BILL NUMBER: SB 1171	INTRODUCED
	BILL TEXT


INTRODUCED BY   Committee on Judiciary (Senators Jackson (Chair),
Anderson, Hertzberg, Leno, Monning, Moorlach, and Wieckowski)

                        FEBRUARY 18, 2016

   An act to amend Sections 655, 1264, 2554, 2556.1, 2715, 2759,
3020, 4430, 6026.7, 6360, 6410.5, 7541.1, 7685, 7818, 19351, and
19861 of the Business and Professions Code, to amend Sections 48a,
52.5, 1770, 1798.29, and 1798.82 of the Civil Code, to amend Sections
437c, 472a, 527.6, 765.030, 832, 835, 1084, 1097, 2025.010,
2031.010, 2033.010, 2035.010, 2036.010, and 2093 of, to amend and
renumber Sections 850, 851, 852, 853, 854, 855, and 856 of, and to
amend the heading of Chapter 8 (commencing with Section 850) of Title
10 of Part 2 of, the Code of Civil Procedure, to amend Sections
2105, 2207, 17708.02, 25100, and 25247 of the Corporations Code, to
amend Sections 221.6, 1313, 8340.4, 17250.25, 17250.35, 33353.7,
41360, 41422, 42925, 44977.5, 44984, 45192, 46392, 48204.2, 51421.5,
51745.6, 66302, 69800.2, 70037, 84750.5, 84916, 87787, 88192, 89090,
89708, 89712, 92630, and 94925 of, and to amend and repeal Section
66749.5 of, the Education Code, to amend Sections 17, 1000, 1301,
2142, 2150, 2155, 2196, 2250, 2263, 2265, 2270, 2600, 3025, 3114,
6850, 6850.5, 6851, 6853, 6854, 6854.5, 6855, 6857, 6859, 6861.5,
6862, 6863, 7901, 7902, 7903, 7904, 7911, 7912, 7913, 7918, 7921,
7922, 7927, 12309.5, 13307, 14026, 14405, 18108, and 18108.1 of, and
to amend the heading of Article 2 (commencing with Section 6851) of
Chapter 5 of Part 1 of Division 6 of, the Elections Code, to amend
Sections 980, 1010, 1106, and 1157 of the Evidence Code, to amend
Sections 7612, 7613.5, 8811, and 8908 of, and to repeal Sections
20024 and 20039 of, the Family Code, to amend Sections 2022, 6440,
7704, and 12029 of the Fish and Game Code, to amend Sections 14651.5,
27581.1, 27583.2, 27583.4, 52332, 55631, 56109, 67132, and 76953.5
of the Food and Agricultural Code, to amend Sections 1225, 5970,
6254.5, 7161, 8594.15, 8670.13, 8670.13.3, 8670.28, 14670.36,
17581.9, 19130, 19241, 22865, 34886, 53515, 56332, 82015, 83123.6,
87207, and 89506 of, to amend and renumber Section 8670.95 of, and to
amend and renumber the heading of Chapter 15 (commencing with
Section 5970) of Division 6 of Title of, the Government Code, to
amend Sections 1204.2, 1262.5, 1266, 1279.7, 1342.71, 1358.18,
1367.005, 1367.27, 1569.2, 1596.8662, 1760.2, 12640, 18080, 25150.7,
25180, 25250.15, 25270.6, 32132.8, 34191.3, 44017, 44559.4, 101853.1,
112895, 113789, 117945, 118330, 120375, and 129160 of, and to amend
and renumber Section 110424 of, the Health and Safety Code, to amend
Sections 38.6, 10082.5, 10112.27, 10123.193, 10133.15, 10169,
10192.18, 10489.2, 10489.3, 10489.96, 10489.99, 10603, and 12389 of
the Insurance Code, to amend Sections 139.2, 1720, 2750.8, 3503, and
4663 of the Labor Code, to amend Section 451 of the Military and
Veterans Code, to amend Sections 136.2, 186.2, 186.11, 186.12, 241,
502.8, 670, 679.10, 832.3, 1214.5, 1524.2, 1526, 1546, 1546.1,
1546.2, 3000.08, 3016, 3056, 4030, 4031, 5065.5, 15003 and 33880 of
the Penal Code, to amend Sections 1490, 1510.1, 1828, 1851, 4788,
5203, and 16062 of the Probate Code, to amend Section 20111.6 of the
Public Contract Code, to amend Sections 541.5, 5002.2, 5071.7, 8750,
25401, 26003, 30411, 42023.1, and 71103.5 of the Public Resources
Code, to amend Sections 274, 635, 873, 913.8, 1701, 2833, 2870, 7661,
8282, 21252, and 130350.7 of, and to amend and renumber Section
387.8 of, the Public Utilities Code, to amend Sections 408, 423.3,
12206, 17052.6, 17255, 18805, 18807, 18808, 19136, 19161, 19255,
19533, 19772, 20640.3, 21021, 23156, 23610.5, and 24356 of, to amend
and renumber Section 24355.5 of, to add the heading of Part 13.5
(commencing with Section 31020) to Division 2 of, and to repeal
Sections 18035.6, 18036.6, and 41030 of, the Revenue and Taxation
Code, to amend Sections 13003 and 14200 of the Unemployment Insurance
Code, to amend Sections 2404.5, 11102.6, 16377, 21294, 22507.1, and
40215 of the Vehicle Code, to amend Sections 377, 10608.34, and 50906
of the Water Code, and to amend Sections 290.2, 366.21, 786, 4474.1,
11203, 11469, 11477, 14094.3, 14126.022, 14126.027, 14132.06,
14132.275, 14138.21, 15657.03, 16501.1, 17603, and 24005 of the
Welfare and Institutions Code, to amend Sections 325 and 330 of
Chapter 303 of the Statutes of 2015, and to amend Section 8 of
Chapter 590 of the Statutes of 2015, relating to the maintenance of
the codes.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 1171, as introduced, Committee on Judiciary. Maintenance of the
codes.
   Existing law directs the Legislative Counsel to advise the
Legislature from time to time as to legislation necessary to maintain
the codes.
   This bill would make nonsubstantive changes in various provisions
of law to effectuate the recommendations made by the Legislative
Counsel to the Legislature.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 655 of the Business and Professions Code is
amended to read:
   655.  (a) For  the  purposes of this section, the
following terms have the following meanings:
   (1) "Health plan" means a health care service plan licensed
pursuant to the Knox-Keene Health Care Service Plan Act of 1975
(Chapter 2.2 (commencing with Section 1340) of Division 2 of the
Health and Safety Code).
   (2) "Optical company" means a person or entity that is engaged in
the manufacture, sale, or distribution to physicians and surgeons,
optometrists, health plans, or dispensing opticians of lenses,
frames, optical supplies, or optometric appliances or devices or
kindred products.
   (3) "Optometrist" means a person licensed pursuant to Chapter 7
(commencing with Section 3000) or an optometric corporation, as
described in Section 3160.
   (4) "Registered dispensing optician" means a person licensed
pursuant to Chapter 5.5 (commencing with Section 2550).
   (5) "Therapeutic ophthalmic product" means lenses or other
products that provide direct treatment of eye disease or visual
rehabilitation for diseased eyes.
   (b)  No   An  optometrist  may
  shall not  have any membership, proprietary
interest, coownership, or any profit-sharing arrangement, either by
stock ownership, interlocking directors, trusteeship, mortgage, or
trust deed, with any registered dispensing optician or any optical
company, except as otherwise permitted under this section.
   (c) (1) A registered dispensing optician or an optical company may
operate, own, or have an ownership interest in a health plan so long
as the health plan does not directly employ optometrists to provide
optometric services directly to enrollees of the health plan, and may
directly or indirectly provide products and services to the health
 plan or   plan,  its contracted providers
or  enrollees or to   enrollees, or  other
optometrists. For purposes of this section, an optometrist may be
employed by a health plan as a clinical director for the health plan
pursuant to Section 1367.01 of the Health and Safety Code or to
perform services related to utilization  management or
  management,  quality  assurance 
 assurance,  or other similar related services that do not
require the optometrist to directly provide health care services to
enrollees. In addition, an optometrist serving as a clinical director
 may   shall  not employ optometrists to
provide health care services to enrollees of the health plan for
which the optometrist is serving as clinical director. For 
the  purposes of this section, the health plan's utilization
management and quality assurance programs that are consistent with
the Knox-Keene Health Care Service Plan Act of 1975 (Chapter 2.2
(commencing with Section 1340) of Division 2 of the Health and Safety
Code) do not constitute providing health care services to enrollees.

   (2) The registered dispensing optician or optical company shall
not interfere with the professional judgment of the optometrist.
   (3) The Department of Managed Health Care shall forward to the
State Board of Optometry any complaints received from consumers that
allege  that  an optometrist violated the Optometry
Practice Act (Chapter 7 (commencing with Section 3000)). The
Department of Managed Health Care and the State Board of Optometry
shall enter into an  Inter-Agency Agreement  
interagency agreement  regarding the sharing of information
related to the services provided by an optometrist that may be
 in violation of   violating  the Optometry
Practice Act that the Department of Managed Health Care encounters
in the course of  the administration of  
administering  the Knox-Keene Health Care Service Plan Act of
1975 (Chapter 2.2 (commencing with  section  
Section  1340) of Division 2 of the Health and Safety 
Code.   Code). 
   (d) An optometrist, a registered dispensing optician, an optical
company, or a health plan may execute a lease or other written
agreement giving rise to a direct or indirect landlord-tenant
relationship with an optometrist, if all of the following conditions
are contained in  a   the  written
agreement establishing the landlord-tenant relationship:
   (1) (A) The practice shall be owned by the optometrist and in
every phase be under the optometrist's exclusive control, including
the selection and supervision of optometric staff, the scheduling of
patients, the amount of time the optometrist spends with patients,
fees charged for optometric products and services, the examination
procedures and treatment provided to  patients  
patients,  and the optometrist's contracting with managed care
organizations.
   (B) Subparagraph  A shall   (A) does 
not preclude a lease from including commercially reasonable terms
that: (i) require the provision of optometric services at the leased
space during certain days and hours, (ii) restrict the leased space
from being used for the sale or offer for sale of spectacles, frames,
lenses, contact lenses, or other ophthalmic products, except that
the optometrist shall be permitted to sell therapeutic ophthalmic
products if the registered dispensing optician, health plan, or
optical company located on or adjacent to the optometrist's leased
space does not offer any substantially similar therapeutic ophthalmic
products for sale, (iii) require the optometrist to contract with a
health plan network, health plan, or health insurer, or (iv) permit
the landlord to directly or indirectly provide furnishings and
equipment in the leased space.
   (2) The optometrist's records shall be the sole property of the
optometrist. Only the optometrist and those persons with written
authorization from the optometrist  shall  have
access to the patient records and the examination room, except as
otherwise provided by law.
   (3) The optometrist's leased space shall be definite and distinct
from space occupied by other occupants of the premises, have a sign
designating that the leased space is occupied by an independent
optometrist or optometrists and be accessible to the optometrist
after hours or in the case of an emergency, subject to the facility's
general accessibility. This paragraph  shall  
does  not require a separate entrance to the optometrist's
leased space.
   (4) All signs and displays shall be separate and distinct from
that of the other occupants and shall have the optometrist's name and
the word "optometrist" prominently displayed in connection
therewith. This paragraph  shall   does 
not prohibit the optometrist from advertising the optometrist's
practice location with reference to other occupants or prohibit the
optometrist or registered dispensing optician from advertising
 their   his or her  participation in any
health plan's network or the health plan's products in which the
optometrist or registered dispensing optician participates.
   (5) There shall be no signs displayed on any part of the premises
or in any advertising indicating that the optometrist is employed or
controlled by the registered dispensing optician, health 
plan   plan,  or optical company.
   (6) Except for a statement that an independent doctor of optometry
is located in the leased space, in-store pricing  signs
  signs,  and as otherwise permitted by this
subdivision, the registered dispensing optician or optical company
shall not link its advertising with the optometrist's name, practice,
or fees.
   (7) Notwithstanding paragraphs (4) and (6), this subdivision
 shall   does  not preclude a health plan
from advertising its health plan products and associated premium
costs and any copayments, coinsurance, deductibles, or other forms of
cost-sharing, or the names and locations of the health plan's
providers, including any optometrists or registered dispensing
opticians  that provide   providing 
professional services, in compliance with the Knox-Keene Health Care
Service Plan Act of 1975 (Chapter 2.2 (commencing with Section 1340)
of Division 2 of the Health and Safety Code).
   (8) A health plan that advertises its products and services in
accordance with paragraph (7) shall not advertise the optometrist's
fees for products and services that are not included in the health
plan's contract with the optometrist.
   (9) The optometrist shall not be precluded from collecting fees
for services that are not included in a health plan's products and
services, subject to any patient disclosure requirements contained in
the health plan's provider agreement with the optometrist or that
are not otherwise prohibited by the Knox-Keene Health Care Service
Plan Act of 1975 (Chapter 2.2 (commencing with Section 1340) of
Division 2 of the Health and Safety Code).
   (10) The term of the lease shall be no less than one year and
shall not require the optometrist to contract exclusively with a
health plan. The optometrist may terminate the lease according to the
terms of the lease. The landlord may terminate the lease for the
following reasons:
   (A) The optometrist's failure to maintain a license to practice
 optometry   optometry,  or the imposition
of restrictions,  suspension   suspension, 
or revocation of the optometrist's  license  
license,  or if the optometrist or the optometrist's employee is
or becomes ineligible to participate in state or federal
government-funded programs.
   (B) Termination of any underlying lease  where 
 in which  the optometrist has subleased  space,
  space  or the optometrist's failure to comply
with the underlying lease provisions that  are made
applicable   apply  to the optometrist.
   (C) If the health plan is the landlord, the termination of the
provider agreement between the health plan and the optometrist, in
accordance with the Knox-Keene Health Care Service Plan Act of 1975
(Chapter 2.2 (commencing with Section 1340) of Division 2 of the
Health and Safety Code).
   (D) Other reasons pursuant to the terms of the lease or permitted
under the Civil Code.
   (11) The landlord shall act in good faith in terminating the lease
 and in no case shall   , and  the
landlord  shall   not  terminate the lease for
reasons that constitute interference with the practice of optometry.
   (12) Lease or rent terms and payments shall not be based on 
the  number of eye exams performed, prescriptions written,
patient  referrals   referrals,  or the
sale or promotion of the products of a registered dispensing optician
or an optical company.
   (13) The landlord shall not terminate the lease solely because of
a report, complaint, or allegation filed by the optometrist against
the landlord, a registered dispensing  optician 
 optician,  or a health  plan,   plan
 to the State Board of Optometry or the Department of Managed
Health  Care   Care,  or any law
enforcement or  other  regulatory agency.
   (14) The landlord shall provide the optometrist with written
notice of the scheduled expiration date of a lease at least 60 days
 prior to   before  the scheduled
expiration date. This notice obligation  shall  
does  not affect the ability of either party to terminate the
lease pursuant to this section. The landlord  may 
 shall  not interfere with an outgoing optometrist's efforts
to inform the optometrist's patients, in accordance with customary
practice and professional obligations, of the relocation of the
optometrist's practice.
   (15)  (A)    The State Board of Optometry may
inspect, upon request, an individual lease agreement pursuant to its
investigational authority, and if  such  a request
 to inspect  is made, the landlord or tenant, as applicable,
 shall promptly comply   promptly complies
 with the request. Failure or refusal to comply with the request
for  lease agreements   a lease or agreement
 within 30 days of receiving the request constitutes
unprofessional conduct and is grounds for disciplinary action by the
appropriate regulatory agency. Only personal information as defined
in Section 1798.3 of the Civil Code may be redacted prior to
submission of the lease or agreement. This section  shall
  does  not affect the Department of Managed Health
Care's authority to inspect all books and records of a health plan
pursuant to Section 1381 of the Health and Safety Code. 
    Any 
    (B)     Any  financial information
contained in the lease  or agreement  submitted to a
regulatory  entity,   agency,  pursuant to
this paragraph,  shall be   is  considered
confidential trade secret information that is exempt from disclosure
under the California Public Records Act (Chapter 3.5 (commencing with
Section 6250) of Division 7 of Title 1 of the Government Code).
   (16) This subdivision  shall not be applicable 
 does not   apply  to the relationship between any
optometrist employee and the employer medical group, or the
relationship between a medical group exclusively contracted with a
health plan regulated by the Department of Managed Health Care and
that health plan.
   (e)  No   A  registered dispensing
optician  may   shall not  have any
membership, proprietary interest, coownership, or profit sharing
arrangement either by stock ownership, interlocking directors,
trusteeship, mortgage, or trust deed, with an optometrist, except as
permitted under this section.
   (f)  Nothing in this   This  section
 shall   does not  prohibit a person
licensed under Chapter 5 (commencing with Section 2000) or its
professional corporation from contracting with or employing
optometrists, ophthalmologists, or optometric assistants and entering
into a contract or landlord tenant relationship with a health plan,
an optical company, or a registered dispensing optician, in
accordance with Sections 650 and  654 of this code. 
 654. 
   (g)  Any   A  violation of this section
constitutes a misdemeanor as to  such   a 
person licensed under Chapter 7 (commencing with Section 3000)
 of this division  and as to any and all persons,
whether or not  so  licensed under this division,
who participate with  such   the  licensed
person in  a violation of   violating  any
provision of this section.
  SEC. 2.  Section 1264 of the Business and Professions Code is
amended to read:
   1264.   (a)    The department shall issue a
clinical chemist, clinical microbiologist, clinical toxicologist,
clinical genetic molecular biologist, or clinical cytogeneticist
license to each person who has applied for the license on forms
provided by the department, who is a lawful holder of a master of
science or doctoral degree in the specialty for which the applicant
is seeking a  license   license,  and who
has met such additional reasonable qualifications of training,
education, and experience as the department may establish by
regulations. The department shall issue an oral and maxillofacial
pathologist license to every applicant for licensure who has applied
for the license on forms provided by the department, who is a
registered Diplomate of the American Board of Oral and Maxillofacial
Pathology, and who meets any additional and reasonable qualifications
of training, education, and experience as the department may
establish by regulation. 
   (a) 
    (b)  The graduate education shall have included 30
semester hours of coursework in the applicant's specialty. Applicants
possessing only a master of science degree shall have the equivalent
of one year of full-time, directed study or training in procedures
and principles involved in the development,  modification
  modification, or evaluation of laboratory
methods, including training in complex methods applicable to
diagnostic laboratory work. Each applicant  must 
 shall  have had one year of training in his or her
specialty in a clinical laboratory acceptable to the department and
three years of experience in his or her specialty in a clinical
laboratory, two years of which must have been at a supervisory level.
The education shall have been obtained in one or more established
and reputable institutions maintaining standards equivalent, as
determined by the department, to those institutions accredited by an
agency acceptable to the department. The department shall determine
by examination that the applicant is properly qualified.
Examinations, training, or experience requirements for specialty
licenses shall cover only the specialty concerned. 
   (b) 
    (c)  The department may issue licenses without
examination to applicants who have passed examinations of other
states or national accrediting boards whose requirements are equal to
or greater than those required by this chapter and regulations
established by the department. The evaluation of other state
requirements or requirements of national accrediting boards shall be
carried out by the department with the assistance of representatives
from the licensed groups. This section  shall  
does  not apply to persons who have passed an examination by
another state or national accrediting board  prior to
  before  the establishment of requirements that
are equal to or exceed those of this chapter or regulations of the
department. 
   (c) 
    (d)  The department may issue licenses without
examination to applicants who had met standards of education and
training, defined by regulations,  prior to  
before  the date of the adoption of implementing regulations.

   (d) 
    (e)  The department shall adopt regulations to conform
to this section.
  SEC. 3.  Section 2554 of the Business and Professions Code is
amended to read:
   2554.  Each registrant shall conspicuously and prominently display
at each registered location the following consumer information:
   "Eye doctors are required to provide patients with a copy of their
ophthalmic lens prescriptions as follows:
   Spectacle prescriptions: Release upon completion of exam.
   Contact lens prescriptions: Release upon completion of exam or
upon completion of the fitting process.
   Patients may take their prescription to any eye doctor or
registered dispensing optician to be filled.
   Optometrists and registered dispensing opticians are regulated by
the State Board of Optometry. The State Board of Optometry receives
and investigates all consumer complaints involving the practice of
optometry and registered dispensing opticians. Complaints involving a
California-licensed optometrist or a registered dispensing optician
should be directed to:
   California State Board of Optometry
   Department of Consumer Affairs
   2450 Del Paso Road, Suite 105
   Sacramento, CA 95834
   Phone: 1-866-585-2666 or (916) 575-7170
   Email: optometry@dca.ca.gov
    Website:   Internet Web site: 
www.optometry.ca.gov"
  SEC. 4.  Section 2556.1 of the Business and Professions Code is
amended to read:
   2556.1.  All licensed optometrists in a setting with a registered
dispensing optician shall report the business relationship to the
State Board of Optometry, as determined by the board. The State Board
of Optometry shall have the authority to inspect any premises at
which the business of a registered dispensing optician is co-located
with the practice of an optometrist, for  the 
purposes of determining compliance with Section 655. The inspection
may include the review of any written lease  or  agreement
between the registered dispensing optician and the optometrist or
between the optometrist and the health plan. Failure to comply with
the inspection or any request for information by the board may
subject the party to disciplinary action. The board shall provide a
copy of its inspection results, if applicable, to the Department of
Managed Health Care.
  SEC. 5.  Section 2715 of the Business and Professions Code is
amended to read:
   2715.   (a)    The board shall prosecute all
persons guilty of violating  the provisions of  this
chapter. 
    Except 
    (b)     Except  as provided by Section
159.5, the board, in accordance with the  provisions of the
 Civil Service Law, may employ  such  
the  personnel  as  it deems necessary to carry
into effect  the provisions of  this chapter.

    The 
    (c)     The  board shall have and use
a seal bearing the name "Board of Registered Nursing." The board may
adopt, amend, or repeal, in accordance with the  provisions
of Chapter 4.5 (commencing with Section 11371), Part 1, Division 3,
Title 2 of the Government Code, such   Administrative
Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1
of Division 3 of Title 2 of the Government Code), the  rules and
regulations  as   that  may be reasonably
necessary to enable it to carry into effect  the provisions
of  this chapter.
  SEC. 6.  Section 2759 of the Business and Professions Code is
amended to read:
   2759.  The board shall discipline the holder of any license, whose
default has been entered or who has been heard by the board and
found guilty, by any of the following methods:
   (a) Suspending judgment.
   (b) Placing him  or her  upon probation.
   (c) Suspending his  or her  right to practice nursing for
a period not exceeding one year.
   (d) Revoking his  or her  license.
   (e) Taking  such other action in relation to
disciplining him  or her  as the board in its discretion may
deem proper.
  SEC. 7.  Section 3020 of the Business and Professions Code is
amended to read:
   3020.  (a) There shall be established under the State Board of
Optometry a dispensing optician committee to advise and make
recommendations to the board regarding the regulation of  a
 dispensing opticians pursuant to Chapter 5.5 (commencing
with Section 2550). The committee shall consist of five members, two
of whom shall be registered dispensing opticians, two of whom shall
be public members, and one of whom shall be a member of the board.
Initial appointments to the committee shall be made by the board. The
board shall stagger the terms of the initial members appointed. The
filling of vacancies on the committee shall be made by the board upon
recommendations by the committee.
   (b) The committee shall be responsible for:
   (1) Recommending registration standards and criteria for the
registration of dispensing opticians.
   (2) Reviewing  of  the disciplinary guidelines
relating to registered dispensing opticians.
   (3) Recommending to the board changes or additions to regulations
adopted pursuant to Chapter 5.5 (commencing with Section 2550).
   (4) Carrying out and implementing all responsibilities and duties
imposed upon it pursuant to this chapter or as delegated to it by the
board.
   (c) The committee shall meet at least twice a year and as needed
in order to conduct its business.
   (d) Recommendations by the committee regarding scope of practice
or regulatory changes or additions shall be approved, modified, or
rejected by the board within 90 days of submission of the
recommendation to the board. If the board rejects or significantly
modifies the intent or scope of the recommendation, the committee may
request that the board provide its reasons in writing for rejecting
or significantly modifying the recommendation, which shall be
provided by the board within 30 days of the request.
   (e) After the initial appointments by the board pursuant to
subdivision (a), the Governor shall appoint the registered dispensing
optician members and the public members. The committee shall submit
a recommendation to the board regarding which board member should be
appointed to serve on the committee, and the board shall appoint the
member to serve. Committee members shall serve a term of four years
except for the initial staggered terms. A member may be reappointed,
but no person shall serve as a member of the committee for more than
two consecutive terms.
  SEC. 8.  Section 4430 of the Business and Professions Code is
amended to read:
   4430.  For purposes of this chapter, the following definitions
shall apply:
   (a) "Carrier" means a health care service plan, as defined in
Section 1345 of the Health and Safety Code, or a health insurer that
issues policies of health insurance, as defined in Section 106 of the
Insurance Code.
   (b) "Clerical or recordkeeping error" includes a typographical
error, scrivener's error, or computer error in a required document or
record.
   (c) "Extrapolation" means the practice of inferring a frequency or
dollar amount of overpayments, underpayments, nonvalid claims, or
other errors on any portion of claims submitted, based on the
frequency or dollar amount of overpayments, underpayments, nonvalid
claims, or other errors actually measured in a sample of claims.
   (d) "Health benefit plan" means any plan or program that provides,
arranges, pays for, or reimburses the cost of health benefits.
"Health benefit plan" includes, but is not limited to, a health care
service plan contract issued by a health care service plan, as
defined in Section 1345 of the Health and Safety Code, and a policy
of health insurance, as defined in Section 106 of the Insurance Code,
issued by a health insurer.
   (e) "Maximum allowable cost" means the maximum amount that a
pharmacy benefit manager will reimburse a pharmacy for the cost of a
drug.
   (f) "Maximum allowable cost list" means a list of drugs for which
a maximum allowable cost has been established by a pharmacy benefit
manager.
   (g) "Obsolete" means a drug that may be listed in national drug
pricing compendia but is no longer available to be dispensed based on
the expiration date of the last lot manufactured.
   (h) "Pharmacy" has the same meaning as provided in Section 4037.
   (i) "Pharmacy audit" means an audit, either onsite or remotely, of
any records of a pharmacy conducted by or on behalf of a carrier or
a pharmacy benefits manager, or a representative thereof, for
prescription drugs that were dispensed by that pharmacy to
beneficiaries of a health benefit plan pursuant to a contract with
the health benefit plan or the issuer or administrator thereof.
"Pharmacy audit" does not include a concurrent review or desk audit
that occurs within three business days of transmission of a claim, or
a concurrent review or desk audit  where no  
if a  chargeback or recoupment is  not  demanded.
   (j) "Pharmacy benefit manager" means a person, business, or other
entity that, pursuant to a contract or under an employment
relationship with a carrier, health benefit plan sponsor, or other
third-party payer, either directly or through an intermediary,
manages the prescription drug coverage provided by the carrier, plan
sponsor, or other third-party payer, including, but not limited to,
the processing and payment of claims for prescription drugs, the
performance of drug utilization review, the processing of drug prior
authorization requests, the adjudication of appeals or grievances
related to prescription drug coverage, contracting
                                 with network pharmacies, and
controlling the cost of covered prescription drugs.
  SEC. 9.  Section 6026.7 of the Business and Professions Code, as
added by Section 5 of Chapter 537 of the Statutes of 2015, is amended
to read:
   6026.7.  (a) The State Bar is subject to the Bagley-Keene Open
Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1
of Part 1 of Division 3 of Title 2 of the Government Code) and all
meetings of the State Bar are subject to the Bagley-Keene Open
Meeting Act.
   (b) Notwithstanding any other law, the Bagley-Keene Open Meeting
Act shall not apply to the  Commission on  Judicial Nominees
Evaluation  Commission  or the Committee of Bar
Examiners.
   (c) This section shall become operative on April 1, 2016.
  SEC. 10.  Section 6360 of the Business and Professions Code is
amended to read:
   6360.   (a)    A law library established under
this chapter shall be free to the judiciary, to state and county
officials, to members of the State  Bar,   Bar
of California,  and to all residents of the county, for the
examination of books and other publications at the library or its
branches. 
    The 
    (b)     The  board of law library
trustees may permit the removal of  such   the
 books and other publications from the library and its branches
as it considers proper, subject to  such   those
 rules, and, in its discretion, the giving of  such
 security, as it may provide to ensure the safekeeping and
prompt return thereof, but  no  security shall 
not  be required of members of the judiciary or county
officials. The board may provide for the levying of fines and charges
for violation of the rules, and may make charges for special
services, such as the making of photocopies of pages of library
books, electronic delivery, messenger and other delivery services,
educational programs, special events, and provision of supplies or
food services. 
    The 
    (c)     The  board of law library
trustees may require persons other than members of the judiciary,
county officials, and members of the bar resident in the county, to
pay  such  dues as the board may fix for the
privilege of removing books and other publications from the library.
With the approval of the board of supervisors, the board of law
library trustees may charge individual members of the bar resident in
the county fees for the removal of books and other publications from
the library. These fees shall not exceed the cost of providing the
service.
  SEC. 11.  Section 6410.5 of the Business and Professions Code is
amended to read:
   6410.5.  (a) It is unlawful for any legal document assistant or
unlawful detainer assistant, in the first contact with a prospective
client of legal document or unlawful detainer assistant services, to
enter into a contract or agreement for services or accept any
compensation unless the legal document assistant or the unlawful
detainer assistant states orally, clearly,  affirmatively
  affirmatively,  and expressly all of the
following, before making any other statement, except statements
required by law in telephonic or home solicitations, and a greeting,
or asking the prospective client any questions:
   (1) The identity of the person making the solicitation.
   (2) The trade name of the person represented by the person making
the solicitation, if any.
   (3) The kind of services being offered for sale.
   (4) The statement: "I am not an attorney" and, if the person
offering legal document assistant or unlawful detainer assistant
services is a partnership or a corporation, or uses a fictitious
business name, "  name] is not a law firm. I/we cannot represent
you in court, advise you about your legal rights or the law, or
select legal forms for you."
   (5) The county in which the legal document assistant or unlawful
detainer assistant is registered and his or her registration number.
   (6) The expiration date of the legal document assistant's or
unlawful detainer assistant's current registration period.
   (b) After the legal document assistant or unlawful detainer
assistant makes the oral statements required pursuant to subdivision
(a), and before the legal document assistant or unlawful detainer
assistant enters into a contract or agreement for services or
 accept   accepts  any compensation, the
legal document assistant or unlawful detainer assistant shall provide
the prospective client with a "Notice to Consumer" set forth below.
After allowing the prospective client time to read the notice, the
legal document assistant or unlawful detainer assistant shall ask the
prospective client to sign and date the notice. If the first contact
is not in person, the legal document assistant or unlawful detainer
assistant shall provide the notice to the prospective client at the
first in-person meeting or mail the notice to the prospective client
before entering into a contract or agreement for services or
accepting any compensation. The notice shall be set forth in black,
bold, 12-point type on a separate, white, 81/2 by 11 inch sheet of
paper  which   that  contains no other
print or graphics, and shall be in the  following form.
  form set forth   below.  The notice
shall contain only the appropriate name or other designation from
those indicated in brackets below. At the time a prospective client
signs the notice and before that prospective client is offered any
contract or agreement for signature, the legal document assistant or
unlawful detainer assistant shall give the prospective client a
clearly legible copy of the signed notice. A legal document assistant
or unlawful detainer assistant shall not ask or require a
prospective client or a client to sign any other form of
acknowledgment regarding this notice.
             NOTICE TO CONSUMER
    DO NOT SIGN ANYTHING BEFORE YOU READ
                 THIS PAGE
In the first conversation when you
contacted (the unlawful detainer
assistant or the legal document
assistant), did (he or she) explain . .
. . . . . . .
(Name of unlawful detainer assistant or
legal document assistant) is not an
attorney.
(Name of corporation or partnership, if
any, that is offering legal document
assistant services or unlawful detainer
assistant services) is not a law firm.
(He/she/name of the business) cannot
represent you in court.
(He/she/name of the business) cannot
advise you about your legal rights or
the       law.
(He/she/name of the business) cannot
select legal forms for you.
(He/she/name of the business) is
registered in (county name) and the
registration number is (registration
number).
(He/she/name of the business)'s
registration is valid until (date of
expiration of registration), after which
it must be renewed.
To confirm that (he/she/name of
business) is registered, you may contact
the (county name) clerk's office at
(office address), (or) (office phone
number), (or) (if available, office
Internet Web site).
Choose one:
   Yes, (he/she) explained.
   No, (he/she) did not explain.
Date:
Signature:


   (c) The legal document assistant or unlawful detainer assistant
shall be responsible for translating, if necessary, the "Notice to
Consumer" required pursuant to subdivision (b) into the language
principally used in any oral sales presentation or negotiation.
  SEC. 12.  Section 7541.1 of the Business and Professions Code is
amended to read:
   7541.1.  (a) Notwithstanding any other law, experience for
purposes of taking the examination for licensure as a private
investigator shall be limited to those activities actually performed
in connection with investigations, as  defined  
described  in Section 7521, and only if those activities are
performed by persons who are employed or managed in the following
capacities:
   (1) Sworn law enforcement officers possessing powers of arrest and
employed by agencies in the federal, state, or local government.
   (2) Military police of the  armed forces  
Armed Forces  of the United States or the National Guard.
   (3) An insurance adjuster or  their   its
 employees subject to Chapter 1 (commencing with Section 14000)
of Division 5 of the Insurance Code.
   (4) Persons employed by a private investigator who are duly
licensed in accordance with this chapter, or managed by a qualified
manager in accordance with Section 7536.
   (5) Persons employed by repossessors duly licensed in accordance
with Chapter 11 (commencing with Section 7500), only to the extent
that those persons are routinely and regularly engaged in the
location of debtors or the location of personal property 
utilizing   using  methods commonly known as "skip
tracing." For purposes of this section, only that experience acquired
in  that  skip tracing shall be credited toward
qualification to take the examination.
   (6) Persons duly trained and certified as an arson investigator
and employed by a public agency engaged in fire suppression.
   (7) Persons trained as investigators and employed by a public
defender to conduct investigations.
   (b) For purposes of Section 7541, persons possessing an associate
of arts degree in police science, criminal law or justice from an
accredited college shall be credited with 1,000 hours of experience
in investigative activities.
   (c) The following activities shall not be deemed to constitute
acts of investigation for purposes of experience toward licensure:
   (1) The serving of legal process or other documents.
   (2) Activities relating to the search for heirs or similar
searches which involve only a search of public records or other
reference sources in the public domain.
   (3) The transportation or custodial attendance of persons in the
physical custody of a law enforcement agency.
   (4) The provision of bailiff or other security services to a court
of law.
   (5) The collection or attempted collection of debts by telephone
or written solicitation after the debtor has been located.
   (6) The repossession or attempted repossession of personal
property after that property has been located and identified.
   (d)  Where   If  the activities of
employment of an applicant include those which qualify as bona fide
experience as stated in this section as well as those which do not
qualify, the director may, by delegation to the bureau, determine and
apportion that percentage of experience for which  any
 an  applicant is entitled to credit.
  SEC. 13.  Section 7685 of the Business and Professions Code is
amended to read:
   7685.  (a) (1) Every funeral director shall provide to any person,
upon beginning discussion of prices or of the funeral goods and
services offered, a written or printed list containing, but not
necessarily limited to, the price for professional services offered,
 which   that  may include the funeral
director's services, the preparation of the body, the use of
facilities, and the use of automotive equipment. All services
included in this price or prices shall be enumerated. The funeral
director shall also provide a statement on that list that gives the
price range for all caskets offered for sale.
   (2) The list shall also include a statement indicating that the
survivor of the deceased who is handling the funeral arrangements, or
the responsible party, is entitled to receive,  prior to
  before  the drafting of any contract, a copy of
any preneed agreement that has been signed and paid for, in full or
in part, by or on behalf of the deceased, and that is in the
possession of the funeral establishment.
   (3) The funeral director shall also provide a written statement or
list that, at a minimum, specifically identifies a particular casket
or caskets by price and by thickness of metal, or type of wood, or
other construction, interior and color, in addition to other casket
identification requirements under Part 453 of Title 16 of the Code of
Federal Regulations and any subsequent version of this regulation,
when a request for specific information on a casket or caskets is
made in person by  any   an  individual.
Prices of caskets and other identifying features such as thickness of
metal, or type of wood, or other construction, interior and color,
in addition to other casket identification requirements required to
be given over the telephone by Part 453 of Title 16 of the Code of
Federal Regulations and any subsequent version of this regulation,
shall be provided over the telephone, if requested.
   (b) (1) Each licensed funeral establishment that maintains an
Internet Web site shall post on its Internet Web site the list of
funeral goods and services that are required to be included in the
establishment's general price list, pursuant to federal rule, and a
statement that the general price list is available upon request.
   (2) Information posted pursuant to paragraph (1) shall be provided
by a link from the  homepage of the  Internet Web
site  homepage  with a word or combination of words,
including, but not limited to, "goods," "merchandise," "products," or
"services."
   (3) An establishment that posts on its Internet Web site 
home page   homepage  the words "price information"
or a similar phrase that includes the word "price," with a link that
leads to the establishment's general price list, need not comply
with paragraphs (1) or (2).
   (4)  Nothing in this   This   
subdivision shall  not  be construed to affect an
establishment's obligations under federal or state law effective
 prior to   before  January 1, 2013.
   (5) This subdivision shall become operative on January 1, 2013.
  SEC. 14.  Section 7818 of the Business and Professions Code is
amended to read:
   7818.  The board, pursuant to the provisions contained in Chapter
3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title
2 of the Government Code, may adopt,  amend  
amend,  or repeal rules and regulations to carry out 
the provisions of  this chapter.
  SEC. 15.  Section 19351 of the Business and Professions Code is
amended to read:
   19351.  (a) The Medical Marijuana Regulation and Safety Act Fund
is hereby established within the State Treasury. Moneys in the fund
shall be available upon appropriation by the Legislature.
Notwithstanding Section 16305.7 of the Government Code, the fund
shall include any interest and dividends earned on the moneys in the
fund.
   (b) (1) Funds for the establishment and support of the regulatory
activities pursuant to this chapter shall be advanced as a General
Fund or special fund loan, and shall be repaid by the initial
proceeds from fees collected pursuant to this chapter or any rule or
regulation adopted pursuant to this chapter, by January 1, 2022.
Should the initial proceeds from fees not be sufficient to repay the
loan, moneys from the Medical  Cannabis  
Marijuana  Fines and Penalties Account shall be made available
to the bureau, by appropriation of the Legislature, to repay the
loan.
   (2) Funds advanced pursuant to this subdivision shall be
appropriated to the bureau, which shall distribute the moneys to the
appropriate licensing authorities, as necessary to implement 
the provisions of  this chapter.
   (3) The Director of Finance may provide an initial operating loan
from the General Fund to the Medical Marijuana Regulation and Safety
Act Fund that does not exceed ten million dollars ($10,000,000).
   (c) Except as otherwise provided, all moneys collected pursuant to
this chapter as a result of fines or penalties imposed under this
chapter shall be deposited directly into the Medical Marijuana Fines
and Penalties Account, which is hereby established within the fund,
and shall be available, upon appropriation by the Legislature to the
bureau, for the  purposes  purpose  of
funding the enforcement grant program pursuant to subdivision (d).
   (d) (1) The bureau shall establish a grant program to allocate
moneys from the Medical  Cannabis   Marijuana
 Fines and Penalties Account to state and local entities for the
following purposes:
   (A) To assist with medical cannabis regulation and the enforcement
of this chapter and other state and local laws applicable to
cannabis activities.
   (B) For allocation to state and local agencies and law enforcement
to remedy the environmental impacts of cannabis cultivation.
   (2) The costs of the grant program under this subdivision shall,
upon appropriation by the Legislature, be paid for with moneys in the
Medical  Cannabis   Marijuana  Fines and
Penalties Account.
   (3) The grant program established by this subdivision shall only
be implemented after the loan specified in this section is repaid.
  SEC. 16.  Section 19861 of the Business and Professions Code is
amended to read:
   19861.   (a)    Notwithstanding subdivision
 (i)   (j)  of Section 19801, the
commission shall not deny a license to a gambling establishment
solely because it is not open to the public,  provided that
 if  all of the following are true:  (a)
the 
    (1)     The  gambling establishment is
situated in a local jurisdiction that has an ordinance allowing only
private clubs,  and  the gambling establishment was
in operation as a private club under that ordinance on December 31,
1997, and  it  met all applicable state and local gaming
registration  requirements;   (b) the
  requirements.
    (2)     The  gambling establishment
consists of no more than five gaming tables; (c) video
  tables. 
    (3)     Video  recordings of the
entrance to the gambling room or rooms and all tables situated
therein are made during all hours of operation by means of
closed-circuit television cameras, and these recordings are retained
for a period of 30 days and are made available for review by the
department upon  request; and (d) the   request.

    (4)     The  gambling establishment is
open to members of the private club and their spouses in accordance
with membership criteria in effect as of December 31, 1997. 
    A 
    (b)     A  gambling establishment
meeting  these criteria,   the criteria set
forth in subdivision (a),  in addition to the other requirements
of this chapter, may be licensed to operate as a private club
gambling establishment until November 30, 2003, or until the
ownership or operation of the gambling establishment changes from the
ownership or operation as of January 1, 1998, whichever occurs
first. Operation of the gambling establishments after this date shall
only be permitted if the local jurisdiction approves an ordinance,
pursuant to Sections 19961 and 19962, authorizing the operation of
gambling establishments that are open to the public. The commission
shall adopt regulations implementing this section.  Prior to
  Before  the commission's issuance of a license to
a private club, the department shall ensure that the ownership of
the gambling establishment has remained constant since January 1,
1998, and the operation of the gambling establishment has not been
leased to  any   a  third party.
  SEC. 17.  Section 48a of the Civil Code is amended to read:
   48a.   1.    (a)  
 In any action for damages for the publication of a libel in a
daily or weekly news publication, or of a slander by radio broadcast,
plaintiff shall  only  recover  no more than
 special damages unless a correction  be 
 is demanded and  be   is  not
published or broadcast, as  hereinafter provided. 
 provided in this section.  Plaintiff shall serve upon the
 publisher,  publisher  at the place of
 publication   publication,  or broadcaster
at the place of broadcast, a written notice specifying the
statements claimed to be libelous and demanding that  the
same   those statements  be corrected. 
Said   The  notice and demand must be served within
20 days after knowledge of the publication or broadcast of the
statements claimed to be libelous. 
   2. 
    (b)  If a correction  be   is 
demanded within  said period   20 days 
and  be   is  not published or broadcast in
substantially as conspicuous a manner in  said 
 the same  daily or weekly news publication, or on 
said   the same  broadcasting station as were the
statements claimed to be libelous, in a regular issue thereof
published or broadcast within three weeks after  such
 service, plaintiff, if he  or she  pleads and
proves  such  notice, demand and failure to correct,
and if his  or her  cause of action  be 
 is  maintained, may recover general,  special
  special,  and exemplary  damages;
provided that no exemplary damages may   damages.
Exemplary damages shall not  be recovered unless the plaintiff
 shall prove   proves  that defendant made
the publication or broadcast with actual malice and then only in the
discretion of the court or jury, and actual malice shall not be
inferred or presumed from the publication or broadcast. 
   3. 
    (c)  A correction published or broadcast in
substantially as conspicuous a manner in  said  
the  daily or weekly news publication, or on  said
  the  broadcasting station as the statements
claimed in the complaint to be libelous,  prior to 
 before  receipt of a demand  therefor, 
 for correction,  shall be of the same force and effect as
though  such   the  correction had been
published or broadcast within three weeks after a demand 
therefor.   for correction.  
   4. 
    (d)  As used  herein, the terms "general
damages," "special damages," "exemplary damages" and "actual malice,"
are defined as follows:   in this section, the
following definitions shall apply:  
   (a) 
    (1)  "General damages"  are   means
 damages for loss of reputation, shame,  mortification
  mortification,  and hurt feelings. 
   (b) 
    (2)  "Special damages"  are  means
 all damages  which   that  plaintiff
alleges and proves that he  or she  has suffered in respect
to his  or her  property, business, trade, 
profession   profession,  or occupation, including
 such   the  amounts of money  as
 the plaintiff alleges and proves he  or she  has
expended as a result of the alleged libel, and no other. 
   (c) 
    (   3)  "Exemplary damages"  are
  means  damages  which   that
 may in the discretion of the court or jury be recovered in
addition to general and special damages for the sake of example and
by way of punishing a defendant who has made the publication or
broadcast with actual malice. 
   (d) 
    (4)  "Actual malice"  is   means
 that state of mind arising from hatred or ill will toward the
plaintiff; provided, however, that  such  a state of
mind occasioned by a good faith belief on the part of the defendant
in the truth of the libelous publication or broadcast at the time it
is published or broadcast shall not constitute actual malice.

   5. For purposes of this section, a "daily 
    (5)     "Daily  or weekly news
publication" means a publication, either in print or electronic form,
that contains news on matters of public concern and that publishes
at least once a week.
  SEC. 18.  Section 52.5 of the Civil Code is amended to read:
   52.5.  (a) A victim of human trafficking, as defined in Section
236.1 of the Penal Code, may bring a civil action for actual damages,
compensatory damages, punitive damages, injunctive relief, any
combination of those, or any other appropriate relief. A prevailing
plaintiff may also be awarded attorney's fees and costs.
   (b) In addition to the remedies specified in this section, in an
action under subdivision (a), the plaintiff may be awarded up to
three times his or her actual damages or ten thousand dollars
($10,000), whichever is greater. In addition, punitive damages may
 also  be awarded upon proof of the defendant's
malice, oppression, fraud, or duress in committing the act of human
trafficking.
   (c) An action brought pursuant to this section shall be commenced
within seven years of the date on which the trafficking victim was
freed from the trafficking situation or, if the victim was a minor
when the act of human trafficking against the victim occurred, within
10 years after the date the plaintiff attains the age of majority.
   (d) If a person entitled to sue is under a disability at the time
the cause of action accrues so that it is impossible or impracticable
for him or her to bring an action, the time of the disability is not
part of the time limited for the commencement of the action.
Disability will toll the running of the statute of limitations for
this action.
   (1) Disability includes being a minor, lacking legal capacity to
make decisions, imprisonment, or other incapacity or incompetence.
   (2) The statute of limitations shall not run against a plaintiff
who is a minor or who lacks the legal competence to make decisions
simply because a guardian ad litem has been appointed. A guardian ad
litem's failure to bring a plaintiff's action within the applicable
limitation period will not prejudice the plaintiff's right to
 do so   bring an action  after his or her
disability ceases.
   (3) A defendant is estopped from asserting a defense of the
statute of limitations when the expiration of the statute is due to
conduct by the defendant inducing the plaintiff to delay the filing
of the action, or due to threats made by the defendant causing
 duress upon the plaintiff.   the plaintiff
duress. 
   (4) The suspension of the statute of limitations due to
disability, lack of knowledge, or estoppel applies to all other
related claims arising out of the trafficking situation.
   (5) The running of the statute of limitations is postponed during
the pendency of criminal proceedings against the victim.
   (e) The running of the statute of limitations may be suspended if
a person entitled to sue could not have reasonably discovered the
cause of action due to circumstances resulting from the trafficking
situation, such as psychological trauma, cultural and linguistic
isolation, and the inability to access services.
   (f) A prevailing plaintiff may also be awarded reasonable attorney'
s fees and litigation costs including, but not limited to, expert
witness fees and expenses as part of the costs.
   (g) Restitution paid by the defendant to the victim shall be
credited against a judgment, award, or settlement obtained pursuant
to an action under this section. A judgment, award, or settlement
obtained pursuant to an action under this section  shall be
  is  subject to Section 13963 of the Government
Code.
   (h) A civil action filed under this section shall be stayed during
the pendency of any criminal action arising out of the same
occurrence in which the claimant is the victim. As used in this
section, a "criminal action" includes investigation and prosecution,
and is pending until a final adjudication in the trial court or
dismissal.
                                     SEC. 19.  Section 1770 of the
Civil Code is amended to read:
   1770.  (a) The following unfair methods of competition and unfair
or deceptive acts or practices undertaken by any person in a
transaction intended to result or  which   that
 results in the sale or lease of goods or services to any
consumer are unlawful:
   (1) Passing off goods or services as those of another.
   (2) Misrepresenting the source, sponsorship, approval, or
certification of goods or services.
   (3) Misrepresenting the affiliation, connection, or association
with, or certification by, another.
   (4) Using deceptive representations or designations of geographic
origin in connection with goods or services.
   (5) Representing that goods or services have sponsorship,
approval, characteristics, ingredients, uses, benefits, or quantities
 which   that  they do not have or that a
person has a sponsorship, approval, status, affiliation, or
connection  which   that  he or she does
not have.
   (6) Representing that goods are original or new if they have
deteriorated unreasonably or are altered, reconditioned, reclaimed,
used, or secondhand.
   (7) Representing that goods or services are of a particular
standard, quality, or grade, or that goods are of a particular style
or model, if they are of another.
   (8) Disparaging the goods, services, or business of another by
false or misleading representation of fact.
   (9) Advertising goods or services with intent not to sell them as
advertised.
   (10) Advertising goods or services with intent not to supply
reasonably expectable demand, unless the advertisement discloses a
limitation of quantity.
   (11) Advertising furniture without clearly indicating that it is
unassembled if that is the case.
   (12) Advertising the price of unassembled furniture without
clearly indicating the assembled price of that furniture if the same
furniture is available assembled from the seller.
   (13) Making false or misleading statements of fact concerning
reasons for, existence of, or amounts  of   of,
 price reductions.
   (14) Representing that a transaction confers or involves rights,
remedies, or obligations  which   that  it
does not have or involve, or  which   that 
are prohibited by law.
   (15) Representing that a part, replacement, or repair service is
needed when it is not.
   (16) Representing that the subject of a transaction has been
supplied in accordance with a previous representation when it has
not.
   (17) Representing that the consumer will receive a rebate,
discount, or other economic benefit, if the earning of the benefit is
contingent on an event to occur subsequent to the consummation of
the transaction.
   (18) Misrepresenting the authority of a salesperson,
representative, or agent to negotiate the final terms of a
transaction with a consumer.
   (19) Inserting an unconscionable provision in the contract.
   (20) Advertising that a product is being offered at a specific
price plus a specific percentage of that price unless (A) the total
price is set forth in the advertisement, which may include, but is
not limited to, shelf tags, displays, and media advertising, in a
size larger than any other price in that advertisement, and (B) the
specific price plus a specific percentage of that price represents a
markup from the seller's costs or from the wholesale price of the
product. This subdivision shall not apply to in-store advertising by
businesses  which   that  are open only to
members or cooperative organizations organized pursuant to Division 3
(commencing with Section 12000) of Title 1 of the Corporations Code
where more than 50 percent of purchases are made at the specific
price set forth in the advertisement.
   (21) Selling or leasing goods in violation of Chapter 4
(commencing with Section 1797.8) of Title 1.7.
   (22) (A) Disseminating an unsolicited prerecorded message by
telephone without an unrecorded, natural voice first informing the
person answering the telephone of the name of the caller or the
organization being represented, and either the address or the
telephone number of the caller, and without obtaining the consent of
that person to listen to the prerecorded message.
   (B) This subdivision does not apply to a message disseminated to a
business associate, customer, or other person having an established
relationship with the person or organization making the call, to a
call for the purpose of collecting an existing obligation, or to any
call generated at the request of the recipient.
   (23) (A) The home solicitation, as defined in subdivision (h) of
Section 1761, of a consumer who is a senior citizen where a loan is
made encumbering the primary residence of that consumer for 
the  purposes of paying for home improvements and where the
transaction is part of a pattern or practice in violation of either
subsection (h) or (i) of Section 1639 of Title 15 of the United
States Code or paragraphs (1), (2), and (4) of subdivision (a) of
Section 226.34 of Title 12 of the Code of Federal Regulations.
   (B) A third party shall not be liable under this subdivision
unless  (1)   (i)  there was an agency
relationship between the party who engaged in home solicitation and
the third  party   party,  or  (2)
  (ii)  the third party had actual knowledge of, or
participated in, the unfair or deceptive transaction. A third party
who is a holder in due course under a home solicitation transaction
shall not be liable under this subdivision.
   (24) (A) Charging or receiving an unreasonable fee to prepare,
aid, or advise any prospective applicant, applicant, or recipient in
the procurement, maintenance, or securing of public social services.
   (B) For purposes of this paragraph, the following definitions
shall apply:
   (i) "Public social services" means those activities and functions
of state and local government administered or supervised by the State
Department of Health Care Services, the State Department of Public
Health, or the State Department of Social Services, and involved in
providing aid or services, or both, including health care services,
and medical assistance, to those persons who, because of their
economic circumstances or social condition, are in need of that aid
or those services and may benefit from them.
   (ii) "Public social services" also includes activities and
functions administered or supervised by the United States Department
of Veterans Affairs or the California Department of Veterans Affairs
involved in providing aid or services, or both, to veterans,
including pension benefits.
   (iii) "Unreasonable fee" means a fee that is exorbitant and
disproportionate to the services performed. Factors to be considered,
 when   if  appropriate, in determining
the reasonableness of a fee, are based on the circumstances existing
at the time of the service and shall include, but not be limited to,
all of the following:
   (I) The time and effort required.
   (II) The novelty and difficulty of the services.
   (III) The skill required to perform the services.
   (IV) The nature and length of the professional relationship.
   (V) The experience, reputation, and ability of the person
providing the services.
   (C) This paragraph shall not apply to attorneys licensed to
practice law in California, who are subject to the California Rules
of Professional Conduct and to the mandatory fee arbitration
provisions of Article 13 (commencing with Section 6200) of Chapter 4
of Division 3 of the Business and Professions Code, when the fees
charged or received are for providing representation in
administrative agency appeal proceedings or court proceedings for
purposes of procuring, maintaining, or securing public social
services on behalf of a person or group of persons.
   (25) (A) Advertising or promoting any event, presentation,
seminar, workshop, or other public gathering regarding veterans'
benefits or entitlements that does not include the following
statement in the same type size and font as the term "veteran" or any
variation of that term:
   (i) "I am not authorized to file an initial application for
Veterans' Aid and Attendance benefits on your behalf, or to represent
you before the Board of Veterans' Appeals within the United States
Department of Veterans Affairs in any proceeding on any matter,
including an application for such benefits. It would be illegal for
me to accept a fee for preparing that application on your behalf."
The requirements of this clause do not apply to a person licensed to
act as an agent or attorney in proceedings before the Agency of
Original Jurisdiction and the Board of Veterans' Appeals within the
United States Department of Veterans Affairs when that person is
offering those services at the advertised event.
   (ii) The statement in clause (i) shall also be disseminated, both
orally and in writing, at the beginning of any event, presentation,
seminar, workshop, or public gathering regarding veterans' benefits
or entitlements.
   (B) Advertising or promoting any event, presentation, seminar,
workshop, or other public gathering regarding veterans' benefits or
entitlements  which   that  is not
sponsored by, or affiliated with, the United States Department of
Veterans Affairs, the California Department of Veterans Affairs, or
any other congressionally chartered or recognized organization of
honorably discharged members of the Armed Forces of the United
States, or any of their auxiliaries that does not include the
following statement, in the same type size and font as the term
"veteran" or the variation of that term:

   "This event is not sponsored by, or affiliated with, the United
States Department of Veterans Affairs, the California Department of
Veterans Affairs, or any other congressionally chartered or
recognized organization of honorably discharged members of the Armed
Forces of the United States, or any of their auxiliaries. None of the
insurance products promoted at this sales event are endorsed by
those organizations, all of which offer free advice to veterans about
how to qualify and apply for benefits."

   (i) The statement in this subparagraph shall be disseminated, both
orally and in writing, at the beginning of any event, presentation,
seminar, workshop, or public gathering regarding veterans' benefits
or entitlements.
   (ii) The requirements of this subparagraph shall not apply in a
case where the United States Department of Veterans Affairs, the
California Department of Veterans Affairs, or other congressionally
chartered or recognized organization of honorably discharged members
of the Armed Forces of the United States, or any of their auxiliaries
have granted written permission to the advertiser or promoter for
the use of its name, symbol, or insignia to advertise or promote the
event, presentation, seminar, workshop, or other public gathering.
   (26) Advertising, offering for sale, or selling a financial
product that is illegal under state or federal law, including any
cash payment for the assignment to a third party of the consumer's
right to receive future pension or veteran's benefits.
   (27) Representing that a product is made in California by using a
Made in California label created pursuant to Section 12098.10 of the
Government Code, unless the product complies with Section 12098.10 of
the Government Code.
   (b) (1) It is an unfair or deceptive act or practice for a
mortgage broker or lender, directly or indirectly, to use a home
improvement contractor to negotiate the terms of any loan that is
secured, whether in whole or in part, by the residence of the
borrower and  which   that  is used to
finance a home improvement contract or any portion of a home
improvement contract. For purposes of this subdivision, "mortgage
broker or lender" includes a finance lender licensed pursuant to the
California Finance Lenders Law (Division 9 (commencing with Section
22000) of the Financial Code), a residential mortgage lender licensed
pursuant to the California Residential Mortgage Lending Act
(Division 20 (commencing with Section 50000) of the Financial Code),
or a real estate broker licensed under the Real Estate Law (Division
4 (commencing with Section 10000) of the Business and Professions
Code).
   (2) This section shall not be construed to either authorize or
prohibit a home improvement contractor from referring a consumer to a
mortgage broker or lender by this subdivision. However, a home
improvement contractor may refer a consumer to a mortgage lender or
broker if that referral does not violate Section 7157 of the Business
and Professions Code or any other law. A mortgage lender or broker
may purchase an executed home improvement contract if that purchase
does not violate Section 7157 of the Business and Professions Code or
any other law. Nothing in this paragraph shall have any effect on
the application of Chapter 1 (commencing with Section 1801) of Title
2 to a home improvement transaction or the financing of a home
improvement transaction.
  SEC. 20.  Section 1798.29 of the Civil Code is amended to read:
   1798.29.  (a)  Any   An  agency that
owns or licenses computerized data that includes personal information
shall disclose any breach of the security of the system following
discovery or notification of the breach in the security of the data
to any resident of California whose unencrypted personal information
was, or is reasonably believed to have been, acquired by an
unauthorized person. The disclosure shall be made in the most
expedient time possible and without unreasonable delay, consistent
with the legitimate needs of law enforcement, as provided in
subdivision (c), or any measures necessary to determine the scope of
the breach and restore the reasonable integrity of the data system.
   (b)  Any   An  agency that maintains
computerized data that includes personal information that the agency
does not own shall notify the owner or licensee of the information of
any breach of the security of the data immediately following
discovery, if the personal information was, or is reasonably believed
to have been, acquired by an unauthorized person.
   (c) The notification required by this section may be delayed if a
law enforcement agency determines that the notification will impede a
criminal investigation. The notification required by this section
shall be made after the law enforcement agency determines that it
will not compromise the investigation.
   (d)  Any   An  agency that is required
to issue a security breach notification pursuant to this section
shall meet all of the following requirements:
   (1) The security breach notification shall be written in plain
language, shall be titled "Notice of Data Breach," and shall present
the information described in paragraph (2) under the following
headings: "What Happened," "What Information Was Involved," "What We
Are Doing," "What You Can Do," and "For More Information." Additional
information may be provided as a supplement to the notice.
   (A) The format of the notice shall be designed to call attention
to the nature and significance of the information it contains.
   (B) The title and headings in the notice shall be clearly and
conspicuously displayed.
   (C) The text of the notice and any other notice provided pursuant
to this section shall be no smaller than 10-point type.
   (D) For a written notice described in paragraph (1) of subdivision
(i), use of the model security breach notification form prescribed
 below   below,  or use of the headings
described in this paragraph with the information described in
paragraph (2), written in plain language, shall be deemed to be in
compliance with this subdivision.
+--------------------------------------------------+
|(NAME OF INSTITUTION / LOGO)   Date: (insert date)|
|                                                  |
+--------------------------------------------------+
|               NOTICE OF DATA BREACH              |
+------------+-------------------------------------+
|    What    |                                     |
|  Happened  ?    |
             |
|            |                                     |
|            |                                     |
+------------+-------------------------------------+
|    What    |                                     |
| Information|                                     |
|       Was      Involved 
|
      |
 |  Involved? |                                     |

+------------+-------------------------------------+
|            |                                     |
| What We Are|                                     |
|     Doing  .    |
             |
|            |                                     |
+------------+-------------------------------------+
|  What You  |                                     |
|   Can Do  .     |
             |
|            |                                     |
|            |                                     |
+------------+-------------------------------------+
|Other Important Information  . 
    |
|(insert other important information)              |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
+------------+-------------------------------------+
|            |                                     |
|            |                                     |
|For More    |Call (telephone number) or go to     |
|Information  .    |(Internet Web site)
              |
|            |                                     |
|            |                                     |
+------------+-------------------------------------+



   (E) For an electronic notice described in paragraph (2) of
subdivision (i), use of the headings described in this paragraph with
the information described in paragraph (2), written in plain
language, shall be deemed to be in compliance with this subdivision.
   (2) The security breach notification described in paragraph (1)
shall include, at a minimum, the following information:
   (A) The name and contact information of the reporting agency
subject to this section.
   (B) A list of the types of personal information that were or are
reasonably believed to have been the subject of a breach.
   (C) If the information is possible to determine at the time the
notice is provided,  then  any of the following:
 (i) the 
    (i)     The  date of the 
breach, (ii) the   breach. 
    (ii)     The  estimated date of the
 breach, or (iii) the   breach. 
    (iii)     The  date range within which
the breach occurred.  The notification shall also include
the date of the notice.  
   (D) The date of notice.  
   (D) 
    (E)  Whether the notification was delayed as a result of
a law enforcement investigation, if that information is possible to
determine at the time the notice is provided. 
   (E) 
    (F)  A general description of the breach incident, if
that information is possible to determine at the time the notice is
provided. 
   (F) 
    (G)  The toll-free telephone numbers and addresses of
the major credit reporting agencies, if the breach exposed a social
security number or a driver's license or California identification
card number.
   (3) At the discretion of the agency, the security breach
notification may also include any of the following:
   (A) Information about what the agency has done to protect
individuals whose information has been breached.
   (B) Advice on steps that the person whose information has been
breached may take to protect himself or herself.
   (e)  Any   An    agency that is
required to issue a security breach notification pursuant to this
section to more than 500 California residents as a result of a single
breach of the security system shall electronically submit a single
sample copy of  that   the  security breach
notification, excluding any personally identifiable information, to
the Attorney General. A single sample copy of  a 
 the  security breach notification shall not be deemed to be
within subdivision (f) of Section 6254 of the Government Code.
   (f) For purposes of this section, "breach of the security of the
system" means unauthorized acquisition of computerized data that
compromises the security, confidentiality, or integrity of personal
information maintained by the agency. Good faith acquisition of
personal information by an employee or agent of the agency for the
purposes of the agency is not a breach of the security of the system,
 provided that   if  the personal
information is not used or subject to further unauthorized
disclosure.
   (g) For purposes of this section, "personal information" means
either of the following:
   (1) An individual's first name or first initial and last name in
combination with any one or more of the following data elements,
 when   if  either the name or the data
elements are not encrypted:
   (A) Social security number.
   (B) Driver's license number or California identification card
number.
   (C) Account number, credit or debit card number, in combination
with any required security code, access code, or password that would
permit access to an individual's financial account.
   (D) Medical information.
   (E) Health insurance information.
   (F) Information or data collected through the use or operation of
an automated license plate recognition system, as defined in Section
1798.90.5.
   (2) A user name or email address, in combination with a password
or security question and answer that would permit access to an online
account.
   (h) (1) For purposes of this section, "personal information" does
not include publicly available information that is lawfully made
available to the general public from federal, state, or local
government records.
   (2) For purposes of this section, "medical information" means any
information regarding an individual's medical history, mental or
physical condition, or medical treatment or diagnosis by a health
care professional.
   (3) For purposes of this section, "health insurance information"
means an individual's health insurance policy number or subscriber
identification number,  any   a  unique
identifier used by a health insurer to identify the individual, or
any information in an individual's application and claims history,
including any appeals records.
   (4) For purposes of this section, "encrypted" means rendered
unusable, unreadable, or indecipherable to an unauthorized person
through a security technology or methodology generally accepted in
the field of information security.
   (i) For purposes of this section, "notice" may be provided by one
of the following methods:
   (1) Written notice.
   (2) Electronic notice, if the notice provided is consistent with
the provisions regarding electronic records and signatures set forth
in Section 7001 of Title 15 of the United States Code.
   (3) Substitute notice, if the agency demonstrates that the cost of
providing notice would exceed two hundred fifty thousand dollars
($250,000),  or  that the affected class of subject
persons to be notified exceeds 500,000, or the agency does not have
sufficient contact information. Substitute notice shall consist of
all of the following:
   (A) Email notice when the agency has an email address for the
subject persons.
   (B) Conspicuous posting, for a minimum of 30 days, of the notice
on the agency's Internet Web  site page,   site,
 if the agency maintains one. For purposes of this
subparagraph, conspicuous posting on the agency's Internet Web site
means providing a link to the notice on the home page or first
significant page after entering the Internet Web site that is in
larger type than the surrounding text,  or  in
contrasting type, font, or color to the surrounding text of the same
size, or set off from the surrounding text of the same size by
symbols or other marks that call attention to the link.
   (C) Notification to major statewide media and the Office of
Information Security within the Department of Technology.
   (4) In the case of a breach of the security of the system
involving personal information defined in paragraph (2) of
subdivision (g) for an online account, and no other personal
information defined in paragraph (1) of subdivision (g), the agency
may comply with this section by providing the security breach
notification in electronic or other form that directs the person
whose personal information has been breached to promptly change his
or her password and security question or answer, as applicable, or to
take other steps appropriate to protect the online account with the
agency and all other online accounts for which the person uses the
same user name or email address and password or security question or
answer.
   (5) In the case of a breach of the security of the system
involving personal information defined in paragraph (2) of
subdivision (g) for login credentials of an email account furnished
by the agency, the agency shall not comply with this section by
providing the security breach notification to that email address, but
may, instead, comply with this section by providing notice by
another method described in this subdivision or by clear and
conspicuous notice delivered to the resident online when the resident
is connected to the online account from an Internet Protocol address
or online location from which the agency knows the resident
customarily accesses the account.
   (j) Notwithstanding subdivision (i), an agency that maintains its
own notification procedures as part of an information security policy
for the treatment of personal information and is otherwise
consistent with the timing requirements of this part shall be deemed
to be in compliance with the notification requirements of this
section if it notifies subject persons in accordance with its
policies in the event of a breach of security of the system.
   (k) Notwithstanding the exception specified in paragraph (4) of
subdivision (b) of Section 1798.3, for purposes of this section,
"agency" includes a local agency, as defined in subdivision (a) of
Section 6252 of the Government Code.
                                 SEC. 21.  Section 1798.82 of the
Civil Code is amended to read:
   1798.82.  (a) A person or business that conducts business in
California, and that owns or licenses computerized data that includes
personal information, shall disclose a breach of the security of the
system following discovery or notification of the breach in the
security of the data to a resident of California whose unencrypted
personal information was, or is reasonably believed to have been,
acquired by an unauthorized person. The disclosure shall be made in
the most expedient time possible and without unreasonable delay,
consistent with the legitimate needs of law enforcement, as provided
in subdivision (c), or any measures necessary to determine the scope
of the breach and restore the reasonable integrity of the data
system.
   (b) A person or business that maintains computerized data that
includes personal information that the person or business does not
own shall notify the owner or licensee of the information of the
breach of the security of the data immediately following discovery,
if the personal information was, or is reasonably believed to have
been, acquired by an unauthorized person.
   (c) The notification required by this section may be delayed if a
law enforcement agency determines that the notification will impede a
criminal investigation. The notification required by this section
shall be made promptly after the law enforcement agency determines
that it will not compromise the investigation.
   (d) A person or business that is required to issue a security
breach notification pursuant to this section shall meet all of the
following requirements:
   (1) The security breach notification shall be written in plain
language, shall be titled "Notice of Data Breach," and shall present
the information described in paragraph (2) under the following
headings: "What Happened," "What Information Was Involved," "What We
Are Doing," "What You Can Do," and "For More Information." Additional
information may be provided as a supplement to the notice.
   (A) The format of the notice shall be designed to call attention
to the nature and significance of the information it contains.
   (B) The title and headings in the notice shall be clearly and
conspicuously displayed.
   (C) The text of the notice and any other notice provided pursuant
to this section shall be no smaller than 10-point type.
   (D) For a written notice described in paragraph (1) of subdivision
(j), use of the model security breach notification form prescribed
below or use of the headings described in this paragraph with the
information described in paragraph (2), written in plain language,
shall be deemed to be in compliance with this subdivision.
+--------------------------------------------------+
|(NAME OF INSTITUTION / LOGO)   Date: (insert date)|
|                                                  |
+--------------------------------------------------+
|               NOTICE OF DATA BREACH              |
+------------+-------------------------------------+
|    What    |                                     |
|  Happened  ?    |
             |
|            |                                     |
|            |                                     |
+------------+-------------------------------------+
|    What    |                                     |
| Information|                                     |
|       Was      Involved 
|
      |
 |  Involved? |                                     |

+------------+-------------------------------------+
|            |                                     |
| What We Are|                                     |
|     Doing  .    |
             |
|            |                                     |
+------------+-------------------------------------+
|  What You  |                                     |
|   Can Do  .     |
             |
|            |                                     |
|            |                                     |
+------------+-------------------------------------+
|Other Important Information  . 
    |
|(insert other important information)              |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
|                                                  |
+------------+-------------------------------------+
|            |                                     |
|            |                                     |
|For More    |Call (telephone number) or go to     |
|Information  .   |(Internet Web site)
             |
|            |                                     |
|            |                                     |
+------------+-------------------------------------+



   (E) For an electronic notice described in paragraph (2) of
subdivision (j), use of the headings described in this paragraph with
the information described in paragraph (2), written in plain
language, shall be deemed to be in compliance with this subdivision.
   (2) The security breach notification described in paragraph (1)
shall include, at a minimum, the following information:
   (A) The name and contact information of the reporting person or
business subject to this section.
   (B) A list of the types of personal information that were or are
reasonably believed to have been the subject of a breach.
   (C) If the information is possible to determine at the time the
notice is provided,  then  any of the following:
 (i) the 
    (i)    The  date of the 
breach, (ii) the   breach. 
    (ii)     The  estimated date of the
 breach, or (iii) the   breach. 
    (iii)     The  date range within which
the breach occurred.  The notification shall also include
the date of the notice.  
   (D) The date of notice.  
   (D) 
    (E)  Whether notification was delayed as a result of a
law enforcement investigation, if that information is possible to
determine at the time the notice is provided. 
   (E) 
    (F)  A general description of the breach incident, if
that information is possible to determine at the time the notice is
provided. 
   (F) 
    (G)  The toll-free telephone numbers and addresses of
the major credit reporting agencies if the breach exposed a social
security number or a driver's license or California identification
card number. 
   (G) 
    (H)  If the person or business providing the
notification was the source of the breach, an offer to provide
appropriate identity theft prevention and mitigation services, if
any, shall be provided at no cost to the affected person for not less
than 12 months along with all information necessary to take
advantage of the offer to any person whose information was or may
have been breached if the breach exposed or may have exposed personal
information defined in subparagraphs (A) and (B) of paragraph (1) of
subdivision (h).
   (3) At the discretion of the person or business, the security
breach notification may also include any of the following:
   (A) Information about what the person or business has done to
protect individuals whose information has been breached.
   (B) Advice on steps that the person whose information has been
breached may take to protect himself or herself.
   (e) A covered entity under the federal Health Insurance
Portability and Accountability Act of 1996 (42 U.S.C. Sec. 1320d et
seq.) will be deemed to have complied with the notice requirements in
subdivision (d) if it has complied completely with Section 13402(f)
of the federal Health Information Technology for Economic and
Clinical Health Act (Public Law 111-5).  However, nothing in
this  This    subdivision shall  not
 be construed to exempt a covered entity from any other
provision of this section.
   (f) A person or business that is required to issue a security
breach notification pursuant to this section to more than 500
California residents as a result of a single breach of the security
system shall electronically submit a single sample copy of 
that   the  security breach notification, excluding
any personally identifiable information, to the Attorney General. A
single sample copy of  a   the  security
breach notification shall not be deemed to be within subdivision (f)
of Section 6254 of the Government Code.
   (g) For purposes of this section, "breach of the security of the
system" means unauthorized acquisition of computerized data that
compromises the security, confidentiality, or integrity of personal
information maintained by the person or business. Good faith
acquisition of personal information by an employee or agent of the
person or business for the purposes of the person or business is not
a breach of the security of the system,  provided that
  if  the personal information is not used or
subject to further unauthorized disclosure.
   (h) For purposes of this section, "personal information" means
either of the following:
   (1) An individual's first name or first initial and last name in
combination with any one or more of the following data elements,
 when   if  either the name or the data
elements are not encrypted:
   (A) Social security number.
   (B) Driver's license number or California identification card
number.
   (C) Account number, credit or debit card number, in combination
with any required security code, access code, or password that would
permit access to an individual's financial account.
   (D) Medical information.
   (E) Health insurance information.
   (F) Information or data collected through the use or operation of
an automated license plate recognition system, as defined in Section
1798.90.5.
   (2) A user name or email address, in combination with a password
or security question and answer that would permit access to an online
account.
   (i) (1) For purposes of this section, "personal information" does
not include publicly available information that is lawfully made
available to the general public from federal, state, or local
government records.
   (2) For purposes of this section, "medical information" means any
information regarding an individual's medical history, mental or
physical condition, or medical treatment or diagnosis by a health
care professional.
   (3) For purposes of this section, "health insurance information"
means an individual's health insurance policy number or subscriber
identification number,  any   a  unique
identifier used by a health insurer to identify the individual, or
 any  information in an individual's application and
claims history, including any appeals records.
   (4) For purposes of this section, "encrypted" means rendered
unusable, unreadable, or indecipherable to an unauthorized person
through a security technology or methodology generally accepted in
the field of information security.
   (j) For purposes of this section, "notice" may be provided by one
of the following methods:
   (1) Written notice.
   (2) Electronic notice, if the notice provided is consistent with
the provisions regarding electronic records and signatures set forth
in Section 7001 of Title 15 of the United States Code.
   (3) Substitute notice, if the person or business demonstrates that
the cost of providing notice would exceed two hundred fifty thousand
dollars ($250,000),  or  that the affected class of
subject persons to be notified exceeds 500,000, or the person or
business does not have sufficient contact information. Substitute
notice shall consist of all of the following:
   (A) Email notice when the person or business has an email address
for the subject persons.
   (B) Conspicuous posting, for a minimum of 30 days, of the notice
on the Internet Web site  page  of the person or
business, if the person or business maintains one. For purposes of
this subparagraph, conspicuous posting on the person's or business's
Internet Web site means providing a link to the notice on the home
page or first significant page after entering the Internet Web site
that is in larger type than the surrounding text,  or
 in contrasting type, font, or color to the surrounding text
of the same size, or set off from the surrounding text of the same
size by symbols or other marks that call attention to the link.
   (C) Notification to major statewide media.
   (4) In the case of a breach of the security of the system
involving personal information defined in paragraph (2) of
subdivision (h) for an online account, and no other personal
information defined in paragraph (1) of subdivision (h), the person
or business may comply with this section by providing the security
breach notification in electronic or other form that directs the
person whose personal information has been breached promptly to
change his or her password and security question or answer, as
applicable, or to take other steps appropriate to protect the online
account with the person or business and all other online accounts for
which the person whose personal information has been breached uses
the same user name or email address and password or security question
or answer.
   (5) In the case of a breach of the security of the system
involving personal information defined in paragraph (2) of
subdivision (h) for login credentials of an email account furnished
by the person or business, the person or business shall not comply
with this section by providing the security breach notification to
that email address, but may, instead, comply with this section by
providing notice by another method described in this subdivision or
by clear and conspicuous notice delivered to the resident online
 when   if  the resident is connected to
the online account from an Internet Protocol address or online
location from which the person or business knows the resident
customarily accesses the account.
   (k) Notwithstanding subdivision (j), a person or business that
maintains its own notification procedures as part of an information
security policy for the treatment of personal information and is
otherwise consistent with the timing requirements of this part, shall
be deemed to be in compliance with the notification requirements of
this section if the person or business notifies subject persons in
accordance with its policies in the event of a breach of security of
the system.
  SEC. 22.  Section 437c of the Code of Civil Procedure is amended to
read:
   437c.  (a) (1) A party may move for summary judgment in 
any   an  action or proceeding if it is contended
that the action has no merit or that there is no defense to the
action or proceeding. The motion may be made at any time after 60
days have elapsed since the general appearance in the action or
proceeding of each party against whom the motion is directed or at
any earlier time after the general appearance that the court, with or
without notice and upon good cause shown, may direct.
   (2) Notice of the motion and supporting papers shall be served on
all other parties to the action at least 75 days before the time
appointed for hearing.  However, if   If 
the notice is served by mail, the required 75-day period of notice
shall be increased by 5 days if the place of address is within the
State of California, 10 days if the place of address is outside the
State of California but within the United States, and 20 days if the
place of address is outside the  United States, and if
  United States. If  the notice is served by
facsimile transmission, express mail, or another method of delivery
providing for overnight delivery, the required 75-day period of
notice shall be increased by two court days.
   (3) The motion shall be heard no later than 30 days before the
date of trial, unless the court for good cause orders otherwise. The
filing of the motion shall not extend the time within which a party
must otherwise file a responsive pleading.
   (b) (1) The motion shall be supported by affidavits, declarations,
admissions, answers to interrogatories, depositions, and matters of
which judicial notice shall or may be taken. The supporting papers
shall include a separate statement setting forth plainly and
concisely all material facts that the moving party contends are
undisputed. Each of the material facts stated shall be followed by a
reference to the supporting evidence. The failure to comply with this
requirement of a separate statement may in the court's discretion
constitute a sufficient ground for  denial of  
denying  the motion.
   (2) An opposition to the motion shall be served and filed not less
than 14 days preceding the noticed or continued date of hearing,
unless the court for good cause orders otherwise. The opposition,
where appropriate, shall consist of affidavits, declarations,
admissions, answers to interrogatories, depositions, and matters of
which judicial notice shall or may be taken.
   (3) The opposition papers shall include a separate statement that
responds to each of the material facts contended by the moving party
to be undisputed, indicating  whether   if 
the opposing party agrees or disagrees that those facts are
undisputed. The statement also shall set forth plainly and concisely
any other material facts  that  the opposing party
contends are disputed. Each material fact contended by the opposing
party to be disputed shall be followed by a reference to the
supporting evidence. Failure to comply with this requirement of a
separate statement may constitute a sufficient ground, in the court's
discretion, for granting the motion.
   (4) A reply to the opposition shall be served and filed by the
moving party not less than five days preceding the noticed or
continued date of hearing, unless the court for good cause orders
otherwise.
   (5) Evidentiary objections not made at the hearing shall be deemed
waived.
   (6) Except for subdivision (c) of Section 1005 relating to the
method of service of opposition and reply papers, Sections 1005 and
1013, extending the time within which a right may be exercised or an
act may be done, do not apply to this section.
   (7)  A   An  incorporation by reference
of a matter in the court's file shall set forth with specificity the
exact matter to which reference is being made and shall not
incorporate the entire file.
   (c) The motion for summary judgment shall be granted if all the
papers submitted show that there is no triable issue as to any
material fact and that the moving party is entitled to a judgment as
a matter of law. In determining  whether   if
 the papers show that there is no triable issue as to any
material  fact   fact,  the court shall
consider all of the evidence set forth in the papers, except 
that   the evidence  to which objections have been
made and sustained by the court, and all inferences reasonably
deducible from the evidence, except summary judgment  may
  shall  not be granted by the court based on
inferences reasonably deducible from the evidence if contradicted by
other inferences or evidence that raise a triable issue as to any
material fact.
   (d) Supporting and opposing affidavits or declarations shall be
made by a person on personal knowledge, shall set forth admissible
evidence, and shall show affirmatively that the affiant is competent
to testify to the matters stated in the affidavits or declarations.
An objection based on the failure to comply with the requirements of
this subdivision, if not made at the hearing, shall be deemed waived.

   (e) If a party is otherwise entitled to  a 
summary judgment pursuant to this section, summary judgment 
may   shall  not be denied on grounds of
credibility or for want of cross-examination of witnesses furnishing
affidavits or declarations in support of the summary judgment, except
that summary judgment may be denied in the discretion of the court
if the only proof of a material fact offered in support of the
summary judgment is an affidavit or declaration made by an individual
who was the sole witness to that fact; or if a material fact is an
individual's state of mind, or lack thereof, and that fact is sought
to be established solely by the individual's affirmation thereof.
   (f) (1) A party may move for summary adjudication as to one or
more causes of action within an action, one or more affirmative
defenses, one or more claims for damages, or one or more issues of
duty, if  that   the  party contends that
the cause of action has no  merit or   merit,
 that there is no affirmative defense  thereto, or
  to the cause of action,  that there is no merit
to an affirmative defense as to any cause of action,  or
both, or  that there is no merit to a claim for damages, as
specified in Section 3294 of the Civil Code, or that one or more
defendants either owed or did not owe a duty to the plaintiff or
plaintiffs. A motion for summary adjudication shall be granted only
if it completely disposes of a cause of action, an affirmative
defense, a claim for damages, or an issue of duty.
   (2) A motion for summary adjudication may be made by itself or as
an alternative to a motion for summary judgment and shall proceed in
all procedural respects as a motion for summary judgment. 
However, a party may   A party shall  not move for
summary judgment based on issues asserted in a prior motion for
summary adjudication and denied by the court unless that party
establishes, to the satisfaction of the court, newly discovered facts
or circumstances or a change of law supporting the issues reasserted
in the summary judgment motion.
   (g) Upon the denial of a motion for summary judgment on the ground
that there is a triable issue as to one or more material facts, the
court shall, by written or oral order, specify one or more material
facts raised by the motion  as to which   that
 the court has determined there exists a triable controversy.
This determination shall specifically refer to the evidence proffered
in support of and in opposition to the motion that indicates that a
triable controversy exists. Upon the grant of a motion for summary
judgment on the ground that there is no triable issue of material
fact, the court shall, by written or oral order, specify the reasons
for its determination. The order shall specifically refer to the
evidence proffered in support of and, if applicable, in opposition to
the motion  which   that  indicates
 that  no triable issue exists. The court shall also
state its reasons for any other determination. The court shall
record its determination by court reporter or written order.
   (h) If it appears from the affidavits submitted in opposition to a
motion for summary judgment or summary  adjudication
  adjudication,  or  both  
both,  that facts essential to justify opposition may exist but
cannot, for reasons stated,  then  be presented, the
court shall deny the motion, order a continuance to permit
affidavits to be obtained or discovery to be had, or make any other
order as may be just. The application to continue the motion to
obtain necessary discovery may also be made by ex parte motion at any
time on or before the date the opposition response to the motion is
due.
   (i) If, after granting a continuance to allow specified additional
discovery, the court determines that the party seeking summary
judgment has unreasonably failed to allow the discovery to be
conducted, the court shall grant a continuance to permit the
discovery to go forward or deny the motion for summary judgment or
summary adjudication. This section does not affect or limit the
ability of a party to compel discovery under the Civil Discovery Act
(Title 4 (commencing with Section 2016.010) of Part 4).
   (j) If the court determines at any time that an affidavit was
presented in bad faith or solely for the purpose of delay, the court
shall order the party who presented the affidavit to pay the other
party the amount of the reasonable expenses  that 
the filing of the affidavit caused the other party to incur.
Sanctions shall not be imposed pursuant to this subdivision except on
notice contained in a party's papers or on the court's own noticed
motion, and after an opportunity to be heard.
   (k) Unless a separate judgment may properly be awarded in the
action, a final judgment shall not be entered on a motion for summary
judgment before the termination of the action, but the final
judgment shall, in addition to any matters determined in the action,
award judgment as established by the summary proceeding 
herein  provided  for.   for in this
section. 
   (l) In an action arising out of an injury to the person or to
property, if a motion for summary judgment is granted on the basis
that the defendant was without fault, no other defendant during
trial, over plaintiff's objection, may attempt to attribute fault
 to   to,  or comment  on 
 on,  the absence or involvement of the defendant who was
granted the motion.
   (m) (1) A summary judgment entered under this section is an
appealable judgment as in other cases. Upon entry of an order
pursuant to this section, except the entry of summary judgment, a
party may, within 20 days after service upon him or her of a written
notice of entry of the order, petition an appropriate reviewing court
for a peremptory writ. If the notice is served by mail, the initial
period within which to file the petition shall be increased by five
days if the place of address is within the State of California, 10
days if the place of address is outside the State of California but
within the United States, and 20 days if the place of address is
outside the United States. If the notice is served by facsimile
transmission, express  mail  mail,  or
another method of delivery providing for overnight delivery, the
initial period within which to file the petition shall be increased
by two court days. The superior court may, for good cause, and
 prior to   before  the expiration of the
initial period, extend the time for one additional period not to
exceed 10 days.
   (2) Before a reviewing court affirms an order granting summary
judgment or summary adjudication on a ground not relied upon by the
trial court, the reviewing court shall afford the parties an
opportunity to present their views on the issue by submitting
supplemental briefs. The supplemental  briefing 
 briefs  may include an argument
                 that additional evidence relating to that ground
exists, but  that  the party has not had an adequate
opportunity to present the evidence or to conduct discovery on the
issue. The court may reverse or remand based upon the supplemental
 briefing   briefs  to allow the parties to
present additional evidence or to conduct discovery on the issue. If
the court fails to allow supplemental  briefing, 
 briefs,  a rehearing shall be ordered upon timely petition
of a party.
   (n) (1) If a motion for summary adjudication is granted, at the
trial of the action, the cause or causes of action within the action,
affirmative defense or defenses, claim for damages, or issue or
issues of duty as to the motion  which   that
 has been granted shall be deemed to be established and the
action shall proceed as to the cause or causes of action, affirmative
defense or defenses, claim for damages, or issue or issues of duty
remaining.
   (2) In the trial of the action, the fact that a motion for summary
adjudication is granted as to one or more causes of action,
affirmative defenses, claims for damages, or issues of duty within
the action shall not  operate to  bar any cause of
action, affirmative defense, claim for damages, or issue of duty as
to which summary adjudication was either not sought or denied.
   (3) In the trial of an action, neither a party, a witness, nor the
court shall comment to a jury upon the grant or denial of a motion
for summary adjudication.
   (o) A cause of action has no merit if either of the following
exists:
   (1) One or more of the elements of the cause of action cannot be
separately established, even if that element is separately pleaded.
   (2) A defendant establishes an affirmative defense to that cause
of action.
   (p) For purposes of motions for summary judgment and summary
adjudication:
   (1) A plaintiff or cross-complainant has met his or her burden of
showing that there is no defense to a cause of action if that party
has proved each element of the cause of action entitling the party to
judgment on  that   the  cause of action.
Once the plaintiff or cross-complainant has met that burden, the
burden shifts to the defendant or cross-defendant to show that a
triable issue of one or more material facts exists as to 
that   the  cause of action or a defense thereto.
The defendant or cross-defendant shall not rely upon the mere
 allegations or denials of its pleadings to show that a
triable issue of material fact exists but, instead, shall set forth
the specific facts showing that a triable issue of material fact
exists as to  that   the  cause of action
or a defense thereto.
   (2) A defendant or cross-defendant has met his or her burden of
showing that a cause of action has no merit if  that
  the  party has shown that one or more elements of
the cause of action, even if not separately pleaded, cannot be
established, or that there is a complete defense to  that
  the  cause of action. Once the defendant or
cross-defendant has met that burden, the burden shifts to the
plaintiff or cross-complainant to show that a triable issue of one or
more material facts exists as to  that   the
 cause of action or a defense thereto. The plaintiff or
cross-complainant shall not rely upon the  mere 
allegations or denials of its pleadings to show that a triable issue
of material fact exists but, instead, shall set forth the specific
facts showing that a triable issue of material fact exists as to
 that   the  cause of action or a defense
thereto.
   (q) In granting or denying a motion for summary judgment or
summary adjudication, the court need rule only on those objections to
evidence that it deems material to its disposition of the motion.
Objections to evidence that are not ruled on for purposes of the
motion shall be preserved for appellate review.
   (r) This section does not extend the period for trial provided by
Section 1170.5.
   (s) Subdivisions (a) and (b) do not apply to actions brought
pursuant to Chapter 4 (commencing with Section 1159) of Title 3 of
Part 3.
   (t) Notwithstanding subdivision (f), a party may move for summary
adjudication of a legal issue or a claim for damages other than
punitive damages that does not completely dispose of a cause of
action, affirmative defense, or issue of duty pursuant to this
subdivision.
   (1) (A) Before filing a motion pursuant to this subdivision, the
parties whose claims or defenses are put at issue by the motion shall
submit to the court both of the following:
   (i) A joint stipulation stating the issue or issues to be
adjudicated.
   (ii) A declaration from each stipulating party that the motion
will further the interest of judicial economy by decreasing trial
time or significantly increasing the likelihood of settlement.
   (B) The joint stipulation shall be served on any party to the
civil action who is not also a party to the motion.
   (2) Within 15 days of receipt of the stipulation and declarations,
unless the court has good cause for extending the time, the court
shall notify the stipulating parties  as to whether 
 if  the motion may be filed. In making this determination,
the court may consider objections by a nonstipulating party made
within 10 days of the submission of the  stipulation.
  stipulation and declarations. 
   (3) If the court elects not to allow the filing of the motion, the
stipulating parties may request, and upon request the court shall
conduct, an informal conference with the stipulating parties to
permit further evaluation of the proposed  stipulation;
however, the   stipulation. The  stipulating
parties shall not file additional papers in support of the motion.
   (4) (A) A motion for summary adjudication made pursuant to this
subdivision shall contain a statement in the notice of motion that
reads substantially similar to the following: "This motion is made
pursuant to subdivision (t) of Section 437c of the Code of Civil
Procedure. The parties to this motion stipulate that the court shall
hear this motion and that the resolution of this motion will further
the interest of judicial economy by decreasing trial time or
significantly increasing the likelihood of settlement."
   (B) The notice of motion shall be signed by counsel for all
parties, and by those parties in propria persona, to the motion.
   (5) A motion filed pursuant to this subdivision may be made by
itself or as an alternative to a motion for summary judgment and
shall proceed in all procedural respects as a motion for summary
judgment.
   (u) For purposes of this section, a change in law does not include
a later enacted statute without retroactive application.
  SEC. 23.  Section 472a of the Code of Civil Procedure, as added by
Section 5 of Chapter 418 of the Statutes of 2015, is amended to read:

   472a.  (a) A demurrer is not waived by an answer filed at the same
time.
   (b) Except as otherwise provided by rule adopted by the Judicial
Council, if a demurrer to a complaint or to a cross-complaint is
overruled and  there is no   an  answer
 is not  filed, the court shall allow an answer to be filed
upon such terms as may be just. If a demurrer to the answer is
overruled, the action shall proceed as if no demurrer had been
interposed, and the facts alleged in the answer shall be considered
as denied to the extent mentioned in Section 431.20.
   (c)  Subject to the limitations imposed by subdivision (e)
of Section 430.41, if   If  a demurrer is
sustained, the court may grant leave to amend the pleading upon any
terms as may be just and shall fix the time within which the
amendment or amended pleading shall be filed. If a demurrer is
stricken pursuant to Section 436 and  there is  no
answer  is  filed, the court shall allow an answer to be
filed on terms that are just.
   (d) If a motion to strike is granted pursuant to Section 436, the
court may order that an amendment or amended pleading be filed upon
terms it deems proper. If a motion to strike a complaint or
cross-complaint, or portion thereof, is denied, the court shall allow
the party filing the motion to strike to file an answer.
   (e) If a motion to dismiss an action pursuant to Article 2
(commencing with Section 583.210) of Chapter 1.5 of Title 8 is
denied, the court shall allow a pleading to be filed.
   (f) This section shall become operative on January 1, 2021.
  SEC. 24.  Section 527.6 of the Code of Civil Procedure is amended
to read:
   527.6.  (a) (1) A person who has suffered harassment as defined in
subdivision (b) may seek a temporary restraining order and an order
after hearing prohibiting harassment as provided in this section.
   (2) A minor, under 12 years of age, accompanied by a duly
appointed and acting guardian ad litem, shall be permitted to appear
in court without counsel for the limited purpose of requesting or
opposing a request for a temporary restraining order or order after
 hearing   hearing,  or both, under this
section as provided in Section 374.
   (b) For purposes of this section:
   (1) "Course of conduct" is a pattern of conduct composed of a
series of acts over a period of time, however short, evidencing a
continuity of purpose, including following or stalking an individual,
making harassing telephone calls to an individual, or sending
harassing correspondence to an individual by any means, including,
but not limited to, the use of public or private mails, interoffice
mail, facsimile, or  computer  email.
Constitutionally protected activity is not included within the
meaning of "course of conduct."
   (2) "Credible threat of violence" is a knowing and willful
statement or course of conduct that would place a reasonable person
in fear for his or her  safety,   safety 
or the safety of his or her immediate family, and that serves no
legitimate purpose.
   (3) "Harassment" is unlawful violence, a credible threat of
violence, or a knowing and willful course of conduct directed at a
specific person that seriously alarms, annoys, or harasses the
person, and that serves no legitimate purpose. The course of conduct
must be  such as   that which  would cause
a reasonable person to suffer substantial emotional distress, and
must actually cause substantial emotional distress to the petitioner.

   (4) "Petitioner" means the person to be protected by the temporary
restraining order and order after hearing and, if the court grants
the petition, the protected person.
   (5) "Respondent" means the person against whom the temporary
restraining order and order after hearing are sought and, if the
petition is granted, the restrained person.
   (6) "Temporary restraining order" and "order after hearing" mean
orders that include any of the following restraining orders, whether
issued ex parte or after notice and hearing:
   (A) An order enjoining a party from harassing, intimidating,
molesting, attacking, striking, stalking, threatening, sexually
assaulting, battering, abusing, telephoning, including, but not
limited to, making annoying telephone calls, as described in Section
653m of the Penal Code, destroying personal property, contacting,
either directly or indirectly, by mail or otherwise, or coming within
a specified distance of, or disturbing the peace of, the petitioner.
On a showing of good cause, in an order issued pursuant to this
subparagraph in connection with an animal owned, possessed, leased,
kept, or held by the petitioner, or residing in the residence or
household of the petitioner, the court may do either or both of the
following:
   (i) Grant the petitioner exclusive care, possession, or control of
the animal.
   (ii) Order the respondent to stay away from the animal and refrain
from taking, transferring, encumbering, concealing, molesting,
attacking, striking, threatening, harming, or otherwise disposing of
the animal.
   (B) An order enjoining a party from specified behavior that the
court determines is necessary to effectuate orders described in
subparagraph (A).
   (7) "Unlawful violence" is any assault or battery, or stalking as
prohibited in Section 646.9 of the Penal Code, but  shall
  does  not include lawful acts of self-defense or
defense of others.
   (c) In the discretion of the court, on a showing of good cause, a
temporary restraining order or order after hearing issued under this
section may include other named family or household members.
   (d) Upon filing a petition for orders under this section, the
petitioner may obtain a temporary restraining order in accordance
with Section 527, except to the extent this section provides 
a rule that is inconsistent.   an inconsistent rule.
 The temporary restraining order may include any of the
restraining orders described in paragraph (6) of subdivision (b). A
temporary restraining order may be issued with or without notice,
based on a declaration that, to the satisfaction of the court, shows
reasonable proof of harassment of the petitioner by the respondent,
and that great or irreparable harm would result to the petitioner.
   (e) A request for the issuance of a temporary restraining order
without notice under this section shall be granted or denied on the
same day that the petition is submitted to the  court, unless
  court. If  the petition is filed too late in the
day to permit effective review,  in which case  the
order shall be granted or denied on the next day of judicial
business in sufficient time for the order to be filed that day with
the clerk of the court.
   (f) A temporary restraining order issued under this section shall
remain in effect, at the court's discretion, for a period not to
exceed 21 days, or, if the court extends the time for hearing under
subdivision (g), not to exceed 25 days, unless otherwise modified or
terminated by the court.
   (g) Within 21 days, or, if good cause appears to the court, 25
days from the date that a petition for a temporary order is granted
or denied, a hearing shall be held on the petition. If  no
request for temporary orders is   a request for a
temporary order is not  made, the hearing shall be held within
21 days, or, if good cause appears to the court, 25 days, from the
date that the petition is filed.
   (h) The respondent may file a response that explains, excuses,
justifies, or denies the alleged  harassment  
harassment,  or may file a cross-petition under this section.
   (i) At the hearing, the judge shall receive any testimony that is
relevant, and may make an independent inquiry. If the judge finds by
clear and convincing evidence that unlawful harassment exists, an
order shall issue prohibiting the harassment.
   (j) (1) In the discretion of the court, an order issued after
notice and hearing under this section may have a duration of 
not   no  more than five years, subject to
termination or modification by further order of the court either on
written stipulation filed with the court or on the motion of a party.
The order may be renewed, upon the request of a party, for a
duration of  not   no  more than five
additional years, without a showing of any further harassment since
the issuance of the original order, subject to termination or
modification by further order of the court either on written
stipulation filed with the court or on the motion of a party. A
request for renewal may be brought  at  any time
within the three months before the  expiration of the order.
  order expires. 
   (2) The failure to state the expiration date on the face of the
form creates an order with a duration of three years from the date of
issuance.
   (3) If an action is filed for the purpose of terminating or
modifying a protective order  prior to   before
 the expiration date specified in the order by a party other
than the protected party, the party who is protected by the order
shall be given notice, pursuant to subdivision (b) of Section 1005,
of the proceeding by personal service or, if the protected party has
satisfied the requirements of Chapter 3.1 (commencing with Section
6205) of Division 7 of Title 1 of the Government Code, by service on
the Secretary of State. If the party who is protected by the order
cannot be notified  prior to   before  the
hearing for modification or termination of the protective order, the
court shall deny the motion to modify or terminate the order without
prejudice or continue the hearing until the party who is protected
can be properly noticed and may, upon a showing of good cause,
specify another method for service of process that is reasonably
designed to afford actual notice to the protected party. The
protected party may waive his or her right to notice if he or she is
physically present in court and does not challenge the sufficiency of
the notice.
   (k) This section does not preclude either party from
representation by private counsel or from appearing on the party's
own behalf.
   (l) In a proceeding under this section, if there are allegations
of unlawful violence or credible threats of violence, a support
person may accompany a party in court and, if the party is not
represented by an attorney, may sit with the party at the table that
is generally reserved for the party and the party's attorney. The
support person is present to provide moral and emotional support for
a person who alleges he or she is a victim of violence. The support
person is not present as a legal adviser and may not provide legal
advice. The support person may assist the person who alleges he or
she is a victim of violence in feeling more confident that he or she
will not be injured or threatened by the other party during the
proceedings if the person who alleges he or she is a victim of
violence and the other party are required to be present in close
proximity. This subdivision does not preclude the court from
exercising its discretion to remove the support person from the
courtroom if the court believes the support person is prompting,
swaying, or influencing the party assisted by the support person.
   (m) Upon the filing of a petition under this section, the
respondent shall be personally served with a copy of the petition,
temporary restraining order, if any, and notice of hearing of the
petition. Service shall be made at least five days before the
hearing. The court may for good cause, on motion of the petitioner or
on its own motion, shorten the time for service on the respondent.
   (n) A notice of hearing under this section shall notify the
respondent that if he or she does not attend the hearing, the court
may make orders against him or her that could last up to five years.
   (o) The respondent shall be entitled, as a matter of course, to
one continuance, for a reasonable period, to respond to the petition.

