The people of the State of California do enact as follows:

SECTION 1.
Section 23151 of the Revenue and Taxation Code is amended to read:
23151.
(a) With the exception of banks and financial corporations, every corporation doing business within the limits of this state and not expressly exempted from taxation by the provisions of the Constitution of this state or by this part, shall annually pay to the state, for the privilege of exercising its corporate franchises within this state, a tax according to or measured by its net income, to be computed at the rate of 7.6 percent upon the basis of its net income for the next preceding income year, or if greater, the minimum tax specified in Section 23153.
(b) For calendar or fiscal years ending after June 30, 1973, the rate of tax shall be 9 percent instead of 7.6 percent as provided by subdivision (a).
(c) For calendar or fiscal years ending in 1980 to 1986, inclusive, the rate of tax shall be 9.6 percent.
(d) For calendar or fiscal years ending in 1987 to 1996, inclusive, and for any income year beginning before January 1, 1997, the tax rate shall be 9.3 percent.
(e) For any income year beginning on or after January 1, 1997, the tax rate shall be 8.84 percent. The change in rate provided in this subdivision shall be made without proration otherwise required by Section 24251.
(f) (1) For the first taxable year beginning on or after January 1, 2000, the tax imposed under this section shall be the sum of both of the following:
(A) A tax according to or measured by net income, to be computed at the rate of 8.84 percent upon the basis of the net income for the next preceding income year, but not less than the minimum tax specified in Section 23153.
(B) A tax according to or measured by net income, to be computed at the rate of 8.84 percent upon the basis of the net income for the first taxable year beginning on or after January 1, 2000, but not less than the minimum tax specified in Section 23153.
(2) Except as provided in paragraph
(1),
(1) and subdivision (g),
for taxable years beginning on or after January 1, 2000, the tax imposed under this section shall be a tax according to or measured by net income, to be computed at the rate of 8.84 percent upon the basis of the net income for that taxable year, but not less than the minimum tax specified in Section 23153.
(g) (1) For taxable years beginning on or after January 1, 2015, the tax imposed under this section upon a publicly held corporation, as defined in Section 162(m)(2) of the Internal Revenue Code, relating to publicly held corporation, shall be a tax according to or measured by net income, to be computed at the applicable tax rate upon the basis of the net income for that taxable year, as determined by paragraph (2), but not less than the minimum tax specified in Section 23153.
(2) The applicable tax rate shall be determined as follows:
If the compensation ratio is:
The applicable tax rate is:
Over zero but not over 25
7% upon the basis of net income
Over 25 but not over 50
7.5% upon the basis of net income
Over 50 but not over 100
8% upon the basis of net income
Over 100 but not over 150
9% upon the basis of net income
Over 150 but not over 200
9.5% upon the basis of net income
Over 200 but not over 250
10% upon the basis of net income
Over 250 but not over 300
11% upon the basis of net income
Over 300 but not over 400
12% upon the basis of net income
Over 400
13% upon the basis of net income
(3) For purposes of this subdivision:
(A) “Client employer” means an individual or entity that receives workers to perform labor or services within the usual course of business of the individual or entity from a labor contractor.
(B) (i) “Compensation,” in the case of employees of the taxpayer, other than the chief operating officer or the highest paid employee, means wages as defined in Section 3121(a) of the Internal Revenue Code, relating to wages, paid by the taxpayer during a calendar year to employees of the taxpayer.
(ii) “Compensation,” in the case of the chief operating officer or the highest paid employee of the taxpayer, means total compensation as reported in the Summary Compensation Table reported to the United States Securities and Exchange Commission pursuant to Item 402 of Regulation S-K of the Securities and Exchange Commission.
(C) (i) “Compensation ratio” for a taxable year means a ratio where the numerator is the amount equal to the greater of the compensation of the chief operating officer or the highest paid employee of the taxpayer for the calendar year preceding the beginning of the taxable year and the denominator is the amount equal to the median compensation of all employees employed by the taxpayer, including all contracted employees under contract with the taxpayer, in the United States for the calendar year preceding the beginning of the taxable year.
(ii) For taxpayers that are required to be included in a combined report under Section 25101 or authorized to be included in a combined report under Section 25101.15, the calculation of the ratio in clause (i) shall be made by treating all taxpayers that are required to be or authorized to be included in a combined report as a single taxpayer.
(D) “Contracted employee” means an employee who works for a labor contractor.
(E) “Labor contractor” means an individual or entity that contracts with a client employer to supply workers to perform labor or services or otherwise provides workers to perform labor or services within the usual course of business for the client employer.
(4) A taxpayer subject to this subdivision shall furnish a detailed compensation report to the Franchise Tax Board with its timely filed original return.
(5) (A) If the total number of full-time employees, determined on an annual full-time equivalent basis, employed by the taxpayer in the United States for a taxable year is reduced by more than 10 percent, as compared to the total number of full-time employees, determined on an annual full-time equivalent basis, employed by the taxpayer in the United States for the preceding taxable year and the total number of contracted employees or foreign full-time employees, determined on an annual full-time equivalent basis, of the taxpayer for that taxable year has increased, as compared with the total number of contracted employees or foreign full-time employees, determined on an annual full-time equivalent basis, of the taxpayer for the preceding taxable year, then the applicable tax rate determined under paragraph (2) shall be increased by 50 percent. For taxpayers who first commence doing business in this state during the taxable year, the number of full-time employees, contracted employees, and foreign full-time employees for the immediately preceding prior taxable year shall be zero.
(B) For purposes of this paragraph:
(i) “Annual full-time equivalent” means either of the following:
(I) In the case of a full-time employee paid hourly qualified wages, “annual full-time equivalent” means the total number of hours worked for the qualified taxpayer by the employee, not to exceed 2,000 hours per employee, divided by 2,000.
(II) In the case of a salaried full-time employee, “annual full-time equivalent” means the total number of weeks worked for the qualified taxpayer by the employee divided by 52.
(ii) “Foreign full-time employee” means a full-time employee of the taxpayer that is employed at a location other than the United States.
(iii) “Full-time employee” means an employee of the taxpayer that satisfies either of the following requirements:
(I) Is paid compensation by the taxpayer for services of not less than an average of 30 hours per week.
(II) Is a salaried employee of the taxpayer and is paid compensation during the taxable year for full-time employment, within the meaning of Section 515 of the Labor Code.
(6) The Franchise Tax Board may prescribe rules, guidelines, or procedures necessary or appropriate to carry out the purposes of this subdivision, including any guidelines regarding the determination of wages, average compensation, and compensation ratio. Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code shall not apply to any rule, guideline, or procedure prescribed by the Franchise Tax Board pursuant to this subdivision.
SEC. 2.
This act provides for a tax levy within the meaning of Article IV of the Constitution and shall go into immediate effect.

Summary: The Corporation Tax Law imposes taxes according to or measured by net income at a rate of 8.84, or for financial institutions, at a rate of 10.84, as specified. This bill would, for taxable years beginning on and after January 1, 2015, revise that rate for taxpayers that are publicly held corporations, as defined, and instead impose an applicable tax rate from 7 to 13, or for financial institutions, from 9 to 15, based on the compensation ratio, as defined, of the corporation. This bill would increase the applicable tax rate by 50 for those taxpayers that have a specified decrease in full-time employees employed in the United States as compared to an increase in contracted and foreign full-time employees, as described. This bill would include a change in state statute that would result in a taxpayer paying a higher tax within the meaning of Section 3 of Article XIII A of the California Constitution, and thus would require for passage the approval of 23 of the membership of each house of the Legislature. This act provides for a tax levy within the meaning of Article IV of the Constitution and shall go into immediate effect.

An act to amend Section 23151 of the Revenue and Taxation Code, relating to taxation, to take effect immediately, tax levy.


