BILL NUMBER: SB 1307 CHAPTERED 10/10/99 CHAPTER 983 FILED WITH SECRETARY OF STATE OCTOBER 10, 1999 APPROVED BY GOVERNOR OCTOBER 10, 1999 PASSED THE SENATE SEPTEMBER 7, 1999 PASSED THE ASSEMBLY SEPTEMBER 1, 1999 AMENDED IN ASSEMBLY AUGUST 31, 1999 AMENDED IN ASSEMBLY AUGUST 19, 1999 AMENDED IN ASSEMBLY JULY 7, 1999 AMENDED IN SENATE MAY 12, 1999 AMENDED IN SENATE APRIL 14, 1999 INTRODUCED BY Committee on Business and Professions (Senators Figueroa (Chair), Johannessen, Murray, O'Connell, Polanco, and Speier) MARCH 11, 1999 An act to amend Sections 101.1, 6787, 6799, 7003, 7215.6, 8016, 8024.2, 8024.3, 8024.4, 8024.6, 8025, 8031, 8516, 8516.1, 8518, 8519.5, 8556, 8617, 8652, 8656, 8662, 8674, 8674.5, 8698, 8698.1, 8698.5, 8698.6, 8780, 8792, 8805, 9884, 22250, 22251, 22253, 22254, and 22255 of, to add Sections 6762.5, 7426.5, and 8747.5 to, and to repeal Sections 7343, 8614, and 8615 of, the Business and Professions Code, and to amend Section 803 of the Penal Code, relating to licensed professionals, and making an appropriation therefor. LEGISLATIVE COUNSEL'S DIGEST SB 1307, Committee on Business and Professions. Licensed professionals. (1) Existing law establishes within the Department of Consumer Affairs a State Board of Guide Dogs for the Blind, which licenses schools for the training of guide dogs for the blind. Existing law establishes, until July 1, 2002, a pilot project for the arbitration of disputes between guide dog users and guide schools relating to the continued physical custody and use of the guide dog when the dog user is not the legal owner of the dog. Pursuant to this provision, guide dog users who are dissatisfied with decisions of schools regarding continued use of the guide dogs may appeal to the board to convene an arbitration panel. The arbitration panel includes a representative of the board who serves as chair of the panel. This bill would provide that the board and its representative are not a party to any dispute described in that provision. The bill would also provide that each party to the dispute waives any right for subsequent judicial review by voluntarily agreeing to have the dispute resolved by the board. (2) Existing law with respect to the regulation of tax preparers specifies certain educational requirements. This bill would revise and recast those requirements, as specified, and, among other things, prohibit the giving of false and misleading information to the California Tax Education Council. A violation of provisions regulating tax preparers is a crime. In enlarging the scope of an existing crime the bill would impose a state-mandated local program. (3) Existing law provides for the licensing and regulation of various professions, including barbering and cosmetology, and structural pest control, as defined, and automotive repair. The bill would, with respect to the provisions governing barbering and cosmetology, repeal a provision that provides that an applicant who, without good cause, fails to appear for an examination after being notified of his or her eligibility for the exam, forfeits the examination fee. The bill would also authorize the board to make an administrative change with respect to the collection of fees, as specified. The bill would expand the definition of a structural pest control field representative, as specified. The bill would revise and recast various other structural pest control provisions and requirements and make other technical changes. Among other things, the bill would revise certain inspection report requirements with respect to inspections for wood destroying pests or organisms and wood roof cleaning and treatment. The bill would also revise requirements with respect to notices of work completed and not completed. It would delete provisions providing any person, whether or not a party to a real property transaction the right to obtain from the board copies of inspection reports, as specified. It would revise certain notices of proposed action provisions, make certain inspection report requirements applicable to field notes and notices of work completed, and revise and recast certain suspension and fine provisions. The bill would also require an automotive repair dealer, to the extent required by the Director of Consumer Affairs, to identify members and trustees who indirectly control or conduct the business on prescribed forms. Since a violation of this provision would be a misdemeanor, the bill would create a new crime, thereby imposing a state-mandated local program. (4) Existing law, the Professional Engineers Act and the Professional Land Surveyors' Act, provides for the registration and licensure, respectively, of professional engineers and land surveyors under the jurisdiction of the Board for Professional Engineers and Land Surveyors. This bill would require the board to issue, upon application and payment of a specified fee to be established under an existing schedule for active licensees, a retired professional engineer's license and a retired land surveyor's license, as specified. Because this bill would provide for new fees to be deposited into the Professional Engineer's and Land Surveyor's Fund, a continuously appropriated special fund, this bill would make an appropriation. (5) Existing law regulating professional engineers and land surveyors makes it a crime to, among other things, impersonate or use the seal of any other practitioner. This bill would instead make it a crime for any person to impersonate or use the seal of a licensed professional engineer, or licensed professional land surveyor, respectively. By changing the definition of a crime, this bill would impose a state-mandated local program. The bill would also make misrepresentation in the practice of land surveying a basis for license suspension or revocation. (6) Existing law regulates the certification requirements for shorthand reporters. Exempted from certification requirements, among others, are salaried, full-time employees of a district attorney. This bill would remove that exemption. It would prohibit the renewal of expired, suspended, or revoked certificates if the certificate holder has failed to pay monetary sanctions imposed by a court for failure to provide timely transcripts and makes the record of a court order or a certified copy of the order conclusive evidence that the sanction was imposed. This bill would also prohibit the renewal of a certificate, and would authorize disciplinary action, if a certificate holder fails to pay a penalty imposed for a failure to notify the board of a change of name or address. Existing law establishes the fee for filing an application for each certifying examination. This bill would add provisions setting the maximum fee for administering this examination, it would increase the maximum duplicate certificate fee from $5 to $10, and would increase the penalty for a failure to notify the board of a change of name or address from $20 to $50. (7) Existing law, with respect to the time for commencing certain criminal actions, provides for the tolling or extension of certain time periods and provides that a limitation of time does not commence to run until certain specified offenses have been discovered, or could have reasonably been discovered. This bill would include as one of the enumerated offenses within that provision the theft or embezzlement of the property of an elder or dependent adult by a person who is not a caretaker. This bill would restore language previously chaptered out in 1998 with respect to the addition of certain enumerated offenses within that provision. (8) Existing law provides that provisions establishing a structural fumigation enforcement program, as specified, shall be repealed effective January 1, 2000. This bill would extend that date of repeal until July 1, 2003, and would make related changes. (9) This bill would make various other technical and conforming changes, as specified. (10) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. Appropriation: yes. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 101.1 of the Business and Professions Code is amended to read: 101.1. (a) It is the intent of the Legislature that all existing and proposed consumer-related boards or categories of licensed professionals be subject to a review every four years to evaluate and determine whether each board has demonstrated a public need for the continued existence of that board in accordance with enumerated factors and standards as set forth in Division 1.2 (commencing with Section 473). (b) (1) In the event that any board, as defined in Section 477, becomes inoperative or is repealed in accordance with the act that added this section, or by subsequent acts, the Department of Consumer Affairs shall succeed to and is vested with all the duties, powers, purposes, responsibilities and jurisdiction not otherwise repealed or made inoperative of that board and its executive officer. (2) Any provision of existing law that provides for the appointment of board members and specifies the qualifications and tenure of board members shall not be implemented and shall have no force or effect while that board is inoperative or repealed. Every reference to the inoperative or repealed board, as defined in Section 477, shall be deemed to be a reference to the department. (3) Notwithstanding Section 107, any provision of law authorizing the appointment of an executive officer by a board subject to the review described in Division 1.2 (commencing with Section 473), or prescribing his or her duties, shall not be implemented and shall have no force or effect while the applicable board is inoperative or repealed. Any reference to the executive officer of an inoperative or repealed board shall be deemed to be a reference to the director or his or her designee. (c) It is the intent of the Legislature that subsequent legislation to extend or repeal the inoperative date for any board shall be a separate bill for that purpose. SEC. 2. Section 6762.5 is added to the Business and Professions Code, to read: 6762.5. (a) The board shall issue, upon application and payment of the fee established by Section 6799, a retired license (registration), to an engineer who has been licensed by the board for a minimum of 5 years within California and a minimum of 20 years within the United States or territory of the United States, and who holds a license that is not suspended, revoked, or otherwise disciplined, or subject to pending discipline under this chapter. (b) The holder of a retired license issued pursuant to this section shall not engage in any activity for which an active engineer' s license is required. An engineer holding a retired license shall be permitted to use the titles "retired professional engineer," "professional engineer, retired," or either of those titles with the licensee's branch designation inserted for the word "professional" for example, "retired civil engineer" or "civil engineer, retired." (c) The holder of a retired license shall not be required to renew that license. (d) In order for the holder of a retired license issued pursuant to this section to restore his or her license to active status, he or she shall pass the second division examination that is required for initial licensure with the board. SEC. 3. Section 6787 of the Business and Professions Code is amended to read: 6787. Every person is guilty of a misdemeanor and for each offense of which he or she is convicted is punishable by a fine of not more than one thousand dollars ($1,000) or by imprisonment not to exceed three months, or by both that fine and imprisonment: (a) Who, unless he or she is exempt from registration under this chapter, practices or offers to practice civil, electrical, or mechanical engineering in this state according to the provisions of this chapter without legal authorization. (b) Who presents or attempts to file as his or her own the certificate of registration of another. (c) Who gives false evidence of any kind to the board, or to any member thereof, in obtaining a certificate of registration. (d) Who impersonates or uses the seal of a licensed professional engineer. (e) Who uses an expired or revoked certificate of registration. (f) Who shall represent himself or herself as, or use the title of, registered civil, electrical, or mechanical engineer, or any other title whereby such person could be considered as practicing or offering to practice civil, electrical, or mechanical