AMENDED IN ASSEMBLY JUNE 9, 2017

SENATE BILL No. 96

Introduced by Committee on Budget and Fiscal Review

January 11, 2017

An act relating to the Budget Act of 2017. to amend Sections 11104,11106, 11108, and 13324 of, and to repeal Section 11105 of, theElections Code, to amend Section 68203 of the Government Code, toamend Sections 98.7, 226.4, 1197.1, 1287, 1684, 1725.5, 1742.1, 1770,1771.1, 1771.3, 1771.4, 1773.3, 1773.6, 1778, 1780, 1811, 1860, 2065,2675.5, 6310, 6427, 6429, 6431, 6505.5, 7381, and 9060 of, and to addSections 90.6 and 1174.1 to, the Labor Code, to amend Sections 1012,1012.1, 1012.2, 1012.3, 1012.4, 1023, 1025, 1030.1, 1031, 1032, 1034,1035, 1035.05, 1035.1, 1035.2, 1035.3, 1035.4, 1035.5, 1035.6, 1035.7,1036, 1037, 1038, 1038.1, 1038.5, 1039.3, 1042, 1042.1, 1043, 1044,1044.5, 1045, 1046, 1050, 1410, 1412, and 1416 of, to add Sections79.3 and 79.4 to, to repeal Sections 1012.6, 1014, 1015, 1024, 1026,and 1033.2 of, and to repeal and add Sections 1010, 1011, 1033.1, and1051 of, the Military and Veterans Code, to amend Section 4104 of thePublic Contract Code, and to add Chapter 2.8 (commencing with Section7286.40) to Part 1.7 of Division 2 of the Revenue and Taxation Code,relating to state government, and making an appropriation therefor, totake effect immediately, bill related to the budget.

legislative counsel’s digest

SB 96, as amended, Committee on Budget and Fiscal Review. BudgetAct of 2017. State Government.

(1)  The California Constitution enables electors to initiate a recallof state officers by gathering sufficient signatures within a 160-dayperiod. Upon certification by the Secretary of State that this requirement

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has been met, the California Constitution authorizes the Governor tocall a recall election within 60 to 80 days or to consolidate it with aregularly scheduled election that is within 180 days of the certificationof the signatures. The California Constitution authorizes the Legislatureto provide for recall elections, and existing statutes establish aprocedural framework for certifying recall petitions and holding recallelections. Existing law requires the Secretary of State, within 10 daysof receiving from one or more county elections officials a petitioncertified to have been signed by the stated number of registered voters,to transmit to each county elections official a certificate showing thatfact, and showing the total number of signatures collected by theproponents.

This bill would instead require the Secretary of State to notify a countyelections official that a petition received a sufficient number ofsignatures to initiate a recall election. After this notice has beenprovided, the bill would provide for a period of 30 business days inwhich voters who signed the petition may withdraw their signatures.No later than 10 days after that period ends, the bill would requirecounty elections officials to report to the Secretary of State the totalnumber of signatures that were withdrawn, and would require that thisprocess continue until the Secretary of State determines that there is asufficient number of verified signatures, not including withdrawnsignatures, to initiate a recall election. If a sufficient number of verifiedsignatures is ultimately obtained, the bill would require the Departmentof Finance, in consultation with affected elections officials and theSecretary of State, to estimate the costs of the recall election if it is heldas a special election or as part of the next regularly scheduled election.The bill would prohibit the Secretary of State from certifying thesufficiency of the signatures until the Joint Legislative Budget Committeehas had 30 days to review and comment on the Department of Finance’sestimate of the costs of the recall election. Following that period, thebill would require the Department of Finance’s estimate to be postedon the Secretary of State’s Internet Web site, and would authorize theDepartment of Finance to direct the Controller to remit specified costsof conducting the recall election to affected counties. The bill wouldappropriate $5,000,000 for this purpose.

Existing law requires local elections officials to submit signaturesgathered by proponents of a recall to the Secretary of State at leastevery 30 days. Existing law requires that signatures submitted at theseintervals or after the deadline for submission of all signatures be verified

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according to specified procedures, including the use of a randomsampling technique, and, as specified, the examination and verificationof each signature filed.

This bill would repeal the provisions that allow for the use of randomsampling as a method of verifying signatures for a recall petition,thereby requiring the examination and verification of each signaturefiled.

The bill would state the Legislature’s intent that these provisionsapply retroactively.

By increasing the duties of local officials, this bill would impose astate-mandated local program.

(2)  Existing law authorizes the Legislature to prescribe compensationfor judges or courts of record. Existing law specifies the salaries ofjustices and judges of the Supreme Court, the courts of appeal, andtrial courts, and provides for the annual increase of those salaries bythe amount that is produced by multiplying the judge’s or justice’scurrent salary by the average percentage salary increase for the currentfiscal year for California state employees, as provided.

This bill would, beginning on July 1, 2016, include a salary increaseoccurring on or after July 1 of any fiscal year for California stateemployees that is made effective July 1 of that fiscal year in thecalculation of the average percentage salary increase for that fiscalyear, retroactive to July 1 of that fiscal year. The bill would also requirethe Department of Human Resources to report any retroactivepercentage salary increase to the State Controller in a pay letter.

(3)  Existing law establishes, within the Labor and WorkforceDevelopment Agency, the Department of Industrial Relations, which isunder the control of the Director of Industrial Relations, and establisheswithin the department the Division of Labor Standards Enforcement,which is under the control of the Labor Commissioner. Existing lawvests with the Labor Commissioner the authority to receive, investigate,and hear employee complaints regarding the payment of wages andother employment-related issues and authorizes citations to be servedpersonally or by registered mail. Existing law requires the commissionerto determine if a violation has occurred and to notify the complainantand respondent of his or her determination not later than 60 days afterfiling of the complaint. Existing law requires the commissioner, if heor she determines a violation has occurred, to direct the respondent tocease or desist from the violation and to take action deemed necessaryto remedy the violation. Existing law requires the commissioner to bring

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an action promptly in an appropriate court against the respondent ifthe respondent does not comply with the order within 10 working days.Existing law authorizes the complainant or respondent to appeal thecommissioner’s determination to the director within 10 days ofnotification of the commissioner’s determination and requires thedirector’s determination to be the commissioner’s determination.

This bill would authorize citations to additionally be served in thesame manner for service of a summons and by certified mail with returnreceipt requested. The bill would require the commissioner to notify acomplainant and respondent of his or her determination not later thanone year after the filing of a complaint. The bill would instead requirethe commissioner to bring an action in an appropriate court againstthe respondent if the respondent does not comply with the order within30 working days and would provide that the commissioner’s actiondoes not accrue until a respondent fails to comply with an order formore than 30 days. The bill would require the commissioner tocommence an action within 3 years of its accrual. The bill wouldauthorize a court to determine and assess reasonable attorney’s feesincurred by the commissioner in an action in which the commissioneris the prevailing party. The bill would provide that only certaincomplaints are subject to administrative appeal by the complainant, asspecified, and would make determinations by the commissioner for allother complaints final and not subject to administrative appeal. Thebill would authorize the commissioner to, among other things, close aninvestigation if a complainant files an action in court against anemployer based on the same or similar facts as a complaint submittedto the commissioner. The bill would, in the case of certain investigationsby the field enforcement unit, provide that the date of a written noticeby the commissioner to an employer that an investigation hascommenced is the date an action has commenced for purposes of anystatute of limitations, as specified. The bill would, except as provided,prohibit any employer from introducing as evidence, in an administrativeproceeding contesting a citation or writ under certain provisions oflaw, books, documents, or records that are not provided pursuant to aduly served written request by the commissioner, as specified.

(4)  Existing law requires farm labor contractors to be licensed bythe commissioner, requires the licensee to deposit a surety bond withthe commissioner, and requires a portion of the license fee be depositedinto the Farmworker Remedial Account. Existing law requires the LaborCommissioner, upon appropriation by the Legislature, to disburse funds

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from the Farmworker Remedial Account to persons determined by thecommissioner to have been damaged by those licensees if the damageexceeds the amount of a licensee’s bond or surety. Existing law regulatesvarious aspects of the car washing and polishing industry and requiresthe commissioner to collect certain fees to be deposited in the Car WashWorker Restitution Fund and disburses moneys in the fund, uponappropriation by the Legislature, to the commissioner to be paid topersons determined by the commissioner to have been damaged by thefailure to pay wages and penalties and other damages. Existing lawrequires persons engaged in the business of garment manufacturing toregister with the commissioner and pay an annual registration fee.Existing law requires a portion of that registration fee be depositedinto a separate account to be disbursed by the commissioner to personsdetermined by the commissioner to have been damaged by failure topay wages and benefits by any garment manufacturer, jobber,contractor, or subcontractor after exhausting a bond, if any.

This bill would provide that disbursement of these funds shall bemade pursuant to a claim for recovery in accordance with proceduresprescribed by the commissioner and would make other conformingchanges. The bill would require the commissioner to disburse fundsfrom the Farmworker Remedial Account to persons determined by thecommissioner to have been damaged by a licensee regardless if thedamage exceeds the amount of the licensee’s bond or if the surety failsto pay the full amount of the licensee’s bond. The bill would requirethe commissioner to disburse funds from the separate account to personsdamaged by a manufacturer, jobber, contractor, or subcontractorregardless if the damage exceeds a bond, if any.

(5)  Existing law prohibits a person from discharging or in anymanner discriminating against an employee because the employee hasdone certain things, including making a complaint to the division.Existing law provides that any employee who is discharged, threatenedwith discharge, demoted, suspended, or in any manner discriminatedagainst is entitled to reinstatement and reimbursement for lost wagesor benefits and makes it a misdemeanor for an employer to willfullyrefuse to rehire, promote, or otherwise restore an employee who hasbeen determined to be eligible for rehiring or promotion, as specified.

This bill would additionally prohibit a person from discharging orin any manner discriminating against an employee because theemployee, among other things, reported a work-related fatality, injury,

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or illness. By expanding the scope of an existing crime, this bill wouldimpose a state-mandated local program.

(6)  Existing law, for contracts entered into on or after April 1, 2015,requires that a contractor or subcontractor, to be eligible to bid on, belisted on a bid proposal for, or perform work on, any public work,register with the Department of Industrial Relations. This registrationrequires that the contractor or subcontractor provide certaindocumentation, including proof of proper licensure and proof ofworkers’ compensation coverage, and pay a $300 fee and an annualrenewal fee.

This bill would apply the above requirement regardless of when thecontract for public work was entered. The bill would increase the feeto $400 and allow a contractor to register or renew for up to 3 yearsat a time. The bill would also exempt certain projects, as specified. Thebill, among other things, would impose various civil penalties, asspecified, for each day of work performed in violation of the registrationrequirement and would require the deposit of those penalties in theState Public Works Enforcement Fund, to be used as specified. The billwould require the Labor Commissioner to issue and serve a stop orderprohibiting the use of an unregistered contractor or unregisteredsubcontractor, as specified. The bill would make the violation of a stoporder a misdemeanor. By creating a new crime, the bill would imposea state-mandated local program. The bill would also make varioustechnical, nonsubstantive changes.

(7)  Existing law requires the Labor Commissioner to issue a civilwage and penalty assessment to a contractor or subcontractor, or both,if the Labor Commissioner determines, after investigation, that thecontractor or subcontractor, or both, violated the laws regulating publicworks contracts, including the payment of prevailing wages. Existinglaw permits the affected contractor or subcontractor to obtain reviewof a civil wage and penalty assessment or a notice of withholding, asspecified. Existing law provides that, after 60 days following the serviceof a civil wage and penalty assessment or notice, the affected contractor,subcontractor, and surety on a bond issued to secure the payment ofwages, as provided, become liable for liquidated damages in an amountequal to the amount of unpaid wages and authorizes the Director ofIndustrial Relations (director) to waive payment of the liquidateddamages, as specified.

This bill would delete the director’s authorization to waive paymentof the liquidated damages.

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(8)  Existing law creates the State Public Works Enforcement Fundand requires that moneys in the fund be used only for certain purposes,including, among other things, the reasonable costs of administeringthe registration of contractors and subcontractors, as specified. Existinglaw authorizes a short-term loan from the Labor and WorkforceDevelopment Fund to provide adequate cashflow for those purposes.

This bill would instead authorize a short-term loan from the LaborEnforcement and Compliance Fund for those purposes.

(9)  Existing law provides that various requirements are applicableto all public work projects including, among other things, that the callfor bids and contract documents specify that the project is subject tocompliance monitoring and enforcement by the Department of IndustrialRelations.

This bill would exempt a contractor or subcontractor who is notregistered, as specified, and who is performing work on a project forwhich registration is not required, as specified, from the requirementto furnish certain records but would require the contractor orsubcontractor to retain those records for at least 3 years aftercompletion of the work.

(10)  Existing law defines the term “public works” for purposes ofrequirements regarding the payment of prevailing wages, the regulationof working hours, and the securing of workers’ compensation for publicworks projects. Existing law requires an awarding agency to providenotice, containing certain information, to the Department of IndustrialRelations of any public works contract subject to the public worksrequirements, within 5 days of the award, as provided.

This bill, for certain projects, would instead require an awardingagency to provide the above notice within 30 days of the award, exceptas specified. The bill would also require the notice to include, amongother things, the contractor’s name and registration number. The billwould require civil penalties be imposed on an awarding agency thatfails to provide the notice described above and would authorize theLabor Commissioner to issue a citation for civil penalties to theawarding body that fails to provide the required notice. The bill wouldmake an awarding agency ineligible to receive state funding or financialassistance for one year, as specified, whenever the Labor Commissionerdetermines that an awarding agency has willfully violated certainrequirements. The bill would provide that those penalties be depositedin the State Public Works Enforcement Fund and be used as specified.

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(11)  The California Occupational Safety and Health Act of 1973authorizes the Division of Occupational Safety and Health to administerlaws and enforce labor standards, orders, or special orders in orderto protect the life and safety of employees. Under that law, an employerwho violates an occupational safety or health standard, order, or specialorder or a prohibition against asbestos spraying that is specificallydetermined not to be of a serious nature may be assessed a civil penaltyof up to $7,000 per violation. Existing law also authorizes a civil penaltyof up to $7,000 for violating any of the occupational posting,recordkeeping, or notice requirements. That law further authorizes theimposition of a civil penalty of not more than $70,000 per violationupon an employer who willfully or repeatedly violates any of theseoccupational safety or health standards.

This bill would increase those civil penalty amounts to up to $12,471for each violation that is not of a serious nature and each violation ofthe posting, recordkeeping, or notice requirements, and up to $124,709,but not less than $8,908, for each willful or repeated violation of anyof these occupational safety or health standards or orders. The billwould also permit those maximum penalty amounts to be increased onJanuary 1, 2018, and each January 1 thereafter based on the percentagein the Consumer Price Index for All Consumers (CPI-U), as specified.The bill would also exempt any regulation issued increasing thosepenalty amounts based on the CPI-U from the rulemaking provisionsof the Administrative Procedure Act, but would require the filing ofthose regulations with the Office of Administrative Law for publicationin the California Code of Regulations.

(12)  Existing law imposes specified penalties on persons who owncommercial or industrial buildings or structures, employers who engagein or contract for asbestos-related work, and contractors, publicagencies, or employees who contract for or begin asbestos-related workwithout first determining if asbestos-containing material is present.That law imposes both criminal penalties, for knowing or negligentviolations and willful violations resulting in death, serious injury orillness, or serious exposure, and civil penalties of no more than $2,000for each violation and, not more than $20,000 for each willful or repeatviolation.

This bill would delete the above civil penalties for violation of thoseasbestos safety provisions.

(13)  Existing law establishes prescribed civil penalties for violationsof crane safety standards, orders, and special orders. Under existing

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law, if an employer violates any tower crane standard, order, or specialorder, and that violation is serious, the employer must be assessed acivil penalty of not less than $1,000 nor more than $2,000 for eachserious violation.

This bill would delete the $2,000 maximum on that penalty amount.(14)  Existing law establishes prescribed civil penalties for violations

of standards and special orders regulating the use of carcinogens, andspecifies that a civil penalty assessed against an employer for a seriousviolation involving the use of a carcinogen, except in the case of arepeated serious violation, is $2,000.

This bill would delete that $2,000 penalty limit amount, and wouldmake related conforming changes to those civil penalty provisions forviolations of carcinogen standards and special orders.

(15)  Existing law provides for the establishment and operation ofveterans’ homes at various sites, and provides for an administrator ofeach home, as specified. Existing law establishes the duties of theDepartment of Veterans Affairs with regard to the establishment andregulation of veterans’ homes.

This bill would revise and recast various provisions relating toveterans’ homes, including expanding the definition of the veterans’home system to incorporate multiple home locations, clarifying andauthorizing membership for domestic partners, updating and replacingobsolete references and provisions, and making other technical changes.The bill would authorize the department to adopt, amend, or repealregulations concerning the administration and operation of theVeterans’ Home of California, including emergency regulations, asspecified. The bill would require the department to take specified actionsto ensure that medical or other facilities under its jurisdiction satisfyall applicable federal and state and local licensing, certification, andother approval requirements. The bill would require the department todevelop and maintain clinical policies and procedures for the homes,as prescribed. The bill would require the department to establish a pageon its Internet Web site that would include specified information andwould include the ability for a person to apply for residency in a homeand check his or her application and wait list status.

(16)  Existing law authorizes the Department of Veterans Affairs todesign, develop, construct, and equip a state-owned and state-operatedSouthern California Veterans Cemetery, at the site of the former MarineCorps Air Station El Toro.

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This bill would instead authorize the department to acquire, study,design, develop, construct, and equip a state-owned and state-operatedSouthern California Veterans Cemetery at the Bake Parkway site.

(17)  Existing law requires all moneys received for the study, design,development, construction, and equipment of the cemetery to bedeposited in the Southern California Veterans Cemetery MasterDevelopment Fund, and requires all moneys received for themaintenance of the cemetery to be deposited in the Southern CaliforniaVeterans Cemetery Perpetual Maintenance Fund.

The bill would require all moneys received for the acquisition andstudy of the cemetery to be deposited in the California VeteransCemetery Master Development Fund, and would require all moneysreceived for operation to be deposited in the Southern CaliforniaVeterans Cemetery Perpetual Maintenance Fund.

(18)  Existing law authorizes the cemetery administrator to acceptdonations for the maintenance, beautification, and repair of the cemeteryto be placed in the Southern California Veterans Cemetery DonationsFund, and continuously appropriates moneys in the fund for thosepurposes.

The bill would also authorize the cemetery administrator to acceptdonations for the design and construction of the cemetery, or toreimburse the state for these costs, and would require the administratorto deposit those donations into the Southern California VeteransCemetery Donations Fund. The bill would make donations for the designor construction of the cemetery or for the reimbursement of specifiedstate expenses available upon appropriation of those funds by theLegislature.

(19)  Existing law authorizes cities and counties, subject to certainlimitations and approval requirements, to levy a transactions and usetax for general or specific purposes, in accordance with the proceduresand requirements set forth in the Transactions and Use Tax Law,including a requirement that the combined rate of all taxes that maybe imposed in accordance with that law in the county not exceed 2%,and a requirement that the city or county contract with the State Boardof Equalization to perform all functions incident to the administrationand operation of the ordinance imposing the tax.

This bill would find and declare that the transactions and use taxordinance approved by the voters of the County of Los Angeles asMeasure H on March 7, 2017, was authorized under existing law. Thebill would require the board to enter into a contract with the County

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of Los Angeles to perform all functions incident to the administrationand operation of that ordinance. The bill would require the contract toensure the collection of the tax commences on October 1, 2017.

(20)  This bill would make legislative findings and declarations as tothe necessity of a special statute for the County of Los Angeles.

(21)  The California Constitution requires the state to reimburse localagencies and school districts for certain costs mandated by the state.Statutory provisions establish procedures for making thatreimbursement.

This bill would provide that with regard to certain mandates noreimbursement is required by this act for a specified reason.

With regard to any other mandates, this bill would provide that, ifthe Commission on State Mandates determines that the bill containscosts so mandated by the state, reimbursement for those costs shall bemade pursuant to the statutory provisions noted above.

(22)  This bill would declare that it is to take effect immediately as abill providing for appropriations related to the Budget Bill.

This bill would express the intent of the Legislature to enact statutorychanges relating to the Budget Act of 2017.

Vote: majority. Appropriation: no yes. Fiscal committee: no

yes. State-mandated local program: no yes.

