BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1074
                                                                  Page  1

          Date of Hearing:   April 29, 2009

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Kevin De Leon, Chair

                AB 1074 (Conway) - As Introduced:  February 27, 2009 

          Policy Committee:                              Business and  
          Professions  Vote:                            10 - 0

          Urgency:     No                   State Mandated Local Program:  
          Yes    Reimbursable:              No

           SUMMARY  

          This bill clarifies and expands current law by stating that it  
          is a crime for a person to use any number that does not  
          correspond to the number that is on the person's valid  
          contractor's license.

           FISCAL EFFECT  


          Minor, if any, nonreimbursable local incarceration costs. 


           COMMENTS  

           1)Rationale  . Under current law, it is a crime for an individual  
            to use a contractor's license number that does not belong to  
            them. This bill is intended to clarify that it is also a crime  
            for an individual to use a made up contractor's license  
            number.  The author states, "It is illegal to falsely use an  
            existing contractor's license number when it legally belongs  
            to another.  However, the issue of a contractor making-up a  
            number is not mentioned."  The author asserts that homeowners  
            are being taken advantage of by unlicensed contractors using  
            this loophole. 

           2)Background .  The Contractor's State License Board (CSLB)  
            issues licenses to contractors who meet safety and experience  
            requirements within their field.  There are more than 316,000  
            licensed contractors in the state, in 43 different licensing  
            classifications.  In addition to educating consumers about  
            contractors and construction law, the CSLB administers  








                                                                  AB 1074
                                                                  Page  2

            examinations to test prospective licensees, issues licenses,  
            investigates complaints against licensed and unlicensed  
            contractors, issues citations, suspends or revokes licenses,  
            and seeks administrative, criminal, and civil sanctions  
            against violators.  All projects that exceed five hundred  
            dollars ($500) and are not performed by a homeowner for his or  
            her self, are required to be performed by a state licensed  
            contractor.

           3)Related Legislation  . AB 370 (Eng) recently passed out of this  
            committee.  That bill increases the maximum penalties for  
            unlicensed contractor convictions and requires restitution to  
            the victims of unlicensed contractors.  



           Analysis Prepared by  :    Julie Salley-Gray / APPR. / (916)  
          319-2081