The people of the State of California do enact as follows:

SECTION 1.
The Legislature finds and declares all of the following:
(a) California has enacted numerous policies to reduce emissions of greenhouse gases and to increase the use of renewable energy resources and renewable fuels, including the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500) of the Health and Safety Code), the California Renewables Portfolio Standard Program (Article 16 (commencing with Section 399.11) of Chapter 2.3 of Part 1 of Division 1 of the Public Utilities Code), the low carbon fuel standard (Executive Order S-01-07 (January 19, 2007); Title 17 California Code of Regulations Sections 95480 to 95490, inclusive), and the state’s comprehensive strategy to reduce emissions of short-lived climate pollutants (Section 39730 of the Health and Safety Code).
(b) Use of natural gas causes more than one-quarter of all emissions of greenhouse gases in California. Wildfires cause more than one-half of all black carbon emissions, and organic waste is responsible for three of the state’s five largest sources of methane emissions.
(c) Capturing and using methane gas from renewable sources (renewable gas) can significantly reduce emissions of greenhouse gases from fossil fuel use, organic waste, wildfires, and petroleum-based fertilizers. Using renewable gas in place of just 10 percent of California’s fossil fuel derived gas supply would reduce emissions of greenhouse gases by tens of millions of metric tons of carbon dioxide equivalent emissions per year. Renewable gas generated from organic waste provides the lowest carbon transportation fuels in existence and can provide low carbon, flexible fuel for the generation of electricity.
(d) Increasing use of renewable gas in California will protect disadvantaged communities by reducing air and water pollution from fossil fuel refining and combustion. Renewable gas used in place of diesel in heavy-duty vehicles will protect public health by reducing toxic air contaminants.
(e) Renewable gas provides significant economic benefits to California, including job creation, an in-state source of gas, increased energy security, revenue and energy for public agencies, and revenue for dairies, farms, rural forest communities, and other areas.
(f) It is in the interest of the state to establish a renewable gas standard that will diversify and decarbonize California’s gas supply, to provide lower carbon gas for electricity generation, transportation fuels, heating, and industrial purposes.
(g) A renewable gas standard will reduce emissions of greenhouse gases from the oil and gas sector and from the solid waste, food and agriculture, water and wastewater, and forestry sectors. It will increase in-state gas supplies and provide jobs and increased energy security for California.
(h) A renewable gas standard will help California to meet the waste diversion requirements of Section 41781.3, Article 1 (commencing with Section 41780) of Chapter 6 of Part 2 of, and Chapter 12.9 (commencing with Section 42649.8) of Part 3 of, Division 30 of the Public Resources Code, by using diverted organic waste to produce renewable gas.
SEC. 2.
Section 39735 is added to the Health and Safety Code, to read:
39735.
(a) For purposes of this section, the following terms have the following meanings:
(1) “Biogas” means gas that is generated from organic waste or other organic materials, through anaerobic digestion, gasification, pyrolysis, or other technology that converts organic waste to gas. Biogas may be produced from, but not limited to, any of the following sources:
(A) Agricultural waste remaining after all reasonably usable food content is extracted.
(B) Forest waste produced from sustainable forest management practices.
(C) Landfill gas.
(D) Wastewater treatment gas and biosolids.
(E) Diverted organic waste, if the waste is separated and processed to (i) enhance the recovery of recyclable materials and (ii) minimize air emissions and residual wastes in accordance with applicable standards.
(2) “Eligible feedstock” means organic waste or other sustainably produced organic material and electricity generated by an eligible renewable energy resource meeting the requirements of the California Renewables Portfolio Standard Program (Article 16 (commencing with Section 399.11) of Chapter 2.3 of Part 1 of Division 1 of the Public Utilities Code).
(3) “Gas seller” means a gas corporation, as defined by Section 222 of the Public Utilities Code, or another entity authorized to sell natural gas pursuant to natural gas restructuring (Chapter 2.2 (commencing with Section 328) of Part 1 of Division 1 of the Public Utilities Code), including sales to core and noncore customers pursuant to natural gas restructuring.
(4) “Renewable gas” means gas that is generated from organic waste or other renewable sources, including electricity generated by an eligible renewable energy resource meeting the requirements of the California Renewables Portfolio Standard Program (Article 16 (commencing with Section 399.11) of Chapter 2.3 of Part 1 of Division 1 of the Public Utilities Code). Renewable gas includes biogas and synthetic natural gas generated from an eligible feedstock.
(5) “Renewable gas standard” means the quantity of renewable gas that a gas seller is required to provide to retail end-use customers for use in California for each compliance period set forth in subdivision (b).
(b) (1) On or before June 30,
2016,
2017,
the state board, in consultation with the State Energy Resources Conservation and Development Commission and the Public Utilities Commission, shall adopt a carbon-based renewable gas standard that requires all gas sellers to provide specified percentages of renewable gas to retail end-use customers for use in California. Each gas seller shall procure a minimum quantity of renewable gas for each of the following compliance periods:
(A)
January 1, 2016,
June 30, 2017,
to December 31, 2019, inclusive. The state board shall require a gas seller to make reasonable progress sufficient to ensure that by the end of the compliance period not less than 1 percent of the gas supplied to retail end-use customers for use in California is renewable gas.
(B) January 1, 2020, to December 31, 2022, inclusive. The state board shall require a gas seller to make reasonable progress sufficient to ensure that by the end of the compliance period not less than 3 percent of the gas supplied to retail end-use customers for use in California is renewable gas.
(C) January 1, 2023, to December 31, 2024, inclusive. The state board shall require a gas seller to make reasonable progress sufficient to ensure that by the end of the compliance period not less than 5 percent of the gas supplied to retail end-use customers for use in California is renewable gas.
(D) January 1, 2025, to December 31, 2029, inclusive. The state board shall require a gas seller to make reasonable progress sufficient to ensure that by the end of the compliance period not less than 10 percent of the gas supplied to retail end-use customers for use in California is renewable gas.
(E) January 1, 2030, and thereafter. The state board shall require a gas seller to ensure that not less than 10 percent of the gas supplied to retail end-use customers for use in California is renewable gas.
(2) Gas sellers shall be obligated to procure no less than the quantities associated with all intervening years by the end of each compliance period.
(c) Only renewable gas that meets any of the following conditions shall count toward meeting the procurement requirements of the renewable gas standard:
(1) The renewable gas is used onsite by an end-use customer in California.
(2) The renewable gas is used by an end-use customer in California and delivered through a dedicated pipeline.
(3) The renewable gas is delivered to end-use customers in California through a common carrier pipeline and meets all of the following requirements:
(A) The source of renewable gas injects the renewable gas into a common carrier pipeline that physically flows within California or toward the end-use customers for which the renewable gas was procured under the purchase contract.
(B) The source of renewable gas did not inject the renewable gas into a common carrier pipeline prior to March 29, 2012, or the source commenced injection of sufficient incremental quantities of renewable gas after March 29, 2012, to satisfy the purchase contract requirements.
(C) The seller or purchaser of the renewable gas demonstrates that the capture and injection of renewable gas into a common carrier pipeline directly results in at least one of the following environmental benefits to California:
(i) The reduction or avoidance of the emission of any criteria air pollutant in California.
(ii) The reduction or avoidance of pollutants that could have an adverse impact on waters of the state.
(iii) The alleviation of a local nuisance within California that is associated with the emission of odors.
(d) In adopting the renewable gas standard, the state board shall do all of the following:
(1) Notify all gas sellers in California of, and how to comply with, the renewable gas standard procurement requirements. The State Board of Equalization may supply the state board with information obtained as a result of its collection of the natural gas surcharge pursuant to Article 10 (commencing with Section 890) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, to assist the state board in identifying those gas sellers that are not gas corporations, as defined in Section 222 of the Public Utilities Code. The Public Utilities Commission shall notify the state board of each gas corporation that provides gas service to end-use customers in California.
(2) Maintain and publicize a list of eligible renewable gas providers. For these purposes, an eligible renewable gas provider means any person or corporation that is able to supply renewable gas meeting the deliverability requirements of subdivision (c).
(3) Adopt a flexible compliance mechanism, such as tradable renewable gas credits, to increase market flexibility and reduce costs of compliance. If the state board adopts tradable renewable gas credits, those credits shall be based on the carbon intensity of the renewable gas and shall give equal value to renewable gas that is used onsite and renewable gas that is injected into a common carrier pipeline. The flexible compliance mechanism shall also allow for credit banking and borrowing. The state board shall consult with the State Energy Resources Conservation and Development Commission in developing any system for tradable renewable gas credits.
(4) The state board shall consult with the Public Utilities Commission in the development of regulations to implement the renewable gas standard as they affect gas corporations, subject to regulation as public utilities by the commission, in order to minimize duplicative reporting or regulatory requirements.
(5) In consultation with the State Energy Resources Conservation and Development Commission and the Public Utilities Commission, adopt a coordinated investment plan to ensure that moneys made available from revenues derived through adoption of a market-based compliance mechanism or through the Alternative and Renewable Fuel and Vehicle Technology Program or Air Quality Improvement Program, are used to reduce the costs to implement the renewable gas standard, including the costs of pipeline injection.
(e) The state board shall waive enforcement of this section if it finds that the gas seller has demonstrated either of the following conditions are beyond the control of the gas seller and will prevent compliance:
(1) Permitting or other circumstances that delay renewable gas projects, or there is an insufficient supply of renewable gas resources available to the gas seller. In making a finding that this condition prevents timely compliance, the state board shall consider whether the gas seller has done all of the following:
(A) Prudently managed portfolio risks, including relying on a sufficient number of viable projects.
(B) Sought to develop its own renewable gas resources, pipelines, or pipeline interconnections to secure renewable gas resources.
(C) Procured an appropriate minimum margin of procurement above the minimum procurement level necessary to comply with the renewables gas standard to compensate for foreseeable delays or insufficient supply.
(D) Taken reasonable measures, under the control of the gas seller, to procure allowable tradable renewable gas credits.
(2) There is a disproportionate impact on commodity rates. The state board, in consultation with the Public Utilities Commission, shall establish a limitation for each gas seller on the expenditures for all renewable gas used to comply with the renewable gas standard. This limitation shall be set at a level that prevents disproportionate commodity rate impacts. In determining whether commodity rate impacts are disproportionate, the state board may consider the extent to which procurement required under this section results in a reduction in compliance costs for any other state obligation and may consider the availability of other incentives and credits that reduce the costs to ratepayers and noncore customers. If the cost limitation is insufficient to support the projected costs of meeting the renewable gas standard requirements, the gas seller may refrain from procuring quantities in excess of those that can be procured within the limitation.
(f) (1) If the state board waives any compliance requirements of this section, the state board shall establish additional reporting requirements on the gas seller to demonstrate that all reasonable actions under the control of the gas seller are taken in each of the intervening years sufficient to satisfy future procurement requirements.
(2) The board shall not waive enforcement pursuant to this section, unless the gas seller demonstrates that it has taken all reasonable actions under its control, as set forth in subdivision (e), to achieve full compliance.
(g) On or before January 1, 2017, the state board shall issue an analysis of the lifecycle emissions of greenhouse gases and reductions for different biogas types and end uses, including, but not limited to, electricity generation, transportation fuels, heating and industrial uses, and as a source of renewable hydrogen for fuel cells. The analysis shall include an assessment of other public health and environmental benefits, including benefits to disadvantaged communities, air and water quality, soil improvement, and wildfire reduction.
SEC. 3.
Section 25327 is added to the Public Resources Code, to read:
25327.
(a) For purposes of this section, “renewable gas” has the same meaning as defined in Section 39735 of the Health and Safety Code.
(b) On or before January 1, 2018, the commission shall provide an assessment of the following to the State Air Resources Board and the Legislature:
(1) Opportunities to colocate renewable gas production with existing vehicle fleets and other transportation fueling opportunities.
(2) Renewable energy production sites that can use the renewable gas onsite to reduce fossil fuel gas consumption for generation of electricity, heating, cooling, or other purposes.
(3) Renewable energy production sites that can cost effectively interconnect to common carrier gas pipelines.
(4) Recommendations to reduce the costs of pipeline interconnection for renewable gas projects in California.
(c) The assessment to be submitted to the Legislature pursuant to subdivision (b) shall be submitted in compliance with Section 9795 of the Government Code.
(d) Consistent with Section 10231.5 of the Government Code, this
Section
section
is repealed on January 1, 2020.

