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

SECTION 1.
(a) The Legislature finds and declares as follows:
(1) The waters of the state are of limited supply and are subject to ever-increasing demand.
(2) Landscapes are essential to the quality of life in California by providing areas for active and passive recreation and as an enhancement to the environment by cleaning air and water, preventing erosion, offering fire protection, and replacing ecosystems lost to development, among other benefits.
(3) Landscape design, installation, maintenance, and management can and should be water efficient.
(4) Section 2 of Article X of the California Constitution specifies that the right to use water is limited to the amount reasonably required for the beneficial use to be served and that the right does not extend to the waste or unreasonable use of water.
(5) Landscapes that are planned, designed, installed, managed, and maintained with a watershed-based approach can improve California’s environmental conditions, provide benefits, and realize sustainability goals such as the reduction in greenhouse gas emissions and recycling goals, and conserve energy. These landscapes will make the urban environment resilient in the face of climatic extremes.
(6) Creating the conditions to support life in the soil by reducing compaction, incorporating organic matter that increases water retention, and promoting productive plant growth leads to more carbon storage, oxygen production, shade, habitat, and aesthetic benefits.
(7) Energy use can be minimized by using efficient irrigation systems, reducing reliance on petroleum-based fertilizers and pesticides, and planting climate-appropriate edible plants and shade trees in urban areas.
(8) Water can be conserved by capturing and reusing rainwater and graywater wherever possible and selecting climate-appropriate plants that need minimal supplemental water after establishment.
(9) Air and water quality can be protected by using low- or zero-emissions outdoor equipment, reducing landfill disposal trips, selecting recycled and local sources of material, using compost mulch and efficient irrigation equipment, and designing landscapes to prevent erosion.
(10) Existing habitat can be protected and new habitat created by choosing local native plants and climate-adapted plants, avoiding invasive plants, and using environmentally sound integrated pest management with the least toxic methods as a first course of action.
(11) Stormwater management practices can minimize runoff and increase infiltration that recharges groundwater and improves water quality. Implementing stormwater best management practices into the landscape and grading design plans to minimize runoff and increase onsite rainwater retention and infiltration should be encouraged.
(b) It is the intent of the Legislature that the California Water Efficient Landscaping Program furthers and accomplishes water conservation, energy efficiency, and greenhouse gas emissions reduction and climate adaptation.
SEC. 2.
Part 2.13 (commencing with Section 10960) is added to Division 6 of the Water Code, to read:
PART 2.13. California Water Efficient Landscaping Program
10960.
(a)
The
Upon identification of a funding source, the
department shall create the California Water Efficient Landscaping Program for the purpose of encouraging local agencies and water purveyors to use economic incentives that promote the efficient use of water, promote greenhouse gas emissions reduction and sequestration, promote the benefits of consistent landscape ordinances in accordance with Article 10.8 (commencing with Section 65591) of Chapter 3 of Division 1 of Title 7 of the Government Code, and support and enhance water inefficient grass replacement.
(b) As used in this part, “water inefficient grass replacement” means
either
both
of the following improvements that substantially
increases
increase
water efficiency of outdoor landscapes:
(1) The installation of a water efficient irrigation system, including, but not limited to, the following:
(A) Low-energy, high-efficiency drip irrigation.
(B) Rain harvesting technology to prevent stormwater runoff and promote water infiltration and supplemental irrigation.
(C) Low-energy graywater infrastructure to supplement outdoor irrigation supplies.
(D) Use of water efficiency application and monitoring systems.
(2) The installation of water efficient and climate friendly landscape, including, but not limited to, the following:
(A) The use of water efficient landscape design to promote stormwater capture and water infiltration while mitigating erosion.
(B) The installation of native plant species and other drought tolerant plants.
(C) The installation of shade trees.
(D) The installation of edible plants and fruit trees.
(E) The generous use of organic soil, compost, and mulch.
(F) The lowest impact method of carbon water inefficient grass replacement such as sheet mulching.
10961.
The program created pursuant to this part shall contain the following three elements:
(a) A residential water inefficient grass replacement rebate program that provides financial incentives for the installation of water efficient landscape improvements.
(b) A jobs program.
(c) Public education for landscaping with the watershed approach in collaboration with local agencies.
10962.
The Water Efficient Landscaping Fund is hereby created in the State Treasury. Moneys in the fund are available, upon appropriation by the Legislature, to the department for the following purposes:
(a)  Water inefficient grass replacement of up to two dollars ($2) per square foot.
(b) The purchase of tools, plants, soil, mulch, water efficient irrigation technologies, and materials necessary to install water-efficient landscapes and irrigation systems.
(c) Grants to local conservation corps certified by the California Conservation Corps for projects that promote the use of recycled organics, compost, and mulch, including, but not limited to, the following:
(1) Projects that protect green spaces and urban canopies in disadvantaged and low-income communities from the threat of drought, including, but not limited to, those communities identified by the California Environmental Protection Agency’s screening tool, CalEnviroScreen 2.0.
(2) Projects that include water efficient landscape improvements and projects that develop drought-resistant or rain garden plantscapes for families that qualify for the state Low-Income Home Energy Assistance Program.
(3) Projects that develop community healthy food gardens and landscapes.
(d) Administration of this part.
10963.
In creating the program pursuant to this part, the department shall consider the following:
(a) That landscapes be designed for capture and infiltration capacity that is sufficient to prevent runoff to impervious surfaces and help prevent flooding.
(b) The grading of impervious surfaces such as driveways during construction to drain to vegetated areas.
(c) That the area of impervious surfaces, including, but not limited to, paved areas, roofs, and concrete driveways, be minimized.
(d) Incorporation of pervious and porous surfaces that minimize runoff, including, but not limited to, permeable pavers or blocks, or pervious or porous concrete.
(e) Directing runoff from paved surfaces and roof areas into planting beds and landscaped areas to maximize site water capture and reuse.
(f) Incorporation of rain gardens, cisterns, and other rain harvesting or catchment systems.
(g) Incorporation of infiltration beds, swales, basins, and dry wells to capture stormwater and dry weather runoff and to increase percolation in the soil.
(h) Encouraging the use of constructed wetlands and ponds that retain water, equalize excess flow, and filter pollutants.
(i) Education as a critical component to promote the efficient use of water in landscapes.
(j) Encouraging the use of appropriate principles of design, installation, management, and maintenance that save water.
(k) Incentivizing the participation in water inefficient grass replacement programs by disadvantaged communities in drought relief areas.
(l) Prioritizing the participation in water inefficient grass replacement programs for families that qualify for the Low-Income Home Energy Assistance Program.
(m) Equity and fairness statewide in reimbursement rates for water inefficient grass replacement programs.
(n) Program design that maximizes greenhouse gas emissions reductions of the water inefficient grass replacement projects.
(o) Incentivizing installation of graywater systems that conform with the California Plumbing Code (Part 5 of Title 24 of the California Code of Regulations).
10964.
In carrying out the program pursuant to this part, the department may use the services of the California Conservation Corps or certified community conservation corps, as defined in Section 14507.5 of the Public Resources Code.
10965.
The following requirements apply to a project that receives a grant pursuant to Section 10962:
(a) The project shall use compost and mulch from recycled organic materials that maximize greenhouse gas emissions reductions.
(b) The project shall leverage local, state, and federal funds.
(c) The department shall give priority to projects that would aid community green spaces and urban canopies at the greatest risk from drought and climate impacts.

Summary: The California Constitution requires that the water resources of the state be put to beneficial use to the fullest extent of which they are capable and that the waste or unreasonable use or unreasonable method of use of water be prevented. Existing law, the Water Conservation in Landscaping Act, requires the Department of Water Resources to update its model water-efficient landscape ordinance by regulation and prescribes various requirements for the updated model ordinance. Existing law requires each local agency to adopt either the updated model water-efficient landscape ordinance or an ordinance that is at least as effective in conserving water as the updated model ordinance. If the local agency does not make a selection, the model ordinance shall apply within the jurisdiction of the local agency. This bill would require the department , upon identification of a funding source, to create the California Water Efficient Landscaping Program for the purpose of encouraging local agencies and water purveyors to use economic incentives that promote the efficient use of water, promote the benefits of consistent landscape ordinances, and support and enhance water inefficient grass replacement. This bill would create the Water Efficient Landscaping Fund and provide that moneys in the fund are available, upon appropriation by the Legislature, to the department for certain purposes.

