Bill Text: CA SB465 | 2015-2016 | Regular Session | Chaptered


Bill Title: Building construction: contractors: discipline: reporting: building standards.

Sponsorship: Partisan Bill (Democrat 2)

Status: (Passed) 2016-09-15 - Chaptered by Secretary of State. Chapter 372, Statutes of 2016. [SB465 Detail]

Download: California-2015-SB465-Chaptered.html
BILL NUMBER: SB 465	CHAPTERED
	BILL TEXT

	CHAPTER  372
	FILED WITH SECRETARY OF STATE  SEPTEMBER 15, 2016
	APPROVED BY GOVERNOR  SEPTEMBER 15, 2016
	PASSED THE SENATE  AUGUST 31, 2016
	PASSED THE ASSEMBLY  AUGUST 31, 2016
	AMENDED IN ASSEMBLY  AUGUST 29, 2016
	AMENDED IN ASSEMBLY  AUGUST 19, 2016
	AMENDED IN ASSEMBLY  AUGUST 15, 2016
	AMENDED IN ASSEMBLY  AUGUST 1, 2016
	AMENDED IN ASSEMBLY  JUNE 23, 2016
	AMENDED IN ASSEMBLY  JUNE 8, 2016
	AMENDED IN ASSEMBLY  JULY 8, 2015
	AMENDED IN ASSEMBLY  JULY 1, 2015
	AMENDED IN SENATE  APRIL 21, 2015

INTRODUCED BY   Senators Hill and Hancock

                        FEBRUARY 25, 2015

   An act to add Sections 7021 and 7071.18 to the Business and
Professions Code, to add and repeal Section 18924.5 of the Health and
Safety Code, and to amend Section 6313.5 of the Labor Code, relating
to building construction.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 465, Hill. Building construction: contractors: discipline:
reporting: building standards.
   (1) Existing law, the Contractors' State License Law, provides for
the licensure, regulation, and discipline of contractors by the
Contractors' State License Board. Existing law requires the board,
with the approval of the Director of Consumer Affairs, to appoint a
registrar of contractors to serve as the executive officer and
secretary of the board. Under existing law, protection of the public
is required to be the highest priority for the Contractors' State
License Board in exercising its licensing, regulatory, and
disciplinary functions.
   Under existing law, the Division of Occupational Safety and Health
has the power, jurisdiction, and supervision over every employment
and place of employment in this state, which is necessary to
adequately enforce and administer all laws and lawful standards and
orders, or special orders requiring such employment and place of
employment to be safe, and requiring the protection of the life,
safety, and health of every employee in such employment or place of
employment. Existing law requires the division to transmit to the
Registrar of Contractors copies of any reports made in any
investigation, as specified, and authorizes the division, upon its
own motion or upon request, to transmit copies of any other reports
made in any investigation conducted involving a licensed contractor.
   This bill would instead require the Division of Occupational
Safety and Health, after consultation with the board, to transmit to
the board copies of any citations or other actions taken by the
division against a contractor, as defined. The bill would authorize
the board to enter into an interagency agreement with any other state
or local agency the board deems to be in possession of information
relevant to its priority to protect the public.
   This bill would require a licensee to report to the registrar
within 90 days of the date that the licensee has knowledge of the
conviction of the licensee for any felony or any other crime
substantially related to the qualifications, functions, and duties of
a licensed contractor.
   This bill would require the board to consult with licensees,
consumers, and other interested stakeholders in order to prepare a
study of judgments, arbitration awards, and settlements that were the
result of claims for construction defects for rental residential
units and, by January 1, 2018, report to the Legislature the results
of the study to determine if the board's ability to protect the
public would be enhanced by regulations requiring licensees to report
judgments, arbitration awards, or settlement payments of those
claims. This bill would specify that participation in the study by
licensees and consumers is voluntary. The bill would require records
or documents obtained by the board during the course of implementing
this study that are exempt from public disclosure to remain exempt
from disclosure.
   (2) Under existing law, there exists the California Building
Standards Commission. Existing law requires the California Building
Standards Commission to, among other things, review the standards of
adopting state agencies and approve, return for amendment with
recommended changes, or reject building standards submitted to the
commission for its approval, as provided.
   This bill, until January 1, 2018, would require the working group
formed by the California Building Standards Commission to study
recent exterior elevated element failures in the state to submit a
report to the appropriate policy committees of the Legislature
containing any findings and possible recommendations for statutory or
other changes to the California Building Standards Code and would
require the working group to review related documents and reports, as
specified. However, if, at any time, it is determined by the working
group that one or more changes to the California Building Standards
Code are needed as soon as possible in order to protect the public,
the bill would, until January 1, 2018, require the working group to
submit the recommended changes to the California Building Standards
Commission for consideration as soon as possible, as specified.
   (3) Existing constitutional provisions require that a statute that
limits the right of access to the meetings of public bodies or the
writings of public officials and agencies be adopted with findings
demonstrating the interest protected by the limitation and the need
for protecting that interest.
   This bill would make legislative findings to that effect.


