BILL NUMBER: AB 2627 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 8, 2010
INTRODUCED BY Assembly Member Nielsen
FEBRUARY 19, 2010
An act to add Chapter 11.7 (commencing with Section
21900) to Division 8 of the Business and Professions Code, relating
to business. An act to amend Section 999.2 of the
Military and Veteran s Code, relating to veterans.
LEGISLATIVE COUNSEL'S DIGEST
AB 2627, as amended, Nielsen. Businesses: services for
minors. Veterans: contracts: disabled veteran business
enterprises.
Under existing law, any state governmental entity that awards
contracts for construction and certain related purposes has annual
statewide participation goals of not less than 3% for disabled
veteran business enterprises, as defined. For purposes of these
provisions, existing law defines a "disabled veteran" as a veteran,
as specified, with a service-connected disability who is a resident
of the state.
Existing law deems any disabled veteran business enterprise that
rents equipment to an awarding department to be an equipment broker,
as defined, unless one or more certified disabled veterans have 51%
ownership of the equipment and evidence is submitted in support of
that fact.
This bill would also deem a disabled veteran business enterprise
that rents equipment to a contractor to be an equipment broker, as
specified. The bill would also revise various related definitions
pursuant to those provisions, including "broker" or "agent,"
"equipment," and "equipment broker."
Existing law also prohibits state funds expended for equipment
rented from equipment brokers, as specified, from being credited
toward the 3% goal.
This bill would instead require the broker's commission fees of
state funds expended through a broker or equipment broker to be
credited toward the participation goals as established for disabled
veteran business enterprises.
Existing law prohibits a person who is required to register as a
sex offender because of a conviction for a crime where the victim was
a minor under 16 years of age from being an employer, employee,
independent contractor, or volunteer with any person, group, or
organization in a capacity where the person would be directly
working, and in an unaccompanied setting, with minor children on more
than an incidental and occasional basis or have supervision or
disciplinary power over minor children.
This bill would require any person, entity, group, or
organization, whether operating as a nonprofit or for-profit
business, to require any person hired as an employee, independent
contractor, or volunteer to work directly and in an unaccompanied
setting with minor children to go through a criminal background
check, including being fingerprinted. The bill would prohibit a
person, entity, group, or organization from hiring any person to work
directly and in an unaccompanied setting with minor children if that
person is required to register as a sex offender for a crime where
the victim was a minor. A violation of that prohibition would be
punishable by a civil fine of up to $10,000. Moneys from those fines
would be placed in the Safe Sports Fund, which the bill would create,
and would be available, upon appropriation, to compensate victims of
sexual offenses who were minors at the time of the offense, and
their families.
Vote: majority. Appropriation: no. Fiscal committee: no
yes . State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 999.2 of the
Military and Veterans Code is amended to read:
999.2. (a) Notwithstanding any other provision of law, contracts
awarded by any state agency, department, officer, or other state
governmental entity, including school districts when they are
expending state funds for construction, professional services (except
those subject to Chapter 6 (commencing with Section 16850) of Part 3
of Division 4 of Title 2 of the Government Code), materials,
supplies, equipment, alteration, repair, or improvement shall have
statewide participation goals of not less than 3 percent for disabled
veteran business enterprises. These goals apply to the overall
dollar amount expended each year by the awarding department.
(b) For purposes of this section:
(1) "Broker" or "agent" means any individual or
, entity, contractor, or any combination
thereof, that does not have title, possession, control, and risk of
loss of materials, supplies, services, or equipment provided to an
awarding department, unless one or more certified disabled veterans
has 51 percent ownership of the quantity and value of the materials,
supplies, services, and of each piece of equipment , materials,
or supplies provided under the contract or subcontract
.
(2) "Equipment" means any piece of equipment that is used or
provided for sale or rental to any state agency,
department, officer, or other state governmental
entity, or contractor, including equipment for which
operators are provided.
(3) "Equipment broker" means any broker or agent who rents
equipment to an awarding department or contractor .