An act to add Part 2.13 (commencing with Section 10960) to Division 6 of the Water Code, relating to water.


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

SECTION 1.
Section 1793.2 of the Civil Code is amended to read:
1793.2.
(a) Every manufacturer of consumer goods sold in this state and for which the manufacturer has made an express warranty shall:
(1) (A) Maintain in this state sufficient service and repair facilities reasonably close to all areas where its consumer goods are sold to carry out the terms of those warranties or designate and authorize in this state as service and repair facilities independent repair or service facilities reasonably close to all areas where its consumer goods are sold to carry out the terms of the warranties.
(B) As a means of complying with this paragraph, a manufacturer may enter into warranty service contracts with independent service and repair facilities. The warranty service contracts may provide for a fixed schedule of rates to be charged for warranty service or warranty repair work. However, the rates fixed by those contracts shall be in conformity with the requirements of subdivision (c) of Section 1793.3. The rates established pursuant to subdivision (c) of Section 1793.3, between the manufacturer and the independent service and repair facility, do not preclude a good faith discount that is reasonably related to reduced credit and general overhead cost factors arising from the manufacturer’s payment of warranty charges direct to the independent service and repair facility. The warranty service contracts authorized by this paragraph may not be executed to cover a period of time in excess of one year, and may be renewed only by a separate, new contract or letter of agreement between the manufacturer and the independent service and repair facility.
(2) In the event of a failure to comply with paragraph (1) of this subdivision, be subject to Section 1793.5.
(3) Make available to authorized service and repair facilities sufficient service literature and replacement parts to effect repairs during the express warranty period.
(b) Where those service and repair facilities are maintained in this state and service or repair of the goods is necessary because they do not conform with the applicable express warranties, service and repair shall be commenced within a reasonable time by the manufacturer or its representative in this state. Unless the buyer agrees in writing to the contrary, the goods shall be serviced or repaired so as to conform to the applicable warranties within 30 days. Delay caused by conditions beyond the control of the manufacturer or its representatives shall serve to extend this 30-day requirement. Where delay arises, conforming goods shall be tendered as soon as possible following termination of the condition giving rise to the delay.
(c) The buyer shall deliver nonconforming goods to the manufacturer’s service and repair facility within this state, unless, due to reasons of size and weight, or method of attachment, or method of installation, or nature of the nonconformity, delivery cannot reasonably be accomplished. If the buyer cannot return the nonconforming goods for any of these reasons, he or she shall notify the manufacturer or its nearest service and repair facility within the state. Written notice of nonconformity to the manufacturer or its service and repair facility shall constitute return of the goods for purposes of this section. Upon receipt of that notice of nonconformity, the manufacturer shall, at its option, service or repair the goods at the buyer’s residence, or pick up the goods for service and repair, or arrange for transporting the goods to its service and repair facility. All reasonable costs of transporting the goods when a buyer cannot return them for any of the above reasons shall be at the manufacturer’s expense. The reasonable costs of transporting nonconforming goods after delivery to the service and repair facility until return of the goods to the buyer shall be at the manufacturer’s expense.
(d) (1) Except as provided in paragraph (2), if the manufacturer or its representative in this state does not service or repair the goods to conform to the applicable express warranties after a reasonable number of attempts, the manufacturer shall either replace the goods or reimburse the buyer in an amount equal to the purchase price paid by the buyer, less that amount directly attributable to use by the buyer prior to the discovery of the nonconformity.
(2) If the manufacturer or its representative in this state is unable to service or repair a new motor vehicle, as that term is defined in paragraph (2) of subdivision (e) of Section 1793.22, to conform to the applicable express warranties after a reasonable number of attempts, the manufacturer shall either promptly replace the new motor vehicle in accordance with subparagraph (A) or promptly make restitution to the buyer in accordance with subparagraph (B). However, the buyer shall be free to elect restitution in lieu of replacement, and in no event shall the buyer be required by the manufacturer to accept a replacement vehicle.
(A) In the case of replacement, the manufacturer shall replace the buyer’s vehicle with a new motor vehicle substantially identical to the vehicle replaced. The replacement vehicle shall be accompanied by all express and implied warranties that normally accompany new motor vehicles of that specific kind. The manufacturer also shall pay for, or to, the buyer the amount of any sales or use tax, license fees, registration fees, and other official fees which the buyer is obligated to pay in connection with the replacement, plus any incidental damages to which the buyer is entitled under Section 1794, including, but not limited to,
the lesser of
reasonable repair, towing, and rental car costs
and those costs
actually incurred by the buyer.
(B) In the case of restitution, the manufacturer shall make restitution in an amount equal to the actual price paid or payable by the buyer, including any charges for transportation and manufacturer-installed options, but excluding nonmanufacturer items installed by a dealer or the buyer, and including any collateral charges such as sales or use tax, license fees, registration fees, and other official fees, plus any incidental damages to which the buyer is entitled under Section 1794, including, but not limited to, reasonable repair, towing, and rental car costs actually incurred by the buyer.
(C) When the manufacturer replaces the new motor vehicle pursuant to subparagraph (A), the buyer shall only be liable to pay the manufacturer an amount directly attributable to use by the buyer of the replaced vehicle prior to the time the buyer first delivered the vehicle to the manufacturer or distributor, or its authorized service and repair facility for correction of the problem that gave rise to the nonconformity. When restitution is made pursuant to subparagraph (B), the amount to be paid by the manufacturer to the buyer may be reduced by the manufacturer by that amount directly attributable to use by the buyer prior to the time the buyer first delivered the vehicle to the manufacturer or distributor, or its authorized service and repair facility for correction of the problem that gave rise to the nonconformity. The amount directly attributable to use by the buyer shall be determined by multiplying the actual price of the new motor vehicle paid or payable by the buyer, including any charges for transportation and manufacturer-installed options, by a fraction having as its denominator 120,000 and having as its numerator the number of miles traveled by the new motor vehicle prior to the time the buyer first delivered the vehicle to the manufacturer or distributor, or its authorized service and repair facility for correction of the problem that gave rise to the nonconformity. Nothing in this paragraph shall in any way limit the rights or remedies available to the buyer under any other law.
(D) Pursuant to Section 1795.4, a buyer of a new motor vehicle shall also include a lessee of a new motor vehicle.
(e) (1) If the goods cannot practicably be serviced or repaired by the manufacturer or its representative to conform to the applicable express warranties because of the method of installation or because the goods have become so affixed to real property as to become a part thereof, the manufacturer shall either replace and install the goods or reimburse the buyer in an amount equal to the purchase price paid by the buyer, including installation costs, less that amount directly attributable to use by the buyer prior to the discovery of the nonconformity.
(2) With respect to claims arising out of deficiencies in the construction of a new residential dwelling, paragraph (1) shall not apply to either of the following:
(A) A product that is not a manufactured product, as defined in subdivision (g) of Section 896.
(B) A claim against a person or entity that is not the manufacturer that originally made the express warranty for that manufactured product.
SECTION 1.
Section 1793.22 of the
Civil Code
is amended to read:
1793.22.
(a)This section shall be known, and may be cited as, the Tanner Consumer Protection Act.