Summary: The California Global Warming Solutions Act of 2006 establishes the State Air Resources Board as the state agency responsible for monitoring and regulating sources emitting greenhouse gases. The act requires the state board to adopt regulations to require the reporting and verification of statewide greenhouse gas emissions and to monitor and enforce compliance with this program. The act requires the state board to adopt a statewide greenhouse gas emissions limit, as defined, to be achieved by 2020, equivalent to the statewide greenhouse gas emissions level in 1990. The state board is required to adopt rules and regulations in an open public process to achieve the maximum technologically feasible and cost-effective greenhouse gas emission reductions. The act authorizes the state board to adopt market-based compliance mechanisms, as defined, meeting specified requirements. Existing law requires the state board to complete a comprehensive strategy to reduce emissions of short-lived climate pollutants, as defined, in the state. Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including gas corporations. Existing law requires the commission to adopt policies and programs that promote the in-state production and distribution of biomethane, as defined, that facilitate the development of a variety of sources of in-state biomethane. Existing law requires the commission to adopt pipeline access rules that ensure that each gas corporation provides nondiscriminatory open access to its gas pipeline system to any party for the purposes of physically interconnecting with the gas pipeline system and effectuating the delivery of gas. The Warren-Alquist State Energy Resources Conservation and Development Act establishes the State Energy Resources Conservation and Development Commission and requires it to prepare an integrated energy policy report on or before November 1, 2003, and every 2 years thereafter. The act requires the report to contain an overview of major energy trends and issues facing the state, including, but not limited to, supply, demand, pricing, reliability, efficiency, and impacts on public health and safety, the economy, resources, and the environment. Existing law requires the State Energy Resources Conservation and Development Commission to hold public hearings to identify impediments that limit procurement of biomethane in California, including, but not limited to, impediments to interconnection and to offer solutions to those impediments as part of the integrated energy policy report. This bill would require the state board, on or before June 30, 2016, 2017, in consultation with the State Energy Resources Conservation and Development Commission and the Public Utilities Commission, to adopt a carbon-based renewable gas standard, as defined and specified, that requires all gas sellers, as defined, to provide specified percentages of renewable gas meeting certain deliverability requirements, to retail end-use customers for use in California, that increases over specified compliance periods. The bill would authorize the state board to waive enforcement of the renewable gas standard upon certain showings being made by a gas seller. The bill would require the state board, on or before January 1, 2017, to issue an analysis of the lifecycle emissions of greenhouse gases and reductions for different biogas types and end uses. The bill would require the State Energy Resources Conservation and Development Commission to provide the state board and the Legislature with an assessment of specified matter pertaining to renewable gas by January 1, 2018.

An act to add Section 39735 to the Health and Safety Code, and to add and repeal Section 25327 of the Public Resources Code, relating to energy.


The people of the State of California do enact as follows:

SECTION 1.
Section 51 of the Revenue and Taxation Code is amended to read:
51.
(a) For purposes of subdivision (b) of Section 2 of Article XIII A of the California Constitution, for each lien date after the lien date in which the base year value is determined pursuant to Section 110.1, the taxable value of real property shall, except as otherwise provided in subdivision (b) or (c), be the lesser of:
(1) Its base year value, compounded annually since the base year by an inflation factor, which shall be determined as follows:
(A) For any assessment year commencing prior to January 1, 1985, the inflation factor shall be the percentage change in the cost of living, as defined in Section 2212.
(B) For any assessment year commencing after January 1, 1985, and prior to January 1, 1998, the inflation factor shall be the percentage change, rounded to the nearest one-thousandth of 1 percent, from December of the prior fiscal year to December of the current fiscal year in the California Consumer Price Index for all items, as determined by the California Department of Industrial Relations.
(C) For any assessment year commencing on or after January 1, 1998, the inflation factor shall be the percentage change, rounded to the nearest one-thousandth of 1 percent, from October of the prior fiscal year to October of the current fiscal year in the California Consumer Price Index for all items, as determined by the California Department of Industrial Relations.
(D) The percentage increase for an assessment year determined pursuant to subparagraph (A), (B), or (C) shall not exceed 2 percent of the prior year’s value.
(E) (i) Notwithstanding any other law, for any assessment year commencing on or after January 1, 2017, the percentage increase for any assessment year determined pursuant to subparagraph (A), (B), or (C) shall not apply to the principal place of residence, including so much of the land surrounding it as is reasonably necessary for use of the dwelling as a home, of a qualified veteran who is 65 years of age or older on the lien date and was honorably discharged from military service.
(ii) For the purpose of this subparagraph, “qualified veteran” means a person who meets the following criteria:
(I) He or she meets the criteria specified in subdivision (o) of Section 3 of Article XIII of the California Constitution, except for the limitation on the value of property owned by the veteran or the veteran’s spouse.
(II) If the qualified veteran is single, his or her annual
household
income, as defined in Section 20504, is
less than
fifty thousand dollars
($50,000).
($50,000) or less.
(III) If the qualified veteran is married, his or her
annual
household
combined annual
income, as defined in Section 20504, is
less than
one hundred thousand dollars
($100,000).
($100,000) or less.
(iii) When claiming the benefit provided by this subparagraph, the claimant shall provide all information required by, and answer all questions contained in, an affidavit furnished by the assessor to determine that the claimant is a qualified veteran. The assessor may require additional proof of the information or answers provided in the affidavit before allowing the benefit provided by this subparagraph.
(2) Its full cash value, as defined in Section 110, as of the lien date, taking into account reductions in value due to damage, destruction, depreciation, obsolescence, removal of property, or other factors causing a decline in value.
(b) If the real property was damaged or destroyed by disaster, misfortune, or calamity and the board of supervisors of the county in which the real property is located has not adopted an ordinance pursuant to Section 170, or any portion of the real property has been removed by voluntary action by the taxpayer, the taxable value of the property shall be the sum of the following:
(1) The lesser of its base year value of land determined under paragraph (1) of subdivision (a) or full cash value of land determined pursuant to paragraph (2) of subdivision (a).
(2) The lesser of its base year value of improvements determined pursuant to paragraph (1) of subdivision (a) or the full cash value of improvements determined pursuant to paragraph (2) of subdivision (a).
In applying this subdivision, the base year value of the subject real property does not include that portion of the previous base year value of that property that was attributable to any portion of the property that has been destroyed or removed. The sum determined under this subdivision shall then become the base year value of the real property until that property is restored, repaired, or reconstructed or other provisions of law require establishment of a new base year value.
(c) If the real property was damaged or destroyed by disaster, misfortune or calamity and the board of supervisors in the county in which the real property is located has adopted an ordinance pursuant to Section 170, the taxable value of the real property shall be its assessed value as computed pursuant to Section 170.
(d) For purposes of this section, “real property” means that appraisal unit that persons in the marketplace commonly buy and sell as a unit, or that is normally valued separately.
(e) Nothing in this section shall be construed to require the assessor to make an annual reappraisal of all assessable property. However, for each lien date after the first lien date for which the taxable value of property is reduced pursuant to paragraph (2) of subdivision (a), the value of that property shall be annually reappraised at its full cash value as defined in Section 110 until that value exceeds the value determined pursuant to paragraph (1) of subdivision (a). In no event shall the assessor condition the implementation of the preceding sentence in any year upon the filing of an assessment appeal.
SEC. 2.
Section 205.5 of the Revenue and Taxation Code is amended to read:
205.5.
(a) Property that constitutes the principal place of residence of a veteran, that is owned by the veteran, the veteran’s spouse, or the veteran and the veteran’s spouse jointly, is exempted from taxation on that part of the full value of the residence that does not exceed one hundred thousand dollars ($100,000), as adjusted for the relevant assessment year as provided in subdivision (h), if the veteran is blind in both eyes, has lost the use of two or more limbs, or if the veteran is totally disabled as a result of injury or disease incurred in military service. The one-hundred-thousand-dollar ($100,000) exemption shall be the full value of the property in the case of an eligible veteran whose household income does not exceed the amount of forty thousand dollars ($40,000), as adjusted for the relevant assessment year as provided in subdivision (g).
(b) (1) For purposes of this section, “veteran” means either of the following:
(A) A veteran as specified in subdivision (o) of Section 3 of Article XIII of the California Constitution, except for the limitation on the value of property owned by the veteran or the veteran’s spouse.
(B) A person who would qualify as a veteran pursuant to
paragraph (1)
subparagraph (A)
except that he or she has, as a result of a service-connected injury or disease, as determined by the United States Department of Veterans Affairs, died while on active duty in military service.
(2) For purposes of this section, property is deemed to be the principal place of residence of a veteran, disabled as described in subdivision (a), who is confined to a hospital or other care facility, if that property would be that veteran’s principal place of residence were it not for his or her confinement to a hospital or other care facility, provided that the residence is not rented or leased to a third party. For the purposes of this paragraph, a family member that resides at the residence is not a third party.
(c) (1) Property that is owned by, and that constitutes the principal place of residence of, the unmarried surviving spouse of a deceased veteran is exempt from taxation on that part of the full value of the residence that does not exceed one hundred thousand dollars ($100,000), as adjusted for the relevant assessment year as provided in subdivision (h), in the case of a veteran who was blind in both eyes, had lost the use of two or more limbs, or was totally disabled provided that either of the following conditions is met:
(A) The deceased veteran during his or her lifetime qualified for the exemption pursuant to subdivision (a), or would have qualified for the exemption under the laws effective on January 1, 1977, except that the veteran died prior to January 1, 1977.
(B) The veteran died from a disease that was service-connected, as determined by the United States Department of Veterans Affairs.
The one-hundred-thousand-dollar ($100,000) exemption shall be the full value of the property in the case of an eligible unmarried surviving spouse whose household income does not exceed the amount of forty thousand dollars ($40,000), as adjusted for the relevant assessment year as provided in subdivision (g).
(2) Property that is owned by, and that constitutes the principal place of residence of, the unmarried surviving spouse of a veteran described in subparagraph (B) of paragraph (1) of subdivision (b) is exempt from taxation on that part of the full value of the residence that does not exceed one hundred thousand dollars ($100,000), as adjusted for the relevant assessment year as provided in subdivision (h). The one-hundred-thousand-dollar ($100,000) exemption shall be the full value of the property in the case of an eligible unmarried surviving spouse whose household income does not exceed the amount of forty thousand dollars ($40,000), as adjusted for the relevant assessment year as provided in subdivision (g).
(3) Property is deemed to be the principal place of residence of the unmarried surviving spouse of a deceased veteran, who is confined to a hospital or other care facility, if that property would be the unmarried surviving spouse’s principal place of residence were it not for his or her confinement to a hospital or other care facility, provided that the residence is not rented or leased to a third party. For purposes of this paragraph, a family member who resides at the residence is not a third party.
(d) As used in this section, “property that is owned by a veteran” or “property that is owned by the veteran’s unmarried surviving spouse” includes all of the following:
(1) Property owned by the veteran with the veteran’s spouse as a joint tenancy, tenancy in common, or as community property.
(2) Property owned by the veteran or the veteran’s spouse as separate property.
(3) Property owned with one or more other persons to the extent of the interest owned by the veteran, the veteran’s spouse, or both the veteran and the veteran’s spouse.
(4) Property owned by the veteran’s unmarried surviving spouse with one or more other persons to the extent of the interest owned by the veteran’s unmarried surviving spouse.
(5) That portion of the property of a corporation that constitutes the principal place of residence of a veteran or a veteran’s unmarried surviving spouse when the veteran, the veteran’s spouse, or the veteran’s unmarried surviving spouse is a shareholder of the corporation and the rights of shareholding entitle one to the possession of property, legal title to which is owned by the corporation. The exemption provided by this paragraph shall be shown on the local roll and shall reduce the full value of the corporate property. Notwithstanding any law or articles of incorporation or bylaws of a corporation described in this paragraph, any reduction of property taxes paid by the corporation shall reflect an equal reduction in any charges by the corporation to the person who, by reason of qualifying for the exemption, made possible the reduction for the corporation.
(e) For purposes of this section, the following definitions shall apply:
(1) “Being blind in both eyes” means having a visual acuity of 5/200 or less, or concentric contraction of the visual field to 5 degrees or less.
(2) “Lost the use of two or more limbs” means that the limb has been amputated or its use has been lost by reason of ankylosis, progressive muscular dystrophies, or paralysis.
(3) “Totally disabled” means that the United States Department of Veterans Affairs or the military service from which the veteran was discharged has rated the disability at 100 percent or has rated the disability compensation at 100 percent by reason of being unable to secure or follow a substantially gainful occupation.
(f) An exemption granted to a claimant pursuant to this section shall be in lieu of the veteran’s exemption provided by subdivisions (o), (p), (q), and (r) of Section 3 of Article XIII of the California Constitution and any other real property tax exemption to which the claimant may be entitled. No other real property tax exemption may be granted to any other person with respect to the same residence for which an exemption has been granted pursuant to this section; provided, that if two or more veterans qualified pursuant to this section coown a property in which they reside, each is entitled to the exemption to the extent of his or her interest.
(g) Commencing on January 1, 2002, and for each assessment year thereafter, the household income limit shall be compounded annually by an inflation factor that is the annual percentage change, measured from February to February of the two previous assessment years, rounded to the nearest one-thousandth of 1 percent, in the California Consumer Price Index for all items, as determined by the California Department of Industrial Relations.
(h) Commencing on January 1, 2006, and for each assessment year thereafter, the exemption amounts set forth in subdivisions (a) and (c) shall be compounded annually by an inflation factor that is the annual percentage change, measured from February to February of the two previous assessment years, rounded to the nearest one-thousandth of 1 percent, in the California Consumer Price Index for all items, as determined by the California Department of Industrial Relations.
(i) The amendments made to this section by the act adding this subdivision shall apply for property tax lien dates on and after January 1, 2017.
SEC. 3.
Section 5813 of the Revenue and Taxation Code is amended to read:
5813.
(a) For each lien date after the lien date for which the base year value is determined, the taxable value of a manufactured home shall be the lesser of:
(1) Its base year value, compounded annually since the base year by an inflation factor, which shall be the percentage change in the cost of living, as defined in Section 51, provided, that any percentage increase shall not exceed 2 percent of the prior year’s value.
(2) Its full cash value, as defined in Section 5803, as of the lien date, taking into account reductions in value due to damage, destruction, depreciation, obsolescence, or other factors causing a decline in value.
(3) If the manufactured home is damaged or destroyed by disaster, misfortune, or calamity, its value determined pursuant to paragraph (2) shall be its base year value until the manufactured home is restored, repaired or reconstructed or other provisions of law require establishment of a new base year value.
(b) (1) Notwithstanding any other law, for any assessment year commencing on or after January 1, 2017, the percentage increase for an assessment year determined pursuant to paragraph (1) of subdivision (a) shall not apply to the principal place of residence of a qualified veteran who owns a manufactured home as his or her principal place of residence and who is 65 years of age or older on the lien date and was honorably discharged from military service.
(2)  For the purpose of this subdivision, “qualified veteran” means a person who meets the following criteria:
(A) He or she meets the criteria specified in subdivision (o) of Section 3 of Article XIII of the California Constitution, except for the limitation on the value of property owned by the veteran or the veteran’s spouse.
(B) If the qualified veteran is single, his or her annual household income, as defined in Section 20504, is fifty thousand dollars ($50,000) or less.
(C) If the qualified veteran is married, his or her
combined
annual household income, as defined in Section 20504, is one hundred thousand dollars ($100,000) or less.
(3) When claiming the benefit provided by this subdivision, the claimant shall provide all information required by, and answer all questions contained in, an affidavit furnished by the assessor to determine that the claimant is a qualified veteran. The assessor may require additional proof of the information or answers provided in the affidavit before allowing the benefit provided by this subdivision.
SEC. 4.
Notwithstanding Section 2229 of the Revenue and Taxation Code, no appropriation is made by this act and the state shall not reimburse any local agency for any property tax revenues lost by it pursuant to this act.
SEC. 5.
If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
SEC. 6.
This act provides for a tax levy within the meaning of Article IV of the Constitution and shall go into immediate effect.

