CLC Newsletter Winter/Spring 2012

2012 Contracting and Construction Legislation

CSLB is sponsoring two bills that have been introduced this year.

Assembly Bill (AB) 2237 (Monning) would clarify the definition of a contractor to include a person who provides or oversees a bid, arranges for and sets up work schedules, or oversees a construction project.

AB 2554 (Berryhill) would amend Business and Professions Code section 7106.5 to allow CSLB authority to proceed with investigations and disciplinary proceedings against revoked licenses. This bill will be amended to provide authority to all CSLB enforcement representatives, who have completed the required training, to issue a notice to appear.

A number of other bills introduced in this year could affect home improvement contracting and those involved in the construction industry. They are now in the beginning stages of legislative hearings, and members of the public may comment on them. Following is a sampling of the active bills. You can check on a bill's progress and amendments, or search for legislation of interest on the Legislative Counsel's legislative information website.

AB 1794 would make it a misdemeanor if a contractor fails to notify workers' compensation insurance providers of additional employees hired within 15 days, and would require insurers to conduct annual audits on contractors to whom it issues a policy, until January 1, 2015, unless these provisions are extended.
AB 2219 would amend and repeal B&P Code section 7125 to indefinitely extend the requirement that all roofing contractors obtain workers' compensation coverage, even if they certify that they have no employees. That requirement currently is set to expire at the beginning of 2013. The bill also will extend indefinitely the requirement that insurers conduct annual audits, and would add that these audits be conducted in person to verify the accuracy of the reported number of employees.
AB 2449 would make changes to laws regarding the definitions of independent contractors and workers' compensation.

AB 2288 would authorize a city or county prosecutor to take civil action against a building contractor for failure to pay wages, benefits, and workers' compensation to employees.
AB 2373 would amend the definition of an independent contractor.
Senate Bill (SB) 1333 would set up consultation services for businesses with fewer than 100 employees within the Division of Labor Standards Enforcement for the clarification of wage and hour laws, with possible fees associated for such consulting services.

SB 1185 would create the Central Intelligence Partnership among multiple state agencies to combat underground economic activity.

AB 2114 calls for new requirements for issuance of a permit to build a swimming pool, spa, or public wading pool.
AB 2398 addresses the State Water Resources Control Board's general permit for construction relative to recycled water.
AB 2595 calls for streamlining the permitting process for the design and construction of desalination plants.
SB 1099 changes the effective date of regulations to twice annually, versus 30 days from Office of Administrative Law (OAL) approval, and requires OAL to provide a link on its website to all regulations filed with the Secretary of State.
SB 1306 addresses permitting and denial of permits for construction granted by the State Water Resources Control Board or its regional offices.
SB 1520 seeks to streamline the state's regulatory and permitting processes.

AB 2353 addresses substitutions in public works contracting.
AB 2440 would address contracting for public works projects with the Los Angeles County Metropolitan Transportation Authority.
SB 1370 would require the Department of Industrial Relations to post on its website prevailing wage requirements on public works projects.
SB 1549 would address public works contract bidding in the San Diego region.

AB 1588 would call for the waiver of fees or continuing education requirements for a licensee whose license expires while on active duty in the military reserve or California National Guard.
AB 1920 would address payments for work done outside the contractor's licensing classification or without a license.
AB 2027 would change provisions for courts in determining whether individuals had substantially complied with state contracting requirements.
AB 2482 would create the California Registered Interior Designers Board within the Department of Consumer Affairs, and has several provisions related to construction contractors licensed with CSLB.
AB 2570 would prohibit a licensee from including provisions in settlements of a civil dispute that prohibit the consumer from contacting, filing a complaint, or withdrawing a complaint with CSLB (or any other consumer protection board overseen by the Department of Consumer Affairs).

AB 1750 would affect those contracting for rainwater capture projects.
AB 2339 would require state regulators and those involved in the heat pump and solar thermal heating and cooling industries to evaluate policies and develop infrastructure for wider-spread use of these technologies. The bill requires the Public Utilities Commission to adopt rules addressing these issues by July 1, 2013.
AB 2644 would direct the Building Standards Commission to adopt standards for the construction, installation, and alteration of charging stations for electric vehicles in single family residential properties.
SB 1092 would address surety bonds for construction trucking services.
SB 1447 would address construction of artificial reefs.