   (p) (1) Either party may request a continuance of the hearing,
which the court shall grant on a showing of good cause. The request
may be made in writing before or at the  hearing 
 hearing,  or orally at the hearing. The court may also
grant a continuance on its own motion.
   (2) If the court grants a continuance, any temporary restraining
order that has been granted shall remain in effect until the end of
the continued hearing, unless otherwise ordered by the court. In
granting a continuance, the court may modify or terminate a temporary
restraining order.
   (q) (1) If a  respondent,   respondent 
named in a restraining order issued after a  hearing,
  hearing  has not been served personally with the
order but has received actual notice of the existence and substance
of the order through personal appearance in court to hear the terms
of the order from the court,  no  additional proof
of service is  not  required for enforcement of the order.
   (2) If the respondent named in a temporary restraining order is
personally served with the order and notice of hearing with respect
to a restraining order or protective order based on the temporary
restraining order, but the respondent does not appear at the hearing,
either personally or by an attorney, and the terms and conditions of
the restraining order or protective order issued at the hearing are
identical to the temporary restraining order, except for the duration
of the order,  then  the restraining order or
protective order issued at the hearing may be served on the
respondent by first-class mail sent to the respondent at the most
current address for the respondent available to the court.
   (3) The Judicial Council form for temporary orders issued pursuant
to this subdivision shall contain a statement in substantially the
following form:

   "If you have been personally served with this temporary
restraining order and notice of hearing, but you do not appear at the
hearing either in person or by a lawyer, and a restraining order
that is the same as this temporary restraining order except for the
expiration date is issued at the hearing, a copy of the restraining
order will be served on you by mail at the following address: ____.
   If that address is not correct or you wish to verify that the
temporary restraining order was converted to a restraining order at
the hearing without substantive change and to find out the duration
of that order, contact the clerk of the court."

   (r) (1) Information on a temporary restraining order or order
after hearing relating to civil harassment issued by a court pursuant
to this section shall be transmitted to the Department of Justice in
accordance with either paragraph (2) or (3).
   (2) The court shall order the petitioner or the attorney for the
petitioner to deliver a copy of an order issued under this section,
or reissuance, extension, modification, or termination of the order,
and any subsequent proof of service, by the close of the business day
on which the order, reissuance, extension, modification, or
termination was made, to a law enforcement agency having jurisdiction
over the residence of the petitioner and to any additional law
enforcement agencies within the court's discretion as are requested
by the petitioner.
   (3) Alternatively, the court or its designee shall transmit,
within one business day, to law enforcement personnel all information
required under subdivision (b) of Section 6380 of the Family Code
regarding any order issued under this section, or a reissuance,
extension, modification, or termination of the order, and any
subsequent proof of service, by either one of the following methods:
   (A) Transmitting a physical copy of the order or proof of service
to a local law enforcement agency authorized by the Department of
Justice to enter orders into the California Law Enforcement
Telecommunications System (CLETS).
   (B) With the approval of the Department of Justice, entering the
order or proof of service into CLETS directly.
   (4) Each appropriate law enforcement agency shall make available
information as to the existence and current status of  these
 orders  issued under this section  to law
enforcement officers responding to the scene of reported harassment.
   (5) An order issued under this section shall, on request of the
petitioner, be served on the respondent, whether or not the
respondent has been taken into custody, by any law enforcement
officer who is present at the scene of reported harassment involving
the parties to the proceeding. The petitioner shall provide the
officer with an endorsed copy of the order and a proof of service
that the officer shall complete and send to the issuing court.
   (6) Upon receiving information at the scene of an incident of
harassment that a protective order has been issued under this
section, or that a person who has been taken into custody is the
subject of an order, if the protected person cannot produce a
certified copy of the order, a law enforcement officer shall
immediately attempt to verify the existence of the order.
   (7) If the law enforcement officer determines that a protective
order has been issued but not served, the officer shall immediately
notify the respondent of the terms of the order and shall at that
time also enforce the order. Verbal notice of the terms of the order
shall constitute service of the order and is sufficient notice for
 the  purposes of this section and for  the
 purposes of Section 29825 of the Penal Code.
   (s) The prevailing party in  any   an 
action brought under this section may be awarded court costs and
attorney's fees, if any.
   (t)  Any willful   Willful  disobedience
of  any   a  temporary restraining order
or order after hearing granted under this section is punishable
pursuant to Section 273.6 of the Penal Code.
   (u) (1) A person subject to a protective order issued under this
section shall not own, possess, purchase, receive, or attempt to
purchase or receive a firearm or ammunition while the protective
order is in effect.
   (2) The court shall order a person subject to a protective order
issued under this section to relinquish any firearms he or she owns
or possesses pursuant to Section 527.9.
   (3)  Every   A  person who owns,
possesses, purchases, or receives, or attempts to purchase or
receive, a firearm or ammunition while the protective order is in
effect is punishable pursuant to Section 29825 of the Penal Code.
   (v) This section does not apply to any action or proceeding
covered by Title 1.6C (commencing with Section 1788) of Part 4 of
Division 3 of the Civil Code or by Division 10 (commencing with
Section 6200) of the Family Code. This section does not preclude a
petitioner from using other existing civil remedies.
   (w) (1) The Judicial Council shall develop forms, instructions,
and rules relating to matters governed by this section. The petition
and response forms shall be simple and concise, and their use by
parties in actions brought pursuant to this section  shall be
  is  mandatory.
   (2) A temporary restraining order or order after hearing relating
to civil harassment issued by a court pursuant to this section shall
be issued on forms adopted by the Judicial Council  of
California  and that have been approved by the Department of
Justice pursuant to subdivision (i) of Section 6380 of the Family
Code. However, the fact that an order issued by a court pursuant to
this section was not issued on forms adopted by the Judicial Council
and approved by the Department of Justice shall not, in and of
itself, make the order unenforceable.
   (x) There is no filing fee for a petition that alleges that a
person has inflicted or threatened violence against the petitioner,
 or  stalked the petitioner, or acted or spoken in
any other manner that has placed the petitioner in reasonable fear of
violence, and that seeks a protective or restraining order
restraining  stalking or future violence  
stalking, future violence,  or threats of violence, in 
any   an  action brought pursuant to this section.
A fee shall not be paid for a subpoena
           filed in connection with a petition alleging these acts. A
fee shall not be paid for filing a response to a petition alleging
these acts.
   (y) (1) Subject to paragraph (4) of subdivision (b) of Section
6103.2 of the Government Code, there shall not be a fee for the
service of process by a sheriff or marshal of a protective or
restraining order to be issued, if either of the following conditions
 applies:   apply: 
   (A) The protective or restraining order issued pursuant to this
section is based upon stalking, as prohibited by Section 646.9 of the
Penal Code.
   (B) The protective or restraining order issued pursuant to this
section is based upon unlawful violence or a credible threat of
violence.
   (2) The Judicial Council shall prepare and develop forms for
persons who wish to avail themselves of the services described in
this subdivision.
  SEC. 25.  Section 765.030 of the Code of Civil Procedure is amended
to read:
   765.030.  If the court determines that the lien or other
encumbrance is in violation of Section 765.010, the court shall issue
an order striking and releasing the lien or other encumbrance and
may award costs and reasonable attorney's fees to the petitioner to
be paid by the lien or other encumbrance claimant. If the court
determines that the lien or other encumbrance is valid, the court
shall issue an order so stating and may award costs and reasonable
attorney's fees to the encumbrance claimant to be paid by the
petitioner. The court may direct that  such  an
order  shall   issued pursuant to this section
 be recorded.
  SEC. 26.  Section 832 of the Code of Civil Procedure is amended to
read:
   832.  For purposes of this chapter, the following definitions
apply:
   (a) "Basin" has the same meaning as defined in Section 10721 of
the Water Code.
   (b) "Complaint" means a complaint filed in superior court to
determine rights to extract groundwater and includes any
cross-complaint that initiates a comprehensive adjudication in
response to a plaintiff's complaint or other cross-complaint.
   (c) "Comprehensive adjudication" means an action filed in superior
court to comprehensively determine rights to extract groundwater in
a basin.
   (d) "Condition of long-term overdraft" means the condition of a
groundwater basin where the average annual amount of water extracted
for a long-term period, generally 10 years or more, exceeds the
long-term average annual supply of water to the basin, plus any
temporary surplus. Overdraft during a period of drought is not
sufficient to establish a condition of long-term overdraft if
extractions and recharge are managed as necessary to ensure that
reductions in groundwater levels or storage during a period of
drought are offset by increases in groundwater levels or storage
during other periods.
   (e) "Department" means the Department of Water Resources.
   (f) "Expert witness" means a witness qualified pursuant to Section
720 of the Evidence Code.
   (g) "Groundwater" means water beneath the surface of the earth
within the zone below the water table in which the soil is completely
saturated with water, but does not include water that flows in known
and definite channels.
   (h) "Groundwater extraction facility" means a device or method for
extracting groundwater  from within   in 
a basin.
   (i) "Groundwater recharge" means the augmentation of groundwater,
by natural or artificial means.
   (j) "Person" includes, but is not limited to, counties, local
agencies, state agencies, federal agencies, tribes, business
entities, and individuals.
   (k) "Plaintiff" means the person filing the complaint initiating a
comprehensive adjudication and includes a cross-complainant who
initiates a comprehensive adjudication by cross-complaint.
   (l) "Public water system" has the same meaning as defined in
Section 116275 of the Health and Safety Code.
   (m) "State small water system" has the same meaning as defined in
Section 116275 of the Health and Safety Code.
   (n) "Sustainable Groundwater Management Act" means  the
provisions of  Part 2.74 (commencing with Section 10720) of
Division 6 of the Water Code.
  SEC. 27.  Section 835 of the Code of Civil Procedure is amended to
read:
   835.  (a) The plaintiff shall provide notice of the comprehensive
adjudication to all of the following:
   (1) A groundwater sustainability agency that overlies the basin or
a portion of the basin.
   (2) A city, county, or city and county that overlies the basin or
a portion of the basin.
   (3) A district with authority to manage or replenish groundwater
resources of the basin in whole or in part.
   (4) The operator of a public water system or state small water
system that uses groundwater from the basin to supply water service.
   (5) A California Native American tribe that is on the contact list
maintained by the Native American Heritage Commission.
   (6) The Attorney General, the State Water Resources Control Board,
the department, and the Department of Fish and Wildlife.
   (7) A federal department or agency that manages a federal
reservation that overlies the basin or a portion of the basin.
   (8) A person identified under Section 836.5 who is not a party to
the comprehensive adjudication.
   (9) A person who is on a list, maintained by a groundwater
management agency, of interested parties that have requested notice
under the Sustainable Groundwater Management Act.
   (b) The plaintiff may provide notice under this section by first
class mail or electronic mail.
   (c) (1) Except as provided in paragraph (2), the plaintiff shall
provide notice under this section as follows:
   (A) To any person entitled to notice under paragraphs (1) to (7),
inclusive, of subdivision (a) within 15 days of the filing of the
complaint.
   (B) To any person entitled to notice under paragraphs (8) and (9)
of subdivision (a) within 30 days of receipt of the name and address
of the person entitled to notice.
   (2) The plaintiff may take additional time as is reasonably
necessary before providing notice under this section if the plaintiff
determines that additional time is necessary to identify a person
entitled to notice under this section, confirm the accuracy of the
 names or addresses   name or address  of a
person, or to determine if the conditions requiring notice have been
satisfied.
   (d) The plaintiff is not required to provide notice under this
section to a person who has already been served or intervened in the
action.
  SEC. 28.  Section 850 of the Code of Civil Procedure, as added by
Section 1 of Chapter 672 of the Statutes of 2015, is amended to read:

   850.  (a) The court may enter a judgment  in a comprehensive
adjudication  if the court finds that the judgment meets all of
the following criteria:
   (1) It is consistent with Section 2 of Article X of the California
Constitution.
   (2) It is consistent with the water right priorities of all
non-stipulating parties and any persons who have claims that are
exempted pursuant to Section 833 in the basin.
   (3) It treats all objecting parties and any persons who have
claims that are exempted pursuant to Section 833 equitably as
compared to the stipulating parties.
   (b) If a party or group of parties submits a proposed stipulated
judgment that is supported by more than 50 percent of all parties who
are groundwater extractors in the basin or use the basin for
groundwater storage and is supported by groundwater extractors
responsible for at least 75 percent of the groundwater extracted in
the basin during the five calendar years before the filing of the
complaint, the court may adopt the proposed stipulated judgment, as
applied to the stipulating parties, if the proposed stipulated
judgment meets the criteria described in subdivision (a). A party
objecting to a proposed stipulated judgment shall demonstrate, by a
preponderance of evidence, that the proposed stipulated judgment does
not satisfy one or more criteria described in subdivision (a) or
that it substantially violates the water rights of the objecting
party. If the objecting party is unable to make this showing, the
court may impose the proposed stipulated judgment on the objecting
party. An objecting party may be subject to a preliminary injunction
issued pursuant to Section 847 while his or her objections are being
resolved.
  SEC. 29.  Section 850 of the Code of Civil Procedure, as added by
Chapter 52 of the Statutes of 1953, is amended and renumbered to
read:
    850.   853.   Upon the failure of
 any co-owner   a coowner  of a mine or
mining claim to contribute his proportionate share of the taxes
 which   that  have been levied and
assessed upon the mine or  mining  claim for the period of
five years,  any co-owner  a coowner  who
has paid  such   that  share  may
  may,  at the expiration of the five 
years   years,  serve upon the delinquent 
co-owner   coowner  notice thereof.
  SEC. 30.  The heading of Chapter 8 (commencing with Section 850) of
Title 10 of Part 2 of the Code of Civil Procedure is amended to
read:
      CHAPTER 8.  ACTIONS AGAINST  CO-OWNERS  
COOWNERS  OF MINES


  SEC. 31.  Section 851 of the Code of Civil Procedure, as added by
Section 1 of Chapter 672 of the Statutes of 2015, is amended to read:

   851.  The judgment in a comprehensive adjudication conducted
pursuant to this chapter shall be binding on the parties to the
 action   comprehensive adjudication  and
all their successors in interest, including, but not limited to,
heirs, executors, administrators, assigns, lessees, licensees, the
agents and employees of the parties to the  action 
 comprehensive adjudication  and all their successors in
interest, and all landowners or other persons claiming rights to
extract groundwater from the basin whose claims have not been
exempted and are covered by the notice provided in the comprehensive
adjudication.
  SEC. 32.  Section 851 of the Code of Civil Procedure, as amended by
Chapter 1611 of the Statutes of 1969, is amended and renumbered to
read:
    851.   854.   The notice shall be
served in the manner provided by law for the service of a summons in
a civil action, but where service is by publication, the publication
shall be in a newspaper of general circulation published in the
county in which the mine or  mining  claim is situated or if
there is no such newspaper, in such a newspaper in an adjoining
county, and the publication shall be at least once a week for 90
days.
  SEC. 33.  Section 852 of the Code of Civil Procedure, as added by
Section 1 of Chapter 672 of the Statutes of 2015, is amended to read:

   852.  The court shall have continuing jurisdiction to modify or
amend a final judgment in a comprehensive adjudication in response to
new information, changed circumstances, the interests of justice, or
to ensure that the criteria of subdivision (a) of Section 850 are
met.  When   If  feasible, the judge who
heard the original  action   comprehensive
adjudication  shall preside over actions or motions to modify or
amend the  final  judgment.
  SEC. 34.  Section 852 of the Code of Civil Procedure, as added by
Chapter 52 of the Statutes of 1953, is amended and renumbered to
read:
    852.   855.   If  prior to
  before  the expiration of 90 days from the
service the delinquent fails or refuses to contribute his
proportionate share of the taxes, the  co-owner 
 coowner  contributing such share may file in the superior
court of the county in which the mine or  mining  claim is
situated a verified petition setting forth the facts and particularly
describing the mine or  mining  claim.
  SEC. 35.  Section 853 of the Code of Civil Procedure is amended and
renumbered to read:
    853.   856.   If the mine or 
mining  claim is situated in more than one county, the petition
may be filed in the superior court of either county.
  SEC. 36.  Section 854 of the Code of Civil Procedure is amended and
renumbered to read:
    854.   857.   The clerk shall set the
petition for hearing by the court and give notice  thereof
  of the hearing  by causing a notice of the time
and place of the hearing to be posted at the county courthouse at
least 10 days before the hearing. The court may order such further
notice as it deems proper.
  SEC. 37.  Section 855 of the Code of Civil Procedure is amended and
renumbered to read:
    855.   858.   The court shall hear
evidence for or against the petition and may order judgment 
thereon   on the petition  vesting the interest of
the delinquent in the mine or  mining  claim in the
petitioner.
  SEC. 38.  Section 856 of the Code of Civil Procedure is amended and
renumbered to read:
    856.   859.   A certified copy of the
decree may be recorded in the office of the recorder of each county
in which any part of the mine or  mining  claim is situated.

  SEC. 39.  Section 1084 of the Code of Civil Procedure is amended to
read:
    1084.    Section Ten Hundred and Eighty-four.
 The writ of mandamus may be denominated a writ of mandate.
  SEC. 40.  Section 1097 of the Code of Civil Procedure is amended to
read:
    1097.    Section Ten Hundred and Ninety-seven.
When   If  a peremptory mandate has been issued and
directed to  any   an  inferior tribunal,
corporation,  Board,   board,  or person,
 if   and  it  appear 
 appears  to the  Court  court 
that  any   a  member of  such
    the  tribunal, corporation, or
Board,   board,  or  such  
the  person upon whom the writ has been personally served, has,
without just excuse, refused or neglected to obey the  same,
  writ,  the  Court   court
 may, upon motion, impose a fine not exceeding one thousand
dollars. In case of persistence in a refusal of obedience, the
 Court   court  may order the party to be
imprisoned until the writ is obeyed, and may make any orders
necessary and proper for the complete enforcement of the writ.
  SEC. 41.  Section 2025.010 of the Code of Civil Procedure is
amended to read:
   2025.010.  Any party may obtain discovery within the scope
delimited by Chapter 2 (commencing with Section  2017.010)
and Chapter 3 (commencing with Section 2017.710),  
2017.010),  and subject to the restrictions set forth in Chapter
5 (commencing with Section 2019.010), by taking in California the
oral deposition of any person, including any party to the action. The
person deposed may be a natural person, an organization such as a
public or private corporation, a partnership, an association, or a
governmental agency.
  SEC. 42.  Section 2031.010 of the Code of Civil Procedure is
amended to read:
   2031.010.  (a) Any party may obtain discovery within the scope
delimited by  Chapters   Chapter  2
(commencing with Section  2017.010) and 3 (commencing with
Section 2017.710),   2017.010),  and subject to the
restrictions set forth in Chapter 5 (commencing with Section
2019.010), by inspecting, copying, testing, or sampling documents,
tangible things, land or other property, and electronically stored
information in the possession, custody, or control of any other party
to the action.
   (b) A party may demand that any other party produce and permit the
party making the demand, or someone acting on  that
  the demanding  party's behalf, to inspect and to
copy a document that is in the possession, custody, or control of the
party on whom the demand is made.
   (c) A party may demand that any other party produce and permit the
party making the demand, or someone acting on  that
  the demanding  party's behalf, to inspect and to
photograph, test, or sample any tangible things that are in the
possession, custody, or control of the party on whom the demand is
made.
   (d) A party may demand that any other party allow the party making
the demand, or someone acting on  that   the
demanding  party's behalf, to enter on any land or other
property that is in the possession, custody, or control of the party
on whom the demand is made, and to inspect and to measure, survey,
photograph, test, or sample the land or other property, or any
designated object or operation on it.
   (e) A party may demand that any other party produce and permit the
party making the demand, or someone acting on  that
  the demanding  party's behalf, to inspect, copy,
test, or sample electronically stored information in the possession,
custody, or control of the party on whom demand is made.
  SEC. 43.  Section 2033.010 of the Code of Civil Procedure is
amended to read:
   2033.010.  Any party may obtain discovery within the scope
delimited by  Chapters   Chapter  2
(commencing with Section  2017.010) and 3 (commencing with
Section 2017.710),   2017.010),  and subject to the
restrictions set forth in Chapter 5 (commencing with Section
2019.010), by a written request that any other party to the action
admit the genuineness of specified documents, or the truth of
specified matters of fact, opinion relating to fact, or application
of law to fact. A request for admission may relate to a matter that
is in controversy between the parties.
  SEC. 44.  Section 2035.010 of the Code of Civil Procedure is
amended to read:
   2035.010.  (a) One who expects to be a party or expects a
successor in interest to be a party to  any   an
 action that may be cognizable in  any   a
 court of the State of California,  
state,  whether as a plaintiff, or as a defendant, or in any
other capacity, may obtain discovery within the scope delimited by
 Chapters   Chapter  2 (commencing with
Section  2017.010) and 3 (commencing with Section 2017.710),
  2017.010),  and subject to the restrictions set
forth in Chapter 5 (commencing with Section 2019.010), for the
purpose of perpetuating that person's own testimony or that of
another natural person or organization, or of preserving evidence for
use in the event an action is subsequently filed.
   (b) One shall not employ the procedures of this chapter for
 the purpose either of   purposes of either
 ascertaining the possible existence of a cause of action or a
defense to it, or of identifying those who might be made parties to
an action not yet filed.
  SEC. 45.  Section 2036.010 of the Code of Civil Procedure is
amended to read:
   2036.010.  If an appeal has been taken from a judgment entered by
 any   a  court of the  State of
California,   state,  or if the time for taking an
appeal has not expired, a party may obtain discovery within the scope
delimited by  Chapters   Chapter  2
(commencing with Section  2017.010) and 3 (commencing with
Section 2017.710),   2017.010),  and subject to the
restrictions set forth in Chapter 5 (commencing with Section
2019.010), for  the purpose   purposes  of
perpetuating testimony or preserving information for use in the event
of further proceedings in that court.
  SEC. 46.  Section 2093 of the Code of Civil Procedure is amended to
read:
   2093.  (a) A court, judge or clerk of  any  
a  court, justice, notary public, and officer or person
authorized to take testimony in  any   an 
action or proceeding, or to decide upon evidence, has the power to
administer oaths and affirmations.
   (b) (1) A shorthand reporter certified pursuant to Article 3
(commencing with Section 8020) of Chapter 13 of Division 3 of the
Business and Professions Code has the power to administer oaths and
affirmations and may perform the duties of the deposition officer
pursuant to Chapter 9 (commencing with Section 2025.010) of Title 4.
The certified shorthand reporter  shall be   is
 entitled to receive fees for services rendered during a
deposition, including fees for deposition services, as specified in
subdivision (c) of Section 8211 of the Government Code.
   (2) This subdivision shall also apply to depositions taken by
telephone or other remote electronic means as specified in Chapter 2
(commencing with Section 2017.010) and Chapter 9 (commencing with
Section 2025.010) of Title 4.
   (c) (1) A former judge or justice of a court of record in 
this   the  state who retired or resigned from
office shall have the power to administer oaths and affirmations, if
both of the following conditions are met:
   (A) The former judge or justice requests and receives a
certification from the Commission on Judicial Performance pursuant to
paragraph (2).
   (B) A formal disciplinary proceeding was not pending at the time
of the retirement or resignation.
   (2) (A) A former judge or justice of a court of record in 
this   the  state who retired or resigned from
office may apply to the  commission   Commission
on Judicial Performance  to receive a certification to
administer oaths and affirmations. The commission shall supply the
required forms to an applicant upon request.
   (B) (i) A certification application shall be accompanied by a
medical certification. If an applicant's medical certification
indicates  that  the applicant does not have a
medical condition that would impair his or her ability to administer
oaths and affirmations, the commission shall issue a certification to
the applicant to administer oaths and affirmations. Except as
provided in clause (ii), a certification issued pursuant to this
paragraph  shall be  is  valid for a period
of five years from the date of issuance.
   (ii) If an applicant's medical certification indicates 
that  the applicant has a medical condition that may impair
his or her ability to administer oaths and affirmations, but does not
do so at the time the medical certification is submitted with the
application, the commission shall issue a certification to administer
oaths and affirmations, but the certification  shall only be
  is only  valid for a period of two years from
the date of issuance.
   (3) Notwithstanding paragraph (1), a former judge or justice of a
court of record who received a certification from the 
commission   Commission on Judicial Performance 
before January 1, 2016, to administer oaths and affirmations may
continue to exercise this power until January 1, 2017, at which time
he or she shall reapply for certification pursuant to paragraph (2).
   (4) The  commission   Commission on Judicial
Performance  may charge a regulatory fee not to exceed fifteen
dollars ($15) for each certification application submitted pursuant
to this subdivision to cover its costs, including costs to review the
medical certification.
   (d) A  rule,   rule  or regulation
regarding the confidentiality of proceedings of the 
commission shall not be construed to   Commission on
Judicial Performance does not  prohibit the commission from
issuing a certificate as provided for in this section.
  SEC. 47.  Section 2105 of the Corporations Code is amended to read:

   2105.  (a) A foreign corporation shall not transact intrastate
business without having first obtained from the Secretary of State a
certificate of qualification. To obtain that certificate it shall
file, on a form prescribed by the Secretary of State, a statement and
designation signed by a corporate officer or, in the case of a
foreign association that has no officers, signed by a trustee
stating:
   (1) Its name and the state or place of its incorporation or
organization.
   (2) The street address of its principal executive office.
   (3) The street address of its principal office within this state,
if any.
   (4) The mailing address of its principal executive office, if
different from the addresses specified pursuant to paragraphs (2) and
(3).
   (5) The name of an agent upon whom process directed to the
corporation may be served within this state. The designation shall
comply with  the provisions of  subdivision (b) of
Section 1502.
   (6) (A) Its irrevocable consent to service of process directed to
it upon the agent designated and to service of process on the
Secretary of State if the agent  so  designated or
the agent's successor is no longer authorized to act or cannot be
found at the address given.
   (B) Consent under this paragraph extends to service of process
directed to the foreign corporation's agent in  California
  this state  for a search warrant issued pursuant
to Section 1524.2 of the Penal Code, or for any other validly issued
and properly served search warrant, for records or documents that are
in the possession of the foreign corporation and are located inside
or outside of this state. This subparagraph shall apply to a foreign
corporation that is a party or a nonparty to the matter for which the
search warrant is sought. For purposes of this subparagraph,
"properly served" means delivered by hand, or in a manner reasonably
allowing for proof of delivery if delivered by United States mail,
overnight delivery service, or facsimile to a person or entity listed
in Section 2110, or any other means specified by the foreign
corporation, including, but not limited to, email or submission via
an Internet  web   Web  portal that the
foreign corporation has designated for the purpose of service of
process.
   (7) If it is a corporation  which   that
 will be subject to the Insurance Code as an insurer, it shall
 so  state that fact.
   (b) Annexed to  that   the  statement
and designation shall be a certificate by an authorized public
official of the state or place of incorporation of the corporation to
the effect that the corporation is an existing corporation in good
standing in that state or place or, in the case of an association, an
officers' certificate stating that it is a validly organized and
existing business association under the laws of a specified foreign
jurisdiction.
   (c) Before it may be designated by  any   a
 foreign corporation as its agent for service of process,
 any   a  corporate agent must comply with
Section 1505.
  SEC. 48.  Section 2207 of the Corporations Code is amended to read:

   2207.  (a) A corporation is liable for a civil penalty in an
amount not exceeding one million dollars ($1,000,000) if the
corporation does both of the following:
   (1) Has actual knowledge that an officer, director, manager, or
agent of the corporation does any of the following:
   (A) Makes, publishes, or posts, or has made, published, or posted,
either generally or privately to the shareholders or other persons,
either of the following:
   (i) An oral, written, or electronically transmitted report,
exhibit, notice, or statement of its affairs or pecuniary condition
that  contains   includes  a material
statement or omission that is false and intended to give the shares
of stock in the corporation a materially greater or a materially less
apparent market value than they really possess.
   (ii) An oral, written, or electronically transmitted report,
prospectus, account, or statement of operations, values, business,
profits, or expenditures, that includes a material
                        false statement or omission intended to give
the shares of stock in the corporation a materially greater or a
materially less apparent market value than they really possess.
   (B)  Refuses   Refuses,  or has refused
to  make   make,  any book entry or post
any notice required by law in the manner required by law.
   (C) Misstates or  conceals   conceals, 
or has misstated or  concealed   concealed,
 from a regulatory body a material fact in order to deceive a
regulatory body to avoid a statutory or regulatory duty, or to avoid
a statutory or regulatory limit or prohibition.
   (2) Within 30 days after actual knowledge is acquired of the
actions described in paragraph (1), the corporation knowingly fails
to do both of the following:
   (A) Notify the Attorney General or appropriate government agency
in writing, unless the corporation has actual knowledge that the
Attorney General or appropriate government agency has been notified.
   (B) Notify its shareholders in writing, unless the corporation has
actual knowledge that the shareholders have been notified.
   (b) The requirement for notification under this section 
is not applicable   does not apply  if the action
taken or about to be taken by the corporation, or by an officer,
director, manager, or agent of the corporation under paragraph (1) of
subdivision (a), is abated within the time prescribed for reporting,
unless the appropriate government agency requires disclosure by
regulation.
   (c) If the action reported to the Attorney General pursuant to
this section implicates the government authority of an agency other
than the Attorney General, the Attorney General shall promptly
forward the written notice to that agency.
   (d) If the Attorney General was not notified pursuant to
subparagraph (A) of paragraph (2) of subdivision (a), but the
corporation reasonably and in good faith believed that it had
complied with the notification requirements of this section by
notifying a government agency listed in paragraph (5) of subdivision
(e), no penalties shall apply.
   (e) For purposes of this section:
   (1) "Manager" means a person having both of the following:
   (A) Management authority over a business entity.
   (B) Significant responsibility for an aspect of a business that
includes actual authority for the financial operations or financial
transactions of the business.
   (2) "Agent" means a person or entity authorized by the corporation
to make representations to the public about the corporation's
financial condition and who is acting within the scope of the agency
when the representations are made.
   (3) "Shareholder" means a person or entity that is a shareholder
of the corporation at the time the disclosure is required pursuant to
subparagraph (B) of paragraph (2) of subdivision (a).
   (4) "Notify its shareholders" means to give sufficient description
of an action taken or about to be taken that would constitute acts
or omissions as described in paragraph (1) of subdivision (a). A
notice or report filed by a corporation with the United States
Securities and Exchange Commission that relates to the facts and
circumstances giving rise to an obligation under paragraph (1) of
subdivision (a) shall satisfy all notice requirements arising under
paragraph (2) of subdivision (a), but  shall not be 
 is not  the exclusive means of satisfying the notice
requirements,  provided that   if  the
Attorney General or appropriate agency is informed in writing that
the filing has been made together with a copy of the filing or an
electronic link where it is available online without charge.
   (5) "Appropriate government agency" means an agency on the
following list that has regulatory authority with respect to the
financial operations of a corporation:
   (A) Department of Business Oversight.
   (B) Department of Insurance.
   (C) Department of Managed Health Care.
   (D) United States Securities and Exchange Commission.
   (6) "Actual knowledge of the corporation" means the knowledge an
officer or director of a corporation actually possesses or does not
consciously avoid possessing, based on an evaluation of information
provided pursuant to the corporation's disclosure controls and
procedures.
   (7) "Refuse to make a book entry" means the intentional decision
not to record an accounting transaction when all of the following
conditions are satisfied:
   (A) The independent auditors required recordation of an accounting
transaction during the course of an audit.
   (B) The  corporation's  audit committee  of the
corporation  has not approved the independent auditor's
recommendation.
   (C) The decision is made for the primary purpose of rendering the
financial statements materially false or misleading.
   (8) "Refuse to post any notice required by law" means an
intentional decision not to post a notice required by law when all of
the following conditions exist:
   (A) The decision not to post the notice has not been approved by
the corporation's audit committee.
   (B) The decision is intended to give the shares of stock in the
corporation a materially greater or a materially less apparent market
value than they really possess.
   (9) "Misstate or conceal material facts from a regulatory body"
means an intentional decision not to disclose material facts when all
of the following conditions exist:
   (A) The decision not to disclose material facts has not been
approved by the corporation's audit committee.
   (B) The decision is intended to give the shares of stock in the
corporation a materially greater or a materially less apparent market
value than they really possess.
   (10) "Material false statement or omission" means an untrue
statement of material fact or an omission to state a material fact
necessary in order to make the statements made under the
circumstances under which they were made not misleading.
   (11) "Officer" means any person as set forth in Rule 16a-1
promulgated under the Securities Exchange Act of 1934 or any
successor regulation thereto, except an officer of a subsidiary
corporation who is not also an officer of the parent corporation.
   (f) This section only applies to corporations that are issuers, as
defined in Section 2 of the Sarbanes-Oxley Act of 2002 (15 U.S.C.
Sec. 7201  and following).   et seq.). 
   (g) An action to enforce this section may only be brought by the
Attorney General or a district attorney or city attorney in the name
of the people of the  State of California.  
state. 
  SEC. 49.  Section 17708.02 of the Corporations Code is amended to
read:
   17708.02.  (a) A foreign limited liability company may apply for a
certificate of registration to transact business in this state by
delivering an application to the Secretary of State for filing on a
form prescribed by the Secretary of State. The application shall
state all of the following:
   (1) The name of the foreign limited liability company, and, if the
name does not comply with Section 17701.08, an alternate name
adopted pursuant to subdivision (a) of Section 17708.05.
   (2) The state or other jurisdiction under whose law the foreign
limited liability company is organized and the date of its
organization in that state or other jurisdiction, and a statement
that the foreign limited liability company is authorized to exercise
its powers and privileges in that state or other jurisdiction.
   (3) The street address of the foreign limited liability company's
principal office and of its principal business office in this state,
if any.
   (4) (A) The name and street address of the foreign limited
liability company's initial agent for service of process in this
state who consents to service of process and meets the qualifications
specified in subdivision (c) of Section 17701.13. If a corporate
agent is designated, only the name of the agent shall be set forth.
   (B) Consent under this paragraph extends to service of process
directed to the foreign limited liability company's agent in 
California     this state  for a search
warrant issued pursuant to Section 1524.2 of the Penal Code, or for
any other validly issued and properly served search warrant, for
records or documents that are in the possession of the foreign
limited liability company and are located inside or outside of this
state. This subparagraph shall apply to a foreign limited liability
company that is a party or a nonparty to the matter for which the
search warrant is sought. For purposes of this subparagraph, 
properly served   "properly served   " 
means delivered by hand, or in a manner reasonably allowing for proof
of delivery if delivered by United States mail, overnight delivery
service, facsimile, or any other means specified by the foreign
limited liability company, including email or submission via an
Internet  web   Web  portal the foreign
limited liability company has designated for the purpose of service
of process.
   (5) A statement that the Secretary of State is appointed the agent
of the foreign limited liability company for service of process if
the agent has resigned and has not been replaced or if the agent
cannot be found or served with the exercise of reasonable diligence.
   (6) The mailing address of the foreign limited liability company
if different than the street address of the principal office, or
principal business office in this state.
   (b) A foreign limited liability company shall deliver with a
completed application under subdivision (a) a certificate of
existence, status, or good standing or a record of similar import
signed by the Secretary of State or other official having custody of
the foreign limited liability company's publicly filed records in the
state or other jurisdiction under whose law the foreign limited
liability company is formed.
   (c) The Secretary of State shall include with instructional
materials, provided in conjunction with registration under
subdivision (a), a notice that filing the registration will obligate
the foreign limited liability company to pay an annual tax to the
Franchise Tax Board pursuant to Section 17941 of the Revenue and
Taxation Code. That notice shall be updated annually to specify the
dollar amount of the tax.
  SEC. 50.  Section 25100 of the Corporations Code is amended to
read:
   25100.  The following securities are exempted from Sections 25110,
25120, and 25130:
   (a) Any  security (including   security,
including  a revenue  obligation)  
obligation,  issued or guaranteed by the United States, any
state, any city, county, city and county, public district, public
authority, public corporation, public entity, or political
subdivision of a state or any agency or corporate or other
instrumentality of any one or more of the  foregoing;
  foregoing,  or any certificate of deposit for any
of the foregoing.
   (b) Any security issued or guaranteed by Canada, any Canadian
province, any political subdivision or municipality of that province,
or by any other foreign government  with which 
 that  the United States currently maintains diplomatic
relations, if the security is recognized as a valid obligation by the
issuer or  guarantor;   guarantor,  or any
certificate of deposit for any of the foregoing.
   (c) Any security issued or guaranteed by and representing an
interest  in   in,  or a direct obligation
 of   of,  a national bank or a bank or
trust company incorporated under the laws of this state, and any
security issued by a bank to one or more other banks and representing
an interest in an asset of the issuing bank.
   (d) Any security issued or guaranteed by a federal savings
 association or   association,  federal
savings  bank or   bank,  federal land
 bank or   bank,  joint land  bank
or   bank,  national farm loan  association
  association,  or by any savings association, as
defined in subdivision (a) of Section 5102 of the Financial Code,
 which   that  is subject to the
supervision and regulation of the Commissioner of Business 
Oversight of this state.   Oversight. 
   (e) Any  security (other   security, other
 than an interest in all or portions of a parcel or parcels of
real property  which   that  are subdivided
land or a subdivision or in a real estate  development),
  development,  the issuance of which is subject to
authorization by the Insurance Commissioner, the Public Utilities
Commission, or the Real Estate  Commissioner of this state.
  Commissioner. 
   (f) Any security consisting of any interest in all or portions of
a parcel or parcels of real property that are subdivided lands or a
subdivision or in a real estate  development; provided that
the   development. The  exemption in this
subdivision  shall not be applicable to: (1) any 
 does not apply to either of the following: 
    (1)     Any  investment contract sold
or offered for sale with, or as part of, that  interest, or
(2) any   interest. 
    (2)     Any  person engaged in the
business of selling, distributing, or supplying water for irrigation
purposes or domestic use that is not a public utility except that the
exemption  is applicable   applies  to any
security of a mutual water company (other  
company, other  than an investment contract as described in
paragraph  (1))   (1),  offered or sold in
connection with subdivided lands pursuant to Chapter 2 (commencing
with Section 14310) of Part 7 of Division 3 of Title 1.
   (g) Any mutual capital certificates or savings accounts, as
defined in the Savings Association Law, issued by a savings
association, as defined by subdivision (a) of Section 5102 of the
Financial Code, and holding a license or certificate of authority
then in force from the Commissioner of Business  Oversight of
this state.   Oversight. 
   (h) Any security issued or guaranteed by any federal credit union,
or by any credit union organized and supervised, or regulated, under
the Credit Union Law.
   (i) Any security issued or guaranteed by any railroad, other
common carrier, public utility, or public utility holding company
 which is (1) subject   that is any of the
following: 
    (1)     Subject  to the jurisdiction
of the Interstate Commerce Commission or its  successor or
(2) a   successor. 
    (2)     A  holding company registered
with the Securities and Exchange Commission under the Public Utility
Holding Company Act of 1935 or a subsidiary of  that
  the holding  company within the meaning of that
 act or (3) regulated   act. 
    (3)     Regulated  in respect of the
issuance or guarantee of the security by a governmental authority of
the United States, of any state, of Canada or of any Canadian
 province;   province,  and the security is
subject to registration with or authorization of issuance by that
authority.
   (j) Any  security (except   security, except
 evidences of indebtedness, whether interest bearing or 
not)   not,  of an issuer (1) organized
exclusively for educational, benevolent, fraternal, religious,
charitable, social, or reformatory purposes and not for pecuniary
profit, if no part of the net earnings of the issuer inures to the
benefit of any private shareholder or individual, or (2) organized as
a chamber of commerce or trade or professional association. The fact
that amounts received from  memberships  
memberships,  or  dues   dues,  or
both will or may be used to construct or otherwise acquire facilities
for use by members of the nonprofit organization does not disqualify
the organization for this exemption. This exemption does not apply
to the securities of  any   a  nonprofit
organization if any promoter thereof expects or intends to make a
profit directly or indirectly from any business or activity
associated with the organization or operation of  that
  the  nonprofit organization or from remuneration
received from  that   the  nonprofit
organization.
   (k) Any agreement, commonly known as a "life income contract," of
an issuer (1) organized exclusively for educational, benevolent,
fraternal, religious, charitable, social, or reformatory purposes and
not for pecuniary profit and (2)  which   that
 the commissioner designates by rule or order, with a donor in
consideration of a donation of property to that issuer and providing
for the payment to the donor or persons designated by him or her of
income or specified periodic payments from the donated property or
other property for the life of the donor or those other persons.
   (  l  ) Any note, draft, bill of exchange, or banker's
acceptance  which   that  is freely
transferable and of prime quality, arises out of a current
transaction or the proceeds of which have been or are to be used for
current transactions, and  which   that 
evidences an obligation to pay cash within nine months of the date of
issuance, exclusive of days of grace, or any renewal of that paper
which is likewise limited, or any guarantee of that paper or of that
renewal,  provided that   if  the paper is
not offered to the public in amounts of less than twenty-five
thousand dollars ($25,000) in the aggregate to any one purchaser. In
addition, the commissioner may, by rule or order, exempt any issuer
of any notes, drafts, bills of exchange or banker's acceptances from
qualification of those securities  when   if
 the commissioner finds that the qualification is not necessary
or appropriate in the public interest or for the protection of
investors.
   (m) Any security issued by  any   a 
corporation organized and existing under the provisions of Chapter 1
(commencing with Section 54001) of Division 20 of the Food and
Agricultural Code.
   (n) Any beneficial interest in an employees' pension,
profit-sharing, stock bonus, or similar benefit plan  which
  that  meets the requirements for qualification
under Section 401 of the federal Internal Revenue Code or any statute
amendatory thereof or supplementary thereto. A determination letter
from the Internal Revenue Service stating that an employees' pension,
profit-sharing, stock bonus, or similar benefit plan meets those
requirements  shall be   is  conclusive
evidence that the plan is an employees' pension, profit-sharing,
stock bonus, or similar benefit plan within the meaning of the first
sentence of this subdivision until the date the determination letter
is revoked in writing by the Internal Revenue Service, regardless of
whether or not the revocation is retroactive.
   (o)  (1)    Any security listed or approved for
listing upon notice of issuance on a national securities exchange, if
the exchange has been certified by rule or order of the commissioner
and any warrant or right to purchase or subscribe to the security.
The exemption afforded by this subdivision does not apply to
securities listed or approved for listing upon notice of issuance on
a national securities exchange, in a rollup transaction unless the
rollup transaction is an eligible rollup transaction as defined in
Section 25014.7. 
    That 
    (2)     The  certification of 
any   an  exchange shall be made by the
commissioner upon the written request of the exchange if the
commissioner finds that the exchange, in acting on applications for
listing of common stock, substantially applies the minimum standards
set forth in either subparagraph (A) or (B) of paragraph 
(1),   (3),  and, in considering suspension or
removal from listing, substantially applies each of the criteria set
forth in paragraph  (2).   (4).  
   (1) 
    (3)  Listing standards:
   (A) (i) Shareholders' equity of at least four million dollars
($4,000,000).
   (ii) Pretax income of at least seven hundred fifty thousand
dollars ($750,000) in the issuer's last fiscal year or in two of its
last three fiscal years.
   (iii)  (I)    Minimum public distribution of
500,000  shares (exclusive   shares, exclusive
 of the holdings of officers, directors, controlling
shareholders, and other concentrated or family  holdings),
  holdings,  together with a minimum of 800 public
holders or minimum public distribution of 1,000,000 shares together
with a minimum of 400 public holders. The exchange may also consider
the listing of a company's securities if the company has a minimum of
500,000 shares publicly held, a minimum of 400 shareholders and
daily trading volume in the issue has been approximately 2,000 shares
or more for the six months preceding the date of application. In
evaluating the suitability of an issue for listing under this trading
provision, the exchange shall review the nature and frequency of
that activity and any other factors as it  may determine
  determines  to be relevant in ascertaining
whether the issue is suitable for trading. A security that trades
infrequently shall not be considered for listing under this paragraph
even though average daily volume amounts to 2,000 shares per day or
more. 
    Companies 
    (II)     Companies  whose securities
are concentrated in a limited geographical area, or whose securities
are largely held in block by institutional investors, normally may
not be considered eligible for listing unless the public distribution
appreciably exceeds 500,000 shares.
   (iv) Minimum price of three dollars ($3) per share for a
reasonable period of time  prior to   before
 the filing of a listing  application; provided,
however,   application. However,  in certain
instances an exchange may favorably consider listing an issue selling
for less than three dollars ($3) per share after considering all
pertinent factors, including market conditions in general, whether
historically the issue has sold above three dollars ($3) per share,
the applicant's capitalization, and the number of outstanding and
publicly held shares of the issue.
   (v) An aggregate market value for publicly held shares of at least
three million dollars ($3,000,000).
   (B) (i) Shareholders' equity of at least four million dollars
($4,000,000).
   (ii) Minimum public distribution set forth in clause (iii) of
subparagraph (A) of paragraph  (1).   (3). 

   (iii) Operating history of at least three years.
   (iv) An aggregate market value for publicly held shares of at
least fifteen million dollars ($15,000,000). 
   (2) 
    (4)  Criteria for consideration of suspension or removal
from listing:
   (A) If a company that  (A)  has shareholders'
equity of less than one million dollars ($1,000,000) has sustained
net losses in each of its two most recent fiscal  years, or
(B)   years or  has net tangible assets of less
than three million dollars ($3,000,000) and has sustained net losses
in three of its four most recent fiscal years.
   (B) If the number of shares publicly  held (excluding
  held, excluding  the holdings of officers,
directors, controlling shareholders, and other concentrated or family
 holdings)   holdings,  is less than
150,000.
   (C) If the total number of shareholders is less than 400 or if the
number of shareholders of lots of 100 shares or more is less than
300.
   (D) If the aggregate market value of shares publicly held is less
than seven hundred fifty thousand dollars ($750,000).
   (E) If shares of common stock sell at a price of less than three
dollars ($3) per share for a substantial period of time and the
issuer shall fail to effectuate a reverse stock split of the shares
within a reasonable period of time after being requested by the
exchange to take that action. 
    A 
    (5)     (A)     A 
national securities exchange, certified by rule or order of the
commissioner under this subdivision, shall file annual reports when
requested to do so by the commissioner. The annual reports shall
contain, by  issuer: the   issuer, all of the
following: 
    (i)     The  variances granted to an
exchange's listing standards, including variances from corporate
governance and voting rights' standards, for any security of that
 issuer; the   issuer. 
    (ii)     The  reasons for the 
variances; a   variances. 
    (iii)     A discussion of the review
procedure instituted by the exchange to determine the effect of the
variances on investors and whether the variances should be 
continued; and any   continued. 
    (iv)     Any  other information that
the commissioner deems relevant.  The 
    (B)     The  purpose of these reports
is to assist the commissioner in determining  whether
  if  the quantitative and qualitative requirements
of this subdivision are substantially being met by the exchange in
general or with regard to any particular security. 
    The 
    (6)     The  commissioner after
appropriate notice and opportunity for hearing in accordance with
 the provisions of  the Administrative Procedure
 Act, Chapter   Act (Chapter  5 (commencing
with Section 11500) of Part 1 of Division 3 of Title 2 of the
Government  Code,   Code)  may, in his or
her discretion, by rule or order, decertify any exchange previously
certified that ceases substantially to apply the minimum standards or
criteria as set forth in paragraphs  (1) and (2). 
 (3) and (4).  
    A 
    (7)     A  rule or order of
certification shall conclusively establish that any security listed
or approved for listing upon notice of issuance on any exchange named
in a rule or order of certification, and any warrant or right to
purchase or subscribe to that security, is exempt under this
subdivision until the adoption by the commissioner of any rule or
order decertifying the exchange.
   (p) A promissory note secured by a lien on real property, 
which   that  is neither one of a series of notes
of equal priority secured by interests in the same real property nor
a note in which beneficial interests are sold to more than one person
or entity.
   (q) Any unincorporated interindemnity or reciprocal or
interinsurance contract, that qualifies under the provisions of
Section 1280.7 of the Insurance Code, between members of a
cooperative corporation, organized and operating under Part 2
(commencing with Section 12200) of Division 3 of Title 1, and whose
members consist only of physicians and surgeons licensed in 
California,   the state,  which contracts indemnify
solely in respect to medical malpractice claims against the members,
and which do not collect in advance of loss any moneys other than
contributions by each member to a collective reserve trust fund or
for necessary expenses of administration.
   (1) Whenever it appears to the commissioner that  any
  a  person has  engaged  
engaged,  or is about to  engage   engage,
 in  any   an  act or practice
constituting a violation of  any provision of 
Section 1280.7 of the Insurance Code, the commissioner may, in the
commissioner's discretion, bring an action in the name of the people
of the  State of California   state  in the
superior court                                               to
enjoin the acts or practices or to enforce compliance with Section
1280.7 of the Insurance Code. Upon a proper showing a permanent or
preliminary injunction, a restraining order, or a writ of mandate
shall be granted and a receiver or conservator may be appointed for
the defendant or the defendant's assets.
   (2) The commissioner may, in the commissioner's discretion,
 (A)  make public or private investigations within
or outside of  this   the  state as the
commissioner deems necessary to determine  whether any
  if a  person has violated or is about to violate
 any provision of  Section 1280.7 of the Insurance
Code or to aid in the enforcement of Section 1280.7, and  (B)
 publish information concerning the violation of Section
1280.7.
   (3) For  the purpose of any   purposes of an
 investigation or proceeding under this section, the
commissioner or any officer designated by the commissioner may
administer oaths and affirmations, subpoena witnesses, compel their
attendance, take evidence, and require the production of any books,
papers, correspondence, memoranda, agreements, or other documents or
records  which   that  the commissioner
deems relevant or material to the inquiry.
   (4) In case of contumacy by, or refusal to obey a subpoena issued
to, any person, the superior court, upon application by the
commissioner, may issue to the person an order requiring the person
to appear before the commissioner, or the officer designated by the
commissioner, to produce documentary evidence, if so ordered, or to
give evidence touching the matter under investigation or in question.
Failure to obey the order of the court may be punished by the court
as a contempt.
   (5) No person is excused from attending or testifying or from
producing any document or record before the commissioner or in
obedience to the subpoena of the commissioner or any officer
designated by the commissioner, or in any proceeding instituted by
the commissioner, on the ground that the testimony or 
evidence (documentary   evidence, documentary  or
 otherwise),   otherwise,  required of the
person may tend to incriminate the person or subject the person to a
penalty or forfeiture, but no individual may be prosecuted or
subjected to any penalty or forfeiture  for  
for,  or on account  of   of,  any
transaction, matter, or thing concerning which the person is
compelled, after validly claiming the privilege against
self-incrimination, to testify or produce  evidence
(documentary   evidence, documentary  or 
otherwise),   otherwise,  except that the
individual testifying is not exempt from prosecution and punishment
for perjury or contempt committed in testifying.
   (6)  (A)    The cost of any review, examination,
audit, or investigation made by the commissioner under Section
1280.7 of the Insurance Code shall be paid to the commissioner by the
person subject to the review, examination, audit, or investigation,
and the commissioner may maintain an action for the recovery of these
costs in any court of competent jurisdiction. In determining the
cost, the commissioner may use the actual amount of the salary or
other compensation paid to the persons making the review,
examination, audit, or investigation plus the actual amount of
expenses including overhead reasonably incurred in the performance of
the work. 
    The 
    (B)     The  recoverable cost of each
review, examination, audit, or investigation made by the commissioner
under Section 1280.7 of the Insurance Code shall not exceed
twenty-five thousand dollars ($25,000), except that costs exceeding
twenty-five thousand dollars ($25,000) shall be recoverable if the
costs are necessary to prevent a violation of  any provision
of  Section 1280.7 of the Insurance Code.
   (r) Any shares or memberships issued by any corporation organized
and existing pursuant to the provisions of Part 2 (commencing with
Section 12200) of Division 3 of Title 1,  provided 
 if  the aggregate investment of any shareholder or member
in shares or memberships sold pursuant to this subdivision does not
exceed one thousand dollars ($1,000). This exemption does not apply
to the shares or memberships of that corporation if any promoter
thereof expects or intends to make a profit directly or indirectly
from any business or activity associated with the corporation or the
operation of the corporation or from remuneration, other than
reasonable salary, received from the corporation. This exemption does
not apply to nonvoting shares or memberships of that corporation
issued to any person who does not possess, and who will not acquire
in connection with the issuance of nonvoting shares or memberships,
voting  power (Section 12253)   power, as
defined in Section 12253,  in the corporation. This exemption
 also  does not apply to shares or memberships
issued by a nonprofit cooperative corporation organized to facilitate
the creation of an unincorporated interindemnity arrangement that
provides indemnification for medical malpractice to its physician and
surgeon members as set forth in subdivision (q).
   (s) Any security consisting of or representing an interest in a
pool of mortgage loans that meets  each   all
 of the following requirements:
   (1) The pool consists of whole mortgage loans or participation
interests in those loans, which loans were originated or acquired in
the ordinary course of business by a national bank or federal savings
association or federal savings bank having its principal office in
this state, by a bank incorporated under the laws of this 
state   state,  or by a savings association as
defined in subdivision (a) of Section 5102 of the Financial Code and
 which   that  is subject to the
supervision and regulation of the  Commissioner of Financial
Institutions,   commissioner,  and each of which at
the time of transfer to the pool is an authorized investment for the
originating or acquiring institution.
   (2) The pool of mortgage loans is held in trust by a trustee
 which   that  is a financial institution
specified in paragraph (1) as trustee or otherwise.
   (3) The loans are serviced by a financial institution specified in
paragraph (1).
   (4) The security is not offered in amounts of less than
twenty-five thousand dollars ($25,000) in the aggregate to any one
purchaser.
   (5) The security is offered pursuant to a registration under the
Securities Act of 1933, or pursuant to an exemption under Regulation
A under that act, or in the opinion of counsel for the issuer, is
offered pursuant to an exemption under Section 4(2) of that act.
   (t) (1) Any security issued or guaranteed by and representing an
interest  in   in,  or a direct obligation
 of   of,  an industrial loan company
incorporated under the laws of the state and authorized by the
 Commissioner of Financial Institutions  
commissioner  to engage in industrial loan business.
   (2) Any investment certificate in or issued by  any
  an  industrial loan company that is organized
under the laws of a state of the United States other than this state,
that is insured by the Federal Deposit Insurance Corporation, and
that maintains a branch office in this state.
  SEC. 51.  Section 25247 of the Corporations Code is amended to
read:
   25247.  (a) Upon written or oral request, the commissioner shall
make available to any person the information specified in Section
6254.12 of the Government Code and made available through the Public
Disclosure Program of the Financial Industry Regulatory Authority
with respect to any broker-dealer or agent licensed or regulated
under this part. The commissioner shall also make available the
current license status and the year of issuance of the license of a
broker-dealer. Any information disclosed pursuant to this subdivision
shall constitute a public record. Notwithstanding any other 
provisions of  law, the commissioner may disclose either
orally or in writing that information pursuant to this subdivision.
There shall be no liability on the part  of  
of,  and no cause of action of any nature shall arise 
against the State of California,   against, the state,
 the Department of Business Oversight, the Commissioner of
Business Oversight, or any officer, agent, or employee of the state
or  of  the Department of Business Oversight for the
release of any false or unauthorized information, unless the release
of that information was done with knowledge and malice.
   (b) Any broker-dealer or agent licensed or regulated under this
part  shall   shall,  upon  request
  request,  deliver a written notice to any client
when a new account is opened stating that information about the
license status or disciplinary record of a broker-dealer or an agent
may be obtained from the  Department   Division
 of Corporations, or from any other source that provides
substantially similar information.
   (c) The notice provided under subdivision (b) shall contain the
office location or telephone number where the information may be
obtained.
   (d) A broker-dealer or agent  shall be   is
 exempt from providing the notice required under subdivision (b)
if a person who does not have a financial relationship with the
broker-dealer or agent, requests only general operational information
such as the nature of the broker-dealer's or agent's business,
office location, hours of operation, basic services, and fees, but
does not solicit advice regarding investments or other services
offered.
   (e) Upon written or oral request, the commissioner shall make
available to any person the disciplinary records maintained on the
Investment Adviser Registration Depository and made available through
the Investment Advisor Public Disclosure  Internet  Web
site  with respect   as  to any investment
adviser, investment adviser representative, or associated person of
an investment adviser licensed or regulated under this part. The
commissioner shall also make available the current license status and
the year of issuance of the license of an investment adviser. Any
information disclosed pursuant to this subdivision shall constitute a
public record. Notwithstanding any other  provision of
 law, the commissioner may disclose that information either
orally or in writing pursuant to this subdivision. There shall be no
liability on the part  of   of,  and no
cause of action of any nature shall arise  against the State
of California,   against, the state,  the
Department of Business Oversight, the Commissioner of Business
Oversight, or any officer, agent, or employee of the state or
 of  the Department of Business Oversight for the
release of any false or unauthorized information, unless the release
of that information was done with knowledge and malice.
   (f) Section 461 of the Business and Professions Code shall not
 be applicable   apply  to the 
Department   Division  of Corporations when using a
national, uniform application adopted or approved for use by the
Securities and Exchange Commission, the North American Securities
Administrators Association, or the Financial Industry Regulatory
Authority that is required for participation in the Central
Registration Depository or the Investment Adviser Registration
Depository.
   (g) This section shall not require the disclosure of criminal
history record information maintained by the Federal Bureau of
Investigation pursuant to Section 534 of Title 28 of the United
States Code, and the rules thereunder, or information not otherwise
subject to disclosure under the Information Practices Act of 1977.
  SEC. 52.  Section 221.6 of the Education Code is amended to read:
   221.6.   Title IX: by   On or before 
July 1, 2006, the department shall post on its  Internet 
Web site, in both English and Spanish and at a reading level that may
be comprehended by pupils in high school, the information set forth
in the federal regulations implementing Title IX of the Education
Amendments of 1972 (20 U.S.C. Sec. 1681 et seq.).
  SEC. 53.  Section 1313 of the Education Code is amended to read:
   1313.  Each county employee whose status is changed by this
article, and who is in employment and a member of a county retirement
system other than one provided by contract with the Public Employees'
Retirement System on the date of the change, shall become eligible
for membership in the Public Employees' Retirement System in
accordance with the Public Employees' Retirement Law with respect to
his or her employment thereafter, and shall be subject to the
reciprocal benefits provided by  said systems; provided, that
  those systems. However,  the employee may elect
to continue in membership of the county retirement system with
respect to his or her employment thereafter, in which event the same
appropriations and transfers of funds shall be made to the retirement
fund of the county system for the employee as those required of the
county under the county retirement law, and these amounts shall be
legal charges against the county school service fund. The election
authorized by this section shall be made no later than the date
preceding the date upon which his  or her  status is changed
in accordance with procedures to be established by the  county
 board of supervisors, which shall allow at least 30 days to
make the election. The election once made shall not be rescinded. An
employee who does not elect to continue membership in the county
system shall be deemed to have discontinued county employment for
purposes of the county system at the close of the day preceding the
date upon which his  or her  status changes.
  SEC. 54.  Section 8340.4 of the Education Code is amended to read:
   8340.4.  The county shall, by the end of the first fiscal year of
operation under the approved child care subsidy plan, demonstrate, in
the report required pursuant to Section 8340.5, an increase in the
aggregate days a child is enrolled in child care in the county as
compared to the enrollment in the final quarter of the 
2014-2015   2014-   15  fiscal year.
  SEC. 55.  Section 17250.25 of the Education Code, as added by
Section 2 of Chapter 752 of the Statutes of 2015, is amended to read:

   17250.25.  The procurement process for design-build projects shall
progress as follows:
   (a) (1) The school district shall prepare a set of documents
setting forth the scope and estimated price of the project. The
documents may include, but are not limited to, the size, type, and
desired design character of the project, performance specifications
covering the quality of materials, equipment, workmanship,
preliminary plans or building layouts, or any other information
deemed necessary to describe adequately the school district's needs.
The performance specifications and any plans shall be prepared by a
design professional who is duly licensed and registered in 
California.   the state. 
   (2) The documents shall not include a design-build-operate
contract for a project. The documents, however, may include
operations during a training or transition period, but shall not
include long-term operations for a project.
   (b) The school district shall prepare and issue a request for
qualifications in order to prequalify, or develop a short-list of,
the design-build entities whose proposals shall be evaluated for
final selection. The request for qualifications shall include, but is
not limited to, all of the following elements:
   (1) Identification of the basic scope and needs of the project or
contract, the expected cost range, the methodology that will be used
by the school district to evaluate proposals, the procedure for final
selection of the design-build entity, and any other information
deemed necessary by the school district to inform interested parties
of the contracting opportunity.
   (2) Significant factors that the school district reasonably
expects to consider in evaluating qualifications, including technical
design and construction expertise, acceptable safety record, and all
other nonprice-related factors.
   (3) A standard template request for statements of qualifications
prepared by the school district. In preparing the standard template,
the school district may consult with the construction industry, the
building trades and surety industry, and other school districts
interested in using the authorization provided by this chapter. The
template shall require the following information:
   (A) If the design-build entity is a privately held corporation,
limited liability company, partnership, or joint venture, a listing
of all of the shareholders, partners, or members known at the time of
statement of qualification submission who will perform work on the
project.
   (B) Evidence that the members of the design-build team have
completed, or demonstrated the experience, competency, capability,
and capacity to complete, projects of similar size, scope, or
complexity, and that the proposed key personnel have sufficient
experience and training to competently manage and complete the design
and construction of the  project, and a  
project. 
    (C)     A  financial statement that
ensures that the design-build entity has the capacity to complete the
project. 
   (C) 
    (D)  The licenses, registration, and credentials
required to design and construct the project, including, but not
limited to, information on the revocation or suspension of any
license, credential, or registration. 
   (D) 
    (E)  Evidence that establishes that the design-build
entity has the capacity to obtain all required payment and
performance bonding, liability insurance, and errors and omissions
insurance. 
   (E) 
    (F)  Information concerning workers' compensation
experience history and a worker safety program. 
   (F) 
    (G)  If the proposed design-build entity is a
corporation, limited liability company, partnership, joint venture,
or other legal entity, a copy of the organizational documents or
agreement committing to form the organization. 
   (G) 
    (H)  An acceptable safety record. A proposer's safety
record shall be deemed acceptable if its experience modification rate
for the most recent three-year period is an average of 1.00 or less,
and its average total recordable injury or illness rate and average
lost work rate for the most recent three-year period does not exceed
the applicable statistical standards for its business category, or if
the proposer is a party to an alternative dispute resolution system,
as provided for in Section 3201.5 of the Labor Code. 
   (4) (A)  The 
    (c)     (1)     The 
information required under  this subdivision  
a standard template pursuant to paragraph (3) of subdivision (b)
 shall be certified under penalty of perjury by the design-build
entity and its general partners or joint venture members. 
   (B) 
    (2)  Information required under  this
subdivision   a standard template pursuant to paragraph
(3) of subdivision (b)  that is not otherwise a public record
under the California Public Records Act (Chapter 3.5 (commencing with
Section 6250) of Division 7 of Title 1 of the Government Code) shall
not be open to public inspection. 
   (c) 
    (d)  A design-build entity shall not be prequalified or
shortlisted unless the entity provides an enforceable commitment to
the school district that the entity and its subcontractors at every
tier will use a skilled and trained workforce to perform all work on
the project or contract that falls within an apprenticeable
occupation in the building and construction trades.
   (1) For purposes of this subdivision:
   (A) "Apprenticeable occupation" means an occupation for which the
Chief of the Division of Apprenticeship Standards had approved an
apprenticeship program pursuant to Section 3075 of the Labor Code
before January 1, 2014.
   (B) "Skilled and trained workforce" means a workforce that meets
all of the following conditions:
   (i) All the workers are either skilled journeypersons or
apprentices registered in an apprenticeship program approved by the
Chief of the Division of Apprenticeship Standards.
   (ii) (I) As of July 1, 2016, at least 20 percent of the skilled
journeypersons employed to perform work on the contract or project by
the entity and each of its subcontractors at every tier are
graduates of an apprenticeship program for the applicable occupation
that was either approved by the Chief of the Division of
Apprenticeship Standards pursuant to Section 3075 of the Labor Code
or located outside  California   the state 
and approved for federal purposes pursuant to the apprenticeship
regulations adopted by the federal Secretary of Labor.
   (II) As of July 1, 2017, at least 30 percent of the skilled
journeypersons employed to perform work on the contract or project by
the entity and each of its subcontractors at every tier are
graduates of an apprenticeship program for the applicable occupation
that was either approved by the Chief of the Division of
Apprenticeship Standards pursuant to Section 3075 of the Labor Code
or located outside  California   the state 
and approved for federal purposes pursuant to the apprenticeship
regulations adopted by the federal Secretary of Labor.
   (III) As of July 1, 2018, at least 40 percent of the skilled
journeypersons employed to perform work on the contract or project by
the entity and each of its subcontractors at every tier are
graduates of an apprenticeship program for the applicable occupation
that was either approved by the Chief of the Division of
Apprenticeship Standards pursuant to Section 3075 of the Labor Code
or located outside  California   the state 
and approved for federal purposes pursuant to the apprenticeship
regulations adopted by the federal Secretary of Labor.
   (IV) As of July 1, 2019, at least 50 percent of the skilled
journeypersons employed to perform work on the contract or project by
the entity and each of its subcontractors at every tier are
graduates of an apprenticeship program for the applicable occupation
that was either approved by the Chief of the Division of
Apprenticeship Standards pursuant to Section 3075 of the Labor Code
or located outside  California   the state 
and approved for federal purposes pursuant to the apprenticeship
regulations adopted by the federal Secretary of Labor.
   (V) As of July 1, 2020, at least 60 percent of the skilled
journeypersons employed to perform work on the contract or project by
the entity and each of its subcontractors at every tier are
graduates of an apprenticeship program for the applicable occupation
that was either approved by the Chief of the Division of
Apprenticeship Standards pursuant to Section 3075 of the Labor Code
or located outside  California   the state 
and approved for federal purposes pursuant to the apprenticeship
regulations adopted by the federal Secretary of Labor.
   (iii) For an apprenticeable occupation in which no apprenticeship
program had been approved by the Chief of the Division of
Apprenticeship Standards before January 1, 1995, up to one-half of
the graduation percentage requirements of clause (ii) may be
satisfied by skilled journeypersons who commenced working in the
apprenticeable occupation  prior to   before
 the chief's approval of an apprenticeship program for that
occupation in the county in which the project is located.
   (C) "Skilled journeyperson" means a worker who either:
   (i) Graduated from an apprenticeship program for the applicable
occupation that was  either  approved by the Chief of the
Division of Apprenticeship Standards or located outside 
California   the state  and approved for federal
purposes pursuant to the apprenticeship regulations adopted by the
federal Secretary of Labor.
   (ii) Has at least as many hours of on-the-job experience in the
applicable occupation as would be required to graduate from an
apprenticeship program for the applicable occupation that is approved
by the chief.
   (2) An entity's commitment that a skilled and trained workforce
will be used to perform the project or contract may be established by
any of the following:
   (A) The entity's agreement with the school district that the
entity and its subcontractors at every tier will comply with the
requirements of this subdivision and that the entity will provide the
school district with evidence, on a monthly basis while the project
or contract is being performed, that the entity and its
subcontractors are complying with the requirements of this
subdivision.
   (B) If the school district has entered into a project labor
agreement that will bind all contractors and subcontractors
performing work on the project or contract and that includes the
requirements of this subdivision, the entity's agreement that it will
become a party to that project labor agreement.
   (C) Evidence that the entity has entered into a project labor
agreement that includes the requirements of this subdivision and that
will bind the entity and all its subcontractors at every tier
performing the project or contract. 
   (d) 
    (e)   (1)    Based on the documents
prepared as described in subdivision (a), the school district shall
prepare a request for proposals that invites prequalified or
short-listed entities to submit competitive sealed proposals in the
manner prescribed by the school district. The request for proposals
shall include, but need not be limited to, the following elements:

   (1) 
    (A)  Identification of the basic scope and needs of the
project or contract, the estimated cost of the project, the
methodology that will be used by the school district to evaluate
proposals, whether the contract will be awarded on the basis of low
bid or best value, and any other information deemed necessary by the
school district to inform interested parties of the contracting
opportunity. 
   (2) 
    (B)  Significant factors that the school district
reasonably expects to consider in evaluating proposals, including,
but not limited to, cost or price and all nonprice-related factors.

   (3) 
    (C)  The relative importance or the weight assigned to
each of the factors identified in the request for proposals. 

   (4) 
    (2)  Where a best value selection method is used, the
school district may reserve the right to request proposal revisions
and hold discussions and negotiations with responsive proposers, in
which case the school district shall so specify in the request for
proposals and shall publish separately or incorporate into the
request for proposals applicable procedures to be observed by the
school district to ensure that any discussions or negotiations are
conducted in good faith. 
   (e) 
    (f)  For those projects  utilizing 
 using  low bid as the final selection method, the
competitive bidding process shall result in lump-sum bids by
                                         the prequalified or
short-listed design-build entities, and awards shall be made to the
design-build entity that is the lowest responsible bidder. 
   (f) 
    (g)  For those projects  utilizing 
 using  best value as a selection method, the design-build
competition shall progress as follows:
   (1) Competitive proposals shall be evaluated by using only the
criteria and selection procedures specifically identified in the
request for proposals. The following minimum factors, however, shall
be weighted as deemed appropriate by the school district:
   (A) Price, unless a stipulated sum is specified.
   (B) Technical design and construction expertise.
   (C) Life-cycle costs over 15 or more years.
   (2) Pursuant to  subdivision (d),   paragraph
(2) of subdivision (e),  the school district may hold
discussions or negotiations with responsive proposers using the
process articulated in the school district's request for proposals.
   (3) When the evaluation is complete, the responsive proposers
shall be ranked based on a determination of value provided, 
provided that   and  no more than three proposers
are required to be ranked.
   (4) The award of the contract shall be made to the responsible
design-build entity whose proposal is determined by the school
district to have offered the best value to the public.
   (5) Notwithstanding any other  provision of  law,
upon issuance of a contract award, the school district shall
publicly announce its award, identifying the design-build entity to
which the award is made, along with a statement regarding the basis
of the award.
   (6) The statement regarding the school district's contract award,
described in paragraph (5), and the contract file shall provide
sufficient information to satisfy an external audit.
  SEC. 56.  Section 17250.35 of the Education Code, as added by
Section 2 of Chapter 752 of the Statutes of 2015, is amended to read:

   17250.35.   (a)    The school district, in each
design-build request for proposals, may identify specific types of
subcontractors that must be included in the design-build entity
statement of qualifications and proposal. All construction
subcontractors that are identified in the proposal shall be afforded
all the protections of Chapter 4 (commencing with Section 4100) of
Part 1 of Division 2 of the Public Contract Code. 
   (a) 
    (b)  Following award of the design-build contract, the
design-build entity shall proceed as follows in awarding construction
subcontracts with a value exceeding one-half of 1 percent of the
contract price allocable to construction work:
   (1) Provide public notice of availability of work to be
subcontracted in accordance with the publication requirements
applicable to the competitive bidding process of the school district,
including a fixed date and time on which qualifications statements,
bids, or proposals will be due.
   (2) Establish reasonable qualification criteria and standards.
   (3) Award the subcontract either on a best value basis or to the
lowest responsible bidder. The process may include prequalification
or short-listing. The foregoing process does not apply to
construction subcontractors listed in the original proposal.
Subcontractors awarded construction subcontracts under this
subdivision shall be afforded all the protections of Chapter 4
(commencing with Section 4100) of Part 1 of Division 2 of the Public
Contract Code.
  SEC. 57.  Section 33353.7 of the Education Code is amended to read:

   33353.7.  (a) No later than July 1, 2017, the California
Interscholastic Federation, in consultation with the department,
shall develop guidelines, procedures, and safety standards for the
purpose of classifying competition cheer as an interscholastic sport
that is consistent with the United States Department of Education's
Office for Civil Rights' definition of a sport.
   (b) For purposes of this section, "competition cheer" means a
sport in which teams participate in direct, head-to-head competition
with one another using an objective scoring system.
   (c) The California Interscholastic Federation shall seek a United
States Department of Education Office  of   for
 Civil Rights Title IX compliance designation for competition
cheer. Competition cheer shall not be counted  towards
  toward  a school's Title IX compliance unless the
United States Department of Education's Office for Civil Rights
deems competition cheer compliant with its definition of a sport.
  SEC. 58.  Section 41360 of the Education Code is amended to read:
   41360.  (a) Loans may be made from moneys in the Public School
District Organization Revolving Fund to newly organized elementary,
high school, or unified school districts upon application of the
governing board of any such school district, certified by the county
superintendent of schools and approved by the Superintendent for use
by the school district during the period from the date the action to
form the school district was completed and the date the school
district becomes effective for all purposes. Money loaned to a school
district pursuant to this section shall be used only to meet one or
more of the following:
   (1) The expenses of office rental, office supplies, postage,
telephone, and telegraphing.
   (2) The expenses of necessary elections required by law or
authorized by Section 35532.
   (3) The expenses of employing, the salary of, and necessary travel
expenses of officers and necessary clerical help for the governing
board of the school district.
   (b) During each of the two successive fiscal years commencing with
the first fiscal year of the existence of the school district for
all purposes, the  State  Controller shall deduct
from apportionments made to that school district an amount equal to
one-half of the amount loaned to that school district under this
section and pay the same amount into the Public School District
Organization Revolving Fund in the State Treasury.
  SEC. 59.  Section 41422 of the Education Code is amended to read:
   41422.  (a) A school district, county office of education, or
charter school that is prevented from maintaining its schools during
a fiscal year for at least 175 days or is required to operate
sessions of shorter length than otherwise prescribed by law because
of fire, flood, earthquake, or epidemic, or because of any order of
any military officer of the United States or of the state to meet an
emergency created by war, or of any civil officer of the United
States, of the state, or of any county, city and county, or city
authorized to issue that order to meet an emergency created by war,
or because of other extraordinary conditions, or because of inability
to secure or hold a teacher, or because of the illness of the
teacher, which fact shall be shown to the satisfaction of the
Superintendent by the affidavits of the members of the governing
board of the school district, the governing board of the county
office of education, or the governing board  or body  of the
charter school and of the county superintendent of schools, shall
receive the same apportionment from the State School Fund as it would
have received had it not been so prevented from maintaining school
for at least 175 full-length days.
   (b) This section shall also apply to school  districts
  districts,  county offices of education, or
charter schools that, in the absence of one or more of the conditions
prescribed by this section, would have qualified for funds pursuant
to Sections 46200 to 46208, inclusive, or Section 47612.5, as
applicable.
  SEC. 60.  Section 42925 of the Education Code is amended to read:
   42925.  (a) As a condition of receiving funds, each county office
of education and consortium of county offices of education with a
foster youth services coordinating program operated pursuant to this
chapter shall, to the extent possible, develop and enter into a
memorandum of understanding, contract, or formal agreement with the
county child welfare agency pursuant to which foster youth services
coordinating program funds shall be used, to the maximum extent
possible, to leverage funds received pursuant to Title  IV-E
  IV-E  of the federal Social Security Act (42
U.S.C. Sec. 670 et seq.) and any other funds that may be used to
specifically address the educational needs of pupils in foster care,
or they shall explain in writing, annually, why a memorandum of
understanding is not practical or feasible.
   (b) To the extent possible, each foster youth services
coordinating program is encouraged to consider leveraging other local
funding opportunities to support the educational success of pupils
in foster care.
  SEC. 61.  Section 44977.5 of the Education Code is amended to read:

   44977.5.  (a) During each school year, when a person employed in a
position requiring certification qualifications has exhausted all
available sick leave, including all accumulated sick leave, and
continues to be absent from his or her duties on account of maternity
or paternity leave pursuant to Section 12945.2 of the Government
Code for a period of up to 12 school weeks, whether or not the
absence arises out of or in the course of the employment of the
employee, the amount deducted from the salary due him or her for any
of the additional 12 weeks in which the absence occurs shall not
exceed the sum that is actually paid a substitute employee employed
to fill his or her position during his or her absence or, if 
no   a  substitute employee was  not 
employed, the amount that would have been paid to the substitute had
he or she been employed. The school district shall make every
reasonable effort to secure the services of a substitute employee.
   (b) For purposes of subdivision (a):
   (1) The 12-week period shall be reduced by any period of sick
leave, including accumulated sick leave, taken during a period of
maternity or paternity leave pursuant Section 12945.2 of the
Government Code.
   (2) An employee shall not be provided more than one 12-week period
per maternity or paternity leave. However, if a school year
terminates before the 12-week period is exhausted, the employee may
take the balance of the 12-week period in the subsequent school year.

   (3) An employee on maternity or paternity leave pursuant to
Section 12945.2 of the Government Code shall not be denied access to
differential  pay   pay, as specified in
subdivision (a),  while on that leave.
   (c) This section  shall be applicable  
applies  whether or not the absence from duty is by reason of a
leave of absence granted by the governing board of the employing
school district.
   (d) To the extent that this section conflicts with a provision of
a collective bargaining agreement entered into by a public school
employer and an exclusive bargaining representative before January 1,
2016, pursuant to Chapter 10.7 (commencing with Section 3540) of
Division 4 of Title 1 of the Government Code, this section shall not
apply until expiration or renewal of that collective bargaining
agreement.
   (e) For purposes of this section, "maternity or paternity leave"
means leave for reason of the birth of a child of the employee, or
the placement of a child with an employee in connection with the
adoption or foster care of the child by the employee.
  SEC. 62.  Section 44984 of the Education Code is amended to read:
   44984.  (a) The governing board of a school district shall provide
by rules and regulations for industrial accident and illness leaves
of absence for all certificated employees. The governing board of a
 school  district that is created or whose boundaries or
status is changed by an action to organize or reorganize  school
 districts completed after the effective date of this section
shall provide by rules and regulations for these leaves of absence on
or before the date on which the organization or reorganization of
the  school  district becomes effective for all purposes.
   (b) The rules or regulations shall include the following
provisions:
   (1) Allowable leave shall be for not less than 60 days during
which the schools of the  school  district are required to
be in session or when the employee would otherwise have been
performing work for the  school  district in any one fiscal
year for the same accident.
   (2) Allowable leave shall not be accumulated from year to year.
   (3) Industrial accident or illness leave shall commence on the
first day of absence.
   (4) (A)   When   If  a certificated
employee is absent from his or her duties on account of an industrial
accident or illness, he or she shall be paid the portion of the
salary due him or her for any month in which the absence occurs as,
when added to his or her temporary disability indemnity under
Division 4 or Division 4.5 of the Labor Code, will result in a
payment to him or her of not more than his or her full salary.
   (B) The phrase "full salary" as  utilized  
used  in this subdivision shall be computed so that it shall not
be less than the employee's "average weekly earnings" as that phrase
is  utilized   used  in Section 4453 of
the Labor Code. For purposes of this section, however, the maximum
and minimum average weekly earnings set forth in Section 4453 of the
Labor Code shall otherwise not be deemed applicable.
   (5) Industrial accident or illness leave shall be reduced by one
day for each day of authorized absence regardless of a temporary
disability indemnity award.
   (6) When an industrial accident or illness leave overlaps into the
next fiscal year, the employee shall be entitled to only the amount
of unused leave due him or her for the same illness or injury.
   (c) Upon termination of the industrial accident or illness leave,
the employee shall be entitled to the benefits provided in Sections
44977,  44978   44978,  and 44983, and for
 the  purposes of each of these sections, the
employee's absence shall be deemed to have commenced on the date of
termination of the industrial accident or illness leave, provided
that if the employee continues to receive temporary disability
indemnity, the employee may elect to take as much of his or her
accumulated sick leave  which,   as,  when
added to his or her temporary disability indemnity, will result in a
payment to him or her of not more than his or her full salary.
   (d) The governing board of a  school  district may, by
rule or regulation, provide for an additional leave of absence for
industrial accident or illness as it deems appropriate.
   (e) During a paid leave of absence, the employee may endorse to
the  school  district the temporary disability indemnity
checks received on account of the employee's industrial accident or
illness. The  school  district, in turn, shall issue the
employee appropriate salary warrants for payment of the employee's
salary and shall deduct normal retirement, other authorized
contributions, and the temporary disability indemnity, if any,
actually paid to and retained by the employee for periods covered by
the salary warrants.
   (f) In the absence of rules and regulations adopted by the
governing board of a  school  district pursuant to this
section, an employee shall be entitled to industrial accident or
illness leave as provided in this section but without limitation as
to the number of days of  this   that 
leave.
  SEC. 63.  Section 45192 of the Education Code is amended to read:
   45192.  (a) The governing board of a school district shall provide
by rules and regulations for industrial accident or illness leaves
of absence for employees who are a part of the classified service.
The governing board of a  school  district that is created
or whose boundaries or status is changed by an action to organize or
reorganize  school  districts completed after the effective
date of this section shall provide by rules and regulations for these
leaves of absence on or before the date on which the organization or
reorganization of the  school  district becomes effective
for all purposes.
   (b) The rules and regulations shall include the following
provisions:
   (1) Allowable leave shall not be for less than 60 working days in
any one fiscal year for the same accident.
   (2) Allowable leave shall not be accumulative from year to year.
   (3) Industrial accident or illness leave will commence on the
first day of absence.
   (4) Payment for wages lost on any day shall not, when added to an
award granted the employee under the workers' compensation laws of
this state, exceed the normal wage for the day.
   (5) Industrial accident leave will be reduced by one day for each
day of authorized absence regardless of a compensation award made
under workers' compensation.
   (6) When an industrial accident or illness occurs at a time when
the full 60 days will overlap into the next fiscal year, the employee
shall be entitled to only that amount remaining at the end of the
fiscal year in which the injury or illness occurred, for the same
illness or injury.
   (c) The industrial accident or illness leave of absence is to be
used in lieu of entitlement acquired under Section 45191. When
entitlement to industrial accident or illness leave has been
exhausted, entitlement or other sick leave will then be 
used;   used,  but if an employee is receiving
workers'  compensation   compensation,  the
employee shall be entitled to use only so much of his or her
accumulated or available sick leave, accumulated compensating time,
 vacation   vacation   ,  or other
available leave  that,  as,  when added to
the workers' compensation award,  will  provide for a full
day's wage or salary.
   (d) The governing board of a  school  district may, by
rule or regulation, provide for as much additional leave of absence,
paid or unpaid, as it deems appropriate and during this leave the
employee may return to his or her position without suffering any loss
of status or benefits. The employee shall be notified, in writing,
that available paid leave has been exhausted, and shall be offered an
opportunity to request additional leave.
   (e) A period of leave of absence, paid or unpaid, shall not be
considered to be a break in service of the employee.
   (f) During a paid leave of absence, whether industrial accident
leave as provided in this section, sick leave, vacation, compensated
time off, or other available leave provided by law or the action of
 a   the  governing board of a  school
 district, the employee shall endorse to the  school 
district wage loss benefit checks received under the workers'
compensation laws of this state. The  school  district, in
turn, shall issue the employee appropriate warrants for payment of
wages or salary and shall deduct normal retirement and other
authorized contributions. Reduction of entitlement to leave shall be
made only in accordance with this section.
   (g) When all available leaves of absence, paid or unpaid, have
been exhausted and if the employee is not medically able to assume
the duties of his or her position, the employee shall, if not placed
in another position, be placed on a reemployment list for a period of
39 months. When available, during the 39-month period, the employee
shall be employed in a vacant position in the class of the employee's
previous assignment over all other available candidates except for a
reemployment list established because of lack of work or lack of
funds, in which case the employee shall be listed in accordance with
appropriate seniority regulations.
   (h) The governing board of a  school  district may
require that an employee serve or have served continuously a
specified period of time with the  school  district before
the benefits provided by this section are made available to the
employee  provided that   but  this period
shall not exceed three years and  that  all service
of the employee  prior to   before  the
effective date of this section shall be credited in determining
compliance with the requirement.
   (i) In the absence of rules and regulations adopted by the
governing board of a  school  district, pursuant to this
section, an employee shall be entitled to industrial and accident or
illness leave as provided in this section but without limitation as
to the number of days of this leave and without any requirement of a
specified period of service.
   (j) An employee who has been placed on a reemployment list, as
provided in this section, who has been medically released for return
to duty and who fails to accept an appropriate assignment shall be
dismissed.
   (k) This section  shall apply   applies 
to  school  districts that have adopted the merit system in
the same manner and effect as if it were a part of Article 6
(commencing with Section 45240).
  SEC. 64.  Section 46392 of the Education Code is amended to read:
   46392.  (a) If the average daily attendance of a school district,
county office of education, or charter school during a fiscal year
has been materially decreased during a fiscal year because of any of
the following, the fact shall be established to the satisfaction of
the Superintendent by affidavits of the members of the governing
board  or body  of the school district, county office of
education, or charter school and the county superintendent of
schools:
   (1) Fire.
   (2) Flood.
   (3) Impassable roads.
   (4) Epidemic.
   (5) Earthquake.
   (6) The imminence of a major safety hazard as determined by the
local law enforcement agency.
   (7) A strike involving transportation services to pupils provided
by a nonschool entity.
   (8) An order provided for in Section 41422.
   (b) In the event a state of emergency is declared by the Governor
in a county, a decrease in average daily attendance in the county
below the approximate total average daily attendance that would have
been credited to a school district, county office of education, or
charter school had the state of emergency not occurred shall be
deemed material. The Superintendent shall determine the length of the
period during which average daily attendance has been reduced by the
state of emergency.  This period that is   The
period  determined by the Superintendent shall not extend into
the next fiscal year following the declaration of the state of
emergency by the Governor, except upon a showing by a school
district, county office of education, or charter school, to the
satisfaction of the Superintendent, that extending the period into
the next fiscal year is essential to alleviate continued reductions
in average daily attendance attributable to the state of emergency.
   (c) The average daily attendance of the  school 
district, county office of education, or charter school for the
fiscal year shall be estimated by the Superintendent in a manner that
credits to the school district, county office of education, or
charter school for determining the apportionments to be made to the
school district, county office of education, or charter school from
the State School Fund approximately the total average daily
attendance that would have been credited to the school district,
county office of education, or charter school had the emergency not
occurred or had the order not been issued.
   (d) This section applies to any average daily attendance that
occurs during any part of a school year.
  SEC. 65.  Section 48204.2 of the Education Code is amended to read:

   48204.2.  (a) If a school district elects to undertake an
investigation pursuant to subdivision (c) of Section 48204.1, the
governing board of the school district shall adopt a policy regarding
the investigation of a pupil to determine whether the pupil meets
the residency requirements for school attendance in the school
district before investigating any pupils.
   (b) The policy shall do all of the following:
   (1) Identify the circumstances upon which the school district may
initiate an investigation, which shall, at a minimum, require the
school district employee to be able to identify specific, articulable
facts supporting the belief that the parent or legal guardian of the
pupil has provided false or unreliable evidence of residency.
   (2) (A) Describe the investigatory methods that may be used by the
school district in the conduct of the investigation, including
whether the school district will be employing the services of a
private investigator.
   (B) Before hiring a private investigator, the policy shall require
the school district to make reasonable efforts to determine whether
the pupil resides in the school district.
   (3) Prohibit the surreptitious photographing or video-recording of
pupils who are being investigated. For purposes of this paragraph,
"surreptitious photographing or video-recording" means the covert
collection of photographic or videographic images of  person
  persons  or places subject to an investigation.
For purposes of this paragraph, the collection of images is not
covert if the technology is used in open and public view.
   (4) Require that employees and contractors of the school district
engaged in the investigation  must  identify
themselves truthfully as such to individuals contacted or interviewed
during the course of the investigation.
   (5)  Provide a process whereby the determination of a
school district as to whether a pupil meets the residency
requirements for school attendance in the school district may be
appealed, and shall specify the basis for that determination.
  Require   a school district to specify the
basis for a determination of nonresidency of a pupil, and provide a
process to appeal that determination.  If an appeal is made, the
burden shall be on the appealing party to show why the decision of
the school district should be overruled.
   (c) The policy required pursuant to this section shall be adopted
at a public meeting of the governing board of the school district.
  SEC. 66.  Section 51421.5 of the Education Code, as added by
Section 3 of Chapter 384 of the Statutes of 2015, is amended to read:

   51421.5.  (a) If, for purposes of this article, a contractor or
testing center charges an examinee its own separate fee, the
contractor or testing center shall not charge that fee to an examinee
who meets all of the following criteria:
   (1) The examinee qualifies as a homeless child or youth, as
defined in paragraph (2) of Section 725 of the federal McKinney-Vento
Homeless Assistance Act (42 U.S.C. Sec. 11434a(2)).
   (2) The examinee has not attained 25 years of age as of the date
of the scheduled examination.
   (3) The examinee can verify his or her status as a homeless child
or youth. A homeless services provider that has knowledge of the
examinee's housing status may verify the examinee's status for
purposes of this paragraph.
                                           (b) For purposes of this
section, a "homeless services provider" includes either of the
following:
   (1) A homeless services provider listed in paragraph (3) of
subdivision (d) of Section 103577 of the Health and Safety Code.
   (2) Any other person or entity that is qualified to verify an
individual's housing status, as determined by the department.
   (c) Additional state funds shall not be appropriated for purposes
of implementing this section.
   (d) Notwithstanding subdivision (c), the Superintendent may use
surplus funds in the Special Deposit Fund Account, established
pursuant to Section 51427, to reimburse contractors for the loss of
fees, if any, pursuant to this section. A contract executed by the
department for the provision of examinations pursuant to Section
51421 or this section shall require that any contracting party accept
all examinees, including those entitled to a fee waiver pursuant to
this section. For purposes of this subdivision, "surplus funds" are
funds remaining after the costs permitted by subdivision (a) of
Section 51421 are paid.
   (e) On or before December 1, 2018, the Superintendent shall submit
a report to the appropriate policy and fiscal committees of the
Legislature that includes, but is not limited to, all of the
following: 
   (A) 
    (1)  The number of homeless youth that took a high
school equivalency test in each of the 2016, 2017, and 2018 calendar
years. 
   (B) 
    (2)  The impact of the opportunity to take a high school
equivalency test at no cost on the number and percentage of homeless
youth taking a high school equivalency test. 
   (C) 
    (3)  The estimated number of homeless youth who may take
a high school equivalency test in future years. 
   (D) 
    (4)  Recommendations for a permanent funding source to
cover the cost of the waived fees. 
   (E) 
    (5)  The annual and projected administrative cost to the
department. 
   (F) 
    (6)  The annual and projected reimbursement to the
contractor pursuant to this section.
   (f) The Superintendent shall adopt emergency regulations, as
necessary, to implement this section. The adoption of these
regulations shall be deemed to be an emergency and necessary for the
immediate preservation of the public peace, health, and safety, or
general welfare.
   (g) The department shall include a provision in all memorandums of
understanding with contractors for purposes of providing a high
school equivalency test, that if the surplus funds in the Special
Deposit Fund Account are depleted, the ongoing costs of a fee waiver
for an examinee deemed eligible for a waiver pursuant to this section
shall be absorbed by the contractor.
   (h) This section shall become inoperative on July 1, 2019, and, as
of January 1, 2020, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2020, deletes or
extends the dates on which it becomes inoperative and is repealed.
  SEC. 67.  Section 51745.6 of the Education Code is amended to read:

   51745.6.  (a) (1) The ratio of average daily attendance for
independent study pupils 18 years of age or less to school district
full-time equivalent certificated employees responsible for
independent study, calculated as specified by the department, shall
not exceed the equivalent ratio of average daily attendance to
full-time equivalent certificated employees providing instruction in
other educational programs operated by the school district, unless a
new higher or lower average daily attendance ratio for all other
educational programs offered is negotiated in a collective bargaining
agreement or a memorandum of understanding is entered into that
indicates an existing collective bargaining agreement contains an
alternative average daily attendance ratio.
   (2) The ratio of average daily attendance for independent study
pupils 18 years of age or less to county office of education
full-time equivalent certificated employees responsible for
independent study, to be calculated in a manner prescribed by the
department, shall not exceed the equivalent prior year ratio of
average daily attendance to full-time equivalent certificated
employees for all other educational programs operated by the high
school or unified school district with the largest average daily
attendance of pupils in that county or the collectively bargained
alternative ratio used by that high school or unified school district
in the prior year, unless a new higher or lower average daily
attendance ratio for all other educational programs offered is
negotiated in a collective bargaining agreement or a memorandum of
understanding is entered into that indicates an existing collective
bargaining agreement contains an alternative average daily attendance
ratio. The computation of the ratios shall be performed annually by
the reporting agency at the time of, and in connection with, the
second principal apportionment report to the Superintendent.
   (b) Only those units of average daily attendance for independent
study that reflect a pupil-teacher ratio that does not exceed the
ratios described in subdivision (a) shall be eligible for
apportionment pursuant to Section 2575, for county offices of
education, and Section 42238.05, for school districts. 
Nothing in this section shall   This section does not
 prevent a school district or county office of education from
serving additional units of average daily attendance greater than the
ratios described in subdivision (a), except that those additional
units shall not be funded pursuant to Section 2575 or 42238.05, as
applicable. If a school district, charter school, or county office of
education has a memorandum of understanding to provide instruction
in coordination with the school district, charter school, or county
office of education at which a pupil is enrolled, the ratios that
shall apply for purposes of this paragraph are the ratios for the
local educational agency providing the independent study program to
the pupil pursuant to Section 51749.5.
   (c) The calculations performed for purposes of this section shall
not include either of the following:
   (1) The average daily attendance generated by special education
pupils enrolled in special day classes on a full-time basis, or the
teachers of those classes.
   (2) The average daily attendance or teachers in necessary small
schools that are eligible to receive funding pursuant to Article 4
(commencing with Section 42280) of Chapter 7 of Part 24 of Division
3.
   (d) The applicable
average-daily-attendance-to-certificated-employee ratios described in
subdivision (a) may, in a charter school, be calculated by using a
fixed average-daily-attendance-to-certificated-employee ratio of 25
to 1, or by using a ratio of less than 25 pupils per certificated
employee. A new higher or lower ratio for all other educational
programs offered by a charter school may be negotiated in a
collective bargaining agreement, or a memorandum of understanding
indicating that an existing collective bargaining agreement contains
an alternative average daily attendance ratio may be entered into by
a charter school. All charter school pupils, regardless of age, shall
be included in the applicable 
average-daily-attendance-to-certificate-employee  
average-daily-attendance-to-certificated-employee  ratio
calculations.
  SEC. 68.  Section 66302 of the Education Code is amended to read:
   66302.  The Trustees of the California State University, the
Regents of the University of California, and the governing board of
each community college district are requested to adopt and publish
policies on harassment, intimidation, and bullying to be included
within the rules and regulations governing student behavior within
their respective segments of public postsecondary education. It is
the intent of the Legislature that rules and regulations governing
student conduct be published, at a minimum, on the Internet Web site
of each public postsecondary educational campus and as part of any
printed material covering those rules and regulations within the
respective public postsecondary education  systems. 
 system. 
  SEC. 69.  Section 66749.5 of the Education Code is amended to read:

   66749.5.  (a) The Office of the Chancellor of the California
Community Colleges shall report to the Legislature on or before
December 1, 2016, the status of each community college's compliance
with the provisions of this article related to creating associate
degrees for transfer.
   (b) The California State University shall submit two reports to
the Legislature on campus acceptance of transfer model curricula by
concentration, on or before December 1, 2016, and on or before
December 1, 2017, respectively.
   (c) (1) The California State University shall annually, commencing
December 1, 2016, publicly post available data on all of the
following:
   (A) The number of students admitted with an associate degree for
transfer.
   (B) The proportion of students with an associate degree for
transfer who graduate from the California State University within two
or three years.
   (C) The number of students with an associate degree for transfer
who applied to a campus of the California State University and were
redirected to another campus than that indicated in the application.
   (D) The number of students described in subparagraph (C) who
ultimately enrolled at a California State University campus.
   (2) This subdivision shall become inoperative on November 30,
2021.
   (d) (1) The requirements for submitting reports on or before
December 1, 2016, imposed under subdivisions (a) and (b) are
inoperative on December 1, 2020, and the requirement for submitting a
report on or before December 1, 2017, imposed under subdivision (b)
is inoperative on December 1, 2021, pursuant to Section 10231.5 of
the Government Code.
   (2) Reports to be submitted pursuant to subdivisions (a) and (b)
shall be submitted in compliance with Section 9795 of the Government
Code. 
   (e) This section shall remain in effect only until January 1,
2022, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2022, deletes or extends
that date. 
  SEC. 70.  Section 69800.2 of the Education Code is amended to read:

   69800.2.  (a) Before certifying a borrower's eligibility for a
private student loan, a public, private, or independent postsecondary
educational institution shall provide to the student information
concerning all unused state and federal financial assistance,
including unused federal student loan moneys available to that
student.
   (b) An institution that does not participate in federal student
loan programs shall inform students that the institution does not
participate in federal loan programs and that students may be
eligible for federal loans at a participating institution. The
institution shall provide the student with information regarding the
Cal Grants Web link on the California Student Aid Commission's 
Internet  Web site and the Federal Student Aid Web link on the
United States Department of Education's  Internet  Web site.

