BILL ANALYSIS
SB 136
Page 1
Date of Hearing: July 10, 2001
ASSEMBLY COMMITTEE ON BUSINESS AND PROFESSIONS
Lou Correa, Chair
SB 136 (Figueroa) - As Amended: April 30, 2001
As Proposed to be Amended
SENATE VOTE : 39-0
SUBJECT : Professional boards: sunset review.
SUMMARY : Extends the sunset review dates for the Board of
Guide Dogs for the Blind (BGDB), California Tax Education
Council (CTEC), California Council for Interior Design
Certification (CCIDC), increases licensing fees for
professional engineers and land surveyors regulated by the
Board of Professional Engineers and Land Surveyors (BPELS),
and makes other changes pursuant to the recommendations of
the Joint Legislative Sunset Review Committee (JLSRC) and
the Department of Consumer Affairs (DCA). Specifically,
this bill :
1)Extends the inoperative and repeal dates for BGDB to July
1, 2006, and January 1, 2007 and correspondingly extends
the arbitration pilot project (instead of July 1, 2002,
and January 1, 2003).
2)Extends the inoperative and repeal dates for CTEC to July
1, 2008 and January 1, 2009 (instead of July 1, 2002 and
January 1, 2003).
3)Requires two of the CTEC representatives to be tax
preparers.
4)Extends the sunset date for CCIDC to January 1, 2004
(instead of January 1, 2002).
5)Requires CCIDC to:
a) Report back to JLSRC by September 1, 2002, on the
following: outreach efforts, examinations, finances,
interactions with the California Legislative Council on
Interior Design, and other information.
a) Have an independent audit detailing revenue and
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expenditures and furnish the audit results to JLSRC within
a reasonable time.
1)Requires an interior design organization to be registered as a
501(c)(3) nonprofit organization.
2)Makes sole representation as a certified interior designer an
unfair business practice unless there is compliance with
specified provisions of law.
3)Requires CCIDC examinations to be subject to an occupational
analysis and examination every five to seven years.
4)Extends the inoperative and repeal dates for BPELS to July 1,
2004, and January 1, 2005 (instead of July 1, 2002 and January
1, 2003).
5)Increases the application-filing fee for registration and
application for authority level designation as a professional
engineer to $400 every two years (instead of $175 every four
years) and increases the certification as an
engineer-in-training to be not more than $100 (instead of $60)
and increases the application-filing fee for licensure as a
land surveyor to be not more than $400 (instead of $175) and
increases the certification as a land surveyor in training to
be not more than $100 (instead of $60).
6)Authorizes BPELS to utilize the national examination for
licensure as a Land Surveyor on or before to June 1, 2003.
EXISTING LAW :
1)Creates JLSRC whereby the licensing boards of DCA are
subject to sunset review. Also, the law provides that
when any board becomes inoperative and repealed (sunset),
DCA shall succeed and assume all duties and
responsibilities of the inoperative board. It is the
intent of the Legislature that all existing and proposed
consumer-related boards or categories of licensed
professionals be subject to sunset review on a four-year
cycle, unless the board is granted a longer or shorter
cycle.
2)Provides licensing and regulation for BGDB and sunsets
the provisions that established BGDB, on July 1, 2002,
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and repeals the provisions on January 1, 2003.
3)Provides the application for registration process for tax
preparers by CTEC and sunsets the provisions that
established CTEC, on July 1, 2002, and repeals the
provisions on January 1, 2003.
4)Provides for the certification of interior designers by
CCIDC and sunsets the provisions that established CCIDC
on January 1, 2002, and repeals the provisions on January
1, 2003.
5)Provides for licensing and regulation by BPELS and
sunsets the provisions on July 1, 2002, and repeals the
provisions on July 1, 2003.
