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

SECTION 1.
Section 830.1 of the
Penal Code
is amended to read:
830.1.
(a)Any sheriff, undersheriff, or deputy sheriff, employed in that capacity, of a county, any chief of police of a city or chief, director, or chief executive officer of a consolidated municipal public safety agency that performs police functions, any police officer, employed in that capacity and appointed by the chief of police or chief, director, or chief executive of a public safety agency, of a city, any chief of police, or police officer of a district, including police officers of the San Diego Unified Port District Harbor Police, authorized by statute to maintain a police department, any marshal or deputy marshal of a superior court or county, any port warden or port police officer of the Harbor Department of the City of Los Angeles, or any inspector or investigator employed in that capacity in the office of a district attorney, is a peace officer. The authority of these peace officers extends to any place in the state, as follows:
(1)As to any public offense committed or which there is probable cause to believe has been committed within the political subdivision that employs the peace officer or in which the peace officer serves.
(2)Where the peace officer has the prior consent of the chief of police or chief, director, or chief executive officer of a consolidated municipal public safety agency, or person authorized by him or her to give consent, if the place is within a city, or of the sheriff, or person authorized by him or her to give consent, if the place is within a county.
(3)As to any public offense committed or which there is probable cause to believe has been committed in the peace officer’s presence, and with respect to which there is immediate danger to person or property, or of the escape of the perpetrator of the offense.
(b)The Attorney General and special agents and investigators of the Department of Justice are peace officers, and those assistant chiefs, deputy chiefs, chiefs, deputy directors, and division directors designated as peace officers by the Attorney General are peace officers. The authority of these peace officers extends to any place in the state where a public offense has been committed or where there is probable cause to believe one has been committed.
(c)Any deputy sheriff of the County of Los Angeles, and any deputy sheriff of the Counties of Butte, Calaveras, Colusa, Glenn, Humboldt, Imperial, Inyo, Kern, Kings, Lake, Lassen, Mariposa, Mendocino, Merced, Plumas, Riverside, San Benito, San Diego, San Luis Obispo, Santa Barbara, Santa Clara, Shasta, Siskiyou, Solano, Sonoma, Stanislaus, Sutter, Tehama, Trinity, Tulare, Tuolumne, and Yuba who is employed to perform duties exclusively or initially relating to custodial assignments with responsibilities for maintaining the operations of county custodial facilities, including the custody, care, supervision, security, movement, and transportation of inmates, is a peace officer whose authority extends to any place in the state only while engaged in the performance of the duties of his or her respective employment and for the purpose of carrying out the primary function of employment relating to his or her custodial assignments, or when performing other law enforcement duties directed by his or her employing agency during a local state of emergency.
SEC. 2.
SECTION 1.
The sum of one million three hundred fifteen thousand dollars ($1,315,000) is hereby appropriated from the General Fund to the Regents of the University of California, for allocation to the University of California, Merced, for all of the following public safety purposes:
(a) Forty thousand dollars ($40,000) for two mobile traffic message boards.
(b) Three thousand dollars ($3,000) for two fire area of refuge consoles.
(c) Eighteen thousand dollars ($18,000) for fire extinguisher training equipment.
(d) Twenty-four thousand dollars ($24,000) for three fixed license plate recognition (LPR) camera systems.
(e) One hundred forty thousand dollars ($140,000) for 40 EvacuChairs.
(f) Fifty-two thousand dollars ($52,000) for 40 automated external defibrillators with training equipment.
(g) Four hundred twenty thousand dollars ($420,000) for a mobile incident management vehicle and equipment.
(h) One hundred fifty thousand dollars ($150,000) for a mobile use of force options system.
(i) Thirty thousand dollars ($30,000) for six mobile computers with service.
(j) Forty-two thousand dollars ($42,000) for six in-car video systems.
(k) Ten thousand dollars ($10,000) for two vehicle-mounted LPR camera systems.
(l) Fifteen thousand dollars ($15,000) for one Cellebrite system.
(m) Seventy-five thousand dollars ($75,000) for one crime scene mapping system.
(n) Sixty thousand dollars ($60,000) for three portable wireless camera systems.
(o) Thirty-six thousand dollars ($36,000) for 360 crowd control barriers.
(p) Two hundred thousand dollars ($200,000) for safety improvement to an energy dissipator on Fairfield Canal.

Summary: Existing law establishes categories of peace officers with varying powers and authority to make arrests and carry firearms. Under existing law, in certain counties, a deputy sheriff, who is employed to perform duties exclusively or initially relating to custodial assignments with responsibilities for maintaining the operations of county custodial facilities, is a peace officer whose authority extends to any place in the state only while engaged in the performance of the duties of his or her employment and for the purpose of carrying out the primary function of employment relating to his or her custodial assignments, or when performing other law enforcement duties directed by his or her employing agency during a local state of emergency. This bill would include deputy sheriffs in the County of Merced within that definition of peace officers, as specified. Under existing law, the University of California is established, under the administration of the Regents of the University of California, as one of the segments of public postsecondary education in this state. The University of California provides instruction to students at campuses in Berkeley, Davis, Irvine, Los Angeles, Merced, Riverside, San Diego, San Francisco, Santa Barbara, and Santa Cruz. This bill would appropriate $1,315,000 from the General Fund to the Regents of the University of California, for allocation to the University of California, Merced, for various public safety purposes.

An act
to amend Section 830.1 of the Penal Code,
relating to public safety, and making an appropriation therefor.


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

SECTION 1.
(a) Notwithstanding any law, the Director of General Services shall revert the real property described in subdivision (b) to the City of San Buenaventura.
(b) (1) The real property to be reverted pursuant to subdivision (a) is identified in Exhibit B of the Grant Deed to the State of California from the City of San Buenaventura, recorded in the County of Ventura as instrument number 20040802-0211869.
(2) Exhibit B of the grant deed described in paragraph (1) describes that real property as consisting of approximately 9.68 acres, and is described as beginning at the southeast corner of said parcel of land described in deed recorded in book 4513, page 398, of official records; thence
(A) 1st south 36˚00'00" east, 241 feet; thence
(B) 2nd north 53˚34'00" east, 530.66 feet to the westerly line of that linear park parcel described in that grant deed recorded as instrument number 20030904-0335457 of official records; thence along said westerly line for the following six courses
(C) 3rd south 15˚01'34" east 47.18 feet to the beginning of a non-tangent curve concave easterly, having a radius of 527.68 feet and a radial bearing of south 64˚42'54" east; thence
(D) 4th southwesterly along said curve an arc distance of 237.74 feet through a central angle of 25˚48'51"; thence
(E) 5th south 00˚31'45" east, 40 feet to the beginning of a tangent curve concave westerly and having a radius of 427.68 feet; thence
(F) 6th southerly along said curve an arc distance of 114.40 feet through a central angle of 15˚19'33"; thence
(G) 7th south 40˚51'15" west, 473.78 feet; thence
(H) 8th south 22˚46'13" west, 161.08 feet to a point on the northerly line of Ventura County Transportation Commission right-of-way, 100 feet wide, as described in a deed recorded as instrument number 95-131254 of official records; thence along said northerly line
(I) 9th south 40˚51'15" west, 104.73 feet to the easterly line of parcel 82 as shown on that map of tract 4542 recorded in book 148, page 24 of miscellaneous records (maps); thence along the easterly line of said tract 4542 for the following seven courses
(J) 10th north 36˚26'00" east, 307.96 feet; thence
(K) 11th north 28˚40'59" east, 38.85 feet; thence
(L) 12th north 36˚26'00" east, 50.38 feet; thence
(M) 13th north 51˚19'13" west, 134.80 feet; thence
(N) 14th north 36˚19'01" east 110.16 feet to the beginning of a non-tangent curve concave westerly, having a radius of 150 feet and a radial bearing of north 33˚52'13" west; thence
(O) 15th northerly along said curve an arc distance of 242.33 feet through a central angle of 92˚33'47"; thence
(P) 16th north 53˚34'00" east, 313 feet to the point of beginning.
SEC. 2.
The Legislature finds and declares that a special law is necessary and that a general law cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the requirements to build a veterans’ home on said parcel of land, as contained in the grant deed recorded in the County of Ventura as instrument number 20040802-0211869, the fact that the State of California has no plans to build a veterans’ home on said parcel of land, and that the City of San Buenaventura wants to explore constructing veterans’ housing on that parcel of land at the earliest opportunity.
SECTION 1.
Section 35147 of the
Education Code
is amended to read:
35147.
(a)Except as specified in this section, any meeting of the councils or committees specified in subdivision (b) is exempt from the provisions of this article, the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Division 3 of Title 2 of the Government Code), and the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Division 2 of Title 5 of the Government Code).
(b)The councils and schoolsite advisory committees established pursuant to Sections 52063, 52069, 52176, and 52852, subdivision (b) of Section 54425, Sections 54444.2 and 62002.5, and committees formed pursuant to Section 11503, are subject to this section.
(c)(1)Any meeting held by a council or committee specified in subdivision (b) shall be open to the public, and any member of the public shall be able to address the council or committee during the meeting on any item within the subject matter jurisdiction of the council or committee. Notice of the meeting shall be posted at the schoolsite, or other appropriate place accessible to the public, at least 72 hours before the time set for the meeting. The notice shall specify the date, time, and location of the meeting, and contain an agenda describing each item of business to be discussed or acted upon. The council or committee may not take any action on any item of business unless that item appeared on the posted agenda or unless the council or committee members present, by unanimous vote, find that there is a need to take immediate action and that the need for action came to the attention of the council or committee subsequent to the posting of the agenda.
(2)Questions or brief statements made at a meeting by members of the council, committee, or public that do not have a significant effect on pupils or employees in the school or school district, or that can be resolved solely by the provision of information, need not be described on an agenda as items of business. If a council or committee violates the procedural meeting requirements of this section, and upon the demand of any person, the council or committee shall reconsider the item at its next meeting, after allowing for public input on the item.
(d)Any materials provided to a schoolsite council shall be made available to any member of the public who requests the materials pursuant to the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code).