(b)It shall be presumed that a reasonable number of attempts have been made to conform a new motor vehicle to the applicable express warranties if, within 18 months from delivery to the buyer or 18,000 miles on the odometer of the vehicle, whichever occurs first, one or more of the following conditions occur:
(1)The same nonconformity results in a condition that is likely to cause death or serious bodily injury if the vehicle is driven and the nonconformity has been subject to repair two or more times by the manufacturer or its agents, and the buyer or lessee has at least once directly notified the manufacturer of the need for the repair of the nonconformity.
(2)The same nonconformity has been subject to repair four or more times by the manufacturer or its agents and the buyer has at least once directly notified the manufacturer of the need for the repair of the nonconformity.
(3)The vehicle is out of service by reason of repair of nonconformities by the manufacturer or its agents for a cumulative total of more than 30 calendar days since delivery of the vehicle to the buyer. The 30-day limit shall be extended only if repairs cannot be performed due to conditions beyond the control of the manufacturer or its agents. The buyer shall be required to directly notify the manufacturer pursuant to paragraphs (1) and (2) only if the manufacturer has clearly and conspicuously disclosed to the buyer, with the warranty or the owner’s manual, the provisions of this section and that of subdivision (d) of Section 1793.2, including the requirement that the buyer must notify the manufacturer directly pursuant to paragraphs (1) and (2). The notification, if required, shall be sent to the address, if any, specified clearly and conspicuously by the manufacturer in the warranty or owner’s manual. This presumption shall be a rebuttable presumption affecting the burden of proof, and it may be asserted by the buyer in any civil action, including an action in small claims court, or other formal or informal proceeding.
(c)If a qualified third-party dispute resolution process exists, and the buyer receives timely notification in writing of the availability of that qualified third-party dispute resolution process with a description of its operation and effect, the presumption in subdivision (b) may not be asserted by the buyer until after the buyer has initially resorted to the qualified third-party dispute resolution process as required in subdivision (d). Notification of the availability of the qualified third-party dispute resolution process is not timely if the buyer suffers any prejudice resulting from any delay in giving the notification. If a qualified third-party dispute resolution process does not exist, or if the buyer is dissatisfied with that third-party decision, or if the manufacturer or its agent neglects to promptly fulfill the terms of the qualified third-party dispute resolution process decision after the decision is accepted by the buyer, the buyer may assert the presumption provided in subdivision (b) in an action to enforce the buyer’s rights under subdivision (d) of Section 1793.2. The findings and decision of a qualified third-party dispute resolution process shall be admissible in evidence in the action without further foundation. Any period of limitation of actions under any federal or California laws with respect to any person shall be extended for a period equal to the number of days between the date a complaint is filed with a third-party dispute resolution process and the date of its decision or the date before which the manufacturer or its agent is required by the decision to fulfill its terms if the decision is accepted by the buyer, whichever occurs later.
(d)A qualified third-party dispute resolution process shall be one that does all of the following:
(1)Complies with the minimum requirements of the Federal Trade Commission for informal dispute settlement procedures as set forth in Part 703 of Title 16 of the Code of Federal Regulations, as those regulations read on January 1, 1987.
(2)Renders decisions which are binding on the manufacturer if the buyer elects to accept the decision.
(3)Prescribes a reasonable time, not to exceed 30 days after the decision is accepted by the buyer, within which the manufacturer or its agent must fulfill the terms of its decisions.
(4)Provides arbitrators who are assigned to decide disputes with copies of, and instruction in, the provisions of the Federal Trade Commission’s regulations in Part 703 of Title 16 of the Code of Federal Regulations as those regulations read on January 1, 1987, Division 2 (commencing with Section 2101) of the Commercial Code, and this chapter.
(5)Requires the manufacturer, when the process orders, under the terms of this chapter, either that the nonconforming motor vehicle be replaced if the buyer consents to this remedy or that restitution be made to the buyer, to replace the motor vehicle or make restitution in accordance with paragraph (2) of subdivision (d) of Section 1793.2.
(6)Provides, at the request of the arbitrator or a majority of the arbitration panel, for an inspection and written report on the condition of a nonconforming motor vehicle, at no cost to the buyer, by an automobile expert who is independent of the manufacturer.
(7)Takes into account, in rendering decisions, all legal and equitable factors, including, but not limited to, the written warranty, the rights and remedies conferred in regulations of the Federal Trade Commission contained in Part 703 of Title 16 of the Code of Federal Regulations as those regulations read on January 1, 1987, Division 2 (commencing with Section 2101) of the Commercial Code, this chapter, and any other equitable considerations appropriate in the circumstances. Nothing in this chapter requires that, to be certified as a qualified third-party dispute resolution process pursuant to this section, decisions of the process must consider or provide remedies in the form of awards of punitive damages or multiple damages, under subdivision (c) of Section 1794, or of attorneys’ fees under subdivision (d) of Section 1794, or of consequential damages other than as provided in subdivisions (a) and (b) of Section 1794, including, but not limited to, reasonable repair, towing, and rental car costs actually incurred by the buyer.
(8)Requires that no arbitrator deciding a dispute may be a party to the dispute and that no other person, including an employee, agent, or dealer for the manufacturer, may be allowed to participate substantively in the merits of any dispute with the arbitrator unless the buyer is allowed to participate also. Nothing in this subdivision prohibits any member of an arbitration board from deciding a dispute.
(9)Obtains and maintains certification by the Department of Consumer Affairs pursuant to Chapter 9 (commencing with Section 472) of Division 1 of the Business and Professions Code.
(e)For the purposes of subdivision (d) of Section 1793.2 and this section, the following terms have the following meanings:
(1)“Nonconformity” means a nonconformity which substantially impairs the use, value, or safety of the new motor vehicle to the buyer or lessee.
(2)“New motor vehicle” means a new motor vehicle that is bought or used primarily for personal, family, or household purposes. “New motor vehicle” also means a new motor vehicle with a gross vehicle weight under 10,000 pounds that is bought or used primarily for business purposes by a person, including a partnership, limited liability company, corporation, association, or any other legal entity, to which not more than five motor vehicles are registered in this state. “New motor vehicle” includes the chassis, chassis cab, and that portion of a motor home devoted to its propulsion, but does not include any portion designed, used, or maintained primarily for human habitation, a dealer-owned vehicle and a “demonstrator” or other motor vehicle sold with a manufacturer’s new car warranty but does not include a motorcycle or a motor vehicle which is not registered under the Vehicle Code because it is to be operated or used exclusively off the highways. A demonstrator is a vehicle assigned by a dealer for the purpose of demonstrating qualities and characteristics common to vehicles of the same or similar model and type.
(3)“Motor home” means a vehicular unit built on, or permanently attached to, a self-propelled motor vehicle chassis, chassis cab, or van, which becomes an integral part of the completed vehicle, designed for human habitation for recreational or emergency occupancy.
(f)(1)Except as provided in paragraph (2), no person shall sell, either at wholesale or retail, lease, or transfer a motor vehicle transferred by a buyer or lessee to a manufacturer pursuant to paragraph (2) of subdivision (d) of Section 1793.2 or a similar statute of any other state, unless the nature of the nonconformity experienced by the original buyer or lessee is clearly and conspicuously disclosed to the prospective buyer, lessee, or transferee, the nonconformity is corrected, and the manufacturer warrants to the new buyer, lessee, or transferee in writing for a period of one year that the motor vehicle is free of that nonconformity.
(2)Except for the requirement that the nature of the nonconformity be disclosed to the transferee, paragraph (1) does not apply to the transfer of a motor vehicle to an educational institution if the purpose of the transfer is to make the motor vehicle available for use in automotive repair courses.