  SEC. 71.  Section 70037 of the Education Code is amended to read:
   70037.  (a) The Trustees of the California State University and
the Regents of the University of California shall adopt regulations
providing for the withholding of institutional services from 
students or former students who have  a student or
former student who has  been notified in writing at the student'
s or former student's last known address that he or she is in default
on a loan or loans under the DREAM Program.
   (b) The regulations adopted pursuant to subdivision (a) shall
provide that the services withheld may be provided during a period
when the facts are in dispute or when the student or former student
demonstrates to either the Trustees of the California State
University or the Regents of the University of California, as
applicable, that reasonable progress has been made to repay the loan
or that there exists a reasonable justification for the delay as
determined by the institution. The regulations shall specify the
services to be withheld from the student, which may include, but are
not limited to, the following:
   (1) The provision of grades.
   (2) The provision of transcripts.
   (3) The provision of diplomas.
   (c) "Default," for purposes of this section, means the failure of
a borrower to make an installment payment when due, or to meet other
terms of the promissory note  under circumstances where
  if  the institution holding the loan finds it
reasonable to conclude that the borrower no longer intends to honor
the obligation to repay, provided that this failure persists for 180
days for a loan repayable in monthly installments, or 240 days for a
loan repayable in less frequent installments.
   (d) This section  shall   does  not
impose any requirement upon the University of California unless the
Regents of the University of California, by resolution, makes this
section applicable.
  SEC. 72.  Section 84750.5 of the Education Code is amended to read:

   84750.5.  (a) The board of governors, in accordance with the
statewide requirements contained in paragraphs (1) to (9), inclusive,
of subdivision (d), and in consultation with institutional
representatives of the California Community Colleges and statewide
faculty and staff organizations, so as to ensure their participation
in the development and review of policy proposals, shall develop
criteria and standards for the  purposes  
purpose  of making the annual budget request for the California
Community Colleges to the Governor and the Legislature, and for the
purpose of allocating the state general apportionment revenues.
   (b) In developing the criteria and standards, the board of
governors shall  utilize   use  and
strongly consider the recommendations and work product of the "System
Office Recommendations Based on the Report of the Work Group on
Community College Finance" that was adopted by the board at its
meeting of March 7, 2005. The board of governors shall complete the
development of these criteria and standards, accompanied by the
necessary procedures, processes, and formulas for  utilizing
  using  its criteria and standards, by March 1,
2007, and shall submit on or before that date a report on these items
to the Legislature and the Governor.
   (c) (1) It is the intent of the Legislature in enacting this
section to improve the equity and predictability of general
apportionment and growth funding for community college districts in
order that the districts may more readily plan and implement
instruction and related programs, more readily serve students
according to the policies of the state's master plan for higher
education, and enhance the quality of instruction and related
services for students.
   (2) It is the intent of the Legislature to determine the amounts
to be appropriated for  the  purposes of this
section through the annual Budget Act. Nothing in this section shall
be construed as limiting the authority either of the Governor to
propose, or the Legislature to approve, appropriations for California
Community Colleges programs or purposes.
   (d) The board of governors shall develop the criteria and
standards within the following statewide minimum requirements:
   (1) The calculations of each community college district's revenue
level for each fiscal year shall be based on the level of general
apportionment  revenues (state   revenues, state
 and  local)   local,  the 
community   college  district received for the prior
year plus any amount attributed to a deficit from the adopted
standards to be developed pursuant to this section, with revenue
adjustments being made for increases or decreases in full-time
equivalent students (FTES), for equalization of funding per credit
FTES, for necessary alignment of funding per FTES between credit and
noncredit programs, for inflation, and for other purposes authorized
by law.
   (2) Commencing with the 2006-07 fiscal year, the funding mechanism
developed pursuant to this section shall recognize the need for
community college districts to receive an annual allocation based on
the number of colleges and comprehensive centers in the 
community college  district. In addition to this basic
allocation, the marginal amount of credit revenue allocated per FTES
shall be funded at a rate not less than four thousand three hundred
sixty-seven dollars ($4,367), as adjusted for the change in the
cost-of-living in subsequent annual budget acts.
   (A) To the extent that the Budget Act of 2006 contains an
appropriation of one hundred fifty-nine million four hundred
thirty-eight thousand dollars ($159,438,000) for community college
equalization, the Legislature finds and declares that community
college equalization for credit FTES has been effectively
accomplished as of March 31, 2007.
   (B) The chancellor shall develop criteria for the allocation of
one-time grants for those  community college  districts that
would have qualified for more equalization under prior law than
pursuant to this section and the Budget Act of 2006, and for those
 community college  districts that would have qualified for
more funding under a proposed rural college access grant than
pursuant to this section and the Budget Act of 2006, as determined by
the chancellor. Appropriations for the one-time grants shall be
provided pursuant to paragraph (24) of subdivision (a) of Section 43
of Chapter 79 of the Statutes of 2006.
   (3) Noncredit instruction shall be funded at a uniform rate of two
thousand six hundred twenty-six dollars ($2,626) per FTES, as
adjusted for the change in the cost of living provided in subsequent
annual budget acts.
   (4) Funding for instruction in career development and college
preparation, as authorized pursuant to Section 84760.5, shall be
provided as follows:
   (A) (i) Beginning in the 2006-07 fiscal year, career development
and college preparation FTES may be funded at a rate of three
thousand ninety-two dollars ($3,092) per FTES for courses in programs
that conform to the requirements of Section 84760.5. This rate shall
be adjusted for the change in the cost of living or as otherwise
provided in subsequent annual budget acts.
   (ii) Beginning in the 2015-16 fiscal year, career development and
college preparation FTES shall be funded at the same level as the
credit rate specified in paragraph (2). This rate shall be adjusted
for the change in the cost of living or as otherwise provided in
subsequent annual budget acts.
   (iii) The Legislative Analyst shall report to the Legislature on
or before March 1, 2017, regarding the change in funding specified in
clause (ii), including whether community colleges offered additional
classes or programs related to career development or college
preparation, and whether there was any change in FTES.
   (iv) (I) The requirement for submitting a report imposed under
clause (iii) is inoperative on March 30, 2019, pursuant to Section
10231.5 of the Government Code.
   (II) A report submitted pursuant to clause (iii) shall be
submitted in compliance with Section 9795 of the Government Code.
   (B) Changes in career development and college preparation FTES
shall result in adjustments to revenues as follows:
   (i) Increases in career development and college preparation FTES
shall result in an increase in revenues in the year of the increase
and at the average rate per career development and college
preparation FTES, including any cost-of-living adjustment authorized
by statute or by the annual Budget Act.
   (ii) Decreases in career development and college preparation FTES
shall result in a revenue reduction in the year following the
decrease at the average rate per career development and college
preparation FTES.
   (5) Except as otherwise provided by statute, current categorical
programs providing direct services to students, including extended
opportunity programs and services, and disabled students programs and
services, shall continue to be funded separately through the annual
Budget Act, and shall not be assumed under the budget formula
otherwise specified by this section.
   (6) For credit and noncredit instruction, changes in FTES shall
result in adjustments in  community college  district
revenues as follows:
   (A) Increases in FTES shall result in an increase in revenues in
the year of the increase and at the amount per FTES provided for in
paragraph (2) or (3), as appropriate, including any cost-of-living
adjustment authorized by statute or by the annual Budget Act.
   (B) Decreases in FTES shall result in revenue reductions beginning
in the year following the initial year of decrease in FTES, and at
the district's marginal funding per FTES.
   (C)  Districts   Community college districts
 shall be entitled to the restoration of any reductions in
apportionment revenue due to decreases in FTES during the three years
following the initial year of decrease in FTES if there is a
subsequent increase in FTES.
   (7) Revenue adjustments shall be made to reflect cost changes,
using the same inflation adjustment as required for school districts
pursuant to paragraph (2) of subdivision (d) of Section 42238.02.
These revenue adjustments shall be made to the college and center
basic allocations, credit and noncredit FTES funding rates, and
career development and college preparation FTES funding rates.
   (8) The statewide requested increase in budgeted workload FTES
shall be based, at a minimum, on the sum of the following
computations:
   (A) Determination of an equally weighted average of the rate of
change in the  California   state's 
population of persons between the ages of 19 and 24 and the rate of
change in the  California   state's 
population of persons between the ages of 25 and 65, both as
determined by the Department of Finance's Demographic Research Unit
as determined for the preceding fiscal year.
   (B) To the extent the  California   state's
 unemployment rate exceeds 5 percent for the most recently
completed fiscal year, that positive difference shall be added to the
rate computed in subparagraph (A). In no event shall that positive
difference exceed 2 percent.
   (C) The chancellor may also add to the amounts calculated pursuant
to subparagraphs (A) and (B) the number of FTES in the areas of
transfer, vocational education, and basic skills that were unfunded
in the current fiscal year. For this purpose, the following
computation shall be determined for each  community college 
district, and a statewide total shall be calculated:
   (i) Establish the base level of FTES earned in the prior fiscal
year for transfer courses consisting of courses meeting the
California State University breadth or Intersegmental General
Education Transfer Curriculum requirements or major course
prerequisites accepted by the University of California or the
California State University.
   (ii) Establish the base level of FTES earned in the prior fiscal
year for vocational education courses consisting of courses defined
by the chancellor's office Student Accountability Model codes A and B
that are consistent with the courses used for measuring success in
this program area under the accountability system established
pursuant to Section 84754.5.
   (iii) Establish the base level of FTES in the prior fiscal year
for basic skills courses, both credit and noncredit.
   (iv) Add the sum of FTES for clauses (i) to (iii), inclusive.
   (v) Multiply the result of the calculation made under clause (iv)
by one plus the  community college  district's funded growth
rate in the current fiscal year. This figure shall represent the
maintenance of effort level for the budget year.
   (vi) FTES in transfer, vocational education, and basic skills that
are in excess of the total calculated pursuant to clause (v), shall
be considered in excess of the maintenance of effort level, and shall
be eligible for overcap growth funding if the  community college
 district exceeds its overall funded FTES.
   (vii) In no event shall the amount calculated pursuant to clause
(vi) exceed the total unfunded FTES for that fiscal year. To the
extent the computation specified in subdivision (c) requires the
reporting of additional data by community college districts, that
reporting shall be a condition of the receipt of apportionment for
growth pursuant to this section and those funds shall be available to
offset any and all costs of providing the data.
   (9) Except as specifically provided in statute, regulations of the
board of governors for determining and allocating the state general
apportionment to the community college districts shall not require
 community college  district governing boards to expend the
allocated revenues in specified categories of operation or according
to the workload measures developed by the board of governors.
   (e) (1) The Chancellor of the Community Colleges shall develop,
and the board of governors shall adopt, a revised apportionment
growth formula for use commencing with the 2015-16 fiscal year. The
chancellor shall allocate apportionments pursuant to the revised
formula only after the revised formula, and any formulas for
adjustment pursuant to paragraph (2), have been adopted by the board
of governors. The revised apportionment growth formula shall support
the primary missions of the segment, and shall be based on each
community's need for access to the community colleges, as determined
by local demographics. In developing the revised formula, the
chancellor shall consider multiple factors in determining need;
however, the primary factors shall be:
   (A) (i) The number of persons under 25 years of age without a
college degree, within a community college district's boundaries, and
the number of persons 25 to 64 years of age, inclusive, without a
college degree, within a community college district's boundaries.
   (ii) Notwithstanding clause (i), the chancellor may use
alternative age ranges depending on the availability of data.
   (B) The number of persons who are unemployed, have limited English
skills, who are in poverty, or who exhibit other signs of being
disadvantaged, as determined by the chancellor, within a community
college district's boundaries.
   (2) Beginning with the 2016-17 fiscal year, the chancellor shall
adjust upward the need determination based on each community college'
s effectiveness in serving residents of neighborhoods, within or
outside of the community college district's boundaries, that exhibit
the highest levels of need in the state.
   (3) The chancellor shall calculate each community college district'
s proportionate share of the statewide need for access to the
community colleges based on the application of this formula
                                         described in paragraph (1),
as adjusted pursuant to paragraph (2).
   (4) The chancellor shall calculate the difference between each
community college district's proportionate share of the statewide
need for access to the community colleges, as calculated pursuant to
paragraph (3), and its current proportionate share of statewide
enrollment in the community colleges.
   (5) (A) Until a community college district reaches its highest
level of apportionment revenues previously received, its
apportionment revenues shall be eligible to increase by the lesser of
1 percent of its current apportionment base, or one-half of the
statewide growth allocation on an proportionate basis, regardless of
need.
   (B) After a community college district reaches its highest level
of apportionment revenues previously received, it  shall be
  is  eligible to increase its apportionment
revenues by the lesser of one-half of 1 percent of its current
apportionment base, or one-quarter of the statewide growth allocation
on an proportionate basis, regardless of its need.
   (6) The remainder of the apportionment growth funding shall be
allocated to allow each community college district to grow its
apportionment revenues based on its relative share of the difference
between the amounts calculated in paragraph (4), up to a maximum of
its apportionment base for the preceding fiscal year appropriate to
ensure that community college district is advancing the primary
missions of the segment. The maximum established by the chancellor
shall not be less than 5 percent nor greater than 10 percent of a
community college district's apportionment base for the preceding
fiscal year.
   (7) Unless otherwise agreed upon by the board of governors,
apportionment reductions shall be allocated proportionally based on
the most recent levels of apportionment revenues.
   (8) (A) It is the intent of the Legislature, consistent with
direction provided in the 2014-15 Budget Act, that apportionment
growth funding be expended for purposes of increasing the number of
FTES in courses or programs that support the primary missions of the
segment.
   (B) (i) Notwithstanding Section 10231.5 of the Government Code, on
or before October 15, 2015, and each year thereafter, the chancellor
shall report to the Legislature on the course sections and FTES
added at each community college that received apportionment growth
funding in the prior fiscal year, including the number of course
sections and if any course sections and FTES were added that are
within the primary missions of the segment and those that are not
within the primary missions of the segment.
   (ii) A report submitted to the Legislature pursuant to clause (i)
shall be submitted in compliance with Section 9795 of the Government
Code.
   (C) For purposes of this section, "primary missions of the segment"
means credit courses and those noncredit courses specified in
paragraphs (2) to (6), inclusive, of subdivision (a) of Section
84757.
   (f) (1) It is the intent of the Legislature to allow for changes
to the criteria and standards developed pursuant to subdivisions (a)
to (d), inclusive, in order to recognize increased operating costs
and to improve instruction.
   (2) (A) If the annual budget act identifies funds appropriated
specifically for the purposes of this subdivision, the chancellor
shall adjust the budget request formula to allocate those funds
without altering  of  any  of the 
adjustments described in subdivision (d). At least 30 days before
allocating any state general apportionment revenues using a budget
request formula revised pursuant to this subdivision, the chancellor
shall submit to the Department of Finance and the Legislature a
description of the specific adjustments made to the budget request
formula.
   (B) A report to the Legislature pursuant to subparagraph (A) shall
be submitted in compliance with Section 9795 of the Government Code.

  SEC. 73.  Section 84916 of the Education Code is amended to read:
   84916.  In order to maximize the benefits derived from public
funds provided for the purpose of addressing the educational needs of
adults and to ensure the efficient and coordinated use of resources,
it is the intent and expectation of the Legislature that any
community college district, school district, or county office of
education, or any joint powers authority consisting of community
college districts, school districts, county offices of education, or
a combination of these, located within the boundaries of the adult
education region shall be a member of a consortium pursuant to this
article if it receives funds from any of the following programs or
allocations:
   (a) The Adults in Correctional Facilities program.
   (b) The federal Adult Education and Family Literacy Act (Title II
of the federal Workforce Innovation and Opportunity Act).
   (c) The federal Carl D. Perkins Career and Technical Education Act
(Public Law 109-270).
   (d) Local  Control Funding Formula   control
funding formula  apportionments received for students who are 19
years of age or older.
   (e) Community college apportionments received for providing
instruction in courses in the areas listed in subdivision (a) of
Section 84913.
   (f) State funds for remedial education and job training services
for participants in the CalWORKs program.
  SEC. 74.  Section 87787 of the Education Code is amended to read:
   87787.  (a) The governing board of a community college district
shall provide by rules and regulations for industrial accident and
illness leaves of absence for all academic employees. The governing
board of a  community college  district that is created or
whose boundaries or status is changed by an action to organize or
reorganize  community college  districts completed after
January 1, 1976, shall provide by rules and regulations for those
leaves of absence on or before the date on which the organization or
reorganization of the  community   college 
district becomes effective.
   (b) The rules or regulations shall include all of the following
provisions:
   (1) Allowable leave shall be for not less than 60 days during
which the  schools   community colleges  of
the district are required to be in session or when the employee
would otherwise have been performing work for the  community
college  district in any one fiscal year for the same accident.
   (2) Allowable leave shall not be accumulated from year to year.
   (3) Industrial accident or illness leave shall commence on the
first day of absence.
   (4) (A) When an academic employee is absent from his or her duties
on account of an industrial accident or illness, the employee shall
be paid the portion of the salary due him or her for any month in
which the absence occurs as, when added to his or her temporary
disability indemnity under Division 4 (commencing with Section 3200)
or Division 4.5 (commencing with Section 6100) of the Labor Code,
will result in a payment to the employee of not more than his or her
full salary.
   (B) The phrase "full salary," as  utilized  
used  in this subdivision, shall be computed so that it shall
not be less than the employee's "average weekly earnings" as that
phrase is  utilized   used  in Section 4453
of the Labor Code. For purposes of this section, however, the
maximum and minimum average weekly earnings set forth in Section 4453
of the Labor Code shall otherwise not be deemed applicable.
   (5) Industrial accident or illness leave shall be reduced by one
day for each day of authorized absence regardless of a temporary
disability indemnity award.
   (6) When an industrial accident or illness leave overlaps into the
next fiscal year, the employee shall be entitled to only the amount
of unused leave due him or her for the same illness or injury.
   (c) Upon termination of the industrial accident or illness leave,
the employee shall be entitled to the benefits provided in Sections
87780,  87781  87781,  and 87786, and, for
 the  purposes of each of these sections, his or her
absence shall be deemed to have commenced on the date of termination
of the industrial accident or illness leave. However, if the
employee continues to receive temporary disability indemnity, he or
she may elect to take as much of his or her accumulated sick leave
 which,   as,  when added to his or her
temporary disability indemnity, will result in a payment to the
employee of not more than his or her full salary.
   (d) The governing board of a  community college 
district, by rule or regulation, may provide for additional leave of
absence for industrial accident or illness as it deems appropriate.
   (e) During a paid leave of absence, the employee may endorse to
the  community college  district the temporary disability
indemnity checks received on account of his or her industrial
accident or illness. The  community college  district, in
turn, shall issue the employee appropriate salary warrants for
payment of the employee's salary and shall deduct normal retirement,
other authorized contributions, and the temporary disability
indemnity, if any, actually paid to and retained by the employee for
periods covered by the salary warrants.
   (f) In the absence of rules and regulations adopted by the
governing board of a  community college  district pursuant
to this section, an employee shall be entitled to industrial accident
or illness leave as provided in this section but without limitation
as to the number of days of leave.
  SEC. 75.  Section 88192 of the Education Code is amended to read:
   88192.  (a) The governing board of a community college district
shall provide, by rules and regulations, for industrial accident or
illness leaves of absence for employees who are a part of the
classified service. The governing board of a  community college
 district that is created or whose boundaries or status is
changed by an action to organize or reorganize  community college
 districts completed after January 1, 1975, shall provide, by
rules and regulations, for these leaves of absence on or before the
date on which the organization or reorganization of the 
community college  district becomes effective for all purposes.
   (b) The rules and regulations shall include all of the following
provisions:
   (1) Allowable leave shall not be for less than 60 working days in
any one fiscal year for the same accident.
   (2) Allowable leave shall not be accumulative from year to year.
   (3) Industrial accident or illness leave of absence  will
  shall  commence on the first day of absence.
   (4) Payment for wages lost on any day shall not, when added to an
award granted the employee under the workers' compensation laws of
this state, exceed the normal wage for the day.
   (5) Industrial accident leave  will   shall
 be reduced by one day for each day of authorized absence
regardless of a compensation award made under workers' compensation.
   (6) When an industrial accident or illness occurs at a time when
the full 60 days will overlap into the next fiscal year, the employee
shall be entitled to only that amount remaining at the end of the
fiscal year in which the injury or illness occurred, for the same
illness or injury.
   (c) The industrial accident or illness leave of absence is to be
used in lieu of entitlement acquired under Section 88191. When
entitlement to industrial accident or illness leave has been
exhausted, entitlement to other sick leave will then be 
used;   used,  but if an employee is receiving
workers' compensation, the employee shall be entitled to use only so
much of  the  his or her accumulated or available
sick leave, accumulated compensating time, vacation or other
available leave  which,   as,  when added
to the workers' compensation award, provide for a full day's wage or
salary.
   (d) The governing board of a  community college 
district, by rule or regulation, may provide for additional leave of
absence, paid or unpaid, as it deems appropriate and during that
leave the employee may return to  the  his or her
position without suffering any loss of status or benefits.
   (e) A period of leave of absence, paid or unpaid, shall not be
considered to be a break in service of the employee.
   (f) During a paid leave of absence, whether industrial accident
leave as provided in this section, sick leave, vacation, compensated
time off or other available leave provided by law or the action of a
governing board of a  community college  district, the
employee shall endorse to the  community college  district
wage loss benefit checks received under the workers' compensation
laws of this state. The  community college  district, in
turn, shall issue the employee appropriate warrants for payment of
wages or salary and shall deduct normal retirement and other
authorized contributions. Reduction of entitlement to leave shall be
made only in accordance with this section.
   (g) When all available leaves of absence, paid or unpaid, have
been exhausted and if the employee is not medically able to assume
the duties of his or her position, the employee, if not placed in
another position, shall be placed on a reemployment list for a period
of 39 months. When available, during the 39-month period, the
employee shall be employed in a vacant position in the class of his
or her previous assignment over all other available candidates except
for a reemployment list established because of lack of work or lack
of funds, in which case the employee shall be listed in accordance
with appropriate seniority regulations.
   (h) The governing board of a  community college  district
may require that an employee serve, or have served continuously, a
specified period of time with the  community college 
district before the benefits provided by this section are made
available to the employee. However, that period shall not exceed
three years. All service of an employee  prior to 
 before  the effective date of this section shall be
credited in determining compliance with the requirement.
   (i) In the absence of rules and regulations adopted by the
governing board of a  community college  district pursuant
to this section, an employee shall be entitled to industrial and
accident or illness leave as provided in this section but without
limitation as to the number of days of that leave and without any
requirement of a specified period of service.
   (j) An employee who has been placed on a reemployment list, as
provided in this section, who has been medically released for return
to duty and who fails to accept an appropriate assignment shall be
dismissed. 
    This 
    (k)     This  section  shall
apply   applies  to  community college 
districts that have adopted the merit system in the same manner and
effect as if it were a part of Article 3 (commencing with Section
88060).
  SEC. 76.  Section 89090 of the Education Code is amended to read:
   89090.  (a) The trustees, alumni associations, and auxiliary
organizations may distribute the names, addresses, and 
electronic mail   email  addresses of alumni of the
California State University to a business as described in
subdivision (b), in order to accomplish any or all of the following:
   (1) To provide those persons with informational materials relating
to the university and its programs and activities.
   (2) To provide those persons, the trustees, the alumni
associations, and the auxiliary organizations with commercial
opportunities that provide a benefit to those persons, or to the
trustees, alumni associations, or auxiliary organizations.
   (3) To promote and support the educational mission of the
university, the trustees, the alumni associations, or the auxiliary
organizations.
   (b) The disclosures authorized in subdivision (a) shall be
permitted only if all of the following requirements are met:
   (1) (A) The trustees, the alumni associations, or the auxiliary
organizations have a written agreement with a business, as defined in
subdivision (a) of Section 1798.80 of the Civil Code, that maintains
control over this data that requires the business to maintain the
confidentiality of the names, addresses, and  electronic mail
  email  addresses of the alumni, that requires
that the California State University retain the right to approve or
reject any purpose for which the private information is to be used by
the business, and to review and approve the text of mailings sent to
alumni pursuant to this section, and that prohibits the business
from using the information for  any purposes other
than those described in subdivision (a). The text of a mailing
intended to be sent to alumni pursuant to this section shall not be
approved by the trustees, the affected alumni association, or the
affected auxiliary organization unless and until the mailing
conspicuously identifies the university, the alumni association, or
the auxiliary organization as associated with the business described
in the mailing.
   (B) If an affinity partner, as defined in Section 4054.6 of the
Financial Code, sends any message to  any electronic
  an email  mail address obtained pursuant to this
section, that message shall include at least both of the following:
   (i) The identity of the sender of the message.
   (ii) A cost-free means for the recipient to notify the sender not
to electronically transmit any further message to the recipient.
   (2) The trustees, an alumni association, or an auxiliary
organization shall not disclose to, or share alumni nonpublic
personal information with, a business, as defined in paragraph (1),
unless the institution, association, or organization has clearly and
conspicuously notified the alumnus, pursuant to subdivision (c), that
the nonpublic personal information may be disclosed to the business
and that the alumnus has not directed that the nonpublic personal
information not be disclosed.
   (3) The disclosure of alumni names, addresses, and 
electronic mail   email  addresses does not include
the names, addresses, and  electronic mail  
email  addresses of alumni who, pursuant to subdivision (c) or
in another manner, have directed the trustees, an alumni association,
or an auxiliary organization not to disclose their names, addresses,
or  electronic mail   email  addresses.
   (4)  No information   Information 
regarding either of the following is  not  disclosed:
   (A) The current students of the California State University.
   (B) An alumnus who, as a student at a campus of the California
State University, indicated that, pursuant to the federal Family
Educational Rights and Privacy Act (Public Law 93-380), he or she did
not wish his or her name, address, and  electronic mail
  email  address to be disclosed.
   (c) (1) The trustees, the affected alumni association, or the
affected auxiliary organization shall satisfy the notice requirements
of subdivision (b) if it uses the form set forth in paragraph (2).
The form set forth in this subdivision or a form that complies with
subparagraphs (A) to (J), inclusive, shall be provided by the
trustees, the alumni association, or the auxiliary organization to
the alumnus as required in this subdivision, and shall describe the
nature of the information the alumnus would receive should the
alumnus choose not to opt out, so that the alumnus may make a
decision and provide direction to the trustees, the alumni
association, or the auxiliary organization regarding the sharing of
his or her name, address, and  electronic mail  
email  address:
   (A) The form uses the title "IMPORTANT PRIVACY CHOICE" and the
header, if applicable, as follows: "Restrict Information Sharing With
Affinity Partners."
   (B) The titles and headers in the form are clearly and
conspicuously displayed, and no text in the form is smaller than
10-point type.
   (C) The form may be provided as a separate document, incorporated
into another communication piece intended for the target audience, or
 provided  through a link to the form located on the
Internet Web site of the trustees, the affected alumni association,
or the affected auxiliary organization. If the form is provided
through a link to an Internet Web page, it shall be accompanied by
the title "IMPORTANT PRIVACY CHOICE" and a clear and concise
description of the choice that can be made by accessing the form.
This requirement may be met by using text materially similar to the
first paragraph of the form set forth in paragraph (2).
   (D) The choice or choices provided in the form are stated
separately, and may be selected by checking a box.
   (E) The form is designed to call attention to the nature and
significance of the information in the document.
   (F) The form presents information in clear and concise sentences,
paragraphs, and sections.
   (G) The form uses short explanatory sentences  (an
  of an  average of 15 to 20  words)
  words,  or bullet lists whenever possible.
   (H) The form avoids multiple negatives, legal terminology, and
highly technical terminology whenever possible.
   (I) The form avoids explanations that are imprecise and readily
subject to different interpretations.
   (J) The form is not more than one page.
   (2) The form reads as follows:


   IMPORTANT PRIVACY CHOICE
   You have the right to control whether we share your name, address,
and  electronic mail   email  address with
our affinity partners (companies that we partner with to offer
products or services to our alumni). Please read the following
information carefully before you make your choice below:
   Your Rights
   You have the following rights to restrict the sharing of your
name, address, and  electronic mail   email
 address with our affinity partners. This form does not prohibit
us from sharing your information when we are required to do so by
law. This includes sending you information about the alumni
association, the university, or other products or services.
   Your Choice
   Restrict Information Sharing With Affinity Partners:
   Unless you say "NO," we may share your name, address, and 
electronic mail   email  address with our affinity
partners. Our affinity partners may send you offers to purchase
various products or services that we may have agreed they can offer
in partnership with us.
   ( ) NO, please do not share my name, address, and 
electronic mail   email  address with your affinity
partners.
   Time Sensitive Reply
   You may decide at any time that you do not want us to share your
information with our affinity partners. Your choice marked here will
remain unless you state otherwise. However, if we do not hear from
you, we may share your name, address, and  electronic mail
  email  address with our affinity partners.
   If you decide that you do not want to receive information from our
partners, you may do one of the following:
   (1) Call this toll-free telephone number: (xxx-xxx-xxxx).
   (2) Reply electronically by contacting us through the following
Internet option: xxxxxxxxxxxx.com.
   (3) Fill out, sign, and send back this form to us at the following
address (you may want to make a copy for your records).
   Xxxxxxxxxxxxxxxxx
   Xxxxxxxxxxxxxxxxx
   Xxxxxxxxxxxxxxxxx
   Name:
   Address:
   Signature:


   (3) (A) The trustees, the affected alumni association, or the
affected auxiliary organization shall not be in violation of this
subdivision solely because they include in the form one or more brief
examples or explanations of the purpose or purposes for which, or
the context within which, names, addresses, and  electronic
mail   email  addresses will be shared, as long as
those examples meet the clarity and readability standards set forth
in paragraph (1). 
   (B) The form shall be provided to alumni in each of the following
communications:  
   (i) 
    (B)   (i)    The solicitation to
students, upon their graduation, from the trustees or the alumni
association, encouraging students to join the alumni association or
to avail themselves of the services or benefits of the association,
shall include the form.
   (ii) The alumni association magazine or newsletter, or both, shall
include the form on an annual or more frequent basis.
   (iii) The Internet Web site for the alumni association shall
include a link to the form, which shall be located on either the
homepage of the association's Internet Web site or in the association'
s privacy policy.
   (iv) A one-time mailing to all alumni on the university mailing
list as of January 1,  2006.   2006, shall
include the form. 
   (v) An annual electronic communication to those alumni for whom
 electronic mail   email  addresses are
 available.   available shall include the form.

   (4) The trustees, the affected alumni associations, or the
affected auxiliary organizations shall provide at least two
alternative cost-free means for alumni to communicate their privacy
choices, such as calling a toll-free telephone number or using
electronic means. The trustees, the alumni association, or the
auxiliary organization shall clearly and conspicuously disclose in
the form required by this subdivision the information necessary to
direct the alumnus on how to communicate his or her choice, including
the toll-free telephone or facsimile number or Internet Web site
address that may be used, if those means of communication are
offered.
   (5) (A) An alumnus may direct at any time that his or her name,
address, and  electronic mail   email 
address not be disclosed. The trustees, the affected alumni
association, or the affected auxiliary organization shall comply with
the direction of an alumnus concerning the sharing of his or her
name, address, and  electronic mail   email
 address within 45 days of receipt by the trustees, the alumni
association, or the auxiliary organization. When an alumnus directs
that his or her name, address, and  electronic mail 
 email  address not be disclosed, that direction is in
effect until otherwise stated by the alumnus.
   (B)  Nothing in this   This  subdivision
 shall   does not  prohibit the disclosure
of the name, address, and  electronic mail  
email  address of an alumnus as allowed by other applicable
 provisions of state law.   state laws. 
   (6) The trustees, or the affected alumni association or the
affected auxiliary organization, may provide a joint notice from the
trustees or from one or more alumni associations, as identified in
the notice, so long as the notice is accurate with respect to the
trustees and the alumni association or associations or auxiliary
organization or organizations participating in the joint notice.
   (d) As used in this section, "auxiliary organization" has the same
meaning as set forth in Section 89901.
                                            (e) This section shall
not be construed to authorize the release of any social security
numbers.
  SEC. 77.  Section 89708 of the Education Code is amended to read:
   89708.  (a) Tuition fees adequate, in the long run, to meet the
cost of maintaining special sessions in the California State
University shall be required of, and collected from, students
enrolled in each special session pursuant to rules and regulations
prescribed by the trustees.
   (b) "Special sessions," as used in this division, means
self-supporting instructional programs conducted by the California
State University. The special sessions shall include, but not
necessarily be limited to, career enrichment and retraining programs.
It is the intent of the Legislature that those programs, currently
offered on a self-supporting basis by the California State University
during summer sessions, may be provided throughout the year, and
shall be known as special sessions. The self-supporting special
sessions shall not supplant, as defined in  subparagraph
  subdivision  (c), regular course offerings
available on a non-self-supporting basis during the regular academic
year.
   (c)  "Supplanting,"   "Supplant,"  as
used in this section, means reducing the number of state-supported
course offerings while increasing the number of self-supporting
versions of that course.
   (d) To the extent possible, each campus shall ensure that any
course required as a condition of undergraduate degree completion for
a state-supported matriculated student shall be offered as a
state-supported course. A campus shall not require a state-supported
matriculated student to enroll in a special session course in order
to fulfill a graduation requirement for a state-supported degree
program.
  SEC. 78.  Section 89712 of the Education Code is amended to read:
   89712.  (a) (1)  A   Neither a  campus
of the California State University,  or   nor
 the Chancellor of the California State  University, or
both,   University  shall  not 
approve a new student success fee or an increase to an existing
student success fee, as defined in subdivision (g), before all of the
following requirements are satisfied:
   (A) The campus undertakes a rigorous consultation process that
informs and educates students on the uses, impact, and cost of any
proposed student success fee or student success fee increase.
   (B) The campus informs its students of all of the following
circumstances, which shall apply to these fees:
   (i) That, except as provided in clauses (ii) and (iii), a student
success fee may be rescinded by a majority vote of the students, as
specified in subdivision (c).
   (ii) That a student success fee  may   shall
 not be rescinded earlier than six years following the vote to
implement the fee.
   (iii) If any portion of the student success fee is committed to
support a long-term obligation, that portion of the fee  may
  shall  not be rescinded until the obligation has
been satisfied.
   (C) The campus shall hold a binding student election on the
implementation of any proposed student success fees, or any increase
to an existing student success fee, and a majority of the student
body voting on the fee must vote affirmatively.
   (2) Implementation of a fee supported by a majority of the campus
student body voting on the fee is contingent upon the final approval
of the Chancellor of the California State University.
   (3) A student success fee proposal  may  
shall  not be brought before the student body more frequently
than once per academic year.
   (b) A student success fee in place on January 1, 2016, may be
rescinded by a binding student vote under the procedures authorized
in subdivision (c) only after at least six years have elapsed
following the implementation of the fee.
   (c) (1) Student success fees may be rescinded with a binding
student vote  wherein   if  a simple
majority of those students voting vote to rescind the fee. The
student vote shall comply with all of the following:
   (A) A campus decision to vote is formally approved by the
recognized student government.
   (B) Rescission vote proposals shall not be brought before the
student body more frequently than once per academic year.
   (C) In the process of reconsidering a student success fee, and
before the student vote occurs, the students shall be informed, if a
portion of the fee is supporting a long-term obligation, the dollar
amount of that portion, and the date on which the long-term
obligation would be satisfied.
   (2)  No  A    new contractual
or other obligation that would be supported by the rescinded student
success fee  may   shall not  be entered
into following a vote to rescind the fee.
   (d) The Chancellor of the California State University shall ensure
that all of the following occur on each campus:
   (1) There is majority student representation in campus student
success fee allocation oversight groups.
   (2) There is an annual report from each campus to the chancellor
on student success fees.
   (3) There is uniform, transparent, online accountability in the
decisionmaking process for, and a detailed accounting of, the
allocation of student success fees.
   (e) The Chancellor of the California State University shall
establish appropriate reporting procedures to ensure that a campus is
in compliance with the requirements of this section.
   (f) The chancellor shall report, by December 1 of each year, to
the Department of Finance, and the Legislature pursuant to Section
9795 of the Government Code, a summary of the fees adopted or
rescinded in the prior academic year, and the uses of proposed and
currently implemented fees.
   (g) For purposes of this section, a "student success fee" is a
type of category II campus-based mandatory fee that is required to be
paid by a student before that student may enroll or attend a campus
of the California State University, as determined by that campus or
the Chancellor of the California State University.
  SEC. 79.  Section 92630 of the Education Code is amended to read:
   92630.  (a) The regents and alumni associations may distribute the
names, addresses, and  electronic mail   email
 addresses of alumni of the University of California to a
business as described in subdivision (b) in order to accomplish any
or all of the following:
   (1) To provide those persons with informational materials relating
to the university or college and its programs and activities.
   (2) To provide those persons, the regents, and the alumni
associations with commercial opportunities that provide a benefit to
those persons, or to the regents or the alumni associations.
   (3) To promote and support the educational mission of the
university, the regents, or the alumni associations.
   (b) The disclosures authorized in subdivision (a) shall be
permitted only if all of the following requirements are met:
   (1) (A) The regents or the alumni associations have a written
agreement with a business, as defined in subdivision (a) of Section
1798.80 of the Civil  Code   Code,  that
maintains control over this data that requires the business to
maintain the confidentiality of the names, addresses, and 
electronic mail     email  addresses of
the alumni, that requires that the University of California retain
the right to approve or reject any purpose for which the private
information is to be used by the business and to review and approve
the text of mailings sent to alumni pursuant to this section, and
that prohibits the business from using the information for 
any  purposes other than those described in subdivision (a).
The text of a mailing intended to be sent to alumni pursuant to this
section shall not be approved by the regents or the affected alumni
association unless and until the mailing conspicuously identifies the
university or the alumni association as associated with the business
described in the mailing.
   (B) If an affinity partner, as defined in Section 4054.6 of the
Financial Code, sends any message to  any electronic mail
  an email  address obtained pursuant to this
section, that message shall include at least both of the following:
   (i) The identity of the sender of the message.
   (ii) A cost-free means for the recipient to notify the sender not
to electronically transmit any further message to the recipient.
   (2) The regents or an alumni association shall not disclose to, or
share a consumer's nonpublic personal information with, a business,
as defined in paragraph (1), unless the institution, association, or
organization has clearly and conspicuously notified the consumer
pursuant to subdivision (c), that the nonpublic personal information
may be disclosed to the business and that the alumnus has not
directed that the nonpublic personal information not be disclosed.
   (3)  The disclosure of alumni names, addresses, and 
electronic mail   email  addresses does not include
the names, addresses, and  electronic mail  
email  addresses of alumni who, pursuant to subdivision (c) or
in another manner, have directed the regents or an alumni association
not to disclose their names, addresses, or  electronic mail
  email  addresses.
   (4)  No information   Information 
regarding either of the following is  not  disclosed:
   (A) The current students of the University of California.
   (B) An alumnus who, as a student of a campus of the University of
California, indicated that, pursuant to the federal Family
Educational Rights and Privacy Act (Public Law 93-380), he or she did
not wish his or her name, address, and  electronic mail
  email  address to be disclosed.
   (c) (1) The regents or the affected alumni association shall
satisfy the notice requirements of subdivision (b) if it uses the
form set forth in paragraph (2). The form set forth in this
subdivision or a form that complies with subparagraphs (A) to (J),
inclusive, shall be provided by the regents or the alumni association
to the alumnus as required in this subdivision, and shall describe
the nature of the information the alumnus would receive should the
alumnus choose not to opt out, so that the alumnus may make a
decision and provide direction to the regents and the alumni
association regarding the sharing of his or her name, address, and
 electronic mail   email  address:
   (A) The form uses the title "IMPORTANT PRIVACY CHOICE" and the
header, if applicable, as follows: "Restrict Information Sharing With
Affinity Partners."
   (B) The titles and headers in the form are clearly and
conspicuously displayed, and no text in the form is smaller than
10-point type.
   (C) The form may be provided as a separate document, incorporated
into another communication piece intended for the target audience, or
 provided  through a link to the form located on the
Internet Web site of the regents, the affected alumni association, or
the affected auxiliary organization. If the form is provided through
a link to an Internet Web page, it shall be accompanied by the title
"IMPORTANT PRIVACY CHOICE" and a clear and concise description of
the choice that can be made by accessing the form. This requirement
may be met by using text materially similar to the first paragraph of
the form set forth in paragraph (2).
   (D) The choice or choices provided in the form are stated
separately, and may be selected by checking a box.
   (E) The form is designed to call attention to the nature and
significance of the information in the document.
   (F) The form presents information in clear and concise sentences,
paragraphs, and sections.
   (G) The form uses short explanatory sentences  (an
  of an  average of 15 to 20  words)
  words,  or bullet lists whenever possible.
   (H) The form avoids multiple negatives, legal terminology, and
highly technical terminology whenever possible.
   (I) The form avoids explanations that are imprecise and readily
subject to different interpretations.
   (J) The form is not more than one page.
   (2) The form reads as follows:


   IMPORTANT PRIVACY CHOICE
   You have the right to control whether we share your name, address,
and  electronic mail   email  address with
our affinity partners (companies that we partner with to offer
products or services to our alumni). Please read the following
information carefully before you make your choice below:
   Your Rights
   You have the following rights to restrict the sharing of your
name, address, and  electronic mail   email
 address with our affinity partners. This form does not prohibit
us from sharing your information when we are required to do so by
law. This includes sending you information about the alumni
association, the university, or other products or services.
   Your Choice
   Restrict Information Sharing With Affinity Partners:
   Unless you say "NO," we may share your name, address, and 
electronic mail   email  address with our affinity
partners. Our affinity partners may send you offers to purchase
various products or services that we may have agreed they can offer
in partnership with us.
   ( ) NO, please do not share my name, address, and
electronic mail   email  address with your affinity
partners.
   Time Sensitive Reply
   You may decide at any time that you do not want us to share your
information with our partners. Your choice marked here will remain
unless you state otherwise. However, if we do not hear from you, we
may share your name, address, and  electronic mail 
 email  address with our affinity partners.
   If you decide that you do not want to receive information from our
partners, you may do one of the following:
   (1) Call this toll-free telephone number: (xxx-xxx-xxxx).
   (2) Reply electronically by contacting us through the following
Internet option: xxxxxxxxxxxx.com.
   (3) Fill out, sign, and send back this form to us at the following
address (you may want to make a copy for your records).
   Xxxxxxxxxxxxxxxxx
   Xxxxxxxxxxxxxxxxx
   Xxxxxxxxxxxxxxxxx
   Name:
   Address:
   Signature:


   (3) (A) The regents or the affected alumni association shall not
be in violation of this subdivision solely because they include in
the form one or more brief examples or explanations of the purpose or
purposes for which, or the context within which, names, addresses,
and  electronic mail   email  addresses
will be shared, as long as those examples meet the clarity and
readability standards set forth in paragraph (1). 
   (B) The form shall be provided to alumni in each of the following
communications:  
   (i) 
    (B)   (i)    The solicitation to
students, upon their graduation, from the regents or the alumni
association, encouraging students to join the alumni association or
to avail themselves of the services or benefits of the association,
shall include the form.
   (ii) The alumni association magazine or newsletter, or both, shall
include the form on an annual or more frequent basis.
   (iii) The Internet Web site for the alumni association shall
include a link to the form, which shall be located on either the
homepage of the association's Internet Web site or in the association'
s privacy policy.
   (iv) A one-time mailing to all alumni on the university or college
mailing list as of January 1,  2006.   2006,
shall include the form. 
   (v) An annual electronic communication to those alumni for whom
electronic mail addresses are  available.  
available, shall include the form. 
   (4) The regents or the affected alumni associations shall provide
at least two alternative cost-free means for alumni to communicate
their privacy choice, such as calling a toll-free telephone number,
or using electronic means. The regents or the alumni association
shall clearly and conspicuously disclose in the form required by this
subdivision the information necessary to direct the alumnus on how
to communicate his or her choices, including the toll-free telephone
or facsimile number or Internet Web site address that may be used, if
those means of communication are offered.
   (5) (A) An alumnus may direct at any time that his or her name,
address, and  electronic mail   email 
address not be disclosed. The regents or the affected alumni
association shall comply with the direction of an alumnus concerning
the sharing of his or her name, address, and  electronic mail
  email  address within 45 days of receipt by the
regents or the alumni association. When an alumnus directs that his
or her name, address, or  electronic mail  
email  address not be disclosed, that direction is in effect
until otherwise stated by the alumnus.
   (B)  Nothing in this   This   
subdivision  shall   does not  prohibit the
disclosure of the name, address, or  electronic mail
  email  address of an alumnus as allowed by other
applicable  provisions of state law.   state
laws. 
   (6) The regents or the affected alumni association may provide a
joint notice from the regents or from one or more alumni
associations, as identified in the notice, so long as the notice is
accurate with respect to the regents and the alumni association or
associations participating in the joint notice.
   (d) This section shall not be construed to authorize the release
of any social security numbers.
  SEC. 80.  Section 94925 of the Education Code is amended to read:
   94925.  (a) The amount in the Student Tuition Recovery Fund shall
not exceed twenty-five million dollars ($25,000,000) at any time.
   (b) If the bureau has temporarily stopped collecting the Student
Tuition Recovery Fund assessments because the fund has approached the
 twenty-five million dollar   twe 
nty-five-million dollar ($25,000,000)  limit in subdivision
(a), the bureau shall resume collecting Student Tuition Recovery Fund
assessments when the fund falls below twenty million dollars
($20,000,000).
   (c) An otherwise eligible student who enrolled during a period
when institutions were not required to collect Student Tuition
Recovery Fund assessments is eligible for Student Tuition Recovery
Fund payments despite not having paid any Student Tuition Recovery
Fund assessment.
  SEC. 81.  Section 17 of the Elections Code is amended to read:
   17.  The Secretary of State shall establish and maintain
administrative complaint procedures, pursuant to the requirements of
the  federal  Help America Vote Act of 2002 (52 U.S.C. Sec.
21112), in order to remedy grievances in the administration of
elections. The Secretary of State shall not require that the
administrative remedies provided in the complaint procedures
established pursuant to this section be exhausted in order to pursue
any other remedies provided by state or federal law.
  SEC. 82.  Section 1000 of the Elections Code is amended to read:
   1000.  The established election dates  in each year
 are as follows:
   (a) The second Tuesday of April in each even-numbered year.
   (b) The first Tuesday after the first Monday in March of each
odd-numbered year.
   (c) The first Tuesday after the first Monday in June in each year.

   (d) The first Tuesday after the first Monday in November of each
year.
  SEC. 83.  Section 1301 of the Elections Code is amended to read:
   1301.  (a) Except as required by Section 57379 of the Government
Code, and except as provided in subdivision (b), a general municipal
election shall be held on an established election date pursuant to
Section 1000.
   (b) (1) Notwithstanding subdivision (a), a city council may enact
an ordinance, pursuant to Division 10 (commencing with Section
10000), requiring its general municipal election to be held on the
 same day as   day of  the statewide direct
primary election, the day of the statewide general election,
 on  the day of school district elections as set
forth in Section 1302, the first Tuesday after the first Monday of
March in each odd-numbered year, or the second Tuesday of April in
each year.  Any   An  ordinance adopted
pursuant to this subdivision shall become operative upon approval by
the  county  board of supervisors.
   (2) In the event of consolidation, the general municipal election
shall be conducted in accordance with all applicable procedural
requirements of this code pertaining to that primary, general, or
school district election, and shall thereafter occur in consolidation
with that election.
   (c) If a city adopts an ordinance described in subdivision (b),
the municipal election following the adoption of the ordinance and
each municipal election thereafter shall be conducted on the date
specified by the city council, in accordance with subdivision (b),
unless the ordinance in question is later repealed by the city
council.
   (d) If the date of a general municipal election is changed
pursuant to subdivision (b), at least one election shall be held
before the ordinance, as approved by the  county  board of
supervisors, may be subsequently repealed or amended.
  SEC. 84.  Section 2142 of the Elections Code is amended to read:
   2142.  (a) If the county elections official refuses to register a
qualified elector in the county, the elector may proceed by action in
the superior court to compel his or her registration. In an action
under this section, as many persons may join as plaintiffs as have
causes of action.
   (b) If the county elections official has not registered a
qualified elector who claims to have registered to vote through the
Department of Motor Vehicles or any other public agency designated as
a voter registration agency pursuant to the  federal 
National Voter Registration Act of 1993 (52 U.S.C. Sec. 
20501),   20501 et seq.),  the elector may proceed
by action in the superior court to compel his or her registration. In
an action under this section, as many persons may join as plaintiffs
as have causes of action.
   (c) No fee shall be charged by the clerk of the court for services
rendered in an action under this section.
  SEC. 85.  Section 2150 of the Elections Code, as amended by Section
4.5 of Chapter 736 of the Statutes of 2015, is amended to read:
   2150.  (a) The affidavit of registration shall show:
   (1) The facts necessary to establish the affiant as an elector.
   (2) The affiant's name at length, including his or her given name,
and a middle name or initial, or if the initial of the given name is
customarily used, then the initial and middle name. The affiant's
given name may be preceded, at the affiant's option, by the
designation of "Miss," "Ms.," "Mrs.," or "Mr." A person shall not be
denied the right to register because of his or her failure to mark a
prefix to the given name and shall be so advised on the voter
registration card. This subdivision shall not be construed as
requiring the printing of prefixes on an affidavit of registration.
   (3) The affiant's place of residence, residence telephone number,
if furnished, and email address, if furnished. A person shall not be
denied the right to register because of his or her failure to furnish
a telephone number or email address, and shall be so advised on the
voter registration card.
   (4) The affiant's mailing address, if different from the place of
residence.
   (5) The affiant's date of birth to establish that he or she will
be at least 18 years of age on or before the date of the next
election.
   (6) The state or country of the affiant's birth.
   (7) (A) In the case of an affiant who has been issued a current
and valid driver's license, the affiant's driver's license number.
   (B) In the case of any other affiant, other than an affiant to
whom subparagraph (C) applies, the last four digits of the affiant's
social security number.
   (C) If a voter registration affiant has not been issued a current
and valid driver's license or a social security number, the state
shall assign the applicant a number that will serve to identify the
affiant for voter registration purposes. If the state has a
computerized list in effect under this paragraph and the list assigns
unique identifying numbers to registrants, the number assigned under
this subparagraph shall be the unique identifying number assigned
under the list.
   (8) The affiant's political party preference.
   (9) That the affiant is currently not imprisoned or on parole for
the conviction of a felony.
   (10) A prior registration portion indicating if the affiant has
been registered at another address, under another name, or as
preferring another party. If the affiant has been so registered, he
or she shall give an additional statement giving that address, name,
or party.
   (b) The affiant shall certify the content of the affidavit of
registration as to its truthfulness and correctness, under penalty of
perjury, with the signature of his or her name and the date of
signing. If the affiant is unable to write, he or she shall sign with
a mark or cross. An affiant who is an individual with a disability
may complete the affidavit with reasonable accommodations as needed.
   (c) The affidavit of registration shall also contain a space that
would enable the affiant to state his or her ethnicity or race, or
both. An affiant  may   shall  not be
denied the ability to register because he or she declines to state
his or her ethnicity or race.
   (d) If a person assists the affiant in completing the affidavit of
registration, that person shall sign and date the affidavit below
the signature of the affiant.
   (e) The affidavit of registration shall also contain a space to
permit the affiant to apply for permanent vote by mail status.
   (f) The Secretary of State may continue to supply existing
affidavits of registration to county elections officials before
printing new or revised forms that reflect the changes made to this
section by Chapter 508 of the Statutes of 2007.
  SEC. 86.  Section 2155 of the Elections Code is amended to read:
   2155.  Upon receipt of a properly executed affidavit of
registration or address correction notice or letter pursuant to
Section 2119, Article 2 (commencing with Section 2220), or the 
federal  National Voter Registration Act of 1993 (52 U.S.C. Sec.
 20501),   20501 et seq.),  the county
elections official shall send the voter a voter notification by
nonforwardable, first-class mail, address correction requested. The
voter notification shall state the party preference for which the
voter has registered in the following format:
   Party: (Name of political party)
   The voter notification shall be substantially in the following
form:
      VOTER NOTIFICATION

   You are registered to vote. The party preference you chose, if
any, is on this card. This card is being sent as a notification of:
   1. Your recently completed affidavit of registration.
      OR,

   2. A change to your registration because of an official notice
that you have moved. If your residence address has not changed or if
your move is temporary, please call or write to our office
immediately.
      OR,

   3. Your recent registration with a change in party preference. If
this change is not correct, please call or write to our office
immediately.
_________________________________________________


   You may vote in any election held 15 or more days after the date
on this card.
   Your name will appear on the index kept at the polls.
   Please contact our office if the information shown on the reverse
side of this card is incorrect.
_________________________________________________
                (Signature of Voter)


  SEC. 87.  Section 2196 of the Elections Code, as amended by Section
54 of Chapter 728 of the Statutes of 2015, is amended to read:
   2196.  (a) (1) Notwithstanding any other  provision of
 law, a person who is qualified to register to vote and who
has a valid California driver's license or state identification card
may submit an affidavit of voter registration electronically on the
Internet Web site of the Secretary of State.
   (2) An affidavit submitted pursuant to this section is effective
upon receipt of the affidavit by the Secretary of State if the
affidavit is received on or before the last day to register for an
election to be held in the precinct of the person submitting the
affidavit.
   (3) The affiant shall affirmatively attest to the truth of the
information provided in the affidavit.
   (4) For voter registration purposes, the applicant shall
affirmatively assent to the use of his or her signature from his or
her driver's license or state identification card.
   (5) For each electronic affidavit, the Secretary of State shall
obtain an electronic copy of the applicant's signature from his or
her driver's license or state identification card directly from the
Department of Motor Vehicles.
   (6) The Secretary of State shall require a person who submits an
affidavit pursuant to this section to submit all of the following:
   (A) The number from his or her California driver's license or
state identification card.
   (B) His or her date of birth.
   (C) The last four digits of his or her social security number.
   (D) Any other information the Secretary of State deems necessary
to establish the identity of the affiant.
   (7) Upon submission of an affidavit pursuant to this section, the
electronic voter registration system shall provide for immediate
verification of both of the following:
   (A) That the applicant has a California driver's license or state
identification card and that the number for that driver's license or
identification card provided by the applicant matches the number for
that person's driver's license or identification card that is on file
with the Department of Motor Vehicles.
   (B) That the date of birth provided by the applicant matches the
date of birth for that person that is on file with the Department of
Motor Vehicles.
   (8) The Secretary of State shall employ security measures to
ensure the accuracy and integrity of  voter registration
 affidavits  of voter registration  submitted
electronically pursuant to this section.
   (b) The Department of Motor Vehicles shall  utilize
  use  the electronic voter registration system
required by this section to comply with its duties and
responsibilities as a voter registration agency pursuant to the
federal National Voter Registration Act of 1993 (52 U.S.C. Sec. 20501
et seq.).
   (c) The Department of Motor Vehicles and the Secretary of State
shall maintain a process and the infrastructure to allow the
electronic copy of the applicant's signature and other information
required under this section that is in the possession of the
department to be transferred to the Secretary of State and to the
county election management systems to allow a person who is qualified
to register to vote in California to register to vote under this
section.
   (d) If an applicant cannot electronically submit the information
required pursuant to paragraph (6) of subdivision (a), he or she
shall nevertheless be able to complete the affidavit of voter
registration electronically on the Secretary of State's Internet Web
site, print a hard copy of the completed affidavit, and mail or
deliver the hard copy of the completed affidavit to the Secretary of
State or the appropriate county elections official.
  SEC. 88.  Section 2250 of the Elections Code is amended to read:
   2250.  On and after July 1, 2007, in any document mailed by a
state agency that offers a person the opportunity to register to vote
pursuant to the  federal  National Voter Registration Act
of 1993 (52 U.S.C. Sec.  20501)   20501 et seq.)
 that state agency shall include a notice informing prospective
voters that if they have not received voter registration information
within 30 days of requesting it, they should contact their local
elections office or the office of the Secretary of State.
  SEC. 89.  Section 2263 of the Elections Code is amended to read:
   2263.  (a) The Department of Motor Vehicles, in consultation with
the Secretary of State, shall establish a schedule and method for the
department to electronically provide to the Secretary of State the
records specified in this section.
   (b) (1) The department shall provide to the Secretary of State, in
a manner and method to be determined by the department in
consultation with the Secretary of State, the following information
associated with each person who submits an application for a driver's
license or identification card pursuant to Section 12800, 12815, or
13000 of the Vehicle Code, or who notifies the department of a change
of address pursuant to Section 14600 of the Vehicle Code:
   (A) Name.
   (B) Date of birth.
   (C) Either or both of the following, as contained in the
department's records:
   (i) Residence address.
   (ii) Mailing address.
   (D) Digitized signature, as described in Section 12950.5 of the
Vehicle Code.
   (E) Telephone number, if available.
   (F) Email address, if available.
   (G) Language preference.
   (H) Political party preference.
   (I) Whether the person chooses to become a permanent vote by mail
voter.
   (J) Whether the person affirmatively declined to become registered
to vote during a transaction with the department.
   (K) A notation that the applicant has attested that he or she
meets all voter eligibility requirements, including United States
citizenship, specified in Section 2101.
   (L) Other information specified in regulations implementing this
chapter.
   (2) (A) The department may provide the records described in
paragraph (1) to the Secretary of State before the Secretary of State
certifies that all of the conditions set forth in subdivision (e) of
this section have been satisfied. Records provided pursuant to this
paragraph shall only be used for  the  purposes of
outreach and education to eligible voters conducted by the Secretary
of State.
   (B) The Secretary shall provide materials created for purposes of
outreach and education as described in this paragraph in languages
other than English, as required by the federal Voting Rights Act of
1965 (52 U.S.C. Sec. 10503).
   (c) The Secretary of State shall not sell,  transfer
  transfer,  or allow any third party access to the
information acquired from the Department of Motor Vehicles pursuant
to this chapter without approval of the department, except as
permitted by this chapter and Section 2194.
   (d) The department shall not electronically provide records of a
person who applies for or is issued a driver's license pursuant to
Section 12801.9 of the Vehicle Code because he or she is unable to
submit satisfactory proof that his or her presence in the United
States is authorized under federal law.
   (e) The Department of Motor Vehicles shall commence implementation
of this section no later than one year after the Secretary of State
certifies all of the following:
   (1) The State has a statewide voter registration database that
complies with the requirements of the federal Help America Vote Act
of 2002 (52 U.S.C.  Section   Sec.  20901
et seq.).
   (2) The Legislature has appropriated the funds necessary for the
Secretary of State and the Department of Motor Vehicles to implement
and maintain the California New Motor Voter Program.
   (3) The regulations required by Section 2270 have been adopted.
   (f) The Department of Motor Vehicles shall not electronically
provide records pursuant to this section that contain a home address
designated as confidential pursuant to Section 1808.2, 1808.4, or
1808.6 of the Vehicle Code.
  SEC. 90.  Section 2265 of the Elections Code is amended to read:
   2265.  (a)  The records of a person designated in paragraph (1) of
subdivision (b) of Section 2263 shall constitute a completed
affidavit of registration and the Secretary of State shall register
the person to vote, unless any of the following conditions 
is   are  satisfied:
   (1) The person's records, as described in Section 2263, reflect
that he or she affirmatively declined to become registered to vote
during a transaction with the Department of Motor Vehicles.
   (2) The person's records, as described in Section 2263, do not
reflect that he or she has attested to meeting all voter eligibility
requirements specified in Section 2101.
   (3) The Secretary of State determines that the person is
ineligible to vote.
   (b) (1) If a person who is registered to vote pursuant to this
chapter does not provide a party preference, his or her party
preference shall be designated as "Unknown" and he or she shall be
treated as a "No Party Preference" voter.
   (2) A person whose party preference is designated as "Unknown"
pursuant to this subdivision shall not be counted for purposes of
determining the total number of voters registered on the specified
day preceding an election, as required by subdivision (b) of Section
5100 and subdivision (c) of Section 5151.
  SEC. 91.  Section 2270 of the Elections Code is amended to read:
   2270.  The Secretary of State shall adopt regulations to implement
this chapter, including regulations addressing both of the
following:
   (a) A process for canceling the registration of a person who is
ineligible to vote, but became registered under the California New
Motor Voter Program in the absence of any violation by that person of
Section 18100.
   (b) An education and outreach campaign informing voters about the
California New Motor Voter Program that the Secretary of State will
conduct to implement this chapter. The Secretary  of State 
may use any public and private funds available for this and shall
provide materials created for this outreach and education campaign in
languages other than English, as required by the federal Voting
Rights Act of 1965 (52 U.S.C. Sec. 10503).
  SEC. 92.  Section 2600 of the Elections Code is amended to read:
   2600.  The Secretary of State shall establish a Language
Accessibility Advisory Committee which shall meet no less than four
times each calendar year. The committee shall consist of no less than
 fifteen   15  members and be comprised of
the Secretary of State and his or her designee or designees and
additional members appointed by the Secretary of State. The
appointees shall have demonstrated language accessibility experience,
have knowledge of presenting election materials to voters using
plain language methods or another method that is easy for voters to
access and understand, or be a county elections official or his or
her designee. At least three county elections officials shall be
appointed to the committee. The Secretary of State shall consult with
and consider the recommendations of the committee. The committee
shall serve in an advisory capacity to the Secretary of State.
  SEC. 93.  Section 3025 of the Elections Code is amended to read:
   3025.  (a) For purposes of this section, the following terms have
the following meanings:
   (1) "Vote by mail ballot drop box" means a secure receptacle
established by a county or city and county elections official whereby
a voted vote by mail ballot may be returned to the elections
official from whom it was obtained.
   (2) "Vote by mail ballot drop-off location" means a location
consisting of a secured vote by mail ballot drop box at which a voted
vote by mail ballot may be returned to the elections official from
whom it was obtained.
   (b) On or before January 1, 2017, the Secretary of State shall
promulgate regulations establishing guidelines based on best
practices for security measures and procedures, including, but not
limited to, chain of custody, pick-up times, proper labeling, and
security of  the  vote by mail ballot drop boxes,
that a county elections official may use if the county elections
official establishes one or more vote by mail ballot drop-off
locations.
  SEC. 94.  Section 3114 of the Elections Code is amended to read:
   3114.  (a) For an election for which this state has not received a
waiver pursuant to the  federal  Military and Overseas
Voter Empowerment Act (52 U.S.C. Sec. 20301 et seq.), not sooner than
60 days but not later than 45 days before the election, the
elections official shall transmit a ballot and balloting materials to
each military or overseas voter  who   who,
 by that  date   date,  submits a
valid ballot application pursuant to Section 3102.
   (b) If a valid ballot application from a military or overseas
voter arrives after the 45th day before the election, the elections
official charged with distributing a ballot and balloting materials
to that voter shall transmit them to the voter as soon as practicable
after the application arrives.
  SEC. 95.  Section 6850 of the Elections Code is amended to read:
   6850.  This chapter applies to the presidential  preference
 primary ballot of the Green Party only. As used in this
chapter, "Green Party" means the Green Party of California.
  SEC. 96.  Section 6850.5 of the Elections Code is amended to read:
   6850.5.  The Green Party presidential  preference primary
ballot shall express the presidential preference of California
voters who vote in the Green Party  primary.  
presidential preference primary election.  National convention
delegates shall be selected as provided for in the bylaws and the
rules and procedures of the Green Party and pursuant to the rules of
the national political party with which the Green Party is
affiliated.
  SEC. 97.  The heading of Article 2 (commencing with Section 6851)
of Chapter 5 of Part 1 of Division 6 of the Elections Code is amended
to read:

      Article 2.  Qualification of Candidates for Presidential
Preference  Portion of  Primary Ballot


  SEC. 98.  Section 6851 of the Elections Code is amended to read:
   6851.  The Secretary of State shall place the name of a candidate
upon the Green Party presidential preference  primary 
ballot when the Secretary of State has determined that the candidate
is generally advocated for or recognized throughout the United States
or California as actively seeking the presidential nomination of the
Green Party or the national political party with which the Green
Party is affiliated.
  SEC. 99.  Section 6853 of the Elections Code is amended to read:
   6853.  If a selected candidate or an unselected candidate files
with the Secretary of State, no later than the 68th day before the
presidential  primary,   primary election, 
an affidavit stating without qualification that she or he is not a
candidate for the office of President of the United States at the
forthcoming presidential primary election, the name of that candidate
shall be omitted from the list of names certified by the Secretary
of State to the elections official for the ballot and the name of
that candidate shall not appear on the presidential preference
 portion of the  primary ballot.
  SEC. 100.  Section 6854 of the Elections Code is amended to read:
   6854.  This article applies to the nomination of a Green Party
candidate for the presidential  preference  primary ballot.
  SEC. 101.  Section 6854.5 of the Elections Code is amended to read:

   6854.5.  Nomination papers properly prepared, circulated, signed,
and verified shall be left, for examination, with the elections
official of the county in which they are circulated at least 74 days
before the presidential  primary.   preference
primary election. 
  SEC. 102.  Section 6855 of the Elections Code is amended to read:
   6855.  Each signer of a nomination paper for the presidential 
preference  primary ballot may sign only one paper. The signer
shall add her or his printed name and place of residence indicating
city and giving the street and number, if any.
  SEC. 103.  Section 6857 of the Elections Code is amended to read:
   6857.  The nomination paper for a candidate for the presidential
preference  portion of the   primary 
ballot shall be in substantially the following form:
    SECTION OF NOMINATION PAPER SIGNED BY VOTER ON
BEHALF OF PRESIDENTIAL PREFERENCE PRIMARY CANDIDATE
Section ____________ Page ____________
County of __________.
Nomination paper of a presidential preference
candidate for the Green Party presidential  primary
  
 preference primary  ballot.
State of            )
California          )  ss.
County of ______
                  SIGNER'S STATEMENT
  I, the undersigned, am a voter of the County of
____________, State of California, and am
registered as preferring the Green Party. I hereby
nominate ____________ for the presidential
preference portion of the Green Party's
presidential primary ballot, to be voted for at
the presidential pr  eference pr  imary to be held on
the____________ day of ____________, 20____. I
have not signed the nomination paper of any other
candidate for the same office.
Number_________Signature_________Printed
name_________Residence
___________________________________________________
  1.  ______________________________________________
  2.  ______________________________________________
  3.  ______________________________________________
etc.
               CIRCULATOR'S DECLARATION
  I, ________, affirm all of the following:
  1. That I am 18 years of age or older.
  2. That my residence address, including street
number,
is
__________________________________________________.
(If no street or number exists, a designation of
my residence adequate to readily ascertain its
location
is
_________________________________________________.)
  3. That I secured signatures in the County of
________ to the nomination paper of a candidate in
the presidential preference primary of the Green
Party, that all the signatures on this section of
the nomination paper numbered from 1 to ______,
inclusive, were made in my presence, that the
signatures were obtained between ____________,
20__, and ____________, 20__, and that to the best
of my knowledge and belief each signature is the
genuine signature of the person whose name it
purports to be.
I declare under penalty of perjury that the
foregoing is true and correct.
Executed at ________, California, this ____ day of
____, 20__.
(Signed) ______________________________
Circulator
(Printed Name) _____________________________


  SEC. 104.  Section 6859 of the Elections Code is amended to read:
   6859.  Within five days after any nomination papers are left with
the elections official for examination, the elections official shall
do both of the following:
   (a) Examine and affix to  them   the
nomination papers  a certificate reciting that she or he has
examined them and stating the number of names that have not been
marked "not sufficient."
   (b) Transmit the  nomination  papers with the certificate
of examination to the Secretary of State, who shall file the papers.

  SEC. 105.  Section 6861.5 of the Elections Code is amended to read:

   6861.5.  For the presidential  preference  primary
election, the format of the Green Party ballot shall be governed by
Chapter 2 (commencing with Section 13100) of Division 13, with the
following exceptions:
   (a) The heading "Presidential Candidate Preference" shall be
included.
   (b) Selected and unselected presidential candidates shall be
listed below the heading specified in subdivision (a).
   (c) The instructions to voters shall begin with the words "Vote
for a candidate." The instructions to voters shall also include the
statement that "Delegates to the national convention will be selected
after the  presidential preference  primary election."
  SEC. 106.  Section 6862 of the Elections Code is amended to read:
   6862.  A person who believes her or his name may be used as a
write-in candidate for President of the United States shall, no later
than 21 days before the  presidential preference  primary
election, file an endorsement of her or his write-in candidacy with
the Secretary of State, or no votes shall be counted for that
write-in candidate.
  SEC. 107.  Section 6863 of the Elections Code is amended to read:
   6863.  The number of delegates to be selected following the
presidential preference primary  election  shall be the
number established by the national political party with which the
Green Party is affiliated.
  SEC. 108.  Section 7901 of the Elections Code is amended to read:
   7901.  At each presidential  preference  primary
election, members of central committees, which shall be termed
"county councils," shall be elected in each county.
  SEC. 109.  Section 7902 of the Elections Code is amended to read:
   7902.  For purposes of this chapter, the registration figures used
shall be those taken from the statement of voters and their
political preferences transmitted by the elections officials to the
Secretary of State on or before March 1 of the odd-numbered year
preceding the next presidential  preference  primary
election.
  SEC. 110.  Section 7903 of the Elections Code is amended to read:
   7903.  The number of members of the county council to be elected
in a county shall be a minimum of three and a maximum of 50, and the
process in which each county's number shall be calculated shall be
defined in the Green Party's bylaws and, to be effective, shall be
communicated to the Secretary of State by the Green Party Liaison to
the Secretary of State no later than 175 days before the next
presidential  preference  primary election.
  SEC. 111.  Section 7904 of the Elections Code is amended to read:
   7904.  At its first meeting following the presidential 
preference  primary election and at subsequent meetings, a
county council may appoint additional members to the county council
to fill any vacancy.
  SEC. 112.  Section 7911 of the Elections Code is amended to read:
   7911.  Members of county councils shall be elected from one or
more  multi-member   multimember 
districts. Multimember districts shall conform to the county
boundaries or recognized jurisdictional boundaries of Congressional,
State Assembly, State Senate, or Supervisorial districts within that
county, in accordance with state Green Party bylaws and county Green
Party bylaws.
  SEC. 113.  Section 7912 of the Elections Code is amended to read:
   7912.  The Secretary of State, no later than the 175th day before
the presidential  preference  primary election, shall
compute the number of members of a county council to be elected in
each county and shall mail a certificate to that effect to the
elections official of each county and to the Green Party Liaison to
the Secretary of State.
  SEC. 114.  Section 7913 of the Elections Code is amended to read:
   7913.  The elections official, no later than the 172nd day before
the presidential  preference  primary election, shall
compute the number of members of a county council to be elected in
each district if the election of the members is to be by district
pursuant to this chapter.
  SEC. 115.  Section 7918 of the Elections Code is amended to read:
   7918.  Notwithstanding any other provision of this code, each
sponsor is entitled to sponsor as many candidates as there are seats
in the  county council election  district. Candidate names
listed on a single sponsor's certificate, and the signatures on the
certificate shall count toward the sponsor requirement of each and
every candidate whose name is listed on the certificate. The number
of candidates having their names on a sponsor's certificate shall not
exceed the number of members of a county council to be elected in
the district.
  SEC. 116.  Section 7921 of the Elections Code is amended to read:
   7921.  The office of member of county council shall be placed on
the presidential  preference  primary ballot under the
heading "Party County Council" in the place and manner designated for
the office of county central committee pursuant to Chapter 2
(commencing with Section 13100) of Division 13. The subheading
printed under party central committees on the presidential 
preference  primary ballot shall be in substantially the
following form: Member of Green Party County Council, ___the
__________ District or Member of the Green Party County Council,
_______ County.
  SEC. 117.  Section 7922 of the Elections Code is amended to read:
   7922.  Except as otherwise provided in this section, the votes
cast for each candidate for member of county council shall be
included in the canvass and statement of results in a manner similar
to the vote for each candidate for county central committees pursuant
to Division 15 (commencing with Section 15000), and specifically:
   (a) The final total of votes cast for each candidate for member of
county council, including the name, address, and ballot designation
of each  such  candidate, and a specification as to
which candidates were declared elected shall be certified to the
Secretary of State without delay upon completion of the official
canvass. The county clerk shall simultaneously send one copy of this
final certification to the Green Party Liaison to the Secretary of
State.
   (b) As soon as practicable after the presidential  preference
 primary election, the Secretary of State shall prepare a
certified list, by county, of all elected Green Party members of
county councils, including their addresses and primary election
ballot designations. The Secretary of State shall send copies of the
list to the registrar of voters in each county no later than 45 days
following the presidential  preference  primary election.
This list shall be maintained for public inspection by the registrars
of voters in each county until a subsequent list is received.
   (c) The Secretary of State, no later than 45 days following the
presidential  preference  primary election, shall send a
notice by mail to each of the
  elected members of county councils that informs the person that she
or he has been elected as a member of the county council. The
Secretary of State shall send a copy of the certified list of all
elected members of all county councils to the Green Party Liaison to
the Secretary of State.
  SEC. 118.  Section 7927 of the Elections Code is amended to read:
   7927.  (a) The state coordinating committee shall have the
authority to certify, as provided by Green Party bylaws, county
council members in the following counties:
   (1) Counties where no county council candidates qualified for the
ballot in the preceding presidential  preference  primary
election.
   (2) Counties where all members of the county council have become
disqualified from holding office.
   (b) County council members certified pursuant to this section
shall meet the qualifications otherwise required for county council
members. County council members certified pursuant to this section
shall be reported by the state coordinating committee to the
applicable county elections officials. County council members
certified under this section shall have all the powers and privileges
otherwise afforded to county councils.
  SEC. 119.  Section 12309.5 of the Elections Code is amended to
read:
   12309.5.  (a) No later than June 30, 2005, the Secretary of State
shall adopt uniform standards for the training of precinct board
members, based upon the recommendations of the task force appointed
pursuant to subdivision (b). The uniform standards shall, at a
minimum, address the following:
   (1) The rights of voters, including, but not limited to, language
access rights for linguistic minorities, the disabled, and protected
classes as referenced and defined in the federal Voting Rights Act
 of 1965  (52 U.S.C. Sec. 10301 et seq.).
   (2) Election challenge procedures such as challenging precinct
administrator misconduct, fraud, bribery, or discriminatory voting
procedures as referenced and defined in the federal Voting Rights Act
 of 1965  (52 U.S.C. Sec. 10301 et seq.).
   (3) Operation of a jurisdiction's voting system, including, but
not limited to, modernized voting systems, touch-screen voting, and
proper tabulation procedures.
   (4) Poll hours and procedures concerning the opening and closing
of polling locations on election day. Procedures shall be developed
that, notwithstanding long lines or delays at a polling location,
ensure  that  all eligible voters who arrive at the
polling location before closing time are allowed to cast a ballot.
   (5) Relevant election laws and any other subjects that will assist
an inspector in carrying out his or her duties.
   (6) Cultural competency, including, but not limited to, having
adequate knowledge of diverse cultures, including languages, that may
be encountered by a poll worker during the course of an election,
and the appropriate skills to work with the electorate.
   (7) Knowledge regarding issues confronting voters who have
disabilities, including, but not limited to, access barriers and the
need for reasonable accommodations.
   (8) Procedures involved with provisional, fail-safe provisional,
vote by mail, and provisional vote by mail voting.
   (b) The Secretary of State shall appoint a task force of at least
12 members who have experience in the administration of elections and
other relevant backgrounds to study and recommend uniform guidelines
for the training of precinct board members. The task force shall
consist of the chief elections officer of the two largest counties,
the two smallest counties, and two county elections officers selected
by the Secretary of State, or their designees. The Secretary of
State shall appoint at least six other members who have elections
expertise, or their designees, including members of community-based
organizations that may include citizens familiar with different
ethnic, cultural, and disabled populations to ensure that the task
force is representative of the state's diverse electorate. The task
force shall make its recommendations available for public review and
comment before the submission of the recommendations to the Secretary
of State and the Legislature.
   (c) The task force shall file its recommendations with the
Secretary of State and the Legislature no later than January 1, 2005.

  SEC. 120.  Section 13307 of the Elections Code is amended to read:
   13307.  (a) (1) Each candidate for nonpartisan elective office in
any local agency, including any city, county, city and county, or
district, may prepare a candidate's statement on an appropriate form
provided by the elections official. The statement may include the
name, age, and occupation of the candidate and a brief description,
of no more than 200 words, of the candidate's education and
qualifications expressed by the candidate himself or herself.
However, the governing body of the local agency may authorize an
increase in the limitations on words for the statement from 200 to
400 words. The statement shall not include the party affiliation of
the candidate, nor membership or activity in partisan political
organizations.
   (2) The statement authorized by this subdivision shall be filed in
the office of the elections official when the candidate's nomination
papers are returned for filing, if it is for a primary election, or
for an election for offices for which there is no primary. The
statement shall be filed in the office of the elections official no
later than the 88th day before the election, if it is for an election
for which nomination papers are not required to be filed. If a
runoff election or general election occurs within 88 days of the
primary or first election, the statement shall be filed with the
elections official by the third day following the governing body's
declaration of the results from the primary or first election.
   (3) Except as provided in Section 13309, the statement may be
withdrawn, but not changed, during the period for filing nomination
papers and until 5 p.m. of the next working day after the close of
the nomination period.
   (b) (1) The elections official shall send to each voter, together
with the sample ballot, a voter's pamphlet  which 
 that  contains the written statements of each candidate
that is prepared pursuant to this section. The statement of each
candidate shall be printed in type of uniform size and darkness, and
with uniform spacing.
   (2) The elections official shall provide a Spanish translation to
those candidates who wish to have one, and shall select a person to
provide that translation who is one of the following:
   (A) A certified and registered interpreter on the Judicial Council
Master List.
   (B) An interpreter categorized as "certified" or "professionally
qualified" by the Administrative Office of the United States Courts.
   (C) From an institution accredited by a regional or national
accrediting agency recognized by the United States Secretary of
Education.
   (D) A current voting member in good standing of the American
Translators Association.
   (E) A current member in good standing of the American Association
of Language Specialists.
   (c) The local agency may estimate the total cost of printing,
handling, translating, and mailing the candidate's statements filed
pursuant to this section, including costs incurred as a result of
complying with the federal Voting Rights Act of 1965, as amended. The
local agency may require each candidate filing a statement to pay in
advance to the local agency his or her estimated pro rata share as a
condition of having his or her statement included in the voter's
pamphlet.  In the event the   If an 
estimated payment is required, the receipt for the payment shall
include a written notice that the estimate is just an approximation
of the actual cost that varies from one election to another election
and may be significantly more or less than the estimate, depending on
the actual number of candidates filing statements. Accordingly, the
local agency is not bound by the estimate and may, on a pro rata
basis, bill the candidate for additional actual expense or refund any
excess paid depending on the final actual cost. In the event of
underpayment, the local agency may require the candidate to pay the
balance of the cost incurred. In the event of overpayment, the local
agency  which,   that,  or the elections
official who, collected the estimated cost shall prorate the excess
amount among the candidates and refund the excess amount paid within
30 days of the election.
   (d)  Nothing in this   This  section
shall  not  be deemed to make any statement, or the authors
thereof, free or exempt from any civil or criminal action or penalty
because of any false, slanderous, or libelous statements offered for
printing or contained in the voter's pamphlet.
   (e) Before the nominating period opens, the local agency for that
election shall determine whether a charge shall be levied against
that candidate for the candidate's statement sent to each voter. This
decision shall not be revoked or modified after the seventh day
 prior to   before  the opening of the
nominating period. A written statement of the regulations with
respect to charges for handling, packaging, and mailing shall be
provided to each candidate or his or her representative at the time
he or she picks up the nomination papers.
   (f) For purposes of this section and Section 13310, the board of
supervisors shall be deemed the governing body of judicial elections.

  SEC. 121.  Section 14026 of the Elections Code is amended to read:
   14026.  As used in this chapter:
   (a) "At-large method of election" means any of the following
methods of electing members to the governing body of a political
subdivision:
   (1) One in which the voters of the entire jurisdiction elect the
members to the governing body.
   (2) One in which the candidates are required to reside within
given areas of the jurisdiction and the voters of the entire
jurisdiction elect the members to the governing body.
   (3) One  which   that  combines at-large
elections with district-based elections.
   (b) "District-based elections" means a method of electing members
to the governing body of a political subdivision in which the
candidate must reside within an election district that is a divisible
part of the political subdivision and is elected only by voters
residing within that election district.
   (c) "Political subdivision" means a geographic area of
representation created for the provision of government services,
including, but not limited to, a general law city, general law
county, charter city, charter county, charter city and county,
 a  school district, community college district, or
other district organized pursuant to state law.
   (d) "Protected class" means a class of voters who are members of a
race, color, or language minority group, as this class is referenced
and defined in the federal Voting Rights Act  of 1965  (52
U.S.C. Sec. 10301 et seq.).
   (e) "Racially polarized voting" means voting in which there is a
difference, as defined in case law regarding enforcement of the
federal Voting Rights Act  of 1965  (52 U.S.C. Sec. 10301 et
seq.), in the choice of candidates or other electoral choices that
are preferred by voters in a protected class, and in the choice of
candidates and electoral choices that are preferred by voters in the
rest of the electorate. The methodologies for estimating group voting
behavior as approved in applicable federal cases to enforce the
federal Voting Rights Act  of 1965  (52 U.S.C. Sec. 10301 et
seq.) to establish racially polarized voting may be used for
purposes of this section to prove that elections are characterized by
racially polarized voting.
  SEC. 122.  Section 14405 of the Elections Code is amended to read:
   14405.  (a) The members of the precinct board shall account for
the ballots delivered to them by returning a sufficient number of
unused ballots to make up, when added to the number of official
ballots cast and the number of spoiled and canceled ballots returned,
the number of ballots given to them. The accounting of ballots may
either:
   (1) Take place at the polling place.
   (2) Be performed by the  county  elections official at
the central counting place.
   (b) The precinct board shall complete the roster as required in
Section 14107, and shall also complete and sign the certificate of
performance prescribed in Section 15280, if that section applies.
  SEC. 123.  Section 18108 of the Elections Code is amended to read:
   18108.  (a) Except as provided in subdivision (c),  any
  a  person who receives money or other valuable
consideration to assist another to register to vote by receiving the
completed affidavit of registration from the elector, and fails to
comply with Section 2159, is guilty of a misdemeanor, and shall be
punished by a fine not exceeding one thousand dollars ($1,000), or by
imprisonment in the county jail not exceeding six months or 
when   if  the failure to comply is found to be
willful, not exceeding one year, or both.
   (b)  Any   A  person who receives money
or other valuable consideration to assist another to register to vote
by receiving the completed affidavit of registration from the
elector, upon a third or subsequent conviction, on charges brought
and separately tried, for failure to comply with Section 2159 shall
be punished by a fine not exceeding ten thousand dollars ($10,000),
or by imprisonment in the county jail not to exceed one year, or
both.
   (c) This section  shall   does  not
apply to  any   a  public agency or its
employees that is designated as a voter registration agency pursuant
to the  federal  National Voter Registration Act of 1993 (52
U.S.C. Sec. 20501 et seq.),  when   if  an
elector asks for assistance to register to vote during the course
and scope of the agency's normal business.
  SEC. 124.  Section 18108.1 of the Elections Code is amended to
read:
   18108.1.  (a) Except as provided in subdivision (c),  any
  a  person who receives money or other valuable
consideration to assist another to register to vote by receiving the
completed affidavit of registration from the elector, and knowingly
misrepresents himself or herself as having helped register another to
vote on a registration form, pursuant to Section 2159, is guilty of
a misdemeanor, and shall be punished by a fine not exceeding one
thousand dollars ($1,000), by imprisonment in the county jail not
exceeding six months, or by both the fine and imprisonment.
   (b)  Any   A    person who
receives money or other valuable consideration to assist another to
register to vote by receiving the completed affidavit of registration
from the elector, upon a third or subsequent conviction, on charges
brought and separately tried, for misrepresenting himself or herself
as having helped register another to vote on a registration form,
pursuant to Section 2159, shall be punished by a fine not exceeding
ten thousand dollars ($10,000), by imprisonment in the county jail
not to exceed one year, or by both the fine and imprisonment.
   (c) This section  shall   does  not
apply to  any     a  public agency
or its employees that is designated as a voter registration agency
pursuant to the  federal  National Voter Registration Act of
1993 (52 U.S.C. Sec. 20501 et seq.),  when   if
 an elector asks for assistance to register to vote during the
course and scope of the agency's normal business.
  SEC. 125.  Section 980 of the Evidence Code is amended to read:
   980.  Subject to Section 912 and except as otherwise provided in
this article, a  spouse (or his   spouse, or the
spouse's  guardian or conservator  when he 
 if the spouse  has a guardian or  conservator),
  conservator,  whether or not a party, has a
privilege during the marital relationship and afterwards to refuse to
disclose, and to prevent another from disclosing, a communication if
 he   the spouse  claims the privilege and
the  comunication   communication  was
made in confidence between  him   the spouse
 and the other spouse while they were  husband and wife.
  married. 
  SEC. 126.  Section 1010 of the Evidence Code is amended to read:
   1010.  As used in this article, "psychotherapist" means a person
who is, or is reasonably believed by the patient to be:
   (a) A person authorized to practice medicine in any state or
nation who devotes, or is reasonably believed by the patient to
devote, a substantial portion of his or her time to the practice of
psychiatry.
   (b) A person licensed as a psychologist under Chapter 6.6
(commencing with Section 2900) of Division 2 of the Business and
Professions Code.
   (c) A person licensed as a clinical social worker under Article 4
(commencing with Section 4996) of Chapter 14 of Division 2 of the
Business and Professions Code, when he or she is engaged in applied
psychotherapy of a nonmedical nature.
   (d) A person who is serving as a school psychologist and holds a
credential authorizing that service issued by the state.
   (e) A person licensed as a marriage and family therapist under
Chapter 13 (commencing with Section 4980) of Division 2 of the
Business and Professions Code.
   (f) A person registered as a psychological assistant who is under
the supervision of a licensed psychologist or board certified
psychiatrist as required by Section 2913 of the Business and
Professions Code, or a person registered as a marriage and family
therapist intern who is under the supervision of a licensed marriage
and family therapist, a licensed clinical social worker, a licensed
psychologist, or a licensed physician and surgeon certified in
psychiatry, as specified in Section 4980.44 of the Business and
Professions Code.
   (g) A person registered as an associate clinical social worker who
is under supervision as specified in Section 4996.23 of the Business
and Professions Code.
   (h) A person  who  registered with the Board of
Psychology as a registered psychologist  and  who is
under the supervision of a licensed psychologist or board certified
psychiatrist.
   (i) A psychological intern as defined in Section 2911 of the
Business and Professions Code who is under the supervision of a
licensed psychologist or board certified psychiatrist.
   (j) A trainee, as defined in subdivision (c) of Section 4980.03 of
the Business and Professions Code, who is fulfilling his or her
supervised practicum required by subparagraph (B) of paragraph (1) of
subdivision (d) of Section 4980.36 of, or subdivision (c) of Section
4980.37 of, the Business and Professions Code and is supervised by a
licensed psychologist, a board certified psychiatrist, a licensed
clinical social worker, a licensed marriage and family therapist, or
a licensed professional clinical counselor.
   (k) A person licensed as a registered nurse pursuant to Chapter 6
(commencing with Section 2700) of Division 2 of the Business and
Professions Code, who possesses a master's degree in
psychiatric-mental health nursing and is listed as a
psychiatric-mental health nurse by the Board of Registered Nursing.
   (  l  ) An advanced practice registered nurse who is
certified as a clinical nurse specialist pursuant to Article 9
(commencing with Section 2838) of Chapter 6 of Division 2 of the
Business and Professions Code and who participates in expert clinical
practice in the specialty of psychiatric-mental health nursing.
   (m) A person rendering mental health treatment or counseling
services as authorized pursuant to Section 6924 of the Family Code.
   (n) A person licensed as a professional clinical counselor under
Chapter 16 (commencing with Section 4999.10) of Division 2 of the
Business and Professions Code.
   (o) A person registered as a clinical counselor intern who is
under the supervision of a licensed professional clinical counselor,
a licensed marriage and family therapist, a licensed clinical social
worker, a licensed psychologist, or a licensed physician and surgeon
certified in psychiatry, as specified in Sections 4999.42 to 4999.46,
inclusive, of the Business and Professions Code.
   (p) A clinical counselor trainee, as defined in subdivision (g) of
Section 4999.12 of the Business and Professions Code, who is
fulfilling his or her supervised practicum required by paragraph (3)
of subdivision (c) of Section 4999.32 of, or paragraph (3) of
subdivision (c) of Section 4999.33 of, the Business and Professions
Code, and is supervised by a licensed psychologist, a board-certified
psychiatrist, a licensed clinical social worker, a licensed marriage
and family therapist, or a licensed professional clinical counselor.

