BILL NUMBER: SB 828	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Runner

                        FEBRUARY 18, 2011

   An act to add Chapter 5.2 (commencing with Section 11530) to Part
1 of Division 3 of Title 2 of the Government Code, relating to state
government.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 828, as introduced, Runner. Small Business Appeals Board.
   Existing law sets forth procedures generally for the
administrative review of the regulatory activities of state agencies.

   This bill would establish the Small Business Appeals Board in
state government, to consist of a specified membership. It would
authorize the board to grant a hearing and review the order, ruling,
action, or failure to act of any state agency, except a state taxing
agency, upon the petition of any small business affected by the
order, ruling, action, or failure to act. It would authorize the
board to grant any remedy and impose any penalty authorized under
existing law governing administrative procedures.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  Chapter 5.2 (commencing with Section 11530) is added to
Part 1 of Division 3 of Title 2 of the Government Code, to read:
      CHAPTER 5.2.  SMALL BUSINESS APPEALS BOARD


   11530.  (a) The Legislature finds and declares that small
businesses form the backbone of the California economy and are
essential to the state's prospective vitality. Moreover, an often
complicated and sometimes arbitrary state regulatory system has
impeded the growth of some enterprises and has caused a perception
that California is a hard place to do business. Often, small
businesses are overwhelmed with red tape and agencies that stress
formalities over substance.
   (b) Therefore, in order that California's small businesses may
have a forum for appeal of what may appear to be a slow or
overzealous bureaucracy, the Small Business Appeals Board is hereby
established in state government.
   (c) For purposes of this chapter, "small business" means an entity
that meets either of the following criteria:
   (1) Its gross receipts are less than ten million dollars
($10,000,000) annually.
   (2) It has fewer than 100 employees.
   11530.5.  (a) The Small Business Appeals Board shall consist of
five members, as follows:
   (1) An individual appointed by the Governor, who shall serve as
chair.
   (2) A retired judge appointed by the Chief Justice of the
California Supreme Court.
   (3) A representative of the office of the Attorney General.
   (4) Two public members with extensive experience in the operation
of small businesses, one to be appointed by the President pro Tempore
of the Senate and one to be appointed by the Speaker of the
Assembly.
   (b) The board shall meet at least once per month. It shall
commence operations beginning the January after the appointment of
its members and the appropriation of funds for its support. It may
employ legal and administrative staff for the purposes of this
section.
   (c) Board members shall not receive compensation, but members not
serving in their official capacity may receive per diem and actual
expenses.
   (d) (1) Except as provided in paragraph (3), the board may, at its
discretion, grant a hearing and review the order, ruling, action, or
failure to act of any state agency, upon the petition of any small
business affected by the order, ruling, action, or failure to act.
The board may grant any remedy and impose any penalty authorized
under existing law governing administrative procedures. Any other
administrative body with jurisdiction over the matter may take the
board's disposition into account in making its own determination on
the matter.
   (2) A small business may petition the board pursuant to this
subdivision regardless of whether it has exhausted its other
administrative remedies. A decision of the board to grant or deny a
hearing under this subdivision shall not be subject to administrative
review.
   (3) This subdivision shall not apply to any taxing agency of the
state.