engineering in any of its branches, unless he or she is correspondingly qualified by registration as a civil, electrical, or mechanical engineer under this chapter. (g) Who, unless appropriately registered, manages, or conducts as manager, proprietor, or agent, any place of business from which civil, electrical, or mechanical engineering work is solicited, performed, or practiced. (h) Who uses the title, or any combination of that title, of "professional engineer," "licensed engineer," "registered engineer," or the branch titles specified in Section 6732, or the authority titles specified in Section 6763, or "engineer-in-training," or who makes use of any abbreviation of that title which might lead to the belief that he or she is a registered engineer, without being registered as required by this chapter. (i) Who uses the title "consulting engineer" without being registered as required by this chapter or without being authorized to use that title pursuant to legislation enacted at the 1963, 1965 or 1968 Regular Session. (j) Who violates any provision of this chapter. SEC. 4. Section 6799 of the Business and Professions Code is amended to read: 6799. The amount of the fees prescribed by this chapter shall be fixed by the board in accordance with the following schedule: (a) The fee for filing each application for registration as a professional engineer and each application for authority level designation at not more than one hundred seventy-five dollars ($175), and for each application for certification as an engineer-in-training at not more than sixty dollars ($60). (b) The temporary registration fee for a professional engineer at not more than 25 percent of the application fee in effect on the date of application. (c) The renewal fee for each branch of professional engineering in which registration is held, and the renewal fee for each authority level designation held, at no more than the professional engineer application fee currently in effect. (d) The fee for a retired license at not more than 50 percent of the professional engineer application fee in effect on the date of application. (e) The delinquency fee at not more than 50 percent of the renewal fee in effect on the date of reinstatement. (f) The board shall establish by regulation an appeal fee for examination. The regulation shall include provisions for an applicant to be reimbursed the appeal fee if the appeal results in passage of examination. The fee charged shall be no more than the costs incurred by the board. (g) All other document fees are to be set by the board by rule. Applicants wishing to be examined in more than one branch of engineering shall be required to pay the additional fee for each examination after the first. SEC. 5. Section 7003 of the Business and Professions Code is amended to read: 7003. Except as otherwise provided, an appointment to fill a vacancy caused by the expiration of the term of office shall be for a term of four years and shall be filled, except for a vacancy in the term of a public member, by a member from the same branch of the contracting business as was the branch of the member whose term has expired. A vacancy in the term of a public member shall be filled by another public member. Each member shall hold office until the appointment and qualification of his or her successor or until the office is deemed to be vacant pursuant to Section 1774 of the Government Code, whichever first occurs. Vacancies occurring in the membership of the board for any cause shall be filled by appointment for the balance of the unexpired term. No person shall serve as a member of the board for more than two consecutive terms. The Governor shall appoint five of the public members, including the local building official, and the six members qualified as provided in Section 7002. The Senate Rules Committee and the Speaker of the Assembly shall each appoint a public member. SEC. 6. Section 7215.6 of the Business and Professions Code is amended to read: 7215.6. (a) In order to provide a procedure for the resolution of disputes between guide dog users and guide dog schools relating to the continued physical custody and use of a guide dog, in all cases except those in which the dog user is the unconditional legal owner of the dog, the following arbitration procedure shall be established as a pilot project. (b) This procedure establishes an arbitration panel for the settlement of disputes between a guide dog user and a licensed guide dog school regarding the continued use of a guide dog by the user in all cases except those in which the dog user is the unconditional legal owner of the dog. The disputes which may be subject to this procedure concern differences between the user and school over whether or not a guide dog should continue to be used, differences between the user and school regarding the treatment of a dog by the user, and differences over whether or not a user should continue to have custody of a dog pending investigation of charges of abuse. It specifically does not address issues such as admissions to schools, training practices, or other issues relating to school standards. The board and its representative are not parties to any dispute described in this section. (c) The licensed guide dog schools in California and the board shall provide to guide dog users graduating from guide dog programs in these schools a new avenue for the resolution of disputes that involve continued use of a guide dog, or the actual physical custody of a guide dog. Guide dog users who are dissatisfied with decisions of schools regarding continued use of guide dogs may appeal to the board to convene an arbitration panel composed of all of the following: (1) One person designated by the guide dog user. (2) One person designated by the licensed guide dog school. (3) A representative of the board who shall coordinate the activities of the panel and serve as chair. (d) If the guide dog user or guide dog school wishes to utilize the arbitration panel, this must be stated in writing to the board. The findings and decision of the arbitration panel shall be final and binding. By voluntarily agreeing to having a dispute resolved by the arbitration panel and subject to its procedures, each party to the dispute shall waive any right for subsequent judicial review. (e) A licensed guide dog school that fails to comply with any provision of this section shall automatically be subject to a penalty of two hundred fifty dollars ($250) per day for each day in which a violation occurs. The penalty shall be paid to the board. The license of a guide dog school shall not be renewed until all penalties have been paid. The fine shall be assessed without advance hearing, but the licensee may apply to the board for a hearing on the issue of whether the fine should be modified or set aside. This application shall be in writing and shall be received by the board within 30 days after service of notice of the fine. Upon receipt of this written request, the board shall set the matter for hearing within 60 days. (f) As a general rule, custody of the guide dog shall remain with the guide dog user pending a resolution by the arbitration panel. In circumstances where the immediate health and safety of the guide dog user or guide dog is threatened, the licensed school may take custody of the dog at once. However, if the dog is removed from the user's custody without the user's concurrence, the school shall provide to the board the evidence that caused this action to be taken at once and without fail; and within five calendar days a special committee of two members of the board shall make a determination regarding custody of the dog pending hearing by the arbitration panel. (g) The arbitration panel shall decide the best means to determine final resolution in each case. This shall include, but is not limited to, a hearing of the matter before the arbitration panel at the request of either party to the dispute, an opportunity for each party in the dispute to make presentations before the arbitration panel, examination of the written record, or any other inquiry as will best reveal the facts of the disputes. In any case, the panel shall make its findings and complete its examination within 45 calendar days of the date of filing the request for arbitration, and a decision shall be rendered within 10 calendar days of the examination. All arbitration hearings shall be held at sites convenient to the parties and with a view to minimizing costs. Each party to the arbitration shall bear its own costs, except that the arbitration panel, by unanimous agreement, may modify this arrangement. (h) The board may study the effectiveness of the arbitration panel pilot project in expediting resolution and reducing conflict in disputes between guide dog users and guide dog schools and may share its findings with the Legislature upon request. (i) This section shall cease to be operative on July 1, 2002, and as of January 1, 2003, is repealed, unless a later enacted statute, which is enacted before January 1, 2003, deletes or extends that date. SEC. 7. Section 7343 of the Business and Professions Code is repealed. SEC. 8. Section 7426.5 is added to the Business and Professions Code, to read: 7426.5. The board may, by regulation, divide the fees payable under this chapter relating to licenses into separate categories based upon processing functions, such as application review, examination administration, or license issuance, provided that the combined fees for those processing functions do not exceed the maximum amount prescribed by the license category. The board may, by regulation, establish procedures whereby some or all of a fee submitted in connection with an application for licensure would be forfeited by an applicant who has withdrawn his or her application, fails to appear for an examination, or is required to retake an examination. SEC. 9. Section 8016 of the Business and Professions Code is amended to read: 8016. No person shall engage in the practice of shorthand reporting as defined in this chapter, unless that person is the holder of a certificate in full force and effect issued by the board. This section does not apply to a salaried, full-time employee of any department or agency of the state who is employed as a hearing reporter. This section shall apply to all persons who are appointed, on and after January 1, 1983, to the position of official reporter or pro tempore official reporter of any court, as defined in the Government Code. SEC. 9.2. Section 8024.2 of the Business and Professions Code is amended to read: 8024.2. (a) Except as otherwise provided in this article, a certificate which has expired may be renewed at any time within the period set forth in Section 8024.5 by doing all of the following: (1) Apply for renewal on a form prescribed by the board. (2) Pay the renewal fee prescribed by this chapter. (3) Notify the board whether he or she has been convicted of any felony, any crime substantially related to the functions and duties of a court reporter, or any disciplinary action taken by any regulatory or licensing board in this or any other state, subsequent to the licensee's last renewal. (b) If the certificate is not renewed within 30 days after its expiration, the certificate holder, as a condition precedent to renewal, shall also pay the delinquency fee set forth in Section 163.5. Renewal under this section shall be effective on the date on which the renewal fee is paid, or on the date on which the delinquency fee, if any, is paid, whichever last occurs. If so renewed, the certificate shall continue in effect through the date provided in Section 8024 which next occurs after the effective date of the renewal, when it shall expire if it is not again renewed. The certificate shall not be renewed if the certificate holder has failed to pay monetary sanctions identified in subdivision (g) of Section 8025. SEC. 9.3. Section 8024.3 of the Business and Professions Code is amended to read: 8024.3. A suspended certificate is subject to expiration and shall be renewed as provided in this article, but such renewal does not entitle the holder of the certificate, while it remains suspended and until it is reinstated, to engage in the activity to which the certificate relates, or in any other activity or conduct in violation of the order or judgment by which it was suspended. The certificate shall not be renewed if the certificate holder