Bill Text: CA AB2024 | 2013-2014 | Regular Session | Chaptered
Bill Title: Professional fiduciaries.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2014-09-15 - Chaptered by Secretary of State - Chapter 336, Statutes of 2014. [AB2024 Detail]
Download: California-2013-AB2024-Chaptered.html
BILL NUMBER: AB 2024 CHAPTERED
BILL TEXT
CHAPTER 336
FILED WITH SECRETARY OF STATE SEPTEMBER 15, 2014
APPROVED BY GOVERNOR SEPTEMBER 15, 2014
PASSED THE SENATE AUGUST 19, 2014
PASSED THE ASSEMBLY MAY 8, 2014
INTRODUCED BY Assembly Member Bonilla
FEBRUARY 20, 2014
An act to amend Sections 6531, 6538, 6580, and 6592 of, and to add
Sections 6541.1 and 6542 to, the Business and Professions Code,
relating to professional fiduciaries.
LEGISLATIVE COUNSEL'S DIGEST
AB 2024, Bonilla. Professional fiduciaries.
(1) Under the Professional Fiduciaries Act, the Professional
Fiduciaries Bureau, until January 1, 2015, licenses and regulates
professional fiduciaries. The act prohibits a professional fiduciary
from operating with an expired, suspended, or revoked license.
This bill would also prohibit a professional fiduciary from
operating with a retired or canceled license. The bill would provide
that a license that is not renewed within 3 years following its
expiration shall not be renewed, restored, or reinstated, and would
require the license to be canceled immediately upon expiration of the
3-year period. The bill would authorize the bureau to establish by
regulation a system for the placement of a license into retired
status, as specified, for a professional fiduciary who is not
actively engaged in the practice of a professional fiduciary or any
activity that requires him or her to be licensed by the bureau.
(2) The act authorizes the bureau, upon its own, and requires the
bureau, upon the receipt of a complaint from any person, to
investigate the actions of any professional fiduciary.
This bill would expand the bureau's authority and obligation to
investigate a person who holds a license that either restricts or
prohibits that person from practicing as a professional fiduciary,
including, but not limited to, a license that is retired, inactive,
canceled, or suspended.
(3) Under the act, the bureau sets licensing and renewal licensing
fees by regulation at an amount necessary to recover the costs to
the bureau in carrying out the provisions of the act, and all fees
collected are paid into the Professional Fiduciary Fund.
This bill would require the bureau to set fees to designate a
license status of retired or inactive, or to reinstate a license to
active from retired or inactive status. The bill would require the
bureau to set those fees by regulation at amounts necessary to
recover the reasonable costs of the bureau in carrying out those
functions.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 6531 of the Business and Professions Code is
amended to read:
6531. A professional fiduciary shall not operate with an expired,
suspended, retired, canceled, or revoked license.
SEC. 2. Section 6541.1 is added to the Business and Professions
Code, to read:
6541.1. A license that is not renewed within three years
following its expiration shall not be renewed, restored, or
reinstated, and the license shall be canceled immediately upon
expiration of the three-year period.
SEC. 3. Section 6538 of the Business and Professions Code is
amended to read:
6538. (a) To qualify for licensure, an applicant shall have
completed 30 hours of prelicensing education courses provided by an
educational program approved by the bureau.
(b) To renew a license, or to restore a license from retired
status to active status, a licensee shall complete 15 hours of
approved continuing education courses each year.
(c) The cost of any educational course required by this chapter
shall not be borne by any client served by a licensee.
SEC. 4. Section 6542 is added to the Business and Professions
Code, to read:
6542. (a) The bureau may establish, by regulation, a system for
the placement of a license into retired status, upon application and
submission to the bureau of a statement as required by Section 6561,
for a professional fiduciary who is not actively engaged in the
practice of a professional fiduciary or any activity that requires
him or her to be licensed by the bureau.
(b) The bureau shall deny an applicant's application to place a
license in retired status if the license is subject to an outstanding
order of the bureau, suspended, placed on probation, revoked, or
otherwise punitively restricted by the bureau, or subject to
disciplinary action under this chapter.
(c) The holder of a retired license shall not be required to renew
that license.
(d) The bureau shall establish minimum qualifications to place a
license in retired status.
(e) The bureau shall establish minimum qualifications for the
restoration of a license from retired status to active status. These
minimum qualifications shall include, but are not limited to,
completion of continuing education hours as provided in subdivision
(b) of Section 6538, submission of a statement as provided in
subdivision (a) of Section 6561, and payment of a fee as provided in
subdivision (e) of Section 6592.
SEC. 5. Section 6580 of the Business and Professions Code is
amended to read:
6580. (a) The bureau may upon its own, and shall, upon the
receipt of a complaint from any person, investigate the actions of
any professional fiduciary, including a person with a license that
either restricts or prohibits the practice of that person as a
professional fiduciary, including, but not limited to, a license that
is retired, inactive, canceled, or suspended. The bureau shall
review a professional fiduciary's alleged violation of statute,
regulation, or the Professional Fiduciaries Code of Ethics and any
other complaint referred to it by the public, a public agency, or the
department, and may impose sanctions upon a finding of a violation
or a breach of fiduciary duty.
(b) Sanctions shall include any of the following:
(1) Administrative citations and fines as provided in Section
125.9 for a violation of this chapter, the Professional Fiduciaries
Code of Ethics, or any regulation adopted under this chapter.
(2) License suspension, probation, or revocation.
(c) The bureau shall provide on the Internet information regarding
any sanctions imposed by the bureau on licensees, including, but not
limited to, information regarding citations, fines, suspensions, and
revocations of licenses or other related enforcement action taken by
the bureau relative to the licensee.
SEC. 6. Section 6592 of the Business and Professions Code is
amended to read:
6592. (a) The fee for a professional fiduciary examination and
reexamination shall be set by the bureau through regulation at the
amount necessary to recover the actual costs to develop and
administer the examination.
(b) The license fee to obtain a professional fiduciary license
shall be set by the bureau.
(c) The renewal fee for a professional fiduciary license shall be
set by the bureau.
(d) The bureau shall set the fee to designate a license status of
"retired."
(e) The fee to designate a license status of "inactive" shall be
set by the bureau.
(f) The bureau shall set the fee to reinstate a license to "active"
from a status of "retired" or "inactive."
(g) The bureau shall set the fees pursuant to subdivisions (b),
(c), (d), (e), and (f) by regulation at an amount necessary to
recover the reasonable costs to the bureau in carrying out those
functions pursuant to this chapter.
