a) does not apply to, or interfere with, the authority of employees or licensees to enter and inspect land in conformance with Section 4604 of the Public Resources Code. This section is not intended to expand or constrain the authority, if any, of employees, agents, or licensees of the department to enter private land to conduct inspections pursuant to Section 7702 of this code or Section 8670.5, 8670.7, or 8670.10 of the Government Code. (c) If the department conducts a survey or evaluation of private land that results in the preparation of a document or report, the department shall, upon request and without undue delay, provide either a copy of the report or a written explanation of the department's legal authority for denying the request. The department may charge a fee for each copy, not to exceed the direct costs of duplication. SEC. 44. Section 8051.2 of the Fish and Game Code is amended to read: 8051.2. (a) The landing tax collected pursuant to Section 8051.1 shall be deposited in the Fish and Game Preservation Fund and 50 percent of the revenue deposited shall be used solely for the Sea Urchin Resources Enhancement Program in support of the recommendations of the committee established by subdivision (c) and other sea urchin resource enhancement measures as provided in the annual Budget Act. The remaining 50 percent of the revenue shall be used solely for research and management activities to monitor and maintain the sea urchin resource. The department shall maintain internal accountability necessary to ensure that all restrictions on the expenditure of Sea Urchin Resources Enhancement Program funds and research and management funds are met. (b) An amount, not to exceed 15 percent of each of the allocations made pursuant to subdivision (a) from the total annual revenues deposited in the fund pursuant to subdivision (a), may be used by the department for the administration of the Sea Urchin Resources Enhancement Program and the research and management activities, respectively, including any reasonable and necessary expenses. (c) The Commercial Sea Urchin Advisory Committee in existence on October 14, 1991, which consists of 12 members selected by the director, shall be continued in existence and renamed the Director's Sea Urchin Advisory Committee. One member shall be chosen from the personnel of the department. Ten members shall be selected, with alternates, from nominations submitted by sea urchin fishermen and processors and by associations representing the commercial sea urchin industry of California. Five of the industry members shall be from northern California, two representing divers and three representing processors. At least one of the northern California processor representatives shall reside in a geographical area other than Fort Bragg. Five of the industry members shall be from southern California, three representing divers and two representing processors. All of the California diver representatives shall reside in different geographical areas of the state. The area marine coordinator from the University of California at Davis shall be the other member. For the money available to the Sea Urchin Resource Enhancement Program, the committee may annually submit to the department proposed projects and a budget for the program. The department, after conducting a public review and discussion, shall incorporate all or part of the proposed projects and budget recommendations in its submittal to the Governor's Budget. (d) This section shall remain in effect only until January 1, 1997, and as of that date is repealed, unless a later enacted statute, which is enacted before January 1, 1997, deletes or extends that date. SEC. 45. Section 8598 of the Fish and Game Code is amended to read: 8598. (a) Notwithstanding Section 8140 or subdivision (b) of Section 8597, specimens of the following groups or species shall not be taken or possessed for commercial purposes: (1) Invertebrates: (A) Phylum Porifera all sponges. (B) Genus Pelagia sp. jellyfish. (C) Coelenterata corals, anemones; all species. (D) Order Gorgonacea all gorgonians. (E) Order Pennatulacea all species, except Renilla kollikeri. (F) Feather-duster worm Eudistylia polymorpha. (G) Fiddler crab Uca crenulata. (H) Umbrella crab Cryptolithodes sitchensis. (I) Stalked or goose barnacles Pollicipes sp. (J) Giant acorn barnacle Balanus nubilus or B. aguila. (K) Owl limpet Lottia gigantea. (L) Coffee bean shells Trivia sp. (M) Three-winged murex Pteropurpura trialata. (N) Vidler's simnia Simnia vidleri. (O) Queen tegula Tegula regina. (P) Opisthobranchia (including nudibranchs) all subclass Opisthobranchia species except: (i) Sea hares Aplysia californica and Aplysia vaccaria. (ii) Hermissenda crassicornis. (iii) Lion's mouth Melibe leonina. (iv) Aeolidia papillosa. (v) Spanish shawl Flabellina iodinea. (2) Vertebrates: (A) All shark and ray eggcases. (B) Brown smoothhound sharks Mustelus hinlei. (C) Family Agonidae all poachers. (D) Wolf-eel Anarrhichthys ocellatus. (E) Juvenile sheephead Semicossyphus pulcher (under 6 inches). (3) Live rocks. (A) Rocks with living organisms attached, commonly called "live rocks," shall not be taken or possessed except as provided in subparagraph (C). (B) Rocks shall not be broken to take marine aquaria species, and any rock displaced to access any such species shall be returned to its original position. (C) Rocks cultured under the authority of an aquaculture registration may be possessed. (b) Garibaldi Hypsypops rubicundus may not be taken under a marine aquaria collector's permit from February 1 to October 31, inclusive. (c) No organisms may be taken for marine aquaria pet trade purposes under the terms of a marine aquaria collector's permit in any of the following areas: (1) On the north side of Santa Catalina Island from a line extending three nautical miles 90 degrees true from Church Rock to a line extending three nautical miles 270 degrees true from the extreme west end of the island. (2) Until January 1, 2000, on the south or "back" side of Santa Catalina Island from a line extending three nautical miles 90 degrees true from Church Rock to a line extending three nautical miles 270 degrees true from the extreme west end of the island. (3) Marine life refuges, marine reserves, ecological reserves, and state reserves. SEC. 46. Section 12157 of the Fish and Game Code is amended to read: 12157. (a) Except as provided in subdivision (b), the judge before whom any person is tried for a violation of any provision of this code, or regulation adopted pursuant thereto, may, upon the conviction of the person tried, order the forfeiture of any device or apparatus that is designed to be, or is capable of being, used to take birds, mammals, fish, reptiles, or amphibia and that was used in committing the offense charged. (b) The judge shall, if the offense is punishable under Section 12008 of this code or subdivision (c) of Section 597 of the Penal Code, order the forfeiture of any device or apparatus that is used in committing the offense, including, but not limited to, any vehicle that is used or intended for use in delivering, importing, or exporting any unlawfully taken, imported, or purchased species. (c) The judge may, for conviction of a violation of Section 2000 relating to deer, elk, antelope, feral pigs, European wild boars, black bears, and brown or cinnamon bears, order forfeiture of any device or apparatus that is used in committing the offense, including, but not limited to, any vehicle used or intended for use in committing any of those offenses. In considering an order of forfeiture under this subdivision, the court shall take into consideration the nature, circumstances, extent, and gravity of the prohibited act committed, the degree of culpability of the violator, the property proposed for forfeiture, and other criminal or civil penalties imposed on the violator under other provisions of law for that offense. The court shall impose lesser forfeiture penalties under this subdivision for those acts that have little significant effect upon natural resources or the property of another and greater forfeiture penalties for those acts that may cause serious injury to natural resources or the property of another, as determined by the court. It is the intent of the Legislature that forfeiture not be ordered pursuant to this subdivision for minor or inadvertent violations of Section 2000, as determined by the court. (d) Any device or apparatus ordered forfeited shall be sold, used, or destroyed by the department. (e) The proceeds from all sales under this section, after payment of any valid liens on the forfeited property, shall be paid into the Fish and Game Preservation Fund. A lien in which the lienholder is a conspirator is not a valid lien for purposes of this subdivision. (f) The provisions in this section authorizing or requiring a judge to order the forfeiture of a device or apparatus also apply to the judge, referee, or traffic hearing officer in a juvenile court action brought under Section 258 of the Welfare and Institutions Code. (g) For purposes of this section, a plea of nolo contendere or no contest, or forfeiture of bail, constitutes a conviction. (h) Neither the disposition of the criminal action other than by conviction nor the discretionary refusal of the judge to order forfeiture upon conviction impairs the right of the department to commence proceedings to order the forfeiture of fish nets or traps pursuant to Section 8630. SEC. 47. Section 232 of the Food and Agricultural Code is amended to read: 232. The Agriculture Trust Fund is hereby created. The trust fund is not a fund of the State Treasury. Transfers to the trust fund may be deposited in the State Treasury, or in a bank or other depository approved by the Department of Finance. Funds that are so transferred are exempt from Sections 11270 and 11272 of the Government Code and shall be deposited and disbursed only to pay for attorney's fees and other costs incurred in litigation involving the trust fund, expenses generated by the auditing requirement imposed by Section 239, and the costs set forth in Section 240. SEC. 48. Section 235 of the Food and Agricultural Code is amended to read: 235. Each agricultural program specified in subdivision (b) of Section 230 with funds contained in the Department of Food and Agriculture Fund shall participate in the trust fund unless an entity is designated pursuant to subdivision (a) of Section 227 or Section 6005 or 45021. SEC. 49. Section 239 of the Food and Agricultural Code is amended and renumbered to read: 238.5. The chairperson of each advisory body shall advise the director on the administration of the trust fund, including, but not limited to, the amount of the fund to be applied to program closures, unanticipated occurrences, and replenishment. SEC. 50. Section 240 of the Food and Agricultural Code is amended and renumbered to read: 239. All trust fund activities shall be subject to an audit at least once every two years by an auditing firm selected by the director in accordance with Chapter 2 (commencing with Section 10290) of Part 2 of Division 2 of the Public Contract Code. A copy of the audit shall be delivered to the director within 30 days after completion. SEC. 51. Section 241 of the Food and Agricultural Code, as added by Chapter 872 of the Statutes of 1993, is amended and renumbered to read: 239.5. Any money that is deposited pursuant to Section 232, which the director determines is available for investment, may be invested or reinvested in any of the securities described in Article 1 (commencing with Section 16430) of Chapter 3 of Part 2 of Division 4 of Title 2 of the Government Code. SEC. 52. Section 242 of the Food and Agricultural Code, as added by Chapter 872 of the Statutes of 1993, is amended and renumbered to read: 240. The moneys in the trust fund shall be disbursed only to pay for costs arising from unanticipated occurrences associated with administering self-funded programs. These costs shall include, but are not limited to: attorney costs related to litigation; workers' compensation costs; unemployment costs; phaseout costs of existing programs; and temporary funding for programs that are implementing a fee increase. Any program using the moneys from the trust fund shall repay the trust fund based on a schedule approved by the director. In addition to the costs specified above, the director may impose a charge in the amount necessary to cover the department' s costs in administering this article. SEC. 53. Section 243 of the Food and Agricultural Code, as added by Chapter 872 of the Statutes of 1993, is amended and renumbered to read: 240.5. This article shall be liberally construed. If any provision of this article or the application thereof to any person or circumstance is held invalid, the invalidity shall not affect other provisions or applications of the article that can be given effect without the invalid provision or application, and to this end the provisions of this article are severable. SEC. 54. Section 4104 of the Food and Agricultural Code is amended to read: 4104. (a) The Legislature hereby finds and declares that there is a need for a state repository dedicated to the diverse contributions of African-Americans to the history and culture of this state and the nation. (b) The California African-American Museum is a part of, and coexists with, the California Museum of Science and Industry. (c) The California African-American Museum is governed by a seven-member board of directors. The Governor shall appoint the seven members, at least four of whom shall reside within the boundaries of the 6th Agricultural District. In addition, the Senator representing the Senate district in which the California African-American Museum is located and the Assembly Member representing the Assembly district in which the museum is located shall be ex officio nonvoting members of the board. The two legislative ex officio nonvoting members of the board shall participate in the activities of the board to the extent that their participation is not incompatible with their respective positions as Members of the Legislature. The appointees of the Governor shall be appointed to four-year terms with the initial terms of appointment expiring as follows: one term expiring January 1, 1984, one term expiring January 1, 1985, one term expiring January 1, 1986, and one term expiring January 1, 1987. The person appointed to the Advisory Board of the California Museum of African-American History and Culture by the Board of Directors of the California Museum of Science and Industry prior to the amendments made to this section by Chapter 1439 of the Statutes of 1987 shall serve on the Board of Directors of the California African-American Museum until the Governor makes the fifth appointment authorized pursuant to those amendments. The fifth appointment made to the board shall serve a term expiring on January 1, 1990, the sixth appointment shall serve a term expiring on January 1, 1991, and the seventh appointment shall serve a term expiring on January 1, 1992. (d) The Board of Directors of the California African-American Museum shall have the sole authority, subject to existing state laws, regulations, and procedures, to determine how funds that have been appropriated and duly allocated by the Legislature and the Governor for support of the museum shall be expended. The board shall also have the sole authority, subject to existing state laws, regulations, and procedures, to contract with any state agency, institution, independent contractor, or private nonprofit organization that the board determines to be appropriate and qualified to assist in the operation of the museum. The board shall further have authority to establish the operations, programs, activities, and exhibitions of the California African-American Museum. The Board of Directors of the California African-American Museum shall be solely responsible for the actions taken and the expenditures made by the staff of the California African-American Museum in the scope and course of their employment. (e) The Board of Directors of the California African-American Museum shall appoint an executive director, who shall be exempt from civil service, and any necessary staff to carry out the provisions of this section, who shall be subject to the State Civil Service Act (Part 2 (commencing with Section 18500) of Division 5 of Title 2 of the Government Code). The California African-American Museum shall submit its annual budget request directly to the State and Consumer Services Agency. The California African-American Museum may accept grants, contributions, and appropriations from federal, state, local, and private sources for its operation. (f) The California African-American Museum shall preserve, collect, and display samples of African-American contributions to the arts, sciences, religion, education, literature, entertainment, politics, sports, and history of the state and the nation. The enrichment and historical perspective of that collection shall be made available for public use and enjoyment. (g) The California African-American Museum shall use stationery and other supplies of the former museum and shall phase in the name change with existing resources. SEC. 55. Article 2 (commencing with Section 56732) of Chapter 7.5 of Division 20 of the Food and Agricultural Code is repealed. SEC. 56. Section 77417 of the Food and Agricultural Code is amended to read: 77417. "Ex officio members" are nonvoting members of the commission. SEC. 57. Section 77442 of the Food and Agricultural Code is amended to read: 77442. A quorum of the commission shall be any seven voting producer members, three voting processor members, and three voting shipper members of the commission. Except as provided in Sections 77481.5 and 77499, the vote of a majority of members present at a meeting at which there is a quorum shall constitute an act of the commission. SEC. 58. Section 77501 of the Food and Agricultural Code, as added by Chapter 805 of the Statutes of 1993, is amended and renumbered to read: 77498. Every five years, commencing with the 1999-2000 marketing season, the director shall hold a hearing to determine whether the operation of this chapter should be continued. If the director finds after the hearing that a substantial question exists among the producers, processors, and shippers assessed under this chapter regarding whether the operation of this chapter should be continued, the director shall submit the chapter to a reapproval referendum. If a reapproval referendum is required, the operation of this chapter shall be continued in effect if the director finds that a majority of the eligible producers, processors, and shippers voting in the referendum voted in favor of continuing this chapter. In finding whether the commission is continued pursuant to this article, the vote of any nonprofit agricultural cooperative marketing association that is authorized by its members to so vote shall be considered as being the approval or rejection by the individual members of, or the individual stockholders in, the nonprofit agricultural cooperative marketing association. If the director finds after conducting a hearing that no substantial question exists or that a favorable vote has been given, the director shall so certify and this chapter shall remain operative. If the director finds that a favorable vote has not been given, he or she shall so certify and declare the operation of this chapter and the commission suspended upon the expiration of the marketing season ending January 31, 2000. Thereupon, the operations of the commission shall be concluded and funds distributed in the manner provided in Section 77499.5. No bond or security shall be required for any such referendum. SEC. 59. Section 77502 of the Food and Agricultural Code, as added by Chapter 805 of the Statutes of 1993, is amended and renumbered to read: 77498.5. Following a hearing, and favorable referendum if required, conducted prior to January 31, 2000, the process specified in Section 77498 shall be conducted by the commission every fifth year thereafter between February 1 and June 30, unless a referendum is conducted as the result of a petition pursuant to Section 77499. In that case, the hearing, and referendum if required, shall be conducted every fifth year following the industry petitioned referendum. SEC. 60. Section 77503 of the Food and Agricultural Code, as added by Chapter 805 of the Statutes of 1993, is amended and renumbered to read: 77499. (a) Upon a finding by a two-thirds vote of the commission that the operation of this chapter has not tended to effectuate its declared purposes, the commission may recommend to the director that the commission be suspended. Any suspension shall not become effective until the expiration of the current marketing season. (b) The director shall, upon receipt of a recommendation, or may, after a public hearing to review a petition filed with him or her requesting such suspension, signed by 15 percent of the producers, processors, or shippers by number who produced, processed, or shipped not less than 15 percent of the volume in the immediately preceding season, cause a referendum to be conducted among the listed producers, processors, and shippers to determine if the operations of the commission shall be suspended. However, the director shall not hold a referendum as a result of the petition unless the petitioner shows by the weight of evidence that this chapter has not effectuated its declared purposes. (c) The director shall establish a referendum period, which shall not be less than 10 or more than 60 days in duration. The director may prescribe additional procedures necessary to conduct the referendum. At the close of the established referendum period, the director shall tabulate the ballots filed during the period. If at least 40 percent of the total number of producers, processors, and shippers from the list established by the director participate in the referendum, the director shall suspend the operation of this chapter, if the director finds either one of the following: (1) Sixty-five percent or more of the producers, processors, and shippers who voted in the referendum voted in favor of suspension, and the producers, processors, and shippers so voting marketed a majority of the total quantity of strawberries marketed in the preceding marketing season by all of the producers, processors, and shippers who voted in the referendum. (2) That a majority of the producers, processors, and shippers who voted in the referendum voted in favor of suspension, and that the producers, processors, and shippers so voting marketed 65 percent or more of the total quantity of strawberries marketed in the preceding season by all of the producers, processors, and shippers who voted in the referendum. SEC. 61. Section 77504 of the Food and Agricultural Code, as added by Chapter 805 of the Statutes of 1993, is amended and renumbered to read: 77499.5. After the effective date of suspension of this chapter and of the commission, the operations of the commission shall be concluded and all moneys held by the commission, and moneys collected by assessment and not required to defray the expenses of concluding and terminating operations of the commission, shall be returned upon a pro rata basis to all persons from whom assessments were collected in the immediately preceding current marketing season. However, if the commission finds that the amounts returnable are so small as to make impractical the computation and remitting of the pro rata refund to those persons, any moneys remaining and any moneys remaining after payment of all expenses of winding up and terminating operations shall be withdrawn from the approved depository and paid into an appropriate state or federal program or used to fund activities related to the subject matter of this chapter. SEC. 62. Section 77505 of the Food and Agricultural Code, as added by Chapter 805 of the Statutes of 1993, is amended and renumbered to read: 77500. Upon suspension of the operation of this chapter and of the commission, the commission shall mail a copy of the notice of suspension to all producers, processors, and shippers affected by the suspension whose names and addresses are on file. SEC. 63. Section 6159 of the Government Code is amended to read: 6159. (a) As used in this section: (1) "Credit card" means any card, plate, coupon book, or other credit device existing for the purpose of being used from time to time upon presentation to obtain money, property, labor, or services on credit. (2) "Card issuer" means any person, or his or her agent, who issues a credit card and purchases credit card drafts. (3) "Cardholder" means any person to whom a credit card is issued or any person who has agreed with the card issuer to pay obligations arising from the issuance of a credit card to another person. (4) "Draft purchaser" means any person who purchases credit card drafts. (b) Subject to subdivision (c), a court, city, county, city and county, or other public agency may authorize the acceptance of a credit card for any of the following: (1) The payment for the deposit of bail or for any fine for any offense not declared to be a felony. (2) The payment of a filing fee or other court fee. (3) The payment of any towage or storage costs for a vehicle that has been removed from a highway, or from public or private property, as a result of parking violations. (4) The payment of child, family, or spousal support, including reimbursement of public assistance, related fees, costs, or penalties, with the authorization of the cardholder. (5) The payment for services rendered by any city, county, city and county, or other public agency. (6) The payment of any fee, charge, or tax due a city, county, city and county, or other public agency. (c) A court desiring to authorize the use of a credit card pursuant to subdivision (b) shall obtain the approval of its county board of supervisors. A city desiring to authorize the use of a credit card pursuant to subdivision (b) shall obtain the approval of its city council. Any other public agency desiring to authorize the use of a credit card pursuant to subdivision (b) shall obtain the approval of the governing body that has fiscal responsibility for that agency. After approval is obtained, a contract may be executed with one or more credit card issuers or draft purchasers. The contract shall provide for: (1) The respective rights and duties of the court, city, county, city and county, or other public agency and card issuer or draft purchaser regarding the presentment, acceptability, and payment of credit card drafts. (2) The establishment of a reasonable means by which to facilitate payment settlements. (3) The payment to the card issuer or draft purchaser of a reasonable fee or discount. (4) Any other matters appropriately included in contracts with respect to the purchase of credit card drafts as may be agreed upon by the parties to the contract. (d) The honoring of a credit card pursuant to subdivision (b) hereof constitutes payment of the amount owing to the court, city, county, city and county, or other public agency as of the date the credit card is honored, provided the credit card draft is paid following its due presentment to a card issuer or draft purchaser. (e) If any credit card draft is not paid following due presentment to a card issuer or draft purchaser or is charged back to the court, city, county, city and county, or other public agency for any reason, any record of payment made by the court, city, or other public agency honoring the credit card shall be void. Any receipt issued in acknowledgment of payment shall also be void. The obligation of the cardholder shall continue as an outstanding obligation as if no payment had been attempted. (f) Notwithstanding Title 1.3 (commencing with Section 1747) of Part 4 of Division 3 of the Civil Code, a court, city, county, city and county, or any other public agency may impose a fee for the use of a credit card, not to exceed the costs incurred by the agency in providing for payment by credit card. These costs may include, but shall not be limited to, the payment of fees or discounts as specified in paragraph (3) of subdivision (c). Any fee imposed pursuant to this subdivision for the use of a credit card shall be approved by the governing body responsible for the fiscal decisions of the public agency. (g) Fees or discounts provided for under paragraph (3) of subdivision (c) shall be deducted or accounted for prior to any statutory or other distribution of funds received from the card issuer or draft purchaser to the extent not recovered from the cardholder pursuant to subdivision (f). SEC. 64. Section 6516.5 of the Government Code, as added by Chapter 1235 of the Statutes of 1992, is amended and renumbered to read: 6516.8. Any two or more harbor agencies may establish a joint powers authority pursuant to Part 1 (commencing with Section 1690) of Division 6 of the Harbors and Navigation Code. SEC. 65. Section 9020 of the Government Code is amended to read: 9020. The Legislature shall convene in regular session at the City of Sacramento at 12 p.m. on the first Monday in December of each even-numbered year, and each house shall immediately organize. SEC. 65.5. Section 10207 of the Government Code is amended to read: 10207. (a) The Legislative Counsel shall maintain the attorney-client relationship with each Member of the Legislature with respect to communications between the member and the Legislative Counsel except as otherwise provided by the rules of the Legislature. All materials arising out of this relationship, including, but not limited to, proposed bills and amendments, analyses, opinions, and memoranda prepared by the Legislative Counsel, are not public records, except as otherwise provided by the rules of the Legislature or when released by the member for whom the material was prepared. When he or she determines that the public interest so requires, the Legislative Counsel may release any material arising out of the attorney-client relationship with a former Member of the Legislature who is not available to execute a release. (b) (1) The Legislative Counsel shall maintain the attorney-client relationship with the Governor with respect to communications between the Governor and the Legislative Counsel. All materials arising out of this relationship, including, but not limited to, legal services concerning any bill in the Governor's hands for rejection, approval, or other action, legal services concerning any legal opinion provided to the Governor, and legal services concerning any matter as the circumstances permit and the Governor requests, prepared by the Legislative Counsel, are not public records, except when released by the Governor. When he or she determines that the public interest so requires, the Legislative Counsel may release any material arising out of the attorney-client relationship with a former Governor who is not available to execute a release. (2) Whenever the Legislative Counsel issues an opinion to the Governor analyzing the constitutionality, operation, or effect of a bill or other legislative measure that is then pending before the Legislature, or of any amendment made or proposed to be made to that bill or measure, the Legislative Counsel shall deliver two copies of the opinion to the first-named author of the bill or measure as promptly as feasible after delivery of the original opinion, and shall also deliver a copy to any other author of the bill or measure who requests a copy. SEC. 66. Section 11135 of the Government Code is amended to read: 11135. (a) No person in the State of California shall, on the basis of ethnic group identification, religion, age, sex, color, or disability, be unlawfully denied the benefits of, or be unlawfully subjected to discrimination under, any program or activity that is funded directly by the state or receives any financial assistance from the state. (b) With respect to discrimination on the basis of disability, programs and activities subject to subdivision (a) shall meet the protections and prohibitions contained in Section 202 of the Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12132), and the federal rules and regulations adopted in implementation thereof, except that if the laws of this state prescribe stronger protections and prohibitions, the programs and activities subject to subdivision (a) shall be subject to the stronger protections and prohibitions. (c) As used in this section, "disability" means any of the following with respect to an individual: (1) a physical or mental impairment that substantially limits one or more of the major life activities of the individual, (2) a record of an impairment as described in paragraph (1), or (3) being regarded as having an impairment as described in paragraph (1). SEC. 67. Section 12811 of the Government Code is amended to read: 12811. The Youth and Adult Correctional Agency consists of the Department of Corrections, the Department of the Youth Authority, the Board of Prison Terms, the Youthful Offender Parole Board, the Board of Corrections, and the Narcotic Addict Evaluation Authority. SEC. 68. Section 12945.2 of the Government Code is amended to read: 12945.2. (a) Except as provided in subdivision (b), it shall be an unlawful employment practice for any employer, as defined in paragraph (2) of subdivision (c), to refuse to grant a request by any employee with more than 12 months of service with the employer, and who has at least 1,250 hours of service with the employer during the previous 12-month period, to take up to a total of 12 workweeks in any 12-month period for family care and medical leave. Family care and medical leave requested pursuant to this subdivision shall not be deemed to have been granted unless the employer provides the employee, upon granting the leave request, a guarantee of employment in the same or a comparable position upon the termination of the leave. The commission shall adopt a regulation specifying the elements of a reasonable request. (b) Notwithstanding subdivision (a), it shall not be an unlawful employment practice for an employer to refuse to grant a request for family care and medical leave by an employee if the employer employs less than 50 employees within 75 miles of the worksite where that employee is employed. (c) For purposes of this section: (1) "Child" means a biological, adopted, or foster child, a stepchild, a legal ward, or a child of a person standing in loco parentis who is either of the following: (A) Under 18 years of age. (B) An adult dependent child. (2) "Employer" means either of the following: (A) Any person who directly employs 50 or more persons to perform services for a wage or salary. (B) The state, and any political or civil subdivision of the state and cities. (3) "Family care and medical leave" means any of the following: (A) Leave for reason of the birth of a child of the employee, the placement of a child with an employee in connection with the adoption or foster care of the child by the employee, or the serious health condition of a child of the employee. (B) Leave to care for a parent or a spouse who has a serious health condition. (C) Leave because of an employee's own serious health condition that makes the employee unable to perform the functions of the position of that employee, except for leave taken for disability on account of pregnancy, childbirth, or related medical conditions. (4) "Employment in the same or a comparable position" means employment in a position that has the same or similar duties and pay that can be performed at the same or similar geographic location as the position held prior to the leave. (5) "FMLA" means the federal Family and Medical Leave Act of 1993 (P.L. 103-3). (6) "Health care provider" means any of the following: (A) An individual holding either a physician's and surgeon's certificate issued pursuant to Article 4 (commencing with Section 2080) of Chapter 5 of Division 2 of the Business and Professions Code, an osteopathic physician's and surgeon's certificate issued pursuant to Article 4.5 (commencing with Section 2099.5) of Chapter 5 of Division 2 of the Business and Professions Code, or an individual duly licensed as a physician, surgeon, or osteopathic physician or surgeon in another state or jurisdiction, who directly treats or supervises the treatment of the serious health condition. (B) Any other person determined by the United States Secretary of Labor to be capable of providing health care services under the FMLA. (7) "Parent" means a biological, foster, or adoptive parent, a stepparent, a legal guardian, or other person who stood in loco parentis to the employee when the employee was a child. (8) "Serious health condition" means an illness, injury, impairment, or physical or mental condition that involves either of the following: (A) Inpatient care in a hospital, hospice, or residential health care facility. (B) Continuing treatment or continuing supervision by a health care provider. (d) An employer shall not be required to pay an employee for any leave taken pursuant to subdivision (a), except as required by subdivision (e). (e) An employee taking a leave permitted by subdivision (a) may elect, or an employer may require the employee, to substitute, for leave allowed under subdivision (a), any of the employee's accrued vacation leave or other accrued time off during this period or any other paid or unpaid time off negotiated with the employer. If an employee takes a leave because of the employee's own serious health condition, the employee may also elect, or the employer may also require the employee, to substitute accrued sick leave during the period of the leave. However, an employee shall not use sick leave during a period of leave in connection with the birth, adoption, or foster care of a child, or to care for a child, parent, or spouse with a serious health condition, unless mutually agreed to by the employer and the employee. (f) (1) During any period that an eligible employee takes leave pursuant to subdivision (a) or takes leave that qualifies as leave taken under the FMLA, the employer shall maintain and pay for coverage under a "group health plan," as defined in Section 5000(b)(1) of the Internal Revenue Code of 1986, for the duration of the leave, not to exceed 12 workweeks in a 12-month period, commencing on the date leave taken under the FMLA commences, at the level and under the conditions coverage would have been provided if the employee had continued in employment continuously for the duration of the leave. Nothing in the preceding sentence shall preclude an employer from maintaining and paying for coverage under a "group health plan" beyond 12 workweeks. An employer may recover the premium that the employer paid as required by this subdivision for maintaining coverage for the employee under the group health plan if both of the following conditions occur: (A) The employee fails to return from leave after the period of leave to which the employee is entitled has expired. (B) The employee's failure to return from leave is for a reason other than the continuation, recurrence, or onset of a serious health condition that entitles the employee to leave under subdivision (a) or other circumstances beyond the control of the employee. (2) Any employee taking leave pursuant to subdivision (a) shall continue to be entitled to participate in employee health plans for any period during which coverage is not provided by the employer under paragraph (1), employee benefit plans, including life, short-term, or long-term disability or accident insurance, pension and retirement plans, and supplemental unemployment benefit plans to the same extent and under the same conditions as apply to an unpaid leave taken for any purpose other than those described in subdivision (a). In the absence of these conditions an employee shall continue to be entitled to participate in these plans and, in the case of health and welfare employee benefit plans, including life, short-term, or long-term disability or accident insurance, or other similar plans, the employer may, at his or her discretion, require the employee to pay premiums, at the group rate, during the period of leave not covered by any accrued vacation leave, or other accrued time off, or any other paid or unpaid time off negotiated with the employer, as a condition of continued coverage during the leave period. However, the nonpayment of premiums by an employee shall not constitute a break in service, for purposes of longevity, seniority under any collective bargaining agreement, or any employee benefit plan. For purposes of pension and retirement plans, an employer shall not be required to make plan payments for an employee during the leave period, and the leave period shall not be required to be counted for purposes of time accrued under the plan. However, an employee covered by a pension plan may continue to make contributions in accordance with the terms of the plan during the period of the leave. (g) During a family care and medical leave period, the employee shall retain employee status with the employer, and the leave shall not constitute a break in service, for purposes of longevity, seniority under any collective bargaining agreement, or any employee benefit plan. An employee returning from leave shall return with no less seniority than the employee had when the leave commenced, for purposes of layoff, recall, promotion, job assignment, and seniority-related benefits such as vacation. (h) If the employee's need for a leave pursuant to this section is foreseeable, the employee shall provide the employer with reasonable advance notice of the need for the leave. (i) If the employee's need for leave pursuant to this section is foreseeable due to a planned medical treatment or supervision, the employee shall make a reasonable effort to schedule the treatment or supervision to avoid disruption to the operations of the employer, subject to the approval of the health care provider of the individual requiring the treatment or supervision. (j) (1) An employer may require that an employee's request for leave to care for a child, a spouse, or a parent who has a serious health condition be supported by a certification issued by the health care provider of the individual requiring care. That certification shall be sufficient if it includes all of the following: (A) The date on which the serious health condition commenced. (B) The probable duration of the condition. (C) An estimate of the amount of time that the health care provider believes the employee needs to care for the individual requiring the care. (D) A statement that the serious health condition warrants the participation of a family member to provide care during a period of the treatment or supervision of the individual requiring care. (2) Upon expiration of the time estimated by the health care provider in subparagraph (C) of paragraph (1), the employer may require the employee to obtain recertification, in accordance with the procedure provided in paragraph (1), if additional leave is required. (k) (1) An employer may require that an employee's request for leave because of the employee's own serious health condition be supported by a certification issued by his or her health care provider. That certification shall be sufficient if it includes all of the following: (A) The date on which the serious health condition commenced. (B) The probable duration of the condition. (C) A statement that, due to the serious health condition, the employee is unable to perform the function of his or her position. (2) The employer may require that the employee obtain subsequent recertification regarding the employee's serious health condition on a reasonable basis, in accordance with the procedure provided in paragraph (1), if additional leave is required. (3) (A) In any case in which the employer has reason to doubt the validity of the certification provided pursuant to this section, the employer may require, at the employer's expense, that the employee obtain the opinion of a second health care provider, designated or approved by the employer, concerning any information certified under paragraph (1). (B) The health care provider designated or approved under subparagraph (A) shall not be employed on a regular basis by the employer. (C) In any case in which the second opinion described in subparagraph (A) differs from the opinion in the original certification, the employer may require, at the employer's expense, that the employee obtain the opinion of a third health care provider, designated or approved jointly by the employer and the employee, concerning the information certified under paragraph (1). (D) The opinion of the third health care provider concerning the information certified under paragraph (1) shall be considered to be final and shall be binding on the employer and the employee. (4) As a condition of an employee's return from leave taken because of the employee's own serious health condition, the employer may have a uniformly applied practice or policy that requires the employee to obtain certification from his or her health care provider that the employee is able to resume work. Nothing in this paragraph shall supersede a valid collective bargaining agreement that governs the return to work of that employee. (l) It shall be an unlawful employment practice for an employer to refuse to hire, or to discharge, fine, suspend, expel, or discriminate against, any individual because of any of the following: (1) An individual's exercise of the right to family care and medical leave provided by subdivision (a). (2) An individual's giving information or testimony as to his or her own family care and medical leave, or another person's family care and medical leave, in any inquiry or proceeding related to rights guaranteed under this section. (m) This section shall not be construed to require any changes in existing collective bargaining agreements during the life of the contract, or until January 1, 1993, whichever occurs first. (n) The amendments made to this section by the act adding this subdivision shall not be construed to require any changes in existing collective bargaining agreements during the life of the contract, or until February 5, 1994, whichever occurs first. (o) The provisions of this section shall be construed as separate and distinct from those of Section 12945. (p) Leave provided for pursuant to this section may be taken in one or more periods. The 12-month period during which 12 workweeks of leave may be taken under this section shall run concurrently with the 12-month period under the FMLA, and shall commence the date leave taken under the FMLA commences. (q) In any case in which both parents entitled to leave under subdivision (a) are employed by the same employer, the employer shall not be required to grant leave in connection with the birth, adoption, or foster care of a child that would allow the parents family care and medical leave totaling more than the amount specified in subdivision (a). (r) (1) Notwithstanding subdivision (a), an employer may refuse to reinstate an employee returning from leave to the same or a comparable position if all of the following apply: (A) The employee is a salaried employee who is among the highest paid 10 percent of the employer's employees who are employed within 75 miles of the worksite at which that employee is employed. (B) The refusal is necessary to prevent substantial and grievous economic injury to the operations of the employer. (C) The employer notifies the employee of the intent to refuse reinstatement at the time the employer determines the refusal is necessary under subparagraph (B). (2) In any case in which the leave has already commenced, the employer shall give the employee a reasonable opportunity to return to work following the notice prescribed by subparagraph (C). (s) Leave taken by an employee pursuant to this section shall run concurrently with leave taken pursuant to the FMLA, except for any leave taken under the FMLA for disability on account of pregnancy, childbirth, or related medical conditions. The aggregate amount of leave taken under this section or the FMLA, or both, except for leave taken for disability on account of pregnancy, childbirth, or related medical conditions, shall not exceed 12 workweeks in a 12-month period. An employee is entitled to take, in addition to the leave provided for under this section and the FMLA, the leave provided for in Section 12945, if the employee is otherwise qualified for that leave. SEC. 69. Section 12955.9 of the Government Code, as added by Chapter 830 of the Statutes of 1993, is repealed. SEC. 70. Section 13960 of the Government Code is amended to read: 13960. As used in this article: (a) (1) "Victim" means a resident of the State of California, a member of the military stationed in California, or a family member living with a member of the military stationed in California who sustains injury or death as a direct result of a crime. (2) "Derivative victim" means a resident of California who is one of the following: (A) At the time of the crime was the parent, sibling, spouse, or child of a victim. (B) At the time of the crime was living in the household of the victim or who had previously lived in the household of the victim for a period of not less than two years in a relationship substantially similar to a relationship listed in subparagraph (A). (C) Is another family member of the victim, including the victim's fiance, and witnessed the crime. (b) "Injury" includes physical or emotional injury, or both. However, this article does not apply to emotional injury unless that injury is incurred by a victim who also sustains physical injury or threat of physical injury. For purposes of this article, a victim of a crime committed in violation of Section 261, 270, 270a, 270c, 271, 272, 273a, 273b, 273d, 285, 286, 288, 288.1, 288a, or 289 of the Penal Code, who sustains emotional injury is presumed to have sustained physical injury. (c) "Crime" means a crime or public offense that would constitute a misdemeanor or a felony if committed in California by a competent adult that results in injury to a resident of this state, including a crime or public offense, wherever it may take place, when the resident is temporarily absent from the state. No act involving the operation of a motor vehicle, aircraft, or water vehicle that results in injury or death constitutes a crime for the purposes of this article, except that a crime shall include any of the following: (1) Injury or death intentionally inflicted through the use of a motor vehicle, aircraft, or water vehicle. (2) Injury or death caused by a driver in violation of Section 20001 of the Vehicle Code. (3) Injury or death caused by a person who is under the influence of any alcoholic beverage or drug. (4) Injury or death caused by a driver of a motor vehicle in the immediate act of fleeing the scene of a crime in which he or she knowingly and willingly participated. For the purpose of the limitations imposed by this article, a crime means one act or series of related acts arising from the same course of conduct with the same perpetrator or perpetrators. (d) "Pecuniary loss" means the following expenses for which the victim or derivative victim has not been and will not be reimbursed from any other source: (1) The amount of medical or medical-related expense incurred by the victim, including in-patient psychological or psychiatric expenses, and including, but not limited to, eyeglasses, hearing aids, dentures, or any prosthetic device taken, lost, or destroyed during the commission of the crime, or the use of which became necessary as a direct result of the crime. (2) The amount of out-patient mental health counseling related expenses that became necessary as a direct result of the crime. These counseling services may be provided by a person licensed as a clinical social worker or a person licensed as a marriage, family, and child counselor practicing within the scope of licensure, or within the scope of his or her respective practice acts. (3) The loss of income or support that the victim or derivative victim has incurred or will incur as a direct result of an injury or death. (4) Pecuniary loss also includes nonmedical remedial care and treatment rendered in accordance with a religious method of healing recognized by state law. (5) The amount of group or family psychiatric, psychological, or mental health counseling expenses provided for the successful treatment or recovery of the victim to family members of the victim, whether or not the relationships existed at the time of the crime. (e) "Board" means the State Board of Control. (f) "Victim centers" means those centers as specified in Section 13835.2 of the Penal Code. (g) "Peer counselor" means a provider of mental health counseling services who has completed a specialized course in rape crisis counseling skills development, participates in continuing education in rape crisis counseling skills development, and provides rape crisis counseling in consultation with a mental health practitioner licensed within the State of California. SEC. 71. Section 14669.8 of the Government Code is amended to read: 14669.8. (a) Notwithstanding any other provision of law, the Director of General Services may enter into an amendment to the existing joint powers agreement with the San Francisco Redevelopment Agency in connection with the redevelopment of the 350 McAllister/455 Golden Gate block in the City and County of San Francisco. The redevelopment shall include, but not be limited to, demolition of existing structures, renovation, financing, planning, acquisition, construction and equipping, and furnishing of new state office buildings and parking facilities, and any betterments, improvements, and facilities related thereto, in the San Francisco Civic Center Area. In connection therewith, the director may enter into a lease-purchase agreement, an agreement for the appointment of a bond trustee, any other documents and agreements in connection with the financing by sale of bonds or otherwise of the development, and an agreement for the department to act as agent for acquisition, planning, and construction matters, each of which agreements shall be with the joint powers authority created under the joint powers agreement. In connection with the development of any agreements authorized by this section or any work or expenses related thereto, the joint powers authority may use any funds lawfully available to it for those purposes, and the department is empowered to use and expend those funds in accordance with the terms of any agreement between the department and the joint powers authority for the carrying out of the works on the development. The Treasurer shall be the agent for sale, as defined in Chapter 9 (commencing with Section 5700) of Division 6 of Title 1, for any financing authorized by this section. (b) Inasmuch as it is in the best interest of the people of the State of California to consolidate state offices in the San Francisco Civic Center Area as described in subdivision (a), at the earliest opportunity, a "design-build" concept may be utilized in meeting the objective of this section. (c) Notwithstanding any other provision of law, the joint powers authority described in subdivision (a) shall have the authority to borrow from the Pooled Money Investment Account as provided in Sections 16312 and 16313. SEC. 72. Article 3.6 (commencing with Section 15346) of Chapter 1 of Part 6.7 of Division 3 of Title 2 of the Government Code, as added by Chapter 444 of the Statutes of 1993, is repealed. SEC. 73. The heading of Article 3.6 (commencing with Section 15346) of Chapter 1 of Part 6.7 of Division 3 of Title 2 of the Government Code, as added by Chapter 445 of the Statutes of 1993, is amended and renumbered to read: Article 3.7. California Defense Conversion Act of 1993 SEC. 74. The heading of Chapter 11 (commencing with Section 15399.50) of Part 6.7 of Division 3 of Title 2 of the Government Code, is amended and renumbered to read: CHAPTER 12. DEPARTMENT OF PERMIT ASSISTANCE SEC. 75. Section 15819.32 of the Government Code is amended and renumbered to read: 15819.05. (a) The State Public Works Board may issue revenue bonds, negotiable notes, or negotiable bond anticipation notes pursuant to Chapter 5 (commencing with Section 15830) of this part to finance the acquisition of the facilities specified in Sections 14016 and 14669.9. (b) The amount of revenue bonds, negotiable notes, or negotiable bond anticipation notes to be sold shall equal the cost of acquisition, including land, construction, preliminary plans and working drawings, construction management and supervision, other costs relating to the design and construction of the facilities, exercise of any purchase option, and any additional sums necessary to pay interim and permanent financing costs. The additional amount may include interest and a reasonable required reserve fund. (c) Authorized costs of the facilities, including land acquisition, preliminary plans, working drawings and construction shall not exceed one hundred and seventy-five million dollars ($175,000,000). (d) The State Public Works Board may authorize the augmentation of the amount authorized by this section subject to the limitations specified in Section 13332.11. (e) Notwithstanding Section 13340 of the Government Code, funds derived from the interim and permanent financing or refinancing of the facilities specified in Sections 14016 and 14669.9 are hereby continuously appropriated without regard to fiscal year for these purposes. SEC. 76. Section 16367.5 of the Government Code is amended to read: 16367.5. The Department of Economic Opportunity shall receive and administer the federal Low-Income Home Energy Assistance Programs Block Grant, provided for pursuant to the Low-Income Home Energy Assistance Act of 1981, as amended (42 U.S.C. Sec. 8621 et seq.), and shall allocate funds received as follows: (a) Five percent of the total federal allocation shall be allocated for purposes of administration. An additional 2.5 percent of the total federal allocation shall be set aside for administrative purposes and made available upon request of the Department of Finance, and pursuant to Section 28 of Chapter 99 of the Statutes of 1981. (b) An amount between 15 percent and 25 percent of the total federal allocation shall be allocated for weatherization services for eligible individuals. For the purposes of this subdivision, weatherization shall include all energy conservation measures and energy efficient appliances that are cost effective and improve energy efficiency. For the purposes of this subdivision, these services shall be available to households where one or more individuals are receiving aid under Chapter 2 (commencing with Section 11200) and Chapter 3 (commencing with Section 12000) of Part 3 of Division 9 of the Welfare and Institutions Code, county general assistance recipients under Part 5 (commencing with Section 17000) of Division 9 of the Welfare and Institutions Code, Food Stamp Program recipients, provided for under Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code, payments under Section 415, 521, 541, or 542 of Title 38 of the United States Code, or under Section 306 of the Veterans' and Survivors' Pension Improvement Act of 1978, and other households with incomes not exceeding an amount equal to 150 percent of the federally established poverty level. (c) Twenty-five percent for the Energy Crisis Intervention Program, to consist solely of emergency assistance to eligible individuals for programs specified in this subdivision, who give evidence of one or more of the following conditions: (1) Proof of utility shutoff notice. (2) Proof of energy termination. (3) Insufficient funds to establish a new energy account. (4) Insufficient funds to pay a current or delinquent utility bill. (5) Insufficient funds to pay the cost of space heating devices where no alternative source of space heating is reasonably available. (6) Insufficient funds to pay for essential firewood. (7) Insufficient funds to pay for the cost of emergency repairs to heating and cooling units. (8) Insufficient funds to pay energy costs for a household where a household member's medical condition requires use of life support or climate and temperature control systems. The crisis intervention program shall not include advocacy, community mobilization, or community planning. The Energy Crisis Intervention Program shall be available to households containing recipients of