from Kevin Pedrotti, Legislative Advocate for the Golden State Builders Exchanges
From all accounts, it appears a workers’ compensation insurance bill will emerge in the final weeks of the session. California labor unions and a few employers are pushing for an end-of-session bill that would change the workers compensation system by increasing payments to permanently injured workers and limiting the fees that can be charged in processing claims. Labor contends the cuts in benefits that were enacted on 2004 were never intended and they have been trying to rectify the benefit cuts for injured workers for several years.
GSBE (Golden State Builders Exchanges) co-sponsored AB 1671 (Huffman), which extends the 2014 sunset of zero percent retention on all Caltrans' construction projects to 2020, is on the Senate floor for final consideration. This measure is a follow-up to legislation passed in 2008 that set this policy in place.
GSBE has supported the passage of SB 1099 (Wright) which establishes four dates for the implementation of new regulations in California. Currently, regulations go into effect year round 30 days after being filed with the Secretary of State’s office making is difficult for businesses to keep up with the new requirements. This measure will provides certainty to businesses by allowing them to predict and prepare for new operating rules being mandated by the state. SB 1099 is in the Assembly Appropriations Committee.
The legislature returned on August 6 for the final sprint to the August 31 adjournment date. The first week after the summer recess, the two house’s Appropriations Committees spent hours considering over 500 bills. Many of the bills with higher price tags were sent to the committee’s suspense file and will likely be held because of the state’s poor fiscal condition.
With term limits and “veteran” legislators soon leaving the legislature, the Speaker has announced changes for committee chairs effective immediately to serve out the year. Key appointments and those that will most likely serve next session include:
Assemblymember Mike Gatto (D-Los Angeles) - Chair of the Assembly Appropriations Committee.
Assemblymember Rich Gordon (D-Redwood City) - Chair of the Assembly Business, Professions and Consumer Protection Committee.
As with the end of any legislative session, GSBE will be closely monitoring all amendments to bills to guard against any last minute changes that could have an adverse effect on the construction industry.
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