The people of the State of California do enact as follows:

line 1 SECTION 1. The Legislature finds and declares all of the line 2 following: line 3 (a)  Pursuant to Section 16 of Article II of the California line 4 Constitution, the Legislature is required to provide for the line 5 circulation, filing, and certification of petitions, nomination of line 6 candidates, and the recall election. line 7 (b)  Recall elections are extraordinary elections in which an line 8 official may be removed by fewer voters than the number of voters line 9 who elected that official.

line 10 (c)  Before a recall election is held, any and all steps should be line 11 employed to ensure the accuracy and validity of the petition line 12 process. line 13 (d)  It is the Legislature’s intent that the changes made by this line 14 act in the Elections Code apply retroactively to recalls that are line 15 pending at any stage at the time of the act’s enactment, and to

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line 1 provide funds to reimburse counties for additional unexpected line 2 costs as a result. line 3 SEC. 2. Section 11104 of the Elections Code is amended to line 4 read: line 5 11104. (a)  The elections official, 30 days after a recall has line 6 been initiated and every 30 days thereafter, or more frequently at line 7 the discretion of the elections official, shall report to the Secretary line 8 of State all of the following: line 9 (1)  The number of signatures submitted on the recall petition

line 10 sections for the period ending five days previously, excluding line 11 Saturdays, Sundays, and holidays. line 12 (2)  The cumulative total of all signatures received since the time line 13 the recall was initiated and through the period ending five days line 14 previously, excluding Saturdays, Sundays, and holidays. line 15 (3)  The number of valid signatures, verified pursuant to line 16 subdivision (b), submitted during the previous reporting period, line 17 and of valid signatures verified during the current reporting period. line 18 (4)  The cumulative total of all valid signatures received since line 19 the time the recall was initiated and ending five days previously, line 20 excluding Saturdays, Sundays, and holidays. line 21 (b)  Signatures shall be verified in the same manner set forth in line 22 subdivisions (b), (c), (d), (e), (f), and (g) subdivision (b) of Section line 23 9030, and in Section 9031. line 24 (c)  The elections official, at the end of each 30-day period, shall line 25 attach to the petition a form provided by the Secretary of State, line 26 properly dated, that includes the information required by line 27 subdivision (a), and submit a copy of the petition, except as to the line 28 signatures appended thereto, to the Secretary of State and file a line 29 copy of the form in his or her office. line 30 (d)  Notwithstanding subdivisions (a) and (b), and Section 11106, line 31 the elections official shall not be required to verify signatures on line 32 a recall petition until the signatures submitted equal at least 10 line 33 percent of the total signatures required to qualify the recall for the line 34 ballot, as determined by the Secretary of State. line 35 SEC. 3. Section 11105 of the Elections Code is repealed. line 36 11105. Upon each submission, if fewer than 500 signatures line 37 are submitted to the elections official, he or she shall count the line 38 number of signatures and submit those results to the Secretary of line 39 State. If 500 or more signatures are submitted, the elections official line 40 may verify, using a random sampling technique, either 3 percent

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line 1 of the signatures submitted, or 500, whichever is greater. The line 2 random sample of signatures to be verified shall be drawn in a line 3 manner that every signature filed with the elections official shall line 4 be given an equal opportunity to be included in the sample. Upon line 5 completion of the signature verification, the elections official shall line 6 report the results to the Secretary of State pursuant to Section line 7 11104. line 8 SEC. 4. Section 11106 of the Elections Code is amended to line 9 read:

line 10 11106. Immediately after the deadline for submission of all line 11 signatures, the elections official shall verify any remaining line 12 signatures in the same manner set forth in subdivisions (b), (c), line 13 (d), (e), (f), and (g) subdivision (b) of Section 9030, and in Section line 14 9031. This verification shall apply to all signatures submitted to line 15 each county elections official. line 16 SEC. 5. Section 11108 of the Elections Code is amended to line 17 read: line 18 11108. (a)  When the Secretary of State has received from one line 19 or more county elections officials a petition certified to have been line 20 signed by the stated a sufficient number of registered voters, to line 21 initiate a recall election, he or she shall, within 10 days, transmit line 22 to notify each county elections official a certificate showing that line 23 fact, and showing the total number of signatures collected by the line 24 proponents. The county elections official shall file the certificate line 25 in his or her office. of that fact. line 26 (b)  Notwithstanding any other law, any voter who has signed line 27 a recall petition under this chapter shall have his or her signature line 28 withdrawn from the petition upon the voter filing a written request line 29 that includes the voter’s name, residence address, and signature line 30 with the elections official within thirty business days of the line 31 Secretary of State’s notice provided by subdivision (a). line 32 (c)  No later than ten business days after the withdrawal period line 33 provided by subdivision (b), the elections officials shall report to line 34 the Secretary of State the total number of signatures that have line 35 been withdrawn pursuant to subdivision (b). The Secretary of State line 36 shall promptly make a second preliminary determination of whether line 37 the petitions have been signed by the sufficient number of registered line 38 voters to initiate a recall election. If the petitions have not been line 39 signed by a sufficient number of registered voters, the Secretary line 40 of State shall notify the county elections officials to continue to

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line 1 verify signatures pursuant to Section 11104. The Secretary of State line 2 and elections officials shall continue to make the notifications and line 3 reports required by this section until such time as the Secretary line 4 of State determines that there is a sufficient number of verified line 5 signatures, not including withdrawn signatures, to initiate a recall line 6 election. line 7 (d)  Upon receipt of the notification from the Secretary of State line 8 required in subdivision (c) that there is a sufficient number of line 9 verified signatures, not including withdrawn signatures, to initiate

line 10 a recall election, the Department of Finance shall, in consultation line 11 with the affected elections officials and the Secretary of State, line 12 estimate the costs of the recall election, including expenses for line 13 verifying signatures, printing ballots and voter information guides, line 14 and operating polling places. The Department shall estimate the line 15 costs that would be incurred if (1) the recall election is held as a line 16 special election and (2) the recall election is consolidated with the line 17 next regularly scheduled election pursuant to subdivision (b) of line 18 Section 15 of Article II of the California Constitution. The line 19 Department of Finance shall submit the estimate to the Governor, line 20 the Secretary of State, and the Chairperson of the Joint Legislative line 21 Budget Committee. line 22 (e)  Notwithstanding any other law, the Secretary of State shall line 23 not certify the sufficiency of the signatures under Section 11109 line 24 until the Joint Legislative Budget Committee has had 30 days to line 25 review and comment on the estimate submitted by the Department line 26 of Finance pursuant to subdivision (d). line 27 (f)  The Secretary of State shall publish a copy of the estimate line 28 submitted by the Department of Finance on the Secretary of State’s line 29 public Internet Web site no later than 21 business days after the line 30 time for the Joint Legislative Budget Committee to review the line 31 estimate has expired. line 32 (g)  After the time for the Joint Legislative Budget Committee line 33 to review the estimate has expired, the Director of Finance, or his line 34 or her designee, shall direct the Controller to remit to the elections line 35 official from those funds designated for that purpose in any budget line 36 act or other measure an amount that takes into consideration the line 37 amount of funds available for the purpose, the number of elections line 38 officials expected to conduct state recall elections held in that line 39 fiscal year, the Department of Finance’s estimates of the costs of

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line 1 each elections official to conduct each state recall election, and line 2 the amount reasonably necessary to conduct such recall election. line 3 SEC. 6. Section 11324 of the Elections Code is amended to line 4 read: line 5 11324. (a)  The official responsible for preparing the ballot line 6 shall, at least 10 days before the recall election, mail a voter line 7 information guide to each registered voter of the electoral line 8 jurisdiction of the officer sought to be recalled. line 9 (b)  In the case of a recall of a state officer, the official

line 10 responsible for preparing the voter information guide pursuant to line 11 subdivision (a) shall include in the voter information guide the line 12 report of estimated costs of the recall prepared by the Department line 13 of Finance pursuant to subdivision (d) of Section 11108. line 14 SEC. 7. Section 68203 of the Government Code is amended to line 15 read: line 16 68203. (a)  On July 1, 1980, and on July 1 of each year line 17 thereafter, the salary of each justice and judge named in Sections line 18 68200 to 68202, inclusive, and 68203.1 shall be increased by the line 19 amount that is produced by multiplying the then current salary of line 20 each justice or judge by the average percentage salary increase for line 21 the current fiscal year for California state employees; provided, line 22 that in any fiscal year in which the Legislature places a dollar line 23 limitation on salary increases for state employees the same line 24 limitation shall apply to judges in the same manner applicable to line 25 state employees in comparable wage categories. line 26 (b)  (1)  For the purposes of this section, average percentage line 27 salary increases for California state employees shall be those line 28 increases as reported by the Department of Human Resources to line 29 the State Controller in a pay letter. line 30 (2)  For purposes of this section the average percentage salary line 31 increase for the current fiscal year for California state employees line 32 shall be reduced by the average percentage salary decrease resulting line 33 from the furlough or enrollment in a personal leave program of line 34 California state employees in that current fiscal year, as determined line 35 by the Department of Human Resources, in consultation with the line 36 Department of Finance. line 37 (3)  If the reduction required pursuant to paragraph (2) results line 38 in a percentage that is equal to or less than zero, the salary of each line 39 justice and judge named in Sections 68200 to 68202, inclusive, line 40 and 68203.1 shall not be increased.

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line 1 (4)  Persons working for the California State University system, line 2 the judicial branch, or the Legislature are not considered California line 3 state employees for purposes of this subdivision. line 4 (c)  For purposes of this section, beginning on July 1, 2016, a line 5 salary increase occurring on or after July 1 of any fiscal year for line 6 California state employees that is made effective on July 1 of that line 7 fiscal year shall be included in the calculation of the average line 8 percentage salary increase for that fiscal year, retroactive to July line 9 1 of that fiscal year. The Department of Human Resources shall

line 10 report any retroactive average percentage salary increase to the line 11 State Controller in a pay letter. line 12 (c) line 13 (d)  The salary increase for judges and justices made on July 1, line 14 1980, for the 1980–81 fiscal year, shall in no case exceed 5 percent. line 15 (d) line 16 (e)  On January 1, 2001, the salary of the justices and judges line 17 named in Sections 68200 to 68202, inclusive, shall be increased line 18 by the amount that is produced by multiplying the salary of each line 19 justice and judge as of December 31, 2000, by 8 1⁄2 percent. line 20 (e) line 21 (f)  On January 1, 2007, the salary of the justices and judges line 22 identified in Sections 68200 to 68202, inclusive, and 68203.1 shall line 23 also be increased by the amount that is produced by multiplying line 24 the salary of each justice and judge as of December 31, 2006, by line 25 8.5 percent. line 26 (f) line 27 (g)  Notwithstanding Article 2 (commencing with Section 3287) line 28 of Chapter 1 of Title 2 of Part 1 of Division 4 of the Civil Code, line 29 Chapter 5 (commencing with Section 685.010) of Division 1 of line 30 Title 9 of Part 2 of the Code of Civil Procedure, any other law, or line 31 any court judgment that has not been finally determined upon line 32 appeal as of the date this subdivision is enacted, any award of line 33 interest on an order to pay unpaid salary or judicial retiree benefits line 34 pursuant to this section shall not exceed the rate of interest accrued line 35 on moneys in the Pooled Money Investment Account. line 36 SEC. 8. Section 90.6 is added to the Labor Code, to read: line 37 90.6. (a)  In the case of an investigation by the field line 38 enforcement unit, the date of a written notice by the Labor line 39 Commissioner to an employer, or other person or entity that may line 40 be liable under a provision of this code, that an investigation has

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line 1 commenced shall be deemed the date an action has commenced line 2 for purposes of any statute of limitations applicable to determining line 3 the period of time for which wages, penalties, damages, or other line 4 amounts may be assessed by the Labor Commissioner, which will line 5 then be tolled for a period of 12 months. After expiration of the line 6 12-month period, the time under the applicable statute of line 7 limitations will resume running. The notice provided by the Labor line 8 Commissioner pursuant to this section shall identify the employer line 9 or other person or entity subject to investigation, the time period

line 10 covered by the investigation, and a reference to this section that line 11 shall constitute notice of the potential claims under the identified line 12 investigation. line 13 (b)  Subdivision (a) shall apply to the following: line 14 (1)  Sections 558 and 1197.1. line 15 (2)  Unpaid minimum and overtime wages under Sections 510, line 16 1194, and 1197. line 17 (3)  Any applicable wage order of the Industrial Welfare line 18 Commission. line 19 (4)  Any applicable local minimum wage or overtime law. line 20 (5)  Wages exceeding minimum wages subject to determination line 21 under Section 1195.5. line 22 (6)  Penalty wages for late payment under Section 203. line 23 (7)  Liquidated damages under Section 1194.2. line 24 (8)  Itemized wage statements under Section 226. line 25 (9)  Compensation for rest and recovery periods and line 26 nonproductive time for piece rate employees under Section 226.2. line 27 (10)  Meal, rest, and recovery periods under Section 226.7. line 28 (11)  Claims under Section 2810.3. line 29 (12)  Expense reimbursements under Section 2802. line 30 SEC. 9. Section 98.7 of the Labor Code is amended to read: line 31 98.7. (a)  Any person who believes that he or she has been line 32 discharged or otherwise discriminated against in violation of any line 33 law under the jurisdiction of the Labor Commissioner may file a line 34 complaint with the division within six months after the occurrence line 35 of the violation. The six-month period may be extended for good line 36 cause. The complaint shall be investigated by a discrimination line 37 complaint investigator in accordance with this section. The Labor line 38 Commissioner shall establish procedures for the investigation of line 39 discrimination complaints. A summary of the procedures shall be line 40 provided to each complainant and respondent at the time of initial

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line 1 contact. The Labor Commissioner shall inform complainants line 2 charging a violation of Section 6310 or 6311, at the time of initial line 3 contact, of his or her right to file a separate, concurrent complaint line 4 with the United States Department of Labor within 30 days after line 5 the occurrence of the violation. line 6 (b)  Each complaint of unlawful discharge or discrimination line 7 shall be assigned to a discrimination complaint investigator who line 8 shall prepare and submit a report to the Labor Commissioner based line 9 on an investigation of the complaint. The Labor Commissioner

line 10 may designate the chief deputy or assistant Labor Commissioner line 11 or the chief counsel to receive and review the reports. The Labor line 12 Commissioner or his or her designee shall receive and review the line 13 reports. The investigation shall include, where appropriate, line 14 interviews with the complainant, respondent, and any witnesses line 15 who may have information concerning the alleged violation, and line 16 a review of any documents that may be relevant to the disposition line 17 of the complaint. The identity of a witness shall remain confidential line 18 unless the identification of the witness becomes necessary to line 19 proceed with the investigation or to prosecute an action to enforce line 20 a determination. The investigation report submitted to the Labor line 21 Commissioner or designee shall include the statements and line 22 documents obtained in the investigation, and the findings of the line 23 investigator concerning whether a violation occurred. The Labor line 24 Commissioner may hold an investigative hearing whenever the line 25 Labor Commissioner determines, after review of the investigation line 26 report, determines that a hearing is necessary to fully establish the line 27 facts. In the hearing the investigation report shall be made a part line 28 of the record and the complainant and respondent shall have the line 29 opportunity to present further evidence. The Labor Commissioner line 30 shall issue, serve, and enforce any necessary subpoenas. If a line 31 complainant files an action in court against an employer based line 32 on the same or similar facts as a complaint made under this line 33 section, the Labor Commissioner may, at his or her discretion, line 34 close the investigation. If a complainant has already challenged line 35 his or her discipline or discharge through the State Personnel line 36 Board, or other internal governmental procedure, or through a line 37 collective bargaining agreement grievance procedure that line 38 incorporates antiretaliation provisions under this code, the Labor line 39 Commissioner may reject the complaint.

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line 1 (c)  If the Labor Commissioner determines a violation has line 2 occurred, he or she shall notify the complainant and respondent line 3 and direct the respondent to cease and desist from the any violation line 4 and take any action deemed necessary to remedy the violation, line 5 including, where appropriate, rehiring or reinstatement, line 6 reimbursement of lost wages and interest thereon, payment of line 7 penalties, payment of reasonable attorney’s fees associated with line 8 any hearing held by the Labor Commissioner in investigating the line 9 complaint, and the posting of notices to employees. If the

line 10 respondent does not comply with the order within 10 working 30 line 11 days following notification of the Labor Commissioner’s line 12 determination, the Labor Commissioner shall bring an action line 13 promptly in an appropriate court against the respondent. An action line 14 by the Labor Commissioner seeking injunctive relief, line 15 reimbursement of lost wages and interest thereon, payment of line 16 penalties, and any other appropriate relief, shall not accrue until line 17 a respondent fails to comply with the order for more than 30 days line 18 following notification of the commissioner’s determination. The line 19 Labor Commissioner shall commence an action within three years line 20 of its accrual, regardless of whether the commissioner seeks line 21 penalties in the action. If the Labor Commissioner fails to bring line 22 an action in court promptly, the complainant may bring an action line 23 against the Labor Commissioner in any appropriate court for a line 24 writ of mandate to compel the Labor Commissioner to bring an line 25 action in court against the respondent. If the complainant prevails line 26 in his or her action for a writ, the court shall award the complainant line 27 court costs and reasonable attorney’s fees, notwithstanding any line 28 other law. Regardless of any delay in bringing an action in court, line 29 the Labor Commissioner shall not be divested of jurisdiction. In line 30 any action, the court may permit the claimant to intervene as a line 31 party plaintiff to the action and shall have jurisdiction, for cause line 32 shown, to restrain the violation and to order all appropriate relief. line 33 Appropriate relief includes, but is not limited to, rehiring or line 34 reinstatement of the complainant, reimbursement of lost wages line 35 and interest thereon, and any other compensation or equitable relief line 36 as is appropriate under the circumstances of the case. The Labor line 37 Commissioner shall petition the court for appropriate temporary line 38 relief or restraining order unless he or she determines good cause line 39 exists for not doing so. If the Labor Commissioner is a prevailing line 40 party in an enforcement action pursuant to this section, the court

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line 1 shall determine the reasonable attorney’s fees incurred by the line 2 Labor Commissioner in prosecuting the enforcement action and line 3 assess that amount as a cost upon the employer. An employer who line 4 willfully refuses to comply with an order of a court pursuant to line 5 this section to hire, promote, or otherwise restore an employee or line 6 former employee who has been determined to be eligible for such line 7 relief, or who refuses to comply with an order to post a notice to line 8 employees or otherwise cease and desist from the violation shall, line 9 in addition to any other penalties available, be subject to a penalty

line 10 of one hundred dollars ($100) per day for each day the employer line 11 continues to be in noncompliance with the court order, up to a line 12 maximum of twenty thousand dollars ($20,000). Any penalty line 13 pursuant to this section shall be paid to the affected employee. line 14 (d)  (1)  If the Labor Commissioner determines no violation has line 15 occurred, he or she shall notify the complainant and respondent line 16 and shall dismiss the complaint. The Labor Commissioner may line 17 direct the complainant to pay reasonable attorney’s fees associated line 18 with any hearing held by the Labor Commissioner if the Labor line 19 Commissioner finds the complaint was frivolous, unreasonable, line 20 groundless, and was brought in bad faith. The complainant may, line 21 after notification of the Labor Commissioner’s determination to line 22 dismiss a complaint, bring an action in an appropriate court, which line 23 shall have jurisdiction to determine whether a violation occurred, line 24 and if so, to restrain the violation and order all appropriate relief line 25 to remedy the violation. Appropriate relief includes, but is not line 26 limited to, rehiring or reinstatement of the complainant, line 27 reimbursement of lost wages and interest thereon, and other line 28 compensation or equitable relief as is appropriate under the line 29 circumstances of the case. When dismissing a complaint, the Labor line 30 Commissioner shall advise the complainant of his or her right to line 31 bring an action in an appropriate court if he or she disagrees with line 32 the determination of the Labor Commissioner, and in the case of line 33 an alleged violation of Section 6310 or 6311, to file a complaint line 34 against the state program with the United States Department of line 35 Labor. Any time limitation for a complainant to bring an action line 36 in court shall be tolled from the time of filing the complaint with line 37 the division until the issuance of the Labor Commissioner’s line 38 determination. line 39 (2)  The filing of a timely complaint against the state program line 40 with the United States Department of Labor shall stay the Labor

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line 1 Commissioner’s dismissal of the division complaint until the line 2 United States Secretary of Labor makes a determination regarding line 3 the alleged violation. Within 15 days of receipt of that line 4 determination, the Labor Commissioner shall notify the parties line 5 whether he or she will reopen the complaint filed with the division line 6 or whether he or she will reaffirm the dismissal. line 7 (e)  The Labor Commissioner shall notify the complainant and line 8 respondent of his or her determination under subdivision (c) or line 9 paragraph (1) of subdivision (d), not later than 60 days one year

line 10 after the filing of the complaint. Determinations by the Labor line 11 Commissioner under subdivision (c) or (d) shall be final and not line 12 subject to administrative appeal except for cases arising under line 13 Sections 6310 and 6311, which may be appealed by the line 14 complainant or respondent to the Director of Industrial Relations line 15 within 10 days following notification of the Labor Commissioner’s line 16 determination. pursuant to an appeal process, including time line 17 limitations, that is consistent with the mandates of the United States line 18 Department of Labor. The appeal from a determination for cases line 19 arising under Sections 6310 and 6311 shall set forth specifically line 20 and in full detail the grounds upon which the appealing party line 21 complainant considers the Labor Commissioner’s determination line 22 to be unjust or unlawful, and every issue to be considered by the line 23 director. The director may consider any issue relating to the initial line 24 determination and may modify, affirm, or reverse the Labor line 25 Commissioner’s determination. The director’s determination shall line 26 be the determination of the Labor Commissioner. Commissioner line 27 for cases arising under Sections 6310 and 6311 that are appealed line 28 to the director. The director shall notify the complainant and line 29 respondent of his or her determination within 10 days of receipt line 30 of the appeal. line 31 (f)  The rights and remedies provided by this section do not line 32 preclude an employee from pursuing any other rights and remedies line 33 under any other law. line 34 (g)  In the enforcement of this section, there is no requirement line 35 that an individual exhaust administrative remedies or procedures. line 36 SEC. 10. Section 226.4 of the Labor Code is amended to read: line 37 226.4. If, upon inspection or investigation, the Labor line 38 Commissioner determines that an employer is in violation of line 39 subdivision (a) of Section 226, the Labor Commissioner may issue line 40 a citation to the person in violation. The citation may be served