has failed to pay monetary sanctions identified in subdivision (g) of Section 8025. SEC. 9.4. Section 8024.4 of the Business and Professions Code is amended to read: 8024.4. A revoked certificate is subject to expiration as provided in this article, but it may not be renewed. If it is reinstated after its expiration, the holder of the certificate, as a condition precedent to its reinstatement, shall pay a reinstatement fee in an amount equal to the renewal fee in effect on the last regular renewal date before the date on which it is reinstated, plus the delinquency fee, if any, accrued at the time of its revocation. The certificate shall not be renewed if the certificate holder has failed to pay monetary sanctions identified in subdivision (g) of Section 8025. SEC. 9.5. Section 8024.6 of the Business and Professions Code is amended to read: 8024.6. (a) A certificate holder shall give written notice to the board at its office in Sacramento of a name change within 30 days after each change, giving both the old and the new names. A copy of the legal document affecting the name change, such as a court order or marriage certificate, shall be submitted with the notice. (b) Each certificate holder shall notify the board in writing at its office in Sacramento of a change of address within 30 days after each change, giving both the old and the new addresses. (c) A penalty as provided in this chapter shall be paid by each certificate holder who fails to notify the board within 30 days as specified in this section. Any certificate holder to whom this penalty applies who fails to pay that penalty shall not have their certificate renewed without payment of that penalty, and the board may take disciplinary action. SEC. 9.6. Section 8025 of the Business and Professions Code is amended to read: 8025. A certificate issued under this chapter may be suspended or revoked, or certification may be denied, for one or more of the following causes: (a) Conviction of a crime substantially related to the qualifications, functions, and duties of a certified shorthand reporter. The record of conviction, or a certified copy thereof, is conclusive evidence of the conviction. (b) Failure to notify the board of a conviction described in subdivision (a), in accordance with Section 8024 or 8024.2. (c) Fraud or misrepresentation resorted to in obtaining a certificate hereunder. (d) Fraud, dishonesty, corruption, willful violation of duty, gross negligence or incompetency in practice, or unprofessional conduct in the practice of shorthand reporting. "Unprofessional conduct" includes, but is not limited to, acts contrary to professional standards concerning confidentiality; impartiality; filing and retention of notes; notifications, availability, delivery, execution and certification of transcripts; and any provision of law substantially related to the duties of a certified shorthand reporter. (e) Repeated unexcused failure, whether or not willful, to transcribe notes of cases pending on appeal and to file the transcripts of those notes within the time required by law or to transcribe or file notes of other proceedings within the time required by law or agreed by contract. Violation of this subdivision shall also be deemed an act endangering the public health, safety, or welfare within the meaning of Section 494. (f) Loss or destruction of stenographic notes, whether on paper or electronic media, which prevents the production of a transcript due to negligence of the licensee. (g) Failure to comply with, or to pay a monetary sanction imposed by, any court for failure to provide timely transcripts. The record of the court order, or a certified copy thereof, is conclusive evidence that the sanction was imposed. (h) Violation of this chapter or the statutes, rules, and regulations pertaining to certified shorthand reporters. SEC. 9.7. Section 8031 of the Business and Professions Code is amended to read: 8031. The amount of the fees required by this chapter is that fixed by the board in accordance with the following schedule: (a) The fee for filing an application for each examination shall be no more than forty dollars ($40). (b) The fee for examination and reexamination for the written or practical part of the examination shall be in an amount fixed by the board, which shall be equal to the actual cost of preparing, administering, grading, and analyzing the examination, but shall not exceed seventy-five dollars ($75) for each separate part, for each administration. (c) The initial certificate fee is an amount equal to the renewal fee in effect on the last regular renewal date before the date on which the certificate is issued, except that, if the certificate will expire less than 180 days after its issuance, then the fee is 50 percent of the renewal fee in effect on the last regular renewal date before the date on which the certificate is issued, or fifty dollars ($50), whichever is greater. The board may, by appropriate regulation, provide for the waiver or refund of the initial certificate fee where the certificate is issued less than 45 days before the date on which it will expire. (d) By a resolution adopted by the board, a renewal fee may be established in such amounts and at such times as the board may deem appropriate to meet its operational expenses and funding responsibilities as set forth in this chapter. The renewal fee shall not be more than one hundred twenty-five dollars ($125) nor less than ten dollars ($10) annually, with the following exception: Any person who is employed full time by the State of California as a hearing reporter and who does not otherwise render shorthand reporting services for a fee shall be exempt from licensure while in state employment and shall not be subject to the renewal fee provisions of this subdivision until 30 days after leaving state employment. The renewal fee shall, in addition to the amount fixed by this subdivision, include any unpaid fees required by this section plus any delinquency fee. (e) The duplicate certificate fee shall be no greater than ten dollars ($10). (f) The penalty for failure to notify the board of a change of name or address as required by Section 8024.6 shall be no greater than fifty dollars ($50). SEC. 10. Section 8516 of the Business and Professions Code is amended to read: 8516. (a) This section, and Section 8519, apply only to wood destroying pests or organisms, but do not apply to work conducted pursuant to Section 8516.1. (b) No registered company or licensee shall commence work on a contract, or sign, issue, or deliver any documents expressing an opinion or statement relating to the absence or presence of wood destroying pests or organisms until an inspection has been made by a licensed Branch 3 field representative or operator. The address of each property inspected or upon which work is completed shall be reported on a form prescribed by the board and shall be filed with the board no later than 10 business days after the commencement of an inspection or upon completed work. Every property inspected pursuant to subdivision (b) of Section 8516.1, or Section 8518, or subdivision (b) of this section shall be assessed a filing fee pursuant to Section 8674. Failure of a registered company to report and file with the board the address of any property inspected or work completed pursuant to Section 8516.1, Section 8518, or this section are grounds for disciplinary action and shall subject the registered company to a fine of not more than two thousand five hundred dollars ($2,500). A written inspection report conforming to this section and on a form approved by the board shall be prepared and delivered to the person requesting the inspection or to the person's designated agent within 10 business days of the inspection, except that an inspection report prepared for use by an attorney for litigation purposes is not required to be reported to the board. The report shall be delivered before work is commenced on any property. The registered company shall retain for three years all original inspection reports, filed notes, and activity forms. Reports shall be made available for inspection and reproduction to the executive officer of the board or his or her duly authorized representative during business hours. Original inspection reports or copies thereof shall be submitted to the board upon request within two business days. The following shall be set forth in the report: (1) The date of the inspection and the name of the licensed field representative or operator making the inspection. (2) The name and address of the person or firm ordering the report. (3) The name and address of any person who is a party in interest. (4) The address or location of the property. (5) A general description of the building or premises inspected. (6) A foundation diagram or sketch of the structure or structures or portions of the structure or structures inspected, indicating thereon the approximate location of any infested or infected areas evident, and the parts of the structure where conditions that would ordinarily subject those parts to attack by wood destroying pests or organisms exist. (7) Information regarding the substructure, foundation walls and footings, porches, patios and steps, air vents, abutments, attic spaces, roof framing that includes the eaves, rafters, fascias, exposed timbers, exposed sheathing, ceiling joists, and attic walls, or other parts subject to attack by wood destroying pests or organisms. Conditions usually deemed likely to lead to infestation or infection, such as earth-wood contacts, excessive cellulose debris, faulty grade levels, excessive moisture conditions, evidence of roof leaks, and insufficient ventilation are to be reported. (8) One of the following statements, as appropriate, printed in bold type: (A) The exterior surface of the roof was not inspected. If you want the water tightness of the roof determined, you should contact a roofing contractor who is licensed by the Contractors' State License Board. (B) The exterior surface of the roof was inspected to determine whether or not wood destroying pests or organisms are present. (9) Indication or description of any areas that are inaccessible or not inspected with recommendation for further inspection if practicable. If, after the report has been made in compliance with this section, authority is given later to open inaccessible areas, a supplemental report on conditions in these areas shall be made. (10) Recommendations for corrective measures. (11) Information regarding the pesticide or pesticides to be used for their control as set forth in subdivision (a) of Section 8538. (12) The inspection report shall clearly disclose that if requested by the person ordering the original report, a reinspection of the structure will be performed if an estimate or bid for making repairs was given with the original inspection report, or thereafter. (13) The inspection report shall contain the following statement, printed in boldface type: "NOTICE: Reports on this structure prepared by various registered companies should list the same findings (i.e. termite infestations, termite damage, fungus damage, etc.). However, recommendations to correct these findings may vary from company to company. You have a right to seek a second opinion from another company." An estimate or bid for repairs shall be given separately allocating the costs to perform each and every recommendation for corrective measures as specified in subdivision (c) with the original inspection report if the person who ordered the original inspection report so requests, and if the registered company is regularly in the business of performing corrective measures. If no estimate or bid was given with the original inspection report, or thereafter, then the registered company shall not be required to perform a reinspection. A reinspection shall be an inspection of those items previously listed on an original report to determine if the recommendations have been completed. Each reinspection shall be reported on an original inspection report form and shall be labeled "Reinspection" in capital letters by rubber stamp or typewritten. Each reinspection shall also identify the original report by date and stamp numbers. After four months from an original inspection, all inspections shall be original inspections and not reinspections. Any reinspection shall be performed for not more than the price of the registered company's