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

SECTION 1.
Section 18601 of the Revenue and Taxation Code is amended to read:
18601.
(a) Except as provided in subdivision (b), (c), or (d), every taxpayer subject to the tax imposed by Part 11 (commencing with Section 23001) shall, on or before the 15th day of the fourth month following the close of its taxable year, transmit to the Franchise Tax Board a return in a form prescribed by it, specifying for the taxable year, all the facts as it may by rule, or otherwise, require in order to carry out this part. A tax return, disclosing net income for any taxable year, filed pursuant to Chapter 2 (commencing with Section 23101) or Chapter 3 (commencing with Section 23501) of Part 11 shall be deemed filed pursuant to the proper chapter of Part 11 for the same taxable period, if the chapter under which the return is filed is determined erroneous.
(b) In the case of cooperative associations described in Section 24404, returns shall be filed on or before the 15th day of the ninth month following the close of its taxable year.
(c) In the case of taxpayers required to file a return for a short period under Section 24634, the due date for the short period return shall be the same as the due date of the federal tax return that includes the net income of the taxpayer for that short period, or the due date specified in subdivision (a) if no federal return is required to be filed that would include the net income for that short period.
(d) (1) In the case of an “S corporation” described in Section 1361 of the Internal Revenue Code, relating to S corporation defined, returns shall be filed on or before the 15th day of the third month following the close of its taxable year.
(2) For taxable years beginning on or after January 1, 1997, each “S corporation” required to file a return under subdivision (a) for any taxable year shall, on or before the day on which the return for the taxable year was filed, furnish each person who is a shareholder at any time during the taxable year a copy of the information shown on the return.
(e) For taxable years beginning on or after January 1, 1997:
(1) A shareholder of an “S corporation” shall, on the shareholder’s return, treat a Subchapter S item in a manner that is consistent with the treatment of the item on the corporate return.
(2) (A) In the case of any Subchapter S item, paragraph (1) shall not apply to that item if both of the following occur:
(i) Either of the following occurs:
(I) The corporation has filed a return, but the shareholder’s treatment of the item on the shareholder’s return is, or may be, inconsistent with the treatment of the item on the corporate return.
(II) The corporation has not filed a return.
(ii) The shareholder files with the Franchise Tax Board a statement identifying the inconsistency.
(B) A shareholder shall be treated as having complied with clause (ii) of subparagraph (A) with respect to a Subchapter S item if the shareholder does both of the following:
(i) Demonstrates to the satisfaction of the Franchise Tax Board that the treatment of the Subchapter S item on the shareholder’s return is consistent with the treatment of the item on the schedule furnished to the shareholder by the corporation.
(ii) Elects to have this paragraph apply with respect to that item.
(3) In any case described in subclause (I) of clause (i) of subparagraph (A) of paragraph (2), and in which the shareholder does not comply with clause (ii) of subparagraph (A) of paragraph (2), any adjustment required to make the treatment of the items by the shareholder consistent with the treatment of the items on the corporate return shall be treated as arising out of a mathematical error and assessed and collected under Section 19051.
(4) For purposes of this subdivision, “Subchapter S item” means any item of an “S corporation” to the extent provided by regulations that, for purposes of Part 10 (commencing with Section 17001) or this part, the item is more appropriately determined at the corporation level than at the shareholder level.
(5) The penalties imposed under Article 7 (commencing with Section 19131) of Chapter 4 shall apply in the case of a shareholder’s negligence in connection with, or disregard of, the requirements of this section.
(f) The amendments made to this section by the act adding this subdivision shall apply to returns for taxable years beginning on or after January 1, 2016.
SEC. 2.
Section 18633 of the Revenue and Taxation Code is amended to read:
18633.
(a) (1) Every partnership, on or before the 15th day of the third month following the close of its taxable year, shall make a return for that taxable year, stating specifically the items of gross income and the deductions allowed by Part 10 (commencing with Section 17001). Except as otherwise provided in Section 18621.5, the return shall include the names, addresses, and taxpayer identification numbers of the persons, whether residents or nonresidents, who would be entitled to share in the net income if distributed and the amount of the distributive share of each person. The return shall contain or be verified by a written declaration that it is made under penalty of perjury, signed by one of the partners.
(2) In addition to returns required by paragraph (1), every limited partnership subject to the tax imposed by subdivision (b) of Section 17935, on or before the 15th day of the third month following the close of its taxable year, shall make a return for that taxable year, containing the information identified in paragraph (1). In the case of a limited partnership not doing business in this state, the Franchise Tax Board shall prescribe the manner and extent to which the information identified in paragraph (1) shall be included with the return required by this paragraph.
(b) Each partnership required to file a return under subdivision (a) for any taxable year shall (on or before the day on which the return for that taxable year was required to be filed) furnish to each person who is a partner or who holds an interest in that partnership as a nominee for another person at any time during that taxable year a copy of the information required to be shown on that return as may be required by regulations.
(c) Any person who holds an interest in a partnership as a nominee for another person shall do both of the following:
(1) Furnish to the partnership, in the manner prescribed by the Franchise Tax Board, the name, address, and taxpayer identification number of that other person, and any other information for that taxable year as the Franchise Tax Board may by form and regulation prescribe.
(2) Furnish to that other person, in the manner prescribed by the Franchise Tax Board, the information provided by that partnership under subdivision (b).
(d) The provisions of Section 6031(d) of the Internal Revenue Code, relating to the separate statement of items of unrelated business taxable income, shall apply.
(e) The provisions of Section 6031(f) of the Internal Revenue Code, relating to electing investment partnerships, shall apply, except as otherwise provided.
(f) The amendments made to this section by the act adding this subdivision shall apply to returns for taxable years beginning on or after January 1, 2016.
SEC. 3.
Section 18633.5 of the Revenue and Taxation Code is amended to read:
18633.5.
(a) Every limited liability company that is classified as a partnership for California tax purposes that is doing business in this state, organized in this state, or registered with the Secretary of State shall file its return on or before the 15th day of the third month following the close of its taxable year, stating specifically the items of gross income and the deductions allowed by Part 10 (commencing with Section 17001). The return shall include the names, addresses, and taxpayer identification numbers of the persons, whether residents or nonresidents, who would be entitled to share in the net income if distributed and the amount of the distributive share of each person. The return shall contain or be verified by a written declaration that it is made under penalty of perjury, signed by one of the limited liability company members. In the case of a limited liability company not doing business in this state, and subject to the tax imposed by subdivision (b) of Section 17941, the Franchise Tax Board shall, for returns required to be filed on or after January 1, 1998, prescribe the manner and extent to which the information identified in this subdivision shall be included with the return required by this subdivision.
(b) Each limited liability company required to file a return under subdivision (a) for any limited liability company taxable year shall, on or before the day on which the return for that taxable year was required to be filed, furnish to each person who holds an interest in that limited liability company at any time during that taxable year a copy of that information required to be shown on that return as may be required by forms and instructions prescribed by the Franchise Tax Board.
(c) Any person who holds an interest in a limited liability company as a nominee for another person shall do both of the following:
(1) Furnish to the limited liability company, in the manner prescribed by the Franchise Tax Board, the name, address, and taxpayer identification number of that person, and any other information for that taxable year as the Franchise Tax Board may prescribe by forms and instructions.
(2) Furnish to that other person, in the manner prescribed by the Franchise Tax Board, the information provided by that limited liability company under subdivision (b).
(d) The provisions of Section 6031(d) of the Internal Revenue Code, relating to the separate statement of items of unrelated business taxable income, shall apply.
(e) (1) A limited liability company shall file with its return required under subdivision (a), in the form required by the Franchise Tax Board, the agreement of each nonresident member to file a return pursuant to Section 18501, to make timely payment of all taxes imposed on the member by this state with respect to the income of the limited liability company, and to be subject to personal jurisdiction in this state for purposes of the collection of income taxes, together with related interest and penalties, imposed on the member by this state with respect to the income of the limited liability company. If the limited liability company fails to timely file the agreements on behalf of each of its nonresident members, then the limited liability company shall, at the time set forth in subdivision (f), pay to this state on behalf of each nonresident member of whom an agreement has not been timely filed an amount equal to the highest marginal tax rate in effect under Section 17041, in the case of members that are individuals, estates, or trusts, and Section 23151, in the case of members that are corporations, multiplied by the amount of the member’s distributive share of the income source to the state reflected on the limited liability company’s return for the taxable period, reduced by the amount of tax previously withheld and paid by the limited liability company pursuant to Section 18662 and the regulations thereunder with respect to each nonresident member. A limited liability company shall be entitled to recover the payment made from the member on whose behalf the payment was made.
(2) If a limited liability company fails to attach the agreement or to timely pay the payment required by paragraph (1), the payment shall be considered the tax of the limited liability company for purposes of the penalty prescribed by Section 19132 and interest prescribed by Section 19101 for failure to timely pay the tax. Payment of the penalty and interest imposed on the limited liability company for failure to timely pay the amount required by this subdivision shall extinguish the liability of a nonresident member for the penalty and interest for failure to make timely payment of all taxes imposed on that member by this state with respect to the income of the limited liability company.
(3) No penalty or interest shall be imposed on the limited liability company under paragraph (2) if the nonresident member timely files and pays all taxes imposed on the member by this state with respect to the income of the limited liability company.
(f) Any agreement of a nonresident member required to be filed pursuant to subdivision (e) shall be filed at either of the following times:
(1) The time the annual return is required to be filed pursuant to this section for the first taxable period for which the limited liability company became subject to tax pursuant to Chapter 10.6 (commencing with Section 17941).
(2) The time the annual return is required to be filed pursuant to this section for any taxable period in which the limited liability company had a nonresident member on whose behalf an agreement described in subdivision (e) has not been previously filed.
(g) Any amount paid by the limited liability company to this state pursuant to paragraph (1) of subdivision (e) shall be considered to be a payment by the member on account of the income tax imposed by this state on the member for the taxable period.
(h) Every limited liability company that is classified as a corporation for California tax purposes shall be subject to the requirement to file a tax return under the provisions of Part 10.2 (commencing with Section 18401) and the applicable taxes imposed by Part 11 (commencing with Section 23001).
(i) (1) Every limited liability company doing business in this state, organized in this state, or registered with the Secretary of State, that is disregarded pursuant to Section 23038 shall file a return that includes information necessary to verify its liability under Sections 17941 and 17942, provides its sole owner’s name and taxpayer identification number, includes the consent of the owner to California tax jurisdiction, and includes other information necessary for the administration of this part, Part 10 (commencing with Section 17001), or Part 11 (commencing with Section 23001).
(2) If the owner’s consent required under paragraph (1) is not included, the limited liability company shall pay on behalf of its owner an amount consistent with, and treated the same as, the amount to be paid under subdivision (e) by a limited liability company on behalf of a nonresident member for whom an agreement required by subdivision (e) is not attached to the return of the limited liability company.
(3) (A) Except as provided in subparagraph (B), the return required under paragraph (1) shall be filed on or before the 15th day of the fourth month after the close of the taxable year of the owner subject to tax under Part 10 (commencing with Section 17001) or Chapter 2 (commencing with Section 23101) of Part 11.
(B) In the event that the owner is an “S corporation,” a partnership, or a limited liability company classified as a partnership for California tax purposes, the return required under paragraph (1) shall be filed on or before the 15th day of the third month after the close of the taxable year.
(4) For limited liability companies disregarded pursuant to Section 23038, “taxable year of the owner” shall be substituted for “taxable year” in Sections 17941 and 17942.
(j) The amendments made by Chapter 264 of the Statutes of 2005 apply to taxable years beginning on or after January 1, 2005.
(k) The amendments made to this section by the act adding this subdivision shall apply to returns for taxable years beginning on or after January 1, 2016.
SEC. 4.
Section 23281 of the Revenue and Taxation Code is amended to read:
23281.
(a) (1) When a taxpayer ceases to do business within the state during any taxable year and does not dissolve or withdraw from the state during that year, and does not resume doing business during the succeeding taxable year, its tax for the taxable year in which it resumes doing business prior to January 1, 2000, shall be the greater of the following:
(A) The tax computed upon the basis of the net income of the income year in which it ceased doing business, except where the income has already been included in the measure of a tax imposed by this chapter.
(B) The minimum tax prescribed in Section 23153.
(2) When a taxpayer ceases to do business within the state during any taxable year and does not dissolve or withdraw from the state during that year, and does not resume doing business during the succeeding taxable year, its tax for the taxable year in which it resumes doing business, on or after January 1, 2000, shall be according to or measured by its net income for the taxable year in which it resumes doing business.
(b) The tax shall be due and payable at the time the corporation resumes doing business, or on or before the due date of the return for its taxable year, whichever is later. All the provisions of this part relating to delinquent taxes shall be applicable to the tax if it is not paid on or before its due date.
(c) This section does not apply to a corporation that became subject to Chapter 3 (commencing with Section 23501) after it discontinued doing business in this state (see Section 23224.5).
(d) The amendments made to this section by the act adding this subdivision shall apply to taxable years beginning on or after January 1, 2016.

