BILL NUMBER: AB 111 AMENDED
BILL TEXT
AMENDED IN SENATE JUNE 16, 2015
INTRODUCED BY Committee on Budget (Weber (Chair), Bloom, Bonta,
Campos, Chiu, Cooper, Gordon, Jones-Sawyer, McCarty, Mullin,
Nazarian, O'Donnell, Rodriguez, Thurmond, Ting, and Williams)
JANUARY 9, 2015
An act relating to the Budget Act of 2015.
An act to amend Section 3273 of the Civil Code, to amend Section
4061 of the Food and Agricultural Code, to amend Sections 905.2,
4467, 4470, 8600, 11011.1, 12432, 13400, 13401, 13402, 13403, 13404,
13405, 13406, 13407, 13974.1, 16522, 16551, 16552, 16553, 16554,
16626, 16627, 16628, 16629, and 27397 of, to amend the heading of
Chapter 5 (commencing with Section 13400) of Part 3 of Division 3 of
Title 2 of, to add Sections 8619.5, 17604, 19213, 21231, 21232,
65050, and 65051 to, and to add Article 3.9 (commencing with Section
8574.30) and Article 5.9 (commencing with Section 8590.6) to Chapter
7 of Division 1 of Title 2 of, the Government Code, to amend Sections
50661 and 50716 of, and to add and repeal Chapter 4 (commencing
with Section 34090) of Part 1.6 of Division 24 of, the
Health and Safety Code, to add Sections 10089.395 and 10089.397 to
the Insurance Code, to amend Sections 6309 and 7314 of the Labor
Code, to amend Section 10340 of the Public Contract Code, and to
amend Sections 10878, 41030, 41032, 42010, and 42023 of, and to add
Sections 17138.3, 24308.7, 42010.7, 42023.5, 42101.7, and 42104 to,
the Revenue and Taxation Code, relating to state government, and
making an appropriation therefor, to take effect immediately, bill
related to the budget.
LEGISLATIVE COUNSEL'S DIGEST
AB 111, as amended, Committee on Budget. Budget Act of
2015. State government.
(1) Existing law prohibits a person, firm, corporation, or
association that is a nongovernmental entity and contracts to perform
public health and safety labor or services for a public agency from
displaying on a vehicle a logo of the public agency that reasonably
could be interpreted or construed as implying that the labor or
services are being provided by employees of the public agency, unless
the vehicle conspicuously displays a specified statement. Existing
law similarly prohibits a person or employee of that entity from
wearing a uniform bearing a logo of the public agency that reasonably
could be interpreted or construed as making that implication, unless
the uniform conspicuously displays the logo and specific additional
information. Existing law defines "public health and safety labor or
services" to include emergency medical services.
This bill would revise that definition to include prehospital
emergency medical services.
(2) Existing law divides the state into agricultural districts,
and provides for the management of these districts by district
agricultural associations. Existing law excludes district
agricultural associations from preparing or submitting any written
report to the Governor, the Legislature, or a state agency, except as
specified.
This bill would require a district agricultural association to
annually report its real property information to the Department of
General Services, as specified.
(3) Existing law, relating to the California Victim Compensation
and Government Claims Board, cross-references an item code number
used in administering the annual Budget Act.
This bill would make a technical amendment to update the
cross-reference to use the current item code number.
(4) Existing law requires the State Architect to establish a
certified access specialist program (CASp) and authorizes the State
Architect to require applicants to pay specified fees to meet the
costs of administering the program. Existing law imposes, on and
after January 1, 2013, and until December 31, 2018, an additional
state fee of $1 on any applicant, as specified, and divides the
moneys received between the local entity that collected the moneys
and the Division of the State Architect, pursuant to specified
percentages. Existing law requires a local entity collecting the
additional fee and the Division of the State Architect to each make
an annual report to the Legislature and to the chairs of specified
committees. Under existing law, a local entity is required to include
in the report moneys spent to increase CASp services and to fund
programs to facilitate compliance.
This bill would require a local entity collecting the additional
fee to instead report to the Division of the State Architect, and
would expand the information required in the report to include
activities undertaken to increase CASp services and to facilitate
accessibility compliance. The bill would also require the Division of
the State Architect to include in its report to the Legislature the
total fees collected by each city, county, or city and county.
By revising and expanding the duties of local governments with
respect to the reporting of CASp fees, this bill would impose a
state-mandated local program.
(5) The California Emergency Services Act requires the Governor to
coordinate the State Emergency Plan and any programs necessary for
the mitigation of the effects of an emergency in this state, as
specified.
The act authorizes the Governor, with advice of the Office of
Emergency Services, to divide the state into mutual aid regions for
the more effective application, administration, and coordination of
mutual aid and other emergency-related activities.
This bill would require the Office of Emergency Services to
coordinate response and recovery operations in each mutual aid
region. The bill would require the office, in consultation with
relevant local and state agencies, to develop and adopt a state fire
service and rescue emergency mutual aid plan that would be an annex
to the State Emergency Plan.
(6) Existing law establishes the Railroad Accident Prevention and
Immediate Deployment Force in the California Environmental Protection
Agency and designates the force as being responsible for providing
immediate onsite response capability in the event of a large-scale
release of toxic materials resulting from a surface transportation
accident. Existing law requires the agency to develop a state
railroad accident prevention and immediate deployment plan, in
consultation with specified state entities, other potentially
affected state, local, or federal agencies, and affected businesses.
Existing law requires the Office of Emergency Services to serve as
the central point in state government for the emergency reporting of
spills, unauthorized releases, or other accidental releases of
hazardous materials and to coordinate the notification of the
appropriate state and local administering agencies that may be
required to respond to those spills, unauthorized releases, or other
accidental releases.
This bill would create the Regional Railroad Accident Preparedness
and Immediate Response Force in the office, consisting of specified
representatives, and would designate this force as being responsible
for providing regional and onsite response capabilities in the event
of a release of hazardous materials from a railcar or a railroad
accident involving a railcar designated to transport hazardous
material commodities, as specified. The bill would require the
office, in consultation with specified entities, to develop a state
regional railroad accident preparedness and immediate response plan
that would be an annex to the State Emergency Plan. The bill would
require the force and the Office of Spill Prevention and Response to
coordinate in their respective authorities and responsibilities to
avoid any duplication of effort, ensure cooperation, and promote the
sharing of information regarding the risk of discharge of petroleum
by rail into state waters.
This bill would require the Director of Emergency Services to
establish a schedule of fees to be paid by a person owning any of the
25 most hazardous material commodities that are transported by rail
in California. The bill would require that the fees be fair, as
required by the federal Hazardous Materials Transportation Act, and
state the intent of the Legislature that the schedule of fees reflect
the proportionate risks to both the public safety and the
environment resulting from a release of hazardous materials and the
expense of preparing to respond to those risks. The bill would
authorize the director to exempt from the fee a shipment of hazardous
materials that meets certain criteria and prohibit the collection of
fees in excess of the reasonable regulatory costs to the state. The
bill would require the director to consider adjusting the fee not
less frequently than every 3 years. The bill would require the
director to create an industry advisory committee to advise the
director on setting the fee and other policy matters. The bill would
also require every person who operates a railroad that transports
hazardous materials by railcar to register with the board and to
remit the fees to the board pursuant to the Fee Collection Procedures
Law. The bill would create the Regional Railroad Accident
Preparedness and Immediate Response Fund in the State Treasury and
would require that all revenues, interest, penalties, and other
amounts collected pursuant to the bill's requirements be deposited
into the fund, less refunds and reimbursement to the board for
expenses incurred in the administration and collection of the fee.
The bill would require that moneys in the fund, upon appropriation by
the Legislature, be used by the director for specified purposes. The
bill would provide the director with the authority to collect an
amount in fees that does not exceed specified amounts for specified
calendar years. The bill would require the director to contract with
the Department of Finance for the preparation of a detailed report on
the financial basis and programmatic effectiveness of the plan and
fund. The bill would require the director, on or before January 1,
2019, and every 3 years thereafter, to submit the report to the
Governor and the Legislature.
The Fee Collection Procedures Law makes a violation of any
provision of the law, or of certain requirements imposed by the board
pursuant to the law, a crime.
By expanding the application of the Fee Collection Procedures Law,
the violation of which is a crime, this bill would impose a
state-mandated local program.
(7) Existing law provides that a person who deprives or violates
the personal liberty of another with the intent to obtain forced
labor or services or for effecting or maintaining other specified
felonies is guilty of the crime of human trafficking. Existing law
creates the Office of Emergency Services in the Office of the
Governor, under the supervision of the Director of Emergency
Services, and commits to it the responsibility for the state's
emergency and disaster services, as specified.
This bill would create the Human Trafficking Victims Assistance
Fund and require money in the fund to be used by the Office of
Emergency Services for the distribution of grants, as specified, to
qualified nonprofit organizations, as defined, providing services to
victims of human trafficking and for reimbursement of costs incurred
by the office in distributing these grants.
(8) Existing law requires the Department of General Services to
dispose of surplus state real property in a specified manner.
Existing law requires a local agency or nonprofit affordable housing
sponsor, in order to be considered as a potential priority buyer of
surplus state real property, to notify the department of its interest
in surplus state real property within 90 days of the department
posting on its Internet Web site the notice of availability of the
surplus state real property.
This bill would require the department to notify the chairpersons
of the fiscal committees of the Legislature within 30 days of the
expiration of the 90 day timeframe if no local agency or nonprofit
affordable housing sponsor informs the department of its interest in
acquiring the property within that period.
(9) Existing law authorizes the Controller, until June 30, 2015,
to procure, modify, and implement a new human resource management
system that meets the needs of a modern state government, known as
the 21st Century Project.
This bill would extend that authorization for one year, until June
30, 2016.
(10) The Financial Integrity and State Manager's Accountability
Act of 1983 requires state agency heads to be responsible for the
establishment and maintenance of systems of internal accounting and
administrative controls and makes legislative findings and
declarations in this regard. The act requires a system of internal
accounting and administrative control to include specific elements,
including, but not limited to, a system of authorization and
recordkeeping procedures adequate to provide effective accounting
control over assets, liabilities, revenues, and expenditures. The act
requires a state agency head to conduct a biennial review and report
the results to the Legislature, California State Auditor,
Controller, Treasurer, Attorney General, Governor, and Director of
Finance.
This bill would rename the act as the State Leadership
Accountability Act and consolidate certain terminology in the act
under the terms "agency head" and "state agency." This bill would
modify the meaning of "internal control" to include, among other
elements, 5 specified components. This bill would eliminate the
requirement of submitting a biennial report to the Treasurer,
Attorney General, and Governor, and additionally require submission
to the Secretary of Government Operations.
(11) Existing law establishes the Missing Children Reward Fund, a
continuously appropriated fund in the State Treasury, and authorizes
the California Victim Compensation and Government Claims Board to
make cash rewards from that fund to persons providing information
leading to the location of any child listed in the missing children
registry, as provided.
This bill would abolish the continuously appropriated Missing
Children Reward Fund and transfer any remaining balance to the
Restitution Fund, a continuously appropriated fund. This bill would
require the board to instead make the cash rewards from the
Restitution Fund. This bill would also make a technical amendment to
these provisions.
(12) Existing law authorizes the Treasurer to deposit specified
assets in his or her custody into the Federal Home Loan Bank of San
Francisco or the Federal Reserve Bank of San Francisco, or a branch
thereof.
This bill would, instead, authorize deposit into the Federal Home
Loan Bank of San Francisco or any federal reserve bank, or a branch
thereof, and would make conforming changes.
Existing law requires that banks, savings and loan associations,
and credit unions deposit specified securities with the Treasurer in
order to be eligible to receive and retain demand or time deposits of
state funds, including, but not limited to, specified letters of
credit issued by the Federal Home Loan Bank of San Francisco.
The bill would authorize an eligible bank headquartered outside of
the state to submit letters of credit drawn on its regional federal
home loan bank.
(13) The California Constitution requires the state, whenever the
Legislature or a state agency mandates a new program or higher level
of service on any local government, to provide a subvention of funds
to reimburse the local government, with specified exceptions.
This bill would require the Department of Finance, in
collaboration with the Secretary of State and the Legislative Analyst'
s Office, to convene a working group to evaluate alternatives for
funding elections-related state mandates, and would require the
Department of Finance to submit to the Legislature a report that
summarizes the findings of the working group, including
recommendations to the Legislature. This bill would also require the
Department of Finance to conduct a survey of county election
officials during years in which a statewide general election is held
to determine whether or not counties are carrying out the
requirements set forth in specified state mandates relating to
elections, and would require the Department of Finance to report the
results of the survey to the Legislature, as provided.
(14) Existing law establishes the Department of Human Resources in
state government to operate the state civil service system pursuant
to Article VII of the California Constitution, the Government Code,
the merit principle, and applicable rules duly adopted by the State
Personnel Board. Existing law requires that civil service positions
be filled by appointment, except as provided. Existing law, among
other things, requires the department to propose legislation, as part
of the 2015-16 fiscal year budget proposal submitted to the
Legislature in January 2015, to establish the state's policy
regarding the use of additional appointments for state employees.
This bill would define the term "additional appointment," would
require an additional appointment to comply with state civil service
laws and rules, and would require the department to adopt policies to
advise state agencies regarding the procedures and appropriate use
of additional appointments.
(15) The Public Employees Retirement Law (PERL) creates the Public
Employees' Retirement System, which provides pension and other
benefits to members of the system and prescribes conditions for
service after retirement. The PERL permits a retired person to serve
as an elective officer without reinstatement from retirement or loss
or interruption of benefits, provided that his or her retirement
allowance is suspended to the extent that the allowance is based on
service in that elective office. The PERL also permits a person
retired for disability to serve without reinstatement if the person
is below the mandatory age for retirement for persons in the job in
which the person will serve and he or she is not disabled for that
employment. In this circumstance, the PERL prohibits service in a
position from which the person retired or a position in the same
member classification and requires reduction of the person's
disability retirement pension during the employment to an amount
that, when added to his or her compensation, equals the maximum
compensation earnable by a person holding the position that he or she
held at retirement. Effective on and after January 1, 2013, the
California Public Employees' Pension Reform Act of 2013 (PEPRA)
establishes various limits on retirement benefits generally
applicable to specified public employee retirement systems and, among
other things, prescribes limits on service after retirement without
reinstatement that prevail over the provisions in PERL described
above.
This bill would reenact the provisions regarding service after
retirement in the PERL described above, to apply on and after the
effective date of PEPRA.
(16) Existing law, the Electronic Recording Delivery Act of 2004,
authorizes a county recorder, upon approval by resolution of the
board of supervisors and system certification by the Attorney
General, to establish an electronic recording delivery system for the
delivery for recording of specified digitized and digital electronic
records, subject to specified conditions, including system
certification, regulation, and oversight by the Attorney General.
Existing law requires participating counties to pay for the direct
cost of regulation and oversight by the Attorney General, and
authorizes those counties to impose fees to cover those costs.
Existing law also authorizes the Attorney General to charge a fee
directly to a vendor seeking approval of software and other services
as part of an electronic recording delivery system. Fees paid to the
Attorney General under these provisions are deposited in the
Electronic Recording Authorization Account, which is in the Special
Deposit Fund and is continuously appropriated to the Attorney General
for these purposes.
This bill would redesignate the Electronic Recording Authorization
Account in the Special Deposit Fund as the Electronic Recording
Authorization Fund in the State Treasury.
(17) Existing law establishes the Naturalization Services Program,
administered within the Department of Community Services and
Development, to fund community-based organizations in assisting legal
permanent residents in obtaining citizenship.
This bill would establish the Statewide Director of Immigrant
Integration in the Governor's Office of Planning and Research,
appointed by the Governor, for the purpose of developing a
comprehensive statewide report on programs and services that serve
immigrants and programs and services currently managed by a state
agency or department to support California immigrants. The bill would
require the report to be submitted to the Governor and Legislature,
on or before January 1, 2016. The bill would further require the
office on or before July 10, 2017, to develop an online clearinghouse
of immigrant services, resources, and programs. The bill would
additionally require the director to monitor the implementation of
statewide laws and regulations that serve immigrants. The bill would
also create the Immigration Integration Fund, would authorize the
fund to be funded by public and private donations, and would require
those donations to be used, as specified.
(18) Existing law requires the Department of Housing and Community
Development to provide rental-related subsidies to persons rendered
homeless, or at risk of becoming homeless, due to unemployment,
underemployment, or other economic hardship resulting from the state
of emergency proclaimed by the Governor based on drought conditions.
Existing law authorizes the department to administer the housing
rental-related subsidies or contract with qualified local government
agencies or nonprofit organizations to administer the program.
Existing law establishes the Housing Rehabilitation Loan Fund and
continuously appropriates moneys in the fund for specified purposes.
This bill would authorize the department to provide temporary
assistance for persons moving out of a housing unit due to a lack of
potable water resulting from the state of emergency proclaimed by the
Governor relating to drought conditions if the person has exhausted
all reasonable attempts to find a potable water source and the
housing unit is served by a private well or water utility with fewer
than 15 connections that is running out of potable water due to
drought conditions. The bill would authorize the department to
administer the housing assistance or contract with qualified local
government agencies or nonprofit organizations to administer the
assistance. The bill would require the department to adopt guidelines
to implement these provisions and exempt the department from the
rulemaking provisions of the Administrative Procedure Act, as
specified. The bill would repeal these provisions as of June 30,
2017.
The bill would also authorize the use of moneys in the Housing
Rehabilitation Loan Fund, to the extent made available by the
Legislature for the purpose of the above-described housing relocation
program. This bill would require funds for these purposes that are
not encumbered on or before June 30, 2017, to revert to the General
Fund. By expanding the authorized use of a continuously appropriated
fund, the bill would make an appropriation.
