Abdulaziz, Grossbart & Rudman









Attorneys At Law

 HIGHLIGHTS OF
THE CONTRACTORS STATE LICENSE BOARD
 BOARD MEETING

September 10, 2008
By Sam K. Abdulaziz


    ► JOHN HALL

                             ► JOHN HALL

                                                      ► JOHN HALL


The Highlights of this Board Meeting was with respect to deceased former Board Member, John Hall.  John passed away in February 2006.  I remember John as an outstanding father to his daughter, Katrina.  He also was outspoken and a fierce advocate for his position.  John will be remembered for a long period of time.   

The Contractors' State License Board also honored Ed Bakstrum, who was retiring and started with the CSLB in 1978, when gas was 63 cents a gallon.

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The Contractors’ State License Board then held a full Board Meeting on Wednesday, September 10, 2008, in Sacramento, CA.  Indeed, it was a full Board Meeting in that all Board Members were present at the meeting and the boardroom was full.  The meeting was handled by Board Chair Jim Miller. 

 

The following Board Members were present: 

Chair, James Miller; Vice Chair, Cynthia Mitchell; Secretary, Edward “Eddie” Barnes; Board Members Robert Brown; Joan Hancock; Matthew Kelly; Louise Kirkbride; Robert Lamb; Ed Lang; Stephen Matich; Bernedette Medrano; Lisa Miller-Strunk; Bruce Rust. 

There are two vacant positions on the Board. 

I.                   LEGISLATIVE SUMMARY FOR YEAR 2007/2008 

1.                  Board Sponsored Bills 

SB 963 (Ridley-Thomas) Department of Consumer Affairs: regulatory boards.  This is a bill that has been sent to the Governor.  It appears that it will be signed.  However, it stood a very good chance of not being signed. 

The law deals with various Boards and Bureaus and their Sunset (termination).  As far as the Contractors' State License Board is concerned, the efforts of Registrar Steve Sands, Board Member, Steve Matich and CSLB Representative, Mike Brown, did a great job in a very short time, to have the bill that would have been vetoed put in a very good position where everyone believes it will be passed.  A meeting with the Governor’s staff leads everyone to believe that the bill would pass and that the Contractors' State License Board and other Boards and Bureaus would not be Sunsetted.   

AB 2335 (Nakanishi) Building Permits.  This has already been signed by the Governor and will become law at the end of this year.  It requires that any city or county that requires the issuance of a permit for the construction or repair of any structure to have the owner complete specific forms and declarations that identify the property and any agents or contractors performing the work and that the project complies with various laws. 

SB 1432 (Margett) Contractors.  This is another Board sponsored bill that has been chaptered and requires that the contractors and qualifying individual’s bonds required by the Contractors' State License Board be for the benefit of property owners contracting for the construction of single family dwellings who is damaged to a violation of the Contractors' State License Board.   

AB 611 (Nakanishi) Contractors: arbitration procedures.  The bill died in the Senate.  It would have increased the maximum amount of damages in CSLB sponsored arbitrations from $50,000.00 to $100,000.00. 

2.                  Other Bills Dealt with CSLB (Dead Bills are not reported here) 

AB 2412 (Eng) Unlicensed contractors.  This bill was supported by the CSLB and establishes criminal penalties for first, second, and third and subsequent convictions of engaging in business or acting in the capacity of a contractor without a license.  It is going to the Governor but has not yet been Chaptered. 

SB 797 (Ridley-Thomas) Professions and vocations.  This law has been Chaptered and amends a portion of the Business and Professions Code to require more severe penalties for contracting without a license if the individual is named on a revoked license and is deemed to be responsible for the acts resulting in the revocation.

SB 1698 (Romero) Contractors: public works.  This amends the Contractors State License Law by prohibiting a contractor from performing work as a contractor or subcontractor on a public work, contracted for by the state or a state agency unless he or she has obtained a Public Works Certification from the Contractors' State License Board.  This is on the Governor’s desk waiting for approval.   