original inspection price and shall be completed within 10 working days after a reinspection has been ordered. (c) At the time a report is ordered, the registered company or licensee shall inform the person or entity ordering the report, that a separated report is available pursuant to this subdivision. If a separated report is requested at the time the inspection report is ordered, the registered company or licensee shall separately identify on the report each recommendation for corrective measures as follows: (1) The infestation or infection that is evident. (2) The conditions that are present that are deemed likely to lead to infestation or infection. If a registered company or licensee fails to inform as required by this subdivision and a dispute arises, or if any other dispute arises as to whether this subdivision has been complied with, a separated report shall be provided within 24 hours of the request but, in no event, later than the next business day, and at no additional cost. (d) When a corrective condition is identified, either as paragraph (1) or (2) of subdivision (c), and the responsible party, as negotiated between the buyer and the seller, chooses not to correct those conditions, the registered company or licensee shall not be liable for damages resulting from a failure to correct those conditions or subject to any disciplinary action by the board. Nothing in this subdivision, however, shall relieve a registered company or a licensee of any liability resulting from negligence, fraud, dishonest dealing, other violations pursuant to this chapter, or contractual obligations between the registered company or licensee and the responsible parties. (e) The inspection report form prescribed by the board shall separately identify the infestation or infection that is evident and the conditions that are present that are deemed likely to lead to infestation or infection. If a separated form is requested, the form shall explain the infestation or infection that is evident and the conditions that are present that are deemed likely to lead to infestation or infection and the difference between those conditions. In no event, however, shall conditions deemed likely to lead to infestation or infection be characterized as actual "defects" or as actual "active" infestations or infections or in need of correction as a precondition to issuing a certification pursuant to Section 8519. (f) The report and any contract entered into shall also state specifically when any guarantee for the work is made, and if so, the specific terms of the guarantee and the period of time for which the guarantee shall be in effect. (g) Control service is defined as the regular reinspection of a property after a report has been made in compliance with this section and any corrections as have been agreed upon have been completed. Under a control service agreement a registered company shall refer to the original report and contract in a manner as to identify them clearly, and the report shall be assumed to be a true report of conditions as originally issued, except it may be modified after a control service inspection. A registered company is not required to issue a report as outlined in paragraphs (1) to (11), inclusive, of subdivision (b) after each control service inspection. If after control service inspection, no modification of the original report is made in writing, then it will be assumed that conditions are as originally reported. A control service contract shall state specifically the particular wood destroying pests or organisms and the portions of the buildings or structures covered by the contract. (h) A registered company or licensee may enter into and maintain a control service agreement provided the following requirements are met: (1) The control service agreement shall be in writing, signed by both parties, and shall specifically include the following: (A) The wood destroying pests and organisms that could infest and infect the structure. (B) The wood destroying pests and organisms covered by the control service agreement. Any wood destroying pest or organism that is not covered must be specifically listed. (C) The type and manner of treatment to be used to correct the infestations or infections. (D) The structures or buildings, or portions thereof, covered by the agreement, including a statement specifying whether the coverage for purposes of periodic inspections is limited or full. Any exclusions from those described in the original report must be specifically listed. (E) A reference to the original inspection report and agreement. (F) The frequency of the inspections to be provided, the fee to be charged for each renewal, and the duration of the agreement. (G) Whether the fee includes structural repairs. (H) If the services provided are guaranteed, and, if so, the terms of the guarantee. (I) A statement that all corrections of infestations or infections covered by the control service agreement shall be completed within six months of discovery, unless otherwise agreed to in writing by both parties. (2) Inspections made pursuant to a control service agreement shall be conducted by a Branch 3 licensee. Section 8506.1 does not modify this provision. (3) A full inspection of the property covered by the control service agreement shall be conducted and a report filed pursuant to subdivision (b) at least once every three years from the date that the agreement was entered into, unless the consumer cancels the contract within three years from the date the agreement was entered into. (4) A written report shall be required for the correction of any infestation or infection unless all of the following conditions are met: (A) The infestation or infection has been previously reported. (B) The infestation or infection is covered by the control service agreement. (C) There is no additional charge for correcting the infestation or infection. (D) Correction of the infestation or infection takes place within 45 days of its discovery. (E) Correction of the infestation or infection does not include fumigation. (5) All notice requirements pursuant to Section 8538 shall apply to all pesticide treatments conducted under control service agreements. (6) For purposes of this section, "control service agreement" means any agreement, including extended warranties, to have a licensee conduct over a period of time regular inspections and other activities related to the control or eradication of wood destroying pests and organisms. (i) All work recommended by a registered company, where an estimate or bid for making repairs was given with the original inspection report, or thereafter, shall be recorded on this report or a separate work agreement and shall specify a price for each recommendation. This information shall be provided to the person requesting the inspection, and shall be retained by the registered company with the inspection report copy for three years. SEC. 10.1. Section 8516.1 of the Business and Professions Code is amended to read: 8516.1. (a) This section applies only to work conducted by a wood roof cleaning and treatment registered company or licensee. (b) No wood roof cleaning and treatment registered company or licensee shall commence work on a contract, or sign, issue, or deliver any documents expressing an opinion or statement relating to the absence or presence of wood destroying organisms or nondecay fungi on a wood shake or shingle roof until an inspection has been made. All inspections performed by these registered companies or licensees shall be on properties that are not offered for sale, lease, or exchange, and shall be limited to the wood shakes or shingles on wood shake or shingle roofs and may only be performed for purposes of detecting the presence or absence of wood destroying organisms such as decay fungi on the wood shakes or shingles and resulting decay, or nondecay fungi such as mold, mildew, lichen, or moss on the wood shakes or shingles. (c) The address of each property inspected or upon which work is completed shall be reported on a form approved by the board and shall be filed with the board no later than 10 business days after the commencement of an inspection or upon completed work. Every property inspected pursuant to subdivision (b) of Section 8516, Section 8518, or subdivision (b) of this section shall be assessed a filing fee pursuant to Section 8674. Failure of a registered company to report and file with the board the address of any property inspected or work completed pursuant to Section 8516, Section 8518, or this section are grounds for disciplinary action and shall subject the registered company to a fine of not more than two thousand five hundred dollars ($2,500). A written inspection report conforming to this section and on a form approved by the board shall be prepared and delivered to the person requesting the inspection or to the person's designated agent within 10 business days of the inspection. The report shall be delivered before work is commenced on any property. All wood roof cleaning and treatment registered companies shall retain for three years all original inspection reports, field notes, and activity forms. Reports shall be made available for inspection and reproduction to the executive officer of the board or his or her duly authorized representative during business hours. Original inspection reports or copies thereof shall be submitted to the board upon request within two business days. The following items shall be set forth in the report: (1) The date of the inspection and the name of the licensee making the inspection. (2) The name and address of the person or firm ordering the report. (3) The name and address of any person who is a party in interest. (4) The address or location of the property. (5) A general description of the roof covering inspected. (6) A diagram or sketch of the roof inspected indicating thereon the type and approximate location of any infection of wood destroying organisms or nondecay fungi. (7) Information regarding conditions usually deemed likely to lead to infection of wood destroying organisms and nondecay fungi. (8) Recommendations for corrective measures. (9) Information regarding the wood preservative to be used for control of the wood destroying organisms and nondecay fungi as set forth in subdivision (a) of Section 8538. (10) A statement printed in 10-point boldface type, stating that the corrective measures will not improve the water tightness of the roof and if the person or entity who ordered the report wants the roof inspected for a determination of water tightness, that person or entity should contact a roofing contractor who is licensed by the Contractors' State License Board. (11) For purposes of this section and Section 8516, "water tightness" means that at the time the inspection was performed the roof would not, under normal climatic conditions, leak. (d) At the time the report is ordered, the registered company or licensee shall inform the person or entity ordering the report, that a separated report is available pursuant to this subdivision. If a separated report is requested at the time the inspection report is ordered, the registered company or licensee shall separately identify on the report each recommendation for corrective measures as follows: (1) The infection that is evident. (2) The conditions that are present that are deemed likely to lead to infection of wood destroying organisms such as decay fungus. (3) The conditions that are present that are nondecay fungi such as mold, mildew, lichen, or moss. If the registered company or licensee fails to comply with the requirements of this subdivision and a dispute arises, or if any dispute arises as to whether this subdivision has been complied with, a separate report shall be provided to the person or entity ordering the report within 24 hours of that request, but in no event later than the next business day, and at no additional cost. (e) The report and any contract entered into shall also state specifically when any guarantee for the work is made, and if so, the specific terms of the guarantee and the period of time for which the guarantee shall take effect. (f) All work recommended by the registered company, where an estimate or bid for making repairs was given with the original inspection report, or thereafter, shall be recorded on that report or a separate work agreement and shall specify a price for each recommendation. This