  SEC. 127.  Section 1106 of the Evidence Code is amended to read:
   1106.  (a) In any civil action alleging conduct which constitutes
sexual harassment, sexual assault, or sexual battery, opinion
evidence, reputation evidence, and evidence of specific instances of
 the  plaintiff's sexual conduct, or any of that evidence,
is not admissible by the defendant in order to prove consent by the
plaintiff or the absence of injury to the plaintiff, unless the
injury alleged by the plaintiff is in the nature of loss of
consortium.
   (b) Subdivision (a)  shall   does  not
 be applicable   apply  to evidence of the
plaintiff's sexual conduct with the alleged perpetrator.
   (c) Notwithstanding subdivision (b), in any civil action brought
pursuant to Section 1708.5 of the Civil Code involving a minor and
adult as described in Section 1708.5.5 of the Civil Code, evidence of
the plaintiff minor's sexual conduct with the defendant adult shall
not be admissible to prove consent by the plaintiff or the absence of
injury to the plaintiff. Such evidence of the plaintiff's sexual
conduct may only be introduced to attack the credibility of the
plaintiff in accordance with Section 783 or to prove something other
than consent by the plaintiff if, upon a hearing of the court out of
the presence of the jury, the defendant proves that the probative
value of that evidence outweighs the prejudice to the plaintiff
consistent with Section 352.
   (d)  If the plaintiff introduces evidence, including testimony of
a witness, or the plaintiff as a witness gives testimony, and the
evidence or testimony relates to the plaintiff's sexual conduct, the
defendant may cross-examine the witness who gives the testimony and
offer relevant evidence limited specifically to the rebuttal of the
evidence introduced by the plaintiff or given by the plaintiff.
   (e)  Nothing in this   This  section
shall  not  be construed to make inadmissible any evidence
offered to attack the credibility of the plaintiff as provided in
Section 783.
  SEC. 128.  Section 1157 of the Evidence Code is amended to read:
   1157.  (a) Neither the proceedings nor the records of organized
committees of medical, medical-dental, podiatric, registered
dietitian, psychological, marriage and family therapist, licensed
clinical social worker, professional clinical counselor, pharmacist,
or veterinary staffs in hospitals, or of a peer review body, as
defined in Section 805 of the Business and Professions Code, having
the responsibility of evaluation and improvement of the quality of
care rendered in the hospital, or for that peer review body, or
medical or dental review or dental hygienist review or chiropractic
review or podiatric review or registered dietitian review or
pharmacist review or veterinary review or acupuncturist review
committees of local medical, dental, dental hygienist, podiatric,
dietetic,  pharmacy,   pharmacist, 
veterinary, acupuncture, or chiropractic societies, marriage and
family therapist, licensed clinical social worker, professional
clinical counselor, or psychological review committees of state or
local marriage and family therapist, state or local licensed clinical
social worker, state or local licensed professional clinical
counselor, or state or local psychological associations or societies
having the responsibility of evaluation and improvement of the
quality of care, shall be subject to discovery.
   (b) Except as hereinafter provided, a person in attendance at a
meeting of any of the committees described in subdivision (a) shall
not be required to testify as to what transpired at that meeting.
   (c) The prohibition relating to discovery or testimony does not
apply to the statements made by a person in attendance at a meeting
of any of the committees described in subdivision (a) if that person
is a party to an action or proceeding the subject matter of which was
reviewed at that meeting,  or  to a person
requesting hospital staff privileges, or in an action against an
insurance carrier alleging bad faith by the carrier in refusing to
accept a settlement offer within the policy limits.
   (d) The prohibitions in this section do not apply to medical,
dental, dental hygienist, podiatric, dietetic, psychological,
marriage and family therapist, licensed clinical social worker,
professional clinical counselor, pharmacist, veterinary, acupuncture,
or chiropractic society committees that exceed 10 percent of the
membership of the society, nor to any of those committees if 
any   a  person serves upon the committee when his
or her own conduct or practice is being reviewed.
   (e) The amendments made to this section by Chapter 1081 of the
Statutes of 1983, or at the 1985 portion of the 1985-86 Regular
Session of the Legislature, at the 1990 portion of the 1989-90
Regular Session of the Legislature, at the 2000 portion of the
1999-2000 Regular Session of the Legislature,  or 
at the 2011 portion of the 2011-12 Regular Session of the
Legislature, or at the 2015 portion of the 2015-16 Regular Session of
the Legislature, do not exclude the discovery or use of relevant
evidence in a criminal action.
  SEC. 129.  Section 7612 of the Family Code is amended to read:
   7612.  (a) Except as provided in Chapter 1 (commencing with
Section 7540) and Chapter 3 (commencing with Section 7570) of Part
 2 or in Section 20102,   2,  a presumption
under Section 7611 is a rebuttable presumption affecting the burden
of proof and may be rebutted in an appropriate action only by clear
and convincing evidence.
   (b) If two or more presumptions arise under Section 7610 or 7611
that conflict with each other, or if a presumption under Section 7611
conflicts with a claim pursuant to Section 7610, the presumption
which on the facts is founded on the weightier considerations of
policy and logic controls.
   (c) In an appropriate action, a court may find that more than two
persons with a claim to parentage under this division are parents if
the court finds that recognizing only two parents would be
detrimental to the child. In determining detriment to the child, the
court shall consider all relevant factors, including, but not
                                    limited to, the harm of removing
the child from a stable placement with a parent who has fulfilled the
child's physical needs and the child's psychological needs for care
and affection, and who has assumed that role for a substantial period
of time. A finding of detriment to the child does not require a
finding of unfitness of any of the parents or persons with a claim to
parentage.
   (d) Unless a court orders otherwise after making the determination
specified in subdivision (c), a presumption under Section 7611 is
rebutted by a judgment establishing parentage of the child by another
person.
   (e) Within two years of the execution of a voluntary declaration
of paternity, a person who is presumed to be a parent under Section
7611 may file a petition pursuant to Section 7630 to set aside a
voluntary declaration of paternity. The court's ruling on the
petition to set aside the voluntary declaration of paternity shall be
made taking into account the validity of the voluntary declaration
of paternity,  and  the best interests of the child
based upon the court's consideration of the factors set forth in
subdivision (b) of Section 7575,  as well as  
and  the best interests of the child based upon the nature,
duration, and quality of the petitioning party's relationship with
the child and the benefit or detriment to the child of continuing
that relationship. In the event of  any   a
 conflict between the presumption under Section 7611 and the
voluntary declaration of paternity, the weightier considerations of
policy and logic shall control.
   (f) A voluntary declaration of paternity is invalid if, at the
time the declaration was signed, any of the following conditions
exist:
   (1) The child already had a presumed parent under Section 7540.
   (2) The child already had a presumed parent under subdivision (a),
(b), or (c) of Section 7611.
   (3) The man signing the declaration is a sperm donor, consistent
with subdivision (b) of Section 7613.
   (g) A person's offer or refusal to sign a voluntary declaration of
paternity may be considered as a factor, but shall not be
determinative, as to the issue of legal parentage in any proceedings
regarding the establishment or termination of parental rights.
  SEC. 130.  Section 7613.5 of the Family Code is amended to read:
   7613.5.  (a) An intended parent may, but is not required to, use
the forms set forth in this section to demonstrate his or her intent
to be a legal parent of a child conceived through assisted
reproduction. These forms shall satisfy the writing requirement
specified in Section 7613, and are designed to provide clarity
regarding the intentions, at the time of conception, of intended
parents using assisted reproduction. These forms do not affect any
presumptions of parentage based on Section 7611, and do not preclude
a court from considering any other claims to parentage under
California statute or case law.
   (b) These forms apply only in very limited circumstances. Please
read the forms carefully to see if you qualify for use of the forms.
   (c) These forms do not apply to assisted reproduction agreements
for gestational carriers or surrogacy agreements.
   (d) Nothing in this section shall be interpreted to require the
use of one of these forms to satisfy the writing requirement of
Section 7613.
   (e) The following are the optional California Statutory Forms for
Assisted Reproduction:
California Statutory Forms for Assisted
Reproduction, Form 1:
Two Married or Unmarried People Using Assisted
Reproduction to Conceive a       Child
Use this form if: You and another intended
parent, who may be your spouse or registered
domestic partner, are conceiving a child
through assisted reproduction using sperm
and/or egg donation; and one of you will be
giving birth.
WARNING: Signing this form does not terminate
the parentage claim of a sperm donor. A sperm
donor's claim to parentage is terminated if the
sperm is provided to a licensed physician and
surgeon or to a licensed sperm bank prior to
insemination, or if you conceive without having
sexual intercourse and you have a written
agreement signed by you and the donor that you
will conceive using assisted reproduction and
do not intend for the donor to be a parent, as
required by Section 7613(b) of the Family Code.
The laws about parentage of a child are
complicated. You are strongly encouraged to
consult with an attorney about your rights.
Even if you do not fill out this form, a spouse
or domestic partner of the parent giving birth
is presumed to be a legal parent of any child
born during the marriage or domestic
partnership.
_______________________________________________
This form demonstrates your intent to be
parents of the child you plan to conceive
through assisted reproduction using sperm
and/or egg donation.
I, ____________________ (print name of person
not giving birth), intend to be a parent of
a child that ____________________ (print name
of person giving birth) will or has conceived
through assisted reproduction using sperm
and/or egg donation. I consent to the use of
assisted reproduction by the person who will
give birth. I INTEND to be a parent of the
child conceived.
SIGNATURES
Intended parent who will give birth:
___________________ (print name)
________________________ (signature)
____________(date)
Intended parent who will not give birth:
____________ (print name)
_________________________ (signature)
___________(date)


_______________________________________________
               NOTARY ACKNOWLEDGMENT
State of California
County of  )
On ____ before me, _____________________________
                 (insert name and title of the
________
officer)
personally appeared ___________________________,
who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s)
is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed
the same in his/her/their authorized capacity,
and that by his/her/their signature(s) on the
instrument the person(s), or the entity upon
behalf of which the person(s) acted, executed
the instrument.
I certify under PENALTY OF PERJURY under the
laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature_______________________________  (Seal)


_______________________________________________
California Statutory Forms for Assisted
Reproduction, Form 2:
Unmarried, Intended Parents Using Intended
Parent's Sperm to Conceive a Child
Use this form if: (1) Neither you or the other
person are married or in a registered domestic
partnership (including a registered domestic
partnership or civil union from another state);
(2) one of you will give birth to a child
conceived through assisted reproduction using
the intended       parent's sperm; and (3) you
both intend to be parents of that child.
Do not use this form if you are conceiving
using a surrogate.
WARNING: If you do not sign this form, or a
similar agreement, you may be treated as a
sperm donor if you conceive without having
sexual intercourse according to Section 7613(b)
of the Family Code.
The laws about parentage of a child are
complicated. You are strongly encouraged to
consult with an attorney about your rights.
_______________________________________________
This form demonstrates your intent to be
parents of the child you plan to conceive
through assisted reproduction using sperm
donation.
I, ____________________ (print name of parent
giving birth), plan to use assisted
reproduction with another intended parent who
is providing sperm to conceive the child. I am
not married and am not in a registered domestic
partnership (including a registered domestic
partnership or civil union from another
jurisdiction), and I INTEND for the person
providing sperm to be a parent of the child to
be conceived.
I, ____________________ (print name of parent
providing sperm), plan to use assisted
reproduction to conceive a child       using my
sperm with the parent giving birth. I am not
married and am not in a registered domestic
partnership (including a registered domestic
partnership or civil union from another
jurisdiction), and I INTEND to be a parent of
the child to be conceived.
SIGNATURES
Intended parent giving birth:
___________________ (print name)
________________________ (signature)
____________(date)
Intended parent providing sperm: ____________
(print name)
_________________________ (signature)
___________(date)


_______________________________________________
               NOTARY ACKNOWLEDGMENT
State of California
County of  )
On ____ before me, _____________________________
                 (insert name and title of the
________
officer)
personally       appeared _____________________,
who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s)
is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed
the same in his/her/their authorized capacity,
and that by his/her/their signature(s) on the
instrument the person(s), or the entity upon
behalf of which the person(s) acted, executed
the instrument.
I certify under PENALTY OF PERJURY under the
laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature_______________________________  (Seal)


_______________________________________________
California Statutory Forms for Assisted
Reproduction, Form 3:
Intended Parents Conceiving a Child Using Eggs
from One Parent and the Other Parent Will Give
Birth
Use this form if: You are conceiving a child
using the eggs from one of you and the other
person will give birth to the child; (2) and
you both intend to be parents to that child.
Do not use this form if you are conceiving
using a surrogate.
WARNING: Signing this form does not terminate
the parentage claim of a sperm donor. A sperm
donor's claim to parentage is terminated if the
sperm is provided to a licensed physician and
surgeon or to a licensed sperm bank prior to
insemination, or if you conceive without having
sexual intercourse and you have a written
agreement signed by you and the donor that you
will conceive using assisted reproduction and
do not intend for the donor to be a parent, as
required by Section 7613(b) of the Family Code.
The laws about parentage of a child are
complicated. You are strongly encouraged to
consult with an attorney about your rights.
_______________________________________________
This form demonstrates your intent to be
parents of the child you plan to conceive
through assisted reproduction using eggs from
one parent and the other parent will give birth
to the child.
I, ____________________ (print name of parent
giving birth), plan to use assisted
reproduction to conceive and give birth to a
child with another person who will provide eggs
to conceive the child. I INTEND for the person
providing eggs to be a parent of the child
to be conceived.
I, ____________________ (print name of parent
providing eggs), plan to use assisted
reproduction to conceive a child with another
person who will give birth to the child
conceived using my eggs. I INTEND to be a
parent of the child to be conceived.
SIGNATURES
Intended parent giving birth:
___________________ (print name)
________________________ (signature)
____________(date)
Intended parent providing eggs: ____________
(print name)
_________________________ (signature)
___________(date)


_______________________________________________
               NOTARY ACKNOWLEDGMENT
State of California
County of  )
On ____ before me, _____________________________
                 (insert name and title of the
________
officer)
personally appeared ___________________________,
who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s)
is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed
the same in his/her/their authorized capacity,
and that by his/her/their signature(s) on the
instrument the person(s), or the entity upon
behalf of which the person(s) acted, executed
the instrument.
I certify under PENALTY OF PERJURY under the
laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature_______________________________  (Seal)


_______________________________________________
California Statutory Forms for Assisted
Reproduction, Form 4:
Intended Parent(s) Using a Known Sperm and/or
Egg Donor(s) to Conceive a Child
Use this form if: You are using a known sperm
and/or egg donor(s), or embryo donation, to
conceive a child and you do not intend for the
donor(s) to be a parent.
Do not use this form if you are conceiving
using a surrogate.
If you do not sign this form or a similar
agreement, your sperm donor may be treated as a
parent unless the sperm is provided to a
licensed physician and surgeon or to a licensed
sperm bank prior to insemination, or a court
finds by clear and convincing evidence that you
planned to conceive through assisted
reproduction and did not intend for the donor
to be a parent, as required by Section 7613(b)
of the Family Code. If you do not sign this
form or a similar agreement, your egg donor may
be treated as a parent unless a court finds
that there is satisfactory evidence that you
planned to conceive through assisted
reproduction and did not intend for the donor
to be a parent, as required by Section 7613(c)
of the Family       Code.
The laws about parentage of a child are
complicated. You are strongly encouraged to
consult with an attorney about your rights.
_______________________________________________
This form demonstrates your intent that your
sperm and/or egg or embryo donor(s) will not be
a parent or parents of the child you plan to
conceive through assisted reproduction.
I, ____________________ (print name of parent
giving birth), plan to use assisted
reproduction to conceive using a sperm and/or
egg donor(s) or embryo donation, and I DO NOT
INTEND for the sperm and/or egg or embryo
donor(s) to be a parent of the child to be
conceived.
(If applicable) I, ____________________ (print
name of sperm donor), plan to donate my sperm
to____________________ (print name of parent
giving birth and second parent if applicable).
I am not married  to  and am not in a registered   

domestic partnership (including a registered
domestic partnership or a civil union from
another jurisdiction) with ____________________
(print name of parent giving birth), and I DO
NOT INTEND to be a parent of the child to be
conceived.
(If applicable) I, ____________________ (print
name of egg donor), plan to donate my ova
to____________________ (print name of parent
giving birth and second parent if applicable).
I am not married  to  and am not in a registered   

domestic partnership (including a registered
domestic partnership or a civil union from
another jurisdiction) with ____________________
(print name of parent giving birth), or any
intimate and nonmarital relationship with
____________________ (print name of parent
giving birth) and I DO NOT INTEND to be a
parent of the child to be conceived.
(If applicable) I, ____________________ (print
name of intended parent not giving birth),
INTEND to be a parent of the child
that____________________ (print name of parent
giving birth) will conceive through assisted
reproduction using sperm and/or egg donation
and I DO NOT INTEND for the sperm and/or egg or
embryo donor(s) to be a parent. I consent to
the use of assisted reproduction by the person
who will give birth.
SIGNATURES
Intended parent giving birth:
___________________ (print name)
________________________ (signature)
____________(date)
(If applicable) Sperm Donor:
___________________ (print name)
________________________ (signature)
____________(date)
(If applicable) Egg Donor: ___________________
(print name)
________________________ (signature)
____________(date)
(If applicable) Intended parent not giving
birth: ____________ (print name)
_________________________ (signature)
___________(date)


_______________________________________________
               NOTARY ACKNOWLEDGMENT
State of California
County of  )
On ____ before me, _____________________________
                 (insert name and title of the
________
officer)
personally appeared ___________________________,
who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s)
is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed
the same in his/her/their authorized capacity,
and that by his/her/their signature(s) on the
instrument the person(s), or the entity upon
behalf of which the person(s) acted, executed
the instrument.
I certify under PENALTY OF PERJURY under the
laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature_______________________________  (Seal)


  SEC. 131.  Section 8811 of the Family Code is amended to read:
   8811.  (a) The department or delegated county adoption agency
shall require each person who files an adoption petition to be
fingerprinted and shall secure from an appropriate law enforcement
agency any criminal record of that person to determine 
whether   if  the person has ever been convicted of
a crime other than a minor traffic violation. The department or
delegated county adoption agency may also secure the person's full
criminal record, if any, with the exception of any convictions for
which relief has been granted pursuant to Section 1203.49 of the
Penal Code. Any federal-level criminal offender record requests to
the Department of Justice shall be submitted with fingerprint images
and related information required by the Department of Justice for the
purposes of obtaining information as to the existence and content of
a record of an out-of-state or federal conviction or arrest of a
person or information regarding any out-of-state or federal crimes or
arrests for which the Department of Justice establishes that the
person is free on bail, or on his or her own recognizance pending
trial or appeal. The Department of Justice shall forward to the
Federal Bureau of Investigation any requests for federal summary
criminal history information received pursuant to this section. The
Department of Justice shall review the information returned from the
Federal Bureau of Investigation and shall compile and disseminate a
response to the department or delegated county adoption agency.
   (b) Notwithstanding subdivision (c), the criminal record, if any,
shall be taken into consideration when evaluating the prospective
adoptive parent, and an assessment of the effects of any criminal
history on the ability of the prospective adoptive parent to provide
adequate and proper care and guidance to the child shall be included
in the report to the court.
   (c) (1) The department or a delegated county adoption agency shall
not give final approval for an adoptive placement in any home in
which the prospective adoptive parent or any adult living in the
prospective adoptive home has either of the following:
   (A) A felony conviction for child abuse or neglect, spousal abuse,
crimes against a child, including child pornography, or for a crime
involving violence, including rape, sexual assault, or homicide, but
not including other physical assault and battery. For purposes of
this subdivision, crimes involving violence means those violent
crimes contained in clause (i) of subparagraph (A), and subparagraph
(B), of paragraph (1) of subdivision (g) of Section 1522 of the
Health and Safety Code.
   (B) A felony conviction that occurred within the last five years
for physical assault, battery, or a drug- or alcohol-related offense.

   (2) This subdivision shall become operative on October 1, 2008,
and shall remain operative only to the extent that compliance with
its provisions is required by federal law as a condition of receiving
funding under Title IV-E of the federal Social Security Act (42
U.S.C.  Sec.  670 et seq.).
   (d) Any fee charged by a law enforcement agency for fingerprinting
or for checking or obtaining the criminal record of the petitioner
shall be paid by the petitioner. The department or delegated county
adoption agency may defer, waive, or reduce the fee  when
  if  its payment would cause economic hardship to
the prospective adoptive parents detrimental to the welfare of the
adopted child,  when   if  the child has
been in the foster care of the prospective adoptive parents for at
least one year, or if necessary for the placement of a special-needs
child.
  SEC. 132.  Section 8908 of the Family Code is amended to read:
   8908.  (a) A licensed adoption agency shall require each person
filing an application for adoption to be fingerprinted and shall
secure from an appropriate law enforcement agency any criminal record
of that person to determine  whether   if 
the person has ever been convicted of a crime other than a minor
traffic violation. The licensed adoption agency may also secure the
person's full criminal record, if any, with the exception of any
convictions for which relief has been granted pursuant to Section
1203.49 of the Penal Code. Any federal-level criminal offender record
requests to the Department of Justice shall be submitted with
fingerprint images and related information required by the Department
of Justice for the purposes of obtaining information as to the
existence and content of a record of an out-of-state or federal
conviction or arrest of a person or information regarding any
out-of-state or federal crimes or arrests for which the Department of
Justice establishes that the person is free on bail, or on his or
her own recognizance pending trial or appeal. The Department of
Justice shall forward to the Federal Bureau of Investigation any
requests for federal summary criminal history information received
pursuant to this section. The Department of Justice shall review the
information returned from the Federal Bureau of Investigation and
shall compile and disseminate a fitness determination to the licensed
adoption agency.
   (b) Notwithstanding subdivision (c), the criminal record, if any,
shall be taken into consideration when evaluating the prospective
adoptive parent, and an assessment of the effects of any criminal
history on the ability of the prospective adoptive parent to provide
adequate and proper care and guidance to the child shall be included
in the report to the court.
   (c) (1) A licensed adoption agency shall not give final approval
for an adoptive placement in any home in which the prospective
adoptive parent, or any adult living in the prospective adoptive
home, has a felony conviction for either of the following:
   (A) Any felony conviction for child abuse or neglect, spousal
abuse, crimes against a child, including child pornography, or for a
crime involving violence, including rape, sexual assault, or
homicide, but not including other physical assault and battery. For
purposes of this subdivision, crimes involving violence means those
violent crimes contained in clause (i) of subparagraph (A), and
subparagraph (B), of paragraph (1) of subdivision (g) of Section 1522
of the Health and Safety Code.
   (B) A felony conviction that occurred within the last five years
for physical assault, battery, or a drug- or alcohol-related offense.

   (2) This subdivision shall become operative on October 1, 2008,
and shall remain operative only to the extent that compliance with
its provisions is required by federal law as a condition of receiving
funding under Title IV-E of the federal Social Security Act (42
U.S.C.  Sec.  670 et seq.).
   (d) Any fee charged by a law enforcement agency for fingerprinting
or for checking or obtaining the criminal record of the applicant
shall be paid by the applicant. The licensed adoption agency may
defer, waive, or reduce the fee  when   if 
its payment would cause economic hardship to the prospective
adoptive parents detrimental to the welfare of the adopted child.
  SEC. 133.  Section 20024 of the Family Code is repealed. 
   20024.  (a) The costs of the Family Law Evaluator, any staff
necessary to assist the Family Law Evaluator, and the cost of the
booklet describing the program, if any, shall be borne by an increase
and an equalization of filing fees in San Mateo County to one
hundred fifty dollars ($150) for all petitions for marital
dissolution, annulment, and legal separation, and all first papers on
behalf of respondents in proceedings for marital dissolution,
annulment, and legal separation. Alternatively, the costs associated
with this pilot program may be paid from other funding sources.
   (b) A donation of computers, printers, software, and other
equipment shall be solicited from existing hardware and software
providers. 
  SEC. 134.  Section 20039 of the Family Code is repealed. 
   20039.  (a) The costs of the pilot project shall be borne by an
equalization of filing fees in Santa Clara County for all petitions
for marital dissolution, annulment, and legal separation, and all
first papers on behalf of respondents in proceedings for marital
dissolution, annulment, and legal separation and by equalization of
filing fees for motions and responsive pleadings.
   (b) A donation of computers, printers, software, and other
equipment shall be solicited from existing hardware and software
providers.
   (c) The court shall administer funds for the various components of
the pilot program. 
  SEC. 135.  Section 2022 of the Fish and Game Code is amended to
read:
   2022.  (a) For the purposes of this section, the following terms
have the following meanings:
   (1) "Bona fide educational or scientific institution" means an
institution that establishes through documentation either of the
following:
   (A) Educational or scientific tax exemption, from the federal
Internal Revenue Service or the institution's national, state, or
local tax authority.
   (B) Accreditation as an educational or scientific institution,
from a qualified national, regional, state, or local authority for
the institution's location.
   (2) "Ivory" means a tooth or tusk from a species of elephant,
hippopotamus, mammoth, mastodon, walrus, warthog, whale, or narwhal,
or a piece thereof, whether raw ivory or worked ivory, and includes a
product
containing, or advertised as containing, ivory.
   (3) "Rhinoceros horn" means the horn, or a piece thereof, or a
derivative such as powder, of a species of rhinoceros, and includes a
product containing, or advertised as containing, a rhinoceros horn.
   (4) "Sale" or "sell" means selling, trading, bartering for
monetary or nonmonetary consideration, giving away in conjunction
with a commercial transaction, or giving away at a location where a
commercial transaction occurred at least once during the same or the
previous calendar year.
   (5) "Total value" means either the fair market value or the actual
price paid for ivory or rhinoceros horn, whichever is greater.
   (b) Except as provided in subdivision (c), it is unlawful to
purchase, sell, offer for sale, possess with intent to sell, or
import with intent to sell ivory or rhinoceros horn.
   (c) The prohibitions set forth in subdivision (b)  shall
  do  not apply to any of the following:
   (1) An employee or agent of the federal or state government
undertaking a law enforcement activity pursuant to federal or state
law, or a mandatory duty required by federal law.
   (2) An activity that is authorized by an exemption or permit under
federal law or that is otherwise expressly authorized under federal
law.
   (3) Ivory or rhinoceros horn that is part of a musical instrument,
including, but not limited to, a string or wind instrument or piano,
and that is less than 20 percent by volume of the instrument, if the
owner or seller provides historical documentation demonstrating
provenance and showing the item was manufactured no later than 1975.
   (4) Ivory or rhinoceros horn that is part of a bona fide antique
and that is less than five percent by volume of the antique, if the
antique status is established by the owner or seller of the antique
with historical documentation demonstrating provenance and showing
the antique to be not less than 100 years old.
   (5) The purchase, sale, offer for sale, possession with intent to
sell, or importation with intent to sell ivory or rhinoceros horn for
educational or scientific purposes by a bona fide educational or
scientific institution if both of the following criteria are
satisfied:
   (A) The purchase, sale, offer for sale, possession with intent to
sell, or import with intent to sell the ivory or rhinoceros horn is
not prohibited by federal law.
   (B) The ivory or rhinoceros horn was legally acquired before
January 1, 1991, and was not subsequently transferred from one person
to another for financial gain or profit after July 1, 2016.
   (d) Possession of ivory or rhinoceros horn in a retail or
wholesale outlet commonly used for the buying or selling of similar
items is prima facie evidence of possession with intent to sell. This
evidence  shall   does  not preclude a
finding of intent to sell based on any other evidence that may serve
to establish that intent independently or in conjunction with this
evidence.
   (e) For a violation of any provision of this section, or any rule,
regulation, or order adopted pursuant to this section, the following
criminal penalties shall be imposed:
   (1) For a first conviction, where the total value of the ivory or
rhinoceros horn is two hundred fifty dollars ($250) or less, the
offense shall be a misdemeanor punishable by a fine of not less than
one thousand dollars ($1,000), or more than ten thousand dollars
($10,000), imprisonment in the county jail for not more than 30 days,
or by both the fine and imprisonment.
   (2) For a first conviction, where the total value of the ivory or
rhinoceros horn is more than two hundred fifty dollars ($250), the
offense shall be a misdemeanor punishable by a fine of not less than
five thousand dollars ($5,000), or more than forty thousand dollars
($40,000), imprisonment in the county jail for not more than one
year, or by both the fine and imprisonment.
   (3) For a second or subsequent conviction, where the total value
of the ivory or rhinoceros horn is two hundred fifty dollars ($250)
or less, the offense shall be a misdemeanor punishable by a fine of
not less than five thousand dollars ($5,000), or more than forty
thousand dollars ($40,000), imprisonment in county jail for not more
than one year, or by both the fine and imprisonment.
   (4) For a second or subsequent conviction, where the total value
of the ivory or rhinoceros horn is more than two hundred fifty
dollars ($250), the offense shall be a misdemeanor punishable by a
fine of not less than ten thousand dollars ($10,000), or more than
fifty thousand dollars ($50,000) or the amount equal to two times the
total value of the ivory or rhinoceros horn involved in the
violation, whichever is greater, imprisonment in county jail for not
more than one year, or by both the fine and imprisonment.
   (f) In addition to, and separate from, any criminal penalty
provided for under subdivision (e), an administrative penalty of up
to ten thousand dollars ($10,000) may be imposed for a violation of
any provision of this section, or any rule, regulation, or order
adopted pursuant to this section. Penalties authorized pursuant to
this subdivision may be imposed by the department consistent with all
of the following:
   (1) The chief of enforcement issues a complaint to any person or
entity on which an administrative  civil  penalty
may be imposed pursuant to this section. The complaint shall allege
the act or failure to act that constitutes a violation, relevant
facts, the provision of law authorizing the administrative penalty to
be imposed, and the proposed penalty amount.
   (2) The complaint and order is served by personal notice or
certified mail and informs the party served that the party may
request a hearing no later than 20 days from the date of service. If
a hearing is requested, it shall be scheduled before the director or
his or her designee, which designee shall not be the chief of
enforcement issuing the complaint and order. A request for hearing
shall contain a brief statement of the material facts the party
claims support his or her contention that  no  
an  administrative penalty should  not  be imposed or
that an administrative penalty of a lesser amount is warranted. A
party served with a complaint pursuant to this subdivision waives the
right to a hearing if no hearing is requested within 20 days of
service of the complaint, in which case the order imposing the
administrative penalty shall become final.
   (3) The director, or his or her designee, shall control the nature
and order of the hearing proceedings. Hearings shall be informal in
nature, and need not be conducted according to the technical rules
relating to evidence. The director, or his or her designee, shall
issue a final order within 45 days of the close of the hearing. A
final copy of the order shall be served by certified mail upon the
party served with the complaint.
   (4) A party may obtain review of the final order by filing a
petition for a writ of mandate with the superior court within 30 days
of the date of service of the final order. The administrative
penalty shall be due and payable to the department within 60 days
after the time to seek judicial review has expired or, where the
party has not requested a hearing of the order, within 20 days after
the order imposing an administrative penalty becomes final.
   (g) For any conviction or other entry of judgment imposed by a
court for a violation of this section resulting in a fine, the court
may pay one-half of the fine, but not to exceed five hundred dollars
($500), to any person giving information that led to the conviction
or other entry of judgment. This reward shall not apply if the
informant is a regular salaried law enforcement officer, or officer
or agent of the department.
   (h) Upon conviction or other entry of judgment for a violation of
this section, any seized ivory or rhinoceros horn shall be forfeited
and, upon forfeiture, either maintained by the department for
educational or training purposes, donated by the department to a bona
fide educational or scientific institution, or destroyed.
   (i) Administrative penalties collected pursuant to this section
shall be deposited in the Fish and Game Preservation Fund and used
for law enforcement purposes upon appropriation by the Legislature.
   (j) This section does not preclude enforcement under Section 653o
of the Penal Code.
  SEC. 136.  Section 6440 of the Fish and Game Code is amended to
read:
   6440.  The Legislature finds and declares that triploid grass carp
have the potential to control aquatic nuisance plants in non-public
waters allowing for reduced chemical control but that the threat that
grass carp pose to aquatic habitat may outweigh its benefits. It is
the intent of this section to allow the department to use its
management authority to provide for the long-term health of the
ecosystem in the  state   state,  including
the aquatic ecosystem,  and   and,  in
that context, manage grass carp either through control of movement,
eradication of populations, acquisition of  habitat 
 habitat,  and any other action that the department finds
will maintain the biological diversity and the long term, overall
health of the state's environment. The department shall undertake the
management of grass carp in a manner that is consistent with
provisions of this  code and   code, and, 
for the purposes of this  section   section,
 the department shall define management as handling,
controlling, destroying, or moving species. The Legislature does not
intend for this section to provide a right for the use of triploid
grass carp if the department finds that use of the species poses an
unacceptable risk to the state's existing ecosystem.
  SEC. 137.  Section 7704 of the Fish and Game Code is amended to
read:
   7704.  (a) It is unlawful to cause or permit deterioration or
waste of a fish taken in the waters of this state, or brought into
this state, or to take,  receive   receive,
 or agree to receive more fish than can be used without
deterioration, waste, or spoilage.
   (b) Except as permitted by this code, it is unlawful to use a
fish, except fish offal, in a reduction plant or by a reduction
process.
   (c) Except as permitted by this code or by regulation of the
commission, it is unlawful to sell, purchase, deliver for a
commercial purpose, or possess on a commercial fishing vessel
registered pursuant to Section 7881, a shark fin or tail or part of a
shark fin or tail that has been removed from the carcass. However, a
thresher shark fin or tail that has been removed from the carcass
and whose original shape remains unaltered may be possessed on a
registered commercial fishing vessel if the carcass corresponding to
the fin or tail is also possessed.
  SEC. 138.  Section 12029 of the Fish and Game Code is amended to
read:
   12029.  (a) The Legislature finds and declares all of the
following:
   (1) The environmental impacts associated with marijuana
cultivation have increased, and unlawful water diversions for
marijuana irrigation have a detrimental effect on fish and wildlife
and their habitat, which are held in trust by the state for the
benefit of the people of the state.
   (2) The remediation of existing marijuana cultivation sites is
often complex and the permitting of these sites requires greater
department staff time and personnel expenditures. The potential for
marijuana cultivation sites to significantly impact the state's fish
and wildlife resources requires immediate action on the part of the
department's lake and streambed alteration permitting staff.
   (b) In order to address unlawful water diversions and other
violations of  the Fish and Game Code   this
code  associated with marijuana cultivation, the department
shall establish the watershed enforcement program to facilitate the
investigation, enforcement, and prosecution of these offenses.
   (c) The department, in coordination with the State Water Resources
Control Board, shall establish a permanent multiagency task force to
address the environmental impacts of marijuana cultivation. The
multiagency task force, to the extent feasible and subject to
available  Resources,   resources,  shall
expand its enforcement efforts on a statewide level to ensure the
reduction of adverse impacts of marijuana cultivation on fish and
wildlife and their habitats throughout the state.
   (d) In order to facilitate the remediation and permitting of
marijuana cultivation sites, the department shall adopt regulations
to enhance the fees on any entity subject to Section 1602 for
marijuana cultivation sites that require remediation. The fee
schedule established pursuant to this subdivision shall not exceed
the fee limits in Section 1609.
  SEC. 139.  Section 14651.5 of the Food and Agricultural Code is
amended to read:
   14651.5.  (a) The department shall levy an administrative penalty
against a person who violates this chapter in an amount of not more
than five thousand dollars ($5,000) for each violation. The amount of
the penalty assessed for each violation shall be based upon the
nature of the violation, the seriousness of the effect of the
violation upon the effectuation of the purposes and provisions of
this chapter, and the impact of the penalty on the violator,
including the deterrent effect on future violations.
   (b) Upon a finding that the violation is minor or unintentional,
in lieu of an administrative penalty, the secretary may issue a
notice of warning.
   (c) A person against whom an administrative penalty is levied
shall be afforded an opportunity for a hearing before the secretary,
upon a request made within 30 days after the date of issuance of the
notice of penalty. At the hearing, the person shall be given the
right to present evidence on his or her own behalf. If a hearing is
not requested, the administrative penalty shall constitute a final
and nonreviewable order.
   (d) If a hearing is held, review of the decision of the secretary
may be sought by the person against whom the administrative penalty
is levied within 30 days of the date of the final order of the
secretary pursuant to Section 1094.5 of the Code of Civil Procedure.
   (e) After completion of the hearing procedure pursuant to
subdivision (c), the secretary may file a certified copy of the
department's final decision that directs payment of an administrative
penalty,  and   and,  if applicable, any
order denying a petition for a writ of administrative mandamus, with
the clerk of the superior court of any county that has jurisdiction
over the matter. Judgment shall be entered immediately by the clerk
in conformity with the decision or order. Fees shall not be charged
by the clerk of the superior court for performance of any official
services required in connection with the entry of judgment and the
satisfaction of the judgment pursuant to this section.
  SEC. 140.  Section 27581.1 of the Food and Agricultural Code is
amended to read:
   27581.1.  (a) On or before January 1, 2017, the secretary shall
adopt regulations classifying violations of this chapter, or any
regulation adopted pursuant to this chapter, as "minor," subject to a
penalty from fifty dollars ($50) to four hundred dollars ($400),
inclusive, "moderate," subject to a penalty from four hundred one
dollars ($401) to one thousand dollars ($1,000), inclusive, or
"serious," subject to a penalty from one thousand one dollars
($1,001) to ten thousand dollars ($10,000), inclusive.
   (b) The penalty schedule described in this section shall apply to
civil penalties imposed pursuant to Section 27581.4 and
administrative penalties imposed pursuant to Section 27583.
   (c) The department shall post on its Internet Web site 
when  the penalty schedule described in this section
 has been   when it is  adopted.
  SEC. 141.  Section 27583.2 of the Food and Agricultural Code is
amended to read:
   27583.2.  If the secretary levies an administrative penalty
pursuant to Section 27583, the following shall apply:
   (a) The person charged with the violation shall be notified of the
proposed action in accordance with subdivision (b). The notice shall
include the nature of the violation, the amount of the proposed
administrative penalty, and the right to request a hearing to appeal
the administrative action.
   (b) (1) Notice shall be sent by certified mail to one of the
following:
   (A) The address of the person charged, as provided by any license
or registration issued by the department, which is not limited to a
certificate of registration issued pursuant to this chapter.
   (B) The address of an agent for service of process for the person
charged, as filed with the Secretary of State.
   (C) If an address described in subparagraph (A) or (B) is not
available, the last known address of the person charged.
   (2) Notice that is sent to any of the addresses described in
paragraph (1) shall be considered received, even if delivery is
refused or if the notice is not accepted at that address.
   (3) The person charged shall have the right to appeal the proposed
action by requesting a hearing within 20 days of the issuance of the
notice of the proposed action.
   (c) If a hearing is requested, the secretary shall schedule a
hearing within 45 days of the request, with notice of the time and
place of the hearing given at least 10 days before the date of the
hearing. At the hearing, the person charged shall be given an
opportunity to review the secretary's evidence and to present
evidence on his or her own behalf. If a hearing is not timely
requested, the secretary may take the proposed action without a
hearing.
   (d) The secretary shall issue a decision within 30 days of the
conclusion of the hearing, which  decision  shall become
effective immediately.
   (e) The secretary shall send a copy of the notice of the proposed
action to the commissioner of the county in which the violation took
place at the same time notice is sent pursuant to subdivision (b).
Additionally, the secretary shall inform the commissioner of the
county in which the action was initiated of violations for which a
penalty has been assessed.
   (f) If the proposed action is not overturned, in addition to the
levy of an administrative penalty, the secretary may recover from the
person charged any other reasonable costs incurred by the department
in connection with administering the hearing to appeal the proposed
action.
   (g) Revenues collected by the secretary pursuant to this section
shall be deposited into the Department of Food and Agriculture Fund
for use by the department in administering this chapter, when
appropriated to the department for that purpose.
  SEC. 142.  Section 27583.4 of the Food and Agricultural Code is
amended to read:
   27583.4.  If a commissioner levies an administrative penalty
pursuant to Section 27583, the following shall apply:
   (a) (1) Before an administrative penalty is levied, the person
charged with the violation shall receive written notice of the
proposed action in accordance with paragraph (2). The notice shall
include the nature of the violation, the amount of the proposed
penalty, and the right to request a hearing to appeal the
administrative action.
   (2) (A) Notice shall be sent by certified mail to one of the
following:
   (i) The address of the person charged, as provided by any license
or registration issued by the department, which is not limited to a
certificate of registration issued pursuant to this chapter.
   (ii) The address of an agent for service of process for the person
charged, as filed with the Secretary of State.
   (iii) If an address described in clause (i) or (ii) is not
available, the last known address of the person charged.
   (B) Notice that is sent to any of the addresses described in
subparagraph (A) shall be considered received, even if delivery is
refused or if the notice is not accepted at that address.
   (C) The person charged shall have the right to appeal the proposed
action by requesting a hearing within 20 days of the issuance of the
notice of the proposed action.
   (3) If a hearing is requested, the commissioner shall schedule a
hearing within 45 days of the request, with notice of the time and
place of the hearing given at least 10 days before the date of the
hearing. At the hearing, the person charged shall be given an
opportunity to review the commissioner's evidence and to present
evidence on his or her own behalf. If a hearing is not timely
requested, the commissioner may take the proposed action without a
hearing. If the person charged, or his or her legal representative,
fails to appear, the commissioner shall prevail in the proceedings.
   (4) The commissioner shall issue a decision within 30 days of the
conclusion of the hearing, which  decision  shall become
effective immediately.
   (5) The commissioner shall send a copy of the notice of the
proposed action to the secretary at the same time notice is sent to
the person charged with the violation.
   (b) If the person, upon whom the commissioner levied an
administrative penalty, requested and appeared at a hearing, the
person may appeal the commissioner's decision to the secretary within
30 days of the date of receiving a copy of the commissioner's
decision. The following procedures apply to the appeal:
   (1) The appeal shall be in writing and signed by the appellant or
his or her authorized agent, state the grounds for the appeal, and
include a copy of the commissioner's decision. The appellant shall
file a copy of the appeal with the commissioner at the same time it
is filed with the secretary.
   (2) The appellant and the commissioner, at the time of filing the
appeal, within 10 days thereafter, or at a later time prescribed by
the secretary, may present the record of the hearing and a written
argument to the secretary stating the ground for affirming,
modifying, or reversing the commissioner's decision.
   (3) The secretary may grant oral arguments upon application made
at the time written arguments are filed.
   (4) If an application to present an oral argument is granted,
written notice of the time and place for the oral argument shall be
given at least 10 days before the date set for oral argument. The
times may be altered by mutual agreement of the appellant, the
commissioner, and the secretary.
   (5) The secretary shall decide the appeal on the record of the
hearing, including the written evidence and the written argument
described in paragraph (2), that he or she has received. If the
secretary finds substantial evidence in the record to support the
commissioner's decision, the secretary shall affirm the decision.
   (6) The secretary shall render a written decision within 45 days
of the date of appeal or within 15 days of the date of oral arguments
or as soon thereafter as practical.
   (7) On an appeal pursuant to this section, the secretary may
affirm the commissioner's decision, modify the commissioner's
decision by reducing or increasing the amount of the penalty levied
so that it is consistent with the penalty schedule described in
Section 27581.1, or reverse the commissioner's decision. An
administrative penalty increased by the secretary shall not be higher
than that proposed in the commissioner's notice of proposed action
given pursuant to subdivision (a). A copy of the secretary's decision
shall be delivered or mailed to the appellant and the commissioner.
   (8) Any person who does not request a hearing with the
commissioner pursuant to an administrative penalty assessed under
subdivision (a) shall not file an appeal to the secretary pursuant to
this subdivision.
   (c) If the proposed action is not overturned, in addition to the
levy of an administrative penalty, the commissioner may recover from
the person charged any other reasonable costs incurred by the
commissioner in connection with administering the hearing to appeal
the proposed action.
   (d) Revenues from administrative penalties levied by the
commissioner shall be deposited in the general fund of the county
and, upon appropriation by the board of supervisors, shall be used by
the commissioner to carry out his or her responsibilities under this
chapter. The commissioner shall inform the secretary of any
violations for which a penalty has been assessed.
  SEC. 143.  Section 52332 of the Food and Agricultural Code is
amended to read:
   52332.  The secretary, by regulation, may adopt all of the
following:
   (a) A list of the plants and crops that the secretary finds are or
may be grown in this state.
   (b) A list of the plants and crops that the secretary finds are
detrimental to agriculture if they occur incidentally in other crops,
and which, therefore, are classed as weed seed except if sold alone
or as a specific constituent of a definite seed mixture.
   (c) A list of noxious weed seed that the secretary finds are
prohibited noxious weed seed, as defined in this chapter.
   (d) A list of those noxious weed seed that are not classified as
prohibited noxious weed seed and are classified by this chapter as
restricted noxious weed seed.
   (e) A list of substances that are likely to be used for treating
grain or other crop seed that the secretary finds and determines are
toxic to human beings or animals if used, and an appropriate warning
or caution statement for each substance.
   (f) (1) (A)  Establish methods   M  
ethods  and procedures, upon the recommendation of the board,
for the conciliation, mediation, or arbitration of disputes between
labelers and any persons concerning conformance with label
statements, advertisements, financial terms or the lack of payment by
a dealer to a grower, or other disputes regarding the quality or
performance of seed. The methods and procedures shall be a mandatory
prerequisite to pursuing other dispute resolution mechanisms,
including, but not limited to, litigation. However, if conciliation,
mediation, or arbitration proceedings are commenced under this
section to resolve a controversy, the statute of limitations that
applies to a civil action concerning that controversy is tolled upon
commencement of  the  conciliation, mediation, or
arbitration proceedings, and until 30 days after the completion of
those proceedings. As used in this subdivision, "completion of those
proceedings" means the filing of a statement of agreement or
nonagreement by the conciliator or mediator, or the rendering of a
decision by an arbitrator or arbitration committee.
   (B) If a proceeding for the conciliation, mediation, or
arbitration of a dispute between a dealer and a grower is commenced
under this subdivision for conformance with the financial terms by a
dealer to a grower, and the decision in the proceeding is in favor of
the grower, the decision may include a provision requiring
compensation to the grower for the estimated value of
                            the seed production services a grower
provides to a dealer, including, but not limited to, labor, care, and
expense in growing and harvesting that product.
   (C) If a dealer fails to comply with the financial obligations of
a judgment rendered in a conciliation, mediation, or arbitration
proceeding between a dealer and a grower commenced pursuant to this
subdivision following the conclusion of all appeals in the
proceeding, the secretary may revoke the dealer's registration and
prevent the dealer from renewing his or her registration until the
time the financial obligation is fulfilled.
   (2) Conciliation, mediation, or arbitration shall not affect any
enforcement action by the secretary pursuant to this chapter.
Regulations adopted by the secretary for the mandatory conciliation,
mediation, or arbitration of disputes shall require that adequate
notice be provided on the seed label notifying any buyer of the
requirement to submit a dispute to mandatory conciliation, mediation,
or arbitration as a prerequisite to other dispute resolution
mechanisms, including litigation.
   (g)  Establish additional   Additional 
labeling requirements for coated, pelleted, encapsulated, mat, tape,
or any other germination medium or device used on seed in order that
the purchaser or consumer will be informed as to the actual amount of
seed purchased.
  SEC. 144.  Section 55631 of the Food and Agricultural Code is
amended to read:
   55631.  (a) Every producer of any farm product that sells any
product that is grown by him or her to any processor under contract,
express or implied, in addition to all other rights and remedies that
are provided for by law, has a lien upon that product and upon all
processed or manufactured forms of that farm product for his or her
labor, care, and expense in growing and harvesting that product. The
lien shall be to the extent of the agreed price, if any, for that
product so sold. If there is no agreed price or a method for
determining  it   the price  that is agreed
upon, the extent of the lien is the value of the farm product as of
the date of the delivery. Any portion of that product or the
processed or manufactured forms of that product, in excess of the
amount necessary to satisfy the total amount owed to producers under
contract, shall be free and clear of that lien.
   (b) Every producer of a flower, agricultural, or vegetable seed
that sells seed that is grown by him or her, when the seed was
purchased or supplied by the grower and not supplied by the dealer or
an independent third party who paid for the seed, to any seed dealer
under contract, express or implied, in addition to all other rights
and remedies that are provided for by law, has a lien upon that
product and upon all processed or manufactured forms of that product
for his or her labor, care, and expense in growing and harvesting
that product. The lien shall be to the extent of the agreed price, if
any, for that product so sold. If there is no agreed price or a
method for determining  it   the price 
that is agreed upon, the extent of the lien is the value of that
product as of the date of the delivery. Any portion of that product
or the processed or manufactured forms of that product, in excess of
the amount necessary to satisfy the total amount owed to producers
under contract, shall be free and clear of that lien.
  SEC. 145.  Section 56109 of the Food and Agricultural Code is
amended to read:
   56109.  "Farm product" includes every agricultural, horticultural,
viticultural, and vegetable product of the soil, poultry and poultry
products, livestock products and livestock not for immediate
slaughter, bees and apiary products, hay, dried beans, honey, and cut
flowers. It does not, however, include any timber or timber product,
flower or agricultural or vegetable seed, any milk product that is
subject to the licensing and bonding provisions of Chapter 2
(commencing with Section 61801) of Part 3 of Division 21, any
aquacultural product, or cattle sold to any person who is bonded
under the federal Packers and Stockyards Act, 1921 (7 U.S.C. Sec.
 181,   181  et seq.).
  SEC. 146.  Section 67132 of the Food and Agricultural Code is
amended to read:
   67132.  Upon the finding of 11 voting members of the commission if
the commission consists of three or five districts, or of 10 voting
members of the commission if the commission consists of four
districts, that this chapter has not tended to effectuate its
declared purposes, the commission may recommend to the secretary that
the operations of the commission shall be suspended, provided that
the suspension shall not become effective until the expiration of the
current marketing season. The secretary shall, upon receipt of the
recommendation, or upon a petition filed with him or her requesting
the suspension, signed by 15 percent of the producers by number who
produced not less than 15 percent of the volume in the immediately
preceding year, cause a referendum to be conducted among the listed
producers to determine if the operation of this chapter and the
operations of the commission shall be suspended, and shall establish
a referendum period, which shall not be less than 10 days nor more
than 60 days in duration. The secretary is authorized to prescribe
any additional procedure necessary to conduct the referendum. At the
close of the established referendum period, the secretary shall
tabulate the ballots filed during the period. If at least 40 percent
of the total number of producers, on a list established by the
 secretary   secretary,  marketing 40
percent of the total volume marketed by all producers during the last
completed marketing season, participate in the referendum, the
secretary shall suspend this chapter upon the expiration of the
current marketing season, if he or she finds either one of the
following:
   (a) Sixty-five percent or more of the producers who voted in the
referendum voted in favor of the suspension, and the producers so
voting marketed 51 percent or more of the total quantity of avocados
marketed in the preceding marketing season by all of the producers
who voted in the referendum.
   (b) Fifty-one percent or more of the producers who voted in the
referendum voted in favor of suspension, and the producers so voting
marketed 65 percent or more of the total quantity of avocados
marketed in the preceding season by all of the producers who voted in
the referendum.
  SEC. 147.  Section 76953.5 of the Food and Agricultural Code is
amended to read:
   76953.5.  (a) Before the referendum vote is conducted by the
secretary, the proponents of the council shall deposit with the
secretary the amount that the secretary determines is necessary to
defray the expenses of preparing the necessary lists and information
and conducting the referendum vote.
   (b) Any funds not used in carrying out this article shall be
returned to the proponents of the council who deposited the funds
with the secretary.
   (c) Upon establishment of the council, the council may reimburse
the proponents of the council for any funds deposited with the
secretary that were used in carrying out this article, and for any
legal expenses and costs incurred in establishing the council.
   (d) After approval by the Commercial Salmon Trollers Advisory
Committee created pursuant to Section 7862 of the Fish and Game Code,
the Department of Fish and Wildlife may expend funds collected
pursuant to Section 7861 of the Fish and Game Code, for payment to
the  Secretary of Food and Agriculture  
secretary  to pay necessary costs incurred in conducting the
implementation referendum vote. If the commercial salmon vessel
operators who voted in the implementation referendum voted in favor
of implementing this article, as provided in Section 76952, the
council shall reimburse the Commercial Salmon Stamp Account in the
Fish and Game Preservation Fund all amounts received from that fund.
  SEC. 148.  Section 1225 of the Government Code is amended to read:
   1225.  (a) An executive officer, a judicial officer, and a Member
of the Legislature may administer and certify oaths.
   (b)  (1)    A former judge of a
court of record in this state who retired or resigned from office
shall be deemed a judicial officer for purposes of this section, if
he or she satisfies the conditions set forth  is 
 in  subdivision (c) of Section 2093 of the Code of Civil
Procedure.
   (c) A law, rule, or regulation regarding the confidentiality of
proceedings of the Commission on Judicial Performance shall not be
construed to prohibit the commission from issuing a certificate as
provided for in this section.
  SEC. 149.  The heading of Chapter 15 (commencing with Section 5970)
of Division 6 of Title 1 of the Government Code, as amended and
renumbered by Section 182 of Chapter 303 of the Statutes of 2015, is
amended and renumbered to read:
      CHAPTER  15.   14.5.   AWARDING OF
CONTRACTS


  SEC. 150.  Section 5970 of the Government Code is amended to read:
   5970.  As used in this chapter, the following phrases have the
following meanings:
   (a) "Person" means any broker, dealer, municipal securities
dealer, investment advisor, or investment firm.
   (b) "Regulatory agency" means the Department of Business
Oversight, the securities administrators or other similar regulatory
authority in any other state, the Securities and Exchange Commission,
 the  Financial Industry Regulatory Authority, the
Municipal Securities Rulemaking Board, the Commodity Futures Trading
Commission, or any other self-regulatory organization.
   (c) "State or local government" means the state, any department,
agency, board, commission, or authority of the state, or any city,
city and county, county, public district, public corporation,
authority, agency, board, commission, or other public entity.
  SEC. 151.  Section 6254.5 of the Government Code is amended to
read:
   6254.5.  Notwithstanding any other  provisions of
 law,  whenever   if  a state or
local agency discloses a public record  which  
tha   t  is otherwise exempt from this chapter, to
 any   a  member of the public, this
disclosure shall constitute a waiver of the exemptions specified in
Section  6254, 6254.7,   6254 or 6254.7, 
or other similar provisions of law. For purposes of this section,
"agency" includes a member, agent, officer, or employee of the agency
acting within the scope of his or her membership, agency, office, or
employment.
   This section, however, shall not apply to disclosures:
   (a) Made pursuant to the Information Practices Act  (Chapter 1
 (commencing with Section  1798   1798) of
Title 1.8 of Part 4 of Division 3  of the Civil Code) or
discovery proceedings.
   (b) Made through other legal proceedings or as otherwise required
by law.
   (c) Within the scope of disclosure of a statute  which
  that  limits disclosure of specified writings to
certain purposes.
   (d) Not required by law, and prohibited by formal action of an
elected legislative body of the local agency  which 
 that  retains the writings.
   (e) Made to  any   a  governmental
agency  which   that  agrees to treat the
disclosed material as confidential. Only persons authorized in
writing by the person in charge of the agency shall be permitted to
obtain the information. Any information obtained by the agency shall
only be used for purposes  which   that 
are consistent with existing law.
   (f) Of records relating to a financial institution or an affiliate
thereof, if the disclosures are made to the financial institution or
affiliate by a state agency responsible for the regulation or
supervision of the financial institution or affiliate.
   (g) Of records relating to  any   a 
person  that   who  is subject to the
jurisdiction of the Department of Business Oversight, if the
disclosures are made to the person  that   who
 is the subject of the records for the purpose of corrective
action by that person, or, if a corporation, to an officer, director,
or other key personnel of the corporation for the purpose of
corrective action, or to any other person to the extent necessary to
obtain information from that person for the purpose of an
investigation by the Department of Business Oversight.
   (h) Made by the Commissioner of Business Oversight under Section
450, 452, 8009, or 18396 of the Financial Code.
   (i) Of records relating to  any   a 
person  that   who  is subject to the
jurisdiction of the Department of Managed Health Care, if the
disclosures are made to the person  that   who
 is the subject of the records for the purpose of corrective
action by that person, or, if a corporation, to an officer, director,
or other key personnel of the corporation for the purpose of
corrective action, or to any other person to the extent necessary to
obtain information from that person for the purpose of an
investigation by the Department of Managed Health Care.
  SEC. 152.  Section 7161 of the Government Code is amended to read:
   7161.  "Security" has the same meaning as defined in Section 8102
of the  Commerical   Commercial  Code.
  SEC. 153.  Section 8594.15 of the Government Code is amended to
read:
   8594.15.  (a) For purposes of this section, the following terms
have the following meanings:
   (1) "Serious bodily injury" means an injury that involves, either
at the time of the actual injury or at a later time, a substantial
risk of serious and permanent disfigurement, a substantial risk of
protracted loss or impairment of the function of any part of the
body, or a break, fracture, or burn of the second or third degree.
   (2) "Yellow Alert" means a notification system, activated pursuant
to subdivision (b), designed to issue and coordinate alerts with
respect to a hit-and-run incident resulting in the death or injury of
a person as described in Section 20001 of the Vehicle Code.
   (b) (1) If a hit-and-run incident is reported to a law enforcement
agency, and that agency determines that the requirements of
subdivision (c) are met, the agency may request the Department of the
California Highway Patrol to activate a Yellow Alert. If the
Department of the California Highway Patrol concurs that the
requirements of subdivision (c) are met, it may activate a Yellow
Alert within the geographic area requested by the investigating law
enforcement agency.
   (2) Radio, television, and cable and satellite systems are
encouraged, but are not required, to cooperate with disseminating the
information contained in a Yellow Alert.
   (3) Upon activation of a Yellow Alert, the Department of the
California Highway Patrol shall assist the investigating law
enforcement agency by issuing the Yellow Alert via a changeable
message sign.
   (4) If there are multiple Yellow Alerts requested, the Department
of the California Highway Patrol may prioritize the activation of
alerts based on any  factor   factor, 
including, but not limited to, the severity of the injury, the time
elapsed between a hit-and-run incident and the request, or the
likelihood that an activation would reasonably lead to the
apprehension of a suspect.
   (c) A law enforcement agency may request that a Yellow Alert be
activated if that agency determines that all of the following
conditions are met in regard to the investigation of the hit-and-run
incident:
   (1) A person has been killed or has suffered serious bodily injury
due to a hit-and-run incident.
   (2) There is an indication that a suspect has fled the scene
utilizing the state highway system or is likely to be observed by the
public on the state highway system.
   (3) The investigating law enforcement agency has additional
information concerning the suspect or the suspect's vehicle,
including, but not limited to, any of the following:
   (A) The complete license plate number of the suspect's vehicle.
   (B) A partial license plate number and additional unique
identifying characteristics, such as the make, model, and color of
the suspect's vehicle, which could reasonably lead to the
apprehension of the suspect.
   (C) The identity of the suspect.
   (4) Public dissemination of available information could either
help avert further harm or accelerate apprehension of the suspect
based on any  factor   factor,  including,
but not limited to, the severity of the injury, the time elapsed
between a hit-and-run incident and the request, or the likelihood
that an activation would reasonably lead to the apprehension of a
suspect.
   (d) This section shall remain in effect only until January 1,
2019, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2019, deletes or extends
that date.
  SEC. 154.  Section 8670.13 of the Government Code is amended to
read:
   8670.13.  (a) The administrator shall periodically evaluate the
feasibility of requiring new technologies to aid  in 
prevention, response, containment, cleanup, and wildlife
rehabilitation.
   (b) (1) On or before January 1, 2017, the administrator shall
submit a report to the Legislature, pursuant to Section 9795,
assessing the best achievable technology of equipment for oil spill
prevention, preparedness, and response.
   (2) The report shall evaluate studies of estimated recovery system
potential as a methodology for rating equipment in comparison to
effective daily recovery capacity.
   (3) Pursuant to Section 10231.5, this subdivision is inoperative
on July 1, 2020.
   (c) (1)  Including, but not limited to,  
Considering, among other things,  the report prepared pursuant
to subdivision (b), the administrator shall update regulations
governing the adequacy of oil spill contingency plans for best
achievable technologies for oil spill prevention and response no
later than July 1, 2018.
   (2) The updated regulations shall enhance the capabilities for
prevention, response, containment, cleanup, and wildlife
rehabilitation.
   (d) (1) The administrator shall direct the Harbor Safety
Committees, established pursuant to Section 8670.23, to assess the
presence and capability of tugs within their respective geographic
areas of responsibility to provide emergency towing of tank vessels
and nontank vessels to arrest their drift or otherwise guide
emergency transit.
   (2) The assessments for harbors in the San Francisco Bay area and
in  the  Los Angeles-Long Beach area shall be initiated by
May 1, 2016. The assessments for the other harbors shall be initiated
by January 1, 2020.
   (3) The assessment shall consider,  but not be limited to,
  among other things,  data from available United
States Coast Guard Vessel Traffic Systems, relevant incident and
accident data, any relevant simulation models, and identification of
any transit areas where risks are higher.
   (4) The assessment shall consider the condition of tank and
nontank vessels calling on harbors, including the United States Coast
Guard's marine inspection program and port state control program
regarding risks due to a vessel's hull or engineering material
deficiencies, or inadequate crew training and professionalism.
  SEC. 155.  Section 8670.13.3 of the Government Code is amended to
read:
   8670.13.3.  If dispersants are used in response to an oil spill in
state waters, the administrator shall provide written notification
of their use to the Legislature within three days of the use. The
administrator shall provide the Legislature with written
justification of  their   that  use,
including copies of key supporting documentation used by the federal
on-scene coordinator and the federal Regional Response Team as soon
as those  material   materials  are
released. Within two months of the use of dispersants in state
waters, the administrator shall also provide a report to the
Legislature on the effectiveness of the dispersants used, including,
but not limited to, results of any available monitoring data to
determine whether the dispersant use resulted in overall
environmental benefit or harm. The written notification,
justification, and report shall be submitted pursuant to Section
9795.
  SEC. 156.  Section 8670.28 of the Government Code is amended to
read:
   8670.28.  (a) The administrator, taking into consideration the
facility or vessel contingency plan requirements of the State Lands
Commission, the Office of the State Fire Marshal, the California
Coastal Commission, and other state and federal agencies, shall adopt
and implement regulations governing the adequacy of oil spill
contingency plans to be prepared and implemented under this article.
All regulations shall be developed in consultation with the Oil Spill
Technical Advisory Committee, and shall be consistent with the
California oil spill contingency plan and not in conflict with the
National Contingency Plan. The regulations shall provide for the best
achievable protection of  the  waters and natural resources
of the state. The regulations shall permit the development,
application, and use of an oil spill contingency plan for similar
vessels, pipelines, terminals, and facilities within a single company
or organization, and across companies and organizations. The
regulations shall, at a minimum, ensure all of the following:
   (1) All areas of state waters are at all times protected by
prevention, response, containment, and cleanup equipment and
operations.
   (2) Standards set for response, containment, and cleanup equipment
and operations are maintained and regularly improved to protect the
resources of the state.
   (3) All appropriate personnel employed by operators required to
have a contingency plan receive training in oil spill response and
cleanup equipment usage and operations.
   (4) Each oil spill contingency plan provides for appropriate
financial or contractual arrangements for all necessary equipment and
services for the response, containment, and cleanup of a reasonable
worst case oil spill scenario for each area the plan addresses.
   (5) Each oil spill contingency plan demonstrates that all
protection measures are being taken to reduce the possibility of an
oil spill occurring as a result of the operation of the facility or
vessel. The protection measures shall include, but not be limited to,
response to disabled vessels and  an 
identification of those measures taken to comply with requirements of
Division 7.8 (commencing with Section 8750) of the Public Resources
Code.
   (6) Each oil spill contingency plan identifies the types of
equipment that can be used, the location of the equipment, and the
time taken to deliver the equipment.
   (7) Each facility, as determined by the administrator, conducts a
hazard and operability study to identify the hazards associated with
the operation of the facility, including the use of the facility by
vessels, due to operating error, equipment failure, and external
events. For the hazards identified in the hazard and operability
studies, the facility shall conduct an offsite consequence analysis
that, for the most likely hazards, assumes pessimistic water and air
dispersion and other adverse environmental conditions.
   (8) Each oil spill contingency plan contains a list of contacts to
call in the event of a drill, threatened discharge of oil, or
discharge of oil.
   (9) Each oil spill contingency plan identifies the measures to be
taken to protect the recreational and environmentally sensitive areas
that would be threatened by a reasonable worst case oil spill
scenario.
   (10) Standards for determining a reasonable worst case oil spill.
However, for a nontank vessel, the reasonable worst case is a spill
of the total volume of the largest fuel tank on the nontank vessel.
   (11) Each oil spill contingency plan specifies an agent for
service of process. The agent shall be located in this state.
   (b) The regulations and guidelines adopted pursuant to this
section shall also include provisions to provide  for 
public review and comment on submitted oil spill contingency plans.
   (c) The regulations adopted pursuant to this section shall
specifically address the types of equipment that will be necessary,
the maximum time that will be allowed for deployment, the maximum
distance to cooperating response entities, the amounts of dispersant,
and the maximum time required for  application, 
 application  should the use of dispersants be approved.
Upon a determination by the administrator that booming is appropriate
at the site and necessary to provide best achievable protection, the
regulations shall require that vessels engaged in lightering
operations be boomed prior to the commencement of operations.
   (d) The administrator shall adopt regulations and guidelines for
oil spill contingency plans with regard to mobile transfer units,
small marine fueling facilities, and vessels carrying oil as
secondary cargo that acknowledge the reduced risk of damage from oil
spills from those units, facilities, and vessels while maintaining
the best achievable protection for the public health and safety and
the environment.
  SEC. 157.  Section 8670.95 of the Government Code is amended and
renumbered to read:
    8670.95.   8670.5.5.   If any provision
of this chapter or the application thereof to any person or
circumstances is held invalid, that invalidity shall not affect other
provisions or applications of the chapter that can be given effect
without the invalid provision or application, and to this end the
provisions of this chapter are severable.
  SEC. 158.  Section 14670.36 of the Government Code is amended to
read:
   14670.36.  (a) Notwithstanding any other law, the Director of
General Services, with the consent of the Director of Developmental
Services, may, in the best interests of the state, let to any person
or entity real property not exceeding 20 acres located within the
grounds of the Fairview Developmental Center for a period not to
exceed 55 years, at a price that will permit the development of
affordable housing for people with developmental disabilities.
   (b) Notwithstanding any other law, the lease authorized by this
section may be assignable subject to approval by the Director of
General Services, with the consent of the Director of Developmental
Services. The lease shall do all of the following:
   (1) Provide housing for individuals who qualify based upon
criteria established by the Department of Developmental Services. A
minimum of 20 percent of the housing units developed shall be
available and affordable to individuals with developmental
disabilities served by a regional center pursuant to the Lanterman
Developmental Disabilities Services Act (Chapter 1 (commencing with
Section 4500) of Division 4.5 of the Welfare and Institutions Code).
When filling vacancies, priority for housing shall be given to
individuals transitioning from a developmental center or at risk for
admission to a developmental center.
                                            (2) Allow for lease
revenues or other proceeds received by the state under the leases for
projects authorized by this section and Section 14670.35, to be
utilized by the Department of Developmental Services to support
individuals with developmental disabilities, including subsidizing
rents for those individuals.
   (3) Include provisions authorizing the Department of Developmental
Services, or its designee, to provide management oversight and
administration over the housing for individuals with developmental
disabilities and the general operations of the project sufficient to
 assure   ensure  the purposes of the lease
are being carried out and to protect the financial interests of the
state.
   (c) The Department of Developmental Services may share in
proceeds, if any, generated from the overall operation of the project
developed pursuant to this section. All proceeds received from the
project authorized by this section and the project authorized by
Section 14670.35, in accordance with the terms of the lease, shall be
deposited in the Department of Developmental Services Trust Fund,
which is hereby created in the State Treasury. Moneys in the
Department of Developmental Services Trust Fund shall be used, upon
appropriation by the Legislature, for the purpose of providing
housing and transitional services for people with developmental
disabilities. Any funds not needed to support individuals with
developmental disabilities shall be transferred to the General Fund
upon the order of the Director of Finance.
   (d) The Director of General Services, with the consent of the
Director of Developmental Services, may enter into a lease pursuant
to this section at less than market value, provided that the cost of
administering the lease is recovered.
   (e) The project and lease, including off-site improvements
directly related to the housing project authorized by this section,
shall not be deemed a "public works contract" as defined by Section
1101 of the Public Contract Code. However, construction projects
contemplated by the lease authorized by this section shall be
considered "public works," as defined by paragraph (1) of subdivision
(a) of Section 1720 of the Labor Code, for the purpose of prevailing
wage requirements.
  SEC. 159.  Section 17581.9 of the Government Code is amended to
read:
   17581.9.  (a) (1) The sum of three billion ninety-eight million
four hundred fifty-five thousand dollars ($3,098,455,000) is hereby
appropriated from the General Fund to the Superintendent of Public
Instruction for allocation to school districts and county
superintendents of schools in the manner, and for the purposes, set
forth in this section.
   (2) The sum of six hundred four million forty-three thousand
dollars ($604,043,000) is hereby appropriated from the General Fund
to the Chancellor of the California Community Colleges for allocation
to community college districts in the manner, and for the purposes,
set forth in this section.
   (3) For purposes of this section, a school district includes a
county office of education and a charter school.
   (b) (1) (A) The Superintendent of Public Instruction shall
allocate forty million dollars ($40,000,000) of the funds
appropriated pursuant to paragraph (1) of subdivision (a) to county
superintendents of schools, as follows:
   (i) Each county superintendent of schools shall be allocated the
greater of:  (i)   (I)  thirty thousand
dollars ($30,000), multiplied by the number of school districts for
which the county superintendent of schools has jurisdiction pursuant
to Section 1253 of the Education Code; or  (ii) 
 (II)  eighty thousand dollars ($80,000).
   (ii) After the allocations pursuant to  subparagraph (A),
  clause (i),  the balance shall be allocated in an
equal amount per unit of regular average daily attendance, as those
average daily attendance numbers are reported at the time of the
second principal apportionment for the 2014-15 fiscal year.
   (B) For purposes of allocating funding pursuant to this paragraph
only, "regular average daily attendance" means the aggregate number
of units of average daily attendance within the county attributable
to all school districts for which the county superintendent of
schools has jurisdiction pursuant to Section 1253 of the Education
Code, charter schools within the county, and the schools operated by
the county superintendent of schools.
   (2) It is the intent of the Legislature that county offices of
education will prioritize the use of funds allocated pursuant to
paragraph (1) for investments necessary to support new
responsibilities required under the evolving accountability structure
of the local control funding formula and develop greater capacity
and consistency within and between county offices of education. A
county office of education may encumber funds apportioned pursuant to
this section at any time during the 2015-16 or 2016-17 fiscal year.
   (3) The Superintendent shall allocate three billion fifty-eight
million four hundred fifty-five thousand dollars ($3,058,455,000) of
the funds appropriated pursuant to paragraph (1) of subdivision (a)
to school districts on the basis of an equal amount per unit of
regular average daily attendance, as those average daily attendance
numbers are reported at the time of the second principal
apportionment for the 2014-15 fiscal year.
   (c) The Chancellor of the California Community Colleges shall
allocate the funds appropriated pursuant to paragraph (2) of
subdivision (a) to community college districts on the basis of an
equal amount per enrolled full-time equivalent student, as those
numbers of students are reported at the time of the second principal
apportionment for the 2014-15 fiscal year.
   (d) Allocations made pursuant to this section shall first satisfy
any outstanding claims pursuant to Section 6 of Article XIII B of the
California Constitution for reimbursement of state-mandated local
program costs for any fiscal year. Notwithstanding Section 12419.5
and any amounts that are paid in satisfaction of outstanding claims
for reimbursement of state-mandated local program costs, the
Controller may audit any claim as allowed by law, and may recover any
amount owed by school districts or community college districts
pursuant to an audit only by reducing amounts owed by the state to
school districts or community college districts for any other mandate
claims. Under no circumstances shall a school district or community
college district be required to remit funding back to the state to
pay for disallowed costs identified by a Controller audit of claimed
reimbursable state-mandated local program costs. The Controller shall
not recover any amount owed by a school district or community
college district pursuant to an audit of claimed reimbursable
state-mandated local program costs by reducing any amount owed a
school district or community college district for any purpose other
than amounts owed for any other mandate claims. The Controller shall
apply amounts received by each school district or community college
district against any balances of unpaid claims for reimbursement of
state-mandated local program costs and interest in chronological
order beginning with the earliest claim. The Controller shall report
to each school district and community college district the amounts of
any claims and interest that are offset from funds provided pursuant
to this section, and shall report a summary of the amounts offset
for each mandate for each fiscal year to the Department of Finance
and the fiscal committees of the Legislature.
   (e) (1) The governing board of a school district or community
college district may expend the one-time funds received pursuant to
this section for any purpose, as determined by the governing board.
   (2) It is the intent of the Legislature that school districts
shall prioritize the use of these one-time funds for professional
development, induction for beginning teachers with a focus on
relevant mentoring, instructional materials, technology
infrastructure, and any other investments necessary to support
implementation of the common core standards in English language arts
and mathematics, the implementation of English language development
standards, and the implementation of the Next Generation Science
standards.
   (f) For purposes of making the computations required by Section 8
of Article XVI of the California Constitution, three hundred nineteen
million two hundred thirty-one thousand dollars ($319,231,000) of
the appropriations made by subdivision (a) shall be deemed to be
"General Fund revenues appropriated for school districts," as defined
in subdivision (c) of Section 41202 of the Education Code, for the
2013-14 fiscal year, and included within the "total allocations to
school districts and community college districts from General Fund
proceeds of taxes appropriated pursuant to Article XIII B," as
defined in subdivision (e) of Section 41202 of the Education Code,
for the 2013-14 fiscal year.
   (g) For purposes of making the computations required by Section 8
of Article XVI of the California Constitution, ninety-three million
five hundred twenty-nine thousand dollars ($93,529,000) of the
appropriations made by subdivision (a) shall be deemed to be "General
Fund revenues appropriated for community college districts," as
defined in subdivision (d) of Section 41202 of the Education Code,
for the 2013-14 fiscal year, and included within the "total
allocations to school districts and community college districts from
General Fund proceeds of taxes appropriated pursuant to Article XIII
B," as defined in subdivision (e) of Section 41202 of the Education
Code, for the 2013-14 fiscal year.
   (h) For purposes of making the computations required by Section 8
of Article XVI of the California Constitution, two billion seven
hundred forty-eight million three hundred forty-nine thousand dollars
($2,748,349,000) of the appropriations made by subdivision (a) shall
be deemed to be "General Fund revenues appropriated for school
districts," as defined in subdivision (c) of Section 41202 of the
Education Code, for the 2014-15 fiscal year, and included within the
"total allocations to school districts and community college
districts from General Fund proceeds of taxes appropriated pursuant
to Article XIII B," as defined in subdivision (e) of Section 41202 of
the Education Code, for the 2014-15 fiscal year.
   (i) For purposes of making the computations required by Section 8
of Article XVI of the California Constitution, three hundred
ninety-three million two hundred twenty thousand dollars
($393,220,000) of the appropriations made by subdivision (a) shall be
deemed to be "General Fund revenues appropriated for community
college districts," as defined in subdivision (d) of Section 41202 of
the Education Code, for the 2014-15 fiscal year, and included within
the "total allocations to school districts and community college
districts from General Fund proceeds of taxes appropriated pursuant
to Article XIII B," as defined in subdivision (e) of Section 41202 of
the Education Code, for the 2014-15 fiscal year.
   (j) For purposes of making the computations required by Section 8
of Article XVI of the California Constitution, one hundred seventeen
million two hundred ninety-four thousand dollars ($117,294,000) of
the appropriations made by subdivision (a) shall be deemed to be
"General Fund revenues appropriated for community college districts,"
as defined in subdivision (d) of Section 41202 of the Education
Code, for the 2015-16 fiscal year, and included within the "total
allocations to school districts and community college districts from
General Fund proceeds of taxes appropriated pursuant to Article XIII
B," as defined in subdivision (e) of Section 41202 of the Education
Code, for the 2015-16 fiscal year.
   (k) For purposes of making the computations required by Section 8
of Article XVI of the California Constitution, thirty million eight
hundred seventy-five thousand dollars ($30,875,000) of the
appropriations made by subdivision (a) shall be deemed to be "General
Fund revenues appropriated for school districts," as defined in
subdivision (c) of Section 41202 of the Education Code, for the
2015-16 fiscal year, and included within the "total allocations to
school districts and community college districts from General Fund
proceeds of taxes appropriated pursuant to Article XIII B," as
defined in subdivision (e) of Section 41202 of the Education Code,
for the 2015-16 fiscal year.
  SEC. 160.  Section 19130 of the Government Code is amended to read:

   19130.  The purpose of this article is to establish standards for
the use of personal services contracts.
   (a) Personal services contracting is permissible to achieve cost
savings when all the following conditions are met:
   (1) The contracting agency clearly demonstrates that the proposed
contract will result in actual overall cost savings to the state,
provided that:
   (A) In comparing costs, there shall be included the state's
additional cost of providing the same service as proposed by a
contractor. These additional costs shall include the salaries and
benefits of additional staff that would be needed and the cost of
additional space, equipment, and materials needed to perform the
function.
   (B) In comparing costs, there shall not be included the state's
indirect overhead costs unless these costs can be attributed solely
to the function in question and would not exist if that function was
not performed in state service. Indirect overhead costs shall mean
the pro rata share of existing administrative salaries and benefits,
rent, equipment costs, utilities, and materials.
   (C) In comparing costs, there shall be included in the cost of a
contractor providing a service any continuing state costs that would
be directly associated with the contracted function. These continuing
state costs shall include, but not be limited to, those for
inspection, supervision, and monitoring.
   (2) Proposals to contract out work shall not be approved solely on
the basis that savings will result from lower contractor pay rates
or benefits. Proposals to contract out work shall be eligible for
approval if the contractor's wages are at the industry's level and do
not significantly undercut state pay rates.
   (3) The contract does not cause the displacement of civil service
employees. The term "displacement" includes layoff, demotion,
involuntary transfer to a new class, involuntary transfer to a new
location requiring a change of residence, and time base reductions.
Displacement does not include changes in shifts or days off, nor does
it include reassignment to other positions within the same class and
general location.
   (4) The contract does not adversely affect the state's affirmative
action efforts.
   (5) The savings shall be large enough to ensure that they will not
be eliminated by private sector and state cost fluctuations that
could normally be expected during the contracting period.
   (6) The amount of savings clearly justify the size and duration of
the contracting agreement.
   (7) The contract is awarded through a publicized, competitive
bidding process.
   (8) The contract includes specific provisions pertaining to the
qualifications of the staff that will perform the work under the
contract, as well as assurance that the contractor's hiring practices
meet applicable nondiscrimination, affirmative action standards.
   (9) The potential for future economic risk to the state from
potential contractor rate increases is minimal.
   (10) The contract is with a firm. A "firm" means a corporation,
partnership, nonprofit organization, or sole proprietorship.
   (11) The potential economic advantage of contracting is not
outweighed by the public's interest in having a particular function
performed directly by state government.
   (b) Personal services contracting also shall be permissible when
any of the following conditions  can be   are
 met:
   (1) The functions contracted are exempted from civil service by
Section 4 of Article VII of the California Constitution, which
describes exempt appointments.
   (2) The contract is for a new state function and the Legislature
has specifically mandated or authorized the performance of the work
by independent contractors.
   (3) The services contracted are not available within civil
service, cannot be performed satisfactorily by civil service
employees, or are of such a highly specialized or technical nature
that the necessary expert knowledge, experience, and ability are not
available through the civil service system.
   (4) The services are incidental to a contract for the purchase or
lease of real or personal property. Contracts under this criterion,
known as "service agreements," shall include, but not be limited to,
agreements to service or maintain office equipment or computers that
are leased or rented.
   (5) The legislative, administrative, or legal goals and purposes
cannot be accomplished through the utilization of persons selected
pursuant to the regular civil service system. Contracts are
permissible under this criterion to protect against a conflict of
interest or to  insure   ensure 
independent and unbiased findings in cases where there is a clear
need for a different, outside perspective. These contracts shall
include, but not be limited to, obtaining expert witnesses in
litigation.
   (6) The nature of the work is such that the  Government
Code  standards  of this code  for emergency
appointments apply. These contracts shall conform with Article 8
(commencing with Section 19888) of Chapter 2.5 of Part 2.6.
   (7) State agencies need private counsel because a conflict of
interest on the part of the Attorney General's office prevents it
from representing the agency without compromising its position. These
contracts shall require the written consent of the Attorney General,
pursuant to Section 11040.
   (8) The contractor will provide equipment, materials, facilities,
or support services that could not feasibly be provided by the state
in the location where the services are to be performed.
   (9) The contractor will conduct training courses for which
appropriately qualified civil service instructors are not available,
provided that permanent instructor positions in academies or similar
settings shall be filled through civil service appointment.
   (10) The services are of such an urgent, temporary, or occasional
nature that the delay incumbent in their implementation under civil
service would frustrate their very purpose.
   (c) All persons who provide services to the state under conditions
the board determines constitute an employment relationship shall,
unless exempted from civil service by Section 4 of Article VII of the
California Constitution, be retained under an appropriate civil
service appointment.
  SEC. 161.  Section 19241 of the Government Code, as added by
Section 5 of Chapter 356 of the Statutes of 2015, is amended to read:

   19241.  (a) The department, consistent with board rules, shall be
responsible for the implementation of this chapter, which may provide
for the establishment of eligibility criteria for participation,
special job classifications, examination techniques, and appointment
and appeals procedures.
   (b) This section shall become operative on January  21,
  1,  2021.
  SEC. 162.  Section 22865 of the Government Code is amended to read:

   22865.  Not later than 30 days prior to the approval of benefits
and premium readjustments authorized under Section 22864, the board
shall provide an initial estimate of proposed changes and costs in
writing to the Joint Legislative Budget Committee, the chairpersons
of the committees and subcommittees in each house of the Legislature
that consider the Public Employees' Retirement System's budget and
activities, the  State  Controller, the Trustees of
the California State University, the Department of Human Resources,
the Director of Finance, and the Legislative Analyst.
  SEC. 163.  Section 34886 of the Government Code is amended to read:

   34886.  (a) Notwithstanding Section 34871 or any other law, the
legislative body of a city with a population of fewer than 100,000
people may adopt an ordinance that requires the members of the
legislative body to be elected by district or by district with an
elective mayor, as described in subdivisions (a) and (c) of Section
34871, without  being required to submit  
submitting  the ordinance to the voters for approval. An
ordinance adopted pursuant to this subdivision shall include a
declaration that the change in the method of electing members of the
legislative body is being made in furtherance of the purposes of the
California Voting Rights Act of 2001 (Chapter 1.5 (commencing with
Section 14025) of Division 14 of the Elections Code).
   (b) For purposes of this section, the population of a city shall
be determined by the most recent federal decennial census.
  SEC. 164.  Section 53515 of the Government Code is amended to read:

   53515.  (a) General obligation bonds issued and sold by or on
behalf of a local agency shall be secured by a statutory lien on all
revenues received pursuant to the levy and collection of the tax. The
lien shall automatically arise without the need for any action or
authorization by the local agency or its governing body. The lien
shall be valid and binding from the time the bonds are executed and
delivered. The revenues received pursuant to the levy and collection
of the tax shall be immediately subject to the lien, and the lien
shall immediately attach to the revenues and be effective, binding,
and enforceable against the local agency, its successors,
transferees, and creditors, and all others asserting rights therein,
irrespective of whether those parties have notice of the lien and
without the need for any physical delivery, recordation, filing, or
further act.
   (b) This section is not intended to supplement or limit a local
agency's power to issue general obligation bonds conferred by any
other law.
   (c) For purposes of this section, both of the following 
shall   definitions  apply: 
   (1) "Local agency" means any city, county, city and county, school
district, community college district, authority, or special
district.  
   (2) 
    (1)  "General obligation bonds" means bonds, warrants,
notes, or other evidence of indebtedness of a local agency payable,
both principal and interest, from the proceeds of ad valorem taxes
that may be levied pursuant to paragraphs (2) and (3) of subdivision
(b) of Section 1 of Article XIII A of the California Constitution.

   (2) "Local agency" means any city, county, city and county, school
district, community college district, authority, or special
district. 
  SEC. 165.  Section 56332 of the Government Code is amended to read:

   56332.  (a) The independent special district selection committee
shall consist of the presiding officer of the legislative body of
each independent special district. However, if the presiding officer
of an independent special district is unable to participate in a
meeting or election of the independent special district selection
committee, the legislative body of the district may appoint one of
its members as an alternate to participate in the selection committee
in the presiding officer's place. Those districts shall include
districts located wholly within the county and those containing
territory within the county representing 50 percent or more of the
assessed value of taxable property of the district, as shown on the
last equalized county assessment roll. Each member of the committee
shall be entitled to one vote for each independent special district
of which he or she is the presiding officer or his or her alternate
as designated by the governing body. Members representing a majority
of the eligible districts shall constitute a quorum.
   (b) The executive officer shall call and give written notice of
all meetings of the members of the selection committee. A meeting
shall be called and held under one of the following circumstances:
   (1) Whenever the executive officer anticipates that a vacancy will
occur within the next 90 days among the members or alternate member
representing independent special districts on the commission.
   (2) Whenever a vacancy exists among the members or alternate
member representing independent special districts upon the
commission.
   (3) Upon receipt of a written request by one or more members of
the selection committee representing districts having 10 percent or
more of the assessed value of taxable property within the county, as
shown on the last equalized county assessment roll.
   (c) The selection committee shall appoint two regular members and
one alternate member to the commission. The members so appointed
shall be elected or appointed members of the legislative body of an
independent special district residing within the county but shall not
be members of the legislative body of a city or county. If one of
the regular district members is absent from a commission meeting or
disqualifies himself or herself from participating in a meeting, the
alternate district member may serve and vote in place of the regular
district member for that meeting. Service on the commission by a
regular district member shall not disqualify, or be cause for
disqualification of, the member from acting on proposals affecting
the special district on whose legislative body the member serves. The
special district selection committee may, at the time it appoints a
member or alternate, provide that the member or alternate is
disqualified from voting on proposals affecting the district on whose
legislative body the member serves.
   (d) If the office of a regular district member becomes vacant, the
alternate member may serve and vote in place of the former regular
district member until the appointment and qualification of a regular
district member to fill the vacancy.
   (e) A majority of the independent special district selection
committee may determine to conduct the committee's business by mail,
including holding all elections by mailed ballot, pursuant to
subdivision (f).
   (f) If the independent special district selection committee has
determined to conduct the committee's business by mail or if the
executive officer determines that a meeting of the special district
selection committee, for the purpose of appointing the special
district members or filling vacancies, is not feasible, the executive
officer shall conduct the business of the committee by mail.
Elections by mail shall be conducted as provided in this subdivision.

   (1) The executive officer shall prepare and deliver a call for
nominations to each eligible district. The presiding officer, or his
or her alternate                                                 as
designated by the governing body, may respond in writing by the date
specified in the call for nominations, which date shall be at least
30 days from the date on which the executive officer mailed the call
for nominations to the eligible district.
   (2) At the end of the nominating period, if only one candidate is
nominated for a vacant seat, that candidate shall be deemed
appointed. If two or more candidates are nominated, the executive
officer shall prepare and deliver one ballot and voting instructions
to each eligible district. The ballot shall include the names of all
nominees and the office for which each was nominated. Each presiding
officer, or his or her alternate as designated by the governing body,
shall return the ballot to the executive officer by the date
specified in the voting instructions, which date shall be at least 30
days from the date on which the executive officer mailed the ballot
to the eligible district.
   (3) The call for nominations,  ballot,  
ballots,  and voting instructions shall be delivered by
certified mail to each eligible district. As an alternative to the
delivery by certified mail, the executive officer, with prior
concurrence of the presiding officer or his or her alternate as
designated by the governing body, may transmit materials by
electronic mail.
   (4) If the executive officer has transmitted the call for
nominations or  ballot   ballots  by
electronic mail, the presiding officer, or his or her alternate as
designated by the governing body, may respond to the executive
officer by electronic mail.
   (5) Each returned nomination and ballot shall be signed by the
presiding officer or his or her alternate as designated by the
governing body of the eligible district.
   (6) For an election to be valid, at least a quorum of the special
districts must submit valid ballots. The candidate receiving the most
votes shall be elected, unless another procedure has been adopted by
the selection committee. Any nomination and ballot received by the
executive officer after the date specified is invalid, provided,
however, that if a quorum of ballots is not received by that date,
the executive officer shall extend the date to submit ballots by 60
days and notify all districts of the extension. The executive officer
shall announce the results of the election within seven days of the
date specified.
   (7) All election materials shall be retained by the executive
officer for a period of at least six months after the announcement of
the election results.
   (g) For purposes of this section, "executive officer" means the
executive officer or designee as authorized by the commission.
  SEC. 166.  Section 82015 of the Government Code is amended to read:

   82015.  (a) "Contribution" means a payment, a forgiveness of a
loan, a payment of a loan by a third party, or an enforceable promise
to make a payment except to the extent that full and adequate
consideration is received, unless it is clear from the surrounding
circumstances that it is not made for political purposes.
   (b) (1) A payment made at the behest of a committee, as defined in
subdivision (a) of Section 82013, is a contribution to the committee
unless full and adequate consideration is received from the
committee for making the payment.
   (2) A payment made at the behest of a candidate is a contribution
to the candidate unless the criteria in either subparagraph (A) or
(B) are satisfied:
   (A) Full and adequate consideration is received from the
candidate.
   (B) It is clear from the surrounding circumstances that the
payment was made for purposes unrelated to his or her candidacy for
elective office. The following types of payments are presumed to be
for purposes unrelated to a candidate's candidacy for elective
office:
   (i) A payment made principally for personal purposes, in which
case it may be considered a gift under the provisions of Section
82028. Payments that are otherwise subject to the limits of Section
86203 are presumed to be principally for personal purposes.
   (ii) A payment made by a state, local, or federal governmental
agency or by a nonprofit organization that is exempt from taxation
under Section 501(c)(3) of the Internal Revenue Code. A payment by a
state, local, or federal governmental agency that is made principally
for legislative or governmental purposes is governed exclusively by
this clause and, therefore, is not subject to the reporting
requirement described in clause (iii).
   (iii) A payment not covered by clause (i), made principally for
legislative, governmental, or charitable purposes, in which case it
is neither a gift nor a contribution. However, payments of this type
that are made at the behest of a candidate who is an elected officer
shall be reported within 30 days following the date on which the
payment or payments equal or exceed five thousand dollars ($5,000) in
the aggregate from the same source in the same calendar year in
which they are made. The report shall be filed by the elected officer
with the elected officer's agency and shall be a public record
subject to inspection and copying pursuant to  subdivision
(a) of  Section 81008. The report shall contain the
following information: name of payor, address of payor, amount of the
payment, date or dates the payment or payments were made, the name
and address of the payee, a brief description of the goods or
services provided or purchased, if any, and a description of the
specific purpose or event for which the payment or payments were
made. Once the five-thousand-dollar ($5,000) aggregate threshold from
a single source has been reached for a calendar year, all payments
for the calendar year made by that source shall be disclosed within
30 days after the date the threshold was reached or the payment was
made, whichever occurs later. Within 30 days after receipt of the
report, state agencies shall forward a copy of these reports to the
Commission, and local agencies shall forward a copy of these reports
to the officer with whom elected officers of that agency file their
campaign statements.
   (C) For purposes of subparagraph (B), a payment is made for
purposes related to a candidate's candidacy for elective office if
all or a portion of the payment is used for election-related
activities. For purposes of this subparagraph, "election-related
activities" shall include, but are not limited to, the following:
   (i) Communications that contain express advocacy of the nomination
or election of the candidate or the defeat of his or her opponent.
   (ii) Communications that contain reference to the candidate's
candidacy for elective office, the candidate's election campaign, or
the candidate's or his or her opponent's qualifications for elective
office.
   (iii) Solicitation of contributions to the candidate or to third
persons for use in support of the candidate or in opposition to his
or her opponent.
   (iv) Arranging, coordinating, developing, writing, distributing,
preparing, or planning of any communication or activity described in
clause (i), (ii), or (iii).
   (v) Recruiting or coordinating campaign activities of campaign
volunteers on behalf of the candidate.
   (vi) Preparing campaign budgets.
   (vii) Preparing campaign finance disclosure statements.
   (viii) Communications directed to voters or potential voters as
part of activities encouraging or assisting persons to vote if the
communication contains express advocacy of the nomination or election
of the candidate or the defeat of his or her opponent.
   (D) A contribution made at the behest of a candidate for a
different candidate or to a committee not controlled by the behesting
candidate is not a contribution to the behesting candidate.
   (3) A payment made at the behest of a member of the Public
Utilities Commission, made principally for legislative, governmental,
or charitable purposes, is not a contribution. However, payments of
this type shall be reported within 30 days following the date on
which the payment or payments equal or exceed five thousand dollars
($5,000) in the aggregate from the same source in the same calendar
year in which they are made. The report shall be filed by the member
with the Public Utilities Commission and shall be a public record
subject to inspection and copying pursuant to  subdivision
(a) of  Section 81008. The report shall contain the
following information: name of payor, address of payor, amount of the
payment, date or dates the payment or payments were made, the name
and address of the payee, a brief description of the goods or
services provided or purchased, if any, and a description of the
specific purpose or event for which the payment or payments were
made. Once the five-thousand-dollar ($5,000) aggregate threshold from
a single source has been reached for a calendar year, all payments
for the calendar year made by that source shall be disclosed within
30 days after the date the threshold was reached or the payment was
made, whichever occurs later. Within 30 days after receipt of the
report, the Public Utilities Commission shall forward a copy of these
reports to the Fair Political Practices Commission.
   (c) "Contribution" includes the purchase of tickets for events
such as dinners, luncheons, rallies, and similar fundraising events;
the candidate's own money or property used on behalf of his or her
candidacy, other than personal funds of the candidate used to pay
either a filing fee for a declaration of candidacy or a candidate
statement prepared pursuant to Section 13307 of the Elections Code;
the granting of discounts or rebates not extended to the public
generally or the granting of discounts or rebates by television and
radio stations and newspapers not extended on an equal basis to all
candidates for the same office; the payment of compensation by any
person for the personal services or expenses of any other person if
the services are rendered or expenses incurred on behalf of a
candidate or committee without payment of full and adequate
consideration.
   (d) "Contribution" further includes any transfer of anything of
value received by a committee from another committee, unless full and
adequate consideration is received.
   (e) "Contribution" does not include amounts received pursuant to
an enforceable promise to the extent those amounts have been
previously reported as a contribution. However, the fact that those
amounts have been received shall be indicated in the appropriate
campaign statement.
   (f) (1) Except as provided in paragraph (2) or (3), "contribution"
does not include a payment made by an occupant of a home or office
for costs related to any meeting or fundraising event held in the
occupant's home or office if the costs for the meeting or fundraising
event are five hundred dollars ($500) or less.
   (2) "Contribution" includes a payment made by a lobbyist or a
cohabitant of a lobbyist for costs related to a fundraising event
held at the home of the lobbyist, including the value of the use of
the home as a fundraising event venue. A payment described in this
paragraph shall be attributable to the lobbyist for purposes of
Section 85702.
   (3) "Contribution" includes a payment made by a lobbying firm for
costs related to a fundraising event held at the office of the
lobbying firm, including the value of the use of the office as a
fundraising event venue.
   (g) Notwithstanding the foregoing definition of "contribution,"
the term does not include volunteer personal services or payments
made by any individual for his or her own travel expenses if the
payments are made voluntarily without any understanding or agreement
that they shall be, directly or indirectly, repaid to him or her.
   (h) "Contribution" further includes the payment of public moneys
by a state or local governmental agency for a communication to the
public that satisfies both of the following:
   (1) The communication expressly advocates the election or defeat
of a clearly identified candidate or the qualification, passage, or
defeat of a clearly identified measure, or, taken as a whole and in
context, unambiguously urges a particular result in an election.
   (2) The communication is made at the behest of the affected
candidate or committee.
   (i) "Contribution" further includes a payment made by a person to
a multipurpose organization as defined and described in Section
84222.
  SEC. 167.  Section 83123.6 of the Government Code is amended to
read:
   83123.6.  (a) Upon mutual agreement between the Commission and the
City Council of the City of Stockton, the Commission is authorized
to assume primary responsibility for the impartial, effective
administration, implementation, and enforcement of a local campaign
finance reform ordinance passed by the City Council of the City of
Stockton. The Commission is authorized to be the civil prosecutor
responsible for the civil enforcement of that local campaign finance
reform ordinance in accordance with this title. As the civil
prosecutor of the City of Stockton's local campaign finance reform
ordinance, the Commission may do both of the following:
   (1) Investigate possible violations of the local campaign finance
reform ordinance.
   (2) Bring administrative actions in accordance with this title and
Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of
Title 2.
   (b) Any local campaign finance reform ordinance of the City of
Stockton enforced by the Commission pursuant to this section shall
comply with this title.
   (c) The City Council of the City of Stockton shall consult with
the Commission before adopting and amending any local campaign
finance reform ordinance that is subsequently enforced by the
Commission pursuant to this section.
   (d) (1) The City Council of the City of Stockton and the
Commission may enter into any agreements necessary and appropriate to
carry out the provisions of this section, including agreements
pertaining to any necessary reimbursement of state costs with city
funds for costs incurred by the Commission in administering,
implementing, or enforcing a local campaign finance reform ordinance
pursuant to this section.
   (2) An agreement entered into pursuant to this subdivision shall
not contain any form of a cancellation fee, a liquidated damages
provision, or other financial disincentive to the exercise of the
right to terminate the agreement pursuant to subdivision (e), except
that the Commission may require the City Council of the City of
Stockton to pay the Commission for services rendered and any other
expenditures reasonably made by the Commission in anticipation of
services to be rendered pursuant to the agreement if the City Council
of the City of Stockton terminates the agreement.
   (e) The City Council of the City of Stockton or the Commission
may, at any time, by ordinance or resolution, terminate any agreement
made pursuant to this section for the Commission to administer,
implement, or enforce a local campaign finance reform ordinance or
any provision  thereof.   of the ordinance.

   (f) If an agreement is entered into pursuant to this section, the
Commission shall report to the Legislature regarding the performance
of that agreement on or before January 1, 2019, and shall submit that
report in compliance with Section 9795. The Commission shall develop
the report in consultation with the City Council of the City of
Stockton. The report shall include, but not be limited to, all of the
following:
   (1) The status of the agreement.
   (2) The estimated annual cost savings, if any, for the City of
Stockton.
   (3) A summary of relevant annual performance metrics, including
measures of  utilization,   use, 
enforcement, and customer satisfaction.
   (4) Public comments submitted to the Commission or the City of
Stockton relative to the operation of the agreement.
   (5) Legislative recommendations.
   (g) 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. 168.  Section 87207 of the Government Code is amended to read:

   87207.  (a) If income is required to be reported under this
article, the statement shall contain, except as provided in
subdivision (b):
   (1) The name and address of each source of income aggregating five
hundred dollars ($500) or more in value, or fifty dollars ($50) or
more in value if the income was a gift, and a general description of
the business activity, if any, of each source.
   (2) A statement whether the aggregate value of income from each
source, or in the case of a loan, the highest amount owed to each
source, was at least five hundred dollars ($500) but did not exceed
one thousand dollars ($1,000), whether it was in excess of one
thousand dollars ($1,000) but was not greater than ten thousand
dollars ($10,000), whether it was greater than ten thousand dollars
($10,000) but not greater than one hundred thousand dollars
($100,000), or whether it was greater than one hundred thousand
dollars ($100,000).
   (3) A description of the consideration, if any, for which the
income was received.
   (4) In the case of a gift, the amount and the date on which the
gift was received, and the travel destination for purposes of a gift
that is a travel payment, advance, or reimbursement.
   (5) In the case of a loan, the annual interest rate, the security,
if any, given for the loan, and the term of the loan.
   (b) If the filer's pro rata share of income to a business entity,
including income to a sole proprietorship, is required to be reported
under this article, the statement shall contain:
   (1) The name, address, and a general description of the business
activity of the business entity.
   (2) The name of every person from whom the business entity
received payments if the filer's pro rata share of gross receipts
from that person was equal to or greater than ten thousand dollars
($10,000) during a calendar year.
   (c) If a payment, including an advance or reimbursement, for
travel is required to be reported pursuant to this section, it may be
reported on a separate travel reimbursement schedule which shall be
included in the filer's statement of economic  interest.
  interests.  A filer who chooses not to use the
travel schedule shall disclose payments for travel as a gift, unless
it is clear from all surrounding circumstances that the services
provided were equal to or greater in value than the payments for the
travel, in which case the travel may be reported as income.
  SEC. 169.  Section 89506 of the Government Code is amended to read:

   89506.  (a) Payments, advances, or reimbursements for travel,
including actual transportation and related lodging and subsistence
that is reasonably related to a legislative or governmental purpose,
or to an issue of state, national, or international public policy,
are not prohibited or limited by this chapter if either of the
following applies:
   (1) The travel is in connection with a speech given by the elected
state officer, local elected officeholder, candidate for elective
state office or local elective office, an individual specified in
Section 87200, member of a state board or commission, or designated
employee of a state or local government agency, the lodging and
subsistence expenses are limited to the day immediately preceding,
the day of, and the day immediately following the speech, and the
travel is within the United States.
   (2) The travel is provided by a government, a governmental agency,
a foreign government, a governmental authority, a bona fide public
or private educational institution, as defined in Section 203 of the
Revenue and Taxation Code, a nonprofit organization that is exempt
from taxation under Section 501(c)(3) of the Internal Revenue Code,
or by a person domiciled outside the United States who substantially
satisfies the requirements for tax-exempt status under Section 501(c)
(3) of the Internal Revenue Code.
   (b) Gifts of travel not described in subdivision (a) are subject
to the limits in Section 89503.
   (c) Subdivision (a) applies only to travel that is reported on the
recipient's statement of economic interests.
   (d) For purposes of this section, a gift of travel does not
include any of the following:
   (1) Travel that is paid for from campaign funds, as permitted by
Article 4 (commencing with Section 89510), or that is a contribution.

   (2) Travel that is provided by the  governmental  agency
of a local elected officeholder, an elected state officer, member of
a state board or commission, an individual specified in Section
87200, or a designated employee.
   (3) Travel that is reasonably necessary in connection with a bona
fide business, trade, or profession and that satisfies the criteria
for federal income tax deduction for business expenses in Sections
162 and 274 of the Internal Revenue Code, unless the sole or
predominant activity of the business, trade, or profession is making
speeches.
   (4) Travel that is excluded from the definition of a gift by any
other provision of this title.
   (e) This section does not apply to payments, advances, or
reimbursements for travel and related lodging and subsistence
permitted or limited by Section 170.9 of the Code of Civil Procedure.