Summary: Existing law requires a manufacturer of consumer goods sold in this state for which the manufacturer has made an express warranty to maintain sufficient service and repair facilities reasonably close where its goods are sold to carry out the terms of those warranties or to designate and authorize independent repair or service facilities to fulfill this purpose. Existing law requires a manufacturer that is unable to service or repair a new motor vehicle to conform to the express warranties after a reasonable number of attempts to replace the vehicle or promptly make restitution. Existing law requires a manufacturer, in the case of a replacement, to also pay other specified costs, including reasonable repair, towing, and rental car costs actually incurred by the buyer. This bill, in the case of a new motor vehicle replacement as described above, would require the manufacturer to pay the lesser of reasonable repair, towing, and rental car costs and those costs actually incurred by the buyer. Existing law, the Tanner Consumer Protection Act, establishes a presumption that a reasonable number of attempts have been made to conform a new motor vehicle to the applicable express warranties if, within 18 months from delivery or 18,000 miles on the odometer, whichever occurs first, one or more conditions occur. This bill would make nonsubstantive changes to these provisions.

An act to amend Section
1793.22
1793.2
of the Civil Code, relating to consumer protection.


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

SECTION 1.
Section 226 of the Labor Code is amended to read:
226.
(a) An employer, semimonthly or at the time of each payment of wages, shall furnish to his or her employee, either as a detachable part of the check, draft, or voucher paying the employee’s wages, or separately if wages are paid by personal check or cash, an accurate itemized statement in writing showing (1) gross wages earned, (2) total hours worked by the employee, except as provided in subdivision (j), (3) the number of piece-rate units earned and any applicable piece rate if the employee is paid on a piece-rate basis, (4) all deductions, provided that all deductions made on written orders of the employee may be aggregated and shown as one item, (5) net wages earned, (6) the inclusive dates of the period for which the employee is paid, (7) the name of the employee and only the last four digits of his or her social security number or an employee identification number other than a social security number, (8) the name and address of the legal entity that is the employer and, if the employer is a farm labor contractor, as defined in subdivision (b) of Section 1682, the name and address of the legal entity that secured the services of the employer, and (9) all applicable hourly rates in effect during the pay period and the corresponding number of hours worked at each hourly rate by the employee and, beginning July 1, 2013, if the employer is a temporary services employer as defined in Section 201.3, the rate of pay and the total hours worked for each temporary services assignment. The deductions made from payment of wages shall be recorded in ink or other indelible form, properly dated, showing the month, day, and year, and a copy of the statement and the record of the deductions shall be kept on file by the employer for at least three years at the place of employment or at a central location within the State of California. For purposes of this subdivision, “copy” includes a duplicate of the itemized statement provided to an employee or a computer-generated record that accurately shows all of the information required by this subdivision.
(b) An employer that is required by this code or any regulation adopted pursuant to this code to keep the information required by subdivision (a) shall afford current and former employees the right to inspect or copy records pertaining to their employment, upon reasonable request to the employer. The employer may take reasonable steps to ensure the identity of a current or former employee. If the employer provides copies of the records, the actual cost of reproduction may be charged to the current or former employee.
(c) An employer who receives a written or oral request to inspect or copy records pursuant to subdivision (b) pertaining to a current or former employee shall comply with the request as soon as practicable, but no later than 21 calendar days from the date of the request. A violation of this subdivision is an infraction. Impossibility of performance, not caused by or a result of a violation of law, shall be an affirmative defense for an employer in any action alleging a violation of this subdivision. An employer may designate the person to whom a request under this subdivision will be made.
(d) This section does not apply to any employer of any person employed by the owner or occupant of a residential dwelling whose duties are incidental to the ownership, maintenance, or use of the dwelling, including the care and supervision of children, or whose duties are personal and not in the course of the trade, business, profession, or occupation of the owner or occupant.
(e) (1) An employee suffering injury as a result of a knowing and intentional failure by an employer to comply with subdivision (a) is entitled to recover the greater of all actual damages or fifty dollars ($50) for the initial pay period in which a violation occurs and one hundred dollars ($100) per employee for each violation in a subsequent pay period, not to exceed an aggregate penalty of four thousand dollars ($4,000), and is entitled to an award of costs and reasonable attorney’s fees.
(2) (A) An employee is deemed to suffer injury for purposes of this subdivision if the employer fails to provide a wage statement.
(B) An employee is deemed to suffer injury for purposes of this subdivision if the employer fails to provide accurate and complete information as required by any one or more of items (1) to (9), inclusive, of subdivision (a) and the employee cannot promptly and easily determine from the wage statement alone one or more of the following:
(i) The amount of the gross wages or net wages paid to the employee during the pay period or any of the other information required to be provided on the itemized wage statement pursuant to items (2) to (4), inclusive, (6), and (9) of subdivision (a).
(ii) Which deductions the employer made from gross wages to determine the net wages paid to the employee during the pay period. Nothing in this subdivision alters the ability of the employer to aggregate deductions consistent with the requirements of item (4) of subdivision (a).
(iii) The name and address of the employer and, if the employer is a farm labor contractor, as defined in subdivision (b) of Section 1682, the name and address of the legal entity that secured the services of the employer during the pay period.
(iv) The name of the employee and only the last four digits of his or her social security number or an employee identification number other than a social security number.
(C) For purposes of this paragraph, “promptly and easily determine” means a reasonable person would be able to readily ascertain the information without reference to other documents or information.
(3) For purposes of this subdivision, a “knowing and intentional failure” does not include an isolated and unintentional payroll error due to a clerical or inadvertent mistake. In reviewing for compliance with this section, the factfinder may consider as a relevant factor whether the employer, prior to an alleged violation, has adopted and is in compliance with a set of policies, procedures, and practices that fully comply with this section.
(f) A failure by an employer to permit a current or former employee to inspect or copy records within the time set forth in subdivision (c) entitles the current or former employee or the Labor Commissioner to recover a seven-hundred-fifty-dollar ($750) penalty from the employer.
(g) The listing by an employer of the name and address of the legal entity that secured the services of the employer in the itemized statement required by subdivision (a) shall not create any liability on the part of that legal entity.
(h) An employee may also bring an action for injunctive relief to ensure compliance with this section, and is entitled to an award of costs and reasonable attorney’s fees.
(i) This section does not apply to the state, to any city, county, city and county, district, or to any other governmental entity, except that if the state or a city, county, city and county, district, or other governmental entity furnishes its employees with a check, draft, or voucher paying the employee’s wages, the state or a city, county, city and county, district, or other governmental entity shall use no more than the last four digits of the employee’s social security number or shall use an employee identification number other than the social security number on the itemized statement provided with the check, draft, or voucher.
(j) An itemized wage statement furnished by an employer pursuant to subdivision (a) shall not be required to show total hours worked by the employee if any of the following apply:
(1) The employee’s compensation is solely based on salary and the employee is exempt from payment of overtime under subdivision (a) of Section 515 or any applicable order of the Industrial Welfare Commission.
(2) The employee is exempt from the payment of minimum wage and overtime under any of the following:
(A) The exemption for persons employed in an executive, administrative, or professional capacity provided in any applicable order of the Industrial Welfare Commission.
(B) The exemption for outside salespersons provided in any applicable order of the Industrial Welfare Commission.
(C) The overtime exemption for computer software professionals paid on a salaried basis provided in Section 515.5.
(D) The exemption for individuals who are the parent, spouse, child, or legally adopted child of the employer provided in any applicable order of the Industrial Welfare Commission.
(E) The exemption for participants, director, and staff of a live-in alternative to incarceration rehabilitation program with special focus on substance abusers provided in Section 8002 of the Penal Code.
(F) The exemption for any crew member employed on a commercial passenger fishing boat licensed pursuant to Article 5 (commencing with Section 7920) of Chapter 1 of Part 3 of Division 6 of the Fish and Game Code provided in any applicable order of the Industrial Welfare Commission.
(G) The exemption for any individual participating in a national service program provided in any applicable order of the Industrial Welfare Commission.

Summary: Existing law requires an employer to provide his or her employee an accurate itemized statement in writing containing specified information, either semimonthly or at the time the employer pays the employee his or her wages. That specified information includes showing total hours worked by the employee, unless the employee’s compensation is solely based on a salary and the employee is exempt from payment of overtime under a specified statute or any applicable order of the Industrial Welfare Commission. This bill would additionally exempt from that requirement for information on total work hours an employee exempt from payment of minimum wage and overtime under specified statutes or any applicable order of the Industrial Welfare Commission.

An act to amend Section 226 of the Labor Code, relating to wages.