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line 1 personally personally, in the same manner as provided for service line 2 of a summons as described in Chapter 4 (commencing with Section line 3 413.10) of Title 5 of Part 2 of the Code of Civil Procedure, by line 4 certified mail with return receipt requested, or by registered mail line 5 in accordance with subdivision (c) of Section 11505 of the line 6 Government Code. Each citation shall be in writing and shall line 7 describe the nature of the violation, including reference to the line 8 statutory provision alleged to have been violated. line 9 SEC. 11. Section 1174.1 is added to the Labor Code, to read:

line 10 1174.1. (a)  Any employer, or other person or entity, who may line 11 be liable for a violation of any provision of this code shall be line 12 precluded from introducing as evidence, in an administrative line 13 proceeding contesting a citation or writ proceeding under Section line 14 558 or 1197.1, books, documents, or records, as specified in line 15 subdivision (b), that are not provided pursuant to a duly served line 16 written request by the Labor Commissioner under this section line 17 within the time the Labor Commissioner requests those books, line 18 documents, or records be produced, pursuant to either of the line 19 following: line 20 (1)  When the Labor Commissioner provides for no less than 15 line 21 days to respond, subject to the exceptions under subdivision (c), line 22 (d), (e), or (g). line 23 (2)  When the Labor Commissioner provides for less than 15 line 24 days to respond, subject to the exceptions under subdivision (c) line 25 or (e), if the Labor Commissioner, in his or her discretion, line 26 determines that circumstances exist that make it necessary to line 27 require a shorter period of production for the Labor Commissioner line 28 to conduct a complete investigation. In this instance, a statement line 29 indicating that determination of necessity shall be included with line 30 the written request from the Labor Commissioner. line 31 (b)  The books, documents, or records to which this section line 32 applies are payroll, time, and employment records that are line 33 required to be maintained at the place of employment or at a line 34 central location within the state by the employer, including, but line 35 not limited to, under Sections 226, 247.5, 1174, 2052, and 2673, line 36 and Section 6 or 7 (”Records”) of any order of the Industrial line 37 Welfare Commission. line 38 (c)  Subdivision (a) shall not apply in the event that the person line 39 or entity subject to the written request by the Labor Commissioner line 40 for the production of books, documents, or records opposes such

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line 1 a request in court, prior to the issuance of any citation under line 2 Section 558 or 1197.1, and a court determines that the books, line 3 documents, or records are not required to be produced. line 4 (d)  Paragraph (1) of subdivision (a) shall not apply to the failure line 5 to produce any books, documents, or records within the time line 6 requested by the Labor Commissioner if such failure is due to an line 7 inadvertent error, provided that such error is corrected and the line 8 books, documents, or records are produced to the Labor line 9 Commissioner no later than 20 days from the date originally

line 10 requested. For purposes of this section, “inadvertent error” means line 11 any clerical mistake causing an unintended delay in production line 12 of the requested books, documents, or records. line 13 (e)  The Labor Commissioner shall take into consideration a line 14 reasonable request from the person or entity subject to subdivision line 15 (a) for an extension on the time for production of books, documents, line 16 or records. The commissioner shall determine the reasonableness line 17 of the request and may consider, among other things, the location line 18 of the books, documents, or records and the volume of production. line 19 The Labor Commissioner, in his or her discretion, may admit and line 20 consider books, documents, or records that are produced beyond line 21 the time limits provided for in this section upon a finding that both line 22 of the following conditions are satisfied: line 23 (1)  The person or entity cooperated with the underlying line 24 investigation and substantially complied with the request within line 25 the time limit prescribed. line 26 (2)  The person or entity made good faith efforts to comply with line 27 the request, including discovery of the late-produced books, line 28 documents, or records. line 29 (f)  Service of a written request for books, documents, or records line 30 on a corporation or limited liability company shall be in the same line 31 manner as provided for service of a summons as described in line 32 Chapter 4 (commencing with Section 413.10) of Title 5 of Part 2 line 33 of the Code of Civil Procedure. line 34 (g)  For purposes of paragraph (1) of subdivision (a) and line 35 notwithstanding subdivision (e), a person or entity that provides line 36 a timely good faith response to the Labor Commissioner that line 37 additional time is needed to gather requested books, documents, line 38 or records, shall be provided an automatic extension of 15 days. line 39 SEC. 12. Section 1197.1 of the Labor Code is amended to read:

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line 1 1197.1. (a)  Any employer or other person acting either line 2 individually or as an officer, agent, or employee of another person, line 3 who pays or causes to be paid to any employee a wage less than line 4 the minimum fixed by an applicable state or local law, or by an line 5 order of the commission shall be subject to a civil penalty, line 6 restitution of wages, liquidated damages payable to the employee, line 7 and any applicable penalties imposed pursuant to Section 203 as line 8 follows: line 9 (1)  For any initial violation that is intentionally committed, one

line 10 hundred dollars ($100) for each underpaid employee for each pay line 11 period for which the employee is underpaid. This amount shall be line 12 in addition to an amount sufficient to recover underpaid wages, line 13 liquidated damages pursuant to Section 1194.2, and any applicable line 14 penalties imposed pursuant to Section 203. line 15 (2)  For each subsequent violation for the same specific offense, line 16 two hundred fifty dollars ($250) for each underpaid employee for line 17 each pay period for which the employee is underpaid regardless line 18 of whether the initial violation is intentionally committed. This line 19 amount shall be in addition to an amount sufficient to recover line 20 underpaid wages, liquidated damages pursuant to Section 1194.2, line 21 and any applicable penalties imposed pursuant to Section 203. line 22 (3)  Wages, liquidated damages, and any applicable penalties line 23 imposed pursuant to Section 203, recovered pursuant to this section line 24 shall be paid to the affected employee. line 25 (b)  If, upon inspection or investigation, the Labor Commissioner line 26 determines that a person has paid or caused to be paid a wage less line 27 than the minimum under applicable law, the Labor Commissioner line 28 may issue a citation to the person in violation. The citation may line 29 be served personally personally, in the same manner as provided line 30 for service of a summons as described in Chapter 4 (commencing line 31 with Section 413.10) of Title 5 of Part 2 of the Code of Civil line 32 Procedure, by certified mail with return receipt requested, or by line 33 registered mail in accordance with subdivision (c) of Section 11505 line 34 of the Government Code. Each citation shall be in writing and line 35 shall describe the nature of the violation, including reference to line 36 the statutory provision alleged to have been violated. The Labor line 37 Commissioner shall promptly take all appropriate action, in line 38 accordance with this section, to enforce the citation and to recover line 39 the civil penalty assessed, wages, liquidated damages, and any

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line 1 applicable penalties imposed pursuant to Section 203 in connection line 2 with the citation. line 3 (c)  (1)  If a person desires to contest a citation or the proposed line 4 assessment of a civil penalty, wages, liquidated damages, and any line 5 applicable penalties imposed pursuant to Section 203 therefor, the line 6 person shall, within 15 business days after service of the citation, line 7 notify the office of the Labor Commissioner that appears on the line 8 citation of his or her appeal by a request for an informal hearing. line 9 The Labor Commissioner or his or her deputy or agent shall, within

line 10 30 days, hold a hearing at the conclusion of which the citation or line 11 proposed assessment of a civil penalty, wages, liquidated damages, line 12 and any applicable penalties imposed pursuant to Section 203 shall line 13 be affirmed, modified, or dismissed. line 14 (2)  The decision of the Labor Commissioner shall consist of a line 15 notice of findings, findings, and an order, all of which shall be line 16 served on all parties to the hearing within 15 days after the hearing line 17 by regular first-class mail at the last known address of the party line 18 on file with the Labor Commissioner. Service shall be completed line 19 pursuant to Section 1013 of the Code of Civil Procedure. Any line 20 amount found due by the Labor Commissioner as a result of a line 21 hearing shall become due and payable 45 days after notice of the line 22 findings and written findings and order have been mailed to the line 23 party assessed. A writ of mandate may be taken from this finding line 24 to the appropriate superior court. The party shall pay any judgment line 25 and costs ultimately rendered by the court against the party for the line 26 assessment. The writ shall be taken within 45 days of service of line 27 the notice of findings, findings, and order thereon. line 28 (3)  As a condition to filing a petition for a writ of mandate, the line 29 petitioner seeking the writ shall first post a bond with the Labor line 30 Commissioner equal to the total amount of any minimum wages, line 31 liquidated damages, and overtime compensation that are due and line 32 owing as determined pursuant to subdivision (b) of Section 558, line 33 as specified in the citation being challenged. The bond amount line 34 shall not include amounts for penalties. The bond shall be issued line 35 by a surety duly authorized to do business in this state, shall be line 36 issued in favor of unpaid employees, and shall ensure that the line 37 petitioner makes payments as set forth in this paragraph. If a line 38 decision is entered which affirms or modifies the amounts for line 39 minimum wages, liquidated damages, or overtime compensation, line 40 the petitioner shall pay the amounts owed for the specified items

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line 1 included in a clerk’s judgment entered under subdivision (f) based line 2 on the decision, or pursuant to a court judgment in a writ of line 3 mandate proceeding under paragraph (2). If the request for a writ line 4 is withdrawn or dismissed without entry of judgment, the petitioner line 5 shall pay the amounts owed for the specified items pursuant to the line 6 citation, or the administrative decision if a pending writ of mandate line 7 is dismissed prior to a court decision, unless the parties have line 8 executed a settlement agreement for payment of some other line 9 amount. In the case of a settlement agreement, the petitioner shall

line 10 pay the amount he or she is obligated to pay under the terms of line 11 the settlement. line 12 (4)  If the employer fails to pay the amount of minimum wages, line 13 liquidated damages, or overtime compensation owed within 10 line 14 days of the entry of judgment, dismissal or withdrawal of writ, or line 15 the execution of a settlement agreement, a portion of the line 16 undertaking, described in paragraph (3), equal to the amount owed, line 17 or the entire undertaking if the amount owed exceeds the line 18 undertaking, shall be forfeited to the employee. line 19 (d)  A person to whom a citation has been issued shall, in lieu line 20 of contesting a citation pursuant to this section, transmit to the line 21 office of the Labor Commissioner designated on the citation the line 22 amount specified for the violation within 15 business days after line 23 issuance of the citation. line 24 (e)  When no petition objecting to a citation or the proposed line 25 assessment of a civil penalty, wages, liquidated damages, and any line 26 applicable penalties imposed pursuant to Section 203 is filed, a line 27 certified copy of the citation or proposed civil penalty, wages, line 28 liquidated damages, and any applicable penalties imposed pursuant line 29 to Section 203 may be filed by the Labor Commissioner in the line 30 office of the clerk of the superior court in any county in which the line 31 person assessed has or had a place of business. The clerk, line 32 immediately upon the filing, shall enter judgment for the state line 33 against the person assessed in the amount shown on the citation line 34 or proposed assessment of a civil penalty, wages, liquidated line 35 damages, and any applicable penalties imposed pursuant to Section line 36 203. line 37 (f)  When findings and the order thereon are made affirming or line 38 modifying a citation or proposed assessment of a civil penalty, line 39 wages, liquidated damages, and any applicable penalties imposed line 40 pursuant to Section 203 after hearing, a certified copy of these

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line 1 findings and the order entered thereon may be entered by the Labor line 2 Commissioner in the office of the clerk of the superior court in line 3 any county in which the person assessed has property or in which line 4 the person assessed has or had a place of business. The clerk, line 5 immediately upon the filing, shall enter judgment for the state line 6 against the person assessed in the amount shown on the certified line 7 order. line 8 (g)  A judgment entered pursuant to this section shall bear the line 9 same rate of interest and shall have the same effect as other

line 10 judgments and be given the same preference allowed by the law line 11 on other judgments rendered for claims for taxes. The clerk shall line 12 make no charge for the service provided by this section to be line 13 performed by him or her. line 14 (h)  In a jurisdiction where a local entity has the legal authority line 15 to issue a citation against an employer for a violation of any line 16 applicable local minimum wage law, the Labor Commissioner, line 17 pursuant to a request from the local entity, may issue a citation line 18 against an employer for a violation of any applicable local line 19 minimum wage law if the local entity has not cited the employer line 20 for the same violation. If the Labor Commissioner issues a citation, line 21 the local entity shall not cite the employer for the same violation. line 22 (i)  The civil penalties provided for in this section are in addition line 23 to any other penalty provided by law. line 24 (j)  This section shall not apply to any order of the commission line 25 relating to household occupations. line 26 (k)  This section does not change the applicability of local line 27 minimum wage laws to any entity. line 28 SEC. 13. Section 1287 of the Labor Code is amended to read: line 29 1287. If upon inspection or investigation the director determines line 30 that a person is in violation of any statutory provision or rule or line 31 regulation relating to the employment of minors, he or she may line 32 issue a citation to the person in violation. The citation may be line 33 served personally personally, in the same manner as provided for line 34 service of a summons as described in Chapter 4 (commencing with line 35 Section 413.10) of Title 5 of Part 2 of the Code of Civil Procedure, line 36 by certified mail with return receipt requested, or by registered line 37 mail in accordance with subdivision (c) of Section 11505 of the line 38 Government Code. Each citation shall be in writing and shall line 39 describe the nature of the violation, including reference to the

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line 1 statutory provisions, rule, or regulation alleged to have been line 2 violated. line 3 SEC. 14. Section 1684 of the Labor Code is amended to read: line 4 1684. (a)  The Labor Commissioner shall not issue to any line 5 person a license to act as a farm labor contractor, nor shall the line 6 Labor Commissioner renew that license, until all of the following line 7 conditions are satisfied: line 8 (1)  The person has executed a written application in a form line 9 prescribed by the Labor Commissioner, subscribed and sworn to

line 10 by the person, and containing all of the following: line 11 (A)  A statement by the person of all facts required by the Labor line 12 Commissioner concerning the applicant’s character, competency, line 13 responsibility, and the manner and method by which the person line 14 proposes to conduct operations as a farm labor contractor if the line 15 license is issued. line 16 (B)  The names and addresses of all persons, except bona fide line 17 employees on stated salaries, financially interested, either as line 18 partners, associates, or profit sharers, in the proposed operation as line 19 a farm labor contractor, together with the amount of their respective line 20 interests. line 21 (C)  A declaration consenting to the designation by a court of line 22 the Labor Commissioner as an agent available to accept service line 23 of summons in any action against the licensee if the licensee has line 24 left the jurisdiction in which the action is commenced or otherwise line 25 has become unavailable to accept service. line 26 (D)  The names and addresses of all persons who in the previous line 27 calendar year performed any services described in subdivision (b) line 28 of Section 1682 within the scope of his or her employment by the line 29 licensee on whose behalf he or she was acting, unless the person line 30 was employed as an independent contractor. line 31 (2)  The Labor Commissioner, after investigation, is satisfied as line 32 to the character, competency, and responsibility of the person. line 33 (3)  (A)  The person has deposited with the Labor Commissioner line 34 a surety bond in an amount based on the size of the person’s annual line 35 payroll for all employees, as follows: line 36 (i)  For payrolls up to five hundred thousand dollars ($500,000), line 37 a twenty-five-thousand-dollar ($25,000) bond. line 38 (ii)  For payrolls of five hundred thousand dollars ($500,000) to line 39 two million dollars ($2,000,000), a fifty-thousand-dollar ($50,000) line 40 bond.

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line 1 (iii)  For payrolls greater than two million dollars ($2,000,000), line 2 a seventy-five-thousand-dollar ($75,000) bond. line 3 (B)  For purposes of this paragraph, the Labor Commissioner line 4 shall require documentation of the size of the person’s annual line 5 payroll, which may include, but is not limited to, information line 6 provided by the person to the Employment Development line 7 Department, the Franchise Tax Board, the Division of Workers’ line 8 Compensation, the insurer providing the licensee’s workers’ line 9 compensation insurance, or the Internal Revenue Service.

line 10 (C)  If the contractor has been the subject of a final judgment in line 11 a year in an amount equal to or greater than the amount of the bond line 12 required, he or she shall be required to deposit an additional bond line 13 within 60 days. line 14 (D)  All bonds required under this chapter shall be payable to line 15 the people of the State of California and shall be conditioned upon line 16 the farm labor contractor’s compliance with all the terms and line 17 provisions of this chapter and subdivisions (j) and (k) of Section line 18 12940 of, and Sections 12950 and 12950.1 of, the Government line 19 Code, and payment of all damages occasioned to any person by line 20 failure to do so, or by any violation of this chapter or of subdivision line 21 (j) or (k) of Section 12940 of, or of Section 12950 or 12950.1 of, line 22 the Government Code, or any violation of Title VII of the Civil line 23 Rights Act of 1964 (Public Law 88-352), or false statements or line 24 misrepresentations made in the procurement of the license. The line 25 bond shall also be payable for interest on wages and for any line 26 damages arising from violation of orders of the Industrial Welfare line 27 Commission, and for any other monetary relief awarded to an line 28 agricultural worker as a result of a violation of this code or of line 29 subdivision (j) or (k) of Section 12940 of, or Section 12950 or line 30 12950.1 of, the Government Code, or any violation of Title VII line 31 of the Civil Rights Act of 1964 (Public Law 88-352). line 32 (4)  The person has paid to the Labor Commissioner a license line 33 fee of five hundred dollars ($500) plus a filing fee of ten dollars line 34 ($10). However, when a timely application for renewal is filed, line 35 the ten-dollar ($10) filing fee is not required. The license fee shall line 36 increase by one hundred dollars ($100), to six hundred dollars line 37 ($600), on January 1, 2015. The amount attributable to this increase line 38 shall be expended by the Labor Commissioner to fund the Farm line 39 Labor Contractor Enforcement Unit and the Farm Labor Contractor line 40 License Verification Unit. The Labor Commissioner shall deposit

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line 1 one hundred fifty dollars ($150) of each licensee’s annual license line 2 fee into the Farmworker Remedial Account. Funds from this line 3 account shall be disbursed by the Labor Commissioner only to line 4 persons determined by the Labor Commissioner to have been line 5 damaged by any licensee if the damage exceeds the amount of the line 6 licensee’s bond or the surety fails to pay the full amount of the line 7 licensee’s bond, or to persons determined by the Labor line 8 Commissioner to have been damaged by an unlicensed farm labor line 9 contractor. In

line 10 (A)  In making these determinations, the Labor Commissioner line 11 shall disburse funds from the Farmworker Remedial Account to line 12 satisfy claims against farm labor contractors or unlicensed farm line 13 labor contractors, which shall also include unpaid wages, interest line 14 on wages wages, and any damages or other monetary relief arising line 15 from the violation of orders of the Industrial Welfare Commission, line 16 for any other monetary relief awarded Commission or from a line 17 violation of this code, including statutory penalties recoverable line 18 by an employee determined to be due to an agricultural worker as line 19 a result of a violation of this code, and for all damages arising from line 20 any violation of subdivision (j) or (k) of Section 12940 of, or of line 21 Section 12950 or 12950.1 of, the Government Code, or any line 22 violation of Title VII of the Civil Rights Act of 1964 (Public Law line 23 88-352). The Labor Commissioner may disburse funds from the line 24 Farmworker Remedial Account to farm labor contractors, for line 25 payment of farmworkers, when a contractor is unable to pay line 26 farmworkers due to the failure of a grower or packer to pay the line 27 contractor. Any line 28 (B)  Any disbursement shall be made pursuant to a claim for line 29 recovery from the account in accordance with procedures line 30 prescribed by the Labor Commissioner. line 31 (C)  Any disbursed funds subsequently recovered from a liable line 32 party by the Labor Commissioner pursuant to Section 1693, or line 33 otherwise, shall be returned to the Farmworker Remedial Account. line 34 (5)  The person has taken a written examination that demonstrates line 35 an essential degree of knowledge of the current laws and line 36 administrative regulations concerning farm labor contractors as line 37 the Labor Commissioner deems necessary for the safety and line 38 protection of farmers, farmworkers, and the public, including the line 39 identification and prevention of sexual harassment in the line 40 workplace. To successfully complete the examinations, the person

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line 1 must correctly answer at least 85 percent of the questions posed. line 2 The examination period shall not exceed four hours. The line 3 examination may only be taken a maximum of three times in a line 4 calendar year. The examinations shall include a demonstration of line 5 knowledge of the current laws and regulations regarding wages, line 6 hours, and working conditions, penalties, employee housing and line 7 transportation, collective bargaining, field sanitation, and safe line 8 work practices related to pesticide use, including all of the line 9 following subjects:

line 10 (A)  Field reentry regulations. line 11 (B)  Worker pesticide safety training. line 12 (C)  Employer responsibility for safe working conditions. line 13 (D)  Symptoms and appropriate treatment of pesticide poisoning. line 14 (6)  The person has registered as a farm labor contractor pursuant line 15 to the federal Migrant and Seasonal Agricultural Worker Protection line 16 Act (29 U.S.C. Sec. 1801 et seq.), when registration is required line 17 pursuant to federal law, and that information is provided by the line 18 person to the Labor Commissioner. line 19 (7)  Each of the person’s employees has registered as a farm line 20 labor contractor employee pursuant to the federal Migrant and line 21 Seasonal Agricultural Worker Protection Act (29 U.S.C. Sec. 1801 line 22 et seq.) if that registration is required pursuant to federal law, and line 23 that information is provided by the person to the Labor line 24 Commissioner. line 25 (8)  (A)  The person has executed a written statement, that has line 26 been provided to the Labor Commissioner, attesting that the line 27 person’s supervisorial employees, including any supervisor, line 28 crewleader, mayordomo, foreperson, or other employee whose line 29 duties include the supervision, direction, or control of agricultural line 30 employees, have been trained at least once for at least two hours line 31 each calendar year in the prevention of sexual harassment in the line 32 workplace, and that all new nonsupervisorial employees, including line 33 agricultural employees, have been trained at the time of hire, and line 34 that all nonsupervisorial employees, including agricultural line 35 employees, have been trained at least once every two years in line 36 identifying, preventing, and reporting sexual harassment in the line 37 workplace. line 38 (B)  Sexual harassment prevention training shall consist of line 39 training administered by a licensee or appropriate designee of the line 40 licensee.