   (f) (1) A nonprofit organization that regularly organizes and
hosts travel for elected officials and that makes payments, advances,
or reimbursements that total more than ten thousand dollars
($10,000) in a calendar year, or that total more than five thousand
dollars ($5,000) in a calendar year for a single person, for travel
by an elected state officer or local elected officeholder as
described in subdivision (a) shall disclose to the Commission the
names of donors who did both of the following in the preceding year:
   (A) Donated one thousand dollars ($1,000) or more to the nonprofit
organization.
   (B) Accompanied an elected state officer or local elected
officeholder, either personally or through an agent, employee, or
representative, for any portion of travel described in subdivision
(a).
   (2) For purposes of this subdivision,  an   a
nonprofit  organization "regularly organizes and hosts travel
for elected officials" if the sum of the  nonprofit 
organization's expenses that relate to any of the following types of
activities with regard to elected officials was greater than
one-third of its total expenses reflected on the  nonprofit 
organization's Internal Revenue Service Form 990, or the equivalent,
filed most recently within the last 12 months:
   (A) Travel.
   (B) Study tours.
   (C) Conferences, conventions, and meetings.
   (3) This subdivision does not preclude a finding that a nonprofit
organization is acting as an intermediary or agent of the donor. If
the nonprofit organization is acting as an intermediary or agent of
the donor, all of the following apply:
   (A) The donor to the nonprofit organization is the source of the
gift.
   (B) The donor shall be identified as a financial interest under
Section 87103.
   (C) The gift shall be reported as required by Section 87207.
   (D) The gift shall be subject to the limitations on gifts
specified in Section 89503.
   (4) For purposes of this subdivision, a nonprofit organization
includes an organization that is exempt from taxation under Section
501(c)(3) or Section 501(c)(4) of the Internal Revenue Code.
  SEC. 170.  Section 1204.2 of the Health and Safety Code, as added
by Section 1 of Chapter 704 of the Statutes of 2015, is amended to
read:
   1204.2.  (a) Notwithstanding any other law, including, but not
limited to, Section 75047  of Article 6 of Chapter 7 of Division
5  of Title 22 of the California Code of Regulations, and except
as provided in subdivision (c), a primary care clinic described in
subdivision (a) of Section 1204 that is licensed pursuant to this
chapter shall not be required to enter into a written transfer
agreement with a nearby hospital as a condition of licensure.
   (b) (1) A primary care clinic shall send with each patient at the
time of transfer, or in the case of an emergency, as promptly as
possible, copies of all medical records related to the patient's
transfer. To the extent practicable and applicable to the patient's
transfer, the medical records shall include current medical findings,
diagnoses, laboratory results, medications provided prior to
transfer, a brief summary of the course of treatment provided prior
to transfer, ambulation status, nursing and dietary information, name
and contact information for the treating physician at the clinic,
 and   and,  as appropriate, pertinent
administrative and demographic information related to the patient,
including name and date of birth.
   (2) The requirements in paragraph (1)  shall 
 do  not apply if the primary care clinic has entered into a
written transfer agreement with a local hospital that provides for
the transfer of medical records.
   (c) A primary care clinic licensed pursuant to subdivision (a) of
Section 1204 that provides services as an alternative birth center
shall, as a condition of licensure, be required to maintain a written
transfer agreement with a local hospital. The transfer agreement
shall include provisions for communication and transportation to meet
medical emergencies. Essential personal, health, and medical
information shall either accompany the patient upon transfer or be
transmitted immediately by telephone to the receiving facility. This
section does not modify or supersede the requirements imposed on
alternative birth centers described in Section 1204.3.
   (d) The State Department of Public Health, no later than July 1,
2016, shall repeal Section 75047 of  Article 6 of  Chapter 7
of Division 5 of Title 22 of the California Code of Regulations.
   (e) This section shall remain in effect only until January 1,
2018, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2018, deletes or extends
that date.
  SEC. 171.  Section 1204.2 of the Health and Safety Code, as added
by Section 2 of Chapter 704 of the Statutes of 2015, is amended to
read:
   1204.2.  (a) Notwithstanding any other law, and except as provided
in subdivision (c), a primary care clinic described in subdivision
(a) of Section 1204 that is licensed pursuant to this chapter shall
not be required to enter into a written transfer agreement with a
nearby hospital as a condition of licensure.
   (b) (1) A primary care clinic shall send with each patient at the
time of transfer, or in the case of an emergency, as promptly as
possible, copies of all medical records related to the patient's
transfer. To the extent practicable and applicable to the patient's
transfer, the medical records shall include current medical findings,
diagnoses, laboratory
results, medications provided prior to transfer, a brief summary of
the course of treatment provided prior to transfer, ambulation
status, nursing and dietary information, name and contact information
for the treating physician at the clinic,  and 
 and,  as appropriate, pertinent administrative and
demographic information related to the patient, including name and
date of birth.
   (2) The requirements in paragraph (1)  shall 
 do  not apply if the primary care clinic has entered into a
written transfer agreement with a local hospital that provides for
the transfer of medical records.
   (c) A primary care clinic licensed pursuant to subdivision (a) of
Section 1204 that provides services as an alternative birth center
shall, as a condition of licensure, be required to maintain a written
transfer agreement with a local hospital. The transfer agreement
shall include provisions for communication and transportation to meet
medical emergencies. Essential personal, health, and medical
information shall either accompany the patient upon transfer or be
transmitted immediately by telephone to the receiving facility. This
section does not modify or supersede the requirements imposed on
alternative birth centers described in Section 1204.3.
   (d) This section shall become operative on January 1, 2018.
  SEC. 172.  Section 1262.5 of the Health and Safety Code is amended
to read:
   1262.5.  (a) Each hospital shall have a written discharge planning
policy and process.
   (b) The policy required by subdivision (a) shall require that
appropriate arrangements for posthospital care, including, but not
limited to, care at home, in a skilled nursing or intermediate care
facility, or from a hospice, are made prior to discharge for those
patients who are likely to suffer adverse health consequences upon
discharge if there is no adequate discharge planning. If the hospital
determines that the patient and family members or interested persons
need to be counseled to prepare them for posthospital care, the
hospital shall provide for that counseling.
   (c) As part of the discharge planning process, the hospital shall
provide each patient who has been admitted to the hospital as an
inpatient with an opportunity to identify one family caregiver who
may assist in posthospital care, and shall record this information in
the patient's medical chart. 
   (A) 
    (1)  In the event that the patient is unconscious or
otherwise incapacitated upon admittance to the hospital, the hospital
shall provide the patient or patient's legal guardian with an
opportunity to designate a caregiver within a specified time period,
at the discretion of the attending physician, following the patient's
recovery of consciousness or capacity. The hospital shall promptly
document the attempt in the patient's medical record. 
   (B) 
    (2)  In the event that the patient or legal guardian
declines to designate a caregiver pursuant to this section, the
hospital shall promptly document this declination in the patient's
medical record, when appropriate.
   (d) The policy required by subdivision (a) shall require that the
patient's designated family caregiver be notified of the patient's
discharge or transfer to another facility as soon as possible and, in
any event, upon issuance of a discharge order by the patient's
attending physician. If the hospital is unable to contact the
designated caregiver, the lack of contact shall not interfere with,
delay, or otherwise affect the medical care provided to the patient
or an appropriate discharge of the patient. The hospital shall
promptly document the attempted notification in the patient's medical
record.
   (e) The process required by subdivision (a) shall require that the
patient and family caregiver be informed of the continuing health
care requirements following discharge from the hospital. The right to
information regarding continuing health care requirements following
discharge shall also apply to the person who has legal responsibility
to make decisions regarding medical care on behalf of the patient,
if the patient is unable to make those decisions for himself or
herself. The hospital shall provide an opportunity for the patient
and his or her designated family caregiver to engage in the discharge
planning process, which shall include providing information and,
when appropriate, instruction regarding the posthospital care needs
of the patient. This information shall include, but is not limited
to, education and counseling about the patient's medications,
including dosing and proper use of medication delivery devices, when
applicable. The information shall be provided in a culturally
competent manner and in a language that is comprehensible to the
patient and caregiver, consistent with the requirements of state and
federal law, and shall include an opportunity for the caregiver to
ask questions about the posthospital care needs of the patient.
   (f) (1) A transfer summary shall accompany the patient upon
transfer to a skilled nursing or intermediate care facility or to the
distinct part-skilled nursing or intermediate care service unit of
the hospital. The transfer summary shall include essential
information relative to the patient's diagnosis, hospital course,
pain treatment and management, medications, treatments, dietary
requirement, rehabilitation potential, known allergies, and treatment
plan, and shall be signed by the physician.
   (2) A copy of the transfer summary shall be given to the patient
and the patient's legal representative, if any, prior to transfer to
a skilled nursing or intermediate care facility.
   (g) A hospital shall establish and implement a written policy to
ensure that each patient receives, at the time of discharge,
information regarding each medication dispensed, pursuant to Section
4074 of the Business and Professions Code.
   (h) A hospital shall provide every patient anticipated to be in
need of long-term care at the time of discharge with contact
information for at least one public or nonprofit agency or
organization dedicated to providing information or referral services
relating to community-based long-term care options in the patient's
county of residence and appropriate to the needs and characteristics
of the patient. At a minimum, this information shall include contact
information for the area agency on aging serving the patient's county
of residence, local independent living centers, or other information
appropriate to the needs and characteristics of the patient.
   (i) A contract between a general acute care hospital and a health
care service plan that is issued, amended, renewed, or delivered on
or after January 1, 2002,  may   shall  not
contain a provision that prohibits or restricts any health care
facility's compliance with the requirements of this section.
   (j) Discharge planning policies adopted by a hospital in
accordance with this section shall ensure that planning is
appropriate to the condition of the patient being discharged from the
hospital and to the discharge destination and meets the needs and
acuity of patients.
   (k) This section does not require a hospital to do either of the
following:
   (1) Adopt a policy that would delay discharge or transfer of a
patient.
   (2) Disclose information if the patient has not provided consent
that meets the standards required by state and federal laws governing
the privacy and security of protected health information.
   (l) This section does not supersede or modify any privacy and
information security requirements and protections in federal and
state law regarding protected health information or personally
identifiable information, including, but not limited to, the federal
Health Insurance Portability and Accountability Act of 1996 (42
U.S.C. Sec. 300gg).
   (m) For the purposes of this section, "family caregiver" means a
relative, friend, or neighbor who provides assistance related to an
underlying physical or mental disability but who is unpaid for those
services.
  SEC. 173.  Section 1266 of the Health and Safety Code is amended to
read:
   1266.  (a) The Licensing and Certification Division shall be
supported entirely by federal funds and special funds by no earlier
than the beginning of the 2009-10 fiscal year unless otherwise
specified in statute, or unless funds are specifically appropriated
from the General Fund in the annual Budget Act or other enacted
legislation. For the 2007-08 fiscal year, General Fund support shall
be provided to offset licensing and certification fees in an amount
of not less than two million seven hundred eighty-two thousand
dollars ($2,782,000).
   (b) (1) The Licensing and Certification Program fees for the
2006-07 fiscal year shall be as follows:

Type of Facility               Fee
General Acute Care Hospitals   $ 134.10  per bed
Acute Psychiatric Hospitals    $ 134.10  per bed
Special Hospitals              $ 134.10  per bed
Chemical Dependency Recovery
Hospitals                      $ 123.52  per bed
Skilled Nursing Facilities     $ 202.96  per bed
Intermediate Care Facilities   $ 202.96  per bed
Intermediate Care Facilities-
Developmentally Disabled       $ 592.29  per bed
Intermediate Care Facilities-
Developmentally Disabled-                per
Habilitative                   $1,000.00 facility
Intermediate Care Facilities-
Developmentally Disabled-                per
Nursing                        $1,000.00 facility
Home Health Agencies                     per
                                $2,700.00 facility
Referral Agencies                        per
                                $5,537.71 facility
Adult Day Health Centers                 per
                                $4,650.02 facility
Congregate Living Health
Facilities                     $ 202.96  per bed
Psychology Clinics                       per
                                $ 600.00  facility
Primary Clinics- Community               per
and Free                       $ 600.00  facility
Specialty Clinics- Rehab
Clinics                                  per
  (For       profit)            $2,974.43 facility
  (Nonprofit)                             per
                                $ 500.00  facility
Specialty Clinics- Surgical              per
and Chronic                    $1,500.00 facility
Dialysis Clinics                         per
                                $1,500.00 facility
Pediatric Day Health/Respite
Care                           $ 142.43  per bed
Alternative Birthing Centers             per
                                $2,437.86 facility
Hospice                                  per
                                $1,000.00 provider
Correctional Treatment Centers $ 590.39  per bed


   (2) (A) In the first year of licensure for intermediate care
facility/developmentally disabled-continuous nursing (ICF/DD-CN)
facilities, the licensure fee for those facilities shall be
equivalent to the licensure fee for intermediate care
facility/developmentally disabled-nursing facilities during the same
year. Thereafter, the licensure fee for ICF/DD-CN facilities shall be
established pursuant to the same procedures described in this
section.
   (B) In the first year of licensure for hospice facilities, the
licensure fee shall be equivalent to the licensure fee for congregate
living health facilities during the same year. Thereafter, the
licensure fee for hospice facilities shall be established pursuant to
the same procedures described in this section.
   (c) Commencing in the 2015-16 fiscal year, the fees for skilled
nursing facilities shall be increased so as to generate four hundred
thousand dollars ($400,000) for the California Department of Aging's
Long-Term Care Ombudsman Program for its work related to
investigating complaints made against skilled nursing facilities and
increasing visits to those facilities.
   (d) Commencing February 1, 2007, and every February 1 thereafter,
the department shall publish a list of estimated fees pursuant to
this section. The calculation of estimated fees and the publication
of the report and list of estimated fees shall not be subject to the
rulemaking requirements of Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code.
   (e) Notwithstanding Section 10231.5 of the Government Code, by
February 1 of each year, the department shall prepare the following
reports and shall make those reports, and the list of estimated fees
required to be published pursuant to subdivision (d), available to
the public by submitting them to the Legislature and posting them on
the department's Internet Web site:
   (1) A report of all costs for activities of the Licensing and
Certification Program. At a minimum, this report shall include a
narrative of all baseline adjustments and their calculations, a
description of how each category of facility was calculated,
descriptions of assumptions used in any calculations, and shall
recommend Licensing and Certification Program fees in accordance with
the following:
   (A) Projected workload and costs shall be grouped for each fee
category, including workload costs for facility categories that have
been established by statute and for which licensing regulations and
procedures are under development.
   (B) Cost estimates, and the estimated fees, shall be based on the
appropriation amounts in the Governor's proposed budget for the next
fiscal year, with and without policy adjustments to the fee
methodology.
   (C) The allocation of program, operational, and administrative
overhead, and indirect costs to fee categories shall be based on
generally accepted cost allocation methods. Significant items of
costs shall be directly charged to fee categories if the expenses can
be reasonably identified to the fee category that caused them.
Indirect and overhead costs shall be allocated to all fee categories
using a generally accepted cost allocation method.
   (D) The amount of federal funds and General Fund moneys to be
received in the budget year shall be estimated and allocated to each
fee category based upon an appropriate metric.
   (E) The fee for each category shall be determined by dividing the
aggregate state share of all costs for the Licensing and
Certification Program by the appropriate metric for the category of
licensure. Amounts actually received for new licensure applications,
including change of ownership applications, and late payment
penalties, pursuant to Section 1266.5, during each fiscal year shall
be calculated and 95 percent shall be applied to the appropriate fee
categories in determining Licensing and Certification Program fees
for the second fiscal year following receipt of those funds. The
remaining 5 percent shall be retained in the fund as a reserve until
appropriated.
   (2) (A) A staffing and systems analysis to ensure efficient and
effective utilization of fees collected, proper allocation of
departmental resources to licensing and certification activities,
survey schedules, complaint investigations, enforcement and appeal
activities, data collection and dissemination, surveyor training, and
policy development.
   (B) The analysis under this paragraph shall be made available to
interested persons and shall include all of the following:
   (i) The number of surveyors and administrative support personnel
devoted to the licensing and certification of health care facilities.

   (ii) The percentage of time devoted to licensing and certification
activities for the various types of health facilities.
   (iii) The number of facilities receiving full surveys and the
frequency and number of followup visits.
   (iv) The number and timeliness of complaint investigations,
including data on the department's compliance with the requirements
of paragraphs (3), (4), and (5) of subdivision (a) of Section 1420.
   (v) Data on deficiencies and citations issued, and numbers of
citation review conferences and arbitration hearings.
   (vi) Other applicable activities of the licensing and
certification division.
   (3) The annual program fee report described in subdivision (d) of
Section 1416.36.
   (f) The reports required pursuant to subdivision (e) shall be
submitted in compliance with Section 9795 of the Government Code.
   (g) (1) The department shall adjust the list of estimated fees
published pursuant to  subdivision(d)  
subdivision (d)  if the annual Budget Act or other enacted
legislation includes an appropriation that differs from those
proposed in the Governor's proposed budget for that fiscal year.
   (2) The department shall publish a final fee list, with an
explanation of any adjustment, by the issuance of an all facilities
letter, by posting the list on the department's Internet Web site,
and by including the final fee list as part of the licensing
application package, within 14 days of the enactment of the annual
Budget Act. The adjustment of fees and the publication of the final
fee list shall not be subject to the rulemaking requirements of
Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code.
   (h) (1) Fees shall not be assessed or collected pursuant to this
section from any state department, authority, bureau, commission, or
officer, unless federal financial participation would become
available by doing so and an appropriation is included in the annual
Budget Act for that state department, authority, bureau, commission,
or officer for this purpose. Fees shall not be assessed or collected
pursuant to this section from any clinic that is certified only by
the federal government and is exempt from licensure under Section
1206, unless federal financial participation would become available
by doing so.
   (2) For the 2006-07 state fiscal year, a fee shall not be assessed
or collected pursuant to this section from any general acute care
hospital owned by a health care district with 100 beds or less.
   (i) The Licensing and Certification Program may change annual
license expiration renewal dates to provide for efficiencies in
operational processes or to provide for sufficient cashflow to pay
for expenditures. If an annual license expiration date is changed,
the renewal fee shall be prorated accordingly. Facilities shall be
provided with a 60-day notice of any change in their annual license
renewal date.
   (j) Commencing with the 2018-19 November Program estimate, the
Licensing and Certification Program shall evaluate the feasibility of
reducing investigation timelines based on experience with
implementing paragraphs (3), (4), and (5) of subdivision (a) of
Section 1420.
  SEC. 174.  Section 1279.7 of the Health and Safety Code is amended
to read:
   1279.7.  (a) A health facility, as defined in subdivision (a),
(b), (c), or (f) of Section 1250, shall implement a 
facility-wide   facilitywide  hand hygiene program.

   (b) Commencing January 1, 2017, a health facility, as defined in
subdivision (a), (b), (c), or (f) of Section 1250, is prohibited from
using an epidural connector that would fit into a connector other
than the type it was intended for, unless an emergency or urgent
situation exists and the prohibition would impair the ability to
provide health care.
   (c) Commencing January 1, 2016, a health facility, as defined in
subdivision (a), (b), (c), or (f) of Section 1250, is prohibited from
using an intravenous connector that would fit into a connector other
than the type it was intended for, unless an emergency or urgent
situation exists and the prohibition would impair the ability to
provide health care.
   (d) Commencing July 1, 2016, a health facility, as defined in
subdivision (a), (b), (c), or (f) of Section 1250, is prohibited from
using an enteral feeding connector that would fit into a connector
other than the type it was intended for, unless an emergency or
urgent situation exists and the prohibition would impair the ability
to provide health care.
   (e) The Advanced Medical Technology Association shall, on January
1 of each year until the standards are developed, provide the
Legislature with a report on the progress of the International
Organization for Standardization in developing new design standards
for connectors for intravenous, epidural, or enteral applications.
   (f) A health facility that is required to develop a patient safety
plan pursuant to Section 1279.6 shall include in the patient safety
plan measures to prevent adverse events associated with misconnecting
intravenous, enteral feeding, and epidural lines. This subdivision
shall become inoperative as to epidural connectors upon the operative
date of subdivision (b), and as to intravenous connectors upon the
operative date of subdivision (c). and as to enteral feeding
connectors upon the operative date of subdivision (d).
  SEC. 175.  Section 1342.71 of the Health and Safety Code, as added
by Section 1 of Chapter 619 of the Statutes of 2015, is amended to
read:
   1342.71.  (a) The Legislature hereby finds and declares all of the
following:
   (1) The federal Patient Protection and Affordable Care Act, its
implementing regulations and guidance, and related state law prohibit
discrimination based on a person's expected length of life, present
or predicted disability, degree of medical dependency, quality of
life, or other health conditions, including benefit designs that have
the effect of discouraging the enrollment of individuals with
significant health needs.
   (2) The Legislature intends to build on existing state and federal
law to ensure that health coverage benefit designs do not have an
unreasonable discriminatory impact on chronically ill individuals,
and to ensure affordability of outpatient prescription drugs.
   (3) Assignment of all or most prescription medications that treat
a specific medical condition to the highest cost tiers of a formulary
may effectively discourage enrollment by chronically ill
individuals, and may result in lower adherence to a prescription drug
treatment regimen.
   (b) A nongrandfathered health care service plan contract that is
offered, amended, or renewed on or after January 1, 2017, shall
comply with this section. The cost-sharing limits established by this
section apply only to outpatient prescription drugs covered by the
contract that constitute essential health benefits, as defined in
Section 1367.005.
   (c) A health care service plan contract that provides coverage for
outpatient prescription drugs shall cover medically necessary
prescription drugs, including nonformulary drugs determined to be
medically necessary consistent with this chapter.
   (d) (1) Consistent with federal law and guidance, the formulary or
formularies for outpatient prescription drugs maintained by the
health care service plan shall not discourage the enrollment of
individuals with health conditions and shall not reduce the
generosity of the benefit for enrollees with a particular condition
in a manner that is not based on a clinical indication or reasonable
medical management practices. Section 1342.7 and any regulations
adopted pursuant to that section shall be interpreted in a manner
that is consistent with this section.
   (2) For combination antiretroviral drug treatments that are
medically necessary for the treatment of AIDS/HIV, a health care
service plan contract shall cover a single-tablet drug regimen that
is as effective as a multitablet regimen unless, consistent with
clinical guidelines and peer-reviewed scientific and medical
literature, the multitablet regimen is clinically equally or more
effective and more likely to result in adherence to a drug regimen.
   (e) (1) With respect to an individual or group health care service
plan contract subject to Section 1367.006, the copayment,
coinsurance, or any other form of cost sharing for a covered
outpatient prescription drug for an individual prescription for a
supply of up to 30 days shall not exceed two hundred fifty dollars
($250), except as provided in paragraphs (2) and (3).
   (2) With respect to products with actuarial value at, or
equivalent to, the bronze level, cost sharing for a covered
outpatient prescription drug for an individual prescription for a
supply of up to 30 days shall not exceed five hundred dollars ($500),
except as provided in paragraph (3).
   (3) For a health care service plan contract that is a "high
deductible health plan" under the definition set forth in Section 223
(c)(2) of Title 26 of the United States Code, paragraphs (1) and (2)
of this subdivision shall apply only once an enrollee's deductible
has been satisfied for the year.
   (4) For a nongrandfathered individual or small group health care
service plan contract, the annual deductible for outpatient drugs, if
any, shall not exceed twice the amount specified in paragraph (1) or
(2), respectively.
   (5) For purposes of paragraphs (1) and (2), "any other form of
cost sharing" shall not include  a  deductible.
   (f) (1) If a health care service plan contract for a
nongrandfathered individual or small group product maintains a drug
formulary grouped into tiers that includes a fourth tier, a health
care service plan contract shall use the following definitions for
each tier of the drug formulary:
   (A) Tier one shall consist of most generic drugs and low-cost
preferred brand name drugs.
   (B) Tier two shall consist of nonpreferred generic drugs,
preferred brand name drugs, and any other drugs recommended by the
health care service plan's pharmacy and therapeutics committee based
on safety, efficacy, and cost.
   (C) Tier three shall consist of nonpreferred brand name drugs or
drugs that are recommended by the health care service plan's pharmacy
and therapeutics committee based on safety, efficacy, and cost, or
that generally have a preferred and often less costly therapeutic
alternative at a lower tier.
   (D) Tier four shall consist of drugs that are biologics, drugs
that the FDA or the manufacturer requires to be distributed through a
specialty pharmacy, drugs that require the enrollee to have special
training or clinical monitoring for self-administration, or drugs
that cost the health plan more than six hundred dollars ($600) net of
rebates for a one-month supply.
   (2) In placing specific drugs on specific tiers, or choosing to
place a drug on the formulary, the health care service plan shall
take into account the other provisions of this section and this
chapter.
   (3) A health care service plan contract may maintain a drug
formulary with fewer than four tiers.
   (4) This section shall not be construed to limit a health care
service plan from placing any drug in a lower tier.
   (g) A health care service plan contract shall ensure that the
placement of prescription drugs on formulary tiers is based on
clinically indicated, reasonable medical management practices.
   (h) This section shall not be construed to
                  require a health care service plan to impose cost
sharing. This section shall not be construed to require cost sharing
for prescription drugs that state or federal law otherwise requires
to be provided without cost sharing.
   (i) This section does not require or authorize a health care
service plan that contracts with the State Department of Health Care
Services to provide services to Medi-Cal beneficiaries to provide
coverage for prescription drugs that are not required pursuant to
those programs or contracts, or to limit or exclude any prescription
drugs that are required by those programs or contracts.
   (j) In the provision of outpatient prescription drug coverage, a
health care service plan may utilize formulary, prior authorization,
step therapy, or other reasonable medical management practices
consistent with this chapter.
   (k) This section  shall   does  not
apply to a health care service plan that contracts with the State
Department of Health Care Services.
   (l) 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. 176.  Section 1358.18 of the Health and Safety Code is amended
to read:
   1358.18.  In the interest of full and fair disclosure, and to
ensure the availability of necessary consumer information to
potential subscribers or enrollees not possessing a special knowledge
of Medicare, health care service plans, or Medicare supplement
contracts, an issuer shall comply with the following provisions:
   (a) Application forms shall include the following questions
designed to elicit information as to whether, as of the date of the
application, the applicant currently has Medicare supplement,
Medicare Advantage, Medi-Cal coverage, or another health insurance
policy or certificate or plan contract in force or whether a Medicare
supplement contract is intended to replace any other disability
policy or certificate, or plan contract, presently in force. A
supplementary application or other form to be signed by the applicant
and solicitor containing those questions and statements may be used.

      "(Statements)

   (1) You do not need more than one Medicare supplement policy or
contract.
   (2) If you purchase this contract, you may want to evaluate your
existing health coverage and decide if you need multiple coverages.
   (3) You may be eligible for benefits under Medi-Cal or Medicaid
and may not need a Medicare supplement contract.
   (4) If, after purchasing this contract, you become eligible for
Medi-Cal, the benefits and premiums under your Medicare supplement
contract can be suspended, if requested, during your entitlement to
benefits under Medi-Cal or Medicaid for 24 months. You must request
this suspension within 90 days of becoming eligible for Medi-Cal or
Medicaid. If you are no longer entitled to Medi-Cal or Medicaid, your
suspended Medicare supplement contract or, if that is no longer
available, a substantially equivalent contract, will be reinstituted
if requested within 90 days of losing Medi-Cal or Medicaid
eligibility. If the Medicare supplement contract provided coverage
for outpatient prescription drugs and you enrolled in Medicare Part D
while your contract was suspended, the reinstituted contract will
not have outpatient prescription drug coverage, but will otherwise be
substantially equivalent to your coverage before the date of the
suspension.
   (5) If you are eligible for, and have enrolled in, a Medicare
supplement contract by reason of disability and you later become
covered by an employer or union-based group health plan, the benefits
and premiums under your Medicare supplement contract can be
suspended, if requested, while you are covered under the employer or
union-based group health plan. If you suspend your Medicare
supplement contract under these circumstances and later lose your
employer or union-based group health plan, your suspended Medicare
supplement contract or, if that is no longer available, a
substantially equivalent contract, will be reinstituted if requested
within 90 days of losing your employer or union-based group health
plan. If the Medicare supplement contract provided coverage for
outpatient prescription drugs and you enrolled in Medicare Part D
while your contract was suspended, the reinstituted contract will not
have outpatient prescription drug coverage, but will otherwise be
substantially equivalent to your coverage before the date of the
suspension.
   (6) Counseling services are available in this state to provide
advice concerning your purchase of Medicare supplement coverage and
concerning medical assistance through the Medi-Cal or Medicaid
Program, including benefits as a qualified Medicare beneficiary (QMB)
and a specified low-income Medicare beneficiary (SLMB). Information
regarding counseling services may be obtained from the California
Department of Aging.
      (Questions)

   If you lost or are losing other health insurance coverage and
received a notice from your prior insurer saying you were eligible
for guaranteed issue of a Medicare supplement insurance contract or
that you had certain rights to buy such a contract, you may be
guaranteed acceptance in one or more of our Medicare supplement
plans. Please include a copy of the notice from your prior insurer
with your application. PLEASE ANSWER ALL QUESTIONS.
   Please mark Yes or No below with an "X."]
   To the best of your knowledge,
   (1) (a) Did you turn 65 years of age in the last 6  months
  months? 
   Yes____ No____
   (b) Did you enroll in Medicare Part B in the last 6 
months   months? 
   Yes____ No____
   (c) If yes, what is the effective  date  
date?   ___________________
   (2) Are you covered for medical assistance through California's
Medi-Cal  program   program? 
   NOTE TO APPLICANT: If you have a share of cost under the Medi-Cal
program, please answer NO to this question.
   Yes____ No____
   If yes,
   (a) Will Medi-Cal pay your premiums for this Medicare supplement
 contract   contract? 
   Yes____ No____
   (b) Do you receive benefits from Medi-Cal OTHER THAN payments
toward your Medicare Part B  premium   premium?

   Yes____ No____
   (3) (a) If you had coverage from any Medicare plan other than
original Medicare within the past 63 days (for example, a Medicare
Advantage plan or a Medicare HMO or PPO), fill in your start and end
dates below. If you are still covered under this plan, leave "END"
blank.
   START __/__/__ END __/__/__
   (b) If you are still covered under the Medicare plan, do you
intend to replace your current coverage with this new Medicare
supplement  contract   contract? 
   Yes____ No____
   (c) Was this your first time in this type of Medicare 
plan   plan? 
   Yes____ No____
   (d) Did you drop a Medicare supplement contract to enroll in the
Medicare  plan   plan? 
   Yes____ No____
   (4) (a) Do you have another Medicare supplement policy or
certificate or contract in  force   force? 

   Yes____ No____
   (b) If so, with what company, and what plan do you  have
  have?  optional for Direct Mailers]
   Yes____ No____
   (c) If so, do you intend to replace your current Medicare
supplement policy or certificate or contract with this 
contract   contract? 
   Yes____ No____
   (5) Have you had coverage under any other health insurance within
the past 63  days   days?  (For example, an
employer, union, or individual plan)
   Yes____ No____
   (a) If so, with what companies and what kind of  policy
  policy? 
   ________________________________________________
   ________________________________________________
   ________________________________________________
   ________________________________________________
   (b) What are your dates of coverage under the other 
policy   policy? 
   START __/__/__ END __/__/__
   (If you are still covered under the other policy, leave "END"
blank)."

   (b) Solicitors shall list any other health insurance policies or
plan contracts they have sold to the applicant as follows:
   (1) List policies and contracts sold that are still in force.
   (2) List policies and contracts sold in the past five years that
are no longer in force.
   (c) An issuer issuing Medicare supplement contracts without a
solicitor or solicitor firm (a direct response issuer) shall return
to the applicant, upon delivery of the contract, a copy of the
application or supplemental forms, signed by the applicant and
acknowledged by the issuer.
   (d) Upon determining that a sale will involve replacement of
Medicare supplement coverage, an issuer, other than a direct response
issuer, or its agent, shall furnish the applicant, prior to issuance
for delivery of the Medicare supplement contract, a notice regarding
replacement of Medicare supplement coverage. One copy of the notice
signed by the applicant and the agent, except where the coverage is
sold without an agent, shall be provided to the applicant and an
additional signed copy shall be retained by the issuer. A direct
response issuer shall deliver to the applicant at the time of the
issuance of the contract the notice regarding replacement of Medicare
supplement coverage.
   (e) The notice required by subdivision (d) for an issuer shall be
provided in substantially the following form in no less than 12-point
type:
      NOTICE TO APPLICANT REGARDING REPLACEMENT OF MEDICARE
SUPPLEMENT COVERAGE OR MEDICARE ADVANTAGE


(Company name and address)

SAVE THIS NOTICE! IT MAY BE IMPORTANT TO YOU IN THE FUTURE

   According to your application] information you have furnished],
you intend to lapse or otherwise terminate an existing Medicare
supplement policy or contract or Medicare Advantage plan and replace
it with a contract to be issued by Plan Name]. Your contract to be
issued by Plan Name] will provide 30 days within which you may decide
without cost whether you desire to keep the contract. You should
review this new coverage carefully. Compare it with all accident and
sickness coverage you now have. Terminate your present policy or
contract only if, after due consideration, you find that purchase of
this Medicare supplement coverage is a wise decision.

   STATEMENT TO APPLICANT BY PLAN, SOLICITOR, SOLICITOR FIRM, OR
OTHER REPRESENTATIVE:
   (1) I have reviewed your current medical or health coverage. To
the best of my knowledge, the replacement of coverage involved in
this transaction does not duplicate coverage or, if applicable,
Medicare Advantage coverage because you intend to terminate your
existing Medicare supplement coverage or leave your Medicare
Advantage plan. The replacement contract is being purchased for the
following reason (check one):
   __ Additional benefits.
   __ No change in benefits, but lower premiums or charges.
   __ Fewer benefits and lower premiums or charges.
   __ Plan has outpatient prescription drug coverage and applicant is
enrolled in Medicare Part D.
   __ Disenrollment from a Medicare Advantage plan. Reasons for
disenrollment:
   __ Other. (please specify) ________.
   (2) If the issuer of the Medicare supplement contract being
applied for does not impose, or is otherwise prohibited from
imposing, preexisting condition limitations, please skip to statement
3 below. Health conditions that you may presently have (preexisting
conditions) may not be immediately or fully covered under the new
contract. This could result in denial or delay of a claim for
benefits under the new contract, whereas a similar claim might have
been payable under your present contract.
   (3) State law provides that your replacement Medicare supplement
contract may not contain new preexisting conditions, waiting periods,
elimination periods, or probationary periods. The plan will waive
any time periods applicable to preexisting conditions, waiting
periods, elimination periods, or probationary periods in the new
coverage for similar benefits to the extent that time was spent
(depleted) under the original contract.
   (4) If you still wish to terminate your present policy or contract
and replace it with new coverage, be certain to truthfully and
completely answer any and all questions on the application concerning
your medical and health history. Failure to include all material
medical information on an application requesting that information may
provide a basis for the plan to deny any future claims and to refund
your prepaid or periodic payment as though your contract had never
been in force. After the application has been completed and before
you sign it, review it carefully to be certain that all information
has been properly recorded.
   (5) Do not cancel your present Medicare supplement coverage until
you have received your new contract and are sure you want to keep it.

_________________________________________________
    (Signature of Solicitor, Solicitor Firm, or
                       Other
                  Representative)
   (Typed Name and Address of Plan, Solicitor, or
                  Solicitor Firm)
_________________________________________________
              (Applicant's Signature)
_________________________________________________
                       (Date)


   (f) The application form or other consumer information for persons
eligible for Medicare and used by an issuer shall contain, as an
attachment, a Medicare supplement buyer's guide in the form approved
by the director. The application or other consumer information,
containing, as an attachment, the buyer's guide, shall be mailed or
delivered to each applicant applying for that coverage at or before
the time of application and, to establish compliance with this
subdivision, the issuer shall obtain an acknowledgment of receipt of
the attached buyer's guide from each applicant.  No 
 An  issuer shall  not  make use of or otherwise
disseminate any buyer's guide that does not accurately outline
current Medicare supplement benefits.  No   An
 issuer shall  not  be required to provide more than
one copy of the buyer's guide to any applicant.
   (g) An issuer may comply with the requirement of this section in
the case of group contracts by causing the subscriber (1) to
disseminate copies of the disclosure form containing as an attachment
the buyer's guide to all persons eligible under the group contract
at the time those persons are offered the Medicare supplement plan,
and (2) collecting and forwarding to the issuer an acknowledgment of
receipt of the disclosure form containing, as an attachment, the
buyer's guide from each enrollee.
   (h) An issuer shall not require, request, or obtain health
information as part of the application process for an applicant who
is eligible for guaranteed issuance of, or open enrollment for, any
Medicare supplement coverage pursuant to Section 1358.11 or 1358.12,
except for purposes of paragraph (1) or (2) of subdivision (a) of
Section 1358.11 when the applicant is first enrolled in Medicare Part
B. The application form shall include a clear and conspicuous
statement that the applicant is not required to provide health
information during a period where guaranteed issue or open enrollment
applies, as specified in Section 1358.11 or 1358.12, except for
purposes of paragraph (1) or (2) of subdivision (a) of Section
1358.11 when the applicant is first enrolled in Medicare Part B, and
shall inform the applicant of those periods of guaranteed issuance of
Medicare supplement coverage. This subdivision does not prohibit an
issuer from requiring proof of eligibility for a guaranteed issuance
of Medicare supplement coverage.
  SEC. 177.  Section 1367.005 of the Health and Safety Code, as added
by Section 2 of Chapter 648 of the Statutes of 2015, is amended to
read:
   1367.005.  (a) An individual or small group health care service
plan contract issued, amended, or renewed on or after January 1,
2017, shall, at a minimum, include coverage for essential health
benefits pursuant to PPACA and as outlined in this section. For
purposes of this section, "essential health benefits" means all of
the following:
   (1) Health benefits within the categories identified in Section
1302(b) of PPACA: ambulatory patient services, emergency services,
hospitalization, maternity and newborn care, mental health and
substance use disorder services, including behavioral health
treatment, prescription drugs, rehabilitative and habilitative
services and devices, laboratory services, preventive and wellness
services and chronic disease management, and pediatric services,
including oral and vision care.
   (2) (A) The health benefits covered by the Kaiser Foundation
Health Plan Small Group HMO 30 plan (federal health product
identification number 40513CA035) as this plan was offered during the
first quarter of 2014, as follows, regardless of whether the
benefits are specifically referenced in the evidence of coverage or
plan contract for that plan:
   (i) Medically necessary basic health care services, as defined in
subdivision (b) of Section 1345 and in Section 1300.67 of Title 28 of
the California Code of Regulations.
   (ii) The health benefits mandated to be covered by the plan
pursuant to statutes enacted before December 31, 2011, as described
in the following sections: Sections 1367.002, 1367.06, and 1367.35
(preventive services for children); Section 1367.25 (prescription
drug coverage for contraceptives); Section 1367.45 (AIDS vaccine);
Section 1367.46 (HIV testing); Section 1367.51 (diabetes); Section
1367.54  (alpha feto protein  
(alpha-fetoprotein  testing); Section 1367.6 (breast cancer
screening); Section 1367.61 (prosthetics for laryngectomy); Section
1367.62 (maternity hospital stay); Section 1367.63 (reconstructive
surgery); Section 1367.635 (mastectomies); Section 1367.64 (prostate
cancer); Section 1367.65 (mammography); Section 1367.66 (cervical
cancer); Section 1367.665 (cancer screening tests); Section 1367.67
(osteoporosis); Section 1367.68 (surgical procedures for jaw bones);
Section 1367.71 (anesthesia for dental); Section 1367.9 (conditions
attributable to diethylstilbestrol); Section 1368.2 (hospice care);
Section 1370.6 (cancer clinical trials); Section 1371.5 (emergency
response ambulance or ambulance transport services); subdivision (b)
of Section 1373 (sterilization operations or procedures); Section
1373.4 (inpatient hospital and ambulatory maternity); Section 1374.56
(phenylketonuria); Section 1374.17 (organ transplants for HIV);
Section 1374.72 (mental health parity); and Section 1374.73
(autism/behavioral health treatment).
   (iii) Any other benefits mandated to be covered by the plan
pursuant to statutes enacted before December 31, 2011, as described
in those statutes.
   (iv) The health benefits covered by the plan that are not
otherwise required to be covered under this chapter, to the extent
required pursuant to Sections 1367.18, 1367.21, 1367.215, 1367.22,
1367.24, and 1367.25, and Section 1300.67.24 of Title 28 of the
California Code of Regulations.
   (v) Any other health benefits covered by the plan that are not
otherwise required to be covered under this chapter.
   (B)  Where   If    there are
any conflicts or omissions in the plan identified in subparagraph (A)
as compared with the requirements for health benefits under this
chapter that were enacted prior to December 31, 2011, the
requirements of this chapter shall be controlling, except as
otherwise specified in this section.
   (C) Notwithstanding subparagraph (B) or any other provision of
this section, the home health services benefits covered under the
plan identified in subparagraph (A) shall be deemed to not be in
conflict with this chapter.
   (D) For purposes of this section, the Paul Wellstone and Pete
Domenici Mental Health Parity and Addiction Equity Act of 2008
(Public Law 110-343) shall apply to a contract subject to this
section. Coverage of mental health and substance use disorder
services pursuant to this paragraph, along with any scope and
duration limits imposed on the benefits, shall be in compliance with
the Paul Wellstone and Pete Domenici Mental Health Parity and
Addiction Equity Act of 2008 (Public Law 110-343), and all rules,
regulations, or guidance issued pursuant to Section 2726 of the
federal Public Health Service Act (42 U.S.C. Sec. 300gg-26).
   (3) With respect to habilitative services, in addition to any
habilitative services and devices identified in paragraph (2),
coverage shall also be provided as required by federal rules,
regulations, and guidance issued pursuant to Section 1302(b) of
PPACA. Habilitative services and devices shall be covered under the
same terms and conditions applied to rehabilitative services and
devices under the plan contract. Limits on habilitative and
rehabilitative services and devices shall not be combined.
   (4) With respect to pediatric vision care, the same health
benefits for pediatric vision care covered under the Federal
Employees Dental and Vision Insurance Program vision plan with the
largest national enrollment as of the first quarter of 2014. The
pediatric vision care benefits covered pursuant to this paragraph
shall be in addition to, and shall not replace, any vision services
covered under the plan identified in paragraph (2).
   (5) With respect to pediatric oral care, the same health benefits
for pediatric oral care covered under the dental benefit received by
children under the Medi-Cal program as of 2014, including the
provision of medically necessary orthodontic care provided pursuant
to the federal Children's Health Insurance Program Reauthorization
Act of 2009. The pediatric oral care benefits covered pursuant to
this paragraph shall be in addition to, and shall not replace, any
dental or orthodontic services covered under the plan identified in
paragraph (2).
   (b) Treatment limitations imposed on health benefits described in
this section shall be no greater than the treatment limitations
imposed by the corresponding plans identified in subdivision (a),
subject to the requirements set forth in paragraph (2) of subdivision
(a).
   (c) Except as provided in subdivision (d), nothing in this section
shall be construed to permit a health care service plan to make
substitutions for the benefits required to be covered under this
section, regardless of whether those substitutions are actuarially
equivalent.
   (d) To the extent permitted under Section 1302 of PPACA and any
rules, regulations, or guidance issued pursuant to that section, and
to the extent that substitution would not create an obligation for
the state to defray costs for any individual, a plan may substitute
its prescription drug formulary for the formulary provided under the
plan identified in subdivision (a) as long as the coverage for
prescription drugs complies with the sections referenced in clauses
(ii) and (iv) of subparagraph (A) of paragraph (2) of subdivision (a)
that apply to prescription drugs.
   (e)  No   A  health care service plan,
or its agent, solicitor, or representative, shall  not 
issue, deliver, renew, offer, market, represent, or sell any product,
contract, or discount arrangement as compliant with the essential
health benefits requirement in federal law, unless it meets all of
the requirements of this section.
   (f) This section  shall apply   applies 
regardless of whether the plan contract is offered inside or outside
the California Health Benefit Exchange created by Section 100500 of
the Government Code.
   (g)  Nothing in this   This  section
shall  not  be construed to exempt a plan or a plan contract
from meeting other applicable requirements of law.
   (h) This section shall not be construed to prohibit a plan
contract from covering additional benefits, including, but not
limited to, spiritual care services that are tax deductible under
Section 213 of the Internal Revenue Code.
   (i) Subdivision (a)  shall   does  not
apply to any of the following:
   (1) A specialized health care service plan contract.
   (2) A Medicare supplement plan.
   (3) A plan contract that qualifies as a grandfathered health plan
under Section 1251 of PPACA or any rules, regulations, or guidance
issued pursuant to that section.
   (j)  Nothing in this   This  section
shall  not  be implemented in a manner that conflicts with a
requirement of PPACA.
   (k) This section shall be implemented only to the extent essential
health benefits are required pursuant to PPACA.
   (l) An essential health benefit is required to be provided under
this section only to the extent that federal law does not require the
state to defray the costs of the benefit.
   (m)  Nothing in this   This  section
 shall   does not  obligate the state to
incur costs for the coverage of benefits that are not essential
health benefits as defined in this section.
   (n) A plan is not required to cover, under this section, changes
to health benefits that are the result of statutes enacted on or
after December 31, 2011.
   (o) (1) The department may adopt emergency regulations
implementing this section. The department may, on a one-time basis,
readopt any emergency regulation authorized by this section that is
the same as, or substantially equivalent to, an emergency regulation
previously adopted under this section.
   (2) The initial adoption of emergency regulations implementing
this section and the readoption of emergency regulations authorized
by this subdivision shall be deemed an emergency and necessary for
the immediate preservation of the public peace, health, safety, or
general welfare. The initial emergency regulations and the readoption
of emergency regulations authorized by this section shall be
submitted to the Office of Administrative Law for filing with the
Secretary of State and each shall remain in effect for no more than
180 days, by which time final regulations may be adopted.
   (3) The initial adoption of emergency regulations implementing
this section made during the 2015-16 Regular Session of the
Legislature and the readoption of emergency regulations authorized by
this subdivision shall be deemed an emergency and necessary for the
immediate preservation of the public peace, health, safety, or
general welfare. The initial emergency regulations and the readoption
of emergency regulations authorized by this section shall be
submitted to the Office of Administrative Law for filing with the
Secretary of State and each shall remain in effect for no more than
180 days, by which time final regulations may be adopted.
   (4) The director shall consult with the Insurance Commissioner to
ensure consistency and uniformity in the development of regulations
under this subdivision.
   (5) This subdivision shall become inoperative on July 1, 2018.
                                     (p) For purposes of this
section, the following definitions  shall  apply:
   (1) "Habilitative services" means health care services and devices
that help a person keep, learn, or improve skills and functioning
for daily living. Examples include therapy for a child who is not
walking or talking at the expected age. These services may include
physical and occupational therapy, speech-language pathology, and
other services for people with disabilities in a variety of inpatient
or outpatient settings, or both. Habilitative services shall be
covered under the same terms and conditions applied to rehabilitative
services under the plan contract.
   (2) (A) "Health benefits," unless otherwise required to be defined
pursuant to federal rules, regulations, or guidance issued pursuant
to Section 1302(b) of PPACA, means health care items or services for
the diagnosis, cure, mitigation, treatment, or prevention of illness,
injury, disease, or a health condition, including a behavioral
health condition.
   (B) "Health benefits" does not mean any cost-sharing requirements
such as copayments, coinsurance, or deductibles.
   (3) "PPACA" means the federal Patient Protection and Affordable
Care Act (Public Law 111-148), as amended by the federal Health Care
and Education Reconciliation Act of 2010 (Public Law 111-152), and
any rules, regulations, or guidance issued thereunder.
   (4) "Small group health care service plan contract" means a group
health care service plan contract issued to a small employer, as
defined in Section 1357.500.
  SEC. 178.  Section 1367.27 of the Health and Safety Code is amended
to read:
   1367.27.  (a) Commencing July 1, 2016, a health care service plan
shall publish and maintain a provider directory or directories with
information on contracting providers that deliver health care
services to the plan's enrollees, including those that accept new
patients. A provider directory shall not list or include information
on a provider that is not currently under contract with the plan.
   (b) A health care service plan shall provide the directory or
directories for the specific network offered for each product using a
consistent method of network and product naming, numbering, or other
classification method that ensures the public, enrollees, potential
enrollees, the department, and other state or federal agencies can
easily identify the networks and plan products in which a provider
participates. By July 31, 2017, or 12 months after the date provider
directory standards are developed under subdivision (k), whichever
occurs later, a health care service plan shall use the naming,
numbering, or classification method developed by the department
pursuant to subdivision (k).
   (c) (1) An online provider directory or directories shall be
available on the plan's Internet Web site to the public, potential
enrollees, enrollees, and providers without any restrictions or
limitations. The directory or directories shall be accessible without
any requirement that an individual seeking the directory information
demonstrate coverage with the plan, indicate interest in obtaining
coverage with the plan, provide a member identification or policy
number, provide any other identifying information, or create or
access an account.
   (2) The online provider directory or directories shall be
accessible on the plan's public Internet Web site through an
identifiable link or tab and in a manner that is accessible and
searchable by enrollees, potential enrollees, the public, and
providers. By July 31, 2017, or 12 months after the date provider
directory standards are developed under subdivision (k), whichever
occurs later, the plan's public Internet Web site shall allow
provider searches by, at a minimum, name, practice address, city, ZIP
Code, California license number, National Provider Identifier
number, admitting privileges to an identified hospital, product,
tier, provider language or languages, provider group, hospital name,
facility name, or clinic name, as appropriate.
   (d) (1) A health care service plan shall allow enrollees,
potential enrollees, providers, and members of the public to request
a printed copy of the provider directory or directories by contacting
the plan through the plan's toll-free telephone number,
electronically, or in writing. A printed copy of the provider
directory or directories shall include the information required in
subdivisions (h) and (i). The printed copy of the provider directory
or directories shall be provided to the requester by mail postmarked
no later than five business days following the date of the request
and may be limited to the geographic region in which the requester
resides or works or intends to reside or work.
   (2) A health care service plan shall update its printed provider
directory or directories at least quarterly, or more frequently, if
required by federal law.
   (e) (1) The plan shall update the online provider directory or
directories, at least weekly, or more frequently, if required by
federal law, when informed of and upon confirmation by the plan of
any of the following:
   (A) A contracting provider is no longer accepting new patients for
that product, or an individual provider within a provider group is
no longer accepting new patients.
   (B) A provider is no longer under contract for a particular plan
product.
   (C) A provider's practice location or other information required
under subdivision (h) or (i) has changed.
   (D) Upon completion of the investigation described in subdivision
(o), a change is necessary based on an enrollee complaint that a
provider was not accepting new patients, was otherwise not available,
or whose contact information was listed incorrectly.
   (E) Any other information that affects the content or accuracy of
the provider directory or directories.
   (2) Upon confirmation of any of the following, the plan shall
delete a provider from the directory or directories when:
   (A) A provider has retired or otherwise has ceased to practice.
   (B) A provider or provider group is no longer under contract with
the plan for any reason.
   (C) The contracting provider group has informed the plan that the
provider is no longer associated with the provider group and is no
longer under contract with the plan.
   (f) The provider directory or directories shall include both an
email address and a telephone number for members of the public and
providers to notify the plan if the provider directory information
appears to be inaccurate. This information shall be disclosed
prominently in the directory or directories and on the plan's
Internet Web site.
   (g) The provider directory or directories shall include the
following disclosures informing enrollees that they are entitled to
both of the following:
   (1) Language interpreter services, at no cost to the enrollee,
including how to obtain interpretation services in accordance with
Section 1367.04.
   (2) Full and equal access to covered services, including enrollees
with disabilities as required under the federal Americans with
Disabilities Act of 1990 and Section 504 of the Rehabilitation Act of
1973.
   (h) A full service health care service plan and a specialized
mental health plan shall include all of the following information in
the provider directory or directories:
   (1) The provider's name, practice location or locations, and
contact information.
   (2) Type of practitioner.
   (3) National Provider Identifier number.
   (4) California license number and type of license.
   (5) The area of specialty, including board certification, if any.
   (6) The provider's office email address, if available.
   (7) The name of each affiliated provider group currently under
contract with the plan through which the provider sees enrollees.
   (8) A listing for each of the following providers that are under
contract with the plan:
   (A) For physicians and surgeons, the provider group, and admitting
privileges, if any, at hospitals contracted with the plan.
   (B) Nurse practitioners, physician assistants, psychologists,
acupuncturists, optometrists, podiatrists, chiropractors, licensed
clinical social workers, marriage and family therapists, professional
clinical counselors, qualified autism service providers, as defined
in Section 1374.73, nurse midwives, and dentists.
   (C) For federally qualified health centers or primary care
clinics, the name of the federally qualified health center or clinic.

   (D) For any provider described in subparagraph (A) or (B) who is
employed by a federally qualified health center or primary care
clinic, and to the extent their services may be accessed and are
covered through the contract with the plan, the name of the provider,
and the name of the federally qualified health center or clinic.
   (E) Facilities, including, but not limited to, general acute care
hospitals, skilled nursing facilities, urgent care clinics,
ambulatory surgery centers, inpatient hospice, residential care
facilities, and inpatient rehabilitation facilities.
   (F) Pharmacies, clinical laboratories, imaging centers, and other
facilities providing contracted health care services.
   (9) The provider directory or directories may note that
authorization or referral may be required to access some providers.
   (10) Non-English language, if any, spoken by a health care
provider or other medical professional as well as non-English
language spoken by a qualified medical interpreter, in accordance
with Section 1367.04, if any, on the provider's staff.
   (11) Identification of providers who no longer accept new patients
for some or all of the plan's products.
   (12) The network tier to which the provider is assigned, if the
provider is not in the lowest tier, as applicable. Nothing in this
section shall be construed to require the use of network tiers other
than contract and noncontracting tiers.
   (13) All other information necessary to conduct a search pursuant
to paragraph (2) of subdivision (c).
   (i) A vision, dental, or other specialized health care service
plan, except for a specialized mental health plan, shall include all
of the following information for each provider directory or
directories used by the plan for its networks:
   (1) The provider's name, practice location or locations, and
contact information.
   (2) Type of practitioner.
   (3) National Provider Identifier number.
   (4) California license number and type of license, if applicable.
   (5) The area of specialty, including board certification, or other
accreditation, if any.
   (6) The provider's office email address, if available.
   (7) The name of each affiliated provider group or specialty plan
practice group currently under contract with the plan through which
the provider sees enrollees.
   (8) The names of each allied health care professional to the
extent there is a direct contract for those services covered through
a contract with the plan.
   (9) The non-English language, if any, spoken by a health care
provider or other medical professional as well as non-English
language spoken by a qualified medical interpreter, in accordance
with Section 1367.04, if any, on the provider's staff.
   (10) Identification of providers who no longer accept new patients
for some or all of the plan's products.
   (11) All other applicable information necessary to conduct a
provider search pursuant to paragraph (2) of subdivision (c).
   (j) (1) The contract between the plan and a provider shall include
a requirement that the provider inform the plan within five business
days when either of the following  occur:  
occurs: 
   (A) The provider is not accepting new patients.
   (B) If the provider had previously not accepted new patients, the
provider is currently accepting new patients.
   (2) If a provider who is not accepting new patients is contacted
by an enrollee or potential enrollee seeking to become a new patient,
the provider shall direct the enrollee or potential enrollee to both
the plan for additional assistance in finding a provider and to the
department to report any inaccuracy with the plan's directory or
directories.
   (3) If an enrollee or potential enrollee informs a plan of a
possible inaccuracy in the provider directory or directories, the
plan shall promptly investigate, and, if necessary, undertake
corrective action within 30 business days to ensure the accuracy of
the directory or directories.
   (k) (1) On or before December 31, 2016, the department shall
develop uniform provider directory standards to permit consistency in
accordance with subdivision (b) and paragraph (2) of subdivision (c)
and development of a multiplan directory by another entity. Those
standards shall not be subject to the Administrative Procedure Act
(Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code), until January 1, 2021. No more
than two revisions of those standards shall be exempt from the
Administrative Procedure Act (Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code)
pursuant to this subdivision.
   (2) In developing the standards under this subdivision, the
department shall seek input from interested parties throughout the
process of developing the standards and shall hold at least one
public meeting. The department shall take into consideration any
requirements for provider directories established by the federal
Centers for Medicare and Medicaid Services and the State Department
of Health Care Services.
   (3) By July 31, 2017, or 12 months after the date provider
directory standards are developed under this subdivision, whichever
occurs later, a plan shall use the standards developed by the
department for each product offered by the plan.
   (l) (1) A plan shall take appropriate steps to ensure the accuracy
of the information concerning each provider listed in the plan's
provider directory or directories in accordance with this section,
and shall, at least annually, review and update the entire provider
directory or directories for each product offered. Each calendar year
the plan shall notify all contracted providers described in
subdivisions (h) and (i) as follows:
   (A) For individual providers who are not affiliated with a
provider group described in subparagraph (A) or (B) of paragraph (8)
of subdivision (h) and providers described in subdivision (i), the
plan shall notify each provider at least once every six months.
   (B) For all other providers described in subdivision (h) who are
not subject to the requirements of subparagraph (A), the plan shall
notify its contracted providers to ensure that all of the providers
are contacted by the plan at least once annually.
   (2) The notification shall include all of the following:
   (A) The information the plan has in its directory or directories
regarding the provider or provider group, including a list of
networks and plan products that include the contracted provider or
provider group.
   (B) A statement that the failure to respond to the notification
may result in a delay of payment or reimbursement of a claim pursuant
to subdivision (p).
   (C) Instructions on how the provider or provider group can update
the information in the provider directory or directories using the
online interface developed pursuant to subdivision (m).
   (3) The plan shall require an affirmative response from the
provider or provider group acknowledging that the notification was
received. The provider or provider group shall confirm that the
information in the provider directory or directories is current and
accurate or update the information required to be in the directory or
directories pursuant to this section, including whether or not the
provider or provider group is accepting new patients for each plan
product.
   (4) If the plan does not receive an affirmative response and
confirmation from the provider that the information is current and
accurate or, as an alternative, updates any information required to
be in the directory or directories pursuant to this section, within
30 business days, the plan shall take no more than 15 business days
to verify whether the provider's information is correct or requires
updates. The plan shall document the receipt and outcome of each
attempt to verify the information. If the plan is unable to verify
whether the provider's information is correct or requires updates,
the plan shall notify the provider 10 business days in advance of
removal that the provider will be removed from the provider directory
or directories. The provider shall be removed from the provider
directory or directories at the next required update of the provider
directory or directories after the  10-business day 
 10-business-day  notice period. A provider shall not be
removed from the provider directory or directories if he or she
responds before the end of the  10-business day 
 10-business-day  notice period.
   (5) General acute care hospitals shall be exempt from the
requirements in paragraphs (3) and (4).
   (m) A plan shall establish policies and procedures with regard to
the regular updating of its provider directory or directories,
including the weekly, quarterly, and annual updates required pursuant
to this section, or more frequently, if required by federal law or
guidance.
   (1) The policies and procedures described under  this 
subdivision  (l)  shall be submitted by a plan
annually to the department for approval and in a format described by
the department pursuant to Section 1367.035.
   (2) Every health care service plan shall ensure processes are in
place to allow providers to promptly verify or submit changes to the
information required to be in the directory or directories pursuant
to this section. Those processes shall, at a minimum, include an
online interface for providers to submit verification or changes
electronically and shall generate an acknowledgment of receipt from
the health care service plan. Providers shall verify or submit
changes to information required to be in the directory or directories
pursuant to this section using the process required by the health
care service plan.
   (3) The plan shall establish and maintain a process for enrollees,
potential enrollees, other providers, and the public to identify and
report possible inaccurate, incomplete, or misleading information
currently listed in the plan's provider directory or directories.
 These processes   This process  shall, at
a minimum, include a telephone number and a dedicated email address
at which the plan will accept these reports, as well as a hyperlink
on the plan's provider directory Internet Web site linking to a form
where the information can be reported directly to the plan through
its Internet Web site.
   (n) (1) This section does not prohibit a plan from requiring its
provider groups or contracting specialized health care service plans
to provide information to the plan that is required by the plan to
satisfy the requirements of this section for each of the providers
that contract with the provider group or contracting specialized
health care service plan. This responsibility shall be specifically
documented in a written contract between the plan and the provider
group or contracting specialized health care service plan.
   (2) If a plan requires its contracting provider groups or
contracting specialized health care service plans to provide the plan
with information described in paragraph (1), the plan shall continue
to retain responsibility for ensuring that the requirements of this
section are satisfied.
   (3) A provider group may terminate a contract with a provider for
a pattern or repeated failure of the provider to update the
information required to be in the directory or directories pursuant
to this section.
   (4) A provider group is not subject to the payment delay described
in subdivision (p) if all of the following occurs:
   (A) A provider does not respond to the provider group's attempt to
verify the provider's information. As used in this paragraph,
"verify" means to contact the provider in writing, electronically,
and by telephone to confirm whether the provider's information is
correct or requires updates.
   (B) The provider group documents its efforts to verify the
provider's information.
   (C) The provider group reports to the plan that the provider
should be deleted from the provider group in the plan directory or
directories.
   (5) Section 1375.7, known as the Health Care Providers' Bill of
Rights, applies to any material change to a provider contract
pursuant to this section.
   (o) (1) Whenever a health care service plan receives a report
indicating that information listed in its provider directory or
directories is inaccurate, the plan shall promptly investigate the
reported inaccuracy and, no later than 30 business days following
receipt of the report, either verify the accuracy of the information
or update the information in its provider directory or directories,
as applicable.
   (2) When investigating a report regarding its provider directory
or directories, the plan shall, at a minimum, do the following:
   (A) Contact the affected provider no later than five business days
following receipt of the report.
   (B) Document the receipt and outcome of each report. The
documentation shall include the provider's name, location, and a
description of the plan's investigation, the outcome of the
investigation, and any changes or updates made to its provider
directory or directories.
   (C) If changes to a plan's provider directory or directories are
required as a result of the plan's investigation, the changes to the
online provider directory or directories shall be made no later than
the next scheduled weekly update, or the update immediately following
that update, or sooner if required by federal law or regulations.
For printed provider directories, the change shall be made no later
than the next required update, or sooner if required by federal law
or regulations.
   (p) (1) Notwithstanding Sections 1371 and 1371.35, a plan may
delay payment or reimbursement owed to a provider or provider group
as specified in subparagraph (A) or (B), if the provider or provider
group fails to respond to the plan's attempts to verify the provider'
s or provider group's information as required under subdivision (l).
The plan shall not delay payment unless it has attempted to verify
the provider's or provider group's information. As used in this
subdivision, "verify" means to contact the provider or provider group
in writing, electronically, and by telephone to confirm whether the
provider's or provider group's information is correct or requires
updates. A plan may seek to delay payment or reimbursement owed to a
provider or provider group only after the 10-business day notice
period described in paragraph (4) of subdivision (l) has lapsed.
   (A) For a provider or provider group that receives compensation on
a capitated or prepaid basis, the plan may delay no more than 50
percent of the next scheduled capitation payment for up to one
calendar month.
   (B) For any claims payment made to a provider or provider group,
the plan may delay the claims payment for up to one calendar month
beginning on the first day of the following month.
   (2) A plan shall notify the provider or provider group 10 business
days before it seeks to delay payment or reimbursement to a provider
or provider group pursuant to this subdivision. If the plan delays a
payment or reimbursement pursuant to this subdivision, the plan
shall reimburse the full amount of any payment or reimbursement
subject to delay to the provider or provider group according to
either of the following timelines, as applicable:
   (A) No later than three business days following the date on which
the plan receives the information required to be submitted by the
provider or provider group pursuant to subdivision (l).
   (B) At the end of the one-calendar month delay described in
subparagraph (A) or (B) of paragraph (1), as applicable, if the
provider or provider group fails to provide the information required
to be submitted to the plan pursuant to subdivision (l).
   (3) A plan may terminate a contract for a pattern or repeated
failure of the provider or provider group to alert the plan to a
change in the information required to be in the directory or
directories pursuant to this section.
   (4) A plan that delays payment or reimbursement under this
subdivision shall document each instance a payment or reimbursement
was delayed and report this information to the department in a format
described by the department pursuant to Section 1367.035. This
information shall be submitted along with the policies and procedures
required to be submitted annually to the department pursuant to
paragraph (1) of subdivision (m).
   (5) With respect to plans with Medi-Cal managed care contracts
with the State Department of Health Care Services pursuant to Chapter
7 (commencing with Section 14000), Chapter 8 (commencing with
Section 14200), or Chapter 8.75 (commencing with Section 14591) of
the Welfare and Institutions Code, this subdivision shall be
implemented only to the extent consistent with federal law and
guidance.
   (q) In circumstances where the department finds that an enrollee
reasonably relied upon materially inaccurate, incomplete, or
misleading information contained in a health plan's provider
directory or directories, the department may require the health plan
to provide coverage for all covered health care services provided to
the enrollee and to reimburse the enrollee for any amount beyond what
the enrollee would have paid, had the services been delivered by an
in-network provider under the enrollee's plan contract. Prior to
requiring reimbursement in these circumstances, the department shall
conclude that the services received by the enrollee were covered
services under the enrollee's plan contract. In those circumstances,
the fact that the services were rendered or delivered by a
noncontracting or out-of-plan provider shall not be used as a basis
to deny reimbursement to the enrollee.
   (r) Whenever a plan determines as a result of this section that
there has been a  10-percent   10 percent 
change in the network for a product in a region, the plan shall file
an amendment to the plan application with the department consistent
with subdivision (f) of Section 1300.52 of Title 28 of the California
Code of Regulations.
   (s) This section  shall apply   applies 
to plans with Medi-Cal managed care contracts with the State
Department of Health Care Services pursuant to Chapter 7 (commencing
with Section 14000), Chapter 8 (commencing with Section 14200), or
Chapter 8.75 (commencing with Section 14591) of the Welfare and
Institutions Code to the extent consistent with federal
                             law and guidance and state law guidance
issued after January 1, 2016. Notwithstanding any other provision to
the contrary in a plan contract with the State Department of Health
Care Services, and to the extent consistent with federal law and
guidance and state guidance issued after January 1, 2016, a Medi-Cal
managed care plan that complies with the requirements of this section
shall not be required to distribute a printed provider directory or
directories, except as required by paragraph (1) of subdivision (d).
   (t) A health plan that contracts with multiple employer welfare
agreements regulated pursuant to Article 4.7 (commencing with Section
742.20) of Chapter 1 of Part 2 of Division 1 of the Insurance Code
shall meet the requirements of this section.
   (u)  Nothing in this   This  section
shall  not  be construed to alter a provider's obligation to
provide health care services to an enrollee pursuant to the provider'
s contract with the plan.
   (v) As part of the department's routine examination of the fiscal
and administrative affairs of a health care service plan pursuant to
Section 1382, the department shall include a review of the health
care service plan's compliance with subdivision (p).
   (w) For purposes of this section, "provider group" means a medical
group, independent practice association, or other similar group of
providers.
  SEC. 179.  Section 1569.2 of the Health and Safety Code is amended
to read:
   1569.2.  As used in this chapter:
   (a) "Administrator" means the individual designated by the
licensee to act on behalf of the licensee in the overall management
of the facility. The licensee, if an individual, and the
administrator may be one and the same person.
   (b) "Beneficial ownership interest" means an ownership interest
through the possession of stock, equity in  capital 
 capital,  or any interest in the profits of the applicant
or  licensee   licensee,  or through the
possession of such an interest in other entities that directly or
indirectly hold an interest in the applicant or licensee. The
percentage of beneficial ownership in the applicant or licensee that
is held by any other entity is determined by multiplying the other
entities' percentage of ownership interest at each level.
   (c) "Care and supervision" means the facility assumes
responsibility for, or provides or promises to provide in the future,
ongoing assistance with activities of daily living without which the
resident's physical health, mental health, safety, or welfare would
be endangered. Assistance includes assistance with taking
medications, money management, or personal care.
   (d) "Chain" means a group of two or more licensees that are
controlled, as defined in this section, by the same persons or
entities.
   (e) "Control" means the ability to direct the operation or
management of the applicant or licensee and includes the ability to
exercise control through intermediary or subsidiary entities.
   (f) "Department" means the State Department of Social Services.
   (g) "Director" means the Director of Social Services.
   (h) "Health-related services" mean services that shall be directly
provided by an appropriate skilled professional, including a
registered nurse, licensed vocational nurse, physical therapist, or
occupational therapist.
   (i) "Instrumental activities of daily living" means any of the
following: housework, meals, laundry, taking of medication, money
management, appropriate transportation, correspondence, telephoning,
and related tasks.
   (j) "License" means a basic permit to operate a residential care
facility for the elderly.
   (k) "Parent organization" means an organization in control of
another organization either directly or through one or more
intermediaries.
   (l) "Personal activities of daily living" means any of the
following: dressing, feeding, toileting, bathing, grooming, and
mobility and associated tasks.
   (m) "Personal care" means assistance with personal activities of
daily living, to help provide for and maintain physical and
psychosocial comfort.
   (n) "Protective supervision" means observing and assisting
confused residents, including persons with dementia, to safeguard
them against injury.
   (o) (1) "Residential care facility for the elderly" means a
housing arrangement chosen voluntarily by persons 60 years of age or
over, or their authorized representative, where varying levels and
intensities of care and supervision, protective supervision, or
personal care are provided, based upon their varying needs, as
determined in order to be admitted and to remain in the facility.
Persons under 60 years of age with compatible needs may be allowed to
be admitted or retained in a residential care facility for the
elderly as specified in Section 1569.316.
   (2) This subdivision shall be operative only until the enactment
of legislation implementing the three levels of care in residential
care facilities for the elderly pursuant to Section 1569.70.
   (p)  (1)    "Residential care facility for the
elderly" means a housing arrangement chosen voluntarily by persons 60
years of age or over, or their authorized representative, where
varying levels and intensities of care and supervision, protective
supervision, personal care, or health-related services are provided,
based upon their varying needs, as determined in order to be admitted
and to remain in the facility. Persons under 60 years of age with
compatible needs may be allowed to be admitted or retained in a
residential care facility for the elderly as specified in Section
1569.316. 
   This 
    (2)     This  subdivision shall become
operative upon the enactment of legislation implementing the three
levels of care in residential care facilities for the elderly
pursuant to Section 1569.70.
   (q) "Sundowning" means a condition in which persons with cognitive
impairment experience recurring confusion, disorientation, and
increasing levels of agitation that coincide with the onset of late
afternoon and early evening.
   (r) "Supportive services" means resources available to the
resident in the community that help to maintain their functional
ability and meet their needs as identified in the individual resident
assessment. Supportive services may include any of the following:
medical, dental, and other health care services; transportation;
recreational and leisure activities; social services; and counseling
services.
  SEC. 180.  Section 1596.8662 of the Health and Safety Code is
amended to read:
   1596.8662.  (a) The department shall do all of the following:
   (1) Make information available to all licensed child day care
providers, administrators, and employees of licensed child day care
facilities regarding detecting and reporting child abuse and neglect.

   (2) Provide training including statewide guidance on the
responsibilities of a mandated reporter who is a licensed day care
provider or an applicant for that license, administrator, or employee
of a licensed child day care facility in accordance with the Child
Abuse and Neglect Reporting Act (Article 2.5 (commencing with Section
11164) of Chapter 2 of Title 1 of Part 4 of the Penal Code). The
department shall provide the guidance using its free module or
modules provided on the State Department of Social Services Internet
Web site or as otherwise specified by the department. This guidance
content shall include, but is not necessarily limited to, all of the
following:
   (A) Information on the identification of child abuse and neglect,
including behavioral signs of abuse and neglect.
   (B) Reporting requirements for child abuse and neglect, including
guidelines on how to make a suspected child abuse report when
suspected abuse or neglect takes place outside a child day care
facility, or within a child day care facility, and to which
enforcement agency or agencies a report is required to be made.
   (C) Information that failure to report an incident of known or
reasonably suspected child abuse or neglect, as required by Section
11166 of the Penal Code, is a misdemeanor punishable by up to six
months confinement in a county jail, or by a fine of one thousand
dollars ($1,000), or by both that imprisonment and fine.
   (D) Information that mandated reporting duties are individual and
no supervisor or administrator may impede or inhibit reporting
duties, and no person making a report shall be subject to any
sanction for making the report, pursuant to paragraph (1) of
subdivision (i) of Section 11166 of the Penal Code. A supervisor or
administrator who impedes or inhibits the duties of a mandated
reporter shall be subject to punishment pursuant to Section 11166.01
of the Penal Code.
   (E) Information on childhood stages of development in order to
help distinguish whether a child's behavior or physical symptoms are
within range for his or her age and ability, or are signs of abuse or
neglect.
   (3) The department shall provide training, including information
about child safety and maltreatment prevention using its free
training module or modules specified in paragraph (2), or as
otherwise specified by the department. This information shall
include, but is not necessarily limited to, all of the following:
   (A) Information on protective factors that may help prevent abuse,
including dangers of shaking a child, safe sleep practices,
psychological effects of repeated exposure to domestic violence, safe
and age-appropriate forms of discipline, how to promote a child's
social and emotional health, and how to support positive parent-child
relationships.
   (B) Information on recognizing risk factors that may lead to
abuse, such as stress and social isolation, and available resources
to which a family may be referred to help prevent child abuse and
neglect.
   (C) When to call for emergency medical attention to prevent
further injury or death.
   (D) Information on how a licensed child  day  care
provider, administrator, or employee of a licensed child day care
facility might communicate with a family before and after making a
suspected child abuse report.
   (4) The department shall comply with the Dymally-Alatorre
Bilingual Services Act of 1973 (Chapter 17.5 (commencing with Section
7290) of the Government Code), which includes, among alternative
communication options, providing the same type of training materials
in any non-English language spoken by a substantial number of members
of the public whom the department serves.
   (b) (1) On or before March 30, 2018, a person who, on January 1,
2018, is a licensed child  day  care provider,
administrator, or employee of a licensed child day care facility
shall complete the mandated reporter training provided pursuant to
paragraphs (2) and (3) of subdivision (a), and shall complete renewal
mandated reporter training every two years following the date on
which he or she completed the initial mandated reporter training.
   (2) On and after January 1, 2018, a person who applies for a
license to be a provider of a child day care facility shall complete
the mandated reporter training provided pursuant to paragraphs (2)
and (3) of subdivision (a) as a precondition to licensure and shall
complete renewal mandated reporter training every two years following
the date on which he or she completed the initial mandated reporter
training.
   (3) On and after January 1, 2018, a person who becomes an
administrator or employee of a licensed child day care facility shall
complete the mandated reporter training provided pursuant to
paragraphs (2) and (3) of subdivision (a) within the first 90 days
that he or she is employed at the facility and shall complete renewal
mandated reporter training every two years following the date on
which he or she completed the initial mandated reporter training.
   (4) The licensee of a licensed child day care facility shall
obtain proof from an administrator or employee of the facility that
the person has completed mandated reporter training in compliance
with this subdivision.
   (5) A licensed child day care provider, administrator, or employee
of a licensed child day care facility who does not use the online
training module provided by the department shall report to, and
obtain approval from, the department regarding the training that
person shall use in lieu of the online training module.
   (c) Current proof of completion for each licensed child  day
 care provider or applicant for that license, administrator, and
employee of a licensed child day care facility shall be submitted to
the department upon inspection of the child day care or upon request
by the department.
   (d) (1) The department shall issue a notice of deficiency at the
time of a site visit to the licensee of a licensed child day care
facility who is not in compliance with this section. The licensee
shall, at the time the department issues the notice of deficiency,
develop a plan to correct the deficiency within 45 days.
   (2) A deficiency under this subdivision is not subject to Section
1596.890.
   (e) A licensed child  day  care provider or applicant for
that license, an administrator, or employee of a licensed child care
facility is exempt from the detecting and reporting child abuse
training if he or she has limited English proficiency and training is
not made available in his or her primary language.
   (f) This section shall become operative on January 1, 2018.
  SEC. 181.  Section 1760.2 of the Health and Safety Code is amended
to read:
   1760.2.  As used in this chapter, the following definitions shall
apply:
   (a)  (1) "Pediatric day health and respite care facility" means a
facility that provides an organized program of therapeutic social and
day health activities and services and limited 24-hour inpatient
respite care to medically fragile children 21 years of age or
younger, including terminally ill and technology-dependent patients,
except as provided in paragraph (2) and Section 1763.4.
   (2) An individual who is 22 years of age or older may continue to
receive care in a pediatric day health and respite care facility if
the facility receives approval from the state department for a
Transitional Health Care Needs Optional Service Unit pursuant to
Section 1763.4. A patient who previously received services from a
pediatric day health and respite care facility, who is 22 years of
age or older, and who satisfies the requirements of Section 1763.4,
may also receive services in an optional service unit.
   (b)  "Medically fragile" means having an acute or chronic health
problem that requires therapeutic intervention and skilled nursing
care during all or part of the day. Medically fragile problems
include, but are not limited to, HIV disease, severe lung disease
requiring oxygen, severe lung disease requiring ventilator or
tracheostomy care, complicated spina bifida, heart disease,
malignancy, asthmatic exacerbations, cystic fibrosis exacerbations,
neuromuscular disease, encephalopathies, and seizure disorders.
   (c)  "Technology-dependent patient" means a person who, from
birth, has a chronic disability, requires the routine use of a
specific medical device to compensate for the loss of use of a
 life sustaining   life-sustaining  body
function, and requires daily, ongoing care or monitoring by trained
personnel.
   (d)  "Respite care" means day and 24-hour relief for the parent or
guardian and care for the patient. 24-hour inpatient respite care
includes, but is not limited to, 24-hour nursing care, meals,
socialization, and developmentally appropriate activities. As used in
this chapter, "24-hour inpatient respite care" is limited to no more
than 30 intermittent or continuous whole calendar days per patient
per calendar year.
   (e)  "Comprehensive case management" means locating, coordinating,
and monitoring services for the eligible patient population and
includes all of the following:
   (1)  Screening of patient referrals to identify those persons who
can benefit from the available services.
   (2)  Comprehensive patient assessment to determine the services
needed.
   (3)  Coordinating the development of an interdisciplinary
comprehensive care plan.
   (4)  Determining individual case cost effectiveness and available
sources of funding.
   (5)  Identifying and maximizing informal sources of care.
   (6)  Ongoing monitoring of service delivery to determine the
optimum type, amount, and duration of services provided.
   (f)  "License" means a basic permit to operate a pediatric day
health and respite care facility. With respect to a health facility
licensed pursuant to Chapter 2 (commencing with Section 1250),
"license" means a special permit authorizing the health facility to
provide pediatric day health and respite care services as a separate
program in a distinct part of the facility.
   (g)  "State department" means the State Department of Public
Health.
  SEC. 182.  Section 12640 of the Health and Safety Code is amended
to read:
   12640.  In any case  where   in which 
this chapter requires that a permit be obtained from the State Fire
Marshal, or in any case  where   in which 
the public agency having local jurisdiction requires pursuant to this
chapter that a permit be obtained, a licensee shall possess a valid
permit before performing any of the following:
   (a) Manufacturing, importing, exporting, storing, possessing, or
selling dangerous fireworks at wholesale.
   (b) Manufacturing, importing, exporting, storing,  or 
selling at wholesale  and   or  retail safe
and sane fireworks  and   or  transporting
safe and sane fireworks, except that a transportation permit shall
not be required for safe and sane fireworks possessed by retail
licensees.
   (c) Manufacturing, importing, exporting, possessing, storing,
transporting, using,  or  selling at wholesale  and
  or  retail, those fireworks classified by the
State Fire Marshal as agricultural and wildlife fireworks.
   (d) Manufacturing, importing, exporting, possessing, storing, 
or  selling at wholesale  and   or 
retail, model rocket motors.
   (e) Discharging dangerous fireworks at any place, including a
public display.
   (f) Using special effects.
  SEC. 183.  Section 18080 of the Health and Safety Code is amended
to read:
   18080.  Ownership registration and title to a manufactured home,
mobilehome, commercial coach, or truck camper, or floating home
subject to registration may be held by two or more coowners as
follows:
   (a)  A manufactured home, mobilehome, commercial coach, truck
camper, or floating home may be registered in the names of two or
more persons as joint tenants. Upon the death of a joint tenant, the
interest of the decedent shall pass to the survivor or survivors. The
signature of each joint tenant or survivor or survivors, as the case
may be, shall be required to transfer or encumber the title to the
manufactured home, mobilehome, commercial coach, truck camper, or
floating home.
   (b)  A manufactured home, mobilehome, commercial coach, truck
camper, or floating home may be registered in the names of two or
more persons as tenants in common. If the names of the tenants in
common are separated by the word  "and",   "and,
  "  each tenant in common may transfer his or her
individual interest in the manufactured home, mobilehome, 
commerical   commercial  coach, truck camper, or
floating home without the signature of the other tenant or tenants in
common. However, the signature of each tenant in common shall be
required to transfer full interest in the title to a new registered
owner. If the names of the tenants in common are separated by the
word  "or",   "or,   "  any one of
the tenants in common may transfer full interest in the title to the
manufactured home, mobilehome, commercial coach, truck camper, or
floating home to a new registered owner without the signature of the
other tenant or tenants in common. The signature of each tenant in
common is required in all cases to encumber the title to the
manufactured home, mobilehome, commercial coach, truck camper, or
floating home.
   (c)  A manufactured home, mobilehome, commercial coach, truck
camper, or floating home may be registered as community property in
the names of a husband and wife. The signature of each spouse shall
be required to transfer or encumber the title to the manufactured
home, mobilehome, commercial coach, truck camper, or floating home.
   (d)  All manufactured homes, mobilehomes, commercial coaches,
truck campers, and floating homes registered, on or before January 1,
1985, in the names of two or more persons as tenants in common, as
provided in subdivision (b), shall be considered to be the same as if
the names of the tenants in common were separated by the word "or,"
as provided in subdivision (b).
  SEC. 184.  Section 25150.7 of the Health and Safety Code is amended
to read:
   25150.7.  (a) The Legislature finds and declares that this section
is intended to address the unique circumstances associated with the
generation and management of treated wood waste. The Legislature
further declares that this section does not set a precedent
applicable to the management, including disposal, of other hazardous
wastes.
   (b) For purposes of this section, the following definitions shall
apply:
   (1) "Treated wood" means wood that has been treated with a
chemical preservative for purposes of protecting the wood against
attacks from insects, microorganisms, fungi, and other environmental
conditions that can lead to decay of the wood, and the chemical
preservative is registered pursuant to the Federal Insecticide,
Fungicide, and Rodenticide Act (7 U.S.C. Sec. 136 et seq.).
   (2) "Wood preserving industry" means business concerns, other than
retailers, that manufacture or sell treated wood products in the
state.
   (c) This section applies only to treated wood waste that, solely
due to the presence of a preservative in the wood, is a hazardous
waste and to which both of the following requirements apply:
   (1) The treated wood waste is not subject to regulation as a
hazardous waste under the federal act.
   (2) Section 25143.1.5 does not apply to the treated wood waste.
   (d) (1) Notwithstanding Sections 25189.5 and 25201, treated wood
waste shall be disposed of in either a class I hazardous waste
landfill, or in a composite-lined portion of a solid waste landfill
unit that meets all requirements applicable to disposal of municipal
solid waste in California after October 9, 1993, and that is
regulated by waste discharge requirements issued pursuant to Division
7 (commencing with Section 13000) of the Water Code for discharges
of designated waste, as defined in Section 13173 of the Water Code,
or treated wood waste.
   (2) A solid waste landfill that accepts treated wood waste shall
comply with all of the following requirements:
   (A) Manage the treated wood waste to prevent scavenging.
   (B) Ensure that any management of the treated wood waste at the
solid waste landfill before disposal, or in lieu of disposal,
complies with the applicable requirements of this chapter, except as
otherwise provided by regulations adopted pursuant to subdivision
(f).
   (C) If monitoring at the composite-lined portion of a landfill
unit at which treated wood waste has been disposed of indicates a
verified release, then treated wood waste shall not be discharged to
that landfill unit until corrective action results in cessation of
the release.
   (e) (1) Each wholesaler and retailer of treated wood and treated
wood-like products in this state shall conspicuously post information
at or near the point of display or customer selection of treated
wood and treated wood-like products used for fencing, decking,
retaining walls, landscaping, outdoor structures, and similar uses.
The information shall be provided to wholesalers and retailers by the
wood preserving industry in 22-point type, or larger, and contain
the following message:

   Warning--Potential Danger

   These products are treated with wood preservatives registered with
the United States Environmental Protection Agency and the California
Department of Pesticide Regulation and should only be used in
compliance with the product labels.
   This wood may contain chemicals classified by the State of
California as hazardous and should be handled and disposed of with
care. Check product label for specific preservative information and
Proposition 65 warnings concerning presence of chemicals known to the
State of California to cause cancer or birth defects.
   Anyone working with treated wood, and anyone removing old treated
wood, needs to take precautions to minimize exposure to themselves,
children, pets, or wildlife, including:

?  Avoid contact with skin. Wear gloves and long sleeved shirts when
working with treated wood. Wash exposed areas thoroughly with mild
soap and water after working with treated wood.

?  Wear a dust mask when machining any wood to reduce the inhalation
of wood dusts. Avoid frequent or prolonged inhalation of sawdust
from treated wood. Machining operations should be performed outdoors
whenever possible to avoid indoor accumulations of airborne sawdust.

?  Wear appropriate eye protection to reduce the potential for eye
injury from wood particles and flying debris during machining.

?  If preservative or sawdust accumulates on clothes, launder before
reuse. Wash work clothes separately from other household clothing.

?  Promptly clean up and remove all sawdust and scraps and dispose
of appropriately.

?  Do not use treated wood under circumstances where the
preservative may become a component of food or animal feed.

?  Only use treated wood that's visibly clean and free from surface
residue for patios, decks, or walkways.

?  Do not use treated wood where it may come in direct or indirect
contact with public drinking water, except for uses involving
incidental contact such as docks and bridges.

?  Do not use treated wood for mulch.

?  Do not burn treated wood. Preserved wood should not be burned in
open fires, stoves, or fireplaces.


   For further information, go to the Internet Web site
http://www.preservedwood.org and download the free Treated Wood Guide
mobile application.

   In addition to the above listed precautions, treated wood waste
shall be managed in compliance with applicable hazardous waste
control laws.
   (2) On or before July 1, 2005, the wood preserving industry shall,
jointly and in consultation with the department, make information
available to generators of treated wood waste, including fencing,
decking, and landscape contractors, solid waste landfills, and
transporters, that describes how to best handle, dispose of, and
otherwise manage treated wood waste, through the use either of a
toll-free telephone number, Internet Web site, information labeled on
the treated wood, information accompanying
                        the sale of the treated wood, or by mailing
if the department determines that mailing is feasible and other
methods of communication would not be as effective. A treated wood
manufacturer or supplier to a wholesaler or retailer shall also
provide the information with each shipment of treated wood products
to a wholesaler or retailer, and the wood preserving industry shall
provide it to fencing, decking, and landscaping contractors, by mail,
using the Contractors' State License Board's available listings, and
license application packages. The department may provide guidance to
the wood preserving industry, to the extent resources permit.
   (f) (1) On or before January 1, 2007, the department, in
consultation with the Department of Resources Recycling and Recovery,
the State Water Resources Control Board, and the Office of
Environmental Health Hazard Assessment, and after consideration of
any known health hazards associated with treated wood waste, shall
adopt and may subsequently revise as necessary, regulations
establishing management standards for treated wood waste as an
alternative to the requirements specified in this chapter and the
regulations adopted pursuant to this chapter.
   (2) The regulations adopted pursuant to this subdivision shall, at
a minimum, ensure all of the following:
   (A) Treated wood waste is properly stored, treated, transported,
tracked, disposed of, and otherwise managed to prevent, to the extent
practical, releases of hazardous constituents to the environment,
prevent scavenging, and prevent harmful exposure of people, including
workers and children, aquatic life, and animals to hazardous
chemical constituents of the treated wood waste.
   (B) Treated wood waste is not reused, with or without treatment,
except for a purpose that is consistent with the approved use of the
preservative with which the wood has been treated. For purposes of
this subparagraph, "approved uses" means a use approved at the time
the treated wood waste is reused.
   (C) Treated wood waste is managed in accordance with all
applicable laws.
   (D) Any size reduction of treated wood waste is conducted in a
manner that prevents the uncontrolled release of hazardous
constituents to the environment, and that conforms to applicable
worker health and safety requirements.
   (E) All sawdust and other particles generated during size
reduction are captured and managed as treated wood waste.
   (F) All employees involved in the acceptance, storage, transport,
and other management of treated wood waste are trained in the safe
and legal management of treated wood waste, including, but not
limited to, procedures for identifying and segregating treated wood
waste.
   (g) (1) A person managing treated wood waste who is subject to a
requirement of this chapter, including a regulation adopted pursuant
to this chapter, shall comply with either the alternative standard
specified in the regulations adopted pursuant to subdivision (f) or
with the requirements of this chapter.
   (2) A person who is in compliance with the alternative standard
specified in the regulations adopted pursuant to subdivision (f) is
deemed to be in compliance with the requirement of this chapter for
which the regulation is identified as being an alternative, and the
department and any other entity authorized to enforce this chapter
shall consider that person to be in compliance with that requirement
of this chapter.
   (h)  On January 1, 2005, all   All 
variances granted by the department before January 1, 2005, governing
the management of treated wood waste are inoperative and have no
further effect.
   (i) This section does not limit the authority or responsibility of
the department to adopt regulations under any other law.
   (j)  (1)    On or before January
1, 2018, the department shall prepare, post on its Internet Web
site, and provide to the appropriate policy committees of the
Legislature, a comprehensive report on the compliance with, and
implementation of, this section. The report shall include, but not be
limited to, all of the following: 
   (A) 
    (1)  Data, and evaluation of that data, on the rates of
compliance with this section and injuries associated with handling
treated wood waste based on department inspections of treated wood
waste generator sites and treated wood waste disposal facilities. To
gather data to perform the required evaluation, the department shall
do all of the following: 
   (i)
    (A)  The department shall inspect representative treated
wood waste generator sites and treated wood waste disposal
facilities, which shall not to be less than 25 percent of each.

   (ii) 
    (B)  The department shall survey and otherwise seek
information on how households are currently handling, transporting,
and disposing of treated wood waste, including available information
from household hazardous waste collection facilities, solid waste
transfer facilities, solid waste disposal facility load check
programs, and CUPAs. 
   (iii) 
   (C)  The department shall, by survey or otherwise, seek
data to determine whether sufficient information and convenient
collection and disposal options are available to household generators
of treated wood waste. 
   (B) 
    (2)  An evaluation of the adequacy of protective
measures taken in tracking, handling, and disposing of treated wood
waste. 
   (C) 
    (3)  Data regarding the unauthorized disposal of treated
wood waste at disposal facilities that have not been approved for
that disposal. 
   (D) 
    (4)  Conclusions regarding the handling of treated wood
waste. 
   (E) 
    (5)  Recommendations for changes to the handling of
treated wood waste to ensure the protection of public health and the
environment. 
   (2) The requirement for submitting a report imposed under this
subdivision is inoperative on January 1, 2022, pursuant to Section
10231.5 of the Government Code. 
   (k) This section shall become inoperative on December 31, 2020,
and, as of January 1, 2021, is repealed, unless a later enacted
statute, that becomes operative on or before January 1, 2021, deletes
or extends the dates on which it becomes inoperative and is
repealed.
  SEC. 185.  Section 25180 of the Health and Safety Code is amended
to read:
   25180.  (a)  (1)  Except as provided in paragraph (2), the
standards in this chapter and the regulations adopted by the
department to implement this chapter shall be enforced by the
department, and by any local health officer or any local public
officer designated by the director.
   (2)  The standards of this chapter listed in paragraph (1) of
subdivision (c) of Section 25404, and the regulations adopted to
implement the standards of this chapter listed in paragraph (1) of
subdivision (c) of Section 25404, shall be enforced by the department
and one of the following:
   (A)  If there is no CUPA, the officer or agency authorized,
pursuant to subdivision (f) of Section 25404.3, to implement and
enforce the requirements of this chapter listed in paragraph (1) of
subdivision (c) of Section 25404.
   (B)  Within the jurisdiction of a CUPA, the unified program
agencies, to the extent provided by this chapter and Sections 25404.1
and 25404.2. Within the jurisdiction of a CUPA, the unified program
agencies shall be the only local agencies authorized to enforce the
requirements of this chapter listed in paragraph (1) of subdivision
(c) of Section 25404.
   (b)  (1)  In addition to the persons specified in subdivision (a),
any traffic officer, as defined by Section 625 of the Vehicle Code,
and any peace officer specified in Section 830.1 of the Penal Code,
may enforce Section 25160, subdivision (a) of Section 25163, and
Sections  25250.8,  25250.18, 25250.19, and
25250.23. Traffic officers and peace officers are authorized
representatives of the department for purposes of enforcing the
provisions set forth in this subdivision.
   (2)  A peace officer specified in subdivision (a) of Section
830.37 of the Penal Code may, upon approval of the local district
attorney, enforce the standards in this chapter and regulations
adopted by the department to implement this chapter. A peace officer
authorized to enforce those standards and regulations pursuant to
this paragraph shall perform these duties in coordination with the
appropriate local officer or agency authorized to enforce this
chapter pursuant to subdivision (a), and shall complete a training
program which is equivalent to that required by the department for
local officers and agencies authorized to enforce this chapter
pursuant to subdivision (a).
   (c)  Notwithstanding any limitations in subdivision (b), a member
of the California Highway Patrol may enforce Sections 25185, 25189,
25189.2, 25189.5, 25191, and 25195, and Article 6 (commencing with
Section 25160) and Article 6.5 (commencing with Section 25167.1), as
those provisions relate to the transportation of hazardous waste.
   (d)  In enforcing this chapter, including, but not limited to, the
issuance of orders imposing administrative penalties, the referral
of violations to prosecutors for civil or criminal prosecution, the
settlement of cases, and the adoption of enforcement policies and
standards related to those matters, the department and the local
officers and agencies authorized to enforce this chapter pursuant to
subdivision (a) shall exercise their enforcement authority in such a
manner that generators, transporters, and operators of storage,
treatment, transfer, and disposal facilities are treated equally and
consistently with regard to the same types of violations.
  SEC. 186.  Section 25250.15 of the Health and Safety Code is
amended to read:
   25250.15.  (a)  Any person operating a refuse removal vehicle or a
curbside collection vehicle used to collect or transport used oil
which has been generated as a household waste or as part of a
curbside recycling program, as defined by the board, is exempt from
the requirements of  Sections 25160 and 25250.8, 
 Section 25160,  and subdivision (a) of Section 25163 of
this code and Chapter 2.5 (commencing with Section 2500) of Division
2 of, Division 14.1 (commencing with Section 32000) of, and
subdivision (g) of Section 34500 of, the Vehicle Code.
   (b)  Refuse removal and other curbside collection operations
exempted under subdivision (a) are also exempt from permit
requirements pursuant to Article 9 (commencing with Section 25200),
if the storage location meets all applicable hazardous waste
generator, container, and tank requirements, except for the generator
fee requirement specified in subdivision (d).
   (c)  Used oil collected pursuant to this section shall be deemed
to be generated by the storage location upon receipt.
   (d)  Used oil collected pursuant to this section is exempt from
the generator fee imposed pursuant to Section 25205.5.
  SEC. 187.  Section 25270.6 of the Health and Safety Code is amended
to read:
   25270.6.  (a) (1) On or before January 1,  2009, and on or
before January 1 annually thereafter,   annually, 
each owner or operator of a tank facility subject to this chapter
shall file with the statewide information management system, a tank
facility statement that shall identify the name and address of the
tank facility, a contact person for the tank facility, the total
storage capacity of the tank facility, and the location and contents
of each petroleum storage tank that exceeds 10,000 gallons in storage
capacity. A copy of a statement submitted previously pursuant to
this section may be submitted in lieu of a new tank facility
statement if no new or used storage tanks have been added to the
facility or if no significant modifications have been made. For
purposes of this section, a significant modification includes, but is
not limited to, altering existing storage tanks or changing spill
prevention or containment methods.
   (2) Notwithstanding paragraph (1), an owner or operator of a tank
facility that submits a business plan, as defined in subdivision (d)
of Section 25501, to the statewide information management system and
that complies with Sections 25503, 25505, 25505.1, 25507, 25507.2,
25508, 25508.1, and 25508.2, satisfies the requirement in paragraph
(1) to file a tank facility statement.
   (b) Each  year, commencing in calendar year 2010, each
 owner or operator of a tank facility who is subject to the
requirements of subdivision (a) shall  annually  pay a fee
to the UPA, on or before a date specified by the UPA. The governing
body of the UPA shall establish a fee, as part of the single fee
system implemented pursuant to Section 25404.5, at a level sufficient
to pay the necessary and reasonable costs incurred by the UPA in
administering this chapter, including, but not limited to,
inspections, enforcement, and administrative costs. The UPA shall
also implement the fee accountability program established pursuant to
subdivision (c) of Section 25404.5 and the regulations adopted to
implement that program.
  SEC. 188.  Section 32132.8 of the Health and Safety Code is amended
to read:
   32132.8.  (a) Notwithstanding Section 32132 or any other law, upon
approval by the board of directors of the Mayers Memorial Hospital
District, the design-build procedure described in Chapter 4
(commencing with Section 22160) of Part 3 of Division 2 of the Public
Contract Code may be used to assign contracts for the construction
of a building or improvements directly related to construction of a
hospital or health facility building at the Mayers Memorial 
Hospital District.   Hospital. 
   (b) For purposes of this section, all references in Chapter 4
(commencing with Section 22160) of Part 3 of Division 2 of the Public
Contract Code to "local agency"  shall  mean the
Mayers Memorial Hospital District and its board of directors.
   (c) A hospital building project utilizing the design-build process
authorized by subdivision (a) shall be reviewed and inspected in
accordance with the standards and requirements of the Alfred E.
Alquist Hospital Facilities Seismic Safety Act of 1983 (Chapter 1
(commencing with Section 129675) of Part 7 of Division 107).
  SEC. 189.  Section 34191.3 of the Health and Safety Code is amended
to read:
   34191.3.  (a) Notwithstanding Section 34191.1, the requirements
specified in subdivision (e) of Section 34177 and subdivision (a) of
Section 34181 shall be suspended, except as those provisions apply to
the transfers for governmental use, until the Department of Finance
has approved a long-range property management plan pursuant to
subdivision (b) of Section 34191.5, at which point the plan shall
govern, and supersede all other provisions relating to, the
disposition and use of the real property assets of the former
redevelopment agency. If the department has not approved a plan by
January 1, 2016, subdivision (e) of Section 34177 and subdivision (a)
of Section 34181 shall be operative with respect to that successor
agency.
   (b) If the department has approved a successor agency's long-range
property management plan prior to January 1, 2016, the successor
agency may amend its long-range property management plan once, solely
to allow for retention of real properties that constitute "parking
facilities and lots dedicated solely to public parking" for
governmental use pursuant to Section 34181. An amendment to a
successor agency's long-range property management plan under this
subdivision shall be submitted to its oversight board for review and
approval pursuant to Section 34179, and any such amendment shall be
submitted to the department prior to July 1, 2016.
   (c)  (i)     (1)  
 Notwithstanding paragraph (2) of subdivision (a) of Section
34181, for purposes of amending a successor agency's long-range
property management plan under subdivision (b), "parking facilities
and lots dedicated solely to public parking" do not include
properties that, as of the date of transfer pursuant to the amended
long-range property management plan, generate revenues in excess of
reasonable maintenance costs of the properties. 
   (ii) 
    (2)  Notwithstanding any other law, a city, county, city
and county, or parking district shall not be required to reimburse
or pay a successor agency for any funds spent on or before December
31, 2010, by a former redevelopment agency to design and construct a
parking facility.
  SEC. 190.  Section 44017 of the Health and Safety Code is amended
to read:
   44017.  (a) Except as otherwise provided in this section or
Section 44017.1, a motor vehicle owner shall qualify for a repair
cost waiver only after  expenditure of not less than
  expending at least  four hundred fifty dollars
($450) for repairs, including parts and labor. 
   (b) The limit established pursuant to subdivision (a) shall not
become operative until the department issues a public notice
declaring that the program established pursuant to Section 44010.5 is
operational in the relevant geographical areas of the state, or
until the date that testing in those geographic areas is operative
using loaded mode test equipment, as defined in this article,
whichever occurs first. Prior to that time, the following cost limits
shall remain in effect:  
   (1) For motor vehicles of 1971 and earlier model years, fifty
dollars ($50).  
   (2) For motor vehicles of 1972 to 1974, inclusive, model years,
ninety dollars ($90).  
   (3) For motor vehicles of 1975 to 1979, inclusive, model years,
one hundred twenty-five dollars ($125).  
   (4) For motor vehicles of 1980 to 1989, inclusive, model years,
one hundred seventy-five dollars ($175).  
   (5) For motor vehicles of 1990 to 1995, inclusive, model years,
three hundred dollars ($300).  
   (6) For motor vehicles of 1996 and later model years, four hundred
fifty dollars ($450).  
   (c) 
    (b)  The department shall periodically revise the repair
cost  limits   limit  specified in
 subdivisions (a) and (b)   subdivision (a)
 in accordance with changes in the Consumer Price Index, as
published by the United States Bureau of Labor Statistics. 
   (d) 
    (c)   No   A  repair cost
limit shall  not  be imposed in those cases where emissions
control equipment is missing or is partially or totally inoperative
as a result of being tampered with. 
   (e) 
    (d)  (1)  No   A   
repair cost waiver shall  not  be issued  where
  if  a motor vehicle has failed the visible smoke
test created by the department pursuant to Section 44012.1, unless
paragraph (2) applies, or the vehicle is owned by a low-income
person, as defined in Section  44062.1  
44062.1,  in which case the repair cost limit applicable
pursuant to subdivision (b) of Section 44017.1  shall apply.
  applies. 
   (2) By January 1, 2008, the department shall adopt regulations
allowing a repair cost waiver, with the repair cost limit specified
in subdivision (a), where a motor vehicle has failed the visible
smoke test component of a smog check inspection, for individuals
under economic hardship but who do not meet the definition of
low-income person, as defined in Section 44062.1. The regulations
shall make eligible for the waiver those individuals whose household
means fall below the level necessary to achieve a modest standard of
living without assistance from public programs. The department shall
consult authoritative information sources including, but not limited
to, the United States Census Bureau, the Department of Finance, and
the California Budget Project.
  SEC. 191.  Section 44559.4 of the Health and Safety Code, as
amended by Section 1 of Chapter 274 of the Statutes of 2012, is
amended to read:
   44559.4.  (a) If a financial institution that is participating in
the Capital Access Loan Program established pursuant to this article
decides to enroll a qualified loan under the program in order to
obtain the protection against loss provided by its loss reserve
account, it shall notify the authority in writing on a form
prescribed by the authority, within 15 days after the date on which
the loan is made, of all of the following:
   (1) The disbursement of the loan.
   (2) The dollar amount of the loan enrolled.
   (3) The interest rate applicable to, and the term of, the loan.
   (4) The amount of the agreed upon premium.
   (b) The executive director may authorize an additional five days
for a financial institution to submit the written notification
described in subdivision (a) to the authority on a loan-by-loan basis
for a reason limited to conditions beyond the reasonable control of
the financial institution.
   (c) The financial institution may make a qualified loan to be
enrolled under the program to an individual, or to a partnership or
trust wholly owned or controlled by an individual, for the purpose of
financing property that will be leased to a qualified business that
is wholly owned by that individual. In that case, the property shall
be treated as meeting the requirements of paragraph (1) of
subdivision  (g)   (i)  of Section 44559.1.

