BILL ANALYSIS �
AB 2219
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 2219 (Knight)
As Amended August 6, 2012
Majority vote
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|ASSEMBLY: |76-0 |(May 29, 2012) |SENATE: |37-0 |(August 23, |
| | | | | |2012) |
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Original Committee Reference: B.,P. & C.P.
SUMMARY : Eliminates the sunset date on existing law requiring
roofing contractors who hold a C-39 classification to maintain
workers' compensation insurance, whether or not they have employees,
and makes additional changes to law regarding C-39 contractors.
The Senate amendments require the certificate of workers'
compensation insurance or certification of self-insurance to be in
the applicant's or licensee's business name.
EXISTING LAW :
1)Licenses and regulates contractors, including C-39 roofing
classification contractors by the Contractors State License Board
(CSLB) within the Department of Consumer Affairs.
2)Requires every licensed contractor to have on file at all times
with the CSLB a current and valid certificate of workers'
compensation insurance or certification of self-insurance, as
specified. This requirement does not apply to a licensee who does
not hold a C-39 license and who files a statement certifying that
he or she has no employees and is not required to provide for
workers' compensation insurance coverage.
3)Requires CSLB's Registrar to remove the C-39 classification from
any license that, on January 1, 2011, is active and includes a
C-39 classification in addition to any other classification unless
a valid certification of workers' compensation insurance or
certification of self-insurance is received by the Registrar.
Requires automatic suspension of a license for any licensee whose
license, after January 1, 2011, is active and has had the C-39
classification removed and who is found to have employees and to
lack required workers' compensation coverage. These provisions
sunset January 1, 2013.
AB 2219
Page 2
4)Requires a workers' compensation insurer who issues a policy to a
contractor with a C-39 classification to perform an annual payroll
audit for the contractor, and allows the insurer to place a
surcharge on the policy holder to recoup reasonable costs of the
audit. This provision sunsets January 1, 2013.
5)Requires the Insurance Commissioner to annually compile
statistical data on contractors holding C-39 licenses, as
specified. This provision sunsets January 1, 2013.
AS PASSED BY THE ASSEMBLY , this bill was substantially similar to
the version approved by the Senate.
FISCAL EFFECT : According to the Senate Appropriations Committee,
pursuant to Senate Rule 28.8, negligible state costs.
Analysis Prepared by : Angela Mapp / B.,P. & C.P. / (916)
319-3301FN: 0004575