Summary: The California Constitution generally limits ad valorem taxes on real property to 1 of the full cash value, as defined, of that property, and provides that the full cash value base may be adjusted each year by the inflationary rate not to exceed 2 for any given year. Existing property tax law implementing this constitutional authority provides that the taxable value of real property is the lesser of its base year value compounded annually by an inflation factor not to exceed 2, as provided, or its full cash value. Existing property tax law also provides that the taxable value of a manufactured home is the lesser of its base year value compounded annually by an inflation factor not to exceed 2 or its full cash value. This bill, for any assessment year commencing on or after January 1, 2017, would provide that the inflation factor shall not apply to the principal place of residence, including a manufactured home, of a qualified veteran, as defined, who is 65 years of age or older on the lien date, was honorably discharged from military service, and meets specified requirements. By changing the manner in which local tax officials calculate the taxable value of real property owned by senior veterans, this bill would impose a state-mandated local program. Existing property tax law provides, pursuant to the authorization of the California Constitution, a disabled veteran’s property tax exemption for the principal place of residence of a veteran or a veteran’s spouse, including an unmarried surviving spouse, if the veteran, because of injury incurred in military service, is blind in both eyes, has lost the use of 2 or more limbs, or is totally disabled, as those terms are defined, or if the veteran has, as a result of a service-connected injury or disease, died while on active duty in military service. Existing law exempts that part of the full value of the residence that does not exceed $100,000, or $150,000, if the veteran’s or spouse’s household income does not exceed $40,000, adjusted for inflation, as specified. This bill, for property tax lien dates on an after January 1, 2017, would instead exempt the full value of the principal place of residence of a veteran or veteran’s spouse if the veteran’s or spouse’s household income does not exceed $40,000, adjusted for inflation. The bill would also make technical and conforming changes to the disabled veteran’s property tax exemption. By changing the manner in which local tax officials administer the disabled veteran’s property tax exemption, this bill would impose a state-mandated local program. Section 2229 of the Revenue and Taxation Code requires the Legislature to reimburse local agencies annually for certain property tax revenues lost as a result of any exemption or classification of property for purposes of ad valorem property taxation. This bill would provide that, notwithstanding Section 2229 of the Revenue and Taxation Code, no appropriation is made and the state shall not reimburse local agencies for property tax revenues lost by them pursuant to the bill. 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, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions. This bill would take effect immediately as a tax levy.

An act to amend Sections 51, 205.5, and 5813 of the Revenue and Taxation Code, relating to taxation, to take effect immediately, tax levy.


The people of the State of California do enact as follows:

SECTION 1.
Section 1797.172 of the Health and Safety Code is amended to read:
1797.172.
(a) The authority shall develop and, after approval by the commission pursuant to Section 1799.50, adopt minimum standards for the training and scope of practice for EMT-P.
(b) The approval of the director, in consultation with a committee of local EMS medical directors named by the EMS Medical Directors Association of California, is required prior to implementation of any addition to a local optional scope of practice for EMT-Ps proposed by the medical director of a local EMS agency.
(c) Notwithstanding any other
provision of
law, the authority shall be the agency solely responsible for licensure and licensure renewal of EMT-Ps who meet the standards and are not precluded from licensure
because of any of the reasons listed in
pursuant to
subdivision
(d)
(i)
of Section 1798.200. Each application for licensure or licensure renewal shall require the applicant’s social security number in order to establish the identity of the applicant. The information obtained as a result of a state and federal level criminal offender record information search shall be used in accordance with Section 11105 of the Penal Code, and to determine whether the applicant is subject to denial of licensure or licensure renewal pursuant to this division. Submission of fingerprint images to the Department of Justice may not be required for licensure renewal upon determination by the authority that fingerprint images have previously been submitted to the Department of Justice during initial licensure, or a previous licensure renewal, provided that the license has not lapsed and the applicant has resided continuously in the state since the initial licensure.
(d) The authority shall charge fees for the licensure and licensure renewal of EMT-Ps in an amount sufficient to support the authority’s licensure program at a level that ensures the qualifications of the individuals licensed to provide quality care. The basic fee for licensure or licensure renewal of an EMT-P shall not exceed one hundred twenty-five dollars ($125) until the adoption of regulations that specify a different amount that does not exceed the authority’s EMT-P licensure, license renewal, and enforcement programs. The authority shall annually evaluate fees to determine if the fee is sufficient to fund the actual costs of the authority’s licensure, licensure renewal, and enforcement programs. If the evaluation shows that the fees are excessive or are insufficient to fund the actual costs of the authority’s EMT-P licensure, licensure renewal, and enforcement programs, then the fees shall be adjusted accordingly through the rulemaking process described in the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code). Separate additional fees may be charged, at the option of the authority, for services that are not shared by all applicants for licensure and licensure renewal, including, but not limited to, any of the following services:
(1) Initial application for licensure as an EMT-P.
(2) Competency testing, the fee for which shall not exceed thirty dollars ($30), except that an additional fee may be charged for the cost of
any
services that provide enhanced availability of the exam for the convenience of the EMT-P,
such as
including, but not limited to,
on-demand electronic testing.
(3) Fingerprint and criminal record check. The applicant shall, if applicable according to subdivision (c), submit fingerprint images and related information for criminal offender record information searches with the Department of Justice and the Federal Bureau of Investigation.
(4) Out-of-state training equivalency determination.
(5) Verification of continuing education for a lapse in licensure.
(6) Replacement of a lost licensure card. The fees charged for individual services shall be set so that the total fees charged to EMT-Ps shall not exceed the authority’s actual total cost for the EMT-P licensure program.
(e) The authority may provide nonconfidential, nonpersonal information relating to EMS programs to interested persons upon request, and may establish and assess fees for the provision of this information. These fees shall not exceed the costs of providing the information.
(f) At the option of the authority, fees may be collected for the authority by an entity that contracts with the authority to provide any of the services associated with the EMT-P program. All fees collected for the authority in a calendar month by
any
an
entity designated by the authority pursuant to this section to collect fees for the authority shall be transmitted to the authority for deposit into the Emergency Medical Services Personnel Fund within 30 calendar days following the last day of the calendar month in which the fees were received by the designated entity, unless the contract between the entity and the authority specifies a different timeframe.

Summary: Under existing law, the Emergency Medical Services System and the Prehospital Emergency Medical Care Personnel Act, the Emergency Medical Services Authority is responsible for establishing minimum standards and promulgating regulations for the training and scope of practice for emergency medical technician-paramedic (EMT-P). This bill would make technical, nonsubstantive changes to these provisions.

An act to amend Section 1797.172 of the Health and Safety Code, relating to emergency medical services.


The people of the State of California do enact as follows:

SECTION 1.
Section 10295.35 is added to the Public Contract Code, to read:
10295.35.
(a) (1) Notwithstanding any other law, a state agency shall not enter into any contract for the acquisition of goods or services in the amount of one hundred thousand dollars ($100,000) or more with a contractor that, in the provision of benefits, discriminates between employees on the basis of an employee’s or dependent’s actual or perceived gender identity, including, but not limited to, the employee’s or dependent’s identification as transgender.
(2) For purposes of this section, “contract” includes contracts with a cumulative amount of one hundred thousand dollars ($100,000) or more per contractor in each fiscal year.
(3) For purposes of this section, an employee health plan is discriminatory if the plan is not consistent with Section 1365.5 of the Health and Safety Code and Section 10140 of the Insurance Code.
(4) The requirements of this section shall apply only to those portions of a contractor’s operations that occur under any of the following conditions:
(A) Within the state.
(B) On real property outside the state if the property is owned by the state or if the state has a right to occupy the property, and if the contractor’s presence at that location is connected to a contract with the state.
(C) Elsewhere in the United States where work related to a state contract is being performed.
(b) Contractors shall treat as confidential, to the maximum extent allowed by law or by the requirement of the contractor’s insurance provider, any request by an employee or applicant for employment benefits or any documentation of eligibility for benefits submitted by an employee or applicant for employment.
(c) After taking all reasonable measures to find a contractor that complies with this section, as determined by the state agency, the requirements of this section may be waived under any of the following circumstances:
(1) There is only one prospective contractor willing to enter into a specific contract with the state agency.
(2) The contract is necessary to respond to an emergency, as determined by the state agency, that endangers the public health, welfare, or safety, or the contract is necessary for the provision of essential services, and no entity that complies with the requirements of this section capable of responding to the emergency is immediately available.
(3) The requirements of this section violate, or are inconsistent with, the terms or conditions of a grant, subvention, or agreement, if the agency has made a good faith attempt to change the terms or conditions of any grant, subvention, or agreement to authorize application of this section.
(4) The contractor is providing wholesale or bulk water, power, or natural gas, the conveyance or transmission of the same, or ancillary services, as required for ensuring reliable services in accordance with good utility practice, if the purchase of the same cannot practically be accomplished through the standard competitive bidding procedures and the contractor is not providing direct retail services to end users.
(d) (1) A contractor shall not be deemed to discriminate in the provision of benefits if the contractor, in providing the benefits, pays the actual costs incurred in obtaining the benefit.
(2) If a contractor is unable to provide a certain benefit, despite taking reasonable measures to do so, the contractor shall not be deemed to discriminate in the provision of benefits.
(e) (1) Every contract subject to this chapter shall contain a statement by which the contractor certifies that the contractor is in compliance with this section.
(2) The department or other contracting agency shall enforce this section pursuant to its existing enforcement powers.
(3) (A) If a contractor falsely certifies that it is in compliance with this section, the contract with that contractor shall be subject to Article 9 (commencing with Section 10420), unless, within a time period specified by the department or other contracting agency, the contractor provides to the department or agency proof that it has complied, or is in the process of complying, with this section.
(B) The application of the remedies or penalties contained in Article 9 (commencing with Section 10420) to a contract subject to this chapter shall not preclude the application of any existing remedies otherwise available to the department or other contracting agency under its existing enforcement powers.
(f) Nothing in this section is intended to regulate the contracting practices of any local jurisdiction.
(g) This section shall be construed so as not to conflict with applicable federal laws, rules, or regulations. In the event that a court or agency of competent jurisdiction holds that federal law, rule, or regulation invalidates any clause, sentence, paragraph, or section of this code or the application thereof to any person or circumstances, it is the intent of the state that the court or agency sever that clause, sentence, paragraph, or section so that the remainder of this section shall remain in effect.
SEC. 2.
Section 10295.35 of the Public Contract Code shall not be construed to create any new enforcement authority or responsibility in the Department of General Services or any other contracting agency.
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.