(19) Existing law authorizes the Director of Housing and Community
Development to contract with local public and private nonprofit
agencies to provide housing services, including shelter, education,
sanitation, and day care services, for migrant agricultural workers,
through the development, construction, reconstruction,
rehabilitation, or operation of a migrant farm labor center. Existing
law requires the department to make the Office of Migrant Services
centers available for rent by persons or families experiencing
economic hardships as a result of the drought.
This bill would require the department to additionally make the
Office of Migrant Services centers available for rent by persons or
families rendered homeless or at risk of becoming homeless as a
result of the drought.
(20) Existing law establishes the California Earthquake Authority,
administered by the Insurance Commissioner, and authorizes the
authority to transact insurance in this state as necessary to, among
other things, create and maintain, in collaboration or jointly with
subdivisions and programs of local, state, and federal governments
and with other national programs, programs and activities that
mitigate seismic risks, for the benefit of homeowners and other
property owners. Existing law establishes the Earthquake Loss
Mitigation Fund, a subaccount of the California Earthquake Authority
Fund, a continuously appropriated fund. Existing law
authorizes the authority to apply money in
the Earthquake Loss Mitigation Fund to supply grants and loans or
loan guarantees to dwelling owners who wish to retrofit their homes
to protect against earthquake damage, as specified.
This bill would recognize the existence of the California
Residential Mitigation Program (CRMP), a joint powers authority
created in 2012 by agreement between the California Earthquake
Authority and the Office of Emergency Services. The bill would
require the CRMP to implement a grant program and to give a grant to
a qualifying owner of a single-family residential structure to defray
the owner's cost of seismic retrofit work to the structure, as
specified. The bill would also require the CRMP to implement a grant
program and, on or after July 1, 2017, authorize it to give a grant
to a qualifying owner of a residential structure that contains
between 2 and 10 dwelling units to defray the owner's cost of seismic
retrofit work to the structure, as specified. This bill would
require the governing board of the CRMP, after providing notice and
opportunity for public review and comment, to adopt policies and
procedures necessary to implement the grant programs, to establish
eligibility criteria for participation in the grant programs, and to
establish criteria for determining the amount of a grant awarded
under the grant programs.
Existing law, the Personal Income Tax Law and the Corporation Tax
Law, provide for various exclusions from gross income in determining
tax liability.
This bill would, for taxable years beginning on or after January
1, 2016, exclude from gross income an amount received as a loan, loan
forgiveness, grant, credit, rebate, voucher, or incentive from the
California Residential Mitigation Program or the California
Earthquake Authority to assist a residential property owner or
occupant with expenses or obligations incurred for earthquake loss
mitigation, as defined.
(21) Under existing law, the Occupational Safety and Health Act of
1973, the Division of Occupational Safety and Health investigates
complaints that a workplace is not safe, and may issue orders
necessary to ensure employee safety. The act requires the division to
investigate a complaint as soon as possible, but not later than 3
working days after receipt of a complaint charging a serious
violation, as specified, and not later than 14 calendar days after
receipt of a complaint charging a nonserious violation. Existing law
requires the division to maintain the capability to receive and act
upon complaints at all times.
This bill would require the division to prioritize investigations
of reports of accidents involving death or serious injury or illness
and complaints that allege a serious violation over investigations of
complaints that allege a nonserious violation.
(22) Existing law requires the Division of Occupational Safety and
Health to cause the inspection of all public conveyances, including
elevators, dumbwaiters, and escalators, at least once a year.
Existing law authorizes the division to fix and collect fees to cover
the actual costs of having the inspection performed by a division
safety engineer, and the costs related to regulatory development.
Existing law requires these fees to be set forth in regulations and
to be deposited in the Elevator Safety Account in the General Fund.
This bill would, for the 2015-16 fiscal year, suspend the fee for
the annual and biennial inspection of conveyances on a one-time
basis. It would, for the 2016-17 fiscal year and for every fiscal
year thereafter, authorize the Director of Industrial Relations, upon
concurrence of the Department of Finance to suspend or reduce this
fee on a one-time basis in order to reduce the amount of moneys in
the Elevator Safety Account. The bill would exempt the suspension or
reduction of the fee from the Administrative Procedure Act.
(23) Existing law generally requires state agencies to obtain at
least 3 competitive bids for each contract. Under existing law, this
requirement does not apply under certain circumstances, including,
among others, when the contract is with another state agency, a local
governmental entity, an auxiliary organization of the California
State University, an auxiliary organization of a California community
college, a foundation organized to support the Board of Governors of
the California Community Colleges, or an auxiliary organization of
the Student Aid Commission, as provided.
This bill, until January 1, 2019, would additionally authorize a
specified contract between the Office of Planning and Research, the
Regents of the University of California, or an auxiliary organization
of the California State University to include a subcontract that is
not subject to certain competitive bidding requirements, as provided.
(24) Existing law requires the Franchise Tax Board to collect
certain delinquencies related to vehicles, including, but not limited
to, registration fees, transfer fees, and parking violation
penalties, as though the delinquencies are taxes, as specified.
This bill would, on or after the effective date of the bill,
additionally require the board to collect unpaid tolls, toll evasion
penalties, and related administrative or service fees as though they
are taxes.
(25) The Emergency Telephone Users Surcharge Act generally imposes
a surcharge on amounts paid by every person in the state for
intrastate telephone service to provide revenues sufficient to fund
"911" emergency telephone system costs, and requires the Office of
Emergency Services to annually determine the surcharge rate.
Commencing with the calculation made October 1, 2015, existing law
requires the office to compute the charges applicable to the
intrastate portion of prepaid mobile telephony services, as provided.
The Prepaid Mobile Telephony Service Surcharge Collection Act
establishes a prepaid MTS surcharge, as defined, based upon a
percentage of the sales price of each retail transaction that occurs
in this state for prepaid mobile telephony services, as defined, that
is imposed in lieu of any charges imposed pursuant to the Emergency
Telephone Users Surcharge Act and specified Public Utility Commission
surcharges. That act requires the prepaid MTS surcharge to be
annually calculated by the State Board of Equalization by November 1
of each year, commencing November 1, 2015, by using the emergency
telephone user surcharge rate reported by the office and specified
Public Utility Commission surcharges.
The Emergency Telephone Users Surcharge Act requires the office to
notify the board of the emergency telephone user surcharge rate and
the emergency telephone user surcharge rate applicable to prepaid
mobile telephony services by October 15 of each year.
This bill would instead require the office to notify the board of
the emergency telephone user surcharge rate by October 1.
(26) The Emergency Telephone Users Surcharge Act requires,
immediately upon notification by the office and fixing the surcharge
rate, the board to notify by mail every registered service supplier
of the new rate.
This bill would instead require the board to notify every
registered service supplier of the new rate by a means, or means
determined by the State Board of Equalization, that may include, but
is not limited to, mail, electronic mail, or Internet Web site
postings.
(27) The Prepaid Mobile Telephony Service Surcharge Collection Act
requires, on and after January 1, 2016, and before January 1, 2020,
the prepaid MTS surcharge imposed by that act on a prepaid consumer
to be collected by a seller from each prepaid consumer at the time of
each retail transaction in this state.
This bill would, commencing January 1, 2017, exempt a seller,
other than a direct seller, with de minimis sales of prepaid mobile
telephony services of less than $15,000 during the previous calendar
year from collecting the prepaid MTS surcharge, and would require the
Department of Finance to annually review and adjust that de minimis
sales threshold, as provided.
(28) The Prepaid Mobile Telephony Service Surcharge Collection Act
creates the Prepaid Mobile Telephony Services Surcharge Fund in the
State Treasury, and creates the Prepaid MTS 911 Account and the
Prepaid MTS PUC Account in that fund. That act requires the portion
of the prepaid MTS surcharge that is for the emergency telephone
users surcharge, which are remitted to the board, to be deposited
into the Prepaid MTS 911 Account, and those deposited moneys to be
transferred to the State Emergency Telephone Number Account in the
General Fund. That act also requires that portion of the prepaid MTS
surcharge that is for the Public Utilities Commission surcharges,
which are remitted to the board, to be deposited into the Prepaid MTS
PUC Account, and those deposited moneys to be allocated and
transferred to the respective universal service funds.
This bill would specify that amounts transferred to the State
Emergency Telephone Number Account are required to be appropriated
pursuant to the Emergency Telephone Users Surcharge Act. This bill
would require the Public Utilities Commission to allocate the moneys
deposited into the Prepaid MTS PUC Account to the respective
universal service funds and to the Public Utilities Commission
Utilities Reimbursement Account and to report to the Controller on
its allocation of those funds, as specified.
This bill would authorize the Director of Finance to approve a
short-term loan in the 2015-16 fiscal year from the General Fund to
the Prepaid Mobile Telephony Services Surcharge Fund to provide
adequate cashflow for expenses incurred by the board in the
administration and collection of the prepaid MTS surcharge.
(29) The Prepaid Mobile Telephony Service Surcharge Collection Act
requires direct sellers to remit the prepaid portion of the prepaid
MTS surcharge that is for the emergency telephone users surcharge to
the board in accordance with the Emergency Telephone Users Surcharge
Act and to remit the portion of the prepaid MTS surcharge that is for
the Public Utilities Commission surcharges to the Public Utilities
Commission.
This bill would specify that those remitted amounts to the
commission are required to be deposited into the respective universal
services funds and the Public Utilities Commission Utilities
Reimbursement Account, and that the remitted amounts to the board are
required to be deposited into the State Emergency Telephone Number
Account.
(30) The Local Prepaid Mobile Telephony Services Collection Act,
on and after January 1, 2016, and before January 1, 2020, suspends
the authority of a city, county, or city and county, including any
charter city, county, or city and county, to impose a utility user
tax on the consumption of prepaid communications service and any
charge that applies to prepaid mobile telephony service, on access to
communication services or access to local "911" emergency telephone
systems, and instead requires those taxes and charges to be applied
during that period under any ordinance to be at specified rates. The
act requires these local charges imposed by a city, county, or a city
and county, on prepaid mobile telephony services to be collected
from the prepaid consumer by a seller at the same time and in the
same manner as the prepaid MTS surcharge is collected under the
Prepaid Mobile Telephony Service Surcharge Collection Act, as
specified. Existing law requires all local charges collected to be
deposited in the Local Charges for Prepaid Mobile Telephony Services
Fund, and transmitted to the city, county, or a city and county, as
provided.
This bill would, commencing January 1, 2017, exempt a seller,
other than a direct seller, with de minimis sales of prepaid mobile
telephony services of less than $15,000 during the previous calendar
year from collecting the local charges, and would require the
Department of Finance to annually review and adjust that de minimis
sales threshold, as provided.
This bill would authorize the Director of Finance to approve a
short-term loan in the 2015-16 fiscal year from the General Fund to
the Local Charges for Prepaid Mobile Telephony Services Fund to
provide adequate cashflow for expenses incurred by the board in the
administration and collection of the local charges.
(31) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that no reimbursement is required by this
act for specified reasons.
(32) This bill would declare that it is to take effect immediately
as a bill providing for appropriations related to the Budget Bill.
This bill would express the intent of the Legislature to enact
statutory changes relating to the Budget Act of 2015.
Vote: majority. Appropriation: no yes
. Fiscal committee: no yes .
State-mandated local program: no yes .
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 3273 of the Civil
Code is amended to read:
3273. (a) It is unlawful for a person, firm, corporation, or
association that is a nongovernmental entity and contracts to perform
public health and safety labor or services for a public agency to
display on a vehicle a logo of the public agency that reasonably
could be interpreted or construed as implying that the labor or
services are being provided by employees of the public agency, unless
the vehicle conspicuously displays a statement indicating that the
contractor is the service provider, contractor, or other appropriate
descriptor, such as "SERVICE PROVIDED BY:" or "CONTRACTED BY:",
immediately followed by all of the following:
(1) The logo and the name of the person, firm, corporation, or
association that is the nongovernmental entity providing the public
health and safety labor or services for the public agency.
(2) The state, or if outside of the United States, the country
where the nongovernmental entity's controlling person, firm,
corporation, or association is legally incorporated, organized, or
formed.
(b) It is unlawful for a person or an employee of a person, firm,
corporation, or association that is a nongovernmental entity and
contracts to perform public health and safety labor or services for a
public agency to wear a uniform bearing a logo of the public agency
that reasonably could be interpreted or construed as implying that
the labor or services are being provided by employees of the public
agency, unless the uniform conspicuously displays the logo and the
name of the person, firm, corporation, or association that is the
nongovernmental entity providing the labor or services for the public
agency.
(c) The disclosures required pursuant to subdivisions (a) and (b)
shall apply to all labor or services provided pursuant to a contract
entered into on or after January 1, 2015.
(d) (1) It is unlawful for a public agency to require, through a
contract with a person, firm, corporation, or association that is a
nongovernmental entity providing public health and safety labor or
services, a person or employee of the nongovernmental entity to wear
a badge containing the logo of the public agency.
(2) It is unlawful for a person, firm, corporation, or association
that is a nongovernmental entity contracting to perform public
health and safety labor or services for a public agency to require a
person or its employee to wear a badge containing the logo of the
public agency.
(e) For the purposes of subdivision (b), an identifying mark
affixed to a uniform as required by state or federal law, and a local
agency regulating the activity of the person, firm, corporation, or
association shall not be construed as implying that the labor or
services are being provided by employees of the public agency.
(f) If a vehicle or uniform displays more than one logo referring
to the public agency, then the required disclosure shall be placed
near the largest logo referring to the public agency.
(g) The disclosure requirements in subdivisions (a) and (b) of
this section shall not apply to uniforms or vehicles if the person,
firm, corporation, or association that is the nongovernmental entity
is providing the labor or services for a public agency under Article
3.3 (commencing with Section 2430) of Chapter 2 of Division 2 of the
Vehicle Code.
(h) The disclosure requirements in subdivisions (a) and (b) shall
not apply to a public agency vehicle utilized by the nongovernmental
entity during a declared state or federal disaster, mass-casualty
incident, or other incident that requires the use of state or federal
resources when the public agency requires the use of the public
agency vehicle.
(i) (1) Violations of this section shall be subject to the
remedies provided in the Consumers Legal Remedies Act (Title 1.5
(commencing with Section 1750)).
(2) The duties, rights, and remedies provided in this section are
in addition to any other duties, rights, and remedies provided by
state law.
(j) For the purposes of this section, the following terms have the
following meanings:
(1) "Conspicuously displays" means to display a disclosure on the
exterior of a vehicle or uniform in the same location as the logo of
the public agency, placed prominently as compared with other words,
statements, or designs displayed in connection with the logo of the
public agency. With respect to a uniform, "in the same location"
includes, but is not limited to, a location on the opposing shoulder,
pocket, or similar opposing location relative to the location of the
logo of the public agency.
(2) "Logo" means a symbol, graphic, seal, emblem, insignia, trade
name, brand name, or picture identifying a person, firm, corporation,
association, or public agency. "Logo" shall not mean the name of a
public agency used alone.
(3) "Public agency" means a state entity, a city, county, city and
county, special district, or other political subdivision of the
state.
(4) "Public health and safety labor or services" means fire
protection services, rescue services, prehospital
emergency medical services, hazardous material emergency response
services, and ambulance services.
SEC. 2 . Section 4061 of the
Food and Agricultural Code is amended to read:
4061. (a) Notwithstanding any other law, a district agricultural
association shall not be required to prepare or submit any written
report to the Governor, the Legislature, or a state agency except as
follows:
(1) The report is required by a court or under federal law.
(2) The report is required in the Budget Act.
(3) The report is required by the secretary.
(4) The Legislature expressly requires a district agricultural
association to prepare and submit a report.
(5) The annual reporting of real property information required
pursuant to Section 11011.15 of the Government Code.
(b) This section shall not be construed and is not intended to
extend or limit the provisions of the California Public Records Act
(Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1
of the Government Code).
SEC. 3. Section 905.2 of the Government
Code is amended to read:
905.2. (a) This section shall apply to claims against the state
filed with the California Victim Compensation and Government Claims
Board.
(b) There shall be presented in accordance with this chapter and
Chapter 2 (commencing with Section 910) all claims for money or
damages against the state:
(1) For which no appropriation has been made or for which no fund
is available but the settlement of which has been provided for by
statute or constitutional provision.
(2) For which the appropriation made or fund designated is
exhausted.
(3) For money or damages on express contract, or for an injury for
which the state is liable.
(4) For which settlement is not otherwise provided for by statute
or constitutional provision.
(c) Claimants shall pay a filing fee of twenty-five dollars ($25)
for filing a claim described in subdivision (b). This fee shall be
deposited into the General Fund and may be appropriated in support of
the board as reimbursements to Item 1870-001-0001
7870-001-0001 of Section 2.00 of the annual Budget Act.
(1) The fee shall not apply to the following persons:
(A) Persons who are receiving benefits pursuant to the
Supplemental Security Income (SSI) and State Supplementary Payment
(SSP) programs (Article 5 (commencing with Section 12200) of Chapter
3 of Part 3 of Division 9 of the Welfare and Institutions Code), the
California Work Opportunity and Responsibility to Kids Act (CalWORKs)
program (Chapter 2 (commencing with Section 11200) of Part 3 of
Division 9 of the Welfare and Institutions Code), the federal
Supplemental Nutrition Assistance Program (SNAP; 7 U.S.C. Sec. 2011
et seq.), or Section 17000 of the Welfare and Institutions Code.
(B) Persons whose monthly income is 125 percent or less of the
current monthly poverty line annually established by the Secretary of
California Health and Human Services pursuant to the federal Omnibus
Budget Reconciliation Act of 1981 (Public Law 97-35), as amended.
(C) Persons who are sentenced to imprisonment in a state prison or
confined in a county jail, or who are residents in a state
institution and, within 90 days prior to the date the claim is filed,
have a balance of one hundred dollars ($100) or less credited to the
inmate's or resident's trust account. A certified copy of the
statement of the account shall be submitted.