information shall be provided to the person requesting the inspection, and shall be retained by the registered company with the inspection report copy for two years. (g) All wood roof cleaning and treatment registered companies shall possess a current roofing contractor's license issued by the Contractors' State License Board. SEC. 10.2. Section 8518 of the Business and Professions Code is amended to read: 8518. When a registered company completes work under a contract, it shall prepare, on a form prescribed by the board, a notice of work completed and not completed, and shall furnish that notice to the owner of the property or the owner's agent within 10 working days after completing the work. The notice shall include a statement of the cost of the completed work and estimated cost of work not completed. The address of each property inspected or upon which work was completed shall be reported on a form prescribed by the board and shall be filed with the board no later than 10 working days after completed work. Every property upon which work is completed shall be assessed a filing fee pursuant to Section 8674. Failure of a registered company to report and file with the board the address of any property upon which work was completed pursuant to subdivision (b) of Section 8516, subdivision (b) of Section 8516.1, or Section 8518 are grounds for disciplinary action and shall subject the registered company to a fine of not more than two thousand five hundred dollars ($2,500). The registered company shall retain for three years all original notices of work completed, work not completed, and activity forms. Notices of work completed and not completed shall be made available for inspection and reproduction to the executive officer of the board or his or her duly authorized representative during business hours. Original notices of work completed or not completed or copies thereof shall be submitted to the board upon request within two business days. SEC. 10.3. Section 8519.5 of the Business and Professions Code is amended to read: 8519.5. (a) After an inspection report has been prepared by a Branch 3 registered company pursuant to Section 8516, which discloses a wood destroying pest that can be eradicated by fumigation, and the fumigation has been duly performed by a Branch 1 registered company, the Branch 1 registered company, on a company document that identifies the licensee performing the fumigation and the name and address of the registered company, shall issue the following certification: "This is to certify that the property located at ____ (address) was fumigated on ____ (date) for the extermination of ____ (target pest)." This certification shall be issued to the person ordering the fumigation and to the registered company that prepared the inspection report within five working days after completing the fumigation. (1) Where a consumer has authorized a Branch 3 registered company to subcontract the fumigation to a Branch 1 registered company, a copy of the certification shall accompany any reinspection report, notice of work completed pursuant to Section 8518, or any certification issued by the Branch 3 company. (2) Where the consumer has elected to contract directly with a Branch 1 registered company to perform a fumigation, the distribution of any documents pertinent to the fumigation shall be the responsibility of the Branch 1 registered company. (b) In the event of a failed fumigation performed by a Branch 1 registered company that has contracted directly with the consumer, the Branch 1 registered company shall do all of the following: (1) Verify the need for a refumigation. (2) Maintain with the original inspection report, on a company document, all of the following: (A) The name of the current owner of the structure fumigated, the address of the structure, and the date of the failed fumigation. (B) An explanation of the need for refumigation. (C) The proposed date for the refumigation. (3) Within five working days after the completion of the refumigation, the Branch 1 registered company, on a company document, shall file with the current owner, and the Branch 3 registered company whose report was used for the original fumigation, information regarding the completion of the refumigation, a new certification, and any warranty or guarantee. SEC. 10.4. Section 8556 of the Business and Professions Code is amended to read: 8556. (a) Licensed contractors acting in their capacity as such, may remove and replace any structure or portions of a structure damaged by wood destroying pests or organisms if that work is incidental to other work being performed on the structure involved or if that work has been identified by a structural pest control inspection report. Licensed contractors acting in their capacity as such may apply wood preservatives directly to end cuts and drill holes of pressure treated wood, and to foundation wood as required by building codes, as well as to fencing and decking, by brush, dip, or spray method and need not obtain a license under this chapter for performance of that work, provided a disclosure in the following form is submitted to the customer in writing: "The application of a wood preservative is intended to prevent the establishment and flourishing of organisms which can deteriorate wood. If you suspect pest infestation or infection, contact a registered structural pest control company prior to the application of a wood preservative." These exemptions do not authorize the performance of any other acts defined in Section 8505. (b) A licensed contractor may contract for the performance of any soil treatment pest control work to eliminate, exterminate, control, or prevent infestations or infections of pests or organisms in the ground beneath or adjacent to any existing building or structure or in or upon any site upon which any building or structure is to be constructed, but the actual performance of any such work must be done by a registered structural pest control company. SEC. 10.5. Section 8614 of the Business and Professions Code is repealed. SEC. 10.6. Section 8615 of the Business and Professions Code is repealed. SEC. 10.7. Section 8617 of the Business and Professions Code is amended to read: 8617. (a) The board or county agricultural commissioners, when acting pursuant to Section 8616.4, may suspend the right of a structural pest control licensee or registered company to work in a county for up to three working days or, for a licensee, registered company, or an unlicensed individual acting as a licensee, may levy an administrative fine up to one thousand dollars ($1,000) for each violation of this chapter, or any regulations adopted pursuant to this chapter, or Chapter 2 (commencing with Section 12751), Chapter 3 (commencing with Section 14001), Chapter 3.5 (commencing with Section 14101), or Chapter 7 (commencing with Section 15201) of Division 7 of the Food and Agricultural Code, or any regulations adopted pursuant to those chapters, relating to economic poisons. Fines collected shall be paid to the Education and Enforcement Account in the Structural Pest Control Education and Enforcement Fund. Suspension may include all or part of the registered company's business within the county based on the nature of the violation, but shall, whenever possible, be restricted to that portion of a registered company's business in a county that was in violation. (b) Before a suspension action is taken or a fine levied, the person charged with the violation shall be provided a written notice of the proposed action, including the nature of the violation and the amount of the proposed fine or suspension. The notice of proposed action shall inform the person charged with the violation that if he or she desires a hearing before the commissioner issuing the proposed action to contest the finding of a violation, that hearing shall be requested by written notice to the commissioner within 20 days of the date of issuance of the written notice of proposed action. A notice of the proposed action that is sent by certified mail to the last known address of the person charged shall be considered received even if delivery is refused or the notice is not accepted at that address. If a hearing is requested, notice of the time and place of the hearing shall be given at least 10 days before the date set for the hearing. At the hearing, the person shall be given an opportunity to review the commissioner's evidence and a right to present evidence on his or her own behalf. If a hearing is not requested within the prescribed time, the commissioner may take the action proposed without a hearing. (c) If the person upon whom the commissioner imposed a fine or suspension requested and appeared at a hearing before the commissioner, the person may appeal the commissioner's decision to the Disciplinary Review Committee and shall be subject to the procedures in Section 8662. (d) If a suspension or fine is ordered, it may not take effect until 20 days after the date of the commissioner's decision if no appeal is filed. If an appeal pursuant to Section 8662 is filed, the commissioner's order shall be stayed until 20 days after the Disciplinary Review Committee has ruled on the appeal. (e) Failure of a licensee or registered company to pay a fine within 30 days of the date of assessment or to comply with the order of suspension, unless the citation is being appealed, may result in disciplinary action being taken by the board. Where a citation containing a fine is issued to a licensee and it is not contested or the time to appeal the citation has expired and the fine is not paid, the full amount of the assessed fine shall be added to the fee for renewal of that license. A license shall not be renewed without payment of the renewal fee and fine. Where a citation containing a fine is issued to a registered company and it is not contested or the time to appeal the citation has expired and the fine is not paid, the board shall not sell to the registered company any inspection stamps, notice of completion stamps, or pesticide use stamps until the assessed fine has been paid. (f) Once final action pursuant to this section is taken, no other administrative or civil action may be taken by any state governmental agency for the same violation. However, action taken pursuant to this section may be used by the board as evidence of prior discipline, and multiple local actions may be the basis for statewide disciplinary action by the board pursuant to Section 8620. A certified copy of the order of suspension or fine issued pursuant to this section or Section 8662 shall constitute conclusive evidence of the occurrence of the violation. (g) Where the board is the party issuing the notice of proposed action to suspend or impose a fine pursuant to subdivision (a) of this section, "commissioner" as used in subdivisions (b), (c), and (d) includes the board's registrar. SEC. 10.8. Section 8652 of the Business and Professions Code is amended to read: 8652. Failure of a registered company to make and keep all inspection reports, field notes, contracts, documents, notices of work completed, and records, other than financial records, for a period of not less than three years after completion of any work or operation for the control of structural pests or organisms, is a ground for disciplinary action. These records shall be made available to the executive officer of the board or his or her duly authorized representative during business hours. SEC. 10.85. Section 8656 of the Business and Professions Code is amended to read: 8656. In addition to the remedies provided for in Section 125.9, when the licensee who is a registered company has failed to pay the fine assessed pursuant to a citation within 30 days of the date of assessment, unless the citation is being appealed, the board shall not sell to the registered company any pesticide use stamps until the assessed fine has been paid. SEC. 10.9. Section 8662 of the Business and Professions Code is amended to read: 8662. (a) Whenever the right of a structural pest control licensee or registered company to make pesticide applications is to be suspended or the licensee, registered company, or unlicensed individual is to be fined pursuant to Section 8617, and if the person upon whom the commissioner imposed a fine or suspension requested and appeared at a hearing before the commissioner in accordance with Section 8617, the party to be suspended or fined