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

  SECTION 1.  Section 7021 is added to the Business and Professions
Code, to read:
   7021.  The board may enter into an interagency agreement with any
other state or local agency the board deems to be in possession of
any information relevant to its priority to protect the public
described in Section 7000.6.
  SEC. 2.  Section 7071.18 is added to the Business and Professions
Code, to read:
   7071.18.  (a) Notwithstanding any other law, a licensee shall
report to the registrar in writing the occurrence of any of the
following within 90 days after the licensee obtains knowledge of the
event:
   (1) The conviction of the licensee for any felony.
   (2) The conviction of the licensee for any other crime that is
substantially related to the qualifications, functions, and duties of
a licensed contractor.
   (b) (1) The board shall consult with licensees, consumers, and
other interested stakeholders in order to prepare a study of
judgments, arbitration awards, and settlements that were the result
of claims for construction defects for rental residential units and,
by January 1, 2018, shall report to the Legislature the results of
this study to determine if the board's ability to protect the public
as described in Section 7000.6 would be enhanced by regulations
requiring licensees to report judgments, arbitration awards, or
settlement payments of those claims. Participation by licensees and
consumers shall be voluntary. The study shall include, but not be
limited to, criteria used by insurers or others to differentiate
between settlements that are for nuisance value and those that are
not, whether settlement information or other information can help
identify licensees who may be subject to an enforcement action, if
there is a way to separate subcontractors from general contractors
when identifying licensees who may be subject to an enforcement
action, whether reporting should be limited to settlements resulting
from construction defects that resulted in death or injury, the
practice of other boards within the department, and any other
criteria considered reasonable by the board. The board shall submit
the report to the Legislature in accordance with Section 9795 of the
Government Code.
   (2) Records or documents obtained by the board during the course
of implementing this subdivision that are exempt from public
disclosure under the California Public Records Act (Chapter 3.5
(commencing with Section 6250) of Division 7 of Title 1 of the
Government Code) shall remain exempt from disclosure pursuant to that
act.
  SEC. 3.  Section 18924.5 is added to the Health and Safety Code, to
read:
   18924.5.  (a) By January 1, 2018, the working group formed by the
California Building Standards Commission to study recent exterior
elevated element failures in California shall submit a report to the
appropriate policy committees of the Legislature containing any
findings and possible recommendations for statutory changes or
changes to the California Building Standards Code.
   (b) The working group shall review related documents and reports,
including, but not limited to, any available forensic reports related
to exterior elevated element failures in California, reports and
studies used in the development of national and state building codes,
and any other material deemed relevant to make recommendations to
the appropriate state agency or agencies for the development of
proposed building standards for exterior elevated elements.
   (c) The working group shall solicit technical expertise as
appropriate from, but not limited to, representatives from the
Department of Housing and Community Development, the Division of the
State Architect--Structural Safety, the Office of the State Fire
Marshal, local building officials and plan checkers, structural
engineers, apartment owners and managers, the building industry, the
wood, steel and concrete industries, and any other interested
parties.
   (d) Notwithstanding the deadline in subdivision (a), if, at any
time, it is determined by the working group that one or more changes
to the California Building Standards Code are needed as soon as
possible in order to protect the public, the working group shall
submit the recommended changes to the appropriate state agency or
agencies for consideration as soon as possible according to this
part.
   (e) This section shall remain in effect only until January 1,
2018, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2018, deletes or extends
that date.
  SEC. 4.  Section 6313.5 of the Labor Code is amended to read:
   6313.5.  The division, after consultation with the Contractors'
State License Board, shall transmit to the Contractors' State License
Board copies of any citations or other actions taken by the division
against a contractor as defined in the Contractors' State License
Law (Chapter 9 (commencing with Section 7000) of Division 3 of the
Business and Professions Code).
  SEC. 5.  The Legislature finds and declares that Section 2 of this
act, which adds Section 7071.18 to the Business and Professions Code,
imposes a limitation on the public's right of access to the meetings
of public bodies or the writings of public officials and agencies
within the meaning of Section 3 of Article I of the California
Constitution. Pursuant to that constitutional provision, the
Legislature makes the following findings to demonstrate the interest
protected by this limitation and the need for protecting that
interest:
   By allowing records and documents exempt from disclosure to be
shared with the Contractors' State License Board and remain nonpublic
under the Public Records Act, the act adding this section would
encourage private individuals and entities to provide the board with
information that is vital to the success of its study and report to
determine whether additional regulations are appropriate. Therefore,
this act properly balances the public's right to access to public
records in the possession of the board with the need for the state to
obtain otherwise private information.
            
feedback