(2) Any claimant who requests a fee waiver shall attach to the
application a signed affidavit requesting the waiver and verification
of benefits or income and any other required financial information
in support of the request for the waiver.
(3) Notwithstanding any other law, an applicant shall not be
entitled to a hearing regarding the denial of a request for a fee
waiver.
(d) The time for the board to determine the sufficiency,
timeliness, or any other aspect of the claim shall begin when any of
the following occur:
(1) The claim is submitted with the filing fee.
(2) The fee waiver is granted.
(3) The filing fee is paid to the board upon the board's denial of
the fee waiver request, so long as payment is received within 10
calendar days of the mailing of the notice of the denial.
(e) Upon approval of the claim by the board, the fee shall be
reimbursed to the claimant, except that no fee shall be reimbursed if
the approved claim was for the payment of an expired warrant.
Reimbursement of the filing fee shall be paid by the state entity
against which the approved claim was filed. If the claimant was
granted a fee waiver pursuant to this section, the amount of the fee
shall be paid by the state entity to the board. The reimbursement to
the claimant or the payment to the board shall be made at the time
the claim is paid by the state entity, or shall be added to the
amount appropriated for the claim in an equity claims bill.
(f) The board may assess a surcharge to the state entity against
which the approved claim was filed in an amount not to exceed 15
percent of the total approved claim. The board shall not include the
refunded filing fee in the surcharge calculation. This surcharge
shall be deposited into the General Fund and may be appropriated in
support of the board as reimbursements to Item 1870-001-0001
7870-001-0001 of Section 2.00 of the annual
Budget Act.
(1) The surcharge shall not apply to approved claims to reissue
expired warrants.
(2) Upon the request of the board in a form prescribed by the
Controller, the Controller shall transfer the surcharges and fees
from the state entity's appropriation to the appropriation for the
support of the board. However, the board shall not request an amount
that shall be submitted for legislative approval pursuant to Section
13928.
(g) The filing fee required by subdivision (c) shall apply to all
claims filed after June 30, 2004, or the effective date of this
statute. The surcharge authorized by subdivision (f) may be
calculated and included in claims paid after June 30, 2004, or the
effective date of the statute adding this subdivision.
(h) This section shall not apply to claims made for a violation of
the California Whistleblower Protection Act (Article 3 (commencing
with Section 8547) of Chapter 6.5 of Division 1 of Title 2).
SEC. 4. Section 4467 of the Government
Code is amended to read:
4467. (a) On and after January 1, 2013, and until December 31,
2018, any applicant for a local business license or equivalent
instrument or permit, and from any applicant for the renewal of a
business license or equivalent instrument or permit, shall pay an
additional fee of one dollar ($1) for that license, instrument, or
permit, which shall be collected by the city, county, or city and
county that issued the license, instrument, or permit.
(b) The city, county, or city and county shall retain 70 percent
of the fees collected under this section, of which up to 5 percent of
the retained moneys may be used for related administrative costs of
this chapter. The remaining moneys shall be used to fund increased
certified access specialist (CASp) services in that jurisdiction for
the public and to facilitate compliance with construction-related
accessibility requirements. The highest priority shall be given to
the training and retention of certified access specialists to meet
the needs of the public in the jurisdiction as provided in Section
55.53 of the Civil Code.
(c) The remaining 30 percent of all fees collected under this
section shall be transmitted on a quarterly basis to the Division of
the State Architect for deposit in the Disability Access and
Education Revolving Fund established under Sections 4465 and 4470.
The funds shall be transmitted within 15 days of the last day of the
fiscal quarter. The Division of the State Architect shall develop and
post on its Internet Web site a standard reporting form for use by
all local jurisdictions. Up to 75 percent of the collected funds in
the Disability Access and Education Revolving Fund shall be used to
establish and maintain oversight of the CASp program and to moderate
the expense of CASp certification and testing.
(d) Each city, county, or city and county shall make an annual
report, commencing March 1, 2014, to the Legislature and to
the Chairs of the Senate and Assembly Committees on Judiciary, and
the Chair of the Senate Committee on Budget and Fiscal Review and the
Chair of the Assembly Committee on Budget, Division
of the State Architect of the total fees collected in the
previous calendar year and of its distribution, including the moneys
spent on administrative services, the activities undertaken and
moneys spent to increase CASp services, the activities
undertaken and moneys spent to fund programs to facilitate
accessibility compliance, and the moneys transmitted to the
Disability Access and Education Revolving Fund. A report to
be submitted pursuant to this subdivision shall be submitted in
compliance with Section 9795.
SEC. 5. Section 4470 of the Government
Code is amended to read:
4470. (a) All funds received by the Division of the State
Architect under this chapter shall be deposited in the Disability
Access and Education Revolving Fund, which is hereby established in
the State Treasury.
(b) Notwithstanding Section 13340, moneys deposited in the fund
are hereby continuously appropriated without regard to fiscal years
to the Division of the State Architect for purposes of this chapter.
(c) Notwithstanding Section 10231.5, the State Architect shall
make an annual report, commencing March April
1, 2014, to the Legislature and to the Chairs of the Senate
and Assembly Committees on Judiciary, and the Chair of the Senate
Committee on Budget and Fiscal Review and the Chair of the Assembly
Committee on Budget, Budget of the
total fees collected by each city, county, or city and county
pursuant to Section 4467, the total fees transmitted to the
fund in the previous calendar year and of its distribution, including
the moneys spent on administrative services, the moneys spent to
moderate certification and examination fees for the certified access
specialist program, the moneys spent on establishing and maintaining
oversight of the certified access specialist program, and the moneys
spent on developing and disseminating educational materials to
facilitate compliance. A report to be submitted pursuant to this
subdivision, subdivision shall be
submitted in compliance with Section 9795.
SEC. 6. Article 3.9 (commencing with Section
8574.30) is added to Chapter 7 of Division 1 of Title 2 of the
Government Code , to read:
Article 3.9. Regional Railroad Accident Preparedness and
Immediate Response
8574.30. For purposes of this article, the following terms have
the following meanings:
(a) "Board" means the State Board of Equalization.
(b) "Director" means the Director of Emergency Services.
(c) "Fund" means the Regional Railroad Accident Preparedness and
Immediate Response Fund established pursuant to Section 8574.44.
(d) "Hazardous material" means a material that the United States
Department of Transportation has designated as a hazardous material
for purposes of transportation in Part 172 of Title 49 of the Code of
Federal Regulations.
(e) "Office" means the Office of Emergency Services.
(f) "Owner" means the person who has the ultimate control over,
and the right to use or sell, the hazardous material being shipped.
There is a rebuttable presumption that the shipper, consignor, or
consignee of the hazardous material is the owner of the hazardous
material. This presumption may be overcome by showing that ownership
of the hazardous material rests with someone other than the shipper,
consignor, or consignee. Evidence to rebut the presumption may
include, but is not limited to, documentation, including a bill of
lading, shipping document, bill of sale, or other medium, that shows
the ownership of the hazardous material rests in a person other than
the shipper, consignor, or consignee.
(g) "Person" means an individual, trust, firm, joint stock
company, other entity, or corporation, including, but not limited to,
a government corporation, partnership, limited liability company, or
association. "Person" also includes any city, county, city and
county, district, commission, the state or any department, agency, or
political subdivision thereof, and the United States and agencies
and instrumentalities, to the extent permitted by law.
(h) "Railroad" has the same meaning as defined in Section 229 of
the Public Utilities Code.
(i) "Rail car" means a loaded or unloaded railroad car or rolling
stock designated to transport hazardous material commodities, and
includes, but is not limited to, those railroad cars subject to the
requirements of Part 179 (commencing with Section 179.1) of Title 49
of the Code of Federal Regulations, or successor regulations adopted
by the United States Department of Transportation.
8574.32. (a) (1) The director shall establish a schedule of fees,
to be paid by each person owning any of the 25 most hazardous
material commodities, as identified in regulations adopted by the
office, that are transported by rail in California, that shall be
sufficient to fund the appropriation from the fund pursuant to
Section 8574.44, to reimburse the California High-Cost Fund-B
Administrative Committee Fund for any moneys loaned, and to maintain
a reserve for operating costs. The fee shall be based on each loaded
rail car as described in subdivision (b).
(2) Prior to the adoption of regulations identifying the 25 most
hazardous material commodities, the fee shall apply to the top 25
hazardous material commodities identified by the Association of
American Railroads Bureau of Explosives' Annual Report of
Non-Accident Releases of Hazardous Materials Transported by Rail,
published in August, 2013.
(b) (1) Within six months of the director establishing a schedule
of fees pursuant to subdivision (a), the fee shall be imposed on a
person owning hazardous material at the time that hazardous material
is transported by loaded rail car. The fee shall be based on each
loaded rail car.
(A) If the loaded rail car enters the state from outside this
state, the fee shall be imposed on the owner of the hazardous
material at the time the loaded rail car enters this state. The
person operating the train containing the rail car shall collect the
fee from the owner of the hazardous material and shall pay the fee to
the board. The fee shall be collected consistent with the
requirements of the commerce clause of the United States
Constitution.
(B) If the rail car is loaded within this state, the fee shall be
imposed upon the loading of hazardous material into or onto the rail
car for transport in or through this state. The person operating the
train containing the rail car shall collect the fee from the owner of
the hazardous material at the time the rail car is loaded and shall
pay the fee to the board. The fee shall be collected consistent with
the requirements of the commerce clause of the United States
Constitution.
(2) The fee shall be paid to the board by the person operating the
train containing the rail car at the time the return is required to
be filed, as specified in Section 8574.38, based on the number of
loaded hazardous material rail cars transported within the state.
(3) Any fee collected from an owner of hazardous materials
pursuant to this section that have not been remitted to the board
shall be deemed a debt owed to the state by the person required to
collect and remit the fee.
(4) (A) The owner of the hazardous material is liable for the fee
until it has been paid to the board, except that payment to a person
operating the train containing the rail car registered under this
article is sufficient to relieve the owner from further liability for
the fee.
(B) The railroad shall be entitled to collect an amount not to
exceed 5 percent of the fee collected pursuant to this section to
offset the administrative cost to collect the fee.
(5) Any owner or railroad that has paid the fee pursuant to this
section shall not be assessed any additional fee under this section
for further transporting the same hazardous materials in the same
rail cars on a different railroad within the state.
(c) The fee shall be fair, as required by subsection (f) of
Section 5125 of Title 49 of the United States Code and subsection (c)
of Section 107.202 of Title 49 of the Code of Federal Regulations.
It is the intent of the Legislature that: (1) the fee shall reflect
the cost of preparations to respond to the release of hazardous
materials from a rail car or a railroad accident involving a rail
car, (2) these preparations shall help contain the damage to railroad
systems and operations within the state caused by the release of
hazardous materials and better enable owners of hazardous materials
to expeditiously transport their materials using the railroad after
the release of hazardous materials, and (3) these preparations shall
mitigate the exposure of the owners of hazardous materials to
compensable damages caused by the release of hazardous materials. The
director may exempt from the fee those shipments of hazardous
materials that do not merit inclusion in the state regional railroad
accident preparedness and immediate response plan developed pursuant
to Section 8574.48 and those shipments of hazardous materials that do
not merit additional governmental preparation to respond to their
release in the event of a railroad accident.
(d) The fee shall not result in the collection of moneys that
exceed the reasonable regulatory costs to the state for the purposes
specified in subdivision (e) of Section 8574.44. The director shall
set the fee consistent with Section 3 of Article XIII A of the
California Constitution.
(e) The director shall be responsible for reporting fee
information to the federal Secretary of Transportation pursuant to
paragraph (2) of subsection (f) of Section 5125 of Title 49 of the
United States Code.
(f) The director may authorize payment of a portion, but not the
entire amount, of fees owed through contributions in kind of
equipment, materials, or services.
(g) The director shall create an industry advisory committee to
advise the director on setting the fee and on other policy matters
related to industry-based shipment of hazardous materials and private
sector-based accident response. The committee shall consist of
representatives from the following:
(1) Hazardous materials specialist from the railroad industry.
(2) Operation specialist from the railroad industry.
(3) Fire and safety specialist from refinery industry.
(4) Chemical hazardous materials specialists.
(5) Agricultural chemical industry.
(6) Firefighting Resources of California Organized for Potential
Emergencies (FIRESCOPE).
(7) Local emergency preparedness commissions (LEPCs).
(8) California Fire Chiefs Association.
(9) California Professional Firefighters.
(10) California State Firefighters Association.
(11) California Emergency Services Association.
(12) Fire Districts Association of California.
(13) The public.
(h) (1) The director shall reconsider the amount of the fee, and
adjust the fee if appropriate, not less frequently than every three
years, with due consideration for existing and expected operational
and continued resource requirements.
(2) The director shall conduct an analysis of industry
capabilities and resource requirements to assist in the
reconsideration of the amount of the established fee. The director
may arrange for the analysis to be performed by a third party that is
either a public or private entity. Upon finalization of the
analysis, the analysis shall be delivered as a report to the
Department of Finance, the Legislature, and the Legislative Analyst's
Office.
(3) The
submission of the analysis to the Legislature shall be submitted in
compliance with Section 9795 of the Government Code.
8574.34. Every person who operates a railroad that transports
hazardous materials by rail car shall register with the board
pursuant to Section 55021 of the Revenue and Taxation Code.
8574.36. The fee imposed pursuant to Section 8574.32 shall be
administered and collected by the board in accordance with the Fee
Collection Procedures Law (Part 30 (commencing with Section 55001) of
Division 2 of the Revenue and Taxation Code). For purposes of this
section, the references in the Fee Collection Procedures Law to "fee"
shall include the fee imposed by this article, and references to
"feepayer" shall include a person required to pay the fee imposed by
this article.
8574.38. The return required to be filed pursuant to Section
55040 of the Revenue and Taxation Code shall be prepared and filed by
the person required to register with the board, in the form
prescribed by the board, and shall contain that information the board
deems necessary or appropriate for the proper administration of this
article and the Fee Collection Procedures Law. The return shall be
filed on or before the last day of the calendar month following the
calendar quarter to which it relates, together with a remittance
payable to the board for the fee amount due for that period. Returns
shall be authenticated in a form, or pursuant to methods, as may be
prescribed by the board.
8574.40. Notwithstanding the petition for redetermination and
claim for refund provisions of the Fee Collection Procedures Law
(Article 3 (commencing with Section 55081) of Chapter 3 of, and
Article 1 (commencing with Section 55221) of Chapter 5 of, Part 30 of
Division 2 of the Revenue and Taxation Code), the board shall not:
(a) Accept or consider a petition for redetermination of fees
determined under this article if the petition is founded upon the
grounds that the rail car content is or is not a hazardous material.
The board shall forward to the director any appeal of a determination
that is based on the grounds that the rail car content is or is not
a hazardous material.
(b) Accept or consider a claim for refund of fees paid pursuant to
this chapter if the claim is founded upon the grounds that the rail
car content is or is not a hazardous material. The board shall
forward to the director any claim for refund that is based on the
grounds that the rail car content is or is not a hazardous material.
8574.42. (a) The board may prescribe, adopt, and enforce
regulations relating to the administration and enforcement of this
article.
(b) The board may prescribe, adopt, and enforce any emergency
regulations, as necessary, to implement this article. Except as
provided in Section 8574.44, any emergency regulation prescribed,
adopted, or enforced pursuant to this article shall be adopted
pursuant to Chapter 3.5 (commencing with Section 11340) of Part 1 of
Division 3 of Title 2 and, for purposes of that article, including
Section 11349.6, the adoption of the regulation is an emergency and
shall be considered by the Office of Administrative Law as necessary
for the immediate preservation of the public peace, health and
safety, and general welfare.
8574.44. (a) The Regional Railroad Accident Preparedness and
Immediate Response Fund is hereby created in the State Treasury.
(b) All revenues, interest, penalties, and other amounts collected
pursuant to this article shall be deposited into the fund, less
refunds and reimbursement to the board for expenses incurred in the
administration and collection of the fee.
(c) The adoption of regulations pursuant to this section shall be
considered by the Office of Administrative Law as an emergency and
necessary for the immediate preservation of the public peace, health
and safety, and general welfare. Notwithstanding Chapter 3.5
(commencing with Section 11340) of Part 1 of Division 3 of Title 2,
emergency regulations adopted by the director and the board pursuant
to this section shall be filed with, but not repealed by, the Office
of Administrative Law and shall remain in effect until revised or
repealed by the director.
(d) The fund shall be used to reimburse the California High-Cost
Fund-B Administrative Committee Fund for any moneys loaned from the
California High-Cost Fund-B Administrative Committee Fund to the fund
to pay for the Office of Emergency Service's administrative costs
associated with implementation of the fee pursuant to this article.
(e) All moneys remaining in the fund after reimbursement of the
California High-Cost Fund-B Administrative Committee Fund pursuant to
subdivision (d) shall, upon appropriation by the Legislature, be
used by the director to pay for the following purposes related to the
transportation of hazardous materials:
(1) Planning, developing, and maintaining a capability for
large-scale hazardous materials releases emergency response relating
to railroad accidents involving rail cars carrying hazardous
materials, including the risks of explosions and fires.
(2) Planning, developing, and maintaining a capability for
large-scale hazardous materials releases emergency response relating
to releases of hazardous materials from rail cars, including reducing
the harmful effects of exposure of those materials to humans and the
environment.
(3) Creation, support, maintenance, and implementation of the
Regional Railroad Accident Preparedness and Immediate Response Force
created by Section 8574.48.
(4) Acquisition and maintenance of specialized equipment and
supplies used to respond to a hazardous materials release from a rail
car or a railroad accident involving a rail car.
(5) Support of specialized regional training facilities to prepare
for and respond to a hazardous materials release from a rail car or
a railroad accident involving a rail car.