may appeal to the Disciplinary Review Committee by filing a written appeal with the committee within 10 days of receipt of the fine or suspension order. (b) The following procedures shall apply to the appeal: (1) The appeal shall be in writing and signed by the appellant or his or her or its authorized agent, state the grounds for the appeal, and include a copy of the commissioner's decision. The appellant shall file a copy of the appeal with the commissioner at the same time it is filed with the committee. (2) Any party may, at the time of filing the appeal or within 10 days thereafter, or at a later time prescribed by the committee or its designee, present the record of the hearing, including written evidence that was submitted at the hearing and written argument to the committee stating the grounds for affirming, modifying, or reversing the commissioner's decision. (3) The committee or its designee may grant oral argument upon application made at the time written arguments are filed. If an application to present an oral argument is granted, written notice of the time and place for the oral argument shall be given each party at least 10 days before the date set therefor. The times may be altered by mutual agreement of the appellant, the commissioner, and the committee. (4) At any time written evidence is submitted to the committee, a copy shall be immediately provided to the other party. (5) The committee shall decide the appeal on the record of the hearing, including the written evidence and the written argument described in paragraph (2) that the committee may have received. If the committee finds substantial evidence in the record to support the commissioner's decision, the committee shall affirm the decision. (6) The committee shall render its written decision within 45 days of the date of appeal or within 15 days from the date of oral arguments. If the committee does not reach a decision in the time required in this subdivision, the order issued pursuant to Section 8617 shall be null and void. (7) On an appeal pursuant to this section, the committee may sustain, modify by reducing the time of suspension or the amount of the fine levied, or reverse the decision. A copy of the committee's decision shall be delivered or mailed to each party. (8) Review of the decision of the committee may be sought by the licensee, registered company, or unlicensed individual pursuant to Section 1094.5 of the Code of Civil Procedure. SEC. 10.10. Section 8674 of the Business and Professions Code is amended to read: 8674. The fees prescribed by this chapter are the following: (a) A duplicate license fee of not more than two dollars ($2). (b) A fee for filing a change of name of a licensee of not more than two dollars ($2). (c) An operator's examination fee of not more than twenty-five dollars ($25). (d) An operator's license fee of not more than one hundred fifty dollars ($150). (e) An operator's license renewal fee of not more than one hundred fifty dollars ($150). (f) A company registration fee of not more than one hundred twenty dollars ($120). (g) A branch office registration fee of not more than sixty dollars ($60). (h) A field representative's examination fee of not more than fifteen dollars ($15). (i) A field representative's license fee of not more than forty-five dollars ($45). (j) A field representative's license renewal fee of not more than forty-five dollars ($45). (k) An applicator's examination fee of not more than fifteen dollars ($15). (l) An applicator's license fee of not more than fifty dollars ($50). (m) An applicator's license renewal fee of not more than fifty dollars ($50). (n) An activity form fee, per property address, of not more than three dollars ($3). (o) A fee for certifying a copy of an activity form of not more than three dollars ($3). (p) A fee for filing a change of a registered company's name, principal office address, or branch office address, qualifying manager, or the names of a registered company's officers, or bond or insurance of not more than twenty-five dollars ($25) for each change. (q) A fee for approval of continuing education providers of not more than fifty dollars ($50). (r) A pesticide use report filing fee of not more than five dollars ($5) for each pesticide use report or combination of use reports representing a registered structural pest control company's total county pesticide use for the month. (s) A fee for approval of continuing education courses of not more than twenty-five dollars ($25). (t) (1) Any person who pays a fee pursuant to subdivision (s) shall, in addition, pay a fee of two dollars ($2) for each pesticide use stamp purchased from the board. Notwithstanding any other provision of law, the fee established pursuant to this subdivision shall be deposited with a bank or other depository approved by the Department of Finance and designated by the Research Advisory Panel or into the Structural Pest Control Research Fund which is hereby created and continuously appropriated to be used only for structural pest control research. If the Research Advisory Panel designates that the fees be deposited in an account other than the Structural Pest Control Research Fund, any moneys in the fund shall be transferred to the designated account. (2) Prior to the deposit of any funds, the depository shall enter into an agreement with the Department of Consumer Affairs that includes, but is not limited to, all of the following requirements: (A) The depository shall serve as custodian for the safekeeping of the funds. (B) Funds deposited in the designated account shall be encumbered solely for the exclusive purpose of implementing and continuing the program for which they were collected. (C) Funds deposited in the designated account shall be subject to an audit at least once every two years by an auditor selected by the Director of Consumer Affairs. A copy of the audit shall be provided to the director within 30 days of completion of the audit. (D) The Department of Consumer Affairs shall be reimbursed for all expenses it incurs that are reasonably related to implementing and continuing the program for which the funds were collected in accordance with the agreement. (E) A reserve in an amount sufficient to pay for costs arising from unanticipated occurrences associated with administration of the program shall be maintained in the designated account. (3) A charge for administrative expenses of the board in an amount not to exceed 5 percent of the amount collected and deposited in the Structural Pest Control Research Fund may be assessed against the fund. The charge shall be limited to expenses directly related to the administration of the fund. (4) The board shall, by regulation, establish a five-member research advisory panel including, but not limited to, representatives from each of the following: (1) the Structural Pest Control Board, (2) the structural pest control industry, (3) the Department of Pesticide Regulation, and (4) the University of California. The panel shall solicit and review research proposals for recommendation to the board. The board shall distribute funds to qualified applicants, pursuant to the panel's recommendation, upon a two-thirds vote. SEC. 10.11. Section 8674.5 of the Business and Professions Code is amended to read: 8674.5. (a) There is hereby created in the State Treasury a special fund known as the Structural Pest Control Device Fund. Each person who pays a license fee pursuant to this chapter, in addition, shall pay a fee of twenty-five cents ($0.25) for each property address reported. Funds derived from the additional twenty-five cents ($0.25) shall be deposited in the Structural Pest Control Device Fund. (b) Five percent of the amount collected and deposited in the Structural Pest Control Device Fund shall be available to the board for administrative costs upon appropriation in the annual Budget Act. The balance in the fund is hereby continuously appropriated to the Department of Pesticide Regulation for costs incurred by that department pursuant to Chapter 7.5 (commencing with Section 15300) of Division 7 of the Food and Agricultural Code. (c) This section shall remain in effect only until January 1, 2002, and as of that date is repealed, unless a later enacted statute that is enacted before January 1, 2002, deletes or extends that date. SEC. 10.12. Section 8698 of the Business and Professions Code is amended to read: 8698. The Director of the Department of Pesticide Regulation shall be designated by the board as its agent for the purposes of carrying out Section 8698.1. The Los Angeles County Agricultural Commissioner or the Orange County Agricultural Commissioner, or both, may contract with the director to perform increased structural fumigation, inspection, and enforcement activities. These activities shall be funded by the moneys collected pursuant to this chapter. SEC. 10.13. Section 8698.1 of the Business and Professions Code is amended to read: 8698.1. (a) If the county has contracted pursuant to Section 8698, any person who performs a structural fumigation in Los Angeles County or Orange County shall pay to the county agricultural commissioner a fee of five dollars ($5) for each treatment conducted at a specific building or structure. (b) The fees shall be submitted by the 10th day of the month following the month in which the treatment was performed. The fees shall be accompanied by a copy of a monthly pesticide use report showing the addresses, including the department number if applicable, of all structural fumigations. The report shall be in a form required by the director, identify the name and address of the person or company performing the fumigation, and include any other information requested by the director. SEC. 10.14. Section 8698.5 of the Business and Professions Code is amended to read: 8698.5. Any funds collected pursuant to this chapter shall be paid to the county and used for the sole purposes of funding enforcement and training activities directly related to the structural fumigation project created pursuant to Section 8698. SEC. 10.15. Section 8698.6 of the Business and Professions Code is amended to read: 8698.6. This chapter shall remain in effect only until July 1, 2003, and as of that date is repealed, unless a later enacted statute, which is chaptered before July 1, 2003, deletes or extends that date. SEC. 10.16. Section 8747.5 is added to the Business and Professions Code, to read: 8747.5. (a) The board shall issue, upon application and payment of the fee established by Section 8805, a retired license to a land surveyor who has been licensed by the board for a minimum of five years within California, and a minimum of 20 years within the United States or territories of the United States, and who holds a license that is not suspended, revoked, or otherwise disciplined, or subject to pending discipline under this chapter. (b) The holder of a retired license issued pursuant to this section shall not engage in any activity for which an active land surveyor's license is required. A land surveyor holding a retired license shall be permitted to use the titles "retired professional land surveyor" or "professional land surveyor, retired." (c) The holder of a retired license shall not be required to renew that license. (d) In order for the holder of a retired license issued pursuant to this section to restore his or her license to active status, he or she shall pass the examination that is required for initial licensure with the board. SEC. 10.17. Section 8780 of the Business and Professions Code is amended to read: 8780. By a majority vote, the board may suspend for a period not to exceed two years, or revoke the license or certificate of any licensed land surveyor or registered civil engineer, respectively, licensed under this chapter or registered under the provisions of Chapter 7 (commencing with Section 6700) of Division 3, whom it finds to be guilty of: (a) Any fraud, deceit, misrepresentation, negligence, or incompetency in his or her practice of land surveying. (b) Any fraud or deceit in obtaining his or her license. (c) Any violation of any provision of this chapter or of any other law relating to or involving the practice of land surveying. (d) Any conviction of a crime substantially related to the qualifications, functions and duties of a land surveyor. The record of the conviction shall be conclusive evidence thereof. (e) Aiding or abetting any person in the