Summary: Existing law requires the Department of General Services to provide planning, acquisition, construction, and maintenance of state buildings and property, and maintain a statewide property inventory of all real property held by the state. This bill would authorize the Director of General Services to revert a specified parcel of state real property to the City of San Buenaventura pursuant to these provisions. This bill would make legislative findings and declarations as to the necessity of a special statute for the City of San Buenaventura. Under existing law, the meetings of school district governing boards are subject to the provisions of the Ralph M. Brown Act, which generally requires that the meetings of the governing boards of local agencies be open to the public with proper notice given, permit the recording of those meetings, prohibit legislative bodies from taking action by secret ballot and set forth other specific requirements for the conduct of those meetings. Existing law exempts the meetings of specified schoolsite councils and committees from the Ralph M. Brown Act and the Bagley-Keen Open Meeting Act, but still requires properly noticed public meetings with posted agendas. This bill would delete obsolete statutory references from this provision and would correct references to certain parent advisory committees that fall within this exemption. The bill would also make nonsubstantive changes.

An act to amend Section 35147 of the Education Code, relating to local educational agencies.
An act relating to state real property.


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

SECTION 1.
Section 11545 of the Government Code is amended to read:
11545.
(a) (1) There is in state government the Department of Technology within the Government Operations Agency. The Director of Technology shall be appointed by, and serve at the pleasure of, the Governor, subject to Senate confirmation. The Director of Technology shall supervise the Department of Technology and report directly to the Governor on issues relating to information technology.
(2) Unless the context clearly requires otherwise, whenever the term “office of the State Chief Information Officer” or “California Technology Agency” appears in any statute, regulation, or contract, or any other code, it shall be construed to refer to the Department of Technology, and whenever the term “State Chief Information Officer” or “Secretary of California Technology” appears in any statute, regulation, or contract, or any other code, it shall be construed to refer to the Director of Technology.
(3) The Director of Technology shall be the State Chief Information Officer.
(b) The duties of the Director of Technology shall include, but are not limited to, all of the following:
(1) Advising the Governor on the strategic management and direction of the state’s information technology resources.
(2) Establishing and enforcing state information technology strategic plans, policies, standards, and enterprise architecture. This shall include the periodic review and maintenance of the information technology sections of the State Administrative Manual, except for sections on information technology procurement procedures, and information technology fiscal policy. The Director of Technology shall consult with the Director of General Services, the Director of Finance, and other relevant agencies concerning policies and standards these agencies are responsible to issue as they relate to information technology.
(3) Minimizing overlap, redundancy, and cost in state operations by promoting the efficient and effective use of information technology.
(4) Providing technology direction to agency and department chief information officers to ensure the integration of statewide technology initiatives, compliance with information technology policies and standards, and the promotion of the alignment and effective management of information technology services. Nothing in this paragraph shall be deemed to limit the authority of a constitutional officer, cabinet agency secretary, or department director to establish programmatic priorities and business direction to the respective agency or department chief information officer.
(5) Working to improve organizational maturity and capacity in the effective management of information technology.
(6) Establishing performance management and improvement processes to ensure state information technology systems and services are efficient and effective.
(7) Approving, suspending, terminating, and reinstating information technology projects.
(8) Performing enterprise information technology functions and services, including, but not limited to, implementing Geographic Information Systems (GIS), shared services, applications, and program and project management activities in partnership with the owning agency or department.
(9) Developing and tailoring baseline security controls for the state based on
emerging industry standards and
baseline security controls published by the National Institute of Standards and Technology (NIST). The Director of Technology shall review and revise the state baseline security controls whenever the NIST updates its baseline security controls
or advancing industry standards warrant
but, in no event, less frequently than once every
three years.
year.
State agencies shall comply with the state baseline security controls and shall not tailor their individual baseline security controls to fall below the state baseline security controls.
(c) The Director of Technology shall produce an annual information technology strategic plan that shall guide the acquisition, management, and use of information technology. State agencies shall cooperate with the department in the development of this plan, as required by the Director of Technology.
(1) Upon establishment of the information technology strategic plan, the Director of Technology shall take all appropriate and necessary steps to implement the plan, subject to any modifications and adjustments deemed necessary and reasonable.
(2) The information technology strategic plan shall be submitted to the Joint Legislative Budget Committee by January 15 of every year.
(d) The Director of Technology shall produce an annual information technology performance report that shall assess and measure the state’s progress toward enhancing information technology human capital management; reducing and avoiding costs and risks associated with the acquisition, development, implementation, management, and operation of information technology assets, infrastructure, and systems; improving energy efficiency in the use of information technology assets; enhancing the security, reliability, and quality of information technology networks, services, and systems; developing, tailoring, and complying with state baseline security controls; and improving the information technology procurement process. The department shall establish those policies and procedures required to improve the performance of the state’s information technology program.
(1) The department shall submit an information technology performance management framework to the Joint Legislative Budget Committee by May 15, 2009, accompanied by the most current baseline data for each performance measure or metric contained in the framework. The information technology performance management framework shall include the performance measures and targets that the department will utilize to assess the performance of, and measure the costs and risks avoided by, the state’s information technology program. The department shall provide notice to the Joint Legislative Budget Committee within 30 days of making changes to the framework. This notice shall include the rationale for changes in specific measures or metrics.
(2) State agencies shall take all necessary steps to achieve the targets set forth by the department and shall report their progress to the department on a quarterly basis.
(3) Notwithstanding Section 10231.5, the information technology performance report shall be submitted to the Joint Legislative Budget Committee by January 15 of every year. To enhance transparency, the department shall post performance targets and progress toward these targets on its public Internet Web site.
(4) The department shall at least annually report to the Director of Finance cost savings and avoidances achieved through improvements to the way the state acquires, develops, implements, manages, and operates state technology assets, infrastructure, and systems. This report shall be submitted in a timeframe determined by the Department of Finance and shall identify the actual savings achieved by each office, department, and agency. Notwithstanding Section 10231.5, the department shall also, within 30 days, submit a copy of that report to the Joint Legislative Budget Committee, the Senate Committee on Appropriations, the Senate Committee on Budget and Fiscal Review, the Assembly Committee on Appropriations, and the Assembly Committee on Budget.
(e) If the Governor’s Reorganization Plan No. 2 of 2012 becomes effective, this section shall prevail over Section 186 of the Governor’s Reorganization Plan No. 2 of 2012, regardless of the dates on which this section and that plan take effect, and this section shall become operative on July 1, 2013.

Summary: Existing law establishes within the Government Operations Agency the Department of Technology, under the supervision of the Director of Technology, also known as the State Chief Information Officer. Existing law requires the director to, among other things, advise the Governor on the strategic management and direction of the state’s information technology resources and provide technology direction to agency and department chief information officers to ensure the integration of statewide technology initiatives. Existing law further requires the director to produce an annual information technology performance report that assesses and measures the state’s progress toward specified goals. This bill would require the director to develop, tailor, and subsequently review and revise baseline security controls for the state based on emerging industry standards and baseline security controls published by the National Institute of Standards and Technology. The bill would require state agencies to comply with, and prohibit state agencies from tailoring their individual baseline security controls to fall below, the state baseline security controls. The bill would require that the director’s annual information technology performance report also assess and measure the state’s progress toward developing, tailoring, and complying with the state baseline security controls.