(c) A disabled veteran business enterprise that rents equipment to
an awarding department or contractor shall be deemed to
be an equipment broker unless one or more disabled veterans has
51-percent ownership of the quantity and the value of each piece of
equipment. If the equipment is owned by one or more disabled
veterans, each disabled veteran owner shall ,
prior to performance under any contract or subcontract ,
shall submit to the awarding department a declaration
signed by the disabled veteran owner stating that the owner is a
disabled veteran and providing the name, address, telephone number,
and tax identification number of the disabled veteran owner. Each
disabled veteran owner shall submit his or her federal income tax
returns to the administering agency pursuant to subdivision (g) as if
he or she were a disabled veteran business enterprise. The disabled
veteran business enterprise of a disabled veteran owner who fails to
submit his or her tax returns will be deemed to be an equipment
broker.
(d) A disabled veteran business enterprise that rents equipment to
an awarding department or contractor shall, prior to
performing the contract, submit to the awarding department a
declaration signed by each disabled veteran owner and manager of the
enterprise stating that the enterprise obtained the contract by
representing that the enterprise was a disabled veteran business
enterprise meeting and maintaining all of the requirements of a
disabled veteran business enterprise. The declaration shall include
the name, address, telephone number, and tax identification number of
the owner of each piece of equipment identified in the contract.
(e) State Of state funds
expended for equipment rented from equipment brokers
through a broker or equipment broker, pursuant
to contracts awarded under this section , the broker's
commission fees only shall not be credited
toward the 3-percent goal participation goals
established for disabled veteran business enterprises .
(f) A disabled veteran business enterprise that is a broker or
agent and that obtains a contract pursuant to subdivision (a) shall,
prior to performing executing the
contract, disclose to the awarding department or contractor
that the business is a broker or agent. The disclosure shall be
made in a declaration signed and executed by each disabled veteran
owner and manager of the enterprise, declaring that the enterprise is
a broker or agent, and identifying the name, address, and telephone
number of the principal for whom the enterprise is acting as a broker
or agent.
(g) (1) A disabled veteran business enterprise, and each owner
thereof, shall, at the time of certification, submit to the
administering agency complete copies of the enterprise's federal
income tax returns for the three previous tax years.
(2) A disabled veteran business enterprise, and each owner
thereof, shall submit to the administering agency complete copies of
the enterprise's federal income tax returns that have a
postcertification due date, on or before the due date, including
extensions.
(3) A disabled veteran business enterprise that, and each owner
thereof who, has not submitted to the administering agency complete
copies of the enterprise's federal income tax returns for the three
tax years preceding certification nor for each postcertification tax
year for which a return was required to be filed, shall have 90 days
to submit those returns.
(4) A disabled veteran business enterprise that fails to comply
with any provision of this subdivision shall be prohibited from
participating in any state contract until the disabled veteran
business enterprise complies with the provisions of this subdivision.
Funds expended involving a disabled veteran business enterprise
during any period in which that enterprise is not in compliance with
the provisions of this subdivision shall not be credited toward the
awarding department's 3-percent goal.
(h) A disabled veteran business enterprise that fails to maintain
the certification requirements set forth in this article shall
immediately notify the awarding department and the administering
agency of that failure by filing a notice of failure that states with
particularity each requirement the disabled veteran business
enterprise has failed to maintain.
SECTION 1. Chapter 11.7 (commencing with
Section 21900) is added to Division 8 of the Business and Professions
Code, to read:
CHAPTER 11.7. BUSINESSES THAT PROVIDE SERVICES TO MINORS
21900. (a) Any person, entity, group, or organization, whether
operating as a nonprofit or for-profit business, shall require any
person hired as an employee, independent contractor, or volunteer to
work directly and in an unaccompanied setting with minor children to
go through a criminal background check, including being
fingerprinted.
(b) No person, entity, group, or organization shall hire any
person to work directly and in an unaccompanied setting with minor
children if that person is required to register pursuant to the Sex
Offender Registration Act because of a conviction for a crime where
the victim was a minor. A violation of this section shall be punished
by a civil fine of up to ten thousand dollars ($10,000).
(c) Moneys collected pursuant to this section shall be deposited
in the Safe Sports Fund, which is hereby created in the State
Treasury. Moneys in that fund shall be available, upon appropriation,
to compensate victims of sexual offenses who were minors at the time
of the offense, and their families.