Summary: Existing law authorizes state agencies to enter into contracts for the acquisition of goods or services upon approval by the Department of General Services. Existing law sets forth various requirements and prohibitions for those contracts, including, but not limited to, a prohibition on entering into contracts for the acquisition of goods or services of $100,000 or more with a contractor that discriminates between spouses and domestic partners or same-sex and different-sex couples in the provision of benefits. Existing law provides that a contract entered into in violation of those requirements and prohibitions is void and authorizes the state or any person acting on behalf of the state to bring a civil action seeking a determination that a contract is in violation and therefore void. Under existing law, a willful violation of those requirements and prohibitions is a misdemeanor. This bill would also prohibit a state agency from entering into contracts for the acquisition of goods or services of $100,000 or more with a contractor that discriminates between employees on the basis of gender identity in the provision of benefits, as specified. By expanding the scope of a crime, this bill would impose a state-mandated local program. 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.

An act to add Section 10295.35 to the Public Contract Code, relating to public contracts.


The people of the State of California do enact as follows:

SECTION 1.
Section 1091 of the Government Code is amended to read:
1091.
(a) An officer shall not be deemed to be interested in a contract entered into by a body or board of which the officer is a member within the meaning of this article if the officer has only a remote interest in the contract and if the fact of that interest is disclosed to the body or board of which the officer is a member and noted in its official records, and thereafter the body or board authorizes, approves, or ratifies the contract in good faith by a vote of its membership sufficient for the purpose without counting the vote or votes of the officer or member with the remote interest.
(b) As used in this article, “remote interest” means any of the following:
(1) That of an officer or employee of a nonprofit entity exempt from taxation pursuant to Section 501(c)(3) of the Internal Revenue Code (26 U.S.C. Sec. 501(c)(3)), pursuant to Section 501(c)(5) of the Internal Revenue Code (26 U.S.C. Sec. 501(c)(5)), or a nonprofit corporation, except as provided in paragraph (8) of subdivision (a) of Section 1091.5.
(2) That of an employee or agent of the contracting party, if the contracting party has 10 or more other employees and if the officer was an employee or agent of that contracting party for at least three years prior to the officer initially accepting his or her office and the officer owns less than 3 percent of the shares of stock of the contracting party; and the employee or agent is not an officer or director of the contracting party and did not directly participate in formulating the bid of the contracting party.
For purposes of this paragraph, time of employment with the contracting party by the officer shall be counted in computing the three-year period specified in this paragraph even though the contracting party has been converted from one form of business organization to a different form of business organization within three years of the initial taking of office by the officer. Time of employment in that case shall be counted only if, after the transfer or change in organization, the real or ultimate ownership of the contracting party is the same or substantially similar to that which existed before the transfer or change in organization. For purposes of this paragraph, stockholders, bondholders, partners, or other persons holding an interest in the contracting party are regarded as having the “real or ultimate ownership” of the contracting party.
(3) That of an employee or agent of the contracting party, if all of the following conditions are met:
(A) The agency of which the person is an officer is a local public agency located in a county with a population of less than 4,000,000.
(B) The contract is competitively bid and is not for personal services.
(C) The employee or agent is not in a primary management capacity with the contracting party, is not an officer or director of the contracting party, and holds no ownership interest in the contracting party.
(D) The contracting party has 10 or more other employees.
(E) The employee or agent did not directly participate in formulating the bid of the contracting party.
(F) The contracting party is the lowest responsible bidder.
(4) That of a parent in the earnings of his or her minor child for personal services.
(5) That of a landlord or tenant of the contracting party.
(6) That of an attorney of the contracting party or that of an owner, officer, employee, or agent of a firm that renders, or has rendered, service to the contracting party in the capacity of stockbroker, insurance agent, insurance broker, real estate agent, or real estate broker, if these individuals have not received and will not receive remuneration, consideration, or a commission as a result of the contract and if these individuals have an ownership interest of 10 percent or more in the law practice or firm, stock brokerage firm, insurance firm, or real estate firm.
(7) That of a member of a nonprofit corporation formed under the Food and Agricultural Code or a nonprofit corporation formed under the Corporations Code for the sole purpose of engaging in the merchandising of agricultural products or the supplying of water.
(8) That of a supplier of goods or services when those goods or services have been supplied to the contracting party by the officer for at least five years prior to his or her election or appointment to office.
(9) That of a person subject to the provisions of Section 1090 in any contract or agreement entered into pursuant to the provisions of the California Land Conservation Act of 1965.
(10) Except as provided in subdivision (b) of Section 1091.5, that of a director of, or a person having an ownership interest of, 10 percent or more in a bank, bank holding company, or savings and loan association with which a party to the contract has a relationship of borrower or depositor, debtor or creditor.
(11) That of an engineer, geologist, architect, or planner employed by a consulting engineering, architectural, or planning firm. This paragraph applies only to an employee of a consulting firm who does not serve in a primary management capacity, and does not apply to an officer or director of a consulting firm.
(12) That of an elected officer otherwise subject to Section 1090, in any housing assistance payment contract entered into pursuant to Section 8 of the United States Housing Act of 1937 (42 U.S.C. Sec. 1437f) as amended, provided that the housing assistance payment contract was in existence before Section 1090 became applicable to the officer and will be renewed or extended only as to the existing tenant, or, in a jurisdiction in which the rental vacancy rate is less than 5 percent, as to new tenants in a unit previously under a Section 8 contract. This section applies to any person who became a public official on or after November 1, 1986.
(13) That of a person receiving salary, per diem, or reimbursement for expenses from a government entity.
(14) That of a person owning less than 3 percent of the shares of a contracting party that is a for-profit corporation, provided that the ownership of the shares derived from the person’s employment with that corporation.
(15) That of a party to litigation involving the body or board of which the officer is a member in connection with an agreement in which all of the following apply:
(A) The agreement is entered into as part of a settlement of litigation in which the body or board is represented by legal counsel.
(B) After a review of the merits of the agreement and other relevant facts and circumstances, a court of competent jurisdiction finds that the agreement serves the public interest.
(C) The interested member has recused himself or herself from all participation, direct or indirect, in the making of the agreement on behalf of the body or board.
(16) That of a person who is an officer or employee of an investor-owned utility that is regulated by the Public Utilities Commission with respect to a contract between the investor-owned utility and a state, county, district, judicial district, or city body or board of which the person is a member, if the contract requires the investor-owned utility to provide energy efficiency rebates or other type of program to encourage energy efficiency that benefits the public when all of the following apply:
(A) The contract is funded by utility consumers pursuant to regulations of the Public Utilities Commission.
(B) The contract provides no individual benefit to the person that is not also provided to the public, and the investor-owned utility receives no direct financial profit from the contract.
(C) The person has recused himself or herself from all participation in making the contract on behalf of the state, county, district, judicial district, or city body or board of which he or she is a member.
(D) The contract implements a program authorized by the Public Utilities Commission.
(17) That of an owner or partner of a firm serving as an appointed member of an unelected board or commission of the contracting agency if the owner or partner recuses himself or herself from providing any advice to the contracting agency regarding the contract between the firm and the contracting agency and from all participation in reviewing a project that results from that contract.
(c) This section is not applicable to any officer interested in a contract who influences or attempts to influence another member of the body or board of which he or she is a member to enter into the contract.
(d) The willful failure of an officer to disclose the fact of his or her interest in a contract pursuant to this section is punishable as provided in Section 1097. That violation does not void the contract unless the contracting party had knowledge of the fact of the remote interest of the officer at the time the contract was executed.