An act to amend Section 11545 of the Government Code, relating to state government.


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

SECTION 1.
Article 7 (commencing with Section 18974) is added to Chapter 11 of Part 6 of Division 9 of the Welfare and Institutions Code, to read:
Article  7. Child Sexual Abuse Prevention and Intervention Programs
18974.
(a) The Child Sexual Abuse Prevention Program is hereby established as a pilot program in no more than three counties to provide child sexual abuse prevention and intervention services through public or private nonprofit programs that provide child sexual abuse prevention and intervention services.
(b) The sum of fifty thousand dollars ($50,000) is hereby appropriated annually from the General Fund to each county that voluntarily chooses and is selected to conduct a pilot program under this article to prevent and reduce child sexual abuse.
(c) The State Department of Social Services shall select counties to participate in the Child Sexual Abuse Prevention Program, from among the counties that notify the department of their intention to
participate, based on the
participate. The
agency’s determination
that the counties have
shall be based on the following criteria:
(1) The county has
significant incidences of child sexual abuse or commercially sexually exploited
children and have
children.
(2) The county has identified
a public or private nonprofit organization with experience in child sexual abuse issues or commercial sexual exploitation issues that
is designated to
will
act as the primary administrator for the pilot program.
(3) A county shall be given priority for demonstrating that school districts within its jurisdiction are utilizing moneys from the Student Support and Academic Enrichment Grants created by the federal Every Student Succeeds Act (Public Law 114-95) to provide training for all school personnel on preventing and recognizing child sexual abuse.
(d) Each participating county is encouraged to efficiently use these funds by giving priority to programs currently serving the needs of at-risk children that meet the criteria in Section 18974.1 and that have demonstrated effectiveness in child sexual abuse prevention or intervention or commercial sexual exploitation prevention or intervention. The funds appropriated under this section shall not supplant or replace any existing funding for programs currently serving the needs of at-risk children, but may only supplement the expansion of existing programs or the collaboration of separate existing programs within the county, or fund newly created programs within the county if no current programs exist to serve the needs of children at risk of sexual abuse or commercial sexual exploitation.
18974.1.
(a) The county board of supervisors of a participating county shall allocate the pilot program funds according to the provisions of this article. The county board of supervisors may delegate the administration of the pilot program funds to the county social services department.
(b) Public or private nonprofit agencies shall be eligible for funding provided that evidence is submitted as part of the application to the county that the proposed services are not duplicated in the community, are based on needs of children at risk, and are supported by a local public agency, including, but not limited to, one of the following:
(1) The county welfare department.
(2) A public law enforcement agency.
(3) The county probation department.
(4) The county board of supervisors.
(5) The county public health department.
(6) The county mental health department.
(7) Any school district.
(c) The administering local agency shall, with oversight and review from the county board of supervisors, include and integrate the pilot program in the county system improvement plan, county self-assessments, and the county plan for other federal and state child abuse prevention programs. To the extent applicable, the county shall provide similar assurances, data, and outcome assessments to the Office of Child Abuse Prevention with respect to the pilot program as are provided regarding other federal and state child abuse prevention programs.
(d) Each participating county shall annually report to the State Department of Social Services, the Assembly Committee on Human Services, and the Senate Committee on Human Services information including, but not limited to, all of the following:
(1) Changing public attitudes or public opinion polls showing increased awareness of prevention techniques for child sexual abuse.
(2) The amount of educational materials distributed to stakeholder groups that address and promote child sexual abuse prevention and prevention techniques.
(3) Statistics on the increase or decrease of reports of child sexual abuse within the county.
(4) Identified best practices used by the pilot program that may be replicated and used by other counties, including, but not limited to, community outreach, data collection and analysis, and the creation of educational materials.
18974.2.
This article shall remain in effect only until January 1, 2020, and as of that date is repealed, unless a later enacted statute, that is enacted before January 1, 2020, deletes or extends that date.

Summary: Existing law authorizes the Office of Child Abuse Prevention to fund, through allocations provided to local counties, child abuse and neglect prevention and intervention programs. Existing law creates the State Children’s Trust Fund in the State Treasury and requires money in the fund to be allocated to the State Department of Social Services for the purpose of funding child abuse and neglect prevention and intervention programs. This bill would establish the Child Sexual Abuse Prevention Program as a pilot program in no more than 3 counties, as selected by the State Department of Social Services from among counties that volunteer to participate and based on specified criteria, to provide child sexual abuse prevention and intervention services through public or private nonprofit programs that provide those services. The bill would annually appropriate $50,000 from the General Fund to each county that is selected to conduct a pilot program, thereby making an appropriation. The bill would provide that public or private nonprofit agencies shall be eligible for this funding if specified evidence is provided and would encourage counties to give priority for funding to existing programs that have demonstrated effectiveness in child sexual abuse prevention or intervention or commercial sexual exploitation prevention or intervention. The bill would require each participating county to annually report to the State Department of Social Services, the Assembly Committee on Human Services, and the Senate Committee on Human Services specified information, including statistics on the increase or decrease of reports of child sexual abuse within the county. These provisions would be repealed on January 1, 2020.

An act to add and repeal Article 7 (commencing with Section 18974) of Chapter 11 of Part 6 of Division 9 of the Welfare and Institutions Code, relating to child sexual abuse, and making an appropriation therefor.