Summary: The Personal Income Tax Law requires a partnership to file an informational return on the 15th day of the 4th month following the close of its taxable year, and a limited liability company classified as a partnership to file a return of the taxes due and payable on the 15th day of the 4th month following the close of its taxable year. The Corporation Tax Law requires a taxpayer subject to that law, including an “S corporation,” to file a return on the 15th day of the 3rd month following the close of its taxable year. These tax return due dates conform to federal income tax return due dates for taxable years beginning before January 1, 2016. This bill would require, instead, for taxable years beginning on or after January 1, 2016, a partnership and a limited liability company classified as a partnership to file a return on the 15th day of the 3rd month, and a taxpayer subject to the Corporation Tax Law, but not an “S corporation,” to file a return on the 15th day of the 4th month, following the close of its taxable year. These tax return due dates would conform to federal income tax return due dates for taxable years beginning on and after January 1, 2016.

An act to amend Sections 18601, 18633, 18633.5, and 23281 of the Revenue and Taxation Code, relating to taxation.


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

SECTION 1.
Section 67386 of the Education Code is amended to read:
67386.
(a) In order to receive state funds for student financial assistance, the governing board of each community college district, the Trustees of the California State University, the Regents of the University of California, and the governing boards of independent postsecondary institutions shall adopt a policy concerning sexual assault, domestic violence, dating violence, and stalking, as defined in the federal Higher Education Act of 1965 (20 U.S.C. Sec. 1092(f)), involving a student, both on and off campus. The policy shall include all of the following:
(1) An affirmative consent standard in the determination of whether consent was given by both parties to sexual activity. “Affirmative consent” means affirmative, conscious, and voluntary agreement to engage in sexual activity. It is the responsibility of each person involved in the sexual activity to ensure that he or she has the affirmative consent of the other or others to engage in the sexual activity. Lack of protest or resistance does not mean consent, nor does silence mean consent. Affirmative consent must be ongoing throughout a sexual activity and can be revoked at any time. The existence of a dating relationship between the persons involved, or the fact of past sexual relations between them, should never by itself be assumed to be an indicator of consent.
(2) A policy that, in the evaluation of complaints in any disciplinary process, it shall not be a valid excuse to alleged lack of affirmative consent that the accused believed that the complainant consented to the sexual activity under either of the following circumstances:
(A) The accused’s belief in affirmative consent arose from the intoxication or recklessness of the accused.
(B) The accused did not take reasonable steps, in the circumstances known to the accused at the time, to ascertain whether the complainant affirmatively consented.
(3) A policy that the standard used in determining whether the elements of the complaint against the accused have been demonstrated is the preponderance of the evidence.
(4) A policy that, in the evaluation of complaints in the disciplinary process, it shall not be a valid excuse that the accused believed that the complainant affirmatively consented to the sexual activity if the accused knew or reasonably should have known that the complainant was unable to consent to the sexual activity under any of the following circumstances:
(A) The complainant was asleep or unconscious.
(B) The complainant was incapacitated due to the influence of drugs, alcohol, or medication, so that the complainant could not understand the fact, nature, or extent of the sexual activity.
(C) The complainant was unable to communicate due to a mental or physical condition.
(b) In order to receive state funds for student financial assistance, the governing board of each community college district, the Trustees of the California State University, the Regents of the University of California, and the governing boards of independent postsecondary institutions shall adopt detailed and victim-centered policies and protocols regarding sexual assault, domestic violence, dating violence, and stalking involving a student that comport with best practices and current professional standards. At a minimum, the policies and protocols shall cover all of the following:
(1) A policy statement on how the institution will provide appropriate protections for the privacy of individuals involved, including confidentiality.
(2) Initial response by the institution’s personnel to a report of an incident, including requirements specific to assisting the victim, providing information in writing about the importance of preserving evidence, and the identification and location of witnesses.
(3) Response to stranger and nonstranger sexual assault.
(4) The preliminary victim interview, including the development of a victim interview protocol, and a comprehensive followup victim interview, as appropriate.
(5) Contacting and interviewing the accused.
(6) Seeking the identification and location of witnesses.
(7) Providing written notification to the victim about the availability of, and contact information for, on- and off-campus resources and services, and coordination with law enforcement, as appropriate.
(8) Participation of victim advocates and other supporting people.
(9) Investigating allegations that alcohol or drugs were involved in the incident.
(10) Providing that an individual who participates as a complainant or witness in an investigation of sexual assault, domestic violence, dating violence, or stalking will not be subject to disciplinary sanctions for a violation of the institution’s student conduct policy at or near the time of the incident, unless the institution determines that the violation was egregious, including, but not limited to, an action that places the health or safety of any other person at risk or involves plagiarism, cheating, or academic dishonesty.
(11) The role of the institutional staff supervision.
(12) A comprehensive, trauma-informed training program for campus officials involved in investigating and adjudicating sexual assault, domestic violence, dating violence, and stalking cases.
(13) Procedures for confidential reporting by victims and third parties.
(c) In order to receive state funds for student financial assistance, the governing board of each community college district, the Trustees of the California State University, the Regents of the University of California, and the governing boards of independent postsecondary institutions shall, to the extent feasible, enter into memoranda of understanding, agreements, or collaborative partnerships with existing on-campus and community-based organizations, including rape crisis centers, to refer students for assistance or make services available to students, including counseling, health, mental health, victim advocacy, and legal assistance, and including resources for the accused.
(d) In order to receive state funds for student financial assistance, the governing board of each community college district, the Trustees of the California State University, the Regents of the University of California, and the governing boards of independent postsecondary institutions shall implement comprehensive prevention and outreach programs addressing sexual violence, domestic violence, dating violence, and stalking. A comprehensive prevention program shall include a range of prevention strategies, including, but not limited to, empowerment programming for victim prevention, awareness raising campaigns, primary prevention, bystander intervention, and risk reduction. Outreach programs shall be provided to make students aware of the institution’s policy on sexual assault, domestic violence, dating violence, and stalking. At a minimum, an outreach program shall include a process for contacting and informing the student body, campus organizations, athletic programs, and student groups about the institution’s overall sexual assault policy, the practical implications of an affirmative consent standard, and the rights and responsibilities of students under the policy.
(e) (1) Commencing January 1, 2018, in order to receive state funds for student financial assistance, the governing board of each community college district, the Trustees of the California State University, the Regents of the University of California, and the governing boards of independent postsecondary institutions shall conduct annual training of their respective employees, in addition to the training required by paragraph (12) of subdivision (b), on the employee’s obligations in responding to and reporting incidents of sexual assault, domestic violence, dating violence, and stalking involving students.
(2) An employee trained pursuant to this subdivision shall be deemed to have satisfied the annual training requirement for each campus or community college district, as applicable, within each segment that the employee is employed at for that year.
(f) Outreach programming shall be included as part of every incoming student’s orientation.

Summary: Existing law requires the governing boards of each community college district, the Trustees of the California State University, the Regents of the University of California, and the governing boards of independent postsecondary institutions, in order to receive state funds for student financial assistance, to adopt detailed and victim-centered policies and protocols regarding sexual assault, domestic violence, dating violence, and stalking involving a student that comport with best practices and current professional standards, covering specified topics, including a comprehensive, trauma-informed training program for campus officials involved in investigating and adjudicating sexual assault, domestic violence, dating violence, and stalking cases. This bill would, commencing January 1, 2018, require those institutions, in order to receive state funds for student financial assistance, to conduct annual training of their respective employees, in addition to the training described above, on the employee’s obligations in responding to and reporting incidents of sexual assault, domestic violence, dating violence, and stalking involving students. The bill would provide that an employee trained pursuant to these provisions is deemed to have satisfied the annual training requirement for each campus or community college district, as applicable, within each segment that the employee is employed at for that year.

An act to amend Section 67386 of the Education Code, relating to student safety.