(6) Creation and support of a regional, state level, and local
emergency response team to provide immediate onsite response
capabilities in the event of large-scale releases of hazardous
materials from a rail car or a railroad accident involving a rail
car.
(7) Support for specialized training for state and local emergency
response officials in techniques for prevention of, and response to,
release of hazardous materials from a rail car or a railroad
accident involving a rail car.
(f) For each of the 2015-2016 and 2016-2017 fiscal years, the
amount available for appropriation from the fund shall not exceed
twenty million dollars ($20,000,000). For the 2017-18 fiscal year and
each fiscal year thereafter, the amount available for appropriation
from the fund shall not exceed ten million dollars ($10,000,000).
(g) (1) For the 2016 calendar year, the director shall have the
authority to collect an amount not to exceed twenty million dollars
($20,000,000) for deposit into the fund, which shall be used, upon
appropriation by the Legislature, for repayment of loans provided
from the California High Cost Fund B Administrative Committee and for
purposes related to the transportation of hazardous materials by
rail cars pursuant to subdivision (e).
(2) For the calendar year 2017, the director shall have the
authority to collect an amount not to exceed twenty million dollars
for deposit into the fund, which shall be used, upon appropriation by
the Legislature, for purposes related to the transportation of
hazardous materials by rail cars pursuant to subdivision (e).
(3) (A) Commencing on January 1, 2018, and following an initial
review of the amount of the fee by the industry advisory committee
established pursuant to subdivision (g) of Section 8574.32 and an
initial reconsideration of the amount of the fee by the director
pursuant to paragraph (1) of subdivision (h) of Section 8574.32, the
director shall have the authority to collect an amount not to exceed
ten million dollars ($10,000,000) annually for deposit into the fund.
(B) For calendar years subsequent to the 2018 calendar year, the
director shall reconsider the amount of the fee pursuant to paragraph
(1) of subdivision (h) of Section 8574.32.
(h) The board shall inform the director if the amount of fees
collected reaches the amount specified in subdivision (g) in each
calendar year.
(i) Reimbursement to the state for equipment funded by moneys in
the fund that are used for emergency response activities unrelated to
regional railroad accident preparedness and immediate response as
described in this article shall be made pursuant to the state fire
service and rescue emergency mutual aid plan adopted pursuant to
Section 8619.5 and deposited into the fund.
8574.46. (a) (1) The director shall contract with the Department
of Finance for the preparation of a detailed report on the financial
basis and programmatic effectiveness of the regional railroad
accident preparedness and immediate response plan and the Regional
Railroad Accident Preparedness and Immediate Response Fund.
(2) The report shall include an analysis of the fund's major
expenditures, fees, interest, and penalties collected, staffing and
equipment levels, moneys used for coordinated training and response
under the emergency mutual aid plan, spills responded to, and other
relevant issues.
(3) The report shall recommend measures to improve the efficiency
and effectiveness of the program and fund, including, but not limited
to, ensuring fair and equitable funding from the fees and measures
to modify or improve the implementation of the regional railroad
accident preparedness and immediate response plan for release of
hazardous materials from a rail car or a railroad accident involving
a rail car.
(b) (1) On or before January 1, 2019, and every three years
thereafter, the director shall submit the report to the Governor and
the Legislature.
(2) The report submitted to the Legislature shall be submitted in
compliance with Section 9795.
8574.48. (a) The Regional Railroad Accident Preparedness and
Immediate Response Force is hereby created in the Office of Emergency
Services. The force shall be responsible for providing regional and
onsite response and mitigation capabilities in the event of a release
of hazardous materials from a rail car or a railroad accident
involving a rail car and for implementing the state regional railroad
accident preparedness and immediate response plan for releases of
hazardous materials from a rail car or a railroad accident involving
a rail car. The force shall act cooperatively and in concert with
existing local emergency response units pursuant to Article 9.5
(commencing with Section 8607). The force shall be established and
operate as outlined in, and as a component of, the state fire service
and rescue mutual aid plan adopted pursuant to Section 8619.5. The
force shall consist of representatives of all of the following:
(1) Department of Fish and Wildlife.
(2) California Environmental Protection Agency.
(3) State Air Resources Board.
(4) Department of Resources Recycling and Recovery.
(5) California regional water quality control boards.
(6) Department of Toxic Substances Control.
(7) Department of Pesticide Regulation.
(8) Office of Environmental Health Hazard Assessment.
(9) State Department of Public Health.
(10) Department of the California Highway Patrol.
(11) Department of Food and Agriculture.
(12) Department of Forestry and Fire Protection.
(13) Department of Parks and Recreation.
(14) Public Utilities Commission.
(15) State Fire Marshal.
(16) Emergency Medical Services Authority.
(17) California National Guard.
(18) Any other potentially affected or participating state, local,
or federal agency, as determined by the director.
(b) (1) The Office of Emergency Services, in cooperation with all
of the entities listed in paragraphs (1) to (18), inclusive, of
subdivision (a), shall develop a state regional railroad accident
preparedness and immediate response plan that operates in
coordination with the state fire service and rescue emergency mutual
aid plan.
(2) The state regional railroad accident preparedness and
immediate response plan shall be an annex to the State Emergency
Plan.
(c) (1) The Legislature finds and declares that the state has a
comprehensive program through the Office of Spill Prevention and
Response to prevent and prepare for the risk of a significant
discharge of petroleum into state waters, including a discharge
caused by the transportation of petroleum by rail. The Legislature
further finds and declares that the Regional Accident Preparedness
and Immediate Response Force is focused on the emergency response for
railroad accidents and rail car discharges involving all designated
hazardous materials regardless of where the accident or discharge
takes place.
(2) The Regional Accident Preparedness and Immediate Response
Force and Office of Spill Prevention and Response shall coordinate in
their respective authorities and responsibilities pursuant to
Article 9.5 (commencing with Section 8607), to avoid any duplication
of effort, ensure cooperation, and promote the sharing of information
regarding the risk of discharge of petroleum by rail into state
waters.
SEC. 7. Article 5.9 (commencing with Section
8590.6) is added to Chapter 7 of Division 1 of Title 2 of the
Government Code , to read:
Article 5.9. Human Trafficking Victims Assistance
8590.6. For the purposes of this article:
(a) "Comprehensive services" means primary services that include
all of the following:
(1) Shelter or established referral services for shelter on a 24
hours a day, seven days a week, basis.
(2) A 24 hours a day, seven days a week, telephone hotline for
crisis calls.
(3) Temporary housing and food facilities.
(4) Psychological support and peer counseling provided in
accordance with Section 1038.2 of the Evidence Code.
(5) Referrals to existing services in the community.
(6) Emergency transportation, as feasible.
(b) "Director" means the Director of the Office of Emergency
Services.
(c) "Fund" means the Human Trafficking Victims Assistance Fund.
(d) "Human trafficking caseworker" means a human trafficking
caseworker as defined in Section 1038.2 of the Evidence Code.
(e) "Office" means the Office of Emergency Services.
(f) "Qualified nonprofit organization" means a nongovernmental,
nonprofit organization that does both of the following:
(1) Employs a minimum of one individual who is a human trafficking
caseworker.
(2) Provides services to victims of human trafficking, including,
but not limited to, housing assistance, counseling services, and
social services to victims of human trafficking.
(g) "Victim of human trafficking" means any person who is a
trafficking victim as described in Section 236.1 of the Penal Code
and satisfies either of the following conditions:
(1) Was trafficked in the state.
(2) Fled his or her trafficker to the state.
8590.7. (a) There is hereby created in the State Treasury the
Human Trafficking Victims Assistance Fund. Moneys in the fund,
including any interest earned, shall only be expended to support
programs for victims of human trafficking pursuant to the
requirements of this article and for reimbursement of costs incurred
by the office in connection with its duties under this section. Of
the amounts appropriated to the fund, no more than 5 percent shall be
applied for reimbursement of costs incurred by the office in
connection with its duties
(b) The office shall do all of the following:
(1) Be responsible for overseeing the grant program.
(2) Award grants based on the following:
(A) The capability of the qualified nonprofit organization to
provide comprehensive services.
(B) The stated goals and objectives of the qualified nonprofit
organization.
(C) The number of people to be served and the needs of the
community.
(D) Evidence of community support.
(E) Other criteria the office deems appropriate that is consistent
with the requirements of this paragraph.
(3) Publish deadlines and written procedures for qualified
nonprofit organizations to apply for the grants.
SEC. 8. Section 8600 of the
Government Code is amended to read:
8600. (a) The Governor with the advice of
the Office of Emergency Services is hereby authorized and empowered
to divide the state into mutual aid regions for the more effective
application, administration, and coordination of mutual aid and other
emergency-related activities.
(b) The Office of Emergency Services shall coordinate response and
recovery operations in each of the mutual aid regions.
SEC. 9. Section 86 19.5 is added to the
Government Code , to read:
8619.5. (a) The Office of Emergency Services, in consultation
with relevant local and state agencies, shall develop and adopt a
state fire service and rescue emergency mutual aid plan that does all
of the following:
(1) Provides a systematic mobilization, organization, and
operation of necessary fire, rescue, and hazardous material resources
of the state in mitigating the effects of disasters.
(2) Provides comprehensive and compatible plans for the expedient
mobilization and response of available fire, rescue, and hazardous
materials resources on a local, area, regional, and statewide basis.
(3) Establishes guidelines for recruiting and training auxiliary
personnel to augment fire, rescue, and hazardous materials personnel
during disaster operations.
(4) Provides for an annually updated fire, rescue, and hazardous
materials response inventory of all personnel and equipment in
California.
(5) Provides for the interchange and dissemination of fire,
rescue, and hazardous materials-related data, directives, and
information among fire and rescue officials of local, state, and
federal agencies.
(6) Promotes annual training or exercises, or both training and
exercises, among plan participants.
(b) The state fire service and rescue emergency mutual aid plan
shall be an annex to the State Emergency Plan.
(c) The State Emergency Plan and the state fire service and rescue
mutual aid plan shall be operated pursuant to Article 9.5
(commencing with Section 8607).
SEC. 10. Section 11011.1 of the
Government Code is amended to read:
11011.1. (a) Notwithstanding any other provision of law, except
Article 8.5 (commencing with Section 54235) of Chapter 5 of Part 1 of
Division 2 of Title 5, the disposal of surplus state real property
by the Department of General Services shall be subject to the
requirements of this section. For purposes of this section, "surplus
state real property" means real property declared surplus by the
Legislature and directed to be disposed of by the Department of
General Services, including any real property previously declared
surplus by the Legislature but not yet disposed of by the Department
of General Services prior to the enactment of this section.
(b) (1) The department may dispose of surplus state real property
by sale, lease, exchange, a sale combined with an exchange, or other
manner of disposition of property, as authorized by the Legislature,
upon any terms and conditions and subject to any reservations and
exceptions the department deems to be in the best interests of the
state.
(2) (A) The Legislature finds and declares that the provision of
decent housing for all Californians is a state goal of the highest
priority. The disposal of surplus state real property is a direct and
substantial public purpose of statewide concern and will serve an
important public purpose, including mitigating the environmental
effects of state activities. Therefore, it is the intent of the
Legislature that priority be given, as specified in this section, to
the disposal of surplus state real property to housing for persons
and families of low or moderate income, where land is suitable for
housing and there is a need for housing in the community.
(B) Surplus state real property that has been determined by the
department not to be needed by any state agency shall be offered to
any local agency, as defined in subdivision (a) of Section 54221, and
then to nonprofit affordable housing sponsors, prior to being
offered for sale to private entities or individuals. As used in this
subdivision, "nonprofit affordable housing sponsor" means any of the
following:
(i) A nonprofit corporation incorporated pursuant to Division 2
(commencing with Section 5000) of Title 1 of the Corporations Code.
(ii) A cooperative housing corporation which is a stock
cooperative, as defined by Section 11003.2 of the Business and
Professions Code.
(iii) A limited-dividend housing corporation.
(C) The department, subject to this section, shall maintain a list
of surplus state real property in a conspicuous place on its
Internet Web site. The department shall provide local agencies and,
upon request, members of the public, with electronic notification of
updates to the list of properties.
(D) To be considered as a potential priority buyer of the surplus
state real property, a local agency or nonprofit affordable housing
sponsor shall notify the department of its interest in the surplus
state real property within 90 days of the department posting on its
Internet Web site the notice of the availability of the surplus state
real property. The local agency or nonprofit affordable housing
sponsor shall demonstrate, to the satisfaction of the department,
that the surplus state real property, or portion of that surplus
state real property, is to be used by the local agency or nonprofit
affordable housing sponsor for open space, public parks, affordable
housing projects, or development of local government-owned
facilities. When more than one local agency expresses an interest in
the surplus state real property, priority shall be given to the local
agency that intends to use the surplus state real property for
affordable housing. If no agreement or transfer of title occurs, the
priority shall next be given to the local agency that intends to use
the surplus state real property for open space, public parks, or
development of local government-owned facilities. The sales agreement
shall be executed by the local agency or nonprofit affordable
housing sponsor within 60 days after the director determines the
local agency or nonprofit affordable housing sponsor is to receive
the surplus state real property. The sale of the surplus state real
property to a local agency or nonprofit affordable housing sponsor
pursuant to this section shall be completed, and title transferred,
within 60 days of the date the department executes the sales
agreement, or, if required by law, no later than 60 days after the
State Public Works Board has authorized the sale. If the sale of a
surplus state real property to a local agency or nonprofit affordable
housing sponsor is not completed within the timeframe specified in
this subparagraph, then the department shall proceed with the process
for disposal to other private entities or individuals. If no
local agency or nonprofit affordable housing sponsor informs the
department of its interest in acquiring the property within 90 days
of the department posting on its Internet Web site the notice of the
availability of the surplus state real property, the department shall
notify the chairpersons of the fiscal committees of the Legislature
within 30 days of the expiration of the initial 90-day timeframe.
(c) (1) If more than one local agency desires the surplus state
real property for use as an open space, a public park, or the
development of a local government-owned facility, the department
shall transfer the surplus state real property to the local agency
offering the highest price above fair market value. If more than one
local agency desires the surplus state real property for use as an
affordable housing project, the department shall transfer the surplus
state real property to the
local agency offering the greatest number of affordable housing
units. If more than one nonprofit affordable housing sponsor desires
the surplus state real property for use as an affordable housing
project, the department shall transfer the surplus state real
property to the nonprofit affordable housing sponsor offering the
greatest number of affordable housing units.
(2) If no local agency or nonprofit affordable housing sponsor is
interested, or an agreement, as provided above, is not reached, then
the disposal of the surplus state real property to private entities
or individuals shall be pursuant to a public bidding process designed
to obtain the highest most certain return for the state from a
responsible bidder, and any transaction based on such a bidding
process shall be deemed to be the fair market value for the purposes
of the reporting requirements pursuant to subdivision (d).
(3) Notwithstanding any other provision of law, the department may
sell surplus state real property, or a portion of surplus state real
property, to a local agency, or to a nonprofit affordable housing
sponsor if no local agency is interested in the surplus state real
property, for affordable housing projects at a sales price less than
fair market value if the department determines that such a discount
will enable the provision of housing for persons and families of low
or moderate income. Nothing shall preclude a local agency that
purchases the surplus state real property for affordable housing from
reconveying the surplus state real property to a nonprofit
affordable housing sponsor for development of affordable housing.
Transfer of title to the surplus state real property or lease of the
surplus state real property for affordable housing shall be
conditioned upon continued use of the surplus state real property as
housing for persons and families of low and moderate income for at
least 40 years and the department shall record a regulatory agreement
that imposes affordability covenants, conditions, and restrictions
on the surplus state real property. The regulatory agreement shall be
a first priority lien on the surplus state real property and last
for a period of at least 40 years, and if another state agency is
lending funds for a project, a combined regulatory agreement shall be
utilized. Notwithstanding any other provision of law, the regulatory
agreement shall not be subordinated to any other lien or encumbrance
except for any federal loan program the statutes or regulations of
which require a first priority lien for that federal loan.
(4) Notwithstanding any other provision of law, the Director of
General Services may transfer surplus state real property to a local
agency for less than fair market value if the local agency uses the
surplus state real property for parks or open-space purposes. The
deed or other instrument of transfer shall provide that the surplus
state real property would revert to the state if the use changed to a
use other than parks or open-space purposes during the period of 25
years after the transfer date. For the purpose of this paragraph,
"open-space purposes" means the use of land for public recreation,
enjoyment of scenic beauty, or conservation or use of natural
resources.
(d) Thirty days prior to executing a transaction for a sale,
lease, exchange, a sale combined with an exchange, or other manner of
disposition of the surplus state real property for less than fair
market value or for affordable housing, or as authorized by the
Legislature, the Director of General Services shall report to the
chairpersons of the fiscal committees of the Legislature all of the
following:
(1) The financial terms of the transaction.
(2) A comparison of fair market value for the surplus state real
property and the terms listed in paragraph (1).
(3) The basis for agreeing to terms and conditions other than fair
market value.
(e) As to surplus state real property sold or exchanged pursuant
to this section, the director shall except and reserve to the state
all mineral deposits, as described in Section 6407 of the Public
Resources Code, together with the right to prospect for, mine, and
remove the deposits. If, however, the director determines that there
is little or no potential for mineral deposits, the reservation may
be without surface right of entry above a depth of 500 feet, or the
rights to prospect for, mine, and remove the deposits shall be
limited to those areas of the surplus state real property conveyed
that the director determines to be reasonably necessary for the
removal of the deposits.
(f) The failure to comply with this section, except for
subdivision (d), shall not invalidate the transfer or conveyance of
surplus state real property to a purchaser for value.
(g) For purposes of this section, fair market value is established
by an appraisal and economic evaluation conducted by the department
or approved by the department.