programs contained in Division 9 (commencing with Section 10000) of the Welfare and Institutions Code and referred to in subdivision (c), and other households with incomes not exceeding 130 percent of the federally established poverty level. (d) The remainder of the total federal allocation shall be utilized for aid for home energy costs for direct assistance payments, which shall be distributed in accordance with subdivision (b) of Section 16367.6. Services shall be provided to both of the following: (1) Households where one or more individuals are receiving any of the following: (A) Aid to families with dependent children under the state's plan approved under Part A of Title IV of the federal Social Security Act (42 U.S.C. Sec. 601 et seq.) and Chapter 2 (commencing with Section 11200) of Part 3 of Division 9 of the Welfare and Institutions Code, other than aid in the form of foster care received in accordance with Section 408 of the federal Social Security Act. (B) Supplemental Security Income payments under Title XVI of the federal Social Security Act (42 U.S.C. Sec. 1381 et seq.) and Chapter 3 (commencing with Section 12000) of Part 3 of Division 9 of the Welfare and Institutions Code). (C) Food stamps received pursuant to Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code. (D) Payments under Section 415, 521, 541, or 542 of Title 38 of the United States Code, or under Section 306 of the Veterans' and Survivors' Pension Improvement Act of 1978. (2) Households with incomes not exceeding the greater of either an amount equal to 150 percent of the poverty level for this state, or an amount equal to 60 percent of the state median income, except that no household may be excluded from eligibility under this paragraph if the household has an income less than 110 percent of the poverty level of this state. (e) The Department of Economic Opportunity shall contract with local public or private nonprofit agencies to assist with outreach, intake, and other activities to enroll eligible individuals. (f) The program components provided for in subdivisions (b) and (d) shall include activities to enroll eligible individuals, especially the elderly and disabled, and to educate recipients about general energy conservation practices and about the availability of state and utility programs for free weatherization of low-income homes. (g) The Department of Economic Opportunity and the Office of Planning and Research may enter into an interagency agreement concerning the education component of this section. If an agreement is entered into pursuant to this subdivision, it shall provide that the Office of Planning and Research shall contract with local public or private nonprofit agencies for the education component. In order to maximize the efficiency of these programs, the Office of Planning and Research shall contract, to the extent feasible, with community-based organizations and community-action agencies providing crisis intervention grants under this section. SEC. 77. Section 20013.7 of the Government Code is amended to read: 20013.7. (a) Effective January 1, 1985, there shall be an alternative level of benefits available to the following state miscellaneous members: (1) members who are excluded from the definition of state employee in subdivision (c) of Section 3513; (2) members employed by the executive branch of government who are not members of the civil service; and (3) members in state bargaining units for which a memorandum of understanding has been agreed to by the state employer and the recognized employee organization to become subject to this section. Effective September 1, 1986, this section shall apply to members employed by the state as provided for in Article VI of the California Constitution. The board shall provide the affected members a one-month election period commencing on August 1, 1986. This section does not apply to state miscellaneous members employed by the California State University or the University of California. This section shall not apply to any employee described by Section 20364 unless and until the employer, as defined in Section 20817, adopts a resolution approving that application. (b) Effective September 1, 1986, there shall be an alternate level of benefits available to the following state industrial members: (1) members in state bargaining units for which a memorandum of understanding has been agreed to by the state employer and the recognized employee organization to become subject to this section; (2) members who are excluded from the definition of state employees in subdivision (c) of Section 3513; and (3) members employed by the executive branch of government who are not members of the civil service. The board shall provide the affected members a one-month election period commencing on August 1, 1986. (c) Members eligible to participate in the alternative level of benefits, referred to in this part as the Second Tier, may make an irrevocable election during the period from November 1, 1988, through October 31, 1989, to: (1) become subject to the Second Tier benefits provided for in Section 21251.146 for all past state miscellaneous and state industrial service and all future state miscellaneous and state industrial service not excluded by this section; (2) become subject to the Second Tier benefits provided for in Section 21251.147 for state miscellaneous and state industrial service not excluded by this section rendered on and after the effective date of the election to be subject to the Second Tier. Any election by a member to be subject to Section 21251.146 or 21251.147 shall also be signed by the spouse of the member and both signatures shall be notarized; (3) become subject to the First Tier retirement formula prescribed by Section 21251.13 for state miscellaneous and state industrial service rendered on or after the effective date of the election, provided that the member had previously elected coverage pursuant to Section 21251.146 or 21251.147 and makes the contributions specified in Section 20603; or (4) become subject to the First Tier retirement formula prescribed by Section 21251.13 for all past and future state miscellaneous and state industrial service, provided that the member had previously elected coverage pursuant to Section 21251.146 or 21251.147 and the member makes the contributions specified in Sections 20603 and 20813.5. The right of eligible members to elect coverage under the retirement formula of their choice shall apply solely during the above-prescribed one-year period, subject to conditions to be established and communicated by the board. Thereafter, the board shall provide a 30-day period every five years for eligible members to make an irrevocable election to be subject to the Second Tier benefits provided for in Section 21251.146 or 21251.147. Eligible members who previously elected Section 21251.147 may make an irrevocable election to become subject to Section 21251.146 for all past state miscellaneous and state industrial service during this election period. The first election period shall be held five years from the ending date of the one-year election period specified in this subdivision. The effective date of any election filed with the board shall be the first of the month following the date the election is received in the system, provided the election meets the conditions set by the board. Any election filed with the board under this subdivision shall also be signed by the spouse of the member and both signatures shall be notarized. (d) Persons who become state miscellaneous or state industrial members described in this section or who become such members under Article 3 (commencing with Section 20360) of Chapter 3 of this part on or after the Second Tier effective date applicable to the member, shall be subject to Section 21251.147 unless an election is filed with the board to be subject to Section 21251.13 and the member makes the contributions specified in Section 20603. The appointing authority shall provide the member with the election form and the member shall exercise the election within one year of becoming a member. The effective date of the election shall be the date on which the member became a state miscellaneous or state industrial member. (e) A state miscellaneous or state industrial member who, on or after the effective date of an election to be subject to Section 21251.146 or 21251.147, ceases to be a member pursuant to Section 20390 or 20390.1 shall, upon again becoming a state miscellaneous or state industrial member, be subject to Section 21251.146 or 21251.147 in accordance with his or her previous irrevocable election. This subdivision does not apply to persons who return to membership as employees of the California State University. Except as otherwise provided in this part, a state miscellaneous or state industrial member subject to Section 21251.146 or 21251.147 is subject to all other provisions applicable to state miscellaneous members except those provisions that provide for the payment of an annuity based on contributions. Notwithstanding any other provision of this part, member contributions are not required for any service credit that is subject to Section 21251.146. (f) The board shall report to the Governor, the Legislature, and the Department of Personnel Administration on the savings that are the result of the implementation of the Second Tier retirement plan for state miscellaneous and state industrial members. The report shall first be submitted in April 1986, and annually in April of every year thereafter until April 1994. SEC. 78. Section 20013.75 of the Government Code is amended to read: 20013.75. (a) It is the intent of the Legislature that the Department of Personnel Administration, in conjunction with the recognized state employee organizations, develop alternatives to the Second Tier retirement plan by June 30, 1992. The alternative plan may include enhanced benefits or provide benefits under a defined contribution program. However, the state employer's contribution to the alternative plan shall not be greater than the state's contribution rate to the current Second Tier. At the time that an alternative plan is agreed to and implemented, employees who were placed in the Second Tier shall be given an opportunity to elect coverage in the new alternative plan. In the event no alternative plan is implemented by June 30, 1992, employees shall remain in the Second Tier. (b) Notwithstanding any other provision of this article, except as provided in subdivision (c), persons who first become state miscellaneous or state industrial members of the system on or after July 1, 1991, and who are either: (1) excluded from the definition of state employee in subdivision (c) of Section 3513; (2) employed by the executive branch of government who are not members of the civil service; or (3) included in the definition of state employee in subdivision (c) of Section 3513 shall become subject to Section 21251.146. (c) Any person who was a member on or before June 30, 1991, eligible to elect membership on or before June 30, 1991, or who was employed in any position on or before June 30, 1991, that would lead to membership as a state member, as defined in Section 20013, and who thereafter enters employment subject to Section 21251.146 shall be granted the rights provided in subdivision (d) of Section 20013.7, unless the person had earlier made an irrevocable election to be subject to Section 21251.146 or 21251.147. The one-year period in which to make the election provided in subdivision (d) of Section 20013.7 for any member who became a state member prior to January 1, 1994, shall commence with the mailing of a notice by the system to the member, of his or her election right. The effective date of the election shall be the date on which the member became a state miscellaneous or state industrial member. The member shall be obligated to make the contributions specified in Section 20603. (d) This section shall not apply to state miscellaneous members employed by the California State University or employees described in Section 20364. SEC. 79. Section 26751 of the Government Code, as added by Chapter 1268 of the Statutes of 1993, is repealed. SEC. 80. Section 41612 of the Government Code, as added by Chapter 1268 of the Statutes of 1993, is repealed. SEC. 81. Section 53115.1 of the Government Code is repealed. SEC. 82. Section 54925.1 of the Government Code, as added by Chapter 1136 of the Statutes of 1993, is repealed. SEC. 83. Section 54952.2 of the Government Code, as added by Chapter 1136 of the Statutes of 1993, is repealed. SEC. 84. Section 56375 of the Government Code is amended to read: 56375. The commission shall have all of the following powers and duties subject to any limitations upon its jurisdiction set forth in this part: (a) To review and approve or disapprove with or without amendment, wholly, partially, or conditionally, proposals for changes of organization or reorganization. Effective July 1, 1994, the commission may initiate proposals for consolidation of districts, as defined in Section 56036, dissolution, merger, or establishment of a subsidiary district, or a reorganization that includes any of these changes of organization. A commission shall have the authority to initiate a consolidation of districts, dissolution, merger, establishment of a subsidiary district, or a reorganization that includes any of these changes of organization only if that change of organization or reorganization is consistent with a recommendation or conclusion of a study prepared pursuant to Section 56378 or 56425. However, a commission shall not have the power to disapprove an annexation to a city, initiated by resolution, of contiguous territory that the commission finds is either: (1) Surrounded or substantially surrounded by the city to which the annexation is proposed or by that city and a county boundary or the Pacific Ocean if the territory to be annexed is substantially developed or developing, is not prime agricultural land as defined in Section 56064, is designated for urban growth by the general plan of the annexing city, and is not within the sphere of influence of another city. (2) Located within an urban service area that has been delineated and adopted by a commission, is not prime agricultural land, as defined by Section 56064, and is designated for urban growth by the general plan of the annexing city. As a condition to the annexation of an area that is surrounded, or substantially surrounded, by the city to which the annexation is proposed, the commission may require, where consistent with the purposes of this division, that the annexation include the entire island of surrounded, or substantially surrounded, territory. A commission shall not impose any conditions that would directly regulate land use density or intensity, property development, or subdivision requirements. When the development purposes are not made known to the annexing city, the annexation shall be reviewed on the basis of the adopted plans and policies of the annexing city or county. This paragraph does not prohibit a commission from requiring, as a condition to annexation, that a city prezone the territory to be annexed. However, the commission shall not specify how, or in what manner, the territory shall be prezoned. (b) With regard to a proposal for annexation or detachment of territory to, or from, a city or district or with regard to a proposal for reorganization that includes annexation or detachment, to determine whether territory proposed for annexation or detachment, as described in the resolution approving the annexation, detachment, or reorganization, is inhabited or uninhabited. (c) With regard to a proposal for consolidation of two or more cities or districts, to determine which city or district shall be the consolidated, successor city or district. (d) To approve the annexation to a city after notice and hearing, and authorize the conducting authority to order annexation of the territory without an election, if the commission finds that the territory contained in an annexation proposal meets all of the following requirements: (1) It does not exceed 75 acres in area, that area constitutes the entire island, and the island does not constitute a part of an unincorporated area that is more than 100 acres in area. (2) It is surrounded in either of the following ways: (A) Surrounded, or substantially surrounded, by the city to which annexation is proposed or by the city and a county boundary or the Pacific Ocean. (B) Surrounded by the city to which annexation is proposed and adjacent cities. (3) It is substantially developed or developing. The finding required by this paragraph shall be based upon one or more factors, including, but not limited to, any of the following factors: (A) The availability of public utility services. (B) The presence of public improvements. (C) The presence of physical improvements upon the parcel or parcels within the area. (4) It is not prime agricultural land, as defined by Section 56064. (5) It will benefit from the annexation or is receiving benefits from the annexing city. (e) To approve the annexation of unincorporated, noncontiguous territory, subject to the limitations of Section 56111, that is located in the same county as that in which the city is located and is owned by a city and used for municipal purposes, and to authorize the conducting authority to annex the territory without notice and hearing. (f) Subject to Section 56029, to designate in the resolution making determinations the conducting authority for proceedings. (g) When a change of organization or a reorganization includes the annexation of inhabited territory to a city and the assessed value of land within the territory equals one-half or more of the assessed value of land within the city, or the number of registered voters residing within the territory equals one-half or more of the number of registered voters residing within the city, to determine as a condition of the proposal that the change of organization or reorganization shall also be subject to confirmation by the voters in an election to be called, held, and conducted within the territory of the city to which annexation is proposed. (h) With respect to the incorporation of a new city or the formation of a new special district, to determine the number of registered voters residing within the proposed city or special district. The number of registered voters shall be calculated as of the time of the last report of voter registration by the county clerk to the Secretary of State prior to the date the first signature was affixed to the petition. The executive officer shall notify the petitioners of the number of registered voters resulting from this calculation. (i) To adopt written procedures for the evaluation of proposals. The commission may adopt standards for any of the factors enumerated in Section 56841. Any standards adopted by the commission shall be written. (j) To adopt standards and procedures for the evaluation of service plans submitted pursuant to Section 56653 and the initiation of a change of organization or reorganization pursuant to subdivision (a). (k) To make and enforce regulations for the orderly and fair conduct of hearings by the commission. (l) To incur usual and necessary expenses for the accomplishment of its functions. (m) To appoint and assign staff personnel and to employ or contract for professional or consulting services to carry out and effect the functions of the commission. (n) To review the boundaries of the territory involved in any proposal with respect to the definiteness and certainty of those boundaries, the nonconformance of proposed boundaries with lines of assessment or ownership, and other similar matters affecting the proposed boundaries. (o) To waive the restrictions of Section 56109 if it finds that the application of the restrictions would be detrimental to the orderly development of the community and that the area that would be enclosed by the annexation or incorporation is so located that it cannot reasonably be annexed to another city or incorporated as a new city. (p) To waive the application of Section 25210.90 or 22613 of the Streets and Highways Code if it finds that the application would deprive an area of a service needed to ensure the health, safety, or welfare of the residents of the area and that the waiver would not affect the ability of a city to provide any service. However, within 60 days of the inclusion of the territory within the city, the legislative body may adopt a resolution nullifying the waiver. (q) If the proposal includes the incorporation of a city, as defined in Section 56043, or the formation of a district, as defined in Section 2215 of the Revenue and Taxation Code, the commission shall determine the property tax revenue to be exchanged by the affected local agencies pursuant to Section 56842. SEC. 85. Section 68059 of the Government Code is amended to read: 68059. (a) The Fresno Metropolitan Projects Authority is hereby established. (b) The authority shall be governed by a 13-member board of directors comprised of: (1) One representative of the Board of Supervisors of Fresno County. (2) One representative of the Fresno City Council. (3) One representative of the Eleventh District of the Parent Teachers' Association. (4) One representative of an ad hoc committee of retired judges from Fresno County's local and state benches. (5) One representative of the Fresno City and County Chamber of Commerce. (6) One representative of the Older Americans Association of Fresno County. (7) One representative of an ad hoc committee of representatives of the Taxpayers Association of Fresno County and the San Joaquin Taxpayers Association. (8) One representative of the Citizens for Community Enrichment. (9) One representative of the Fresno County Farm Bureau. (10) One representative of the Fresno-Madera Central Labor Council. (11) One representative of the League of Mexican-American Women. (12) One representative of the West Fresno Ministerial Alliance. (13) One representative of the California Retired Teachers Association, Fresno County Division. (c) Vacancies in any of the board positions shall be filled by the appointing entity or organization. (d) Board members shall serve for a term of four years. (e) All members of the board shall reside within the boundaries of the authority. (f) All members of the board are limited to serving two consecutive terms. (g) The number of members of the board may be increased to 15 by an affirmative vote of the majority of the members of the board. (h) All members of the board shall file statements of economic interests pursuant to Chapter 9.5 (commencing with Section 89500) of Title 9. SEC. 86. Section 95004 of the Government Code is amended to read: 95004. This title shall become operative upon the repeal of Title 14 (commencing with Section 95000) as added by Section 2 of Chapter 945 of the Statutes of 1993. SEC. 87. Section 658.3 of the Harbors and Navigation Code is amended to read: 658.3. (a) No person shall operate a motorboat, sailboat, or vessel that is 26 feet or less in length unless every person on board who is six years of age or less is wearing a type I, II, or III Coast Guard-approved personal flotation device while that motorboat, sailboat, or vessel is underway. (b) Subdivision (a) does not apply to a person operating a sailboat on which a person who is six years of age or less is restrained by a harness tethered to the vessel, or to a person operating a vessel on which a person who is six years of age or less is in an enclosed cabin. (c) Subdivision (a) does not apply to a person operating a motorboat, sailboat, or vessel if the operator is reacting to an emergency rescue situation. (d) The following definitions govern the construction of this section: (1) "Enclosed cabin" means a space on board a vessel that is surrounded by bulkheads and covered by a roof. (2) "Operate a motorboat, sailboat, or vessel" means to be in control or in charge of a motorboat, sailboat, or vessel while it is underway. (3) "Underway" means all times except when the motorboat, sailboat, or vessel is anchored, moored, or aground. (e) A violation of this section is an infraction punishable as provided in subdivision (a) of Section 668. SEC. 88. Section 1126 of the Harbors and Navigation Code is amended to read: 1126. (a) Every person who is not the master or owner of the vessel or who does not hold a license as a pilot or as an inland pilot issued pursuant to this division, and who pilots any vessel into or out of any harbor or port of the Bay of San Francisco, San Pablo, or Suisun, or who acts as a pilot for ship movements or special operations upon the waters of any of those bays, is guilty of a misdemeanor. In addition to the fines or other penalties provided by law, the court may order that person to pay to the pilot who is entitled to pilot the vessel the amount of pilotage fees collected. (b) Any person may also be enjoined from engaging in the pilotage prescribed by subdivision (a) by a court of competent jurisdiction. (c) This section does not apply to any of the following persons: (1) Persons piloting vessels pursuant to the valid regulatory authority of the Port of Sacramento or the Port of Stockton. (2) Persons piloting vessels when a pilot is not available or is unable to reach the vessel. (3) Persons piloting vessels sailing under an enrollment, as specified in Section 1127. (4) Persons piloting vessels pursuant to Section 1179. (5) Persons piloting vessels when a state-licensed pilot is prevented from joining or refuses to join the vessel. However, a vessel may not hire a pilot not licensed by the state until both of the following occur: (A) A representative of the vessel notifies the executive director of the board, or his or her designee, that this paragraph applies. (B) The executive director immediately notifies the representative of the organization composed of state-licensed pilots, or his or her designee, that the vessel will hire a pilot not licensed by the state unless a state-licensed pilot offers to join the vessel immediately. SEC. 89. Section 1171.5 of the Harbors and Navigation Code is amended to read: 1171.5. (a) The board shall adopt, by regulation, licensing standards that equal or exceed standards for obtaining federal endorsements and that conform with and support the state policy specified in Sections 1100 and 1101. (b) The board shall adopt reasonable rules and regulations that require pilots to be qualified to perform all pilot duties. (c) The board shall adopt, by regulation, training standards and a training program for pilots, inland pilots, and pilot trainees. In the case of pilot trainees, the training program shall be for a minimum of one year and a maximum of three years. In the case of pilots and inland pilots, the board shall specify the type, nature, duration, and frequency of the training required and the identity of the pilots or inland pilots who are required to undergo training in the next 12-month period. Pursuant to Section 1182, the license of a pilot or inland pilot may be revoked or suspended if he or she fails to complete the training required by this subdivision during the period specified. The board shall also require that an evaluation of the pilot's or inland pilot's performance be prepared by the institution selected by the board to provide pilot training, and the institution shall provide copies of the evaluation to the pilot or inland pilot and to the pilot evaluation committee. (d) The board shall adopt, by regulation, the qualifications, standards, and rating criteria for admission of pilot trainees to the training program. Notwithstanding subdivision (f), the board shall administer and conduct the pilot trainee admission selection in accordance with the regulations for admission. (e) The board shall establish a pilot evaluation committee consisting of five active pilots who each have at least 10 years' experience as a pilot on the Bays of San Francisco, San Pablo, and Suisun. The board shall select the members of the pilot evaluation committee. A member may not serve for more than two four-year terms, except that two of the initial members appointed to the pilot evaluation committee shall serve terms of two years. (f) The pilot evaluation committee shall conduct and supervise the pilot training programs pursuant to the direction and regulation of the board and consistent with the intent of this division. (g) The board shall issue a certificate of completion to each pilot trainee who satisfactorily completes the training program. The board shall not issue a pilot's license to any person who does not receive a certificate of completion of the training program from the board, although the board may refuse to issue a pilot license to a pilot trainee who has received this certificate. (h) The training program for pilots, inland pilots, and pilot trainees shall be funded from the Board of Pilot Commissioners' Special Fund pursuant to Section 1159. SEC. 90. Section 429.13 of the Health and Safety Code, as added by Chapter 639 of the Statutes of 1991, is amended and renumbered to read: 429.20. The Legislature hereby finds and declares all of the following: (a) More than 700,000 California health care workers and professionals, such as nurses, physicians and surgeons and housekeeping staff, daily put their lives at risk of infection from deadly, bloodborne diseases in order to provide health care for all Californians. (b) Nationally, more than 1,000 health care personnel a year are infected with Hepatitis B, and 250 die of this disease. (c) Approximately 30 cases of occupational exposure to HIV have been conclusively documented by the federal Centers for Disease Control. (d) Studies estimate that it is likely that several hundred health care workers nationwide have been infected with HIV on the job. (e) Some bloodborne diseases, including infection with HIV, can be prevented only through avoiding exposure to the pathogen. (f) In 1989, the federal Occupational Safety and Health Administration estimated that health care personnel suffer 889,000 exposures to bloodborne diseases annually nationwide and that 790,000 of these exposures results from injuries from sharp instruments, including needle sticks. (g) During a six-month period, more than 200 exposures of health care personnel to blood and other bodily fluids were documented at a single hospital, the Medical Center at the University of California, San Francisco. (h) While most health care employers have implemented rigorous, universal infection control procedures, requiring gloving and other protective equipment, exposure to bloodborne diseases continues to be a major risk for health care workers. (i) As the federal Occupational Safety and Health Administration has noted, gloving and other protective devices cannot prevent puncture injuries from needles and other sharp instruments. (j) Medical devices, such as needles and intravenous tubing, are reviewed by the federal Food and Drug Administration for patient safety and efficacy but are not reviewed by any state or federal agency for worker safety. (k) It is estimated that improved product design of medical devices, such as needles, syringes, connectors for intravenous tubes, and vacuum tubes used to draw blood could reduce injuries involving exposure to blood by as much as 85 percent. SEC. 91. Section 429.14 of the Health and Safety Code, as added by Chapter 639 of the Statutes of 1991, is amended and renumbered to read: 429.21. It is the intent of the Legislature in enacting this article to reduce exposure of health care personnel to deadly, bloodborne diseases by encouraging the development and use of medical devices that are designed to assure worker safety as well as the safety of patients and the efficacy of the device. SEC. 92. Section 429.15 of the Health and Safety Code, as added by Chapter 639 of the Statutes of 1991, is amended and renumbered to read: 429.22. (a) The program on occupational health and occupational disease prevention of the state department shall do all of the following: (1) In coordination with the Division of Occupational Safety and Health, review and analyze existing studies, data, and other information on safety-enhanced product design of medical devices that place health care workers at risk of exposure to bloodborne diseases including, but not limited to, syringes and intravenous tubing that have sharp points. (2) Collect and evaluate information from health facilities that are using medical devices that have been redesigned to enhance worker safety. (3) To the extent that funding is available, conduct demonstration projects to test the use of safety enhanced medical devices at health facilities that volunteer to participate in these projects. (4) Report to the Legislature and the Department of Industrial Relations its findings regarding the use of safety-enhanced product design for medical devices. These findings shall include analysis and recommendations regarding projected cost savings to health facilities, actual improvement in worker safety, and continued patient safety and efficacy. (b) The duties required by this section shall be performed to the extent that the state department obtains funds from private sources and the federal government. SEC. 93. Section 429.16 of the Health and Safety Code is amended to read: 429.16. (a) A program is hereby established within the department to meet the requirements of the Residential Lead-Based Paint Hazard Reduction Act of 1992 (42 U.S.C. Sec. 4851 and following) and Title X of the Housing and Community Development Act of 1992 (P.L. 102-550). (b) The department shall implement and administer the program. The department shall have powers and authority consistent with the intent of, and shall promulgate regulations to establish the program as an authorized state program pursuant to, Title IV, Section 402 to 404, inclusive, of the Toxic Substances Control Act (15 U.S.C. Sec. 2601 and following). (c) Regulations regarding accreditation of training providers that are promulgated pursuant to subdivision (b) shall include, but not be limited to, provisions governing accreditation of providers of health and safety training to employees who engage in or supervise lead-related construction work as defined in Section 6716 of the Labor Code, and certification of employees who have successfully completed that training. Regulations regarding accreditation of training providers shall, as a condition of accreditation, require providers to offer training that meets the requirements of Section 6717 of the Labor Code. The department shall, not later than August 1, 1994, adopt regulations establishing fees for the accreditation of training providers, the certification of individuals, and the licensing of entities engaged in lead-related occupations. The fees imposed under this subdivision shall be established at levels not exceeding an amount sufficient to cover the costs of administering and enforcing the standards and regulations promulgated under this section. The fees established pursuant to this subdivision shall not be imposed on any state or local government or nonprofit training program. (d) All regulations affecting the training of employees shall be adopted in consultation with the Division of Occupational Safety and Health. The regulations shall include provisions for allocating to the division an appropriate portion of funds to be expended for the program for the division's cost of enforcing compliance with training and certification requirements. The department shall adopt regulations to establish the program on or before August 1, 1994. (e) The department shall review and amend its training, certification, and accreditation regulations promulgated under this section as is necessary to ensure continued eligibility for federal and state funding of lead-hazard reduction activities in the state. SEC. 94. Section 1250.1 of the Health and Safety Code, as added by Chapter 931 of the Statutes of 1993, is amended and renumbered to read: 1250.03. A rural general acute care hospital that does not provide surgical and anesthesia services shall maintain written transfer agreements with one or more general acute care hospitals that provide surgical and anesthesia services. SEC. 95. Section 1259.5 of the Health and Safety Code is amended to read: 1259.5. By January 1, 1995, each general acute care hospital, acute psychiatric hospital, special hospital, psychiatric health facility, and chemical dependency recovery hospital shall establish written policies and procedures to screen patients routinely for the purpose of detecting spousal or partner abuse. The policies shall include guidelines on all of the following: (a) Identifying, through routine screening, spousal or partner abuse among patients. (b) Documenting patient injuries or illnesses attributable to spousal or partner abuse. (c) Educating appropriate hospital staff about the criteria for identifying, and the procedures for handling, patients whose injuries or illnesses are attributable to spousal or partner abuse. (d) Advising patients exhibiting signs of spousal or partner abuse of crisis intervention services that are available either through the hospital facility or through community-based crisis intervention and counseling services. (e) Providing to patients who exhibit signs of spousal or partner abuse information on domestic violence and a referral list, to be updated periodically, of private and public community agencies that provide, or arrange for, evaluation of and care for persons experiencing spousal or partner abuse, including, but not limited to, hot lines, local battered women's shelters, legal services, and information about temporary restraining orders. SEC. 96. Section 1266 of the Health and Safety Code is amended to read: 1266. (a) Each new and renewal application for a license for the health facilities listed below shall be accompanied by an annual fee as set forth below. (1) The annual fee for a general acute care hospital, acute psychiatric hospital, special hospital, and chemical dependency recovery hospital, based on the number of licensed beds, is as follows: 1-49 beds $460 plus $8 per bed 50-99 beds $850 plus $8 per bed 100 or more beds $1,175 plus $8 per bed (2) The annual fee for a skilled nursing facility, intermediate care facility, and intermediate care facility/developmentally disabled, based on the number of licensed beds, is as follows: 1-59 beds $2,068 plus $26 per bed 60-99 beds $2,543 plus $26 per bed 100 or more beds $3,183 plus $26 per bed (3) The fees specified in this subdivision shall be adjusted, commencing July 1, 1983, as proposed in the state department's 1983-84 fiscal year Health Facility License Fee Report to the Legislature. Commencing July 1, 1984, fees provided in this subdivision shall be adjusted annually, as directed by the Legislature in the annual Budget Act. (b) (1) By March 17 of each year, the State Department of Health Services shall make available to interested parties, upon request, information regarding the methodology and calculations used to determine the fee amounts specified in this section, the staffing and systems analysis required under subdivision (e), the program costs associated with the licensing provisions of this division, and the actual numerical fee charges to be implemented on June 30 of that year. The methodology and calculations used to determine the fee amounts shall result in fee levels that are sufficient to provide revenues equal to the sum of the following: (A) The General Fund expenditures for the fiscal year ending on June 30 of that year, as specified in the Governor's proposed budget, less license fees estimated to be collected in that fiscal year under the licensing provisions of this division, excluding licensing fees collected pursuant to this section. (B) The amount of federal funds budgeted for the fiscal year ending June 30 of that year for the licensing provisions of the division, less federal funds received or credited, or anticipated to be received or credited, during that fiscal year for that purpose. The methodology for calculating the fee levels shall include an adjustment that takes into consideration the actual amount of license fee revenue collected pursuant to this section for that prior fiscal year. (2) The information specified in paragraph (1) shall specifically identify federal funds received, but not previously budgeted, for the licensing provisions of this division that are used to offset the amount of General Fund money to be recovered through license fees. The information also shall identify the purpose of federal funds received for any additional activities under the licensing provisions of this division that are not used to offset the amount of General Fund money. (c) The annual fees determined pursuant to this section shall be waived for any health facility conducted, maintained, or operated by this state or any state department, authority, bureau, commission, or office, by the Regents of the University of California, or by a local hospital district, city, county, or city and county. (d) The department shall, by July 30 of each year, publish a list of actual numerical fee charges as adjusted pursuant to this section. This adjustment of fees and the publication of the fee list shall not be subject to the requirements of Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code. If the published list of fees is higher than that made available to interested parties pursuant to subdivision (b), the affected health facilities may choose to pay the fee in the amount presented at the public hearing and to defer payment of the additional increment until 60 days after publication of the list of fees pursuant to this subdivision. (e) Prior to the establishment of the annual fee, the state department shall prepare a staffing and systems analysis to ensure the efficient and effective utilization of fees collected, and the proper allocation of departmental resources to licensing and certification activities, survey schedules, complaint investigations, enforcement and appeal activities, data collection and dissemination, surveyor training, and policy development. The analysis prepared under this subdivision shall be included in the information made available pursuant to subdivision (b), and shall include all of the following: (1) The number of surveyors and administrative support personnel devoted to the licensing and certification of health care facilities. (2) The percentage of time devoted to licensing and certification activities for the various types of health facilities. (3) The number of facilities receiving full surveys and the frequency and number of followup visits. (4) The number and timeliness of complaint investigations. (5) Data on deficiencies and citations issued, and numbers of citation review conferences and arbitration hearings. (6) Training courses provided for surveyors. (7) Other applicable activities of the licensing and certification division. The analysis also shall include recommendations for administrative changes to streamline and prioritize the survey process, complaint investigations, management information systems, word processing capabilities and effectiveness, consumer information system, and surveyor training. The annual staffing and systems analysis shall be presented to the Health Care Advisory Committee and the Legislature prior to the establishment and adoption of the annual fee. (f) The annual fee for a congregate living health facility shall initially be based, until adjusted by the Legislature in a Budget Act, on the number of licensed beds as follows: 1-3 beds $ 800 4-6 beds $1,000 7-10 beds $1,200 11-15 beds $1,500 16 or more beds $1,700 Commencing July 1, 1991, fees specified in this subdivision shall be adjusted annually, as directed by the Legislature in the annual Budget Act. (g) The annual fee for a pediatric day health and respite care facility, as defined in Section 1760.2, shall initially be based, until adjusted by the Legislature in a Budget Act, on the number of licensed beds as follows: 1-3 beds or clients $ 800 4-6 beds or clients $1,000 7-10 beds or clients $1,200 11-15 beds or clients $1,500 16 or more beds or clients $1,700 plus $50 for each additional bed or client over 16 beds or clients Commencing July 1, 1993, fees provided in this subdivision shall be adjusted annually, as directed by the Legislature in the annual Budget Act. SEC. 97. Section 1357 of the Health and Safety Code is amended to read: 1357. As used in this article: (a) "Dependent" means the spouse or child of an eligible employee, subject to applicable terms of the health care plan contract covering the employee, and includes dependents of guaranteed association members if the association elects to include dependents under its health coverage at the same time it determines its membership composition pursuant to subdivision (o). (b) "Eligible employee" means either of the following: (1) Any permanent employee who is actively engaged on a full-time basis in the conduct of the business of the small employer with a normal workweek of at least 30 hours, at the small employer's regular places of business, who has met any statutorily authorized applicable waiting period requirements. The term includes sole proprietors or partners of a partnership, if they are actively engaged on a full-time basis in the small employer's business and included as employees under a health care plan contract of a small employer, but does not include employees who work on a part-time, temporary, or substitute basis. It includes any eligible employee as defined in this paragraph who obtains coverage through a guaranteed association. Employees of employers purchasing through a guaranteed association shall be deemed to be eligible employees if they would otherwise meet the definition except for the number of persons employed by the employer. (2) Any member of a guaranteed association as defined in subdivision (o). (c) "In force business" means an existing health benefit plan contract issued by the plan to a small employer. (d) "Late enrollee" means an eligible employee or dependent who has declined enrollment in a health benefit plan offered by a small employer at the time of the initial enrollment period provided under the terms of the health benefit plan and who subsequently requests enrollment in a health benefit plan of that small employer, provided that the initial enrollment period shall be a period of at least 30 days. It also means any member of an association that is a guaranteed association as well as any other person eligible to purchase through the guaranteed association when that person has failed to purchase coverage during the initial enrollment period provided under the terms of the guaranteed association's plan contract and who subsequently requests enrollment in the plan, provided that the initial enrollment period shall be a period of at least 30 days. However, an eligible employee, any other person eligible for coverage through a guaranteed association pursuant to subdivision (o), or dependent shall not be considered a late enrollee if: (1) the individual meets all of the following: (A) he or she was covered under another employer health benefit plan at the time the individual was eligible to enroll; (B) he or she certified at the time of the initial enrollment that coverage under another employer health benefit plan was the reason for declining enrollment, provided that, if the individual was covered under another employer health plan, the individual was given the opportunity to make the certification required by this subdivision and was notified that failure to do so could result in later treatment as a late enrollee; (C) he or she has lost or will lose coverage under another employer health benefit plan as a result of termination of employment of the individual or of a person through whom the individual was covered as a dependent, change in employment status of the individual or of a person through whom the individual was covered as a dependent, termination of the other plan's coverage, cessation of an employer's contribution toward an employee or dependent's coverage, death of the person through whom the individual was covered as a dependent, or divorce; and (D) he or she requests enrollment within 30 days after termination of coverage or employer contribution toward coverage provided under another employer health benefit plan; (2) the employer offers multiple health benefit plans and the employee elects a different plan during an open enrollment period; (3) a court has ordered that coverage be provided for a spouse or minor child under a covered employee's health benefit plan and request for enrollment is made within 30 days after issuance of the court order; (4) (A) in the case of an eligible employee as defined in paragraph (1) of subdivision (b), the plan cannot produce a written statement from the employer stating that the individual or the person through whom the individual was eligible to be covered as a dependent, prior to declining coverage, was provided with, and signed, acknowledgment of an explicit written notice in bold type specifying that failure to elect coverage during the initial enrollment period permits the plan to impose, at the time of the individual's later decision to elect coverage, an exclusion from coverage for a period of 12 months as well as a six-month preexisting condition exclusion, unless the individual meets the criteria specified in paragraph (1), (2), or (3); (B) in the case of an association member who did not purchase coverage through a guaranteed association, the plan cannot produce a written statement from the association stating that the association sent a written notice in bold type to all potentially eligible association members at their last known address prior to the initial enrollment period informing members that failure to elect coverage during the initial enrollment period permits the plan to impose, at the time of the member's later decision to elect coverage, an exclusion from coverage for a period of 12 months as well as a six-month preexisting condition exclusion unless the member can demonstrate that he or she meets the requirements of subparagraphs (A), (C), and (D) of paragraph (1) or paragraph (2) or (3); or (C) in the case of an employer or person who is not a member of an association, was eligible to purchase coverage through a guaranteed association, and did not do so, and would not be eligible to purchase guaranteed coverage unless purchased through a guaranteed association, the employer or person can demonstrate that he or she meets the requirements of subparagraphs (A), (C), and (D) of paragraph (1), or paragraph (2) or (3), or that he or she recently had a change in status that would make him or her eligible and that application for enrollment was made within 30 days of the change. (e) "New business" means a health care service plan contract issued to a small employer that is not the plan's in force business. (f) "Preexisting condition provision" means a contract provision that excludes coverage for charges or expenses incurred during a specified period following the employee's effective date of coverage, as to a condition for which medical advice, diagnosis, care, or treatment was recommended or received during a specified period immediately preceding the effective date of coverage. (g) "Qualifying prior coverage" means: (1) Any individual or group policy, contract, or program that is written or administered by a disability insurer, nonprofit hospital service plan, health care service plan, fraternal benefits society, self-insured employer plan, or any other entity, in this state or elsewhere, and that arranges or provides medical, hospital, and surgical coverage not designed to supplement other private or governmental plans. The term includes continuation or conversion coverage but does not include accident only, credit, disability income, Medicare supplement, long-term care, dental, vision, coverage issued as a supplement to liability insurance, insurance arising out of a workers' compensation or similar law, automobile medical payment insurance, or insurance under which benefits are payable with or without regard to fault and that is statutorily required to be contained in any liability insurance policy or equivalent self-insurance. (2) The federal Medicare program pursuant to Title XVIII of the Social Security Act. (3) The medicaid program pursuant to Title XIX of the Social Security Act. (4) Any other publicly sponsored program, provided in this state or elsewhere, of medical, hospital, and surgical care. (h) "Rating period" means the period for which premium rates established by a plan are in effect, and shall be no less than six months. (i) "Risk adjusted employee risk rate" means the rate determined for an eligible employee of a small employer in a particular risk category after applying the risk adjustment factor. (j) "Risk adjustment factor" means the percentage adjustment to be applied equally to each standard employee risk rate for a particular small employer, based upon any expected deviations from standard cost of services. This factor may not be more than 120 percent or less than 80 percent until July 1, 1996. Effective July 1, 1996, this factor may not be more than 110 percent or less than 90 percent. (k) "Risk category" means the following characteristics of an eligible employee: age, geographic region, and family composition of the employee, plus the health benefit plan selected by the small employer. (1) No more than the following age categories may be used in determining premium rates: Under 30 30-39 40-49 50-54 55-59 60-64 65 and over However, for the 65 and over age category, separate premium rates may be specified depending upon whether coverage under the plan contract will be primary or secondary to benefits provided by the federal Medicare program pursuant to Title XVIII of the federal Social Security Act. (2) Small employer health care service plans shall base rates to small employers using no more than the following family size categories: (A) Single. (B) Married couple. (C) One adult and child or children. (D) Married couple and child or children. (3) (A) In determining rates for small employers, a plan that operates statewide shall use no more than nine geographic regions in the state, have no region smaller than an area in which the first three digits of all its ZIP Codes are in common within a county, and divide no county into more than two regions. Plans shall be deemed to be operating statewide if their coverage area includes 90 percent or more of the state's population. Geographic regions established pursuant to this section shall, as a group, cover the entire state, and the area encompassed in a geographic region shall be separate and distinct from areas encompassed in other geographic regions. Geographic regions may be noncontiguous. (B) In determining rates for small employers, a plan that does not operate statewide shall use no more than the number of geographic regions in the state than is determined by the following formula: the population, as determined in the last federal census, of all counties that are included in their entirety in a plan's service are divided by the total population of the state, as determined in the last federal census, multiplied by nine. The resulting number shall be rounded to the nearest whole integer. No region may be smaller than an area in which the first three digits of all its ZIP Codes are in common within a county and no county may be divided into more than two regions. The area encompassed in a geographic region shall be separate and distinct from areas encompassed in other geographic regions. Geographic regions may be noncontiguous. No plan shall have less than one geographic area. Nothing in this section shall be construed to require a plan to establish a new service area or to offer health coverage on a statewide basis, outside of the plan's existing service area. (l) "Small employer" means either of the following: (1) Any person, firm, proprietary or nonprofit corporation, partnership, public agency, or association that is actively engaged in business or service, that, on at least 50 percent of its working days during the preceding calendar quarter, employed at least three, but no more than 50, eligible employees, the majority of whom were employed within this state, that was not formed primarily for purposes of buying health care service plan contracts, and in which a bona fide employer-employee relationship exists. However, for purposes of subdivisions (a), (b), and (c) of Section 1357.03, the definition shall include employers with at least five eligible employees until July 1, 1994, four eligible employees until July 1, 1995, and three eligible employees thereafter. In determining the number of eligible employees, companies that are affiliated companies and that are eligible to file a combined tax return for purposes of state taxation shall be considered one employer. Subsequent to the issuance of a health care service plan contract to a small employer pursuant to this article, and for the purpose of determining eligibility, the size of a small employer shall be determined annually. Except as otherwise specifically provided in this article, provisions of this article that apply to a small employer shall continue to apply until the plan contract anniversary following the date the employer no longer meets the requirements of this definition. It includes any small employer as defined in this paragraph who purchases coverage through a guaranteed association, and any employer purchasing coverage for employees through a guaranteed association. (2) Any guaranteed association, as defined in subdivision (n), that purchases health coverage for members of the association. (m) "Standard employee risk rate" means the rate applicable to an eligible employee in a particular risk category in a small employer group. (n) "Guaranteed association" means a nonprofit organization comprised of a group of individuals or employers who associate based solely on participation in a specified profession or industry, accepting for membership any individual or employer meeting its membership criteria, and that (1) includes one or more small employers as defined in paragraph (1) of subdivision (l), (2) does not condition membership directly or indirectly on the health or claims history of any person, (3) uses membership dues solely for and in consideration of the membership and membership benefits, except that the amount of the dues shall not depend on whether the member applies for or purchases insurance offered to the association, (4) is organized and maintained in good faith for purposes unrelated to insurance, (5) has been in active existence on January 1, 1992, and for at least five years prior to that date, (6) has included health insurance as a membership benefit for at least five years prior to January 1, 1992, (7) has a constitution and bylaws, or other analogous governing documents that provide for election of the governing board of the association by its members, (8) offers any plan contract that is purchased to all individual members and employer members in this state, (9) includes any member choosing to enroll in the plan contracts offered to the association provided that the member has agreed to make the required premium payments, and (10) covers at least 1,000 persons with the health care service plan with which it contracts. The requirement of 1,000 persons may be met if component chapters of a statewide association contracting separately with the same carrier cover at least 1,000 persons in the aggregate. This subdivision applies regardless of whether a contract issued by a plan is with an association or a trust formed for, or sponsored by, an association to administer benefits for association members. For purposes of this subdivision, an association formed by a merger of two or more associations after January 1, 1992, and otherwise meeting the criteria of this subdivision shall be deemed to have been in active existence on January 1, 1992, if its predecessor organizations had been in active existence on January 1, 1992, and for at least five years prior to that date and otherwise met the criteria of this subdivision. (o) "Members of a guaranteed association" means any individual or employer meeting the association's membership criteria if that person is a member of the association and chooses to purchase health coverage through the association. At the association's discretion, it also may include