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

SECTION 1.
Section 31013 of the Corporations Code is amended to read:
31013.
(a) An offer or sale of a franchise is made in this state when an offer to sell is made in this state, or an offer to buy is accepted in this state, or, if the franchisee is domiciled in this state, the franchised business is or will be operated in this state.
(b) An offer to sell is made in this state when the offer either originates from this state or is directed by the offeror to this state and received at the place to which it is directed. An offer to sell is accepted in this state when acceptance is communicated to the offeror in this state; and acceptance is communicated to the offeror in this state when the offeree directs it to the offeror in this state reasonably believing the offeror to be in this state and it is received at the place to which it is directed.
(c) An offer to sell is not made in this state merely because (1) the publisher circulates or there is circulated on his behalf in this state any bona fide newspaper or other publication of general, regular, and paid circulation which has had more than two-thirds of its circulation outside this state during the past 12 months, or (2) a radio or television program originating outside this state is received in this state.
(d) An offer to sell is not made in this state merely because a franchisor, or a franchisor who is not then offering a franchise for sale in California and has not registered an offering under the provisions of Chapter 2 (commencing with Section 31110), secures a space at a franchise trade show from which it offers information about its products, services, or system to the general public if the franchisor or prospective franchisor does all of the following:
(1) Notifies the commissioner, in a form established by the commissioner, of its intent to attend and display its concept at the franchise trade show at least 30 days before the show and provides the commissioner with all of the following:
(A) A document, in a form established by the commissioner, that includes, at a minimum, all of the following:
(i) The franchise concept brand name and a description of the potential franchise offering.
(ii) The legal name, and, if applicable, the name under which the franchisor or prospective franchisor does or intends to do business, the address where it is domiciled, and the state or country, if outside the United States, where it is organized.
(iii) The names of the directors, trustees, general partners, principal officers, and other executives who will have management responsibility of the franchisor or prospective franchisor.
(iv) The address where the franchisor or prospective franchisor may be served legal process.
(v) Disclosure of any actions listed in Section 31115.5, against the directors, trustees, general partners, principal officers, or other executives who will have management responsibility of the franchisor or prospective franchisor.
(vi) Disclosure of any actions listed in Section 31115.5, against employees or representatives who will be attending the franchise trade show on behalf of the franchisor or prospective franchisor.
(vii) The proposed written or electronic information that the franchisor or prospective franchisor intends to distribute or use at the trade show.
(B) If the franchisor or prospective franchisor already possesses a current franchise disclosure document not yet registered in California, a copy of the franchise disclosure document.
(2) Conspicuously posts in public view within its franchise trade show booth a notice, in a form established by the commissioner, that states, at a minimum, all of the following:
(A) The franchisor or prospective franchisor is not offering a franchise for sale in California.
(B) The franchisor or prospective franchisor is not legally able to offer a franchise for sale in California.
(C) If anyone associated with the franchisor or prospective franchisor offers a franchise for sale or solicits an offer to purchase a franchise in California, that action should be reported to the commissioner.
(D) The contact information of the commissioner.
(e) The form described in paragraph (1) of subdivision (d) shall be in the form and content prescribed by the commissioner, but, at a minimum, shall state that it is unlawful for any person to offer or sell a franchise in California unless the offer of the franchise has been registered with the commissioner or is otherwise exempt.
(f) A franchisor or prospective franchisor requesting an exemption from a requirement to register pursuant to subdivisions (d) and (e) shall pay a fee of two hundred twenty-five dollars ($225) to the commissioner for each day the franchisor or prospective franchisor exhibits at the trade show.
(g) This section shall remain in effect only until January 1, 2022, and as of that date is repealed.
SEC. 2.
Section 31013 is added to the Corporations Code, to read:
31013.
(a) An offer or sale of a franchise is made in this state when an offer to sell is made in this state, or an offer to buy is accepted in this state, or, if the franchisee is domiciled in this state, the franchised business is or will be operated in this state.
(b) An offer to sell is made in this state when the offer either originates from this state or is directed by the offeror to this state and received at the place to which it is directed. An offer to sell is accepted in this state when acceptance is communicated to the offeror in this state, and acceptance is communicated to the offeror in this state when the offeree directs it to the offeror in this state reasonably believing the offeror to be in this state and it is received at the place to which it is directed.
(c) An offer to sell is not made in this state merely because (1) the publisher circulates or there is circulated on his behalf in this state any bona fide newspaper or other publication of general, regular, and paid circulation which has had more than two-thirds of its circulation outside this state during the past 12 months, or (2) a radio or television program originating outside this state is received in this state.
(d) This section shall become effective on January 1, 2022.
SEC. 3.
Section 31020 is added to the Corporations Code, to read:
31020.
(a)  “Franchise trade show” means an event in this state, displaying multiple franchise brands and open to multiple franchisors, that is advertised to, and invites, the general public to that event where franchisors who satisfy the reasonable criteria of the franchise trade show’s organizer may secure a space from where they can inform the members of the general public in attendance about their existing and prospective products, services, or systems.
(b) This section shall remain in effect only until January 1, 2022, and as of that date is repealed.
SEC. 4.
Section 31115.5 is added to the Corporations Code, to read:
31115.5.
(a) The commissioner may summarily issue a stop order denying the effectiveness of an applicant’s exemption application pursuant to subdivisions (d), (e) and (f) of Section 31013, if the commissioner finds any of the following:
(1) The proposed business model is not lawful in California.
(2) A director, trustee, general partner, principal officer, or other executive who will have management responsibility of a franchisor or prospective franchisor, or an employee or representative who will be attending the franchise trade show on behalf of the franchisor or prospective franchisor, has been any of the following:
(A) Convicted of or pleaded nolo contendere to any felony.
(B) Held liable in a civil action by final judgment of a court for fraud, embezzlement, or misappropriation of property.
(C) Previously violated any franchise law of any state.
(3) The business would constitute a misrepresentation to, or deceit or fraud of, investors.
(4) The franchisor or prospective franchisor fails to meet the requirements of subdivision (d) to (e), inclusive, of Section 31013.
(b) This section shall remain in effect only until January 1, 2022, and as of that date is repealed.
SEC. 5.
Section 31117 of the Corporations Code is amended to read:
31117.
(a) Upon the entry of a stop order under Section 31115 or 31115.5, the commissioner shall promptly notify the applicant that it has been entered and of the reasons therefor and that upon receipt of written request the matter will be set down for hearing to commence within 15 business days after such receipt unless the applicant consents to a later date. If no hearing is requested within 30 days after receipt of the notice and none is ordered by the commissioner, the order will remain in effect until it is modified or vacated by the commissioner. If a hearing is requested or ordered, the commissioner, after notice and hearing in accordance with the provisions of Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code, in connection with which the commissioner shall have all of the powers granted thereunder, may modify or vacate the order or extend it until its final determination.