Summary: Existing law prohibits Members of the Legislature, state, county, district, judicial district, and city officers or employees from being financially interested in any contract made by them in their official capacity, or by any body or board of which they are members. Existing law identifies certain remote interests in contracts that are not subject to this prohibition and other situations in which an official is not deemed to be financially interested in a contract. Existing law makes a willful violation of this prohibition a crime. This bill would include in the definition of “remote interest” the interest of a person who is an owner or partner of a firm serving as an appointed member of an unelected board or commission of the contracting agency, if the owner or partner recuses himself or herself from providing any advice to the contracting agency regarding the contract between the firm and the contracting agency, and from all participation in reviewing a project that results from that contract. The bill would also include in the definition of “remote interest” the interest of a planner employed by a consulting engineering, architectural, or planning firm.

An act to amend Section 1091 of the Government Code, relating to public officers and employees.


The people of the State of California do enact as follows:

SECTION 1.
Section 626.9 of the Penal Code is amended to read:
626.9.
(a) This section shall be known, and may be cited, as the Gun-Free School Zone Act of 1995.
(b) Any person who possesses a firearm in a place that the person knows, or reasonably should know, is a school zone, as defined in paragraph (1) of subdivision (e), unless it is with the written permission of the school district superintendent, his or her designee, or equivalent school authority, shall be punished as specified in subdivision (f).
(c) Subdivision (b) does not apply to the possession of a firearm under any of the following circumstances:
(1) Within a place of residence or place of business or on private property, if the place of residence, place of business, or private property is not part of the school grounds and the possession of the firearm is otherwise lawful.
(2) When the firearm is an unloaded pistol, revolver, or other firearm capable of being concealed on the person and is in a locked container or within the locked trunk of a motor vehicle.
This section does not prohibit or limit the otherwise lawful transportation of any other firearm, other than a pistol, revolver, or other firearm capable of being concealed on the person, in accordance with state law.
(3) When the person possessing the firearm reasonably believes that he or she is in grave danger because of circumstances forming the basis of a current restraining order issued by a court against another person or persons who has or have been found to pose a threat to his or her life or safety. This subdivision may not apply when the circumstances involve a mutual restraining order issued pursuant to Division 10 (commencing with Section 6200) of the Family Code absent a factual finding of a specific threat to the person’s life or safety. Upon a trial for violating subdivision (b), the trier of a fact shall determine whether the defendant was acting out of a reasonable belief that he or she was in grave danger.
(4) When the person is exempt from the prohibition against carrying a concealed firearm pursuant to Section 25615, 25625, 25630, or 25645.
(5) When the person holds a valid license to carry the firearm pursuant to Chapter 4 (commencing with Section 26150) of Division 5 of Title 4 of Part 6, who is carrying that firearm in an area that is not in, or on the grounds of, a public or private school providing instruction in kindergarten or grades 1 to 12, inclusive, but within a distance of 1,000 feet from the grounds of the public or private school.
(d) Except as provided in subdivision (b), it shall be unlawful for any person, with reckless disregard for the safety of another, to discharge, or attempt to discharge, a firearm in a school zone, as defined in paragraph (1) of subdivision (e).
The prohibition contained in this subdivision does not apply to the discharge of a firearm to the extent that the conditions of paragraph (1) of subdivision (c) are satisfied.
(e) As used in this section, the following definitions shall apply:
(1) “Concealed firearm” has the same meaning as that term is given in Sections 25400 and 25610.
(2) “Firearm” has the same meaning as that term is given in subdivisions (a) to (d), inclusive, of Section 16520.
(3) “Locked container” has the same meaning as that term is given in Section 16850.
(4) “School zone” means an area in, or on the grounds of, a public or private school providing instruction in kindergarten or grades 1 to 12, inclusive, or within a distance of 1,000 feet from the grounds of the public or private school.
(f) (1) Any person who violates subdivision (b) by possessing a firearm in, or on the grounds of, a public or private school providing instruction in kindergarten or grades 1 to 12, inclusive, shall be punished by imprisonment pursuant to subdivision (h) of Section 1170 for two, three, or five years.
(2) Any person who violates subdivision (b) by possessing a firearm within a distance of 1,000 feet from the grounds of a public or private school providing instruction in kindergarten or grades 1 to 12, inclusive, shall be punished as follows:
(A) By imprisonment pursuant to subdivision (h) of Section 1170 for two, three, or five years, if any of the following circumstances apply:
(i) If the person previously has been convicted of any felony, or of any crime made punishable by any provision listed in Section 16580.
(ii) If the person is within a class of persons prohibited from possessing or acquiring a firearm pursuant to Chapter 2 (commencing with Section 29800) or Chapter 3 (commencing with Section 29900) of Division 9 of Title 4 of Part 6 of this code or Section 8100 or 8103 of the Welfare and Institutions Code.
(iii) If the firearm is any pistol, revolver, or other firearm capable of being concealed upon the person and the offense is punished as a felony pursuant to Section 25400.
(B) By imprisonment in a county jail for not more than one year or by imprisonment pursuant to subdivision (h) of Section 1170 for two, three, or five years, in all cases other than those specified in subparagraph (A).
(3) Any person who violates subdivision (d) shall be punished by imprisonment pursuant to subdivision (h) of Section 1170 for three, five, or seven years.
(g) (1) Every person convicted under this section for a misdemeanor violation of subdivision (b) who has been convicted previously of a misdemeanor offense enumerated in Section 23515 shall be punished by imprisonment in a county jail for not less than three months, or if probation is granted or if the execution or imposition of sentence is suspended, it shall be a condition thereof that he or she be imprisoned in a county jail for not less than three months.
(2) Every person convicted under this section of a felony violation of subdivision (b) or (d) who has been convicted previously of a misdemeanor offense enumerated in Section 23515, if probation is granted or if the execution of sentence is suspended, it shall be a condition thereof that he or she be imprisoned in a county jail for not less than three months.
(3) Every person convicted under this section for a felony violation of subdivision (b) or (d) who has been convicted previously of any felony, or of any crime made punishable by any provision listed in Section 16580, if probation is granted or if the execution or imposition of sentence is suspended, it shall be a condition thereof that he or she be imprisoned in a county jail for not less than three months.
(4) The court shall apply the three-month minimum sentence specified in this subdivision, except in unusual cases where the interests of justice would best be served by granting probation or suspending the execution or imposition of sentence without the minimum imprisonment required in this subdivision or by granting probation or suspending the execution or imposition of sentence with conditions other than those set forth in this subdivision, in which case the court shall specify on the record and shall enter on the minutes the circumstances indicating that the interests of justice would best be served by this disposition.
(h) Notwithstanding Section 25605, any person who brings or possesses a loaded firearm upon the grounds of a campus of, or buildings owned or operated for student housing, teaching, research, or administration by, a public or private university or college, that are contiguous or are clearly marked university property, unless it is with the written permission of the university or college president, his or her designee, or equivalent university or college authority, shall be punished by imprisonment pursuant to subdivision (h) of Section 1170 for two, three, or four years. Notwithstanding subdivision (k), a university or college shall post a prominent notice at primary entrances on noncontiguous property stating that firearms are prohibited on that property pursuant to this subdivision.
(i) Notwithstanding Section 25605, any person who brings or possesses a firearm upon the grounds of a campus of, or buildings owned or operated for student housing, teaching, research, or administration by, a public or private university or college, that are contiguous or are clearly marked university property, unless it is with the written permission of the university or college president, his or her designee, or equivalent university or college authority, shall be punished by imprisonment pursuant to subdivision (h) of Section 1170 for one, two, or three years. Notwithstanding subdivision (k), a university or college shall post a prominent notice at primary entrances on noncontiguous property stating that firearms are prohibited on that property pursuant to this subdivision.
(j) For purposes of this section, a firearm shall be deemed to be loaded when there is an unexpended cartridge or shell, consisting of a case that holds a charge of powder and a bullet or shot, in, or attached in any manner to, the firearm, including, but not limited to, in the firing chamber, magazine, or clip thereof attached to the firearm. A muzzle-loader firearm shall be deemed to be loaded when it is capped or primed and has a powder charge and ball or shot in the barrel or cylinder.
(k) This section does not require that notice be posted regarding the proscribed conduct.
(l) This section does not apply to a duly appointed peace officer as defined in Chapter 4.5 (commencing with Section 830) of Title 3 of Part 2, a full-time paid peace officer of another state or the federal government who is carrying out official duties while in California, any person summoned by any of these officers to assist in making arrests or preserving the peace while he or she is actually engaged in assisting the officer, a member of the military forces of this state or of the United States who is engaged in the performance of his or her duties, or an armored vehicle guard, engaged in the performance of his or her duties, as defined in subdivision (d) of Section 7582.1 of the Business and Professions Code.
(m) This section does not apply to a security guard authorized to carry a loaded firearm pursuant to Article 4 (commencing with Section 26000) of Chapter 3 of Division 5 of Title 4 of Part 6.
(n) This section does not apply to an existing shooting range at a public or private school or university or college campus.
(o) This section does not apply to an honorably retired peace officer authorized to carry a concealed or loaded firearm pursuant to any of the following:
(1) Article 2 (commencing with Section 25450) of Chapter 2 of Division 5 of Title 4 of Part 6.
(2) Section 25650.
(3) Sections 25900 to 25910, inclusive.
(4) Section 26020.
(5) Paragraph (2) of subdivision (c) of Section 26300.
(p) This section does not apply to a peace officer appointed pursuant to Section 830.6 who is authorized to carry a firearm by the appointing agency.
SEC. 2.
Section 30310 of the Penal Code is amended to read:
30310.
(a) Unless it is with the written permission of the school district superintendent, the superintendent’s designee, or equivalent school authority, no person shall carry ammunition or reloaded ammunition onto school grounds, except sworn law enforcement officers acting within the scope of their duties.
(b) This section shall not apply to any of the following:
(1) A duly appointed peace officer as defined in Chapter 4.5 (commencing with Section 830) of Title 3 of Part 2.
(2) A full-time paid peace officer of another state or the federal government who is carrying out official duties while in California.
(3) Any person summoned by any of these officers to assist in making an arrest or preserving the peace while that person is actually engaged in assisting the officer.
(4) A member of the military forces of this state or of the United States who is engaged in the performance of that person’s duties.
(5) An armored vehicle guard, who is engaged in the performance of that person’s duties, as defined in subdivision (d) of Section 7582.1 of the Business and Professions Code.
(6) Any peace officer, listed in Section 830.1 or 830.2, or subdivision (a) of Section 830.33, whether active or honorably retired.
(7) Any other duly appointed peace officer.
(8) Any honorably retired peace officer listed in subdivision (c) of Section 830.5.
(9) Any other honorably retired peace officer who during the course and scope of his or her appointment as a peace officer was authorized to, and did, carry a firearm.
(10) (A) A person carrying ammunition or reloaded ammunition onto school grounds that is in a motor vehicle at all times and is within a locked container or within the locked trunk of the vehicle.
(B) For purposes of this paragraph, the term “locked container” has the same meaning as set forth in Section 16850.
(c) A violation of this section is punishable by imprisonment in a county jail for a term not to exceed six months, a fine not to exceed one thousand dollars ($1,000), or both the imprisonment and fine.
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.