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

SECTION 1.
Section 48204 of the Education Code, as amended by Section 1.5 of Chapter 554 of the Statutes of 2015, is amended to read:
48204.
(a) Notwithstanding Section 48200, a pupil complies with the residency requirements for school attendance in a school district, if he or she is any of the following:
(1) (A) A pupil placed within the boundaries of that school district in a regularly established licensed children’s institution, or a licensed foster home, or a family home pursuant to a commitment or placement under Chapter 2 (commencing with Section 200) of Part 1 of Division 2 of the Welfare and Institutions Code.
(B) An agency placing a pupil in a home or institution described in subparagraph (A) shall provide evidence to the school that the placement or commitment is pursuant to law.
(2) A pupil who is a foster child who remains in his or her school of origin pursuant to subdivisions (f) and (g) of Section 48853.5.
(3) A pupil for whom interdistrict attendance has been approved pursuant to Chapter 5 (commencing with Section 46600) of Part 26.
(4) A pupil whose residence is located within the boundaries of that school district and whose parent or legal guardian is relieved of responsibility, control, and authority through emancipation.
(5) A pupil who lives in the home of a caregiving adult that is located within the boundaries of that school district. Execution of an affidavit under penalty of perjury pursuant to Part 1.5 (commencing with Section 6550) of Division 11 of the Family Code by the caregiving adult is a sufficient basis for a determination that the pupil lives in the home of the caregiver, unless the school district determines from actual facts that the pupil is not living in the home of the caregiver.
(6) A pupil residing in a state hospital located within the boundaries of that school district.
(7) A pupil whose parent or legal guardian resides outside of the boundaries of that school district but is employed and lives with the pupil at the place of his or her employment within the boundaries of the school district for a minimum of three days during the school week.
(b) (1) A school district may deem a pupil to have complied with the residency requirements for school attendance in the school district if at least one parent or the legal guardian of the pupil is physically employed within the boundaries of that school district for a minimum of 10 hours during the school week.
(2) This subdivision does not require the school district within which at least one parent or the legal guardian of a pupil is employed to admit the pupil to its schools. A school district shall not, however, refuse to admit a pupil under this subdivision on the basis, except as expressly provided in this subdivision, of race, ethnicity, sex, parental income, scholastic achievement, or any other arbitrary consideration.
(3) The school district in which the residency of either the parents or the legal guardian of the pupil is established, or the school district to which the pupil is to be transferred under this subdivision, may prohibit the transfer of the pupil under this subdivision if the governing board of the school district determines that the transfer would negatively impact the court-ordered or voluntary desegregation plan of the school district.
(4) The school district to which the pupil is to be transferred under this subdivision may prohibit the transfer of the pupil if the school district determines that the additional cost of educating the pupil would exceed the amount of additional state aid received as a result of the transfer.
(5) The governing board of a school district that prohibits the transfer of a pupil pursuant to paragraph (2), (3), or (4) is encouraged to identify, and communicate in writing to the parents or the legal guardian of the pupil, the specific reasons for that determination and is encouraged to ensure that the determination, and the specific reasons for the determination, are accurately recorded in the minutes of the board meeting in which the determination was made.
(6) The average daily attendance for pupils admitted pursuant to this subdivision is calculated pursuant to Section 46607.
(7) Unless approved by the sending school district, this subdivision does not authorize a net transfer of pupils out of a school district, calculated as the difference between the number of pupils exiting the school district and the number of pupils entering the school district, in a fiscal year in excess of the following amounts:
(A) For a school district with an average daily attendance for that fiscal year of less than 501, 5 percent of the average daily attendance of the school district.
(B) For a school district with an average daily attendance for that fiscal year of 501 or more, but less than 2,501, 3 percent of the average daily attendance of the school district or 25 pupils, whichever amount is greater.
(C) For a school district with an average daily attendance of 2,501 or more, 1 percent of the average daily attendance of the school district or 75 pupils, whichever amount is greater.
(8) Once a pupil is deemed to have complied with the residency requirements for school attendance pursuant to this subdivision and is enrolled in a school in a school district the boundaries of which include the location where at least one parent or the legal guardian of a pupil is physically employed, the pupil does not have to reapply in the next school year to attend a school within that school district and the governing board of the school district shall allow the pupil to attend school through grade 12 in that school district if the parent or legal guardian so chooses and if at least one parent or the legal guardian of the pupil continues to be physically employed by an employer situated within the attendance boundaries of the school district, subject to paragraphs (2) to (7), inclusive.
SEC. 2.
Section 48204 of the Education Code, as amended by Section 2.5 of Chapter 554 of the Statutes of 2015, is repealed.

Summary: Existing law provides that a pupil is deemed to have complied with the residency requirements for school attendance in a school district if the pupil satisfies one of the specified requirements. Until July 1, 2017, existing law authorizes a school district within the boundaries of which at least one parent or the legal guardian of a pupil is physically employed for a minimum of 10 hours during the school week to allow that pupil to attend a school in that school district through grade 12 if the parent or legal guardian of the pupil so chooses and if the parent or legal guardian of the pupil continues to be physically employed by an employer situated within the attendance boundaries of the school district. This bill would indefinitely extend the operation of the provision authorizing the school district within the boundaries of which a parent or legal guardian of a pupil is physically employed for a minimum of 10 hours during the school week to allow that pupil to attend a school in that school district.

An act to amend and repeal Section 48204 of the Education Code, relating to pupils.


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

SECTION 1.
This act shall be known, and may be cited
, as
the Access to Angel Investors Act.
SEC. 2.
It is the intent of the Legislature that this act
improve access to capital.
SECTION 1.
SEC. 3.
Section 17941 of the Revenue and Taxation Code is amended to read:
17941.
(a) For each taxable year beginning on or after January 1, 1997, a limited liability company doing business in this state, as defined in Section 23101, shall pay annually to this state a tax for the privilege of doing business in this state in an amount equal to the applicable amount specified in paragraph (1) of subdivision (d) of Section 23153 for the taxable year.
(b) (1) In addition to any limited liability company that is doing business in this state and is therefore subject to the tax imposed by subdivision (a), for each taxable year beginning on or after January 1, 1997, a limited liability company shall pay annually the tax prescribed in subdivision (a) if articles of organization have been accepted, or a certificate of registration has been issued, by the office of the Secretary of State. The tax shall be paid for each taxable year, or part thereof, until a certificate of cancellation of registration or of articles of organization is filed on behalf of the limited liability company with the office of the Secretary of State.
(2) If a taxpayer files a return with the Franchise Tax Board that is designated as its final return, the Franchise Tax Board shall notify the taxpayer that the annual tax shall continue to be due annually until a certificate of dissolution is filed with the Secretary of State pursuant to Section 17707.08 of the Corporations Code or a certificate of cancellation is filed with the Secretary of State pursuant to Section 17708.06 of the Corporations Code.
(c) The tax assessed under this section shall be due and payable on or before the 15th day of the fourth month of the taxable year.
(d) (1) Except as provided in paragraph (2), for purposes of this section, a “limited liability company” means an organization that is formed by one or more persons under the law of this state, any other country, or any other state, as a “limited liability company” and that is not taxable as a corporation for California tax purposes.
(2) Notwithstanding subdivisions (a) and (b), a limited liability company is not subject to the tax imposed under this section if either of the following applies:
(A) The limited liability company is exempt from the tax and fees imposed under this chapter pursuant to Section 23701h or 23701x.
(B) (i)
The
For each taxable year beginning before January 1, 2020, the
limited liability company is a qualified investment partnership.
(ii) For purposes of this subparagraph, a “qualified investment partnership” means a limited liability company that meets all of the following requirements:
(I) It is classified as a partnership for California income tax purposes.
(II) No less than 90 percent of the costs of its total assets consist of qualifying investment securities, deposits at banks or other financial institutions, interest or investments in a partnership, or office space and equipment reasonably necessary to carry on its activities as a qualified investment partnership.
(III) No less than 90 percent of its gross income consists of interest, dividends, and gains from the sale or exchange of qualifying investment securities or investments in a partnership.
(iii) For purposes of this subparagraph, “qualifying investment securities” has the same meaning as that term is described in subparagraph (A) of paragraph (3) of subdivision (c) of Section 17955.
(iv) Notwithstanding Section 18633.5, the following rules shall apply with respect to the filing requirements of a qualified investment partnership.
(I) A qualified investment partnership required to file a federal return pursuant to Section 6031 of the Internal Revenue Code, relating to return of partnership income, shall file a partnership return pursuant to Section 18633 for that taxable year.
(II) A qualified investment partnership that is not required to file a federal return pursuant to Section 6031 of the Internal Revenue Code, relating to return of partnership income, shall file an information return as prescribed by the Franchise Tax Board for that taxable year.
(e) Notwithstanding anything in this section to the contrary, if the office of the Secretary of State files a certificate of cancellation pursuant to Section 17707.02 of the Corporations Code for any limited liability company, then paragraph (1) of subdivision (f) of Section 23153 shall apply to that limited liability company as if the limited liability company were properly treated as a corporation for that limited purpose only, and paragraph (2) of subdivision (f) of Section 23153 shall not apply. Nothing in this subdivision entitles a limited liability company to receive a reimbursement for any annual taxes or fees already paid.
(f) (1) Notwithstanding any provision of this section to the contrary, a limited liability company that is a small business solely owned by a deployed member of the United States Armed Forces shall not be subject to the tax imposed under this section for any taxable year the owner is deployed and the limited liability company operates at a loss or ceases operation.
(2) The Franchise Tax Board may promulgate regulations as necessary or appropriate to carry out the purposes of this subdivision, including a definition for “ceases operation.”
(3) For the purposes of this subdivision, all of the following definitions apply:
(A) “Deployed” means being called to active duty or active service during a period when a Presidential Executive order specifies that the United States is engaged in combat or homeland defense. “Deployed” does not include either of the following:
(i) Temporary duty for the sole purpose of training or processing.
(ii) A permanent change of station.
(B) “Operates at a loss” means a limited liability company’s expenses exceed its receipts.
(C) “Small business” means a limited liability company with total income from all sources derived from, or attributable to, the state of two hundred fifty thousand dollars ($250,000) or less.
(4) This subdivision shall become inoperative for taxable years beginning on or after January 1, 2018.
SEC. 2.
SEC. 4.
This act provides for a tax levy within the meaning of Article IV of the
California
Constitution and shall go into immediate effect.