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

SECTION 1.
Section 12389 of the Insurance Code, as added by Section 3 of Chapter 370 of the Statutes of 2015, is amended to read:
12389.
(a) On and after July 1, 2016, an underwritten title company as defined in Section 12340.5 that is a stock corporation may, subject to subdivision (b), (1) engage in the business of preparing title searches, title reports, title examinations, or certificates or abstracts of title, upon the basis of which a title insurer writes title policies, and (2) conduct escrow services through business locations, as defined in Section 12340.13, in counties in which the underwritten title company is licensed to conduct escrow services regardless of the location of the real or personal property involved in the transaction.
(b) (1) Only a domestic corporation may be licensed under this section and no underwritten title company, as defined in Section 12340.5, may become licensed under this section, or change the name under which it is licensed or operates, unless it has first complied with Section 881.
(2) (A) Depending upon the county or counties in which the company is licensed to transact business, it shall maintain required minimum net worth and a bond or cash deposit as follows:
Aggregate number of documents
recorded and documents filed in the
preceding calendar year in all counties
where the company is licensed to transact
business
Number of documents
Amount of required
minimum net worth
Amount of bond or
cash deposit
Less than 50,000 ........................
$ 75,000
$ 50,000
50,000 to 100,000 ........................
120,000
50,000
100,000 to 500,000 ........................
200,000
100,000
500,000 to 1,000,000 ........................
300,000
100,000
1,000,000 or more ........................
400,000
100,000
(B) “Net worth” for the purposes of this section is defined as the excess of assets over all liabilities and required reserves. The company may carry as an asset the actual cost of its title plant, provided the value ascribed to that asset shall not exceed the aggregate value of all other assets.
(C) If a title plant of an underwritten title company is not currently maintained, the asset value of the plant shall not exceed its asset value as determined in the preceding paragraph as of the date to which that plant is currently maintained, less one-tenth thereof for each succeeding year or part of the succeeding year that the plant is not being currently maintained. For the purposes of this section, a title plant shall be deemed currently maintained so long as it is used in the normal conduct of the business of title insurance, and (i) the owner of the plant continues regularly to obtain and index title record data to the plant or to a continuation thereof in a format other than that previously used, including, but not limited to, computerization of the data, or (ii) the owner of the plant is a participant, in an arrangement for joint use of a title plant system regularly maintained in any format, provided the owner is contractually entitled to receive a copy of the title record data contained in the jointly used title plant system during the period of the owner’s participation therein, either periodically or upon termination of that participation, at a cost not to exceed the actual cost of duplication of the title record data.
(D) An underwritten title company shall at all times maintain current assets of at least ten thousand dollars ($10,000) in excess of its current liabilities, as current assets and liabilities may be defined pursuant to regulations made by the commissioner. In making the regulations, the commissioner shall be guided by generally accepted accounting principles followed by certified public accountants in this state.
(3) (A) An underwritten title company shall obtain from the commissioner a license to transact its business. The license shall not be granted until the applicant conforms to the requirements of this section and all other provisions of this code specifically applicable to the applicant. After issuance the holder of the license shall continue to comply with the requirements as to its business set forth in this code, in the applicable rules and regulations of the commissioner, and in the laws of this state.
(B) An underwritten title company that possesses, or is required to possess, a license pursuant to this section shall be subject as if an insurer to the provisions of Article 8 (commencing with Section 820) of Chapter 1 of Part 2 of Division 1 of this code and is deemed to be subject to authorization by the Insurance Commissioner within the meaning of subdivision (e) of Section 25100 of the Corporations Code.
(C) The license may be obtained by filing an application on a form prescribed by the commissioner accompanied by a filing fee of three hundred fifty-four dollars ($354). The license when issued shall be for an indefinite term and shall expire with the termination of the existence of the holder, subject to the annual renewal fee imposed under Sections 12415 and 12416.
(D) An underwritten title company seeking to extend its license to an additional county shall pay a two-hundred-seven-dollar ($207) fee for each additional county, and shall furnish to the commissioner evidence, at least sufficient to meet the minimum net worth requirements of paragraph (2), of its financial ability to expand its business operation to include the additional county or counties.
(4) (A) An underwritten title company shall furnish an audit to the commissioner on the forms provided by the commissioner annually, either on a calendar year basis on or before March 31 or, if approved in writing by the commissioner in respect to any individual company, on a fiscal year basis on or before 90 days after the end of the fiscal year. The time for furnishing any audit required by this paragraph may be extended, for good cause shown, on written approval of the commissioner for a period, not to exceed
60
90
days. Failure to submit an audit on time, or within the extended time that the commissioner may grant, is grounds for an order by the commissioner to accept no new business pursuant to subdivision (d). The audits shall be private, except that a synopsis of the balance sheet on a form prescribed by the commissioner may be made available to the public.
(B) The audits shall be made in accordance with generally accepted auditing standards by an independent certified public accountant or independent licensed public accountant whose certification or license is in good standing at the time of the preparation. The fee for filing the audit shall be three hundred thirteen dollars ($313).
(C) The commissioner may refuse to accept an audit or order a new audit for any of the following reasons:
(i) An adverse result in any proceeding before the California Board of Accountancy affecting the auditor’s license.
(ii) The auditor has an affiliation with the underwritten title company or any of its officers or directors that would prevent his or her reports on the company from being reasonably objective.
(iii) The auditor has been convicted of a misdemeanor or felony based on his or her activities as an accountant.
(iv) A judgment adverse to the auditor in any civil action finding him or her guilty of fraud, deceit, or misrepresentation in the practice of his or her profession.
(D) A company that fails to file an audit or other report on or before the date it is due shall pay to the commissioner a penalty fee of one hundred eighteen dollars ($118) and on failure to pay that or another fee or file the audit required by this section shall forfeit the privilege of accepting new business until the delinquency is corrected.
(c) An underwritten title company may engage in the escrow business and act as escrow agent, provided that:
(1) It maintains a record of all receipts and disbursements of escrow funds.
(2) (A) It maintains a bond satisfactory to the commissioner in the amount set forth in subparagraph (A) of paragraph (2) of subdivision (b) of this section. The bond shall run to the state for the use of the state, and for any person who has cause against the obligor of the bond or under the provisions of this chapter.
(B) (i) In lieu of the bond described in subparagraph (A), the company shall maintain a deposit in the amount set forth in subparagraph (A) of paragraph (2) of subdivision (b) of this section, and in a form permitted by Section 12351, with the commissioner, who shall immediately make a special deposit in that amount in the State Treasury. The deposit shall be subject to Sections 12353, 12356, 12357, and 12358. As long as there are no claims against the deposit, all interest and dividends thereon shall be paid to the depositor. The deposit shall be security for the same beneficiaries and purposes as the bond, as set forth in subparagraph (A) and in paragraph (3) of this subdivision. The deposit shall be maintained until four years after all escrows handled by the depositor have been closed.
(ii) The commissioner may release the deposit prior to the passage of the four-year period described in clause (i) upon presentation of evidence satisfactory to the commissioner of either a statutory merger of the depositor into a licensee subject to the jurisdiction of the commissioner, or a valid assumption agreement under which the liability of the depositor stemming from escrow transactions handled by it is assumed by a licensee subject to the jurisdiction of the commissioner.
(iii) With the foregoing exceptions, the deposit shall be returned to the depositor or lawful successor in interest following the four-year period described in clause (i) upon presentation of evidence satisfactory to the commissioner that there are no claims against the deposit arising out of escrow transactions handled by the depositor. If claims against the deposit are presented to the commissioner, the commissioner may pay a valid claim or claims until the deposit amount is exhausted. If the commissioner has evidence of one or more claims against the depositor, and the depositor is in conservatorship, bankruptcy, or liquidation proceedings, the commissioner may release the deposit to the conservator, trustee, or liquidator. If the depositor is not in conservatorship, bankruptcy or liquidation, the commissioner may interplead the deposit by special endorsement to a court of competent jurisdiction for distribution to claimants on the deposit.
(3) (A) The bond provided by a surety insurer naming the underwritten title company as principal obligor or the letter of credit of an issuing bank shall be subject to the following conditions:
(i) The licensee shall faithfully conform to and abide by the provisions of this chapter and all of the rules made by the commissioner under this chapter concerning the conduct of escrow services.
(ii) The licensee will honestly and faithfully apply all funds received, and will faithfully and honestly perform all obligations and undertakings under this chapter, concerning the conduct of escrow services.
(B) In determining the liability of the principal and the sureties under the bond, any money recovered to restore any deficiency in the trust shall not be considered as an asset of the liquidation subject to the assessment for the cost of the liquidation.
(C) The surety under the bond, or the issuing bank of a letter of credit, may pay the full amount of its liability thereunder to the commissioner as conservator, liquidator, receiver, or anyone appointed by the commissioner as a conservator, liquidator, or receiver in lieu of payment to the state or persons having a cause of action against the principal of a bond or applicant under a letter of credit, and upon such payment the surety on the bond, or the issuing bank under a letter of credit shall be completely released, discharged, and exonerated from further liability under the bond or letter of credit, as applicable. The conservator, liquidator, or receiver may use the proceeds of the bond, or letter of credit, for any purposes, including the funding of the costs of conservatorship, receivership, or liquidation.
(D) If there is no reasonable or adequate admitted market for surety bonds as required by this section, the commissioner may act pursuant to Section 1763.1 or, for good cause shown, may permit a letter of credit in lieu thereof, and in the amount of the bond or deposit required by this section. In that case, the commissioner may fashion the letter of credit requirements as appropriate to the circumstances and cause.
(4) On and after July 1, 2016, the commissioner shall promptly release to the depositor, upon application, all escrow-related deposits previously made pursuant to paragraph (2) of subdivision (c) of former Section 12389 if any of the following occurs:
(A) The underwritten title company has provided to the commissioner bond coverage, a deposit, or an approved irrevocable letter of credit as set forth in this subdivision.
(B) Upon presentation of evidence satisfactory to the commissioner of either a statutory merger of the underwritten title company depositor into a licensee or certificate holder subject to the jurisdiction of the commissioner, or a valid assumption agreement under which all liability of the depositor stemming from escrow transactions handled by it is assumed by a licensee or certificate holder subject to the jurisdiction of the commissioner.
(5) Otherwise the deposit shall be promptly returned to the depositor, its duly appointed trustee in bankruptcy or lawful successor in interest upon application for release following the four-year period specified in paragraph (2) , as that paragraph read on June 30, 2016, unless the commissioner has received claims against the deposit stemming from escrow transactions handled by the depositor. If the commissioner has received one or more claims against the depositor, and the depositor is not in conservatorship, bankruptcy, or liquidation, the commissioner may interplead the deposit by special endorsement to a court of competent jurisdiction for distribution on the basis that claims against the depositor stemming from escrow transactions handled by the depositor have priority in the distribution over other claims against the depositor.
(d) The commissioner shall, whenever it appears necessary, examine the business and affairs of a company licensed under this section. The examination shall be at the expense of the company.
(e) (1) At any time that the commissioner determines, after notice and hearing, that a company licensed under this section has willfully failed to comply with a provision of this section, the commissioner shall make his or her order prohibiting the company from conducting its business for a period of not more than one year.
(2) A company that violates the commissioner’s order is subject to seizure under Article 14 (commencing with Section 1010) of Chapter 1 of Part 2 of Division 1, is guilty of a misdemeanor, and may have its license revoked by the commissioner. Any person aiding and abetting any company in a violation of the commissioner’s order is guilty of a misdemeanor.
(f) The purpose of this section is to maintain the solvency of the companies subject to this section and to protect the public by preventing fraud and requiring fair dealing. In order to carry out these purposes, the commissioner may make reasonable rules and regulations to govern the conduct of its business of companies subject to this section. The rules and regulations shall be adopted, amended, or repealed in accordance with the procedures provided in Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code.
(g) The name under which each underwritten title company is licensed shall at all times be an approved name. The fee for filing an application for a change of name shall be one hundred eighteen dollars ($118). Each company shall be subject to the provisions of Article 14 (commencing with Section 1010) and Article 14.5 (commencing with Section 1065.1) of Chapter 1 of Part 2 of Division 1.
(h) This section does not prohibit an underwritten title company from engaging in escrow, settlement, or closing activities on properties located outside this state if those activities do not violate the laws of that other state or country.
(i) This section is operative on July 1, 2016.
SECTION 1.
Section 12340.1 of the
Insurance Code
is amended to read:
12340.1.
“Title insurance” means insuring, guaranteeing or indemnifying owners of real or personal property or the holders of liens or encumbrances thereon or others interested therein against loss or damage suffered by reason of:
(a)Liens or encumbrances on, or defects in the title to the property;
(b)Invalidity or unenforceability of any liens or encumbrances on the property; or
(c)Incorrectness of searches relating to the title to real or personal property.