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line 1 (C)  Sexual harassment prevention training shall include, at a line 2 minimum, components of the following as consistent with Section line 3 12950 of the Government Code: line 4 (i)  The illegality of sexual harassment. line 5 (ii)  The definition of sexual harassment under applicable state line 6 and federal law. line 7 (iii)  A description of sexual harassment, utilizing examples. line 8 (iv)  The internal complaint process of the employer available line 9 to the employee.

line 10 (v)  The legal remedies and complaint process available through line 11 the Department of Fair Employment and Housing. line 12 (vi)  Directions for how to contact the Department of Fair line 13 Employment and Housing. line 14 (vii)  The protection against retaliation provided under current line 15 law. line 16 (D)  The trainer may use the text of the Department of Fair line 17 Employment and Housing’s pamphlet DFEH-185, “Sexual line 18 Harassment” as a guide to training, or may use other written line 19 material or other training resources covering the information line 20 required in subparagraph (C). line 21 (E)  At the conclusion of the training, the trainer shall provide line 22 the employee with a copy of the Department of Fair Employment line 23 and Housing’s pamphlet DFEH-185, and a record of the training line 24 on a form provided by the Labor Commissioner that includes the line 25 name of the trainer and the date of the training. line 26 (F)  The licensee shall keep a record with the names of all line 27 employees who have received sexual harassment training for a line 28 period of three years. line 29 (b)  The Labor Commissioner shall consult with the Director of line 30 Pesticide Regulation, the Department of the California Highway line 31 Patrol, the Department of Housing and Community Development, line 32 the Employment Development Department, the Department of line 33 Fair Employment and Housing, the Department of Food and line 34 Agriculture, the Department of Motor Vehicles, and the Division line 35 of Occupational Safety and Health in preparing the examination line 36 required by paragraph (5) of subdivision (a) and the appropriate line 37 educational materials pertaining to the matters included in the line 38 examination, and may charge a fee of not more than two hundred line 39 dollars ($200) to cover the cost of administration of the line 40 examination.

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line 1 (c)  The person shall also enroll and participate in at least nine line 2 hours of relevant educational classes each year. The classes shall line 3 include at least one hour of sexual harassment prevention training. line 4 The classes shall be chosen from a list of approved classes prepared line 5 by the Labor Commissioner, in consultation with the persons and line 6 entities listed in subdivision (b) and county agricultural line 7 commissioners. line 8 (d)  The Labor Commissioner may renew a license without line 9 requiring the applicant for renewal to take the examination

line 10 specified in paragraph (5) of subdivision (a) if the Labor line 11 Commissioner finds that the applicant meets all of the following line 12 criteria: line 13 (1)  Has satisfactorily completed the examination during the line 14 immediately preceding two years. line 15 (2)  Has not during the preceding year been found to be in line 16 violation of any applicable laws or regulations including, but not line 17 limited to, Division 7 (commencing with Section 12501) of the line 18 Food and Agricultural Code, subdivisions (j) and (k) of Section line 19 12940 of, and Section 12950 or 12950.1 of, the Government Code, line 20 Part 1 (commencing with Section 17000) of Division 13 of the line 21 Health and Safety Code, Division 2 (commencing with Section line 22 200), Division 4 (commencing with Section 3200), and Division line 23 5 (commencing with Section 6300) of this code, and Chapter 1 line 24 (commencing with Section 12500) of Division 6 of the Vehicle line 25 Code. line 26 (3)  Has, for each year since the license was obtained, enrolled line 27 and participated in at least eight hours of relevant, educational line 28 classes, chosen from a list of approved classes prepared by the line 29 Labor Commissioner. line 30 (4)  Has complied with all other requirements of this section. line 31 SEC. 15. Section 1725.5 of the Labor Code is amended to read: line 32 1725.5. A contractor shall be registered pursuant to this section line 33 to be qualified to bid on, be listed in a bid proposal, subject to the line 34 requirements of Section 4104 of the Public Contract Code, or line 35 engage in the performance of any public work contract that is line 36 subject to the requirements of this chapter. For the purposes of this line 37 section, “contractor” includes a subcontractor as defined by Section line 38 1722.1. line 39 (a)  To qualify for registration under this section, a contractor line 40 shall do all of the following:

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line 1 (1)  Beginning July 1, 2014, register (A)  Register with the line 2 Department of Industrial Relations in the manner prescribed by line 3 the department and pay an initial nonrefundable application fee of line 4 three four hundred dollars ($300) ($400) to qualify for registration line 5 under this section and an annual renewal fee on or before July 1 line 6 of each year thereafter. The annual renewal fee shall be in a line 7 uniform amount set by the Director of Industrial Relations, and line 8 the initial registration and renewal fees may be adjusted no more line 9 than annually by the director to support the costs specified in

line 10 Section 1771.3. line 11 (B)  Beginning June 1, 2019, a contractor may register or renew line 12 according to this subdivision in annual increments up to three line 13 years from the date of registration. Contractors who wish to do line 14 so will be required to prepay the applicable nonrefundable line 15 application or renewal fees to qualify for the number of years for line 16 which they wish to preregister. line 17 (2)  Provide evidence, disclosures, or releases as are necessary line 18 to establish all of the following: line 19 (A)  Workers’ Compensation coverage that meets the line 20 requirements of Division 4 (commencing with Section 3200) and line 21 includes sufficient coverage for any worker whom the contractor line 22 employs to perform work that is subject to prevailing wage line 23 requirements other than a contractor who is separately registered line 24 under this section. Coverage may be evidenced by a current and line 25 valid certificate of workers’ compensation Insurance or certification line 26 of self-insurance required under Section 7125 of the Business and line 27 Professions Code. line 28 (B)  If applicable, the contractor is licensed in accordance with line 29 Chapter 9 (commencing with Section 7000) of the Business and line 30 Professions Code. line 31 (C)  The contractor does not have any delinquent liability to an line 32 employee or the state for any assessment of back wages or related line 33 damages, interest, fines, or penalties pursuant to any final line 34 judgment, order, or determination by a court or any federal, state, line 35 or local administrative agency, including a confirmed arbitration line 36 award. However, for purposes of this paragraph, the contractor line 37 shall not be disqualified for any judgment, order, or determination line 38 that is under appeal, provided that the contractor has secured the line 39 payment of any amount eventually found due through a bond or line 40 other appropriate means.

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line 1 (D)  The contractor is not currently debarred under Section line 2 1777.1 or under any other federal or state law providing for the line 3 debarment of contractors from public works. line 4 (E)  The contractor has not bid on a public works contract, been line 5 listed in a bid proposal, or engaged in the performance of a contract line 6 for public works without being lawfully registered in accordance line 7 with this section, within the preceding 12 months or since the line 8 effective date of the requirements set forth in subdivision (e), line 9 whichever is earlier. If a contractor is found to be in violation of

line 10 the requirements of this paragraph, the period of disqualification line 11 shall be waived if both of the following are true: line 12 (i)  The contractor has not previously been found to be in line 13 violation of the requirements of this paragraph within the preceding line 14 12 months. line 15 (ii)  The contractor pays an additional nonrefundable penalty line 16 registration fee of two thousand dollars ($2,000). line 17 (b)  Fees received pursuant to this section shall be deposited in line 18 the State Public Works Enforcement Fund established by Section line 19 1771.3 and shall be used only for the purposes specified in that line 20 section. line 21 (c)  A contractor who fails to pay the renewal fee required under line 22 paragraph (1) of subdivision (a) on or before the expiration of any line 23 prior period of registration shall be prohibited from bidding on or line 24 engaging in the performance of any contract for public work until line 25 once again registered pursuant to this section. If the failure to pay line 26 the renewal fee was inadvertent, the contractor may renew its line 27 registration retroactively by paying an additional nonrefundable line 28 penalty renewal fee equal to the amount of the renewal fee within line 29 90 days of the due date of the renewal fee. line 30 (d)  If, after a body awarding a contract accepts the contractor’s line 31 bid or awards the contract, the work covered by the bid or contract line 32 is determined to be a public work to which Section 1771 applies, line 33 either as the result of a determination by the director pursuant to line 34 Section 1773.5 or a court decision, the requirements of this section line 35 shall not apply, subject to the following requirements: line 36 (1)  The body that awarded the contract failed, in the bid line 37 specification or in the contract documents, to identify as a public line 38 work that portion of the work that the determination or decision line 39 subsequently classifies as a public work.

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line 1 (2)  Within 20 days following service of notice on the awarding line 2 body of a determination by the Director of Industrial Relations line 3 pursuant to Section 1773.5 or a decision by a court that the contract line 4 was for public work as defined in this chapter, the contractor and line 5 any subcontractors are registered under this section or are replaced line 6 by a contractor or subcontractors who are registered under this line 7 section. line 8 (3)  The requirements of this section shall apply prospectively line 9 only to any subsequent bid, bid proposal, contract, or work

line 10 performed after the awarding body is served with notice of the line 11 determination or decision referred to in paragraph (2) of this line 12 subdivision. (2). line 13 (e)  The requirements of this section shall apply to any bid line 14 proposal submitted on or after March 1, 2015, and to any contract line 15 for public work, as defined in this chapter, entered into executed line 16 on or after April 1, 2015. 2015, and to any work performed under line 17 a contract for public work on or after January 1, 2018, regardless line 18 of when the contract for public work was executed. line 19 (f)  This section does not apply to work performed on a public line 20 works project of twenty-five thousand dollars ($25,000) or less line 21 when the project is for construction, alteration, demolition, line 22 installation, or repair work or to work performed on a public works line 23 project of fifteen thousand dollars ($15,000) or less when the line 24 project is for maintenance work. line 25 SEC. 16. Section 1742.1 of the Labor Code is amended to read: line 26 1742.1. (a)  After 60 days following the service of a civil wage line 27 and penalty assessment under Section 1741 or a notice of line 28 withholding under subdivision (a) of Section 1771.6, the affected line 29 contractor, subcontractor, and surety on a bond or bonds issued to line 30 secure the payment of wages covered by the assessment or notice line 31 shall be liable for liquidated damages in an amount equal to the line 32 wages, or portion thereof, that still remain unpaid. If the assessment line 33 or notice subsequently is overturned or modified after line 34 administrative or judicial review, liquidated damages shall be line 35 payable only on the wages found to be due and unpaid. line 36 Additionally, if the contractor or subcontractor demonstrates to line 37 the satisfaction of the director that he or she had substantial grounds line 38 for appealing the assessment or notice with respect to a portion of line 39 the unpaid wages covered by the assessment or notice, the director line 40 may exercise his or her discretion to waive payment of the

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line 1 liquidated damages with respect to that portion of the unpaid line 2 wages. unpaid. Any liquidated damages shall be distributed to the line 3 employee along with the unpaid wages. Section 203.5 shall not line 4 apply to claims for prevailing wages under this chapter. line 5 (b)  Notwithstanding subdivision (a), there shall be no liability line 6 for liquidated damages if the full amount of the assessment or line 7 notice, including penalties, has been deposited with the Department line 8 of Industrial Relations, within 60 days following service of the line 9 assessment or notice, for the department to hold in escrow pending

line 10 administrative and judicial review. The department shall release line 11 the funds in escrow, plus any interest earned, to the persons and line 12 entities that are found to be entitled to those funds, within 30 days line 13 following either of the specified events occurring: line 14 (1)  The conclusion of all administrative and judicial review. line 15 (2)  The department receives written notice from the Labor line 16 Commissioner or his or her designee of a settlement or other final line 17 disposition of an assessment issued pursuant to Section 1741 or line 18 from the authorized representative of the awarding body of a line 19 settlement or other final disposition of a notice issued pursuant to line 20 Section 1771.6. line 21 (c)  The Labor Commissioner shall, upon receipt of a request line 22 from the affected contractor or subcontractor within 30 days line 23 following the service of a civil wage and penalty assessment under line 24 Section 1741, afford the contractor or subcontractor the opportunity line 25 to meet with the Labor Commissioner or his or her designee to line 26 attempt to settle a dispute regarding the assessment without the line 27 need for formal proceedings. The awarding body shall, upon receipt line 28 of a request from the affected contractor or subcontractor within line 29 30 days following the service of a notice of withholding under line 30 subdivision (a) of Section 1771.6, afford the contractor or line 31 subcontractor the opportunity to meet with the designee of the line 32 awarding body to attempt to settle a dispute regarding the notice line 33 without the need for formal proceedings. The settlement meeting line 34 may be held in person or by telephone and shall take place before line 35 the expiration of the 60-day period for seeking administrative line 36 review. No evidence of anything said or any admission made for line 37 the purpose of, in the course of, or pursuant to, the settlement line 38 meeting is admissible or subject to discovery in any administrative line 39 or civil proceeding. No writing prepared for the purpose of, in the line 40 course of, or pursuant to, the settlement meeting, other than a final

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line 1 settlement agreement, is admissible or subject to discovery in any line 2 administrative or civil proceeding. The assessment or notice shall line 3 advise the contractor or subcontractor of the opportunity to request line 4 a settlement meeting. line 5 SEC. 17. Section 1770 of the Labor Code is amended to read: line 6 1770. The Director of the Department of Industrial Relations line 7 shall determine the general prevailing rate of per diem wages in line 8 accordance with the standards set forth in Section 1773, and the line 9 director’s determination in the matter shall be final except as

line 10 provided in Section 1773.4. Nothing in this article, however, shall line 11 prohibit the payment of more than the general prevailing rate of line 12 wages to any workman worker employed on public work. Nothing line 13 in this act shall This chapter does not permit any overtime work line 14 in violation of Article 3 of this chapter. 3. line 15 SEC. 18. Section 1771.1 of the Labor Code is amended to read: line 16 1771.1. (a)  A contractor or subcontractor shall not be qualified line 17 to bid on, be listed in a bid proposal, subject to the requirements line 18 of Section 4104 of the Public Contract Code, or engage in the line 19 performance of any contract for public work, as defined in this line 20 chapter, unless currently registered and qualified to perform public line 21 work pursuant to Section 1725.5. It is not a violation of this section line 22 for an unregistered contractor to submit a bid that is authorized by line 23 Section 7029.1 of the Business and Professions Code or by Section line 24 10164 or 20103.5 of the Public Contract Code, provided the line 25 contractor is registered to perform public work pursuant to Section line 26 1725.5 at the time the contract is awarded. line 27 (b)  Notice of the requirement described in subdivision (a) shall line 28 be included in all bid invitations and public works contracts, and line 29 a bid shall not be accepted nor any contract or subcontract entered line 30 into without proof of the contractor or subcontractor’s current line 31 registration to perform public work pursuant to Section 1725.5. line 32 (c)  An inadvertent error in listing a subcontractor who is not line 33 registered pursuant to Section 1725.5 in a bid proposal shall not line 34 be grounds for filing a bid protest or grounds for considering the line 35 bid nonresponsive, provided that any of the following apply: line 36 (1)  The subcontractor is registered prior to the bid opening. line 37 (2)  Within 24 hours after the bid opening, the subcontractor is line 38 registered and has paid the penalty registration fee specified in line 39 subparagraph (E) of paragraph (2) of subdivision (a) of Section line 40 1725.5.

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line 1 (3)  The subcontractor is replaced by another registered line 2 subcontractor pursuant to Section 4107 of the Public Contract line 3 Code. line 4 (d)  Failure by a subcontractor to be registered to perform public line 5 work as required by subdivision (a) shall be grounds under Section line 6 4107 of the Public Contract Code for the contractor, with the line 7 consent of the awarding authority, to substitute a subcontractor line 8 who is registered to perform public work pursuant to Section line 9 1725.5 in place of the unregistered subcontractor.

line 10 (e)  The department shall maintain on its Internet Web site a list line 11 of contractors who are currently registered to perform public work line 12 pursuant to Section 1725.5. line 13 (f)  A contract entered into with any contractor or subcontractor line 14 in violation of subdivision (a) shall be subject to cancellation, line 15 provided that a contract for public work shall not be unlawful, line 16 void, or voidable solely due to the failure of the awarding body, line 17 contractor, or any subcontractor to comply with the requirements line 18 of Section 1725.5 or this section. line 19 (g)  If the Labor Commissioner or his or her designee determines line 20 that a contractor or subcontractor engaged in the performance of line 21 any public work contract without having been registered in line 22 accordance with this section, the contractor or subcontractor shall line 23 forfeit, as a civil penalty to the state, one hundred dollars ($100) line 24 for each day of work performed in violation of the registration line 25 requirement, not to exceed an aggregate penalty of eight thousand line 26 dollars ($8,000) in addition to any penalty registration fee assessed line 27 pursuant to clause (ii) of subparagraph (E) of paragraph (2) of line 28 subdivision (a) of Section 1725.5. line 29 (h)  (1)  In addition to, or in lieu of, any other penalty or sanction line 30 authorized pursuant to this chapter, a higher tiered public works line 31 contractor or subcontractor who is found to have entered into a line 32 subcontract with an unregistered lower tier subcontractor to line 33 perform any public work in violation of the requirements of Section line 34 1725.5 or this section shall be subject to forfeiture, as a civil line 35 penalty to the state, of one hundred dollars ($100) for each day line 36 the unregistered lower tier subcontractor performs work in line 37 violation of the registration requirement, not to exceed an line 38 aggregate penalty of ten thousand dollars ($10,000). line 39 (2)  The Labor Commissioner shall use the same standards line 40 specified in subparagraph (A) of paragraph (2) of subdivision (a)

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line 1 of Section 1775 when determining the severity of the violation and line 2 what penalty to assess, and may waive the penalty for a first time line 3 violation that was unintentional and did not hinder the Labor line 4 Commissioner’s ability to monitor and enforce compliance with line 5 the requirements of this chapter. line 6 (3)  A higher tiered public works contractor or subcontractor line 7 shall not be liable for penalties assessed pursuant to paragraph line 8 (1) if the lower tier subcontractor’s performance is in violation of line 9 the requirements of Section 1725.5 due to the revocation of a

line 10 previously approved registration. line 11 (4)  A subcontractor shall not be liable for any penalties assessed line 12 against a higher tiered public works contractor or subcontractor line 13 pursuant to paragraph (1). A higher tiered public works contractor line 14 or subcontractor may not require a lower tiered subcontractor to line 15 indemnify or otherwise be liable for any penalties pursuant to line 16 paragraph (1). line 17 (i)  The Labor Commissioner or his or her designee shall issue line 18 a civil wage and penalty assessment, in accordance with the line 19 provisions of Section 1741, upon determination of penalties line 20 pursuant to subdivision (g) and subparagraph (B) of paragraph line 21 (1) of subdivision (h). Review of a civil wage and penalty line 22 assessment issued under this subdivision may be requested in line 23 accordance with the provisions of Section 1742. The regulations line 24 of the Director of Industrial Relations, which govern proceedings line 25 for review of civil wage and penalty assessments and the line 26 withholding of contract payments under Article 1 (commencing line 27 with Section 1720) and Article 2 (commencing with Section 1770), line 28 shall apply. line 29 (j)  (1)  Where a contractor or subcontractor engages in the line 30 performance of any public work contract without having been line 31 registered in violation of the requirements of Section 1725.5 or line 32 this section, the Labor Commissioner shall issue and serve a stop line 33 order prohibiting the use of the unregistered contractor or the line 34 unregistered subcontractor on all public works until the line 35 unregistered contractor or unregistered subcontractor is line 36 registered. The stop order shall not apply to work by registered line 37 contractors or subcontractors on the public work. line 38 (2)  A stop order may be personally served upon the contractor line 39 or subcontractor by either of the following methods:

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line 1 (A)  Manual delivery of the order to the contractor or line 2 subcontractor personally. line 3 (B)  Leaving signed copies of the order with the person who is line 4 apparently in charge at the site of the public work and by thereafter line 5 mailing copies of the order by first class mail, postage prepaid to line 6 the contractor or subcontractor at the address on file with either line 7 of the following: line 8 (i)  The Contractors State License Board. line 9 (ii)  The Secretary of State.

line 10 (3)  The stop order shall be effective immediately upon service line 11 and shall be subject to appeal by the party contracting with the line 12 unregistered contractor or subcontractor, by the unregistered line 13 contractor or subcontractor, or both. The appeal, hearing, and line 14 any further review of the hearing decision shall be governed by line 15 the procedures, time limits, and other requirements specified in line 16 subdivision (a) of Section 238.1. line 17 (k)  Failure of a contractor or subcontractor, owner, director, line 18 officer, or managing agent of the contractor or subcontractor to line 19 observe a stop order issued and served upon him or her pursuant line 20 to subdivision (j) is guilty of a misdemeanor punishable by line 21 imprisonment in county jail not exceeding 60 days or by a fine not line 22 exceeding ten thousand dollars ($10,000), or both. line 23 (g) line 24 (l)  This section shall apply to any bid proposal submitted on or line 25 after March 1, 2015, and any contract for public work entered into line 26 on or after April 1, 2015. This section shall also apply to the line 27 performance of any public work, as defined in this chapter, on or line 28 after January 1, 2018, regardless of when the contract for public line 29 work was entered. line 30 (m)  Penalties received pursuant to this section shall be deposited line 31 in the State Public Works Enforcement Fund established by Section line 32 1771.3 and shall be used only for the purposes specified in that line 33 section. line 34 (n)  This section shall not apply to work performed on a public line 35 works project of twenty-five thousand dollars ($25,000) or less line 36 when the project is for construction, alteration, demolition, line 37 installation, or repair work or to work performed on a public works line 38 project of fifteen thousand dollars ($15,000) or less when the line 39 project is for maintenance work. line 40 SEC. 19. Section 1771.3 of the Labor Code is amended to read:

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line 1 1771.3. (a)  The State Public Works Enforcement Fund is line 2 hereby created as a special fund in the State Treasury to be line 3 available upon appropriation of the Legislature. All registration line 4 fees collected pursuant to Section 1725.5 and any other moneys line 5 as are designated by statute or order shall be deposited in the fund line 6 for the purposes specified in subdivision (b). line 7 (b)  Moneys in the State Public Works Enforcement Fund shall line 8 be used only for the following purposes: line 9 (1)  The reasonable costs of administering the registration of

line 10 contractors and subcontractors to perform public work pursuant line 11 to Section 1725.5. line 12 (2)  The costs and obligations associated with the administration line 13 and enforcement of the requirements of this chapter by the line 14 Department of Industrial Relations. line 15 (3)  The monitoring and enforcement of any requirement of this line 16 code by the Labor Commissioner on a public works project or in line 17 connection with the performance of public work as defined line 18 pursuant to this chapter. line 19 (c)  The annual contractor registration renewal fee specified in line 20 subdivision (a) of Section 1725.5, and any adjusted application or line 21 renewal fee, shall be set in amounts that are sufficient to support line 22 the annual appropriation approved by the Legislature for the State line 23 Public Works Enforcement Fund and not result in a fund balance line 24 greater than 25 percent of the appropriation. Any yearend year-end line 25 balance in the fund greater than 25 percent of the appropriation line 26 shall be applied as a credit when determining any fee adjustments line 27 for the subsequent fiscal year. line 28 (d)  To provide adequate cashflow for the purposes specified in line 29 subdivision (b), the Director of Finance, with the concurrence of line 30 the Secretary of the Labor and Workforce Development Agency, line 31 may approve a short-term loan each fiscal year from the Labor line 32 and Workforce Development Fund Labor Enforcement and line 33 Compliance Fund to the State Public Works Enforcement Fund. line 34 (1)  The maximum amount of the annual loan allowable may be line 35 up to, but shall not exceed 50 percent of the appropriation authority line 36 of the State Public Works Enforcement Fund in the same year in line 37 which the loan was made. line 38 (2)  For the purposes of this section, a “short-term loan” is a line 39 transfer that is made subject to both of the following conditions:

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line 1 (A)  Any amount loaned is to be repaid in full during the same line 2 fiscal year in which the loan was made, except that repayment may line 3 be delayed until a date not more than 30 days after the date of line 4 enactment of the annual Budget Act for the subsequent fiscal year. line 5 (B)  Loans shall be repaid whenever the funds are needed to line 6 meet cash expenditure needs in the loaning fund or account. line 7 SEC. 20. Section 1771.4 of the Labor Code is amended to read: line 8 1771.4. (a)  All of the following are applicable to all public line 9 works projects that are otherwise subject to the requirements of

line 10 this chapter: line 11 (1)  The call for bids and contract documents shall specify that line 12 the project is subject to compliance monitoring and enforcement line 13 by the Department of Industrial Relations. line 14 (2)  The awarding body shall post or require the prime contractor line 15 to post job site notices, as prescribed by regulation. line 16 (3)  Each contractor and subcontractor shall furnish the records line 17 specified in Section 1776 directly to the Labor Commissioner, in line 18 the following manner: line 19 (A)  At least monthly or more frequently if specified in the line 20 contract with the awarding body. line 21 (B)  In a format prescribed by the Labor Commissioner. line 22 (4)  If the contractor or subcontractor is not registered pursuant line 23 to Section 1725.5 and is performing work on a project for which line 24 registration is not required because of subdivision (f) of Section line 25 1725.5, the unregistered contractor or subcontractor is not line 26 required to furnish the records specified in Section 1776 directly line 27 to the Labor Commissioner but shall retain the records specified line 28 in Section 1776 for at least three years after completion of the line 29 work. line 30 (4) line 31 (5)  The department shall undertake those activities it deems line 32 necessary to monitor and enforce compliance with prevailing wage line 33 requirements. line 34 (b)  The Labor Commissioner may exempt a public works project line 35 from compliance with all or part of the requirements of subdivision line 36 (a) of this section if either of the following occurs: line 37 (1)  The awarding body has enforced an approved labor line 38 compliance program, as defined in Section 1771.5, on all public line 39 works projects under its authority, except those deemed exempt

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line 1 pursuant to subdivision (a) of Section 1771.5, continuously since line 2 December 31, 2011. line 3 (2)  The awarding body has entered into a collective bargaining line 4 agreement that binds all contractors performing work on the project line 5 and that includes a mechanism for resolving disputes about the line 6 payment of wages. line 7 (c)  (1)  The requirements of paragraph (1) of subdivision (a) line 8 shall only apply to contracts for public works projects awarded on line 9 or after January 1, 2015.

line 10 (2)  The requirements of paragraph (3) of subdivision (a) shall line 11 only apply to the following projects: line 12 (A)  Projects that were subject to a requirement to furnish records line 13 to the Compliance Monitoring Unit pursuant to Section 16461 of line 14 Title 8 of the California Code of Regulations, prior to the effective line 15 date of this section. line 16 (B)  Projects for which the initial contract is awarded on or after line 17 April 1, 2015. line 18 (C)  Any other ongoing project in which the Labor Commissioner line 19 directs the contractors or subcontractors on the project to furnish line 20 records in accordance with paragraph (3) of subdivision (a). line 21 (D)  All projects, whether new or ongoing, on or after January line 22 1, 2016. line 23 (d)  The requirements of paragraph (3) of subdivision (a) shall line 24 apply to all contracts for public work, whether new or ongoing, line 25 on or after January 1, 2016. line 26 SEC. 21. Section 1773.3 of the Labor Code is amended to read: line 27 1773.3. (a)  (1)  An awarding agency shall provide notice to line 28 the Department of Industrial Relations of any public works contract line 29 subject to the requirements of this chapter, within five days of the line 30 award. 30 days of the award, but in no event later than the first line 31 day in which a contractor has workers employed upon the public line 32 work. line 33 (2)  The notice shall be transmitted electronically in a format line 34 specified by the department and shall include the name of the line 35 contractor, and registration number issued by the Department of line 36 Industrial Relations pursuant to Section 1725.5 of the contractor, line 37 the name and registration number issued by the Department of line 38 Industrial Relations pursuant to Section 1725.5 of any line 39 subcontractor listed on the successful bid, the bid and contract line 40 award dates, the contract amount, the estimated start and

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line 1 completion dates, job site location, and any additional information line 2 the department specifies that aids in the administration and line 3 enforcement of this chapter. line 4 (b)  In lieu of responding to any specific request for contract line 5 award information, the department may make the information line 6 provided by awarding bodies pursuant to this section available for line 7 public review on its Internet Web site. line 8 (c)  (1)  An awarding agency that fails to provide the notice line 9 required by subdivision (a) or that enters into a contract with or

line 10 permits an unregistered contractor or subcontractor to engage in line 11 the performance of any public work in violation of the requirements line 12 of Section 1771.1, shall, in addition to any other sanction or line 13 penalty authorized by law, be subject to a civil penalty of one line 14 hundred dollars ($100) for each day in violation of either line 15 requirement, not to exceed an aggregate penalty of ten thousand line 16 dollars ($10,000) for each project. line 17 (2)  The Labor Commissioner shall use the same standards line 18 specified in subparagraph (A) of paragraph (2) of subdivision (a) line 19 of Section 1775 when determining the severity of the violation and line 20 what penalty to assess, and may waive the penalty for a first time line 21 violation that was unintentional and did not hinder the Labor line 22 Commissioner’s ability to monitor and enforce compliance with line 23 the requirements of this chapter. line 24 (d)  An awarding agency shall withhold final payment due to line 25 the contractor until at least 30 days after all of the required line 26 information in paragraph (2) of subdivision (a) has been submitted, line 27 including, but not limited to, providing a complete list of all line 28 subcontractors. If an awarding agency makes a final payment to line 29 a contractor after that time and an unregistered contractor or line 30 subcontractor is found to have worked on the project, the awarding line 31 agency shall be subject to a civil penalty assessed by the Labor line 32 Commissioner of one hundred dollars ($100) for each full calendar line 33 day of noncompliance, for a period of up to 100 days, for each line 34 unregistered contractor or subcontractor. line 35 (e)  The Labor Commissioner may issue a citation for civil line 36 penalties to the awarding body pursuant to subdivisions (c) and line 37 (d). The citation shall be served pursuant to Section 1013 of the line 38 Code of Civil Procedure by first-class and certified mail. line 39 (f)  Whenever the Labor Commissioner determines that an line 40 awarding agency has willfully violated the requirements of this

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line 1 section or chapter with respect to two or more public works line 2 contracts or projects in any 12-month period, the awarding agency line 3 shall be ineligible to receive state funding or financial assistance line 4 for any construction project undertaken by or on behalf of the line 5 awarding agency for one year, as defined by subdivision (d) of line 6 Section 1782. The debarment procedures adopted by the Labor line 7 Commissioner pursuant to Section 1777.1 shall apply to any line 8 determination made under this subdivision. line 9 (g)  A contractor or subcontractor shall not be liable for any

line 10 penalties assessed against an awarding agency pursuant to this line 11 section. An awarding agency may not require a contractor or line 12 subcontractor to indemnify or otherwise be liable for any penalties line 13 assessed against an awarding agency pursuant to this section. line 14 (h)  Penalties received pursuant to this section shall be deposited line 15 in the State Public Works Enforcement Fund established by Section line 16 1771.3 and shall be used only for the purposes specified in that line 17 section. line 18 (i)  This section shall apply only if the public works contract is line 19 for a project of greater than twenty-five thousand dollars ($25,000) line 20 when the project is for construction, alteration, demolition, line 21 installation, or repair work or if the public works contract is for line 22 a project of greater than fifteen thousand dollars ($15,000) when line 23 the project is for maintenance work. line 24 SEC. 22. Section 1773.6 of the Labor Code is amended to read: line 25 1773.6. If during any quarterly period the Director of Industrial line 26 Relations shall determine that there has been a change in any line 27 prevailing rate of per diem wages in any locality he or she shall line 28 make such change available to the awarding body and his or her line 29 determination shall be final. Such determination by the Director line 30 of Industrial Relations shall not be effective as to any contract for line 31 which the notice to bidders has been published. line 32 SEC. 23. Section 1778 of the Labor Code is amended to read: line 33 1778. Every person, who individually or as a representative of line 34 an awarding or public body or officer, or as a contractor or line 35 subcontractor doing public work, or agent or officer thereof, who line 36 takes, receives, or conspires with another to take or receive, for line 37 his or her own use or the use of any other person any portion of line 38 the wages of any workman worker or working subcontractor, in line 39 connection with services rendered upon any public work is guilty line 40 of a felony.

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line 1 SEC. 24. Section 1780 of the Labor Code is amended to read: line 2 1780. Any person acting on behalf of the State or any political line 3 subdivision, or any contractor or subcontractor or agent or line 4 representative thereof, doing any public work who places any order line 5 for the employment of a workman worker on public work where line 6 the filling of the order for employment involves the charging of a line 7 fee, or the receiving of a valuable consideration from any applicant line 8 for employment is guilty of a misdemeanor. line 9 SEC. 25. Section 1811 of the Labor Code is amended to read:

line 10 1811. The time of service of any workman worker employed line 11 upon public work is limited and restricted to 8 eight hours during line 12 any one calendar day, and 40 hours during any one calendar week, line 13 except as hereinafter provided for under Section 1815. line 14 SEC. 26. Section 1860 of the Labor Code is amended to read: line 15 1860. The awarding body shall cause to be inserted in every line 16 public works contract a clause providing that, in accordance with line 17 the provisions of Section 3700 of the Labor Code, 3700, every line 18 contractor will be required to secure the payment of compensation line 19 to his or her employees. line 20 SEC. 27. Section 2065 of the Labor Code is amended to read: line 21 2065. (a)  The Car Wash Worker Restitution Fund is established line 22 in the State Treasury. line 23 (1)  The following moneys shall be deposited into this fund: line 24 (A)  The annual fee required pursuant to subdivision (b) of line 25 Section 2059. line 26 (B)  Fifty percent of the fines collected pursuant to Section 2064. line 27 (C)  Pursuant to subdivision (b) of Section 2059, an amount line 28 equal to 20 percent of the initial registration fee required pursuant line 29 to subdivision (a) of Section 2059. line 30 (2)  Upon appropriation by the Legislature, the moneys in the line 31 fund shall be disbursed by the commissioner only to persons line 32 determined by the commissioner to have been damaged by the line 33 failure to pay wages and penalties and other related damages by line 34 any employer, to employer. line 35 (A)  In making this determination, the Labor Commissioner shall line 36 disburse amounts from the fund to ensure the payment of wages line 37 and penalties and other related damages. Any wages, interest, and line 38 any damages or other monetary relief arising from the violation line 39 of orders of the Industrial Welfare Commission or from a violation line 40 of this code, including statutory penalties recoverable by an

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line 1 employee, determined to be due to a car wash worker as a result line 2 of a violation of this code by a registered or unregistered car wash line 3 business. line 4 (B)  Any disbursement shall be made pursuant to a claim for line 5 recovery from the fund in accordance with procedures prescribed line 6 by the Labor Commissioner. line 7 (C)  Any disbursed funds subsequently recovered by the line 8 commissioner Labor Commissioner from a liable party pursuant line 9 to an assignment of the claim to the commissioner for recovery of

line 10 due amounts, including recovery from a surety under a bond line 11 pursuant to Section 2055, or which are otherwise recovered by line 12 the Labor Commissioner from a liable party, shall be returned to line 13 the fund. line 14 (b)  The Car Wash Worker Fund is established in the State line 15 Treasury. line 16 (1)  The following moneys shall be deposited into this fund: line 17 (A)  Fifty percent of the fines collected pursuant to Section 2064. line 18 (B)  The initial registration fee required pursuant to subdivision line 19 (a) of Section 2059, less the amount specified in subparagraph (C) line 20 of paragraph (1) of subdivision (a). line 21 (2)  Upon appropriation by the Legislature, the moneys in this line 22 fund shall be applied to all direct and indirect costs incurred by line 23 the commissioner in administering this part and all direct and line 24 indirect costs of enforcement and investigation of the car washing line 25 and polishing industry. line 26 (c)  The Department of Industrial Relations may establish by line 27 regulation those procedures necessary to carry out this section. line 28 SEC. 28. Section 2675.5 of the Labor Code is amended to read: line 29 2675.5. (a)  The commissioner shall deposit seventy-five dollars line 30 ($75) of each registrant’s annual registration fee, required pursuant line 31 to paragraph (5) of subdivision (a) of Section 2675, into one line 32 separate account. Funds from the separate account shall be line 33 disbursed by the commissioner only to persons determined by the line 34 commissioner to have been damaged by the failure to pay wages line 35 and benefits by any garment manufacturer, jobber, contractor, or line 36 subcontractor after exhausting a bond, if any, to subcontractor. line 37 (1)  In making these determinations, the Labor Commissioner line 38 shall disburse amounts from the fund to ensure the payment of line 39 wages and benefits. Any benefits, interest, and any damages or line 40 other monetary relief arising from the violation of orders of the

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line 1 Industrial Welfare Commission or from a violation of this code, line 2 including statutory penalties recoverable by an employee, line 3 determined to be due to a garment worker by a registered or line 4 unregistered garment business. line 5 (2)  A disbursement shall be made pursuant to a claim for line 6 recovery from the fund in accordance with procedures prescribed line 7 by the Labor Commissioner. line 8 (3)  Any disbursed funds subsequently recovered by the line 9 commissioner Labor Commissioner, pursuant to an assignment

line 10 of the claim to the commissioner for recovery, including recovery line 11 from a surety under a bond pursuant to Section 2675.5, or line 12 otherwise recovered by the Labor Commissioner from a liable line 13 party, shall be returned to the separate account. line 14 (b)  The remainder of each registrant’s annual registration fee line 15 not deposited into the special account pursuant to subdivision (a) line 16 shall be deposited in a subaccount and applied to costs incurred line 17 by the commissioner in administering the provisions of Section line 18 2673.1, Section 2675, and this section, upon appropriation by the line 19 Legislature. line 20 SEC. 29. Section 6310 of the Labor Code is amended to read: line 21 6310. (a)  No person shall discharge or in any manner line 22 discriminate against any employee because the employee has done line 23 any of the following: line 24 (1)  Made any oral or written complaint to the division, other line 25 governmental agencies having statutory responsibility for or line 26 assisting the division with reference to employee safety or health, line 27 his or her employer, or his or her representative. line 28 (2)  Instituted or caused to be instituted any proceeding under line 29 or relating to his or her rights or has testified or is about to testify line 30 in the proceeding or because of the exercise by the employee on line 31 behalf of himself, herself, or others of any rights afforded him or line 32 her. line 33 (3)  Participated in an occupational health and safety committee line 34 established pursuant to Section 6401.7. line 35 (4)  Reported a work-related fatality, injury, or illness, requested line 36 access to occupational injury or illness reports and records that line 37 are made or maintained pursuant to Subchapter 1 (commencing line 38 with section 14000) of Chapter 1 of Division 1 of Title 8 of the line 39 California Code of Regulations, or exercised any other rights line 40 protected by the federal Occupational Safety and Health Act (29

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line 1 U.S.C. Sec. 651 et seq.), except in cases where the employee alleges line 2 he or she has been retaliated against because he or she has filed line 3 or made known his or her intention to file a workers compensation line 4 claim pursuant to Section 132a, which is under the exclusive line 5 jurisdiction of the Workers Compensation Appeals Board. line 6 (b)  Any employee who is discharged, threatened with discharge, line 7 demoted, suspended, or in any other manner discriminated against line 8 in the terms and conditions of employment by his or her employer line 9 because the employee has made a bona fide oral or written

line 10 complaint to the division, other governmental agencies having line 11 statutory responsibility for or assisting the division with reference line 12 to employee safety or health, his or her employer, or his or her line 13 representative, of unsafe working conditions, or work practices, line 14 in his or her employment or place of employment, or has line 15 participated in an employer-employee occupational health and line 16 safety committee, shall be entitled to reinstatement and line 17 reimbursement for lost wages and work benefits caused by the acts line 18 of the employer. Any employer who willfully refuses to rehire, line 19 promote, or otherwise restore an employee or former employee line 20 who has been determined to be eligible for rehiring or promotion line 21 by a grievance procedure, arbitration, or hearing authorized by line 22 law, is guilty of a misdemeanor. line 23 (c)  An employer, or a person acting on behalf of the employer, line 24 shall not retaliate against an employee because the employee is a line 25 family member of a person who has, or is perceived to have, line 26 engaged in any acts protected by this section. line 27 (d)  For purposes of this section, “employer” or “a person acting line 28 on behalf of the employer” includes, but is not limited to, a client line 29 employer as defined in paragraph (1) of subdivision (a) of Section line 30 2810.3 and an employer listed in subdivision (b) of Section 6400. line 31 SEC. 30. Section 6427 of the Labor Code is amended to read: line 32 6427. (a)  Any employer who violates any occupational safety line 33 or health standard, order, or special order, or Section 25910 of the line 34 Health and Safety Code, and the violation is specifically determined line 35 not to be of a serious nature, may be assessed a civil penalty of up line 36 to seven thousand dollars ($7,000) twelve thousand four hundred line 37 seventy-one dollars ($12,471) for each violation. line 38 (b)  Commencing on January 1, 2018, and each January 1 line 39 thereafter, the maximum penalty amount specified in this section line 40 shall be increased based on the percentage increase in the

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line 1 Consumer Price Index for All Urban Consumers (CPI-U), not line 2 seasonally adjusted, for the month of October immediately line 3 preceding the date of the adjustment, as compared to the prior line 4 year’s October CPI-U. Any regulation issued pursuant to this line 5 section increasing penalty amounts based on the annual increase line 6 in the CPI-U shall be exempt from the rulemaking provisions of line 7 the Administrative Procedure Act (Chapter 3.5 (commencing with line 8 Section 11340) of Part 1 of Division 3 of Title 2 of the Government line 9 Code), except that the regulation shall be filed with the Office of

line 10 Administrative Law for publication in the California Code of line 11 Regulations. Any penalty shall be calculated using the penalty line 12 amounts in effect during the calendar year in which the citation line 13 was issued. line 14 SEC. 31. Section 6429 of the Labor Code is amended to read: line 15 6429. (a)  (1)  Any employer who willfully or repeatedly line 16 violates any occupational safety or health standard, order, or special line 17 order, or Section 25910 of the Health and Safety Code, may be line 18 assessed a civil penalty of not more than seventy thousand dollars line 19 ($70,000) one hundred twenty-four thousand seven hundred nine line 20 dollars ($124,709) for each violation, but in no case less than five line 21 thousand dollars ($5,000) eight thousand nine hundred eight line 22 dollars ($8,908) for each willful violation. line 23 (2)  Commencing on January 1, 2018, and each January 1 line 24 thereafter, the penalty amounts specified in this section shall be line 25 increased based on the percentage increase in the Consumer Price line 26 Index for All Urban Consumers (CPI-U), not seasonally adjusted, line 27 for the month of October immediately preceding the date of the line 28 adjustment, as compared to the prior year’s October CPI-U. Any line 29 regulation issued pursuant to this section increasing penalty line 30 amounts based on the annual increase in the CPI-U shall be exempt line 31 from the rulemaking provisions of the Administrative Procedure line 32 Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of line 33 Division 3 of Title 2 of the Government Code), except that the line 34 regulation shall be filed with the Office of Administrative Law for line 35 publication in the California Code of Regulations. Any penalty line 36 shall be calculated using the penalty amounts in effect during the line 37 calendar year in which the citation was issued. line 38 (b)  Any employer who repeatedly violates any occupational line 39 safety or health standard, order, or special order, or Section 25910 line 40 of the Health and Safety Code, shall not receive any adjustment

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line 1 of a penalty assessed pursuant to this section on the basis of the line 2 regulations promulgated pursuant to subdivision (c) of Section line 3 6319 pertaining to the good faith of the employer or the history of line 4 previous violations of the employer. line 5 (c)  The division shall preserve and maintain records of its line 6 investigations and inspections and citations for a period of not less line 7 than seven years. line 8 SEC. 32. Section 6431 of the Labor Code is amended to read: line 9 6431. (a)  Any employer who violates any of the posting or

line 10 recordkeeping requirements as prescribed by regulations adopted line 11 pursuant to Sections 6408 and 6410, or who fails to post any notice line 12 required by Section 3550, shall be assessed a civil penalty of up line 13 to seven thousand dollars ($7,000) twelve thousand four hundred line 14 seventy-one dollars ($12,471) for each violation. line 15 (b)  Commencing on January 1, 2018, and each January 1 line 16 thereafter, the maximum penalty amount specified in this section line 17 shall be increased based on the percentage increase in the line 18 Consumer Price Index for All Urban Consumers (CPI-U), not line 19 seasonally adjusted, for the month of October immediately line 20 preceding the date of the adjustment, as compared to the prior line 21 year’s October CPI-U. Any regulation issued pursuant to this line 22 section increasing maximum penalty amounts based on the annual line 23 increase in the CPI-U shall be exempt from the rulemaking line 24 provisions of the Administrative Procedure Act (Chapter 3.5 line 25 (commencing with Section 11340) of Part 1 of Division 3 of Title line 26 2 of the Government Code), except that the regulation shall be line 27 filed with the Office of Administrative Law for publication in the line 28 California Code of Regulations. Any penalty shall be calculated line 29 using the penalty amounts in effect during the calendar year in line 30 which the citation was issued. line 31 SEC. 33. Section 6505.5 of the Labor Code is amended to read: line 32 6505.5. (a)  The division may, upon good cause shown, and line 33 after notice to the employer or contractor by the division and an line 34 opportunity to be heard, revoke or suspend any registration issued line 35 to the employer or contractor to do asbestos-related work until line 36 certain specified written conditions are met. line 37 (b)  Any person who owns a commercial or industrial building line 38 or structure, any employer who engages in or contracts for line 39 asbestos-related work, any contractor, public agency, or any line 40 employee acting for any of the foregoing, who, contracts for, or

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line 1 who begins, asbestos-related work in any commercial or industrial line 2 building or structure built prior to 1978 without first determining line 3 if asbestos-containing material is present, and thereby fails to line 4 comply with the applicable laws and regulations, is subject to one line 5 of the following penalties: line 6 (1)  For a knowing or negligent violation, a fine of not more than line 7 five thousand dollars ($5,000) or imprisonment in the county jail line 8 for not more than six months, or both the fine and imprisonment. line 9 (2)  For a willful violation which results in death, serious injury

line 10 or illness, or serious exposure, a fine of not more than ten thousand line 11 dollars ($10,000) or imprisonment in the county jail for not more line 12 than one year, or both the fine and imprisonment. A second or line 13 subsequent conviction under this paragraph may be punishable by line 14 a fine of not more than twenty thousand dollars ($20,000) or by line 15 imprisonment in the county jail for not more than one year, or by line 16 both the fine and imprisonment. line 17 (3)  A civil penalty of not more than two thousand dollars line 18 ($2,000) for each violation, to be imposed pursuant to the line 19 procedures set forth in Sections 6317, 6318, and 6319. line 20 (4)  For a willful or repeat violation, a civil penalty of not more line 21 than twenty thousand dollars ($20,000) for each violation. line 22 (c)  It is a defense to an action for violation of this section if the line 23 owner, contractor, employer, public agency, or agent thereof, line 24 proves, by a preponderance of the evidence, that he or she made line 25 a reasonable effort to determine whether asbestos was present. line 26 SEC. 34. Section 7381 of the Labor Code is amended to read: line 27 7381. (a)  Notwithstanding Sections 6319 and 6425, if serious line 28 injury or death is caused by any serious or willful repeated violation line 29 of a crane standard, order, or special order, or by any failure to line 30 correct a serious violation of a crane standard, order, or special line 31 order within the time specified for its correction, the employer line 32 shall be assessed a civil penalty in an amount equal to double the line 33 maximum penalty allowable for each violation contributing to the line 34 injury or death. line 35 (b)  Notwithstanding any provision of this division, any employer line 36 who violates any tower crane standard, order, or special order, if line 37 that violation is a serious violation, shall be assessed a civil penalty line 38 of not less than one thousand dollars ($1,000) nor more than two line 39 thousand dollars ($2,000) for each serious violation. The penalty line 40 shall not be reduced for any of the reasons listed in Section 6319.