   (d) When making a qualified loan that will be enrolled under the
program, the participating financial institution shall require the
qualified business to which the loan is made to pay a fee of not less
than 1 percent of the principal amount of the loan, but not more
than 31/2 percent of the principal amount. The financial institution
shall also pay a fee in an amount equal to the fee paid by the
borrower. The financial institution shall deliver the fees collected
under this subdivision to the authority for deposit in the loss
reserve account for the institution. The financial institution may
recover from the borrower the cost of its payments to the loss
reserve account through the financing of the loan, upon the agreement
of the financial institution and the borrower. The financial
institution may cover the cost of borrower payments to the loan loss
reserve account.
   (e) When depositing fees collected under subdivision (d) to the
credit of the loss reserve account for a participating financial
institution, the authority shall do the following:
   (1) If  no  matching funds are  not 
available under a federal capital access program or other source, the
authority shall transfer to the loss reserve account an amount that
is not less than the amount of the fees paid by the participating
financial institution. However, if the qualified business is located
within a severely affected community, the authority shall transfer to
the loss reserve account an amount not less than 150 percent of the
amount of the fees paid by the participating financial institution.
   (2) If matching funds are available under a federal capital access
program or other source, the authority shall transfer, on an
immediate or deferred basis, to the loss reserve account the amount
required by that federal program or other source. However, the total
amount deposited into the loss reserve account shall not be less than
the amount which would have been deposited in the absence of
matching funds.
   (f) This section shall remain in effect only until April 1, 2017,
and as of that date is repealed, unless a later enacted statute, that
is enacted before April 1, 2017, deletes or extends that date.
  SEC. 192.  Section 44559.4 of the Health and Safety Code, as added
by Section 2 of Chapter 274 of the Statutes of 2012, is amended to
read:
   44559.4.  (a) If a financial institution that is participating in
the Capital Access Loan Program established pursuant to this article
decides to enroll a qualified loan under the program in order to
obtain the protection against loss provided by its loss reserve
account, it shall notify the authority in writing on a form
prescribed by the authority, within 15 days after the date on which
the loan is made, of all of the following:
   (1) The disbursement of the loan.
   (2) The dollar amount of the loan enrolled.
   (3) The interest rate applicable to, and the term of, the loan.
   (4) The amount of the agreed upon premium.
   (b) The executive director may authorize an additional five days
for a financial institution to submit the written notification
described in subdivision (a) to the authority on a loan-by-loan basis
for a reason limited to conditions beyond the reasonable control of
the financial institution.
   (c) The financial institution may make a qualified loan to be
enrolled under the program to an individual, or to a partnership or
trust wholly owned or controlled by an individual, for the purpose of
financing property that will be leased to a qualified business that
is wholly owned by that individual. In that case, the property shall
be treated as meeting the requirements of paragraph (1) of
subdivision  (g)   (i)  of Section 44559.1.

   (d) When making a qualified loan that will be enrolled under the
program, the participating financial institution shall require the
qualified business to which the loan is made to pay a fee of not less
than 2 percent of the principal amount of the loan, but not more
than 31/2 percent of the principal amount. The financial institution
shall also pay a fee in an amount equal to the fee paid by the
borrower. The financial institution shall deliver the fees collected
under this subdivision to the authority for deposit in the loss
reserve account for the institution. The financial institution may
recover from the borrower the cost of its payments to the loss
reserve account through the financing of the loan, upon the agreement
of the financial institution and the borrower. The financial
institution may cover the cost of borrower payments to the loan loss
reserve account.
   (e) When depositing fees collected under subdivision (d) to the
credit of the loss reserve account for a participating financial
institution, the authority shall do the following:
   (1) If  no  matching funds are  not 
available under a federal capital access program or other source, the
authority shall transfer to the loss reserve account an amount that
is not less than the amount of the fees paid by the participating
financial institution. However, if the qualified business is located
within a severely affected community, the authority shall transfer to
the loss reserve account an amount not less than 150 percent of the
amount of the fees paid by the participating financial institution.
   (2) If matching funds are available under a federal capital access
program or other source, the authority shall transfer, on an
immediate or deferred basis, to the loss reserve account the amount
required by that federal program or other source. However, the total
amount deposited into the loss reserve account shall not be less than
the amount which would have been
               deposited in the absence of matching funds.
   (f) This section shall become operative on April 1, 2017.
  SEC. 193.  Section 101853.1 of the Health and Safety Code is
amended to read:
   101853.1.  (a) In exercising its powers to employ personnel, the
authority shall implement, and the board of supervisors shall adopt,
a personnel transition plan. The personnel transition plan shall
require all of the following:
   (1) Ongoing communication to employees and recognized employee
organizations regarding the impact of the transition on existing
medical center, county, and other health care facility employees and
employee classifications.
   (2) Meeting and conferring with representatives of affected
bargaining unit employees on both of the following issues:
   (A) A timeframe for which the transfer of personnel shall occur.
   (B) Specified periods of time during which county or medical
center employees affected by the establishment of the authority may
elect to be considered for appointment and exercise reinstatement
rights, if applicable, to funded, equivalent, vacant county positions
for which they are qualified and eligible. An employee who first
elects to remain with the county may subsequently seek reinstatement
with the authority within 30 days of the election to remain with the
county and shall be subject to the requirements of this article.
   (3) Acknowledgment that the authority, to the extent permitted by
federal and state law, and consistent with paragraph (3) of
subdivision (d), shall be bound by the terms of those memoranda of
understanding executed between the county and its exclusive employee
representatives that are in effect on the date of the transfer of
control of the medical center to the authority. Subsequent memoranda
of understanding with exclusive employee representatives shall be
subject to approval only by the board of governors.
   (4) Communication to the Board of Retirement of the Kern County
Employees' Retirement Association or other retirement plan of any
personnel transition plan, memoranda of understanding, or other
arrangements that are related to the participation of the authority's
employees or the addition of new employees in the retirement plan.
   (b) Implementation of this chapter shall not be a cause for the
modification of the medical center or county employment benefits.
Employees of the medical center or county on the date of transfer,
who become authority employees, shall retain their existing or
equivalent classifications and job descriptions upon transfer to the
authority, comparable pension benefits (if permissible pursuant to
relevant plan terms), and their existing salaries and other benefits
that include, but are not limited to, accrued and unused vacation,
sick leave, personal leave, health care, retiree health benefits, and
deferred compensation plans. The transfer of an employee from the
medical center or county shall not constitute a termination of
employment for purposes of Section 227.3 of the Labor Code, or
employee benefit plans and arrangements maintained by the medical
center or county, except as otherwise provided in the enabling
ordinance or personnel transition plan, nor shall it be counted as a
break in uninterrupted employment for purposes of Section 31641 of
the Government Code with respect to the Kern County Employees'
Retirement Association, or state service for purposes of the Public
Employees' Retirement System (Part 3 (commencing with Section 20000)
of Division 5 of Title 2 of the Government Code).
   (c) Subject to applicable state law, the authority shall recognize
the exclusive employee representatives of those authority employees
who are transferred from the county or medical center to the
authority pursuant to this chapter.
   (d) In order to stabilize labor and employment relations and
provide continuity of care and services to the people of the county,
and notwithstanding any other law, the authority shall do all of the
following for a period of 24 months after the effective date of the
transfer of control of the medical center to the authority:
   (1) Continue to recognize each exclusive employee representative
of each bargaining unit.
   (2) Continue to provide the same level of employee benefits to
authority employees, whether the obligation to provide those benefits
 arise   arises  out of a memorandum of
understanding, or other  agreements   agreement
 or law.
   (3) Extend and continue to be bound by any existing memoranda of
understanding covering the terms and conditions of employment for
employees of the authority, including the level of wages and
benefits, and any county rules, ordinances, or policies specifically
identified and incorporated by reference in a memoranda of
understanding for 24 months or through the term of the memorandum of
understanding, whichever  shall be the   is
 longer, unless modified by mutual agreement with each of the
exclusive employee representatives. The authority shall continue to
provide those pension benefits specified in any memoranda of
agreement as long as doing so does not conflict with any Kern County
 Employee   Employees   ' 
Retirement Association plan provisions, or federal or state law
including the County Employees Retirement Law of 1937 (Chapter 3
(commencing with Section 31450) of Part 3 of Division 4 of Title 3 of
the Government Code and the federal Internal Revenue Code). If a
memoranda of understanding is expired on the date of the transfer of
control of the medical center, then the authority shall continue to
be bound by the terms and conditions of the most recent memoranda of
understanding, unless modified by a mutual agreement with each of the
exclusive employee representatives, and the benefits and wages of
transferred employees shall be retained consistent with subdivision
(b).
   (4) Meet and confer with the exclusive employee representatives to
develop processes and procedures to address employee disciplinary
action taken against permanent employees. If the authority
terminates, suspends, demotes, or reduces the pay of a permanent
employee for disciplinary reasons, those actions shall only be for
cause consistent with state law, and an employee shall be afforded
applicable due process protections granted to public employees under
state law. Permanent employees laid off by the authority within six
months of the date of the transfer of control of the medical center
shall remain on the county reemployment list for two years. Inclusion
on the county reemployment list is not a guarantee of reemployment.
For the purposes of this paragraph, the term "permanent employees"
excludes probationary employees, temporary employees, seasonal
employees, provisional employees, extra help employees, and per diem
employees.
   (5) To the extent layoffs occur, and provided that all other
previously agreed upon factors are equal, ensure that seniority shall
prevail. The authority shall meet and confer with the exclusive
employee representatives to address layoff procedures and the manner
in which, and the extent to which, seniority shall be measured for
employees who transfer from the medical center or county.
   (e) Permanent employees of the medical center or county on the
effective date of the transfer of control of the medical center to
the authority, shall be deemed qualified for employment in equivalent
positions at the authority, and no other qualifications shall be
required except as otherwise required by state or federal law.
Probationary employees on the effective date of the transfer, as set
forth in this paragraph, shall retain their probationary status and
rights and shall not be required to serve a new probationary period
or extend their probationary period by reason of the transfer. To the
extent possible, employees who transfer to equivalent positions at
the authority shall retain their existing classifications and job
descriptions, but if there is a dispute over this issue, the
authority agrees to meet and confer with the exclusive employee
representatives of the transferred employees.
   (f) Employees who transfer from the medical center or county to
the authority shall retain the seniority they earned at the medical
center or county and any benefits or privileges based on the
seniority.
   (g) Notwithstanding any other law, employees of the authority may
participate in the Kern County Employees' Retirement Association,
operated pursuant to the County Employees Retirement Law of 1937
(Chapter 3 (commencing with Section 31450) of Part 3 of Division 4 of
Title 3 of the Government Code) as set forth below. However, the
authority and employees of the authority, or certain designated parts
thereof, shall not participate in the Kern County Employees'
Retirement Association if the board of retirement, in its sole
discretion, determines that their participation could jeopardize the
Kern County Employees' Retirement Association's tax-qualified or
governmental plan status under federal law, or if a contract or
related contract amendment proposed by the authority contains any
benefit provisions that are not specifically authorized by Chapters 3
(commencing with Section 31450) and 3.9 (commencing with Section
31899) of Part 3 of Division 4 of Title 3 of the Government Code or
Article 4 (commencing with Section 7522) of Chapter 21 of Division 7
of Title 1 of the Government Code, and that the board determines
would adversely affect the administration of the system. There shall
not be any individual employee elections regarding participation in
the Kern County Employees' Retirement Association or other retirement
plans except to the extent such retirement plans provide for
elective employee salary deferral contributions in accordance with
federal Internal Revenue Code rules.
   (1) Employees transferred from the county or medical center to the
authority who are subject to a memorandum of understanding between
the authority and an exclusive employee representative, as described
in paragraphs (2) and (3) of subdivision (d), and who were members of
the Kern County Employees' Retirement Association at the time of
their transfer of employment, shall continue to be a member of the
Kern County Employees' Retirement Association, retaining service
credit earned to the date of transfer, to the extent provided for in
the applicable memorandum of understanding.
   (2) Employees transferred from the county or medical center to the
authority who are subject to a memorandum of understanding between
the authority and an exclusive employee representative, as described
in paragraphs (2) and (3) of subdivision (d), and who were not
members of the Kern County Employees' Retirement Association at the
time of their transfer of employment, shall subsequently become a
member of the Kern County Employees' Retirement Association only to
the extent provided for in the applicable memorandum of
understanding.
   (3) Employees transferred from the county or medical center to the
authority who are not subject to a memorandum of understanding
between the authority and an exclusive employee representative, as
described in paragraphs (2) and (3) of subdivision (d), and who were
members of the Kern County Employees' Retirement Association at the
time of their transfer of employment, shall continue to be a member
of the Kern County Employees' Retirement Association, retaining
service credit earned to the date of transfer, as provided in the
enabling ordinance or the personnel transition plan.
   (4) Employees transferred from the county or medical center to the
authority who are not subject to a memorandum of understanding
between the authority and an exclusive employee representative, as
described in paragraphs (2) and (3) of subdivision (d), and who were
not members of the Kern County Employees' Retirement Association at
the time of their transfer of employment, shall subsequently become a
member of the Kern County Employees' Retirement Association only to
the extent provided in the enabling ordinance or the personnel
transition plan.
   (5) Employees hired by the authority on or after the effective
date of the transfer of control of the medical center shall become a
member of the Kern County Employees' Retirement Association only to
the extent provided in the enabling ordinance or personnel transition
plan described in subdivision (a), or, if subject to a memorandum of
understanding between the authority and an exclusive employee
representative as described in paragraphs (2) and (3) of subdivision
(d), to the extent provided for in the applicable memorandum of
understanding.
   (6) (A) Notwithstanding any other law, for purposes of California
Public Employees' Pension Reform Act of 2013 (Article 4 (commencing
with Section 7522) of Chapter 21 of Division 7 of Title 1 of the
Government Code), an individual who was employed by the county or the
medical center when it was a constituent department of the county,
and is a member of the Kern County Employees' Retirement Association
or the Public Employees' Retirement System, as set forth in Part 3
(commencing with Section 20000) of Division 5 of Title 2 of the
Government Code or a member prior to January 1, 2013, and who
transfers, directly or after a break in service of less than six
months, to the authority, in which the individual continues to be a
member of either the Kern County Employees' Retirement Association or
the Public Employees' Retirement System, as applicable, shall not be
deemed to be a new employee or a new member within the meaning of
Section 7522.04 of the Government Code, and shall continue to be
subject, immediately after the transfer, to the same defined benefit
formula, as defined in Section 7522.04 of the Government Code, and
plan of replacement benefits offered by the county pursuant to
Section 31899.4 of the Government Code and the Kern County
Replacement Benefits Plan for retirement benefits limited by Section
415 of Title 26 of the United States Code.
   (B) For purposes of subdivision (c) of Section 7522.43 of the
Government Code, the authority shall be treated as a public employer
that offered a plan of replacement benefits prior to January 1, 2013.
The county's plan of replacement benefits that was in effect prior
to January 1, 2013, is deemed to also be the authority's replacement
plan for the sole purpose of allowing the authority to continue to
offer the plan of replacement benefits, immediately after the
transfer, for Kern County Employees' Retirement Association members
who meet both of the following requirements, and the qualifying
survivors or beneficiaries of those members:
   (i) The employee was employed as of January 1, 2013, by the county
or the medical center when it was a constituent department of the
county.
   (ii) The employee is part of a member group to which the county
offered a plan of replacement benefits prior to January 1, 2013.
   (7)  (i)     (A)  
 Notwithstanding any other law, legacy employees shall be deemed
to be county employees for purposes of participation in a benefit
plan administered by the Kern County Employees' Retirement
Association, but only for that purpose, and shall not be employees of
the county for any other purpose. Upon the transfer of control of
the medical center and thereafter, the county shall include legacy
employees in a special county employee group for which the county has
primary financial responsibility to fund all employer contributions
that, together with contributions by employees and earnings thereon,
are necessary to fund all benefits for legacy employees administered
by the Kern County Employees' Retirement Association, notwithstanding
the fact that, following the transfer of control of the medical
center, the authority shall commence making periodic employer
contributions for legacy employees. In the event the authority fails
to make required employer contributions for legacy employees when due
and after demand from the Kern County Employees' Retirement
Association, the county, after receipt of notice and demand from the
Kern County Employees' Retirement Association, shall be obligated to
make those contributions in place of the authority. 
   (ii) 
    (B) The authority shall be primarily responsible for any
employer contributions that, together with contributions by
employees and earnings thereon, are necessary to fund all benefits
for new employees. In the event the authority fails to make required
contributions for new employees, the county shall be obligated to
make the required contributions after receipt of notice and demand
from the Kern County Employees' Retirement Association. The county
shall maintain this obligation for new employees until the authority
demonstrates, and the Kern County Employees' Retirement Association's
Board of Retirement determines, that the authority is sufficiently
capable financially to fully assume the obligation to make all
employer contributions for new employees, based upon the standard of
financial capability approved by the Kern County Employees'
Retirement Association and the county in a plan of participation, and
incorporated within a written agreement between the county and the
authority. In the event the authority fails to make required
contributions for any new employees due to the authority's
dissolution or bankruptcy, the county shall be obligated to make the
required contributions after receipt of notice and demand from the
Kern County Employees' Retirement Association.
   (h) This chapter  shall   does  not
prohibit the authority from contracting with the Public Employees'
Retirement System, in accordance with the requirements of Section
20508 and any other applicable provisions of Part 3 (commencing with
Section 20000) of Division 5 of Title 2 of the Government Code, for
the purpose of providing employee participation in that system, or
from establishing an alternative or supplemental retirement system or
arrangement, including, but not limited to, deferred compensation
arrangements, to the extent permitted by law and subject to any
applicable agreement between the authority and the exclusive employee
representatives, and as provided in the enabling ordinance or the
personnel transition plan. Notwithstanding any other law, the
authority and employees of the authority shall not participate in the
Public Employees' Retirement System if the Board of Administration
of the Public Employees' Retirement System, in its sole discretion,
determines that their participation could jeopardize the Public
Employees' Retirement System's tax-qualified or governmental plan
status under federal law, or if a contract or related contract
amendment proposed by the authority contains any benefit provisions
that are not specifically authorized by Part 3 (commencing with
Section 20000) of Division 5 of Title 2 of the Government Code, and
that the board determines would adversely affect the administration
of the system.
   (i) Provided that this is not inconsistent with anything in this
chapter, this chapter does not prohibit the authority from
determining the number of employees, the number of full-time
equivalent positions, job descriptions, the nature and extent of
classified employment positions, and salaries of employees.
  SEC. 194.  Section 110424 of the Health and Safety Code is amended
and renumbered to read:
    110424.   110422.5.   Violation of this
article by any person, as defined in Section 109995, shall
constitute an infraction, punishable by a fine not to exceed the
following:
   (a)  One thousand dollars ($1,000) for the first violation.
   (b)  Two thousand dollars ($2,000) for the second violation.
   (c)  Five thousand dollars ($5,000) for the third and each
subsequent violation.
  SEC. 195.  Section 112895 of the Health and Safety Code is amended
to read:
   112895.  (a) It is unlawful to manufacture, sell, offer for sale,
give away, or to possess imitation olive oil in California.
   (b) This section does not prohibit the blending of olive oil with
other edible oils, if the blend is not labeled as olive oil or
imitation olive oil, is clearly labeled as a blended vegetable oil,
and if the contents and proportions of the blend are prominently
displayed on the container's label, or if the oil is a flavored olive
oil.
   (c) If any olive oil is produced, processed, sold, offered for
sale, given away, or possessed in California, that indicates on its
label "California Olive Oil," or uses words of similar import that
indicate that California is the source of the oil, 100 percent of
that oil shall be derived from olives grown in California.
   (d) Olive oil produced, processed, sold, offered for sale, given
away, or possessed in California, that indicates on its label that it
is from a specific region of California shall be made of oil at
least 85 percent of  which ,   which,  by
weight, is derived from olives grown in the specified region.
   (e) Olive oil produced, processed, sold, offered for sale, given
away, or possessed in California, that indicates on its label that it
is from a specific estate in California shall be made of oil at
least 95 percent of which, by weight, is derived from olives grown on
the specified estate.
   (f) Olive-pomace oil shall not be labeled as olive oil.
  SEC. 196.  Section 113789 of the Health and Safety Code is amended
to read:
   113789.  (a) "Food facility" means an operation that stores,
prepares, packages, serves, vends, or otherwise provides food for
human consumption at the retail level, including, but not limited to,
the following:
   (1) An operation where food is consumed on or off the premises,
regardless of whether there is a charge for the food.
   (2) A place used in conjunction with the operations described in
this subdivision, including, but not limited to, storage facilities
for food-related utensils, equipment, and materials.
   (b) "Food facility" includes permanent and nonpermanent food
facilities, including, but not limited to, the following:
   (1) Public and private school cafeterias.
   (2) Restricted food service facilities.
   (3)  Licensed health care facilities, except as provided in
paragraph  (13)   (12) of subdivision (c).
   (4) Commissaries.
   (5) Mobile food facilities.
   (6) Mobile support units.
   (7) Temporary food facilities.
   (8) Vending machines.
   (9) Certified farmers' markets, for purposes of permitting and
enforcement pursuant to Section 114370.
   (10) Farm stands, for purposes of permitting and enforcement
pursuant to Section 114375.
   (11) Fishermen's markets.
   (c) "Food facility" does not include any of the following:
   (1) A cooperative arrangement wherein no permanent facilities are
used for storing or handling food.
   (2) A private home, including a cottage food operation that is
registered or has a permit pursuant to Section 114365.
   (3) A church, private club, or other nonprofit association that
gives or sells food to its members and guests, and not to the general
public, at an event that occurs not more than three days in any
90-day period.
   (4) A for-profit entity that gives or sells food at an event that
occurs not more than three days in a 90-day period for the benefit of
a nonprofit association, if the for-profit entity receives no
monetary benefit, other than that resulting from recognition from
participating in an event.
   (5) Premises set aside for wine tasting, as that term is used in
Section 23356.1 of the Business and Professions Code, or premises set
aside by a beer manufacturer, as defined in Section 25000.2 of the
Business and Professions Code, and in the regulations adopted
pursuant to those sections, that comply with Section 118375,
regardless of whether there is a charge for the wine or beer tasting,
if no other beverage, except for bottles of wine or beer and
prepackaged nonpotentially hazardous beverages, is offered for sale
or for onsite consumption and no food, except for crackers, pretzels,
or prepackaged food that is not potentially hazardous food is
offered for sale or for onsite consumption.
   (6) An outlet or location, including, but not limited to,
premises, operated by a producer, selling or offering for sale only
whole produce grown by the producer or shell eggs, or both, provided
the sales are conducted at an outlet or location controlled by the
producer.
   (7) A commercial food processing  establishment 
 establishment,  as defined in Section 111955.
   (8) A child day care facility, as defined in Section 1596.750.
   (9) A community care facility, as defined in Section 1502.
   (10) A residential care facility for the elderly, as defined in
Section 1569.2.
   (11) A residential care facility for the chronically ill, which
has the same meaning as a residential care facility, as defined in
Section 1568.01.
   (12) (A) An intermediate care facility for the developmentally
disabled, as defined in subdivisions (e), (h), and (m) of Section
1250, with a capacity of six beds or fewer.
   (B) A facility described in subparagraph (A) shall report any
foodborne illness or outbreak to the local health department and to
the State Department of Public Health within 24 hours of the illness
or outbreak.
   (13) A community food producer, as defined in Section 113752.
  SEC. 197.  Section 117945 of the Health and Safety Code is amended
to read:
   117945.  (a)  Small   A small  quantity
 generators   generator  who  are
  is  not required to register pursuant to this
chapter shall maintain on file in  their  its
 office all of  the  following:
   (1) An information document stating how the generator contains,
stores, treats, and disposes of any medical waste generated through
any act or process of the generator.
   (2) Records required by the United States Postal Service of any
medical waste shipped offsite for treatment and disposal. The small
quantity generator shall maintain, or have available electronically
at the facility or from the medical waste hauler or common carrier,
these records, for not less than three years.
   (b) Documentation shall be made available to the enforcement
agency onsite.
  SEC. 198.  Section 118330 of the Health and Safety Code is amended
to read:
   118330.  (a) Whenever the enforcement agency determines that a
violation or threatened violation of this part or the regulations
adopted pursuant to this part has resulted, or is likely to result,
in a release of medical waste into the environment, the agency may
issue an order to the responsible person specifying a schedule for
compliance or imposing an administrative penalty of not more than
five thousand dollars ($5,000) per violation. A person who, after
notice and an opportunity for hearing, violates an order issued
pursuant to this section is guilty of a misdemeanor.
        (1) If the department is the enforcement agency, the
department shall provide notice, issue the order, and conduct the
administrative hearing pursuant to subdivisions (d) and (f).
   (2) If the department is not the enforcement agency, the
provisions of subdivisions (b) to (e), inclusive,  shall
 apply.
   (b) (1) In establishing the amount of the administrative penalty
and ordering that the violation be corrected pursuant to this
section, the enforcement agency shall take into consideration the
nature, circumstances, extent, and gravity of the violation, the
violator's past and present efforts to prevent, abate, or clean up
conditions posing a threat to the public health or safety or the
environment, the violator's ability to pay the penalty, and the
deterrent effect that the imposition of the penalty would have on
both the violator and the regulated community.
   (2) If the amount of the administrative penalty is set after the
person is served with the order pursuant to subdivision (c) or after
the order becomes final, the person may request a hearing to dispute
the amount of the administrative penalty and is entitled to the same
process as provided in subdivision (c), whether or not the person
disputed the facts of the violation through that process.
   (3) An administrative penalty assessed pursuant to this section
shall be in addition to any other penalties or sanctions imposed by
law.
   (c) (1) An order issued pursuant to this section shall be served
by personal service or certified mail and shall inform the person
served of the right to a hearing.
   (2) A person served with an order pursuant to paragraph (1) and
who has been unable to resolve the violation with the enforcement
agency may, within 15 days after service of the order, request a
hearing by filing with the enforcement agency a notice of defense.
The notice shall be filed with the agency that issued the order. A
notice of defense shall be deemed filed within the 15-day period if
it is postmarked within that 15-day period. If no notice of defense
is filed within the 15-day time period, the order shall become final.

   (3) Except as otherwise provided in paragraph (4), a person
requesting a hearing on an order issued pursuant to this section may
select the hearing officer specified in either subparagraph (A) or
(B) of paragraph (4) in the notice of defense filed with the
enforcement agency pursuant to paragraph (2). If a notice of defense
is filed, but no hearing officer is selected, the enforcement agency
may select the hearing officer.
   (4) Within 90 days of receipt of the notice of defense by the
enforcement agency, the hearing shall be scheduled using one of the
following:
   (A) An administrative law judge of the Office of Administrative
Hearings of the Department of General Services, who shall conduct the
hearing in accordance with Chapter 4.5 (commencing with Section
11400) of Part 1 of Division 3 of Title 2 of the Government Code, and
the enforcement agency shall have all the authority granted to an
agency by those provisions.
   (B) (i) A hearing officer designated by the enforcement agency,
who shall conduct the hearing in accordance with Chapter 4.5
(commencing with Section 11400) of Part 1 of Division 3 of Title 2 of
the Government Code, and the enforcement agency shall have all the
authority granted to an agency by those provisions. When a hearing is
conducted by an enforcement agency hearing officer pursuant to this
clause, the enforcement agency shall issue a decision within 60 days
after the hearing is conducted. Each hearing officer designated by an
enforcement agency shall meet the requirements of Section 11425.30
of the Government Code and any other applicable restriction.
   (ii) An enforcement agency, or a person requesting a hearing on an
order issued by an enforcement agency, may select the hearing
process specified in this subparagraph in a notice of defense filed
pursuant to paragraph (2) only if the enforcement agency has selected
a designated hearing officer and established a program for
conducting a hearing in accordance with this paragraph.
   (5) The hearing decision issued pursuant to this subdivision shall
be effective and final upon issuance by the enforcement agency. A
copy of the decision shall be served by personal service or by
certified mail upon the party served with the order, or their
representative, if any.
   (6) The person has a right to appeal the hearing decision if,
within 30 days of the date of receipt of the final decision pursuant
to paragraph (5), the person files a written notice of appeal with
the enforcement agency. The appeal shall be in accordance with the
Administrative Procedure Act (Chapters 4.5 (commencing with Section
11400) and 5 (commencing with Section 11500) of Part 1 of Division 3
of Title 2 of the Government Code).
   (7) A decision issued pursuant to paragraph (6) may be reviewed by
a court pursuant to Section 11523 of the Government Code. In all
proceedings pursuant to this  section,  
subdivision,  the court shall uphold the decision of the
enforcement agency if the decision is based upon substantial evidence
in the record as a whole. The filing of a petition for writ of
mandate shall not stay an action required pursuant to this chapter or
the accrual of any penalties assessed pursuant to this chapter. This
subdivision does not prohibit the court from granting any
appropriate relief within its jurisdiction.
   (d) A provision of an order issued under this section, except the
imposition of an administrative penalty, shall take effect upon
issuance of the order by the enforcement agency if the enforcement
agency finds that the violation or violations of law associated with
that provision may pose an imminent and substantial danger to the
public health or safety or the environment. A request for a hearing
or appeal, as provided in subdivision (c) or (f) shall not stay the
effect of that provision of the order pending a hearing decision. If
the enforcement agency determines that any or all provisions of the
order are so related that the public health or safety or the
environment can be protected only by immediate compliance with the
order as a whole, the order as a whole, except the imposition of an
administrative penalty, shall take effect upon issuance by the
enforcement agency. A request for a hearing shall not stay the effect
of the order as a whole pending a hearing decision.
   (e) The enforcement agency shall consult with the district
attorney, county counsel, or city attorney on the development of
policies to be followed in exercising the authority delegated
pursuant to this section as it relates to the authority of the
enforcement agency to issue orders.
   (f) (1) The department shall serve an order issued pursuant to
this section by personal service or certified mail and shall inform
the person served of the right to a hearing.
   (2) A person served with an order pursuant to paragraph (1) may
appeal the order by sending a written request for hearing to the
department within 20 days after service of the order. If  no
  a  request for hearing is  not  made
within the 20-day time period, the order shall become final. Payments
of any administrative penalty shall be made within 30 days of the
date the order becomes final.
   (3) Any hearings conducted by the department pursuant to this
section shall be conducted pursuant to the procedures specified in
Section 131071.
  SEC. 199.  Section 120375 of the Health and Safety Code is amended
to read:
   120375.  (a) The governing authority of each school or institution
included in Section 120335 shall require documentary proof of each
entrant's immunization status. The governing authority shall record
the immunizations of each new entrant in the entrant's permanent
enrollment and scholarship record on a form provided by the
department. The immunization record of each new entrant admitted
conditionally shall be reviewed periodically by the governing
authority to ensure that within the time periods designated by
regulation of the department he or she has been fully immunized
against all of the diseases listed in Section 120335, and
immunizations received  subsequent to   after
 entry shall be added to the pupil's immunization record.
   (b) The governing authority of each school or institution included
in Section 120335 shall prohibit from further attendance any pupil
admitted conditionally who failed to obtain the required
immunizations within the time limits allowed in the regulations of
the department, unless the pupil is exempted under Section 120370,
until that pupil has been fully immunized against all of the diseases
listed in Section 120335.
   (c) The governing authority shall file a written report on the
immunization status of new entrants to the school or institution
under their jurisdiction with the department and the local health
department at times and on forms prescribed by the department. As
provided in paragraph (4) of subdivision (a) of Section 49076 of the
Education Code, the local health department shall have access to the
complete health information as it relates to immunization of each
student in the schools or other institutions listed in Section 120335
in order to determine immunization deficiencies.
   (d) The governing authority shall cooperate with the county health
officer in carrying out programs for the immunization of persons
applying for admission to any school or institution under its
jurisdiction. The governing board of any school district may use
funds, property, and personnel of the district for that purpose. The
governing authority of any school or other institution may permit any
licensed physician or any qualified registered nurse  as
provided in Section 2727.3 of the Business and Professions Code
 to administer immunizing agents to any person seeking
admission to any school or institution under its jurisdiction.
  SEC. 200.  Section 129160 of the Health and Safety Code is amended
to read:
   129160.  (a)  (1) All debentures issued under this chapter to any
lender or bondholder shall be executed in the name of the fund as
obligor, shall be signed by the  State  Treasurer,
and shall be negotiable. Pursuant to Sections 129125 and 129130, all
debentures shall be dated as of the date of the institution of
foreclosure proceedings or as of the date of the acquisition of the
property after default by other than foreclosure, or as of another
date as the office, in its discretion, may establish.
   (2) The debentures shall bear interest from that date at a rate
equal to the insured loan or bonds, and shall be payable on a payment
schedule identical with payments on the insured loan or bonds. The
 State  Treasurer shall take appropriate steps to
the extent feasible to provide that interest on the debentures
 shall be   is  exempt from federal income
taxation under Section 103 of the Internal Revenue Code to the extent
interest on the insured loan or bonds is exempt from federal income
taxation under Section 103 of the Internal Revenue Code on the date
the insured loan or bonds is exchanged for debentures. All debentures
shall be exempt, both as to principal and interest, from all
taxation now or hereafter imposed by the state or local taxing
agencies, shall be paid out of the fund, which shall be primarily
liable therefor, and shall be, pursuant to Section 4 of Article XVI
of the California Constitution, fully and unconditionally guaranteed
as to principal and interest by the State of California, which
guaranty shall be expressed on the face of the debentures.
   (3)  In the event that  If  the fund
fails to pay upon demand, when due, the principal of, or interest on,
any debentures issued under this chapter, the  State
 Treasurer shall pay to the holders the amount thereof,
which amount, notwithstanding Section 13340 of the Government Code,
is hereby continuously appropriated from the General  Fund of
the State Treasury,   Fund,  without regard to
fiscal years, and thereupon to the extent of the amount so paid the
 State  Treasurer shall succeed to all the rights of
the holders of the debentures. The fund shall be liable for
repayment to the General Fund  of the State Treasury
 of any money paid from the General Fund pursuant to this
section in accordance with procedures jointly established by the
 State  Treasurer and the office.
   (b)  Any debenture issued under this article shall be paid on a
par with general obligation bonds issued by the state.
  SEC. 201.  Section 38.6 of the Insurance Code is amended to read:
   38.6.  (a) (1) Any written record required to be given or mailed
to any person by a licensee relating to the business of life
insurance, as defined in Section 101 of this code may, if not
excluded by subdivision (b) or (c) of Section 1633.3 of the Civil
Code, be provided by electronic transmission pursuant to Title 2.5
(commencing with Section 1633.1) of Part 2 of Division 3 of the Civil
Code, if each party has agreed to conduct the transaction by
electronic means pursuant to Section 1633.5 of the Civil Code, and if
the licensee complies with the provisions of this section. A valid
electronic signature shall be sufficient for any provision of law
requiring a written signature.
   (2) For purposes of this section, the definitions set forth in
Section 1633.2 of the Civil Code  shall  apply. The
term "licensee" means an insurer, agent, broker, or any other person
who is required to be licensed by the department.
   (3) Notwithstanding subdivision (l) of Section 1633.2 of the Civil
Code, for purposes of this section, "person" includes, but is not
limited to, the policy owner, policyholder, applicant, insured, or
assignee or designee of an insured.
   (b) In order to transmit a life insurance record electronically, a
licensee shall comply with all of the following:
   (1) A licensee, or licensee's representative, acquires the consent
of the person to opt in to receive the record by electronic
transmission, and the person has not withdrawn that consent, prior to
providing the record by electronic transmission. A person's consent
may be acquired verbally, in writing, or electronically. If consent
is acquired verbally, the licensee shall confirm consent in writing
or electronically. The licensee shall retain a record of the person's
consent to receive the record by electronic transmission with the
policy information so that it is retrievable upon request by the
department while the policy is in force and for five years
thereafter.
   (2) A licensee discloses, in writing or electronically, to the
person all of the following:
   (A) The opt in to receive the record by electronic transmission is
voluntary.
   (B) That the person may opt out of receiving the record by
electronic transmission at any time, and the process or system for
the person to opt out.
   (C) A description of the record that the person will receive by
electronic transmission.
   (D) The process or system to report a change or correction in the
person's email address.
   (E) The licensee's contact information, which includes, but is not
limited to, a toll-free number or the licensee's Internet Web site
address.
   (3) The opt-in consent disclosure required by paragraph (2) may be
set forth in the application or in a separate document that is part
of the policy approved by the commissioner and shall be bolded or
otherwise set forth in a conspicuous manner. The person's signature
shall be set forth immediately below the opt-in consent disclosure.
If the licensee seeks consent at any time prior to the completion of
the application, consent and signature shall be obtained before the
application is completed. If the person has not opted in at the time
the application is completed, the licensee may receive the opt-in
consent at any time thereafter, pursuant to the same  opt in
  opt   -in  requirements that apply at
the time of the application. The licensee shall retain a copy of the
signed opt-in consent disclosure with the policy information so that
each is retrievable upon request by the department while the policy
is in force and for five years thereafter.
   (4) The email address of the person who has consented to
electronic transmission shall be set forth on the consent disclosure.
In addition, if the person who consented receives an annual
statement, the email address of the person who has consented shall be
set forth on that record.
   (5) The licensee shall annually provide one free printed copy of
any record described in this subdivision upon request by the person.
   (6) If a provision of this code requires a licensee to transmit a
record by first class mail, regular mail, does not specify a method
of delivery, or is a record that is required to be provided pursuant
to Article 6.6 (commencing with Section 791), and if the licensee is
not otherwise prohibited from transmitting the record electronically
under subdivision (b) of Section 1633.8 of the Civil Code, then the
record may be transmitted by electronic transmission if the licensee
complies with all of the requirements of Sections 1633.15 and 1633.16
of the Civil Code.
   (7) Notwithstanding subdivision (b) of Section 1633.8 of the Civil
Code, if a provision of this code requires a licensee to transmit a
record by return receipt, registered mail, certified mail, signed
written receipt of delivery, or other method of delivery evidencing
actual receipt by the person, and if the licensee is not otherwise
prohibited from transmitting the record electronically under Section
1633.3 of the Civil Code and the provisions of this section, then the
licensee shall maintain a process or system that demonstrates proof
of delivery and actual receipt of the record by the person consistent
with this paragraph. The licensee shall document and retain
information demonstrating delivery and actual receipt so that it is
retrievable, upon request, by the department at least five years
after the policy is no longer in force. The record provided by
electronic transmission shall be treated as if actually received if
the licensee delivers the record to the person in compliance with
applicable statutory delivery deadlines. A licensee may demonstrate
actual delivery and receipt by any of the following:
   (A) The person acknowledges receipt of the electronic transmission
of the record by returning an electronic receipt or by executing an
electronic signature.
   (B) The record is made part of, or attached to, an email sent to
the email address designated by the person, and there is a
confirmation receipt, or some other evidence that the person received
the email in his or her email account and opened the email.
   (C) The record is posted on the licensee's secure Internet Web
site, and there is evidence demonstrating that the person logged onto
the licensee's secure Internet Web site and downloaded, printed, or
otherwise acknowledged receipt of the record.
   (D) If a licensee is unable to demonstrate actual delivery and
receipt pursuant to this paragraph, the licensee shall resend the
record by regular mail to the person in the manner originally
specified by the underlying provision of this code.
   (8) Notwithstanding any other law, a notice of lapse, nonrenewal,
cancellation, or termination of any product subject to this section
may be transmitted electronically if the licensee demonstrates proof
of delivery as set forth in paragraph (7) and complies with the other
provisions in this section.
   (9) If the record is not delivered directly to the electronic
address designated by the person but placed at an electronic address
accessible to the person, a licensee shall notify the person in
plain, clear, and conspicuous language at the electronic address
designated by the person that describes the record, informs that
person that it is available at another location, and provides
instructions to the person as to how to obtain the record.
   (10) (A) Upon a licensee receiving information indicating that the
record sent by electronic transmission was not received by the
person, the licensee shall, within five business days, comply with
either clause (i) or (ii):
   (i) Contact the person to confirm or update the person's email
address and resend the record by electronic transmission. If the
licensee elects to resend the record by electronic transmission, the
licensee shall demonstrate the transmission was received by the
person, pursuant to paragraph (6), (7), or (8). If the licensee is
unable to confirm or update the person's email address, the licensee
shall resend the record by regular mail to the licensee at the
address shown on the policy, or, if the underlying statute requires
delivery in a specified manner, send the record in that specified
manner.
   (ii) Resend the record initially provided by electronic
transmission by regular mail to the insured at the address shown on
the policy, or, if the underlying statute requires delivery in a
specified manner, send the record in that specified manner.
   (B) If the licensee sends the first electronic record within the
time period required by law and the licensee complies with both
paragraph (5) and subparagraph (A) of this paragraph, the record sent
pursuant to clause (i) or (ii) of subparagraph (A) shall be treated
as if mailed in compliance with the applicable statutory regular mail
delivery deadlines.
   (11) The licensee shall not charge any person who declines to opt
in to receive a record through electronic transmission from receiving
a record electronically. The licensee shall not provide a discount
or an incentive to any person to opt in to receive electronic
records.
   (12) The licensee shall verify a person's email address via paper
writing sent by regular mail when more than 12 months have elapsed
since the license's last electronic communication.
   (c) An insurance agent or broker acting under the direction of a
party that enters into a contract by means of an electronic record or
electronic signature shall not be held liable for any deficiency in
the electronic procedures agreed to by the parties under that
contract if all of the following are met:
   (1) The insurance agent or broker has not engaged in negligent,
reckless, or intentional tortious conduct.
   (2) The insurance agent or broker was not involved in the
development or establishment of the electronic procedures.
   (3) The insurance agent or broker did not deviate from the
electronic procedures.
   (d) On or before January 1, 2020, the commissioner shall submit a
report to the Governor and to the committees of the Senate and
Assembly having jurisdiction over insurance and the judiciary,
regarding the impact and implementation of the authorization of the
electronic transmission of certain insurance renewal offers, notices,
or disclosures as authorized by this section. The report shall
include input from insurers, consumers, and consumer organizations,
and shall include an assessment of the department's experience
pertaining to the authorization of the electronic transmission of
insurance renewals as authorized by this section.
   (e) Notwithstanding paragraph (4) of subdivision (b) of Section
1633.3 of the Civil Code, for any policy of life insurance, as
defined in Section 101, any statutory requirement for a separate
acknowledgment, signature, or initial, which is not expressly
prohibited by subdivision (c) of Section 1633.3 of the Civil Code,
may be transacted using an electronic signature, or by electronic
transaction, subject to all applicable provisions of this section.
   (f) The department may suspend a licensee from providing records
by electronic transmission if there is a pattern or practices that
demonstrate the licensee has failed to comply with the requirements
of this section. A licensee may appeal the suspension and resume its
electronic transmission of records upon communication from the
department that the changes the licensee made to its process or
system to comply with the requirements of this section are
satisfactory.
   (g) This section shall remain in effect only until January 1,
2021, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2021, deletes or extends
that date.
  SEC. 202.  Section 10082.5 of the Insurance Code is amended to
read:
   10082.5.  (a) If an insurer subject to this chapter charges an
additional earthquake insurance premium or deductible because a
dwelling fails to comply with paragraph (1), (2), or (3) and the
dwelling is subsequently brought into compliance with any one of
these paragraphs, then the additional premium or deductible
attributed to noncompliance shall not be charged.
   (1) Compliance with Section 19215 of the Health and Safety Code
for the bracing, anchoring, or strapping  of  all water
heaters to resist falling or horizontal displacement due to
earthquake motion.
   (2) Compliance with the foundation anchor bolt requirements of the
2007 edition of the California Building Standards Code as specified
in Title 24 of the California Code of Regulations, or a successor
edition of that code, or with any local government modifications to
those requirements.
   (3) Compliance with the bracing requirements for cripple walls of
the 2007 edition of the California Building Standards Code as
specified in Title 24 of the California Code of Regulations, or a
successor edition of that code, or with any local government
modifications to those requirements.
   (b)  A copy of the approved inspection record for the building
permit for work performed pursuant to this section shall be submitted
by the insured to the insurer in order to verify that retrofits
performed pursuant to this section have been performed. The
additional premium or deductible paid shall be refunded to the
insured and prorated as of the date the approved inspection record is
received by the insurer.
  SEC. 203.  Section 10112.27 of the Insurance Code, as added by
Section 4 of Chapter 648 of the Statutes of 2015, is amended to read:

   10112.27.  (a) An individual or small group health insurance
policy issued, amended, or renewed on or after January 1, 2017,
shall, at a minimum, include coverage for essential health benefits
pursuant to PPACA and as outlined in this section. This section shall
exclusively govern what benefits a health insurer must cover as
essential health benefits. For purposes of this section, "essential
health benefits" means all of the following:
   (1) Health benefits within the categories identified in Section
1302(b) of PPACA: ambulatory patient services, emergency services,
hospitalization, maternity and newborn care, mental health and
substance use disorder services, including behavioral health
treatment, prescription drugs, rehabilitative and habilitative
services and devices, laboratory services, preventive and wellness
services                                              and chronic
disease management, and pediatric services, including oral and vision
care.
   (2) (A) The health benefits covered by the Kaiser Foundation
Health Plan Small Group HMO 30 plan (federal health product
identification number 40513CA035) as this plan was offered during the
first quarter of 2014, as follows, regardless of whether the
benefits are specifically referenced in the plan contract or evidence
of coverage for that plan:
   (i) Medically necessary basic health care services, as defined in
subdivision (b) of Section 1345 of the Health and Safety Code and in
Section 1300.67 of Title 28 of the California Code of Regulations.
   (ii) The health benefits mandated to be covered by the plan
pursuant to statutes enacted before December 31, 2011, as described
in the following sections of the Health and Safety Code: Sections
1367.002, 1367.06, and 1367.35 (preventive services for children);
Section 1367.25 (prescription drug coverage for contraceptives);
Section 1367.45 (AIDS vaccine); Section 1367.46 (HIV testing);
Section 1367.51 (diabetes); Section 1367.54  (alpha feto
protein   (alpha-fetoprotein  testing); Section
1367.6 (breast cancer screening); Section 1367.61 (prosthetics for
laryngectomy); Section 1367.62 (maternity hospital stay); Section
1367.63 (reconstructive surgery); Section 1367.635 (mastectomies);
Section 1367.64 (prostate cancer); Section 1367.65 (mammography);
Section 1367.66 (cervical cancer); Section 1367.665 (cancer screening
tests); Section 1367.67 (osteoporosis); Section 1367.68 (surgical
procedures for jaw bones); Section 1367.71 (anesthesia for dental);
Section 1367.9 (conditions attributable to diethylstilbestrol);
Section 1368.2 (hospice care); Section 1370.6 (cancer clinical
trials); Section 1371.5 (emergency response ambulance or ambulance
transport services); subdivision (b) of Section 1373 (sterilization
operations or procedures); Section 1373.4 (inpatient hospital and
ambulatory maternity); Section 1374.56 (phenylketonuria); Section
1374.17 (organ transplants for HIV); Section 1374.72 (mental health
parity); and Section 1374.73 (autism/behavioral health treatment).
   (iii) Any other benefits mandated to be covered by the plan
pursuant to statutes enacted before December 31, 2011, as described
in those statutes.
   (iv) The health benefits covered by the plan that are not
otherwise required to be covered under Chapter 2.2 (commencing with
Section 1340) of Division 2 of the Health and Safety Code, to the
extent otherwise required pursuant to Sections 1367.18, 1367.21,
1367.215, 1367.22, 1367.24, and 1367.25 of the Health and Safety
Code, and Section 1300.67.24 of Title 28 of the California Code of
Regulations.
   (v) Any other health benefits covered by the plan that are not
otherwise required to be covered under Chapter 2.2 (commencing with
Section 1340) of Division 2 of the Health and Safety Code.
   (B)  Where   If  there are any conflicts
or omissions in the plan identified in subparagraph (A) as compared
with the requirements for health benefits under Chapter 2.2
(commencing with Section 1340) of Division 2 of the Health and Safety
Code that were enacted prior to December 31, 2011, the requirements
of Chapter 2.2 (commencing with Section 1340) of Division 2 of the
Health and Safety Code shall be controlling, except as otherwise
specified in this section.
   (C) Notwithstanding subparagraph (B) or any other provision of
this section, the home health services benefits covered under the
plan identified in subparagraph (A) shall be deemed to not be in
conflict with Chapter 2.2 (commencing with Section 1340) of Division
2 of the Health and Safety Code.
   (D) For purposes of this section, the Paul Wellstone and Pete
Domenici Mental Health Parity and Addiction Equity Act of 2008
(Public Law 110-343) shall apply to a policy subject to this section.
Coverage of mental health and substance use disorder services
pursuant to this paragraph, along with any scope and duration limits
imposed on the benefits, shall be in compliance with the Paul
Wellstone and Pete Domenici Mental Health Parity and Addiction Equity
Act of 2008 (Public Law 110-343), and all rules, regulations, and
guidance issued pursuant to Section 2726 of the federal Public Health
Service Act (42 U.S.C. Sec. 300gg-26).
   (3) With respect to habilitative services, in addition to any
habilitative services and devices identified in paragraph (2),
coverage shall also be provided as required by federal rules,
regulations, or guidance issued pursuant to Section 1302(b) of PPACA.
Habilitative services and devices shall be covered under the same
terms and conditions applied to rehabilitative services and devices
under the policy. Limits on habilitative and rehabilitative services
and devices shall not be combined.
   (4) With respect to pediatric vision care, the same health
benefits for pediatric vision care covered under the Federal
Employees Dental and Vision Insurance Program vision plan with the
largest national enrollment as of the first quarter of 2014. The
pediatric vision care services covered pursuant to this paragraph
shall be in addition to, and shall not replace, any vision services
covered under the plan identified in paragraph (2).
   (5) With respect to pediatric oral care, the same health benefits
for pediatric oral care covered under the dental benefit received by
children under Medi-Cal as of 2014, including the provision of
medically necessary orthodontic care provided pursuant to the federal
Children's Health Insurance Program Reauthorization Act of 2009. The
pediatric oral care benefits covered pursuant to this paragraph
shall be in addition to, and shall not replace, any dental or
orthodontic services covered under the plan identified in paragraph
(2).
   (b) Treatment limitations imposed on health benefits described in
this section shall be no greater than the treatment limitations
imposed by the corresponding plans identified in subdivision (a),
subject to the requirements set forth in paragraph (2) of subdivision
(a).
   (c) Except as provided in subdivision (d), nothing in this section
shall be construed to permit a health insurer to make substitutions
for the benefits required to be covered under this section,
regardless of whether those substitutions are actuarially equivalent.

   (d) To the extent permitted under Section 1302 of PPACA and any
rules, regulations, or guidance issued pursuant to that section, and
to the extent that substitution would not create an obligation for
the state to defray costs for any individual, an insurer may
substitute its prescription drug formulary for the formulary provided
under the plan identified in subdivision (a) as long as the coverage
for prescription drugs complies with the sections referenced in
clauses (ii) and (iv) of subparagraph (A) of paragraph (2) of
subdivision (a) that apply to prescription drugs.
   (e)  No   A  health insurer, or its
agent, producer, or representative, shall  not  issue,
deliver, renew, offer, market, represent, or sell any product,
policy, or discount arrangement as compliant with the essential
health benefits requirement in federal law, unless it meets all of
the requirements of this section. This subdivision shall be enforced
in the same manner as Section 790.03, including through the means
specified in Sections 790.035 and 790.05.
   (f) This section  shall apply   applies 
regardless of whether the policy is offered inside or outside the
California Health Benefit Exchange created by Section 100500 of the
Government Code.
   (g)  Nothing in this   This  section
shall  not  be construed to exempt a health insurer or a
health insurance policy from meeting other applicable requirements of
law.
   (h) This section shall not be construed to prohibit a policy from
covering additional benefits, including, but not limited to,
spiritual care services that are tax deductible under Section 213 of
the Internal Revenue Code.
   (i) Subdivision (a)  shall   does  not
apply to any of the following:
   (1) A policy that provides excepted benefits as described in
Sections 2722 and 2791 of the federal Public Health Service Act (42
U.S.C. Sec. 300gg-21; 42 U.S.C. Sec. 300gg-91).
   (2) A policy that qualifies as a grandfathered health plan under
Section 1251 of PPACA or any binding rules, regulation, or guidance
issued pursuant to that section.
   (j)  Nothing in this   This   
section shall  not  be implemented in a manner that
conflicts with a requirement of PPACA.
   (k) This section shall be implemented only to the extent essential
health benefits are required pursuant to PPACA.
   (l) An essential health benefit is required to be provided under
this section only to the extent that federal law does not require the
state to defray the costs of the benefit.
   (m)  Nothing in this   This  section
 shall   does not  obligate the state to
incur costs for the coverage of benefits that are not essential
health benefits as defined in this section.
   (n) An insurer is not required to cover, under this section,
changes to health benefits that are the result of statutes enacted on
or after December 31, 2011.
   (o) (1) The commissioner may adopt emergency regulations
implementing this section. The commissioner may, on a one-time basis,
readopt any emergency regulation authorized by this section that is
the same as, or substantially equivalent to, an emergency regulation
previously adopted under this section.
   (2) The initial adoption of emergency regulations implementing
this section and the readoption of emergency regulations authorized
by this subdivision shall be deemed an emergency and necessary for
the immediate preservation of the public peace, health, safety, or
general welfare. The initial emergency regulations and the readoption
of emergency regulations authorized by this section shall be
submitted to the Office of Administrative Law for filing with the
Secretary of State and each shall remain in effect for no more than
180 days, by which time final regulations may be adopted.
   (3) The initial adoption of emergency regulations implementing
this section made during the 2015-16 Regular Session of the
Legislature and the readoption of emergency regulations authorized by
this subdivision shall be deemed an emergency and necessary for the
immediate preservation of the public peace, health, safety, or
general welfare. The initial emergency regulations and the readoption
of emergency regulations authorized by this section shall be
submitted to the Office of Administrative Law for filing with the
Secretary of State and each shall remain in effect for no more than
180 days, by which time final regulations may be adopted.
   (4) The commissioner shall consult with the Director of the
Department of Managed Health Care to ensure consistency and
uniformity in the development of regulations under this subdivision.
   (5) This subdivision shall become inoperative on July 1, 2018.
   (p) Nothing in this section shall impose on health insurance
policies the cost sharing or network limitations of the plans
identified in subdivision (a) except to the extent otherwise required
to comply with provisions of this code, including this section, and
as otherwise applicable to all health insurance policies offered to
individuals and small groups.
   (q) For purposes of this section, the following definitions
 shall  apply:
   (1) "Habilitative services" means health care services and devices
that help a person keep, learn, or improve skills and functioning
for daily living. Examples include therapy for a child who is not
walking or talking at the expected age. These services may include
physical and occupational therapy, speech-language pathology, and
other services for people with disabilities in a variety of inpatient
or outpatient settings, or both. Habilitative services shall be
covered under the same terms and conditions applied to rehabilitative
services under the policy.
   (2) (A) "Health benefits," unless otherwise required to be defined
pursuant to federal rules, regulations, or guidance issued pursuant
to Section 1302(b) of PPACA, means health care items or services for
the diagnosis, cure, mitigation, treatment, or prevention of illness,
injury, disease, or a health condition, including a behavioral
health condition.
   (B) "Health benefits" does not mean any cost-sharing requirements
such as copayments, coinsurance, or deductibles.
   (3) "PPACA" means the federal Patient Protection and Affordable
Care Act (Public Law 111-148), as amended by the federal Health Care
and Education Reconciliation Act of 2010 (Public Law 111-152), and
any rules, regulations, or guidance issued thereunder.
   (4) "Small group health insurance policy" means a group health
insurance policy issued to a small employer, as defined in Section
10753.
  SEC. 204.  Section 10123.193 of the Insurance Code, as added by
Section 7 of Chapter 619 of the Statutes of 2015, is amended to read:

   10123.193.  (a) The Legislature hereby finds and declares all of
the following:
   (1) The federal Patient Protection and Affordable Care Act, its
implementing regulations and guidance, and related state law prohibit
discrimination based on a person's expected length of life, present
or predicted disability, degree of medical dependency, quality of
life, or other health conditions, including benefit designs that have
the effect of discouraging the enrollment of individuals with
significant health needs.
   (2) The Legislature intends to build on existing state and federal
law to ensure that health coverage benefit designs do not have an
unreasonable discriminatory impact on chronically ill individuals,
and to ensure affordability of outpatient prescription drugs.
   (3) Assignment of all or most prescription medications that treat
a specific medical condition to the highest cost tiers of a formulary
may effectively discourage enrollment by chronically ill
individuals, and may result in lower adherence to a prescription drug
treatment regimen.
   (b) A nongrandfathered policy of health insurance that is offered,
amended, or renewed on or after January 1, 2017, shall comply with
this section. The cost-sharing limits established by this section
apply only to outpatient prescription drugs covered by the policy
that constitute essential health benefits, as defined by Section
10112.27.
   (c) A policy of health insurance that provides coverage for
outpatient prescription drugs shall cover medically necessary
prescription drugs, including nonformulary drugs determined to be
medically necessary consistent with this part.
   (d) Copayments, coinsurance, and other cost sharing for outpatient
prescription drugs shall be reasonable so as to allow access to
medically necessary outpatient prescription drugs.
   (e) (1) Consistent with federal law and guidance, the formulary or
formularies for outpatient prescription drugs maintained by the
health insurer shall not discourage the enrollment of individuals
with health conditions and shall not reduce the generosity of the
benefit for insureds with a particular condition in a manner that is
not based on a clinical indication or reasonable medical management
practices. Section 1342.7 of the Health and Safety Code and any
regulations adopted pursuant to that section shall be interpreted in
a manner that is consistent with this section.
   (2) For combination antiretroviral drug treatments that are
medically necessary for the treatment of AIDS/HIV, a policy of health
insurance shall cover a single-tablet drug regimen that is as
effective as a multitablet regimen unless, consistent with clinical
guidelines and peer-reviewed scientific and medical literature, the
multitablet regimen is clinically equally or more effective and more
likely to result in adherence to a drug regimen.
   (3) Any limitation or utilization management shall be consistent
with and based on clinical guidelines and peer-reviewed scientific
and medical literature.
   (f) (1) With respect to an individual or group policy of health
insurance subject to Section 10112.28, the copayment, coinsurance, or
any other form of cost sharing for a covered outpatient prescription
drug for an individual prescription for a supply of up to 30 days
shall not exceed two hundred fifty dollars ($250), except as provided
in paragraphs (2) and (3).
   (2) With respect to products with actuarial value at or equivalent
to the bronze level, cost sharing for a covered outpatient
prescription drug for an individual prescription for a supply of up
to 30 days shall not exceed five hundred dollars ($500), except as
provided in paragraph (3).
   (3) For a policy of health insurance that is a "high deductible
health plan" under the definition set forth in Section 223(c)(2) of
Title 26 of the United States Code, paragraphs (1) and (2) of this
subdivision  shall apply   applie   s
 only once an insured's deductible has been satisfied for the
year.
   (4) For a nongrandfathered individual or small group policy of
health insurance, the annual deductible for outpatient drugs, if any,
shall not exceed twice the amount specified in paragraph (1) or (2),
respectively.
   (5) For purposes of paragraphs (1) and (2), "any other form of
cost sharing" shall not include  a  deductible.
   (g) (1) If a policy of health insurance offered, sold, or renewed
in the nongrandfathered individual or small group market maintains a
drug formulary grouped into tiers that includes a fourth tier, a
policy of health insurance shall use the following definitions for
each tier of the drug formulary:
   (A) Tier one shall consist of most generic drugs and low-cost
preferred brand name drugs.
   (B) Tier two shall consist of nonpreferred generic drugs,
preferred brand name drugs, and any other drugs recommended by the
health insurer's pharmacy and therapeutics committee based on safety,
efficacy, and cost.
   (C) Tier three shall consist of nonpreferred brand name drugs or
drugs that are recommended by the health insurer's pharmacy and
therapeutics committee based on safety, efficacy, and cost, or that
generally have a preferred and often less costly therapeutic
alternative at a lower tier.
   (D) Tier four shall consist of drugs that are biologics, drugs
that the FDA or the manufacturer requires to be distributed through a
specialty pharmacy, drugs that require the insured to have special
training or clinical monitoring for self-administration, or drugs
that cost the health insurer more than six hundred dollars ($600) net
of rebates for a one-month supply.
   (2) In placing specific drugs on specific tiers, or choosing to
place a drug on the formulary, the insurer shall take into account
the other provisions of this section and this part.
   (3) A policy of health insurance may maintain a drug formulary
with fewer than four tiers.
   (4) This section shall not be construed to limit a health insurer
from placing any drug in a lower tier.
   (h) This section shall not be construed to require a health
insurer to impose cost sharing. This section shall not be construed
to require cost sharing for prescription drugs that state or federal
law otherwise requires to be provided without cost sharing.
   (i) A policy of health insurance shall ensure that the placement
of prescription drugs on formulary tiers is based on clinically
indicated, reasonable medical management practices.
   (j) In the provision of outpatient prescription drug coverage, a
health insurer may utilize formulary, prior authorization, step
therapy, or other reasonable medical management practices consistent
with this part.
   (k) 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. 205.  Section 10133.15 of the Insurance Code is amended to
read:
   10133.15.  (a) Commencing July 1, 2016, a health insurer that
contracts with providers for alternative rates of payment pursuant to
Section 10133 shall publish and maintain provider directory or
directories with information on contracting providers that deliver
health care services to the insurer's insureds, including those that
accept new patients. A provider directory shall not list or include
information on a provider that is not currently under contract with
the insurer.
   (b) An insurer shall provide the online directory or directories
for the specific network offered for each product using a consistent
method of network and product naming, numbering, or other
classification method that ensures the public, insureds, potential
insureds, the department, and other state or federal agencies can
easily identify the networks and insurer products in which a provider
participates. By July 31, 2017, or 12 months after the date provider
directory standards are developed under subdivision (k), whichever
occurs later, an insurer shall use the naming, numbering, or
classification method developed by the department pursuant to
subdivision (k).
   (c) (1) An online provider directory or directories shall be
available on the insurer's Internet Web site to the public, potential
insureds, insureds, and providers without any restrictions or
limitations. The directory or directories shall be accessible without
any requirement that an individual seeking the directory information
demonstrate coverage with the insurer, indicate interest in
obtaining coverage with the insurer, provide a member identification
or policy number, provide any other identifying information, or
create or access an account.
   (2) The online provider directory or directories shall be
accessible on the insurer's public Internet Web site through an
identifiable link or tab and in a manner that is accessible and
searchable by insureds, potential insureds, the public, and
providers. By July 1, 2017, or 12 months after the date provider
directory standards are developed under subdivision (k), whichever
occurs later, the insurer's public Internet Web site shall allow
provider searches by, at a minimum, name, practice address, city, ZIP
Code, California license number, National Provider Identifier
number, admitting privileges to an identified hospital, product,
tier, provider language or languages, provider group, hospital name,
facility name, or clinic name, as appropriate.
   (d) (1) An insurer shall allow insureds, potential insureds,
providers, and members of the public to request a printed copy of the
provider directory or directories by contacting the insurer through
the insurer's toll-free telephone number, electronically, or in
writing. A printed copy of the provider directory or directories
shall include the information required in subdivisions (h) and (i).
The printed copy of the provider directory or directories shall be
provided to the requester by mail postmarked no later than five
business days following the date of the request and may be limited to
the geographic region in which the requester resides or works or
intends to reside or work.
   (2) An insurer shall update its printed provider directory or
directories at least quarterly, or more frequently, if required by
federal law.
   (e) (1) The insurer shall update the online provider directory or
directories, at least weekly, or more frequently, if required by
federal law, when informed of and upon confirmation by the insurer of
any of the following:
   (A) A contracting provider is no longer accepting new patients for
that product, or an individual provider within a provider group is
no longer accepting new patients.
   (B) A contracted provider is no longer under contract for a
particular product.
   (C) A provider's practice location or other information required
under subdivision (h) or (i) has changed.
   (D) Upon the completion of the investigation described in
subdivision (o), a change is necessary based on an insured complaint
that a provider was not accepting new patients, was otherwise not
available, or whose contact information was listed incorrectly.
   (E) Any other information that affects the content or accuracy of
the provider directory or directories.
   (2) Upon confirmation of any of the following, the insurer shall
delete a provider from the directory or directories when:
   (A) A provider has retired or otherwise has ceased to practice.
   (B) A provider or provider group is no longer under contract with
the insurer for any reason.
   (C) The contracting provider group has informed the insurer that
the provider is no longer associated with the provider group and is
no longer under contract with the insurer.
   (f) The provider directory or directories shall include both an
email address and a telephone number for members of the public and
providers to notify the insurer if the provider directory information
appears to be inaccurate. This information shall be disclosed
prominently in the directory or directories and on the insurer's
Internet Web site.
   (g) The provider directory or directories shall include the
following disclosures informing insureds that they are entitled to
both of the following:
   (1) Language interpreter services, at no cost to the insured,
including how to obtain interpretation services in accordance with
Section 10133.8.
   (2) Full and equal access to covered services, including insureds
with disabilities as required under the federal Americans with
Disabilities Act of 1990 and Section 504 of the Rehabilitation Act of
1973.
   (h) The insurer and a specialized mental health insurer shall
include all of the following information in the provider directory or
directories:
   (1) The provider's name, practice location or locations, and
contact information.
   (2) Type of practitioner.
   (3) National Provider Identifier number.
   (4) California license number and type of license.
   (5) The area of specialty, including board certification, if any.
   (6) The provider's office email address, if available.
   (7) The name of each affiliated provider group currently under
contract with the insurer through which the provider sees enrollees.
   (8) A listing for each of the following providers that are under
contract with the insurer:
   (A) For physicians and surgeons, the provider group, and admitting
privileges, if any, at hospitals contracted with the insurer.
   (B) Nurse practitioners, physician assistants, psychologists,
acupuncturists, optometrists, podiatrists, chiropractors, licensed
clinical social workers, marriage and family therapists, professional
clinical counselors, qualified autism service providers, as defined
in Section 10144.51, nurse midwives, and dentists.
   (C) For federally qualified health centers or primary care
clinics, the name of the federally qualified health center or clinic.

                                          (D) For any provider
described in subparagraph (A) or (B) who is employed by a federally
qualified health center or primary care clinic, and to the extent
their services may be accessed and are covered through the contract
with the insurer, the name of the provider, and the name of the
federally qualified health center or clinic.
   (E) Facilities, including but not limited to, general acute care
hospitals, skilled nursing facilities, urgent care clinics,
ambulatory surgery centers, inpatient hospice, residential care
facilities, and inpatient rehabilitation facilities.
   (F) Pharmacies, clinical laboratories, imaging centers, and other
facilities providing contracted health care services.
   (9) The provider directory or directories may note that
authorization or referral may be required to access some providers.
   (10) Non-English language, if any, spoken by a health care
provider or other medical professional as well as non-English
language spoken by a qualified medical interpreter, in accordance
with Section  10133.8 of the Insurance Code,  
10133.8,  if any, on the provider's staff.
   (11) Identification of providers who no longer accept new patients
for some or all of the insurer's products.
   (12) The network tier to which the provider is assigned, if the
provider is not in the lowest tier, as applicable. Nothing in this
section shall be construed to require the use of network tiers other
than contract and noncontracting tiers.
   (13) All other information necessary to conduct a search pursuant
to paragraph (2) of subdivision (c).
   (i) A vision, dental, or other specialized insurer, except for a
specialized mental health insurer, shall include all of the following
information for each provider directory or directories used by the
insurer for its networks:
   (1) The provider's name, practice location or locations, and
contact information.
   (2) Type of practitioner.
   (3) National Provider Identifier number.
   (4) California license number and type of license, if applicable.
   (5) The area of specialty, including board certification, or other
accreditation, if any.
   (6) The provider's office email address, if available.
   (7) The name of each affiliated provider group or specialty
insurer practice group currently under contract with the insurer
through which the provider sees insureds.
   (8) The names of each allied health care professional to the
extent there is a direct contract for those services covered through
a contract with the insurer.
   (9) The non-English language, if any, spoken by a health care
provider or other medical professional as well as non-English
language spoken by a qualified medical interpreter, in accordance
with Section  10133.8 of the Insurance Code,  
10133.8,  if any, on the provider's staff.
   (10) Identification of providers who no longer accept new patients
for some or all of the insurer's products.
   (11) All other applicable information necessary to conduct a
provider search pursuant to paragraph (2) of subdivision (c).
   (j) (1) The contract between the insurer and a provider shall
include a requirement that the provider inform the insurer within
five business days when either of the following  occur:
  occurs: 
   (A) The provider is not accepting new patients.
   (B) If the provider had previously not accepted new patients, the
provider is currently accepting new patients.
   (2) If a provider who is not accepting new patients is contacted
by an insured or potential insured seeking to become a new patient,
the provider shall direct the insurer or potential insured to both
the insurer for additional assistance in finding a provider and to
the department to report any inaccuracy with the insurer's directory
or directories.
   (3) If an insured or potential insured informs an insurer of a
possible inaccuracy in the provider directory or directories, the
insurer shall promptly investigate and, if necessary, undertake
corrective action within 30 business days to ensure the accuracy of
the directory or directories.
   (k) (1) On or before December 31, 2016, the department shall
develop uniform provider directory standards to permit consistency in
accordance with subdivision (b) and paragraph (2) of subdivision (c)
and development of a multiplan directory by another entity. Those
standards shall not be subject to the Administrative Procedure Act
(Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code), until January 1, 2021. No more
than two revisions of those standards shall be exempt from the
Administrative Procedure Act (Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code)
pursuant to this subdivision.
   (2) In developing the standards under this subdivision, the
department shall seek input from interested parties throughout the
process of developing the standards and shall hold at least one
public meeting. The department shall take into consideration any
requirements for provider directories established by the federal
Centers for Medicare and Medicaid Services and the State Department
of Health Care Services.
   (3) By July 31, 2017, or 12 months after the date provider
directory standards are developed under this subdivision, whichever
occurs later, an insurer shall use the standards developed by the
department for each product offered by the insurer.
   (l) (1) An insurer shall take appropriate steps to ensure the
accuracy of the information concerning each provider listed in the
insurer's provider directory or directories in accordance with this
section, and shall, at least annually, review and update the entire
provider directory or directories for each product offered. Each
calendar year the insurer shall notify all contracted providers
described in subdivisions (h) and (i) as follows:
   (A) For individual providers who are not affiliated with a
provider group described in subparagraph (A) or (B) of paragraph (8)
of subdivision (h) and providers described in subdivision (i), the
insurer shall notify each provider at least once every six months.
   (B) For all other providers described in subdivision (h) who are
not subject to the requirements of subparagraph (A), the insurer
shall notify its contracted providers to ensure that all of the
providers are contacted by the insurer at least once annually.
   (2) The notification shall include all of the following:
   (A) The information the insurer has in its directory or
directories regarding the provider or provider group, including a
list of networks and products that include the contracted provider or
provider group.
   (B) A statement that the failure to respond to the notification
may result in a delay of payment or reimbursement of a claim pursuant
to subdivision (p).
   (C) Instructions on how the provider or provider group can update
the information in the provider directory or directories using the
online interface developed pursuant to subdivision (m).
   (3) The insurer shall require an affirmative response from the
provider or provider group acknowledging that the notification was
received. The provider or provider group shall confirm that the
information in the provider directory or directories is current and
accurate or update the information required to be in the directory or
directories pursuant to this section, including whether or not the
provider group is accepting new patients for each product.
   (4) If the insurer does not receive an affirmative response and
confirmation from the provider that the information is current and
accurate or, as an alternative, updates any information required to
be in the directory or directories pursuant to this section, within
30 business days, the insurer shall take no more than 15 business
days to verify whether the provider's information is correct or
requires updates. The insurer shall document the receipt and outcome
of each attempt to verify the information. If the insurer is unable
to verify whether the provider's information is correct or requires
updates, the insurer shall notify the provider 10 business days in
advance of removal that the provider will be removed from the
directory or directories. The provider shall be removed from the
directory or directories at the next required update of the provider
directory or directories after the 10-business day notice period. A
provider shall not be removed from the provider directory or
directories if he or she responds before the end of the 10-business
day notice period.
   (5) General acute care hospitals shall be exempt from the
requirements in paragraphs (3) and (4).
   (m) An insurer shall establish policies and procedures with regard
to the regular updating of its provider directory or directories,
including the weekly, quarterly, and annual updates required pursuant
to this section, or more frequently, if required by federal law or
guidance.
   (1) The policies and procedures described under  this 
subdivision  (l)  shall be submitted by an insurer
annually to the department for approval and in a format described by
the department.
   (2) Every insurer shall ensure processes are in place to allow
providers to promptly verify or submit changes to the information
required to be in the directory or directories pursuant to this
section. Those processes shall, at a minimum, include an online
interface for providers to submit verification or changes
electronically and shall generate an acknowledgment of receipt from
the insurer. Providers shall verify or submit changes to information
required to be in the directory or directories pursuant to this
section using the process required by the insurer.
   (3) The insurer shall establish and maintain a process for
insureds, potential insureds, other providers, and the public to
identify and report possible inaccurate, incomplete, or misleading
information currently listed in the insurer's provider directory or
directories.  These processes   This process
 shall, at a minimum, include a telephone number and a dedicated
email address at which the insurer will accept these reports, as
well as a hyperlink on the insurer's provider directory Internet Web
site linking to a form where the information can be reported directly
to the insurer through its Internet Web site.
   (n) (1) This section does not prohibit an insurer from requiring
its provider groups or contracting specialized health insurers to
provide information to the insurer that is required by the insurer to
satisfy the requirements of this section for each of the providers
that contract with the provider group or contracting specialized
health insurer. This responsibility shall be specifically documented
in a written contract between the insurer and the provider group or
contracting specialized health insurer.
   (2) If an insurer requires its contracting provider groups or
contracting specialized health insurers to provide the insurer with
information described in paragraph (1), the insurer shall continue to
retain responsibility for ensuring that the requirements of this
section are satisfied.
   (3) A provider group may terminate a contract with a provider for
a pattern or repeated failure of the provider to update the
information required to be in the directory or directories pursuant
to this section.
   (4) A provider group is not subject to the payment delay described
in subdivision (p) if all of the following occurs:
   (A) A provider does not respond to the provider group's attempt to
verify the provider's information. As used in this paragraph,
"verify" means to contact the provider in writing, electronically,
and by telephone to confirm whether the provider's information is
correct or requires updates.
   (B) The provider group documents its efforts to verify the
provider's information.
   (C) The provider group reports to the insurer that the provider
should be deleted from the provider group in the insurer's provider
directory or directories.
   (5) Section 10133.65, known as the Health Care Providers' Bill of
Rights, applies to any material change to a provider contract
pursuant to this section.
   (o) (1) Whenever an insurer receives a report indicating that
information listed in its provider directory or directories is
inaccurate, the insurer shall promptly investigate the reported
inaccuracy and, no later than 30 business days following receipt of
the report, either verify the accuracy of the information or update
the information in its provider directory or directories, as
applicable.
   (2) When investigating a report regarding its provider directory
or directories, the insurer shall, at a minimum, do the following:
   (A) Contact the affected provider no later than five business days
following receipt of the report.
   (B) Document the receipt and outcome of each report. The
documentation shall include the provider's name, location, and a
description of the insurer's investigation, the outcome of the
investigation, and any changes or updates made to its provider
directory or directories.
   (C) If changes to an insurer's provider directory or directories
are required as a result of the insurer's investigation, the changes
to the online provider directory or directories shall be made no
later than the next scheduled weekly update, or the update
immediately following that update, or sooner if required by federal
law or regulations. For printed provider directories, the change
shall be made no later than the next required update, or sooner if
required by federal law or regulations.
   (p) (1) Notwithstanding Sections 10123.13 and 10123.147, an
insurer may delay payment or reimbursement owed to a provider or
provider group for any claims payment made to a provider or provider
group for up to one calendar month beginning on the first day of the
following month, if the provider or provider group fails to respond
to the insurer's attempts to verify the provider's information as
required under subdivision (l). The insurer shall not delay payment
unless it has attempted to verify the provider's or provider group's
information. As used in this subdivision, "verify" means to contact
the provider or provider group in writing, electronically, and by
telephone to confirm whether the provider's or provider group's
information is correct or requires updates. An insurer may seek to
delay payment or reimbursement owed to a provider or provider group
only after the 10-business day notice period described in paragraph
(4) of subdivision (l) has lapsed.
   (2) An insurer shall notify the provider or provider group 10 days
before it seeks to delay payment or reimbursement to a provider or
provider group pursuant to this subdivision. If the insurer delays a
payment or reimbursement pursuant to this subdivision, the insurer
shall reimburse the full amount of any payment or reimbursement
subject to delay to the provider or provider group according to
either of the following timelines, as applicable:
   (A) No later than three business days following the date on which
the insurer receives the information required to be submitted by the
provider or provider group pursuant to subdivision (l).
   (B) At the end of the  one-calendar month  
one-calendar-month  delay described in  subparagraph (A)
or (B) of paragraph (1), as applicable,   paragraph
(1),  if the provider or provider group fails to provide the
information required to be submitted to the insurer pursuant to
subdivision (l).
   (3) An insurer may terminate a contract for a pattern or repeated
failure of the provider or provider group to alert the insurer to a
change in the information required to be in the directory or
directories pursuant to this section.
   (4) An insurer that delays payment or reimbursement under this
subdivision shall document each instance a payment or reimbursement
was delayed and report this information to the department in a format
described by the department. This information shall be submitted
along with the policies and procedures required to be submitted
annually to the department pursuant to paragraph (1) of subdivision
(m).
   (q) In circumstances where the department finds that an insured
reasonably relied upon materially inaccurate, incomplete, or
misleading information contained in an insurer's provider directory
or directories, the department may require the insurer to provide
coverage for all covered health care services provided to the insured
and to reimburse the insured for any amount beyond what the insured
would have paid, had the services been delivered by an in-network
provider under the insured's health insurance policy. Prior to
requiring reimbursement in these circumstances, the department shall
conclude that the services received by the insured were covered
services under the insured's health insurance policy. In those
circumstances, the fact that the services were rendered or delivered
by a noncontracting or out-of-network provider shall not be used as a
basis to deny reimbursement to the insured.
   (r) Whenever an insurer determines as a result of this section
that there has been a 10-percent change in the network for a product
in a region, the insurer shall file a statement with the
commissioner.
   (s) An insurer that contracts with multiple employer welfare
agreements regulated pursuant to Article 4.7 (commencing with Section
742.20) of Chapter 1 of Part 2 of Division 1 shall meet the
requirements of this section.
   (t)  Nothing in this   This  section
shall  not  be construed to alter a provider's obligation to
provide health care services to an insured pursuant to the provider'
s contract with the insurer.
   (u) As part of the department's routine examination of a health
insurer pursuant to Section 730, the department shall include a
review of the health insurer's compliance with subdivision (p).
   (v) For purposes of this section, "provider group" means a medical
group, independent practice association, or other similar group of
providers.
  SEC. 206.  Section 10169 of the Insurance Code, as added by Section
19 of Chapter 348 of the Statutes of 2015, is amended to read:
   10169.  (a) Commencing January 1, 2001, there is hereby
established in the department the Independent Medical Review System.
   (b) For the purposes of this chapter, "disputed health care
service" means any health care service eligible for coverage and
payment under a disability insurance contract that has been denied,
modified, or delayed by a decision of the insurer, or by one of its
contracting providers, in whole or in part due to a finding that the
service is not medically necessary. A decision regarding a disputed
health care service relates to the practice of medicine and is not a
coverage decision. A disputed health care service does not include
services provided by a group or individual policy of 
vision-only   vision   -  or dental-only
coverage, except to the extent that (1) the service involves the
practice of medicine, or (2) is provided pursuant to a contract with
a disability insurer that covers hospital, medical, or surgical
benefits. If an insurer, or one of its contracting providers, issues
a decision denying, modifying, or delaying health care services,
based in whole or in part on a finding that the proposed health care
services are not a covered benefit under the contract that applies to
the insured, the statement of decision shall clearly specify the
provision in the contract that excludes that coverage.
   (c) For the purposes of this chapter, "coverage decision" means
the approval or denial of health care services by a disability
insurer, or by one of its contracting entities, substantially based
on a finding that the provision of a particular service is included
or excluded as a covered benefit under the terms and conditions of
the disability insurance contract. A coverage decision does not
encompass a disability insurer or contracting provider decision
regarding a disputed health care service.
   (d) (1) All insured grievances involving a disputed health care
service are eligible for review under the Independent Medical Review
System if the requirements of this article are met. If the department
finds that an insured grievance involving a disputed health care
service does not meet the requirements of this article for review
under the Independent Medical Review System, the insured request for
review shall be treated as a request for the department to review the
grievance. All other insured grievances, including grievances
involving coverage decisions, remain eligible for review by the
department.
   (2) In any case in which an insured or provider asserts that a
decision to deny, modify, or delay health care services was based, in
whole or in part, on consideration of medical necessity, the
department shall have the final authority to determine whether the
grievance is more properly resolved pursuant to an independent
medical review as provided under this article.
   (3) The department shall be the final arbiter when there is a
question as to whether an insured grievance is a disputed health care
service or a coverage decision. The department shall establish a
process to complete an initial screening of an insured grievance. If
there appears to be any medical necessity issue, the grievance shall
be resolved pursuant to an independent medical review as provided
under this article.
   (e) Every disability insurance contract that is issued, amended,
renewed, or delivered in this state on or after January 1, 2000,
shall provide an insured with the opportunity to seek an independent
medical review whenever health care services have been denied,
modified, or delayed by the insurer, or by one of its contracting
providers, if the decision was based in whole or in part on a finding
that the proposed health care services are not medically necessary.
For purposes of this article, an insured may designate an agent to
act on his or her behalf. The provider may join with or otherwise
assist the insured in seeking an independent medical review, and may
advocate on behalf of the insured.
   (f) Medicare beneficiaries enrolled in Medicare + Choice products
shall not be excluded unless expressly preempted by federal law.
   (g) The department may seek to integrate the quality of care and
consumer protection provisions, including remedies, of the
Independent Medical Review System with related dispute resolution
procedures of other health care agency programs, including the
Medicare program, in a way that minimizes the potential for
duplication, conflict, and added costs. Nothing in this subdivision
shall be construed to limit any rights conferred upon insureds under
this chapter.
   (h) The independent medical review process authorized by this
article is in addition to any other procedures or remedies that may
be available.
   (i) Every disability insurer shall prominently display in every
insurer member handbook or relevant informational brochure, in every
insurance contract, on insured evidence of coverage forms, on copies
of insurer procedures for resolving grievances, on letters of denials
issued by either the insurer or its contracting organization, and on
all written responses to grievances, information concerning the
right of an insured to request an independent medical review when the
insured believes that health care services have been improperly
denied, modified, or delayed by the insurer, or by one of its
contracting providers. The department's telephone number,
1-800-927-4357, and Internet Web site, www.insurance.ca.gov, shall
also be displayed.
   (j) An insured may apply to the department for an independent
medical review when all of the following conditions are met:
   (1) (A) The insured's provider has recommended a health care
service as medically necessary, or
   (B) The insured has received urgent care or emergency services
that a provider determined was medically necessary, or
   (C) The insured, in the absence of a provider recommendation under
subparagraph (A) or the receipt of urgent care or emergency services
by a provider under subparagraph (B), has been seen by a contracting
provider for the diagnosis or treatment of the medical condition for
which the insured seeks independent review. The insurer shall
expedite access to a contracting provider upon request of an insured.
The contracting provider need not recommend the disputed health care
service as a condition for the insured to be eligible for an
independent review.
   For purposes of this article, the insured's provider may be a
noncontracting provider. However, the insurer shall have no liability
for payment of services provided by a noncontracting provider,
except as provided pursuant to Section 10169.3.
   (2) The disputed health care service has been denied, modified, or
delayed by the insurer, or by one of its contracting providers,
based in whole or in part on a decision that the health care service
is not medically necessary.
   (3) The insured has filed a grievance with the insurer or its
contracting provider, and the disputed decision is upheld or the
grievance remains unresolved after 30 days. The insured shall not be
required to participate in the insurer's grievance process for more
than 30 days. In the case of a grievance that requires expedited
review, the insured shall not be required to participate in the
insurer's grievance process for more than three days.
   (k) An insured may apply to the department for an independent
medical review of a decision to deny, modify, or delay health care
services, based in whole or in part on a finding that the disputed
health care services are not medically necessary, within six months
of any of the qualifying periods or events under subdivision (j). The
commissioner may extend the application deadline beyond six months
if the circumstances of a case warrant the extension.
   (  l  ) The insured shall pay no application or
processing fees of any kind.
   (m) As part of its notification to the insured regarding a
disposition of the insured's grievance that denies, modifies, or
delays health care services, the insurer shall provide the insured
with a one- or two-page application form approved by the department,
and an addressed envelope, which the insured may return to initiate
an independent medical review. The insurer shall include on the form
any information required by the department to facilitate the
completion of the independent medical review, such as the insured's
diagnosis or condition, the nature of the disputed health care
service sought by the insured, a means to identify the insured's
case, and any other material information. The form shall also include
the following:
   (1) Notice that a decision not to participate in the independent
review process may cause the insured to forfeit any statutory right
to pursue                                               legal action
against the insurer regarding the disputed health care service.
   (2) A statement indicating the insured's consent to obtain any
necessary medical records from the insurer, any of its contracting
providers, and any noncontracting provider the insured may have
consulted on the matter, to be signed by the insured.
   (3) Notice of the insured's right to provide information or
documentation, either directly or through the insured's provider,
regarding any of the following:
   (A) A provider recommendation indicating that the disputed health
care service is medically necessary for the insured's medical
condition.
   (B) Medical information or justification that a disputed health
care service, on an urgent care or emergency basis, was medically
necessary for the insured's medical condition.
   (C) Reasonable information supporting the insured's position that
the disputed health care service is or was medically necessary for
the insured's medical condition, including all information provided
to the insured by the insurer or any of its contracting providers,
still in the possession of the insured, concerning an insurer or
provider decision regarding disputed health care services, and a copy
of any materials the insured submitted to the insurer, still in the
possession of the insured, in support of the grievance, as well as
any additional material that the insured believes is relevant.
   (4) A section designed to collect information on the insured's
ethnicity, race, and primary language spoken that includes both of
the following:
   (A) A statement of intent indicating that the information is used
for statistics only, in order to ensure that all insureds get the
best care possible.
   (B) A statement indicating that providing this information is
optional and will not affect the independent medical review process
in any way.
   (n) Upon notice from the department that the insured has applied
for an independent medical review, the insurer or its contracting
providers, shall provide to the independent medical review
organization designated by the department a copy of all of the
following documents within three business days of the insurer's
receipt of the department's notice of a request by an insured for an
independent review:
   (1) (A) A copy of all of the insured's medical records in the
possession of the insurer or its contracting providers relevant to
each of the following:
   (i) The insured's medical condition.
   (ii) The health care services being provided by the insurer and
its contracting providers for the condition.
   (iii) The disputed health care services requested by the insured
for the condition.
   (B) Any newly developed or discovered relevant medical records in
the possession of the insurer or its contracting providers after the
initial documents are provided to the independent medical review
organization shall be forwarded immediately to the independent
medical review organization. The insurer shall concurrently provide a
copy of medical records required by this subparagraph to the insured
or the insured's provider, if authorized by the insured, unless the
offer of medical records is declined or otherwise prohibited by law.
The confidentiality of all medical record information shall be
maintained pursuant to applicable state and federal laws.
   (2) A copy of all information provided to the insured by the
insurer and any of its contracting providers concerning insurer and
provider decisions regarding the insured's condition and care, and a
copy of any materials the insured or the insured's provider submitted
to the insurer and to the insurer's contracting providers in support
of the insured's request for disputed health care services. This
documentation shall include the written response to the insured's
grievance. The confidentiality of any insured medical information
shall be maintained pursuant to applicable state and federal laws.
   (3) A copy of any other relevant documents or information used by
the insurer or its contracting providers in determining whether
disputed health care services should have been provided, and any
statements by the insurer and its contracting providers explaining
the reasons for the decision to deny, modify, or delay disputed
health care services on the basis of medical necessity. The insurer
shall concurrently provide a copy of documents required by this
paragraph, except for any information found by the commissioner to be
legally privileged information, to the insured and the insured's
provider. The department and the independent medical review
organization shall maintain the confidentiality of any information
found by the commissioner to be the proprietary information of the
insurer.
   (o) This section shall become operative on January 1, 2017.
  SEC. 207.  Section 10192.18 of the Insurance Code, as added by
Section 21 of Chapter 348 of the Statutes of 2015, is amended to
read:
   10192.18.  (a) Application forms shall include the following
questions designed to elicit information as to whether, as of the
date of the application, the applicant currently has Medicare
supplement, Medicare Advantage, Medi-Cal coverage, or another health
insurance policy or certificate in force or whether a Medicare
supplement policy or certificate is intended to replace any other
disability policy or certificate presently in force. A supplementary
application or other form to be signed by the applicant and agent
containing those questions and statements may be used.



   (Statements)



   (1) You do not need more than one Medicare supplement policy.
   (2) If you purchase this policy, you may want to evaluate your
existing health coverage and decide if you need multiple coverages.
   (3) You may be eligible for benefits under Medi-Cal and may not
need a Medicare supplement policy.
   (4)  If after purchasing this policy you become eligible for
Medi-Cal, the benefits and premiums under your Medicare supplement
policy can be suspended, if requested, during your entitlement to
benefits under Medi-Cal for 24 months. You must request this
suspension within 90 days of becoming eligible for Medi-Cal. If you
are no longer entitled to Medi-Cal, your suspended Medicare
supplement policy or if that is no longer available, a substantially
equivalent policy, will be reinstituted if requested within 90 days
of losing Medi-Cal eligibility. If the Medicare supplement policy
provided coverage for outpatient prescription drugs and you enrolled
in Medicare Part D while your policy was suspended, the reinstituted
policy will not have outpatient prescription drug coverage, but will
otherwise be substantially equivalent to your coverage before the
date of the suspension.
   (5) If you are eligible for, and have enrolled in, a Medicare
supplement policy by reason of disability and you later become
covered by an employer or union-based group health plan, the benefits
and premiums under your Medicare supplement policy can be suspended,
if requested, while you are covered under the employer or
union-based group health plan. If you suspend your Medicare
supplement policy under these circumstances and later lose your
employer or union-based group health plan, your suspended Medicare
supplement policy or if that is no longer available, a substantially
equivalent policy, will be reinstituted if requested within 90 days
of losing your employer or union-based group health plan. If the
Medicare supplement policy provided coverage for outpatient
prescription drugs and you enrolled in Medicare Part D while your
policy was suspended, the reinstituted policy will not have
outpatient prescription drug coverage, but will otherwise be
substantially equivalent to your coverage before the date of the
suspension.
   (6) Counseling services are available in this state to provide
advice concerning your purchase of Medicare supplement insurance and
concerning medical assistance through the Medi-Cal program, including
benefits as a qualified Medicare beneficiary (QMB) and a specified
low-income Medicare beneficiary (SLMB). If you want to discuss buying
Medicare supplement insurance with a trained insurance counselor,
call the California Department of Insurance's toll-free telephone
number 1-800-927-HELP, or access the department's Internet Web site,
www.insurance.ca.gov, and ask how to contact your local Health
Insurance Counseling and Advocacy Program (HICAP) office. HICAP is a
service provided free of charge by the State of California.



   (Questions)



   If you lost or are losing other health insurance coverage and
received a notice from your prior insurer saying you were eligible
for guaranteed issue of a Medicare supplement insurance policy or
that you had certain rights to buy such a policy, you may be
guaranteed acceptance in one or more of our Medicare supplement
plans. Please include a copy of the notice from your prior insurer
with your application. PLEASE ANSWER ALL QUESTIONS.
   Please mark Yes or No below with an "X."]
   To the best of your knowledge,
   (1) (a) Did you turn 65 years of age in the last 6 
months.   months? 
   Yes____ No____
   (b) Did you enroll in Medicare Part B in the last 6 
months.   months? 
   Yes____ No____
   (c) If yes, what is the effective  date.  
date?   ___________________
   (2) Are you covered for medical assistance through California's
Medi-Cal  program.   program? 
   NOTE TO APPLICANT: If you have a share of cost under the Medi-Cal
program, please answer NO to this question.
   Yes____ No____
   If yes,
   (a) Will Medi-Cal pay your premiums for this Medicare supplement
 policy.   policy? 
   Yes____ No____
   (b) Do you receive benefits from Medi-Cal OTHER THAN payments
toward your Medicare Part B  premium.   premium?