violation of any provision of this chapter. (f) A breach of contract in connection with the practice of land surveying. SEC. 10.18. Section 8792 of the Business and Professions Code is amended to read: 8792. Every person is guilty of a misdemeanor: (a) Who, unless he is exempt from licensing under this chapter, practices, or offers to practice, land surveying in this state without legal authorization. (b) Who presents as his own, the license of another. (c) Who attempts to file as his own any record of survey under the license of another. (d) Who gives false evidence of any kind to the board, or to any member, in obtaining a license. (e) Who impersonates or uses the seal of a professional land surveyor. (f) Who uses an expired or revoked license. (g) Who violates any provision of this chapter. SEC. 10.19. Section 8805 of the Business and Professions Code is amended to read: 8805. The amount of the fees prescribed by this chapter shall be fixed by the board in accordance with the following schedule: (a) The fee for filing each application for licensure as a land surveyor at not more than one hundred seventy-five dollars ($175), and for each application for certification as a land surveyor-in-training (LSIT) at not more than sixty dollars ($60). (b) The temporary registration fee for a land surveyor at not more than 25 percent of the application fee in effect on the date of application. (c) The renewal fee for a land surveyor at not more than the application fee. (d) The fee for a retired license at not more than 50 percent of the professional land surveyor application fee in effect on the date of application. (e) The delinquency fee at not more than 50 percent of the renewal fee in effect on the date of reinstatement. (f) The board shall establish by regulation an appeal fee for examination. The regulation shall include provisions for an applicant to be reimbursed the appeal fee if the appeal results in passage of examination. The fee shall be no more than the costs incurred by the board. (g) All other document fees are to be set by the board by rule. SEC. 11. Section 9884 of the Business and Professions Code is amended to read: 9884. (a) An automotive repair dealer shall pay the fee required by this chapter for each place of business operated by the dealer in this state and shall register with the director upon forms prescribed by the director. The forms shall contain sufficient information to identify the automotive repair dealer, including name, address of each location, a statement by the dealer that each location is in an area that, pursuant to local zoning ordinances, permits the operation of a facility for the repair of motor vehicles, the dealer's retail seller's permit number, if a permit is required under the Sales and Use Tax Law (Part 1 (commencing with Section 6001), Division 2, Revenue and Taxation Code), and other identifying data that are prescribed by the director. If the business is to be carried on under a fictitious name, the fictitious name shall be stated. To the extent prescribed by the director, an automotive repair dealer shall identify the owners, directors, officers, partners, members, trustees, managers, and any other persons who directly or indirectly control or conduct the business. The forms shall include a statement signed by the dealer under penalty of perjury that the information provided is true. (b) A state agency is not authorized or required by this section to enforce a city, county, regional, air pollution control district, or air quality management district rule or regulation regarding the site or operation of a facility that repairs motor vehicles. SEC. 12. Section 22250 of the Business and Professions Code is amended to read: 22250. (a) A tax preparer shall maintain a bond issued by a surety company admitted to do business in this state for each individual preparing tax returns for another person. The principal sum of the bond shall be five thousand dollars ($5,000). A tax preparer subject to this section shall provide to the surety company proof that the individual is at least 18 years of age before a surety bond may be issued. (b) The bond required by this section shall be in favor of, and payable to, the people of the State of California and shall be for the benefit of any person or persons damaged by any fraud, dishonesty, misstatement, misrepresentation, deceit, or any unlawful acts or omissions by the tax preparer, or the tax preparers employed or associated with it to provide tax preparation services. (c) The tax preparer filing the bond shall identify all tax preparers employed or associated with the tax preparer and shall provide for each employee or associate the evidence required by subdivision (a) to the surety company. A tax preparer employed or associated with a tax preparer shall be covered by the bond of the tax preparer with which he or she is employed or associated. However, in no event shall the total bond required for any single tax preparer and the tax preparers employed or associated with it be required to exceed one hundred twenty-five thousand dollars ($125,000). The aggregate liability of the surety to any and all persons regardless of the number of claims against the bond or the number of years the bond remains in force shall not exceed five thousand dollars ($5,000) for any one tax preparer. Any revision of the bond amount shall not be cumulative. The liability of the surety on the bond shall not include payment of any civil penalties, fines, attorneys' fees, or any other cost provided by statute or regulation. (d) The tax preparer shall file an amendment to the bond within 30 days of a change in information contained in the bond, including a change in the tax preparers employed or associated with the tax preparer. (e) (1) A tax preparer may not conduct business without having a current surety bond in the amount prescribed by this section. (2) Thirty days prior to the cancellation or termination of any surety bond required by this section, the surety shall send a written notice of that cancellation or termination to the tax preparer and the California Tax Education Council, identifying the bond and the date of cancellation or termination. (3) If a tax preparer fails to obtain a new bond by the effective date of the cancellation or termination of the former bond, the tax preparer shall cease to conduct business until that time as a new surety bond is obtained. (f) Notwithstanding Section 995.710 of the Code of Civil Procedure, a tax preparer may not make a deposit in lieu of bond. (g) A tax preparer shall furnish evidence of the bond required by this section upon the request of any state, federal agency or any law enforcement agency or the California Tax Education Council. SEC. 13. Section 22251 of the Business and Professions Code is amended to read: 22251. For the purposes of this chapter, the following words have the following meanings: (a) (1) Except as otherwise provided in paragraph (2), "tax preparer" includes: (A) A person who, for a fee, assists with or prepares tax returns for another person or who assumes final responsibility for completed work on a return on which preliminary work has been done by another person, or who holds himself or herself out as offering those services. A person engaged in that activity shall be deemed to be a separate person for the purposes of this chapter, irrespective of affiliation with, or employment by, another tax preparer. (B) A corporation, partnership, association, or other entity that has associated with it persons not exempted under Section 22258, which persons shall have as part of their responsibilities the preparation of data and ultimate signatory authority on tax returns or that holds itself out as offering those services or having that authority. (2) Notwithstanding paragraph (1), "tax preparer" does not include an employee who, as part of the regular clerical duties of his or her employment, prepares his or her employer's income, sales, or payroll tax returns. (b) "Tax return" means a return, declaration, statement, refund claim, or other document required to be made or filed in connection with state or federal income taxes or state bank and corporation franchise taxes. (c) An "approved curriculum provider," for purposes of basic instruction as described in subdivision (a) of Section 22255, and continuing education as described in subdivision (b) of Section 22255, is one who has been approved by the council as defined in subdivision (d), or by the Bureau for Private Postsecondary and Vocational Education under Chapter 7 (commencing with Section 94700) of Part 59 of Division 10 of the Education Code. A curriculum provider who is approved by the tax education council is exempt from Chapter 7 (commencing with Section 94700) of Part 59 of Division 10 of the Education Code. (d) "Council" means the California Tax Education Council which is a single organization made up of not more than one representative from each professional society, association, or other entity operating as a California nonprofit corporation which chooses to participate in the council and which represents tax preparers, enrolled agents, attorneys, or certified public accountants with a membership of at least 200 for the last three years, and not more than one representative from each for-profit tax preparation corporation which chooses to participate in the council and which has at least 200 employees and has been operating in California for the last three years. SEC. 14. Section 22253 of the Business and Professions Code is amended to read: 22253. It is a violation of this chapter for a tax preparer to do any of the following: (a) Make, or authorize the making of, any statement or representation, oral or written or recorded by any means, which is intended to induce persons to use the tax preparation service of the tax preparer, which statement or representation is fraudulent, untrue, or misleading. (b) Obtain the signature of a customer to a tax return or authorizing document which contains blank spaces to be filled in after it has been signed. (c) Fail or refuse to give a customer, for his or her own records, a copy of any document requiring the customer's signature, within a reasonable time after the customer signs such document. (d) Fail to maintain a copy of any tax return prepared for a customer for four years from the date of completion or the due date of the return, whichever is later. (e) Engage in advertising practices which are fraudulent, untrue, or misleading, including, but not limited to, assertions that the bond required by Section 22250 in any way implies licensure or endorsement of a tax preparer by the State of California. (f) Violate Section 17530.5. (g) Violate Section 7216 of Title 26 of the United States Code. (h) Fail to sign a customer's tax return when payment for services rendered has been made. (i) Fail to return, upon the demand by or on behalf of a customer, records or other data provided to the tax preparer by the customer. (j) Knowingly give false or misleading information to the consumer pursuant to Section 22252, or give false or misleading information to the surety company pursuant to subdivision (a) of Section 22250, or give false or misleading information to the California Tax Education Council pursuant to Section 22255. SEC. 15. Section 22254 of the Business and Professions Code is amended to read: 22254. A provider of tax preparer education for tax preparers shall meet standards and procedures as approved by the council, or by the Bureau for Private Postsecondary and Vocational Education. The council shall either approve or decline to approve providers of tax preparer education within 120 days of receiving a request for approval. If approval is not declined within 120 days, the provider shall be deemed approved. A listing of those providers approved by the council shall be made available to tax preparers upon request. SEC. 16. Section 22255 of the Business and Professions Code is amended to read: 22255. (a) The council shall issue a "certificate of completion" to the tax preparer when the tax preparer demonstrates that he or she has (1) completed not less than 60 hours of instruction in basic personal income tax law, theory, and practice by an approved curriculum provider within the previous 18 months; and (2) provides evidence of compliance with the bonding requirement of Section 22250, including the name of the surety company, the