Summary: Existing law, the Gun-Free School Zone Act of 1995, subject to exceptions, prohibits a person from possessing a firearm in a place that the person knows, or reasonably should know, is a school zone, unless with the written permission of certain school district officials. Existing law defines a school zone as an area on the grounds of a school providing instruction in kindergarten or grades 1 to 12, inclusive, or within a distance of 1,000 feet of that school. Existing law prohibits a person from bringing or possessing a firearm upon the grounds of a campus of a public or private university or college, or buildings owned or operated for student housing, teaching, research, or administration by a public or private university or college, that are contiguous or are clearly marked university property, as specified, unless with the written permission of specified university or college officials. Under existing law, a violation of these provisions is a felony, or, under specified circumstances, a misdemeanor. Under existing law, certain persons are exempt from both the school zone and the university prohibitions, including, among others, a person holding a valid license to carry a concealed firearm and a retired peace officer authorized to carry a concealed or loaded firearm. This bill would recast the provisions relating to a person holding a valid license to carry a concealed firearm to allow that person to carry a firearm in an area that is within 1,000 feet of, but not on the grounds of, a public or private school providing instruction in kindergarten or grades 1 to 12, inclusive. The bill would also delete the exemption that allows a person holding a valid license to carry a concealed firearm to bring or possess a firearm on the campus of a university or college. The bill would create an additional exemption from those prohibitions for certain appointed peace officers who are authorized to carry a firearm by their appointing agency, and an exemption for certain retired reserve peace officers who are authorized to carry a concealed or loaded firearm. By expanding the scope of an existing crime, the bill would create a state-mandated local program. Existing law, subject to exceptions, prohibits carrying ammunition or reloaded ammunition onto school grounds unless it is with the written permission of the school district superintendent, the superintendent’s designee, or equivalent school authority. This bill would reorganize those exceptions. The bill would delete the exemption that allows a person to carry ammunition or reloaded ammunition onto school grounds if the person is licensed to carry a concealed firearm. The bill would also create an additional exception to that prohibition by authorizing a person to carry ammunition or reloaded ammunition onto school grounds if it is in a motor vehicle at all times and is within a locked container or within the locked trunk of the vehicle. 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.

An act to amend Sections 626.9 and 30310 of the Penal Code, relating to firearms.


The people of the State of California do enact as follows:

SECTION 1.
It is the intent of the Legislature to enact legislation to improve access to children from refugee and immigrant households to child nutrition programs.
SEC. 2.
Section 49557 of the Education Code is amended to read:
49557.
(a) (1) The governing board of a school district and the county superintendent of schools shall make paper applications for free or reduced-price meals available to pupils at all times during each regular schoolday, and may also make an application electronically available online, provided that the online application complies with paragraph (3). Pursuant to federal and state guidelines, the application shall contain clear instructions for families that are homeless or are migrants, and shall also contain, in at least 8-point boldface type, each of the following statements:
(A) Applications for free and reduced-price meals may be submitted at any time during a schoolday.
(B) Children participating in the federal National School Lunch Program will not be overtly identified by the use of special tokens, special tickets, special serving lines, separate entrances, separate dining areas, or by any other means.
(2) A school district and the county superintendent of schools shall use all other paper applications it has for free or reduced-price meals before utilizing the applications pursuant to this subdivision.
(3) If a governing board of a school district, a county office of education, or a school food authority chooses to provide access to an online application for free or reduced-price meals pursuant to paragraph (1), the online application shall comply with all of the following requirements:
(A) Include a link to the Internet Web site on which translated applications are posted by the United States Department of Agriculture, with instructions in that language that inform the applicant how to submit the application. The Legislature finds and declares that federal guidelines require school food authorities to accept and process these applications if they are submitted to the school food authority.
(B) Require completion of only those questions that are necessary for determining eligibility.
(C) Include clear instructions for families that are homeless or are migrants.
(D) Comply with the privacy rights and disclosure protections established by the federal Richard B. Russell National School Lunch Act (Public Law 113-79) and the federal Children’s Online Privacy Protection Act of 1998 (Public Law 105-277).
(E) Include links to all of the following:
(i) The online application to CalFresh.
(ii) The online single state application for health care.
(iii) The Internet Web page maintained by the State Department of Public Health entitled “About WIC and How to Apply,” or another Internet Web page identified by the State Department of Public Health that connects families to the Special Supplemental Nutrition Program for Women, Infants and Children.
(iv) The Internet Web site of a summer lunch program authorized to participate within the city or school district.
(F) No online application for free or reduced-price meals shall be made available online or made accessible online by a school district, a county office of education, or a school food authority if the online application allows for the information provided by an applicant to be used by a private entity for any purpose not related to the administration of a school food program, or if the online application requires an applicant to waive any right or to create a user account in order to submit the application.
(b) The governing board of each school district and each county superintendent of schools shall formulate a plan, which shall be mailed to the State Department of Education for its approval, that will ensure that children eligible to receive free or reduced-price meals and milk shall not be treated differently from other children. These plans shall ensure each of the following:
(1) Unless otherwise specified, the names of the children shall not be published, posted, or announced in any manner, or used for any purpose other than the federal National School Lunch Program.
(2) There shall be no overt identification of any of the children by the use of special tokens or tickets or by any other means.
(3) The children shall not be required to work for their meals or milk.
(4) The children shall not be required to use a separate dining area, go through a separate serving line, enter the dining area through a separate entrance, or consume their meals or milk at a different time.
(c) When more than one lunch or breakfast or type of milk is offered pursuant to this article, the children shall have the same choice of meals or milk that is available to those children who pay the full price for their meal or milk.
SEC. 3.
If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.

Summary: Existing law requires each school district and county superintendent of schools maintaining kindergarten or any of grades 1 to 12, inclusive, to provide for each needy pupil one nutritionally adequate, free or reduced-price meal during each schoolday. Existing law requires the governing board of a school district and the county superintendent of schools to make applications for free or reduced-price meals available to pupils at all times during each regular schoolday. Existing law requires the Superintendent of Public Instruction to supervise the implementation of this program and to investigate acts of alleged noncompliance. This bill would authorize the governing boards of school districts and county superintendents of schools to also make applications for free or reduced-price meals electronically available online. The bill would specify requirements that would have to be met by the governing boards of school districts, county offices of education, and school food authorities who choose to provide access to an online application under this bill. The bill would require all applications to include clear instructions for families that are homeless or are migrants. To the extent that this provision would impose new duties on local educational agencies, it would constitute a state-mandated local program. 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, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.

An act to amend Section 49557 of the Education Code, relating to pupil nutrition.