Bill Text: CA SB1254 | 2009-2010 | Regular Session | Amended

California Senate Bill 1254 (Prior Session Legislation)

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Contractors: workers' compensation insurance coverage.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2010-09-30 - Chaptered by Secretary of State. Chapter 643, Statutes of 2010. [SB1254 Detail]

Download: California-2009-SB1254-Amended.html
BILL NUMBER: SB 1254	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MARCH 22, 2010

INTRODUCED BY   Senator Leno

                        FEBRUARY 19, 2010

   An act to add Section 7127 to the Business and Professions Code,
and to amend Section 830.3 of the Penal Code, relating to
contractors.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 1254, as amended, Leno. Contractors: workers' compensation
insurance coverage.
   Existing law requires private employers to secure the payment of
compensation by obtaining and maintaining workers' compensation
insurance or to self-insure as an individual employer or as one
employer in a group of employers. The Contractors' State License Law
requires every licensed contractor to have on file at all times with
the Contractors' State License Board a current and valid Certificate
of Workers' Compensation Insurance or Certification of
Self-Insurance, or a statement certifying that he or she has no
employees and is not required to obtain or maintain workers'
compensation insurance coverage.
   This bill would authorize the registrar of contractors to issue a
stop order to any unlicensed contractor who  as an employer 
has failed to secure workers' compensation insurance coverage for
his or her employees. The bill would make a failure to comply with
the stop order a crime, thereby imposing a state-mandated local
program.  The bill would set forth specified procedures to
request a hearing to protest a stop order, and, upon that request,
would require the registrar of contractors to hold a hearing to
affirm or dismiss the stop order and issue and serve on all parties
to the hearing a written notice of findings. The bill would authorize
a writ of mandate to be taken from the findings to the appropriate
superior court, as specified. 
   Existing law authorizes the Director of Consumer Affairs to
designate 3 persons as peace officers to be assigned to the special
investigations unit of the board.
   This bill would authorize the director to designate 12 persons as
peace officers for assignment to the special investigations unit of
the board.
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