(b) This section shall remain in effect only until January 1, 2022, and as of that date is repealed.
SEC. 6.
Section 31117 is added to the Corporations Code, to read:
31117.
(a) Upon the entry of a stop order under Section 31115, the commissioner shall promptly notify the applicant that it has been entered and of the reasons therefor and that upon receipt of written request the matter will be set down for hearing to commence within 15 business days after such receipt unless the applicant consents to a later date. If no hearing is requested within 30 days after receipt of the notice and none is ordered by the commissioner, the order will remain in effect until it is modified or vacated by the commissioner. If a hearing is requested or ordered, the commissioner, after notice and hearing in accordance with the provisions of Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code, in connection with which the commissioner shall have all of the powers granted thereunder, may modify or vacate the order or extend it until its final determination.
(b) This section shall become effective on January 1, 2022.

Summary: The Franchise Investment Law generally requires a franchisor to register with the Department of Business Oversight before an offer or sale of a franchise in this state and provides that a willful violation of this law is a crime. Existing law provides, among other things, that an offer or sale of a franchise is made in this state when an offer to sell is made in this state, or an offer to buy is accepted in this state, or, if the franchisee is domiciled in this state, the franchised business is or will be operated in this state. Existing law provides that an offer to sell is not made in this state merely because a radio or television program originating outside this state is received in this state. This bill would provide, until January 1, 2020, that an offer to sell is not made in this state merely because a prospective franchisor, or a franchisor who is not then offering a franchise for sale in California and has not registered an offering under the Franchise Investment Law, secures a space at a franchise trade show from which it offers information about its products, services, or system to the general public under specified circumstances, including, among others, the payment of a fee. The bill would also define a franchise trade show for purposes of the Franchise Investment Law.

An act to amend, repeal, and add Sections 31013 and 31117 of, and to add and repeal Sections 31020 and 31115.5 of, the Corporations Code, relating to franchises.


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

SECTION 1.
The Legislature finds and declares all of the following:
(a) Following significant damage to school buildings in the 1933 Long Beach earthquake, the Field Act was enacted to mandate the earthquake-resistant construction of schools.
(b) The Division of the State Architect (DSA) reviews the design, construction, alteration, addition, and rehabilitation of K–12 public schools and community colleges.
(c) The DSA also monitors the safety of nonstructural components installed in school facilities.
(d) Implementation of the Field Act, as defined pursuant to Section 17281 of the Education Code, depends upon a complex interrelationship with dispersed responsibilities among state departments and agencies, school districts, local government building departments, educational institutions, and the construction industry.
(e) The South Napa earthquake struck in the early morning on August 24, 2014. Structural damage to schools was minimal. However, nonstructural damage was significant and could have been life threatening had the earthquake occurred during school hours.
(f) The earthquake highlighted dangers posed by light fixtures, unrestrained bookcases, storage units, furniture, and other similar school contents that are not subject to the Field Act’s requirements.
(g) The DSA has issued guidelines for nonstructural earthquake hazards in California schools, which include furniture and equipment. However, there are no requirements in state law similar to the requirements of the Field Act that require the DSA, local fire agencies, or school districts to inspect schools to ensure that school contents comply with the DSA nonstructural component guidelines.
(h) School classrooms should be examined to ensure that furnishings and equipment are properly located, anchored, and braced to prevent harm to pupils and school personnel, and to ensure egress from any room after an earthquake.
SEC. 2.
Chapter 8 (commencing with Section 17660) is added to Part 10.5 of Division 1 of Title 1 of the Education Code, to read:
CHAPTER  8. Nonstructural Earthquake Hazards
17660.
(a) (1) On or before January 1, 2020, each school district, county office of education, and charter school shall complete an inspection of the contents, as described in Section 17661, in areas that are accessible to or occupied by pupils, including classrooms, hallways, libraries, gymnasiums, multipurpose rooms, cafeterias, computer rooms, administrative offices, and other similar spaces in each of its school buildings located in an area of higher seismicity to assess whether the contents in each area comply with the guidelines set forth in Chapter 3 (Furniture and Equipment) of the “Guide and Checklist for Nonstructural Earthquake Hazards in California Schools,” published by the Office of Emergency Services in cooperation with the State Department of Education, the Department of General Services, and the Alfred E. Alquist Seismic Safety Commission pursuant to Section 8587.7 of the Government Code, and to develop corrective actions to bring noncompliant contents into compliance with the published guidelines.
(2) For purposes of this section, “higher seismicity” means an area with the result of .30g or greater on the California Geological Survey’s Ground Motion Interpolator found on the Department of Conservation Internet Web site.
(3) The Department of Conservation, on or before February 1, 2017, shall post instructions or a hyperlink on its Internet Web site on how to determine whether a school district, county office of education, or charter school building is located in an area of higher seismicity.
(b) (1) Within 60 days of completing the inspection for each area within a school building described in subdivision (a), a checklist of compliant and noncompliant contents shall be reported to the governing board of the school district, the county board of education, or the governing body of the charter school, as applicable. The report shall include a prioritization of noncompliant items that present an immediate and serious threat to the safety of pupils and school personnel and a set of recommended corrective actions to bring high-priority noncompliant contents into compliance with the published guidelines.
(2) The governing board of the school district, the county board of education, or the governing body of the charter school, as applicable, shall review the report in a public meeting held pursuant to the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5 of the Government Code), or, in the case of a statewide charter school, the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code), and shall post the report on its Internet Web site.
(c) (1) The superintendent of a school district, the county superintendent of schools, or the chief administrator of a charter school, as applicable, shall annually certify in writing to the governing board of the school district, the county board of education, or the governing body of the charter school, as applicable, which corrective actions recommended in the report submitted pursuant to paragraph (1) of subdivision (b) have been taken and completed.
(2) The certifications for each school building shall be posted to the school district’s, county office of education’s, or charter school’s Internet Web site, as applicable.
(d) If a school district, county office of education, or charter school completes an inspection pursuant to subdivision (a) before January 1, 2017, the school district, county office of education, or charter school may report the inspection and any corresponding corrective actions it takes to the governing board of the school district, the county board of education, or the governing body of the charter school, as applicable, to comply with paragraph (1) of subdivision (b).
17661.
For purposes of this chapter, “contents” includes, but is not limited to, file cabinets, bookcases, desktop and countertop equipment, equipment on carts, display cases, art objects, potted plants, aquariums, equipment on wheels or rollers, such as pianos and chalkboards, office equipment, refrigerators, vending machines, shop and gym equipment, gas cylinders, gas piping, and storage racks.
17662.
This chapter shall not be implemented unless funding is provided for its implementation in the annual Budget Act or another statute.
SEC. 3.
If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.