employers and employees of association members, employees of employers of association members, association staff, retired members, retired employees of members, and surviving spouses and dependents of deceased members. However, if an association chooses to include these persons as members of the guaranteed association, the association shall make that election in advance of purchasing a plan contract. Health care service plans may require an association to adhere to the membership composition it selects for up to 12 months. SEC. 98. Section 1367.5 of the Health and Safety Code, as added by Chapter 1134 of the Statutes 1992, is amended and renumbered to read: 1367.35. (a) On and after January 1, 1993, every health care service plan that covers hospital, medical, or surgical expenses on a group basis shall provide benefits for the comprehensive preventive care of children 16 years of age or younger under terms and conditions agreed upon between the group subscriber and the plan. Every plan shall communicate the availability of these benefits to all group contractholders and to all prospective group contractholders with whom they are negotiating. This section shall apply to each plan that, by rule or order of the commissioner, has been exempted from subdivision (i) of Section 1367, insofar as that section and the rules thereunder relate to the provision of the preventive health care services described in this section. (b) For purposes of this section, benefits for the comprehensive preventive care of children shall be consistent with the Recommendations for Preventive Pediatric Health Care, as adopted by the American Academy of Pediatrics in September 1987, and provide for all of the following: (1) Periodic physical examinations. (2) Immunizations. (3) Laboratory services in connection with periodic physical examinations. SEC. 99. Article 7.5 (commencing with Section 1389.1) of Chapter 2.2 of Division 2 of the Health and Safety Code, as added by Section 3 of Chapter 1209 of the Statutes of 1993, is repealed. SEC. 100. Section 1418.8 of the Health and Safety Code is amended to read: 1418.8. (a) If the attending physician and surgeon of a resident in a skilled nursing facility or intermediate care facility prescribes or orders a medical intervention for which informed consent is required to be obtained prior to administration of the medical intervention, but is unable to obtain informed consent because the physician and surgeon determines that the resident lacks capacity to make decisions concerning his or her health care and that there is no person with legal authority to make those decisions on behalf of the resident, the physician and surgeon shall so inform the skilled nursing facility or intermediate care facility. (b) The attending physician and the skilled nursing facility or intermediate care facility may initiate a medical intervention that requires informed consent pursuant to subdivision (c) in accordance with acceptable standards of practice. (c) When a resident of a skilled nursing facility or intermediate care facility has been prescribed a medical intervention by a physician and surgeon that requires informed consent and the physician has determined that the resident lacks capacity to make health care decisions and there is no person with legal authority to make those decisions on behalf of the resident, the facility shall, except as provided in subdivision (e), conduct an interdisciplinary team review of the prescribed medical intervention prior to the administration of the medical intervention. The interdisciplinary team shall oversee the care of the resident, utilizing a team approach to assessment and care planning, and shall include the resident's attending physician, a registered professional nurse with responsibility for the resident, and other appropriate staff in disciplines as determined by the resident's needs, in accordance with applicable federal and state requirements. The review shall include all of the following: (1) A review of the physician's assessment of the resident's condition. (2) The reason for the proposed use of the medical intervention. (3) The type of medical intervention to be used in the resident's care, including its probable frequency and duration. (4) The probable impact on the resident's condition, with and without the use of the medical intervention. (5) Reasonable alternative medical interventions considered or utilized, and reasons for their discontinuance or inappropriateness. (d) The interdisciplinary team periodically shall evaluate the use of the prescribed medical intervention at least quarterly or upon a significant change in the resident's medical condition. (e) In case of an emergency, after obtaining a physician and surgeon's order as necessary, a skilled nursing or intermediate care facility may administer a medical intervention that requires informed consent prior to the convening by the facility of an interdisciplinary team review. (f) Physicians, surgeons, skilled nursing facilities, and intermediate care facilities shall not be required to obtain a court order pursuant to Section 3201 of the Probate Code prior to administering a medical intervention that requires informed consent if the requirements of this section are met. (g) Nothing in this section shall in any way affect the right of a resident of a skilled nursing facility or intermediate care facility for whom medical intervention has been prescribed, ordered, or administered pursuant to this section to seek appropriate judicial relief to review the decision to provide the medical intervention. (h) No physician or other health care provider whose action under this section is in accordance with reasonable medical standards is subject to administrative sanction if the physician or health care provider believes in good faith that the action is consistent with this section and the desires of the resident or, if unknown, the best interests of the resident. (i) This section shall remain in effect only until January 1, 1995, and as of that date is repealed, unless a later enacted statute, which is enacted before January 1, 1995, deletes or extends that date. SEC. 101. Section 1562.5 of the Health and Safety Code is amended to read: 1562.5. (a) The director shall ensure that, within six months after obtaining licensure, an administrator of an adult residential facility and a program director of a social rehabilitation facility shall receive four hours of training on the needs of residents who may be infected with the human immunodeficiency virus (HIV), and on basic information about tuberculosis. Administrators and program directors shall attend update training sessions every two years after satisfactorily completing the initial training to ensure that information received on HIV and tuberculosis remains current. The training shall consist of three hours on HIV and one hour on tuberculosis. (b) The training shall consist of all of the following: (1) Universal blood and body fluid precautions. (2) Basic AIDS and HIV information, including modes of transmission. (3) Legal protections for persons with HIV or AIDS. (4) Referral information to local government, community-based, and other organizations that provide social, support, or health services and social services to people with HIV or AIDS. (5) Information about the residential care needs of people living with HIV or AIDS, including nutritional needs. (6) Recognition of the signs and symptoms of tuberculosis. (7) Tuberculosis testing requirements for staff, volunteers, and residents. (8) Tuberculosis prevention. (9) Tuberculosis treatment. (c) The department shall ensure compliance with this section. In the event of noncompliance, the director shall develop and implement a plan of correction requiring that the training take place within six months of the violation. (d) All administrators of adult residential and program directors of social rehabilitation facilities licensed on or before January 1, 1994, shall complete the training by December 31, 1994, and every two years thereafter. Newly employed administrators and program directors shall complete training within six months after commencing employment. (e) Eligible providers of training and study courses shall be limited to any of the following: (1) County and city health departments. (2) American Lung Association affiliates. (3) Any agency with a contract to provide HIV, AIDS, or tuberculosis education with either the State Department of Health Services, or the federal Centers for Disease Control. (4) The California Association of AIDS Agencies. (5) Any providers approved by the State Department of Social Services for training of personnel employed in residential care facilities for the elderly, adult residential facilities, or residential care facilities for the chronically ill. (f) Providers shall use HIV, AIDS, and tuberculosis materials produced, approved, or distributed by any of the following: (1) The federal Centers for Disease Control. (2) The American Lung Association. (3) The University of California. (4) The California Association of AIDS Agencies. (5) The California AIDS Clearinghouse. (6) County and city health departments. (g) In the event that an administrator or program director demonstrates to the department a significant difficulty in accessing training, the administrators and program directors of these facilities shall have the option of fulfilling these training requirements through a study course consisting of written and/or video educational materials. (h) Successful completion of the training or study course by administrators and program directors and the biannual update described in this section shall be verified with the department during the annual review of the facility pursuant to subdivision (a) of Section 1534. Trained administrators and program directors shall disseminate the HIV, AIDS, and tuberculosis materials to facility personnel. SEC. 102. Section 1569.694 of the Health and Safety Code is amended to read: 1569.694. (a) The department shall report its findings and recommendations to the Legislature by January 1, 1993. The recommendations shall include whether to allow secured or locked residential care facilities for the elderly throughout the state and, if so, the method or methods of security to be allowed, admission and retention criteria for residents who can be placed in secure residential care facilities for the elderly, any limits on the size of the facilities that may be secured, staffing standards, training and qualifications of staff, and program content. The department also shall report on the success of the model projects by measuring all of the following: (1) The extent to which the three model project sites with a secured perimeter provide an environment that minimizes acting out or other inappropriate behavior compared with the other model project sites. (2) The extent to which the use of a secured perimeter environment results in a decrease or elimination of the use of behavioral medication traditionally used to treat residents with dementia compared to the other model project sites. (3) The extent to which the number of incidents of wandering in the model project sites having a secured perimeter differs from the number of those incidents in model project sites using door alarms, wrist bands, or other similar devices, and the extent to which staff time is diverted from direct care. (b) After the release of the report described under subdivision (a), the Health and Welfare Agency shall, by January 1, 1995, convene an advisory group that may be comprised of, but is not limited to, representatives of provider organizations, advocates, the Department of Aging, the State Department of Social Services, the Office of the State Long Term Care Ombudsman, and the Alzheimer's Association. Based on the report described under subdivision (a) and other relevant information, the advisory group shall recommend, as appropriate, specific standards for a secured perimeter program. SEC. 103. Section 1596.803 of the Health and Safety Code, as added by Section 10 of Chapter 709 of the Statutes of 1992, is repealed. SEC. 104. Section 10284 of the Health and Safety Code is amended to read: 10284. The State Department of Health Services shall report to the Legislature on or before January 1, 1994, on the implementation of this article. The state department also shall report to the Legislature, on or before four years after the date that the initial funding is received to implement this article, on the results of the study required by this article. SEC. 105. Section 10325 of the Health and Safety Code is amended to read: 10325. Each marriage that is performed shall be registered by the person performing the ceremony as provided by Chapter 2 (commencing with Section 420) of Part 3 of Division 3 of the Family Code. SEC. 106. Section 11366.8 of the Health and Safety Code is amended to read: 11366.8. (a) Every person who possesses, uses, or controls a false compartment with the intent to store, conceal, smuggle, or transport a controlled substance within the false compartment shall be punished by imprisonment in a county jail for a term of imprisonment not to exceed one year or in the state prison. (b) Every person who designs, constructs, builds, alters, or fabricates a false compartment for, or installs or attaches a false compartment to, a vehicle with the intent to store, conceal, smuggle, or transport a controlled substance shall be punished by imprisonment in the state prison for 16 months or two or three years. (c) The term "vehicle" means any of the following vehicles without regard to whether the vehicles are private or commercial, including, but not limited to, cars, trucks, buses, aircraft, boats, ships, yachts, and vessels. (d) The term "false compartment" means any box, container, space, or enclosure that is intended for use or designed for use to conceal, hide, or otherwise prevent discovery of any controlled substance within or attached to a vehicle, including, but not limited to, any of the following: (1) False, altered, or modified fuel tanks. (2) Original factory equipment of a vehicle that is modified, altered, or changed. (3) Compartment, space, or box that is added to, or fabricated, made, or created from, existing compartments, spaces, or boxes within a vehicle. SEC. 107. Section 17922.1 of the Health and Safety Code, as added by Chapter 346 of the Statutes of 1992, is amended and renumbered to read: 17922.2. (a) Notwithstanding any other provisions of this part, the building standards in Appendix Chapter 1 of the Uniform Code for Building Conservation of the International Conference of Building Officials, as published in the California Building Standards Code, do not apply to a local jurisdiction that adopted, on or before January 1, 1993, a program for mitigation of potentially hazardous buildings, provided that a proposed ordinance containing standards to strengthen buildings prescribed pursuant to subdivision (b) of Section 8875.2 of the Government Code was introduced on or before July 27, 1992. (b) For all ordinances and programs adopted on or before January 1, 1993, that do not meet the conditions of subdivision (a), standards to strengthen buildings shall conform to the requirements of Appendix Chapter 1 of the Uniform Code for Building Conservation of the International Conference of Building Officials, except as to requirements found by local ordinance to be inapplicable based on local conditions. (c) Ordinances and programs adopted pursuant to this section shall be presumed conclusively to comply with the requirements of Chapter 173 of the Statutes of 1991. SEC. 108. Section 25159.18 of the Health and Safety Code is amended to read: 25159.18. Any person who applies to the department for a hazardous waste facilities permit, or for the renewal or revision of a hazardous waste facilities permit, for the discharge of hazardous wastes into an injection well, including any proposed injection well, shall submit a hydrogeological assessment report to the department and to the appropriate regional board six months before making that application. A qualified person shall be responsible for the preparation of the report and shall certify its completeness and accuracy. The department shall not approve the report unless the department finds that the report is current, accurate, and complete, and that no hazardous waste constituents have migrated from the portion of the injection well located above the injection zone or have migrated from the injection zone. The report shall be accompanied by the fee established pursuant to Section 25159.19. The report shall contain, for each injection well, including any proposed injection well, any information required by the department, and all of the following information: (a) A description of the injection well, including all of the following: (1) Physical characteristics. (2) A log of construction activities, including dates and methods used. (3) A description of materials used in the injection well, including tubing, casing, packers, seals, and grout. (4) Design specifications and a drawing of the well as completed. (5) An analysis of the chemical and physical compatibility of the materials used with the wastes injected. (6) Annulus fluid composition, level, and pressure at the time of well completion through the present time. (b) A description of both of the following: (1) The volume, temperature, pH, and radiological characteristics, and composition of hazardous waste constituents placed in the well, based on a statistically significant representative chemical analysis of each specific hazardous waste type, so that any variations in hazardous waste constituents over time are documented. (2) The pressure and rate at which fluid is injected into the well. (c) A map showing the distances, within the facility, to the nearest surface water bodies and springs, and the distances, within three miles from the facility's perimeter, to the nearest surface water bodies and springs. (d) Tabular data from each surface water body and spring shown on the map specified in subdivision (c), within one mile from the facility's perimeter, which indicate its flow and a representative water analysis. The report shall include an evaluation and characterization of seasonal changes and, if substantive changes occur from season to season, the tabular data shall reflect these seasonal changes. (e) A map showing the location of all existing and abandoned wells, dry holes, mines, and quarries within the facility and within three miles of the facility's perimeter. The report shall include, for each well shown on the map, a description of the present use of the well, a representative water analysis from any existing wells, any known physical characteristics, and a determination as to whether the well, if abandoned, has been closed in accordance with standards at least as stringent as those set forth in the Department of Water Resources Bulletin No. 74-81, or, if the well is an oil or gas well, in accordance with standards at least as stringent as the regulations of the Division of Oil and Gas. The report also shall include, when possible, the water well driller's report or well log. (f) A map showing the structural geology and stratigraphy within three miles of the facility's perimeter that can influence the direction of the groundwater flow or the movement of the discharged wastes. The report shall include a description of folds, domes, basins, faults, seismic activity, fractures, and joint patterns, and a geologic cross section and general description of the subsurface rock units, including stratigraphic position, lithology, thickness, and areal distribution. (g) An analysis for all of the following: (1) The vertical and lateral extent of any water-bearing strata that could be affected by leakage from the injection well. (2) The vertical and lateral extent of any strata through which the well is drilled. (3) The vertical and lateral limits of the confining beds above, below, and adjacent to, the injection well. (h) The analysis specified in subdivision (g) shall include all of the following: (1) A map and cross section of all hydrogeologic units. (2) Maps showing contours of equal elevation of the water surface for perched water, unconfined water, and confined groundwater required to be analyzed by this subdivision. (3) An estimate of the flow, and flow direction, of the water in all water-bearing formations shown on both the maps and the subsurface geologic cross sections. (4) An estimate of the transmissivity, permeability, porosity, and storage coefficient for each perched zone of water and water-bearing formations identified on the maps specified in paragraph (1). (5) A determination of the water quality of each zone of the water-bearing formations and perched water that is identified on the maps specified in paragraph (1) and is under, or above and adjacent to, the well. This determination shall be conducted by taking samples either upgradient of the injection well or from another location that has not been affected by leakage from the injection well. (i) A determination as to whether the groundwater is contiguous with regional bodies of groundwater and the depth measured from the injection zone and well casing to the groundwater, including the depth measured to perched water and water-bearing strata identified on the maps specified in subdivision (h). (j) All of the following information for the receiving formation: (1) A description of the chemical and physical properties of the receiving formation, including its lithology, thickness, composition, structure, porosity, storage capacity, permeability, compressibility, density, subsurface stress, vertical and lateral continuity and extent, fluid temperature, pressure, composition, and the measurement of the minimum pressure that would fracture the receiving formation. (2) The effect of the injection pressure on the receiving formation. (3) The geologic stability and long-term integrity of the receiving formation. (4) An assessment of compatibility of waste, formation fluids, and formation lithology. This shall include a description of short-range and long-range changes anticipated in the physical and chemical state of the receiving formation in its fluids through chemical reaction and interaction with injection fluids. (k) All of the following information for the confining zone: (1) A description of its chemical and physical properties, including its age, composition, thickness, vertical and lateral continuity, unconformities, permeability, transmissivity, compressibility, porosity, density, and subsurface stress. (2) The minimum amount of pressure that would fracture the confining zone, calculated specifically for the particular confining zone, a description of the number and types of existing fractures, faults, and cavities, and an analysis as to whether fractures were created or enlarged by past injection of wastes. (3) The geologic stability and long-term integrity of the confining zone. (4) Anticipated short-range and long-range changes in the physical state of the confining zone through chemical reaction and interaction with injection fluids. (5) An estimate of the rate of migration of the hazardous waste constituents through the confining zone. (l) A geologic cross section and description of the composition of each stratum through which the injection well is drilled. This description shall include a physical, chemical, and hydrogeological characterization of both the consolidated and unconsolidated rock material, including lithology, mineralogy, texture, bedding, thickness, and permeability. It shall also include an analysis for pollutants, including those constituents discharged into the injection well. The report shall arrange all monitoring data in a tabular form so that the dates, the constituents, and the concentrations are readily discernible. (m) A description of surface facilities, including, but not limited to, pressure gauges, automatic shutoff devices, alarms, fencing, specifications for valves and pipe fittings, and operator training and requirements. (n) A description of contingency plans for well failures and shutdowns to prevent migration of contaminants from the well. (o) A description of the monitoring being conducted to detect migration of hazardous waste constituents, including the number and positioning of the monitoring wells, the monitoring wells' distances from the injection well, the monitoring wells' design data, the monitoring wells' installation, the monitoring development procedures, the sampling and analytical methodologies, the sampling frequency, and the chemical constituents analyzed. The design data of the monitoring wells shall include the monitoring wells' depth, the monitoring wells' diameters, the monitoring wells' casing materials, the perforated intervals within the well, the size of the perforations, the gradation of the filter pack, and the extent of the wells' annular seals. (p) Documentation demonstrating that the monitoring system and methods used at the facility can detect any seepage, including any leaks, cracks, or malfunctions in the well or a breach of the confining zone, before the hazardous waste constituents migrate from the well above the injection zone or from the confining zone. This documentation shall include, but is not limited to, substantiation of all of the following: (1) The monitoring system is effective enough, and includes a sufficient number of monitoring wells in the major water-bearing zones, which are located close enough to the injection well casing and to the injection zone, to verify that no lateral and vertical migration of any constituents discharged into the well is occurring outside of the injection zone. (2) Monitoring wells are not located within the influence of any adjacent pumping wells that might impair their effectiveness. (3) Monitoring wells are only screened in the aquifer to be monitored and are monitored for both pressure and water quality. (4) The chosen casing material does not adversely react with the potential contaminants of major concern at the facility. (5) The casing diameter allows an adequate amount of water to be removed during sampling and allows full development of the monitor well. (6) Monitoring wells are constructed so as not to provide potential conduits for migration of pollution, and the wells' construction features, including annular seals, prevent pollutants from migrating up or down the monitoring well. (7) The methods of water sample collection require that the samples are transported and handled in accordance with the United States Geological Survey's "National Handbook of Recommended Methods for Water-Data Acquisition," which provides guidelines for collection and analysis of groundwater samples for selected unstable constituents and any additional procedures specified by the department. For all monitoring wells, except those extending into the injection zone, the sample shall be collected after at least five well volumes have been removed from the well. (8) The hazardous waste constituents selected for analysis are specific to the facility, taking into account the chemical composition of hazardous wastes previously discharged into the injection well. The monitoring data shall be arranged in tabular form so that the date, the constituents, and the concentrations are readily discernible. (9) The frequency of monitoring is sufficient to give timely warning of migration of hazardous waste constituents so that remedial action can be taken prior to any adverse changes in the quality of the groundwater. (10) A written statement from the qualified person preparing the report indicating whether any constituents have migrated into the surface water bodies or any strata outside the injection zone, including water-bearing strata. (11) A written statement from the qualified person preparing the report indicating whether any migration of hazardous waste constituents into surface water bodies or any strata outside the injection zone, including water-bearing strata, is likely or not likely to occur within five years, and any evidence supporting that statement. (q) This section applies only to injection wells into which hazardous waste is discharged. SEC. 109. Section 25187 of the Health and Safety Code is amended to read: 25187. (a) (1) Whenever the department, a local health officer authorized pursuant to Section 25187.7, or a local public officer designated by the director pursuant to subdivision (a) of Section 25180 and authorized pursuant to Section 25187.7 determines that any person has violated, is in violation of, or threatens, as defined in subdivision (e) of Section 13304 of the Water Code, to violate, this chapter, Chapter 6.8 (commencing with Section 25300), or Article 3 (commencing with Section 25810) of Chapter 7.6, of this division, or any permit, rule, regulation, standard, or requirement issued or adopted pursuant to this chapter, Chapter 6.8 (commencing with Section 25300), or Article 3 (commencing with Section 25810) of Chapter 7.6, of this division, or the department, an authorized local health officer, or an authorized local public officer determines that there is or has been a release, as defined in Chapter 6.8 (commencing with Section 25300), of hazardous waste or constituents into the environment from a hazardous waste facility, the department, authorized local health officer, or authorized local public officer may issue an order specifying a schedule for compliance or correction and imposing an administrative penalty for any violation of this chapter or any permit, rule, regulation, standard, or requirement issued or adopted pursuant to this chapter. (2) An order issued pursuant to this section shall include a requirement that the person take corrective action with respect to hazardous waste, including the cleanup of the hazardous waste, abatement of the effects thereof, and any other necessary remedial action. An order issued pursuant to this section that requires corrective action at a hazardous waste facility shall require that corrective action be taken beyond the facility boundary, where necessary to protect human health or the environment. The order shall incorporate, as a condition of the order, any applicable waste discharge requirements issued by the State Water Resources Control Board or a California regional water quality control board, and shall be consistent with all applicable water quality control plans adopted pursuant to Section 13170 of the Water Code and Article 3 (commencing with Section 13240) of Chapter 4 of Division 7 of the Water Code and state policies for water quality control adopted pursuant to Article 3 (commencing with Section 13140) of Chapter 3 of Division 7 of the Water Code existing at the time of the issuance of the order, to the extent that the department, authorized local health officer, or authorized local public officer determines that those plans and policies are not less stringent than this chapter and regulations adopted pursuant to this chapter. The department, authorized local health officer, or authorized local public officer also may include any more stringent requirement that the department, authorized local health officer, or authorized local public officer determines is necessary or appropriate to protect water quality. Persons who are subject to an order pursuant to this section include present and prior owners, lessees, or operators of the property where the hazardous waste is located, present or past generators, storers, treaters, transporters, disposers, and handlers of hazardous waste, and persons who arrange, or have arranged, by contract or other agreement, to store, treat, transport, dispose of, or otherwise handle hazardous waste. (3) In an order proposing a penalty pursuant to this section, the department shall take into consideration the nature, circumstances, extent, and gravity of the violation, the violator's past and present efforts to prevent, abate, or clean up conditions posing a threat to the public health or safety or the environment, the violator's ability to pay the proposed civil penalty, and the prophylactic effect that imposition of the proposed penalty would have on both the violator and the regulated community as a whole. (b) For purposes of subdivision (a), "hazardous waste facility" includes the entire site that is under the control of an owner or operator engaged in the management of hazardous waste. (c) Any order issued pursuant to subdivision (a) shall be served by personal service or certified mail and shall inform the person so served of the right to a hearing. (d) (1) Any person served with an order pursuant to subdivision (c) who has been unable to resolve any violation or deficiency on an informal basis with the department, authorized local health officer, or authorized local public officer may, within 15 days after service of the order, request a hearing by filing with the department, authorized local health officer, or authorized local public officer a notice of defense. The notice shall be filed with the office that issued the order. A notice of defense shall be deemed filed within the 15-day period provided by this subdivision if it is postmarked within that 15-day period. If no notice of defense is filed within the time limits provided by this subdivision, the order shall become final. (2) If a person served with an order pursuant to subdivision (c) chooses to resolve the content, terms, or conditions of the order directly with the department, authorized local health officer, or authorized local public officer and does not file an administrative or judicial appeal, the person may request, and the department, authorized local health officer, or authorized local public officer shall prepare, a written statement, which the department, authorized local health officer, or authorized local public officer shall amend into the order, which explains the violation and the penalties applied, including the nature, extent, and gravity of the violations, and which includes a brief description of any mitigating circumstances and any explanations by the respondent. Any amendment to include the written statement prepared pursuant to this subdivision does not constitute a new order and does not create new appeal rights. (e) Except as provided in subdivision (f), any hearing requested under subdivision (d) shall be conducted within 90 days after receipt of the notice of defense by an administrative law judge of the Office of Administrative Hearings of the Department of General Services in accordance with Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code, and the department shall have all the authority granted to an agency by those provisions. (f) Any provision of an order issued under subdivision (a), except the imposition of an administrative penalty, shall take effect upon issuance by the department if the department finds that the violation or violations of law associated with that provision may pose an imminent and substantial endangerment to the public health or safety or the environment, and a request for a hearing shall not stay the effect of that provision of the order pending a decision by the department under subdivision (e). However, in the event that the department determines that any or all provisions of the order are so related that the public health or safety or the environment can be protected only by immediate compliance with the order as a whole, then the order as a whole, except the imposition of an administrative penalty, shall take effect upon issuance by the department. A request for a hearing shall not stay the effect of the order as a whole pending a decision by the hearing officer under subdivision (e). Any order issued after a hearing requested under subdivision (d) shall take effect upon issuance by the department. (g) A decision issued pursuant to this section may be reviewed by the court pursuant to Section 11523 of the Government Code. In all proceedings pursuant to this subdivision, the court shall uphold the decision of the department if the decision is based upon substantial evidence in the whole record. The filing of a petition for writ of mandate shall not stay any corrective action required pursuant to this chapter or the accrual of any penalties assessed pursuant to this chapter. This subdivision does not prohibit the court from granting any appropriate relief within its jurisdiction. (h) Except as otherwise provided in subdivisions (i) and (j), all administrative penalties collected under this section shall be placed in a separate subaccount in the Hazardous Waste Control Account and shall be available for expenditure by the department only upon appropriation by the Legislature. (i) Fifty percent of the penalties collected from actions brought by local health officers or designated local public officers pursuant to this section shall be paid to the city or county whose local health officer or designated local public officer imposed the penalty, and shall be deposited into a special account that may be expended to fund the activities of the local health officer or designated local public officer in enforcing this chapter pursuant to Section 25180, after the director determines that the local agency enforcement of this section is fair and reasonable. (j) Fifty percent of the penalties collected from actions brought by local health officers or designated local public officers pursuant to this section shall be paid to the department and deposited in the Hazardous Waste Control Account for expenditure by the department, upon appropriation by the Legislature, in connection with activities of local health officers or designated local public officers. SEC. 110. Section 25200.1.5 of the Health and Safety Code is amended to read: 25200.1.5. (a) The department may establish an administrative process to certify hazardous waste environmental technologies that it determines will not pose a significant potential hazard to the public health and safety or to the environment if they are used under specified operating conditions and can be operated without specialized training and with minimal maintenance. Hazardous waste environmental technologies that may be certified include, but are not limited to, hazardous waste management technologies, site mitigation technologies, and waste minimization and pollution prevention technologies. The certification process shall not be used for hazardous waste incineration technologies. The certification shall include all of the following: (1) A statement of the technical specifications applicable to the technology. (2) A determination of the composition of the hazardous wastes or chemical constituents for which the technology can appropriately be used. (3) An estimate of the efficacy and efficiency of the technology in regard to the hazardous wastes or chemical constituents for which it is certified. (4) A specification of the minimal operational standards that the technology is required to meet to ensure that the certified technology is managed properly and used safely. (b) An applicant for certification of a hazardous waste environmental technology shall provide the department with any information required by the department to make a determination on the application for certification. (c) The department's proposed decision on an application for certification of a hazardous waste environmental technology shall be published in the California Regulatory Notice Register and shall be subject to a 30-day comment period. The department' s final decision on an application for certification of a hazardous waste environmental technology shall become effective not sooner than 30 days after publication of the final decision in the California Regulatory Notice Register. (d) The department may decertify a hazardous waste environmental technology if it determines, on the basis of any information, that the hazardous waste environmental technology may pose a significant potential hazard to the public health and safety or to the environment. The department may decertify a hazardous waste environmental technology in accordance with the procedure set forth in subdivision (c). (e) The department's decision on an application for certification under this section is exempt from the requirements of Chapter 3.5 (commencing with Section 11340), Chapter 4 (commencing with Section 11370), and Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code, and shall not be subject to the review and approval of the Office of Administrative Law. (f) Based on the determination made by the department pursuant to subdivision (a), other local and state government permitting authorities may take this certification process into consideration when making their permitting decisions. (g) (1) The department shall place appropriate conditions on any certification granted pursuant to this section. Those conditions may include, but are not limited to, all of the following: (A) Limits on the types, volume, and concentration of waste streams that may be employed with the technology. (B) Operating requirements. (C) Monitoring requirements. (2) Any technology certified by the department pursuant to this section may be eligible for authorization pursuant to permit-by-rule or conditional authorization pursuant to Section 25201.5, or conditional exemption pursuant to Section 25200.3, only if the department determines that the use of that technology to handle the waste stream or streams is demonstrated to be as safe and as effective as the processes that are subject to regulation pursuant to permit-by-rule or conditional authorization pursuant to Section 25201.5 or conditional exemption pursuant to Section 25200.3. A certified technology determined to be eligible for authorization pursuant to permit-by-rule shall, in addition to any conditions placed on the certification pursuant to paragraph (1), operate in accordance with all conditions of the certification and permit-by-rule. (h) The department shall charge fees to review and certify environmental technologies pursuant to this section that are sufficient to recover the actual costs of the department in reviewing and approving the technology. (i) The department shall implement a program to continually monitor and oversee manufacturers and users of technologies certified pursuant to this section, in order to ensure that the certified technologies are operating in a manner that is not hazardous to human health and safety or to the environment. (j) The department shall adopt regulations to implement the certification process. SEC. 111. Section 25201.5 of the Health and Safety Code is amended to read: 25201.5. (a) Notwithstanding any other provision of law, a hazardous waste facility permit is not required for a generator who treats hazardous waste of a total weight of not more than 500 pounds, or a total volume of not more than 55 gallons, in any calendar month, if both of the following conditions are met: (1) The hazardous waste is not an extremely hazardous waste and is listed in Section 67450.11 of Title 22 of the California Code of Regulations, as in effect on January 1, 1992, as eligible for treatment pursuant to the regulations adopted by the department for operation under a permit-by-rule, and the treatment technology used is approved for that waste stream in Section 67450.11 of Title 22 of the California Code of Regulations for treatment under a permit-by-rule. (2) The generator is not otherwise required to obtain a hazardous waste facility permit or other grant of authorization for any other hazardous waste management activity at the facility. (b) Notwithstanding any other provision of law, treatment in the following units is ineligible for exemption pursuant to subdivision (a) or (c): (1) Landfills. (2) Surface impoundments. (3) Injection wells. (4) Waste piles. (5) Land treatment units. (6) Thermal destruction units. (c) Notwithstanding any other provision of law, a hazardous waste facility permit or other grant of authorization is not required to conduct the following treatment activities, if the generator treats the following hazardous waste streams using the treatment technology required by this subdivision: (1) The generator treats resins mixed in accordance with the manufacturer's instructions. (2) The generator treats a container having a capacity of 110 gallons or less, which is not constructed of wood, paper, cardboard, fabric, or any similar absorptive material, for the purposes of emptying the container as specified by Section 66261.7 of Title 22 of the California Code of Regulations, as revised July 1, 1990, or treats the inner liners removed from empty containers that once held hazardous waste or hazardous material. The generator shall treat the container or inner liner by using the following technologies, if the treated containers and rinseate are managed in compliance with the applicable requirements of this chapter: (A) The generator rinses the container or inner liner with a suitable liquid capable of dissolving or removing the hazardous constituents that the container held. (B) The generator uses physical processes, such as crushing, shredding, grinding, or puncturing, that change only the physical properties of the container or inner liner, if the container or inner liner is first rinsed as provided in subparagraph (A) and the rinseate is removed from the container or inner liner. (3) The generator conducts drying by pressing or by passive or heat-aided evaporation to remove water from wastes classified as special wastes by the department pursuant to Section 66261.124 of Title 22 of the California Code of Regulations. (4) The generator conducts magnetic separation or screening to remove components from wastes classified as special wastes by the department pursuant to Section 66261.124 of Title 22 of the California Code of Regulations. (5) The generator neutralizes wastes that are hazardous solely due to corrosivity or toxicity that results only from the acidic or alkaline material, in elementary neutralization units, as defined in Section 66260.10 of Title 22 of the California Code of Regulations, if the wastes result solely from the regeneration of ion exchange media used to demineralize water, do not contain more than 10 percent acid or base concentration by weight, and are treated in vessels and piping constructed of materials compatible with the range of temperatures and pH levels, and subject to appropriate pH and temperature controls. (6) The generator neutralizes acidic wastes that are hazardous solely due to corrosivity resulting from the presence of food or food by-products, and alkaline or acidic waste, other than wastes containing nitric acid, at SIC Code Group 20, food and kindred product facilities, as defined in subdivision (p) of Section 25501, if both of the following conditions are met: (A) The neutralization process does not result in the emission of volatile hazardous waste constituents or toxic air contaminants. (B) The neutralization process is required in order to meet discharge or other regulatory requirements. (7) The generator processes effluent hazardous waste for disposal from the processing of silver halide-based imaging products, if all of the following conditions are met: (A) The effluent is a hazardous waste solely due to its silver content. (B) The effluent is treated within 90 days of its generation. (C) The effluent is treated in a tank or container. (D) The total influent hazardous waste stream treated does not exceed 500 gallons in any calendar month. (E) The effluent is treated with a technology or combination of technologies that recover the silver to a level less than 5 mg/l total silver in the final waste water discharge, or a lower level as may be set by the local publicly owned treatment works. (8) Except as provided for specific waste streams in Section 25200.3, the generator conducts the separation by gravity of the following, if the activity is conducted in impervious tanks or containers constructed of noncorrosive materials, the activity does not involve the addition of heat or other form of treatment, or the addition of chemicals other than flocculants and demulsifiers, and the activity is managed in compliance with applicable requirements of federal, state, or local agency or treatment works: (A) The settling of solids from waste where the resulting aqueous stream is not hazardous. (B) The separation of oil and water mixtures and separation sludges, if the average oil recovered per month is less than 25 barrels. (9) The generator is a laboratory that is certified by the State Department of Health Services or operated by an educational institution, and treats waste water that is generated onsite solely as a result of analytical testing, or is a laboratory that treats less than one gallon of hazardous waste, generated onsite, in any single batch, subject to the following conditions: (A) The waste water treated is hazardous solely due to corrosivity or toxicity that results only from the acidic or alkaline material, as defined in Section 66260.10 of Title 22 of the California Code of Regulations, or is excluded from the definition of hazardous waste by subparagraph (E) of paragraph (2) of subsection (a) of Section 66261.3 of Title 22 of the California Code of Regulations, or both. (B) The treatment meets the following requirements, in addition to all other requirements of this section: (i) The treatment complies with all applicable pretreatment requirements. (ii) Neutralization occurs in elementary neutralization units, as defined in Section 66260.10 of Title 22 of the California Code of Regulations; wastes to be neutralized do not contain any more than 10 percent acid or base concentration by weight, or any other concentration limit that may be imposed by the department; and vessels and piping for neutralization are constructed of materials compatible with the range of temperatures and pH levels, and subject to appropriate pH temperature controls. (iii) Treatment does not result in the emission of volatile hazardous waste constituents or toxic air contaminants. (10) The hazardous waste treatment is carried out in a quality control or quality assurance laboratory at a facility that is not an offsite hazardous waste facility and the treatment activity otherwise meets the requirements of paragraph (1) of subdivision (a). (11) Any wastestream technology combination certified by the department, pursuant to Section 25200.1.5, as suitable for authorization pursuant to this section, that operates pursuant to the conditions imposed on that certification. (d) A generator conducting treatment pursuant to subdivision (a) or (c) shall meet all of the following conditions: (1) The waste being treated is generated onsite, and a residual material from the treatment of a hazardous waste generated offsite is not a waste that has been generated onsite. (2) The treatment does not require a hazardous waste facilities permit pursuant to the federal act. (3) The generator prepares and maintains written operating instructions and a record of the dates, amounts, and types of waste treated. (4) The generator prepares and maintains a written inspection schedule and log of inspections conducted. (5) The records specified in paragraphs (3) and (4) are maintained onsite for a period of three years. (6) The generator maintains adequate records to demonstrate that it is in compliance with all applicable pretreatment standards and with all applicable industrial waste discharge requirements issued by the agency operating the publicly owned treatment works into which the wastes are discharged. (7) (A) The generator submits a notification to the department and to the local health officer or other local public officer authorized to implement this chapter pursuant to Section 25180 on or before April 1, 1993, or, if the generator is commencing the first treatment of waste pursuant to this section, not more than 60 days before commencing treatment of that waste pursuant to this section. The notification shall be completed, dated, and signed in accordance with the requirements of Section 66270.11 of Title 22 of the California Code of Regulations, as those requirements apply to permit applications, shall be on a form prescribed by the department, and shall include, but not be limited to, all of the following information: (i) The name, identification number, site address, mailing address, and telephone number of the generator to whom the conditional exemption applies. (ii) A description of the physical characteristics and chemical composition of the hazardous waste to which the conditional exemption applies. (iii) A description of the hazardous waste treatment activity to which the conditional exemption applies, including, but not limited to, the basis for determining that a hazardous waste permit is not required under the federal act. (iv) A description of the characteristics and management of any treatment residuals. (B) The development and publication of the notification form specified in subparagraph (A) is not subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code. The department shall hold at least one public workshop concerning the development of the notification form. (C) Any notification submitted pursuant to this paragraph shall supersede any prior notice of intent submitted by the same generator in order to obtain a permit-by-rule under the regulations adopted by the department. This subparagraph does not require the department to refund any fees paid for any application in conjunction with the submission of a notice of intent for a permit-by-rule. (8) (A) Upon terminating operation of any treatment process or unit exempted pursuant to this section, the generator who conducted the treatment shall remove or decontaminate all waste residues, containment system components, soils, and other structures or equipment contaminated with hazardous waste from the unit. The removal of the unit from service shall be conducted in a manner that does both of the following: (i) Minimizes the need for further maintenance. (ii) Eliminates the escape of hazardous waste, hazardous constituents, leachate, contaminated runoff, or waste decomposition products to the environment after the treatment process is no longer in operation. (B) Any owner or operator who permanently ceases operation of a treatment process or unit that is conditionally exempted pursuant to this section shall provide written notification to the department and to the local health officer or other local public officer designated by the director pursuant to Section 25180 upon completion of all activities required under this subdivision. (9) The waste is managed in accordance with all applicable requirements for generators of hazardous waste under this chapter and the regulations adopted by the department pursuant to this chapter. (10) The generator submits a fee in the amount required by Section 25205.14. The generator shall submit that fee within 30 days after the date that the fee is assessed by the State Board of Equalization, in the manner specified by Section 43152.10 of the Revenue and Taxation Code. (11) Notwithstanding any other provision of law, the generator shall submit the fee required by Section 25205.14 for the 1993 reporting period to the department as part of, and at the same time as, the notification required pursuant to paragraph (7) that is due on April 1, 1993. Any notification not accompanied by payment of the fee is invalid and shall not result in a grant of conditional exemption. (e) (1) Unless otherwise required by federal law, ancillary equipment for a tank or container treating hazardous wastes solely pursuant to this section is not subject to Section 66265.193 of Title 22 of the California Code of Regulations if the ancillary equipment's integrity is attested to pursuant to Section 62265.191 of Title 22 of the California Code of Regulations every two years from the date that retrofitting requirements would otherwise apply. (2) The Legislature hereby finds and declares that, in the case of underground, gravity-pressured sewer systems, integrity testing often is not feasible. Therefore, on or before June 30, 1994, the department shall, by regulation, determine the best feasible leak detection measures that are sufficient to ensure that underground gravity-pressured sewer systems, for which it is not feasible to conduct integrity testing, do not leak. On and after July 1, 1994, if it is not feasible for an operator's ancillary equipment, or a portion thereof, to undergo integrity testing, the operator is not subject to Section 66265.193 of Title 22 of the California Code of Regulations if the operator implements the best feasible leak detection measures that are determined to be sufficient by the department in those regulations, and those leak detection measures do not reveal any leaks emanating from the operator's ancillary equipment. Any ancillary equipment found to leak shall be retrofitted by the operator to meet the full secondary containment standards of Section 66265.196 of Title 22 of the California Code of Regulations. (f) Nothing in this section shall abridge any authority granted to the department by any other provision of law to impose any further restrictions or limitations upon facilities that are subject to this section, which the department determines to be necessary to protect human health or the environment. (g) A generator may contract with another party to provide onsite treatment in accordance with the permit exemption provisions of this section. Any person who performs onsite treatment in a transportable treatment unit pursuant to this subdivision shall comply with the standards set forth in this chapter for the same treatment units treating the same waste streams and shall be subject to any additional requirements for transportable treatment units that are imposed by the department by regulations adopted pursuant to this section. The additional requirements may include, but shall not be limited to, a waste analysis plan, site-specific notification, financial assurances for third-party liability, operating standards, records retention, and time limits for the operation of the transportable treatment unit at a particular site. (h) A generator conducting activities that are exempt from this chapter pursuant to Section 66261.7 of Title 22 of the California Code of Regulations, as that section read on January 1, 1993, is not required to comply with this section. SEC. 112. Section 25201.10 of the Health and Safety Code, as added by Chapter 1117 of the Statutes of 1992, is amended and renumbered to read: 25201.11. (a) Copyright protection and all other rights and privileges provided pursuant to Title 17 of the United States Code are available to the department to the fullest extent authorized by law, and the department may sell, lease, or license for commercial or noncommercial use any work, including, but not limited to, videotapes, audiotapes, books, pamphlets, and computer software as that term is defined in Section 6254.9 of the Government Code, that the department produces whether the department is entitled to that copyright protection or not. (b) Any royalties, fees, or compensation of any type that is paid to the department to make use of a work entitled to copyright protection shall be deposited in the Hazardous Waste Control Account. (c) Nothing in this section is intended to limit any powers granted to the department pursuant to Section 6254.9 of the Government Code or any other provision of law. SEC. 113. Section 25355.7 of the Health and Safety Code is amended to read: 25355.7. (a) The department and the State Water Resources Control Board concurrently shall establish policies and procedures consistent with this chapter that the department's representatives shall follow in overseeing and supervising the activities of responsible parties who are carrying out the investigation of, and taking removal or remedial actions at, hazardous substance release sites. The policies and procedures shall be consistent with the policies and procedures established pursuant to Section 13307 of the Water Code, and shall include, but are not limited to, all of the following: (1) The procedures the department will follow in making decisions as to when a potentially responsible party may be required to undertake an investigation to determine if a hazardous substance release has occurred. (2) Policies for carrying out a phased, step-by-step investigation to determine the nature and extent of possible soil and groundwater contamination at a site. (3) Procedures for identifying and utilizing the most cost-effective methods for detecting contamination and