Summary: Existing law authorizes a company that is a stock corporation to engage in the business of preparing title searches, title reports, title examinations, or certificates or abstracts of title, and to conduct escrow services, if the company, among other things, furnishes audits to the Insurance Commissioner annually on or before March 31, or, if approved in writing by the commissioner, on a fiscal year basis on or before 90 days after the end of the fiscal year. Existing law authorizes the commissioner to extend that deadline, for good cause shown, for a period not to exceed 60 days. This bill would extend the maximum amount of time permitted for an extension of the deadline to submit an audit to 90 days. Under existing law, title insurance is defined as insuring, guaranteeing, or indemnifying an owner of real or personal property or the holder of liens or encumbrances or others who have interests in the property against loss or damage due to liens, encumbrances, or defects in the title to the insured property, defects in liens or encumbrances, or defects in title searches. This bill would make technical, nonsubstantive changes to those provisions.

An act to amend Section
12340.1
12389
of the Insurance Code, relating to insurance.


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

SECTION 1.
This act shall be known, and may be cited, as the Equal Pay for Equal Work Act of 2016.
SEC. 2.
(a) The Legislature finds and declares the following:
(1) According to data from the United States Census Bureau, full-time working women, on average, over the last decade, have continued to earn just $0.79 for every dollar a man earns. The wage gap is greater for women of color, with African American women being paid an average of $0.60 for every dollar paid to white, non-Hispanic men in 2015 and Latinas being paid just $0.55 for every dollar paid to white, non-Hispanic men in the same year.
(2) This wage disparity amounted to a yearly average wage gap of $10,762 in 2015 between full-time working men and full-time working women. In total, the disparity represents more than $490 billion in lost wages for working women every year.
(3) Disparities in pay for women have numerous negative impacts. This pay differential shortchanges women and their families by thousands of dollars a year and potentially hundreds of thousands of dollars over a lifetime. Nearly 4 in 10 mothers are primary breadwinners in their households, and nearly two-thirds are significant earners, making pay equity critical to the economic security of their families.
(4) Equal pay for equal work is a fundamental precept in our nation and in California. Federal law, including the federal Equal Pay Act of 1963 (Public Law 88-38), Title VII of the Civil Rights Act of 1964 (Public Law 88-352), and Executive Order 11246 of September 24, 1965, entitled Equal Employment Opportunity, specifically prohibits arbitrarily compensating men and women differently for the same work, as does California’s Equal Pay Act.
(5) On August 6, 2014, the United States Department of Labor’s Office of Federal Contract Compliance Programs issued a notice of proposed rulemaking to require covered federal contractors and subcontractors with more than 100 employees to submit an annual equal pay report on employee compensation. In California, state contractors receiving public money are obligated to comply with equal pay laws and should provide the state with aggregate wage data to advance pay equity.
(b) It is the intent of the Legislature in enacting this act to promote pay equity and nondiscrimination in setting pay and making hiring or promotional decisions, and to obtain better data on pay equity to more wholly address the problem.
SEC. 3.
Section 12990 of the Government Code is amended to read:
12990.
(a) An employer that is, or wishes to become, a contractor with the state for public works or for goods or services is subject to the provisions of this part relating to discrimination in employment and to the nondiscrimination requirements of this section and any rules and regulations that implement it.
(b) (1) (A) Any employer with a contract with the state that amounts to fifty thousand dollars ($50,000) or more that either is required by federal regulations to submit an EEO-1 report to the United States Equal Employment Opportunity Commission or has 100 or more employees in the state shall submit a nondiscrimination program to the department and shall submit periodic reports of its compliance with the program, no more than annually, on a schedule to be determined by the department. The department shall make the programs and reports available to the Commission on the Status of Women and Girls.
(B) The department may also require an employer that is not described in subparagraph (A) to submit a nondiscrimination program and, if the department so requires, the employer shall comply with the requirements for employers described in subparagraph (A).
(C) The department may require approval and certification of a nondiscrimination program.
(D) The department shall define an employee for the purposes of this paragraph.
(E) An employee in the construction industry covered by a valid collective bargaining agreement that expressly provides for the wages, hours of work, and working conditions of employees, premium wage rates for all overtime worked, and regular hourly pay of not less than 30 percent above the state minimum wage rate shall be excluded from calculation of the employer’s total number of employees for purposes of this paragraph.
(2) A nondiscrimination program shall include policies and procedures designed to ensure equal employment opportunities for all applicants and employees, a description of employment selection procedures, and employee compensation data, as follows:
(A) The total number of workers in a specific job category identified by worker race or national origin, and sex.
(B) The total wages required to be reported on Internal Revenue Service form W-2 for all workers in a specific job category identified by worker race or national origin, and sex.
(C) The total hours worked on an annual basis for all workers in a specific job category identified by worker race or national origin, and sex. For purposes of this subdivision, if an employer does not track exempt employees’ hours worked, full-time exempt employees shall be presumed to work 40 hours a week and part-time exempt employees shall be presumed to work 20 hours a week, unless the employer utilizes a different standard number of hours a week for exempt employees, in which case the employer shall report total hours worked on an annual basis by those employees based on that standard number.
(c) Every state contract and subcontract for public works or for goods or services shall contain a nondiscrimination clause prohibiting discrimination on the bases enumerated in this part by contractors or subcontractors. The nondiscrimination clause shall contain a provision requiring contractors and subcontractors to give written notice of their obligations under that clause to labor organizations with which they have a collective bargaining or other agreement. These contractual provisions shall be fully and effectively enforced. This subdivision does not apply to a credit card purchase of goods of two thousand five hundred dollars ($2,500) or less. The total amount of exemption authorized herein shall not exceed seven thousand five hundred dollars ($7,500) per year for each company from which a state agency is purchasing goods by credit card. It shall be the responsibility of each state agency to monitor the use of this exemption and adhere to these restrictions on these purchases.
(d) The department shall periodically develop rules and regulations for the application and implementation of this section, and submit them to the council for consideration and adoption in accordance with the provisions of Chapter 3.5 (commencing with Section 11340) of Part 1. Those rules and regulations shall describe and include, but not be limited to, all of the following:
(1) Procedures for the investigation, approval, certification, decertification, monitoring, and enforcement of nondiscrimination programs.
(2) The size of contracts or subcontracts below which any particular provision of this section shall not apply.
(3) The circumstances, if any, under which a contractor or subcontractor is not subject to this section.
(4) Criteria for determining the appropriate plant, region, division, or other unit of a contractor’s or subcontractor’s operation for which a nondiscrimination program is required.
(5) Procedures for coordinating the nondiscrimination requirements of this section and its implementing rules and regulations with the California Plan for Equal Opportunity in Apprenticeship, with the provisions and implementing regulations of Article 9.5 (commencing with Section 11135) of Chapter 1 of Part 1, and with comparable federal laws and regulations concerning nondiscrimination, equal employment opportunity, and affirmative action by those who contract with the United States.
(6) The basic principles and standards to guide the department in administering and implementing this section.
(e) Where a contractor or subcontractor is required to prepare an affirmative action, equal employment, or nondiscrimination program subject to review and approval by a federal compliance agency, including an EEO-1 report that is subject to review by the United States Equal Employment Opportunity Commission, that program may be submitted with the department, instead of any nondiscrimination program otherwise required by this section or its implementing rules and regulations. Such a program shall constitute a prima facie demonstration of compliance with this section. Where the department or a federal compliance agency has required the preparation of an affirmative action, equal employment, or nondiscrimination program subject to review and approval by the department or a federal compliance agency, evidence of such a program shall also constitute prima facie compliance with an ordinance or regulation of any city, city and county, or county that requires an employer to submit such a program to a local awarding agency for its approval prior to becoming a contractor or subcontractor with that agency.
(f) Where the department determines and certifies that the provisions of this section or its implementing rules and regulations are violated or determines a contractor or subcontractor is engaging in practices made unlawful under this part, the department may recommend appropriate sanctions to the awarding agency. Any such recommendation shall take into account the severity of the violation or violations and any other penalties, sanctions, or remedies previously imposed.
(g) The changes to this section made by the act adding this subdivision shall not be construed to negate an exemption to the requirements of this section in existence on January 1, 2017, created by the department through the exercise of its regulatory authority, or to otherwise require the department to reinterpret the validity of an exemption as a result of these changes.