Summary: Existing law, the Field Act, generally requires the Department of General Services to supervise the design and construction of, the reconstruction or alteration of, or the addition to, a school building to ensure, among other things, that plans and specifications comply with adopted rules and regulations and building standards, including those relating to seismic safety. Existing law requires the Office of Emergency Services, in cooperation with the State Department of Education, the Department of General Services, and the Alfred E. Alquist Seismic Safety Commission, to develop an educational pamphlet for use by school personnel to identify and mitigate the risks posed by nonstructural earthquake hazards. This bill would require each school district, county office of education, and charter school, on or before January 1, 2020, to complete an inspection of the contents in areas that are accessible to or occupied by pupils in each of its school buildings located in an area of higher seismicity, as defined, to assess whether the contents in each area comply with the guidelines set forth in the pamphlet and to develop corrective actions to bring noncompliant contents into compliance with the published guidelines. The bill would require, within 60 days of completing the inspection for each area within a school building, that a checklist of compliant and noncompliant contents be reported to the governing board of the school district, the county board of education, or the governing body of the charter school, as applicable, with a prioritization of noncompliant items that threaten the safety of pupils and school personnel and a set of recommended corrective actions to bring high-priority noncompliant contents into compliance with the published guidelines. By imposing additional duties on local educational agency officials, the bill would impose a state-mandated local program. The bill would require the Department of Conservation, on or before February 1, 2017, to post instructions or a hyperlink on its Internet Web site on how to determine whether a school district, county office of education, or charter school building is located in an area of higher seismicity. The bill would make implementation of these provisions contingent upon funding being provided in the annual Budget Act or another statute. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.

An act to add Chapter 8 (commencing with Section 17660) to Part 10.5 of Division 1 of Title 1 of the Education Code, relating to school facilities.


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

SECTION 1.
Section 19619 of the Business and Professions Code is amended to read:
19619.
(a) Since the purpose of this chapter is to encourage agriculture and the breeding of horses in this state, a California Standardbred Sires Stakes Program is hereby established for standardbred horses bred in the State of California.
(b) Horses eligible to race in the California Standardbred Sires Stakes Program shall be the offspring of a registered California standardbred stallion standing in California during an entire breeding season, or the offspring of a registered standardbred stallion standing in Iowa, Wisconsin, Minnesota, Michigan, or Maine, or the Province of Alberta, Canada.
(c) (1) Responsibility for the California Standardbred Sires Stakes Program is with the board. Administration of the California Standardbred Sires Stakes Program is the responsibility of the California Standardbred Sires Stakes Committee. The committee shall consist of five members and one alternate selected from and by the California Harness Horsemen’s Association.
(2) Administrative expenses of the committee in any given year shall not exceed 4 percent of that year’s income to the California Standardbred Sires Stakes Program, and all expenses shall be approved by the board.
(d) The board may do all that is necessary to ensure that the California Standardbred Sires Stakes Program is appropriately administered and shall prepare, issue, and adopt rules and regulations providing for all of the following:
(1) Classes and divisions of races, eligibility of horses and owners therefor, and prizes and awards to be awarded.
(2) Nominating, sustaining, and entry fees for horses and races.
(3) Registration and certification of California stallions, mares bred to those stallions, and foals produced thereby.
(4) Any other matter that is considered to be necessary and appropriate for the proper administration and implementation of the California Standardbred Sires Stakes Program.
(e) The funds for the California Standardbred Sires Stakes Program made available pursuant to Section 19491.7 and the nominating, sustaining, and entry fees provided for in this section shall be deposited with the California Standardbred Sires Stakes Committee. The committee shall distribute the funds deposited with it in accordance with this section for the purposes of the program in the manner approved by the board.
(f) Pursuant to Section 19491.7, the breakage used to fund the California Standardbred Sires Stakes Program and to increase purses shall be divided in accordance with the following criteria:
California Standardbred
Sires Stakes Program
Purses
1977 ........................
10%
90%
1978 ........................
20%
80%
1979 ........................
25%
75%
1980 ........................
50%
50%
January 1 to June 30, 1981 ........................
75%
25%
July 1, 1981, and thereafter ........................
100%
0%
(g) An amount equal to 10 percent of the total purses raced for in the California sires stakes races shall be awarded to the standardbred breeders of the horses that earned purse money in the California standardbred sires stakes races in proportion to the amount of purse money earned by each horse.
(h) An amount equal to 2 percent of the total purses raced for in the California sires stakes races shall be awarded to the owners of the registered California standardbred stallions that sired horses that earned purse money in the California standardbred sires stakes races in proportion to the amount of purse money earned by each horse so sired.
(i) Notwithstanding subdivision (b), the board may establish a series of races for two-year-old and three-year-old fillies that are wholly owned by a California resident on the first day of January of the year that they become two years old and are wholly owned by a California resident on the day of the race.
(j) The balance of the remaining funds, including nominating, sustaining, and entry fees, and after the expenditures described in subdivisions (e), (g), (h), and (i) have been made, shall be allocated to purses for races comprising the California Standardbred Sires Stakes Program.
(k) The schedule of races that shall comprise the California Standardbred Sires Stakes Program during each year shall be set by the board in accordance with the following criteria:
(1) California standardbred sires stakes races shall be scheduled for two-year-old or three-year-old trotters and two-year-old and three-year-old pacers at the discretion of the California Standardbred Sires Stakes Committee, except that no two-year-old races shall be held before the first day of June of any year. Races for four-year-old or aged trotters and four-year-old or aged pacers may also be scheduled.
(2) Base purses for each set of races conducted during any given year at any race meeting shall be determined by the committee.
(3) In each division of each race in the California standardbred sires stakes races, the purse shall be divided in the following manner:
1st  ........................
50%
2nd  ........................
25%
3rd  ........................
12%
4th  ........................
8%
5th  ........................
5%

Summary: The Horse Racing Law establishes the California Standardbred Sires Stakes Program for standardbred horses bred in California, and provides that an offspring of a registered California standardbred stallion standing in California during an entire breeding season is eligible to race in the program. This bill would expand eligibility to race in the program to include the offspring of registered standardbred stallions standing in Iowa, Maine, Michigan, Minnesota, or Wisconsin, or the Province of Alberta, Canada. The Horse Racing Law requires the California Horse Racing Board to set a schedule of races for the program in accordance with specified requirements, including, among other things, that races be scheduled by the California Standardbred Sires Stakes Committee, at its discretion, for 2-year-old and 3-year-old trotters, as specified, and that 2- and 3-year-old races be divided into colt and filly divisions. This bill would instead require that races be scheduled for 2-year-old or 3-year-old trotters and would delete the requirement that 2- and 3-year-old races be divided into colt and filly divisions. The Horse Racing Law also establishes the manner of dividing the purse in California standardbred sires stakes races, and sets forth the percentages to be allocated for horses placing in the race based on the number of participating starters in a race. This bill would establish the percentages to be allocated for horses finishing in 1st to 5th place, inclusive, regardless of the number of starters in the race.