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line 1 SEC. 35. Section 9060 of the Labor Code is amended to read: line 2 9060. The civil penalties prescribed by Chapter 4 (commencing line 3 with Section 6423) of Part 1 shall be applicable to violations of line 4 standards and special orders regulating the use of carcinogens, line 5 except as modified by the following: line 6 (a)  A civil penalty assessed against an employer because of line 7 failure to report, as required by standards specified in Section 9030, line 8 shall be not less than five hundred dollars ($500). line 9 (b)  A civil penalty assessed against an employer for a serious

line 10 violation, as defined in Section 9061, involving use of a carcinogen line 11 in violation of standards or special orders, except as provided by line 12 subdivision (d) and by Section 6429, shall be in the amount of two line 13 thousand dollars ($2,000). line 14 (c) line 15 (b)  A civil penalty assessed pursuant to Section 6429 for line 16 repeated violations of standards or special orders specified in line 17 subdivision (a) shall be not less than five thousand dollars ($5,000). line 18 (d) line 19 (c)  A civil penalty assessed pursuant to Section 6429 for line 20 repeated serious violations of standards or special orders specified line 21 in subdivision (b) shall be not less than ten thousand dollars line 22 ($10,000). line 23 The maximum limitations on civil penalties specified in Chapter line 24 4 (commencing with Section 6423) of Part 1 shall be applicable line 25 to civil penalties for which the minimum amount is prescribed by line 26 subdivision (a), (c), or (d). (b), or (c). Nothing in this section shall line 27 supersede any provision of law prescribing criminal offenses or line 28 penalties. line 29 SEC. 36. It is the intent of the Legislature that any increased line 30 revenues resulting from the changes made by this act in the line 31 Military and Veterans Code other than in Sections 1410, 1412, line 32 and 1416 of that code, especially increased revenues due to line 33 increases in federal participation, remain in the CalVet budget. line 34 The funds should be used to expand supportive services to other line 35 veterans and their families, including transition services, housing line 36 assistance, health services, mental health services, small business line 37 assistance, and employment services and job training. line 38 SEC. 37. Section 79.3 is added to the Military and Veterans line 39 Code, to read:

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line 1 79.3. (a)  Notwithstanding any other law, the department may line 2 adopt, amend, or repeal regulations concerning the administration line 3 and operation of the Veterans’ Home of California. Except as line 4 otherwise provided, these regulations shall be adopted pursuant line 5 to the Administrative Procedure Act (Chapter 3.5 (commencing line 6 with Section 11340) of Part 1 of Division 3 of Title 2 of the line 7 Government Code). line 8 (b)  The department may adopt, amend, and repeal emergency line 9 regulations concerning the administration and operation of the

line 10 Veterans’ Home of California in compliance with Section 11346.1 line 11 of the Government Code. However, if special circumstances, as line 12 defined in subdivision (c), are present, then those regulations shall line 13 not be subject to the requirements regarding findings of emergency line 14 in paragraph (2) of subdivision (b) of Section 11346.1 of the line 15 Government Code. The emergency regulations adopted pursuant line 16 to this subdivision shall remain in effect for one year, or until the line 17 effective date of regulations adopted pursuant to subdivision (a), line 18 whichever is earlier. line 19 (c)  Special circumstances shall be deemed to exist if the line 20 Secretary of Veterans Affairs states in writing to the Office of line 21 Administrative Law and the Department of Finance that the line 22 adoption, amendment, or repeal is necessary for one or more of line 23 the following reasons: line 24 (1)  The possible loss or delay in the receipt of federal, state, or line 25 local funding. line 26 (2)  The need to maintain licensing or certification by a state or line 27 federal agency for any Veterans’ Home of California facility or line 28 program. line 29 (3)  The need to protect against a serious and immediate threat line 30 to the health or safety of residents or staff in one or more of the line 31 facilities of the Veterans’ Home of California. line 32 (4)  The urgent need to comply immediately with line 33 recommendations of the Department of Finance or the California line 34 State Auditor. line 35 SEC. 38. Section 79.4 is added to the Military and Veterans line 36 Code, to read: line 37 79.4. (a)  The department shall do all of the following line 38 concerning the operation and administration of the veterans’ line 39 homes:

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line 1 (1)  Take the necessary steps to ensure that all medical or other line 2 facilities under its jurisdiction satisfy all applicable federal and line 3 state and local licensing, certification, and other approval line 4 requirements, including, but not limited to, the requirements of line 5 the United States Department of Veterans Affairs, the federal line 6 Centers for Medicare and Medicaid Services, the State Department line 7 of Public Health, the State Department of Social Services, and the line 8 California State Board of Pharmacy, including preparation of line 9 plans of correction as required.

line 10 (2)  Develop and maintain clinical policies and procedures, line 11 including all of the following: line 12 (A)  Community standards for best clinical practices, including, line 13 but not limited to, practices recommended by the federal Centers line 14 for Disease Control and Prevention and the federal Centers for line 15 Medicare and Medicaid Services. line 16 (B)  The appropriate clinical standard of practice. line 17 (C)  Adopt fire and life safety policies and procedures consistent line 18 with the requirements of the State Fire Marshal and other line 19 applicable regulatory and licensing agencies. line 20 (D)  Adopt earthquake and environmental protection policies line 21 and procedures. line 22 (b)  The department may adopt regulations to implement this line 23 section. The adoption, amendment, or repeal of a regulation line 24 authorized by this section is hereby exempted from the rulemaking line 25 provisions of the Administrative Procedure Act (Chapter 3.5 line 26 (commencing with Section 11340) of Part 1 of Division 3 of Title line 27 2 of the Government Code). line 28 SEC. 39. Section 1010 of the Military and Veterans Code is line 29 repealed. line 30 1010. As used in this chapter: line 31 (a)  “Home” means the Veterans’ Home of California, line 32 Yountville, and the Veterans’ Home of California, Barstow. line 33 (b)  “Administrator” means the Administrator of the Veterans’ line 34 Home of California, Yountville, and the Administrator of each site line 35 of the southern California Veterans’ Home, including, but not line 36 limited to, the Veterans’ Home of California, Barstow. line 37 (c)  “Department” means the Department of Veterans Affairs. line 38 (d)  “Director” means the Director of Veterans Affairs. line 39 (e)  “Veteran” means a member of the home.

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line 1 SEC. 40. Section 1010 is added to the Military and Veterans line 2 Code, to read: line 3 1010. As used in this chapter: line 4 (a)  “Home” means any facility operated by the department for line 5 the provision of long-term care, assisted living, adult day health, line 6 independent living, or other health care services to eligible line 7 veterans. The Veterans’ Home of California system is comprised line 8 of the following subsidiary home locations: line 9 (1)  The Veterans’ Home of California, Yountville, in Napa

line 10 County. line 11 (2)  The Veterans’ Home of California, Barstow, in San line 12 Bernardino County. line 13 (3)  The Veterans’ Home of California, Chula Vista, in San Diego line 14 County. line 15 (4)  The Veterans’ Home of California, West Los Angeles, in line 16 Los Angeles County. line 17 (5)  The Veterans’ Home of California, Lancaster, in Los Angeles line 18 County. line 19 (6)  The Veterans’ Home of California, Ventura, in Ventura line 20 County. line 21 (7)  The Veterans’ Home of California, Fresno, in Fresno line 22 County. line 23 (8)  The Veterans’ Home of California, Redding, in Shasta line 24 County. line 25 (b)  “Administrator” means the senior executive appointed to line 26 operate a home. line 27 (c)  “Department” means the Department of Veterans Affairs. line 28 (d)  “Member” means a veteran or nonveteran spouse or line 29 domestic partner who has been admitted to residency at a veterans’ line 30 home. line 31 (e)  “Secretary” means the Secretary of Veterans Affairs. line 32 (f)  “Veteran” means a person who is eligible for benefits under line 33 this chapter. line 34 SEC. 41. Section 1011 of the Military and Veterans Code is line 35 repealed. line 36 1011. (a)  There is in the department a Veterans’ Home of line 37 California, Yountville, situated at Veterans’ Home, Napa County. line 38 (b)  (1)  The department may establish and construct a second line 39 home that shall be situated in the County of Imperial, Los Angeles, line 40 Orange, Riverside, San Bernardino, San Diego, or Ventura. The

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line 1 home may be located on one or more sites. The department shall line 2 operate the second home concurrently with the first home. line 3 (2)  The initial site is the Veterans’ Home of California, Barstow, line 4 situated in Barstow, San Bernardino County. That site may provide line 5 skilled nursing care for up to 250 residents. line 6 (3)  When completed, the second site shall be the Veterans’ line 7 Home of California, Chula Vista, situated in Chula Vista, San line 8 Diego County, pursuant to the recommendations made by the line 9 commission established pursuant to former Section 1011.5.

line 10 (4)  When completed, the third site shall be the Veterans’ Home line 11 of California, Lancaster, situated in Lancaster, Los Angeles County, line 12 pursuant to the recommendations made by the commission line 13 established pursuant to former Section 1011.5. line 14 (5)  When completed, the fourth site shall be the Veterans’ Home line 15 of California, Ventura, situated in the community of Saticoy, line 16 Ventura County. line 17 (6)  There shall be an administrator for, and located at, each site line 18 of the southern California home. line 19 (7)  The department may complete any preapplication process line 20 necessary with the United States Department of Veterans Affairs line 21 for construction of the second home. line 22 (c)  The Legislature hereby finds and declares that the second line 23 home is a new state function. The department may perform any line 24 or all work in operating the second home by independent line 25 contractors, except the overall administration and management of line 26 the home. Any and all actions of the department taken before line 27 September 17, 1996, that are consistent with this subdivision are line 28 hereby ratified and confirmed, it having at all times been the intent line 29 of the Legislature that the department be so authorized. line 30 (d)  There shall be an administrator for each home or homesite, line 31 who shall be recommended by the Secretary of Veterans Affairs line 32 and appointed by the Governor, and shall be located at that home line 33 or homesite. The salary for each administrator shall be subject to line 34 the approval of the Department of Human Resources. line 35 SEC. 42. Section 1011 is added to the Military and Veterans line 36 Code, to read: line 37 1011. (a)  There is in the department a Veterans’ Home of line 38 California system, as defined in subdivision (a) of Section 1010. line 39 (b)  There shall be an administrator for each home or homesite line 40 in that system, who shall be recommended by the Secretary of

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line 1 Veterans Affairs and appointed by the Governor, and shall be line 2 located at that home or homesite. The salary for each administrator line 3 shall be subject to the approval of the Department of Human line 4 Resources. line 5 SEC. 43. Section 1012 of the Military and Veterans Code is line 6 amended to read: line 7 1012. (a)  Except as provided in Section 1012.4, the home is line 8 veterans’ homes are for aged and or disabled persons who served line 9 in the Armed Forces of the United States of America who were

line 10 discharged or released from active duty under honorable conditions line 11 from service, conditions other than dishonorable, who are eligible line 12 for health care benefits, hospitalization or domiciliary care in a line 13 veterans’ facility in accordance with the rules and regulations of line 14 the United States Department of Veterans Affairs, and who are line 15 bona fide residents of this state at the time of application; and for line 16 the spouses or domestic partners of these persons if all of the line 17 following conditions, as are applicable, are satisfied: line 18 (1)  Space is available. line 19 (2)  Joint residency will be in the best interests of the home line 20 member, as determined by the administrator. line 21 (3)  The spouse or domestic partner is a bona fide resident of line 22 this state at the time of application for admission to the home and line 23 either is married to, and has resided with, the home member veteran line 24 applicant for at least one year, or is the widow or widower of a line 25 recipient of the Medal of Honor or a former prisoner of war (POW). line 26 (4)  The home member and spouse or domestic partner agree to line 27 pay the fees and charges for joint residency, or for a widow or line 28 widower, for the residency, that the administrator department may line 29 establish. line 30 (b)  (1)  Veterans who qualify for benefits under this chapter due line 31 to service during a time of war shall be given priority over veterans line 32 who qualify due to service during a time of peace. line 33 (2)  Veterans who qualify for benefits under this chapter who line 34 are recipients of the Medal of Honor or who were prisoners of war line 35 (POWs) shall be given priority over all other qualified veterans, line 36 regardless of the level of care required. line 37 (3)  Veterans who qualify for benefits under this chapter who line 38 have been rated by the United States Department of Veterans line 39 Affairs as being 70 percent or greater service-connected disabled line 40 may be given priority over other veterans.

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line 1 (4)  The secretary may establish needs-based criteria for line 2 admission to the homes, and any veteran meeting those criteria line 3 may be given priority over veterans who do not qualify for line 4 prioritization under paragraph (2) or (3) and can afford to provide line 5 for their own care elsewhere. line 6 (5)  Paragraphs (3) and (4) shall not apply to veterans who, as line 7 of January 1, 2018, are on a wait list awaiting admission to a line 8 veterans’ home. line 9 (c)  A resident spouse A member spouse or domestic partner

line 10 may continue residence after the veteran’s death. death so long as line 11 they continue to pay all applicable fees. line 12 (d)  The property of the home shall be used for this purpose. line 13 SEC. 44. Section 1012.1 of the Military and Veterans Code is line 14 amended to read: line 15 1012.1. (a)  Prior to the admission of a veteran veteran, spouse, line 16 or domestic partner as a member of the a home, and at any time line 17 during which a veteran veteran, spouse, or domestic partner is a line 18 member of the a home, the department may investigate the line 19 veterans’ an applicant’s or member’s financial status to insure or line 20 personal background to determine the applicant’s or member’s line 21 income, assets, and suitability for residence at a home to ensure line 22 that the veteran is unable to pay for necessary hospital or line 23 domiciliary care outside of the home. The department may contract line 24 with any other state state, federal, or private agency to conduct line 25 such an the investigation in its behalf. line 26 (b)  Providing false financial and other information by an line 27 applicant or member or nonpayment of fees may be grounds for line 28 financial penalties or denial of admission to, or discharge from, line 29 a home. line 30 SEC. 45. Section 1012.2 of the Military and Veterans Code is line 31 amended to read: line 32 1012.2. (a)  (1)  Notwithstanding any other law, any member line 33 of the home who is receiving an aid and attendance allowance line 34 from the United States Department of Veterans Affairs and who line 35 has no dependent spouse, child, grandchild, father, or mother for line 36 his or her own care shall pay to the home an amount equal to that line 37 allowance in all levels of care excluding domiciliary. line 38 (2)  Paragraph (1) shall not apply to a member of the a home line 39 who is in intermediate care or skilled nursing care and has a line 40 disability that has been rated by the United States Department of

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line 1 Veterans Affairs as being 70 percent or more service-connected, line 2 as determined under Part 4 of Title 38 of the Code of Federal line 3 Regulations. line 4 (b)  One hundred percent of the moneys received by the a home line 5 under this section shall be placed to the credit of the home and line 6 shall augment the current appropriation for the support of the home. line 7 SEC. 46. Section 1012.3 of the Military and Veterans Code is line 8 amended to read: line 9 1012.3. (a)  Members of the a home, including members who

line 10 are nonveteran spouses, spouses or domestic partners, shall pay line 11 fees and charges as determined by the department, department to line 12 cover room and board and other expenses defined in regulations, line 13 except that the total of the individual member’s fees and charges line 14 for any fiscal year shall not be greater than as set forth in the line 15 following schedule: line 16 (1)  Forty-seven and one-half percent of the member’s annual line 17 income for domiciliary care. line 18 (2)  Fifty-five percent of the member’s annual income for line 19 residential care for the elderly or assisted living. line 20 (3)  Sixty-five percent of the member’s annual income for line 21 intermediate care. line 22 (4)  Seventy percent of the member’s annual income for skilled line 23 nursing care. line 24 (b)  Subdivision (a) shall not apply to a member of the a home line 25 who is in intermediate care or skilled nursing care and has a line 26 disability that has been rated by the United States Department of line 27 Veterans Affairs as being 70 percent or more service-connected, line 28 as determined under Part 4 of Title 38 of the Code of Federal line 29 Regulations and whose related payments made under Section 51.41 line 30 of Title 38 of the Code of Federal Regulations are considered by line 31 the United States Department of Veterans Affairs as payment in line 32 full for the member’s care. line 33 (c)  Subdivision (a) shall not apply to penalties for late fee line 34 payment. line 35 (d)  Failure to pay the required fees may be cause for the line 36 administrator to refer the member to collections or dismiss the line 37 member from the home. line 38 SEC. 47. Section 1012.4 of the Military and Veterans Code is line 39 amended to read:

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line 1 1012.4. Notwithstanding Section 1012, the department may line 2 arrange by contract or any other form of agreement with the United line 3 States Department of Veterans Affairs to do both all of the line 4 following: line 5 (a)  Authorize veterans, collateral dependents, and other line 6 beneficiaries authorized by the United States Department of line 7 Veterans Affairs, who are not residents of the members of a line 8 Veterans’ Home of California, Yountville, to receive outpatient line 9 medical services at that home.

line 10 (b)  Establish rates for reimbursement from the federal line 11 government to the State of California for outpatient services line 12 rendered by the a Veterans’ Home of California, Yountville line 13 California to veterans who are authorized under subdivision (a). line 14 (c)  Establish and charge fees for outpatient services rendered line 15 by a Veterans’ Home of California. line 16 (c) line 17 (d)  The outpatient services and reimbursement procedures line 18 authorized under subdivisions (a) and (b) (a), (b), and (c) may be line 19 established for the veterans’ home located in Barstow, California, line 20 and any veterans’ home constructed within the state on or after line 21 January 1, 2000. any veterans’ home established by the department. line 22 SEC. 48. Section 1012.6 of the Military and Veterans Code is line 23 repealed. line 24 1012.6. The department may accept and process applications line 25 from veterans who are seeking residency at a home, beginning on line 26 the start date of construction of that particular home. line 27 SEC. 49. Section 1014 of the Military and Veterans Code is line 28 repealed. line 29 1014. The home shall be under the management and control line 30 of the department and subject to the policies adopted by the line 31 California Veterans Board. line 32 SEC. 50. Section 1015 of the Military and Veterans Code is line 33 repealed. line 34 1015. (a)  It is the intent of the Legislature that installation of line 35 air-conditioning at the hospital and related buildings of the home line 36 be given high priority whenever any new construction or line 37 reconstruction is done, and that this construction or reconstruction line 38 be accelerated so as to accomplish the purposes of this section. line 39 The department shall, in this connection, consider whether line 40 construction of a new hospital facility at the home may be more

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line 1 cost-effective than renovation of the existing facility. The Master line 2 Plan for the Veterans’ Home of California construction schedule line 3 shall be revised to reflect this acceleration. The department shall line 4 submit the revised schedule to the Legislature on or before line 5 November 1, 1984. For each additional year of the master plan line 6 following the 1984–85 fiscal year, the Governor’s Budget shall line 7 include an appropriation in an amount necessary to complete all line 8 projects relating to the installation of air-conditioning as shown line 9 in the revised schedule.