   Yes____ No____
   (3) (a) If you had coverage from any Medicare plan other than
original Medicare within the past 63 days (for example, a Medicare
Advantage plan or a Medicare HMO or PPO), fill in your start and end
dates below. If you are still covered under this plan, leave "END"
blank.
   START __/__/__ END __/__/__
   (b) If you are still covered under the Medicare plan, do you
intend to replace your current coverage with this new Medicare
supplement  policy.   policy? 
   Yes____ No____
   (c) Was this your first time in this type of Medicare 
plan.   plan? 
   Yes____ No____
   (d) Did you drop a Medicare supplement policy to enroll in the
Medicare  plan.   plan? 
   Yes____ No____
   (4) (a) Do you have another Medicare supplement policy in 
force.   force? 
   Yes____ No____
   (b) If so, with what company, and what plan do you  have.
  have?  optional for direct mailers]
   Yes____ No____
   (c) If so, do you intend to replace your current Medicare
supplement policy with this  policy.   policy?

   Yes____ No____
   (5) Have you had coverage under any other health insurance within
the past 63 days (For example, an employer, union, or individual
 plan).   plan)? 
   Yes____ No____
   (a) If so, with what companies and what kind of  policy.
  policy? 
   ________________________________________________
   ________________________________________________
   ________________________________________________
   ________________________________________________
   (b) What are your dates of coverage under the other 
policy.   policy? 
   START __/__/__ END __/__/__
   (If you are still covered under the other policy, leave "END"
blank.)


   (b) Agents shall list any other health insurance policies they
have sold to the applicant as follows:
   (1) List policies sold that are still in force.
   (2) List policies sold in the past five years that are no longer
in force.
   (c) In the case of a direct response issuer, a copy of the
application or supplemental form, signed by the applicant, and
acknowledged by the issuer, shall be returned to the applicant by the
issuer upon delivery of the policy.
   (d) Upon determining that a sale will involve replacement of
Medicare supplement coverage, any issuer, other than a direct
response issuer, or its agent, shall furnish the applicant, prior to
issuance for delivery of the Medicare supplement policy or
certificate, a notice regarding replacement of Medicare supplement
coverage. One copy of the notice signed by the applicant and the
agent, except when the coverage is sold without an agent, shall be
provided to the applicant and an additional signed copy shall be
retained by the issuer as provided in Section 10508. A direct
response issuer shall deliver to the applicant at the time of the
issuance of the policy the notice regarding replacement of Medicare
supplement coverage.
   (e) The notice required by subdivision (d) for an issuer shall be
in the form specified by the commissioner, using, to the extent
practicable, a model notice prepared by the National Association of
Insurance Commissioners for this purpose. The replacement notice
shall be printed in no less than 12-point type in substantially the
following form:



   Insurer's name and address]




   NOTICE TO APPLICANT REGARDING REPLACEMENT OF MEDICARE SUPPLEMENT
COVERAGE OR MEDICARE ADVANTAGE



   SAVE THIS NOTICE! IT MAY BE IMPORTANT IN THE FUTURE.
   If you intend to cancel or terminate existing Medicare supplement
or Medicare Advantage insurance and replace it with coverage issued
by company name], please review the new coverage carefully and
replace the existing coverage ONLY if the new coverage materially
improves your position. DO NOT CANCEL YOUR PRESENT COVERAGE UNTIL YOU
HAVE RECEIVED YOUR NEW POLICY AND ARE SURE THAT YOU WANT TO KEEP IT.

   If you decide to purchase the new coverage, you will have 30 days
after you receive the policy to return it to the insurer, for any
reason, and receive a refund of your money.
   If you want to discuss buying Medicare supplement or Medicare
Advantage coverage with a trained insurance counselor, call the
California Department of Insurance's toll-free telephone number
1-800-927-HELP, and ask how to contact your local Health Insurance
Counseling and Advocacy Program (HICAP) office. HICAP is a service
provided free of charge by the State of California.
   STATEMENT TO APPLICANT FROM THE INSURER AND AGENT: I have reviewed
your current health insurance coverage. To the best of my knowledge,
the replacement of insurance involved in this transaction does not
duplicate coverage or, if applicable, Medicare Advantage coverage
because you intend to terminate your existing Medicare supplement
coverage or leave your Medicare Advantage plan. In addition, the
replacement coverage contains benefits that are clearly and
substantially greater than your current benefits for the following
reasons:
   __ Additional benefits that are: ______
   __ No change in benefits, but lower premiums.
   __ Fewer benefits and lower premiums.
   __ Plan has outpatient prescription drug coverage and applicant is
enrolled in Medicare Part D.
   __ Disenrollment from a Medicare Advantage plan. Reasons for
disenrollment:
   __ Other reasons specified here: ______
   1. Note: If the issuer of the Medicare supplement policy being
applied for does not impose, or is otherwise prohibited from
imposing, preexisting condition limitations, please skip to statement
3 below. Health conditions that you may presently have (preexisting
conditions) may not be immediately or fully covered under the new
policy. This could result in denial or delay of a claim for benefits
under the new policy, whereas a similar claim might have been payable
under your present policy.
   2. State law provides that your replacement Medicare supplement
policy may not contain new preexisting conditions, waiting periods,
elimination periods, or probationary periods. The insurer will waive
any time periods applicable to preexisting conditions, waiting
periods, elimination periods, or probationary periods in the new
coverage for similar benefits to the extent that time was spent
(depleted) under the original policy.
   3. If you still wish to terminate your present policy and replace
it with new coverage, be certain to truthfully and completely answer
any and all questions on the application concerning your medical and
health history. Failure to include all material medical information
on an application requesting that information may provide a basis for
the insurer to deny any future claims and to refund your premium as
though your policy had never been in force. After the application has
been completed and before you sign it, review it carefully to be
certain that all information has been properly recorded. If the
policy or certificate is guaranteed issue, this paragraph need not
appear.]
   DO NOT CANCEL YOUR PRESENT POLICY UNTIL YOU HAVE RECEIVED YOUR NEW
POLICY AND ARE SURE THAT YOU WANT TO KEEP IT.
_________________________________________________
       (Signature of Agent, Broker, or Other
                  Representative)
_________________________________________________
              (Signature of Applicant)
_________________________________________________
                       (Date)


   (f)  No   An  issuer, broker, agent, or
other person shall  not  cause an insured to replace a
Medicare supplement insurance policy unnecessarily. In recommending
replacement of any Medicare supplement insurance, an agent shall make
reasonable efforts to determine the appropriateness to the potential
insured.
   (g) An issuer shall not require, request, or obtain health
information as part of the application process for an applicant who
is eligible for guaranteed issuance of, or open enrollment for, any
Medicare supplement coverage pursuant to Section 10192.11 or
10192.12, except for purposes of paragraph (1) or (2) of subdivision
(a) of Section 10192.11 when the applicant is first enrolled in
Medicare Part B. The application form shall include a clear and
conspicuous statement that the applicant is not required to provide
health information during a period where guaranteed issue or open
enrollment applies, as specified in Section 10192.11 or 10192.12,
except for purposes of paragraph (1) or (2) of subdivision (a) of
Section 10192.11 when the applicant is first enrolled in Medicare
Part B, and shall inform the applicant of those periods of guaranteed
issuance of Medicare supplement coverage. This subdivision 
shall   does  not prohibit an issuer from requiring
proof of eligibility for a guaranteed issuance of Medicare
supplement coverage.
   (h) This section shall become operative on January 1, 2017.
  SEC. 208.  Section 10489.2 of the Insurance Code is amended to
read:
   10489.2.  For a computation of minimum standard, except as
provided in Sections 10489.3, 10489.4, and 10489.95, the minimum
standard for the valuation of policies and contracts issued prior to
the effective date of the amendments to this section shall be that
provided by the laws in effect immediately prior to that date. Except
as otherwise provided in Sections 10489.3, 10489.4, and 10489.95,
the minimum standard for the valuation of those policies and
contracts shall be the commissioners reserve valuation methods
defined in Sections 10489.5, 10489.6, 10489.9, and 10489.95, 31/2
percent per annum interest, or in the case of life insurance policies
and contracts, other than certain annuity and pure endowment
contracts, issued on or after January 1, 1970, 4 percent per annum
interest for policies issued prior to January 1, 1980, 51/2 percent
per annum interest may be used for single premium life insurance
 policies   policies,  and 41/2 percent per
annum interest for all other policies issued on or after January 1,
1980, and the following tables:
   (a) For ordinary policies of life insurance issued on the standard
basis, excluding any disability and accidental death benefits in
those policies--the Commissioners 1941 Standard Ordinary Mortality
Table for policies issued prior to the operative date of subdivision
(a) of Section 10163.1, and the Commissioners 1958 Standard Ordinary
Mortality Table for policies issued on or after the operative date of
subdivision (a) of Section 10163.1, as amended by Chapter 940 of the
Statutes of 1982, and prior to the operative date of Section
10163.2, as amended by Chapter 28 of the Statutes of 1997, provided
that for any category of policies issued on female risks, all
modified net premiums and present values referred to in this article
may be calculated according to an age not more than six years younger
than the actual age of the insured. For policies issued on or after
the original operative date of Section 10163.2, as amended by Chapter
28 of the Statutes of 1997, the following  shall 
apply:
   (1) The Commissioners 1980 Standard Ordinary Mortality Table.
   (2) At the election of the company for any one or more specified
plans of life insurance, the Commissioners 1980 Standard Ordinary
Mortality Table with Ten-Year Select Mortality Factors.
   (3) Any ordinary mortality table, adopted after 1980 by the NAIC,
or its successor, that is approved by regulation promulgated or
bulletin issued by the commissioner for use in determining the
minimum standard of valuation for such policies.
   (b) For industrial life insurance policies issued on the standard
basis, excluding any disability and accidental death benefits in the
policies, the 1941 Standard Industrial Mortality Table for policies
issued prior to the operative date of subdivision (b) of Section
10163.1, of the Standard Nonforfeiture Law for Life Insurance as
amended, and for policies issued on or after the operative date the
Commissioners 1961 Standard Industrial Mortality Table or any
industrial mortality table adopted after 1980 by the NAIC that is
approved by regulation promulgated or bulletin issued by the
commissioner for use in determining the minimum standard of valuation
for the policies.
   (c) For individual annuity and pure endowment contracts issued
prior to the compliance date of Section 10489.3, excluding any
disability and accidental death benefits in the policies: 1937
Standard Annuity Mortality Table or, at the option of the company,
the Annuity Mortality Table for 1949, Ultimate, or any modification
of these tables approved by the commissioner. However, the minimum
standard for such contracts issued from January 1, 1968, through
December 31, 1968, with commencement of benefits deferred not more
than one year from date of issue, may be, at the option of the
company, 4 percent per annum interest, and for contracts issued from
January 1, 1969, to the compliance date of Section 10489.3, with
commencement of benefits deferred not more than 10 years from the
date of issue and with premiums payable in one sum may be, at the
option of the company, 5 percent per annum interest.
   (d) For group annuity and pure endowment contracts, excluding any
disability and accidental death benefits in the policies: the Group
Annuity Mortality Table for 1951, a modification of the table
approved by the commissioner, or, at the option of the company, any
of the tables or modifications of the tables specified for individual
annuity and pure endowment contracts. However, the minimum standard
for annuities and pure endowments purchased or to be purchased prior
to the compliance date of Section 10489.3, under group annuity and
pure endowment contracts with considerations received on or after
January 1, 1968, through December 31, 1968, may be, at the option of
the company, 4 percent per annum interest, and for annuities and pure
endowments purchased or to be purchased prior to the compliance date
of Section 10489.3, under group annuity and pure endowment contracts
with considerations received from January 1, 1969, to the compliance
date of Section 10489.3, may be at the option of the company, 5
percent per annum interest.
   (e) For total and permanent disability benefits in or
supplementary to ordinary policies or contracts: for policies or
contracts issued on or after January 1, 1966, the tables of Period 2
disablement rates and the 1930 to 1950 termination rates of the 1952
Disability Study of the Society of Actuaries, with due regard to the
type of benefit or any tables of disablement rates and termination
rates, adopted after 1980 by the NAIC that are approved by regulation
promulgated or bulletin issued by the commissioner for use in
determining the minimum standard of valuation for those policies; for
policies or contracts issued on or after January 1, 1961, and prior
to January 1, 1966, either those tables or, at the option of the
company, the Class (3) Disability Table (1926); and for policies
issued prior to January 1, 1961, the Class (3) Disability Table
(1926). Any such table shall, for active lives, be combined with a
mortality table permitted for calculating the reserves for life
insurance policies.
   (f) For accidental death benefits in or supplementary to policies
issued on or after January 1, 1966: the 1959 Accidental Death
Benefits Table or any accidental death benefits table, adopted after
1980 by the NAIC that is approved by regulation promulgated or
bulletin issued by the commissioner for use in determining the
minimum standard of valuation for those policies, for policies issued
on or after January 1, 1961, and prior to January 1, 1966, either
that table or, at the option of the company, the Inter-Company Double
Indemnity Mortality Table; and for policies issued prior to January
1, 1961, the Inter-Company Double Indemnity Mortality Table. Either
table shall be combined with a mortality table for calculating the
reserves for life insurance policies.
   (g) For group life insurance, life insurance issued on the
substandard basis and other special benefits: tables approved by the
commissioner.
   (h) The commissioner may by bulletin withdraw approval to use
tables that have been replaced by newly adopted tables.
  SEC. 209.  Section 10489.3 of the Insurance Code is amended to
read:
   10489.3.  (a) Except as provided in Section 10489.4, the minimum
standard of valuation for individual annuity and pure endowment
contracts issued on or after the operative date of this section and
for annuities and pure endowments purchased on or after that
operative date under group annuity and pure endowment contracts,
shall be the commissioners reserve valuation methods defined in
Sections 10489.5 and 10489.6 and the following tables and interest
rates:
   (1) For individual annuity and pure endowment contracts issued
prior to January 1, 1980, excluding any disability and accidental
death benefits in those contracts: the 1971 Individual Annuity
Mortality Table, or any modification of this table approved by the
commissioner, and 6 percent per annum interest rate for all contracts
with commencement of benefits deferred not more than 10 years from
the date of issue and with premiums payable in one
                             sum and 4 percent per annum interest for
all other individual annuity and pure endowment contracts.
   (2) For individual single premium immediate annuity contracts
issued on or after January 1, 1980, excluding any disability and
accidental death benefits in those contracts: the 1971 Individual
Annuity Mortality Table or any individual annuity mortality table
adopted after 1980 by the NAIC that is approved by regulation
promulgated or bulletin issued by the commissioner for use in
determining the minimum standard of valuation for these contracts, or
any modification of these tables approved by the commissioner, and
71/2 percent per annum interest.
   (3) For individual annuity and pure endowment contracts issued on
or after January 1, 1980, other than single premium immediate annuity
contracts, excluding any disability and accidental death benefits in
those contracts, the 1971 Individual Annuity Mortality Table or any
individual annuity mortality table, adopted after 1980 by the NAIC
that is approved by regulation promulgated or bulletin issued by the
commissioner for use in determining the minimum standard of valuation
for those contracts, or any modification of these tables approved by
the commissioner, and 51/2 percent per annum interest for single
premium deferred annuity and pure endowment  contracts
  contracts,  and 41/2 percent per annum interest
for all other individual annuity and pure endowment contracts.
   (4) For annuities and pure endowments purchased prior to January
1, 1980, under group annuity and pure endowment contracts, excluding
any disability and accidental death benefits purchased under those
contracts: the 1971 Group Annuity Mortality Table or any modification
of this table approved by the commissioner, and 6 percent per annum
interest.
   (5) For annuities and pure endowments purchased on or after
January 1, 1980, under group annuity and pure endowment contracts,
excluding any disability and accidental death benefits purchased
under those contracts: the 1971 Group Annuity Mortality Table, or any
group annuity mortality table adopted after 1980 by the NAIC that is
approved by regulation promulgated or bulletin issued by the
commissioner for use in determining the minimum standard of valuation
for annuities and pure endowments, or any modification of these
tables approved by the commissioner, and 71/2 percent interest.
   (6) All individual annuity and pure endowment contracts entered
into prior to January 1, 1980, and all annuities and pure endowments
purchased prior to January 1, 1980, under group annuity and pure
endowment contracts shall remain subject to the provisions of Article
3A (commencing with Section 10489.1) as it existed prior to January
1, 1980.
   (b) The commissioner may, by bulletin, withdraw approval to use
tables that have been replaced by newly adopted tables.
  SEC. 210.  Section 10489.96 of the Insurance Code is amended to
read:
   10489.96.  (a) For policies issued on or after the operative date
of the valuation manual, the standard prescribed in the valuation
manual is the minimum standard of valuation required under
subdivision (b) of Section 10489.12, except as provided under
subdivision (e) or (g).
   (b) (1) The operative date of the valuation manual is January 1 of
the first calendar year following the first July 1 as of which all
 of  the following have occurred:
   (A) The valuation manual has been adopted by the NAIC by an
affirmative vote of at least 42 members, or three-fourths of the
members voting, whichever is greater.
   (B) The Standard Valuation Law, as amended by the NAIC in 2009, or
legislation including substantially similar terms and provisions,
has been enacted by states representing greater than 75 percent of
the direct premiums written as reported in the following annual
statements submitted for 2008: life, accident, and health annual
statements, health annual statements, or fraternal annual statements.

   (C) The Standard Valuation Law, as amended by the NAIC in 2009, or
legislation including substantially similar terms and provisions,
has been enacted by at least 42 of the following 55 jurisdictions:
The 50 states of the United States, American Samoa, the United States
Virgin Islands, the District of Columbia, Guam, and Puerto Rico.
   (2) Notwithstanding paragraph (1), the valuation manual shall not
become operative until the commissioner certifies that adequate
funding has been appropriated by the Legislature, and that all other
necessary resources, including, but not limited to, adequate staff,
are available and sufficient to enable the commissioner to carry out
the duties required pursuant to Section 10489.992, and all other
duties imposed on the commissioner pursuant to Senate Bill 696 of the
2015-16 Regular Session. The commissioner shall make that
certification by submitting a letter to the Chairs of the Assembly
Committee on Insurance and the Senate Committee on Insurance stating
that the funding and other necessary resources are available and
sufficient to carry out those duties. The commissioner shall post a
notice on the department's Internet Web site immediately after
submitting that certification letter stating that the certification
letter has been submitted and that the provisions of the valuation
manual are in effect.
   (c) Unless a change in the valuation manual specifies a later
effective date, changes to the valuation manual shall be effective on
January 1 following the date when all of the following have
occurred:
   (1) The change to the valuation manual has been adopted by the
NAIC by an affirmative vote representing:
   (A) At least three-fourths of the members of the NAIC voting, but
not less than a majority of the total membership.
   (B) Members of the NAIC representing jurisdictions totaling
greater than 75 percent of the direct premiums written as reported in
the following annual statements most recently available prior to the
vote in subparagraph (A): life, accident, and health annual
statement, health annual statements, or fraternal annual statements.
   (2) The commissioner has issued an order adopting the valuation
manual with the changes. The commissioner shall issue the order only
if he or she finds that the conditions set forth in paragraph (1)
have been satisfied.
   (d) The valuation manual shall specify all of the following:
   (1) Minimum valuation standards for and definitions of the
policies or contracts subject to subdivision (b) of Section 10489.12.
Those minimum valuation standards shall be:
   (A) The commissioners reserve valuation method for life insurance
contracts, other than annuity contracts, subject to subdivision (b)
of Section 10489.12.
   (B) The commissioners annuity reserve valuation method for annuity
contracts subject to subdivision (b) of Section 10489.12.
   (C) Minimum reserves for all other policies or contracts subject
to subdivision (b) of Section 10489.12.
   (2) Which policies or contracts or types of policies or contracts
are subject to the requirements of a principle-based valuation in
subdivision (a) of Section 10489.97 and the minimum valuation
standards consistent with those requirements.
   (3) For policies and contracts subject to a principle-based
valuation under Section 10489.97:
   (A) Requirements for the format of reports to the commissioner
under paragraph (3) of subdivision (b) of Section 10489.97, which
shall include information necessary to determine if the valuation is
appropriate and in compliance with this article.
   (B) Assumptions for risks over which the company does not have
significant control or influence.
   (C) Procedures for corporate governance and oversight of the
actuarial function, and a process for appropriate waiver or
modification of those procedures.
   (4) For policies not subject to a principle-based valuation under
Section 10489.97, the minimum valuation standard that shall either:
   (A) Be consistent with the minimum standard of valuation prior to
the operative date of the valuation manual.
   (B) Develop reserves that quantify the benefits and guarantees,
and the funding, associated with the contracts and their risks at a
level of conservatism that reflects conditions that include
unfavorable events that have a reasonable probability of occurring.
   (5) Other requirements, including, but not limited to, those
relating to reserve methods, models for measuring risk, generation of
economic scenarios, assumptions, margins, use of company experience,
risk measurement, disclosure, certifications, reports, actuarial
opinions and memorandums, transition rules, and internal controls.
   (6) The data and form of the data required pursuant to Section
10489.98, with whom the data is required to be submitted, and may
specify other requirements including data analyses and reporting of
analyses.
   (e) In the absence of a specific valuation requirement or if a
specific valuation requirement in the valuation manual is not, in the
opinion of the commissioner, in compliance with, or conflicts with,
this code, then the company shall, with respect to those
requirements, comply with the minimum valuation standards prescribed
by the code or by the commissioner by regulation or bulletin.
   (f) The commissioner may engage a qualified actuary, at the
expense of the company, to perform an actuarial examination of the
company and opine on the appropriateness of any reserve assumption or
method used by the company, or to review and opine on a company's
compliance with any requirement set forth in this article. The
commissioner may rely upon the opinion, regarding the provisions
contained within this article, of a qualified actuary engaged by the
commissioner of another state, district, or territory of the United
States. As used in this subdivision, the term "engage" includes
employment and contracting.
   (g) The commissioner may require a company to change any
assumption or method that in the opinion of the commissioner is
necessary in order to comply with the requirements of the valuation
manual or this article, and the company shall adjust the reserves as
required by the commissioner. The commissioner may take other
disciplinary action as permitted pursuant to all other applicable
law.
  SEC. 211.  Section 10489.99 of the Insurance Code is amended to
read:
   10489.99.  (a) For purposes of this section, "confidential
information"  shall mean:   means: 
   (1) A memorandum in support of an opinion submitted pursuant to
Section 10489.15 and any other documents, materials, and other
information, including, but not limited to, all working papers, and
copies thereof, created, produced, or obtained by or disclosed to the
commissioner or any other person in connection with the memorandum.
   (2) All documents, materials, and other information, including,
but not limited to, all working papers, and copies thereof, created,
produced, or obtained by or disclosed to the commissioner or any
other person in the course of an examination made under subdivision
(f) of Section 10489.96. However, if an examination report or other
material prepared in connection with an examination made under
Article 4 (commencing with Section 729) of Chapter 1 of Part 2 of
Division 1 is not held as private and confidential information under
that article, an examination report or other material prepared in
connection with an examination made under subdivision (f) of Section
10489.96 shall not be "confidential information" to the same extent
as if the examination report or other material had been prepared
under Article 4  (commencing with Section 729) of Chapter 1 of P
  art 2 of Division 1  .
   (3) Any reports, documents, materials, and other information
developed by a company in support of, or in connection with, an
annual certification by the company under paragraph (2) of
subdivision (b) of Section 10489.97 evaluating the effectiveness of
the company's internal controls with respect to a principle-based
valuation and any other documents, materials, and other information,
including, but not limited to, all working papers, and copies
thereof, created, produced, or obtained by or disclosed to the
commissioner or any other person in connection with those reports,
documents, materials, and other information.
   (4) Any principle-based valuation report developed under paragraph
(3) of subdivision (b) of Section 10489.97 and any other documents,
materials, and other information, including, but not limited to, all
working papers, and copies thereof, created, produced, or obtained by
or disclosed to the commissioner or any other person in connection
with the report.
   (5) All of the following:
   (A) Any documents, materials, data, and other information
submitted by a company pursuant to Section 10489.98, to be known
collectively, as "experience data."
   (B) Experience data plus any other documents, materials, data, and
other information, including, but not limited to, all working
papers, and copies thereof, created or produced in connection with
the experience data, in each case that includes any potentially
company-identifying or personally identifiable information, that is
provided to or obtained by the commissioner, to be known,
collectively, as "experience materials."
   (C) Any other documents, materials, data, and other information,
including, but not limited to, all working papers, and copies
thereof, created, produced, or obtained by or disclosed to the
commissioner or any other person in connection with the experience
materials.
   (b) (1) Except as provided in this section, a company's
confidential information shall be confidential by law and privileged,
shall not be subject to disclosure pursuant to the California Public
Records Act (Chapter 3.5 (commencing with Section 6250) of Division
7 of Title 1 of the Government Code), and shall not be subject to
subpoena or discovery or admissible in evidence in any private civil
action. However, the commissioner is authorized to use the
confidential information in a regulatory or legal action brought
against the company as a part of the commissioner's official duties.
   (2) The commissioner, any person who received confidential
information while acting under the authority of the commissioner, or
any person with whom those documents, materials, or other information
are shared pursuant to paragraph (3), shall not be permitted or
required to testify in a private civil action concerning any
confidential information.
   (3) In order to assist in the performance of the commissioner's
duties, the commissioner may share confidential information with the
following recipients, provided that the recipient agrees, and has the
legal authority to agree, to maintain the confidentiality and
privileged status of the documents, materials, data, and other
information in the same manner and to the same extent as required for
the commissioner:
   (A) Other state, federal, and international regulatory agencies
and with the NAIC and its affiliates and subsidiaries.
   (B) In the case of confidential information specified in
paragraphs (1) and (4) of subdivision (a) of Section 10489.99 only,
with the Actuarial Board for Counseling and Discipline or its
successor upon request stating that the confidential information is
required for the purpose of professional disciplinary proceedings and
with state, federal, and international law enforcement officials.
   (4) The commissioner may receive documents, materials, data, and
other information, including otherwise confidential and privileged
documents, materials, data, or information, from the NAIC and its
affiliates and subsidiaries, from regulatory or law enforcement
officials of other foreign or domestic jurisdictions, and from the
Actuarial Board for Counseling and Discipline or its successor and
shall maintain as confidential or privileged any document, material,
data, or other information received with notice or the understanding
that it is confidential or privileged under the laws of the
jurisdiction that is the source of the document, material, or other
information.
   (5) The commissioner may enter into agreements governing sharing
and use of information consistent with this subdivision.
   (6) A waiver of any applicable privilege or claim of
confidentiality in the information shall not occur as a result of
disclosure to the commissioner under this section or as a result of
sharing as authorized in paragraph (3).
   (7) A privilege established under the law of any state or
jurisdiction that is substantially similar to the privilege
established under  subdivision (b)   this
subdivision  shall be available and enforced in any proceeding
in, and in any court of, this state.
   (8) For purposes of this section, "regulatory agency," "law
enforcement agency," and the "NAIC" include, but are not limited to,
their employees, agents, consultants, and contractors.
   (c) Notwithstanding subdivision (b), any confidential information
specified in paragraphs (1) and (4) of subdivision (a):
   (1) May be subject to subpoena for the purpose of defending an
action seeking damages from the appointed actuary submitting the
related memorandum in support of an opinion submitted under Section
10489.15 or principle-based valuation report developed under
paragraph (3) of subdivision (b) of Section 10489.97 by reason of an
action required by this article or by regulations promulgated
pursuant to this article.
   (2) May otherwise be released by the commissioner with the written
consent of the company.
   (3) Once any portion of a memorandum in support of an opinion
submitted under Section 10489.15 or a principle-based valuation
report developed pursuant to paragraph (3) of subdivision (b) of
Section 10489.97 is cited by the company in its marketing or is
publicly volunteered to or before a governmental agency other than a
state insurance department or is released by the company to the news
media, all portions of the memorandum or report shall no longer be
confidential.
   (d)  Nothing in this   This  section
shall  not  be construed to limit the right of access to, or
prohibit the admissibility as evidence in a private civil action of,
any information, documents, data, or other materials not held for
the purposes of this article by the commissioner or a person acting
under the authority of the commissioner, including nondepartment
actuaries and other consultants hired to implement this article, or a
person with whom the commissioner has shared confidential
information pursuant to paragraph (3) of subdivision (b).
  SEC. 212.  Section 10603 of the Insurance Code is amended to read:
   10603.  (a) (1) On or before April 1, 1975, the commissioner shall
promulgate a standard supplemental disclosure form for all
disability insurance policies. Upon the appropriate disclosure form
as prescribed by the commissioner, each insurer shall provide, in
easily understood language and in a uniform, clearly organized
manner, as prescribed and required by the commissioner, the summary
information about each disability insurance policy offered by the
insurer as the commissioner finds is necessary to provide for full
and fair disclosure of the provisions of the policy.
   (2) On and after January 1, 2014, a disability insurer offering
health insurance coverage subject to Section 2715 of the federal
Public Health Service Act (42 U.S.C. Sec. 300gg-15) shall satisfy the
requirements of this section and the implementing regulations by
providing the uniform summary of benefits and coverage required under
Section 2715 of the federal Public Health Service Act and any rules
or regulations issued thereunder. An insurer that issues the federal
uniform summary of benefits referenced in this paragraph shall ensure
that all applicable disclosures required in this chapter and its
implementing regulations are met in other documents provided to
policyholders and insureds. An insurer subject to this paragraph
shall provide the uniform summary of benefits and coverage to the
commissioner together with the corresponding health insurance policy
pursuant to Section 10290.
   (3) Commencing October 1, 2016, the uniform summary of benefits
and coverage referenced in this subdivision shall constitute a vital
document for the purposes of Section 10133.8. Not later than July 1,
2016, the commissioner shall develop written translations of the
template uniform summary of benefits and coverage for all language
groups identified by the State Department of Health Care Services in
all plan letters as of August 27, 2014, for translation services
pursuant to Section 14029.91 of the Welfare and Institutions Code,
except for any language group for which the United States Department
of Labor has already prepared a written translation. Not later than
July 1, 2016, the commissioner shall make available on  its
  the department's  Internet Web site written
translations of the template uniform summary of benefits and coverage
developed by the commissioner, and written translations prepared by
the United States Department of Labor, if available, for any language
group to which this subparagraph applies.
   (b)  Nothing in this section shall   This
section does not  preclude the disclosure form from being
included with the evidence of coverage or certificate of coverage or
policy.
  SEC. 213.  Section 12389 of the Insurance Code, as added by Section
3 of Chapter 370 of the Statutes of 2015, is amended to read:
   12389.  (a) On and after July 1, 2016, an underwritten title
company as defined in Section 12340.5 that is a stock corporation
may, subject to subdivision (b), (1) engage in the business of
preparing title searches, title reports, title examinations, or
certificates or abstracts of title, upon the basis of which a title
insurer writes title policies, and (2) conduct escrow services
through business locations, as defined in Section 12340.13, in
counties in which the underwritten title company is licensed to
conduct escrow services regardless of the location of the real or
personal property involved in the transaction.
   (b) (1) Only a domestic corporation may be licensed under this
section and no underwritten title company, as defined in Section
12340.5, may become licensed under this section, or change the name
under which it is licensed or operates, unless it has first complied
with Section 881.
   (2) (A) Depending upon the county or counties in which the company
is licensed to transact business, it shall maintain required minimum
net worth and a bond or cash deposit as follows:
Aggregate number of
documents
recorded and documents
filed in
the
preceding calendar year
in all
counties
where the company is
licensed to
transact
business
                            Amount of    Amount of
                            required     bond
Number of documents                     or
                            minimum net  cash
                            worth        deposit
Less than 50,000..........   $ 75,000     $ 50,000
50,000 to 100,000.........    120,000      50,000
100,000 to 500,000........    200,000     100,000
500,000 to 1,000,000......    300,000     100,000
1,000,000 or more.........    400,000     100,000


   (B) "Net worth" for the purposes of this section is defined as the
excess of assets over all liabilities and required reserves. The
company may carry as an asset the actual cost of its title plant,
provided the value ascribed to that asset shall not exceed the
aggregate value of all other assets.
   (C) If a title plant of an underwritten title company is not
currently maintained, the asset value of the plant shall not exceed
its asset value as determined in the preceding paragraph as of the
date to which that plant is currently maintained, less one-tenth
thereof for each succeeding year or part of the succeeding year that
the plant is not being currently maintained. For the purposes of this
section, a title plant shall be deemed currently maintained so long
as it is used in the normal conduct of the business of title
insurance, and (i) the owner of the plant continues regularly to
obtain and index title record data to the plant or to a continuation
thereof in a format other than that previously used, including, but
not limited to, computerization of the data, or (ii) the owner of the
plant is a participant, in an arrangement for joint use of a title
plant system regularly maintained in any format, provided the owner
is contractually entitled to receive a copy of the title record data
contained in the jointly used title plant system during the period of
the owner's participation therein, either periodically or upon
termination of that participation, at a cost not to exceed the actual
cost of duplication of the title record data.
   (D) An underwritten title company shall at all times maintain
current assets of at least ten thousand dollars ($10,000) in excess
of its current liabilities, as current assets and liabilities may be
defined pursuant to regulations made by the commissioner. In making
the regulations, the commissioner shall be guided by generally
accepted accounting principles followed by certified public
accountants in this state.
   (3) (A) An underwritten title company shall obtain from the
commissioner a license to transact its business. The license shall
not be granted until the applicant conforms to the requirements of
this section and all other provisions of this code specifically
applicable to the applicant. After issuance the holder of the license
shall continue to comply with the requirements as to its business
set forth in this code, in the applicable rules and regulations of
the commissioner, and in the laws of this state.
   (B) An underwritten title company that possesses, or is required
to possess, a license pursuant to this section shall be subject as if
an insurer to the provisions of Article 8 (commencing with Section
820) of Chapter 1 of Part 2 of  Division 1 of this code
  Division 1,  and is deemed to be subject to
authorization by the Insurance Commissioner within the meaning of
subdivision (e) of Section 25100 of the Corporations Code.
   (C) The license may be obtained by filing an application on a form
prescribed by the commissioner accompanied by a filing fee of three
hundred fifty-four dollars ($354). The license when issued shall be
for an indefinite term and shall expire with the termination of the
existence of the holder, subject to the annual renewal fee imposed
under Sections 12415 and 12416.
   (D) An underwritten title company seeking to extend its license to
an additional county shall pay a two-hundred-seven-dollar ($207) fee
for each additional county, and shall furnish to the commissioner
evidence, at least sufficient to meet the minimum net worth
requirements of paragraph (2), of its financial ability to expand its
business operation to include
             the additional county or counties.
   (4) (A) An underwritten title company shall furnish an audit to
the commissioner on the forms provided by the commissioner annually,
either on a calendar year basis on or before March 31 or, if approved
in writing by the commissioner in respect to any individual company,
on a fiscal year basis on or before 90 days after the end of the
fiscal year. The time for furnishing any audit required by this
paragraph may be extended, for good cause shown, on written approval
of the commissioner for a period, not to exceed 60 days. Failure to
submit an audit on time, or within the extended time that the
commissioner may grant, is grounds for an order by the commissioner
to accept no new business pursuant to subdivision  (d).
  (g).  The audits shall be private, except that a
synopsis of the balance sheet on a form prescribed by the
commissioner may be made available to the public.
   (B) The audits shall be made in accordance with generally accepted
auditing standards by an independent certified public accountant or
independent licensed public accountant whose certification or license
is in good standing at the time of the preparation. The fee for
filing the audit shall be three hundred thirteen dollars ($313).
   (C) The commissioner may refuse to accept an audit or order a new
audit for any of the following reasons:
   (i) An adverse result in any proceeding before the California
Board of Accountancy affecting the auditor's license.
   (ii) The auditor has an affiliation with the underwritten title
company or any of its officers or directors that would prevent his or
her reports on the company from being reasonably objective.
   (iii) The auditor has been convicted of a misdemeanor or felony
based on his or her activities as an accountant.
   (iv) A judgment adverse to the auditor in any civil action finding
him or her guilty of fraud, deceit, or misrepresentation in the
practice of his or her profession.
   (D) A company that fails to file an audit or other report on or
before the date it is due shall pay to the commissioner a penalty fee
of one hundred eighteen dollars ($118) and on failure to pay that or
another fee or file the audit required by this section shall forfeit
the privilege of accepting new business until the delinquency is
corrected.
   (c) An underwritten title company may engage in the escrow
business and act as escrow agent, provided that:
   (1) It maintains a record of all receipts and disbursements of
escrow funds.
   (2) (A) It maintains a bond satisfactory to the commissioner in
the amount set forth in subparagraph (A) of paragraph (2) of
subdivision  (b) of this section.   (b). 
The bond shall run to the state for the use of the state, and for any
person who has cause against the obligor of the bond or under the
provisions of this chapter.
   (B) (i) In lieu of the bond described in subparagraph (A), the
company  shall   may  maintain a deposit in
the amount set forth in subparagraph (A) of paragraph (2) of
subdivision  (b) of this section,   (b), 
and in a form permitted by Section 12351, with the commissioner, who
shall immediately make a special deposit in that amount in the State
Treasury. The deposit shall be subject to Sections 12353, 12356,
12357, and 12358. As long as there are no claims against the deposit,
all interest and dividends thereon shall be paid to the depositor.
The deposit shall be security for the same beneficiaries and purposes
as the bond, as set forth in  subparagraph (A) and in
paragraph (3) of this subdivision.   subdivision (d).
 The deposit shall be maintained until four years after all
escrows handled by the depositor have been closed.
   (ii) The commissioner may release the deposit prior to the passage
of the four-year period described in clause (i) upon presentation of
evidence satisfactory to the commissioner of either a statutory
merger of the depositor into a licensee subject to the jurisdiction
of the commissioner, or a valid assumption agreement under which the
liability of the depositor stemming from escrow transactions handled
by it is assumed by a licensee subject to the jurisdiction of the
commissioner.
   (iii) With the foregoing exceptions, the deposit shall be returned
to the depositor or lawful successor in interest following the
four-year period described in clause (i) upon presentation of
evidence satisfactory to the commissioner that there are no claims
against the deposit arising out of escrow transactions handled by the
depositor. If claims against the deposit are presented to the
commissioner, the commissioner may pay a valid claim or claims until
the deposit amount is exhausted. If the commissioner has evidence of
one or more claims against the depositor, and the depositor is in
conservatorship, bankruptcy, or liquidation proceedings, the
commissioner may release the deposit to the conservator, trustee, or
liquidator. If the depositor is not in conservatorship, bankruptcy or
liquidation, the commissioner may interplead the deposit by special
endorsement to a court of competent jurisdiction for distribution to
claimants on the deposit. 
   (3) (A)  The 
    (d)     (1)     The 
bond provided by a surety insurer  pursuant to subdivision (c)
 naming the underwritten title company as principal obligor or
the letter of credit of an issuing bank shall be subject to the
following conditions: 
   (i) 
    (A)  The licensee shall faithfully conform to and abide
by the provisions of this chapter and all of the rules made by the
commissioner under this chapter concerning the conduct of escrow
services. 
   (ii) 
    (B)  The licensee will honestly and faithfully apply all
funds received, and will faithfully and honestly perform all
obligations and undertakings under this chapter, concerning the
conduct of escrow services. 
   (B) 
    (2)  In determining the liability of the principal and
the sureties under the bond, any money recovered to restore any
deficiency in the trust shall not be considered as an asset of the
liquidation subject to the assessment for the cost of the
liquidation. 
   (C) 
    (3)  The surety under the bond, or the issuing bank of a
letter of credit, may pay the full amount of its liability
thereunder to the commissioner as conservator, liquidator, receiver,
or anyone appointed by the commissioner as a conservator, liquidator,
or receiver in lieu of payment to the state or persons having a
cause of action against the principal of a bond or applicant under a
letter of credit, and upon such payment the surety on the bond, or
the issuing bank under a letter of credit shall be completely
released, discharged, and exonerated from further liability under the
bond or letter of credit, as applicable. The conservator,
liquidator, or receiver may use the proceeds of the bond, or letter
of credit, for any purposes, including the funding of the costs of
conservatorship, receivership, or liquidation. 
   (D) 
    (4)  If there is no reasonable or adequate admitted
market for surety bonds as required by this section, the commissioner
may act pursuant to Section 1763.1 or, for good cause shown, may
permit a letter of credit in lieu thereof, and in the amount of the
bond or deposit required by this section. In that case, the
commissioner may fashion the letter of credit requirements as
appropriate to the circumstances and cause. 
   (4) 
    (e)   (1)    On and after July 1,
2016, the commissioner shall promptly release to the depositor, upon
application, all escrow-related deposits previously made pursuant to
paragraph (2)  of subdivision (c) of former Section 12389
  as that paragraph read on June 30, 2016,  if any
of the following occurs:
   (A) The underwritten title company has provided to the
commissioner bond coverage, a deposit, or an approved irrevocable
letter of credit as set forth in this subdivision.
   (B) Upon presentation of evidence satisfactory to the commissioner
of either a statutory merger of the underwritten title company
depositor into a licensee or certificate holder subject to the
jurisdiction of the commissioner, or a valid assumption agreement
under which all liability of the depositor stemming from escrow
transactions handled by it is assumed by a licensee or certificate
holder subject to the jurisdiction of the commissioner. 
   (5) 
    (2)  Otherwise  ,  the deposit shall be
promptly returned to the depositor, its duly appointed trustee in
 bankruptcy or   bankruptcy, or its  lawful
successor in interest upon application for release following the
four-year period specified in paragraph  (2) ,  
(2) of subdivision (c)  as that paragraph read on June 30,
2016, unless the commissioner has received claims against the deposit
stemming from escrow transactions handled by the depositor. If the
commissioner has received one or more claims against the depositor,
and the depositor is not in conservatorship, bankruptcy, or
liquidation, the commissioner may interplead the deposit by special
endorsement to a court of competent jurisdiction for distribution on
the basis that claims against the depositor stemming from escrow
transactions handled by the depositor have priority in the
distribution over other claims against the depositor. 
   (d) 
    (f)  The commissioner shall, whenever it appears
necessary, examine the business and affairs of a company licensed
under this section. The examination shall be at the expense of the
company. 
   (e) 
    (g)  (1) At any time that the commissioner determines,
after notice and hearing, that a company licensed under this section
has willfully failed to comply with a provision of this section, the
commissioner shall make his or her order prohibiting the company from
conducting its business for a period of not more than one year.
   (2) A company that violates the commissioner's order is subject to
seizure under Article 14 (commencing with Section 1010) of Chapter 1
of Part 2 of Division 1, is guilty of a misdemeanor, and may have
its license revoked by the commissioner. Any person aiding and
abetting any company in a violation of the commissioner's order is
guilty of a misdemeanor. 
   (f) 
    (h)  The purpose of this section is to maintain the
solvency of the companies subject to this section and to protect the
public by preventing fraud and requiring fair dealing. In order to
carry out these purposes, the commissioner may make reasonable rules
and regulations to govern the conduct of its business of companies
subject to this section. The rules and regulations shall be adopted,
amended, or repealed in accordance with the procedures provided in
Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code. 
   (g) 
    (i)  The name under which each underwritten title
company is licensed shall at all times be an approved name. The fee
for filing an application for a change of name shall be one hundred
eighteen dollars ($118). Each company shall be subject to the
provisions of Article 14 (commencing with Section 1010) and Article
14.5 (commencing with Section 1065.1) of Chapter 1 of Part 2 of
Division 1. 
   (h) 
    (j)  This section does not prohibit an underwritten
title company from engaging in escrow, settlement, or closing
activities on properties located outside this state if those
activities do not violate the laws of that other state or country.

   (i) 
    (k)  This section is operative on July 1, 2016.
  SEC. 214.  Section 139.2 of the Labor Code is amended to read:
   139.2.  (a) The administrative director shall appoint qualified
medical evaluators in each of the respective specialties as required
for the evaluation of medical-legal issues. The appointments shall be
for two-year terms.
   (b) The administrative director shall appoint or reappoint as a
qualified medical evaluator a physician, as defined in Section
3209.3, who is licensed to practice in this state and who
demonstrates that he or she meets the requirements in paragraphs (1),
(2), (6), and (7), and, if the physician is a medical doctor, doctor
of osteopathy, doctor of chiropractic, or a psychologist, that he or
she also meets the applicable requirements in paragraph (3), (4), or
(5).
   (1) Prior to his or her appointment as a qualified medical
evaluator, passes an examination written and administered by the
administrative director for the purpose of demonstrating competence
in evaluating medical-legal issues in the workers' compensation
system. Physicians shall not be required to pass an additional
examination as a condition of reappointment. A physician seeking
appointment as a qualified medical evaluator on or after January 1,
2001, shall also complete prior to appointment, a course on
disability evaluation report writing approved by the administrative
director. The administrative director shall specify the curriculum to
be covered by disability evaluation report writing courses, which
shall include, but is not limited to, 12 or more hours of
instruction.
   (2) Devotes at least one-third of total practice time to providing
direct medical treatment, or has served as an agreed medical
evaluator on eight or more occasions in the 12 months prior to
applying to be appointed as a qualified medical evaluator.
   (3) Is a medical doctor or doctor of osteopathy and meets one of
the following requirements:
   (A) Is board certified in a specialty by a board recognized by the
administrative director and either the Medical Board of California
or the Osteopathic Medical Board of California.
   (B) Has successfully completed a residency training program
accredited by the Accreditation Council for Graduate Medical
Education or the osteopathic equivalent.
   (C) Was an active qualified medical evaluator on June 30, 2000.
   (D) Has qualifications that the administrative director and either
the Medical Board of California or the Osteopathic Medical Board of
California, as appropriate, both deem to be equivalent to board
certification in a specialty.
   (4) Is a doctor of chiropractic and has been certified in
California workers' compensation evaluation by a provider recognized
by the administrative director. The certification program shall
include instruction on disability evaluation report writing that
meets the standards set forth in paragraph (1).
   (5) Is a psychologist and meets one of the following requirements:

   (A) Is board certified in clinical psychology by a board
recognized by the administrative director.
   (B) Holds a doctoral degree in psychology, or a doctoral degree
deemed equivalent for licensure by the Board of Psychology pursuant
to Section 2914 of the Business and Professions Code, from a
university or professional school recognized by the administrative
director and has not less than five years' postdoctoral experience in
the diagnosis and treatment of emotional and mental disorders.
   (C) Has not less than five years' postdoctoral experience in the
diagnosis and treatment of emotional and mental disorders, and has
served as an agreed medical evaluator on eight or more occasions
prior to January 1, 1990.
   (6) Does not have a conflict of interest as determined under the
regulations adopted by the administrative director pursuant to
subdivision (o).
   (7) Meets any additional medical or professional standards adopted
pursuant to paragraph (6) of subdivision (j).
   (c) The administrative director shall adopt standards for
appointment of physicians who are retired or who hold teaching
positions who are exceptionally well qualified to serve as a
qualified medical evaluator even though they do not otherwise qualify
under paragraph (2) of subdivision (b). A physician whose full-time
practice is limited to the forensic evaluation of disability shall
not be appointed as a qualified medical evaluator under this
subdivision.
   (d) The qualified medical evaluator, upon request, shall be
reappointed if he or she meets the qualifications of subdivision (b)
and meets all of the following criteria:
   (1) Is in compliance with all applicable regulations and
evaluation guidelines adopted by the administrative director.
   (2) Has not had more than five of his or her evaluations that were
considered by a workers' compensation administrative law judge at a
contested hearing rejected by the workers' compensation
administrative law judge or the appeals board pursuant to this
section during the most recent two-year period during which the
physician served as a qualified medical evaluator. If the workers'
compensation administrative law judge or the appeals board rejects
the qualified medical evaluator's report on the basis that it fails
to meet the minimum standards for those reports established by the
administrative director or the appeals board, the workers'
compensation administrative law judge or the appeals board, as the
case may be, shall make a specific finding to that effect, and shall
give notice to the medical evaluator and to the administrative
director. Any rejection shall not be counted as one of the five
qualifying rejections until the specific finding has become final and
time for appeal has expired.
   (3) Has completed within the previous 24 months at least 12 hours
of continuing education in impairment evaluation or workers'
compensation-related medical dispute evaluation approved by the
administrative director.
   (4) Has not been terminated, suspended, placed on probation, or
otherwise disciplined by the administrative director during his or
her most recent term as a qualified medical evaluator.
   If the evaluator does not meet any one of these criteria, the
administrative director  may   may,  in his
or her  discretion   discretion, 
reappoint or deny reappointment according to regulations adopted by
the administrative director. A physician who does not currently meet
the requirements for initial appointment or who has been terminated
under subdivision (e) because his or her license has been revoked or
terminated by the licensing authority shall not be reappointed.
   (e) The administrative director may, in his or her discretion,
suspend or terminate a qualified medical evaluator during his or her
term of appointment without a hearing as provided under subdivision
(k) or (  l  ) whenever either of the following conditions
occurs:
   (1) The evaluator's license to practice in California has been
suspended by the relevant licensing authority so as to preclude
practice, or has been revoked or terminated by the licensing
authority.
   (2) The evaluator has failed to timely pay the fee required by the
administrative director pursuant to subdivision (n).
   (f) The administrative director shall furnish a physician, upon
request, with a written statement of its reasons for termination of,
or for denying appointment or reappointment as, a qualified medical
evaluator. Upon receipt of a specific response to the statement of
reasons, the administrative director shall review his or her decision
not to appoint or reappoint the physician or to terminate the
physician and shall notify the physician of its final decision within
60 days after receipt of the physician's response.
   (g) The administrative director shall establish agreements with
qualified medical evaluators to ensure the expeditious evaluation of
cases assigned to them for comprehensive medical evaluations.
   (h) (1) When requested by an employee or employer pursuant to
Section 4062.1, the medical director appointed pursuant to Section
122 shall assign three-member panels of qualified medical evaluators
within five working days after receiving a request for a panel.
Preference in assigning panels shall be given to cases in which the
employee is not represented. If a panel is not assigned within 20
working days, the employee shall have the right to obtain a medical
evaluation from any qualified medical evaluator of his or her choice
within a reasonable geographic area. The medical director shall use a
random selection method for assigning panels of qualified medical
evaluators. The medical director shall select evaluators who are
specialists of the type requested by the employee. The medical
director shall advise the employee that he or she should consult with
his or her treating physician prior to deciding which type of
specialist to request.
   (2) The administrative director shall promulgate a form that shall
notify the employee of the physicians selected for his or her panel
after a request has been made pursuant to Section 4062.1 or 4062.2.
The form shall include, for each physician on the panel, the
physician's name, address, telephone number, specialty, number of
years in practice, and a brief description of his or her education
and training, and shall advise the employee that he or she is
entitled to receive transportation expenses and temporary disability
for each day necessary for the examination. The form shall also state
in a clear and conspicuous location and type: "You have the right to
consult with an information and assistance officer at no cost to you
prior to selecting the doctor to prepare your evaluation, or you may
consult with an attorney. If your claim eventually goes to court,
the workers' compensation administrative law judge will consider the
evaluation prepared by the doctor you select to decide your claim."
   (3) When compiling the list of evaluators from which to select
randomly, the medical director shall include all qualified medical
evaluators who meet all of the following criteria:
   (A) He or she does not have a conflict of interest in the case, as
defined by regulations adopted pursuant to subdivision (o).
   (B) He or she is certified by the administrative director to
evaluate in an appropriate specialty and at locations within the
general geographic area of the employee's residence. An evaluator
shall not conduct qualified medical evaluations at more than 10
locations.
   (C) He or she has not been suspended or terminated as a qualified
medical evaluator for failure to pay the fee required by the
administrative director pursuant to subdivision (n) or for any other
reason.
   (4) When the medical director determines that an employee has
requested an evaluation by a type of specialist that is appropriate
for the employee's injury, but there are not enough qualified medical
evaluators of that type within the general geographic area of the
employee's residence to establish a three-member panel, the medical
director shall include sufficient qualified medical evaluators from
other geographic areas and the employer shall pay all necessary
travel costs incurred in the event the employee selects an evaluator
from another geographic area.
   (i) The medical director appointed pursuant to Section 122 shall
continuously review the quality of comprehensive medical evaluations
and reports prepared by agreed and qualified medical evaluators and
the timeliness with which evaluation reports are prepared and
submitted. The review shall include, but not be limited to, a review
of a random sample of reports submitted to the division, and a review
of all reports alleged to be inaccurate or incomplete by a party to
a case for which the evaluation was prepared. The medical director
shall submit to the administrative director an annual report
summarizing the results of the continuous review of medical
evaluations and reports prepared by agreed and qualified medical
evaluators and make recommendations for the improvement of the system
of medical evaluations and determinations.
   (j) After public hearing pursuant to Section 5307.3, the
administrative director shall adopt regulations concerning the
following issues:
   (1) (A) Standards governing the timeframes within which medical
evaluations shall be prepared and submitted by agreed and qualified
medical evaluators. Except as provided in this subdivision, the
timeframe for initial medical evaluations to be prepared and
submitted shall be no more than 30 days after the evaluator has seen
the employee or otherwise commenced the medical evaluation procedure.
The administrative director shall develop regulations governing the
provision of extensions of the 30-day period in both of the following
cases:
   (i) When the evaluator has not received test results or consulting
physician's evaluations in time to meet the 30-day deadline.
   (ii) To extend the 30-day period by not more than 15 days when the
failure to meet the 30-day deadline was for good cause.
   (B) For purposes of subparagraph (A), "good cause" means any of
the following:
   (i) Medical emergencies of the evaluator or evaluator's family.
   (ii) Death in the evaluator's family.
   (iii) Natural disasters or other community catastrophes that
interrupt the operation of the evaluator's business.
   (C) The administrative director shall develop timeframes governing
availability of qualified medical evaluators for unrepresented
employees under Section 4062.1. These timeframes shall give the
employee the right to the addition of a new evaluator to his or her
panel, selected at random, for each evaluator not available to see
the employee within a specified period of time, but shall also permit
the employee to waive this right for a specified period of time
thereafter.
   (2) Procedures to be followed by all physicians in evaluating the
existence and extent of permanent impairment and limitations
resulting from an injury in a manner consistent with Sections 4660
and 4660.1.
   (3) Procedures governing the determination of any disputed medical
treatment issues in a manner consistent with Section 5307.27.
   (4) Procedures to be used in determining the compensability of
psychiatric injury. The procedures shall be in accordance with
Section 3208.3 and shall require that the diagnosis of a mental
disorder be expressed using the terminology and criteria of the
American Psychiatric Association's Diagnostic and Statistical Manual
of Mental Disorders, Third Edition-Revised, or the terminology and
diagnostic criteria of other psychiatric diagnostic manuals generally
approved and accepted nationally by practitioners in the field of
psychiatric medicine.
   (5) Guidelines for the range of time normally required to perform
the following:
   (A) A medical-legal evaluation that has not been defined and
valued pursuant to Section 5307.6. The guidelines shall establish
minimum times for patient contact in the conduct of the evaluations,
and shall be consistent with regulations adopted pursuant to Section
5307.6.
   (B) Any treatment procedures that have not been defined and valued
pursuant to Section 5307.1.
   (C) Any other evaluation procedure requested by the Insurance
Commissioner, or deemed appropriate by the administrative director.
        (6) Any additional medical or professional standards that a
medical evaluator shall meet as a condition of appointment,
reappointment, or maintenance in the status of a medical evaluator.
   (k) Except as provided in this subdivision, the administrative
director may, in his or her discretion, suspend or terminate the
privilege of a physician to serve as a qualified medical evaluator if
the administrative director, after hearing pursuant to subdivision (
 l  ), determines, based on substantial evidence, that a
qualified medical evaluator:
   (1) Has violated any material statutory or administrative duty.
   (2) Has failed to follow the medical procedures or qualifications
established pursuant to paragraph (2), (3), (4), or (5) of
subdivision (j).
   (3) Has failed to comply with the timeframe standards established
pursuant to subdivision (j).
   (4) Has failed to meet the requirements of subdivision (b) or (c).

   (5) Has prepared medical-legal evaluations that fail to meet the
minimum standards for those reports established by the administrative
director or the appeals board.
   (6) Has made material misrepresentations or false statements in an
application for appointment or reappointment as a qualified medical
evaluator.
   A hearing shall not be required prior to the suspension or
termination of a physician's privilege to serve as a qualified
medical evaluator when the physician has done either of the
following:
   (A) Failed to timely pay the fee required pursuant to subdivision
(n).
   (B) Had his or her license to practice in California suspended by
the relevant licensing authority so as to preclude practice, or had
the license revoked or terminated by the licensing authority.
   (  l  ) The administrative director shall cite the
qualified medical evaluator for a violation listed in subdivision (k)
and shall set a hearing on the alleged violation within 30 days of
service of the citation on the qualified medical evaluator. In
addition to the authority to terminate or suspend the qualified
medical evaluator upon finding a violation listed in subdivision (k),
the administrative director may, in his or her discretion, place a
qualified medical evaluator on probation subject to appropriate
conditions, including ordering continuing education or training. The
administrative director shall report to the appropriate licensing
board the name of any qualified medical evaluator who is disciplined
pursuant to this subdivision.
   (m) The administrative director shall terminate from the list of
medical evaluators any physician where licensure has been terminated
by the relevant licensing board, or who has been convicted of a
misdemeanor or felony related to the conduct of his or her medical
practice, or of a crime of moral turpitude. The administrative
director shall suspend or terminate as a medical evaluator any
physician who has been suspended or placed on probation by the
relevant licensing board. If a physician is suspended or terminated
as a qualified medical evaluator under this subdivision, a report
prepared by the physician that is not complete, signed, and furnished
to one or more of the parties prior to the date of conviction or
action of the licensing board, whichever is earlier, shall not be
admissible in any proceeding before the appeals board nor shall there
be any liability for payment for the report and any expense incurred
by the physician in connection with the report.
   (n) A qualified medical evaluator shall pay a fee, as determined
by the administrative director, for appointment or reappointment.
These fees shall be based on a sliding scale as established by the
administrative director. All revenues from fees paid under this
subdivision shall be deposited into the Workers' Compensation
Administration Revolving Fund and are available for expenditure upon
appropriation by the Legislature, and shall not be used by any other
department or agency or for any purpose other than administration of
the programs of the Division of Workers' Compensation related to the
provision of medical treatment to injured employees.
   (o) An evaluator shall not request or accept any compensation or
other thing of value from any source that does or could create a
conflict with his or her duties as an evaluator under this code. The
administrative director, after consultation with the Commission on
Health and Safety and Workers' Compensation, shall adopt regulations
to implement this subdivision.
  SEC. 215.  Section 1720 of the Labor Code is amended to read:
   1720.  (a) As used in this chapter, "public works" means:
   (1) Construction, alteration, demolition, installation, or repair
work done under contract and paid for in whole or in part out of
public funds, except work done directly by any public utility company
pursuant to order of the Public Utilities Commission or other public
authority. For purposes of this paragraph, "construction" includes
work performed during the design and preconstruction phases of
construction, including, but not limited to, inspection and land
surveying work, and work performed during the postconstruction phases
of construction, including, but not limited to, all cleanup work at
the jobsite. For purposes of this paragraph, "installation" includes,
but is not limited to, the assembly and disassembly of freestanding
and affixed modular office systems.
   (2) Work done for irrigation, utility, reclamation, and
improvement districts, and other districts of this type. "Public work"
does not include the operation of the irrigation or drainage system
of any irrigation or reclamation district, except as used in Section
1778 relating to retaining wages.
   (3) Street, sewer, or other improvement work done under the
direction and supervision or by the authority of any officer or
public body of the state, or of any political subdivision or district
thereof, whether the political subdivision or district operates
under a freeholder's charter or not.
   (4) The laying of carpet done under a building lease-maintenance
contract and paid for out of public funds.
   (5) The laying of carpet in a public building done under contract
and paid for in whole or in part out of public funds.
   (6) Public transportation demonstration projects authorized
pursuant to Section 143 of the Streets and Highways Code.
   (7) (A) Infrastructure project grants from the California Advanced
Services Fund pursuant to Section 281 of the Public Utilities Code.
   (B) For purposes of this paragraph, the Public Utilities
Commission is not the awarding body or the body awarding the
contract, as defined in Section 1722.
   (b) For purposes of this section, "paid for in whole or in part
out of public funds" means all of the following:
   (1) The payment of money or the equivalent of money by the state
or political subdivision directly to or on behalf of the public works
contractor, subcontractor, or developer.
   (2) Performance of construction work by the state or political
subdivision in execution of the project.
   (3) Transfer by the state or political subdivision of an asset of
value for less than fair market price.
   (4) Fees, costs, rents, insurance or bond premiums, loans,
interest rates, or other obligations that would normally be required
in the execution of the contract, that are paid, reduced, charged at
less than fair market value, waived, or forgiven by the state or
political subdivision.
   (5) Money loaned by the state or political subdivision that is to
be repaid on a contingent basis.
   (6) Credits that are applied by the state or political subdivision
against repayment obligations to the state or political subdivision.

   (c) Notwithstanding subdivision (b):
   (1) Private residential projects built on private property are not
subject to the requirements of this chapter unless the projects are
built pursuant to an agreement with a state agency, redevelopment
agency, or local public housing authority.
   (2) If the state or a political subdivision requires a private
developer to perform construction, alteration, demolition,
installation, or repair work on a public work of improvement as a
condition of regulatory approval of an otherwise private development
project, and the state or political subdivision contributes no more
money, or the equivalent of money, to the overall project than is
required to perform this public improvement work, and the state or
political subdivision maintains no proprietary interest in the
overall project, then only the public improvement work shall thereby
become subject to this chapter.
   (3) If the state or a political subdivision reimburses a private
developer for costs that would normally be borne by the public, or
provides directly or indirectly a public subsidy to a private
development project that is de minimis in the context of the project,
an otherwise private development project shall not thereby become
subject to the requirements of this chapter.
   (4) The construction or rehabilitation of affordable housing units
for low- or moderate-income persons pursuant to paragraph (5) or (7)
of subdivision (e) of Section 33334.2 of the Health and Safety Code
that are paid for solely with moneys from the Low and Moderate Income
Housing Fund established pursuant to Section 33334.3 of the Health
and Safety Code or that are paid for by a combination of private
funds and funds available pursuant to Section 33334.2 or 33334.3 of
the Health and Safety Code do not constitute a project that is paid
for in whole or in part out of public funds.
   (5) Unless otherwise required by a public funding program, the
construction or rehabilitation of privately owned residential
projects is not subject to the requirements of this chapter if one or
more of the following conditions are met:
   (A) The project is a self-help housing project in which no fewer
than 500 hours of construction work associated with the homes are to
be performed by the home buyers.
   (B) The project consists of rehabilitation or expansion work
associated with a facility operated on a not-for-profit basis as
temporary or transitional housing for homeless persons with a total
project cost of less than twenty-five thousand dollars ($25,000).
   (C) Assistance is provided to a household as either mortgage
assistance, downpayment assistance, or for the rehabilitation of a
single-family home.
   (D) The project consists of new construction, expansion, or
rehabilitation work associated with a facility developed by a
nonprofit organization to be operated on a not-for-profit basis to
provide emergency or transitional shelter and ancillary services and
assistance to homeless adults and children. The nonprofit
organization operating the project shall provide, at no profit, not
less than 50 percent of the total project cost from nonpublic
sources, excluding real property that is transferred or leased. Total
project cost includes the value of donated labor, materials,
 architectural,  and  architectural and 
engineering services.
   (E) The public participation in the project that would otherwise
meet the criteria of subdivision (b) is public funding in the form of
below-market interest rate loans for a project in which occupancy of
at least 40 percent of the units is restricted for at least 20
years, by deed or regulatory agreement, to individuals or families
earning no more than 80 percent of the area median income.
   (d) Notwithstanding any provision of this section to the contrary,
the following projects shall not, solely by reason of this section,
be subject to the requirements of this chapter:
   (1) Qualified residential rental projects, as defined by Section
142(d) of the Internal Revenue Code, financed in whole or in part
through the issuance of bonds that receive allocation of a portion of
the state ceiling pursuant to Chapter 11.8 (commencing with Section
8869.80) of Division 1 of Title 2 of the Government Code on or before
December 31, 2003.
   (2) Single-family residential projects financed in whole or in
part through the issuance of qualified mortgage revenue bonds or
qualified veterans' mortgage bonds, as defined by Section 143 of the
Internal Revenue Code, or with mortgage credit certificates under a
Qualified Mortgage Credit Certificate Program, as defined by Section
25 of the Internal Revenue Code, that receive allocation of a portion
of the state ceiling pursuant to Chapter 11.8 (commencing with
Section 8869.80) of Division 1 of Title 2 of the Government Code on
or before December 31, 2003.
   (3) Low-income housing projects that are allocated federal or
state low-income housing tax credits pursuant to Section 42 of the
Internal Revenue Code, Chapter 3.6 (commencing with Section 50199.4)
of Part 1 of Division 31 of the Health and Safety Code, or Section
12206, 17058, or 23610.5 of the Revenue and Taxation Code, on or
before December 31, 2003.
   (e) Notwithstanding paragraph (1) of subdivision (a),
construction, alteration, demolition, installation, or repair work on
the electric transmission system located in California constitutes a
public works project for the purposes of this chapter.
   (f) If a statute, other than this section, or a regulation, other
than a regulation adopted pursuant to this section, or an ordinance
or a contract applies this chapter to a project, the exclusions set
forth in subdivision (d) do not apply to that project.
   (g) For purposes of this section, references to the Internal
Revenue Code mean the Internal Revenue Code of 1986, as amended, and
include the corresponding predecessor sections of the Internal
Revenue Code of 1954, as amended.
   (h) The amendments made to this section by either Chapter 938 of
the Statutes of 2001 or the act adding this subdivision shall not be
construed to preempt local ordinances requiring the payment of
prevailing wages on housing projects.
  SEC. 216.  Section 2750.8 of the Labor Code is amended to read:
   2750.8.  (a) The Labor Commissioner and the  Department of
 Employment Development  Department  shall
administer the Motor Carrier Employer Amnesty Program pursuant to
which, notwithstanding any law, an eligible motor carrier performing
drayage services at any port shall be relieved of liability for
statutory or civil penalties associated with the misclassification of
commercial drivers as independent contractors, as provided by this
program, if the eligible motor carrier executes a settlement
agreement with the Labor Commissioner whereby the eligible motor
carrier agrees to, among other things, properly classify all of its
commercial drivers as employees.
   (b) As used in this section, the following terms shall have the
following meanings:
   (1) "Commercial driver" means a person who holds a valid
commercial driver's license who is hired or contracted to provide
port drayage services.
   (2) "Department" means the Employment Development Department.
   (3) "Eligible motor carrier" means a motor carrier that shall not
have any of the following on the date it applies to participate in
the program:
   (A) A civil lawsuit that was filed on or before December 31, 2015,
pending against it in a state or federal court that alleges or
involves a misclassification of a commercial driver.
   (B) A penalty assessed by the department pursuant to Section 1128
 of the Unemployment Insurance Code  that is final
imposition of that penalty.
   (4) "Motor carrier" means a registered owner, lessee, licensee, or
bailee of a commercial motor vehicle, as set forth in subdivision
(b) of Section 15210 of the Vehicle Code, that operates or directs
the operation of a commercial motor vehicle on a for-hire or
not-for-hire basis to perform port drayage services.
   (5) "Port" means any sea or river port located in this state.
   (6) "Program" means the Motor Carrier Employer Amnesty Program
established by this section and as provided by Article 8.6
(commencing with Section 1160) of Chapter 4 of Part 1 of Division 1
of the Unemployment Insurance Code.
   (c) (1) A motor carrier shall only apply to participate in the
program by doing all of the following:
   (A) Submit an application to the Labor Commissioner, on a form
provided by the Labor Commissioner. The application shall, at a
minimum, require the motor carrier to establish it qualifies as an
eligible motor carrier.
   (B) Report on the results of a self-audit in accordance with the
guidelines provided by the Labor Commissioner.
   (2) A motor carrier that voluntarily or as a result of a final
disposition in a civil proceeding reclassified its commercial drivers
as employees on or before January 1, 2016, shall, in addition to
other information requested by the Labor Commissioner, also submit
with its application all of the following:
   (A) Documentation demonstrating that the motor carrier
reclassified its commercial drivers as employees, including the
commencement period applicable to the reclassification.
   (B) The identification of each commercial driver reclassified in
the documents provided in subparagraph (A), the amounts paid to each
commercial driver to compensate for the previous misclassification,
and the time period applicable to the amount paid to each commercial
driver prior to reclassification.
   (C) A report of a self-audit for all commercial drivers
reclassified by the motor carrier identified in subparagraphs (A) and
(B), and also include a separate self-audit report for any
commercial driver who is subject to reclassification, but is not
identified in subparagraph (B).
   (3) A proceeding or action against a motor carrier pursuant to
Sections 2698 to 2699.5, inclusive, shall not be initiated after the
motor carrier has submitted an application for participation in the
program, but may be initiated if the motor carrier's application is
denied.
   (4) If a motor carrier's application to participate  in 
the program is denied by the Labor Commissioner, the application or
its submission shall not be considered an acknowledgment or admission
by the motor carrier that it misclassified its commercial drivers as
independent contractors, and the application or its submission shall
not be construed in any way to support an evidentiary inference that
the motor carrier failed to properly classify its commercial drivers
as employees.
   (d) The Labor Commissioner shall analyze the information provided
pursuant to paragraph (2) of subdivision (c) for the purpose of
evaluating the scope of a prior reclassification of an eligible motor
carrier's commercial drivers to employees and has discretionary
authority to determine whether the scope was sufficient to afford
relief to the misclassified commercial drivers.
   (e) Before January 1, 2017, the Labor Commissioner, with the
cooperation and consent of the department, may negotiate and execute
a settlement agreement with an eligible motor carrier pursuant to the
program that applied to participate in the program. The Labor
Commissioner shall not execute a settlement agreement on or after
January 1, 2017.
   (f) Prior to the Labor Commissioner executing a settlement
agreement, an eligible motor carrier shall file its contribution
returns and report unreported wages and taxes for the time period it
seeks relief under the settlement agreement.
   (g) A settlement agreement executed by the Labor Commissioner and
an eligible motor carrier pursuant to the program shall require an
eligible motor carrier to do all of the following:
   (1) Pay all wages, benefits, and taxes owed, if any, to or in
relation to all of its commercial drivers reclassified from
independent contractors to employees for the period of time from the
first date of misclassification to the date the settlement agreement
is executed, but not exceeding the applicable statute of limitations.

   (2) Maintain any converted commercial driver positions as employee
positions.
   (3) Consent that any future commercial drivers hired to perform
the same or similar duties as those employees converted pursuant to
the settlement agreement shall be presumed to have employee status
and that the eligible motor carrier shall have the burden to prove by
clear and convincing evidence that they are not employees in any
administrative or judicial proceeding in which their employment
status is an issue.
   (4) Immediately after the execution of the settlement agreement,
secure the workers' compensation coverage that is legally required
for the commercial drivers who were reclassified as employees,
effective on or before the date the settlement agreement is executed.

   (5) Provide the Labor Commissioner and the department with proof
of workers' compensation insurance coverage in compliance with
paragraph (4) within five days of securing the coverage.
   (6) Pay the costs authorized by subdivision (h), if required.
   (7) Perform any other requirements or provisions the Labor
Commissioner and the department deem necessary to carry out the
intent of this section, the program, or to enforce the settlement
agreement.
   (h) A settlement agreement may require an eligible motor carrier
to pay the reasonable, actual costs of the Labor Commissioner and the
department for their respective review, approval, and compliance
monitoring of the settlement agreement. The costs shall be deposited
into the Labor Enforcement and Compliance Fund. The portion of the
costs attributable to the department shall be transferred to the
department upon appropriation by the Legislature.
   (i) The settlement agreement may include provisions for an
eligible motor carrier to make installment payments of amounts due
pursuant to paragraphs (1) and (6) of subdivision (g) in lieu of a
full payment. An installment payment agreement shall be included
within the settlement agreement and charge interest on the
outstanding amounts due at the rate prescribed in Sections 1113 and
1129 of the Unemployment Insurance Code. Interest on amounts due
shall be charged from the day after the date the settlement agreement
is executed. The settlement agreement shall contain a provision that
if a motor carrier fails, without good cause, to fully comply with
terms of the settlement agreement authorizing installment payments,
the settlement agreement shall be null and void and the total amount
of tax, interest, and penalties for the time period covered by the
settlement agreement shall be immediately due and payable.
   (j) The Labor Commissioner and the department may share any
information necessary to carry out the program. Sharing information
pursuant to this subdivision shall not constitute a waiver of any
applicable confidentiality requirements and the party receiving the
information shall be subject to any existing confidentiality
requirements for that information.
   (k) (1) Notwithstanding any other law and pursuant to the program,
an eligible motor carrier that executed and performed its
obligations pursuant to a settlement agreement shall not be liable,
and the Labor Commissioner or the department shall not enforce, any
civil or statutory penalties, including, but not limited to, remedies
available under subdivision (e) of Section 226, that might have
become due and payable for the time period covered by the settlement
agreement, except for the following penalties:
   (A) A penalty charged under Section 1128 of the Unemployment
Insurance Code that is final on the date of the settlement agreement
is executed, unless the penalty is reversed by the California
Unemployment Insurance Appeals Board.
   (B) A penalty for an amount an eligible motor carrier admitted was
based on fraud or made with the intent to evade the reporting
requirements set forth in this division or authorized regulations.
   (C) A penalty based on a violation of this division or Division 6
(commencing with Section 13000)  of the Unemployment Insurance
Code  and either of the following:
   (i) The eligible motor carrier was on notice of a criminal
investigation due to a complaint having been filed or by written
notice having been mailed to the eligible motor carrier informing the
motor carrier that it is under criminal investigation.
   (ii) A criminal court proceeding has already been initiated
against the eligible motor carrier.
   (2) (A) Notwithstanding any other law and pursuant to the program,
an eligible motor carrier that executed and performed its
obligations pursuant to a settlement agreement shall not be liable,
and the Labor Commissioner or the department shall not enforce, any
unpaid penalties, and interest owed on unpaid penalties, on or before
the date the settlement agreement was executed, pursuant to Sections
1112.5, 1126, and 1127 of the Unemployment Insurance Code for the
tax reporting periods for which the settlement agreement is
applicable, that are owed as a result of the nonpayment of tax
liabilities due to the misclassification of one or more commercial
drivers as independent contractors and the reclassification of these
commercial drivers as employees, except that penalties, and interest
owed on penalties, established as a result of an assessment issued by
the department before the date the settlement agreement was executed
shall not be waived pursuant to the program.
   (B) For purposes of paragraph (1), state personal income taxes
required to be withheld by Section 13020 of the Unemployment
Insurance Code and owed by the motor carrier pursuant to Section
13070 of the Unemployment Insurance Code shall not be collected, if
the eligible motor carrier issued an information return pursuant to
Section 6041A of the Internal Revenue Code reporting payment or if
the commercial driver certifies that the state personal tax has been
paid or that he or she has reported to the Franchise Tax Board the
payment against which the state personal income tax would have been
imposed.
   (3) A refund or credit for any penalty or interest paid prior to
the date an eligible motor carrier applied to participate in the
program shall not be granted.
   (4) Except for violations described in Section 2119 of the
Unemployment Insurance Code, the department shall not bring a
criminal action for failing to report tax liabilities against an
eligible motor carrier that executed and performed its obligations
pursuant to a settlement agreement for the tax reporting periods
subject to the settlement agreement.
   (l) The statute of limitations on any claim or liability that
might have been asserted against a motor carrier based on the motor
carrier having misclassified a commercial driver as an independent
contractor shall be tolled from the date a motor carrier applies for
participation in the program through the date the Labor Commissioner
either denies the motor carrier participation in the program or the
motor carrier, as an eligible motor carrier, has failed to perform an
obligation under the settlement agreement, whichever is later.
        (m) The recovery obtained by the Labor Commissioner on behalf
of a reclassified commercial driver pursuant to a settlement
agreement shall be tendered to the commercial driver on the condition
that the commercial driver shall execute a release of all claims the
commercial driver may have against the eligible motor carrier based
on the eligible motor carrier's failure to classify the commercial
driver as an employee. A commercial driver shall not be under any
obligation to accept the terms of a settlement agreement. If a
commercial driver declines to accept the terms of a settlement
agreement, the commercial driver shall not be bound by the settlement
agreement, except that the eligible motor carrier shall still
reclassify the commercial driver as an employee and that commercial
driver shall be precluded from  pursing  
pursuing  a claim for civil penalties or statutory penalties
covered by the period of time covered by the settlement agreement. If
a commercial driver does not accept the terms of a settlement
agreement, the motor carrier shall be excused from performing its
requirement under the settlement agreement to pay the amount
acknowledged in the settlement agreement to be due to that commercial
driver.
   (n) (1) If the Labor Commissioner determines an eligible motor
carrier violated or failed to perform any of its obligations under a
settlement agreement, the Labor Commissioner may file a civil action
to enforce the settlement agreement.
   (2) (A) If the Labor Commissioner files a civil action seeking
only recovery of the amounts due to commercial drivers under the
settlement agreement, the Labor Commissioner may obtain judicial
enforcement by filing a petition for entry of judgment for the
liabilities due and remaining pursuant to the settlement agreement.
   (B) After filing a petition pursuant to subparagraph (A), the
Labor Commissioner may file an application for an order to show cause
and serve it on the eligible motor carrier. Within 60 days of the
date the Labor Commissioner filed the order to show cause, the court
shall hold a hearing and enter a judgment. The judgment shall be in
amounts which are due and owing to commercial drivers pursuant to the
settlement agreement with credits, if any, for applicable payments
the eligible motor carrier made under the settlement agreement. A
judgment entered pursuant to this paragraph shall not preclude
subsequent action to recover civil penalties or statutory penalties
by the Labor Commissioner, or by an employee pursuant to 
Section   Sections  2698 to 2699.5, inclusive.
   (3) If the court determines in any action filed by the Labor
Commissioner that a motor carrier has violated or otherwise failed to
perform any of its obligations under a settlement agreement, the
court shall award the Labor Commissioner costs and reasonable
attorney's fees.
  SEC. 217.  Section 3503 of the Labor Code is amended to read:
   3503.   No   A  person is  not 
a dependent of  any   a  deceased employee
unless in good faith a member of the family or household of the
employee, or unless the person bears to the employee the relation of
husband or wife, child, posthumous child, adopted child or stepchild,
grandchild, father or mother, father-in-law or mother-in-law,
grandfather or grandmother, brother or sister, uncle or aunt,
brother-in-law or sister-in-law,  or  nephew or niece.
  SEC. 218.  Section 4663 of the Labor Code is amended to read:
   4663.  (a) Apportionment of permanent disability shall be based on
causation.
   (b)  Any   A  physician who prepares a
report addressing the issue of permanent disability due to a claimed
industrial injury shall  address  in that report 
address  the issue of causation of the permanent disability.