SEC. 11. Section 12432 of the
Government Code is amended to read:
12432. (a) The Legislature hereby finds and declares that it is
essential for the state to replace the current automated human
resource/payroll systems operated by the Controller to ensure that
state employees continue to be paid accurately and on time and that
the state may take advantage of new capabilities and improved
business practices. To achieve this replacement of the current
systems, the Controller is authorized to procure, modify, and
implement a new human resource management system that meets the needs
of a modern state government. This replacement effort is known as
the 21st Century Project.
(b) Notwithstanding any other law, beginning with the 2004-05
fiscal year, the Controller may assess the special and
nongovernmental cost funds in sufficient amounts to pay for the
authorized 21st Century Project costs that are attributable to those
funds. Assessments in support of the expenditures for the 21st
Century Project shall be made quarterly, and the total amount
assessed from these funds annually shall not exceed the total
expenditures incurred by the Controller for the 21st Century Project
that are attributable to those funds in that fiscal year.
Appropriations for this purpose shall be made in the annual Budget
Act.
(c) To the extent permitted by law, beginning with the 2004-05
fiscal year, the Controller shall establish agreements with various
agencies and departments for the collection from federal funds of
costs that are attributable to federal funds. The total amount
collected from those agencies and departments annually shall not
exceed the total expenditures incurred by the Controller for the 21st
Century Project that are attributable to federal funds in that
fiscal year. Appropriations for that purpose shall be made in the
annual Budget Act.
(d) It is the intent of the Legislature that, beginning not
earlier than the 2006-07 fiscal year, future annual Budget Acts
include General Fund appropriations in sufficient amounts for
expenditures for the 21st Century Project that are attributable to
the General Fund. It is the Legislature's intent that the share of
the total project costs paid for by the General Fund shall be
equivalent to the share of the total project costs paid for from
special and nongovernmental cost fund assessments and collections
from federal funds.
(e) This section shall remain in effect only until June 30,
2015, 2016, and as of that date is
repealed.
SEC. 12. The heading of Chapter 5 (commencing with
Section 13400) of Part 3 of Division 3 of Title 2 of the
Government Code is amended to read:
CHAPTER 5. THE FINANCIAL INTEGRITY AND STATE MANAGER'
S ACCOUNTABILITY ACT OF 1983 STATE LEADERSHIP
ACCOUNTABILITY ACT
SEC. 13. Section 13400 of the
Government Code is amended to read:
13400. This act shall be known and may be cited as the
Financial Integrity and State Manager's Accountability Act of 1983.
State Leadership Accountability Act .
SEC. 14. Section 13401 of the
Government Code is amended to read:
13401. (a) The Legislature hereby finds
all of the following:
(1) Active oversight processes, including regular and ongoing
monitoring processes, for the prevention and early detection of fraud
and errors in program administration are vital to public confidence
and the appropriate and efficient use of public resources.
(2) Fraud and errors in state programs are more likely to occur
from a lack of effective systems of internal accounting and
administrative control in the state
agencies when active monitoring measures are not maintained to ensure
that accounting and administrative controls are
functioning properly.
(3) Effective systems of internal accounting and
administrative control provide the basic foundation upon
which a structure of public accountability must be built.
(4) Effective systems of internal accounting and
administrative control are necessary to ensure that state
assets and funds resources are
adequately safeguarded, as well as to produce reliable
financial information for the agency. safeguarded,
monitored, and administered.
(5) Systems of internal accounting and administrative
control are necessarily dynamic and must be routinely
monitored, continuously evaluated, and, where necessary, improved.
(6) Reports regarding the continuing adequacy of the systems of
internal accounting and administrative control of
each state agency are necessary to enable the executive branch, the
Legislature, and the public to evaluate the
each state agency's performance of its public responsibilities
and accountability.
(b) The Legislature declares it all of the
following to be the policy policies
of the State of California that: state
:
(1) Each state agency must maintain effective systems of internal
accounting and administrative control as an
integral part of its management practices.
(2) The systems of internal accounting and administrative
control of each state agency shall be evaluated on an
ongoing basis through regular and ongoing monitoring processes and,
when detected, weaknesses must be promptly corrected.
(3) All levels of management of the state
agencies must be involved in assessing and strengthening the systems
of internal accounting and administrative control
to minimize fraud, errors, abuse, and waste of government
funds, however, key monitoring funds. Monitoring
processes should be structured designed
to ensure the independence and objectivity
of persons tasked with such monitoring.
Objectivity means allowing those tasked with monitoring to maintain
integrity, impartiality, a questioning state of mind, and the ability
to accurately and fairly assess ci rcumstances and draw
sound conclusions.
(4) It shall be the responsibility of the Department of Finance,
in consultation with the Controller and the California
State Auditor, to establish guidelines for how the
independence and objectivity of the persons tasked with
monitoring processes are to be maintained. Such
Those guidelines should include establishing monitor
training programs, identification of appropriate chain-of-command
reporting relationships, and recommended best practices for
professional development and the conduct of independent
objective monitoring, including , but not
limited to, practices for the regular dissemination of
strategies and lessons learned from successful efforts to strengthen
state administration via interagency cooperation.
SEC. 15. Section 13402 of the
Government Code is amended to read:
13402. State agency Agency heads
are responsible for the establishment and maintenance of a system or
systems of internal accounting, administrative
control, and effective, independent,
effective and objective ongoing monitoring of the internal
accounting and administrative controls within
their state agencies. This responsibility includes
documenting the system, communicating system requirements to
employees, and ensuring that the system is functioning as prescribed
and is modified, as appropriate, for changes in conditions.
SEC. 16. Section 13403 of the
Government Code is amended to read:
13403. (a) Internal accounting and administrative controls, if
maintained and reinforced through effective monitoring systems and
processes, are the methods through which reasonable assurances can be
given that measures adopted by state agency heads to safeguard
assets, check the accuracy and reliability of accounting data,
promote operational efficiency, and encourage adherence to prescribed
managerial policies are being followed. The
13403. (a) As used in this chapter, "internal
control" means a process, including a continuous built-in component
of operations, effected by a state agency's oversight body,
management, and other personnel that provide reasonable assurance
that the state agency's objectives will be achieved. The following
five components of internal control, if effectively designed,
implemented, and operated in an integrated manner, constitute an
effective internal control system:
(1) "Control environment" means the foundation for an internal
control system that provides the discipline and structure to help a
state agency achieve its objectives.
(2) "Risk assessment" means an assessment of the risks facing the
state agency as it seeks to achieve its objectives and provides the
basis for developing appropriate risk responses.
(3) "Control activities" means the actions management establishes
through policies and procedures to achieve objectives and respond to
risks in the internal control system.
(4) "Information and communication" means the quality of vital
information used and communicated to achieve the state agency's
objectives.
(5) "Monitoring" means the activities management establishes and
operates to assess the quality of performance over time and promptly
resolve the findings of audits and other reviews.
(b) The elements of a
satisfactory system of internal accounting and
administrative control, shall include, but are not limited
to, the following:
(1) A plan of organization that provides segregation of duties
appropriate for proper safeguarding of state agency assets.
(2) A plan that limits access to state agency assets to authorized
personnel who require these assets in the performance of their
assigned duties.
(3) A system of authorization and recordkeeping
policies and procedures adequate to provide
effective accounting control over assets, liabilities, revenues, and
expenditures. compliance with applicable laws,
criteria, standards, and other requirements.
(4) An established system of practices to be followed in
performance of duties and functions in each of the state agencies.
(5) Personnel of a quality commensurate with their
responsibilities.
(6) An effective system of internal review.
(7) A technology infrastructure to support the completeness,
accuracy, and validity of information processed.
(b) State agency
(c) Agency heads shall follow
these the standards established by
this section of internal accounting and
administrative control in carrying out the requirements of
Section 13402.
(c)
(d) Monitoring systems and processes are vital to the
following:
(1) Ensuring that routine application of internal controls
does do not diminish their efficacy
over time.
(2) Providing timely notice and opportunity for correction of
emerging weaknesses with established internal controls.
(3) Facilitating public resources and other decisions by ensuring
availability of accurate and reliable information.
(4) Facilitating production of timely and accurate financial
reports, and the submittal, when appropriate, of recommendations for
how greater efficiencies in support of the state agency's
mission may be attainable via the consolidation or restructuring of
potentially duplicative or inefficient processes, programs, or
practices where it appears such changes may be achieved without
undermining program effectiveness, quality, or customer satisfaction.
(d)
(e) It shall be the responsibility of the Department of
Finance, in consultation with the Controller and the California
State Auditor, to establish guidelines to
for the management of state agencies management
on how the role of independent monitor
monitoring should be staffed, structured, and its
reporting function standardized so it fits within an efficient and
normalized state agency administrative framework.
(e) State agency
(f) Agency heads shall implement
systems and processes to ensure the independence and
objectivity of the monitoring of internal
accounting and administrative control as an ongoing
activity in carrying out the requirements of Section 13402.
SEC. 17. Section 13404 of the
Government Code is amended to read:
13404. As used in this chapter:
(a) "Governor" means the Governor of California.
(b) "Controller" means the Controller of California.
(c) "Director" means the Director of Finance.
(d) "Attorney General" means the Attorney General of California.
(e) "Treasurer" means the Treasurer of California.
(a) "Agency head" means the individual responsible for the overall
operations of a state agency.
(b) "State agency" means every entity included in subdivision (a)
of Section 11000 and the California State University. The Department
of Finance shall make the final determination whether a state entity
is a state agency for purposes of being subject to the provisions of
this chapter.
SEC. 18. Section 13405 of the
Government Code is amended to read:
13405. (a) To ensure that the requirements of this chapter are
fully complied with, the head of each
state agency head that the director
Department of Finance determines is covered by
this section shall, on a biennial basis but no later than December 31
of each odd-numbered year, conduct an internal review and prepare a
report on the adequacy of the state agency's systems of
internal accounting, administrative control, and
monitoring practices in accordance with the guide prepared by the
director Department of Finance pursuant
to subdivision (d).
(b) The report, including the state agency's response to review
recommendations, shall be signed by the head of the
agency head and addressed to the agency
secretary, or the director Director of
Finance for agencies a state agency
without a secretary. Copies of the reports shall be
submitted An agency head shall submit a copy of the
report and related response, pursuant to a method determined by the
Department of Finance, to the Legislature, the California
State Auditor, the Controller, the Treasurer, the
Attorney General, the Governor, the director,
Department of Finance, the Secretary of Government Operations,
and to the State Library where they the copy
shall be available for public inspection.
(c) The report shall identify any material inadequacy or material
weakness in an a state agency's systems
of internal accounting and administrative control
that prevents the head of the agency head
from stating that the state agency's systems comply
with this chapter. No later than 30 days after the report is
submitted, the Concurrently with the submission of
the report pursuant to subdivision (b), the state agency shall
provide to the director Department of Finance
a plan and schedule for correcting the identified inadequacies
and weaknesses, which that shall be
updated every six months until all corrections are
completed. implemented.
(d) The director, Department of Finance
in consultation with the California State Auditor
and the Controller, shall establish, and may modify from time to time
as necessary, a system of reporting and a general framework to guide
state agencies in conducting internal reviews of their systems of
internal accounting and administrative control.
(e) The director, Department of Finance
in consultation with the California State Auditor
and the Controller, shall establish, and may modify from time to time
as necessary, a general framework of recommended practices to guide
state agencies in conducting active, ongoing monitoring of processes
for internal accounting and administrative
control.
SEC. 19. Section 13406 of the
Government Code is a mended to read:
13406. (a) The head of the internal audit staff of a state agency
or a division, , as specified by the
director, Director of Finance, or, in
the event there is no internal audit function, a professional
accountant, if available on the staff, designated as the internal
control person by the agency head of the state
agency or a division, shall receive and investigate any
allegation that an employee of the state agency provided
false or misleading information in connection with the review of the
state agency's systems of internal accounting and
administrative control or in connection with the
preparation of the biennial report on the systems of internal
accounting, administrative control, and monitoring
practices.
(b) If, in connection with any investigation under subdivision
(a), the head of the internal audit staff or the designated internal
control person determines that there is reasonable cause to believe
that false or misleading information was provided, he or she shall
report in writing that determination to the head of the
agency or the division. agency head.
(c) The head of the agency or division
head shall review any matter referred to him or
her under subdivision (b), shall take such
the disciplinary or corrective action as he or she deems
necessary, and shall forward a copy of the report, indicating
therein the action taken, to the director
Department of Finance within 90 days of the
date of the report.
SEC. 20. Section 13407 of the
Government Code is amended to read:
13407. Because sound internal accounting and
administrative controls and the regular and ongoing
monitoring of those internal controls significantly inhibits waste of
resources and thereby creates savings, the director
Department of Finance and state
agencies and divisions shall carry out the
provisions of this chapter by using existing resources.
SEC. 21. Section 13974.1 of the
Government Code is amended to read:
13974.1. (a) The board California Victim
Compensation and Government Claims Board shall use the
applicable provisions of this article to establish a claim and reward
procedure to reward persons providing information leading to the
location of any child listed in the missing children registry
compiled pursuant to former Section 11114 of the Penal Code or
maintained pursuant to the system maintained pursuant to Sections
14203 and 14204 of the Penal Code.
(b) Awards shall be made upon recommendation of the Department of
Justice in an amount of not to exceed five hundred dollars ($500) to
any one individual. However, as a condition to an award, in any
particular case, an amount equal to or greater in nonstate funds
shall have been first offered as a reward for information leading to
the location of that missing child.
(c) The Missing Children Reward Fund is hereby created in
the State Treasury and is continuously appropriated to the
abolished and any remaining balance is transferred to the
Restitution Fund. The California Victim Compensation and
Government Claims Board to shall make
awards pursuant to this section. section from
the Restitution Fund, using the appropriation authority provided in
Section 13964.
SEC. 22. Section 16522 of the
Government Code is amended to read:
16522. The following securities may be received as security for
demand and time deposits:
(a) Bonds, notes, or other obligations of the United States, or
those for which the faith and credit of the United States are pledged
for the payment of principal and interest, including the guaranteed
portions of small business administration loans, so long as those
loans are obligations for which the faith and credit of the United
States are pledged for the payment of principal and interest.
(b) Notes or bonds or any obligations of a local public agency (as
defined in the United States Housing Act of 1949) or any obligations
of a public housing agency (as defined in the United States Housing
Act of 1937) for which the faith and credit of the United States are
pledged for the payment of principal and interest.
(c) Bonds of this state or of any county, city, town, metropolitan
water district, municipal utility district, municipal water
district, bridge and highway district, flood control district, school
district, water district, water conservation district or irrigation
district within this state, and, in addition, revenue or tax
anticipation notes, and revenue bonds payable solely out of the
revenues from a revenue-producing property owned, controlled or
operated by this state, or such local agency or district, or by a
department, board, agency, or authority thereof.
(d) Registered warrants of this state.
(e) Bonds, consolidated bonds, collateral trust debentures,
consolidated debentures, or other obligations issued by the United
States Postal Service, federal land banks or federal intermediate
credit banks established under the Federal Farm Loan Act, as amended,
debentures and consolidated debentures issued by the Central Bank
for Cooperatives and banks for cooperatives established under the
Farm Credit Act of 1933, as amended, consolidated obligations of the
Federal Home Loan Banks established under
the Federal Home Loan Bank Act, bonds, debentures and
other obligations of the Federal National Mortgage Association and of
the Government National Mortgage Association established under the
National Housing Act as amended, in the bonds of any federal home
loan bank established under said act, bonds, debentures, and other
obligations of the Federal Home Loan Mortgage Corporation established
under the Emergency Home Finance Act of 1970, and in bonds, notes,
and other obligations issued by the Tennessee Valley Authority under
the Tennessee Valley Authority Act, as amended.
(f) Bonds and notes of the California Housing Finance Agency
issued pursuant to Chapter 7 (commencing with Section 41700) of Part
3 of Division 31 of the Health and Safety Code.
(g) Promissory notes secured by first mortgages and first trust
deeds upon residential real property located in California, provided
that:
(1) Notwithstanding Section 16521, the promissory notes shall at
all times be in an amount in value at least 50 percent in excess of
the amount deposited with the bank;
(2) The Treasurer issues regulations, establishes procedures for
determining the value of the promissory notes and develops standards
necessary to protect the security of the deposits so collateralized;
(3) The depository may exercise, enforce, or waive any right or
power granted to it by promissory note, mortgage, or deed of trust;
and
(4) The following may not be used as security for deposits:
(i) Any promissory note on which any payment is more than 90 days
past due,
(ii) Any promissory note secured by a mortgage or deed of trust as
to which there is a lien prior to the mortgage or deed of trust, or
(iii) Any promissory note secured by a mortgage or deed of trust
as to which a notice of default has been recorded pursuant to Section
2924 of the Civil Code or an action has been commenced pursuant to
Section 725a of the Code of Civil Procedure.
(h) Bonds issued by the State of Israel.
(i) Obligations issued, assumed, or guaranteed by the
International Bank for Reconstruction and Development, the
Inter-American Development Bank, the Asian Development Bank, the
African Development Bank, the International Finance Corporation, or
the Government Development Bank of Puerto Rico.
(j) Any municipal securities, as defined by Section 3(a)(29) of
the Securities Exchange Act of June 6, 1934, (15 U.S.C. 78, as
amended), which are issued by this state or any local agency thereof.
(k) Letters of credit issued by the Federal Home Loan Bank of San
Francisco, which shall be in the form and shall contain provisions as
the Treasurer may prescribe, and shall include the following terms:
(1) The Treasurer shall be the beneficiary of the letter of
credit.
(2) The letter of credit shall be clean and irrevocable, and shall
provide that the Treasurer may draw upon it up to the total amount
in the event of the failure of the bank or if the bank refuses to
permit the withdrawal of funds by the Treasurer or any other
authorized state officer or employee.