Summary: Existing law subjects an employer who is, or wishes to become, a contractor with the state for public works, or for goods or services, to various nondiscrimination requirements. Existing law authorizes requiring an employer to submit a nondiscrimination program to the Department of Fair Employment and Housing for approval and certification prior to becoming a contractor or subcontractor with the state, as well as requiring the provision of periodic reports of contractor or subcontractor compliance with that program. Existing law authorizes a contractor or subcontractor to file an affirmative action, equal employment, or nondiscrimination program subject to review and approval by a federal compliance agency with the department in lieu of that nondiscrimination program. This bill would enact the Equal Pay for Equal Work Act of 2016. The bill would require an employer with a contract with the state that amounts to $50,000 or more that either is required by federal regulations to submit an EEO-1 report to the United States Equal Employment Opportunity Commission (EEOC) or has 100 or more employees in the state to submit a nondiscrimination program to the department and to submit periodic reports of its compliance with that program, no more than annually, on a schedule to be determined by the department. The bill would require the department to make these programs and reports available to the Commission on the Status of Women and Girls. The bill would authorize the department to require approval and certification of the program. The bill would permit the department to require other employers to comply with those program and report submission requirements. The bill would require the department to define an employee for these purposes. The bill would require the nondiscrimination program to include policies and procedures designed to ensure equal employment opportunities for all applicants and employees, a description of employment selection procedures, and employee compensation data, as specified. The bill would specify that a contractor or subcontractor may submit an EEO-1 report subject to review by the EEOC with the department in lieu of the nondiscrimination program. The bill would specify that its provisions are not to be construed to negate certain exemptions established by regulation that predate its enactment or to require the department to reevaluate the validity of these exemptions, as specified. The bill would make a statement of legislative findings.

An act to amend Section 12990 of the Government Code, relating to discrimination.