carrying out removal or remedial actions. (4) Policies for determining reasonable schedules for investigation and removal or remedial action at a site. The policies shall recognize the dangers to public health and the environment posed by a release and the need to mitigate those dangers, while taking into account, to the extent possible, the financial and technical resources available to a responsible party. (b) The department and the State Water Resources Control Board jointly shall review the policies and procedures that were established pursuant to this section and Section 13307 of the Water Code prior to the enactment of this subdivision, and concurrently shall revise policies and procedures as necessary to make them as consistent as possible by selecting, from those inconsistent procedures or policies, the policies or procedures that are most protective of the environment. Where they cannot be made consistent because of the differing requirements of this chapter and Division 7 (commencing with Section 13000) of the Water Code, the department and the State Water Resources Control Board shall, by July 1, 1994, jointly develop, and send to the Legislature, recommendations for revising this chapter and Division 7 (commencing with Section 13000) of the Water Code to make consistent the hazardous substance release cleanup policies and procedures followed by the department, the State Water Resources Control Board, and the California regional water quality control boards. SEC. 114. Section 25359.3 of the Health and Safety Code, as added by Chapter 1237 of the Statutes of 1992, is amended and renumbered to read: 25359.4.5. (a) A responsible party who has entered into an agreement with the department and is in compliance with the terms of that agreement, or who is in compliance with an order issued by the department, may seek, in addition to contribution, treble damages from any contribution defendant who has failed or refused to comply with any order or agreement, was named in the order or agreement, and is subject to contribution. A contribution defendant from whom treble damages are sought in a contribution action shall not be assessed treble damages by any court where the contribution defendant, for sufficient cause, as determined by the court, failed to comply with an agreement or with an order issued by the department, or where the contribution defendant is an owner of real property who did not generate, treat, transport, store, or dispose of the hazardous substance on, in, or at the facility located on that real property, as specified in Sections 101 (35) and 107 (b) of the federal act (42 U.S.C. Secs. 9601 (35) and 9607 (b)), or where the principles of fundamental fairness would be violated, as determined by the court. A party seeking treble damages pursuant to this section shall show that the party, the department, or another entity provided notice, by means of personal service or certified mail, of the order or agreement to the contribution defendant from whom the party seeks treble damages. (b) One-half of any treble damages awarded pursuant to this section shall be paid to the department, for deposit in the Hazardous Substance Account. Nothing in this subdivision affects the rights of any party to seek contribution pursuant to any other statute or under common law. (c) A contribution defendant from whom treble damages are sought pursuant to this section shall be deemed to have acted willfully with respect to the conduct that gave rise to this liability for purposes of Section 533 of the Insurance Code. SEC. 115. Section 26569.29 of the Health and Safety Code is amended to read: 26569.29. (a) Notwithstanding any other provision of law, any producer, handler, processor, or retailer of food sold as organic immediately shall make available for inspection by the director, the Attorney General, any prosecuting attorney, any governmental agency responsible for enforcing laws related to the production or handling of food sold as organic, or the Director of Food and Agriculture any record required to be kept under this section for purposes of carrying out this article and Chapter 10 (commencing with Section 46000) of Division 17 of the Food and Agricultural Code, and, upon request, shall provide to any of those persons or agencies a copy of any such record within 72 hours after the request. Records acquired pursuant to this subdivision shall not be public records as that term is defined in Section 6252 of the Government Code and shall not be subject to Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code. (b) Upon written request of any person that establishes cause for the request, the director and the Director of Food and Agriculture shall obtain and provide to the requesting party, within 10 working days of the request, a copy of any of the following records required to be kept under this article that pertain to a specific product sold or offered for sale, and that identify substances applied, administered, or added to that product, except that financial information about an operation or transaction, information regarding the quantity of a substance administered or applied, the date of each administration or application, information regarding the identity of suppliers or customers, and the quantity or price of supplies purchased or products sold shall be removed before disclosure and shall not be released to any person other than persons and agencies authorized to acquire records under subdivision (a): (1) Records of a producer, as described in paragraph (1) of subdivision (a) and in paragraph (3) of subdivision (b) of Section 26569.28. (2) Records of a handler, as described in paragraphs (4) and (5) of subdivision (c) of Section 26569.28, records of previous handlers, if any, and producers, as described in paragraph (1) of subdivision (a) of, paragraph (3) of subdivision (b) of, and paragraphs (4) and (5) of subdivision (c) of, Section 26569.28, without identifying the previous handlers or producers, and, if applicable, records obtained as required in subdivision (d). (3) Records of a processor, as described in paragraph (4) of subdivision (d) of Section 26569.28, except for processing aids that are not residual in the product and spices and seasonings exempt from labeling requirements in Parts 145 and 146 of Title 21 of the Code of Federal Regulations, records of previous processors and handlers, if any, and producers, as described in paragraph (1) of subdivision (a) of, paragraph (3) of subdivision (b) of, paragraphs (4) and (5) of subdivision (c) of, and paragraph (4) of subdivision (d) of, Section 26569.28, without identifying the previous processors, handlers, or producers, and, if applicable, records obtained as required in subdivision (d). (4) Records of a retailer, as described in paragraphs (4) and (5) of subdivision (e) of Section 26569.28, records of previous processors and handlers, if any, and producers, as described in paragraph (1) of subdivision (a) of, paragraph (3) of subdivision (b) of, paragraphs (4) and (5) of subdivision (c), and paragraph (4) of subdivision (d) of, Section 26569.28, without identifying the previous processors, handlers, or producers, and, if applicable, records obtained as required in subdivision (d). This subdivision shall be the exclusive means of public access to records required to be kept by producers, processors, handlers, and retailers under this article. (c) Information specified in subdivision (b) that is required to be released upon request shall not be considered a "trade secret" under Section 26235, Section 1060 of the Evidence Code, or the Uniform Trade Secrets Act (Title 5 (commencing with Section 3426) of Part 1 of Division 4 of the Civil Code). (d) The director or the Director of Food and Agriculture may charge the person requesting records a reasonable fee to reimburse that officer or the source of the records for the cost of reproducing the records requested. (e) Any person who first imports into this state, for resale, food sold as organic shall obtain and provide to the enforcement authority, upon request, proof that the products being sold have been certified by an accredited certifying organization or otherwise have been produced in compliance with this article. (f) The director shall not be required to obtain records not in his or her possession in response to a subpoena. Prior to releasing records required to be kept pursuant to this chapter in response to a subpoena, the director shall delete any information regarding the identity of suppliers or customers and the quantity or price of supplies purchased or products sold. (g) Subdivisions (b), (c), and (d) shall become inoperative on January 1, 1995. SEC. 116. Section 33334.20 of the Health and Safety Code is amended to read: 33334.20. (a) Notwithstanding any other provision of law, for the 1993-94 fiscal year, a redevelopment agency to which this section applies may set aside, into the Low and Moderate Income Housing Fund established pursuant to Section 33334.3, an amount that is less than that required by subdivision (a) of Section 33334.2 or subdivision (c), (d), or (e) of Section 33334.6, provided that, in that fiscal year, the legislative body of the agency has made a finding, by resolution, that the amount deposited, when added to other public funds expended or appropriated in that fiscal year for the purposes described in subdivision (e) of Section 33334.2, is equal to or greater than the amount otherwise required to be set aside by subdivision (a) of Section 33334.2 or subdivision (c), (d), or (e) of Section 33334.6. (b) This section applies to a redevelopment agency within a city to which all of the following apply: (1) The city has a population of less than 100,000 according to the 1990 federal decennial census. (2) The legislative body of the city has made a finding, by resolution, that property damage in the city during the civil unrest that occurred between April 29, 1992, and May 3, 1992, exceeded fifty million dollars ($50,000,000). (3) The city has adopted a housing element, pursuant to Section 65585 of the Government Code, that substantially complies with Article 10.6 (commencing with Section 65580) of Chapter 3 of Division 1 of Title 7 of the Government Code. (c) (1) If, pursuant to subdivision (a), the agency deposits less than 20 percent of the taxes allocated to the agency pursuant to Section 33670 in the 1993-94 fiscal year in the Low and Moderate Income Housing Fund, the amount equal to the difference between 20 percent of the taxes allocated to the agency pursuant to Section 33670 for each affected project area and the amount deposited that year shall constitute a deficit of the project. (2) The agency shall adopt a plan to eliminate the deficit in subsequent years, beginning with payments in the 1999-2000 fiscal year and completing payments by the 2003-04 fiscal year. In calculating the amount of deficit, no interest may be included. If the amount of the deficit has not been eliminated by July 1, 2004, the county auditor is directed to withhold the amount of the remaining deficit and to make the deposit into the agency's Low and Moderate Income Housing Fund. (d) If, pursuant to subdivision (a), an agency deposits less than 20 percent of the taxes allocated to the agency pursuant to Section 33670 in the 1993-94 fiscal year in the Low and Moderate Income Housing Fund, the amount of the deficit shall be used to refinance bonds and to make payments on new bonds. The proceeds of these bonds shall be used to assist areas damaged during the civil unrest that occurred between April 29, 1992, and May 3, 1992. SEC. 117. The heading of Chapter 4.5 (commencing with Section 33492) of Part 1 of Division 24 of the Health and Safety Code, as added by Chapter 943 of the Statutes of 1993, is repealed. SEC. 118. Article 1 (commencing with Section 33492) of Chapter 4.5 of Part 1 of Division 24 of the Health and Safety Code, as added by Chapter 943 of the Statutes of 1993, is repealed. SEC. 118.5. The heading of Article 2 (commencing with Section 33492.50) of Chapter 4.5 of Part 1 of Division 24 of the Health and Safety Code, as added by Chapter 942 of the Statutes of 1993, is repealed. SEC. 119. The heading of Article 4 (commencing with Section 33492.70) is added to Chapter 4.5 of Part 1 of Division 24 of the Health and Safety Code, as added by Chapter 944 of the Statutes of 1993, to read: Article 4. Castle Air Force Base Redevelopment Project Area SEC. 120. Section 33492.50 of the Health and Safety Code is amended and renumbered to read: 33492.70. (a) With the enactment of this article, it is the intent of the Legislature to provide precise and specific means to mitigate the very serious economic effects of the closure of Castle Air Force Base on surrounding communities. (b) The Legislature finds and declares all of the following: (1) The County of Merced, with a population of 180,000, is already in a very significantly depressed condition, with an unemployment rate exceeding 18 percent, extraordinarily high costs relating to the Aid for Families with Dependent Children program, and low property tax revenues. (2) The closure of Castle Air Force Base will result in the elimination of over 6,000 jobs, which is one in every 20 jobs in the County of Merced and a payroll loss of $220,000,000. (3) The impact of the closure of Castle Air Force Base will fall in an area in which 70 percent of public assistance recipients live within 10 miles of the base. (4) This act is the result of a specific agreement between the County of Merced and affected local cities to resolve the situation created by the closure of Castle Air Force Base. (5) The Legislature grants the temporary authorization for the Castle Joint Powers Redevelopment Agency to defer 50 percent of its Low and Moderate Income Housing Fund requirements for up to five years to allow the agency to receive a larger cash flow to help the agency pay for its initial costs. The Legislature grants this authorization only in recognition of the unusual circumstances facing the agency. SEC. 121. Section 33492.51 of the Health and Safety Code is amended and renumbered to read: 33492.71. (a) Notwithstanding any other provision of law, there is hereby created the Castle Joint Powers Redevelopment Agency, which shall be composed of the City of Atwater, the City of Merced, and the County of Merced. (b) The Castle Joint Powers Redevelopment Agency shall have all the powers, authorities, and duties granted to it under Chapter 5 (commencing with Section 6500) of Division 7 of Title 1 of the Government Code and this part, except as modified by Section 33320.66 for the exclusive purpose of establishing the Castle Air Force Base project area within the unincorporated territory of the County of Merced. SEC. 122. Section 33492.53 of the Health and Safety Code is amended and renumbered to read: 33492.73. (a) In addition to the powers of any agency, the Castle Joint Powers Redevelopment Agency also shall act as the legislative body and planning commission for all approvals and actions required and authorized by this part for the adoption and implementation of a redevelopment plan. However, all land use, planning and development decisions with regard to the land within the project area shall continue to be under the control and jurisdiction of each of the respective local legislative bodies or planning commissions, as applicable. (b) In adopting a redevelopment project area for the area within the unincorporated territory of the County of Merced contained within the Castle Air Force Base, the following shall apply, subject to the requirements of Section 33492.13: (1) The dollar limitation on the taxes that may be divided and allocated to the Castle Air Force Base project area shall be two hundred fifty million dollars ($250,000,000). (2) The limitation on the time within which the agency may commence eminent domain proceedings shall be 15 years. (c) The Castle Joint Powers Redevelopment Agency may amend the limitations enumerated in paragraph (1) of subdivision (b) pursuant to existing law. (d) The Castle Joint Powers Redevelopment Agency may defer up to 50 percent of its Low and Moderate Income Housing Fund requirements for the Castle Air Force Base project area for up to five years. The amount of the deferral shall be considered an indebtedness and shall be repaid to the Low and Moderate Income Housing Fund within eight years of the establishment of the Castle Air Force Base project area. If the indebtedness is not eliminated by the eighth year, the county auditor or controller shall withhold an amount equal to the indebtedness and deposit those moneys into a separate Low and Moderate Income Housing Fund for use by the Castle Joint Powers Redevelopment Agency under this section. (e) The agency shall comply with the requirements of Chapter 16 (commencing with Section 7260) of Division 4 of Title 1 of the Government Code. In addition, if any housing occupied by persons of very low, low, or moderate income who have resided in the housing for at least two years is destroyed by redevelopment agency activities, the displaced persons shall receive relocation benefits which enable those persons to lease or rent a comparable replacement dwelling for a period not to exceed 96 months. (f) (1) The agency shall comply with the requirements of Section 33413. (2) In addition, if any housing occupied by persons of very low, low, or moderate income is destroyed by redevelopment agency activities, the destroyed units shall be replaced with housing, of the same or greater size, which shall be affordable in direct proportion to the income levels of the persons or households displaced by the redevelopment agency activities. This housing shall be provided simultaneously with the development for which it was destroyed. (3) The requirements imposed by paragraph (2) shall not apply to any dormitory building that, as of January 1, 1994, was located on Castle Air Force Base. (4) The requirements imposed by paragraph (2) shall not apply to the destruction of any housing if the vacancy rate for low-income housing within the jurisdiction of the Castle Joint Powers Redevelopment Agency, as determined by the agency, is then 6 percent or higher. (g) Notwithstanding Section 33320.65, the Castle Joint Powers Redevelopment Agency may establish a project area and adopt and amend a redevelopment plan, as modified by subdivision (a) and other provisions of this chapter, if all of the following conditions are met: (1) The Castle Joint Powers Redevelopment Agency makes a finding of benefit to the Castle Air Force Base project area, and the approval of the County of Merced, the City of Merced, and the City of Atwater is obtained. (2) The project area is contained entirely in two concentric circles, such that the center of one is directly in front of the main gate and has a radius of 4.75 miles, and the center of the second is at the intersection of Yosemite Avenue and G Street in the City of Merced with a radius of 6.5 miles. At no time shall the aggregate acreage of the project areas established pursuant to this section exceed 2 percent of either city or 1 percent of the unincorporated area of the circles. (3) The resolution adopting a survey area pursuant to Section 33310 shall be transmitted to all affected entities, including affected school districts, within 30 days of adoption. The planning commission, in formulating the preliminary plan pursuant to Section 33330, shall consult with all affected taxing entities. (h) The Castle Joint Powers Redevelopment Agency shall not adopt a redevelopment plan pursuant to this section until the City of Atwater adopts a housing element, pursuant to Section 65585 of the Government Code, that complies substantially with the requirements of Article 10.6 (commencing with Section 65580) of Chapter 3 of Division 1 of Title 7 of the Government Code. SEC. 123. Section 33492.55 of the Health and Safety Code is repealed. SEC. 124. Section 33492.69 of the Health and Safety Code is amended and renumbered to read: 33492.28. As used in this chapter, "fiscal year" means a year commencing on July 1 and ending on the next June 30. SEC. 125. Section 33607.7 of the Health and Safety Code is amended to read: 33607.7. (a) This section applies to a redevelopment plan amendment for any redevelopment plans adopted prior to January 1, 1994, that increases the limitation on the number of dollars to be allocated to the redevelopment agency or the time limit on the establishing of loans, advances, and indebtedness established pursuant to paragraphs (1) and (2) of subdivision (a) of Section 33333.2, or that lengthens the period during which the redevelopment plan is effective if the redevelopment plan being amended contains the provisions required by subdivision (b) of Section 33670. However, this section does not apply to those redevelopment plans that add new territory. (b) If a redevelopment agency adopts an amendment that is governed by this section, it shall pay to each affected taxing entity either of the following: (1) If an agreement exists that requires payments to the taxing entity, the amount required to be paid by an agreement between the agency and an affected taxing entity entered into prior to January 1, 1994. (2) If an agreement requiring those payments does not exist, the amounts required pursuant to subdivisions (b), (c), (d), and (e) of Section 33607.5, until termination of the redevelopment plan, calculated against the amount of assessed value by which the current year assessed value exceeds an adjusted base year assessed value. The amounts shall be allocated between property taxes and educational facilities according to the appropriate formula in paragraph (3) of subdivision (a) of Section 33607.5. In determining the applicable amount under Section 33607.5, the first fiscal year shall be the first fiscal year following the fiscal year in which the adjusted base year value is determined. (c) The adjusted base year assessed value shall be the assessed value of the project area in the year in which the limitation being amended would have taken effect without the amendment or, if more than one limitation is being amended, in the first year in which one or more of the limitations would have taken effect without the amendment. The agency shall commence making these payments pursuant to the terms of the agreement, if applicable, or, if an agreement does not exist, in the first fiscal year following the fiscal year in which the adjusted base year value is determined. SEC. 126. Section 33676 of the Health and Safety Code is amended to read: 33676. (a) Prior to the adoption by the legislative body of a redevelopment plan providing for tax-increment financing pursuant to Section 33670, any affected taxing agency may elect to be allocated, and every school district and community college district shall be allocated, in addition to the portion of taxes allocated to the affected taxing agency pursuant to subdivision (a) of Section 33670, all or any portion of the tax revenues allocated to the agency pursuant to subdivision (b) of Section 33670 that are attributable to one or more of the following: (1) Increases in the rate of tax imposed for the benefit of the taxing agency which levy occurs after the tax year in which the ordinance adopting the redevelopment plan becomes effective. (2) If an agency pursuant to Section 33354.5 amends a redevelopment plan that does not utilize tax increment financing to add tax increment financing and, pursuant to subdivision (a) of Section 33670, uses the assessment roll last equalized prior to the effective date of the ordinance originally adopting the redevelopment plan, an affected taxing agency may elect to be allocated all or any portion of the tax revenues allocated to the agency pursuant to subdivision (b) of Section 33670 that the affected taxing agency would receive if the agency were to use the assessment roll last equalized prior to the effective date of the ordinance amending the redevelopment plan to add tax increment financing. (b) (1) Any local education agency that is a basic aid district or office at the time the ordinance adopting a redevelopment plan is adopted and that receives no state funding, other than that provided pursuant to Section 6 of Article IX of the California Constitution, pursuant to Section 2558, 42238, or 84750, as appropriate, of the Education Code, shall receive annually its percentage share of the property taxes from the project area allocated among all of the affected taxing entities during the fiscal year the funds are allocated, increased by an amount equal to the lesser of the following: (A) The percentage growth in assessed value that occurs throughout the district, excluding the portion of the district within the redevelopment project area. (B) Eighty percent of the growth in assessed value that occurs within the portion of the district within the redevelopment project area. (2) Subparagraphs (A) and (B) of paragraph (1) shall not apply to a redevelopment plan adopted by the legislative body of a community if both of the following occur: (A) The median household income in the community in which the redevelopment project area is located is less than 80 percent of the median household income in the county in which the redevelopment project area is located. (B) The preliminary plan for the redevelopment plan was adopted on or before September 1, 1993, and the redevelopment plan was adopted on or before August 1, 1994. (3) Any local education agency that is a basic aid district or office at the time the ordinance amending a redevelopment plan is adopted pursuant to Section 33607.7 and that receives no state funding, other than that provided pursuant to Section 6 of Article IX of the California Constitution, pursuant to Section 2558, 42238, or 84750, as appropriate, of the Education Code, shall receive either of the following: (A) If an agreement exists that requires payments to the basic aid district, the amount required to be paid by an agreement between the agency and the basic aid district entered into prior to January 1, 1994. (B) If an agreement requiring those payments does not exist, the percentage share of the increase in property taxes from the project area allocated among all of the affected taxing entities during the fiscal year the funds in the project area are allocated, derived from 80 percent of the growth in assessed value that occurs within the portion of the district within the redevelopment project area from the year in which the amendment takes effect pursuant to subdivision (c) of Section 33607.7. (4) The redevelopment agency shall subtract from any payments made pursuant to this section the amount that a basic aid district receives pursuant to Section 33607.5 for the purposes of either paragraph (1) of subdivision (h) of Section 42238 of the Education Code or Section 84750 of the Education Code. (c) The governing body of any affected taxing agency, other than a school district and a community college district, electing to receive allocation of taxes pursuant to this section in addition to taxes allocated to it pursuant to subdivision (a) of Section 33670 shall adopt a resolution to that effect and transmit the same, prior to the adoption of the redevelopment plan, to (1) the legislative body, (2) the agency, and (3) the official or officials performing the functions of levying and collecting taxes for the affected taxing agency. Upon receipt by the official or officials of the resolution, allocation of taxes pursuant to this section to the affected taxing agency that has elected to receive the allocation pursuant to this section by the adoption of the resolution, and allocation of taxes pursuant to this section to every school district and community college district, shall be made at the time or times allocations are made pursuant to subdivision (a) of Section 33670. (d) An affected taxing agency, at any time after the adoption of the resolution, may elect not to receive all or any portion of the additional allocation of taxes pursuant to this section by rescinding the resolution or by amending the same, as the case may be, and giving notice thereof to the legislative body, the agency, and the official or officials performing the functions of levying and collecting taxes for the affected taxing agency. After receipt of a notice by the official or officials that an affected taxing agency has elected not to receive all or a portion of the additional allocation of taxes by rescission or amendment of the resolution, any allocation of taxes to the affected taxing agency required to be made pursuant to this section shall not thereafter be made but shall be allocated to the agency, and the affected taxing agency shall thereafter be allocated only the portion of taxes provided for in subdivision (a) of Section 33670. After receipt of a notice by the official or officials that an affected taxing agency has elected to receive additional tax revenues attributable to only a portion of the increases in the rate of tax, only that portion of the tax revenues shall thereafter be allocated to the affected taxing agency in addition to the portion of taxes allocated pursuant to subdivision (a) of Section 33670, and the remaining portion thereof shall be allocated to the agency. (e) As used in this section, "affected taxing agency" means and includes every public agency for the benefit of which a tax is levied upon property in the project area, whether levied by the public agency or on its behalf by another public agency. (f) This section applies only to redevelopment projects for which a final redevelopment plan is adopted pursuant to Article 5 (commencing with Section 33360) of Chapter 4 on or after January 1, 1977. SEC. 127. Section 33681.6 of the Health and Safety Code, as added by Chapter 902 of the Statutes of 1993, is repealed. SEC. 128. Section 33682.1 of the Health and Safety Code, as added by Chapter 902 of the Statutes of 1993, is repealed. SEC. 129. Section 42400.4 of the Health and Safety Code is amended to read: 42400.4. (a) In any district where a Title V permit program has been fully approved by the Environmental Protection Agency, any person who knowingly violates any federally enforceable permit condition or any fee or filing requirement applicable to a Title V source is guilty of a misdemeanor and is subject to a fine of not more than ten thousand dollars ($10,000). (b) In any district in which a Title V permit program has been fully approved by the Environmental Protection Agency, any person who knowingly makes any false material statement, representation, or certification in any form or in any notice or report required of a Title V source of a federally enforceable permit requirement, or who knowingly renders inaccurate any monitoring device or method required of a Title V source, is guilty of a misdemeanor and is subject to a fine of not more than ten thousand dollars ($10,000). (c) The recovery of civil penalties pursuant to Section 42402, 42402.1, 42402.2, or 42404.3 precludes prosecution pursuant to this section for the same offense. When a district refers a violation to a prosecuting agency, the filing of a criminal complaint is grounds requiring the dismissal of any civil action brought pursuant to this article for the same offense. (d) Each day during any portion of which a violation of subdivision (a) or (b) occurs is a separate offense. (e) This section shall not become operative in a district until the Environmental Protection Agency fully approves that district's Title V permit program. (f) This section applies only to federally enforceable permit conditions that are not otherwise enforceable pursuant to Sections 42400, 42400.1, 42400.2, and 42400.3. SEC. 130. Section 50406 of the Health and Safety Code is amended to read: 50406. For the purposes of this division, the department has all of the following powers: (a) To sue and be sued in its own name. (b) To have an official seal and to alter it at pleasure. (c) To make and execute contracts and all other instruments necessary or convenient for the exercise of its powers and functions. (d) To employ architects, planners, engineers, attorneys, accountants, experts in housing construction, management and finance, and any other advisers, consultants, and agents necessary for the performance of its functions and to fix their compensation in accordance with applicable law. (e) To provide advice, technical information, and consultative and technical services as provided in this division. (f) To establish, revise from time to time, and charge and collect fees and charges for services provided pursuant to this division. (g) To accept gifts, grants, or loans of funds or property, or financial or other aid, from any federal or state agency or private source and to comply with conditions thereof not contrary to law. (h) To enter into agreements or other transactions with any governmental agency, including an agreement for administration of a housing or community development program of the governmental agency by the department, or for administration by another governmental agency of a program of the department, either in whole or in part. (i) To enter into any agreements and perform any acts necessary to obtain subsidies for use in connection with the exercise of powers and functions of the department, and to transfer those subsidies to others as required by the agreement. (j) To appear in its own behalf before boards, commissions, departments, or other agencies of local, state, or federal government. (k) To establish any regional offices necessary to effectuate the department's purposes and functions. (l) To acquire real or personal property, or any interest therein, on either a temporary or long-term basis, in its own name by gift, purchase, transfer, foreclosure, lease, option, or otherwise, including easements or other incorporeal rights in property. (m) To provide bilingual staff in connection with services of the department and make available departmental publications in a language other than English when necessary to effectively serve groups for which the services or publications are made available. (n) To do any and all things necessary to carry out its purposes and exercise the powers expressly granted by this division. (o) (1) To sell real property acquired by the department in a foreclosure, by deed in lieu of foreclosure, or sale under a power of sale on a deed of trust, lien, or by exercise of any other security interest on real property securing repayment of a loan or performance under a grant or loan made by the department. Real property so acquired shall be sold for market value and sale proceeds shall be placed in the fund from which the secured loan or grant was made. (2) The department may establish terms, conditions, and restrictions for the sale of real property, including a requirement that the real property be used for housing for persons and families of low or moderate income, and those terms, conditions, and restrictions shall be set forth in the deed or other instrument of conveyance. (3) The department may conduct the sale, utilize the assistance of any local public agency authorized to conduct sales of real property, contract with a licensed real estate broker to conduct the sale, or utilize other reasonable marketing methods if the department determines that one of these options will result in a more prompt or cost-efficient sale. (4) If the director offers to sell residential real property directly pursuant to this subdivision, the department shall close escrow within 120 days after both of the following have occurred: a qualified buyer has received approval of the department; and the buyer has obtained adequate financing for the purchase. If the deadline set forth in this paragraph is not met, the director shall employ a licensed real estate broker in connection with the proposed sale. The department may exceed the time requirements of this paragraph if the director finds that this is necessary due to factors outside the control of the department, including death of the buyer, inability of the borrower to qualify for financing from a lender, substantial damage to the property resulting from a natural disaster or other act of God, or extraordinary procedural requirements or conditions imposed by the lender or title and escrow company. (5) The director shall perform all of the actions specified in subparagraphs (A), (B), and (C) within 30 days after both of the following have occurred: a qualified buyer has received approval of the department; and the buyer has obtained adequate financing for the purchase. (A) Identify repair work needed to be performed on the property. (B) Cause an appraisal of the property to be completed. (C) Determine whether it is appropriate to rent the property until it is sold. (6) Sales of real property made pursuant to this section are not subject to the requirements of Sections 11011 and 11011.1 of the Government Code. (7) Failure to comply with this subdivision shall not invalidate any right, title, or interest acquired by a bona fide purchaser or encumbrancer for value. SEC. 131. Section 10112.5 of the Insurance Code, as added by Chapter 1209 of the Statutes of 1993, is repealed. SEC. 132. Section 10384 of the Insurance Code, as added by Chapter 1209 of the Statutes of 1993, is repealed. SEC. 133. Section 53 of the Labor Code is amended to read: 53. Whenever in Section 1001 or in Part 1 (commencing with Section 11000) of Division 3 of Title 2 of the Government Code, "head of the department," or similar designation occurs, the same shall for the purposes of this code mean the director, except that in respect to matters which by the express provisions of this code are committed to or retained under the jurisdiction of the Division of Workers' Compensation, the State Compensation Insurance Fund, the Occupational Safety and Health Standards Board, the Occupational Safety and Health Appeals Board, or the Industrial Welfare Commission that designation shall mean the Division of Workers' Compensation, the Administrative Director of the Division of Workers' Compensation, the Workers' Compensation Appeals Board, the State Compensation Insurance Fund, the Occupational Safety and Health Standards Board, the Occupational Safety and Health Appeals Board, or the Industrial Welfare Commission, as the case may be. SEC. 134. Section 54.5 of the Labor Code is amended to read: 54.5. The director may appoint an attorney and assistants licensed to practice law in this state. In the absence of an appointment, the attorney for the Division of Workers' Compensation shall also perform those legal services for the department as the Director of Industrial Relations may direct. SEC. 135. Section 55 of the Labor Code is amended to read: 55. For the purpose of administration the director shall organize the department subject to the approval of the Governor, in the manner he or she deems necessary to segregate and conduct the work of the department. Notwithstanding any provision in this code to the contrary, the director may require any division in the department to assist in the enforcement of any or all laws within the jurisdiction of the department. Except as provided in Section 18930 of the Health and Safety Code, the director may, in accordance with the provisions of Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code, make those rules and regulations as are reasonably necessary to carry out the provisions of this chapter and to effectuate its purposes. The provisions of this section, however, shall not apply to the Division of Workers' Compensation or the State Compensation Insurance Fund, except as to any power or jurisdiction within those divisions as specifically may have been conferred by law upon the director. SEC. 136. Section 56 of the Labor Code is amended to read: 56. The work of the department shall be divided into at least six divisions known as the Division of Workers' Compensation, the Division of Occupational Safety and Health, the Division of Labor Standards Enforcement, the Division of Labor Statistics and Research, the Division of Apprenticeship Standards, and the State Compensation Insurance Fund. SEC. 137. Section 60 of the Labor Code is amended to read: 60. Except as otherwise provided, the provisions of Divisions 4 and 4.5 of this code shall be administered and enforced by the Division of Workers' Compensation. SEC. 138. Section 119 of the Labor Code is amended to read: 119. The attorney shall: (a) Represent and appear for the state and the Division of Workers' Compensation and the appeals board in all actions and proceedings arising under any provision of this code administered by the division or under any order or act of the division or the appeals board and, if directed so to do, intervene, if possible, in any action or proceeding relating thereto. (b) Commence, prosecute, and expedite the final determination of all actions or proceedings, directed or authorized by the administrative director or the appeals board. (c) Advise the administrative director and the appeals board and each member thereof, upon request, in regard to the jurisdiction, powers or duties of the administrative director, the appeals board and each member thereof. (d) Generally perform the duties and services as attorney to the Division of Workers' Compensation and the appeals board which are required of him or her. SEC. 139. Section 125 of the Labor Code is amended to read: 125. The administrative director shall cause to be printed and furnished free of charge to any person blank forms that may facilitate or promote the efficient performance of the duties of the Division of Workers' Compensation. SEC. 140. Section 126 of the Labor Code is amended to read: 126. The Division of Workers' Compensation, including the administrative director and the appeals board, shall keep minutes of all their proceedings and other books or records requisite for proper and efficient administration. All records shall be kept in their respective offices. SEC. 141. Section 133 of the Labor Code is amended to read: 133. The Division of Workers' Compensation, including the administrative director and the appeals board, shall have the power and jurisdiction to do all things necessary or convenient in the exercise of any power or jurisdiction conferred upon them under this code. SEC. 142. Section 138.2 of the Labor Code is amended to read: 138.2. (a) The headquarters of the Division of Workers' Compensation shall be based at and operated from a centrally located city. (b) The administrative director shall have an office in the centrally located city where the appeals board shall be based with suitable rooms, necessary office furniture, stationery and supplies, and may rent quarters in other places for the purpose of establishing branch or service offices, and for that purpose may provide those offices with necessary furniture, stationery and supplies. (c) The administrative director shall provide suitable rooms, with necessary office furniture, stationery and supplies for the appeals board at the centrally located city where the appeals board shall be based and operate from, and may rent quarters in other places for the purpose of establishing branch or service offices for the appeals board, and for that purpose may provide those offices with necessary furniture, stationery and supplies. (d) All meetings held by the administrative director shall be open and public. Notice thereof shall be published in papers of general circulation not more than 30 days and not less than 10 days prior to each meeting in Sacramento, San Francisco, Fresno, Los Angeles and San Diego. Written notice of all meetings shall be given to all persons who request in writing directed to the administrative director that they be given notice. SEC. 143. Section 138.5 of the Labor Code is amended to read: 138.5. The Division of Workers' Compensation shall cooperate in the enforcement of child support obligations. At the request of the Director of Social Services, the administrative director shall assist in providing to the State Department of Social Services information concerning persons who are receiving permanent disability benefits or who have filed an application for adjudication of a claim that the Director of Social Services determines is necessary to carry out its responsibilities pursuant to Section 11478.6 of the Welfare and Institutions Code. The process of sharing information with regard to applicants for and recipients of permanent disability benefits required by this section shall be known as the Workers' Compensation Notification Project. SEC. 144. Section 2808 of the Labor Code, as added by Chapter 1209 of the Statutes of 1993, is repealed. SEC. 145. Section 3205 of the Labor Code is amended to read: 3205. "Division" means the Division of Workers' Compensation. SEC. 146. Section 3205.5 of the Labor Code is amended to read: 3205.5. "Appeals board" means the Workers' Compensation Appeals Board of the Division of Workers' Compensation. SEC. 147. Section 3206 of the Labor Code is amended to read: 3206. "Administrative director" means the Director of the Division of Workers' Compensation. SEC. 148. Section 3717 of the Labor Code is amended to read: 3717. (a) A findings and award that is the subject of a demand on the Uninsured Employers Fund or an approved compromise and release or stipulated findings and award entered into by the director pursuant to subdivision (e) of Section 3715, or a decision and order of the rehabilitation unit of the Division of Workers' Compensation, that has become final, shall constitute a liquidated claim for damages against an employer in the amount so ascertained and fixed by the appeals board, and the appeals board shall certify the same to the director who may institute a civil action against the employer in the name of the director, as administrator of the Uninsured Employers Fund, for the collection of the award, or may obtain a judgment against the employer pursuant to Section 5806. In the event that the appeals board finds that a corporation is the employer of an injured employee, and that the corporation has not secured the payment of compensation as required by this chapter, the following persons shall be jointly and severally liable with the corporation to the director in the action: (1) All persons who are a parent, as defined in Section 175 of the Corporations Code, of the corporation. (2) All persons who are substantial shareholders, as defined in subdivision (b), of the corporation or its parent. In the action it shall be sufficient for plaintiff to set forth a copy of the findings and award of the appeals board relative to the claims as certified by the appeals board to the director and to state that there is due to plaintiff on account of the finding and award of the appeals board a specified sum which plaintiff claims with interest. The director shall be further entitled to costs and reasonable attorney fees, and to his or her investigation and litigation expenses for the appeals board proceedings, and a reasonable attorney fee for litigating the appeals board proceedings. A certified copy of the findings and award in the claim shall be attached to the complaint. The contents of the findings and award shall be deemed proved. The answer or demurrer to the complaint shall be filed within 10 days, the reply or demurrer to the answer within 20 days, and the demurrer to the reply within 30 days after the return day of the summons or service by publication. All motions and demurrers shall be submitted to the court within 10 days after they are filed. At the time the civil action filed pursuant to this section is at issue, it shall be placed at the head of the trial docket and shall be first in order for trial. Nothing in this chapter shall be construed to preclude informal adjustment by the director of a claim for compensation benefits before the issuance of findings and award wherever it appears to the director that the employer is uninsured and that informal adjustment will facilitate the expeditious delivery of compensation benefits to the injured employee. (b) As used in this section, "substantial shareholder" means a shareholder who owns at least 15 percent of the total value of all classes of stock, or, if no stock has been issued, who owns at least 15 percent of the beneficial interests in the corporation. (c) For purposes of this section, in determining the ownership of stock or beneficial interest in the corporation, in the determination of whether a person is a substantial shareholder of the corporation, the rules of attribution of ownership of Section 17384 of the Revenue and Taxation Code shall be applied. (d) For purposes of this section, "corporation" shall not include: (1) Any corporation which is the issuer of any security which is exempted by Section 25101 of the Corporations Code from Section 25130 of the Corporations Code. (2) Any corporation which is the issuer of any security exempted by subdivision (c), (d), or (i) of Section 25100 of the Corporations Code from Sections 25110, 25120, and 25130 of the Corporations Code. (3) Any corporation which is the issuer of any security which has qualified either by coordination, as provided by Section 25111 of the Corporations Code, or by notification, as provided by Section 25112 of the Corporations Code. SEC. 149. Section 4409 of the Labor Code is amended to read: 4409. The Director of Workers' Compensation, or his or her representative, shall assign investigative and claims adjustment services respecting matters concerning Asbestos Workers' Account cases. The assignments may be made within the department, including the Division of Workers' Compensation, and excluding the State Compensation Insurance Fund. SEC. 150. Section 4726 of the Labor Code is amended to read: 4726. The State Board of Control and the Administrative Director of the Division of Workers' Compensation shall jointly adopt rules and regulations as may be necessary to carry out the provisions of this article. SEC. 151. Section 4753.5 of the Labor Code is amended to read: 4753.5. In any hearing, investigation, or proceeding, the state shall be represented by the Attorney General, or the attorneys of the Division of Workers' Compensation appointed pursuant to Sections 117 and 119. Expenses incident to representation, including costs for investigation, medical examinations, and other expert reports, fees for witnesses, and other necessary and proper expenses, but excluding the salary of any of the Attorney General's deputies, shall be reimbursed from appropriations for the payments of the special additional compensation specified in Section 4751. No witness fees or fees for medical services shall exceed those fees prescribed by the appeals board for the same services in those cases where the appeals board, by rule, has prescribed fees. Reimbursement pursuant to this section shall be in addition to and in augmentation of any other appropriations made or funds available for the use or support of the Attorney General or the attorneys of the Division of Workers' Compensation. SEC. 152. Section 5300 of the Labor Code is amended to read: 5300. All the following proceedings shall be instituted before the appeals board and not elsewhere, except as otherwise provided in Division 4: (a) For the recovery of compensation, or concerning any right or liability arising out of or incidental thereto. (b) For the enforcement against the employer or an insurer of any liability for compensation imposed upon the employer by this division in favor of the injured employee, his or her dependents, or any third person. (c) For the determination of any question as to the distribution of compensation among dependents or other persons. (d) For the determination of any question as to who are dependents of any deceased employee, or what persons are entitled to any benefit under the compensation provisions of this division. (e) For obtaining any order which by Division 4 the appeals board is authorized to make. (f) For the determination of any other matter, jurisdiction over which is vested by Division 4 in the Division of Workers' Compensation, including the administrative director and the appeals board. SEC. 153. Section 5305 of the Labor Code is amended to read: 5305. The Division of Workers' Compensation, including the administrative director and the appeals board has jurisdiction over all controversies arising out of injuries suffered outside the territorial limits of this state in those cases where the injured employee is a resident of this state at the time of the injury and the contract of hire was made in this state. Any employee described by this section, or his or her dependents, shall be entitled to the compensation or death benefits provided by this division. SEC. 154. Section 5450 of the Labor Code is amended to read: 5450. The Division of Workers' Compensation shall make available to employees, employers and other interested parties information, assistance, and advice to assure the proper and timely furnishing of benefits and to assist in the resolution of disputes on an informal basis. SEC. 155. Section 5451 of the Labor Code is amended to read: 5451. Any party may consult with, or seek the advice of, an information and assistance officer within the Division of Workers' Compensation as designated by the administrative director. If no application is filed, if the employee is not represented, or upon agreement of the parties, the information and assistance officer shall consider the contentions of the parties and may refer the matter to the appropriate bureau or unit within the Division of Workers' Compensation for review and recommendations. The information and assistance officer shall advise the employer and the employee of their rights, benefits, and obligations under this division. Upon making a referral, the information and assistance officer shall arrange for a copy of any pertinent material submitted to be served upon the parties or their representatives, if any. The procedures to be followed by the information and assistance officer shall be governed by the rules and regulations of the administrative director adopted after public hearings. SEC. 156. Section 5452 of the Labor Code is amended to read: 5452. If the matter is referred to the Medical Bureau for review, the bureau may require an employee to undergo a medical examination. The bureau shall prepare a report containing its findings and recommendations, copies of which shall be furnished to the parties or their representatives, if any. No fee shall be charged by the Division of Workers' Compensation for any services authorized by this chapter except that if the Medical Bureau refers the employee to an independent medical examiner for examination and report, any party may agree to pay the cost of the examination. Referrals to the independent medical examiner shall be governed by the rules and regulations adopted by the administrative director after public hearings. SEC. 157. Section 5453 of the Labor Code is amended to read: 5453. After consideration of the information submitted, including the reports of any bureau or unit within the Division of Workers' Compensation that have been received, the information and assistance officer shall make a recommendation that shall be served on the parties or their representatives, if any. SEC. 158. Section 5454 of the Labor Code is amended to read: 5454. Submission of any matter to an information and assistance officer of the Division of Workers' Compensation shall toll any applicable statute of limitations for the period that the matter is under consideration by the information and assistance officer, and for 60 days following the issuance of his or her recommendation. SEC. 159. Section 5703 of the Labor Code is amended to read: 5703. The appeals board may receive as evidence either at or subsequent to a hearing, and use as proof of any fact in dispute, the following matters, in addition to sworn testimony presented in open hearing: (a) Reports of attending or examining physicians. (1) Statements concerning any bill for services are admissible only if made under penalty of perjury that they are true and correct to the best knowledge of the physician. (2) In addition, reports are admissible under this subdivision only if the physician has further stated in the body of the report that there has not been a violation of Section 139.3 and that the contents of the report are true and correct to the best knowledge of the physician. The statement shall be made under penalty of perjury. (b) Reports of special investigators appointed by the appeals board or a workers' compensation judge to investigate and report upon any scientific or medical question. (c) Reports of employers, containing copies of timesheets, book accounts, reports, and other records properly authenticated. (d) Properly authenticated copies of hospital records of the case of the injured employee. (e) All publications of the Division of Workers' Compensation. (f) All official publications of the State of California and United States governments. (g) Excerpts from expert testimony received by the appeals board upon similar issues of scientific fact in other cases and the prior decisions of the appeals board upon similar issues. SEC. 160. Section 9021.9 of the Labor Code is amended to read: 9021.9. (a) The division shall establish an advisory committee to develop and recommend by September 30, 1994, for action by the standards board in accordance with Section 142.3, specific requirements for hands-on, task-specific training programs for all craft employees who may be exposed to asbestos-containing construction materials and all employees and supervisors involved in operations pertaining to asbestos cement pipe, as specified in subdivision (c) of Section 6501.8. The training programs shall include, but not be limited to, the following information: (1) The physical characteristics and health hazards of asbestos. (2) The types of asbestos cement pipe or asbestos-containing construction materials an employee may encounter in his or her specific work assignments. (3) Safe practices and procedures for minimizing asbestos exposures from operations involving asbestos cement pipe or asbestos-containing construction materials. (4) A review of general industry and construction safety orders relating to asbestos exposure. (5) Hands-on instruction using pipe or other construction materials and the tools and equipment employees will use in the workplace. (b) The division shall approve training entities to conduct task-specific training programs that include the requirements prescribed by the standards board pursuant to this section for employees and supervisors involved in operations pertaining to asbestos cement pipe or asbestos-containing construction materials. (c) The division shall charge a fee to each asbestos training entity approved by the division pursuant to subdivision (b). The fee shall be sufficient to cover the division's cost for administering the approval process provided for in subdivision (b). The fees collected shall be deposited in the Asbestos Training Approval Account. Establishment of any fee pursuant to this section shall be accomplished through the regulatory process required by subdivision (b) of Section 9021.5. SEC. 161. Section 395.1 of the Military and Veterans Code is amended to read: 395.1. (a) Notwithstanding any other provision of law to the contrary, any officer or employee of the state not subject to Chapter 11 (commencing with Section 19770) of Part 2 of Division 5 of Title 2 of the Government Code, or any public officer, deputy, assistant, or employee of any city, county, city and county, school district, water district, irrigation district, or any other district, political corporation, political subdivision, or governmental agency thereof who, in time of war or national emergency as proclaimed by the President or Congress, or when any of the armed forces of the United States are serving outside of the United States or their territories pursuant to order or request of the United Nations, or while any national conscription act is in effect, leaves or has left his or her office or position prior to the end of the war, or the termination of the national emergency or during the effective period of any order or request of this type of the United Nations or prior to the expiration of the National Conscription Act, to join the armed forces of the United States and who does or did without unreasonable and unnecessary delay join the armed forces or, being a member of any reserve force or corps of any of the armed forces of the United States or of the militia of this state, is or was