(l) An eligible bank that has been selected by the Treasurer for
the safekeeping of money belonging to, or in the custody of, the
state, and that has its headquarters located outside of the state,
may submit letters of credit that are drawn on its regional federal
home loan bank as security, solely for deposits maintained in the
Treasurer's demand accounts, and subject to the terms set forth in
paragraphs (1) and (2) of subdivision (k).
SEC. 23. Section 16551 of the
Government Code is amended to read:
16551. With the consent of the bank owning securities deposited
or to be deposited with him or her as security, the
Treasurer may:
(a) Authorize any qualified trust company, other than the
depositor bank, or the Federal Reserve Bank of San Francisco
any federal reserve bank or any branch thereof
or any state or national bank located in any city designated as a
reserve or central reserve city by the Board of Governors of the
Federal Reserve System to receive as his or her agent
deposits of any securities approved under this chapter.
(b) Place and maintain for safekeeping as a trust deposit with any
qualified trust company, other than the depositor bank, or with
the Federal Reserve Bank of San Francisco any
federal reserve bank or any branch thereof any securities that
have been received by him or her under this chapter.
(c) Whenever any qualified trust company accepts such securities
under paragraph (a) or (b) such trust company, with the prior
approval of the Treasurer, may keep such securities for safekeeping
with any state or national bank located in a city designated as a
reserve or central reserve city by the Board of Governors of the
Federal Reserve System.
SEC. 24. Section 16552 of the
Government Code is amended to read:
16552. The Treasurer shall take from the qualified trust company
or from the Federal Reserve Bank of San Francisco
any federal reserve bank or a any
branch thereof a receipt for any securities received by it
under this article. Neither the Treasurer nor the State is
responsible for the custody and safe return of such securities until
they are withdrawn from the qualified trust company or from
the Federal Reserve Bank of San Francisco any federal
reserve bank or a any branch
thereof by the Treasurer.
SEC. 25. Section 16553 of the
Government Code is amended to read:
16553. Any qualified trust company or the Federal
Reserve Bank of San Francisco any federal reserve bank
or any branch thereof to which securities are delivered,
either as agent or depositary for the Treasury, shall make such
disposition of the securities as the Treasurer directs and is
responsible only for strict compliance with written instructions
given to it by the Treasurer. All such securities are at all times
subject to the order of the Treasurer.
SEC. 26. Section 16554 of the Government
Code is amended to read:
16554. The charges of any qualified trust company or of
the Federal Reserve Bank of San Francisco any federal
reserve bank or a any branch
thereof for the handling and safekeeping of such securities are not a
charge against the Treasurer but shall be paid by the owner.
SEC. 27. Section 16626 of the
Government Code is amended to read:
16626. With the consent of the savings and loan association or
credit union owning securities deposited or to be deposited with him
or her as security, the Treasurer may:
(a) Authorize any qualified trust company or the Federal
Reserve Bank of San Francisco any federal reserve bank
or any branch thereof or any state or national bank located in
any city designated as a reserve or central reserve city by the
Board of Governors of the Federal Reserve System or the Federal Home
Loan Bank of San Francisco to receive as his or her agent deposits of
any securities approved under this chapter.
(b) Place and maintain for safekeeping as a trust deposit with any
qualified trust company, or with the Federal Reserve Bank
of San Francisco any federal reserve bank or any
branch thereof or the Federal Home Loan Bank of San Francisco any
securities that have been received by him or her under this chapter.
(c) Whenever any qualified trust company accepts securities under
paragraph (a) or (b) the trust company, with the prior approval of
the Treasurer, may keep the securities for safekeeping with any state
or national bank located in a city designated as a reserve or
central reserve city by the Board of Governors of the Federal Reserve
System.
SEC. 28. Section 16627 of the Government
Code is amended to read:
16627. The Treasurer shall take from the qualified trust company
or from the Federal Reserve Bank of San Francisco
any federal reserve bank or a any
branch thereof or the Federal Home Loan Bank of San Francisco a
receipt for any securities received by it under this article.
Neither the Treasurer nor the state is responsible for the custody
and safe return of such securities until they are withdrawn from the
qualified trust company or from the Federal Reserve Bank of
San Francisco any federal reserve bank or
a any branch thereof or from the
Federal Home Loan Bank of San Francisco by the Treasurer.
SEC. 29. Section 16628 of the
Government Code is amended to read:
16628. Any qualified trust company or the Federal
Reserve Bank of San Francisco any federal reserve bank
or any branch thereof or the Federal Home Loan Bank of San
Francisco to which securities are delivered, either as agent or
depositary for the Treasury, shall make such disposition of the
securities as the Treasurer directs and is responsible only for
strict compliance with written instructions given to it by the
Treasurer. All such securities are at all times subject to the order
of the Treasurer.
SEC. 30. Section 16629 of the
Government Code is amended to read:
16629. The charges of any qualified trust company or of
the Federal Reserve Bank of San Francisco a
ny federal reserve bank or a any
branch thereof or the Federal Home Loan Bank of San Francisco for
the handling and safekeeping of such securities are not a charge
against the Treasurer but shall be paid by the owner.
SEC. 31. Section 17604 is added to the
Government Code , to read:
17604. (a) The Department of Finance, in collaboration with the
Secretary of State and the Legislative Analyst's Office, shall
convene a working group to evaluate alternatives for funding
election-related state mandates. The working group shall commence no
later than September 1, 2015. By September 1, 2016, the Department of
Finance shall submit to the Legislature a report that summarizes the
findings of the working group, including recommendations to the
Legislature.
(b) (1) The Department of Finance shall conduct a survey of county
election officials during years in which a statewide general
election is held pursuant to Section 1200 of the Elections Code to
determine whether or not counties are carrying out the requirements
set forth in the following state mandates:
(A) Absentee ballots.
(B) Absentee ballots tabulation by precinct.
(C) Modified primary election.
(D) Permanent absentee voters II.
(E) Voter identification procedures.
(F) Voter registration procedures.
(2) The Department of Finance shall report the results of the
survey to the Legislature by each April 1 following a statewide
general election.
(c) A report to be submitted pursuant to subdivisions (a) and (b)
shall be submitted in compliance with Section 9795 of the Government
Code.
SEC. 32. Section 19213 is added to the
Government Code , to read:
19213. "Additional appointment" is the term used when a state
civil service employee is appointed to more than one position in
state service. An additional appointment shall comply with state
civil service laws and rules. Consistent with board rules, the
Department of Human Resources shall adopt policies to advise state
agencies regarding the procedures and appropriate use of additional
appointments.
SEC. 33. Section 21231 is added to the
Government Code , to read:
21231. (a) On and after January 1, 2013, a retired person may
serve without reinstatement from retirement or loss or interruption
of benefits provided by this system, as an elective officer.
(b) If a retired person serves without reinstatement from
retirement in an elective office and part or all of his or her
retirement allowance is based on service in that elective office, the
portion of the allowance based on service in that elective office
shall be suspended during incumbency in that elective office. The
entire retirement allowance shall be paid for time on and after the
person vacates the elective office in the monthly amount payable had
the allowance not been suspended. The governing body of every
employer other than the state shall cause immediate notice to be
given to this system of the election of any retired person to an
office of the employer.
SEC. 34. Section 21232 is added to the
Government Code , to read:
21232. On and after January 1, 2013, a person who has retired for
disability and has not attained the mandatory age for retirement for
persons in the employment in which he or she will be employed, and
whom the board finds is not disabled for that employment, may be so
employed by any employer without reinstatement from retirement if the
position is not the position from which this person retired or a
position in the same member classification. The person's disability
retirement pension shall be reduced during this employment to an
amount that, when added to the compensation received, equals the
maximum compensation earnable by a person holding the position that
he or she held at the time of retirement. This employment shall
terminate upon the person's attainment of the mandatory retirement
age for persons in that employment. A person employed under this
section shall not be concurrently employed under this article.
SEC. 35. Section 27397 of the
Government Code is amended to read:
27397. (a) A county establishing an electronic recording delivery
system under this article shall pay for the direct cost of
regulation and oversight by the Attorney General.
(b) The Attorney General may charge a fee directly to a vendor
seeking approval of software and other services as part of an
electronic recording delivery system. The fee shall not exceed the
reasonable costs of approving software or other services for vendors.
(c) In order to pay costs under this section, a county may do any
of the following:
(1) Impose a fee in an amount up to and including one dollar ($1)
for each instrument that is recorded by the county. This fee may, at
the county's discretion, be limited to instruments that are recorded
pursuant to the electronic recording delivery system.
(2) Impose a fee upon any vendor seeking approval of software and
other services as part of an electronic recording delivery system.
(3) Impose a fee upon any person seeking to contract as an
authorized submitter.
(d) The total fees assessed by a county recorder pursuant to this
section may not exceed the reasonable total costs of the electronic
recording delivery system, the review and approval of vendors and
potential authorized submitters, security testing as required by this
article and the regulations of the Attorney General, and
reimbursement to the Attorney General for regulation and oversight of
the electronic recording delivery system.
(e) Fees paid to the Attorney General pursuant to subdivisions (a)
and (b) shall be deposited in the Electronic Recording Authorization
Account, Fund which is hereby created
in the Special Deposit Fund, State Treasury,
and, notwithstanding Section 13340, is continuously
appropriated, without regard to fiscal years, to the Attorney General
for the costs described in those subdivisions. Moneys deposited
in the Electronic Recording Authorization Account prior to the
effective date of the amendments to this subdivision made during the
2015 Regular Session shall be immediately transferred to the
Electronic Recording Authorization Fund.
SEC. 36. Section 65050 is added to the
Government Code , to read:
65050. There is hereby established a Statewide Director of
Immigrant Integration. The Director shall be appointed by and serve
at the pleasure of the Governor. The Director shall serve as the
statewide lead for the planning and coordination of immigrant
services and policies in California. The duties of the Statewide
Director of Immigrant Integration shall include, but are not limited
to, all of the following:
(a) Develop comprehensive statewide report on programs and
services that serve immigrants, including immigrants regardless of
legal presence. The report shall include all of the following:
(1) Federal and state laws, regulations, and policies that create
programs or authorize the access or participation of immigrants,
including immigrants without legal presence.
(2) Programs and services currently managed by a state agency or
department to support California immigrants, such as naturalization
services and other immigrant assistance programs, and the agency or
department responsible for administering the funding or implementing
the program.
(b) On or before January 10, 2017, report to the Governor and the
Legislature on the programs and services described in subdivision (a)
and a statewide plan for better implementation and coordination of
immigrant assistance policies and programs.
(c) On or before July 10, 2017, develop an online clearinghouse of
immigrant services, resources, and programs.
(d) Monitor the implementation of statewide laws and regulations
that serve immigrants.
SEC. 37. Section 65051 is added to the
Government Code , to read:
65051. (a) The Immigrant Integration Fund is hereby created in
the State Treasury. Moneys in the fund shall be used for any purpose
authorized by this chapter.
(b) The Immigrant Integration Fund may be funded by both private
and public funds. Cash donations received pursuant to this
subdivision shall be deposited into the fund and, shall be made
available immediately upon deposit and appropriation by the
Legislature for the purposes described in this chapter.
SEC. 38. Chapter 4 (commencing with Section 34090)
is added to Part 1.6 of Division 24 of the Health and
Safety Code , to read:
CHAPTER 4. DROUGHT HOUSING RELOCATION ASSISTANCE
34090. (a) The department may provide temporary assistance to a
person moving out of a housing unit due to a lack of potable water
connected to the housing unit resulting from the drought conditions
described in the state of emergency proclaimed by the Governor on
January 17, 2014, if both of the following requirements are met:
(1) The person has exhausted all reasonable attempts to find a
potable water source for the housing unit.
(2) The housing unit is served by a private well or water utility
with fewer than 15 connections that is running out of potable water
due to drought conditions.
(b) (1) The department may administer the housing assistance or
contract with a qualified state or local government agency or
nonprofit organization to administer the assistance.
(2) The department may utilize available funds to leverage or
complement other rental housing subsidy programs providing temporary
assistance to qualifying households.
(c) The department shall adopt guidelines to implement this
chapter, including, but not limited to, eligibility, income limits,
type of assistance to be provided, and amounts of assistance.
34091. Any rule, policy, or standard of general application
employed by the department in implementing this chapter shall not be
subject to the requirements of the Administrative Procedure Act
(Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code).
34092. This chapter shall remain in effect only until June 30,
2017, and as of that date is repealed.
SEC. 39. Section 50661 of the Health
and Safety Code is amended to read:
50661. (a) There is hereby created in the State Treasury the
Housing Rehabilitation Loan Fund. All interest or other increments
resulting from the investment of moneys in the Housing Rehabilitation
Loan Fund shall be deposited in the fund, notwithstanding Section
16305.7 of the Government Code. Notwithstanding Section 13340 of the
Government Code, all money in the fund is continuously appropriated
to the department for the following purposes:
(1) For making deferred-payment rehabilitation loans for financing
all or a portion of the cost of rehabilitating existing housing to
meet rehabilitation standards as provided in this chapter.
(2) For making deferred payment loans as provided in Sections
50668.5, 50669, and 50670.
(3) For making deferred payment loans pursuant to Sections 50662.5
and 50671.
(4) Subject to the restrictions of Section 53131, if applicable,
for administrative expenses of the department made pursuant to this
chapter, Article 3 (commencing with Section 50693) of Chapter 7.5,
and Chapter 10 (commencing with Section 50775).
(5) For related administrative costs of nonprofit corporations and
local public entities contracting with the department pursuant to
Section 50663 in an amount, if any, as determined by the department,
to enable the entities and corporations to implement a program
pursuant to this chapter. The department shall ensure that not less
than 20 percent of the funds loaned pursuant to this chapter shall be
allocated to rural areas. For purposes of this chapter, "rural area"
shall have the same meaning as in Section 50199.21.
(6) To the extent no other funding sources are available, ten
million dollars ($10,000,000), as provided in Section 4 of Chapter 3
of the Statutes of 2014, may be used for the purposes of Section
34085.
(7) To the extent that funds are made available by the
Legislature, moneys in the fund may be used for the purposes
described in Chapter 4 (commencing with Section 34090) of Part 1.6 of
Division 24. Any funds made available for these purposes that are
not encumbered on or before June 30, 2017, shall revert to the
General Fund.
(b) There shall be paid into the fund the following:
(1) Any moneys appropriated and made available by the Legislature
for purposes of the fund.
(2) Any moneys that the department receives in repayment of loans
made from the fund, including any interest thereon.
(3) Any other moneys that may be made available to the department
for the purposes of this chapter from any other source or sources.
(4) Moneys transferred or deposited to the fund pursuant to
Sections 50661.5 and 50778.
(c) Notwithstanding any other law, any interest or other increment
earned by the investment or deposit of moneys appropriated by
subdivision (b) of Section 3 of Chapter 2 of the Statutes of the
1987-88 First Extraordinary Session, or Section 7 of Chapter 4 of the
Statutes of the 1987-88 First Extraordinary Session, shall be
deposited in a special account in the Housing Rehabilitation Loan
Fund and shall be used exclusively for purposes of Sections 50662.5
and 50671.
(d) Notwithstanding any other law, effective with the date of the
act adding this subdivision, appropriations authorized by the Budget
Act of 1996 for support of the Department of Housing and Community
Development from the California Disaster Housing Repair Fund and the
California Homeownership Assistance Fund shall instead be authorized
for expenditure from the Housing Rehabilitation Loan Fund.
(e) Effective July 1, 2014, the California Housing Trust Fund in
the State Treasury is abolished and any remaining balance, assets,
liabilities, and encumbrances shall be transferred to, and become
part of, the Housing Rehabilitation Loan Fund. Notwithstanding
Section 13340 of the Government Code, all transferred amounts are
continuously appropriated to the department for the purpose of
satisfying any liabilities and encumbrances and the purposes
specified in this section.
SEC. 40. Section 50716 of the Health
and Safety Code is amended to read:
50716. (a) Notwithstanding any other law, to respond to the state
of emergency proclaimed by the Governor on January 17, 2014, the
department shall, directly or through contracts, make the Office of
Migrant Services centers available for rent by persons or families
experiencing economic hardships or rendered homeless or at risk
of becoming homeless as a result of the drought. This may
include, but is not limited to, extending the period of occupancy
prior to or beyond the standard 180-day period and redefining persons
and families eligible to occupy the centers. To the extent feasible,
the department shall give preference to persons and families that
meet existing program criteria.
(b) The department may adopt program guidelines to implement this
section. Any rule, policy, or standard of general application
employed by the department in implementing the provisions of this
section shall not be subject to the requirements of the
Administrative Procedure Act (Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code).
SEC. 41. Section 10089.395 is added to the
Insurance Code , immediately following Section
10089.39 , to read:
10089.395. (a) The Legislature finds and declares that there
exists the California Residential Mitigation Program, also known as
the CRMP, a joint powers authority created in 2012 by agreement
between the California Earthquake Authority and the Office of
Emergency Services.
(b) Any funds appropriated by the Legislature for the purpose of
funding the CRMP's implementation of the grant program described in
this section shall be to the department, which shall provide the
funds to the California Earthquake Authority's
Earthquake Loss Mitigation Fund, pursuant to
subdivision (k) of Section 10089.7 and according to the terms of an
agreement negotiated by the department and the authority. The
authority, the prime funder of the CRMP, shall then transfer the
funds from its Earthquake Loss Mitigation Fund to the CRMP for
further implementation and expansion of the CRMP's Earthquake Brace
and Bolt program, upon actions by the respective governing boards of
the authority and the CRMP, authorizing and accepting that transfer.
The CRMP shall, pursuant to the requirements of this section,
implement the grant program and make grants that assist a qualifying
owner of a single-family residential structure by defraying the owner'
s costs of seismic retrofitting of the structure.