line 10 (b)  The sum of ninety-one thousand dollars ($91,000) is hereby line 11 appropriated from the Special Account for Capital Outlay in the line 12 General Fund to the Department of Veterans Affairs for expenditure line 13 during the 1984–85 fiscal year for the purposes of subdivision (a) line 14 in accordance with the following schedule: line 15 line 16 line 17 16,000

Renovate hospital support services(preliminary plans)....................................................................

line 18 line 19 45,000

Hospital wards 1, 2, 3A (SNF)(preliminary plans)....................................................................

line 20 line 21 30,000

Section B (ICF)(preliminary plans)....................................................................

line 22 line 23 (c)  Notwithstanding any other provision of law, the department, line 24 through the Office of the State Architect, may prepare and advertise line 25 bids for any master plan project in advance of funds being line 26 appropriated by the Legislature, but shall not award any contract line 27 for construction of the project until construction funds are available line 28 and appropriated therefor. line 29 (d)  No contract for construction of any project related to the line 30 master plan shall be entered into prior to the department’s obtaining line 31 a written commitment from the federal government to fund either line 32 65 percent of the project cost, as approved by the federal line 33 government, or the maximum amount available to the state. line 34 SEC. 51. Section 1023 of the Military and Veterans Code is line 35 amended to read: line 36 1023. (a)  The department may sue and be sued in any of the line 37 courts of this state. All property held by the department for the a line 38 home shall be held in trust for the state and for the use and benefit line 39 of the home. The administrator department shall manage the home line 40 and administer its homes and administer their affairs, and, subject

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line 1 to the direction of the director, secretary, adopt rules and line 2 regulations for the government of the home homes in conformity, line 3 as nearly as possible, to the rules and regulations of the United line 4 States Department of Veterans Affairs for their facilities. line 5 (b)  The Director of General Services may lease or let any real line 6 property held by the department for the a home, and not needed line 7 for any direct or immediate purpose of the home, to any entity or line 8 person upon terms and conditions determined to be in the best line 9 interests of the home. In any leasing or letting, primary

line 10 consideration shall be given to the use of real property for line 11 agricultural purposes, and except as provided in Section 1048, all line 12 moneys received in connection therewith shall be deposited in the line 13 General Fund to the credit of, and shall augment the current line 14 appropriation for the support of, the home. line 15 SEC. 52. Section 1024 of the Military and Veterans Code is line 16 repealed. line 17 1024. The department may conduct such investigation as may line 18 be required to determine the total value of the property and assets line 19 of any veteran applying for admission to the home, and may line 20 contract with any other state agency to conduct such an line 21 investigation in its behalf. line 22 SEC. 53. Section 1025 of the Military and Veterans Code is line 23 amended to read: line 24 1025. The home shall be open at any time to the inspection of line 25 the Secretary of the United States Department of Veterans Affairs line 26 or his or her authorized representative. line 27 SEC. 54. Section 1026 of the Military and Veterans Code is line 28 repealed. line 29 1026. The records, reports, and accounts kept by the home line 30 shall conform, as nearly as possible, to the requirements of the line 31 United States Department of Veterans Affairs. line 32 SEC. 55. Section 1030.1 of the Military and Veterans Code is line 33 amended to read: line 34 1030.1. The department may enter into contracts with the line 35 United States or any agency thereof, any governmental agency, line 36 any person, or any corporation for the performance of services or line 37 manufacture of articles by disabled members of the home. homes. line 38 The proceeds of any such contract, a contract described in this line 39 section, less the actual operating expenses, shall be paid to the line 40 individual disabled veterans who perform the services or labor.

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line 1 SEC. 56. Section 1031 of the Military and Veterans Code is line 2 amended to read: line 3 1031. All moneys received by the State state from the United line 4 States for the use of the a home shall be placed to the credit of and line 5 shall augment the current appropriation for the support of the home. line 6 SEC. 57. Section 1032 of the Military and Veterans Code is line 7 amended to read: line 8 1032. The department shall fix a schedule of wages for veterans line 9 members who are employed at the a home, subject to the approval

line 10 of the Director of Finance. line 11 SEC. 58. Section 1033.1 of the Military and Veterans Code is line 12 repealed. line 13 1033.1. The department shall pay the premiums in behalf of line 14 veterans which are required to provide coverage for such veterans line 15 under the medical assistance provisions contained in an act of line 16 Congress entitled “Social Security Amendments of 1965” (Pub. line 17 L. 89-97), from funds appropriated for the support of the home. line 18 SEC. 59. Section 1033.1 is added to the Military and Veterans line 19 Code, to read: line 20 1033.1. (a)  The department may pay the premiums on behalf line 21 of its members who are required to participate in eligible coverage, line 22 including medical assistance provisions contained in Title XVIII line 23 and Title XIX of the federal Social Security Act, from funds line 24 appropriated for the support of a home. line 25 (b)  The department may pay for copayments and deductibles line 26 for members receiving care under the limitations of the veterans’ line 27 home medical program and under the direction of the veterans’ line 28 home physician. Medical expenditures in excess of the premiums, line 29 copayments, and deductibles are the responsibility of the member. line 30 (c)  When entering a home and while residing in a home, a line 31 member is required to obtain and maintain basic medical insurance line 32 policies that are in accordance with all applicable state and federal line 33 laws and regulations. line 34 SEC. 60. Section 1033.2 of the Military and Veterans Code is line 35 repealed. line 36 1033.2. If the total amount collected for reimbursements for line 37 Medi-Cal and Medicare services provided in any fiscal year by a line 38 veterans’ home exceeds the budgeted reimbursements for that line 39 home, the additional funds collected shall be used to repay any

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line 1 unpaid General Fund loans provided to the veterans’ home in prior line 2 fiscal years for the operation of that home. line 3 SEC. 61. Section 1034 of the Military and Veterans Code is line 4 amended to read: line 5 1034. Except money received from this State state for line 6 disbursement, all moneys received by the a home, or by any an line 7 officer of the a home, including pension and other moneys line 8 belonging to veterans members and other trust moneys, shall be line 9 immediately paid to the executive officer administrator of the

line 10 home. On or before the tenth day of each month the executive line 11 officer of the administrator of each home shall forward to the State line 12 Treasurer all moneys in his or her possession, except pension and line 13 other moneys belonging to veterans, members, trust moneys, the line 14 post funds, donations made to each home, and the emergency fund, line 15 hereinafter mentioned, together with a statement of the sources line 16 from which the same moneys have been received. The moneys line 17 shall be deposited by the State Treasurer to the credit of the General line 18 Fund of the State; Fund; provided, however, that abatements of line 19 support expenditures shall be credited to the support appropriation line 20 current at the time of collection. line 21 SEC. 62. Section 1035 of the Military and Veterans Code is line 22 amended to read: line 23 1035. (a)  (1)  All moneys and other personal property of any line 24 veteran member held by the a home, or by its authority, or left by line 25 the veteran member upon the premises of the a home, shall, upon line 26 the death of the veteran, member, be held by the home in trust to line 27 be paid or delivered by the home upon proof determined to be line 28 proper to the administrator, directly and without probate, to the line 29 heirs of the veteran, member, except that the administrator may line 30 disburse funds of any deceased veteran member for payment of line 31 funeral expenses or any obligation owed to the any home, including line 32 the cost of any care rendered by the a home in excess of the fees line 33 paid by the veteran member to the home. Any funds of the deceased line 34 veteran member representing the cost of care rendered by the a line 35 home in excess of the fees paid by the veteran member to the home line 36 shall be paid to the Morale, Welfare, and Recreation Fund. line 37 This line 38 (2)  This subdivision applies only to veterans veterans, spouses, line 39 and domestic partners becoming members of the a home on or line 40 after January 1, 1984.

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line 1 (b)  (1)  All moneys and other personal property of any veteran line 2 member held by the a home, or by its authority, or left by the line 3 veteran member upon the premises of the a home, shall, upon the line 4 death of the veteran, member, be held by the home in trust to be line 5 paid or delivered by the home upon proof determined to be proper line 6 to the administrator, directly and without probate, to the spouse, line 7 domestic partner, children, grandchildren, or father or mother of line 8 the veteran, member, except that the administrator may disburse line 9 funds of any deceased veteran member for payment of funeral

line 10 expenses or any obligation owed to the any home. line 11 This line 12 (2)  This subdivision applies only to veterans veterans, spouses, line 13 and domestic partners who have become members of the a home line 14 prior to January 1, 1984. line 15 SEC. 63. Section 1035.05 of the Military and Veterans Code line 16 is amended to read: line 17 1035.05. (a)  (1)  All moneys and other personal property of line 18 any veteran member other than that described in Section 1035 line 19 shall, upon the death of the veteran, member, first be paid to the line 20 administrator for payment of funeral expenses or any obligation line 21 owed to the any home remaining unpaid after the disbursement line 22 required by Section 1035 is completed; and second, in the absence line 23 of an heir or heirs or a will, pass and descend to and become the line 24 property of the home state for credit to the Morale, Welfare, and line 25 Recreation Fund. If the total value of that property in the state over line 26 and above any amounts due the veteran for services in the Armed line 27 Forces of the United States or from any other employment does line 28 not exceed three thousand dollars ($3,000), fifteen thousand dollars line 29 ($15,000), the home may, without procuring letters of line 30 administration, collect any money due the decedent, receive the line 31 property of the decedent, and have any evidences of interest, line 32 indebtedness, or right transferred to it upon furnishing the person, line 33 representative, corporation, official, or body owning the money, line 34 having custody of the property, or acting as registrar or transfer line 35 agent of the evidence of that interest, indebtedness, or right, with line 36 an affidavit showing the right of the home to receive the money line 37 or property or to have the evidences transferred. The receipt of the line 38 home shall constitute sufficient acquittance for any payment of line 39 money or delivery of property made pursuant to this section and line 40 shall fully discharge that person, representative, corporation,

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line 1 officer, or body from any further liability with reference thereto, line 2 without the necessity of inquiring into the truth of any of the facts line 3 stated in the affidavit. However, that payment or transfer does not line 4 preclude administration when necessary to enforce payment of the line 5 decedent’s debts, and the administrator may, upon proof determined line 6 to be sufficient, pay the debts directly and without administration. line 7 This line 8 (2)  This subdivision applies only to veterans veterans, spouses, line 9 and domestic partners becoming members of the a home on or

line 10 after January 1, 1984. line 11 (b)  (1)  All moneys and other personal property of any veteran line 12 member other than that described in Section 1035 shall, upon the line 13 death of the veteran, member, in the absence of a spouse, domestic line 14 partner, children, grandchildren, or father or mother, pass and line 15 descend to and become the property of the home state for credit line 16 to the Morale, Welfare, and Recreation Fund. If the total value of line 17 that property in the State of California over and above any amounts line 18 due the veteran for services in the Armed Forces of the United line 19 States or from any other employment does not exceed three line 20 thousand dollars ($3,000), fifteen thousand dollars ($15,000), the line 21 home may, without procuring letters of administration or awaiting line 22 probate of any will, collect any money due the decedent, receive line 23 the property of the decedent and have any evidences of interest, line 24 indebtedness, or right transferred to it upon furnishing the person, line 25 representative, corporation, official, or body owning the money, line 26 having custody of that property, or acting as registrar or transfer line 27 agent of the evidence of that interest, indebtedness, or right, with line 28 an affidavit showing the right of the home to receive that money line 29 or property or to have those evidences transferred. The receipt of line 30 the home shall constitute sufficient acquittance for any payment line 31 of money or delivery of property made pursuant to this section line 32 and shall fully discharge the person, representative, corporation, line 33 officer, or body from any further liability with reference thereto, line 34 without the necessity of inquiring into the truth of any of the facts line 35 stated in the affidavit. However, the payment or transfer does not line 36 preclude administration when necessary to enforce payment of the line 37 decedent’s debts, and the administrator may, upon proof determined line 38 to be sufficient, pay those debts directly and without administration. line 39 This

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line 1 (2)  This subdivision shall apply only to veterans veterans, line 2 spouses, and domestic partners who have become members of the line 3 a home prior to January 1, 1984. line 4 (c)  For the purpose of application to this section of the line 5 provisions of the Probate Code governing distribution of property, line 6 the home shall be deemed to be a beneficiary of the decedent. line 7 SEC. 64. Section 1035.1 of the Military and Veterans Code is line 8 amended to read: line 9 1035.1. (a)  Any (1)  A will executed by a veteran member who

line 10 was a member of the a home at the time of death, whether executed line 11 prior or subsequent to January 1, 1984, which purports to leave line 12 any part of the veteran’s member’s estate to any an officer or line 13 employee of the a home, unless that officer or employee would line 14 be eligible to take by intestate succession under the probate laws line 15 of this state, is void as to that provision. line 16 This line 17 (2)  This subdivision shall apply only to veterans veterans, line 18 spouses, and domestic partners becoming members of the a home line 19 on or after January 1, 1984. line 20 (b)  Any (1)  A will heretofore or hereafter executed by a veteran, line 21 member, whether executed before or after admission to the a home, line 22 shall not be valid as to any provision therein contained which line 23 purports to dispose, either directly or indirectly, of moneys or line 24 personal property to other than the spouse, domestic partner, line 25 children, grandchildren, or father or mother of the veteran. member. line 26 This section does not apply to any veteran veteran, spouse, or line 27 domestic partner who is not a member of the a home at the time line 28 of death. line 29 (2)  This subdivision shall apply only to veterans veterans, line 30 spouses, or domestic partners who became members of the a home line 31 prior to January 1, 1984. line 32 SEC. 65. Section 1035.2 of the Military and Veterans Code is line 33 amended to read: line 34 1035.2. Any personal property held by the a home pursuant to line 35 Section 1035 which that the administrator determines to be of no line 36 substantial monetary value may be immediately delivered to any line 37 heir, devisee, or legatee under a will of the deceased veteran, line 38 member, or to any other interested person who makes application line 39 therefor, or if unclaimed within one year, may be destroyed or

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line 1 used, as the administrator directs, for the benefit of the home or line 2 its members. line 3 SEC. 66. Section 1035.3 of the Military and Veterans Code is line 4 amended to read: line 5 1035.3. (a)  (1)  If no will or heir is discovered within two years line 6 after the death of the veteran, member, any moneys not exceeding line 7 three thousand dollars ($3,000) fifteen thousand dollars ($15,000) line 8 held by the a home pursuant to Section 1035 and not paid or line 9 otherwise delivered to the heir or heirs or pursuant to the will of

line 10 the deceased veteran, member, or otherwise disbursed by the line 11 administrator pursuant to Section 1035, shall be paid to the Morale, line 12 Welfare, and Recreation Fund. line 13 If line 14 (2)  If no will or heir is discovered within five years after the line 15 death of the veteran, member, any moneys exceeding three line 16 thousand dollars ($3,000) fifteen thousand dollars ($15,000) held line 17 by the a home pursuant to Section 1035 and not paid or otherwise line 18 delivered to the heir or heirs or pursuant to the will of the deceased line 19 veteran, member, or otherwise disbursed by the administrator line 20 pursuant to Section 1035, shall be paid to the Morale, Welfare, line 21 and Recreation Fund. line 22 This line 23 (3)  This subdivision applies only to veterans veterans, spouses, line 24 and domestic partners becoming members of the a home on or line 25 after January 1, 1984. line 26 (b)  (1)  If no spouse, domestic partner, child, grandchild, or line 27 father or mother is discovered within two years after the death of line 28 the veteran, member, any moneys not exceeding three thousand line 29 dollars ($3,000) fifteen thousand dollars ($15,000) held by the a line 30 home pursuant to Section 1035 and not paid or otherwise delivered line 31 to the spouse, domestic partner, children, grandchildren, or father line 32 or mother, or otherwise disbursed by the administrator pursuant line 33 to Section 1035, shall be paid to the Morale, Welfare, and line 34 Recreation Fund. line 35 If line 36 (2)  If no spouse, domestic partner, child, grandchild, or father line 37 or mother is discovered within five years after the death of the line 38 veteran, member, any moneys exceeding three thousand dollars line 39 ($3,000) fifteen thousand dollars ($15,000) held by the a home line 40 pursuant to Section 1035 and not paid or otherwise delivered to

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line 1 the spouse, domestic partner, children, grandchildren, or father or line 2 mother, or otherwise disbursed by the administrator pursuant to line 3 Section 1035, shall be paid to the Morale, Welfare, and Recreation line 4 Fund. line 5 This line 6 (3)  This subdivision applies only to veterans veterans, spouses, line 7 and domestic partners who have become members of the a home line 8 prior to January 1, 1984. line 9 SEC. 67. Section 1035.4 of the Military and Veterans Code is

line 10 amended to read: line 11 1035.4. (a)  All personal property held or received by the a line 12 home pursuant to Section 1035, other than moneys or property line 13 described in Section 1035.2, which is unclaimed by, or not line 14 otherwise delivered to, the heir or heirs or pursuant to the will of line 15 a deceased veteran member within one year after death, may be line 16 sold by the administrator by public auction or private sale. The line 17 sale shall take place at a public place in the home, and notice of line 18 the sale shall be posted in that place at least 10 days previous to line 19 the date of the sale. The proceeds of the sale shall be credited to line 20 the Morale, Welfare, and Recreation Fund. line 21 This subdivision applies only to veterans veterans, spouses, and line 22 domestic partners becoming members of the a home on or after line 23 January 1, 1984. line 24 (b)  All personal property held or received by the a home line 25 pursuant to Section 1035, other than moneys or property described line 26 in Section 1035.2, which is unclaimed by, or not otherwise line 27 delivered to, the spouse, domestic partner, children, grandchildren, line 28 or father or mother of a deceased veteran member within one year line 29 after death, may be sold by the administrator by public auction or line 30 private sale. The sale shall take place at a public place in the home, line 31 and notice of the sale shall be posted in that place at least 10 days line 32 previous to the date of the sale. The proceeds of the sale shall be line 33 credited to the Morale, Welfare, and Recreation Fund. line 34 This subdivision applies only to veterans veterans, spouses, and line 35 domestic partners who have become members of the a home prior line 36 to January 1, 1984. line 37 SEC. 68. Section 1035.5 of the Military and Veterans Code is line 38 amended to read: line 39 1035.5. (a)  The administrator shall provide to the heirs or line 40 devisees of every deceased veteran member who became a member

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line 1 of the a home on or after January 1, 1984, a statement or line 2 accounting of all charges made against the veteran’s member’s line 3 money or personal property under Sections 1035 to 1035.4, line 4 inclusive. line 5 (b)  Every veteran applying for membership in the a home on line 6 or after January 1, 1984, shall be furnished a written explanation line 7 of the limitations and restrictions on the right to dispose of money line 8 and personal property contained in Sections 1035 to 1035.4, line 9 inclusive.

line 10 SEC. 69. Section 1035.6 of the Military and Veterans Code is line 11 amended to read: line 12 1035.6. (a)  The administrator shall provide each member of line 13 the a home with a quarterly statement or accounting of all charges line 14 for the costs of care rendered to the member in excess of the line 15 member fee, as defined in subdivision (b). The quarterly statement line 16 or accounting of charges shall include, in plain, straightforward line 17 language, avoiding technical terms as much as possible and using line 18 a coherent and easily readable style, all of the following: line 19 (1)  A statement that the charges for the excess costs of care are line 20 provided to the member for informational purposes only. line 21 (2)  A statement that, if the veteran member is a resident of the line 22 a home at the time of death, the home may use his or her money line 23 or personal property that is in possession of the home or outside line 24 the home for payment of unreimbursed costs of care. line 25 (3)  A statement that advises the member to seek counsel from line 26 a legal expert to protect his or her assets. line 27 (b)  “Costs of care in excess of the member fee” means all costs line 28 that are not covered by the member contribution fee, including, line 29 but not limited to, the unreimbursed costs of medical or dental line 30 services rendered to the member, either by the a home or under line 31 contract with the a home. The Department of Veterans Affairs line 32 shall promulgate regulations specifying the costs that are in excess line 33 of the member contribution fee and constitute the unreimbursed line 34 costs of care. line 35 (c)  The quarterly statement or accounting described in line 36 subdivision (a) and any notice relating to quarterly statements line 37 posted in any veterans’ a home shall be in 14-point font or larger. line 38 SEC. 70. Section 1035.7 of the Military and Veterans Code is line 39 amended to read:

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line 1 1035.7. (a)  Upon admission to a California veterans’ home, line 2 the administrator of each home shall provide written notice to the line 3 veteran member informing him or her of costs of care that may be line 4 incurred in excess of the member contribution fee. The notification line 5 shall: line 6 (1)  Include an explanation of circumstances under which the line 7 member may incur costs that are in excess of the contribution fee. line 8 (2)  Specifically indicate that these excess costs of care are costs line 9 in addition to, or above and beyond, the member contribution fee.

line 10 (3)  Provide examples of “excess costs of care that are frequently line 11 incurred by veterans.” members.” line 12 (4)  Inform the member that he or she will receive a quarterly line 13 accounting statement of the total excess costs of care, but that the line 14 statement is provided for informational purposes only. line 15 (5)  Inform the veteran member that, if he or she is a resident of line 16 the a home at the time of death, the home may disburse his or her line 17 moneys or personal property for payment of unreimbursed excess line 18 costs of care. line 19 (6)  Include a statement advising the member to seek counsel line 20 from a legal expert to protect his or her assets. line 21 (7)  Include the terms and conditions upon which the member line 22 fees and costs can be changed. line 23 (b)  The notification shall require the signature of the veteran line 24 member that acknowledges that he or she has read and understands line 25 the notification. line 26 (c)  The notification shall be written in plain, straightforward line 27 language, avoiding technical terms as much as possible, and using line 28 a coherent and easily readable style. line 29 (d)  A copy of the notification, containing all the information line 30 specified in subdivision (a) and titled in large font “NOTICE TO line 31 RESIDENTS,” shall be conspicuously posted in each veterans’ line 32 home by the administrator of the veterans’ home. line 33 SEC. 71. Section 1036 of the Military and Veterans Code is line 34 amended to read: line 35 1036. The veterans The members may voluntarily deposit line 36 money with the a home, which the home shall receive and keep line 37 without charge as a trust fund. line 38 SEC. 72. Section 1037 of the Military and Veterans Code is line 39 amended to read:

