BILL ANALYSIS                                                                                                                                                                                                    �



                                                                            



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          |SENATE RULES COMMITTEE            |                       SB 1467|
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                                 UNFINISHED BUSINESS


          Bill No:  SB 1467
          Author:   Senate Business, Professions and Economic Development  
          Committee
          Amended:  8/18/14
          Vote:     21


           SENATE BUSINESS, PROF. & ECON. DEV. COMM.  :  9-0, 4/28/14
          AYES:  Lieu, Wyland, Berryhill, Block, Corbett, Galgiani,  
            Hernandez, Hill, Padilla

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8

           SENATE FLOOR  :  36-0, 5/15/14 (Consent)
          AYES: Anderson, Beall, Berryhill, Block, Cannella, Corbett,  
            Correa, De Le�n, DeSaulnier, Evans, Fuller, Gaines, Galgiani,  
            Hancock, Hernandez, Hill, Hueso, Huff, Jackson, Knight, Lara,  
            Leno, Lieu, Liu, Mitchell, Monning, Morrell, Nielsen, Padilla,  
            Pavley, Roth, Steinberg, Torres, Vidak, Wolk, Wyland
          NO VOTE RECORDED: Calderon, Walters, Wright, Yee

           ASSEMBLY FLOOR  :  75-1, 8/20/14 - See last page for vote


           SUBJECT  :    Professions and vocations

           SOURCE  :     Author


           DIGEST  :    This bill makes several non-controversial, minor,  
          nonsubstantive or technical changes to various provisions within  
          the Business and Professions Code (BPC) relating to the  
          regulatory boards of the Department of Consumer Affairs (DCA).
                                                                CONTINUED





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           Assembly Amendments  remove representation requirements of  
          specified CBA appointees; incorporate cross-references to  
          Education Code and Health and Safety Code sections requiring  
          structural engineers to prepare plans for hospitals and schools;  
          and add a section to the Geologist and Geophysicist Act relating  
          to petitions for reinstatement of licenses.

           ANALYSIS  :    

          Existing law:

          1.Contains the following provisions relating to the California  
            Board of Accountancy (CBA):

             A.   Prohibits a person from engaging in the practice of  
               public accountancy in California unless he/she holds either  
               a valid certified public accountant (CPA) license issued by  
               CBA, or a practice privilege, as specified.  An applicant  
               for registration must furnish satisfactory evidence that  
               the applicant is entitled to registration.

             B.   Establishes education, examination, and experience  
               requirements for a CPA license, and requires an applicant  
               to show that he/she has one year of qualifying experience.   
               Requires the experience to have been performed in  
               accordance with applicable professional standards, and to  
               be completed under the supervision or employ of a licensed  
               CPA, as specified.

             C.   Authorizes, until January 1, 2019, a CPA licensed in  
               another state to engage in the practice of public  
               accountancy in California under a practice privilege  
               without obtaining a California CPA license, as specified.   
               CPAs who hold a practice privilege must notify CBA of any  
               pending criminal charges, other than a minor traffic  
               violation, in any jurisdiction in which they practice.

             D.   Authorizes CBA to suspend an individual's practice  
               privilege right by an order issued by CBA or its executive  
               officer, without prior notice or hearing, in order to  
               conduct a disciplinary investigation concerning the  
               individual's competence or qualifications to practice under  
               a practice privilege.  Requires CBA to consult the Public  







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               Company Accounting Oversight Board (PCAOB) and the U.S.  
               Securities and Exchange Commission (SEC) on a six-month  
               basis to identify out-of-state licensees who may have  
               disqualifying conditions, or may be obliged to cease  
               practice.

          1.Contains the following provisions relating to the Board for  
            Professional Engineers, Land Surveyors and Geologists  
            (BPELSG): 

             A.   Provides for BPELSG to issue an engineer's license to an  
               engineer licensed in another state or country without a  
               written examination if the applicant's qualification is  
               equivalent to the requirements of California law.  Provides  
               that an equivalent second division examination must be an  
               eight-hour written examination, as specified.

             B.   Authorizes BPELSG to issue a certification as a  
               petroleum geologist to a geologist that meets certain  
               requirements.

             C.   Requires a registered engineer be designated the person  
               responsible in charge of engineering for each practicing  
               government department or agency.

             D.   Provides protections for monuments used for land  
               surveying.

             E.   Specifies the requirements for civil engineering plans.

             F.   Authorizes BPELSG to investigate certificate holders and  
               suspend or revoke certificates.

          1.Provides for the registration of fictitious business names, as  
            specified.

          2.Requires a professional photocopier to have at the time of  
            certification a valid notary commission.

