Bill Text: CA AB1114 | 2013-2014 | Regular Session | Amended
Bill Title: Contractors: home improvement contracts.
Sponsorship: Partisan Bill (Republican 1)
Status: (Introduced - Dead) 2014-02-03 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB1114 Detail]
Download: California-2013-AB1114-Amended.html
BILL NUMBER: AB 1114 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MARCH 21, 2013
INTRODUCED BY Assembly Member Achadjian
FEBRUARY 22, 2013
An act to amend Section 5000 7157 of
the Business and Professions Code, relating to accountants
contractors .
LEGISLATIVE COUNSEL'S DIGEST
AB 1114, as amended, Achadjian. California Board of
Accountancy. Contractors: home improvement contracts.
The Contractors' State License Law provides for the licensure and
regulation of contractors by the Contractors' State License Board
within the Department of Consumer Affairs. That law prohibits a
salesperson or contractor's agent from accepting compensation of any
kind for, or on account of, a home improvement transaction, or any
other transaction involving a work of improvement, from a person
other than the contractor whom he or she represents with respect to
the transaction, and from making a payment to any person other than
his or her employer on account of the sales transaction. The law also
prohibits a contractor from paying, crediting, or allowing any
consideration or compensation of any kind to any other contractor or
salesperson other than a licensee for, or on account of, the
performance of a work of improvement or services, including, but not
limited to, home improvement work or services, except as specified.
This bill would delete the latter provision prohibiting
contractors from paying, crediting, or allowing any consideration or
compensation, as described above.
Existing law, until January 1, 2016, establishes the California
Board of Accountancy, which is comprised of 15 members, to be
appointed as specified. Under existing law, the board licenses and
regulates the practice of accountancy in the State of California.
This bill would make technical, nonsubstantive changes to these
provisions.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 7157 of the Business
and Professions Code is amended to read:
7157. (a) Except as otherwise provided in subdivision (b), as a
part of , or in connection with , the
inducement to enter into any a home
improvement contract or other contract, which
that may be performed by a contractor, no
a person may shall not
promise or offer to pay, credit, or allow to any owner, compensation
or reward for the procurement or placing of home improvement business
with others.
(b) A contractor or his or her agent or salesperson may give
tangible items to prospective customers for advertising or sales
promotion purposes where if the gift is
not conditioned upon obtaining a contract for home improvement work
if , the gift does not exceed a value
of five dollars ($5) , and only one such
gift is given in connection with any one transaction.
(c) No A salesperson or contractor's
agent may shall not accept
any compensation of any kind, for or on account of a home
improvement transaction, or any other transaction involving a work of
improvement, from any a person other
than the contractor whom he or she represents with respect to the
transaction, nor shall the salesperson or agent make any
a payment to any person other than his or her
employer on account of the sales transaction.
(d) No contractor shall pay, credit, or allow any consideration or
compensation of any kind to any other contractor or salesperson
other than a licensee for or on account of the performance of any
work of improvement or services, including, but not limited to, home
improvement work or services, except: (1) where the person to or from
whom the consideration is to be paid is not subject to or is
exempted from the licensing requirements of this chapter, or (2)
where the transaction is not subject to the requirements of this
chapter.
As
(d) As used in this
section "owners" "owner "
shall also mean "tenant."
Commission of any act prohibited by
(e) Any violation of
this section is a misdemeanor and constitutes a cause for
disciplinary action.
SECTION 1. Section 5000 of the Business and
Professions Code is amended to read:
5000. (a) There is in the Department of Consumer Affairs the
California Board of Accountancy, which consists of 15 members, 7 of
whom shall be licensees, and 8 of whom shall be public members who
shall not be licentiates of the board or registered by the board. The
board has the powers and duties conferred by this chapter.
(b) The Governor shall appoint four of the public members, and the
seven licensee members as provided in this section. The Senate
Committee on Rules and the Speaker of the Assembly shall each appoint
two public members. In appointing the seven licensee members, the
Governor shall appoint members representing a cross section of the
accounting profession with at least two members representing a small
public accounting firm. For the purposes of this chapter, a small
public accounting firm shall be defined as a professional firm that
employs a total of no more than four licensees as partners, owners,
or full-time employees in the practice of public accountancy within
the State of California.
(c) This section shall remain in effect only until January 1,
2016, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2016, deletes or extends
that date.
(d) Notwithstanding any other law, the repeal of this section
renders the board subject to review by the appropriate policy
committees of the Legislature. However, the review of the board shall
be limited to reports or studies specified in this chapter and those
issues identified by the appropriate policy committees of the
Legislature and the board regarding the implementation of new
licensing requirements.