ordered to duty therewith by competent military authority and served or serves in compliance with those orders, shall have a right, if released, separated or discharged under conditions other than dishonorable, to return to and reenter upon the office or position within six months after the termination of his or her active service with the armed forces, but not later than six months after the end of the war or national emergency or military or police operations under the United Nations or after the Governor finds and proclaims that, for the purposes of this section, the war, national emergency, or United Nations military or police operation no longer exists, or after the expiration of the National Conscription Act, if the term for which he or she was elected or appointed has not ended during his or her absence; provided, that the right to return to and reenter upon the office or position shall not extend to or be granted to any officer or employee of the state not subject to Chapter 11 (commencing with Section 19770) of Part 2 of Division 5 of Title 2 of the Government Code, or any public officer, deputy, assistant, or employee of any city, county, city and county, school district, water district, irrigation district or any other district, political corporation, political subdivision or governmental agency thereof, who shall fail to return to and reenter upon his or her office or position within 12 months after the first date upon which he or she could terminate or could cause to have terminated his or her active service with the armed forces of the United States or of the militia of this state. He or she shall also have a right to return to and reenter upon the office or position during terminal leave from the armed forces and prior to discharge, separation or release therefrom. (b) Upon return and reentry to the office or employment the officer or employee shall have all of the rights and privileges in, connected with, or arising out of the office or employment which he or she would have enjoyed if he or she had not been absent therefrom; provided, however, the officer or employee shall not be entitled to sick leave, vacation or salary for the period during which he or she was on leave from that governmental service and in the service of the armed forces of the United States. If the office or position has been abolished or otherwise has ceased to exist during his or her absence, he or she shall be reinstated in a position of like seniority, status and pay if the position exists, or to a comparable vacant position for which he or she is qualified. (c) Any officer or employee other than a probationer who is restored to his or her office or employment pursuant to this act shall not be discharged from that office or position without cause within one year after the restoration, and shall be entitled to participate in insurance or other benefits offered by the employing governmental agency pursuant to established rules and practices relating to those officers or employees on furlough or leave of absence in effect at the time the officer or employee left his or her office or position to join the armed forces of the United States. (d) Notwithstanding any other provisions of this code, any enlisted person who was involuntarily ordered to active duty (other than for training) for a stated duration shall not lose any right or benefit conferred under this code if he or she voluntarily elects to complete the period of that duty. (e) If the provisions of this section are in conflict with the provisions of a memorandum of understanding reached pursuant to Chapter 12 (commencing with Section 3560) of Division 4 of Title 1 of the Government Code, the memorandum of understanding shall be controlling without further legislative action, except that if such provisions of a memorandum of understanding require the expenditure of funds, the provisions shall not become effective unless approved by the Legislature in the annual Budget Act. SEC. 162. Section 395.3 of the Military and Veterans Code is amended to read: 395.3. In the event that any public officer or employee has resigned or resigns his or her office or employment to serve or to continue to serve in the armed forces of the United States or in the armed forces of this state, he or she shall have a right to return to and reenter the office or employment prior to the time at which his or her term of office or his or her employment would have ended if he or she had not resigned, on serving a written notice to that effect upon the authorized appointing power, or if there is no authorized appointing power, upon the officer or agency having power to fill a vacancy in the office or employment, within six months of the termination of his or her active service with the armed forces; provided, that the right to return and reenter upon the office or position shall not extend to or be granted to any public officer or employee, who shall fail to return to and reenter upon his or her office or position within 12 months after the first date upon which he or she could terminate or could cause to have terminated his or her active service with the armed forces of the United States or of the militia of this state. As used in this section, "public officers and employees" includes all of the following: (a) Members of the Senate and of the Assembly. (b) Justices of the Supreme Court and the courts of appeal, judges of the superior courts and of the municipal courts, and all other judicial officers. (c) All other state officers and employees not within Chapter 11 (commencing with Section 19770) of Part 2 of Division 5 of Title 2 of the Government Code, including all officers for whose selection and term of office provision is made in the Constitution and laws of this state. (d) All officers and employees of any county, city and county, city, township, district, political subdivision, authority, commission, board, or other public agency within this state. The right of reentry into public office or employment provided for in this section shall include the right to be restored to the civil service status as the officer or employee would have if he or she had not so resigned; and no other person shall acquire civil service status in the same position so as to deprive the officer or employee of his or her right to restoration as provided for herein. This section shall be retroactively applied to extend the right of reentry into public office or employment to public officers and employees who resigned prior to its effective date. This section does not apply to any public officer or employee to whom the right to reenter public office or employment after service in the armed forces has been granted by any other provision of law. If any provision of this section, or the application of this section to any person or circumstance, is held invalid, the remainder of this section, or the application of this section to persons or circumstances other than those as to which it is held invalid, shall not be affected thereby. If the provisions of this section are in conflict with the provisions of a memorandum of understanding reached pursuant to Chapter 12 (commencing with Section 3560) of Division 4 of Title 1 of the Government Code, the memorandum of understanding shall be controlling without further legislative action, except that if such provisions of a memorandum of understanding require the expenditure of funds, the provisions shall not become effective unless approved by the Legislature in the annual Budget Act. SEC. 163. Section 209.5 of the Penal Code, as added by Chapter 610 of the Statutes of 1993, is repealed. SEC. 164. Section 215 of the Penal Code, as added by Chapter 610 of the Statutes of 1993, is repealed. SEC. 165. Section 987.2 of the Penal Code is amended to read: 987.2. (a) In any case in which a person, including a person who is a minor, desires but is unable to employ counsel, and in which counsel is assigned in the superior, municipal, or justice court to represent the person in a criminal trial, proceeding, or appeal, the following assigned counsel shall receive a reasonable sum for compensation and for necessary expenses, the amount of which shall be determined by the court, to be paid out of the general fund of the county: (1) In a county or city and county in which there is no public defender. (2) In a county of the first, second, or third class where there is no contract for criminal defense services between the county and one or more responsible attorneys. (3) In a case in which the court finds that, because of a conflict of interest or other reasons, the public defender has properly refused. (4) In a county of the first, second, or third class where attorneys contracted by the county are unable to represent the person accused. (b) The sum provided for in subdivision (a) may be determined by contract between the court and one or more responsible attorneys after consultation with the board of supervisors as to the total amount of compensation and expenses to be paid, which shall be within the amount of funds allocated by the board of supervisors for the cost of assigned counsel in those cases. (c) In counties that utilize an assigned private counsel system as either the primary method of public defense or as the method of appointing counsel in cases where the public defender is unavailable, the county, the courts, or the local county bar association working with the courts are encouraged to do all of the following: (1) Establish panels that shall be open to members of the State Bar of California. (2) Categorize attorneys for panel placement on the basis of experience. (3) Refer cases to panel members on a rotational basis within the level of experience of each panel, except that a judge may exclude an individual attorney from appointment to an individual case for good cause. (4) Seek to educate those panel members through an approved training program. (5) Establish a cost-efficient plan to ensure maximum recovery of costs pursuant to Section 987.8. (d) In a county of the first, second, or third class, the court shall first utilize the services of the public defender to provide criminal defense services for indigent defendants. In the event that the public defender is unavailable and the county and the courts have contracted with one or more responsible attorneys or with a panel of attorneys to provide criminal defense services for indigent defendants, the court shall utilize the services of the county-contracted attorneys prior to assigning any other private counsel. Nothing in this subdivision shall be construed to require the appointment of counsel in any case in which the counsel has a conflict of interest. In the interest of justice, a court may depart from that portion of the procedure requiring appointment of a county-contracted attorney after making a finding of good cause and stating the reasons therefor on the record. (e) In a county of the first, second, or third class, the court shall first utilize the services of the public defender to provide criminal defense services for indigent defendants. In the event that the public defender is unavailable and the county has created a second public defender and contracted with one or more responsible attorneys or with a panel of attorneys to provide criminal defense services for indigent defendants, and if the quality of representation provided by the second public defender is comparable to the quality of representation provided by the public defender, the court shall next utilize the services of the second public defender and then the services of the county-contracted attorneys prior to assigning any other private counsel. Nothing in this subdivision shall be construed to require the appointment of counsel in any case in which the counsel has a conflict of interest. In the interest of justice, a court may depart from that portion of the procedure requiring appointment of the second public defender or a county-contracted attorney after making a finding of good cause and stating the reasons therefor on the record. (f) In any case in which counsel is assigned as provided in subdivision (a), that counsel appointed by the court and any court-appointed licensed private investigator shall have the same rights and privileges to information as the public defender and the public defender investigator. It is the intent of the Legislature in enacting this subdivision to equalize any disparity that exists between the ability of private, court-appointed counsel and investigators, and public defenders and public defender investigators, to represent their clients. This subdivision is not intended to grant to private investigators access to any confidential Department of Motor Vehicles' information not otherwise available to them. This subdivision is not intended to extend to private investigators the right to issue subpoenas. (g) Notwithstanding any other provision of this section, where an indigent defendant is first charged in one county and establishes an attorney-client relationship with the public defender, defense services contract attorney, or private attorney, and where the defendant is then charged with an offense in a second or subsequent county, the court in the second or subsequent county may appoint the same counsel as was appointed in the first county to represent the defendant when all of the following conditions are met: (1) The offense charged in the second or subsequent county would be joinable for trial with the offense charged in the first if it took place in the same county, or involves evidence which would be cross-admissible. (2) The court finds that the interests of justice and economy will be best served by unitary representation. (3) Counsel appointed in the first county consents to the appointment. (h) The county may recover costs of public defender services under Chapter 6 (commencing with Section 4750) of Title 5 of Part 3 for any case subject to Section 4750. (i) Counsel shall be appointed to represent, in the municipal or justice court, a person who desires but is unable to employ counsel, when it appears that the appointment is necessary to provide an adequate and effective defense for the defendant. (j) As used in this section, "county of the first, second, or third class" means the county of the first class, county of the second class, and county of the third class as provided by Sections 28020, 28022, 28023, and 28024 of the Government Code. SEC. 166. Section 1170.1 of the Penal Code is amended to read: 1170.1. (a) Except as provided in subdivision (c) and subject to Section 654, when any person is convicted of two or more felonies, whether in the same proceeding or court or in different proceedings or courts, and whether by judgment rendered by the same or by a different court, and a consecutive term of imprisonment is imposed under Sections 669 and 1170, the aggregate term of imprisonment for all these convictions shall be the sum of the principal term, the subordinate term, and any additional term imposed pursuant to Section 667, 667.5, 667.6, or 12022.1, and pursuant to Section 11370.2 of the Health and Safety Code. The principal term shall consist of the greatest term of imprisonment imposed by the court for any of the crimes, including any enhancements imposed pursuant to Section 667.15, 667.8, 667.85, 12022, 12022.2, 12022.3, 12022.4, 12022.5, 12022.55, 12022.6, 12022.7, 12022.75, 12022.8, or 12022.9 and an enhancement imposed pursuant to Section 11370.4 or 11379.8 of the Health and Safety Code. The subordinate term for each consecutive offense which is not a "violent felony" as defined in subdivision (c) of Section 667.5 shall consist of one-third of the middle term of imprisonment prescribed for each other felony conviction for an offense that is not a violent felony for which a consecutive term of imprisonment is imposed, and shall exclude any enhancements. In no case shall the total of subordinate terms for these consecutive offenses which are not "violent felonies" as defined in subdivision (c) of Section 667.5 exceed five years. The subordinate term for each consecutive offense which is a "violent felony" as defined in subdivision (c) of Section 667.5, including those offenses described in paragraph (8), (9), or (17) of subdivision (c) of Section 667.5, shall consist of one-third of the middle term of imprisonment prescribed for each other felony conviction for an offense that is a violent felony for which a consecutive term of imprisonment is imposed, and shall include one-third of any enhancements imposed pursuant to Section 667.15, 667.8, 667.85, 12022, 12022.2, 12022.4, 12022.5, 12022.55, 12022.7, 12022.75, or 12022.9. (b) (1) When a consecutive term of imprisonment is imposed under Sections 669 and 1170 for two or more convictions for kidnapping, as defined in Section 207, involving separate victims or the same victim on separate occasions, the aggregate term shall be calculated as provided in subdivision (a), except that the subordinate term for each subsequent kidnapping conviction shall consist of the middle term for each kidnapping conviction for which a consecutive term of imprisonment is imposed and shall include one-third of any enhancements imposed pursuant to Section 667.8, 667.85, 12022, 12022.2, 12022.4, 12022.5, 12022.55, 12022.7, 12022.75, or 12022.9. The five-year limitation on the total of subordinate terms provided in subdivision (a) shall not apply to subordinate terms for second and subsequent convictions of kidnapping, as defined in Section 207, involving separate victims or the same victim on separate occasions. (2) As used in this subdivision, "separate occasion" means the defendant committed a second violation of Section 207 involving the same victim after at least 24 hours elapsed following his or her release of the victim. (c) In the case of any person convicted of one or more felonies committed while the person is confined in a state prison, or is subject to reimprisonment for escape from custody and the law either requires the terms to be served consecutively or the court imposes consecutive terms, the term of imprisonment for all the convictions which the person is required to serve consecutively shall commence from the time the person would otherwise have been released from prison. If the new offenses are consecutive with each other, the principal and subordinate terms shall be calculated as provided in subdivision (a), except that the total of subordinate terms may exceed five years. This subdivision shall be applicable in cases of convictions of more than one offense in different proceedings, and convictions of more than one offense in the same or different proceedings. (d) When the court imposes a prison sentence for a felony pursuant to Section 1170 the court shall also impose the additional terms provided in Sections 667, 667.15, 667.5, 667.8, 667.85, 12022, 12022.1, 12022.2, 12022.4, 12022.5, 12022.55, 12022.6, 12022.7, 12022.75, and 12022.9, and the additional terms provided in Section 11370.2, 11370.4, or 11379.8 of the Health and Safety Code, unless the additional punishment therefor is stricken pursuant to subdivision (h). The court shall also impose any other additional term which the court determines in its discretion or as required by law shall run consecutive to the term imposed under Section 1170. In considering the imposition of the additional term, the court shall apply the sentencing rules of the Judicial Council. (e) When two or more enhancements under Sections 12022, 12022.4, 12022.5, 12022.55, 12022.7, and 12022.9 may be imposed for any single offense, only the greatest enhancement shall apply. However, in cases of lewd or lascivious acts upon or with a child under the age of 14 years accomplished by means of force or fear, as described in Section 288, kidnapping, as defined in Section 207, sexual battery, as defined in Section 243.4, penetration of a genital or anal opening by a foreign object, as defined in Section 289, oral copulation, sodomy, robbery, carjacking, rape or burglary, or attempted lewd or lascivious acts upon or with a child under the age of 14 years accomplished by means of force or fear, kidnapping, sexual battery, penetration of a genital or anal opening by a foreign object, oral copulation, sodomy, robbery, carjacking, rape, murder, or burglary, the court may impose both (1) one enhancement for weapons as provided in either Section 12022, 12022.4, or subdivision (a) of, or paragraph (2) of subdivision (b) of, Section 12022.5, and (2) one enhancement for great bodily injury as provided in either Section 12022.7 or 12022.9. (f) The enhancements provided in Sections 667, 667.15, 667.5, 667.6, 667.8, 667.85, 12022, 12022.1, 12022.2, 12022.3, 12022.4, 12022.5, 12022.55, 12022.6, 12022.7, 12022.75, 12022.8, and 12022.9, and in Section 11370.2, 11370.4, or 11379.8 of the Health and Safety Code, shall be pleaded and proven as provided by law. (g) (1) The term of imprisonment shall not exceed twice the number of years imposed by the trial court as the base term pursuant to subdivision (b) of Section 1170, unless the defendant stands convicted of a "violent felony" as defined in subdivision (c) of Section 667.5, or a consecutive sentence is being imposed pursuant to subdivision (b) or (c) of this section, or an enhancement is imposed pursuant to Section 667, 667.15, 667.5, 667.8, 667.85, 12022, 12022.2, 12022.4, 12022.5, 12022.55, 12022.6, 12022.7, 12022.75, or 12022.9, or an enhancement is being imposed pursuant to Section 11370.2, 11370.4, or 11379.8 of the Health and Safety Code, or the defendant stands convicted of felony escape from an institution in which he or she is lawfully confined. (2) The term of imprisonment shall not exceed twice the number of years imposed by the trial court as the base term pursuant to subdivision (b) of Section 1170 unless an enhancement is imposed pursuant to Section 12022.1 and both the primary and secondary offenses specified in Section 12022.1 are serious felonies as specified in subdivision (c) of Section 1192.7. (h) Notwithstanding any other law, the court may strike the additional punishment for the enhancements provided in Sections 667.15, 667.5, 667.8, 667.85, 12022, 12022.1, 12022.2, 12022.4, 12022.6, 12022.7, 12022.75, and 12022.9, or the enhancements provided in Section 11370.2, 11370.4, or 11379.8 of the Health and Safety Code, if it determines that there are circumstances in mitigation of the additional punishment and states on the record its reasons for striking the additional punishment. (i) For any violation of paragraph (2) or (3) of subdivision (a) of Section 261, Section 264.1, subdivision (b) of Section 288, subdivision (a) of Section 289, or sodomy or oral copulation by force, violence, duress, menace, or fear of immediate and unlawful bodily injury on the victim or another person as provided in Section 286 or 288a, the number of enhancements which may be imposed shall not be limited, regardless of whether the enhancements are pursuant to this or some other section of law. Each of the enhancements shall be a full and separately served enhancement and shall not be merged with any term or with any other enhancement. SEC. 167. Section 1203 of the Penal Code is amended to read: 1203. (a) As used in this code, "probation" shall mean the suspension of the imposition or execution of a sentence and the order of conditional and revocable release in the community under the supervision of the probation officer. As used in this code, "conditional sentence" shall mean the suspension of the imposition or execution of a sentence and the order of revocable release in the community subject to the conditions established by the court without the supervision of the probation officer. It is the intent of the Legislature that both conditional sentence and probation are authorized whenever probation is authorized in any code as a sentencing option for infractions or misdemeanors. (b) Except as provided in subdivision (j), in every case in which a person is convicted of a felony and is eligible for probation, before judgment is pronounced, the court shall immediately refer the matter to the probation officer to investigate and report to the court, at a specified time, upon the circumstances surrounding the crime and the prior history and record of the person, which may be considered either in aggravation or mitigation of the punishment. The probation officer shall immediately investigate and make a written report to the court of his or her findings and recommendations, including his or her recommendations as to the granting or denying of probation and the conditions of probation, if granted. Pursuant to Section 828 of the Welfare and Institutions Code, the probation officer shall include in his or her report any information gathered by a law enforcement agency relating to the taking of the defendant into custody as a minor, which shall be considered for purposes of determining whether adjudications of commissions of crimes as a juvenile warrant a finding that there are circumstances in aggravation pursuant to Section 1170 or to deny probation. The probation officer shall also include in the report his or her recommendation of the amount the defendant should be required to pay as a restitution fine pursuant to Section 13967 of the Government Code. The probation officer shall also include in his or her report a recommendation as to whether the court shall require, as a condition of probation, restitution to the victim or to the Restitution Fund. The report shall be made available to the court and the prosecuting and defense attorneys at least five days, or upon request of the defendant or prosecuting attorney, nine days prior to the time fixed by the court for the hearing and determination of the report, and shall be filed with the clerk of the court as a record in the case at the time of the hearing. The time within which the report shall be made available and filed may be waived by written stipulation of the prosecuting and defense attorneys which is filed with the court or an oral stipulation in open court which is made and entered upon the minutes of the court. At a time fixed by the court, the court shall hear and determine the application, if one has been made, or, in any case, the suitability of probation in the particular case. At the hearing, the court shall consider any report of the probation officer and shall make a statement that it has considered the report which shall be filed with the clerk of the court as a record in the case. If the court determines that there are circumstances in mitigation of the punishment prescribed by law or that the ends of justice would be served by granting probation to the person, it may place the person on probation. If probation is denied, the clerk of the court shall immediately send a copy of the report to the Department of Corrections at the prison or other institution to which the person is delivered. (c) If a defendant is not represented by an attorney, the court shall order the probation officer who makes the probation report to discuss its contents with the defendant. (d) In every case in which a person is convicted of a misdemeanor, the court may either refer the matter to the probation officer for an investigation and a report or summarily pronounce a conditional sentence. If the case is not referred to the probation officer, in sentencing the person, the court may consider any information concerning the person which could have been included in a probation report. The court shall inform the person of the information to be considered and permit him or her to answer or controvert such information. For this purpose, upon the request of the person, the court shall grant a continuance before the judgment is pronounced. (e) Except in unusual cases where the interests of justice would best be served if the person is granted probation, probation shall not be granted to any of the following persons: (1) Unless the person had a lawful right to carry a deadly weapon, other than a firearm, at the time of the perpetration of the crime or his or her arrest, any person who has been convicted of arson, robbery, carjacking, burglary, burglary with explosives, rape with force or violence, murder, attempt to commit murder, trainwrecking, kidnapping, escape from the state prison, or a conspiracy to commit one or more of those crimes and was armed with a deadly weapon at either of those times. (2) Any person who used or attempted to use a deadly weapon upon a human being in connection with the perpetration of the crime of which he or she has been convicted. (3) Any person who willfully inflicted great bodily injury or torture in the perpetration of the crime of which he or she has been convicted. (4) Any person who has been previously convicted twice in this state of a felony or in any other place of a public offense which, if committed in this state, would have been punishable as a felony. (5) Unless the person has never been previously convicted once in this state of a felony or in any other place of a public offense which, if committed in this state, would have been punishable as a felony, any person who has been convicted of burglary with explosives, rape with force or violence, murder, attempt to commit murder, trainwrecking, extortion, kidnapping, escape from the state prison, a violation of Section 286, 288, 288a, or 288.5, or a conspiracy to commit one or more of those crimes. (6) Any person who has been previously convicted once in this state of a felony or in any other place of a public offense which, if committed in this state, would have been punishable as a felony, if he or she committed any of the following acts: (A) Unless the person had a lawful right to carry a deadly weapon at the time of the perpetration of the previous crime or his or her arrest for the previous crime, he or she was armed with a weapon at either of those times. (B) The person used or attempted to use a deadly weapon upon a human being in connection with the perpetration of the previous crime. (C) The person willfully inflicted great bodily injury or torture in the perpetration of the previous crime. (7) Any public official or peace officer of this state or any city, county, or other political subdivision who, in the discharge of the duties of his or her public office or employment, accepted or gave or offered to accept or give any bribe, embezzled public money, or was guilty of extortion. (8) Any person who knowingly furnishes or gives away phencyclidine. (9) Any person who intentionally inflicted great bodily injury in the commission of arson under subdivision (a) of Section 451 or who intentionally set fire to, burned, or caused the burning of, an inhabited structure or inhabited property in violation of subdivision (b) of Section 451. (10) Any person who, in the commission of a felony, inflicts great bodily injury or causes the death of a human being by the discharge of a firearm from or at an occupied motor vehicle proceeding on a public street or highway. (11) Any person who possesses a short-barreled rifle or a short-barreled shotgun under Section 12020, a machine gun under Section 12220, or a silencer under Section 12520. (f) When probation is granted in a case which comes within the provisions of subdivision (e), the court shall specify on the record and shall enter on the minutes the circumstances indicating that the interests of justice would best be served by that disposition. (g) If a person is not eligible for probation, the judge shall refer the matter to the probation officer for an investigation of the facts relevant to determination of the amount of a restitution fine pursuant to Section 13967 of the Government Code in all cases where the determination is applicable. The judge, in his or her discretion, may direct the probation officer to investigate all facts relevant to the sentencing of the person. Upon that referral, the probation officer shall immediately investigate the circumstances surrounding the crime and the prior record and history of the person and make a written report to the court of his or her findings. The findings shall include a recommendation of the amount of the restitution fine as provided in Section 13967 of the Government Code. (h) In any case in which a defendant is convicted of a felony and a probation report is prepared pursuant to subdivision (b) or (g), the probation officer may obtain and include in the report a statement of the comments of the victim concerning the offense. The court may direct the probation officer not to obtain a statement in any case where the victim has in fact testified at any of the court proceedings concerning the offense. (i) No probationer shall be released to enter another state unless his or her case has been referred to the Administrator, Interstate Probation and Parole Compacts, pursuant to the Uniform Act for Out-of-State Probationer or Parolee Supervision (Article 3 (commencing with Section 11175) of Chapter 2 of Title 1 of Part 4) and the probationer has reimbursed the county that has jurisdiction over his or her probation case the reasonable costs of processing his or her request for interstate compact supervision. The amount and method of reimbursement shall be in accordance with Section 1203.1b. (j) In any court where a county financial evaluation officer is available, in addition to referring the matter to the probation officer, the court may order the defendant to appear before the county financial evaluation officer for a financial evaluation of the defendant's ability to pay restitution, in which case the county financial evaluation officer shall report his or her findings regarding restitution and other court-related costs to the probation officer on the question of the defendant's ability to pay those costs. Any order made pursuant to this subdivision may be enforced as a violation of the terms and conditions of probation upon willful failure to pay and at the discretion of the court and as stated in the order, may be enforced in the same manner as a judgment in a civil action, if any balance remains unpaid at the end of the defendant's probationary period. SEC. 168. Section 1203.1g of the Penal Code is amended to read: 1203.1g. In any case in which a defendant is convicted of sexual assault on a minor, and the defendant is eligible for probation, the court, as a condition of probation, shall order him or her to make restitution for the costs of medical or psychological treatment incurred by the victim as a result of the assault and that he or she seek and maintain employment and apply that portion of his or her earnings specified by the court toward those costs. As used in this section, "sexual assault" has the meaning specified in subdivisions (a) and (b) of Section 11165.1. The defendant is entitled to a hearing concerning any modification of the amount of restitution based on the costs of medical and psychological treatment incurred by the victim subsequent to the issuance of the order of probation. SEC. 169. Section 11113 of the Penal Code, as added by Chapter 1270 of the Statutes of 1993, is amended and renumbered to read: 11110. The Attorney General shall perform a feasibility study of automated systems for storing and communicating law enforcement related photographs on or before January 1, 1995, and shall complete a study report to the Legislature on or before January 1, 1996. SEC. 170. Section 12021 of the Penal Code is amended to read: 12021. (a) (1) Any person who has been convicted of a felony under the laws of the United States, of the State of California, or any other state, government, or country, or of an offense enumerated in subdivision (a), (b), or (d) of Section 12001.6, or who is addicted to the use of any narcotic drug, who owns or has in his or her possession or under his or her custody or control any firearm is guilty of a felony. (2) Any person who has two or more convictions for violating paragraph (2) of subdivision (a) of Section 417 and who owns or has in his or her possession or under his or her custody or control any firearm is guilty of a felony. (b) Notwithstanding subdivision (a), any person who has been convicted of a felony or of an offense enumerated in Section 12001.6, when that conviction results from certification by the juvenile court for prosecution as an adult in an adult court under Section 707 of the Welfare and Institutions Code, who owns or has in his or her possession or under his or her custody or control any firearm is guilty of a felony. (c) (1) Except as provided in subdivision (a) or paragraph (2) of this subdivision, any person who has been convicted of a misdemeanor violation of Section 136.5, 140, 171b, 171c, 171d, 240, 241, 242, 243, 244.5, 245, 245.5, 246.3, 247, 273.5, 273.6, 417, 417.2, 626.9, 646.9, subdivision (b) or (d) of Section 12034, subdivision (a) of Section 12100, 12320, or 12590 and who, within 10 years of the conviction, owns, or has in his or her possession or under his or her custody or control, any firearm is guilty of a public offense, which shall be punishable by imprisonment in the state prison or in a county jail not exceeding one year, by a fine not exceeding one thousand dollars ($1,000), or by both that imprisonment and fine. The court, on forms prescribed by the Department of Justice, shall notify the department of persons subject to this subdivision. However, the prohibition in this paragraph may be reduced, eliminated, or conditioned as provided in paragraph (2) or (3). (2) Any person employed as a peace officer described in Section 830.1, 830.2, 830.31, 830.32, 830.33, or 830.5 whose employment or livelihood is dependent on the ability to legally possess a firearm, who is subject to the prohibition imposed by this subdivision because of a conviction under Section 273.5, 273.6, or 646.9, may petition the court only once for relief from this prohibition. The petition shall be filed with the court in which the petitioner was sentenced. If possible, the matter shall be heard before the same judge that sentenced the petitioner. Upon filing the petition, the clerk of the court shall set the hearing date and shall notify the petitioner and the prosecuting attorney of the date of the hearing. Upon making each of the following findings, the court may reduce or eliminate the prohibition, impose conditions on reduction or elimination of the prohibition, or otherwise grant relief from the prohibition as the court deems appropriate: (A) Finds by a preponderance of the evidence that the petitioner is likely to use a firearm in a safe and lawful manner. (B) Finds that the petitioner is not within a prohibited class as specified in subdivision (a), (b), (d), (e), or (g) or Section 12021.1, and the court is not presented with any credible evidence that the petitioner is a person described in Section 8100 or 8103 of the Welfare and Institutions Code. (C) Finds that the petitioner does not have a previous conviction under subdivision (c) no matter when the prior conviction occurred. In making its decision, the court shall consider the petitioner's continued employment, the interest of justice, any relevant evidence, and the totality of the circumstances. The court shall require, as a condition of granting relief from the prohibition under this section, that the petitioner agree to participate in counseling as deemed appropriate by the court. Relief from the prohibition shall not relieve any other person or entity from any liability that might otherwise be imposed. It is the intent of the Legislature that courts exercise broad discretion in fashioning appropriate relief under this paragraph in cases in which relief is warranted. However, nothing in this paragraph shall be construed to require courts to grant relief to any particular petitioner. It is the intent of the Legislature to permit persons who were convicted of an offense specified in Section 273.5, 273.6, or 646.9 to seek relief from the prohibition imposed by this subdivision. (3) Any person who is subject to the prohibition imposed by this subdivision because of a conviction prior to January 1, 1991, may petition the court only once for relief from this prohibition. The petition shall be filed with the court in which the petitioner was sentenced. If possible, the matter shall be heard before the same judge that sentenced the petitioner. Upon filing the petition, the clerk of the court shall set the hearing date and notify the petitioner and the prosecuting attorney of the date of the hearing. Upon making each of the following findings, the court may reduce or eliminate the prohibition, impose conditions on reduction or elimination of the prohibition, or otherwise grant relief from the prohibition as the court deems appropriate: (A) Finds by a preponderance of the evidence that the petitioner is likely to use a firearm in a safe and lawful manner. (B) Finds that the petitioner is not within a prohibited class as specified in subdivision (a), (b), (d), (e), or (g) or Section 12021.1, and the court is not presented with any credible evidence that the petitioner is a person described in Section 8100 or 8103 of the Welfare and Institutions Code. (C) Finds that the petitioner does not have a previous conviction under this subdivision, no matter when the prior conviction occurred. In making its decision, the court may consider the interest of justice, any relevant evidence, and the totality of the circumstances. It is the intent of the Legislature that courts exercise broad discretion in fashioning appropriate relief under this paragraph in cases in which relief is warranted. However, nothing in this paragraph shall be construed to require courts to grant relief to any particular petitioner. (4) Law enforcement officials who enforce the prohibition specified in this subdivision against a person who has been granted relief pursuant to paragraph (2) or (3), shall be immune from any liability for false arrest arising from the enforcement of this subdivision unless the person has in his or her possession a certified copy of the court order that granted the person relief from the prohibition. This immunity from liability shall not relieve any person or entity from any other liability that might otherwise be imposed. (d) Any person who, as an express condition of probation, is prohibited or restricted from owning, possessing, controlling, receiving, or purchasing a firearm and who owns, or has in his or her possession or under his or her custody or control, any firearm but who is not subject to subdivision (a) or (c) is guilty of a public offense, which shall be punishable by imprisonment in the state prison or in a county jail not exceeding one year, by a fine not exceeding one thousand dollars ($1,000), or by both that imprisonment and fine. The court, on forms provided by the Department of Justice, shall notify the department of persons subject to this subdivision. The notice shall include a copy of the order of probation and a copy of any minute order or abstract reflecting the order and conditions of probation. (e) Any person who (1) is alleged to have committed an offense listed in subdivision (b) of Section 707 of the Welfare and Institutions Code or an offense described in subdivision (b) of Section 1203.073, (2) is found to be a fit and proper subject to be dealt with under the juvenile court law, and (3) is subsequently adjudged a ward of the juvenile court within the meaning of Section 602 of the Welfare and Institutions Code because the person committed an offense listed in subdivision (b) of Section 707 of the Welfare and Institutions Code or an offense described in subdivision (b) of Section 1203.073 shall not own, or have in his or her possession or under his or her custody or control, any firearm until the age of 30 years. A violation of this subdivision shall be punishable by imprisonment in the state prison or in a county jail not exceeding one year, by a fine not exceeding one thousand dollars ($1,000), or by both that imprisonment and fine. The juvenile court, on forms prescribed by the Department of Justice, shall notify the department of persons subject to this subdivision. Notwithstanding any other law, the forms required to be submitted to the department pursuant to this subdivision may be used to determine eligibility to acquire a firearm. (f) Subdivision (a) shall not apply to a person who has been convicted of a felony under the laws of the United States unless either of the following criteria is satisfied: (1) Conviction of a like offense under California law can only result in imposition of felony punishment. (2) The defendant was sentenced to a federal correctional facility for more than 30 days, or received a fine of more than one thousand dollars ($1,000), or received both punishments. (g) Every person who purchases or receives, or attempts to purchase or receive, a firearm knowing that he or she is subject to a protective order as defined in Section 6218 of the Family Code, is guilty of a public offense, which shall be punishable by imprisonment in the state prison or in a county jail not exceeding one year, by a fine not exceeding one thousand dollars ($1,000), or both that imprisonment and fine. This subdivision does not apply unless the copy of the restraining order personally served on the person against whom the restraining order is issued contains a notice in bold print (1) stating that the person is prohibited from purchasing or receiving or attempting to purchase or receive a firearm and (2) specifying the penalties for violating this subdivision, or a court has provided actual verbal notice of the firearm prohibition and penalty as provided in Section 6304 of the Family Code. However, this subdivision does not apply if the firearm is received as part of the disposition of community property pursuant to Division 7 (commencing with Section 2500) of the Family Code. SEC. 171. Section 12305 of the Penal Code is amended to read: 12305. (a) Every dealer, manufacturer, importer, and exporter of any destructive device, or any motion picture or television studio using destructive devices in the conduct of its business, shall obtain a permit for the conduct of that business from the Department of Justice. (b) Any person, firm, or corporation not mentioned in subdivision (a) shall obtain a permit from the Department of Justice in order to possess or transport any destructive device. No permit shall be issued to any person who meets any of the following criteria: (1) Has been convicted of any felony. (2) Is addicted to the use of any narcotic drug. (3) Is a person in a class prohibited by Section 8100 or 8103 of the Welfare and Institutions Code. (c) Applications for permits shall be filed in writing, signed by the applicant if an individual, or by a member or officer qualified to sign if the applicant is a firm or corporation, and shall state the name, business in which engaged, business address, and a full description of the use to which the destructive devices are to be put. (d) Applications and permits shall be uniform throughout the state on forms prescribed by the Department of Justice. (e) Each applicant for a permit shall pay at the time of filing his or her application a fee not to exceed the application processing costs of the Department of Justice. A permit granted pursuant to this article may be renewed one year from the date of issuance, and annually thereafter, upon the filing of a renewal application and the payment of a permit renewal fee not to exceed the application processing costs of the Department of Justice. After the department establishes fees sufficient in amount to cover processing costs, the amount of the fees shall only increase at a rate not to exceed the legislatively approved cost-of-living adjustment for the department. SEC. 172. Section 2051 of the Public Contract Code is amended to read: 2051. As used in this chapter, the following definitions apply: (a) "Awarding department" means any state agency, department, governmental entity, including the California State University, or officer or entity empowered by law to enter into contracts on behalf of the State of California. (b) "Department" means the Department of Transportation. (c) "Minority," for purposes of this section, means a citizen or lawful permanent resident of the United States who is an ethnic person of color and who is: Black (a person having origins in any of the Black racial groups of Africa); Hispanic (a person of Mexican, Puerto Rican, Cuban, or Central or South American culture or origin regardless of race); Native American (an American Indian, Eskimo, Aleut, or Native Hawaiian); Pacific-Asian (a person whose origins are from Japan, China, Taiwan, Korea, Vietnam, Laos, Cambodia, the Philippines, Samoa, Guam, or the United States Trust Territories of the Pacific or including the Northern Marianas); Asian-Indian (a person whose origins are from India, Pakistan, or Bangladesh); or any other group of natural persons identified as minorities in the respective project specifications of an awarding department or participating local agency. A person of Spanish or Portuguese culture or origin, other than Hispanic, shall constitute a minority for purposes of this section only with respect to contracts fully or partially funded by the federal government. (d) "Minority business enterprise" means a business concern that meets all of the following criteria: (1) The business is at least 51 percent owned by one or more minorities or, in the case of any business whose stock is publicly held, at least 51 percent of the stock is owned by one or more minorities. (2) A business whose management and daily operations are controlled by one or more minorities who own the business. (3) A business concern with its home office located in the United States which is not a branch or subsidiary of a foreign corporation, firm, or other business. (e) "Women business enterprise" means a business concern that meets all of the following criteria: (1) The business is at least 51 percent owned by one or more women or, in the case of any business whose stock is publicly held, at least 51 percent of the stock is owned by one or more women. (2) A business whose management and daily operations are controlled by one or more women who own the business. (3) A business concern with its home office located in the United States which is not a branch or subsidiary of a foreign corporation, firm, or other business. (f) A "disadvantaged business enterprise" means a business concern that is all of the following: (1) A "disadvantaged business" as that term is used in Section 23.62 of Title 49 of the Code of Federal Regulations. (2) An individual proprietorship, partnership, corporation, or joint venture. (3) Organized for profit, with a place of business located in the United States and which makes a significant contribution to the United States economy through payment of taxes or use of American products, materials, or labor. (g) "Participating state or local agency" means any state or local agency that elects to participate in the certification process pursuant to this chapter. For purposes of this subdivision, the following definitions apply: (1) "State agency" means any department, division, board, bureau, commission, or agency of the executive branch of government. (2) "Local agency" means a county or city, whether general law or chartered, city and county, school district, or other district. (3) "District" means an agency of the state, formed pursuant to general law or special act, for the local performance of governmental or proprietary functions within limited boundaries. SEC. 173. Section 5029 of the Public Resources Code is amended to read: 5029. (a) The commission shall, within 90 days after the approval by the director of the issuance by the commission of an historical resources designation for an individual property, submit to the county recorder for recordation, and the county recorder shall record, a certified resolution establishing the historical resources designation. For historical resources designations approved prior to March 15, 1993, the commission may submit for recordation, and the county recorder shall record, a certified resolution of historical resources designation. (b) Any local agency, or unit thereof, shall, within 90 days of an historical resources designation by the local agency or unit for an individual property, submit to the county recorder for recordation, and the county recorder shall record, a certified resolution establishing the historical resources designation. For historical resources designations made prior to March 15, 1993, the local agency, or unit thereof, may submit for recordation, and the county recorder shall record, a certified resolution of historical resources designation. (c) The resolution shall include the name of the current property owner, the designating entity, the specific historical resources designation, and a legal description of the property. (d) The recorder shall index the recorded resolutions of the commission or local agency, or unit thereof, listing the respective agency as the "grantor" and the current owner as the "grantee" for that purpose. (e) For the purpose of this section, the term "historical resources designation" means the California Register of Historical Resources and any local historical resources designation resulting in restrictions on demolitions or alterations. (f) This section shall have no effect on the right, title, or interest in the property identified after March 15, 1993, which is acquired by a bona fide purchaser for value between the time of designation of the property as a historical resource and time that the designation is recorded unless the purchaser had actual knowledge of the designation. (g) This section shall have no effect upon the title to any property that is subject to this section. SEC. 174. Section 5072.8 of the Public Resources Code, as added by Chapter 701 of the Statutes of 1992, is repealed. SEC. 175. Section 5079.01 of the Public Resources Code is amended to read: 5079.01. As used in this chapter, the following terms have the following meanings: (a) "California Register" means the California Register of Historic Resources. (b) "Commission" means the State Historical Resources Commission. (c) "Fund" means the California Heritage Fund created pursuant to Section 5079.10. (d) "Historical landmark" and "historical resource" have the same meaning as set forth in subdivision (i) and subdivision (j), respectively, of Section 5020.1. (e) "Historical resource preservation project" is a product, facility, or project designed to preserve an historical resource that is listed, or formally determined eligible for listing, in the National Register of Historic Places or the California Register, or designated as a historical landmark or point of historical interest. (f) "National Register of Historic Places" means the official federal list of districts, sites, buildings, structures, and objects significant in American history, architecture, archaeology, engineering, and culture as authorized by the National Historic Preservation Act of 1966 (16 U.S.C. Sec. 470 et seq.). (g) "Nonprofit organization" means any private, nonprofit organization, existing under Section 501(c)(3) of the United States Internal Revenue Code, that has, among its principal charitable purposes, the preservation of historic resources for cultural, scientific, historic, educational, recreational, agricultural, or scenic opportunities. (h) "Office" means the State Office of Historic Preservation. (i) "Point of historical interest" has the same meaning as set forth in subdivision (o) of Section 5020.1. (j) "Preservation" means identification, evaluation, recordation, documentation, curation, acquisition, protection, management, rehabilitation, restoration, stabilization, maintenance, and reconstruction, or any combination of those activities. (k) "Public agency" means a federal agency, state agency, city, county, district, association of governments, joint powers agency, or tribal organization. (l) "Stewardship" means the development and implementation of programs for the proper care, interpretation, and repose of items of historic and cultural value. SEC. 176. Section 5079.12 of the Public Resources Code is amended to read: 5079.12. In addition to any public funds appropriated expressly for the purposes of this chapter, the office may apply for and accept grants, and accept gifts, donations, subventions, rents, royalties, and other financial support, or real or personal property, from private sources. All money received from private sources shall be deposited in a separate account established pursuant to Section 5079.11 and, notwithstanding Section 5079.10, is hereby continuously appropriated to the office for expenditure for historical resources preservation projects pursuant to this chapter after notification to, and project approval by, the Department of Finance. SEC. 177. Section 6217 of the Public Resources Code is amended to read: 6217. With the exception of revenues derived from state school lands and from sources described in Sections 6217.6, 6301.5, 6301.6, 6855, and 8551 to 8558, inclusive, and Section 6406 (insofar as the proceeds are from property that has been distributed or escheated to the state in connection with unclaimed estates of deceased persons), the commission shall deposit in the State Treasury all revenues, moneys, and remittances received by it under this division, and under Chapter 138 of the Statutes of 1964, First Extraordinary Session, and these sums shall be applied to the following obligations in the following order: (a) To the General Fund, the revenue necessary to provide in any fiscal year for the following: (1) Payment of refunds, authorized by the commission and approved by the State Board of Control, out of appropriations made for that purpose by the Legislature. (2) Payment of expenditures of the commission as provided in the annual Budget Act approved by the Legislature. (3) Payments to cities and counties of the amounts specified in Section 6817 for the purposes specified in that section, and the revenues so deposited are appropriated for that purpose. (4) Payments to cities and counties of the amounts agreed to pursuant to Section 6875. (b) To the California Water Fund each fiscal year the amount of twenty-five million dollars ($25,000,000). (c) To the Central Valley Water Project Construction Fund each fiscal year the amount of five million dollars ($5,000,000). (d) (1) To the General Fund, the amount of five hundred twenty-five thousand dollars ($525,000) for each of the 1994-95, 1995-96, 1996-97, 1997-98, and 1998-99 fiscal years for distribution for public and private higher education for use as up to two-thirds of the local matching share for projects under the National Sea Grant College and Program Act of 1966 (P.L. 89-688) approved, upon the recommendation of the advisory panel appointed pursuant to this section, by the Secretary of the Resources Agency or his or her designee. The Secretary of the Resources Agency shall submit a report to the Legislature on or before January 1, 1993, which evaluates this program and makes recommendations on whether changes should be made to the program or whether it should be continued. The Legislature shall consider recommendations from the Secretary of the Resources Agency and other interested parties on the benefits to the people of the State of California derived from this program and shall determine whether or not to continue similar appropriations for subsequent fiscal years. (2) There shall be an advisory panel to the Secretary of the Resources Agency consisting of 17 members, which shall do all of the following: (A) Identify state needs that might be met through Sea Grant research projects, including, but not limited to, such fields as living marine resources, aquaculture, ocean engineering, marine minerals, public recreation, coastal physical processes and coastal and ocean resources planning and management, and marine data acquisition and dissemination, establish priorities for those needs, and transmit those needs and priorities to the Legislature not later than January 1 of each year and include them in all announcements of proposals for grants in the following fiscal year. (B) Review all applications for funding under this section and make recommendations based upon the priorities it establishes. (C) Periodically review progress on Sea Grant research projects subsequent to their approval and funding under this section. (D) Make recommendations to the Secretary of the Resources Agency with respect to the implementation of this section. (3) The Secretary of the Resources Agency shall