          This bill:

          1.Makes the following changes relating to CBA:

             A.   Authorizes CBA to collect, but not require, a valid  







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               electronic mail (e-mail) address from applicants or those  
               renewing a license; provides that an e-mail address  
               collected by the CBA shall be treated as confidential; and  
               makes legislative findings and declarations that the  
               electronic addresses provided to CBA are confidential.

             B.   Authorizes CBA to, by regulation, allow experience in  
               academia to satisfy the one-year experience requirement for  
               a CPA license.

             C.   Clarifies that a CPA who is licensed in another state  
               and who holds and exercises a practice privilege in  
               California, must notify CBA in writing within 30 days of  
               any pending criminal charges.

             D.   Requires, until January 1, 2019, that CBA consult with  
               PCAOB and the SEC regarding practice privilege.

             E.   Removes the requirement that two of the Governor's seven  
               appointees to the CBA must represent a small public  
               accounting firm, and removes the definition of a small  
               public accounting firm.

          1.Makes the following changes relating to BPELSG:

             A.   Incorporates cross-references to Education Code and  
               Health and Safety Code sections that require structural  
               engineers to prepare plans for hospitals and schools;

             B.   Adds language to specify that the engineer designated as  
               the person in responsible charge of professional  
               engineering work of a public agency is responsible for  
               ensuring compliance with monument preservation  
               requirements; 

             C.   Requires that at least one person authorized to practice  
               land surveying be designated as the person in responsible  
               charge of professional land surveying work practiced in any  
               public agency; 

             D.   Updates the second division examination requirement for  
               professional engineers to delete the requirement that the  
               examination be an eight-hour examination;








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             E.   Removes references to the obsolete title of "petroleum  
               geologist;" and

             F.   Adds a section to the Geologist and Geophysicist Act  
               which specifically addresses petitions for reinstatement of  
               revoked licenses and petitions for reduction or  
               modification of penalty probation orders.

          1.Makes the following changes relating to general businesses:

             A.   Allows unincorporated associations to apply for  
               fictitious business name registration;

             B.   Simplifies the process to apply for fictitious business  
               name registration; and

             C.   Clarifies that professional photocopiers must maintain a  
               valid notary commission throughout their certificate of  
               registration period.

          1.Makes other clarifying and technical changes.

           Background

           This bill is one of two "committee bills" authored by the Senate  
          Business, Professions and Economic Development Committee and is  
          intended to consolidate a number of non-controversial provisions  
          related to various regulatory programs and professions governed  
          by the BPC.  Consolidating the provisions in one bill is  
          designed to relieve the various licensing boards, bureaus,  
          professions and other regulatory agencies from the necessity and  
          burden of having separate measures for a number of  
          non-controversial revisions.

          Many of the provisions of this bill are minor, technical and  
          updating changes, while other provisions are substantive changes  
          intended to improve the ability of various licensing programs  
          and other entities to efficiently and effectively administer  
          their respective laws.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes

           SUPPORT  :   (Verified  5/12/14) (Unable to reverify at time of  







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          writing)

          California Association of Clerks and Elections Officials 
          California Board of Accountancy 
          California Land Surveyors Association 
          Contractors State License Board
          Structural Engineers Association of California 

           ARGUMENTS IN SUPPORT  :    The Contractors State License Board  
          writes that this bill provides that all CSLB enforcement  
          representatives may issue a written NTA which "will benefit  
          consumers and licensees by providing an opportunity to refer  
          more criminal complaints to prosecutors through NTAs."


           ASSEMBLY FLOOR  :  75-1, 8/20/14
          AYES:  Achadjian, Alejo, Allen, Ammiano, Bigelow, Bloom,  
            Bocanegra, Bonilla, Bonta, Bradford, Brown, Buchanan, Ian  
            Calderon, Campos, Chau, Ch�vez, Chesbro, Conway, Cooley,  
            Dababneh, Dahle, Daly, Dickinson, Eggman, Fong, Fox, Frazier,  
            Garcia, Gatto, Gomez, Gonzalez, Gordon, Gorell, Gray, Hagman,  
            Hall, Harkey, Roger Hern�ndez, Holden, Jones, Jones-Sawyer,  
            Levine, Linder, Logue, Lowenthal, Maienschein, Medina,  
            Melendez, Mullin, Muratsuchi, Nazarian, Nestande, Olsen, Pan,  
            Patterson, Perea, John A. P�rez, V. Manuel P�rez, Quirk,  
            Quirk-Silva, Rendon, Ridley-Thomas, Rodriguez, Salas, Skinner,  
            Stone, Ting, Wagner, Waldron, Weber, Wieckowski, Wilk,  
            Williams, Yamada, Atkins
          NOES:  Donnelly
          NO VOTE RECORDED:  Beth Gaines, Grove, Mansoor, Vacancy


          MW:e  8/20/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

                                   ****  END  ****