II.                ENFORCEMENT COMMITTEE REPORT  

Because the Enforcement Committee submitted an Enforcement Committee Report recently, this Enforcement Committee Report is rather sparse.  

Connie Trujillo, Supervisor of the Sacramento Intake/Mediation Center was presented a certificate recognizing her accomplishments including the unprecedented zero complaints pending over 60 days as of August 1, 2008.   

The Investigative Center Staff’s investigations are expanding to include worker’s compensation insurance violations, which will be reported to the appropriate state agency, including the Department of Justice for criminal prosecution.   

The Governor’s Executive Order is having a detrimental affect on staff’s ability to meet compliant-handling cycle time goals due to the inability to secure an industry expert to evaluate workmanship complaints.   

1.                  Air Resources Board Presentation 

Erik White made a rather lengthy presentation dealing with the Air Resources Board and what they are trying to do. 

2.                  Enforcement Staffing 

There is presently one enforcement vacancy as of August 1, 2008.  The Governor’s Executive Order resulted in a freeze on hiring any new employees.  This affected the staffing. 

3.                  Fresno SWIFT Unit 

Recruitment is under way to fill the seven Fresno SWIFT positions that were authorized as part of a budget change proposal.  Once the budget is signed and the positions become available to fill, staff will move quickly to get the Central Valley SWIFT Unit up. 

4.                  SWIFT Update 

SWIFT netted 40 unlicensed operators in San Marco’s two-day sting.  Two non-licensee citations were issued and there are ten pending cases.   

The CSLB and the California Landscape Contractors Association teamed up to target unlicensed landscapers.  Twenty-seven unlicensed contractors were busted in the Pleasonton two-day sting.   

Acting on a tip from a concerned licensed contractor, a Southern SWIFT Enforcement Representative visited a senior citizen community in Lakeshore Gardens and nabbed an unlicensed contractor who was praying on the elderly residents.  A suspended pool plasterer was caught and cited. 

5.                  Complaint Handling Statistics  

Pending complaints have remained manageable and constant throughout the 2008 calendar year.   

III.             LICENSING COMMITTEE REPORT 

Licensing Committee Chair Lang recognized Eddie Barnes for his hard work in chairing the Licensing Committee the last two years. 

Chairman Lang reported that Applications received during fiscal year 2007/08 are down about 7% over the previous fiscal year.  Staff has been able to maintain acceptable processing times even though the Governor’s Executive Order eliminated temporary help and overtime.   

1.                  Testing Division

Bob Porter reported that the goal of scheduling exams with three weeks was finally met in July.  The Governor’s Executive Order impacted several areas.  Staff continues to work on relocating the Oxnard, Fresno and San Diego Offices.   

2.                  Discussion of Proposal to Establish a License Classification for Installation of Interlocking Paving. 

The Interlocking Concrete Pavement Institute asked the License Board to investigate whether an additional specialty classification should be created for their industry.  There was a great deal of discussion.   

Initially, the Board had thought not approve the request.  However, after some period of time, they tabled the matter rather than having it not approved.   

3.                  California Code of Regulations section 832.45 – Electrical Sign Contractors.   

Karen Ollinger reported that there are currently two license classifications for sign contractors.  Apparently cities and counties are limiting C-45 contractors to “electric signs” and are not allowing them to bid on public contracts for other types of signs.  Staff suggested that the Committee may want to consider recommending that the Board submit a regulatory change to amend the title and description of the C-45 classification and change the title and description of the C-61/D-42 classification.  The suggestions were approved.   

A Sign contractor will be one who fabricates and installs electric and non-electric signs including but not limited post or pole supported signs, signs attached to structures, painted wall signs, and modifications to existing signs.   

A C-61/D-42 non-electrical sign installation contractor fabricates and installs all types of non-electrical signs including but not limited to post or pole supported signs, signs attached to the structures, painted wall signs and modifications to existing signs.  The Contractors' State License Board approved that motion.