appoint the following members of the advisory panel, who shall serve at the pleasure of the secretary: (A) A representative of the Department of Boating and Waterways. (B) A representative of the Department of Conservation. (C) A representative of the Department of Fish and Game. (D) The Executive Director of the California Coastal Commission or his or her designee. (E) A representative of the fish industry. (F) A representative of the aquaculture industry. (G) A representative of the ocean engineering industry. (H) A representative of the University of California. (I) A representative of the California State University. (J) A representative of a private California institution of higher education which is participating in the National Sea Grant Program. (K) A representative of the State Lands Commission. (L) A representative of the Office of Environmental Health Hazard Assessment. (M) A representative of the State Water Resources Control Board. (N) A representative of the Office of Oil Spill Prevention and Response in the Department of Fish and Game, designated by the administrator for oil spill response. (4) The Senate Committee on Rules shall appoint one Member of the Senate to the panel, who shall serve at the pleasure of the Senate Committee on Rules. (5) The Speaker of the Assembly shall appoint one Member of the Assembly to the panel, who shall serve at the pleasure of the Speaker. This member shall not be of the same political party as the member appointed by the Senate Committee on Rules. (6) The Secretary of the Resources Agency, or the secretary's designee, shall serve as chairperson of the panel. Panel members shall serve without compensation. (7) The Sea Grant research projects selected for state support under this subdivision shall have a clearly defined benefit to the people of the State of California. These projects, to be conducted by universities, colleges, or other institutions participating in the California Sea Grant College Program, shall be applicable to marine and coastal resources management, policy, science, and engineering issues that face the State of California now or in the reasonably foreseeable future. The Legislature hereby finds and declares that the funding provided by this subdivision is needed to stimulate the development and utilization of ocean and coastal resources by working constructively with private sector firms and individuals. The Legislature further recognizes the high productivity of the California Sea Grant College Program, the only statewide program systematically devoted to supporting fundamental research, education, and extension activities on the diversity of problems related to marine resource protection and development. Nothing in this subdivision shall be construed to preclude the application for funding of any project that would be eligible for funding under the terms of the National Sea Grant College and Program Act of 1966. (e) To the Capital Outlay Fund for Public Higher Education for the 1984-85 fiscal year the amount of one hundred two million one hundred sixty-eight thousand dollars ($102,168,000), and for each fiscal year thereafter, the amount necessary to provide for an unencumbered balance available for appropriation on July 1 of each fiscal year of one hundred twenty-five million dollars ($125,000,000). (f) To the Energy and Resources Fund each fiscal year, commencing with the 1985-86 fiscal year, the amount of sixty-five million dollars ($65,000,000). (g) To the Special Account for Capital Outlay, the balance of all revenues in excess of the amount distributed under subdivisions (a), (b), (c), (d), (e), and (f). The commission may, with the approval of the State Board of Control, authorize the refund of moneys received or collected by it illegally or by mistake, inadvertence, or error. Claims authorized by the commission and approved by the State Board of Control shall be filed with the Controller, and the Controller shall draw his or her warrant against the General Fund in payment of the refund from any appropriation made for that purpose. All references in any law to former Section 6816, which was repealed by Chapter 981 of the Statutes of 1968, shall be deemed to refer to this section. SEC. 178. Section 14571.7 of the Public Resources Code is amended to read: 14571.7. (a) Except as provided in subdivision (b), in any convenience zone where a recycling location or locations were initially established, but where the location or locations cease to operate in accordance with Section 14571, on or before August 1, 1990, and in any convenience zone designated after January 1, 1990, the department shall notify all dealers within that convenience zone that a recycling location is required to be established within 60 days. If, within 30 days of the notification, no recycling location has been established which satisfies the requirements of Section 14571, the department shall notify all dealers within that zone, and one or more dealers within that zone shall establish, or cause to be established, a recycling location. (b) In any convenience zone where a recycling location or locations were initially established, but where the location or locations cease to operate in accordance with Section 14571, on or after August 1, 1990, or the convenience zone is to be established after October 1, 1990, the department shall determine, pursuant to Section 14571.8, if the convenience zone is eligible for an exemption. If the convenience zone meets all of the requirements for an exemption pursuant to Section 14571.8, the department shall grant one exemption. If the department determines that a convenience zone is not eligible for an exemption pursuant to subdivision (a) and Section 14571.8, the department shall notify all dealers within that convenience zone that a recycling location is required to be established within 60 days. If, within 30 days of the notification, no recycling location has been established which satisfies the requirements of Section 14571, the department shall notify all dealers within that zone, and one or more dealers within that zone shall establish, or cause to be established, a recycling location. SEC. 179. Section 41780.2 of the Public Resources Code is amended to read: 41780.2. (a) Each city, county, or member agency of a regional agency shall determine the amount of reduction in solid waste disposal and the amount of additional diversion required from the base-year amounts by using the methods set forth in this section. (b) The city, county, or member agency of a regional agency shall multiply the total amount of base-year solid waste generation, as adjusted using the methods described in subdivision (c) of Section 41780.1, by 0.75 to determine the maximum amount of total disposal allowable in 1995 to meet the diversion requirements of Section 41780. (c) The city, county, or member agency of a regional agency shall multiply the total amount of base-year solid waste generation, as adjusted using the methods described in subdivision (c) of Section 41780.1, by 0.50 to determine the maximum amount of total disposal allowable in the year 2000 to meet the diversion requirements of Section 41780. (d) The city, county, or member agency of a regional agency shall multiply the total amount of base-year solid waste generation, as adjusted using the methods described in subdivision (c) of Section 41780.1, by 0.25 to determine the minimum amount of total diversion needed in the year 1995 to meet the diversion requirements of Section 41780. (e) The city, county, or member agency of a regional agency shall multiply the total amount of base-year solid waste generation, as adjusted using the methods described in subdivision (c) of Section 41780.1, by 0.50 to determine the minimum amount of total diversion needed in the year 2000 to meet the diversion requirements of Section 41780. (f) The city, county, or member agency of a regional agency shall subtract the total amount of base-year existing diversion from the minimum total diversion required as determined in subdivision (d) or (e) to determine the amount of additional diversion needed to meet the diversion requirements of Section 41780. This amount of additional diversion shall be equal to the minimum amount of additional reduction in disposal amounts which is needed to comply with Section 41780. SEC. 180. Section 42145.5 of the Public Resources Code is amended and renumbered to read: 40506.1. (a) Notwithstanding any other provision of law, the board may sell any of its loans made pursuant to this division on the secondary market and may pool its loans. All proceeds shall be deposited into the same accounts into which the loan repayments from each loan would have been deposited, and the use of the proceeds shall be limited to the authorized uses of these accounts. (b) The board shall not sell its loans pursuant to this section if the loan sale results in more than a 25-percent discount of the principal amount, excluding any expenses or reserves required as a condition of the loan sale. SEC. 181. Section 42291 of the Public Resources Code is amended to read: 42291. (a) Every manufacturer that manufactures plastic trash bags of 1.0 mil or greater thickness for sale in this state shall ensure that at least 10 percent of the material used in those plastic trash bags is recycled plastic postconsumer material. (b) (1) On and after January 1, 1995, every manufacturer that manufactures plastic trash bags of 0.75 mil or greater thickness for sale in this state shall ensure that at least 30 percent of the material used in those plastic trash bags is recycled plastic postconsumer material. (2) If any manufacturer is unable to obtain sufficient amounts of recycled plastic postconsumer material to comply with this subdivision within a reporting period because of unavailability or because the available material did not meet recycled plastic postconsumer material quality standards adopted by the board, the manufacturer shall certify that fact to the board. SEC. 182. Section 42950 of the Public Resources Code is amended to read: 42950. For purposes of this chapter, the following definitions apply: (a) "Applicant" means any person seeking to register as a waste tire hauler. (b) "Waste tire" means a tire that is not on the wheel of a vehicle and is no longer suitable for its original intended use due to wear, damage, defect, or deviation from the manufacturer' s specifications, including, but not limited to, all used tires, altered waste tires, recappable casings, and scrap tires. "Waste tire" includes tires that have been altered by processes including, but not limited to, shredding, chopping, and slicing. (c) "Agricultural purposes" means the use of waste tires as bumpers on agricultural equipment or as a ballast to maintain covers or structures at an agricultural site. (d) "Common carrier" means a "highway common carrier," as defined in Section 213 of the Public Utilities Code. SEC. 183. Section 60007 of the Public Resources Code is amended to read: 60007. "State act" means the California Integrated Waste Management Act of 1989 (Division 30 (commencing with Section 40000)). SEC. 184. Section 1007.5 of the Public Utilities Code is amended to read: 1007.5. The commission, in the exercise of the jurisdiction conferred upon it by the Constitution of the state and by this part, and consistent with Section 9 of Article I of the California Constitution and Section 10 of Article I of the United States Constitution, may grant certificates of public convenience and necessity, make decisions and orders, and prescribe rules affecting vessel common carriers notwithstanding the provisions of any ordinance, permit, or franchise of any city, county, or other political subdivision of this state, and in the case of conflict between any certificate, decision, order, or rule of the commission and any ordinance, permit, or franchise, the certificate, decision, order, or rule of the commission shall prevail. SEC. 185. Section 2282.5 of the Public Utilities Code is amended and renumbered to read: 2882.5. (a) The following conditions apply to the offering of enhanced services by local exchange telephone corporations, their subsidiaries, and affiliates: (1) To the extent that the local exchange telephone corporation's facilities, information, assets, and personnel are utilized in the offering of enhanced services, the local exchange telephone corporation's basic telephone service operations shall be not less than fully compensated for their use. (2) Cross-subsidy of the enhanced services by the noncompetitive services offered by the local exchange telephone corporation is prohibited. When the local exchange telephone corporation requests authority to offer an enhanced service, the commission shall analyze that request, hold hearings if appropriate, and impose safeguards that will prevent this type of cross-subsidy from occurring. However, the commission may expressly authorize cross-subsidy of noncompetitive enhanced services when necessary for the public's health and safety, or to provide necessary information to consumers concerning the telecommunications network. (3) Anticompetitive behavior by the local exchange telephone corporation with respect to enhanced services is prohibited. When the local exchange telephone corporation requests authority to offer an enhanced service, the commission shall analyze that request, hold hearings if appropriate, and have in place whatever safeguards are necessary to prevent anticompetitive behavior from occurring. (b) To the extent that accounting mechanisms are utilized to achieve the purposes of this section, the commission shall perform, or cause to be performed, annual audits to ensure compliance with subdivision (a). The audits shall specifically examine each enhanced service for which the commission has granted an exemption from subdivision (a) of Section 489. The commission may determine that other audits required or performed by the commission, or independent audits required by the Federal Communications Commission, are directly applicable to the intrastate operations under review and satisfy this requirement. Upon request, the audits shall be made available consistent with the commission's procedures for handling proprietary information. The commission may impose additional conditions that are not in conflict with the above provisions. (c) To the extent necessary to ensure that competition in enhanced service markets is fair, the commission shall do all of the following: (1) Ensure nondiscriminatory access by all enhanced service providers to the local exchange telecommunications network capabilities, including network billing services, on equivalent terms, conditions, price, and quality as are made available to the local exchange telephone corporation's enhanced services operations, affiliates, subsidiaries, partners, and joint ventures. (2) Disaggregate and price the elemental capabilities of the local exchange telephone corporation's telephone network. (3) Consider whether the local exchange telephone corporation' s customer proprietary network information and services that are ancillary to the local exchange telecommunications network capabilities should be made available to all enhanced service providers. (4) Implement any other procedures that are necessary to ensure fair competition. (d) The commission may exempt local exchange telephone corporations serving less than 500,000 access lines from subdivisions (b) and (c). (e) If a local exchange telephone corporation is found by the commission or any court of competent jurisdiction to have improperly and materially cross-subsidized an enhanced service or to have behaved in an unlawfully anticompetitive manner in the offering of an enhanced service, any exemption from subdivision (a) of Section 489 granted by the commission to that local exchange telephone corporation for that enhanced service shall be revoked. The commission shall consider the impact of the cross-subsidy on consumers, competitors, and the market for that enhanced service when determining whether a cross-subsidy is material. Twelve months subsequent to the revocation of the exemption, the local exchange telephone corporation may reapply to the commission for an exemption from subdivision (a) of Section 489. (f) Nothing in this section shall limit the commission's authority to impose other sanctions on the local exchange telephone corporation, including fines or penalties, or both, for violations of this section. The fines or penalties, or both, shall not be recoverable from ratepayers. The commission shall consider handling complaints about cross-subsidy or anticompetitive behavior on an expedited basis. (g) For purposes of this section, enhanced services are defined as services offered over telecommunications facilities that employ computer processing applications that act on the format, content, code, protocol, or similar aspects of the subscriber's transmitted information, provide the subscriber additional, different, or restructured information, or involve subscriber interaction with stored information. (h) Nothing in this section shall be construed to limit the authority of the commission to perform its duties, including resolving consumer complaints, in relation to any services offered. (i) Nothing in this section shall require that the commission exempt any enhanced service or enhanced service provider from subdivision (a) of Section 489. The commission shall have the authority to revoke at any time any exemptions granted pursuant to this section. (j) Nothing in this section limits the authority of the commission to protect customers' privacy. (k) The commission shall report to the Legislature on a timely basis if any of the penalty provisions of subdivision (e) or (f) are invoked. (l) This section shall remain in effect only until January 1, 1998, and as of that date is repealed, unless a later enacted statute, which is enacted before January 1, 1998, deletes or extends that date. SEC. 186. Section 2872 of the Public Utilities Code is amended to read: 2872. (a) The connection of automatic dialing-announcing devices to a telephone line is subject to this article and to the jurisdiction, control, and regulation of the commission. (b) No person shall operate an automatic dialing-announcing device except in accordance with this article. The use of such a device by any person, either individually or acting as an officer, agent, or employee of a person or corporation operating automatic dialing-announcing devices, is subject to this article. (c) No person shall operate an automatic dialing-announcing device in this state to place a call that is received by a telephone in this state during the hours between 9 p.m. and 9 a.m. California time. (d) This article does not prohibit the use of an automatic dialing-announcing device by any person exclusively on behalf of any of the following: (1) A school for purposes of contacting parents or guardians of pupils regarding attendance. (2) An exempt organization under the Bank and Corporation Tax Law (Part 11 (commencing with Section 23001) of Division 2 of the Revenue and Taxation Code) for purposes of contacting its members. (3) A privately owned or publicly owned cable television system for purposes of contacting customers or subscribers regarding the previously arranged installation of facilities on the premises of the customer or subscriber. (4) A privately owned or publicly owned public utility for purposes of contacting customers or subscribers regarding the previously arranged installation of facilities on the premises of the customer or subscriber or for purposes of contacting employees for emergency actions or repairs required for public safety or to restore services. (5) A petroleum refinery, chemical processing plant, or nuclear powerplant for purposes of advising residents, public service agencies, and the news media in its vicinity of an actual or potential life-threatening emergency. (e) This article does not prohibit law enforcement agencies, fire protection agencies, public health agencies, public environmental health agencies, city or county emergency services planning agencies, or any private for-profit agency operating under contract with, and at the direction of, one or more of these agencies, from placing calls through automatic dialing-announcing devices, if those devices are used for any of the following purposes: (1) Providing public service information relating to public safety. (2) Providing information concerning police or fire emergencies. (3) Providing warnings of impending or threatened emergencies. These calls shall not be subject to Section 2874. (f) This article does not apply to any automatic dialing-announcing device that is not used to randomly or sequentially dial telephone numbers but that is used solely to transmit a message to an established business associate, customer, or other person having an established relationship with the person using the automatic dialing-announcing device to transmit the message, or to any call generated at the request of the recipient. (g) The commission may determine any question of fact arising under this section. SEC. 187. Section 2891.1 of the Public Utilities Code is amended to read: 2891.1. (a) Notwithstanding Section 2891, a telephone corporation selling or licensing lists of residential subscribers shall not include the telephone number of any subscriber assigned an unlisted or unpublished access number. (b) A subscriber may waive all or part of the protection provided by this section through written notice to the telephone corporation. (c) This section does not apply to the provision of telephone numbers to the following parties for the purposes indicated: (1) To a collection agency, to the extent disclosures made by the agency are supervised by the commission, exclusively for the collection of unpaid debts. (2) (A) To any law enforcement agency, fire protection agency, public health agency, public environmental health agency, city or county emergency services planning agency, or private for-profit agency operating under contract with, and at the direction of, one or more of these agencies, for the exclusive purpose of responding to a 911 call or communicating an imminent threat to life or property. (B) Any information or records provided to a private for-profit agency pursuant to this subdivision shall be held in confidence by that agency and by any individual employed by or associated with that agency. This information or these records shall not be open to examination for any purpose not directly connected with the administration of the services specified in subdivision (e) of Section 2872 or this paragraph. (3) To a lawful process issued under state or federal law. (4) To a telephone corporation providing service between service areas for the provision to the subscriber of telephone service between service areas, or to third parties for the limited purpose of providing billing services. (5) To the commission pursuant to its jurisdiction and control over telephone and telegraph corporations. (d) Every deliberate violation of this section is grounds for a civil suit by the aggrieved subscriber against the organization or corporation and its employees responsible for the violation. (e) For purposes of this section, "unpublished or unlisted access number" means a telephone, telex, teletex, facsimile, computer modem, or any other code number that is assigned to a subscriber by a telephone or telegraph corporation for the receipt of communications initiated by other telephone or telegraph customers and that the subscriber has requested that the telephone or telegraph corporation keep in confidence. (f) No telephone corporation, nor any official or employee thereof, shall be subject to criminal or civil liability for the release of customer information as authorized by this section. SEC. 188. Section 3910 of the Public Utilities Code is amended to read: 3910. (a) No highway carrier shall engage in any interstate or foreign transportation of property or passengers for compensation by motor vehicle on any public highway in this state without first having registered the operation with the commission or with the carrier's base registration state, if other than California, as determined in accordance with final regulations issued by the Interstate Commerce Commission pursuant to the Intermodal Surface Transportation Efficiency Act of 1991 (49 U.S.C., Sec. 11506). To register with the commission, a highway carrier shall comply with the following: (1) When the operation requires authority from the Interstate Commerce Commission under the Interstate Commerce Act, a copy of that authority shall be filed with the initial application for registration. A copy of any additions or amendments to the authority shall be filed with the commission. Proof of public liability protection shall also be filed with the commission. (2) If the operation does not require authority from the Interstate Commerce Commission under the Interstate Commerce Act, an affidavit of that exempt status shall be filed with the application for registration. (b) The commission shall grant registration upon the filing of the application pursuant to applicable law and the payment of any applicable fees, subject to the highway carrier's compliance with this chapter. SEC. 189. Section 3911 of the Public Utilities Code is amended to read: 3911. The commission shall establish fees to be charged for registration consistent with the final regulations embodying standards as set forth in the Intermodal Surface Transportation Efficiency Act of 1991 (49 U.S.C., Sec. 11506) and adopted by the Interstate Commerce Commission. SEC. 190. Section 99401.5 of the Public Utilities Code is amended to read: 99401.5. Prior to making any allocation not directly related to public transportation services, specialized transportation services, or facilities provided for the exclusive use of pedestrians and bicycles, the transportation planning agency shall annually do all of the following: (a) Consult with the social services transportation advisory council established pursuant to Section 99238. (b) Identify the transit needs of the jurisdiction which have been considered as part of the transportation planning process, including the following: (1) An annual assessment of the size and location of identifiable groups likely to be transit dependent or transit disadvantaged, including, but not limited to, the elderly, the handicapped, including individuals eligible for paratransit and other special transportation services pursuant to Section 12143 of Title 42 of the United States Code (the federal Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12101, et seq.)), and persons of limited means. (2) An analysis of the adequacy of existing public transportation services and specialized transportation services, including privately and publicly provided services necessary to implement the plan prepared pursuant to Section 12143 (c) (7) of Title 42 of the United States Code, in meeting the transit demand identified pursuant to paragraph (1). (3) An analysis of the potential alternative public transportation and specialized transportation services and service improvements that would meet all or part of the transit demand. (c) Identify the unmet transit needs of the jurisdiction and those needs that are reasonable to meet. The transportation planning agency shall hold at least one public hearing pursuant to Section 99238.5 for the purpose of soliciting comments on the unmet transit needs that may exist within the jurisdiction and that might be reasonable to meet by establishing or contracting for new public transportation or specialized transportation services or by expanding existing services. The definition adopted by the transportation planning agency for the terms "unmet transit needs" and "reasonable to meet" shall be documented by resolution or in the minutes of the agency. The fact that an identified transit need cannot be fully met based on available resources shall not be the sole reason for finding that a transit need is not reasonable to meet. An agency's determination of needs that are reasonable to meet shall not be made by comparing unmet transit needs with the need for streets and roads. (d) Adopt by resolution a finding for the jurisdiction, after consideration of all available information compiled pursuant to subdivisions (a), (b), and (c). The finding shall be that (1) there are no unmet transit needs, (2) there are no unmet transit needs that are reasonable to meet, or (3) there are unmet transit needs, including needs that are reasonable to meet. The resolution shall include information developed pursuant to subdivisions (a), (b), and (c) which provides the basis for the finding. (e) If the transportation planning agency adopts a finding that there are unmet transit needs, including needs that are reasonable to meet, then the unmet transit needs shall be funded before any allocation is made for streets and roads within the jurisdiction. SEC. 191. Section 74.3 of the Revenue and Taxation Code is amended to read: 74.3. (a) For purposes of subdivision (a) of Section 2 of Article XIIIA of the California Constitution, "newly constructed" does not include the construction, installation, or modification of any portion or structural component of an existing single- or multiple-family dwelling that is eligible for the homeowner's exemption as described in Section 218, if the construction, installation, or modification is for the purpose of making the dwelling more accessible to a severely and permanently disabled person who is a permanent resident of the dwelling. (b) For purposes of this section, "a severely and permanently disabled person" is any person who has a physical disability or impairment, whether from birth or by reason of accident or disease, that results in a functional limitation as to employment or substantially limits one or more major life activities of that person, and that has been diagnosed as permanently affecting the person's ability to function, including, but not limited to, any disability or impairment that affects sight, speech, hearing, or the use of any limbs. (c) For purposes of this section, "accessible" means that combination of elements with regard to any dwelling that provides for access to, circulation throughout, and the full use of, the dwelling and any fixture, facility, or item therein. The construction of an entirely new addition, such as a bedroom or bath, that duplicates existing facilities in the dwelling that are not otherwise available to the disabled resident solely because of his or her disability, shall be deemed to make the dwelling more accessible within the meaning and for the purposes of this section. (d) The exclusion provided by this section shall apply only to those improvements or features that specially adapt a dwelling accessibility by a severely and permanently disabled person. The value of any improvement, addition, or modification excluded pursuant to this section shall not include any other functional improvement, addition, or modification to the property unless it is merely incidental to the qualified improvements or features. (e) The exclusion provided by this section shall not apply to the construction of an entirely new dwelling. (f) The construction, installation, or modification, with regard to an existing building, for purposes of making the structure more accessible to a disabled person, shall be eligible for exclusion pursuant to this section only if the disabled person, or his or her spouse or legal guardian, submits to the assessor both of the following: (1) A statement signed by a licensed physician or surgeon, of appropriate specialty which certifies that the person is severely and permanently disabled as defined in subdivision (b), and identifies specific disability-related requirements necessitating accessibility improvements or features. (2) A statement that identifies the construction, installation, or modification that was in fact necessary to make the structure more accessible to the disabled person. (g) The assessor may charge a fee to the disabled person or his or her spouse or legal guardian sufficient to reimburse the assessor for the costs of processing and administering the statement required by subdivision (f). (h) This section shall apply to construction, installations, or modifications completed on or after June 6, 1990. SEC. 192. Section 97.036 of the Revenue and Taxation Code, as added by Chapter 901 of the Statutes of 1993, is amended and renumbered to read: 97.034. (a) Notwithstanding any other provision of this chapter, the water quality control compliance costs of a qualified special district for the relevant fiscal year shall be deducted from the amount of property tax revenue subject to reduction with respect to that district under Section 97.03 for the 1992-93 fiscal year, under Section 97.035 for the 1993-94 fiscal year, and under any statute with respect to any subsequent fiscal year that would reduce the amount of property tax revenue deemed allocated in the prior fiscal year to that district for purposes of increasing the amount of property tax revenue allocated to another jurisdiction. (b) For purposes of this section: (1) A "qualified special district" means any special district that is required to comply with Chapter 12 (commencing with Section 13950) of Division 7 of the Water Code. (2) "Water quality control compliance costs" mean those costs, including, but not limited to, reserves for nongrowth facility augmentation and replacement and environmental protection, that are determined by the county auditor in accordance with subdivision (a) to have been incurred by a qualified special district in complying with Chapter 12 (commencing with Section 13950) of Division 7 of the Water Code. (c) The auditor may assess each qualified special district its share of the auditor's actual and reasonable costs of complying with this section. For purposes of this subdivision, each share of costs shall be determined in accordance with that district's proportional share of the total amount of water quality control compliance costs determined by the auditor for purposes of this section for each fiscal year. SEC. 193. Section 97.036 of the Revenue and Taxation Code, as added by Chapter 905 of the Statutes of 1993, is amended to read: 97.036. (a) The Director of Finance may reduce the amount of the transfer to the Educational Revenue Augmentation Account determined pursuant to subdivision (a) of Section 97.035 for any eligible county as described in subdivision (b) of this section. The total amount of the reductions for all counties that may be authorized pursuant to this section shall not exceed two million dollars ($2,000,000). (b) For purposes of this section, an "eligible county" is a county with a population of less than 350,000 as reported in the 1990 federal census that had a fire element of the tax bill in 1977-78, that continues to fund some portion of those costs from the county general fund in 1993-94, and that provides these services in the same manner as a special district less than countywide and has so indicated in the Controller's Report on Financial Transactions Concerning Counties. (c) For each eligible county, the county auditor may submit the following information to the Director of Finance not later than November 1, 1993: (1) The amount of property tax allocated to the county fire district in the 1977-78 fiscal year. (2) The amount allocated from the county budget to the county fire district in the 1978-79 fiscal year. (3) The amount of property tax reduction for the county fire district attributable to the passage of Article XIIIA of the California Constitution by the voters in the primary election in June 1978. (4) The amount of money allocated from the county budget to the county fire district in the 1993-94 fiscal year. (5) The amount allocated to the county fire district from the Special District Augmentation Fund in the 1992-93 fiscal year. (d) For each eligible county that submits to the Director of Finance by November 1, 1993, the information described in subdivision (c), the Director of Finance shall make the following calculations: (1) Multiply the amount of property tax allocated to the county fire district in the 1977-78 fiscal year by the change in the value of the property tax base for the county from the 1977-78 fiscal year to the 1978-79 fiscal year. (2) Subtract the amount reported pursuant to paragraph (3) of subdivision (c) from the amount determined pursuant to paragraph (1). (3) Multiply the amount determined pursuant to paragraph (2) by an amount determined by the Director of Finance to be the change in assessed value for the county from the 1978-79 fiscal year to the 1993-94 fiscal year. (4) Multiply the amount reported pursuant to paragraph (5) of subdivision (c) by 1.038. (5) Add the amount determined pursuant to paragraph (3) to the amount determined pursuant to paragraph (4). (6) Subtract the amount determined pursuant to paragraph (5) from the amount reported pursuant to paragraph (4) of subdivision (c). (e) The Director of Finance shall determine the sum of all the amounts determined pursuant to paragraph (6) of subdivision (d). (f) If the sum determined pursuant to subdivision (e) is greater than two million dollars ($2,000,000), then the Director of Finance shall proportionately reduce the amount for each county so that the total of the amounts for all counties does not exceed two million dollars ($2,000,000). If the sum determined pursuant to subdivision (e) does not exceed two million dollars ($2,000,000), then the Director of Finance shall not reduce the amount determined for each county. (g) The Director of Finance shall by January 15, 1994, notify each county of its reduction in the amount to be transferred to the Educational Revenue Augmentation Account pursuant to subdivision (a) of Section 97.035. The maximum amount of the reduction that may be authorized pursuant to this section is one-half the amount determined pursuant to subdivision (f). SEC. 194. Section 97.038 of the Revenue and Taxation Code, as added by Chapter 900 of the Statutes of 1993, is amended and renumbered to read: 97.039. Notwithstanding Section 97.035, the amount of property tax revenues of a community service district that is subject to reduction pursuant to that section shall not include those property tax revenues, up to the amount of ninety thousand dollars ($90,000), that are allocated by that district to "police protection and personal safety" activities, as indicated in the 1989-90 edition of the Controller's Report on the Financial Transactions of Special Districts in California. SEC. 195. Section 254.5 of the Revenue and Taxation Code is amended to read: 254.5. (a) Affidavits for the welfare exemption and the veterans' organization exemption shall be filed in duplicate on or before March 15 of each year with the assessor. Affidavits of organizations filing for the first time shall be accompanied by duplicate certified copies of the financial statements of the owner and operator. Thereafter, financial statements shall be submitted only if requested in writing by either the assessor or the board. Copies of the affidavits and financial statements shall be forwarded not later than April 1 by the assessor with his or her recommendations for approval or denial to the board which shall review all the affidavits and statements and may institute an independent audit or verification of the operations of the owner and operator to ascertain whether both the owner and operator meet the requirements of Section 214 of the Revenue and Taxation Code. In this connection the board shall consider, among other matters, whether: (1) The services and expenses of the owner or operator (including salaries) are excessive, based upon like services and salaries in comparable public institutions. (2) The operations of the owner or operator, either directly or indirectly, materially enhance the private gain of any individual or individuals. (3) Any capital investment of the owner or operator for expansion of physical plant is justified by the contemplated return thereon, and required to serve the interests of the community. (4) The property on which exemption is claimed is used for the actual operation of an exempt activity and does not exceed an amount of property reasonably necessary to the accomplishment of the exempt purpose. (b) The board shall make a finding as to the eligibility of each applicant and the applicant's property and shall forward its finding to the assessor concerned. In a case where the board conducts a hearing with respect to the eligibility of the applicant and the applicant's property, the finding shall be forwarded to the assessor concerned within 30 days after the decision is made by the board following the hearing. The assessor may deny the claim of an applicant the board finds eligible but may not grant the claim of an applicant the board finds ineligible. (c) Notwithstanding subdivision (a), an applicant, granted a welfare exemption and owning any property exempted pursuant to Section 231, shall not be required to reapply for the welfare exemption in any subsequent year in which there has been no transfer of, or other change in title to, the exempted property and the property is used exclusively by a governmental entity for its interest and benefit. The applicant shall notify the assessor on or before March 15 if, on or before the preceding lien date, the applicant became ineligible for the welfare exemption or if, on or before that lien date, the property was no longer owned by the applicant or otherwise failed to meet all requirements for the welfare exemption. Prior to the lien date, the assessor shall annually mail a notice to every applicant relieved of the requirement of filing an annual application by this subdivision. The notice shall be in a form and contain that information that the board may prescribe, and shall set forth the circumstances under which the property may no longer be eligible for exemption and advise the applicant of the duty to inform the assessor if the property is no longer eligible for exemption. The notice shall include a card that is to be returned to the assessor by any applicant desiring to maintain eligibility for the welfare exemption under Section 231. The card shall be in the following form: To all persons who have received a welfare exemption under Section 231 of the Revenue and Taxation Code for the ____ fiscal year. Question: Will the property to which the exemption applies in the ____ fiscal year continue to be used exclusively by government for its interest and benefit in the ____ fiscal year? YES ___ NO ___ Signature: ____________ Title: ______________ Failure to return this card does not of itself constitute a waiver of exemption as called for by the California Constitution, but may result in onsite inspection to verify exempt activity. (d) Upon any indication that a welfare exemption has been incorrectly granted, the assessor shall redetermine eligibility for the exemption. If the assessor determines that the property, or any portion thereof, is no longer eligible for the exemption, he or she shall immediately cancel the exemption on so much of the property as is no longer eligible for the exemption. (e) If a welfare exemption has been incorrectly allowed, an escape assessment as provided by Article 4 (commencing with Section 531) of Chapter 3 in the amount of the exemption, with interest as provided in Section 506, shall be made, and a penalty shall be assessed for any failure to notify the assessor as required by this section in an amount equaling 10 percent of the escape assessment, but in no event exceeding two hundred fifty dollars ($250). SEC. 196. Section 2188.8 of the Revenue and Taxation Code is amended to read: 2188.8. (a) Whenever the assessor receives a written request for separate assessment of timeshare estates in a timeshare project, as defined in Section 11003.5 of the Business and Professions Code and as specified in subdivision (h) of this section, the assessor shall, on the first lien date that occurs more than 60 days following the request, and on each lien date thereafter, separately assess each timeshare estate in the project if the assessor determines that the conditions specified in subdivision (c) have been met. Whenever estates in a timeshare project are separately assessed, they shall continue to be separately assessed in subsequent fiscal years and once a request for separate assessment is made with respect to a project, it is binding on all future timeshare estate owners. (b) The interest that is to be separately assessed is the value of the right of recurrent, exclusive use or occupancy of real property, annually or on some other periodic basis, for a specific period of time that has been, or will be, allotted from the use or occupancy periods into which the project has been divided. (c) The separate assessment of a timeshare estate may not be made by the assessor unless both of the following occur: (1) The person making the request certifies that the request for separate assessment has been approved in the manner provided in the organizational documents of the organization involved for approval of matters affecting the affairs of the organization generally. (2) A diagrammatic floor plan of the improvements, a copy of the documents setting forth the procedures for scheduling time and units to each timeshare estate owner, and a list of every timeshare estate owner, with a date notation thereon showing when, according to the organization's records, each timeshare estate was acquired, have been filed with the assessor. A plot map of the land showing the location of the improvements on the land need not be filed unless requested by the assessor. The organization shall file an annual statement for each succeeding assessment year, on or before April 1, with the assessor setting forth any changes to the required information known to the organization. The list or other information provided pursuant to this section is not a public document and shall not be open to public inspection, except as provided in Section 408. (d) Notwithstanding subdivision (c), this section shall not be construed to require any person making a request for separate assessment to meet the requirements of the Subdivision Map Act, nor shall the approval of any governmental agency be required for separate assessment. (e) The tax on a timeshare estate that is separately assessed pursuant to this section shall be a lien solely on the timeshare estate and shall be entered on and be subject to all provisions of law applicable to taxes on the secured roll, provided: (1) If the taxes on any timeshare estate that is separately assessed remain unpaid at the time set for declaration of default for delinquent taxes, the taxes on the timeshare estate, together with any penalties and costs that may have accrued thereon while on the secured roll, may be transferred to the unsecured roll. (2) Defaulted timeshare estate taxes remaining unpaid on any prior year secured tax roll may be transferred to the unsecured roll and collected like any other tax on the unsecured roll. (f) The assessor shall provide to the principal office of each timeshare project within the taxing jurisdiction, at the time and in the manner as he or she deems appropriate, adequate notice of the provisions of this section and other pertinent information relative to the implementation thereof. (g) The county may charge a fee for processing an application for separate assessment and for the initial and the ongoing costs, not to exceed the actual cost, of the separate assessment and billing, and mailings, with respect to a timeshare project. This fee shall be subject to Chapter 12.5 (commencing with Section 54985) of Part 1 of Division 2 of Title 5 of the Government Code, and shall be proportionately allocated to each of the timeshare estate owners. This fee may be collected commencing with the initial separate tax bills, and on subsequent tax bills, and deposited in the county's general fund. (h) For purposes of this section, "timeshare estate" applies to timeshare estates, as defined in Section 11003.5 of the Business and Professions Code, that include a fee simple interest in the underlying property involved. However, "timeshare estate" does not include timeshare estates that are coupled with a leasehold interest or an estate for years. SEC. 197. Section 6073 of the Revenue and Taxation Code is amended to read: 6073. (a) (1) When the board determines it is necessary for the efficient administration of this part, the board may require the operator of a swap meet, flea market, or special event as a prerequisite to renting or leasing space on the premises owned or controlled by that operator to a person desiring to engage in or conduct business as a seller, to obtain written evidence that the seller is the holder of a valid seller's permit issued pursuant to Section 6067, or a written statement from the seller that he or she is not offering for sale any item that is taxable under this part or is otherwise not required to hold a valid seller's permit. (2) In providing the board with documentation required by the board pursuant to paragraph (1), an operator of a swap meet, flea market, or special event may require each person desiring to engage in or conduct business as a seller at that swap meet, flea market, or special event to provide his or her driver's license number to the operator on a form authorized by the board or under Section 6073.1. (b) At any time as the board may specify in a written notice, but in no case more than three times in a calendar year, the board may require an operator to submit to the board a list of vendors conducting business on their premises as a seller. Each listing shall be provided to the board within 30 days after the date of the board's notice. The list shall contain the name and seller's permit number for permitholders and the name, address, and driver's license number for vendors who do not have a seller's permit. Records shall be retained as provided in Section 7053. (c) "Swap meet, flea market, or special event," as used in this section, means an activity involving a series of sales sufficient in number, scope, and character to constitute a regular course of business, or any event at which two or more persons offer tangible personal property for sale or exchange and at which a fee is charged for the privilege of displaying the property for sale or exchange or at which a fee is charged to prospective buyers for admission to the area where the property is offered or displayed for sale or exchange. (d) Any operator of a swap meet, flea market, or special event who fails or refuses to comply with this section is subject to a penalty not exceeding one thousand dollars ($1,000) for each offense. SEC. 198. Section 6355 of the Revenue and Taxation Code is amended to read: 6355. (a) There are exempted from the taxes imposed by this part the gross receipts from the sale in bulk of monetized bullion, nonmonetized gold or silver bullion, and numismatic coins that are substantially equivalent to transactions in securities or commodities through a national securities or commodities exchange and the storage, use, or other consumption in this state of monetized bullion, nonmonetized gold or silver bullion, and numismatic coins so sold. (b) (1) A sale in bulk, for purposes of this section, shall be deemed to have occurred if the amount of monetized bullion, nonmonetized gold or silver bullion, and numismatic coins sold in the transaction totals, in market value, the sum of one thousand dollars ($1,000) or more, or its equivalent. (2) The board shall adjust the one thousand dollar ($1,000) amount specified in paragraph (1) as follows: (A) On or before September 1, 1994, and on or before each September 1 of each year thereafter, the board shall multiply the amount applicable for the current calendar year by the inflation factor adjustment determined by the Franchise Tax Board pursuant to subdivision (h) of Section 17041, the resulting amount to be the applicable amount for the succeeding calendar year. The applicable amount shall be operative as an adjustment of the amount specified in paragraph (1) only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (C). (B) When the applicable amount equals or exceeds an operative threshold specified in subparagraph (C), the resulting applicable amount, rounded to the nearest multiple of five hundred dollars ($500), shall be operative for purposes of paragraph (1) beginning January 1 of the succeeding calendar year. (C) For purposes of this paragraph, "operative threshold" means an amount that exceeds by at least five hundred dollars ($500), the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraphs (A) and (B) as the operative adjustment to the amount specified in paragraph (1). (c) "Monetized bullion," for purposes of this section, means coins or other forms of money manufactured of gold, silver, or other metal and heretofore, now, or hereafter used as a medium of exchange under the laws of this state, the United States, or any foreign nation. "Monetized bullion," for purposes of this section, also means gold medallions struck under authority of the American Arts Gold Medallion Act (Title IV of Public Law 95-630). (d) A sale of monetized bullion, nonmonetized gold or silver bullion, or numismatic coins, for purposes of this section, shall be deemed to be substantially equivalent to a transaction in securities or commodities through a national securities or commodities exchange, if the sale is by or through a person registered pursuant to the Commodity Exchange Act (7 U.S.C. Sec. 1 et seq.) or not required to be registered under the Commodity Exchange Act. SEC. 199. Section 6358.2 of the Revenue and Taxation Code is amended to read: 6358.2. There are exempted from the taxes imposed by this part the gross receipts from the sale of and the storage, use, or other consumption in this state of wood shavings, sawdust, rice hulls, or other products that are used as litter in poultry and egg production and that are ultimately resold as, or incorporated into, fertilizer products. SEC. 200. Section 13210 of the Revenue and Taxation Code is amended to read: 13210. (a) For gross premiums paid or to be paid on insurance contracts that take effect or are renewed on or after January 1, 1994, every person who effects insurance governed by Chapter 6 (commencing with Section 1760) of Part 2 of Division 1 of the Insurance Code shall pay a gross premium tax of 3 percent for the use of the state, less 3 percent of returned premiums that were subject to the tax received by reason of cancellation or reduction of premium. (1) This section shall not apply to either of the following: (A) Insurance coverage for which a tax on the gross premium is due or has been paid pursuant to Section 1775.5 of the Insurance Code. (B) Gross premiums paid and returned premiums received by that person upon business governed by the provisions of Section 1760.5 of the Insurance Code. (2) If, during any calendar quarter 3 percent of the returned premiums received that were subject to the tax imposed by this part exceed 3 percent of the gross premiums paid or to be paid by that person on contracts that took effect or were renewed in that calendar quarter, then that person may either carry forward the excess to a succeeding calendar quarter and apply it as a credit against the 3 percent of gross premiums paid or to be paid by that person in the succeeding calendar quarter, or the person may elect to receive, and be paid a refund equal to the amount of taxes paid by the person on the excess of returned premiums received over gross premiums paid or to be paid. (b) For purposes of determining the tax, the total premium paid or to be paid for all nonadmitted insurance placed in a single transaction with one underwriter or group of underwriters, whether in one or more policies, in that calendar quarter during which the taxable insurance contract or contracts took effect or were renewed, shall be allocated to this state in the proportion that the total premium on the insured properties or operations in this state, as computed on the exposure in this state on the basis of any single standard rating method in use in all states or countries where the insurance applies, bears to the total premium so computed in all states or countries in which that nonadmitted insurance may apply. (c) Subdivision (b) shall not apply to interstate motor transit operations conducted between this and other states. With respect to those operations, the tax shall be payable on the entire premium charged on all nonadmitted insurance, less both of the following: (1) The portion of the premium that is determined to have been paid for operations in other states taxing the premium on operations in states of an insured maintaining its headquarters office in this state. (2) The premium for any operations outside of this state of an insured who maintains a headquarters operating office outside of this state and a branch office in this state. SEC. 201. Section 13221 of the Revenue and Taxation Code is amended to read: 13221. In the event that a person subject to tax is delinquent in the payment of any amount due under this part, and that person also has an amount imposed and due and payable under Part 10 (commencing with Section 17001), Part 10.2 (commencing with Section 18401), or Part 11 (commencing with Section 23001), any amounts collected by the Franchise Tax Board shall be applied first to the payment of those taxes, additions to tax, penalties, interest, fees, or other amounts imposed and due and payable under Part 10 (commencing with Section 17001), Part 10.2 (commencing with Section 18401), or Part 11 (commencing with Section 23001). SEC. 202. Section 17053.45 of the Revenue and Taxation Code is amended to read: 17053.45. (a) For each taxable year beginning on or after January 1, 1995, and before January 1, 2003, there shall be allowed as a credit against the "net tax" (as defined by Section 17039) an amount equal to the sales or use tax paid or incurred by the taxpayer in connection with the purchase of qualified property to the extent that the qualified property does not exceed a value of one million dollars ($1,000,000). (b) For purposes of this section: (1) "LAMBRA" means a local agency military base recovery area designated in accordance with Section 7114 of the Government Code. (2) "Taxpayer" means a taxpayer or partnership that conducts a trade or business within a LAMBRA and, for the first two taxable years, has a net increase in jobs (defined as 2,000 paid hours per employee per year) of one or more employees in the LAMBRA. (A) The net increase in the number of jobs shall be determined by subtracting the total number of full-time employees (defined as 2,000 paid hours per employee per year) the taxpayer employed in this state in the taxable year prior to commencing business operations in the LAMBRA from the total number of full-time employees the taxpayer employed in this state during the second taxable year after commencing business operations in the LAMBRA. For taxpayers who commence doing business in this state with their LAMBRA business operation, the number of employees for the taxable year prior to commencing business operations in the LAMBRA shall be zero. If the taxpayer has a net increase in jobs in the state, the credit shall be allowed only if one or more full-time employees is employed within the LAMBRA. (B) The total number of employees employed in the LAMBRA shall equal the sum of both of the following: (i) The total number of hours worked in the LAMBRA for the taxpayer by employees (not to exceed 2,000 hours per employee) who are paid an hourly wage divided by 2,000. (ii) The total number of months worked in the LAMBRA for the taxpayer by employees who are salaried employees divided by 12. (C) In the case of a taxpayer who first commences doing business in the LAMBRA during the taxable year, for purposes of clauses (i) and (ii), respectively, of subparagraph (B) the divisors "2,000" and "12" shall be multiplied by a fraction, the numerator of which is the number of months of the taxable year that the taxpayer was doing business in the LAMBRA and the denominator of which is 12. (3) "Qualified property" means the purchase of any of the following for exclusive use in a LAMBRA: (A) High technology equipment, including, but not limited to, computers and electronic processing equipment. (B) Aircraft maintenance equipment, including, but not limited to, engine