   (c) In order for a physician's report to be considered complete on
the issue of permanent disability, the report must include an
apportionment determination. A physician shall make an apportionment
determination by finding what approximate percentage of the permanent
disability was caused by the direct result of injury arising out of
and occurring in the course of employment and what approximate
percentage of the permanent disability was caused by other factors
both before and subsequent to the industrial injury, including prior
industrial injuries. If the physician is unable to include an
apportionment determination in his or her report, the physician shall
state the specific reasons why the physician could not make a
determination of the effect of that prior condition on the permanent
disability arising from the injury. The physician shall then consult
with other physicians or refer the employee to another physician from
whom the employee is authorized to seek treatment or evaluation in
accordance with this division in order to make the final
determination.
   (d) An employee who claims an industrial injury shall, upon
request, disclose all previous permanent disabilities or physical
impairments.
   (e) Subdivisions (a), (b), and (c)  shall  
do  not apply to injuries or illnesses covered under Sections
3212, 3212.1, 3212.2, 3212.3, 3212.4, 3212.5, 3212.6, 3212.7, 3212.8,
3212.85, 3212.9, 3212.10, 3212.11, 3212.12, 3213, and 3213.2.
  SEC. 219.  Section 451 of the Military and Veterans Code is amended
to read:
   451.  (a) The constitution and jurisdiction of general
courts-martial, special courts-martial, summary courts-martial, and
courts of inquiry, the form and manner in which the proceedings are
conducted and recorded, the forms of oaths and affirmations taken in
the administration of military law by such courts, the limits of
punishment, and the proceedings in the revision thereof, shall be
governed by the terms of the laws and regulations governing the
United States Army, Air Force, or Navy, and the law and procedure of
similar courts of the United States Army, Air Force, or Navy, except
as otherwise provided in this chapter.
   (b) The  provisions of the  Uniform Code of
Military Justice, and the rules and regulations published thereunder,
shall govern and be applicable to the active militia, including the
California National Guard, except as otherwise provided in this code,
the California Manual for Courts-Martial, or other regulations as
adopted by the Governor or Adjutant General.
  SEC. 220.  Section 136.2 of the Penal Code is amended to read:
   136.2.  (a) (1) Upon a good cause belief that harm to, or
intimidation or dissuasion of, a victim or witness has occurred or is
reasonably likely to occur, a court with jurisdiction over a
criminal matter may issue orders, including, but not limited to, the
following:
   (A) An order issued pursuant to Section 6320 of the Family Code.
   (B) An order that a defendant shall not violate any provision of
Section 136.1.
   (C) An order that a person before the court other than a
defendant, including, but not limited to, a subpoenaed witness or
other person entering the courtroom of the court, shall not violate
any  provisions   provision  of Section
136.1.
   (D) An order that a person described in this section shall have no
communication whatsoever with a specified witness or a victim,
except through an attorney under reasonable restrictions that the
court may impose.
   (E) An order calling for a hearing to determine if an order as
described in subparagraphs (A) to (D), inclusive, should be issued.
   (F) (i) An order that a particular law enforcement agency within
the jurisdiction of the court provide protection for a victim or a
witness, or both, or for immediate family members of a victim or a
witness who reside in the same household as the victim or witness or
within reasonable proximity of the victim's or witness' household, as
determined by the court. The order shall not be made without the
consent of the law enforcement agency except for limited and
specified periods of time and upon an express finding by the court of
a clear and present danger of harm to the victim or witness or
immediate family members of the victim or witness.
   (ii) For purposes of this paragraph, "immediate family members"
include the spouse, children, or parents of the victim or witness.
   (G) (i) An order protecting a victim or witness of violent crime
from all contact by the defendant, or contact, with the intent to
annoy, harass, threaten, or commit acts of violence, by the
defendant. The court or its designee shall transmit orders made under
this paragraph to law enforcement personnel within one business day
of the issuance, modification, extension, or termination of the
order, pursuant to subdivision (a) of Section 6380 of the Family
Code. It is the responsibility of the court to transmit the
modification, extension, or termination orders made under this
paragraph to the same agency that entered the original protective
order into the Domestic Violence Restraining Order System.
   (ii) (I) If a court does not issue an order pursuant to clause (i)
in a case in which the defendant is charged with a crime involving
domestic violence as defined in Section 13700 or in Section 6211 of
the Family Code, the court on its own motion shall consider issuing a
protective order upon a good cause belief that harm to, or
intimidation or dissuasion of, a victim or witness has occurred or is
reasonably likely to occur, that provides as follows:
   (ia) The defendant shall not own, possess, purchase, receive, or
attempt to purchase or receive, a firearm while the protective order
is in effect.
   (ib) The defendant shall relinquish any firearms that he or she
owns or possesses pursuant to Section 527.9 of the Code of Civil
Procedure.
   (II) Every person who owns, possesses, purchases, or receives, or
attempts to purchase or receive, a firearm while this protective
order is in effect is punishable pursuant to Section 29825.
   (iii) An order issued, modified, extended, or terminated by a
court pursuant to this subparagraph shall be issued on forms adopted
by the Judicial Council of California  and  that
have been approved by the Department of Justice pursuant to
subdivision (i) of Section 6380 of the Family Code. However, the fact
that an order issued by a court pursuant to this section was not
issued on forms adopted by the Judicial Council and approved by the
Department of Justice shall not, in and of itself, make the order
unenforceable.
   (iv) A protective order issued under this subparagraph may require
the defendant to be placed on electronic monitoring if the local
government, with the concurrence of the county sheriff or the chief
probation officer with jurisdiction, adopts a policy to authorize
electronic monitoring of defendants and specifies the agency with
jurisdiction for this purpose. If the court determines that the
defendant has the ability to pay for the monitoring program, the
court shall order the defendant to pay for the monitoring. If the
court determines that the defendant does not have the ability to pay
for the electronic monitoring, the court may order electronic
monitoring to be paid for by the local government that adopted the
policy to authorize electronic monitoring. The duration of electronic
monitoring shall not exceed one year from the date the order is
issued. At no time shall the electronic monitoring be in place if the
protective order is not in place.
   (2) For purposes of this subdivision, a minor who was not a victim
of, but who was physically present at the time of, an act of
domestic violence, is a witness and is deemed to have suffered harm
within the meaning of paragraph (1).
   (b) A person violating an order made pursuant to subparagraphs (A)
to (G), inclusive, of paragraph (1) of subdivision (a) may be
punished for any substantive offense described in Section 136.1, or
for a contempt of the court making the order. A finding of contempt
shall not be a bar to prosecution for a violation of Section 136.1.
However, a person so held in contempt shall be entitled to credit for
punishment imposed therein against a sentence imposed upon
conviction of an offense described in Section 136.1. A conviction or
acquittal for a substantive offense under Section 136.1 shall be a
bar to a subsequent punishment for contempt arising out of the same
act.
   (c) (1) (A) Notwithstanding subdivision (e), an emergency
protective order issued pursuant to Chapter 2 (commencing with
Section 6250) of Part 3 of Division 10 of the Family Code or Section
646.91 shall have precedence in enforcement over any other
restraining or protective order, provided the emergency protective
order meets all of the following requirements:
   (i) The emergency protective order is issued to protect one or
more individuals who are already protected persons under another
restraining or protective order.
   (ii) The emergency protective order restrains the individual who
is the restrained person in the other restraining or protective order
specified in clause (i).
   (iii) The provisions of the emergency protective order are more
restrictive in relation to the restrained person than are the
provisions of the other restraining or protective order specified in
clause (i).
   (B) An emergency protective order that meets the requirements of
subparagraph (A) shall have precedence in enforcement over the
provisions of any other restraining or protective order only with
respect to those provisions of the emergency protective order that
are more restrictive in relation to the restrained person.
   (2) Except as described in paragraph (1), a no-contact order, as
described in Section 6320 of the Family Code, shall have precedence
in enforcement over any other restraining or protective order.
   (d) (1) A person subject to a protective order issued under this
section shall not own, possess, purchase, or receive, or attempt to
purchase or receive, a firearm while the protective order is in
effect.
   (2) The court shall order a person subject to a protective order
issued under this section to relinquish any firearms he or she owns
or possesses pursuant to Section 527.9 of the Code of Civil
Procedure.
   (3) A person who owns, possesses, purchases, or receives, or
attempts to purchase or receive, a firearm while the protective order
is in effect is punishable pursuant to Section 29825.
   (e) (1) In all cases in which the defendant is charged with a
crime involving domestic violence, as defined in Section 13700 or in
Section 6211 of the Family Code, or a violation of Section 261,
261.5, or 262, or any crime that requires the defendant to register
pursuant to subdivision (c) of Section 290, the court shall consider
issuing the above-described orders on its own motion. All interested
parties shall receive a copy of those orders. In order to facilitate
this, the court's records of all criminal cases involving domestic
violence or a violation of Section 261, 261.5, or 262, or any crime
that requires the defendant to register pursuant to subdivision (c)
of Section 290, shall be marked to clearly alert the court to this
issue.
   (2) In those cases in which a complaint, information, or
indictment charging a crime involving domestic violence, as defined
in Section 13700 or in Section 6211 of the Family Code, or a
violation of Section 261, 261.5, or 262, or any crime that requires
the defendant to register pursuant to subdivision (c) of Section 290,
has been issued, except as described in subdivision (c), a
restraining order or protective order against the defendant issued by
the criminal court in that case has precedence in enforcement over a
civil court order against the defendant.
   (3) Custody and visitation with respect to the defendant and his
or her minor children may be ordered by a family or juvenile court
consistent with the protocol established pursuant to subdivision (f),
but if ordered after a criminal protective order has been issued
pursuant to this section, the custody and visitation order shall make
reference to, and, if there is not an emergency protective order
that has precedence in enforcement pursuant to paragraph (1) of
subdivision (c), or a no-contact order, as described in Section 6320
of the Family Code, acknowledge the precedence of enforcement of, an
appropriate criminal protective order. On or before July 1, 2014, the
Judicial Council shall modify the criminal and civil court forms
consistent with this subdivision.
   (f) On or before January 1, 2003, the Judicial Council shall
promulgate a protocol, for adoption by each local court in
substantially similar terms, to provide for the timely coordination
of all orders against the same defendant and in favor of the same
named victim or victims. The protocol shall include, but shall not be
limited to, mechanisms for ensuring appropriate communication and
information sharing between criminal, family, and juvenile courts
concerning orders and cases that involve the same parties, and shall
permit a family or juvenile court order to coexist with a criminal
court protective order subject to the following conditions:
   (1) An order that permits contact between the restrained person
and his or her children shall provide for the safe exchange of the
children and shall not contain language either printed or handwritten
that violates a "no-contact order" issued by a criminal court.
   (2) Safety of all parties shall be the courts' paramount concern.
The family or juvenile court shall specify the time, day, place, and
manner of transfer of the child, as provided in Section 3100 of the
Family Code.
   (g) On or before January 1, 2003, the Judicial Council shall
modify the criminal and civil court protective order forms consistent
with this section.
   (h) (1) In any case in which a complaint, information, or
indictment charging a crime involving domestic violence, as defined
in Section 13700 or in Section 6211 of the Family Code, has been
filed, the court may consider, in determining whether good cause
exists to issue an order under subparagraph (A) of paragraph (1) of
subdivision (a), the underlying nature of the offense charged, and
the information provided to the court pursuant to Section 273.75.
   (2) In any case in which a complaint, information, or indictment
charging a violation of Section 261, 261.5, or 262, or any crime that
requires the defendant to register pursuant to subdivision (c) of
Section 290, has been filed, the court may consider, in determining
whether good cause exists to issue an order under paragraph (1) of
subdivision (a), the underlying nature of the offense charged, the
defendant's relationship to the victim, the likelihood of continuing
harm to the victim, any current restraining order or protective order
issued by any civil or criminal court involving the defendant, and
the defendant's criminal history, including, but not limited to,
prior convictions for a violation of Section 261, 261.5, or 262, a
crime that requires the defendant to register pursuant to subdivision
(c) of Section 290, any other forms of violence, or any weapons
offense.
   (i) (1) In all cases in which a criminal defendant has been
convicted of a crime involving domestic violence as defined in
Section 13700 or in Section 6211 of the Family Code, a violation of
Section 261, 261.5, or 262, or any crime that requires the defendant
to register pursuant to subdivision (c) of Section 290, the court, at
the time of sentencing, shall consider issuing an order restraining
the defendant from any contact with the victim. The order may be
valid for up to 10 years, as determined by the court. This protective
order may be issued by the court regardless of whether the defendant
is sentenced to the state prison or a county jail or subject to
mandatory supervision, or whether imposition of sentence is suspended
and the defendant is placed on probation. It is the intent of the
Legislature in enacting this subdivision that the duration of any
restraining order issued by the court be based upon the seriousness
of the facts before the court, the probability of future violations,
and the safety of the victim and his or her immediate family.
   (2) An order under this subdivision may include provisions for
electronic monitoring if the local government, upon receiving the
concurrence of the county sheriff or the chief probation officer with
jurisdiction, adopts a policy authorizing electronic monitoring of
defendants and specifies the agency with jurisdiction for this
purpose. If the court determines that the defendant has the ability
to pay for the monitoring program, the court shall order the
defendant to pay for the monitoring. If the court determines that the
defendant does not have the ability to pay for the electronic
monitoring, the court may order the electronic monitoring to be paid
for by the local government that adopted the policy authorizing
electronic monitoring. The duration of the electronic monitoring
shall not exceed one year from the date the order is issued.
   (j) For purposes of this section, "local government" means the
county that has jurisdiction over the protective order.
  SEC. 221.  Section 186.2 of the Penal Code is amended to read:
   186.2.  For purposes of this chapter, the following definitions
apply:
   (a) "Criminal profiteering activity" means any act committed or
attempted or any threat made for financial gain or advantage, which
act or threat may be charged as a crime under any of the following
sections:
   (1) Arson, as defined in Section 451.
   (2) Bribery, as defined in Sections 67, 67.5, and 68.
   (3) Child pornography or exploitation, as defined in subdivision
(b) of Section 311.2, or Section 311.3 or 311.4, which may be
prosecuted as a felony.
   (4) Felonious assault, as defined in Section 245.
   (5) Embezzlement, as defined in Sections 424 and 503.
   (6) Extortion, as defined in Section 518.
   (7) Forgery, as defined in Section 470.
   (8) Gambling, as defined in Sections 337a to 337f, inclusive, and
Section 337i, except the activities of a person who participates
solely as an individual bettor.
   (9) Kidnapping, as defined in Section 207.
   (10) Mayhem, as defined in Section 203.
   (11) Murder, as defined in Section 187.
   (12) Pimping and pandering, as defined in Section 266.
   (13) Receiving stolen property, as defined in Section 496.
   (14) Robbery, as defined in Section 211.
   (15) Solicitation of crimes, as defined in Section 653f.
   (16) Grand theft, as defined in Section 487 or subdivision (a) of
Section 487a.
   (17) Trafficking in controlled substances, as defined in Sections
11351, 11352, and 11353 of the Health and Safety Code.
   (18) Violation of the laws governing corporate securities, as
defined in Section 25541 of the Corporations Code.
   (19) Offenses contained in Chapter 7.5 (commencing with Section
311) of Title 9, relating to obscene matter, or in Chapter 7.6
(commencing with Section 313) of Title 9, relating to harmful matter
that may be prosecuted as a felony.
   (20) Presentation of a false or fraudulent claim, as defined in
Section 550.
   (21) False or fraudulent activities, schemes, or artifices, as
described in Section 14107 of the Welfare and Institutions Code.
   (22) Money laundering, as defined in Section 186.10.
   (23) Offenses relating to the counterfeit of a registered mark, as
specified in Section 350, or offenses relating to piracy, as
specified in Section 653w.
   (24) Offenses relating to the unauthorized access to computers,
computer systems, and computer data, as specified in Section 502.
   (25) Conspiracy to commit any of the crimes listed above, as
defined in Section 182.
   (26) Subdivision (a) of Section 186.22, or a felony subject to
enhancement as specified in subdivision (b) of Section 186.22.
   (27) Offenses related to fraud or theft against the state's
beverage container recycling program, including, but not limited to,
those offenses specified in this subdivision and those criminal
offenses specified in the California Beverage Container Recycling and
Litter Reduction Act, commencing at Section 14500 of the Public
Resources Code.
   (28) Human trafficking, as defined in Section 236.1.
   (29) Any crime in which the perpetrator induces, encourages, or
persuades a person under 18 years of age to engage in a commercial
sex act. For purposes of this paragraph, a commercial sex act means
any sexual conduct on account of which anything of value is given or
received by any person.
   (30) Any crime in which the perpetrator, through force, fear,
coercion, deceit, violence, duress, menace, or threat of unlawful
injury to the victim or to another person, causes a person under 18
years of age to engage in a commercial sex act. For purposes of this
paragraph, a commercial sex act means any sexual conduct on account
of which anything of value is given or received by any person.
   (31) Theft of personal identifying information, as defined in
Section 530.5.
   (32) Offenses involving the theft of a motor vehicle, as specified
in Section 10851 of the Vehicle Code.
   (33) Abduction or procurement by fraudulent inducement for
prostitution, as defined in Section 266a.
   (34) Offenses relating to insurance fraud, as specified in
Sections 2106, 2108, 2109, 2110, 2110.3, 2110.5, 2110.7, and 2117 of
the Unemployment Insurance Code.
   (b) (1) "Pattern of criminal profiteering activity" means engaging
in at least two incidents of criminal profiteering, as defined by
this chapter, that meet the following requirements:
   (A) Have the same or a similar purpose, result, principals,
victims, or methods of commission, or are otherwise interrelated by
distinguishing characteristics.
   (B) Are not isolated events.
   (C) Were committed as a criminal activity of organized crime.
   (2) Acts that would constitute a "pattern of criminal profiteering
activity" may not be used by a prosecuting agency to seek the
remedies provided by this chapter unless the underlying offense
occurred after the effective date of this chapter and the prior act
occurred within 10 years, excluding any period of imprisonment, of
the commission of the underlying offense. A prior act may not be used
by a prosecuting agency to seek remedies provided by this chapter if
a prosecution for that act resulted in an acquittal.
   (c) "Prosecuting agency" means the Attorney General or the
district attorney of any county.
   (d) "Organized crime" means crime that is of a conspiratorial
nature and that is either of an organized nature and seeks to supply
illegal goods or services such as narcotics, prostitution, pimping
and pandering, loan-sharking, counterfeiting of a registered mark in
violation of Section 350, the piracy of a recording or audiovisual
work in violation of Section 653w, gambling, and pornography, or
that, through planning and coordination of individual efforts, seeks
to conduct the illegal activities of arson for profit, hijacking,
insurance fraud, smuggling, operating vehicle theft
                           rings, fraud against the beverage
container recycling program, embezzlement, securities fraud,
insurance fraud in violation of the provisions listed in paragraph
 34   (34)  of subdivision (a), grand
theft, money laundering, forgery, or systematically encumbering the
assets of a business for the purpose of defrauding creditors.
"Organized crime" also means crime committed by a criminal street
gang, as defined in subdivision (f) of Section 186.22. "Organized
crime" also means false or fraudulent activities, schemes, or
artifices, as described in Section 14107 of the Welfare and
Institutions Code, and the theft of personal identifying information,
as defined in Section 530.5.
   (e) "Underlying offense" means an offense enumerated in
subdivision (a) for which the defendant is being prosecuted.
  SEC. 222.  Section 186.11 of the Penal Code is amended to read:
   186.11.  (a) (1) Any person who commits two or more related
felonies, a material element of which is fraud or embezzlement, which
involve a pattern of related felony conduct, and the pattern of
related felony conduct involves the taking of, or results in the loss
by another person or entity of, more than one hundred thousand
dollars ($100,000), shall be punished, upon conviction of two or more
felonies in a single criminal proceeding, in addition and
consecutive to the punishment prescribed for the felony offenses of
which he or she has been convicted, by an additional term of
imprisonment in the state prison as specified in paragraph (2) or
(3). This enhancement shall be known as the aggravated white collar
crime enhancement. The aggravated white collar crime enhancement
shall only be imposed once in a single criminal proceeding. For
purposes of this section, "pattern of related felony conduct" means
engaging in at least two felonies that have the same or similar
purpose, result, principals, victims, or methods of commission, or
are otherwise interrelated by distinguishing characteristics, and
that are not isolated events. For purposes of this section, "two or
more related felonies" means felonies committed against two or more
separate victims, or against the same victim on two or more separate
occasions.
   (2) If the pattern of related felony conduct involves the taking
of, or results in the loss by another person or entity of, more than
five hundred thousand dollars ($500,000), the additional term of
punishment shall be two, three, or five years in the state prison.
   (3) If the pattern of related felony conduct involves the taking
of, or results in the loss by another person or entity of, more than
one hundred thousand dollars ($100,000), but not more than five
hundred thousand dollars ($500,000), the additional term of
punishment shall be the term specified in paragraph (1) or (2) of
subdivision (a) of Section 12022.6.
   (b) (1) The additional prison term and penalties provided for in
subdivisions (a), (c), and (d) shall not be imposed unless the facts
set forth in subdivision (a) are charged in the accusatory pleading
and admitted or found to be true by the trier of fact.
   (2) The additional prison term provided in paragraph (2) of
subdivision (a) shall be in addition to any other punishment provided
by law, including Section 12022.6, and shall not be limited by any
other provision of law.
   (c) Any person convicted of two or more felonies, as specified in
subdivision (a), shall also be liable for a fine not to exceed five
hundred thousand dollars ($500,000) or double the value of the
taking, whichever is greater, if the existence of facts that would
make the person subject to the aggravated white collar crime
enhancement have been admitted or found to be true by the trier of
fact. However, if the pattern of related felony conduct involves the
taking of more than one hundred thousand dollars ($100,000), but not
more than five hundred thousand dollars ($500,000), the fine shall
not exceed one hundred thousand dollars ($100,000) or double the
value of the taking, whichever is greater.
   (d) (1) If a person is alleged to have committed two or more
felonies, as specified in subdivision (a), and the aggravated white
collar crime enhancement is also charged, or a person is charged in
an accusatory pleading with a felony, a material element of which is
fraud or embezzlement, that involves the taking or loss of more than
one hundred thousand dollars ($100,000), and an allegation as to the
existence of those facts, any asset or property that is in the
control of that person, and any asset or property that has been
transferred by that person to a third party, subsequent to the
commission of any criminal act alleged pursuant to subdivision (a),
other than in a bona fide purchase, whether found within or outside
the state, may be preserved by the superior court in order to pay
restitution and fines. Upon conviction of two or more felonies, as
specified in subdivision (a), or a felony, a material element of
which is fraud or embezzlement, that involves the taking or loss of
more than one hundred thousand dollars ($100,000), this property may
be levied upon by the superior court to pay restitution and fines if
the existence of facts that would make the person subject to the
aggravated white collar crime enhancement or that demonstrate the
taking or loss of more than one hundred thousand dollars ($100,000)
in the commission of a felony, a material element of which is fraud
or embezzlement, have been charged in the accusatory pleading and
admitted or found to be true by the trier of fact.
   (2) To prevent dissipation or secreting of assets or property, the
prosecuting agency may, at the same time as or subsequent to the
filing of a complaint or indictment charging two or more felonies, as
specified in subdivision (a), and the enhancement specified in
subdivision (a), or a felony, a material element of which is fraud or
embezzlement, that involves the taking or loss of more than one
hundred thousand dollars ($100,000), and an allegation as to the
existence of those facts, file a petition with the criminal division
of the superior court of the county in which the accusatory pleading
was filed, seeking a temporary restraining order, preliminary
injunction, the appointment of a receiver, or any other protective
relief necessary to preserve the property or assets. This petition
shall commence a proceeding that shall be pendent to the criminal
proceeding and maintained solely to affect the criminal remedies
provided for in this section. The proceeding shall not be subject to
or governed by the provisions of the Civil Discovery Act as set forth
in Title 4 (commencing with Section 2016.010) of Part 4 of the Code
of Civil Procedure. The petition shall allege that the defendant has
been charged with two or more felonies, as specified in subdivision
(a), and is subject to the aggravated white collar crime enhancement
specified in subdivision (a) or that the defendant has been charged
with a felony, a material element of which is fraud or embezzlement,
that involves the taking or loss of more than one hundred thousand
dollars ($100,000), and an allegation as to the existence of those
facts. The petition shall identify that criminal proceeding and the
assets and property to be affected by an order issued pursuant to
this section.
   (3) A notice regarding the petition shall be provided, by personal
service or registered mail, to every person who may have an interest
in the property specified in the petition. Additionally, the notice
shall be published for at least three successive weeks in a newspaper
of general circulation in the county where the property affected by
an order issued pursuant to this section is located. The notice shall
state that any interested person may file a verified claim with the
superior court stating the nature and amount of their claimed
interest. The notice shall set forth the time within which a claim of
interest in the protected property is required to be filed.
   (4) If the property to be preserved is real property, the
prosecuting agency shall record, at the time of filing the petition,
a lis pendens in each county in which the real property is situated
which specifically identifies the property by legal description, the
name of the owner of record as shown on the latest equalized
assessment roll, and the assessor's parcel number.
   (5) If the property to be preserved are assets under the control
of a banking or financial institution, the prosecuting agency, at the
time of the filing of the petition, may obtain an order from the
court directing the banking or financial institution to immediately
disclose the account numbers and value of the assets of the accused
held by the banking or financial institution. The prosecuting agency
shall file a supplemental petition, specifically identifying which
banking or financial institution accounts shall be subject to a
temporary restraining order, preliminary injunction, or other
protective remedy.
   (6) Any person claiming an interest in the protected property may,
at any time within 30 days from the date of the first publication of
the notice of the petition, or within 30 days after receipt of
actual notice, file with the superior court of the county in which
the action is pending a verified claim stating the nature and amount
of his or her interest in the property or assets. A verified copy of
the claim shall be served by the claimant on the Attorney General or
district attorney, as appropriate.
   (7) The imposition of fines and restitution pursuant to this
section shall be determined by the superior court in which the
underlying criminal offense is sentenced. Any judge who is assigned
to the criminal division of the superior court in the county where
the petition is filed may issue a temporary restraining order in
conjunction with, or subsequent to, the filing of an allegation
pursuant to this section. Any subsequent hearing on the petition
shall also be heard by a judge assigned to the criminal division of
the superior court in the county in which the petition is filed. At
the time of the filing of an information or indictment in the
underlying criminal case, any subsequent hearing on the petition
shall be heard by the superior court judge assigned to the underlying
criminal case.
   (e) Concurrent with or subsequent to the filing of the petition,
the prosecuting agency may move the superior court for, and the
superior court may issue, the following pendente lite orders to
preserve the status quo of the property alleged in the petition:
   (1) An injunction to restrain any person from transferring,
encumbering, hypothecating, or otherwise disposing of that property.
   (2) Appointment of a receiver to take possession of, care for,
manage, and operate the assets and properties so that the property
may be maintained and preserved. The court may order that a receiver
appointed pursuant to this section shall be compensated for all
reasonable expenditures made or incurred by him or her in connection
with the possession, care, management, and operation of any property
or assets that are subject to the provisions of this section.
   (3) A bond or other undertaking, in lieu of other orders, of a
value sufficient to ensure the satisfaction of restitution and fines
imposed pursuant to this section.
   (f) (1) No preliminary injunction may be granted or receiver
appointed by the court without notice that meets the requirements of
paragraph (3) of subdivision (d) to all known and reasonably
ascertainable interested parties and upon a hearing to determine that
an order is necessary to preserve the property pending the outcome
of the criminal proceedings. A temporary restraining order may be
issued by the court, ex parte, pending that hearing in conjunction
with or subsequent to the filing of the petition upon the application
of the prosecuting attorney. The temporary restraining order may be
based upon the sworn declaration of a peace officer with personal
knowledge of the criminal investigation that establishes probable
cause to believe that aggravated white collar crime or a felony, a
material element of which is fraud or embezzlement, that involves the
taking or loss of more than one hundred thousand dollars ($100,000)
has taken place and that the amount of restitution and fines exceeds
or equals the worth of the assets subject to the temporary
restraining order. The declaration may include the hearsay statements
of witnesses to establish the necessary facts. The temporary
restraining order may be issued without notice upon a showing of good
cause to the court.
   (2) The defendant, or a person who has filed a verified claim as
provided in paragraph (6) of subdivision (d), shall have the right to
have the court conduct an order to show cause hearing within 10 days
of the service of the request for hearing upon the prosecuting
agency, in order to determine whether the temporary restraining order
should remain in effect, whether relief should be granted from any
lis pendens recorded pursuant to paragraph (4) of subdivision (d), or
whether any existing order should be modified in the interests of
justice. Upon a showing of good cause, the hearing shall be held
within two days of the service of the request for hearing upon the
prosecuting agency.
   (3) In determining whether to issue a preliminary injunction or
temporary restraining order in a proceeding brought by a prosecuting
agency in conjunction with or subsequent to the filing of an
allegation pursuant to this section, the court has the discretion to
consider any matter that it deems reliable and appropriate, including
hearsay statements, in order to reach a just and equitable decision.
The court shall weigh the relative degree of certainty of the
outcome on the merits and the consequences to each of the parties of
granting the interim relief. If the prosecution is likely to prevail
on the merits and the risk of the dissipation of assets outweighs the
potential harm to the defendants and the interested parties, the
court shall grant injunctive relief. The court shall give significant
weight to the following factors:
   (A) The public interest in preserving the property or assets
pendente lite.
   (B) The difficulty of preserving the property or assets pendente
lite where the underlying alleged crimes involve issues of fraud and
moral turpitude.
   (C) The fact that the requested relief is being sought by a public
prosecutor on behalf of alleged victims of white collar crimes.
   (D) The likelihood that substantial public harm has occurred where
aggravated white collar crime is alleged to have been committed.
   (E) The significant public interest involved in compensating the
victims of white collar crime and paying court-imposed restitution
and fines.
   (4) The court, in making its orders, may consider a defendant's
request for the release of a portion of the property affected by this
section in order to pay reasonable legal fees in connection with the
criminal proceeding, any necessary and appropriate living expenses
pending trial and sentencing, and for the purpose of posting bail.
The court shall weigh the needs of the public to retain the property
against the needs of the defendant to a portion of the property. The
court shall consider the factors listed in paragraph (3) prior to
making any order releasing property for these purposes.
   (5) The court, in making its orders, shall seek to protect the
interests of any innocent third persons, including an innocent
spouse, who were not involved in the commission of any criminal
activity.
   (6) Any petition filed pursuant to this section is part of the
criminal proceedings for purposes of appointment of counsel and shall
be assigned to the criminal division of the superior court of the
county in which the accusatory pleading was filed.
   (7) Based upon a noticed motion brought by the receiver appointed
pursuant to paragraph (2) of subdivision (e), the court may order an
interlocutory sale of property named in the petition when the
property is liable to perish, to waste, or to be significantly
reduced in value, or when the expenses of maintaining the property
are disproportionate to the value thereof. The proceeds of the
interlocutory sale shall be deposited with the court or as directed
by the court pending determination of the proceeding pursuant to this
section.
   (8) The court may make any orders that are necessary to preserve
the continuing viability of any lawful business enterprise that is
affected by the issuance of a temporary restraining order or
preliminary injunction issued pursuant to this action.
   (9) In making its orders, the court shall seek to prevent any
asset subject to a temporary restraining order or preliminary
injunction from perishing, spoiling, going to waste, or otherwise
being significantly reduced in value. Where the potential for
diminution in value exists, the court shall appoint a receiver to
dispose of or otherwise protect the value of the property or asset.
   (10) A preservation order shall not be issued against any assets
of a business that are not likely to be dissipated and that may be
subject to levy or attachment to meet the purposes of this section.
   (g) If the allegation that the defendant is subject to the
aggravated white collar crime enhancement or has committed a felony,
a material element of which is fraud or embezzlement, that involves
the taking or loss of more than one hundred thousand dollars
($100,000) is dismissed or found by the trier of fact to be untrue,
any preliminary injunction or temporary restraining order issued
pursuant to this section shall be dissolved. If a jury is the trier
of fact, and the jury is unable to reach a unanimous verdict, the
court shall have the discretion to continue or dissolve all or a
portion of the preliminary injunction or temporary restraining order
based upon the interests of justice. However, if the prosecuting
agency elects not to retry the case, any preliminary injunction or
temporary restraining order issued pursuant to this section shall be
dissolved.
   (h) (1) (A) If the defendant is convicted of two or more felonies,
as specified in subdivision (a), and the existence of facts that
would make the person subject to the aggravated white collar crime
enhancement have been admitted or found to be true by the trier of
fact, or the defendant is convicted of a felony, a material element
of which is fraud or embezzlement, that involves the taking or loss
of more than one hundred thousand dollars ($100,000), and an
allegation as to the existence of those facts has been admitted or
found to be true by the trier of fact, the trial judge shall continue
the preliminary injunction or temporary restraining order until the
date of the criminal sentencing and shall make a finding at that time
as to what portion, if any, of the property or assets subject to the
preliminary injunction or temporary restraining order shall be
levied upon to pay fines and restitution to victims of the crime. The
order imposing fines and restitution may exceed the total worth of
the property or assets subjected to the preliminary injunction or
temporary restraining order. The court may order the immediate
transfer of the property or assets to satisfy any judgment and
sentence made pursuant to this section. Additionally, upon motion of
the prosecution, the court may enter an order as part of the judgment
and sentence making the order imposing fines and restitution
pursuant to this section enforceable pursuant to Title 9 (commencing
with Section 680.010) of Part 2 of the Code of Civil Procedure.
   (B) Additionally, the court shall order the defendant to make full
restitution to the victim or to make restitution to the victim based
on his or her ability to pay, as defined in subdivision  (b)
  (e)  of Section 1203.1b. The payment of the
restitution ordered by the court pursuant to this section shall be
made a condition of any probation granted by the court if the
existence of facts that would make the defendant subject to the
aggravated white collar crime enhancement or of facts demonstrating
the person committed a felony, a material element of which is fraud
or embezzlement, that involves the taking or loss of more than one
hundred thousand dollars ($100,000) have been admitted or found to be
true by the trier of fact. Notwithstanding any other provision of
law, the court may order that the period of probation continue for up
to 10 years or until full restitution is made to the victim,
whichever is earlier.
   (C) The sentencing court shall retain jurisdiction to enforce the
order to pay additional fines and restitution and, in appropriate
cases, may initiate probation violation proceedings or contempt of
court proceedings against a defendant who is found to have willfully
failed to comply with any lawful order of the court.
   (D) If the execution of judgment is stayed pending an appeal of an
order of the superior court pursuant to this section, the
preliminary injunction or temporary restraining order shall be
maintained in full force and effect during the pendency of the
appellate period.
   (2) The order imposing fines and restitution shall not affect the
interest in real property of any third party that was acquired prior
to the recording of the lis pendens, unless the property was obtained
from the defendant other than as a bona fide purchaser for value. If
any assets or property affected by this section are subject to a
valid lien, mortgage, security interest, or interest under a
conditional sales contract and the amount due to the holder of the
lien, mortgage, interest, or contract is less than the appraised
value of the property, that person may pay to the state or the local
government that initiated the proceeding the amount of the difference
between the appraised value of the property and the amount of the
lien, mortgage, security interest, or interest under a conditional
sales contract. Upon that payment, the state or local entity shall
relinquish all claims to the property. If the holder of the interest
elects not to make that payment to the state or local governmental
entity, the interest in the property shall be deemed transferred to
the state or local governmental entity and any indicia of ownership
of the property shall be confirmed in the state or local governmental
entity. The appraised value shall be determined as of the date
judgment is entered either by agreement between the holder of the
lien, mortgage, security interest, or interest under a conditional
sales contract and the governmental entity involved, or if they
cannot agree, then by a court-appointed appraiser for the county in
which the action is brought. A person holding a valid lien, mortgage,
security interest, or interest under a conditional sales contract
shall be paid the appraised value of his or her interest.
   (3) In making its final order, the court shall seek to protect the
legitimately acquired interests of any innocent third persons,
including an innocent spouse, who were not involved in the commission
of any criminal activity.
   (i) In all cases where property is to be levied upon pursuant to
this section, a receiver appointed by the court shall be empowered to
liquidate all property or assets which shall be distributed in the
following order of priority:
   (1) To the receiver, or court-appointed appraiser, for all
reasonable expenditures made or incurred by him or her in connection
with the sale of the property or liquidation of assets, including all
reasonable expenditures for any necessary repairs, storage, or
transportation of any property levied upon under this section.
   (2) To any holder of a valid lien, mortgage, or security interest
up to the amount of his or her interest in the property or proceeds.
   (3) To any victim as restitution for any fraudulent or unlawful
acts alleged in the accusatory pleading that were proven by the
prosecuting agency as part of the pattern of fraudulent or unlawful
acts.
   (4) For payment of any fine imposed pursuant to this section. The
proceeds obtained in payment of a fine shall be paid to the treasurer
of the county in which the judgment was entered, or if the action
was undertaken by the Attorney General, to the Treasurer. If the
payment of any fine imposed pursuant to this section involved losses
resulting from violation of Section 550 of this code or Section
1871.4 of the Insurance Code, one-half of the fine collected shall be
paid to the treasurer of the county in which the judgment was
entered, and one-half of the fine collected shall be paid to the
Department of Insurance for deposit in the appropriate account in the
Insurance Fund. The proceeds from the fine first shall be used by a
county to reimburse local prosecutors and enforcement agencies for
the reasonable costs of investigation and prosecution of cases
brought pursuant to this section.
   (5) To the Restitution Fund, or in cases involving convictions
relating to insurance fraud, to the Insurance Fund as restitution for
crimes not specifically pleaded and proven in the accusatory
pleading.
   (j) If, after distribution pursuant to paragraphs (1) and (2) of
subdivision (i), the value of the property to be levied upon pursuant
to this section is insufficient to pay for restitution and fines,
the court shall order an equitable sharing of the proceeds of the
liquidation of the property, and any other recoveries, which shall
specify the percentage of recoveries to be devoted to each purpose.
At least 70 percent of the proceeds remaining after distribution
pursuant to paragraphs (1) and (2) of subdivision (i) shall be
devoted to restitution.
   (k) Unless otherwise expressly provided, the remedies or penalties
provided by this section are cumulative to each other and to the
remedies or penalties available under all other laws of this state,
except that two separate actions against the same defendant and
pertaining to the same fraudulent or unlawful acts may not be brought
by a district attorney or the Attorney General pursuant to this
section and Chapter 5 (commencing with Section 17200) of Part 2 of
Division 7 of the Business and Professions Code. If a fine is imposed
under this section, it shall be in lieu of all other fines that may
be imposed pursuant to any other provision of law for the crimes for
which the defendant has been convicted in the action.
  SEC. 223.  Section 186.12 of the Penal Code is amended to read:
   186.12.  (a) (1) A felony for purposes of this section means a
felony violation of subdivision (d) or (e) of Section 368, or a
felony violation of subdivision (c) of Section 15656 of the Welfare
and Institutions Code, that involves the taking or loss of more than
one hundred thousand dollars ($100,000).
            (2) If a person is charged with a felony as described in
paragraph (1) and an allegation as to the existence of those facts
has been made, any property that is in the control of that person,
and any property that has been transferred by that person to a third
party, subsequent to the commission of any criminal act alleged
pursuant to this subdivision, other than in a bona fide purchase,
whether found within or outside the state, may be preserved by the
superior court in order to pay restitution imposed pursuant to this
section. Upon conviction of the felony, this property may be levied
upon by the superior court to pay restitution imposed pursuant to
this section.
   (b) (1) To prevent dissipation or secreting of property, the
prosecuting agency may, at the same time as or subsequent to the
filing of a complaint or indictment charging a felony subject to this
section, file a petition with the criminal division of the superior
court of the county in which the accusatory pleading was filed,
seeking a temporary restraining order, preliminary injunction, the
appointment of a receiver, or any other protective relief necessary
to preserve the property. The filing of the petition shall commence a
proceeding that shall be pendent to the criminal proceeding and
maintained solely to affect the criminal remedies provided for in
this section. The proceeding shall not be subject to or governed by
the provisions of the Civil Discovery Act as set forth in Title 4
(commencing with Section 2016.010) of Part 4 of the Code of Civil
Procedure. The petition shall allege that the defendant has been
charged with a felony as described in paragraph (1) of subdivision
(a) and shall identify that criminal proceeding and the property to
be affected by an order issued pursuant to this section.
   (2) A notice regarding the petition shall be provided, by personal
service or registered mail, to every person who may have an interest
in the property specified in the petition. Additionally, the notice
shall be published for at least three successive weeks in a newspaper
of general circulation in the county where the property affected by
an order issued pursuant to this section is located. The notice shall
state that any interested person may file a verified claim with the
superior court stating the nature and amount of their claimed
interest. The notice shall set forth the time within which a claim of
interest in the protected property is required to be filed.
   (3) If the property to be preserved is real property, the
prosecuting agency shall record, at the time of filing the petition,
a lis pendens in each county in which the real property is situated
which specifically identifies the property by legal description, the
name of the owner of record as shown on the latest equalized
assessment roll, and the assessor's parcel number.
   (4) If the property to be preserved are assets under the control
of a banking or financial institution, the prosecuting agency, at the
time of the filing of the petition, may obtain an order from the
court directing the banking or financial institution to immediately
disclose the account numbers and value of the assets of the accused
held by the banking or financial institution. The prosecuting agency
shall file a supplemental petition, specifically identifying which
banking or financial institution accounts shall be subject to a
temporary restraining order, preliminary injunction, or other
protective remedy.
   (5) Any person claiming an interest in the protected property may,
at any time within 30 days from the date of the first publication of
the notice of the petition, or within 30 days after receipt of
actual notice, file with the superior court of the county in which
the action is pending a verified claim stating the nature and amount
of his or her interest in the property. A verified copy of the claim
shall be served by the claimant on the Attorney General or district
attorney, as appropriate.
   (6) The imposition of restitution pursuant to this section shall
be determined by the superior court in which the underlying criminal
offense is sentenced. Any judge who is assigned to the criminal
division of the superior court in the county where the petition is
filed may issue a temporary restraining order in conjunction with, or
subsequent to, the filing of an allegation pursuant to this section.
Any subsequent hearing on the petition shall also be heard by a
judge assigned to the criminal division of the superior court in the
county in which the petition is filed. At the time of the filing of
an information or indictment in the underlying criminal case, any
subsequent hearing on the petition shall be heard by the superior
court judge assigned to the underlying criminal case.
   (c) Concurrent with or subsequent to the filing of the petition
pursuant to this section, the prosecuting agency may move the
superior court for, and the superior court may issue, the following
pendente lite orders to preserve the status quo of the property
identified in the petition:
   (1) An injunction to restrain any person from transferring,
encumbering, hypothecating, or otherwise disposing of that property.
   (2) Appointment of a receiver to take possession of, care for,
manage, and operate the properties so that the property may be
maintained and preserved. The court may order that a receiver
appointed pursuant to this section shall be compensated for all
reasonable expenditures made or incurred by him or her in connection
with the possession, care, management, and operation of any property
that is subject to this section.
   (3) A bond or other undertaking, in lieu of other orders, of a
value sufficient to ensure the satisfaction of restitution imposed
pursuant to this section.
   (d) (1) No preliminary injunction may be granted or receiver
appointed by the court without notice that meets the requirements of
paragraph (2) of subdivision (b) to all known and reasonably
ascertainable interested parties and upon a hearing to determine that
an order is necessary to preserve the property pending the outcome
of the criminal proceedings. A temporary restraining order may be
issued by the court, ex parte, pending that hearing in conjunction
with or subsequent to the filing of the petition upon the application
of the prosecuting attorney. The temporary restraining order may be
based upon the sworn declaration of a peace officer with personal
knowledge of the criminal investigation that establishes probable
cause to believe that a felony has taken place and that the amount of
restitution established by this section exceeds or equals the worth
of the property subject to the temporary restraining order. The
declaration may include the hearsay statements of witnesses to
establish the necessary facts. The temporary restraining order may be
issued without notice upon a showing of good cause to the court.
   (2) The defendant, or a person who has filed a verified claim as
provided in paragraph (5) of subdivision (b), shall have the right to
have the court conduct an order to show cause hearing within 10 days
of the service of the request for hearing upon the prosecuting
agency, in order to determine whether the temporary restraining order
should remain in effect, whether relief should be granted from any
lis pendens recorded pursuant to paragraph (3) of subdivision (b), or
whether any existing order should be modified in the interests of
justice. Upon a showing of good cause, the hearing shall be held
within two days of the service of the request for hearing upon the
prosecuting agency.
   (3) In determining whether to issue a preliminary injunction or
temporary restraining order in a proceeding brought by a prosecuting
agency in conjunction with or subsequent to the filing of an
allegation pursuant to this section, the court has the discretion to
consider any matter that it deems reliable and appropriate, including
hearsay statements, in order to reach a just and equitable decision.
The court shall weigh the relative degree of certainty of the
outcome on the merits and the consequences to each of the parties of
granting the interim relief. If the prosecution is likely to prevail
on the merits and the risk of dissipation of the property outweighs
the potential harm to the defendants and the interested parties, the
court shall grant injunctive relief. The court shall give significant
weight to the following factors:
   (A) The public interest in preserving the property pendente lite.
   (B) The difficulty of preserving the property pendente lite where
the underlying alleged crimes involve issues of fraud and moral
turpitude.
   (C) The fact that the requested relief is being sought by a public
prosecutor on behalf of alleged victims of elder or dependent adult
financial abuse.
   (D) The likelihood that substantial public harm has occurred where
a felony is alleged to have been committed.
   (E) The significant public interest involved in compensating the
elder or dependent adult victim of financial abuse and paying
court-imposed restitution.
   (4) The court, in making its orders, may consider a defendant's
request for the release of a portion of the property affected by this
section in order to pay reasonable legal fees in connection with the
criminal proceeding, any necessary and appropriate living expenses
pending trial and sentencing, and for the purpose of posting bail.
The court shall weigh the needs of the public to retain the property
against the needs of the defendant to a portion of the property. The
court shall consider the factors listed in paragraph (3) prior to
making any order releasing property for these purposes.
   (5) The court, in making its orders, shall seek to protect the
interests of any innocent third persons, including an innocent
spouse, who were not involved in the commission of any criminal
activity.
   (6) Any petition filed pursuant to this section shall be part of
the criminal proceedings for purposes of appointment of counsel and
shall be assigned to the criminal division of the superior court of
the county in which the accusatory pleading was filed.
   (7) Based upon a noticed motion brought by the receiver appointed
pursuant to paragraph (2) of subdivision (c), the court may order an
interlocutory sale of property identified in the petition when the
property is liable to perish, to waste, or to be significantly
reduced in value, or when the expenses of maintaining the property
are disproportionate to the value thereof. The proceeds of the
interlocutory sale shall be deposited with the court or as directed
by the court pending determination of the proceeding pursuant to this
section.
   (8) The court may make any orders that are necessary to preserve
the continuing viability of any lawful business enterprise that is
affected by the issuance of a temporary restraining order or
preliminary injunction issued pursuant to this action.
   (9) In making its orders, the court shall seek to prevent any
property subject to a temporary restraining order or preliminary
injunction from perishing, spoiling, going to waste, or otherwise
being significantly reduced in value. Where the potential for
diminution in value exists, the court shall appoint a receiver to
dispose of or otherwise protect the value of the property.
   (10) A preservation order shall not be issued against any assets
of a business that are not likely to be dissipated and that may be
subject to levy or attachment to meet the purposes of this section.
   (e) If the allegation that the defendant committed a felony
subject to this section is dismissed or found by the trier of fact to
be untrue, any preliminary injunction or temporary restraining order
issued pursuant to this section shall be dissolved. If a jury is the
trier of fact, and the jury is unable to reach a unanimous verdict,
the court shall have the discretion to continue or dissolve all or a
portion of the preliminary injunction or temporary restraining order
based upon the interests of justice. However, if the prosecuting
agency elects not to retry the case, any preliminary injunction or
temporary restraining order issued pursuant to this section shall be
dissolved.
   (f) (1) (A) If the defendant is convicted of a felony subject to
this section, the trial judge shall continue the preliminary
injunction or temporary restraining order until the date of the
criminal sentencing and shall make a finding at that time as to what
portion, if any, of the property subject to the preliminary
injunction or temporary restraining order shall be levied upon to pay
restitution to victims of the crime. The order imposing restitution
may exceed the total worth of the property subjected to the
preliminary injunction or temporary restraining order. The court may
order the immediate transfer of the property to satisfy any judgment
and sentence made pursuant to this section. Additionally, upon motion
of the prosecution, the court may enter an order as part of the
judgment and sentence making the order imposing restitution pursuant
to this section enforceable pursuant to Title 9 (commencing with
Section 680.010) of Part 2 of the Code of Civil Procedure.
   (B) Additionally, the court shall order the defendant to make full
restitution to the victim or to make restitution to the victim based
on his or her ability to pay, as defined in subdivision  (b)
  (e) of Section 1203.1b. The payment of the
restitution ordered by the court pursuant to this section shall be
made a condition of any probation granted by the court.
Notwithstanding any other provision of law, the court may order that
the period of probation continue for up to 10 years or until full
restitution is made to the victim, whichever is earlier.
   (C) The sentencing court shall retain jurisdiction to enforce the
order to pay additional restitution and, in appropriate cases, may
initiate probation violation proceedings or contempt of court
proceedings against a defendant who is found to have willfully failed
to comply with any lawful order of the court.
   (D) If the execution of judgment is stayed pending an appeal of an
order of the superior court pursuant to this section, the
preliminary injunction or temporary restraining order shall be
maintained in full force and effect during the pendency of the
appellate period.
   (2) The order imposing restitution shall not affect the interest
in real property of any third party that was acquired prior to the
recording of the lis pendens, unless the property was obtained from
the defendant other than as a bona fide purchaser for value. If any
assets or property affected by this section are subject to a valid
lien, mortgage, security interest, or interest under a conditional
sales contract and the amount due to the holder of the lien,
mortgage, interest, or contract is less than the appraised value of
the property, that person may pay to the state or the local
government that initiated the proceeding the amount of the difference
between the appraised value of the property and the amount of the
lien, mortgage, security interest, or interest under a conditional
sales contract. Upon that payment, the state or local entity shall
relinquish all claims to the property. If the holder of the interest
elects not to make that payment to the state or local governmental
entity, the interest in the property shall be deemed transferred to
the state or local governmental entity and any indicia of ownership
of the property shall be confirmed in the state or local governmental
entity. The appraised value shall be determined as of the date
judgment is entered either by agreement between the holder of the
lien, mortgage, security interest, or interest under a conditional
sales contract and the governmental entity involved, or if they
cannot agree, then by a court-appointed appraiser for the county in
which the action is brought. A person holding a valid lien, mortgage,
security interest, or interest under a conditional sales contract
shall be paid the appraised value of his or her interest.
   (3) In making its final order, the court shall seek to protect the
legitimately acquired interests of any innocent third persons,
including an innocent spouse, who were not involved in the commission
of any criminal activity.
   (g) In all cases where property is to be levied upon pursuant to
this section, a receiver appointed by the court shall be empowered to
liquidate all property, the proceeds of which shall be distributed
in the following order of priority:
   (1) To the receiver, or court-appointed appraiser, for all
reasonable expenditures made or incurred by him or her in connection
with the sale or liquidation of the property, including all
reasonable expenditures for any necessary repairs, storage, or
transportation of any property levied upon under this section.
   (2) To any holder of a valid lien, mortgage, or security interest
up to the amount of his or her interest in the property or proceeds.
   (3) To any victim as restitution for any fraudulent or unlawful
acts alleged in the accusatory pleading that were proven by the
prosecuting agency as part of the pattern of fraudulent or unlawful
acts.
   (h) Unless otherwise expressly provided, the remedies or penalties
provided by this section are cumulative to each other and to the
remedies or penalties available under all other laws of this state,
except that two separate actions against the same defendant and
pertaining to the same fraudulent or unlawful acts may not be brought
by a district attorney or the Attorney General pursuant to this
section and Chapter 5 (commencing with Section 17200) of Part 2 of
Division 7 of the Business and Professions Code.
  SEC. 224.  Section 241 of the Penal Code is amended to read:
   241.  (a) An assault is punishable by a fine not exceeding one
thousand dollars ($1,000), or by imprisonment in the county jail not
exceeding six months, or by both the fine and imprisonment.
   (b) When an assault is committed against the person of a parking
control officer engaged in the performance of his or her duties, and
the person committing the offense knows or reasonably should know
that the victim is a parking control officer, the assault is
punishable by a fine not exceeding two thousand dollars ($2,000), or
by imprisonment in the county jail not exceeding six months, or by
both the fine and imprisonment.
   (c) When an assault is committed against the person of a peace
officer, firefighter, emergency medical technician, mobile intensive
care paramedic, lifeguard, process server, traffic officer, code
enforcement officer, animal control officer, or search and rescue
member engaged in the performance of his or her duties, or a
physician or nurse engaged in rendering emergency medical care
outside a hospital, clinic, or other health care facility, and the
person committing the offense knows or reasonably should know that
the victim is a peace officer, firefighter, emergency medical
technician, mobile intensive care paramedic, lifeguard, process
server, traffic officer, code enforcement officer, animal control
officer, or search and rescue member engaged in the performance of
his or her duties, or a physician or nurse engaged in rendering
emergency medical care, the assault is punishable by a fine not
exceeding two thousand dollars ($2,000), or by imprisonment in a
county jail not exceeding one year, or by both the fine and
imprisonment.
   (d) As used in this section, the following definitions apply:
   (1) Peace officer means any person defined in Chapter 4.5
(commencing with Section 830) of Title 3 of Part 2.
   (2) "Emergency medical technician" means a person possessing a
valid course completion certificate from a program approved by the
State Department of Health Care Services for the medical training and
education of ambulance personnel, and who meets the standards of
Division 2.5 (commencing with Section 1797) of the Health and Safety
Code.
   (3) "Mobile intensive care paramedic" refers to  those
persons   a person  who  meet 
 meets  the standards set forth in Division 2.5 (commencing
with Section 1797) of the Health and Safety Code.
   (4) "Nurse" means a person who meets the standards of Division 2.5
(commencing with Section 1797) of the Health and Safety Code.
   (5) "Lifeguard" means a person who is:
   (A) Employed as a lifeguard by the state, a county, or a city, and
is designated by local ordinance as a public officer who has a duty
and responsibility to enforce local ordinances and misdemeanors
through the issuance of citations.
   (B) Wearing distinctive clothing which includes written
identification of the person's status as a lifeguard and which
clearly identifies the employing organization.
   (6) "Process server" means any person who meets the standards or
is expressly exempt from the standards set forth in Section 22350 of
the Business and Professions Code.
   (7) "Traffic officer" means any person employed by a county or
city to monitor and enforce state laws and local ordinances relating
to parking and the operation of vehicles.
   (8) "Animal control officer" means any person employed by a county
or city for purposes of enforcing animal control laws or
regulations.
   (9) (A) "Code enforcement officer" means any person who is not
described in Chapter 4.5 (commencing with Section 830) of Title 3 of
Part 2 and who is employed by any governmental subdivision, public or
quasi-public corporation, public agency, public service corporation,
any town, city, county, or municipal corporation, whether
incorporated or chartered, that has enforcement authority for health,
safety, and welfare requirements, and whose duties include
enforcement of any statute, rules, regulations, or standards, and who
is authorized to issue citations, or file formal complaints.
   (B) "Code enforcement officer" also includes any person who is
employed by the Department of Housing and Community Development who
has enforcement authority for health, safety, and welfare
requirements pursuant to the Employee Housing Act (Part 1 (commencing
with Section 17000) of Division 13 of the Health and Safety Code);
the State Housing Law (Part 1.5 (commencing with Section 17910) of
Division 13 of the Health and Safety Code); the Manufactured Housing
Act of 1980 (Part 2 (commencing with Section 18000) of Division 13 of
the Health and Safety Code); the Mobilehome Parks Act (Part 2.1
(commencing with Section 18200) of Division 13 of the Health and
Safety Code); and the Special Occupancy Parks Act (Part 2.3
(commencing with Section 18860) of Division 13 of the Health and
Safety Code).
   (10) "Parking control officer" means any person employed by a
city, county, or city and county, to monitor and enforce state laws
and local ordinances relating to parking.
   (11) "Search and rescue member" means any person who is part of an
organized search and rescue team managed by a governmental agency.
  SEC. 225.  Section 502.8 of the Penal Code is amended to read:
   502.8.  (a) Any person who knowingly advertises illegal
telecommunications equipment is guilty of a misdemeanor.
   (b) Any person who possesses or uses illegal telecommunications
equipment intending to avoid the payment of any lawful charge for
telecommunications service or to facilitate other criminal conduct is
guilty of a misdemeanor.
   (c) Any person found guilty of violating subdivision (b), who has
previously been convicted of the same offense, shall be guilty of a
felony, punishable by imprisonment in state prison, a fine of up to
fifty thousand dollars ($50,000), or both.
   (d) Any person who possesses illegal telecommunications equipment
with intent to sell, transfer, or furnish or offer to sell, transfer,
or furnish the equipment to another, intending to avoid the payment
of any lawful charge for telecommunications service or to facilitate
other criminal conduct is guilty of a misdemeanor punishable by one
year in a county jail or imprisonment in state prison or a fine of up
to ten thousand dollars ($10,000), or both.
   (e) Any person who possesses 10 or more items of illegal
telecommunications equipment with intent to sell or offer to sell the
equipment to another, intending to avoid payment of any lawful
charge for telecommunications service or to facilitate other criminal
conduct, is guilty of a felony, punishable by imprisonment in state
prison, a fine of up to fifty thousand dollars ($50,000), or both.
   (f) Any person who manufactures 10 or more items of illegal
telecommunications equipment with intent to sell or offer to sell the
equipment to another, intending to avoid the payment of any lawful
charge for telecommunications service or to facilitate other criminal
conduct is guilty of a felony punishable by imprisonment in state
prison or a fine of up to fifty thousand dollars ($50,000), or both.
   (g) For purposes of this section, "illegal telecommunications
equipment" means equipment that operates to evade the lawful charges
for any telecommunications service;  surrepticiously
  surreptitiously  intercept electronic serial
numbers or mobile identification numbers; alter electronic serial
numbers; circumvent efforts to confirm legitimate access to a
telecommunications account; conceal from any telecommunications
service provider or lawful authority the existence, place of origin,
or destination of any telecommunication; or otherwise facilitate any
other criminal conduct. "Illegal telecommunications equipment"
includes, but is not limited to, any unauthorized electronic serial
number or mobile identification number, whether incorporated into a
wireless telephone or other device or otherwise. Items specified in
this  paragraph   subdivision  shall be
considered illegal telecommunications equipment notwithstanding any
statement or disclaimer that the items are intended for educational,
instructional, or similar purposes.
   (h) (1) In the event that a person violates the provisions of this
section with the intent to avoid the payment of any lawful charge
for telecommunications service to a telecommunications service
provider, the court shall order the person to pay restitution to the
telecommunications service provider in an amount that is the greater
of the following:
   (A) Five thousand dollars ($5,000).
   (B) Three times the amount of actual damages, if any, sustained by
the telecommunications service provider, plus reasonable attorney
fees.
   (2) It is not a necessary prerequisite to an order of restitution
under this section that the telecommunications service provider has
suffered, or be threatened with, actual damages.
  SEC. 226.  Section 670 of the Penal Code is amended to read:
   670.  (a) Any person who violates Section 7158 or 7159 of, or
subdivision (b), (c), (d), or (e) of Section 7161 of, the Business
and Professions Code or Section 470, 484, 487, or 532 of this code
                                              as part of a plan or
scheme to defraud an owner or lessee of a residential or
nonresidential structure in connection with the offer or performance
of repairs to the structure for damage caused by a natural disaster
specified in subdivision (b), shall be subject to the penalties and
enhancements specified in subdivisions (c) and (d). The existence of
any fact which would bring a person under this section shall be
alleged in the information or indictment and either admitted by the
defendant in open court, or found to be true by the jury trying the
issue of guilt or by the court where guilt is established by a plea
of guilty or nolo contendere or by trial by the court sitting without
a jury.
   (b) This section applies to natural disasters for which a state of
emergency is proclaimed by the Governor pursuant to Section 8625 of
the Government Code or for which an emergency or major disaster is
declared by the President of the United States.
   (c) The maximum or prescribed amounts of fines for offenses
subject to this section shall be doubled. If the person has been
previously convicted of a felony offense specified in subdivision
(a), the person shall receive a one-year enhancement in addition to,
and to run consecutively to, the term of imprisonment for any felony
otherwise prescribed by this subdivision.
   (d) Additionally, the court shall order any person sentenced
pursuant to this section to make full restitution to the victim or to
make restitution to the victim based on the person's ability to pay,
as defined in subdivision  (b)   (e)  of
Section 1203.1b. The payment of the restitution ordered by the court
pursuant to this subdivision shall be made a condition of any
probation granted by the court for an offense punishable under this
section. Notwithstanding any other provision of law, the period of
probation shall be at least five years or until full restitution is
made to the victim, whichever first occurs.
   (e) Notwithstanding any other provision of law, the prosecuting
agency shall be entitled to recover its costs of investigation and
prosecution from any fines imposed for a conviction under this
section.
  SEC. 227.  Section 679.10 of the Penal Code is amended to read:
   679.10.  (a) For purposes of this section, a "certifying entity"
is any of the following:
   (1) A state or local law enforcement agency.
   (2) A prosecutor.
   (3) A judge.
   (4) Any other authority that has responsibility for the detection
or investigation or prosecution of a qualifying crime or criminal
activity.
   (5) Agencies that have criminal detection or investigative
jurisdiction in their respective areas of expertise, including, but
not limited to, child protective services, the Department of Fair
Employment and Housing, and the Department of Industrial Relations.
   (b) For purposes of this section, a "certifying official" is any
of the following:
   (1) The head of the certifying entity.
   (2) A person in a supervisory role who has been specifically
designated by the head of the certifying entity to issue Form I-918
Supplement B certifications on behalf of that agency.
   (3) A judge.
   (4) Any other certifying official defined under Section 214.14 (a)
(2) of Title 8 of the Code of Federal Regulations.
   (c) "Qualifying criminal activity" means qualifying criminal
activity pursuant to Section 101(a)(15)(U)(iii) of the  federal
 Immigration and Nationality Act which includes, but is not
limited to, the following crimes:
   (1) Rape.
   (2) Torture.
   (3) Human trafficking.
   (4) Incest.
   (5) Domestic violence.
   (6) Sexual assault.
   (7) Abusive sexual conduct.
   (8) Prostitution.
   (9) Sexual exploitation.
   (10) Female genital mutilation.
   (11) Being held hostage.
   (12) Peonage.
   (13) Perjury.
   (14) Involuntary servitude.
   (15) Slavery.
   (16) Kidnaping.
   (17) Abduction.
   (18) Unlawful criminal restraint.
   (19) False imprisonment.
   (20) Blackmail.
   (21) Extortion.
   (22) Manslaughter.
   (23) Murder.
   (24) Felonious assault.
   (25) Witness tampering.
   (26) Obstruction of justice.
   (27) Fraud in foreign labor contracting.
   (28) Stalking.
   (d) A "qualifying crime" includes criminal offenses for which the
nature and elements of the offenses are substantially similar to the
criminal activity described in subdivision (c), and the attempt,
conspiracy, or solicitation to commit any of those offenses.
   (e) Upon the request of the victim or victim's family member, a
certifying official from a certifying entity shall certify victim
helpfulness on the Form I-918 Supplement B certification, when the
victim was a victim of a qualifying criminal activity and has been
helpful, is being helpful, or is likely to be helpful to the
detection or investigation or prosecution of that qualifying criminal
activity.
   (f) For purposes of determining helpfulness pursuant to
subdivision (e), there is a rebuttable presumption that a victim is
helpful, has been helpful, or is likely to be helpful to the
detection or investigation or prosecution of that qualifying criminal
activity, if the victim has not refused or failed to provide
information and assistance reasonably requested by law enforcement.
   (g) The certifying official shall fully complete and sign the Form
I-918 Supplement B certification and, regarding victim helpfulness,
include specific details about the nature of the crime investigated
or prosecuted and a detailed description of the victim's helpfulness
or likely helpfulness to the detection or investigation or
prosecution of the criminal activity.
   (h) A certifying entity shall process an I-918 Supplement B
certification within 90 days of request, unless the noncitizen is in
removal proceedings, in which case the certification shall be
processed within 14 days of request.
   (i) A current investigation, the filing of charges, and a
prosecution or conviction are not required for the victim to request
and obtain the Form I-918 Supplement B certification from a
certifying official.
   (j) A certifying official may only withdraw the certification if
the victim refuses to provide information and assistance when
reasonably requested.
   (k) A certifying entity is prohibited from disclosing the
immigration status of a victim or person requesting the Form I-918
Supplement B certification, except to comply with federal law or
legal process, or if authorized by the victim or person requesting
the Form I-918 Supplement B certification.
   (l) A certifying entity that receives a request for a Form I-918
 Supplemental   Supplement  B certification
shall report to the Legislature, on or before January 1, 2017, and
annually thereafter, the number of victims that requested Form I-918
 Form   Supplement  B certifications from
the entity, the number of those certification forms that were signed,
and the number that were denied. A report pursuant to this
subdivision shall comply with Section 9795 of the Government Code.
  SEC. 228.  Section 832.3 of the Penal Code, as amended by Section 1
of Chapter 207 of the Statutes of 2015, is amended to read:
   832.3.  (a) Except as provided in subdivision (e), any sheriff,
undersheriff, or deputy sheriff of a county, any police officer of a
city, and any police officer of a district authorized by statute to
maintain a police department, who is first employed after January 1,
1975, shall successfully complete a course of training prescribed by
the Commission on Peace Officer Standards and Training before
exercising the powers of a peace officer, except while participating
as a trainee in a supervised field training program approved by the
Commission on Peace Officer Standards and Training. Each police
chief, or any other person in charge of a local law enforcement
agency, appointed on or after January 1, 1999, as a condition of
continued employment, shall complete the course of training pursuant
to this subdivision within two years of appointment. The training
course for a sheriff, an undersheriff, and a deputy sheriff of a
county, and a police chief and a police officer of a city or any
other local law enforcement agency, shall be the same.
   (b) For the purpose of ensuring competent peace officers and
standardizing the training required in subdivision (a), the
commission shall develop a testing program, including standardized
tests that enable (1) comparisons between presenters of the training
and (2) assessments of trainee achievement. The trainees' test scores
shall be used only for the purposes enumerated in this subdivision
and those research purposes as shall be approved in advance by the
commission. The commission shall take all steps necessary to maintain
the confidentiality of the test scores, test items, scoring keys,
and other examination data used in the testing program required by
this subdivision. The commission shall determine the minimum passing
score for each test and the conditions for retesting students who
fail. Passing these tests shall be required for successful completion
of the training required in subdivision (a). Presenters approved by
the commission to provide the training required in subdivision (a)
shall administer the standardized tests or, at the commission's
option, shall facilitate the commission's administration of the
standardized tests to all trainees.
   (c)  Notwithstanding subdivision (c) of Section 84500 of
the Education Code and any regulations adopted pursuant thereto,
community   Community  colleges may give preference
in enrollment to employed law enforcement trainees who shall
complete training as prescribed by this section. At least 15 percent
of each presentation shall consist of  nonlaw enforcement
  non-law-enforcement  trainees if they are
available. Preference should only be given when the trainee could not
complete the course within the time required by statute, and only
when no other training program is reasonably available. Average daily
attendance for these courses shall be reported for state aid.
   (d) Prior to July 1, 1987, the commission shall make a report to
the Legislature on academy proficiency testing scores. This report
shall include an evaluation of the correlation between academy
proficiency test scores and performance as a peace officer.
   (e) (1) Any deputy sheriff described in subdivision (c) of Section
830.1 shall be exempt from the training requirements specified in
subdivisions (a) and (b) as long as his or her assignments remain
custodial related.
   (2) Deputy sheriffs described in subdivision (c) of Section 830.1
shall complete the training for peace officers pursuant to
subdivision (a) of Section 832, and within 120 days after the date of
employment, shall complete the training required by the Board of
State and Community Corrections for custodial personnel pursuant to
Section 6035, and the training required for custodial personnel of
local detention facilities pursuant to  Division 1 
 Subchapter 1  (commencing with Section 100)  of Chapter
1 of Division 1  of Title 15 of the California Code of
Regulations.
   (3) Deputy sheriffs described in subdivision (c) of Section 830.1
shall complete the course of training pursuant to subdivision (a)
prior to being reassigned from custodial assignments to duties with
responsibility for the prevention and detection of crime and the
general enforcement of the criminal laws of this state. A deputy
sheriff who has completed the course of training pursuant to
subdivision (a) and has been hired as a deputy sheriff described in
subdivision (c) of Section 830.1 shall be eligible to be reassigned
from custodial assignments to duties with the responsibility for the
prevention and detection of crime and the general enforcement of the
criminal laws of this state within three years of completing the
training pursuant to subdivision (a). A deputy sheriff shall be
eligible for reassignment within five years of having completed the
training pursuant to subdivision (a) without having to complete a
requalification for the regular basic course provided that all of the
following are satisfied:
   (A) The deputy sheriff remains continuously employed by the same
department in which the deputy sheriff is being reassigned from
custodial assignments to duties with the responsibility for the
prevention and detection of crime and the general enforcement of the
criminal laws of this state.
   (B) The deputy sheriff maintains the perishable skills training
required by the commission for peace officers assigned to duties with
the responsibility for the prevention and detection of crime and the
general enforcement of the criminal laws of this state.
   (f) Any school police officer first employed by a K-12 public
school district or California Community College district after July
1, 1999, shall successfully complete a basic course of training as
prescribed by subdivision (a) before exercising the powers of a peace
officer. A school police officer shall not be subject to this
subdivision while participating as a trainee in a supervised field
training program approved by the Commission on Peace Officer
Standards and Training.
   (g) The commission shall prepare a specialized course of
instruction for the training of school peace officers, as defined in
Section 830.32, to meet the unique safety needs of a school
environment. This course is intended to supplement any other training
requirements.
   (h) Any school peace officer first employed by a K-12 public
school district or California Community College district before July
1, 1999, shall successfully complete the specialized course of
training prescribed in subdivision (g) no later than July 1, 2002.
Any school police officer first employed by a K-12 public school
district or California Community College district after July 1, 1999,
shall successfully complete the specialized course of training
prescribed in subdivision (g) within two years of the date of first
employment.
   (i) This section shall remain in effect only until January 1,
2019, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2019, deletes or extends
that date.
  SEC. 229.  Section 832.3 of the Penal Code, as added by Section 2
of Chapter 207 of the Statutes of 2015, is amended to read:
   832.3.  (a) Except as provided in subdivision (e), any sheriff,
undersheriff, or deputy sheriff of a county, any police officer of a
city, and any police officer of a district authorized by statute to
maintain a police department, who is first employed after January 1,
1975, shall successfully complete a course of training prescribed by
the Commission on Peace Officer Standards and Training before
exercising the powers of a peace officer, except while participating
as a trainee in a supervised field training program approved by the
Commission on Peace Officer Standards and Training. Each police
chief, or any other person in charge of a local law enforcement
agency, appointed on or after January 1, 1999, as a condition of
continued employment, shall complete the course of training pursuant
to this subdivision within two years of appointment. The training
course for a sheriff, an undersheriff, and a deputy sheriff of a
county, and a police chief and a police officer of a city or any
other local law enforcement agency, shall be the same.
   (b) For the purpose of ensuring competent peace officers and
standardizing the training required in subdivision (a), the
commission shall develop a testing program, including standardized
tests that enable (1) comparisons between presenters of the training
and (2) assessments of trainee achievement. The trainees' test scores
shall be used only for the purposes enumerated in this subdivision
and those research purposes as shall be approved in advance by the
commission. The commission shall take all steps necessary to maintain
the confidentiality of the test scores, test items, scoring keys,
and other examination data used in the testing program required by
this subdivision. The commission shall determine the minimum passing
score for each test and the conditions for retesting students who
fail. Passing these tests shall be required for successful completion
of the training required in subdivision (a). Presenters approved by
the commission to provide the training required in subdivision (a)
shall administer the standardized tests or, at the commission's
option, shall facilitate the commission's administration of the
standardized tests to all trainees.
   (c)  Notwithstanding subdivision (c) of Section 84500 of
the Education Code and any regulations adopted pursuant thereto,
community   Community  colleges may give preference
in enrollment to employed law enforcement trainees who shall
complete training as prescribed by this section. At least 15 percent
of each presentation shall consist of  nonlaw enforcement
  non-law-enforcement  trainees if they are
available. Preference should only be given when the trainee could not
complete the course within the time required by statute, and only
when no other training program is reasonably available. Average daily
attendance for these courses shall be reported for state aid.
   (d) Prior to July 1, 1987, the commission shall make a report to
the Legislature on academy proficiency testing scores. This report
shall include an evaluation of the correlation between academy
proficiency test scores and performance as a peace officer.
   (e) (1) Any deputy sheriff described in subdivision (c) of Section
830.1 shall be exempt from the training requirements specified in
subdivisions (a) and (b) as long as his or her assignments remain
custodial related.
   (2) Deputy sheriffs described in subdivision (c) of Section 830.1
shall complete the training for peace officers pursuant to
subdivision (a) of Section 832, and within 120 days after the date of
employment, shall complete the training required by the Board of
State and Community Corrections for custodial personnel pursuant to
Section 6035, and the training required for custodial personnel of
local detention facilities pursuant to  Division 1 
 Subchapter 1  (commencing with Section 100)  of Chapter
1 of Division 1  of Title 15 of the California Code of
Regulations.
   (3) Deputy sheriffs described in subdivision (c) of Section 830.1
shall complete the course of training pursuant to subdivision (a)
prior to being reassigned from custodial assignments to duties with
responsibility for the prevention and detection of crime and the
general enforcement of the criminal laws of this state.
   (f) Any school police officer first employed by a K-12 public
school district or California Community College district after July
1, 1999, shall successfully complete a basic course of training as
prescribed by subdivision (a) before exercising the powers of a peace
officer. A school police officer shall not be subject to this
subdivision while participating as a trainee in a supervised field
training program approved by the Commission on Peace Officer
Standards and Training.
   (g) The commission shall prepare a specialized course of
instruction for the training of school peace officers, as defined in
Section 830.32, to meet the unique safety needs of a school
environment. This course is intended to supplement any other training
requirements.
   (h) Any school peace officer first employed by a K-12 public
school district or California Community College district before July
1, 1999, shall successfully complete the specialized course of
training prescribed in subdivision (g) no later than July 1, 2002.
Any school police officer first employed by a K-12 public school
district or California Community College district after July 1, 1999,
shall successfully complete the specialized course of training
prescribed in subdivision (g) within two years of the date of first
employment.
   (i) This section shall become operative January 1, 2019.
  SEC. 230.  Section 1214.5 of the Penal Code is amended to read:
   1214.5.  (a) In any case in which the defendant is ordered to pay
more than fifty dollars ($50) in restitution as a condition of
probation, the court may, as an additional condition of probation
since the court determines that the defendant has the ability to pay,
as defined in  Section 1203.1b(b),  
subdivision (e) of Section 1203.1b,  order the defendant to pay
interest at the rate of 10 percent per annum on the principal amount
remaining unsatisfied.
   (b) (1) Except as provided in paragraph (2), interest commences to
accrue on the date of entry of the judgment or order.
   (2) Unless the judgment or order otherwise provides, if
restitution is payable in installments, interest commences to accrue
as to each installment on the date the installment becomes due.
  SEC. 231.  Section 1524.2 of the Penal Code is amended to read:
   1524.2.  (a) As used in this section, the following terms have the
following meanings:
   (1) The terms "electronic communication services" and "remote
computing services" shall be construed in accordance with the
Electronic Communications Privacy Act  of 1986  in Chapter
121 (commencing with Section 2701) of Part I of Title 18 of the
United State  Code Annotated.   Code.  This
section shall not apply to corporations that do not provide those
services to the general public.
   (2) An "adverse result" occurs when notification of the existence
of a search warrant results in:
   (A) Danger to the life or physical safety of an individual.
   (B) A flight from prosecution.
   (C) The destruction of or tampering with evidence.
   (D) The intimidation of potential witnesses.
   (E) Serious jeopardy to an investigation or undue delay of a
trial.
   (3) "Applicant" refers to the peace officer to whom a search
warrant is issued pursuant to subdivision (a) of Section 1528.
   (4) "California corporation" refers to any corporation or other
entity that is subject to Section 102 of the Corporations Code,
excluding foreign corporations.
   (5) "Foreign corporation" refers to any corporation that is
qualified to do business in this state pursuant to Section 2105 of
the Corporations Code.
   (6) "Properly served" means that a search warrant has been
delivered by hand, or in a manner reasonably allowing for proof of
delivery if delivered by United States mail, overnight delivery
service, or facsimile to a person or entity listed in Section 2110 of
the Corporations Code, or any other means specified by the recipient
of the search warrant, including email or submission via an Internet
 web   Web  portal that the recipient has
designated for the purpose of service of process.
   (b) The following provisions  shall  apply to any
search warrant issued pursuant to this chapter allowing a search for
records that are in the actual or constructive possession of a
foreign corporation that provides electronic communication services
or remote computing services to the general public, where those
records would reveal the identity of the customers using those
services, data stored by, or on behalf of, the customer, the customer'
s usage of those services, the recipient or destination of
communications sent to or from those customers, or the content of
those communications.
   (1) When properly served with a search warrant issued by the
California court, a foreign corporation subject to this section shall
provide to the applicant, all records sought pursuant to that
warrant within five business days of receipt, including those records
maintained or located outside this state.
   (2)  Where   If  the applicant makes a
showing and the magistrate finds that failure to produce records
within less than five business days would cause an adverse result,
the warrant may require production of records within less than five
business days. A court may reasonably extend the time required for
production of the records upon finding that the foreign corporation
has shown good cause for that extension and that an extension of time
would not cause an adverse result.
   (3) A foreign corporation seeking to quash the warrant must seek
relief from the court that issued the warrant within the time
required for production of records pursuant to this section. The
issuing court shall hear and decide that motion no later than five
court days after the motion is filed.
   (4) The foreign corporation shall verify the authenticity of
records that it produces by providing an affidavit that complies with
the requirements set forth in Section 1561 of the Evidence Code.
Those records shall be admissible in evidence as set forth in Section
1562 of the Evidence Code.
   (c) A California corporation that provides electronic
communication services or remote computing services to the general
public, when served with a warrant issued by another state to produce
records that would reveal the identity of the customers using those
services, data stored by, or on behalf of, the customer, the customer'
s usage of those services, the recipient or destination of
communications sent to or from those customers, or the content of
those communications, shall produce those records as if that warrant
had been issued by a California court.
   (d)  No   A  cause of action shall 
not  lie against any foreign or California corporation subject
to this section, its officers, employees, agents, or other specified
persons for providing records, information, facilities, or assistance
in accordance with the terms of a warrant issued pursuant to this
chapter.
  SEC. 232.  Section 1526 of the Penal Code is amended to read:
   1526.  (a) The magistrate, before issuing the warrant, may examine
on oath the person seeking the warrant and any witnesses the person
may produce, and shall take his or her affidavit or their affidavits
in writing, and cause the affidavit or affidavits to be subscribed by
the party or parties making them.
   (b) In lieu of the written affidavit required in subdivision (a),
the magistrate may take an oral statement under oath under one of the
following conditions:
   (1) The oath shall be made under penalty of perjury and recorded
and transcribed. The transcribed statement shall be deemed to be an
affidavit for the purposes of this chapter. In these cases, the
recording of the sworn oral statement and the transcribed statement
shall be certified by the magistrate receiving it and shall be filed
with the clerk of the court. In the alternative in these cases, the
sworn oral statement shall be recorded by a certified court reporter
and the transcript of the statement shall be certified by the
reporter, after which the magistrate receiving it shall certify the
transcript which shall be filed with the clerk of the court.
   (2) The oath is made using telephone and facsimile transmission
equipment, telephone and  electronic mail,  
email,  or telephone and
    computer server, as follows:
   (A) The oath is made during a telephone conversation with the
magistrate, after the affiant has signed his or her affidavit in
support of the application for the search warrant and transmitted the
proposed search warrant and all supporting affidavits and documents
to the magistrate. The affiant's signature may be in the form of a
digital signature or electronic signature if  electronic mail
  email  or computer server is used for
transmission to the magistrate.
   (B) The magistrate shall confirm with the affiant the receipt of
the search warrant and the supporting affidavits and attachments. The
magistrate shall verify that all the pages sent have been received,
that all pages are legible, and that the affiant's signature, digital
signature, or electronic signature is acknowledged as genuine.
   (C) If the magistrate decides to issue the search warrant, he or
she shall:
   (i) Sign the warrant. The magistrate's signature may be in the
form of a digital signature or electronic signature if 
electronic mail   email  or computer server is used
for transmission by the magistrate.
   (ii) Note on the warrant the exact date and time of the issuance
of the warrant.
   (iii) Indicate on the warrant that the oath of the affiant was
administered orally over the telephone.
   (D) The magistrate shall transmit via facsimile transmission
equipment,  electronic mail,   email,  or
computer server, the signed search warrant to the affiant. The
completed search warrant, as signed by the magistrate and received by
the affiant, shall be deemed to be the original warrant. The
original warrant and any affidavits or attachments in support thereof
shall be returned as provided in Section 1534.
  SEC. 233.  Section 1546 of the Penal Code is amended to read:
   1546.  For purposes of this chapter, the following definitions
apply:
   (a) An "adverse result" means any of the following:
   (1) Danger to the life or physical safety of an individual.
   (2) Flight from prosecution.
   (3) Destruction of or tampering with evidence.
   (4) Intimidation of potential witnesses.
   (5) Serious jeopardy to an investigation or undue delay of a
trial.
   (b) "Authorized possessor" means the possessor of an electronic
device when that person is the owner of the device or has been
authorized to possess the device by the owner of the device.
   (c) "Electronic communication" means the transfer of signs,
signals, writings, images, sounds, data, or intelligence of any
nature in whole or in part by a wire, radio, electromagnetic,
photoelectric, or photo-optical system.
   (d) "Electronic communication information" means any information
about an electronic communication or the use of an electronic
communication service, including, but not limited to, the contents,
sender, recipients, format, or location of the sender or recipients
at any point during the communication, the time or date the
communication was created, sent, or received, or any information
pertaining to any individual or device participating in the
communication, including, but not limited to, an IP address. 
Electronic communication information   "Electronic
communication information   "  does not include
subscriber information as defined in this chapter.
   (e) "Electronic communication service" means a service that
provides to its subscribers or users the ability to send or receive
electronic communications, including any service that acts as an
intermediary in the transmission of electronic communications, or
stores electronic communication information.
   (f) "Electronic device" means a device that stores, generates, or
transmits information in electronic form.
   (g) "Electronic device information" means any information stored
on or generated through the operation of an electronic device,
including the current and prior locations of the device.
   (h) "Electronic information" means electronic communication
information or electronic device information.
   (i) "Government entity" means a department or agency of the state
or a political subdivision thereof, or an individual acting for or on
behalf of the state or a political subdivision thereof.
   (j) "Service provider" means a person or entity offering an
electronic communication service.
   (k) "Specific consent" means consent provided directly to the
government entity seeking information, including, but not limited to,
when the government entity is the addressee or intended recipient or
a member of the intended audience of an electronic communication.
Specific consent does not require that the originator of the
communication have actual knowledge that an addressee, intended
recipient, or member of the specific audience is a government entity.

   (l) "Subscriber information" means the name, street address,
telephone number, email address, or similar contact information
provided by the subscriber to the  service  provider to
establish or maintain an account or communication channel, a
subscriber or account number or identifier, the length of service,
and the types of services used by a user of or subscriber to a
service provider.
  SEC. 234.  Section 1546.1 of the Penal Code is amended to read:
   1546.1.  (a) Except as provided in this section, a government
entity shall not do any of the following:
   (1) Compel the production of or access to electronic communication
information from a service provider.
   (2) Compel the production of or access to electronic device
information from any person or entity other than the authorized
possessor of the device.
   (3) Access electronic device information by means of physical
interaction or electronic communication with the electronic device.
This section does not prohibit the intended recipient of an
electronic communication from voluntarily disclosing electronic
communication information concerning that communication to a
government entity.
   (b) A government entity may compel the production of or access to
electronic communication information from a service provider, or
compel the production of or access to electronic device information
from any person or entity other than the authorized possessor of the
device only under the following circumstances:
   (1) Pursuant to a warrant issued pursuant to Chapter 3 (commencing
with Section 1523) and subject to subdivision (d).
   (2) Pursuant to a wiretap order issued pursuant to Chapter 1.4
(commencing with Section 629.50) of Title 15 of Part 1.
   (3) Pursuant to an order for electronic reader records issued
pursuant to Section 1798.90 of the Civil Code.
   (4) Pursuant to a subpoena issued pursuant to existing state law,
provided that the information is not sought for the purpose of
investigating or prosecuting a criminal offense, and compelling the
production of or access to the information via the subpoena is not
otherwise prohibited by state or federal law. Nothing in this
paragraph shall be construed to expand any authority under state law
to compel the production of or access to electronic information.
   (c) A government entity may access electronic device information
by means of physical interaction or electronic communication with the
device only as follows:
   (1) Pursuant to a warrant issued pursuant to Chapter 3 (commencing
with Section 1523) and subject to subdivision (d).
   (2) Pursuant to a wiretap order issued pursuant to Chapter 1.4
(commencing with Section 629.50) of Title 15 of Part 1.
   (3) With the specific consent of the authorized possessor of the
device.
   (4) With the specific consent of the owner of the device, only
when the device has been reported as lost or stolen.
   (5) If the government entity, in good faith, believes that an
emergency involving danger of death or serious physical injury to any
person requires access to the electronic device information.
   (6) If the government entity, in good faith, believes the device
to be lost, stolen, or abandoned, provided that the entity shall only
access electronic device information in order to attempt to
identify, verify, or contact the owner or authorized possessor of the
device.
   (7) Except where prohibited by state or federal law, if the device
is seized from an inmate's possession or found in an area of a
correctional facility under the jurisdiction of the Department of
Corrections and Rehabilitation where inmates have access and the
device is not in the possession of an individual and the device is
not known or believed to be the possession of an authorized visitor.
 Nothing in this   This  paragraph shall
 not  be construed to supersede or override Section 4576.
   (d) Any warrant for electronic information shall comply with the
following:
   (1) The warrant shall describe with particularity the information
to be seized by specifying the time periods covered and, as
appropriate and reasonable, the target individuals or accounts, the
applications or services covered, and the types of information
sought.
   (2) The warrant shall require that any information obtained
through the execution of the warrant that is unrelated to the
objective of the warrant shall be sealed and not subject to further
review, use, or disclosure without a court order. A court shall issue
such an order upon a finding that there is probable cause to believe
that the information is relevant to an active investigation, or
review, use, or disclosure is required by state or federal law.
   (3) The warrant shall comply with all other provisions of
California and federal law, including any provisions prohibiting,
limiting, or imposing additional requirements on the use of search
warrants. If directed to a service provider, the warrant shall be
accompanied by an order requiring the service provider to verify the
authenticity of electronic information that it produces by providing
an affidavit that complies with the requirements set forth in Section
1561 of the Evidence Code. Admission of that information into
evidence shall be subject to Section 1562 of the Evidence Code.
   (e) When issuing any warrant or order for electronic information,
or upon the petition from the target or recipient of the warrant or
order, a court may, at its discretion, do  any or all
  either or both  of the following:
   (1) Appoint a special master, as described in subdivision (d) of
Section 1524, charged with ensuring that only information necessary
to achieve the objective of the warrant or order is produced or
accessed.
   (2) Require that any information obtained through the execution of
the warrant or order that is unrelated to the objective of the
warrant be destroyed as soon as feasible after the termination of the
current investigation and any related investigations or proceedings.

   (f) A service provider may voluntarily disclose electronic
communication information or subscriber information when that
disclosure is not otherwise prohibited by state or federal law.
   (g) If a government entity receives electronic communication
information voluntarily provided pursuant to subdivision (f), it
shall destroy that information within 90 days unless one or more of
the following circumstances apply:
   (1) The entity has or obtains the specific consent of the sender
or recipient of the electronic communications about which information
was disclosed.
   (2) The entity obtains a court order authorizing the retention of
the information. A court shall issue a retention order upon a finding
that the conditions justifying the initial voluntary disclosure
persist, in which case the court shall authorize the retention of the
information only for so long as those conditions persist, or there
is probable cause to believe that the information constitutes
evidence that a crime has been committed.
   (3) The entity reasonably believes that the information relates to
child pornography and the information is retained as part of a
multiagency database used in the investigation of child pornography
and related crimes.
   (h) If a government entity obtains electronic information pursuant
to an emergency involving danger of death or serious physical injury
to a person, that requires access to the electronic information
without delay, the entity shall, within three days after obtaining
the electronic information, file with the appropriate court an
application for a warrant or order authorizing obtaining the
electronic information or a motion seeking approval of the emergency
disclosures that shall set forth the facts giving rise to the
emergency, and if applicable, a request supported by a sworn
affidavit for an order delaying notification under paragraph (1) of
subdivision (b) of Section 1546.2. The court shall promptly rule on
the application or motion and shall order the immediate destruction
of all information obtained, and immediate notification pursuant to
subdivision (a) of Section 1546.2 if such notice has not already been
given, upon a finding that the facts did not give rise to an
emergency or upon rejecting the warrant or order application on any
other ground.
   (i) This section does not limit the authority of a government
entity to use an administrative, grand jury, trial, or civil
discovery subpoena to do any of the following:
   (1) Require an originator, addressee, or intended recipient of an
electronic communication to disclose any electronic communication
information associated with that communication.
   (2) Require an entity that provides electronic communications
services to its officers, directors, employees, or agents for the
purpose of carrying out their duties, to disclose electronic
communication information associated with an electronic communication
to or from an officer, director, employee, or agent of the entity.
   (3) Require a service provider to provide subscriber information.
  SEC. 235.  Section 1546.2 of the Penal Code is amended to read:
   1546.2.  (a) Except as otherwise provided in this section, any
government entity that executes a warrant, or obtains electronic
information in an emergency pursuant to Section 1546.1, shall serve
upon, or deliver to by registered or first-class mail, electronic
mail, or other means reasonably calculated to be effective, the
identified targets of the warrant or emergency  request,
  access,  a notice that informs the recipient that
information about the recipient has been compelled or 
requested,   obtained,  and states with reasonable
specificity the nature of the government investigation under which
the information is sought. The notice shall include a copy of the
warrant or a written statement setting forth facts giving rise to the
emergency. The notice shall be provided contemporaneously with the
execution of a warrant, or, in the case of an emergency, within three
days after obtaining the electronic information.
   (b) (1) When a warrant is sought or electronic information is
obtained in an emergency under Section 1546.1, the government entity
may submit a request supported by a sworn affidavit for an order
delaying notification and prohibiting any party providing information
from notifying any other party that information has been sought. The
court shall issue the order if the court determines that there is
reason to believe that notification may have an adverse result, but
only for the period of time that the court finds there is reason to
believe that the notification may have that adverse result, and not
to exceed 90 days.
   (2) The court may grant extensions of the delay of up to 90 days
each on the same grounds as provided in paragraph (1).
   (3) Upon expiration of the period of delay of the notification,
the government entity shall serve upon, or deliver to by registered
or first-class mail, electronic mail, or other means reasonably
calculated to be effective as specified by the court issuing the
order authorizing delayed notification, the identified targets of the
 warrant,   warrant or emergency access, 
a document that includes the information described in subdivision
(a), a copy of all electronic information obtained or a summary of
that information, including, at a minimum, the number and types of
records disclosed, the date and time when the earliest and latest
records were created, and a statement of the grounds for the court's
determination to grant a delay in notifying the individual.
   (c) If there is no identified target of a warrant or emergency
 request   access  at the time of its
issuance, the government entity shall submit to the Department of
Justice within three days of the execution of the warrant or issuance
of the request all of the information required in subdivision (a).
If an order delaying notice is obtained pursuant to subdivision (b),
the government entity shall submit to the department upon the
expiration of the period of delay of the notification all of the
information required in paragraph (3) of subdivision (b). The
department shall publish all those reports on its Internet Web site
within 90 days of receipt. The department may redact names or other
personal identifying information from the reports.
   (d) Except as otherwise provided in this section, nothing in this
chapter shall prohibit or limit a service provider or any other party
from disclosing information about any request or demand for
electronic information.
  SEC. 236.  Section 3000.08 of the Penal Code is amended to read:
   3000.08.  (a) A person released from state prison prior to or on
or after July 1, 2013, after serving a prison term, or whose sentence
has been deemed served pursuant to Section 2900.5, for any of the
following crimes is subject to parole supervision by the Department
of Corrections and Rehabilitation and the jurisdiction of the court
in the county in which the parolee is released, resides, or in which
an alleged violation of supervision has occurred, for the purpose of
hearing petitions to revoke parole and impose a term of custody:
   (1) A serious felony as described in subdivision (c) of Section
1192.7.
   (2) A violent felony as described in subdivision (c) of Section
667.5.
   (3) A crime for which the person was sentenced pursuant to
paragraph (2) of subdivision (e) of Section 667 or paragraph (2) of
subdivision (c) of Section 1170.12.
   (4) Any crime for which the person is classified as a high-risk
sex offender.
   (5) Any crime for which the person is required, as a condition of
parole, to undergo treatment by the State Department of State
Hospitals pursuant to Section 2962.
   (b) Notwithstanding any other law, all other offenders released
from prison shall be placed on postrelease supervision pursuant to
Title 2.05 (commencing with Section 3450).
   (c) At any time during the period of parole of a person subject to
this section, if any parole agent or peace officer has probable
cause to believe that the parolee is violating any term or condition
of his or her parole, the agent or officer may, without warrant or
other process and at any time until the final disposition of the
case, arrest the person and bring him or her before the court, or the
court may, in its discretion, issue a warrant for that person's
arrest pursuant to Section 1203.2. Notwithstanding Section 3056, and
unless the parolee is otherwise serving a period of flash
incarceration, whenever a supervised person who is subject to this
section is arrested, with or without a warrant or the filing of a
petition for revocation as described in subdivision (f), the court
may order the release of the parolee from custody under any terms and
conditions the court deems appropriate.
   (d) Upon review of the alleged violation and a finding of good
cause that the parolee has committed a violation of law or violated
his or her conditions of parole, the supervising parole agency may
impose additional and appropriate conditions of supervision,
including rehabilitation and treatment services and appropriate
incentives for compliance, and impose immediate, structured, and
intermediate sanctions for parole violations, including flash
incarceration in a city or a county jail. Periods of "flash
incarceration," as defined in subdivision (e) are encouraged as one
method of punishment for violations of a parolee's conditions of
parole. This section does not preclude referrals to a reentry court
pursuant to Section 3015.
   (e) "Flash incarceration" is a period of detention in a city or a
county jail due to a violation of a parolee's conditions of parole.
The length of the detention period can range between one and 10
consecutive days. Shorter, but if necessary more frequent, periods of
detention for violations of a parolee's conditions of parole shall
appropriately punish a parolee while preventing the disruption in a
work or home establishment that typically arises from longer periods
of detention.
   (f) If the supervising parole agency has determined, following
application of its assessment processes, that intermediate sanctions
up to and including flash incarceration are not appropriate, the
supervising parole agency shall, pursuant to Section 1203.2, petition
either the court in the county in which the parolee is being
supervised or the court in the county in which the alleged violation
of supervision occurred, to revoke parole. At any point during the
process initiated pursuant to this section, a parolee may waive, in
writing, his or her right to counsel, admit the parole violation,
waive a court hearing, and accept the proposed parole modification or
revocation. The petition shall include a written report that
contains additional information regarding the petition, including the
relevant terms and conditions of parole, the circumstances of the
alleged underlying violation, the history and background of the
parolee, and any recommendations. The Judicial Council shall adopt
forms and rules of court to establish uniform statewide procedures to
implement this subdivision, including the minimum contents of
supervision agency reports. Upon a finding that the person has
violated the conditions of parole, the court shall have authority to
do any of the following:
   (1) Return the person to parole supervision with modifications of
conditions, if appropriate, including a period of incarceration in
 a  county jail.
   (2) Revoke parole and order the person to confinement in 
the   a  county jail.
   (3) Refer the person to a reentry court pursuant to Section 3015
or other evidence-based program in the court's discretion.
   (g) Confinement pursuant to paragraphs (1) and (2) of subdivision
(f) shall not exceed a period of 180 days in  the 
 a  county jail.
   (h) Notwithstanding any other law, if Section 3000.1 or paragraph
(4) of subdivision (b) of Section 3000 applies to a person who is on
parole and the court determines that the person has committed a
violation of law or violated his or her conditions of parole, the
person on parole shall be remanded to the custody of the Department
of Corrections and Rehabilitation and the jurisdiction of the Board
of Parole Hearings for the purpose of future parole consideration.
   (i) Notwithstanding subdivision (a), any of the following persons
released from state prison shall be subject to the jurisdiction of,
and parole supervision by, the Department of Corrections and
Rehabilitation for a period of parole up to three years or the parole
term the person was subject to at the time of the commission of the
offense, whichever is greater:
   (1) The person is required to register as a sex offender pursuant
to Chapter 5.5 (commencing with Section 290) of Title 9 of Part 1,
and was subject to a period of parole exceeding three years at the
time he or she committed a felony for which they were convicted and
subsequently sentenced to state prison.
   (2) The person was subject to parole for life pursuant to Section
3000.1 at the time of the commission of the offense that resulted in
a conviction and state prison sentence.
   (j) Parolees subject to this section who have a pending
adjudication for a parole violation on July 1, 2013, are subject to
the jurisdiction of the Board of Parole Hearings. Parole revocation
proceedings conducted by the Board of Parole Hearings prior to July
1, 2013, if reopened on or after July 1, 2013, are subject to the
jurisdiction of the Board of Parole Hearings.
   (k) Except as described in subdivision (c), any person who is
convicted of a felony that requires community supervision and who
still has a period of state parole to serve shall discharge from
state parole at the time of release to community supervision.
   (  l  )  Any person released to parole supervision
pursuant to subdivision (a) shall, regardless of any subsequent
determination that the person should have been released pursuant to
subdivision (b), remain subject to subdivision (a) after having
served 60 days under supervision pursuant to subdivision (a).
  SEC. 237.  Section 3016 of the Penal Code is amended to read:
   3016.  (a) The Secretary of the Department of Corrections and
Rehabilitation shall establish the Case Management Reentry Pilot
Program for offenders under the jurisdiction of the department who
have been sentenced to a term of imprisonment under Section 1170 and
are likely to benefit from a case management reentry strategy
designed to address homelessness, joblessness, mental disorders, and
developmental disabilities among offenders transitioning from prison
into the community. The purpose of the pilot program is to implement
promising and evidence-based practices and strategies that promote
improved public safety outcomes for offenders reentering society
after serving a term in state prison and while released to parole.
   (b) The program shall be initiated in at least three counties over
three years, supported by department employees focusing primarily on
case management services for eligible parolees selected for the
pilot program. Department employees shall be experienced or trained
to work as social workers with a parole population. Selection of a
parolee for participation in the pilot program does not guarantee the
availability of services.
   (c) Case management social workers shall assist offenders on
parole who are assigned to the program in managing basic needs,
including housing, job training and placement, medical and mental
health care, and any additional programming or responsibilities
attendant to the terms of the offender's reentry requirements. Case
management social workers also shall work closely with offenders to
prepare, monitor, revise, and fulfill individualized offender reentry
plans consistent with this section during the term of the program.
   (d) Individualized offender reentry plans shall focus on
connecting offenders to services for which the offender is eligible
under existing federal, state, and local rules.
                                                           (e) Case
management services shall be prioritized for offenders identified as
potentially benefiting from assistance with the following:
   (1) Food, including the immediate need and long-term planning for
obtaining food.
   (2) Clothing, including the immediate need to obtain appropriate
clothing.
   (3) Shelter, including obtaining housing consistent with the goals
of the most independent, least restrictive and potentially durable
housing in the local community and that are feasible for the
circumstances of each reentering offender.
   (4) Benefits, including, but not limited to, the California Work
Opportunity and Responsibility to Kids program, general assistance,
benefits administered by the federal Social Security Administration,
Medi-Cal, and veterans benefits.
   (5) Health services, including assisting parolee clients with
accessing community mental health, medical, and dental treatment.
   (6) Substance abuse services, including assisting parolee clients
with obtaining community substance abuse treatment or related 12-step
program information and locations.
   (7) Income, including developing and implementing a feasible plan
to obtain an income and employment reflecting the highest level of
work appropriate for a reentering offender's abilities and
experience.
   (8) Identification cards, including assisting reentering offenders
with obtaining state identification cards.
   (9) Life skills, including assisting with the development of
skills concerning money management, job interviewing, resume writing,
and activities of daily living.
   (10) Activities, including working with reentering offenders in
choosing and engaging in suitable and productive activities.
   (11) Support systems, including working with reentering offenders
on developing a support system, which may consist of prosocial
friends, family, and community groups and activities, such as
religious activities, recovery groups, and other social events.
   (12) Academic and vocational programs, including assisting
reentering offenders in developing and implementing a realistic plan
to achieve an academic education, or vocational training, or both.
   (13) Discharge planning, including developing postparole plans to
sustain parolees' achievements and goals to  insure 
 ensure  long-term community success.
   (f) The department shall contract for an evaluation of the pilot
program that will assess its effectiveness in reducing recidivism
among offenders transitioning from prison into the community.
   (g) The department shall submit a final report of the findings
from its evaluation of the pilot program to the Legislature and the
Governor no later than July 31, 2017.
   (h) Implementation of this article is contingent on the
availability of funds and the pilot program may be limited in scope
or duration based on the availability of funds.
  SEC. 238.  Section 3056 of the Penal Code is amended to read:
   3056.  (a) Prisoners on parole shall remain under the supervision
of the department but shall not be returned to prison except as
provided in subdivision (b) or as provided by subdivision (c) of
Section 3000.09. A parolee awaiting a parole revocation hearing may
be housed in a county jail while awaiting revocation proceedings. If
a parolee is housed in a county jail, he or she shall be housed in
the county in which he or she was arrested or the county in which a
petition to revoke parole has been filed or, if there is no county
jail in that county, in the housing facility with which that county
has contracted to house jail inmates. Additionally, except as
provided by subdivision (c) of Section 3000.09, upon revocation of
parole, a parolee may be housed in a county jail for a maximum of 180
days per revocation. When housed in county facilities, parolees
shall be under the sole legal custody and jurisdiction of local
county facilities. A parolee shall remain under the sole legal
custody and jurisdiction of the local county or local correctional
administrator, even if placed in an alternative custody program in
lieu of incarceration, including, but not limited to, work furlough
and electronic home detention. When a parolee is under the legal
custody and jurisdiction of a county facility awaiting parole
revocation proceedings or upon revocation, he or she shall not be
under the parole supervision or jurisdiction of the department.
Unless otherwise serving a period of flash incarceration, whenever a
parolee who is subject to this section has been arrested, with or
without a warrant or the filing of a petition for revocation with the
court, the court may order the release of the parolee from custody
under any terms and conditions the court deems appropriate. When
released from the county facility or county alternative custody
program following a period of custody for revocation of parole or
because no violation of parole is found, the parolee shall be
returned to the parole supervision of the department for the duration
of parole.
   (b) Inmates paroled pursuant to Section 3000.1 may be returned to
prison following the revocation of parole by the Board of Parole
Hearings until July 1, 2013, and thereafter by a court pursuant to
Section 3000.08.
   (c) A parolee who is subject to subdivision  (a)
 (a),  but who is under 18 years of  age 
 age,  may be housed in a facility of the Division of
Juvenile  Facilities.   Facilities, Department
of Corrections and Rehabilitation. 
  SEC. 239.  Section 4030 of the Penal Code is amended to read:
   4030.  (a) (1) The Legislature finds and declares that law
enforcement policies and practices for conducting strip or body
cavity searches of detained persons vary widely throughout
California. Consequently, some people have been arbitrarily subjected
to unnecessary strip and body cavity searches after arrests for
minor misdemeanor and infraction offenses. Some present search
practices violate state and federal constitutional rights to privacy
and freedom from unreasonable searches and seizures.
   (2) It is the intent of the Legislature in enacting this section
to protect the state and federal constitutional rights of the people
of California by establishing a statewide policy strictly limiting
strip and body cavity searches.
   (b)  The provisions of this   This 
section  shall apply   applies  only to
prearraignment detainees arrested for infraction or misdemeanor
offenses and to any minor detained prior to a detention hearing on
the grounds that he or she is a person described in Section 300, 601,
or 602 of the Welfare and Institutions Code alleged to have
committed a misdemeanor or infraction offense.  The
provisions of this   This  section  shall
  does  not apply to a person in the custody of the
Secretary of the Department of Corrections and Rehabilitation or the
Director of the Division of Juvenile Justice in the Department of
Corrections and Rehabilitation.
   (c) As used in this section the following definitions 
shall  apply:
   (1) "Body cavity" only means the stomach or rectal cavity of a
person, and vagina of a female person.
   (2) "Physical body cavity search" means physical intrusion into a
body cavity for the purpose of discovering any object concealed in
the body cavity.
   (3) "Strip search" means a search which requires a person to
remove or arrange some or all of his or her clothing so as to permit
a visual inspection of the underclothing, breasts, buttocks, or
genitalia of such person.
   (4) "Visual body cavity search" means visual inspection of a body
cavity.
   (d) Notwithstanding any other law, including Section 40304.5 of
the Vehicle Code, when a person is arrested and taken into custody,
that person may be subjected to patdown searches, metal detector
searches, and thorough clothing searches in order to discover and
retrieve concealed weapons and contraband substances prior to being
placed in a booking cell.
   (e) A person arrested and held in custody on a misdemeanor or
infraction offense, except those involving weapons, controlled
substances, or violence, or a minor detained prior to a detention
hearing on the grounds that he or she is a person described in
Section 300,  601   601,  or 602 of the
Welfare and Institutions Code, except for those minors alleged to
have committed felonies or offenses involving weapons, controlled
substances, or violence, shall not be subjected to a strip search or
visual body cavity search prior to placement in the general jail
population, unless a peace officer has determined there is reasonable
suspicion, based on specific and articulable facts, to believe that
person is concealing a weapon or contraband, and a strip search will
result in the discovery of the weapon or contraband. A strip search
or visual body cavity search, or both, shall not be conducted without
the prior written authorization of the supervising officer on duty.
The authorization shall include the specific and articulable facts
and circumstances upon which the reasonable suspicion determination
was made by the supervisor.
   (f) (1) Except pursuant to the provisions of paragraph (2), a
person arrested and held in custody on a misdemeanor or infraction
offense not involving weapons, controlled substances, or violence,
shall not be confined in the general jail population unless all of
the following are true:
   (A) The person is not cited and released.
   (B) The person is not released on his or her own recognizance
pursuant to Article 9 (commencing with Section 1318) of Chapter 1 of
Title 10 of Part 2.
   (C) The person is not able to post bail within a reasonable time,
not less than three hours.
   (2) A person shall not be housed in the general jail population
prior to release pursuant to the provisions of paragraph (1) unless a
documented emergency exists and there is no reasonable alternative
to that placement. The person shall be placed in the general
population only upon prior written authorization documenting the
specific facts and circumstances of the emergency. The written
authorization shall be signed by the uniformed supervisor of the
facility or by a uniformed watch commander. A person confined in the
general jail population pursuant to paragraph (1) shall retain all
rights to release on citation, his or her own recognizance, or bail
that were preempted as a consequence of the emergency.
   (g) A person arrested on a misdemeanor or infraction offense, or a
minor described in subdivision (b), shall not be subjected to a
physical body cavity search except under the authority of a search
warrant issued by a magistrate specifically authorizing the physical
body cavity search.
   (h) A copy of the prior written authorization required by
subdivisions (e) and (f) and the search warrant required by
subdivision (g) shall be placed in the agency's records and made
available, on request, to the person searched or his or her
authorized representative. With regard to a strip search or visual or
physical body cavity search, the time, date, and place of the
search, the name and sex of the person conducting the search, and a
statement of the results of the search, including a list of items
removed from the person searched, shall be recorded in the agency's
records and made available, upon request, to the person searched or
his or her authorized representative.
   (i) Persons conducting a strip search or a visual body cavity
search shall not touch the breasts, buttocks, or genitalia of the
person being searched.
   (j) A physical body cavity search shall be conducted under
sanitary conditions, and only by a physician, nurse practitioner,
registered nurse, licensed vocational nurse, or emergency medical
technician Level II licensed to practice in this state. A physician
engaged in providing health care to detainees and inmates of the
facility may conduct physical body cavity searches.
   (k) A person conducting or otherwise present or within sight of
the inmate during a strip search or visual or physical body cavity
search shall be of the same sex as the person being searched, except
for physicians or licensed medical personnel.
   (  l  ) All strip, visual, and physical body cavity
searches shall be conducted in an area of privacy so that the search
cannot be observed by persons not participating in the search.
Persons are considered to be participating in the search if their
official duties relative to search procedure require them to be
present at the time the search is conducted.
   (m) A person who knowingly and willfully authorizes or conducts a
strip search or visual or physical body cavity search in violation of
this section is guilty of a misdemeanor.
   (n)  Nothing in this   This  section
shall  not  be construed as limiting the common law or
statutory rights of a person regarding an action for damages or
injunctive relief, or as precluding the prosecution under another law
of a peace officer or other person who has violated this section.
   (o) Any person who suffers damage or harm as a result of a
violation of this section may bring a civil action to recover actual
damages, or one thousand dollars ($1,000), whichever is greater. In
addition, the court may, in its discretion, award punitive damages,
equitable relief as it deems necessary and proper, and costs,
including reasonable attorney's fees.
  SEC. 240.  Section 4031 of the Penal Code is amended to read:
   4031.  (a) This section applies to all minors detained in a
juvenile detention center on the grounds that he or she is a person
described in Section 300, 601, or 602 of the Welfare and Institutions
Code, and all minors adjudged a ward of the court and held in a
juvenile detention center on the grounds he or she is a person
described in Section 300, 601, or 602 of the Welfare and Institutions
Code.
   (b) Persons conducting a strip search or a visual body cavity
search shall not touch the breasts, buttocks, or genitalia of the
person being searched.
   (c) A physical body cavity search shall be conducted under
sanitary conditions, and only by a physician, nurse practitioner,
registered nurse, licensed vocational nurse, or emergency medical
technician Level II licensed to practice in this state. A physician
engaged in providing health care to detainees, wards, and inmates of
the facility may conduct physical body cavity searches.
   (d) A person conducting or otherwise present or within sight of
the inmate during a strip search or visual or physical body cavity
search shall be of the same sex as the person being searched, except
for physicians or licensed medical personnel.
   (e) All strip searches and visual and physical body cavity
searches shall be conducted in an area of privacy so that the search
cannot be observed by persons not participating in the search.
Persons are considered to be participating in the search if their
official duties relative to search procedure require them to be
present at the time the search is conducted.
   (f) A person who knowingly and willfully authorizes or conducts a
strip  searches   search  and visual or
physical body cavity search in violation of this section is guilty of
a misdemeanor.
   (g)  Nothing in this   This  section
shall  not  be construed as limiting the common law or
statutory rights of a person regarding an action for damages or
injunctive relief, or as precluding the prosecution under another law
of a peace officer or other person who has violated this section.
   (h) Any person who suffers damage or harm as a result of a
violation of this section may bring a civil action to recover actual
damages, or one thousand dollars ($1,000), whichever is greater. In
addition, the court may, in its discretion, award punitive damages,
equitable relief as it deems necessary and proper, and costs,
including reasonable attorney's fees.
   (i) This section does not limit the protections granted by Section
4030 to individuals described in subdivision (b) of that section.
  SEC. 241.  Section 5065.5 of the Penal Code is amended to read:
   5065.5.  (a) A person or entity that enters into a contract with a
criminal offender for the sale of the story of a crime for which the
offender was convicted shall notify the California Department of
Corrections and Rehabilitation that the parties have entered into a
contract for sale of the offender's story if both of the following
conditions are met:
   (1) The offender's conviction was for any offense specified in
paragraph (1), except voluntary manslaughter, (2), (3), (4), (5),
(6), (7), (9), (16), (17), (20), (22), (25), (34), or (35) of
subdivision (c) of Section 1192.7.
   (2) Subdivision (b) of Section 340.3 of the Code of Civil
Procedure does not preclude commencement of a civil action against
the criminal offender.
   (b) Within 90 days of being notified, the California Department of
Corrections and Rehabilitation shall notify the victim, or if the
victim cannot be reasonably notified, a member of the victim's
immediate family, who has requested notification of the existence of
a contract described by this section.
   (c) For purposes of this section, "member of  the  victim'
s immediate family" means a spouse, child, parent, sibling,
grandchild, or grandparent.
  SEC. 242.  Section 15003 of the Penal Code is amended to read:
   15003.  Peace officer memorial ceremonies, including the
dedication of the memorial and any subsequent ceremonies, shall be
conducted by the California Peace  Officers  
Officers   ' Memorial  Foundation. 
 Foundation, Inc. 
  SEC. 243.  Section 33880 of the Penal Code is amended to read:
   33880.  (a) A city, county, or city and county, or a state agency
may adopt a regulation, ordinance, or resolution imposing a charge
equal to its administrative costs relating to the seizure,
impounding, storage, or release of a firearm or ammunition.
   (b) The fee under subdivision (a) shall not exceed the actual
costs incurred for the expenses directly related to taking possession
of a firearm or ammunition, storing the firearm or ammunition, and
surrendering possession of the firearm or ammunition to a licensed
firearms dealer or to the owner.
   (c) The administrative costs described in subdivisions (a) and (b)
may be waived by the local or state agency upon verifiable proof
that the firearm or ammunition was reported stolen at the time the
firearm came into the custody or control of the law enforcement
agency.
   (d) The following apply to any charges imposed for administrative
costs pursuant to this section:
   (1) The charges shall only be imposed on the person claiming title
to the firearm or ammunition.
   (2) Any charges shall be collected by the local or state authority
only from the person claiming title to the firearm or ammunition.
   (3) The charges shall be in addition to any other charges
authorized or imposed pursuant to this code.
   (4) A charge  may   shall  not be
imposed for a hearing or appeal relating to the removal, impound,
storage, or release of a firearm or ammunition, unless that hearing
or appeal was requested in writing by the legal owner of the firearm
or ammunition. In addition, the charge may be imposed only upon the
person requesting that hearing or appeal.
   (e) Costs for a hearing or appeal related to the release of a
firearm or ammunition shall not be charged to the legal owner who
redeems the firearm or ammunition, unless the legal owner voluntarily
requests the  post-storage   poststorage 
hearing or appeal. A city, county, city and county, or state agency
shall not require a legal owner to request a  post-storage
  poststorage  hearing as a requirement for release
of the firearm or ammunition to the legal owner.
  SEC. 244.  Section 1490 of the Probate Code is amended to read:
   1490.  Except as set forth in Section 1510.1, when used in any
statute of this state with reference to an adult or to the person of
a married minor, "guardian" means the conservator of that adult or
the conservator of the person in  the  case of the married
minor.
  SEC. 245.  Section 1510.1 of the Probate Code is amended to read:
   1510.1.  (a) (1) With the consent of the proposed ward, the court
may appoint a guardian of the person for an unmarried individual who
is 18 years of age or older, but who has not yet attained 21 years of
 age   age,  in connection with a petition
to make the necessary findings regarding special immigrant juvenile
status pursuant to subdivision (b) of Section 155 of the Code of
Civil Procedure.
   (2) A petition for guardianship of the person of a proposed ward
who is 18 years of age or older, but who has not yet attained 21
years of  age   age,  may be filed by a
relative or any other person on behalf of the proposed ward, or the
proposed ward.
   (b) (1) At the request of, or with the consent of, the ward, the
court may extend an