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

SECTION 1.
Section 33704 of the Food and Agricultural Code is amended to read:
33704.
(a) (1) Sections 33701, 33731, 33732, 33733, 33734, 33767, 33768, 33770, 33771, 33776, and 34593 do not apply to the manufacture of ice cream that is manufactured from ice cream mix, to frozen dairy dessert that is manufactured from frozen dairy dessert mix, to frozen dessert that is manufactured from frozen dessert mix, to frozen yogurt that is manufactured from frozen yogurt mix, or to nondairy frozen dessert that is manufactured from nondairy frozen dessert mix, if those products are manufactured in a freezing device from which those products are served directly in a semifrozen state, without packaging of any type, for consumption on the premises in or from rooms where food is served to the public.
(2) Except for nondairy frozen dessert mix, all mixes shall be secured from a licensed manufacturer of milk products.
(3) Ice cream mix, frozen yogurt mix, frozen dairy dessert mix, frozen dessert mix, and nondairy frozen dessert mix shall be manufactured into a semifrozen state without adulteration and freezing device salvage shall not be reused as a mix.
(b) A limited packaging permit may be issued by the secretary to a semifrozen (soft-serve) milk products plant for on-premises manufacture and packaging of hard frozen dairy products or hard frozen dairy product novelties. The permit may only be issued after the suitability of the facility for manufacture and packaging has been determined by the secretary. An annual onsite evaluation of compliance with the specific permit conditions shall be completed by the secretary before renewal of the limited packaging permit. A semifrozen milk products plant issued a limited packaging permit shall meet all of the following standards:
(1) The hard frozen products shall only be sold to purchasers for consumption. No hard frozen product manufactured pursuant to the limited packaging permit shall be sold for resale.
(2) All frozen dairy product mixes used for the manufacture and packaging of hard frozen dairy product novelties shall be dispensed from single service containers sealed at the licensed milk products plant where processed and pasteurized. Reconstitution of dry mix or condensed mix is prohibited at a semifrozen milk products plant issued a limited packaging permit.
(3) Adequate facilities, consistent with recognized good manufacturing practices for the production and packaging of hard frozen dairy products, as determined by the secretary, shall be provided as a condition of the limited packaging permit. The facilities shall include, but are not limited to, adequate utensil and novelty mold washing, sterilization and storage, and sufficient sanitary work area, including handwashing facilities, dedicated to the manufacture and packaging of hard frozen dairy product novelties. Sanitation guidelines consistent with good manufacturing and handling practices for retail food establishments manufacturing and packaging hard frozen dairy products in conformance with Part 110 (commencing with Section 110.3) of Title 21 of the Code of Federal Regulations shall be utilized by the secretary as a condition for issuance and renewal of the limited packaging permit.
(4) Each individually packaged hard frozen novelty shall be labeled with the name of the product and the name and address of the manufacturer.
(c) Nondairy frozen dessert mix shall be obtained from manufacturers licensed pursuant to Sections 38931 and 38934. Any dry or condensed mix to be reconstituted into freezable form shall be reconstituted on the premises in containers or equipment that meet the requirements of Sections 33763, 33764, 33765, and 33766. Any water used for reconstitution shall be treated in a manner to ensure a quality equal to potable pasteurized water. Upon reconstitution, the product shall be poured directly into the freezing unit or refrigerated at a temperature not to exceed 45 degrees Fahrenheit, and so maintained until frozen, or both.
(d) Where any retail establishment manufactures two or more of the products provided for under this section, each of those products shall be processed in a separate freezing device, and that freezing device shall be clearly identified as to the product being manufactured therein.
(e) The secretary may, by agreement with any approved milk inspection service, authorize the service to inspect and enforce requirements of this code applicable to the establishments covered by this section. Any agreement shall provide that the approved inspection service shall collect the applicable license fee for those establishments as provided in Sections 35221 and 38933. The fees collected shall be retained by the approved service to cover its cost of enforcement, but 15 percent of the fees collected shall be remitted to the secretary to cover the cost of administration.
SEC. 2.
Section 33704.5 of the Food and Agricultural Code is repealed.
SEC. 3.
Section 36806 of the Food and Agricultural Code is amended to read:
36806.
Ice cream mix, frozen yogurt mix, frozen dairy dessert mix, and frozen dessert mix are unfrozen products that are used in the manufacture of ice cream, frozen yogurt, frozen dairy dessert, or frozen dessert. They shall comply with all the requirements for ice cream, frozen yogurt, frozen dairy dessert, or frozen dessert, respectively.
SEC. 4.
Section 48003 of the Food and Agricultural Code is amended to read:
48003.
(a) Every person acting as a handler of commodities subject to this chapter shall be personally liable for the payment of assessments and inspection fees. Any handler who fails to file the required assessment form or pay an assessment or inspection fee by the last day of the month immediately following the month in which the commodities were received shall pay to the secretary a penalty of 10 percent of the assessment, inspection fee, or the sum of both the assessment fee and the inspection fee, owed and, in addition, 1.5 percent interest per month on the unpaid balance.
(b) It shall be unlawful for a handler to refuse to collect the assessments or remit the assessments and the proper forms required by this chapter.
(c) A handler shall not charge a producer an administrative fee for collecting or remitting an assessment.
(d) A producer who disputes the amount of the assessment may file a claim with the secretary. The producer shall prove his or her claim by a preponderance of the evidence.
(e) A producer may not bring a claim against a handler for damages, or otherwise, in connection with the assessment or the required deduction by the handler of the moneys owed to the producer.
SEC. 5.
Section 61306.5 is added to the Food and Agricultural Code, to read:
61306.5.
“Educational and research activities” means any effort to develop and improve the management practices of dairy producers and processors, including, but not limited to, practices associated with the environmental sustainability of land, air quality, and water quality.
SEC. 6.
Section 61345 of the Food and Agricultural Code is amended to read:
61345.
(a) Chapter 2 (commencing with Section 61801), Chapter 2.5 (commencing with Section 62500), and Chapter 3 (commencing with Section 62700) shall be liberally construed as being complementary of, and supplemental to, this chapter, and these chapters shall constitute a single comprehensive scheme for the regulation of the production and handling of milk and related educational and research activities. However, each of the chapters, and each article, section, subdivision, sentence, clause, and phrase of each chapter is severable.
(b) If one of the chapters or any article, section, subdivision, sentence, clause, or phrase of any one of the chapters is for any reason held void, invalid, or unconstitutional, the decision shall not affect the validity of any other chapter or any of its articles, sections, subdivisions, sentences, clauses, or phrases.
SEC. 7.
Section 61412 of the Food and Agricultural Code is amended to read:
61412.
(a) (1) Every milk handler who receives manufacturing milk subject to this article shall deduct as an assessment from payments made to producers for manufacturing milk the sum of one and two-tenths cents ($0.012) per hundredweight of manufacturing milk.
(2) The amount of the assessments deducted pursuant to paragraph (1) shall be paid to the secretary on or before the 45th day following the last day of the month during which the manufacturing milk was received.
(b) (1) Every milk handler who receives manufacturing milk subject to this article that purchases or handles manufacturing milk from producers shall pay a fee of six-tenths of one cent ($0.006) per hundredweight of manufacturing milk.
(2) The amount of the fee shall be paid to the secretary on or before the 45th day following the last day of the month in which the manufacturing milk was received.
(c) Moneys from the amounts paid to the secretary pursuant to subdivisions (a) and (b) may be used to administer and enforce this chapter.
SEC. 8.
Section 61805 of the Food and Agricultural Code is amended to read:
61805.
The purposes of this chapter are to do all of the following:
(a) Provide funds for administration and enforcement of this chapter, by assessments to be paid by producers and handlers of market milk in the manner prescribed in this chapter.
(b) Authorize and enable the secretary to prescribe marketing areas and to determine minimum prices to be paid to producers by handlers for market milk that are necessary due to varying factors of costs of production, health regulations, transportation, and other factors in the marketing areas of this state. In determining minimum prices to be paid producers by handlers, the secretary shall endeavor under like conditions to achieve uniformity of cost to handlers for market milk within any marketing area. However, no minimum prices established or determined under this chapter shall be invalid because uniformity of cost to handlers for market milk in any marketing area is not achieved as a result of the minimum producer prices so established or determined.
(c) Authorize and enable the secretary to formulate stabilization and marketing plans, subject to the limitations prescribed in this chapter with respect to the contents of the stabilization and marketing plans, and to declare the plans in effect for any marketing area.
(d) Enable the dairy industry, with the aid of the state, to develop and maintain satisfactory marketing conditions, bring about and maintain a reasonable amount of stability and prosperity in the production of market milk, and provide means for conducting educational and research activities.
SEC. 9.
Section 62211 of the Food and Agricultural Code is amended to read:
62211.
(a) (1) Every handler subject to the provisions of any stabilization and marketing plan, including a producer-handler, shall deduct as an assessment from payments made to producers for market milk, including the handler’s own production, the sum of one and six-tenths cents ($0.016) per hundredweight of market milk.
(2) The amount of the assessments so deducted shall be paid to the secretary on or before the 45th day following the last day of the month during which such market milk was received.
(b) (1) Every handler subject to the provisions of any stabilization and marketing plan that purchases or handles market milk from producers, including the handler’s own production, if any, shall pay a fee of eight-tenths of one cent ($0.008) per hundredweight of market milk.
(2) The amount of such fee shall be paid to the secretary on or before the 45th day following the last day of the month in which that market milk was received.
(c) Moneys from the amounts paid to the secretary pursuant to subdivisions (a) and (b) may be used to administer and enforce this chapter.
SEC. 10.
Section 76259 of the Food and Agricultural Code is amended to read:
76259.
The term of office of all members of the commission, except ex officio members, shall be two years from the date of their election and until their successors are qualified. However, of the first members of the commission, one-half of the producers shall serve for one year, and one-half of the producers shall serve for two years, with the determination of the term of each such member made by lot at the time of the election.
SEC. 11.
Section 51203 of the Government Code is amended to read:
51203.
(a) The assessor shall determine the current fair market value of the land as if it were free of the contractual restriction pursuant to Section 51283. The Department of Conservation or the landowner, also referred to in this section as “parties,” may provide information to assist the assessor to determine the value. Any information provided to the assessor shall be served on the other party, unless the information was provided at the request of the assessor, and would be confidential under law if required of an assessee.
(b) Within 45 days of receiving the assessor’s notice pursuant to subdivision (a) of Section 51283 or Section 51283.4, if the Department of Conservation or the landowner believes that the current fair market valuation certified pursuant to subdivision (b) of Section 51283 or Section 51283.4 is not accurate, the department or the landowner may request formal review from the county assessor in the county considering the petition to cancel the contract. The department or the landowner shall submit to the assessor and the other party the reasons for believing the valuation is not accurate and the additional information the requesting party believes may substantiate a recalculation of the property valuation. The assessor may recover his or her reasonable costs of the formal review from the party requesting the review, and may provide an estimate of those costs to the requesting party. The recovery of these costs from the department may be deducted by the city or county from cancellation fees received pursuant to this chapter before transmittal to the Controller for deposit in the Soil Conservation Fund. The assessor may require a deposit from the landowner to cover the contingency that payment of a cancellation fee will not necessarily result from the completion of a formal review. This subdivision shall not be construed as a limitation on the authority provided in Section 51287 for cities or counties to recover their costs in the cancellation process, except that the assessor’s costs of conducting a formal review shall not be borne by the nonrequesting party.
(1) If no request is made within 45 days of receiving notice by certified mail of the valuation, the assessor’s valuation shall be used to calculate the fee.
(2) Upon receiving a request for formal review, the assessor shall formally review his or her valuation if, based on the determination of the assessor, the information may have a material effect on valuation of the property. The assessor shall notify the parties that the formal review is being undertaken and that information to aid the assessor’s review shall be submitted within 30 days of the date of the notice to the parties. Any information submitted to the assessor shall be served on the other party who shall have 30 days to respond to that information to the assessor. If the response to the assessor contains new information, the party receiving that response shall have 20 days to respond to the assessor as to the new information. All submittals and responses to the assessor shall be served on the other party by personal service or an affidavit of mailing. The assessor shall avoid ex parte contacts during the formal review and shall report any such contacts to the department and the landowner at the same time the review is complete. The assessor shall complete the review no later than 120 days of receiving the request.
(3) At the conclusion of the formal review, the assessor shall either revise the cancellation valuation or determine that the original cancellation valuation is accurate. The assessor shall send the revised valuation or notice of the determination that the valuation is accurate to the department, the landowner, and the board or council considering the petition to cancel the contract. The assessor shall include a brief narrative of what consideration was given to the items of information and responses directly relating to the cancellation value submitted by the parties. The assessor shall give no consideration to a party’s information or response that was not served on the other party. If the assessor denies a formal review, a brief narrative shall be provided to the parties indicating the basis for the denial, if requested.
(c) For purposes of this section, the valuation date of any revised valuation pursuant to formal review or following judicial challenge shall remain the date of the assessor’s initial valuation, or his or her initial recomputation pursuant to Section 51283.4. For purposes of cancellation fee calculation in a tentative cancellation as provided in Section 51283, or in a recomputation for final cancellation as provided in Section 51283.4, a cancellation value shall be considered current for one year after its determination and certification by the assessor.
(d) Notwithstanding any other provision of this section, the department and the landowner may agree on a cancellation valuation of the land. The agreed valuation shall serve as the cancellation valuation pursuant to Section 51283 or Section 51283.4. The agreement shall be transmitted to the board or council considering the petition to cancel the contract.
(e) If the department and landowner agree upon a cancellation value pursuant to subdivision (d) on a contract with a city or county that includes an additional cancellation fee pursuant to Section 51240, the department shall provide a preliminary valuation to the county assessor of the county in which the land is located and the board of supervisors or the city council at least 60 days before the effective date of the final cancellation valuation. The preliminary valuation shall include a description of the rationale and facts considered by the department in determining the cancellation value. The assessor may provide comments on the preliminary valuation to the board of supervisors or city council. The board of supervisors or city council may provide comments on the preliminary valuation and cancellation value, if submitted, to the department. Before determining the final cancellation valuation, the department shall consider the comments of the board or council concerning the preliminary valuation and cancellation valuation, if submitted.
(f) This section represents the exclusive administrative procedure for appealing a cancellation valuation calculated pursuant to this section. The Department of Conservation shall represent the interests of the state in the administrative and judicial remedies for challenging the determination of a cancellation valuation or cancellation fee.