4.                  Advertising Defined 

The Board voted to repeal section 842 of the California Code of Regulations dealing with re-examination and pass a new “Advertising Defined” section with 861 as follows: 

861. Advertising Defined.  As used in section 7030.5 of the Code, the term advertising includes but is not limited to the following:  any card, contract proposal, sign, billboard, lettering on vehicles operating in this state, brochure, pamphlet, circular, newspaper magazine, airwave or any electronic transmission and any form of directory under any listing denoting “contractor” or any word or words of similar import or meaning requesting any work for which a license is required by the Contractors License Law.   

5.                  Licensing Classification Workload 

License classification workload has already been addressed. 

IV.              PUBLIC AFFAIRS OFFICE PROGRAM UPDATE 

1.                  Executive Order S-09-08 

Executive Order S-09-08 has lead to termination of an estimated 10,300 temporary employees.  It also suspended all contracts, banned overtime, froze state hiring and reduced pay of about 200,000 state workers to the Federal Minimum Wage of $6.55 per hour.   

The Order is having significant impact on the Public Affairs Department.  Many programs have been suspended or eliminated.   

2.                  CSLB Partnerships 

The partnership with the American Association of Retired Persons and the Contractors' State License Board has been expanded.  The CSLB will provide an article entitled “What You Should Know Before Hiring a Contractor” for the AARP newsletter which will be distributed to 300,000 members in Northern California. 

Wells Fargo is going to include CSLB publications with all home improvement loan applications.   

Pacific Gas and Electric is revising various CSLB educational materials with the goal of using it in various inserts included in customer billing. 

 

V.                 EXECUTIVE COMMITTEE REPORT 

1.                  Administrative Program Updates  

                                           a.                        Memorandum of Understanding 

The Department of Consumer Affairs has given approval to the Contractors' State License Board for personnel management delegation of various personnel functions.  There is presently a Memorandum of Understanding and a delegation of authority has been approved on a trial basis.   

                                          b.                        Vacant Positions 

As of August 27, 2008, there were 28 vacant positions at the Board.  Between May 19, 2008, and August 27, 2008, there were 7 new hires, 11 interdepartmental transfers, and 14 internal transfers, 15 promotions, and 6 temporary/seasonal hires. 

2.                  Information Technology Division Update 

                                           a.                        WEB Conversion to State’s New Look and Feel 

The CSLB has converted roughly 70% of the Board’s web pages to the state’s new “look and feel”.  They anticipate total conversion, including ADA compliance changes, to be implemented by October 2008. 

                                          b.                        Desktop/Laptop Computers – Windows Upgrade 

Within the next 8 months the CSLB will upgrade to MS Office 2007.  They will be conducting training for all staff as they are upgraded. 

                                           c.                        Server Virtualization and Storage Centralization 

They CSLB is virtualizing the majority of their servers.  As servers are virtualized, files/data are being moved to a centralized storage device. 

                                          d.                        Infrastructure Upgrade for Disaster Recovery Site 

They CSLB is working with the State Data Center and AT&T to design and implement a disaster recovery site.  Originally the Fresno field office was identified to be the disaster recovery site.  However, due to the state of disrepair of the Fresno State Building, they selected the Board’s Norwalk field office to become the disaster recovery site.  Phase I of this project will provide disaster recovery for email and network files. 

                                           e.                        Executive Order

The CSLB prepared a substantial document dealing with the impact of the Governor’s Executive Order on the CSLB Arbitrations.  It is severe.   

VI.              STRATEGIC PLAN 

With respect to the Strategic Plan, and taking into consideration the budget problems created by the Legislature, Abdulaziz, Grossbart & Rudman have decided not to do an update on the Strategic Plan as it is a oxymoron. 

VII.           FUTURE BOARD MEETINGS 

            A full Board Meeting is scheduled for November 20, 2008, in Los Angeles.

 

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