Summary: Existing law imposes a minimum franchise tax of $800, except as provided, on every corporation incorporated in this state, qualified to transact intrastate business in this state, or doing business, as defined, in this state, and an annual tax in an amount equal to the minimum franchise tax on every limited liability company registered, qualified to transact business, or doing business in this state, as specified. Existing law requires every limited liability company subject to that annual tax to pay annually to this state a fee equal to specified amounts based upon total income from all sources attributable to this state. Existing law requires every partnership to file a return that includes specified information, verified by a written declaration made under the penalty of perjury and signed by one of the partners, within a specified time period. This bill bill, for each taxable year beginning before January 1, 2020, would exempt a limited liability company that is a qualified investment partnership, as defined, from that annual tax and fee by excluding it from the definition of a limited liability company. The bill would require that entity to submit a return under the conditions applicable to a partnership. This bill would take effect immediately as a tax levy.

An act to amend Section 17941 of the Revenue and Taxation Code, relating to taxation, to take effect immediately, tax levy.


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

SECTION 1.
Article 3 (commencing with Section 52053) is added to Chapter 6.1 of Part 28 of Division 4 of Title 2 of the Education Code, to read:
Article  3. Statewide Accountability System
52053.
(a) (1) It is the intent of the Legislature and purpose of this article to do all of the following:
(A) Establish a coherent, aligned local-state-federal accountability system that addresses state, local, parent, community, and public needs, as well as federal requirements.
(B) Ensure ambitious, statewide standards for performance and expectations for improvement that encourage continuous improvement and the closure of opportunity and achievement gaps.
(C) Establish a mechanism using multiple measures that meaningfully differentiates the performance of schools and identifies schools and local educational agencies in need of technical assistance, support, and intervention.
(2) It is further the intent of the Legislature that the accountability system continues to support and advance the framework established by the local control funding formula and California’s emphasis on continuous improvement, technical assistance, and support.
(b) For purposes of a statewide accountability system and to ensure alignment and fidelity with the state priorities established pursuant to Sections 52060 and 52066 and with federal law, the state board shall adopt a statewide accountability system that meets all of the following requirements:
(1) Is a single, integrated system that aligns local, state, and federal accountability requirements.
(2) Satisfies the accountability system requirements of the federal Elementary and Secondary Education Act of 1965 (20 U.S.C. Sec. 6301 et seq.), as amended by the Every Student Succeeds Act (Public Law 114-95).
(3) Aligns California’s local control framework, which is focused on identifying and supporting local educational agencies with the additional need to identify, support, and improve California’s highest need schools. In doing so, the state board shall do all of the following:
(A) Set clear, ambitious, statewide standards for performance and expectations for improvement toward each of the key indicators described in paragraph (4) for pupils overall and for each numerically significant subgroup, as identified in Section 52052. To comply with federal law, these improvement standards shall be differentiated by subgroup so that subgroups that start off at lower performance levels make greater growth to achieve the statewide standards.
(B) Establish a mechanism to meaningfully differentiate the performance of all public schools, to identify local educational agencies for purposes of Sections 52071, 52071.5, 52072, and 52072.5 on an annual basis based on outcomes for all pupils and for each subgroup of pupils using the multiple measures identified in paragraph (4), and to do all of the following:
(i) Distinguish multiple levels of performance for purposes of continuous improvement, transparency, meaningful stakeholder engagement, recognition, and support, including the identification of the following:
(I) Not less than the lowest-performing 5 percent of all schools receiving federal Title I funds and all public high schools in the state failing to graduate one-third or more of their pupils.
(II) All schools in which any subgroup of pupils is consistently underperforming, as determined by the state board, based on all of the indicators identified in paragraph (4) and the system established pursuant this section.
(III) All schools where any one subgroup of pupils, on its own, would lead that school to be in the lowest 5 percent of schools for pupils overall.
(ii) Support parents and guardians in making informed school decisions on behalf of their children.
(iii) Enable school districts, county offices of education, the department, and the California Collaborative for Educational Excellence to identify schools for recognition, support, and assistance and ensure that support and assistance is provided to at least those schools identified pursuant to clause (i).
(C) Comply with all notification, stakeholder engagement, school support, and improvement activities required by Section 1111(d) of the federal Every Student Succeeds Act (Public Law 114-95), and, to the extent required by state and federal law, ensure notifications of stakeholder engagement, school support, and improvement activities are translated in the top five languages as identified by the department.
(4) (A) Relies upon data from key indicators established pursuant to the evaluation rubrics adopted by the state board pursuant to Section 52064.5. At a minimum, for purposes of paragraph (3), those key indicators shall include, if not already included by the state board pursuant to Section 52064.5, all of the following:
(i) For elementary and middle schools:
(I) A measure of pupil achievement in at least English language arts, mathematics, and science.
(II) A measure of academic growth.
(III) A measure of progress toward English proficiency, including, but not limited to, data on the reclassification rates of English learners and long-term English learners when available.
(IV) A measure of chronic absenteeism.
(V) A measure of school climate.
(ii) For high schools:
(I) A measure of pupil achievement in at least English language arts, mathematics, and science.
(II) A measure of graduation rates.
(III) A measure of progress toward English proficiency, including, but not limited to, data on the reclassification rates of English learners and long-term English learners when available.
(IV) A measure of college and career readiness.
(V) A measure of chronic absenteeism.
(VI) A measure of school climate.
(B) This paragraph shall not be construed as to preclude the state board from including additional statewide measures that can be disaggregated by subgroup in the accountability system for purposes of meaningful differentiation of all schools or from grouping the measures into common clusters. Furthermore, it is the intent of the Legislature that the state will continue to use the evaluation rubrics established pursuant to Section 52064.5 and all indicators identified as state priorities established pursuant to Sections 52060 and 52066 and the subgroups identified pursuant to Section 52052 for purposes of continuous improvement and to guide the provision of technical assistance, support, and intervention.
(C) In order to comply with federal law, the academic indicators specified in subclauses (I) to (III), inclusive, of clauses (i) and (ii) of subparagraph (A) shall receive substantial weight and, in aggregate, much greater weight than is afforded to all other indicators.
(D) For purposes of paragraph (3), performance of subgroups shall receive substantial weight.
(5) Provides the California Collaborative for Educational Excellence established pursuant to Section 52074, county superintendents of schools, and the public with data to be used in a multitiered system of review and assistance. Notwithstanding the key indicators used for purposes of paragraph (3), in identifying appropriate assistance for a school or local educational agency, the California Collaborative for Educational Excellence and the county superintendents of schools shall analyze data aligned with all the state priorities established pursuant to Sections 52060 and 52066 in order to align the level of support, collaboration, and intervention to the needs of the local educational agency or individual school or schools.
(6) Ensures the creation of a data and reporting system that provides meaningful and accessible information on school and school district performance that is displayed through an electronic platform. Parents and the public shall have the ability to easily access, compare, analyze, and summarize school reports, pupil performance results, and the progress made by schools and school districts in reaching all of the state’s priority areas for purposes of local control and accountability plans and the local control funding formula. It is the intent of the Legislature to ensure that any Web-based data and analysis tools should enable all stakeholders to readily identify strengths and weaknesses, identify inequities between schools and subgroups of pupils across multiple measures, monitor academic achievement and improvement, provide for meaningful differentiation, as required by Section 1111(c)(4)(C) of the federal Every Student Succeeds Act (Public Law 114-95), and enable users to download data and reports in machine-readable formats. It is further the intent of the Legislature to ensure that, to the extent required by state and federal law, the information on school, school district, and subgroup performance be made available in the top five languages as identified by the department.
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.