FISCAL EFFECT : Unknown
COMMENTS :
The purpose of this bill is to implement legislative
changes recommended by JLSRC for several licensing boards
within DCA. In 2000-01 JLSRC reviewed 3 boards and 1
committee auxiliary under DCA, and 2 private nonprofit
organizations independent of DCA. The initial assessment
covered the Board of Accountancy, Dental Board, Board of
Guide Dogs for the Blind, Committee on Dental Auxiliaries,
the California Tax Education Council, and the California
Council for Interior Design Certification.
Preliminary recommendations by JLSRC were made based on
findings concerning each licensing board. JLSRC discussed
the findings and recommendations with the individual
boards, professional groups, consumer advocacy
organizations and individual consumers. The findings and
recommendations were submitted to DCA for a 90-day review.
On April 4, 2001, DCA forwarded their recommendations to
JLSRC. A final vote was taken on DCA and JLSRC staff
recommendations on April 23, 2001. JLSRC recommendations
regarding the Board of Accountancy, Dental Board and
Committee of Dental Auxiliaries are incorporated in other
legislation.
The recommendations by JLSRC contained in this bill are
intended to improve the ability of the licensing programs
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and to efficiently and effectively administer the
respective licensing laws. According to JLSRC, not all
recommendations require legislative approval. Many of the
recommended changes can be initiated administratively or
through the regulatory process.
JLSRC recommended continued oversight of guide dog schools
and continued licensing of guide dog instructors. BGDB
received complaints from the public including guide dog
users. However, over the past few years, the number of
complaints has declined, which may be attributed to the
strong connection among guide dog users, instructors, and
schools. JLSRC recommended a four-year extension for BGDB
and that BGDB take advantage of the expertise of the Bureau
for Private Postsecondary and Vocational Education and the
office of the Attorney General to enhance guide dog user
protection.
CCIDC was established in January 1992, with the intent of
being the council responsible for ensuring that interior
designers meet education, experience and examination
requirements. JLSRC last reviewed CCIDC five years ago
(1995-96), and JLSRC identified a number of issues and
problem areas concerning voluntary certification. During
this year's review, JLSRC found a few areas of concern,
including whether or not CCIDC, a non-profit professional
organization, was involved in activities more appropriate
for a professional membership trade association, and also
whether or not CCIDC's revenues were greater than its
expenditures. Due to the number of issues relating to
CCIDC, JLSRC provided several recommendations to resolve
the concerns, and JLSRC recommended a two-year sunset
extension.
The California Tax Education Council is a private
organization that registers tax preparers. CTEC is the
second largest segment of tax preparation professionals
serving consumers in the state. Only certified public
accountants have more professionals. Anyone who, for a
fee, assists or prepares state or federal income tax
returns, excluding CPAs, attorneys, enrolled agents,
enrolled actuaries, and certain financial institutions and
their employees, must be registered with CTEC. CTEC is
charged with approving providers of tax education,
maintaining and distributing a list of those providers,
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registering tax preparers, including verification of
educational requirements and documentation of bond
information. There were several issues that were addressed
during the course of the sunset review of CTEC. JLSRC
notes that CTEC is doing an exceptional job and recommends
a six year sunset extension.
According to the author, there is a critical need for the
fee increase contained in this bill pertaining to the Board
of Professional Engineers and Land Surveyors. According to
BPELS, the fee increases will prevent BPELS from
accumulating a $1.7 million deficit by fiscal year
2003-04. By increasing the licensing and certification
fees, BPELS will be able to continue to support current
examination processes and enforcement programs.
A sunset review bill of last year, SB 2030 (Figueroa),
which included fees increases for BPELS, passed the
Legislature. However, at the request of the administration
the fee increases were removed from the bill.
REGISTERED SUPPORT / OPPOSITION :
Support
Board for Professional Engineers and Land Surveyors
California Council of the Blind
California Legislative Conference on Interior Design
Consulting Engineers and Land Surveyors of California
Opposition
None on file
Analysis Prepared by : Chris L. Gallardo / B. & P. / (916)
319-3301