An act to amend Section 19619 of the Business and Professions Code, relating to horse racing.


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

SECTION 1.
Article 11 (commencing with Section 9149.30) is added to Chapter 1.5 of Part 1 of Division 2 of Title 2 of the Government Code, to read:
Article  11. Legislative Employee Whistleblower Protection Act
9149.30.
This article shall be known and may be cited as the Legislative Employee Whistleblower Protection Act.
9149.31.
The Legislature finds and declares that legislative employees should be free to report ethical violations without fear of retribution.
9149.32.
For the purposes of this article, the following terms have the following meanings:
(a) “Legislative employee” means an individual, other than a Member of either house of the Legislature, who is currently employed by either house of the Legislature.
(b) “Protected disclosure” means the filing of a complaint with any of the following:
(1) The Joint Legislative Ethics Committee pursuant to Section 8944, alleging a violation by a member of the Legislature.
(2) The Senate Committee on Legislative Ethics, alleging that a Member, officer, or employee of the Senate violated any standard of conduct, as defined by the standing rules of the Senate.
(3) The Assembly Legislative Ethics Committee, alleging that a Member of the Assembly violated any standard of conduct, as defined by the standing rules of the Assembly.
(4) The Assembly Rules Committee, alleging that an employee of the Assembly violated Article 2 of Chapter 1 of this part.
(5) An ethics ombudsperson designated by either house of the Legislature to receive information about potential ethical violations.
(c) “Use of official authority or influence” includes promising to confer, or conferring, any benefit; effecting, or threatening to effect, any reprisal; or taking, or directing others to take, or recommending, processing, or approving, any personnel action, including appointment, promotion, transfer, assignment, performance evaluation, suspension, or other disciplinary action.
9149.33.
(a) A Member of the Legislature or legislative employee shall not directly or indirectly use or attempt to use that person’s official authority or influence to intimidate, threaten, coerce, or command, or attempt to intimidate, threaten, coerce, or command, a legislative employee for the purpose of interfering with the right of the legislative employee to make a protected disclosure.
(b) Except to the extent that a Member of the Legislature is immune from liability under the doctrine of legislative immunity, a person who violates this section is subject to a fine not to exceed ten thousand dollars ($10,000) and imprisonment in a county jail for a period not to exceed one year.
(c) In addition to all other penalties provided by law, except to the extent that a Member of the Legislature is immune from liability under the doctrine of legislative immunity, a person who violates this section is liable in a civil action for damages brought by a legislative employee.
(d) This section shall not be construed to authorize an individual to disclose information otherwise prohibited by or under law.
(e) This section is not intended to prevent a supervisor, manager, or other officer of the Legislature from taking, directing others to take, recommending, or approving any personnel action or from taking or failing to take a personnel action with respect to any legislative employee if the supervisor, manager, or other officer reasonably believes any action or inaction is justified on the basis of evidence separate from the fact that the person has made a protected disclosure.
9149.34.
(a)
A legislative employee may file a written complaint with his or her supervisor or manager, or with any other officer designated by the house of the Legislature by which he or she is employed, alleging actual or attempted acts of reprisal, retaliation, threats, coercion, or similar improper acts prohibited by Section 9149.33 for having made a protected disclosure.
The
(b)
The
complaint, together with a sworn statement under penalty of perjury that the contents of the complaint are true, or are believed by the affiant to be true, shall be filed within one year of the most recent improper act complained about.
(c) A recipient of a written complaint submitted pursuant to subdivision (a) shall keep the identity of complainants and witnesses confidential unless expressly authorized by those persons to reveal them, except if requested by a law enforcement agency conducting a criminal investigation.
(d) Records relating to an investigation conducted pursuant to subdivision (a), including investigative files and work product, are confidential, except if requested by a law enforcement agency conducting a criminal investigation.
(e) This section does not limit the authority conferred upon the Attorney General, any state or federal law enforcement agency, or any other commission, department, or agency authorized to investigate the Legislature.
9149.35.
(a) Except to the extent that a Member of the Legislature is immune from liability under the doctrine of legislative immunity, a person who intentionally engages in acts of reprisal, retaliation, threats, coercion, or similar acts against a legislative employee for having made a protected disclosure is subject to a fine not to exceed ten thousand dollars ($10,000) and imprisonment in a county jail for a period not to exceed one year.
(b) For purposes of this section, “legislative employee” includes a former employee of the Legislature if the complaint is filed within one year of the most recent improper act complained about.
9149.36.
(a) In addition to all other penalties provided by law, except to the extent that a Member of the Legislature is immune from liability under the doctrine of legislative immunity, a person who intentionally engages in acts of reprisal, retaliation, threats, coercion, or similar acts against a legislative employee for having made a protected disclosure is liable in a civil action for damages brought by a legislative employee.
(b) (1) In any civil action, once it has been demonstrated by a preponderance of the evidence that an activity protected by this article was a contributing factor in the alleged retaliation against a legislative employee, the burden of proof is on the offending party to demonstrate by clear and convincing evidence that the alleged action would have occurred for legitimate, independent reasons even if the legislative employee had not made a protected disclosure.
(2) Punitive damages may be awarded by the court if the acts of the offending party are proven to be malicious. If liability is established, the injured party is also entitled to reasonable attorney’s fees as provided by law.
(c) A legislative employee is not required to file a complaint pursuant to Section 9149.34 before bringing an action for civil damages.
(d) This section is not intended to prevent a supervisor, manager, or other officer of the Legislature from taking, directing others to take, recommending, or approving any personnel action or from taking or failing to take a personnel action with respect to any legislative employee if the supervisor, manager, or other officer reasonably believes any action or inaction is justified on the basis of evidence separate and apart from the fact that the person has made a protected disclosure.
(e) For purposes of this section, “legislative employee” includes a former employee of the Legislature if the complaint is filed within one year of the most recent improper act complained about.
9149.37.
This article does not diminish the rights, privileges, or remedies of a legislative employee under any other federal or state law.
SEC. 2.
No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.

Summary: Existing law provides procedures for a person to file a complaint alleging violations of legislative ethics. Existing law also authorizes each house of the Legislature to adopt rules for its proceedings and to select committees necessary for the conduct of its business. This bill would prohibit interference with the right of legislative employees, as defined, to make protected disclosures of ethics violations and would prohibit retaliation against legislative employees who have made protected disclosures. This bill would establish a procedure for legislative employees to report violations of the prohibitions to the Legislature. The bill would also impose civil and criminal liability on a person who interferes with a legislative employee’s right to make a protected disclosure or who engages in retaliatory acts, as specified. By creating new crimes, the bill would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.

An act to add Article 11 (commencing with Section 9149.30) to Chapter 1.5 of Part 1 of Division 2 of Title 2 of the Government Code, relating to the Legislature.