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line 1 1037. The money belonging to a veteran member and line 2 voluntarily deposited with the a home may be withdrawn, in whole line 3 or in part, at the will of the veteran. member. line 4 SEC. 73. Section 1038 of the Military and Veterans Code is line 5 amended to read: line 6 1038. All money deposited with the a home for a veteran line 7 member shall be paid to him or her on demand, upon his or her line 8 discharge or voluntary departure from the home. If the money is line 9 not so demanded at the time of his or her discharge or departure

line 10 or within a period of two years thereafter, if the amount does not line 11 exceed three thousand dollars ($3,000), five thousand dollars line 12 ($5,000), or within a period of five years thereafter, if the amount line 13 exceeds three thousand dollars ($3,000) five thousand dollars line 14 ($5,000) either by the veteran, member, or, in the event of the line 15 veteran’s member’s death after his or her discharge or departure, line 16 by the veteran’s member’s heirs, devisees, legatees, or qualified line 17 executor or administrator of his or her estate, the money shall be line 18 paid to the Morale, Welfare, and Recreation Fund. line 19 SEC. 74. Section 1038.1 of the Military and Veterans Code is line 20 amended to read: line 21 1038.1. All personal property other than money left at the a line 22 home by a veteran member at the time of his or her discharge or line 23 voluntary departure therefrom, unclaimed within a period of one line 24 year therefrom, year, either by such veteran the member or, in the line 25 event of his or her decease after his or her discharge or departure, line 26 by his or her heirs, devisees, legatees, or qualified executor or line 27 administrator of his or her estate, shall be sold in the manner line 28 described in Section 1035.4 and the proceeds paid to the post fund. line 29 Morale, Welfare, and Recreation Fund. line 30 SEC. 75. Section 1038.5 of the Military and Veterans Code is line 31 amended to read: line 32 1038.5. Any money deposited with the a home by a veteran line 33 member shall be credited with interest at no more than the State line 34 Monetary Investment Fund rate, less 0.75 percent, in compliance line 35 with applicable federal law and regulation, and shall be paid to line 36 the veteran member or to his or her heirs, devisees, legatees, or line 37 the qualified executor or the administrator of his or her estate line 38 pursuant to Section 1037 or Section 1038. line 39 SEC. 76. Section 1039.3 of the Military and Veterans Code is line 40 amended to read:

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line 1 1039.3. The administrator, subject to the approval of the line 2 secretary, may accept cash donations or other gifts to be used for line 3 the welfare of the veterans. members. Cash shall be paid into trust line 4 funds as the administrator may establish, and shall be expended line 5 for promoting the welfare of the veterans members and for the line 6 purpose designated by the donor. line 7 SEC. 77. Section 1042 of the Military and Veterans Code is line 8 amended to read: line 9 1042. All accrued interest on money turned over to the

line 10 executive officer administrator and retained by him or her under line 11 this chapter shall be accounted for by the executive office home line 12 and deposited to the credit of the post fund Morale, Welfare, and line 13 Recreation Fund and used for the common benefit of veterans. line 14 members. line 15 SEC. 78. Section 1042.1 of the Military and Veterans Code is line 16 amended to read: line 17 1042.1. If any check is drawn upon any trust fund of the a line 18 home, except checks drawn by members of the home on their own line 19 accounts, and remains unclaimed, or is not cashed, for a period of line 20 one year, it shall be canceled and the amount thereof of the check line 21 shall be turned over to the executive officer administrator and be line 22 deposited to the credit of the post fund Morale, Welfare, and line 23 Recreation Fund and used for the common benefit of the members line 24 of the home. homes. line 25 SEC. 79. Section 1043 of the Military and Veterans Code is line 26 amended to read: line 27 1043. With the exception of officers and employees and their line 28 families, no person shall be admitted to reside in the home, a home line 29 who is not eligible under Section 1012. line 30 SEC. 80. Section 1044 of the Military and Veterans Code is line 31 amended to read: line 32 1044. The administrator, in accordance with the policies line 33 adopted by the California Veterans Board and subject to the line 34 direction of the director, The secretary may adopt rules and line 35 regulations governing the admission of applicants and may line 36 prescribe the conditions upon which they may enter and remain line 37 with the a home. line 38 SEC. 81. Section 1044.5 of the Military and Veterans Code is line 39 amended to read:

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line 1 1044.5. (a)  A resident of a veterans A member of a home has line 2 the right to complain and otherwise exercise the freedom of line 3 expression and assembly guaranteed by the Sections 2 and 3 of line 4 Article I of the California Constitution and the First Amendment line 5 to the United States Constitution. The administrator of the home line 6 shall inform each resident member in writing at the time of line 7 admission of the right to complain to the administrator about home line 8 accommodations and services. A notice of the right to complain line 9 shall be posted in the home. The administrator shall also inform

line 10 each resident member of the right to complain to the board or to line 11 the Secretary of Veterans Affairs. Each resident member of a home line 12 shall be encouraged and assisted, throughout the period of stay in line 13 the home, to understand and exercise the rights of freedom of line 14 expression and assembly as a resident member and as a citizen. line 15 To this end, the resident member may voice grievances and line 16 recommend changes in policies and services to home staff, other line 17 residents, members, and outside representatives of the resident’s line 18 member’s choice, free from restraint, interference, coercion, line 19 discrimination, or reprisal, including retaliatory eviction. line 20 (b)  An administrator may not retaliate against any resident line 21 member who exercises the right to voice grievances by evicting line 22 the resident. member. There shall be a rebuttable presumption that line 23 any eviction within 45 days of the exercise by a resident member line 24 of the right to voice grievances is retaliatory. This presumption line 25 does not apply in favor of a resident member who has failed to pay line 26 maintenance fees unless the resident member pays the overdue line 27 fees. line 28 SEC. 82. Section 1045 of the Military and Veterans Code is line 29 amended to read: line 30 1045. Nothing in this chapter shall This chapter does not line 31 prevent the State state from transferring the property and line 32 management of the a home to the United States for a home of line 33 similar character. line 34 SEC. 83. Section 1046 of the Military and Veterans Code is line 35 amended to read: line 36 1046. (a)  If it appears necessary or proper that a guardian or line 37 conservator of the estate of a veteran member be appointed, the line 38 court in its discretion may, court, in its discretion, upon application line 39 of the administrator, or officer designated by the administrator, line 40 may appoint the a home as guardian or conservator of the veteran’s

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line 1 member’s estate and cause letters of guardianship or line 2 conservatorship of the estate to be issued to the home. line 3 (b)  For the purposes of this chapter, the a home is a corporation line 4 and, acting through an officer designated by the administrator, line 5 may act as guardian or conservator of estates, assignee, receiver, line 6 depositary, or trustee under appointment of any court or by line 7 authority of any law of this state and may transact business in that line 8 capacity in the same manner as an individual, and for this purpose line 9 may sue and be sued in any court of this state.

line 10 (c)  The A home shall be appointed as guardian, conservator, line 11 assignee, receiver, depositary, or trustee without bond. The home line 12 shall receive reasonable fees for its expenses for filing fees and line 13 attorneys’ fees. The fees paid to the home may be used as a trust line 14 account from which may be drawn expenses for filing fees and line 15 attorneys’ fees in all estates it undertakes to administer. Whenever line 16 the balance remaining in the trust account exceeds a sum line 17 determined to be necessary by the administrator for the payment line 18 of the filing fees and attorneys’ fees incurred in the various estates, line 19 the excess shall be paid annually into the post fund of the home. line 20 Morale, Welfare, and Recreation Fund. line 21 (d)  The home, when When acting as guardian or conservator of line 22 a veteran, member, a home may deposit the funds of the estate in line 23 the special deposit fund of the home, and may invest and reinvest line 24 the funds in securities which are legal investments for savings line 25 banks in this state. line 26 SEC. 84. Section 1050 of the Military and Veterans Code is line 27 amended to read: line 28 1050. Veterans’ Home Allied Councils, which are established line 29 pursuant to the constitution of the Allied Council, Veterans’ Home line 30 of California, for each veterans’ home, and which are composed line 31 of members of each home, are hereby recognized as established line 32 advisory bodies to the administrator of each veterans’ home. Each line 33 Veterans’ Home Allied Council may also represent veterans line 34 members who reside at the veterans’ home for which the council line 35 was established in matters before the Legislature. In the course of line 36 providing that representation, each council shall comply with the line 37 following requirements: line 38 (a)  The council’s representation shall be approved by a majority line 39 of the voting members of the council.

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line 1 (b)  The council shall not engage in any campaign or endorse line 2 public candidates in connection with that representation. line 3 (c)  The council’s actions shall be in accordance with its line 4 constitution, bylaws, and policies and procedures. line 5 SEC. 85. Section 1051 of the Military and Veterans Code is line 6 repealed. line 7 1051. (a)  There is hereby established in the State Treasury the line 8 California Veterans Homes Fund to receive those amounts line 9 transferred to the fund pursuant to Section 18811 of the Revenue

line 10 and Taxation Code. line 11 (b)  Any funds remaining in the Veterans’ Quality of Life Fund, line 12 as established by Section 2 of Chapter 143 of the Statutes of 2005, line 13 shall be transferred to the California Veterans Homes Fund line 14 established by subdivision (a). line 15 SEC. 86. Section 1051 is added to the Military and Veterans line 16 Code, to read: line 17 1051. (a)  On or before January 1, 2019, the department shall line 18 create a transparent admissions and waiting list process for line 19 admission to the homes. line 20 (b)  On or before January 1, 2019, the department shall create line 21 a page on its Internet Web site that does all of the following: line 22 (1)  Explains the application and waiting list process developed line 23 in subdivision (a), including an explanation of the process, laws, line 24 and regulations pertaining to admission, the wait list, and line 25 continuum of care. line 26 (2)  Allows online submission of applications. line 27 (3)  Provides a reasonable level of information to applicants line 28 about the projected wait time at each home for various levels of line 29 care, enhancing applicant’s ability to make long-term care line 30 planning decisions. line 31 (4)  Allows an applicant to check his or her current wait list line 32 status and overall application status. line 33 SEC. 87. Section 1410 of the Military and Veterans Code is line 34 amended to read: line 35 1410. (a)  (1)  The department, in voluntary cooperation with line 36 local government entities in Orange County the County of Orange line 37 pursuant to Section 1412, shall acquire, study, design, develop, line 38 construct, and equip a state-owned and state-operated Southern line 39 California Veterans Cemetery, which shall be located at the site line 40 of the former Marine Corps Air Station El Toro, on 125 acres

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line 1 known as the Amended and Restated Development Agreement line 2 Site in the Great Park in the City of Irvine. the 125 acres known line 3 as the Bake Parkway site. line 4 (2)  The department shall oversee and coordinate the acquisition, line 5 study, design, development, and construction of the cemetery. line 6 (3)  For purposes of this chapter, “department” means the line 7 Department of Veterans Affairs. line 8 (b)  (1)  Subject to the eligibility requirements described in line 9 Section 2402 of Title 38 of the United States Code, as amended

line 10 from time to time, honorably discharged veterans, their spouses, line 11 and eligible dependent children are eligible for interment in the line 12 cemetery. The department shall establish a fee to be charged for line 13 interment of veteran spouses and eligible dependent children. The line 14 amount of the fee shall not exceed the reasonable costs to the line 15 department for interment in the cemetery. line 16 (2)  Subject to Section 1418, for the purposes of this subdivision, line 17 the department shall adopt regulations to specify the eligibility line 18 requirements for interment in the cemetery. line 19 (3)  All fees received pursuant to paragraph (1) shall be deposited line 20 in the Southern California Veterans Cemetery Perpetual line 21 Maintenance Fund created pursuant to Section 1412. line 22 SEC. 88. Section 1412 of the Military and Veterans Code is line 23 amended to read: line 24 1412. (a)  For the purposes of Section 1410, all local line 25 government entities in Orange County the County of Orange may line 26 join together for the purpose of cooperating with the department line 27 in the design, development, construction, and equipment of the line 28 cemetery. line 29 (b)  All moneys received for the acquisition, study, design, line 30 development, construction, and equipment of the cemetery shall line 31 be deposited in the Southern California Veterans Cemetery Master line 32 Development Fund, which is hereby created in the State Treasury. line 33 Expenditure of those moneys shall be subject to appropriation by line 34 the Legislature in the annual Budget Act. Moneys appropriated by line 35 the Legislature for these purposes shall also be deposited in the line 36 fund. line 37 (c)  (1)  Except as otherwise provided in Section 1416, all line 38 moneys received for the operation and maintenance of the line 39 cemetery, including moneys received pursuant to subdivision (b) line 40 of Section 1410, shall be deposited in the Southern California

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line 1 Veterans Cemetery Perpetual Maintenance Fund, which is hereby line 2 created in the State Treasury. Expenditure of those moneys shall line 3 be subject to appropriation by the Legislature in the annual Budget line 4 Act. line 5 (2)  It is the intent of the Legislature to appropriate funds in the line 6 annual Budget Act to fund annual cemetery operations and line 7 maintenance and to enact any additional legislation that may be line 8 necessary to set dollar limits on funding for those operations and line 9 that maintenance.

line 10 SEC. 89. Section 1416 of the Military and Veterans Code is line 11 amended to read: line 12 1416. (a)  Notwithstanding Section 11005 of the Government line 13 Code, the cemetery administrator, subject to the approval of the line 14 secretary, may accept donations of personal property, including line 15 cash or other gifts, to be used for the preliminary or conceptual line 16 design, construction, maintenance, beautification, or repair of the line 17 cemetery. and repair of the cemetery, or to reimburse the state for line 18 expenditures made by the state for these purposes. line 19 (b)  Cash donations made pursuant to subdivision (a) shall be line 20 deposited into the Southern California Veterans Cemetery line 21 Donations Fund, which is hereby created. Notwithstanding line 22 (1)  Except as provided in paragraph (2) and notwithstanding line 23 Section 13340 of the Government Code, moneys in the fund are line 24 continuously appropriated to the department for the maintenance, line 25 beautification, and repair of the cemetery or, subject to the approval line 26 of the secretary, for a specified cemetery maintenance or line 27 beautification project designated by the donor. line 28 (2)  Moneys deposited into the fund for the purpose of line 29 preliminary or conceptual design or for construction of the line 30 cemetery, or to reimburse the state for expenditures made by the line 31 state for the purposes described in subdivision (a), shall be made line 32 available only upon appropriation by the Legislature. line 33 SEC. 90. Section 4104 of the Public Contract Code is amended line 34 to read: line 35 4104. Any officer, department, board, or commission taking line 36 bids for the construction of any public work or improvement shall line 37 provide in the specifications prepared for the work or improvement line 38 or in the general conditions under which bids will be received for line 39 the doing of the work incident to the public work or improvement

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line 1 that any person making a bid or offer to perform the work, shall, line 2 in his or her bid or offer, set forth: line 3 (a)  (1)  The name, the location of the place of business, and the line 4 California contractor license number number, and public works line 5 contractor registration number issued pursuant to Section 1725.5 line 6 of the Labor Code of each subcontractor who will perform work line 7 or labor or render service to the prime contractor in or about the line 8 construction of the work or improvement, or a subcontractor line 9 licensed by the State of California who, under subcontract to the

line 10 prime contractor, specially fabricates and installs a portion of the line 11 work or improvement according to detailed drawings contained line 12 in the plans and specifications, in an amount in excess of one-half line 13 of 1 percent of the prime contractor’s total bid or, in the case of line 14 bids or offers for the construction of streets or highways, including line 15 bridges, in excess of one-half of 1 percent of the prime contractor’s line 16 total bid or ten thousand dollars ($10,000), whichever is greater. line 17 (2)  An inadvertent error in listing the California contractor line 18 license number or public works contractor registration number line 19 provided pursuant to paragraph (1) shall not be grounds for filing line 20 a bid protest or grounds for considering the bid nonresponsive if line 21 the corrected contractor’s license number is submitted to the public line 22 entity by the prime contractor within 24 hours after the bid opening line 23 and provided the corrected contractor’s license number corresponds line 24 to the submitted name and location for that subcontractor. line 25 (3)  (A)  Subject to subparagraph (B), any information requested line 26 by the officer, department, board, or commission concerning any line 27 subcontractor who the prime contractor is required to list under line 28 this subdivision, other than the subcontractor’s name, location of line 29 business, and the California contractor license number, and the line 30 public works contractor registration number, may be submitted line 31 by the prime contractor up to 24 hours after the deadline established line 32 by the officer, department, board, or commission for receipt of line 33 bids by prime contractors. line 34 (B)  A state or local agency may implement subparagraph (A) line 35 at its option. line 36 (b)  The portion of the work that will be done by each line 37 subcontractor under this act. The prime contractor shall list only line 38 one subcontractor for each portion as is defined by the prime line 39 contractor in his or her bid. line 40 (c)  This section shall become operative on July 1, 2014.

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line 1 SEC. 91. The Legislature finds and declares all of the line 2 following: line 3 (a)  Existing law authorizes the board of supervisors of any line 4 county to levy, increase, or extend a transactions and use tax line 5 throughout the entire county or within the unincorporated area of line 6 the county, as applicable, for specific purposes. line 7 (b)  Existing law does not preclude that transactions and use line 8 tax from including an exemption that prevents the tax, or a portion line 9 of the tax, from being collected in certain areas of the county when

line 10 collection of the tax in those areas would cause the combined rate line 11 of transactions and use taxes to exceed the rate limit set forth in line 12 Section 7251.1 of the Revenue and Taxation Code. line 13 (c)  On March 7, 2017, the voters of the County of Los Angeles line 14 approved Measure H, which imposes a transactions and use tax line 15 at a rate of 0.25 percent for the support of countywide programs line 16 and services to prevent and combat homelessness within the line 17 incorporated and unincorporated areas of the county. line 18 (d)  Measure H was a transactions and use tax ordinance line 19 approved by a two-thirds vote of all members of the Board of line 20 Supervisors of the County of Los Angeles. line 21 (e)  Measure H expressly provides that the County of Los Angeles line 22 and the State Board of Equalization are to enter into a contract line 23 that ensures that the county tax will be administered in such a way line 24 that the aggregate tax will not exceed, and no person subject to line 25 the tax will pay more than, the rate limitation specified in Section line 26 7251.1 of the Revenue and Taxation Code in any district and that line 27 the transactions and use tax revenues of any district within the line 28 county will not be decreased as a result of the countywide increase. line 29 SEC. 92. Chapter 2.8 (commencing with Section 7286.40) is line 30 added to Part 1.7 of Division 2 of the Revenue and Taxation Code, line 31 to read: line 32 line 33 Chapter 2.8. Los Angeles County Transactions and Use

line 34 Tax to Prevent and Combat Homelessness

line 35 line 36 7286.40. (a)  The Legislature finds and declares that the line 37 transactions and use tax proposed to, and approved by, the voters line 38 of the County of Los Angeles on the March 7, 2017, ballot as line 39 Measure H was valid and authorized under Section 7285.5 and line 40 conforms to Part 1.6 (commencing with Section 7251), and

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line 1 continues to be valid and authorized. This subdivision is declarative line 2 of, and clarifies, existing law. line 3 (b)  Pursuant to subdivision (a), the board shall enter into a line 4 contract with the County of Los Angeles to perform all functions line 5 incident to the administration and operation of the transactions line 6 and use tax ordinance described in subdivision (a) and shall collect line 7 the tax in all districts within the county where the aggregate tax line 8 is 0.25 percent or more below the limitation specified in Section line 9 7251.1. The contract with the county shall comply with Section

line 10 7270, and shall ensure the collection of the tax commences on line 11 October 1, 2017. line 12 SEC. 93. (a)  The sum of five million dollars ($5,000,000) is line 13 hereby appropriated from the General Fund to the Department of line 14 Finance for allocation to counties to pay for the costs of state line 15 recall elections, including expenses for verifying signatures, line 16 printing ballots and voter information guides, and operating line 17 polling places, in accordance with Section 11108 of the Elections line 18 Code. line 19 (b)  Any funds under subdivision (a) that are not allocated by line 20 June 30, 2018, shall revert on July 1, 2018, to the General Fund. line 21 SEC. 94. The Legislature finds and declares that a special line 22 statute is necessary and that a general statute cannot be made line 23 applicable within the meaning of Section 16 of Article IV of the line 24 California Constitution because of the unique fiscal pressures line 25 being experienced in the County of Los Angeles in providing line 26 programs and services to prevent and combat homelessness. line 27 SEC. 95. No reimbursement is required by this act pursuant line 28 to Section 6 of Article XIII B of the California Constitution for line 29 certain costs that may be incurred by a local agency or school line 30 district because, in that regard, this act creates a new crime or line 31 infraction, eliminates a crime or infraction, or changes the penalty line 32 for a crime or infraction, within the meaning of Section 17556 of line 33 the Government Code, or changes the definition of a crime within line 34 the meaning of Section 6 of Article XIII B of the California line 35 Constitution. line 36 However, if the Commission on State Mandates determines that line 37 this act contains other costs mandated by the state, reimbursement line 38 to local agencies and school districts for those costs shall be made line 39 pursuant to Part 7 (commencing with Section 17500) of Division line 40 4 of Title 2 of the Government Code.

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line 1 SEC. 96. This act is a bill providing for appropriations related line 2 to the Budget Bill within the meaning of subdivision (e) of Section line 3 12 of Article IV of the California Constitution, has been identified line 4 as related to the budget in the Budget Bill, and shall take effect line 5 immediately. line 6 SECTION 1. It is the intent of the Legislature to enact statutory line 7 changes relating to the Budget Act of 2017.

O

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