(c) The CRMP may make a grant to an applicant who satisfies all of
the following:
(1) The applicant is an owner of record of, and lives in, the
structure to be retrofitted.
(2) The structure is a single-family, detached, residential
building composed of one to four dwelling units.
(3) The structure meets structural requirements established
pursuant to subdivision (e).
(4) The structure is located in a high-risk earthquake area, based
on criteria established pursuant to subdivision (e).
(5) The retrofit work qualifies as work for which the applicant
may receive a grant, based on criteria established pursuant to
subdivision (e).
(d) Subject to the policies, procedures, and criteria adopted
pursuant to subdivision (e), a grant shall not exceed the lesser of
75 percent of the cost of the qualifying retrofit work, or three
thousand dollars ($3,000).
(e) The governing board of the CRMP shall adopt policies and
procedures to implement this section, including, but not limited to,
establishing structural eligibility requirements for structures that
will receive a grant for seismic retrofit work, defining criteria for
determining whether a structure is located in a high-earthquake-risk
area, and defining criteria for seismic retrofit work that qualifies
as work eligible for receipt of a grant, which may be awarded in
amounts of greater or lesser than the amounts established by
subdivision (d). In adopting those policies and procedures, the
governing board shall provide notice and opportunity for public
review and comment, publish the policies and procedures on the CRMP's
Internet Web site, and otherwise make the policies and procedures
available to the public.
SEC. 42. Section 10089.397 is added to the
Insurance Code , to read:
10089.397. (a) The Legislature finds and declares that there
exists the California Residential Mitigation Program, also known as
the CRMP, a joint powers authority created in 2012 by agreement
between the California Earthquake Authority and the Office of
Emergency Services.
(b) Any funds appropriated by the Legislature for the purpose of
funding the CRMP's implementation of the grant program described in
this section shall be to the department, which shall provide the
funds to the California Earthquake Authority's Earthquake Loss
Mitigation Fund, pursuant to subdivision (k) of Section 10089.7 and
according to the terms of an agreement negotiated by the department
and the authority. The authority, the prime funder of the CRMP, shall
then transfer the funds from its Earthquake Loss Mitigation Fund to
the CRMP for further implementation and expansion of the CRMP's
Earthquake Brace and Bolt program, upon actions by the respective
governing boards of the authority and the CRMP, authorizing and
accepting that transfer. The CRMP may, pursuant to the requirements
of this section, implement the grant program and on or after July 1,
2015, make grants that assist a qualifying owner of a multiunit
residential structure by defraying the owner's cost of seismic
retrofitting of the structure.
(c) The CRMP may make a grant to an applicant who satisfies all of
the following:
(1) The applicant is an owner of record of the structure to be
retrofitted and has secured the written consent of all other owners
of the structure to make a grant application.
(2) The structure is a residential building of not fewer than two,
but not more than 10, dwelling units.
(3) The dwelling units in the structure are occupied by tenants
who are members of "lower income households," as defined in
subdivision (a) of Section 50079.5 of the Health and Safety Code.
(4) The structure meets structural requirements established
pursuant to subdivision (d).
(5) The structure is located in a high-risk earthquake area, based
on criteria established pursuant to subdivision (d).
(6) The retrofit work qualifies as work for which the applicant
may receive a grant, based on criteria established pursuant to
subdivision (d).
(d) The governing board of the CRMP shall adopt policies and
procedures necessary to implement this section, including, but not
limited to, establishing the means by which the applicant may satisfy
the tenant-related economic eligibility criteria for the program,
establishing structural eligibility requirements for a structure that
will receive seismic retrofit work, defining criteria for
determining whether a structure is located in a high-risk earthquake
area, defining criteria for seismic retrofit work that qualifies as
work eligible for receipt of a grant, and defining criteria for the
determination of the amount of a grant awarded pursuant to the
program created by this section. In adopting those policies and
procedures, the governing board shall provide notice and opportunity
for public review and comment, publish the policies and procedures on
the CRMP's Internet Web site, and otherwise make the policies and
procedures available to the public.
SEC. 43. Section 6309 of the Labor Code
is amended to read:
6309. (a) If the division learns or has
reason to believe that an employment or place of employment is not
safe or is injurious to the welfare of an employee, it may, on its
own motion, or upon complaint, summarily investigate the
same employment or place of employment, with or
without notice or hearings. However, if the division receives a
complaint from an employee, an employee's representative, including,
but not limited to, an attorney, health or safety professional, union
representative, or government agency representative, or an employer
of an employee directly involved in an unsafe place of employment,
that his or her employment or place of employment is not safe, it
shall, with or without notice or hearing, summarily investigate the
complaint as soon as possible, but not later than three working days
after receipt of a complaint charging a serious violation, and not
later than 14 calendar days after receipt of a complaint charging a
nonserious violation. The division shall attempt to determine the
period of time in the future that the complainant believes the unsafe
condition may continue to exist, and shall allocate inspection
resources so as to respond first to those situations in which time is
of the essence. For purposes of this section, a complaint is deemed
to allege a serious violation if the division determines that the
complaint charges that there is a substantial probability that death
or serious physical harm could result from a condition which exists,
or from one or more practices, means, methods, operations, or
processes which have been adopted or are in use in a place of
employment. When a complaint charging a serious violation is received
from a state or local prosecutor, or a local law enforcement agency,
the division shall summarily investigate the employment or place of
employment within 24 hours of receipt of the complaint. All other
complaints are deemed to allege nonserious violations. The division
may enter and serve any necessary order relative thereto. The
division is not required to respond to a complaint within this period
where, from the facts stated in the complaint, it determines that
the complaint is intended to willfully harass an employer or is
without any reasonable basis.
The
(b) The division shall keep
complete and accurate records of all complaints, whether verbal or
written, and shall inform the complainant, whenever his or her
identity is known, of any action taken by the division in regard to
the subject matter of the complaint, and the reasons for the action,
within 14 calendar days of taking any action. The records of the
division shall include the dates on which any action was taken on the
complaint, or the reasons for not taking any action on the
complaint. The division shall, pursuant to authorized regulations,
conduct an informal review of any refusal by a representative of the
division to issue a citation with respect to an alleged violation.
The division shall furnish the employee or the representative of
employees requesting the review a written statement of the reasons
for the division's final disposition of the case.
The
(c) The name of a person who
submits to the division a complaint regarding the unsafe condition of
an employment or place of employment shall be kept confidential by
the division, unless that person requests otherwise.
The
(d) The division shall annually
compile and release on its Internet Web site data
pertaining to complaints received and citations issued.
The
(e) The requirements of this
section do not relieve the division of its requirement to inspect and
assure that all places of employment are safe and healthful for
employees. The division shall maintain the capability to receive and
act upon complaints at all times. However, the division shall
prioritize investigations of reports of accidents involving death or
serious injury or illness and complaints that allege a serious
violation over investigations of complaints that allege a nonserious
violation.
SEC. 44. Section 7314 of the Labor Code
is amended to read:
7314. (a) The division may may, subject
to subdivision (f), fix and collect fees for the inspection of
conveyances as it deems necessary to cover the actual costs of having
the inspection performed by a division safety engineer, including
administrative costs, and the costs related to regulatory development
as required by Section 7323. An additional fee may, in the
discretion of the division, be charged for necessary subsequent
inspections to determine if applicable safety orders have been
complied with. The division may fix and collect fees for field
consultations regarding conveyances as it deems necessary to cover
the actual costs of the time spent in the consultation by a division
safety engineer, including administrative and travel expenses.
(b) Notwithstanding Section 6103 of the Government Code, the
division may collect the fees authorized by subdivision (a) from the
state or any county, city, district, or other political subdivision.
(c) Whenever a person owning or having the custody, management, or
operation of a conveyance fails to pay the fees required under this
chapter within 60 days after the date of notification, he or she
shall pay, in addition to the fees required under this chapter, a
penalty fee equal to 100 percent of the fee. Failure to pay fees
within 60 days after the date of notification constitutes cause for
the division to prohibit use of the conveyance.
(d) (1) Any fees required pursuant to this
section shall shall, except as otherwise
provided in paragraph (2), be set forth in regulations that
shall be adopted as emergency regulations. These emergency
regulations shall not be subject to the review and approval of the
Office of Administrative Law pursuant to the provisions of
the Administrative Procedure Act provided for in
Chapter (Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government
Code. Code). These regulations shall become
effective immediately upon filing with the Secretary of State.
(2) A suspension or reduction of fees pursuant to subdivision (f)
is not required to be set forth in a regulation.
(e) For purposes of this section, the date of the invoice
assessing a fee pursuant to this section shall be considered the date
of notification.
(f) (1) For the 2015-16 fiscal year, the fees for the annual and
biennial inspection of conveyances required by Section 7304 are
suspended on a one-time basis.
(2) For the 2016-17 fiscal year, and for every fiscal year
thereafter, the Director of Industrial Relations, upon concurrence of
the Department of Finance, may suspend or reduce the fees for the
annual and biennial inspections of conveyances required by Section
7304 on a one-time basis for that fiscal year in order to reduce the
amount of moneys in the Elevator Safety Account.
SEC. 45. Section 10340 of the Public
Contract Code is amended to read:
10340. (a) Except as provided by subdivision (b), state agencies
shall secure at least three competitive bids or proposals for each
contract.
(b) Three competitive bids or proposals are not required in any of
the following cases:
(1) In cases of emergency where a contract is necessary for the
immediate preservation of the public health, welfare, or safety, or
protection of state property.
(2) When the agency awarding the contract has advertised the
contract in the California State Contracts Register and has solicited
all potential contractors known to the agency, but has received less
than three bids or proposals.
(3) (A) The contract is with another state
agency, a local governmental entity, an auxiliary organization of the
California State University, an auxiliary organization of a
California community college, a foundation organized to support the
Board of Governors of the California Community Colleges, or an
auxiliary organization of the Student Aid Commission established
pursuant to Section 69522 of the Education Code. These contracts,
however, may not be used to circumvent the competitive bidding
requirements of this article.
(B) Notwithstanding subparagraph (A), until January 1, 2019, an
interagency agreement that is in effect pursuant to the amount
appropriated to the Office of Planning and Research under Item
0650-001-0001 of the Budget Act of 2014, including a contract between
the Office of Planning and Research, the Regents of the University
of California, or an auxiliary organization of the California State
University, may include a subcontract not subject to any competitive
bidding requirements of this article for the limited purpose of
researching or developing precision medicine.
(4) The contract meets the conditions prescribed by the department
pursuant to subdivision (a) of Section 10348.
(5) The contract has been awarded without advertising and calling
for bids pursuant to Section 19404 of the Welfare and Institutions
Code.
(6) Contracts entered into pursuant to Section 14838.5 of the
Government Code.
(7) Contracts for the development, maintenance, administration, or
use of licensing or proficiency testing examinations.
(8) The contract is for services for the operation, maintenance,
repair, or replacement of specialized equipment at facilities of the
State Water Resources Development System, as defined in Section 12931
of the Water Code, and meets the conditions established by the
Department of Water Resources for those contracts.
(9) The contract meets the conditions prescribed by the Department
of Water Resources for contracts subject to Section 10295.6.
(10) Contracts entered into by the Commission on Peace Officer
Standards and Training or the Office of Emergency Services solely for
the services of instructors for public safety training. For the
purpose of this paragraph, "public safety training" includes, but is
not limited to, training related to law enforcement, emergency
medical response, emergency volunteers, and fire responders.
(c) Any agency which has received less than three bids or
proposals on a contract shall document, in a manner prescribed by the
department, the names and addresses of the firms or individuals it
solicited for bids or proposals.
SEC. 46. Section 10878 of the Revenue
and Taxation Code is amended to read:
10878. (a) Notwithstanding Sections 10877 and 10951, on
and after July 1, 1993, the responsibility and authority
for the collection of the following delinquent amounts, and any
interest, penalties, or service fees added thereto, shall be
transferred from the department to the Franchise Tax Board:
(1) Registration fees.
(2) Transfer fees.
(3) License fees.
(4) Use taxes.
(5) Penalties for offenses relating to the standing or parking of
a vehicle for which a notice of parking violation has been served on
the owner, and any administrative service fee added to the penalty.
(6) Unpaid tolls, toll evasion penalties as described in Section
40252 of the Vehicle Code, and any related administrative or service
fees.
(6)
(7) Any court-imposed fine or penalty assessment, and
any administrative service fee added thereto, that is subject to
collection by the department.
(b) Any reference in this part to the department in connection
with the duty to collect these amounts shall be deemed a reference to
the Franchise Tax Board.
(c) The amounts collected under subdivision (a) may be collected
in any manner authorized under the law as though they were a tax
imposed under Part 10 (commencing with Section 17001) that is final,
including, but not limited to, issuance of an order and levy under
Article 4 (commencing with Section 706.070) of Chapter 5 of Division
2 of Title 9 of Part 2 of the Code of Civil Procedure in the manner
provided for earnings withholding order for taxes. Part 10
(commencing with Section 17001), 10.2 (commencing with Section
18401), or 10.7 (commencing with Section 21001), or any other
applicable law shall apply for this purpose in the same manner and
with the same force and effect as if the language of Part 10, 10.2,
or 10.7, or the other applicable law is incorporated in full into
this authority to collect these amounts, except to the extent that
the provision is either inconsistent with the collection of these
amounts or is not relevant to the collection of these amounts.
(d) Even though the amounts authorized by this section are
collected as though they are taxes, amounts so received by the
Franchise Tax Board shall be deposited into an appropriate fund or
account upon agreement between the Franchise Tax Board and the
department. The amounts shall be distributed by the department from
the appropriate fund or account in accordance with the laws providing
for the deposits and distributions as though the moneys were
received by the department.
(e) For any collection action under this section, the Franchise
Tax Board may utilize the contract authorization, procedures, and
mechanisms available either with respect to the collection of taxes,
interest, additions to tax, and penalties pursuant to Section
18837 or 19376, or with respect to the collection
of the delinquencies by the department immediately prior to the time
this section takes effect.
(f) The Legislature finds that it is essential for fiscal purposes
that the program authorized by this section be expeditiously
implemented. Accordingly, Chapter 3.5 (commencing with Section 11340)
of Part 1 of Division 3 of Title 2 of the Government Code shall not
apply to any standard, criteria, procedure, determination, rule,
notice, or guideline established or issued by the Franchise Tax Board
in implementing and administering the program required by this
section.
(g) Any standard, criteria, procedure, determination, rule,
notice, or guideline, that is not subject to the provisions of
Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code pursuant to subdivision (f), shall
be approved by the Franchise Tax Board, itself.
(h) The Franchise Tax Board may enter into any agreements or
contracts necessary to implement and administer the provisions of
this section. The Franchise Tax Board in administering this section
may delegate collection activities to the department. Any contracts
may provide for payment of the contract on the basis of a percentage
of the amount of revenue realized as a result of the contractor's
services under that contract. However, the Franchise Tax Board, in
administering this part, may not enter into contracts with private
collection agencies as authorized under Section 19377.
(i) The amendments made to this section by the act adding this
subdivision shall apply commencing with the effective date of the act
adding this subdivision.
SEC. 47. Section 17138.3 is added to the
Revenue and Taxation Code , to read:
17138.3. (a) For each taxable year beginning on or after July 1,
2015, gross income does not include an amount received as a loan,
loan forgiveness, grant, credit, rebate, voucher, or other financial
incentive issued by the California Residential Mitigation Program or
the California Earthquake Authority to assist a residential property
owner or occupant with expenses paid, or obligations incurred, for
earthquake loss mitigation.
(b) For the purposes of this section, "earthquake loss mitigation"
means an activity that reduces seismic risks to a residential
structure or its contents, or both. For purposes of structural
seismic risk mitigation, a residential structure is a structure
described in subdivision (a) of Section 10087 of the Insurance Code.
SEC. 48. Section 24308.7 is added to the
Revenue and Taxation Code , to read:
24308.7. (a) For each taxable year beginning on or after July 1,
2015, gross income does not include an amount received as a loan,
loan forgiveness, grant, credit, rebate, voucher, or other financial
incentive issued by the California Residential Mitigation Program or
the California Earthquake Authority to assist a residential property
owner or occupant with expenses paid, or obligations incurred, for
earthquake loss mitigation.
(b) For the purposes of this section, "earthquake loss mitigation"
means an activity that reduces seismic risks to a residential
structure or its contents, or both. For purposes of structural
seismic risk mitigation, a residential structure is a structure
described in subdivision (a) of Section 10087 of the Insurance Code.
SEC. 49. Section 41030 of the Revenue
and Taxation Code , as amended by Chapter 926 of the
Statutes of 2014, is amended to read:
41030. (a) The Office of Emergency Services shall determine
annually, on or before October 1, to be effective on January 1 of the
following year, a surcharge rate pursuant to subdivision (b) that it
estimates will produce sufficient revenue to fund the current fiscal
year's 911 costs.
(b) (1) The surcharge rate shall be determined by dividing the
costs (including incremental costs) the Office of Emergency Services
estimates for the current fiscal year of 911 costs approved pursuant
to Article 6 (commencing with Section 53100) of Chapter 1 of Part 1
of Division 2 of Title 5 of the Government Code, less the available
balance in the State Emergency Telephone Number Account in the
General Fund, by its estimate of the charges for intrastate telephone
communications services and VoIP service to which the surcharge will
apply for the period of January 1, 2015, to December 31, inclusive,
of the next succeeding calendar year, but in no event shall the
surcharge rate in any year be greater than three-quarters of 1
percent nor less than one-half of 1 percent.