bond number, and the bond expiration date. (b) A tax preparer shall complete on an annual basis not less than 20 hours of continuing education, including 12 hours in federal taxation, four hours in California taxation and an additional four hours in either federal or California taxation from an approved curriculum provider. The council shall issue annually a "statement of compliance" when the tax preparer demonstrates that he or she has (1) completed the required 20 hours of continuing education, and (2) provides evidence of compliance with the bonding requirement of Section 22250, including the name of the surety company, the bond number, and the bond expiration date. (c) An individual who possesses a minimum of two recent years experience in the preparation of personal income tax returns may petition the council to review the experience and determine if it is the equivalent of the required qualifying education. The council may provide that individual with a "certificate of completion" if it is determined that the experience is the equivalent of the required hours. Tax preparation performed in situations that violate this chapter, by an individual who is neither registered nor exempted, may not be used toward the qualifying experience needed for registration as a tax preparer. SEC. 17. Section 803 of the Penal Code is amended to read: 803. (a) Except as provided in this section, a limitation of time prescribed in this chapter is not tolled or extended for any reason. (b) No time during which prosecution of the same person for the same conduct is pending in a court of this state is a part of a limitation of time prescribed in this chapter. (c) A limitation of time prescribed in this chapter does not commence to run until the discovery of an offense described in this subdivision. This subdivision applies to an offense punishable by imprisonment in the state prison, a material element of which is fraud or breach of a fiduciary obligation, the commission of the crimes of theft or embezzlement upon an elder or dependent adult, or the basis of which is misconduct in office by a public officer, employee, or appointee, including, but not limited to, the following offenses: (1) Grand theft of any type, forgery, falsification of public records, or acceptance of a bribe by a public official or a public employee. (2) A violation of Section 72, 118, 118a, 132, or 134. (3) A violation of Section 25540, of any type, or Section 25541 of the Corporations Code. (4) A violation of Section 1090 or 27443 of the Government Code. (5) Felony welfare fraud or Medi-Cal fraud in violation of Section 11483 or 14107 of the Welfare and Institutions Code. (6) Felony insurance fraud in violation of Section 548 or 550 of this code or former Section 1871.1, or Section 1871.4, of the Insurance Code. (7) A violation of Section 580, 581, 582, 583, or 584 of the Business and Professions Code. (8) A violation of Section 22430 of the Business and Professions Code. (9) A violation of Section 10690 of the Health and Safety Code. (10) A violation of Section 529a. (11) A violation of subdivision (d) or (e) of Section 368. (d) If the defendant is out of the state when or after the offense is committed, the prosecution may be commenced as provided in Section 804 within the limitations of time prescribed by this chapter, and no time up to a maximum of three years during which the defendant is not within the state shall be a part of those limitations. (e) A limitation of time prescribed in this chapter does not commence to run until the offense has been discovered, or could have reasonably been discovered, with regard to offenses under Division 7 (commencing with Section 13000) of the Water Code, under Chapter 6.5 (commencing with Section 25100) of, Chapter 6.7 (commencing with Section 25280) of, or Chapter 6.8 (commencing with Section 25300) of, Division 20 of, or Part 4 (commencing with Section 41500) of Division 26 of, the Health and Safety Code, or under Section 386, or offenses under Chapter 5 (commencing with Section 2000) of Division 2 of, Chapter 9 (commencing with Section 4000) of Division 2 of, Chapter 10 (commencing with Section 7301) of Division 3 of, or Chapter 19.5 (commencing with Section 22440) of Division 8 of, the Business and Professions Code. (f) (1) Notwithstanding any other limitation of time described in this chapter, a criminal complaint may be filed within one year of the date of a report to a responsible adult or agency by a child under 18 years of age that the child is a victim of a crime described in Section 261, 286, 288, 288a, 288.5, 289, or 289.5. (2) For purposes of this subdivision, a "responsible adult" or "agency" means a person or agency required to report pursuant to Section 11166. This subdivision applies only if both of the following occur: (A) The limitation period specified in Section 800 or 801 has expired. (B) The defendant has committed at least one violation of Section 261, 286, 288, 288a, 288.5, 289, or 289.5 against the same victim within the limitation period specified for that crime in either Section 800 or 801. (3) (A) This subdivision applies to a cause of action arising before, on, or after January 1, 1990, the effective date of this subdivision, and it shall revive any cause of action barred by Section 800 or 801 if any of the following occurred or occurs: (i) The complaint or indictment was filed on or before January 1, 1997, and it was filed within the time period specified in this subdivision. (ii) The complaint or indictment is or was filed subsequent to January 1, 1997, and it is or was filed within the time period specified within this subdivision. (iii) The victim made the report required by this subdivision to a responsible adult or agency after January 1, 1990, and a complaint or indictment was not filed within the time period specified in this subdivision, but a complaint or indictment is filed no later than 180 days after the date on which either a published opinion of the California Supreme Court, deciding whether retroactive application of this section is constitutional, becomes final or the United States Supreme Court files an opinion deciding the question of whether retroactive application of this subdivision is constitutional, whichever occurs first. (iv) The victim made the report required by this subdivision to a responsible adult or agency after January 1, 1990, and a complaint or indictment was filed within the time period specified in this subdivision, but the indictment, complaint, or subsequently filed information was dismissed, but a new complaint or indictment is or was filed no later than 180 days after the date on which either a published opinion of the California Supreme Court, deciding whether retroactive application of this section is constitutional, becomes final or the United States Supreme Court files an opinion deciding the question of whether retroactive application of this subdivision is constitutional, whichever occurs first. (B) (i) If the victim made the report required by this subdivision to a responsible adult or agency after January 1, 1990, and a complaint or indictment was filed within the time period specified in this subdivision, but the indictment, complaint, or subsequently filed information was dismissed, a new complaint or indictment may be filed notwithstanding any other provision of law, including, but not limited to, subdivision (c) of Section 871.5 and subdivision (b) of Section 1238. (ii) An order dismissing an action filed under this subdivision, which is entered or becomes effective at any time prior to 180 days after the date on which either a published opinion of the California Supreme Court, deciding the question of whether retroactive application of this section is constitutional, becomes final or the United States Supreme Court files an opinion deciding the question of whether retroactive application of this subdivision is constitutional, whichever occurs first, shall not be considered an order terminating an action within the meaning of Section 1387. (iii) Any ruling regarding the retroactivity of this subdivision or its constitutionality made in the course of the previous proceeding, including any review proceeding, shall not be binding upon refiling. (g) (1) Notwithstanding any other limitation of time described in this chapter, a criminal complaint may be filed within one year of the date of a report to a California law enforcement agency by a person of any age alleging that he or she, while under the age of 18 years, was the victim of a crime described in Section 261, 286, 288, 288a, 288.5, 289, or 289.5. (2) This subdivision applies only if both of the following occur: (A) The limitation period specified in Section 800 or 801 has expired. (B) The crime involved substantial sexual conduct, as described in subdivision (b) of Section 1203.066, excluding masturbation that is not mutual, and there is independent evidence that clearly and convincingly corroborates the victim's allegation. No evidence may be used to corroborate the victim's allegation that otherwise would be inadmissible during trial. Independent evidence does not include the opinions of mental health professionals. (3) (A) This subdivision applies to a cause of action arising before, on, or after January 1, 1994, the effective date of this subdivision, and it shall revive any cause of action barred by Section 800 or 801 if any of the following occurred or occurs: (i) The complaint or indictment was filed on or before January 1, 1997, and it was filed within the time period specified in this subdivision. (ii) The complaint or indictment is or was filed subsequent to January 1, 1997, and it is or was filed within the time period specified within this subdivision. (iii) The victim made the report required by this subdivision to a law enforcement agency after January 1, 1994, and a complaint or indictment was not filed within the time period specified in this subdivision, but a complaint or indictment is filed no later than 180 days after the date on which either a published opinion of the California Supreme Court, deciding the question of whether retroactive application of this subdivision is constitutional, becomes final or the United States Supreme Court files an opinion deciding the question of whether retroactive application of this subdivision is constitutional, whichever occurs first. (iv) The victim made the report required by this subdivision to a law enforcement agency after January 1, 1994, and a complaint or indictment was filed within the time period specified in this subdivision, but the indictment, complaint, or subsequently filed information was dismissed, but a new complaint or indictment is filed no later than 180 days after the date on which either a published opinion of the California Supreme Court, deciding the question of whether retroactive application of this subdivision is constitutional, becomes final or the United States Supreme Court files an opinion deciding the question of whether retroactive application of this subdivision is constitutional, whichever occurs first. (B) (i) If the victim made the report required by this subdivision to a law enforcement agency after January 1, 1994, and a complaint or indictment was filed within the time period specified in this subdivision, but the indictment, complaint, or subsequently filed information was dismissed, a new complaint or indictment may be filed notwithstanding any other provision of law, including, but not limited to, subdivision (c) of Section 871.5 and subdivision (b) of Section 1238. (ii) An order dismissing an action filed under this subdivision, which is entered or becomes effective at any time prior to 180 days after the date on which either a published opinion of the California Supreme Court, deciding the question of whether retroactive application of this section is constitutional, becomes final or the United States Supreme Court files an opinion deciding the question of whether retroactive application of this subdivision is constitutional, whichever occurs first, shall not be considered an order terminating an action within the meaning of Section 1387. (iii) Any ruling regarding the retroactivity of this subdivision or its constitutionality made in the course of the previous proceeding, by any trial court or any intermediate appellate court, shall not be binding upon refiling. SEC. 18. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.