Summary: Existing law required, on or before July 1, 2014, the governing boards of school districts and county boards of education to adopt a local control and accountability plan using a state template adopted by the State Board of Education. Existing law requires the local control and accountability plan to include, among other things, a description of annual goals for all pupils and specified subgroups of pupils to be achieved for each state priority, as specified, and a description of the specific actions the school district or county superintendent of schools will take to achieve those goals. Existing law requires the charter petition for a charter school to include those same elements. Existing law provides that an adopted local control and accountability plan is effective for 3 years and shall be updated annually on or before July 1. Existing law requires the state board, on or before October 1, 2016, to adopt evaluation rubrics to, among other things, assist a school district, county office of education, or charter school in evaluating its strengths, weaknesses, and areas that require improvement. Existing law establishes the California Collaborative for Educational Excellence for purposes of advising and assisting school districts, county superintendents of schools, and charter schools in achieving the goals set forth in a local control and accountability plan. This bill would, for purposes of a statewide accountability system and to ensure alignment and fidelity with the state priorities and federal law, require the state board to adopt a statewide accountability system that, among other things, is a single integrated system that aligns local, state, and federal accountability requirements. In identifying appropriate assistance for a school or local educational agency, the bill would require the California Collaborative for Educational Excellence and county superintendents of schools to analyze data aligned with all the state priorities in order to align the level of support, collaboration, and intervention to the needs of the local educational agency or individual school or schools. By imposing additional duties on county superintendents of schools, and to the extent this bill would impose additional duties on local educational agency officials, 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, 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 Article 3 (commencing with Section 52053) to Chapter 6.1 of Part 28 of Division 4 of Title 2 of the Education Code, relating to school accountability.