stands, hydraulic mules, power carts, test equipment, handtools, aircraft start carts, and tugs. (C) Aircraft components, including, but not limited to, engines, fuel control units, hydraulic pumps, avionics, starts, wheels, and tires. (D) Any property that is Section 1245 property, as defined in Section 1245(a)(3) of the Internal Revenue Code. (c) The credit provided under subdivision (a) shall be allowed only for qualified property manufactured in California unless qualified property of a comparable quality and price is not available for timely purchase and delivery from a California manufacturer. (d) In the case where the credit allowed under subdivision (a) exceeds the limitation set forth in subdivision (f), that portion of the credit which exceeds the limitation may be carried over and added to the credit computed under subdivision (a) in succeeding years, until the credit is exhausted. (e) Any taxpayer who elects to be subject to this section shall not be entitled to increase the basis of the property as otherwise required by Section 164(a) of the Internal Revenue Code with respect to sales or use tax paid or incurred in connection with the purchase of qualified property. (f) The amount of the credit provided by this section, including credit carryover from prior years, in any taxable year shall not exceed the amount of tax that would be imposed on the income attributed to business activities of the taxpayer within a LAMBRA as if that attributable income represented all the income of the taxpayer subject to tax under this part. In the event that a credit carryover is allowable under subdivision (d) for any taxable year after the LAMBRA designation has expired, the LAMBRA shall be deemed to remain in existence for purposes of computing this limitation. The amount of that income shall be determined in accordance with Article 2 (commencing with Section 25120) of Chapter 17 of Part 11, modified for purposes of this section as follows: (1) Income shall be apportioned to a LAMBRA by multiplying total income from the business by a fraction, the numerator of which is the property factor, plus the payroll factor, and the denominator of which is 2. (2) "The LAMBRA" shall be substituted for "this state." (g) (1) If the qualified property is disposed of or no longer used by the taxpayer in the local agency military base recovery area, at any time before the close of the second taxable year after the property is placed in service, the amount of the credit previously claimed, with respect to that property, shall be added to the taxpayer's tax liability in the taxable year of that disposition or nonuse. (2) At the close of the second taxable year, if the taxpayer has not increased the number of its employees as determined by paragraph (2) of subdivision (b), then the amount of the credit previously claimed shall be added to the taxpayer's net tax for the taxpayer's second taxable year. (h) In the case where "qualified property" qualifies for a credit under more than one section in this part, the taxpayer shall make an election as to which section applies to that qualified property. (i) This section shall remain in effect only until December 1, 2003, and as of that date is repealed. However, any unused credit may continue to be carried forward as provided in subdivision (d), until the credit is exhausted. SEC. 203. Section 17053.46 of the Revenue and Taxation Code is amended to read: 17053.46. (a) For each taxable year beginning on or after January 1, 1995, and before January 1, 2003, there shall be allowed as a credit against the "net tax" (as defined in Section 17039) to a qualified taxpayer for hiring a qualified disadvantaged individual or a qualified displaced employee during the taxable year for employment in the LAMBRA. The credit shall be equal to the sum of each of the following: (1) Fifty percent of the qualified wages in the first year of employment. (2) Forty percent of the qualified wages in the second year of employment. (3) Thirty percent of the qualified wages in the third year of employment. (4) Twenty percent of the qualified wages in the fourth year of employment. (5) Ten percent of the qualified wages in the fifth year of employment. (b) For purposes of this section: (1) "Qualified wages" means the wages paid or incurred by the employer during the taxable year to qualified disadvantaged individuals or qualified displaced employees. "Qualified wages" means that portion of hourly wages which does not exceed 150 percent of the minimum wage. Qualified wages paid or incurred by the qualified taxpayer during qualified years one through five used to calculate this credit shall not exceed two million dollars ($2,000,000). (2) "Qualified years one through five wages" means, with respect to any individual, qualified wages received during the 60-month period beginning with the day the individual commences employment within a LAMBRA. (3) "Minimum wage" means the wage established by the Industrial Welfare Commission as provided for in Chapter 1 (commencing with Section 1171) of Part 4 of Division 2 of the Labor Code. (4) "LAMBRA" means a local agency military base recovery area designated in accordance with Section 7114 of the Government Code. (5) "Qualified disadvantaged individual" means an individual who satisfies all of the following requirements: (A) (i) At least 90 percent of whose services for the taxpayer during the taxable year are directly related to the conduct of the taxpayer's trade or business located in a LAMBRA. (ii) Who performs at least 50 percent of his or her services for the taxpayer during the taxable year in the LAMBRA. (B) Who is hired by the employer after the designation of the area as a LAMBRA in which the individual's services were primarily performed. (C) Any of the following: (i) An individual who has been determined eligible for services under the federal Job Training Partnership Act (29 U.S.C. Sec. 1501 et seq.). (ii) Any voluntary or mandatory registrant under the Greater Avenues for Independence Act of 1985 as provided pursuant to Article 3.2 (commencing with Section 11320) of Chapter 2 of Part 3 of Division 9 of the Welfare and Institutions Code. (iii) Any individual who has been certified eligible by the Employment Development Department under the federal Targeted Jobs Tax Credit Program whether or not this program is in effect. (6) "Qualified taxpayer" means a taxpayer or partnership that conducts a trade or business within a LAMBRA and, for the first two taxable years, has a net increase in jobs (defined as 2,000 paid hours per employee per year) of one or more employees in the LAMBRA. (A) The net increase in the number of jobs shall be determined by subtracting the total number of full-time employees (defined as 2,000 paid hours per employee per year) the taxpayer employed in this state in the taxable year prior to commencing business operations in the LAMBRA from the total number of full-time employees the taxpayer employed in this state during the second taxable year after commencing business operations in the LAMBRA. For taxpayers who commence doing business in this state with their LAMBRA business operation, the number of employees for the taxable year prior to commencing business operations in the LAMBRA shall be zero. If the taxpayer has a net increase in jobs in the state, the credit shall be allowed only if one or more full-time employees is employed within the LAMBRA. (B) The total number of employees employed in the LAMBRA shall equal the sum of both of the following: (i) The total number of hours worked in the LAMBRA for the taxpayer by employees (not to exceed 2,000 hours per employee) who are paid an hourly wage divided by 2,000. (ii) The total number of months worked in the LAMBRA for the taxpayer by employees who are salaried employees divided by 12. (C) In the case of a taxpayer who first commences doing business in the LAMBRA during the taxable year, for purposes of clauses (i) and (ii), respectively, of subparagraph (B) the divisors "2,000" and "12" shall be multiplied by a fraction, the numerator of which is the number of months of the taxable year that the taxpayer was doing business in the LAMBRA and the denominator of which is 12. (7) "Qualified displaced employee" means an individual who satisfies all of the following requirements: (A) Any civilian or military employee of a base or former base who has been displaced as a result of a federal base closure act. (B) (i) At least 90 percent of whose services for the taxpayer during the taxable year are directly related to the conduct of the taxpayer's trade or business located in a LAMBRA. (ii) Who performs at least 50 percent of his or her services for the taxpayer during the taxable year in a LAMBRA. (C) Who is hired by the employer after the designation of the area in which services were performed as a LAMBRA. (c) (1) For purposes of this section, both of the following apply: (A) All employees of trades or businesses that are under common control shall be treated as employed by a single employer. (B) The credit (if any) allowable by this section with respect to each trade or business shall be determined by reference to its proportionate share of the qualified wages giving rise to the credit. The regulations prescribed under this paragraph shall be based on principles similar to the principles that apply in the case of controlled groups of corporations as specified in subdivision (e) of Section 23622. (2) If an employer acquires the major portion of a trade or business of another employer (hereinafter in this paragraph referred to as the "predecessor") or the major portion of a separate unit of a trade or business of a predecessor, then, for purposes of applying this section (other than subdivision (f)) for any calendar year ending after that acquisition, the employment relationship between an employee and an employer shall not be treated as terminated if the employee continues to be employed in that trade or business. (d) (1) If the employment of any employee, with respect to whom qualified wages are taken into account under subdivision (a) is terminated by the taxpayer at any time during the first 270 days of that employment (whether or not consecutive) or before the close of the 270th calendar day after the day in which that employee completes 90 days of employment with the taxpayer, the tax imposed by this part for the taxable year in which that employment is terminated shall be increased by an amount (determined under those regulations) equal to the credit allowed under subdivision (a) for that taxable year and all prior taxable years attributable to qualified wages paid or incurred with respect to that employee. (2) (A) Paragraph (1) shall not apply to any of the following: (i) A termination of employment of an employee who voluntarily leaves the employment of the taxpayer. (ii) A termination of employment of an individual who, before the close of the period referred to in paragraph (1), becomes disabled to perform the services of that employment, unless that disability is removed before the close of that period and the taxpayer fails to offer reemployment to that individual. (iii) A termination of employment of an individual, if it is determined under the applicable employment compensation laws that the termination was due to the misconduct of that individual. (iv) A termination of employment of an individual due to a substantial reduction in the trade or business operations of the taxpayer. (v) A termination of employment of an individual, if that individual is replaced by other qualified employees so as to create a net increase in both the number of employees and the hours of employment. (B) For purposes of paragraph (1), the employment relationship between the taxpayer and an employee shall not be treated as terminated by reason of a mere change in the form of conducting the trade or business of the taxpayer, if the employee continues to be employed in that trade or business and the taxpayer retains a substantial interest in that trade or business. (3) Any increase in tax under paragraph (1) shall not be treated as tax imposed by this part for purposes of determining the amount of any credit allowable under this part. (4) At the close of the second taxable year, if the taxpayer has not increased the number of its employees as determined by paragraph (6) of subdivision (b), then the amount of the credit previously claimed shall be added to the taxpayer's net tax for the taxpayer's second taxable year. (e) In the case of an estate or trust, both of the following apply: (1) The qualified wages for any taxable year shall be apportioned between the estate or trust and the beneficiaries on the basis of the income of the estate or trust allocable to each. (2) Any beneficiary to whom any qualified wages have been apportioned under paragraph (1) shall be treated (for purposes of this part) as the employer with respect to those wages. (f) The credit shall be reduced by the credit allowed under Section 17053.7. The credit shall also be reduced by the federal credit allowed under Section 51 of the Internal Revenue Code. In addition, any deduction otherwise allowed under this part for the wages or salaries paid or incurred by the taxpayer upon which the credit is based shall be reduced by the amount of the credit. (g) In the case where the credit allowed under subdivision (a) exceeds the limitation set forth in subdivision (h), that portion of the credit that exceeds the limitation may be carried over and added to the credit computed under subdivision (a) in succeeding years, until the credit is exhausted. (h) The amount of the credit including prior year carryovers allowed by this section in any taxable year shall not exceed the amount of tax that would be imposed on the income attributed to business activities of the taxpayer within a LAMBRA as if that attributed net income represented all of the net income of the taxpayer subject to tax under this part. In the event that a credit carryover is allowable under subdivision (g) for any taxable year after the LAMBRA designation has expired, the LAMBRA shall be deemed to remain in existence for purposes of computing this limitation. The amount of that attributed income shall be determined in accordance with the provisions of Article 2 (commencing with Section 25120) of Chapter 17 of Part 11, modified for purposes of this section as follows: (1) Income shall be apportioned to a LAMBRA by multiplying total income from the business by a fraction, the numerator of which is the property factor plus the payroll factor, and the denominator of which is two. (2) "The LAMBRA" shall be substituted for "this state." (i) (1) In the case where "qualified wages" qualify for a credit under more than one section in this part, the taxpayer shall make an election as to which section applies to those qualified wages. (2) Any election made under this section, and any specification contained in that election, may not be revoked except with the consent of the Franchise Tax Board. (j) This section shall remain in effect only until December 1, 2003, and as of that date is repealed. However, any unused credit may continue to be carried forward as provided in subdivision (g), until the credit is exhausted. SEC. 204. Section 17145 of the Revenue and Taxation Code is amended to read: 17145. (a) A management company, or series thereof, is qualified to pay exempt-interest dividends to its shareholders if, at the close of each quarter of its taxable year, at least 50 percent of the value of its total assets consists of obligations which, when held by an individual, the interest therefrom is exempt from taxation by this state. (b) For purposes of this section: (1) "Exempt-interest dividend" means any dividend or part thereof paid by a management company or series thereof in an amount not exceeding the interest received by it during its taxable year on obligations that, when held by an individual, the interest therefrom is exempt from taxation by this state, and designated by it as an exempt-interest dividend in a written notice mailed to its shareholders not later than 60 days after the close of its taxable year. If the aggregate amount so designated with respect to a taxable year of the company (including exempt-interest dividends paid after the close of the taxable year as described in Section 855 of the Internal Revenue Code) is greater than the excess of: (A) The amount of interest received by it during its taxable year on obligations, interest on which, if held by an individual, is exempt from taxation by this state, over (B) The amounts that, if it were treated as an individual, would be disallowed as deductions under Section 17280 of this part or Section 171(a)(2) of the Internal Revenue Code, the portion of that distribution that shall constitute an exempt-interest dividend shall be only that proportion of the amount so designated as the amount of that excess for that taxable year bears to the amount so designated. (2) "Management company" means a regulated investment company as defined by Section 851 of the Internal Revenue Code. (3) "Series" means a segregated portfolio of assets, the beneficial interest in which is owned by the holders of a class or series of stock of the management company that is preferred over all other classes or series with respect to that portfolio of assets. (4) "Value" means, with respect to securities (other than those of majority-owned subsidiaries) for which market quotations are readily available, the market value of those securities; and with respect to other securities and assets, fair market value as determined in good faith by the board of directors or trustees, except that in the case of securities of majority-owned subsidiaries that are investment companies, as defined in the Investment Company Act of 1940, that fair value shall not exceed market value or asset value, whichever is higher. (c) An exempt-interest dividend shall be treated by recipients thereof as an item of interest excludable from income. SEC. 205. Section 18431.2 of the Revenue and Taxation Code is amended to read: 18431.2. (a) Any return, declaration, statement, or other document required to be made under this part that is filed using electronic technology shall be in a form as the Franchise Tax Board may prescribe and is not complete, and therefore not filed, unless an electronic filing declaration is signed by the taxpayer, in accordance with Section 18431 in the case of individuals, subdivision (a) of Section 18405 in the case of estates and trusts, or subdivision (a) of Section 17932 in the case of a partnership. The Franchise Tax Board may prescribe forms and instructions for requiring the electronic filing declaration to be retained by the preparer or the taxpayer and may require the declaration to be furnished to the Franchise Tax Board upon request. (b) Notwithstanding any other provision of law, any return, declaration, statement, or other document otherwise required to be signed that is filed in a traditional medium and captured using electronic imaging technology shall be deemed to be a signed, valid original document upon reproduction to paper form by the Franchise Tax Board. (c) Notwithstanding any other provision of law, any return, declaration, statement, or other document otherwise required to be signed that is filed by the taxpayer using electronic technology in a form as required by the Franchise Tax Board shall be deemed to be a signed, valid original document, including upon reproduction to paper form by the Franchise Tax Board. (d) "Electronic imaging technology" means a system of microphotography, optical disk, or reproduction by other technique that does not permit additions, deletions, or changes to the original document. The system may include, but is not limited to, any magnetic media or other machine readable form. (e) "Traditional medium" means any return, declaration, statement, or other document required to be made pursuant to this article other than those made using electronic technology or electronic imaging technology. (f) "Electronic technology" includes, but is not limited to, any computer modem, magnetic media, optical disk, facsimile machine, or telephone. SEC. 206. Section 18512 of the Revenue and Taxation Code, as amended by Chapter 838 of the Statutes of 1993, is repealed. SEC. 207. Section 18723 of the Revenue and Taxation Code is amended to read: 18723. (a) All moneys transferred to the California Fund for Senior Citizens pursuant to Section 18722, upon appropriation by the Legislature, shall be allocated as follows: (1) To the Franchise Tax Board and the Controller for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (2) To the California Commission on Aging for allocation as follows: (A) To the California Senior Legislature, in the 1988-89 fiscal year, and each succeeding fiscal year thereafter, the sum of seventy-five thousand dollars ($75,000), or the balance of the fund if less than that amount remains in the fund, for the conduct of sessions of the California Senior Legislature. (B) The balance, if any, but not to exceed two hundred fifty thousand dollars ($250,000), to the California Senior Legislature for its ongoing activities on behalf of older persons. Thirty-three thousand dollars ($33,000) of the balance allocated under this subparagraph, or the entire balance allocated under this subparagraph if the balance is less than thirty-three thousand dollars ($33,000), shall be specifically allocated annually for the conduct of elections of members of the California Senior Legislature. That amount may be carried over from fiscal years in which there are no elections and accumulated, in an amount not to exceed sixty-six thousand dollars ($66,000), for use in election years, and any portion of that amount not used in an election year shall be reallocated pursuant to subparagraph (C). (C) The balance, if any, to the commission for senior citizen direct service programs through contracts with the Department of Aging and Long-Term Care. (b) All moneys allocated pursuant to paragraph (2) of subdivision (a) may be carried over from the year in which they were received and encumbered in any following year. (c) The amount allocated pursuant to subparagraphs (A) and (B) of paragraph (2) of subdivision (a) may be adjusted annually, as determined by the Department of Finance, to reflect changes in salary adjustments, price increases, and travel reimbursement adjustments included for all state agencies in the annual Budget Act. (d) The funds allocated to the commission for the purposes of funding the activities of the California Senior Legislature shall be spent pursuant to an agreement that is approved by both the commission and the Joint Rules Committee of the California Senior Legislature no later than March 1, 1994, and whose terms are consistent with the bylaws of the California Senior Legislature, established through a majority vote of the California Senior Legislature. SEC. 208. Section 19531 of the Revenue and Taxation Code, as added by Chapter 31 of the Statutes of 1993, is amended and renumbered to read: 19532. (a) The Franchise Tax Board may charge fees for its "Tax News" publication and its "California Package X." The fees shall include preparation and production costs and other related costs, including, but not limited to, the handling of requests, printing, and postage. (b) This section shall not apply to documents distributed to public distribution sites. (c) Fees received under this section shall be handled in accordance with Section 19605. SEC. 209. Section 24356.3 of the Revenue and Taxation Code is amended to read: 24356.3. (a) A taxpayer may elect to treat 40 percent of the cost of any Section 24356.3 property as an expense that is not chargeable to capital account. Any cost so treated shall be allowed as a deduction for the income year in which the Section 24356.3 property is placed in service. (b) (1) An election under this section for any income year shall meet both of the following requirements: (A) Specify the items of Section 24356.3 property to which the election applies and the percentage of the cost of each of those items that is to be taken into account under subdivision (a). (B) Be made on the taxpayer's return of the tax imposed by this part for the income year. This election shall be made in the manner that the Franchise Tax Board may by regulations prescribe. (2) Any election made under this section, and any specification contained in that election, may not be revoked except with the consent of the Franchise Tax Board. (c) (1) For purposes of this section, "Section 24356.3 property" means property acquired by the taxpayer that is used exclusively in a program area (as defined in Section 7082 of the Government Code) and consists of machinery and machinery parts used for fabricating, processing, assembling, and manufacturing and machinery and machinery parts used for the production of renewable energy resources or air or water pollution control mechanisms. "Section 24356.3 property" also means property used as an integral part of a qualified business within a program area (as defined in Section 7082 of the Government Code). (2) For purposes of paragraph (1), "purchase" means any acquisition of property, but only if all of the following apply: (A) The property is not acquired from a person whose relationship to the person acquiring it would result in the disallowance of losses under Sections 24427 to 24429, inclusive (but, in applying Sections 24428 and 24429 for purposes of this section, subdivision (d) of Section 24429 shall be treated as providing that the family of an individual shall include only his or her spouse, ancestors, and lineal descendants). (B) The property is not acquired by one member of an affiliated group from another member of the same affiliated group. (C) The basis of the property in the hands of the person acquiring it is not determined in whole or in part by reference to the adjusted basis of that property in the hands of the person from whom it is acquired. (3) For purposes of this section, the cost of property does not include so much of the basis of that property as is determined by reference to the basis of other property held at any time by the person acquiring that property. (4) This section shall not apply to any property for which the taxpayer could not make a federal election under Section 179 of the Internal Revenue Code because of the application of the provisions of Section 179(d) of the Internal Revenue Code. (5) For purposes of subdivision (b) of this section, both of the following shall apply: (A) All members of an affiliated group shall be treated as one taxpayer. (B) The taxpayer shall apportion the dollar limitation contained in subdivision (f) among the members of the affiliated group in whatever manner the board shall prescribe. (6) For purposes of paragraphs (2) and (5), "affiliated group" has the meaning assigned to it by Section 1504 of the Internal Revenue Code, except that, for these purposes, the phrase "more than 50 percent" shall be substituted for the phrase "at least 80 percent" each place it appears in Section 1504(a) of the Internal Revenue Code. (d) For purposes of this section, "taxpayer" means a taxpayer who conducts a qualified business within a program area (as defined in Section 7082 of the Government Code). (e) Any taxpayer who elects to be subject to this section shall not be entitled to claim additional depreciation pursuant to Section 24356 with respect to any property which constitutes Section 24356.3 property; however, the taxpayer may claim depreciation by any method permitted by Section 24349 commencing with the income year following the income year in which Section 24356.3 property is placed in service. (f) The aggregate cost that may be taken into account under subdivision (a) for any income year shall not exceed the following applicable amount for the income year of the designation of a program area and income years thereafter: The applicable amount is: Income year of designation ........... $100,000 1st income year thereafter ........... 100,000 2nd income year thereafter ........... 75,000 3rd income year thereafter ........... 75,000 Each income year thereafter .......... 50,000 (g) Any amounts deducted under subdivision (a) with respect to property which ceases to be qualified property at any time before the close of the second income year after the property is placed in service shall be included in income for that second year. SEC. 210. Section 30101 of the Revenue and Taxation Code is amended to read: 30101. Every distributor shall pay a tax upon his or her distributions of cigarettes at the rate of one and one-half mills ($0.0015) for the distribution after 4:00 a.m. on July 1, 1959, of each cigarette until 12:01 a.m. on August 1, 1967, at the rate of three and one-half mills ($0.0035) for the distribution of each cigarette on and after August 1, 1967, until 12:01 a.m. on October 1, 1967, at the rate of five mills ($0.005) on and after 12:01 a.m. on October 1, 1967, until 12:01 a.m. on January 1, 1994, and at the rate of six mills ($0.006) on and after 12:01 a.m. on January 1, 1994. SEC. 211. Section 30461.6 of the Revenue and Taxation Code, as added by Chapter 660 of the Statutes of 1993, is repealed. SEC. 212. Section 41136 of the Revenue and Taxation Code is amended to read: 41136. Funds in the State Emergency Telephone Number Account shall, when appropriated by the Legislature, be spent solely for the following purposes: (a) To pay refunds authorized by this part. (b) To pay the State Board of Equalization for the cost of the administration of this part. (c) To pay the Department of General Services for its costs in administration of the "911" emergency telephone number system. (d) To pay bills submitted to the Department of General Services by service suppliers or communications equipment companies for the installation and ongoing expenses for the following communications services supplied local agencies in connection with the "911" emergency phone number system: (1) A basic system. (2) A basic system with telephone central office identification. (3) A system employing automatic call routing. (4) Approved incremental costs. (e) To pay claims of local agencies for approved incremental costs, not previously compensated for by another governmental agency. (f) To pay claims of local agencies for incremental costs and amounts, not previously compensated for by another governmental agency, incurred prior to the effective date of this part, for the installation and ongoing expenses for the following communication services supplied in connection with the "911" emergency phone number system: (1) A basic system. (2) A basic system with telephone central office identification. (3) A system employing automatic call routing. (4) Approved incremental costs. Incremental costs shall not be allowed unless the costs are concurred in by the Communications Division. SEC. 213. Section 41137 of the Revenue and Taxation Code is amended to read: 41137. The Department of General Services shall pay, from funds appropriated from the State Emergency Telephone Number Account by the Legislature, as provided in Section 41138, bills submitted by service suppliers or communications equipment companies for the installation and ongoing costs of the following communication services provided local agencies by service suppliers in connection with the "911" emergency telephone number system: (a) A basic system. (b) A basic system with telephone central office identification. (c) A system employing automatic call routing. (d) Approved incremental costs that have been concurred in by the Communications Division. SEC. 214. Section 43152.11 of the Revenue and Taxation Code, as added by Chapter 411 of the Statutes of 1993, is repealed. SEC. 215. Section 223 of the Streets and Highways Code is amended to read: 223. (a) The department may contract with other governmental agencies or private organizations or individuals for the construction and operation of traveler service information facilities and for the maintenance of all or any of these safety roadside rests where it deems it necessary or desirable. (b) Notwithstanding subdivision (a), Section 19130 of the Government Code, or any other provision of law, the department may contract with public and private nonprofit organizations pursuant to Section 19404 of the Welfare and Institutions Code, for the operation of traveler service information facilities and for the maintenance of all or any of these safety roadside rests where it deems it necessary or desirable. Contracts entered into pursuant to this subdivision shall not cause displacement of civil service employees. For purposes of this section, "displacement" includes layoff, demotion, involuntary transfer to a new class, involuntary transfer to a new location requiring a change of residence, and time base reductions. "Displacement" does not include changes in shifts or days off, or reassignment to other positions within the same class and general location. SEC. 216. Section 1095 of the Unemployment Insurance Code is amended to read: 1095. The director shall permit the use of any information in his or her possession to the extent necessary for any of the following purposes: (a) To properly present a claim for benefits. (b) To acquaint a worker or his or her authorized agent with his or her existing or prospective right to benefits. (c) To furnish an employer or his or her authorized agent with information to enable him or her to fully discharge his or her obligations or safeguard his or her rights under this division or Division 3 (commencing with Section 9000). This subdivision, as it relates to Division 3 (commencing with Section 9000), applies only to subdivision (j) of this section. (d) To enable an employer to receive a reduction in contribution rate. (e) To enable the Director of Social Services or his or her representatives or the Director of Health Services or his or her representatives, subject to federal law, to verify or determine the eligibility or entitlement of an applicant for, or a recipient of, public social services provided pursuant to the Welfare and Institutions Code, and directly connected with, and limited to, the administration of public social services. (f) To enable county administrators of general relief or assistance, or their representatives, to determine entitlement to locally provided general relief or assistance, where the determination is directly connected with, and limited to, the administration of general relief or assistance. (g) To enable county district attorneys, or their representatives, to seek criminal, civil, or administrative remedies in connection with the unlawful application for, or receipt of, relief provided under Division 9 (commencing with Section 10000) of the Welfare and Institutions Code. (h) To enable the director or his or her representative to carry out his or her responsibilities under this code. (i) To enable county departments of collection or their representatives to determine entitlement to medical assistance services rendered pursuant to Part 5 (commencing with Section 17000) of Division 9 of the Welfare and Institutions Code, and, when appropriate, to enable collection for the county's expenditures for these medical assistance services. (j) To furnish an employer, or his or her authorized agent, with information including, but not limited to, the applicant's or recipient's name, social security number, address, employable skills, and job placement in order to enable him or her to fully discharge his or her obligations or safeguard his or her rights under the elements of a joint union, management, and Employment Development Department agreement as are deemed necessary to assist displaced workers to obtain new employment under the provisions of Chapter 2.9 (commencing with Section 9970) of Part 1 of Division 3 and related provisions of Division 3 (commencing with Section 9000). The information shall be limited to any information gathered under these divisions by the department and authorized for release by the labor organization which shall act as an agent for the affected workers under terms of the agreement and shall participate in defining the information release provisions. (k) To provide any law enforcement agency with the name, address, telephone number, birth date, social security number, physical description, and names and addresses of present and past employers, of any victim, suspect, missing person, potential witness, or person for whom a felony arrest warrant has been issued, when a request for this information is made by any investigator or peace officer as defined by Sections 830.1 and 830.2 of the Penal Code and designated by the head of the law enforcement agency and who requests this information in the course of and as a part of an investigation into the commission of a crime where there is a reasonable suspicion that the crime is a felony and that the information would lead to relevant evidence. The information provided pursuant to this subdivision shall be provided to the extent permitted by federal law and regulations, and to the extent the information is available and accessible within the constraints and configurations of existing department records. Any person who receives any information under this subdivision shall make a written report of the information to the law enforcement agency that employs him or her, for filing under the normal procedures of that agency. Any officer or employee of the department who discloses information in violation of this subdivision is guilty of a misdemeanor. Any person who obtains information in violation of this subdivision is guilty of a misdemeanor. (1) This subdivision shall not be construed to authorize the release of a general list identifying individuals applying for or receiving benefits to any law enforcement agency. (2) The department shall maintain records pursuant to this subdivision only for periods required under regulations or statutes enacted for the administration of its programs. (3) This subdivision shall not be construed as limiting the information provided to law enforcement agencies to that pertaining only to applicants for, or recipients of, benefits. (4) The department shall notify all applicants for benefits that release of confidential information from their records will not be protected should there be a felony arrest warrant issued against the applicant or in the event of an investigation by a law enforcement agency into the commission of a felony. (l) Nothing in this section shall be construed to authorize or permit the use of information obtained in the administration of this code by any private collection agency. (m) To provide the State Teachers' Retirement System, pursuant to Section 22242 of the Education Code, with information relating to the earnings of any person who is receiving a disability allowance or disability retirement allowance from the State Teachers' Retirement System. The earnings information shall be released to the Teachers' Retirement Board only upon written request from the board specifying that the person is receiving a disability allowance or disability retirement allowance from the system. The request may be made by the chief executive officer of the system or by an employee of the system so authorized and identified by name and title by the chief executive officer in writing. (n) To provide the Public Employees' Retirement System, pursuant to Section 20143 of the Government Code, with information relating to the earnings of any person who is receiving a disability retirement allowance from the Public Employees' Retirement System. The earnings information shall be released to the Board of Administration of the system only upon written request from the board specifying that the person is receiving a disability retirement allowance from the system. The request may be made by the executive officer of the system or by an employee of the system so authorized and identified by name and title by the executive officer in writing. (o) To provide the University of California Retirement System with information in its possession relating to the earnings of any person who has applied for or is receiving disability income from the system. The earnings information shall be disclosed only upon written request from the system specifying that the person has applied for or is receiving disability income from the system. The request may be made by the chief administrative officer of the system or by an employee so authorized and identified by name and title by the chief administrative officer in writing. The system shall notify applicants for and recipients of disability income that earnings information from the department's records will be released upon the system's request. The information obtained pursuant to this subdivision shall be used or disclosed by the system only to determine or to verify entitlement to, or continuing eligibility for, disability income. The system shall reimburse the department for all reasonable administrative expenses incurred pursuant to this subdivision. (p) To enable the Division of Labor Standards Enforcement in the Department of Industrial Relations to seek criminal, civil, or administrative remedies in connection with the failure to pay, or the unlawful payment of, wages pursuant to Chapter 1 (commencing with Section 200) of Part 1 of Division 2 of, and Chapter 1 (commencing with Section 1720) of Part 7 of Division 2 of, the Labor Code. The Division of Labor Standards Enforcement shall reimburse the department for all reasonable administrative expenses incurred pursuant to this subdivision. (q) To enable the federal Department of Health and Human Services, Office of Child Support Enforcement, Federal Parent Locator Service, to administer its child support enforcement programs under Title IV of the Social Security Act (42 U.S.C. Sec. 651 et seq.). (r) To provide county probation departments with wage and claim information in its possession that will assist those departments in the location of victims of crime who, by state mandate or court order, are entitled to restitution that has been, or can be recovered, and to assist in the collection of money owed to the county or the state by any person who has been directed by state mandate or court order to pay restitution, fines, penalties, assessments, or fees as a result of a violation of law. Information provided about victims of crime shall be limited to data necessary to assist in locating them. The county shall reimburse the department for all reasonable administrative expenses incurred pursuant to this subdivision. Any officer or employee of the department who discloses information in violation of this subdivision is guilty of a misdemeanor. Any person who obtains information in violation of this subdivision is guilty of a misdemeanor. (s) To provide the Student Aid Commission with information concerning any individuals who are delinquent or in default on guaranteed student loans or who owe repayment of funds received through other financial assistance programs administered by the commission. The information obtained pursuant to this subdivision shall be utilized by the commission exclusively to enable the collection of defaulted loans and other funds owed, pursuant to the authority granted in Chapter 2 (commencing with Section 69500) of Part 42 of the Education Code and Chapter 1 (commencing with Section 30000) of Title 5 of the California Code of Regulations. The information released by the director for the purposes of this subdivision shall not include any employment, wage, or other information concerning any person who is receiving unemployment insurance benefits. The information shall be released to the commission only upon written request from the director of the commission or by an employee so authorized and identified by name and title by the director. The commission shall reimburse the department for all reasonable administrative expenses incurred pursuant to this subdivision. (t) To provide an authorized governmental agency with any or all relevant information that relates to any specific workers' compensation insurance fraud investigation. The information shall be provided to the extent permitted by federal law and regulations. For the purposes of this subdivision, "authorized governmental agency" means the district attorney of any county, the office of the Attorney General, the Department of Industrial Relations, and the Department of Insurance. An authorized governmental agency may disclose this information to the State Bar, the Medical Board of California, or any other licensing board or department whose licensee is the subject of a workers' compensation insurance fraud investigation. This subdivision shall not prevent any authorized governmental agency from reporting to any board or department the suspected misconduct of any licensee of that body. The Department of Insurance or Department of Industrial Relations shall reimburse the department for all reasonable administrative expenses incurred relative to a request that it submits pursuant to this subdivision. Relevant information may include, but is not limited to, all of the following: (1) Copies of unemployment and disability insurance application and claim forms and copies of any supporting medical records, documentation, and records pertaining thereto. (2) Copies of returns filed by an employer pursuant to Section 1088 and copies of supporting documentation. (3) Copies of benefit payment checks issued to claimants. (4) Copies of any documentation that specifically identifies the claimant by social security number, residence address, or telephone number. (u) To provide employment tax information to the tax officials of Mexico, if a reciprocal agreement exists. For purposes of this subdivision, "reciprocal agreement" means a formal agreement to exchange information between national taxing officials of Mexico and taxing authorities of the State Board of Equalization, the Franchise Tax Board, and the Employment Development Department. Furthermore, the reciprocal agreement shall be limited to the exchange of information which is essential for tax administration purposes only. Taxing authorities of the State of California shall be granted tax information only on California residents. Taxing authorities of Mexico shall be granted tax information only on Mexican nationals. SEC. 217. Section 1875 of the Unemployment Insurance Code is amended to read: 1875. (a) If an offer under Section 1870 to accept partial payment in satisfaction of the liability has been accepted, and it is subsequently determined that any person willfully did any of the following, the acceptance shall be rescinded and all compromised liabilities shall be reestablished without regard to any statute of limitations that is applicable to this division: (1) Concealed from any officer or employee of the state any property belonging to the estate of the employer or other person liable with respect to the tax. (2) Received, withheld, destroyed, mutilated, or falsified any book, document, or record. (3) Made any false statement relating to the estate or financial conditions of the employer or other person liable with respect to the tax. (4) Failed to pay any tax liability owed the department for any subsequent, active business in which the employer or individual who previously submitted the offer in compromise has a controlling interest or association. (b) Upon any rescission pursuant to subdivision (a), the department, at its discretion, may file a Notice of State Tax Lien against the individuals or entity responsible for the previously compromised liability. (c) For all rescissions under subdivision (a), the department shall notify the employer or individual who previously submitted the offer in compromise in writing of both of the following: (1) The rescission of any offer and reasons therefor. (2) The amount of reestablished liability that is due and payable. SEC. 218. Section 9601.7 of the Unemployment Insurance Code is amended to read: 9601.7. (a) Each state or local government agency or community action agency, or any private organization contracting with a state or local government agency, that enters into an agreement with the department to provide employment services including, but not limited to, job training, retraining, or placement, shall post in a prominent location in the workplace, a notice stating that only citizens or those persons legally authorized to work in the United States will be permitted to use the agency's or organization's employment services that are funded by the federal or state government. (b) The notice shall read: NOTICE: Attention All Job Seekers The Immigration and Reform Control Act of 1986 (IRCA) requires that all employers verify the identity and employment authorization of all individuals hired after November 6, 1986. An employer is required to examine documents provided by the job seeker establishing identity and authorization for employment in the United States. In addition, it is a violation of both state and federal law to discriminate against job seekers on the basis of ancestry, race, or national origin. This agency provides employment services funded by the federal or state government that are available only to individuals who are United States citizens or who are legally authorized to work in the United States. SEC. 219. Section 5002.6 of the Vehicle Code is amended to read: 5002.6. (a) The Chancellor or a president of a campus of the California State University, or the president or a chancellor of a campus of the University of California, who is regularly issued a state-owned vehicle may apply to the department for regular series license plates for that vehicle, if a request for that issuance is also made by the Trustees of the California State University or the Regents of the University of California, as applicable. The request by the president or chancellor and by the trustees or regents shall be in the manner specified by the department. (b) Regular series license plates issued pursuant to subdivision (a) shall be surrendered to the department by the trustees or regents, as applicable, upon the reassignment of a vehicle, for which those plates have been issued, to a person other than the person who requested those plates. SEC. 220. Section 5024 of the Vehicle Code is amended to read: 5024. (a) Any person described in Section 5101 may also apply for a set of commemorative collegiate reflectorized license plates, and the department shall issue those special license plates in lieu of the regular license plates. The collegiate reflectorized plates shall be of a distinctive design, and shall be available in a special series of letters or numbers, or both, as determined by the department. The collegiate reflectorized plates shall also contain the name of the participating institution as well as the reflectorized logotype, motto, symbol, or other distinctive design, as approved by the department, representing the participating university or college selected by the applicant. (b) Any public or private postsecondary educational institution in the state, which is accredited or has been accepted as a recognized candidate for accreditation by the Western Association of Schools and Colleges, may indicate to the department its decision to be included in the commemorative collegiate license plate program and submit its distinctive design for the logotype, motto, symbol, or other design. However, no public or private postsecondary educational institution may be included in the program until not less than 5,000 applications are received for license plates containing that institution's logotype, motto, symbol, or other design. Each participating institution shall collect and hold applications for collegiate license plates until it has received at least 5,000 applications. Once the institution has received at least 5,000 applications, it shall submit the applications, along with the necessary fees, to the department. Upon receiving the first application, the institution shall have one calendar year to receive the remaining required applications. If, after that one calendar year, 5,000 applications have not been received, the institution shall refund to all applicants any fees or deposits which have been collected. (c) In addition to the regular fees for an original registration, a renewal of registration, or a transfer of registration, the following commemorative collegiate license plate fees shall be paid: (1) Fifty dollars ($50) for the initial issuance of the plates. These plates shall be permanent and shall not be required to be replaced. (2) Forty dollars ($40) for each renewal of registration which includes the continued display of the plates. (3) Fifteen dollars ($15) for transfer of the plates to another vehicle. (4) Thirty-five dollars ($35) for replacement plates, if the plates become damaged or unserviceable. (d) When payment of renewal fees is not required as specified in Section 4000, or when the person determines to retain the commemorative collegiate license plates upon sale, trade, or other release of the vehicle upon which the plates have been displayed, the person shall notify the department and the person may retain the plates. (e) Of the revenue derived from the additional special fees provided in this section, less costs incurred by the department pursuant to this section, one-half shall be deposited in the California Collegiate License Plate Fund, which is hereby created, and one-half shall be deposited in the Resources License Plate Fund, which is hereby created. (f) The money in the California Collegiate License Plate Fund is, notwithstanding Section 13340 of the Government Code, continuously appropriated to the Controller for allocation as follows: (1) To the governing body of participating public institutions in the proportion that funds are collected on behalf of each, to be used for need-based scholarships, distributed according to federal student aid guidelines. (2) With respect to funds collected on behalf of accredited nonprofit, private, and independent colleges and universities in the state, to the California Student Aid Commission for grants to students at those institutions, in the proportion that funds are collected on behalf of each institution, who demonstrate eligibility and need in accordance with the Cal Grant Program pursuant to Article 3 (commencing with Section 69530) of Chapter 2 of Part 42 of the Education Code, but who did not receive an award based on a listing prepared by the California Student Aid Commission. (g) The scholarships and grants shall be awarded without regard to race, religion, creed, sex, or age. (h) The money in the Resources License Plate Fund is available, upon appropriation, for the purposes of natural resources preservation, enhancement, and restoration. (i) All revenues deposited in, and expenditures from, the California Collegiate License Plate Fund shall be audited by the Auditor General on December 1, 1993, and December 1, 1995. SEC. 221. Section 11709.2 of the Vehicle Code is amended to read: 11709.2. Every dealer shall conspicuously display a notice, not less than eight inches high and 10 inches wide, in each sales office and sales cubicle of a dealer's established place of business where written terms of specific sale or lease transactions are discussed with prospective purchasers or lessees, and in each room of a dealer's established place of business where sale and lease contracts are regularly executed, which states the following: "NO COOLING-OFF PERIOD California law does not provide for a "cooling-off" or other cancellation period for vehicle lease or purchase contracts. Therefore, you cannot later cancel such a contract simply because you change your mind, decide the vehicle costs too much, or wish you had acquired a different vehicle. After you sign a motor vehicle purchase or lease contract, it may only be canceled with the agreement of the seller or lessor or for legal cause, such as fraud." SEC. 222. Section 366.21 of the Welfare and Institutions Code is amended to read: 366.21. (a) Every hearing conducted by the juvenile court reviewing the status of a dependent child shall be placed on the appearance calendar. The court shall advise all persons present at the hearing of the date of the future hearing, of their right to be present and represented by counsel. (b) Except as provided in Section 366.23 and subdivision (a) of Section 366.3, notice of the hearing shall be mailed by the probation officer to the same persons as in the original proceeding, to the minor's parent or guardian, to the foster parents, community care facility, or foster family agency having physical custody of the minor in the case of a minor removed from the physical custody of his or her parent or guardian, and to the counsel of record if the counsel of record was not present at the time that the hearing was set by the court, by first-class mail addressed to the last known address of the person to be notified, or shall be personally served on those persons, not earlier than 30 days nor later than 15 days preceding the date to which the hearing was continued. Service of a copy of the notice personally or by certified mail return receipt requested, or any other form of actual notice is equivalent to service by first-class mail. The notice shall contain a statement regarding the nature of the hearing to be held and any change in the custody or status of the minor being recommended by the supervising agency. The notice to the foster parent shall indicate that the foster parent may attend all hearings or may submit any information he or she deems relevant to the court in writing. (c) At least 10 calendar days prior to the hearing the probation officer shall file a supplemental report with the court regarding the services provided or offered to the parent or guardian to enable them to assume custody, the progress made, and, where relevant, the prognosis for return of the minor to the physical custody of his or her parent or guardian, and make his or her recommendation for disposition. If the recommendation is not to return the minor to a parent or guardian, the report shall specify why the return of the minor would be detrimental to the minor. The probation officer shall provide the parent or guardian with a copy of the report, including his or her recommendation for disposition, at least 10 calendar days prior to the hearing. In the case of a minor removed from the physical custody of his or her parent or guardian, the probation officer shall provide a summary of his or her recommendation for disposition to the counsel for the minor, any court-appointed child advocate, foster parents, community care facility, or foster family agency having the physical custody of the minor at least 10 calendar days before the hearing. (d) Prior to any hearing involving a minor in the physical custody of a community care facility or foster family agency that may result in the return of the minor to the physical custody of his or her parent or guardian, or in adoption or the creation of a legal guardianship, the facility or agency shall file with the court a report containing its recommendation for disposition. Prior to such a hearing involving a minor in the physical custody of a foster parent, the foster parent may file with the court a report containing its recommendation for disposition. The court shall consider the report and recommendation filed pursuant to this subdivision prior to determining any disposition. (e) At the review hearing held six months after the initial dispositional hearing, the court shall order the return of the minor to the physical custody of his or her parents or guardians unless, by a preponderance of the evidence, it finds that the return of the child would create a substantial risk of detriment to the physical or emotional well-being of the minor. The probation department shall have the burden of establishing that detriment. The failure of the parent or guardian to participate regularly in any court-ordered treatment programs shall constitute prima facie evidence that return would be detrimental. In making its determination, the court shall review the probation officer's report, shall review and consider the report and recommendations of any child advocate appointed pursuant to Section 356.5, and shall consider the efforts or progress, or both, demonstrated by the parent or guardian and the extent to which he or she cooperated and availed himself or herself of services provided; shall make appropriate findings pursuant to subdivision (a) of Section 