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

  SECTION 1.  Section 7127 is added to the Business and Professions
Code, to read:
   7127.   If an unlicensed contractor   (a)
    Where an employer subject to licensure under
this chapter  has failed to secure the payment of compensation
as required by Section 3700 of the Labor Code,  and that employer
is not licensed,  the registrar may, in addition to any other
administrative remedy, issue and serve on that person a stop order
prohibiting the use of employee labor. Failure of any employer,
officer, or any person having direction, management, or control of
any place of employment or of employees to observe a stop order
issued and served upon him or her pursuant to this section is a
misdemeanor punishable by imprisonment in the county jail not
exceeding 60 days or by a fine not exceeding ten thousand dollars
($10,000), or both. 
   (b) An employer who is subject to this section may protest the
stop order by making and filing with the registrar a written request
for a hearing within 20 days after service of the stop order. The
hearing shall be held within five days from the date of filing the
request. The registrar shall notify the employer of the time and
place of the hearing by mail. At the conclusion of the hearing the
stop order shall be immediately affirmed or dismissed, and within 24
hours thereafter the registrar shall issue and serve on all parties
to the hearing by registered or certified mail a written notice of
findings and findings. A writ of mandate may be taken from the
findings to the appropriate superior court. Such writ must be taken
within 45 days after the mailing of the notice of findings and
findings. 
  SEC. 2.  Section 830.3 of the Penal Code is amended to read:
   830.3.  The following persons are peace officers whose authority
extends to any place in the state for the purpose of performing their
primary duty or when making an arrest pursuant to Section 836 of the
Penal Code as to any public offense with respect to which there is
immediate danger to person or property, or of the escape of the
perpetrator of that offense, or pursuant to Section 8597 or 8598 of
the Government Code. These peace officers may carry firearms only if
authorized and under those terms and conditions as specified by their
employing agencies:
   (a) Persons employed by the Division of Investigation of the
Department of Consumer Affairs and investigators of the Medical Board
of California and the Board of Dental Examiners, who are designated
by the Director of Consumer Affairs, provided that the primary duty
of these peace officers shall be the enforcement of the law as that
duty is set forth in Section 160 of the Business and Professions
Code.
   (b) Voluntary fire wardens designated by the Director of Forestry
and Fire Protection pursuant to Section 4156 of the Public Resources
Code, provided that the primary duty of these peace officers shall be
the enforcement of the law as that duty is set forth in Section 4156
of that code.
   (c) Employees of the Department of Motor Vehicles designated in
Section 1655 of the Vehicle Code, provided that the primary duty of
these peace officers shall be the enforcement of the law as that duty
is set forth in Section 1655 of that code.
   (d) Investigators of the California Horse Racing Board designated
by the board, provided that the primary duty of these peace officers
shall be the enforcement of Chapter 4 (commencing with Section 19400)
of Division 8 of the Business and Professions Code and Chapter 10
(commencing with Section 330) of Title 9 of Part 1 of this code.
   (e) The State Fire Marshal and assistant or deputy state fire
marshals appointed pursuant to Section 13103 of the Health and Safety
Code, provided that the primary duty of these peace officers shall
be the enforcement of the law as that duty is set forth in Section
13104 of that code.
   (f) Inspectors of the food and drug section designated by the
chief pursuant to subdivision (a) of Section 106500 of the Health and
Safety Code, provided that the primary duty of these peace officers
shall be the enforcement of the law as that duty is set forth in
Section 106500 of that code.
   (g) All investigators of the Division of Labor Standards
Enforcement designated by the Labor Commissioner, provided that the
primary duty of these peace officers shall be the enforcement of the
law as prescribed in Section 95 of the Labor Code.
   (h) All investigators of the State Departments of Health Care
Services, Public Health, Social Services, Mental Health, and Alcohol
and Drug Programs, the Department of Toxic Substances Control, the
Office of Statewide Health Planning and Development, and the Public
Employees' Retirement System, provided that the primary duty of these
peace officers shall be the enforcement of the law relating to the
duties of his or her department or office. Notwithstanding any other
provision of law, investigators of the Public Employees' Retirement
System shall not carry firearms.
   (i) The Chief of the Bureau of Fraudulent Claims of the Department
of Insurance and those investigators designated by the chief,
provided that the primary duty of those investigators shall be the
enforcement of Section 550.
   (j) Employees of the Department of Housing and Community
Development designated under Section 18023 of the Health and Safety
Code, provided that the primary duty of these peace officers shall be
the enforcement of the law as that duty is set forth in Section
18023 of that code.
   (k) Investigators of the office of the Controller, provided that
the primary duty of these investigators shall be the enforcement of
the law relating to the duties of that office. Notwithstanding any
other law, except as authorized by the Controller, the peace officers
designated pursuant to this subdivision shall not carry firearms.
   (l) Investigators of the Department of Corporations designated by
the Commissioner of Corporations, provided that the primary duty of
these investigators shall be the enforcement of the provisions of law
administered by the Department of Corporations. Notwithstanding any
other provision of law, the peace officers designated pursuant to
this subdivision shall not carry firearms.
   (m) Persons employed by the Contractors' State License Board
designated by the Director of Consumer Affairs pursuant to Section
7011.5 of the Business and Professions Code, provided that the
primary duty of these persons shall be the enforcement of the law as
that duty is set forth in Section 7011.5, and in Chapter 9
(commencing with Section 7000) of Division 3, of that code. The
Director of Consumer Affairs may designate as peace officers not more
than 12 persons who shall at the time of their designation be
assigned to the special investigations unit of the board.
Notwithstanding any other provision of law, the persons designated
pursuant to this subdivision shall not carry firearms.
   (n) The Chief and coordinators of the Law Enforcement Division of
the Office of Emergency Services.
   (o) Investigators of the office of the Secretary of State
designated by the Secretary of State, provided that the primary duty
of these peace officers shall be the enforcement of the law as
prescribed in Chapter 3 (commencing with Section 8200) of Division 1
of Title 2 of, and Section 12172.5 of, the Government Code.
Notwithstanding any other provision of law, the peace officers
designated pursuant to this subdivision shall not carry firearms.
   (p) The Deputy Director for Security designated by Section 8880.38
of the Government Code, and all lottery security personnel assigned
to the California State Lottery and designated by the director,
provided that the primary duty of any of those peace officers shall
be the enforcement of the laws related to assuring the integrity,
honesty, and fairness of the operation and administration of the
California State Lottery.
   (q) Investigators employed by the Investigation Division of the
Employment Development Department designated by the director of the
department, provided that the primary duty of those peace officers
shall be the enforcement of the law as that duty is set forth in
Section 317 of the Unemployment Insurance Code.
   Notwithstanding any other provision of law, the peace officers
designated pursuant to this subdivision shall not carry firearms.
   (r) The chief and assistant chief of museum security and safety of
the California Science Center, as designated by the executive
director pursuant to Section 4108 of the Food and Agricultural Code,
provided that the primary duty of those peace officers shall be the
enforcement of the law as that duty is set forth in Section 4108 of
the Food and Agricultural Code.
   (s) Employees of the Franchise Tax Board designated by the board,
provided that the primary duty of these peace officers shall be the
enforcement of the law as set forth in Chapter 9 (commencing with
Section 19701) of Part 10.2 of Division 2 of the Revenue and Taxation
Code.
   (t) Notwithstanding any other provision of this section, a peace
officer authorized by this section shall not be authorized to carry
firearms by his or her employing agency until that agency has adopted
a policy on the use of deadly force by those peace officers, and
until those peace officers have been instructed in the employing
agency's policy on the use of deadly force.
   Every peace officer authorized pursuant to this section to carry
firearms by his or her employing agency shall qualify in the use of
the firearms at least every six months.
   (u) Investigators of the Department of Managed Health Care
designated by the Director of the Department of Managed Health Care,
provided that the primary duty of these investigators shall be the
enforcement of the provisions of laws administered by the Director of
the Department of Managed Health Care. Notwithstanding any other
provision of law, the peace officers designated pursuant to this
subdivision shall not carry firearms.
   (v) The Chief, Deputy Chief, supervising investigators, and
investigators of the Office of Protective Services of the State
Department of Developmental Services, provided that the primary duty
of each of those persons shall be the enforcement of the law relating
to the duties of his or her department or office.
  SEC. 3.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.