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New Laws - 2000

Summary of law changes for the 1999-2000 Legislative Session

This is a summary of legislation considered significant that the Contractors State License Board (CSLB or Board) closely followed during the 1999-2000 legislative session. All of the bills in the summary have been signed into law (chaptered), and will become effective January 1, 2001, unless otherwise noted. Copies of chaptered bills are available from the Legislative Bill Room by calling (916) 445-2323 or on the Internet at

AB 505 – Administrative Procedures (Wright - Chapter 1059) This new law will add and amend the Governmental Code relating to administrative procedures. There will be some changes to the procedures CSLB must follow in the rulemaking process, most significantly to the detailed postings on the Internet, receipt of comments by facsimile, electronic mail and the possible appointment of a small business liaison. This bill contains language that double-joins to bill: AB 1822 (Wayne - Chapter 1060) a similar bill that will also create some administrative procedural changes regarding rulemaking.

AB 576 – Mechanics' Liens (Honda - Chapter 13) This new law will amend Section 3097 of the Civil Code to provide cross-referencing language requiring additional declarations to be included in the preliminary notice from a claimant prior to the recording of a mechanic's lien. This bill corrects an inadvertent error from last year in bill SB 914.

AB 2513 – Prevailing Wage Requirements: violations (Shelley - Chapter 970) This law will amend the Labor Code relating to public works and provide that: a contractor or subcontractor is subject to the law relating to payment of prevailing wages and is ineligible to bid or contract if he or she has a willful violation of the applicable provisions. This bill would delete the requirement that a contractor or subcontractor have a substantial interest in order for the entity to be ineligible to bid or contract, and instead would render ineligible an entity in which an ineligible contractor has any interest. The Labor Commissioner will publish and distribute to those interested, the list of contractors who are ineligible to bid.

AB 2888 – Professions and Vocations (Consumer Protection Committee - Chapter 568) Among other things, this bill will amend Business and Professions Code Section 119 to make it a crime to manufacture a professional license and to buy or receive a fraudulent, forged, or counterfeit license. It will also add Business and Professions Code Section 488 to authorize the Board to take various actions with respect to an application following a hearing such as denying or granting a license, as the board in its discretion may deem proper.

SB 1889 – Internet Licensee Information (Figueroa - Chapter 927) This bill amends Business and Professions Code Section 27 to require boards to disclose information about licensees on the Internet.

SB 2029 – Contractors State License Board (Figueroa - Chapter 1005) This bill will add two additional members the Board. There will now be 15 members as specified by Business and Professions (B&P) Code 7000.5 (c). Additionally, Section 7000.5 extends the Boards sunset date to January 1, 2003. Section 7021 is added to the B&P Code and requires the Board to conduct studies and reviews as follows: Section 7021 (a) home equity lending fraud and scams, Section 7021 (b) a review of the CSLB reengineering plan, Section 7021 (c) research consumer recovery fund programs, Section 7021 (d) the use of surety bonds to compensate homeowners for financial injury, Section 7021 (e) consider and provide recommended changes in its disclosure policy, and Section 7065.05 (b) schedule completion of an occupational analysis of its current examinations. Section 7159.3 is added to the B&P Code and requires that home improvement contracts and estimates must contain a statement regarding general liability insurance and a checklist for homeowners. The Department of Consumer Affairs (DCA) will also appoint an Enforcement Monitor to oversee the CSLB's enforcement program.

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