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

SECTION 1.
Article 60.6 (commencing with Section 20928) is added to Chapter 1 of Part 3 of Division 2 of the Public Contract Code, to read:
Article  60.6. Surface Storage Projects
20928.
The Legislature finds and declares that alternative project delivery, using the best value procurement methodology, has been authorized for various agencies that have reported benefits from those projects, including reduced project costs, expedited project start and completion, simplified project controls and accountability, and design features that are not achievable through the traditional design-bid-build method.
20928.1.
(a) A surface storage project identified in the CALFED Bay-Delta Program Record of Decision, dated August 28, 2000, that receives funding pursuant to Division 26.7 (commencing with Section 79700) of the Water Code may use, in addition to any other methods of project delivery otherwise allowable by irrigation districts, county water districts, or other similar water districts by law, the following methods of project delivery:
(1) Construction manager at-risk.
(2) Design-Build, including conventional, progressive, and target price.
(3) Design-build-operate.
(b) The contract shall be awarded on a best value basis or to the lowest responsible bidder.
20928.2.
The procurement process for the project shall progress as follows:
(a) The local agency shall prepare a set of documents setting forth the scope and estimated price of the project. The documents may include, but need not be limited to, the size, type, and desired design character of the project, performance specifications covering the quality of materials, equipment, workmanship, preliminary plans or building layouts, or any other information deemed necessary to describe adequately the local agency’s needs. The performance specifications and any plans shall be prepared by a design professional who is duly licensed and registered in California.
(b) The local agency shall prepare and issue a request for qualifications in order to prequalify or short-list the entities, including subcontractors and suppliers, whose bids shall be evaluated for final selection. The request for qualifications shall include, but need not be limited to, the following elements:
(1) Identification of the basic scope and needs of the project or contract, the expected cost range, the methodology that will be used by the local agency to evaluate bids, the procedure for final selection of the bidder, and any other information deemed necessary by the local agency to inform interested parties of the contracting opportunity.
(2) Significant factors that the local agency reasonably expects to consider in evaluating qualifications, including technical design-related expertise, construction expertise, acceptable safety records, and all other nonprice-related factors.
(3) A standard template request for statements of qualifications prepared by the local agency. In preparing the standard template, the local agency may consult with the construction industry, the building trades and surety industry, and other local agencies interested in using the authorization provided by this article. The template shall require all of the following information:
(A) If the bidder is a privately held corporation, limited liability company, partnership, or joint venture, comprised of privately-held entities, a listing of all of the shareholders, partners, or members known at the time of statement of qualification submission who will perform work on the project.
(B) Evidence that the members of the contracting team have completed, or demonstrated the experience, competency, capability, and capacity to complete, projects of similar size, scope, or complexity and that proposed key personnel have sufficient experience and training to competently manage and complete the project, and a financial statement that ensures that the bidder has the capacity to complete the project.
(C) The licenses, registration, and credentials required for the project, including, but not limited to, information on the revocation or suspension of any license, credential, or registration.
(D) Evidence that establishes that the bidder has the capacity to obtain all required payment and performance bonding, liability insurance, and errors and omissions insurance.
(E) Information concerning workers’ compensation experience history and a worker safety program.
(F) An acceptable safety record.“Safety record” means the prior history concerning the safe performance of construction contracts. The criteria used to evaluate a bidder’s safety record shall include, at a minimum, its experience modification rate for the most recent three-year period, and its average total recordable injury or illness rate and average lost work rate for the most recent three-year period.
(4) The information required under this subdivision shall be certified under penalty of perjury by the bidder and its general partners or joint venture members.
(c) A contracting entity shall not be prequalified or short-listed unless the entity provides an enforceable commitment to the local agency that the entity and its subcontractors will use a skilled and trained workforce to perform all work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.
(1) For purposes of this subdivision:
(A) “Apprenticeable occupation” means an occupation for which the chief had approved an apprenticeship program pursuant to Section 3075 of the Labor Code prior to January 1, 2014.
(B) “Skilled and trained workforce” means a workforce that meets all of the following conditions:
(i) All the workers are either skilled journeypersons or apprentices registered in an apprenticeship program approved by the Chief of the Division of Apprenticeship Standards.
(ii) (I) For work performed on or after January 1, 2017, at least 30 percent of the skilled journeypersons employed to perform work on the contract or project by the bidder and each of its subcontractors at every tier are graduates of an apprenticeship program for the applicable occupation that was either approved by the Chief of the Division of Apprenticeship Standards pursuant to Section 3075 of the Labor Code or located outside California and approved for federal purposes pursuant to the apprenticeship regulations adopted by the federal Secretary of Labor.
(II) For work performed on or after January 1, 2018, at least 40 percent of the skilled journeypersons employed to perform work on the contract or project by the bidder and each of its subcontractors at every tier are graduates of an apprenticeship program for the applicable occupation that was either approved by the Chief of the Division of Apprenticeship Standards pursuant to Section 3075 of the Labor Code or located outside California and approved for federal purposes pursuant to the apprenticeship regulations adopted by the federal Secretary of Labor.
(III) For work performed on or after January 1, 2019, at least 50 percent of the skilled journeypersons employed to perform work on the contract or project by the bidder and each of its subcontractors at every tier are graduates of an apprenticeship program for the applicable occupation that was either approved by the Chief of the Division of Apprenticeship Standards pursuant to Section 3075 of the Labor Code or located outside California and approved for federal purposes pursuant to the apprenticeship regulations adopted by the federal Secretary of Labor.
(IV) For work performed on or after January 1, 2020, at least 60 percent of the skilled journeypersons employed to perform work on the contract or project by the bidder and each of its subcontractors at every tier are graduates of an apprenticeship program for the applicable occupation that was either approved by the Chief of the Division of Apprenticeship Standards pursuant to Section 3075 of the Labor Code or located outside California and approved for federal purposes pursuant to the apprenticeship regulations adopted by the federal Secretary of Labor.
(iii) For an apprenticeable occupation in which no apprenticeship program had been approved by the chief prior to January 1, 1995, up to one-half of the graduation percentage requirements of clause (ii) may be satisfied by skilled journeypersons who commenced working in the apprenticeable occupation prior to the chief’s approval of an apprenticeship program for that occupation in the county in which the project is located.
(C) “Skilled journeyperson” means a worker who either:
(i) Graduated from an apprenticeship program for the applicable occupation that was approved by the chief or located outside California and approved for federal purposes pursuant to the apprenticeship regulations adopted by the federal Secretary of Labor.
(ii) Has at least as many hours of on-the-job experience in the applicable occupation as would be required to graduate from an apprenticeship program for the applicable occupation that is approved by the chief.
(2) The apprenticeship graduation percentage requirements of subparagraph (B) of paragraph (1) are satisfied if, in a particular calendar month, either of the following is true:
(A) The required percentage of the skilled journeypersons employed by the contractor or subcontractor to perform work on the contract or project meet the graduation percentage requirement.
(B) For the hours of work performed by skilled journeypersons employed by the contractor or subcontractor on the contract or project, the percentage of hours performed by skilled journeypersons who met the graduation requirement meets or exceeds the required graduation percentage.
(3) A contractor or subcontractor need not meet the apprenticeship graduation requirements of subparagraph (B) of paragraph (1) if, during the calendar month, the contractor or subcontractor employs skilled journeypersons to perform fewer than 10 hours of work on the contract or project.
(4) A subcontractor need not meet the apprenticeship graduation requirements of subparagraph (B) of paragraph (1) if both of the following requirements are met:
(A) The subcontractor was not a listed subcontractor under Section 4104 or a substitute for a listed subcontractor.
(B) The subcontract does not exceed one-half of 1 percent of the price of the prime contract.
(5) (A) A contractor, bidder, or other entity’s commitment that a skilled and trained workforce will be used to perform the project or contract shall be established by the contractor, bidder, or other entity’s agreement with the local agency that the contractor, bidder, or other entity and its subcontractors at every tier will comply with this subdivision and that the contractor, bidder, or other entity will provide the local agency with a report on a monthly basis while the project or contract is being performed, as to whether the contractor, bidder, or other entity and its subcontractors are complying with the requirements of this subdivision.
(B) If the contractor, bidder, or other entity fails to provide the monthly report required by this section, or provides a report that is incomplete, the local agency shall withhold further payments until a complete report is provided.
(C) If a monthly report does not demonstrate compliance with this chapter, the local agency shall withhold further payments until the contractor, bidder, or other entity provides a plan to achieve substantial compliance with this article, with respect to the relevant apprenticeable occupation, prior to completion of the contract or project.
(D) A monthly report provided to the public agency or other awarding body shall be a public record under the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code) and shall be open to public inspection.
(6) This subdivision shall not apply if the contractor, bidder, or other entity has entered into a project labor agreement that will bind itself and all its subcontractors who perform construction work on the project, and the contractor, bidder, or other entity agrees to be bound by the project agreement.
(d) The local agency shall make the list of prequalified entities available to the public.
(e) Based on the documents prepared as described in subdivision (a), the local agency shall prepare a request for bids that invites prequalified or short-listed entities to submit competitive sealed bids in the manner prescribed by the local agency. The request for bids shall include, but need not be limited to, all of the following elements:
(1) Identification of the basic scope and needs of the project or contract, the estimated cost to perform the work being requested, the methodology that will be used by the local agency to evaluate bids, whether the contract will be awarded on the basis of best value or to the lowest responsible bidder, and any other information deemed necessary by the local agency to inform interested parties of the contracting opportunity.
(2) Significant factors that the local agency reasonably expects to consider in evaluating bids, including, but not limited to, cost or price and all nonprice-related factors.
(3) The relative importance or the weight assigned to each of the factors identified in the request for bids.
(4) If a best value selection method is used, the local agency may reserve the right to request bid revisions and hold discussions and negotiations with responsive bidders, in which case the local agency shall so specify in the request for bids and shall publish separately or incorporate into the request for bids applicable procedures to be observed by the local agency to ensure that any discussions or negotiations are conducted in good faith.
(f) For those projects utilizing low bid as the final selection method, the competitive bidding process shall, if appropriate for the delivery method, result in lump-sum bids by the prequalified or short-listed entities, and awards shall be made to the bidder that is the lowest responsible bidder.
(g) For those projects utilizing best value as a selection method, the competition shall progress as follows:
(1) Competitive bids shall be evaluated by using only the criteria and selection procedures specifically identified in the request for bids. The following minimum factors, however, shall be included, if applicable to the delivery method and weighted as deemed appropriate by the local agency:
(A) Price, unless a stipulated sum is specified and including financial and bonding capacity requirements.
(B) Technical design, procurement, and construction expertise.
(C) Proposed construction approach, sequencing, and methods.
(D) Compliance with the requirements of the owner-provided performance specification.
(E) Ability to meet the milestone schedule dates and, if applicable, any liquidated damages.
(F) Ability to meet the quality requirements.
(G) Proposed risk allocation and sharing.
(H) Safety record.
(I) Warranty.
(J) Life-cycle costs over 15 or more years as specified by the local agency.
(2) Pursuant to subdivision (e), the local agency may hold discussions or negotiations with responsive bidders using the process articulated in the local agency’s request for bids.
(3) When the evaluation is complete, the responsive bidders shall be ranked based on a determination of value provided by the local agency if no more than three bidders are required to be ranked.
(4) The award of the contract shall be made to the responsible bidder whose bid is determined by the local agency to have offered the best value to the public.
(5) Notwithstanding any provision of the Water Code, upon issuance of a contract award the local agency shall publicly announce its award, identifying the bidder to which the award is made, along with a statement regarding the basis of the award.
(6) The statement regarding the local agency’s contract award, described in paragraph (5), and the contract file shall provide sufficient information to satisfy an external audit.
20928.3.
(a) The local agency, in each request for proposals, may identify specific types of subcontractors that must be included in the entity statement of qualifications and proposal.
(b) Following award of the contract, the entity shall proceed as follows in awarding construction subcontracts with a value exceeding one-half of 1 percent of the contract price allocable to construction work:
(1) Provide public notice of availability of work to be subcontracted in accordance with the publication requirements applicable to the competitive bidding process of the local agency, including a fixed date and time on which qualification statements, bids, or proposals will be due.
(2) Establish reasonable qualification criteria and standards.
(3) Award the subcontract either on a best value basis or to the lowest responsible bidder. The process may include prequalification or short-listing. The foregoing process does not apply to construction subcontractors listed in the original proposal.
20928.4.
Any project constructed pursuant to this article shall be subject to Part 1 (commencing with Section 6000) of Division 3 of the Water Code.
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: The Local Agency Public Construction Act establishes procedures and requirements for contracting by local agencies for the construction of public works, including the requirement to award the contract to the lowest responsible bidder. Existing law governing specified water districts requires those districts to use competitive bidding and to award the contract to the lowest responsible bidder. This bill would allow a local agency to use the construction manager at-risk, design-build, or design-build-operate method of delivery on a surface storage project, as described. The bill would require these contracts to be awarded on a best value basis or to the lowest responsible bidder, and establish a procurement process for these contracts. The bill would require the bidder to certify specified information under penalty of perjury. By expanding the crime of perjury, the bill would impose a state-mandated local program. The bill would also prohibit a contracting entity from being prequalified or short-listed unless it provides an enforceable commitment to the local agency that the entity and its subcontractors will use a skilled and trained workforce to perform all work on the project or contract that falls within an apprenticeable occupation in the building and construction trades, as specified. 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 60.6 (commencing with Section 20928) to Chapter 1 of Part 3 of Division 2 of the Public Contract Code, relating to water.