September 13, 2012
From Kevin Pedrotti, Legislative Advocate for the Golden State Builders Exchanges (GSBE)
Although the Governor has until September 30 to sign or veto bills passed by the legislature before September 1, a number of key bills have been acted upon. Below is a summary of legislation signed into law to date:
AB 1492 - Beginning January 1, 2013 an additional 1% tax will be assessed on wood products. The additional tax is to pay for forest practice regulations. The Board of Forestry has regulatory authority over what wood products will be assessed the additional 1% tax. It is expected any solid woods, fence boards, roof shakes, and processed boards such as Trex products will be included. Exempt items would be finished wood items including cabinets. The Board of Forestry is to act on emergency regulations soon. Here is link to draft regulations: http://www.bof.fire.ca.gov/regulations/proposed_rule_packages/ab_1492_draft_lumber_assessment_emergency_regulation_2012/ab1492_regs_091012.pdf
AB 1671 – Co-sponsored by GSBE, this bill extends until January 1, 2020 the sunset date prohibiting CalTrans from withholding retention proceeds to its contractors when making progress payments for work performed on a public works project. Here is link to legislation.
AB 2654 - Existing law provides for mining liens for labor performed in any mining claim or upon any real property worked as mine. This measure would revise the definition of a "mine" to included any quarry or pit, from which rock, gravel, sand, or other mineral-containing property is extracted. This bill would also state the legislative intent to supercede the holding of a California Appellate Court decision in Sukut Construction Inc. v. Rimrock CA, LLC where the court determined that a rock quarry is not a mine. Here is link to legislation.
SB 1099 – Supported by GSBE, this measure provides that unless an effective date is specifically provided, a regulation or an order of repeal of a regulation shall become effective on a quarterly basis. Currently, businesses face numerous new regulations promulgated by various state agencies. These regulations go into effect 30 days after being filed with the Secretary of State's office and this happens year round. The rules cover a broad spectrum of issues and it is difficult for many small sized businesses to stay abreast of regulatory changes. This legislation should ensure easier compliance with new regulations. Here is link to legislation.
SB 1370 - Requires the Department of Industrial Relations (DIR) to post code sections related to prevailing wage law online. Currently there is no one specific location where all projects subject to state mandated prevailing wage are listed. A one-stop web-based listing should assist in improving compliance for both project owners and contractors alike. Here is link to legislation.
A new laws summary will be completed once the Governor takes action on all legislation.
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