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

SECTION 1.
Section 18897 of the Revenue and Taxation Code is amended to read:
18897.
All moneys transferred to the School Supplies for Homeless Children Fund, upon appropriation by the Legislature, shall be allocated as follows:
(a) To the Franchise Tax Board, the State Department of Social Services, and the Controller for reimbursement of all costs incurred by the Franchise Tax Board, the Controller, and the State Department of Social Services in connection with their duties under this article.
(b) To the State Department of Social Services as follows:
(1) For the 2014–15 fiscal year, the Controller shall transfer the funds appropriated to the State Department of Education for this purpose from Budget Items 6110-001-8075 and 6110-101-8075 to the State Department of Social Services. Funds transferred may be used for state operations or local assistance expenditures and for distribution to a nonprofit organization exempt from federal income tax as an organization described in Section 501(c)(3) of the Internal Revenue Code for the sole purpose of assisting pupils in California on a statewide basis pursuant to the federal McKinney-Vento Homeless Assistance Act (42 U.S.C. Sec. 11301 et seq.) by providing school supplies and health-related products to partnering local education agencies for distribution to homeless children, as defined by the federal McKinney-Vento Homeless Assistance Act (42 U.S.C. Sec. 11434a). The nonprofit organization shall provide a minimum 100 percent match for all funds received from the School Supplies for Homeless Children Fund. If the nonprofit organization provides in-kind materials towards the 100 percent match, then the value of the in-kind materials contributing to a 100 percent match shall be verified by the donor donating the in-kind materials and cannot exceed the market value of the materials if sold at retail. The State Department of Social Services shall enter into a subvention services agreement with the nonprofit organization.
(2) The State Department of Social Services’ first designation of a nonprofit organization shall be valid until January 1, 2017. On that date, and every three calendar years thereafter, while this section is operative and in effect, the State Department of Social Services shall designate the same or a different nonprofit organization pursuant to this section. The State Department of Social Services may revoke the designation if the nonprofit organization fails to comply with the provisions of this article. If a designation is revoked, the State Department of Social Services shall designate a new nonprofit organization within three calendar months or as soon as administratively feasible.
(3) Funds shall be distributed by the State Department of Social Services only after evidence is presented to the State Department of Social Services that demonstrates that the local education agencies, domestic violence shelters, or eligible basic living centers and transitional living centers, as specified in paragraph (3) of subdivision (c), have received the materials described in paragraph (1).
(c) (1) Funds distributed to the nonprofit organization pursuant to this section shall be used only for costs incurred to procure, assemble, and ship school supplies and health-related products. Funds made available pursuant to this section shall not be used for administrative purposes, to reimburse costs associated with administering grants of school supplies and health-related products to local education agencies or domestic violence shelters, or for any purpose relating to the operation of the nonprofit organization.
(2) The nonprofit organization may provide school supplies and health-related products to children living in domestic violence shelters.
(3) The nonprofit organization may provide school supplies and health-related products to homeless children and homeless youth, as defined in Section 11139.3 of the Government Code, residing in or receiving services from eligible basic living centers and transitional living centers eligible for assistance as specified in the Runaway and Homeless Youth Act (42 U.S.C. 5701 et seq.), as that act read on January 1, 2015.
(d) The State Department of Social Services shall verify that the designated nonprofit organization procured school supplies and health-related products and provided matching funds or in-kind materials as described in this section.
SEC. 2.
Section 18898 of the Revenue and Taxation Code is amended to read:
18898.
(a) Except as otherwise provided in subdivision (b), this article shall remain in effect only until January 1, 2022, and is repealed as of December 1 of that year.
(b) (1) By September 1 of the second calendar year and each subsequent calendar year that the School Supplies for Homeless Children Fund appears on the tax return, the Franchise Tax Board shall do all of the following:
(A) Determine the minimum contribution amount required to be received during the next calendar year for the fund to appear on the tax return for the taxable year that includes that next calendar year.
(B) Provide written notification to the State Department of Social Services of the amount determined in subparagraph (A).
(C) Determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount determined by the Franchise Tax Board for the calendar year pursuant to subparagraph (A). The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year.
(2) If the Franchise Tax Board determines that the amount of the contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article shall be inoperative with respect to taxable years beginning on or after January 1 of that calendar year and shall be repealed on December 1 of that year.
(3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000) for the second calendar year after the first appearance of the School Supplies for Homeless Children Fund on the personal income tax return or the adjusted minimum contribution amount adjusted pursuant to subdivision (c).
(c) For each calendar year, beginning with the third calendar year after the first appearance of the School Supplies for Homeless Children Fund on the personal income tax return, the Franchise Tax Board shall adjust, on or before September 1 of that calendar year, the minimum contribution amount specified in subdivision (b) as follows:
(1) The minimum estimated contribution amount for the calendar year shall be an amount equal to the product of the minimum estimated contribution amount for the calendar year multiplied by the inflation factor adjustment as specified in subparagraph (A) of paragraph (2) of subdivision (h) of Section 17041, rounded off to the nearest dollar.
(2) The inflation factor adjustment used for the calendar year shall be based on the figures for the percentage change in the California Consumer Price Index for all items received on or before August 1 of the calendar year pursuant to paragraph (1) of subdivision (h) of Section 17041.
(d) Notwithstanding the repeal of this article, any contribution amounts designated pursuant to this article prior to its repeal shall continue to be transferred and disbursed in accordance with this article as in effect immediately prior to that repeal.

Summary: Existing law authorizes an individual to contribute amounts in excess of his or her personal income tax liability for the support of specified funds, including the School Supplies for Homeless Children Fund. Existing law requires the moneys deposited in the School Supplies for Homeless Children Fund, upon appropriation by the Legislature, to be allocated to the State Department of Social Services for distribution to a designated nonprofit organization for the sole purpose of assisting pupils in California pursuant to the federal McKinney-Vento Homeless Assistance Act, as provided. Existing law provides that this voluntary contribution remain in effect only until January 1 of the 5th taxable year in which the fund appears on the tax return or when the amount of contributions by taxpayers does not meet the minimum contribution amount, whichever occurs first. This bill would authorize the designated nonprofit organization to provide school supplies and health-related products to homeless children and homeless youth residing in or receiving services from specified living centers and would extend the time period for the School Supplies for Homeless Children Fund to appear on the tax return to January 1, 2022, or when the amount of contributions by taxpayers does not meet the minimum contribution amount, whichever occurs first.

An act to amend Sections 18897 and 18898 of the Revenue and Taxation Code, relating to taxation.


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

SECTION 1.
Chapter 1.6 (commencing with Section 71265) is added to Part 3 of Division 20 of the Water Code, to read:
CHAPTER  1.6. Central Basin Municipal Water District
71265.
For the purposes of this chapter:
(a) “District” means the Central Basin Municipal Water District.
(b) “Large water purveyor” means a public water system that is one of the top five purveyors of water as measured by the total purchase of potable and recycled water from the district for the three prior fiscal years.
(c) “Public water system” has the same meaning as in Section 116275 of the Health and Safety Code.
(d) “Relevant technical expertise” means employment or consulting for a total period of at least five years, prior to the date of first appointment, in one or more positions materially responsible for performing services relating to the management, operations, engineering, construction, financing, contracting, regulation, or resource management of a public water system.
(e) “Small water purveyor” means a public water system with less than 5,000 connections.
71266.
(a) Except as provided in subdivision (c) and notwithstanding any other provision of this division, the board of directors of the district shall be composed of seven directors as follows:
(1) Four directors, one director elected for each division established pursuant to subdivision (d) by the voters of the division. Each director shall be a resident of the division from which he or she is elected. An election pursuant to this paragraph shall be in accordance with the Uniform District Election Law (Part 4 (commencing with Section 10500) of Division 10 of the Elections Code).
(2) Three directors appointed by the water purveyors of the district in accordance with Section 71267.
(b) The district shall be subject to Section 84308 of the Government Code.
(c) Until the directors elected at the November 8, 2022, election take office, the board of directors shall be composed of eight directors as follows:
(1) Five directors in accordance with Section 71250.
(2) Three directors appointed by the water purveyors of the district pursuant to Section 71267.
(d) The board of directors shall divide the district into four divisions in a manner as to equalize, as nearly as practicable, the population in the respective divisions pursuant to Section 71540.
71267.
(a) The general manager of the district shall notify each water purveyor of the district and provide a 60-day period during which the district will accept nominations for appointment of individuals to the board of directors.
(b) Individuals nominated for appointment to the board of directors shall demonstrate eligibility and relevant technical expertise.
(c) (1) The three directors appointed by the water purveyors shall be selected by the water purveyors of the district every four years as follows:
(A) One director shall be selected by all large water purveyors from the nominees of large water purveyors. Each large water purveyor shall have one vote.
(B) One director shall be selected by all cities that are water purveyors of the district from the nominees of cities. Each city shall have one vote.
(C) One director shall be selected by all of the water purveyors of the district from any nominee. The vote of each purveyor shall be weighted to reflect the number of service connections of that water purveyor within the district. If the selection of a director under this subparagraph would result in a violation of paragraph (2), the first eligible candidate receiving the next highest number of votes shall be selected.
(2) The appointment of directors pursuant to paragraph (1) shall not result in any of the following:
(A) The appointment of three directors that are all employed by or representatives of entities that are all large water purveyors.
(B) The appointment of three directors that are all employed by or representatives of entities that are all cities.
(C) The appointment of three directors that are all employed by or representatives of entities that are all small water purveyors.
(3) Each nominee for director who receives the highest number of votes cast for each office described in paragraph (1) is appointed as a director to the board of directors and shall take office in accordance with Section 71512. The general manager shall collect the votes and report the results to the water purveyors. Votes for an appointed director are public records.
(d) Each appointed director shall live or work within the district.
(e) In order to ensure continuity of knowledge, the directors appointed at the first purveyor selection shall classify themselves by lot so that two of them shall hold office until the selection of their successors at the first succeeding purveyor selection and one of them shall hold office until the selection of his or her successor at the second succeeding purveyor selection.
(f) (1) The term of a director appointed pursuant to subparagraph (A) of paragraph (1) of subdivision (c) is terminated if the appointed director no longer is employed by or a representative of a large water purveyor.
(2) The term of a director appointed pursuant to subparagraph (B) of paragraph (1) of subdivision (c) is terminated if the appointed director no longer is employed by or a representative of a city.
(3) The term of a director appointed pursuant to subparagraph (C) of paragraph (1) of subdivision (c) is terminated if the appointed director no longer is employed by or a representative of a water purveyor.
(g) (1) An appointed director shall not do any of the following:
(A) Hold an elected office.
(B) Hold more than 0.5 percent ownership in a company regulated by the Public Utilities Commission.
(C) Hold more than one consecutive term of office on the board.
(2) An appointed director shall be subject to all applicable conflict-of-interest and ethics provisions and shall recuse himself or herself from participating in a decision that could have a direct material benefit on the financial interests of the director.
(h) A vacancy in an office of appointed director shall be filled in accordance with the selection process described in subdivisions (a) to (c), inclusive.
(i) (1) An appointed director shall be eligible for all of the following:
(A) Reimbursement for travel and conference expenses pursuant to the Central Basin Municipal Water District Administrative Code.
(B) Compensation for up to 10 meetings per month at the per meeting rate provided by the Central Basin Municipal Water District Administrative Code.
(C) Health insurance benefits, if those benefits are not provided by the director’s employer.
(2) An appointed director shall not be eligible to receive communication or car allowances. For purposes of this paragraph, “car allowances” does not include travel expenses incurred as described in paragraph (1).
(3) An appointed director may waive the reimbursement and compensation described in paragraph (1) and may be required to reimburse his or her employer for any compensation received.
SEC. 2.
If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
SEC. 3.
This act shall only become operative if Senate Bill 953 of the 2015–16 Regular Session is enacted and becomes effective.