Summary: Existing law regulates the production, handling, and marketing of milk and dairy products and requires milk products plants to comply with specified standards and requirements. Existing law authorizes the Secretary of Food and Agriculture to issue a limited packaging permit to a semifrozen milk products plant for on-premises manufacture and packaging of hard frozen dairy products or hard frozen dairy product novelties if certain requirements are satisfied. This bill would delete a requirement that an establishment be closed to the public when hard frozen dairy product novelties are manufactured and packaged and would delete a requirement that a manufacturer that directly serves frozen yogurt or nondairy frozen dessert on its premises post specified signs on the premises. Existing law requires certain unfrozen product mixes used in the manufacture of specified frozen dairy products to comply with all of the requirements for ice cream, frozen dairy dessert, or frozen dessert, respectively. This bill would require frozen yogurt mix to comply with all of the requirements for frozen yogurt. Existing law requires every milk handler to pay specified assessments and fees to the Secretary of Food and Agriculture to cover the costs of regulating milk. In that regard, existing law requires every milk handler who receives manufacturing milk subject to the milk marketing regulatory requirements or a handler subject to a milk stabilization and marketing plan, including producer-handlers, to deduct a specified assessment from payments made to producers for manufacturing milk or market milk, respectively. Existing law establishes the Department of Food and Agriculture Fund as a special fund, and continuously appropriates moneys in the fund for the administration and enforcement of, among other things, laws regulating the marketing of milk and other dairy products and the stabilization and marketing of market milk. This bill would, for purposes of those provisions, define the term “educational and research activities” and would additionally provide for the regulation of milk and dairy products-related educational and research activities. The bill would authorize the use of moneys from the above-described assessments and fees for administering and enforcing the manufacturing milk and market milk laws, including the regulation of those educational and research activities. By authorizing the expenditure of moneys from the fund for a new purpose, that is, for milk and dairy-related educational and research activities, the bill would make an appropriation. Existing law establishes the California Citrus Advisory Committee and requires the committee to develop and make recommendations to the Secretary of Food and Agriculture regarding procedures for implementing an inspection program. Existing law requires producers of navel oranges, Valencia oranges, lemons, or mandarin citrus varieties grown in this state and prepared for fresh market in certain counties of the state to pay an assessment, as provided. Existing law requires the assessment to be collected from the producer by the first handler and requires that the assessment be remitted to the Department of Food and Agriculture by the first handler, along with an assessment form, at the end of each month during the marketing season. Existing law requires any handler that does not file the required assessment report and assessments by the 10th day of the month following the month for which the assessment is payable to pay a penalty of 10 of the assessment owed and, in addition, 1.5 interest per month on the unpaid balance. This bill would instead require a handler to file the required assessment form and pay the assessment and inspection fees by the last day of the month immediately following the month in which the commodities were received and would additionally apply the 10 penalty and 1.5 interest to a failure to pay an inspection fee. The bill would make a handler personally liable for the payment of assessments and inspection fees. Existing law establishes the California Sheep Commission, comprised of 14 members who are elected or appointed in accordance with specified provisions to serve 2-year terms and limits the terms of office for each member to 4 consecutive terms. This bill would delete the provision limiting the terms of office of each member to 4 consecutive terms. The California Land Conservation Act of 1965, also known as the Williamson Act, authorizes a city or county to contract with a landowner for the continued use of the land for agricultural use in exchange for a lower assessed valuation for property tax purposes. Existing law requires the Department of Conservation to provide a preliminary valuation of the land to the county assessor and the city council or county board of supervisors at least 60 days prior to the effective date of the agreed upon cancellation valuation if the contract includes an additional cancellation fee. This bill would specify that the Department of Conservation is required to provide the preliminary valuation pursuant to those provisions only if the department and landowner agree upon a cancellation value pursuant to a specified provision, as specified.

An act to amend Sections 33704, 36806, 48003, 61345, 61412, 61805, 62211, and 76259 of, to add Section 61306.5 to, and to repeal Section 33704.5 of, the Food and Agricultural Code, and to amend Section 51203 of the Government Code, relating to food and agriculture, and making an appropriation therefor.


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

SECTION 1.
Section 7202 of the Revenue and Taxation Code is amended to read:
7202.
The sales tax portion of any sales and use tax ordinance adopted under this part shall be imposed for the privilege of selling tangible personal property at retail, and shall include
the following
provisions
,
in
substance as follows:
substance:
(a) A provision imposing a tax for the privilege of selling tangible personal property at retail upon every retailer in the county at the rate of 1
1/4
percent of the gross receipts of the retailer from the sale of all tangible personal property sold by that person at retail in the county.
(b) Provisions identical to those contained in Part 1 (commencing with Section 6001), insofar as they relate to sales taxes, except that the name of the county as the taxing agency shall be substituted for that of the state and that an additional seller’s permit shall not be required if one has been or is issued to the seller under Section 6067.
(c) A provision that all amendments
subsequent to
after
the effective date of the enactment of Part 1 (commencing with Section 6001) relating to sales tax and not inconsistent with this part, shall automatically become a part of the sales tax ordinance of the county.
(d) A provision that the county shall contract
prior to
before
the effective date of the county sales and use tax ordinances with the State Board of Equalization to perform all functions incident to the administration or operation of the sales and use tax ordinance of the county. Any such contract shall contain a provision that the county agrees to comply with the provisions of Article 11 (commencing with Section 29530) of Chapter 2 of Division 3 of Title 3 of the Government Code.
(e) A provision that the ordinance may be made inoperative not less than 60 days, but not earlier than the first day of the calendar quarter, following the county’s lack of compliance with Article 11 (commencing with Section 29530) of Chapter 2 of Division 3 of Title 3 of the Government Code or following an increase by any city within the county of the rate of its sales or use tax above the rate in effect at the time the county ordinance was enacted.
(f) A provision that the amount subject to tax shall not include the amount of any sales tax or use tax imposed by the
State of California
state
upon a retailer or consumer.
(g) A provision that there is exempted from the sales tax 80 percent, and on and after July 1, 2004, until the rate modifications in subdivision (a) of Section 7203.1 cease to apply, 75 percent, of the gross receipts from the sale of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of the aircraft as common carriers of persons or property under the authority of the laws of this state, the United States, or any foreign government.
(h) A provision that any person subject to a sales and use tax under the county ordinance shall be entitled to credit against the payment of taxes due under that ordinance the amount of sales and use tax due to any city in the county; provided that the city sales and use tax is levied under an ordinance including provisions in substance as follows:
(1) A provision imposing a tax for the privilege of selling tangible personal property at retail upon every retailer in the city at the rate of 1 percent or less of the gross receipts of the retailer from the sale of all tangible personal property sold by that person at retail in the city and a use tax of 1 percent or less of purchase price upon the storage, use or other consumption of tangible personal property purchased from a retailer for storage, use or consumption in the city.
(2) Provisions identical to those contained in Part 1 (commencing with Section 6001), insofar as they relate to sales and use taxes, except that the name of the city as the taxing agency shall be substituted for that of the state (but the name of the city shall not be substituted for the word “state” in the phrase “retailer engaged in business in this state” in Section 6203 nor in the definition of that phrase in Section 6203) and that an additional seller’s permit shall not be required if one has been or is issued to the seller under Section 6067.
(3) A provision that all amendments
subsequent to
after
the effective date of the enactment of Part 1 (commencing with Section 6001) relating to sales and use tax and not inconsistent with this part, shall automatically become a part of the sales and use tax ordinance of the city.
(4) A provision that the city shall contract
prior to
before
the effective date of the city sales and use tax ordinance with the State Board of Equalization to perform all functions incident to the administration or operation of the sales and use tax ordinance of the city which shall continue in effect so long as the county within which the city is located has an operative sales and use tax ordinance enacted pursuant to this part.
(5) A provision that the storage, use or other consumption of tangible personal property, the gross receipts from the sale of which has been subject to sales tax under a sales and use tax ordinance enacted in accordance with this part by any city and county, county, or city in this state, shall be exempt from the tax due under this ordinance.
(6) A provision that the amount subject to tax shall not include the amount of any sales tax or use tax imposed by the
State of California
state
upon a retailer or consumer.
(7) A provision that there are exempted from the computation of the amount of the sales tax the gross receipts from the sale of tangible personal property to operators of aircraft to be used or consumed principally outside the city in which the sale is made and directly and exclusively in the use of the aircraft as common carriers of persons or property under the authority of the laws of this state, the United States, or any foreign government.
(8) A provision that, in addition to the exemptions provided in Sections 6366 and 6366.1, the storage, use, or other consumption of tangible personal property purchased by operators of aircraft and used or consumed by the operators directly and exclusively in the use of the aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this state, the United States, or any foreign government is exempt from the use tax.

Summary: Existing law, the Bradley-Burns Uniform Local Sales and Use Tax Law, authorizes a city, county, or city and county to impose local sales and use taxes, as specified. That law requires the sales tax portion of any sales and use tax ordinance adopted under that law to be imposed for the privilege of selling tangible personal property at retail and to include specified provisions. This bill would make nonsubstantive changes to those provisions.

An act to amend Section 7202 of the Revenue and Taxation Code, relating to taxation.