(2) Commencing with the calculation made October 1, 2015, to be
effective January 1, 2016, the surcharge shall be determined by
dividing the costs (including incremental costs) the Office of
Emergency Services estimates for the current fiscal year of 911 costs
approved pursuant to Article 6 (commencing with Section 53100) of
Chapter 1 of Part 1 of Division 2 of Title 5 of the Government Code,
less the available balance in the State Emergency Telephone Number
Account in the General Fund, by its estimate of the charges for
intrastate telephone communications services, the intrastate portion
of prepaid mobile telephony services, and VoIP service to which the
surcharge will apply for the period of January 1 to December 31,
inclusive, of the next succeeding calendar year, but in no event
shall the surcharge rate in any year be greater than three-quarters
of 1 percent or less than one-half of 1 percent. In making its
computation of the charges that are applicable to the intrastate
portion of prepaid mobile telephony services, the Office of Emergency
Services shall use the computation method developed by the Public
Utilities Commission and reported to the Office of Emergency Services
pursuant to subdivisions (a) and (b) of Section 319 of the Public
Utilities Code.
(c) When determining the surcharge rates pursuant to this section,
the office shall include the costs it expects to incur to plan,
test, implement, and operate Next Generation 911 technology and
services, including text to 911 service, consistent with the plan and
timeline required by Section 53121 of the Government Code.
(d)
The office shall notify the board of the surcharge rate imposed
under this part, determined pursuant to this section on or
before October 1 of each year, and the surcharge rate
applicable to prepaid mobile telephony services by
determined pursuant to this section for purposes of the prepaid
MTS surcharge calculated under Part 21 (commencing with Section
42001) on or before October 15 of each year.
(e) At least 30 days prior to determining the surcharge pursuant
to subdivision (a), the Office of Emergency Services shall prepare a
summary of the calculation of the proposed surcharge and make it
available to the public, the Legislature, the 911 Advisory Board, and
on its Internet Web site. The summary shall contain all of the
following:
(1) The prior year revenues to fund 911 costs, including, but not
limited to, revenues from prepaid service.
(2) Projected expenses and revenues from all sources, including,
but not limited to, prepaid service to fund 911 costs.
(3) The rationale for adjustment to the surcharge determined
pursuant to subdivision (b), including, but not limited to, all
impacts from the surcharge collected pursuant to Part 21 (commencing
with Section 42001).
(f) This section shall remain in effect only until January 1,
2020, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2020, deletes or extends
that date.
SEC. 50. Section 41032 of the Revenue
and Taxation Code is amended to read:
41032. Immediately upon notification by the Office of Emergency
Services and fixing the surcharge rate, the board shall each year no
later than November 15 publish in its minutes the new rate, and it
shall notify by mail every service supplier
registered with it of the new rate. rate by a
means, or means determined by the board, that may include, but is
not limited to, mail, electronic mail, or Internet Web site postings.
SEC. 51. Section 42010 of the Revenue
and Taxation Code is amended to read:
42010. (a) (1) On and after January 1, 2016, a prepaid MTS
surcharge shall be imposed on each prepaid consumer and shall be
collected by a seller from each prepaid consumer at the time of each
retail transaction in this state. The prepaid MTS surcharge shall be
imposed as a percentage of the sales price of each retail transaction
that occurs in this state.
(2) The prepaid MTS surcharge shall be in lieu of any charges
imposed pursuant to the Emergency Telephone Users Surcharge Act (Part
20 (commencing with Section 41001)) and the Public Utilities
Commission surcharges for prepaid mobile telephony services.
(b) The prepaid MTS surcharge shall be annually calculated by the
board by no later than November 1 of each year commencing November 1,
2015, by adding the following:
(1) The surcharge rate reported pursuant to subdivision (d) of
Section 41030.
(2) The Public Utilities Commission's reimbursement fee and
telecommunications universal service surcharges, established by the
Public Utilities Commission pursuant to subdivisions (a) and (b) of
Section 319 of the Public Utilities Code.
(c) (1) The board shall post, for each local jurisdiction, the
combined total of the rates of prepaid MTS surcharge and the rate or
rates of local charges, as calculated pursuant to Sections 42102 and
42102.5, that each local jurisdiction has adopted, not later than
December 1 of each year, on its Internet Web site. The posted
combined rate shall be the rate that applies to all retail
transactions during the calendar year beginning April 1 following the
posting.
(2) Notwithstanding paragraph (1), if a local agency notifies the
board pursuant to subdivision (d) of Section 42101.5 that the posted
rate is inaccurate or it no longer imposes a local charge or local
charges or that the rate of its local charge or local charges has
decreased, the board shall promptly post a recalculated rate that is
applicable to the jurisdiction of that local agency. The change shall
become operative on the first day of the calendar quarter commencing
more than 60 days from the date the local agency notifies the board
of the inaccuracy or that it no longer imposes a local charge or that
the rate of its local charge has decreased. Nothing in this section
modifies the notice obligations of Section 799 of the Public
Utilities Code. However, beginning January 1, 2016, the notification
and implementation requirements of paragraphs (5) and (6) of
subdivision (a) of Section 799 of the Public Utilities Code shall not
apply to prepaid mobile telephony services.
(3) The board shall also separately post on its Internet Web site
the individual rates for each of the following:
(A) Each of the Public Utilities Commission surcharges that make
up the Public Utilities Commission surcharge portion of the prepaid
MTS surcharge, as reported pursuant to Section 319 of the Public
Utilities Code.
(B) The percentage rate for the
emergency telephone users surcharge reported pursuant to subdivision
(c) (d) of Section 41030.
(C) Each of the individual local charges reported pursuant to
Section 42101.5.
(4) A seller collecting the prepaid MTS surcharge and local
charges pursuant to this part and Part 21.1 (commencing with Section
42100) may rely upon the accuracy of the information posted on the
board's Internet Web site in collecting and remitting all amounts of
the prepaid MTS surcharge and local charges.
(d) (1) Except for amounts retained pursuant to subdivision (e),
and except as provided in subdivision (f) for a seller that is a
direct seller, all amounts of the prepaid MTS surcharge and local
charges collected by sellers shall be remitted to the board pursuant
to Chapter 3 (commencing with Section 42020).
(2) A seller that is authorized to provide lifeline service under
the state lifeline program or federal lifeline program, that sells
prepaid mobile telephony services directly to the prepaid customer,
shall remit the prepaid MTS surcharge to the board, less any
applicable exemption from the surcharge that is applicable to the
retail transaction pursuant to Section 42012.
(e) A seller that is not a direct seller shall be permitted to
deduct and retain an amount equal to 2 percent of the amounts that
are collected by the seller from prepaid consumers for the prepaid
MTS surcharge and local charges, on a pro rata basis, according to
that portion of the revenues collected by the seller for each of the
following:
(1) The emergency telephone users surcharge.
(2) The Public Utilities Commission surcharges.
(3) Local charges.
(f) A direct seller shall remit the prepaid MTS surcharge and
local charges as follows:
(1) That portion of the prepaid MTS surcharge that consists of the
Public Utilities Commission surcharges shall be remitted to the
commission with those reports required by the commission. The
amounts remitted to the Public Utilities Commission pursuant to this
paragraph shall be deposited into the respective universal service
funds created pursuant to Chapter 1.5 (commencing with Section 270)
of Part 1 of Division 1 of the Public Utilities Code and to the
Public Utilities Commission Utilities Reimbursement Account described
in Chapter 2.5 (commencing with Section 401) of Part 1 of
Division 1 of the Public Utilities Code.
(2) That portion of the prepaid MTS surcharge that consists of the
emergency telephone users surcharge shall be remitted to the board
pursuant to the Emergency Telephone Users Surcharge Act (Part 20
(commencing with Section 41001)) for those retail transactions with a
prepaid consumer in the state. state, with a
return filed with the board using electronic media. The amount
remitted to the board pursuant to this paragraph shall be deposited
into the State Emergency Telephone Number Account in the General
Fund.
(3) Local charges, if applicable, shall be remitted to the local
jurisdiction or local agency imposing the local charge. Remittance of
the local charges shall be separately identified from any other
local taxes or other charges that are remitted to the local
jurisdiction or local entity imposing the local tax or other charge.
The amounts remitted to the local jurisdiction or local agency
imposing the local charge pursuant to this paragraph shall be
deposited into the respective local jurisdiction or local agency
account.
(g) A direct seller shall utilize the amounts posted by the board
pursuant to subdivision (c) when determining what amounts to remit to
the Public Utilities Commission, board, and each local jurisdiction
or local agency.
(h) A prepaid MTS provider shall offer prepaid consumers the
option to make payment for additional prepaid usage directly to the
prepaid MTS provider at the provider's retail location or Internet
Web site.
(i) The amount of the combined prepaid MTS surcharge and local
charges shall be separately stated on an invoice, receipt, or other
similar document that is provided to the prepaid consumer of mobile
telephony services by the seller, or otherwise disclosed
electronically to the prepaid consumer, at the time of the retail
transaction.
(j) The prepaid MTS surcharge that is required to be collected by
a seller and any amount unreturned to the prepaid consumer of mobile
telephony services that is not owed as part of the surcharge, but was
collected from the prepaid consumer under the representation by the
seller that it was owed as part of the surcharge, constitute debts
owed by the seller to this state. The local charge shall be collected
by a seller, and any amount unreturned to the prepaid consumer of
mobile telephony services that is not owed as part of the local
charge but that was collected from the prepaid consumer under the
representation by the seller that it was owed as part of the local
charge constitutes a debt owed by the seller jointly to the state,
for purposes of collection on behalf of, and payment to, the local
jurisdiction and to the local jurisdiction imposing that local
charge.
(k) A seller that has collected any amount of prepaid MTS
surcharge and local charges in excess of the amount of the surcharge
imposed by this part and actually due from a prepaid consumer may
refund that amount to the prepaid consumer, even though the surcharge
amount has already been paid over to the board and no corresponding
credit or refund has yet been secured. Any seller making a refund of
any charge to a prepaid consumer may repay therewith the amount of
the surcharge paid.
(l) (1) Every prepaid consumer of mobile telephony services in
this state is liable for the prepaid MTS surcharge and any local
charges until they have been paid to this state, except that payment
to a seller registered under this part relieves the prepaid consumer
from further liability for the surcharge and local charges. Any
surcharge collected from a prepaid consumer that has not been
remitted to the board shall be a debt owed to the state by the person
required to collect and remit the surcharge. Any local charge
collected from a prepaid consumer that has not been remitted to the
board shall be a debt owed jointly to the state, for purposes of
collection on behalf of, and payment to, the local jurisdiction and
to the local jurisdiction imposing the local charge by the person
required to collect and remit the local charge. Nothing in this part
shall impose any obligation upon a seller to take any legal action to
enforce the collection of the surcharge or local charge imposed by
this section.
(2) A credit shall be allowed against, but shall not exceed, the
prepaid MTS surcharge and local charges imposed on any prepaid
consumer of mobile telephony services by this part to the extent that
the prepaid consumer has paid emergency telephone users charges,
state utility regulatory commission fees, state universal service
charges, or local charges on the purchase to any other state,
political subdivision thereof, or the District of Columbia. The
credit shall be apportioned to the charges against which it is
allowed in proportion to the amounts of those charges.
(m) (1) A seller is relieved from liability to collect the prepaid
MTS surcharge imposed by this part that became due and payable,
insofar as the base upon which the surcharge is imposed is
represented by accounts that have been found to be worthless and
charged off for income tax purposes by the seller or, if the seller
is not required to file income tax returns, charged off in accordance
with generally accepted accounting principles. A seller that has
previously paid the surcharge may, under rules and regulations
prescribed by the board, take as a deduction on its return the amount
found worthless and charged off by the seller. If any such accounts
are thereafter in whole or in part collected by the seller, the
amount so collected shall be included in the first return filed after
such collection and the surcharge shall be paid with the return.
(2) The board may by regulation promulgate such other rules with
respect to uncollected or worthless accounts as it shall deem
necessary to the fair and efficient administration of this part.
SEC. 52. Section 42010.7 is added to the
Revenue and Taxation Code , to read:
42010.7. (a) Commencing January 1, 2017, a seller, other than a
direct seller, with de minimis sales of prepaid mobile telephony
services of less than fifteen thousand dollars ($15,000) during the
previous calendar year is not required to collect the prepaid MTS
surcharge pursuant to Section 42010. The Department of Finance shall
annually review and adjust that de minimis sales threshold as
necessary to minimize program administration costs and maintain
revenues to support program administration, enforcement, and Public
Utilities Commission public purpose programs and rulemaking
activities. Any adjustment of the de minimuis sales threshold shall
become operative on January 1 of the following calendar year. Nothing
in this section prevents a seller from collecting and remitting the
surcharge on a voluntary basis even if the seller meets the de
minimis sales threshold.
(b) For purposes of this section, the de minimis sales threshold
shall be based on the aggregate of all sales of prepaid mobile
telephone services subject to the local charges at all retail
locations operated by the seller and not the individual sales at each
retail location operated by the seller.
SEC. 53. Section 42023 of the Revenue
and Taxation Code is amended to read:
42023. (a) The Prepaid Mobile Telephony Services Surcharge Fund
is hereby created in the State Treasury. The Prepaid MTS 911 Account
and the Prepaid MTS PUC Account are hereby created in the fund. The
Prepaid Mobile Telephony Services Surcharge Fund shall consist of all
surcharges, interest, penalties, and other amounts collected and
paid to the board pursuant to this part, less payments of refunds and
reimbursements to the board for expenses incurred in the
administration and collection of the prepaid MTS surcharge.
(b) All moneys in the Prepaid Mobile Telephony Services Surcharge
Fund attributable to the prepaid MTS surcharge shall be deposited as
follows:
(1) That portion of the prepaid MTS surcharge that is for the
emergency telephone users surcharge shall be deposited into the
Prepaid MTS 911 Account. All moneys deposited into the Prepaid MTS
911 Account shall be transferred to the State Emergency Telephone
Number Account in the General Fund. Fund and
appropriated pursuant to Article 2 (commencing with Section 41135) of
Chapter 7 of Part 20.
(2) That portion of the prepaid MTS surcharge that is for the
Public Utilities Commission surcharges shall be deposited into the
Prepaid MTS PUC Account. All moneys deposited in the Prepaid MTS PUC
Account shall be allocated and transferred to the respective
universal service funds, funds created
pursuant to Chapter 1 1.5 (commencing
with Section 270) of, of Part 1 of Division 1
of the Public Utilities Code and to the Public Utilities
Commission Utilities Reimbursement Account, created pursuant
to Account described in Chapter 2.5 (commencing
with Section 401) of, Part 1 of Division 1 of the Public Utilities
Code. The Public Utilities Commission shall allocate the moneys
deposited into the Prepaid MTS PUC Account to the respective
universal service funds and to the Public Utilities Commission
Utilities Reimbursement Account and shall report to the
Controller at the beginning of each calendar month for the months
preceding, or other period as determined necessary by the Public
Utilities Commission, on its allocation of those funds.
SEC. 54. Section 42023.5 is added to the
Revenue and Taxation Code , to read:
42023.5. (a) To provide adequate cashflow for expenses incurred
by the board in the administration and collection of the prepaid MTS
surcharge, the Director of Finance may approve a short-term loan in
the 2015-16 fiscal year from the General Fund to the Prepaid Mobile
Telephony Services Surcharge Fund.
(b) For the purposes of this section, a short-term loan is a
transfer that is made subject to the following conditions:
(1) Any amount loaned is to be repaid in full during the same
fiscal year in which the loan was made, except that the repayment may
be delayed until a date not more than six months after the date of
enactment of the annual Budget Act for the subsequent fiscal year.
(2) Loans shall be repaid whenever the funds are needed to meet
cash expenditure needs in the loaning fund or account.
SEC. 55. Section 42101.7 is added to the
Revenue and Taxation Code , to read:
42101.7. (a) Commencing January 1, 2017, a seller, other than a
direct seller, with de minimis sales of prepaid mobile telephony
services of less than fifteen thousand dollars ($15,000) during the
previous calendar year is not required to collect local charges
pursuant to Section 42101.5. The Department of Finance shall annually
review and adjust that de minimis sales threshold as necessary to
minimize program administration costs and maintain revenues to
support program administration, enforcement, and Public Utilities
Commission public purpose programs and rulemaking activities. Any
adjustment of the de minimuis sales threshold shall become operative
on January 1 of the following calendar year. Nothing in this section
prevents a seller from collecting and remitting the surcharge on a
voluntary basis even if the seller meets the de minimis sales
threshold.
(b) For purposes of this section, the de minimis sales threshold
shall be based on the aggregate of all sales of prepaid mobile
telephone services subject to the local charges at all retail
locations operated by the seller and not the individual sales at each
retail location operated by the seller.
SEC. 56. Section 42104 is added to the
Revenue and Taxation Code , to read:
42104. (a) To provide adequate cashflow for expenses incurred by
the board in the administration and collection of the local charges,
the Director of Finance may approve a short-term loan in the 2015-16
fiscal year from the General Fund to the Local Charges for Prepaid
Mobile Telephony Services Fund.
(b) For the purposes of this section, a short-term loan is a
transfer that is made subject to the following conditions:
(1) Any amount loaned is to be repaid in full during the same
fiscal year in which the loan was made, except that the repayment may
be delayed until a date not more than six months after the date of
enactment of the annual Budget Act for the subsequent fiscal year.
(2) Loans shall be repaid whenever the funds are needed to meet
cash expenditure needs in the loaning fund or account.
SEC. 57. No reimbursement is required by this act
pursuant to Section 6 of Article XIII B of the California
Constitution because a local agency or school district has the
authority to levy service charges, fees, or assessments sufficient to
pay for the program or level of service mandated by this act or
because costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.
SEC. 58. This act is a bill providing for
appropriations related to the Budget Bill within the meaning of
subdivision (e) of Section 12 of Article IV of the California
Constitution, has been identified as related to the budget in the
Budget Bill, and shall take effect immediately.
SECTION 1. It is the intent of the Legislature
to enact statutory changes relating to the Budget Act of 2015.