Summary: Existing law, the Municipal Water District Law of 1911, provides for the formation of municipal water districts and grants to those districts’ specified powers. Existing law permits a district to acquire, control, distribute, store, spread, sink, treat, purify, recycle, recapture, and salvage any water for the beneficial use of the district, its inhabitants, or the owners of rights to water in the district. Existing law requires the board of directors of a district to consist of 5 members and each director to be a resident of the division from which the director is elected. This bill would require the board of directors of the Central Basin Municipal Water District to be composed of 8 directors until the directors elected at the November 8, 2022, election take office, when the board would be composed of 7 directors, as prescribed. By imposing new duties on the district, this bill would create a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions. This bill would make its operation contingent on the enactment of SB 953 of the 2015–16 Regular Session.

An act to add Chapter 1.6 (commencing with Section 71265) to Part 3 of Division 20 of the Water Code, relating to municipal water districts.


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

SECTION 1.
Section 104150 of the Health and Safety Code is amended to read:
104150.
(a) (1) A provider or entity that participates in the grant made to the department by the federal Centers for Disease Control and Prevention breast and cervical cancer early detection program established under Title XV of the federal Public Health Service Act (42 U.S.C. Sec. 300k et seq.) in accordance with requirements of Section 1504 of that act (42 U.S.C. Sec. 300n) may only render screening services under the grant to an individual if the provider or entity determines that the individual’s family income does not exceed 200 percent of the federal poverty level.
(2) Providers, or the enrolling entity, shall make available to all applicants and beneficiaries, prior to or concurrent with enrollment, information on the manner in which to apply for insurance affordability programs, in a manner determined by the State Department of Health Care Services. The information shall include the manner in which applications can be submitted for insurance affordability programs, information about the open enrollment periods for the California Health Benefit Exchange, and the continuous enrollment aspect of the Medi-Cal program.
(b) (1) The department shall provide for breast cancer and cervical cancer screening services under the grant at the level of funding budgeted from state and other resources during the fiscal year in which the Legislature has appropriated funds to the department for this purpose. These screening services shall not be deemed to be an entitlement.
(2) The following individuals shall be eligible for breast cancer screening and diagnostic services pursuant to this section if they meet all other eligibility requirements:
(A) An individual of any age who is symptomatic.
(B) An individual whose age is within the age range for routine breast cancer screening, as recommended by the United States Preventive Services Task Force, subject to any federal action relating to breast cancer screening that overrides those recommendations.
(3) For purposes of this section, “symptomatic” means an individual presenting with an abnormality or change in the look or feel of the breast, including, but not limited to, a lump, a hard knot, thickening or swelling of the breast tissue, a change in the color, size, or shape of the breast, or any discharge from the nipple.
(c) To implement the federal breast and cervical cancer early detection program specified in this section, the department may contract, to the extent permitted by Section 19130 of the Government Code, with public and private entities, or utilize existing health care service provider enrollment and payment mechanisms, including the Medi-Cal program’s fiscal intermediary. However, the Medi-Cal program’s fiscal intermediary shall only be utilized if services provided under the program are specifically identified and reimbursed in a manner that does not claim federal financial reimbursement. Any contracts with, and the utilization of, the Medi-Cal program’s fiscal intermediary shall not be subject to Chapter 3 (commencing with Section 12100) of Part 2 of Division 2 of the Public Contract Code. Contracts to implement the federal breast and cervical cancer early detection program entered into by the department with entities other than the Medi-Cal program’s fiscal intermediary shall not be subject to Part 2 (commencing with Section 10100) of Division 2 of the Public Contract Code.
(d) The department shall enter into an interagency agreement with the State Department of Health Care Services to transfer that portion of the grant made to the department by the federal Centers for Disease Control and Prevention breast and cervical cancer early detection program established under Title XV of the federal Public Health Service Act (42 U.S.C. Sec. 300k et seq.) to the State Department of Health Care Services. The department shall have no other liability to the State Department of Health Care Services under this article.
SEC. 2.
Section 104161.1 of the Health and Safety Code is amended to read:
104161.1.
(a) When an individual is made eligible for treatment services under this article due to a diagnosis of breast cancer, the period of coverage shall not exceed 18 months of treatment. After 18 months, the individual’s eligibility for treatment services for the cancer condition that made this individual eligible concludes.
(b) When an individual is made eligible for treatment services under this article due to a diagnosis of cervical cancer, the period of coverage shall not exceed 24 months of treatment. After 24 months, the individual’s eligibility for treatment services for the cancer condition that made this individual eligible concludes.
(c) If an individual is diagnosed with a reoccurrence of breast cancer or cervical cancer, whether at the original cancer site or a different cancer site, and meets all other applicable eligibility requirements, the individual shall be eligible for an additional period of treatment coverage, as described in subdivision (a) or (b), respectively.

Summary: Existing law requires the State Department of Health Care Services to perform various health functions, including providing breast and cervical cancer screening and treatment for low-income individuals. Existing law defines “period of coverage” as beginning when an individual is made eligible for a covered condition and not to exceed 18 or 24 months, respectively, for a diagnosis of breast cancer or a diagnosis of cervical cancer. This bill would provide that an individual of any age who is symptomatic, as defined, or an individual whose age is within the age range for routine breast cancer screening, as specified, and who meets all other eligibility requirements is eligible for breast cancer screening and diagnostic services pursuant to these provisions. The bill would also provide that if an individual is diagnosed with a reoccurrence of breast cancer or cervical cancer, whether at the original cancer site or a different cancer site, and meets all other applicable eligibility requirements, the individual shall be eligible for an additional period of treatment coverage, as described above.

An act to amend Sections 104150 and 104161.1 of the Health and Safety Code, relating to health care programs.