366; and where relevant, shall order any additional services reasonably believed to facilitate the return of the minor to the custody of his or her parent or guardian. The court shall also inform the parent or guardian that if the minor cannot be returned home by the next review hearing, a proceeding pursuant to Section 366.26 may be instituted. This section does not apply in a case where, pursuant to Section 361.5, the court has ordered that reunification services shall not be provided. If the minor was removed initially under subdivision (g) of Section 300 and the court finds by clear and convincing evidence that the whereabouts of the parent are still unknown, or the parent has failed to contact and visit the child, the court may schedule a hearing pursuant to Section 366.26 within 120 days. If the court finds by clear and convincing evidence that the parent has been convicted of a felony indicating parental unfitness, the court may schedule a hearing pursuant to Section 366.26 within 120 days. If the minor had been placed under court supervision with a previously noncustodial parent pursuant to Section 361.2, the court shall determine whether supervision is still necessary. The court may terminate supervision and transfer permanent custody to that parent, as provided for by paragraph (1) of subdivision (a) of Section 361.2. In all other cases, the court shall direct that any reunification services previously ordered shall continue to be offered to the parent or guardian, provided that the court may modify the terms and conditions of those services. If the child is not returned to his or her parent or guardian, the court shall determine whether reasonable services have been provided or offered to the parent or guardian which were designed to aid the parent or guardian in overcoming the problems which led to the initial removal and the continued custody of the minor. The court shall order that those services be initiated or continued. (f) At the review hearing held 12 months after the initial dispositional hearing, the court shall order the return of the minor to the physical custody of his or her parent or guardian unless, by a preponderance of the evidence, it finds that return of the child would create a substantial risk of detriment to the physical or emotional well-being of the minor. The probation department shall have the burden of establishing that detriment. The court shall also determine whether reasonable services have been provided or offered to the parent or guardian which were designed to aid the parent or guardian to overcome the problems which led to the initial removal and continued custody of the minor. The failure of the parent or guardian to participate regularly in any court-ordered treatment programs shall constitute prima facie evidence that the return would be detrimental. In making its determination, the court shall review the probation officer's report and shall consider the efforts or progress, or both, demonstrated by the parent or guardian and the extent to which he or she cooperated and availed himself or herself of services provided. If the minor is not returned to a parent or guardian, the court shall specify the factual basis for its conclusion that the return would be detrimental. The court also shall make a finding pursuant to subdivision (a) of Section 366. (g) If a minor is not returned to the custody of a parent or guardian at the hearing held pursuant to subdivision (f), the court shall do one of the following: (1) Continue the case for up to six months for another review hearing, provided that the hearing shall occur within 18 months of the date the child was originally taken from the physical custody of his or her parent or guardian. The court shall continue the case only if it finds that there is a substantial probability that the minor will be returned to the physical custody of his or her parent or guardian within six months or that reasonable services have not been provided to the parent or guardian. The court shall inform the parent or guardian that if the minor cannot be returned home by the next review hearing, a permanent plan shall be developed at that hearing. The court shall not order that a hearing pursuant to Section 366.26 be held unless there is clear and convincing evidence that reasonable services have been provided or offered to the parent or guardian. (2) Order that the minor remain in long-term foster care, if the court finds by clear and convincing evidence, based upon the evidence already presented to it, that the minor is not adoptable and has no one willing to accept legal guardianship. (3) Order that a hearing be held within 120 days, pursuant to Section 366.26, if there is clear and convincing evidence that reasonable services have been provided or offered to the parents. (h) In any case in which the court orders that a hearing pursuant to Section 366.26 shall be held, it shall also order the termination of reunification services to the parent. The court shall continue to permit the parent to visit the minor pending the hearing unless it finds that visitation would be detrimental to the minor. (i) Whenever a court orders that a hearing pursuant to Section 366.26 shall be held, it shall direct the agency supervising the child and the licensed county adoption agency, or the State Department of Social Services when it is acting as an adoption agency in counties which are not served by a county adoption agency, to prepare an assessment which shall include: (1) Current search efforts for an absent parent or parents. (2) A review of the amount of and nature of any contact between the minor and his or her parents since the time of placement. (3) An evaluation of the minor's medical, developmental, scholastic, mental, and emotional status. (4) A preliminary assessment of the eligibility and commitment of any identified prospective adoptive parent or guardian, particularly the caretaker, to include a social history including screening for criminal records and prior referrals for child abuse or neglect, the capability to meet the minor's needs, and the understanding of the legal and financial rights and responsibilities of adoption and guardianship. (5) The relationship of the minor to any identified prospective adoptive parent or guardian, the duration and character of the relationship, the motivation for seeking adoption or guardianship, and a statement from the minor concerning placement and the adoption or guardianship, unless the minor's age or physical, emotional, or other condition precludes his or her meaningful response, and if so, a description of the condition. An analysis of the likelihood that the minor will be adopted if parental rights are terminated. (j) This section shall apply to minors made dependents of the court pursuant to subdivision (c) of Section 360 on or after January 1, 1989. SEC. 223. Section 729 of the Welfare and Institutions Code is amended to read: 729. If a minor is found to be a person described in Section 602 by reason of the commission of a battery on school property as described in Penal Code Section 243.5, and the court does not remove the minor from the physical custody of the parent or guardian, the court as a condition of probation, except in any case in which the court makes a finding and states on the record its reasons that the condition would be inappropriate, shall require the minor to make restitution to the victim of the battery. If restitution is found to be inappropriate, the court, except in any case in which the court makes a finding and states on the record its reasons that the condition would be inappropriate, shall require the minor to perform specified community service. Nothing in this section shall be construed to limit the authority of a juvenile court to provide conditions of probation. SEC. 224. Section 731.6 of the Welfare and Institutions Code is amended to read: 731.6. (a) The Legislature hereby finds and declares the following: There is a desire to develop and implement innovative and cost-effective options that will alleviate crowding within the institutions operated by the Department of the Youth Authority, that will increase the department's substance abuse treatment capability, that will improve ward performance after release to parole, and that will prevent the further incursion of youthful offenders into the criminal justice system. (b) The Legislature, therefore, intends to establish a pilot program within the Department of the Youth Authority to test and evaluate innovative and cost-effective sentencing options; to instill discipline, responsibility, and self-esteem among the youth admitted to the program; and to facilitate the successful return of these youth to law-abiding and productive participation in their home communities. (c) There shall be within the Department of the Youth Authority an intensive correctional program for minors adjudged wards of the juvenile court on the grounds that they are persons described by Section 602. The program shall be known as the Leadership, Esteem, Ability, and Discipline (LEAD) program and shall be intended to promote leadership, esteem, ability, and discipline among wards who participate. The program shall be implemented as a treatment continuum consisting of a short-term and highly structured institutional component followed by an intensive parole experience component. The institutional component shall not exceed four months from the time the ward enters into the LEAD program until the time the ward is released to parole, except as provided in subdivision (g). The institutional component shall be based on a military training model and shall include such discipline, educational, and vocational training, substance abuse prevention, esteem-building, and other activities as may be deemed appropriate and effective by the department. The last month of the institutional component shall include a special emphasis on preparole and transitional needs of wards, emphasizing public service, personal accountability, employability, and good citizenship. The intensive parole experience shall consist of six months of enriched parole services designed to facilitate the successful return of the ward to society. As used in this section, "enriched parole services" means that parole agents assigned to the LEAD program shall have caseloads of not more than 15 parolees per agent. The intensive parole component of the LEAD program shall consist of services and strategies deemed appropriate and effective by the department, including, but not limited to, substance abuse prevention support services, individual and group counseling, family support services, drug testing, electronic monitoring, job training and job placement services, and the development of linkages to community-based agencies and services that can assist the ward in making a successful readjustment. The intensive parole phase of the LEAD program shall include a relapse-management strategy designed to focus intensive services upon wards who are at risk of failing on parole, and this relapse-management may include specialized, short-term residential, and noninstitutional placement for parolees who need a temporary and structured environment in order to succeed on parole. Upon the successful completion of six months of intensive parole, LEAD participants may be transferred to the regular parole caseload of the Department of the Youth Authority for six months and shall be subject to general provisions of parole in order to receive continued supervision and parole services at less intensive levels. (d) The LEAD program shall be implemented as a 60-bed pilot program at a northern California facility to be designated by the Department of the Youth Authority, and shall begin enrolling wards on or before September 30, 1992. The second phase shall consist of a 60-bed program at a southern California facility to be designated by the Department of the Youth Authority and shall begin enrolling wards during the 1993 calendar year, unless one of the following events occurs: (1) The LEAD program is ended by the Department of the Youth Authority on the basis of an operational failure, such as a chronic insufficiency of wards meeting the eligibility requirements of subdivision (a) of Section 731.7. (2) There is an insufficient number of wards meeting the eligibility requirements of subdivision (a) of Section 731.7 to sustain at least a 40-bed program in southern California. (3) Insufficient funds are available to implement the southern California expansion of the LEAD program. If the Department of the Youth Authority determines, based on one or more of these events, that it cannot add an additional LEAD program to serve southern California wards, it shall make a written report to the Legislature of its decision not to proceed with the second phase of the LEAD program and of its reasons for making the decision not to proceed. The Department of the Youth Authority may, at any time and in its discretion, increase LEAD program capacity at either the northern or southern California facility if resources are available to support the increase. (e) Wards who participate in the LEAD program shall, to the extent practical, be separated while institutionalized from wards who are not enrolled in the LEAD program. (f) The Department of the Youth Authority shall, in its design, staffing, and implementation of the institutional component of the LEAD program, take steps to ensure that the disciplinary and esteem-building activities do not involve the corporal punishment of wards or the application of training methods that are personally degrading, humiliating, or inhumane. (g) In exceptional cases, a ward may be retained in the institutional component of the LEAD program for up to 30 additional days if additional time is needed, in the opinion of the department, to allow the ward to complete the program successfully after illness or some other unforeseen circumstance that may delay the ward's normal progress and timely release to parole. If a ward's release to parole is delayed beyond the normal four-month institutional stay, the department shall maintain documentation in the ward's file regarding the need for and the length of any additional time spent in the institutional component of the program. (h) This section shall be repealed on June 30, 1997, unless that date is extended or deleted by a later enacted statute. SEC. 225. Section 11325.2 of the Welfare and Institutions Code is amended to read: 11325.2. (a) At the time an individual registers pursuant to this article, including any individual who volunteers to participate, or, with respect to any individual described in Section 11325, at the time the situation that permits nonparticipation no longer exists, every individual shall enter into a written basic contract with the county welfare department. (b) The county shall offer the participant three days in which to consider and evaluate the proposed terms of the contract, or any subsequent amendments to the contract. (c) The contract shall contain all of the following: (1) The contract shall be written in clear and understandable language, and have a simple and easy-to-read format. The contract shall contain at least all of the following general information: (A) A general description of the program provided for in this article. (B) A detailed description of the services, including supportive services such as child care and transportation, available to program participants and the hours the participant is required to attend training, education, or work experience. (C) A description of the rights, duties, and responsibilities of program participants, including a list of the exemptions from required participation under this article and the consequences of a refusal to participate in program components. (2) In the case of any participant who has not been employed within two years from the date of registration, except for a participant described in paragraph (4), the contract shall provide that the participant shall participate in job club for a period of three weeks, as defined in Section 11322.6. Participation pursuant to this paragraph may be delayed in accordance with paragraph (5) or (6). (3) In the case of any participant who has been employed within two years of the date of registration, except for a participant described in paragraph (4), the participant shall have the option to participate in a three-week period of job club, as defined in Section 11322.6, or in a three-week period of supervised job search, as defined in that section. At the discretion of the employment and training counselor and with the approval of the first or second line supervisor, the job search period may be shortened when it is determined that all reasonable job search efforts have been exhausted. The participant shall choose one of the options upon signing the contract. Participation pursuant to this paragraph may be delayed in accordance with paragraph (5) or (6). (4) Notwithstanding paragraph (2) and (3), in the case of any participant who has been a recipient of aid under this chapter more than twice within three years from the date of registration, the contract shall provide for immediate referral to assessment pursuant to Section 11325.4. Participation pursuant to this paragraph may be delayed in accordance with paragraph (5) or (6). (5) (A) Any individual who is enrolled or attending in good standing in a self-initiated vocational training program or an educational program that will likely lead to unsubsidized employment in an occupation in demand may continue to participate in that program until completion of the program for a period not to exceed two years from the date the basic contract reflecting the self-initiated program is signed. The individual's program shall be scheduled to be completed within the two-year period. The two-year period may be extended, one time only, for a period of not more than six months, on an individual basis, for persons who are unable to complete a self-initiated program due to any of the following circumstances and who have a reasonable expectation to complete that program within the six-month period: (i) The individual's basic skills requirements required more class time than was estimated at the commencement of that individual's self-initiated program. (ii) The school or college did not offer required classes in a sequence that permitted completion of the self-initiated program within the prescribed time period. (iii) The individual had a personal or family crisis that resulted in the inability of that individual to complete his or her self-initiated program without an additional period of attendance, not to exceed six months. (B) In order to continue in a self-initiated training or education program, a GAIN applicant or recipient shall need the education or training in order to become employable in unsubsidized employment. Any individual who meets either of the following criteria shall be deemed to be employable: (i) Possesses a baccalaureate degree. (ii) Has an education or job skills necessary to obtain unsubsidized employment in an occupation that is in demand that will provide the individual with an income equal to two times the federal poverty line for the appropriate family size. A county may waive this requirement if an individual is able to demonstrate that, due to compelling personal circumstances, employment in the previous occupation is not realistic, including, but not limited to, a work-related disability, inability to obtain required union membership, or hours of employment that cause a severe hardship on the recipient's family. (C) (i) Supportive services reimbursement shall be limited to child care and transportation for any participant in a self-initiated training or education program approved under this subdivision. This reimbursement shall be provided if no other source of funding for those costs is available. (ii) Any offset to supportive services payments shall be made in accordance with subdivision (d) of Section 11323.4. (D) (i) In order to continue in a self-initiated training or education program, a GAIN participant shall be attending at least full time and shall make satisfactory progress, as periodically measured according to the standards of the program in which the individual is enrolled. If the individual is attending less than full time upon entry into GAIN but she or he agrees to full-time attendance as soon as possible, the individual shall be considered to be attending on a full-time basis. (ii) A GAIN participant may participate on less than a full-time basis, but not less than on a half-time basis, if full-time participation is not feasible due to good cause, as defined in Section 11328. (E) Participation in the self-initiated vocational or educational training program shall be reflected in the basic contract. The basic contract shall provide that whenever an individual ceases to participate in, refuses to attend regularly, or does not maintain satisfactory progress in the self-initiated program, the individual shall participate in this program in accordance with paragraph (2), (3), or (4), whichever is applicable. (F) Any person whose previously approved self-initiated education or training program is interrupted for reasons preventing participation may resume participation in the same program if the participant maintained good standing in the program while participating. The county shall adjust the completion date of the program accounting for the time of absence to allow the participant a cumulative total of two years participation for completion of the program. In circumstances where the break in participation was for a period of more than one year, the participant may resume the program if the county determines the previously approved self-initiated education or training program meets all other criteria of this section at the time it is resumed. (6) For those participants who lack basic literacy or mathematics skills, a high school diploma or its equivalent, or English language skills, the basic contract shall provide for either remedial education, instruction in order to obtain a general educational development certificate, or instruction in English as a second language. These participants shall be referred to appropriate service providers, including the educational programs operated by school districts or county offices of education that have contracted with the Superintendent of Public Instruction to provide services to participants pursuant to Section 33117.5 of the Education Code. The basic contract shall provide that when an individual to whom this paragraph applies, fails, refuses, or ceases to comply with program requirements, without good cause, as specified in Section 11328, and conciliation efforts as specified in Section 11327.4 have failed to resolve the dispute, the individual shall be subject to the sanction provisions of Section 11327.5. (7) An individual to whom paragraph (6) applies who is either determined at appraisal or by the education provider as unable to benefit from basic educational services due to a learning or medical problem, or is participating in the instruction and is determined not to be making satisfactory progress, shall be referred to a progress evaluation for a determination of whether the individual has the ability to successfully complete the assigned component. As part of the evaluation, counties may require an individual to take tests to obtain additional information regarding the student's learning abilities. This evaluation may result in referral, as appropriate, to any of the following components: (A) rereferral to the person's previous activity; (B) existing special programs that meet specific needs of the individual; (C) job club, if the county determines the individual has the skills needed to find a job in the local labor market; (D) assessment followed by the appropriate postassessment activity; or (E) rehabilitation assessment and subsequent training. The participant shall be involved in the decisions made during the progress evaluation and shall have appeal rights consistent with those accorded to individuals during an assessment made pursuant to subdivision (b) of Section 11325.4. It is the intent of the Legislature that the progress evaluations provide a method for determining the appropriate services needed by an individual for long-term success in the job market. An individual who is determined to need long periods of classroom instruction in order to achieve basic skills should not be referred to a progress evaluation if he or she is making steady, satisfactory progress in attaining the basic skill goal. (8) (A) In the case of an individual who is an applicant for aid under this chapter and who is required to register pursuant to this article, mandated activities shall be limited to those necessary to enter into a written basic contract and to participation in job search. (B) A participant described in subparagraph (A) who is assessed as needing additional education and who chooses education in preference to job search as his or her first program component shall not be required to participate in job search until the county has approved the registrant for aid pursuant to this chapter. (9) Notwithstanding paragraphs (2) to (6), inclusive, the department shall adopt regulations or policies, as required by federal law, that specify the participation requirements with which one parent in a family eligible for aid under this chapter due to the unemployment of the principal wage earner is required to comply. (d) This section shall not apply to individuals subject to Article 3.5 (commencing with Section 11331) during the time that article is operative. SEC. 226. Section 11400 of the Welfare and Institutions Code is amended to read: 11400. For the purposes of this article, the following definitions shall apply: (a) "Aid to Families with Dependent Children-Foster Care (AFDC-FC)" means the aid provided on behalf of needy children in foster care under the terms of this division. (b) "Case plan" means a written document which at a minimum specifies the type of home in which the child shall be placed, the appropriateness of the home for meeting the child's needs, the agency's plan for ensuring that the child, family, and foster parents receive services, and the appropriateness of the services provided to the child, in order to meet the child's needs while in foster care, and to reunify the child with his or her family, or, when reunification is not possible, to facilitate an alternate permanent plan. (c) "Certified family home" means a family residence certified by a licensed foster family agency and issued a certificate of approval by that agency as meeting licensing standards, and used only by that foster family agency for placements. (d) "Family home" means the family residency of a licensee in which 24-hour care and supervision are provided for children. (e) "Small family home" means any residential facility, in the licensee's family residence, which provides 24-hour care for six or fewer foster children who have mental disorders or developmental or physical disabilities and who require special care and supervision as a result of their disabilities. (f) "Foster care" means the 24-hour out-of-home care provided to children whose own families are unable or unwilling to care for them, and who are in need of temporary or long-term substitute parenting. (g) "Foster family agency" means any individual or organization engaged in the recruiting, certifying, and training of, and providing professional support to, foster parents, or in finding homes or other places for placement of children for temporary or permanent care who require that level of care as an alternative to a group home. Private foster family agencies shall be organized and operated on a nonprofit basis. (h) "Group home" means a nondetention privately operated residential home, organized and operated on a nonprofit basis only, of any capacity, that provides services in a group setting to children in need of care and supervision, as required by paragraph (1) of subdivision (a) of Section 1502 of the Health and Safety Code. (i) "Periodic review" means review of a child's status by the juvenile court or by an administrative review panel, which shall include a determination of the continuing need for placement in foster care, evaluation of the goals for the placement and the progress toward meeting these goals, and development of a target date for the child's return home or establishment of alternative permanent placement. (j) "Permanency planning hearing" means a hearing conducted by the juvenile court in which the child's future status, including whether the child shall be returned home or another permanent plan shall be developed, is determined. (k) "Placement and care" refers to the responsibility for the welfare of a child vested in an agency or organization by virtue of the agency or organization having (1) been delegated care, custody, and control of a child by the juvenile court, (2) taken responsibility, pursuant to a relinquishment or termination of parental rights on a child, (3) taken the responsibility of supervising a child detained by the juvenile court pursuant to Section 319 or 636, or (4) signed a voluntary placement agreement for the child's placement; or to the responsibility designated to an individual by virtue of his or her being appointed the child's legal guardian. (l) "Preplacement preventive services" means services which are designed to help children remain with their families by preventing or eliminating the need for removal. (m) "Relative" means a person who can be a "caretaker relative" of a dependent child under Section 406 of the Social Security Act. (n) "Voluntary placement" means an out-of-home placement of a minor by (1) the county welfare department after the parents or guardians have requested the assistance of the county welfare department and have signed a voluntary placement agreement; or (2) the county welfare department licensed public or private adoption agency, or the department acting as an adoption agency, after the parents have requested the assistance of either the county welfare department, the licensed public or private adoption agency, or the department acting as an adoption agency for the purpose of adoption planning, and have signed a voluntary placement agreement. (o) "Voluntary placement agreement" means a written agreement between either the county welfare department, a licensed public or private adoption agency, or the department acting as an adoption agency, and the parents or guardians of a minor which specifies, at a minimum, the following: (1) The legal status of the child. (2) The rights and obligations of the parents or guardians, the child, and the agency in which the child is placed. (p) "Original placement date" means the most recent date on which the court detained a child and ordered an agency to be responsible for supervising the child or the date on which an agency assumed responsibility for a child due to termination of parental rights, relinquishment, or voluntary placement. (q) "Transitional housing placement facility" means a community care facility licensed by the State Department of Social Services pursuant to Section 1559.110 of the Health and Safety Code to provide transitional housing opportunities to persons at least 17 years old, and not more than 18 years old unless they satisfy the requirements of Section 11403, who are in out-of-home placement under the supervision of the county department of social services or the county probation department, and who are participating in an independent living program. SEC. 227. Section 11462.05 of the Welfare and Institutions Code is amended to read: 11462.05. By October 1, 1995, the department shall review and recommend to the appropriate policy and fiscal committees of the Legislature, a new or revised ratesetting system for facilities receiving reimbursement under Sections 11462 and 11462.01. The department shall conduct this review and develop recommendations with the advice and assistance of county placement agencies, group home provider associations, and other individuals and organizations as designated by the director. The recommendations shall be based on the department's review and evaluation of the current program classification system, group home actual cost data, and information from the group home program statements and level of care assessments specified in Section 11467. SEC. 228. Section 11466.2 of the Welfare and Institutions Code is amended to read: 11466.2. (a) The department shall perform or have performed group home program and fiscal audits as needed. Group home programs shall maintain all child-specific, programmatic, personnel, fiscal, and other information affecting group home ratesetting and AFDC-FC payments for a period not less than five years. (b) (1) The department shall develop regulations to correct a group home program's RCL, and to adjust the rate and to recover any overpayments resulting from an overstatement of the projected level of care and services. (2) Beginning in fiscal year 1990-91, the department shall modify the amount of the overpayment pursuant to paragraph (1) in cases where the level of care and services provided per child in placement equals or exceeds the level associated with the program's RCL. In making this modification, the department shall determine whether services other than child care supervision were provided to children in placement in an amount that is at least proportionate on a per child basis to the amount projected in the group home's rate application. In cases where these services are provided in less than a proportionate amount, staffing for child care supervision in excess of its proportionate share shall not be substituted for non-child care supervision staff hours. (c) (1) In any audit conducted by the department, the department, or other public or private audit agency with which the department contracts, shall coordinate with the department's licensing and ratesetting entities so that a consistent set of standards, rules, and auditing protocols are maintained. The department, or other public or private audit agency with which the department contracts, shall make available to all group home providers, in writing, any standards, rules, and auditing protocols to be used in those audits. (2) The department shall provide exit interviews with providers whenever deficiencies found are explained and the opportunity exists for providers to respond. The department shall develop regulations specifying the procedure for the appeal of audit findings. SEC. 229. Section 12301.6 of the Welfare and Institutions Code is amended to read: 12301.6. (a) Notwithstanding Sections 12302 and 12302.1, a county board of supervisors may, at its option, elect to do either of the following: (1) Contract with a nonprofit consortium to provide for the delivery of in-home supportive services. (2) Establish, by ordinance, a public authority to provide for the delivery of in-home supportive services. (b) (1) To the extent that a county elects to establish a public authority pursuant to paragraph (2) of subdivision (a), the enabling ordinance shall specify the membership of the governing body of the public authority, the qualifications for individual members, the manner of appointment, selection, or removal of members, how long they shall serve, and other matters as the board of supervisors deems necessary for the operation of the public authority. (2) A public authority established pursuant to paragraph (2) of subdivision (a) shall be both of the following: (A) An entity separate from the county, and shall be required to file the statement required by Section 53051 of the Government Code. (B) A corporate public body, exercising public and essential governmental functions and that has all powers necessary or convenient to carry out the delivery of in-home supportive services, including the power to contract for services pursuant to Sections 12302 and 12302.1. Employees of the public authority shall not be employees of the county for any purpose. (3) (A) As an alternative, the enabling ordinance may designate the board of supervisors as the governing body of the public authority. (B) Any enabling ordinance that designates the board of supervisors as the governing body of the public authority shall also specify that no fewer than 50 percent of the membership of the advisory committee shall be individuals who are current or past users of personal assistance services paid for through public or private funds or recipients of services under this article. (C) If the enabling ordinance designates the board of supervisors as the governing body of the public authority, it shall also require the appointment of an advisory committee of not more than 11 individuals who shall be designated in accordance with subparagraph (B). (D) Prior to making designations of committee members pursuant to subparagraph (C), or governing body members in accordance with paragraph (4), the board of supervisors shall solicit recommendations of qualified members of either the governing body of the public authority or of any advisory committee through a fair and open process that includes the provision of reasonable, written notice to, and a reasonable response time by, members of the general public and interested persons and organizations. (4) If the enabling ordinance does not designate the board of supervisors as the governing body of the public authority, the enabling ordinance shall require the membership of the governing body to meet the requirements of subparagraph (B) of paragraph (3). (c) (1) Any public authority created pursuant to this section shall be deemed to be the employer of in-home supportive services personnel referred to recipients under paragraph (3) of subdivision (d) within the meaning of Chapter 10 (commencing with Section 3500) of Division 4 of Title 1 of the Government Code. Recipients shall retain the right to select, terminate, and direct the work of any in-home supportive services personnel providing services to them. (2) (A) Any nonprofit consortium contracting with a county pursuant to this section shall be deemed to be the employer of in-home supportive services personnel referred to recipients pursuant to paragraph (3) of subdivision (d) for the purposes of collective bargaining over wages, hours, and other terms and conditions of employment. (B) Recipients shall retain the right to select, terminate, and direct the work of any in-home supportive services personnel providing services for them. (d) Any nonprofit consortium contracting with a county pursuant to this section or any public authority established pursuant to this section shall provide for all of the following functions under this article, but shall not be limited to those functions: (1) The provision of assistance to recipients in finding in-home supportive services personnel through the establishment of a registry. (2) Investigation of the qualifications and background of potential personnel. (3) Establishment of a referral system under which in-home supportive services personnel shall be referred to recipients. (4) Providing for training and monitoring of providers and recipients. (5) Performing any other functions related to the delivery of in-home supportive services. (6) Ensuring that the requirements of the personal care option pursuant to Subchapter 19 (commencing with Section 1396) of Chapter 7 of Title 42 of the United States Code are met. (e) (1) Any nonprofit consortium contracting with a county pursuant to this section or any public authority created pursuant to this section shall be deemed not to be the employer of in-home supportive services personnel referred to recipients under this section for purposes of liability due to the negligence or intentional torts of the in-home supportive services personnel. (2) In no case shall a nonprofit consortium contracting with a county pursuant to this section or any public authority created pursuant to this section be held liable for action or omission of any in-home supportive services personnel whom the nonprofit consortium or public authority did not list on its registry or otherwise refer to a recipient. (3) Counties and the state shall be immune from any liability resulting from their implementation of this section in the administration of the In-Home Supportive Services program. Any obligation of the public authority or consortium pursuant to this section, whether statutory, contractual, or otherwise, shall be the obligation solely of the public authority or nonprofit consortium, and shall not be the obligation of the county or state. (f) Any nonprofit consortium contracting with a county pursuant to this section shall ensure that it has a governing body that complies with the requirements of subparagraph (B) of paragraph (3) of subdivision (b) or an advisory committee that complies with subparagraphs (B) and (C) of paragraph (3) of subdivision (b). (g) Recipients of services under this section may elect in-home supportive services personnel who are not referred to them by the public authority or nonprofit consortium. Those personnel shall be referred to the public authority or nonprofit consortium for the purposes of wages, benefits, and other terms and conditions of employment. (h) Nothing in this section shall be construed to alter, require the alteration of, or interfere with the state payroll system and other provisions of Section 12302.2 for individual providers of in-home supportive services, or to affect the state' s responsibility with respect to unemployment insurance, or workers' compensation for providers of in-home supportive services. (i) To the extent permitted by federal law, personal care option funds, obtained pursuant to Subchapter 19 (commencing with Section 1396) of Chapter 7 of Title 42 of the United States Code, along with matching funds using the state and county sharing ratio established in subdivision (c) of Section 12306, or any other funds that are obtained pursuant to Subchapter 19 (commencing with Section 1396) of Chapter 7 of Title 42 of the United States Code, may be used to establish and operate an entity authorized by this section. (j) Notwithstanding any other provision of law, a county, in exercising its option to establish a public authority, shall not be subject to competitive bidding requirements. However, contracts entered into by either the county, a public authority, or a nonprofit consortium pursuant to this section shall be subject to competitive bidding as otherwise required by law. (k) (1) The department may adopt regulations implementing this section as emergency regulations in accordance with Chapter 3.5 (commending with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code. For the purposes of the Administrative Procedures Act, the adoption of the regulations shall be deemed an emergency and necessary for the immediate preservation of the public peace, health and safety, or general welfare. Notwithstanding Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code, these emergency regulations shall not be subject to the review and approval of the Office of Administrative Law. (2) Notwithstanding subdivision (h) of Section 11364.1 and Section 11349.6 of the Government Code, the department shall transmit these regulations directly to the Secretary of State for filing. The regulations shall become effective immediately upon filing by the Secretary of State. (3) Except as otherwise provided for by Section 10554, the Office of Administrative Law shall provide for the printing and publication of these regulations in the California Code of Regulations. Notwithstanding Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code, these regulations shall not be repealed by the Office of Administrative Law and shall remain in effect until revised or repealed by the department. (l) (1) In the event that a county elects to form a nonprofit consortium or public authority pursuant to subdivision (a) before the State Department of Health Services has obtained all necessary federal approvals pursuant to paragraph (3) of subdivision (j) of Section 14132.95, all of the following shall apply: (A) Subdivision (c) shall apply only to those matters that do not require federal approval. (B) The second sentence of subdivision (g) shall not be operative. (C) The nonprofit consortium or public authority shall not provide services other than those specified in paragraphs (1), (2), (3), (4), and (5) of subdivision (d). (2) Paragraph (1) shall become inoperative when the State Department of Health Services has obtained all necessary federal approvals pursuant to paragraph (3) of subdivision (j) of Section 14132.95. SEC. 230. Section 14124.92 of the Welfare and Institutions Code, as added by Chapter 718 of the Statutes of 1992, is amended and renumbered to read: 14124.93. (a) The State Department of Social Services shall provide payments to the Child Support Enforcement Program (Title IV-D) in the district attorney's office of fifty dollars ($50) per case for obtaining third-party health coverage or insurance of beneficiaries. (b) A county shall be eligible for a payment if the county obtains third-party health coverage or insurance for applicants or recipients of Title IV-D services not previously covered, or for whom coverage has lapsed, and the county provides all required information on a form approved by both the State Department of Social Services and the State Department of Health Services. SEC. 231. Section 16516 of the Welfare and Institutions Code is amended to read: 16516. (a) No social worker or probation officer acting as an officer of the court for purposes of this chapter shall, directly or indirectly, lobby for, act as a consultant to, enter into a business transaction with, acquire ownership of, or obtain a pecuniary interest in, any business, whether organized for profit or as a nonprofit entity, which has received any funds or income from court-ordered child welfare services. (b) (1) Any public law enforcement agency or any private entity shall have standing to bring an action seeking a civil remedy pursuant to this section in any court of competent jurisdiction. (2) Any person who violates this section shall be subject to any or all of the following remedies, as ordered by the court, in its discretion: (A) Restitution of funds received in violation of this section. (B) Statutory damages of not less than one thousand dollars ($1,000), not to exceed treble the amount of the funds received in violation of this section. (C) Actual damages resulting from a violation of this section. (D) Termination of the grant or contract. (E) Reasonable attorney's fees. (F) Any other relief that the court deems proper. (c) For purposes of this section, "court-ordered child welfare services" include those services ordered by the court pursuant to Sections 11450 and 16501 for a dependent or ward of the court. SEC. 232. Section 19150 of the Welfare and Institutions Code is amended to read: 19150. (a) The term "vocational rehabilitation services" means the following services and goods: (1) An assessment for determining eligibility and vocational rehabilitation needs by qualified personnel, including if appropriate, an assessment by personnel skilled in rehabilitation technology or an assessment for supported employment as an employment outcome. (2) Counseling, guidance, and work-related placement services for persons with disabilities, including job search assistance, placement assistance, job retention services, personal assistance services, followup services, and specific postemployment services necessary to assist those individuals in maintaining, regaining, or advancing in their employment, both competitive and supported. (3) Training services for persons with disabilities, which shall include personal and vocational adjustment, books, and other training materials. (4) Auxiliary aide services, such as reader services for individuals who are blind and interpreter services for individuals who are deaf. (5) Job coaching services that may include any of the following: (A) On-the-job skill training. (B) Observation or supervision at the worksite. (C) Consultation or training, or both, of coworkers and supervisors. (D) Assistance in integrating into the work environment. (E) Destination training. (F) Assistance with public support agencies. (G) Family and residential provider consultation. (H) Any other on- or off-the-job support services needed to reinforce and stabilize job placement. (6) Recruitment and training services for persons with disabilities to provide them with new employment opportunities in the fields of rehabilitation, health, welfare, public safety, and law enforcement, and other appropriate service employment. (7) Physical and mental restoration services, including, but not limited to, the following: (A) Corrective surgery or therapeutic treatment necessary to correct or substantially modify a physical or mental condition which is stable or slowly progressive and constitutes an impediment to employment, but is of such a nature that the correction or modification may reasonably be expected to eliminate or substantially reduce the impediment to employment within a reasonable length of time. (B) Necessary hospitalization in connection with surgery or treatment. (C) Prosthetic and orthotic devices. (D) Eyeglasses and visual services as prescribed by a physician skilled in the diseases of the eye or by an optometrist. (8) Maintenance, not exceeding the additional costs incurred while participating in rehabilitation. (9) Occupational licenses, tools, equipment, and initial stocks and supplies. (10) Rehabilitation technology services, which shall include rehabilitation engineering and assistive technology services and devices. (11) On-the-job or other related personal assistance services provided to an individual with a disability who is receiving other vocational rehabilitation services. (12) Transition services to students, pursuant to cooperative agreements established under Section 19013, that promote or facilitate the accomplishment of long-term rehabilitation goals and intermediate rehabilitation objectives. (13) Referral and other services designed to assist individuals with disabilities in securing needed services from other agencies through agreements developed pursuant to Section 19013. (14) The provision of other programs and services when provided for the benefit of groups of individuals, including, but not limited to, any of the following: (A) In the case of any type of small business operated by individuals with severe disabilities, the operation of which can be improved by management services and supervision provided by the department, the provision of those services and supervision, alone or together with the acquisition by the department of vending stands and other equipment and initial stocks and supplies. (B) The establishment, development, or improvement of community rehabilitation programs that promise to contribute substantially to the rehabilitation of a group of individuals but that are not related directly to the rehabilitation plan of any one individual with a disability, providing the program is used to provide services that promote integration and competitive employment, including supported employment. (C) Technical assistance and support services to businesses that are not subject to Subchapter 1 (commencing with Section 12111) of Chapter 126 of Title 42 of the United States Code and that are seeking to employ individuals with disabilities. (15) Transportation in connection with the rendering of any other vocational rehabilitation service. (16) Any other goods and services necessary to render a person with disabilities employable. (17) Services to the families of persons with disabilities when those services will contribute substantially to the rehabilitation of those individuals. (b) For the purposes of subdivision (a), full consideration of eligibility for any comparable service or benefit shall be utilized to the extent permitted by federal law. SEC. 233. Section 23.5 of Chapter 503 of the Statutes of 1955, as amended by Chapter 290 of the Statutes of 1993, is amended to read: Sec. 23.5. (a) The Legislature hereby finds and declares that a county may face substantial expense in maintaining a roll or system that reflects both current values of property for the purpose of ad valorem assessments as provided by this act and the property values for general taxation mandated by Article XIIIA of the California Constitution. The Legislature further finds and declares that a fair and proper assessment for district objects and purposes may be imposed on the alternative basis of the use to which the benefited land may be put and the services and benefits provided. (b) The board of supervisors of the county and the board of directors of the district may evaluate the costs of maintaining a system to determine benefits according to assessed valuation of land and improvements thereon pursuant to Section 23 and the cost of determining benefits pursuant to use and services and benefits provided pursuant to this section. Pursuant to that determination, the board of supervisors and the board of directors may elect to impose an assessment as set forth in Section 23 or this section sufficient to raise the amount or amounts represented annually by the district. (c) The assessment authorized to be imposed on each parcel under this section shall be based upon the parcel's proportionate benefit, taking into account the zone in which it is located, its size, and its capacity for being put to use, with respect to all other parcels in the district. The aggregate of all the assessments shall not exceed the maximum limit set forth in Section 23, except as that limit is increased by the qualified voters of the district. (d) Prior to July 10 of each year, the district shall transmit to the board of supervisors the zones of benefit and land use categories required to impose the assessment authorized by this section. (e) Prior to March 1 of any year, landowners in the district may petition the board of directors to review, or the board of directors may elect to review on its own motion, the zones of benefit or land use categories determined by the district and submitted to the board of supervisors pursuant to this section. The petition shall be signed by at least 1 percent of the landowners within the district. The board of directors shall set a time and place for hearing upon the petition and shall give notice of the hearing by publishing the notice twice in a publication of general circulation at least 20 days prior to the hearing. The board of directors may, by resolution at the conclusion of the hearing, modify the zones of benefit or the land use categories as, in its judgment, is required and that modification shall become effective the next tax year, but in no event later than the next tax year following the next March 1. (f) If the board of supervisors of the county and the board of directors of the district elect to use the alternative assessment basis provided in this section, the county and the district may recover their reasonable costs of preparing, imposing, and collecting the assessments. The district shall pay to the county from the proceeds of the assessments the county's portion of the costs. SEC. 234. Section 2 of Chapter 775 of the Statutes of 1989, as amended by Chapter 1207 of the Statutes of 1993, is amended to read: Sec. 2. The Superintendent of Public Instruction shall develop model performance standards and a framework for instruction in consumer and home economics. The State Department of Education shall prepare and disseminate information to school districts and county offices of education offering instruction in consumer and home economics education that includes all of the following: (a) A definition of the content areas as delineated in the consumer and home economics education model curriculum standards and framework, and of the scope and sequence of the instruction to be provided in grades 6 to 12, inclusive. (b) Guidelines for the incorporation or implementation of the model curriculum standards into existing consumer and home economics education programs. (c) A clarification of the qualifications required of personnel assigned to teach consumer and home economics education courses. (d) A delineation of how consumer and home economics education instruction should be articulated in grades 6 to 12, inclusive, and with other home economics occupational programs at the secondary and postsecondary education levels. (e) Specific information as to how consumer and home economics education courses can be strengthened pursuant to subdivision (b) of Section 51225.3 of the Education Code in adopting alternative means for pupils to complete the prescribed course of study for graduation. (f) Quality criteria to ensure an effective consumer and homemaking education instructional program. SEC. 235. Section 22 of Chapter 1608 of the Statutes of 1990, as amended by Chapter 589 of the Statutes of 1993, is amended to read: Sec. 22. If both this bill and SB 2268 are enacted and become effective on or before January 1, 1991, and each bill amends Section 33080.4 of the Health and Safety Code, as amended by Section 7 of Chapter 1140 of the Statutes of 1989, and this bill is enacted after SB 2268, then Section 33080.4 of the Health and Safety Code, as amended by Section 12 of this bill, shall not become operative. SEC. 236. Section 4 of Chapter 346 of the Statutes of 1992 is amended to read: Sec. 4. For the purposes of Sections 17922.2 and 18941.6, as added to the Health and Safety Code by this act, and notwithstanding the meaning of "local conditions" as used elsewhere in Part 1.5 (commencing with Section 17910) of Division 13 of the Health and Safety Code, and Part 2.5 (commencing with Section 18901) of Division 13 of the Health and Safety Code, it is the intent of the Legislature that the term "local conditions" shall only include the impact of the implementation of seismic strengthening standards on the preservation of qualified historic structures (as governed by the State Historical Building Code, Part 2.7 (commencing with Section 18950) of Division 13 of the Health and Safety Code), participation in historic preservation programs such as the California Mainstreet Program, and the preservation of affordable housing. SEC. 237. Section 10 of Chapter 312 of the Statutes of 1993 is amended to read: Sec. 10. This act shall not become operative unless and until the Interstate Commerce Commission has adopted and made effective final regulations embodying standards set forth in the Intermodal Surface Transportation Efficiency Act of 1991 (49 U.S.C. Sec. 11506). SEC. 238. Section 1 of Chapter 1270 of the Statutes of 1993 is amended to read: Section 1. The Legislature finds and declares each of the following: (a) The photograph files at some police and sheriff's departments are expensive and difficult to maintain, and untimely if copies are urgently needed by other law enforcement agencies. (b) The criminal justice agencies of this state do not have a statewide system to retain, identify, and communicate criminal photographs. (c) This act is intended to assure the creation of a statewide automated system (Cal-Photo) for the storing and communication of law enforcement related photographs after the Department of Justice completes a feasibility study as specified in Section 11110 of the Penal Code and a report to the Legislature concerning the study as specified in that section. SEC. 239. Section 7 of Chapter 1270 of the Statutes of 1993 is amended to read: Sec. 7. Section 11110 of the Penal Code shall be funded from moneys appropriated by the Legislature in the Budget Act of 1994 or from existing resources of the Department of Justice other than fees collected pursuant to subdivision (e) of Section 11105 of the Penal Code. SEC. 240. Any section of any act enacted by the Legislature during the 1994 calendar year that takes effect on or before January 1, 1995, and that amends, amends and renumbers, adds, repeals and adds, or repeals a section amended, amended and renumbered, repealed and added, or repealed by this act, shall prevail over this act, whether that act is enacted prior to, or subsequent to, this act. The repeal, or repeal and addition, of any article, chapter, part, title, or division of any code by this act shall not become operative if any section of any other act amends, amends and renumbers, adds, repeals and adds, or repeals any section contained in that article, chapter, part, title, or division.