Senate Committee on Governmental Organization s1

SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION Senator Isadore Hall, III Chair 2015 - 2016 Regular

Bill No: AB 1342 Hearing Date: 6/29/2015 Author: Steinorth Version: 6/22/2015 Amended Urgency: No Fiscal: Yes Consultant: Felipe Lopez

SUBJECT: Disability access

DIGEST: This bill appropriates $120,000 from the General Fund to the California Commission on Disability Access (CCDA) which shall be used to provide funding to establish two permanent outreach coordinator positions and enacts other measures intended to promote disability access compliance.

ANALYSIS:

Existing law:

1) Establishes the CCDA, an independent state agency composed of 17 members, with the general responsibility for monitoring disability access compliance in California, and the authority to hold hearings and make recommendations to the Legislature for necessary changes to existing state law in order to facilitate implementation of state and federal laws on disability access.

2) Requires the State Architect to establish and publicize a program for the voluntarily certification by the state of any person who meets specified criteria as a Certified Access Specialist (CASp).

3) Requires each applicant for CASp certification or renewal to pay certain fees, and requires the State Architect to periodically review those fees, as specified.

4) Provides for the deposit of those fees into the Certified Access Specialist Fund, which is continuously appropriated for use by the State Architect to implement the CASp program. AB 1342 (Steinorth) Page 2 of 6

5) Requires, until December 31, 2018, any applicant for a local business license or equivalent instrument or permit, or renewal of a local business license or equivalent instrument or permit, to pay an additional fee of $1 for that license, instrument, or permit. The city, county, or city and county that collected the fee retains 70% of the fee, and the remaining 30% of the fee is deposited into the Disability Access and Education Revolving Fund, a continuously appropriated fund.

6) Requires a commercial property owner or lessor to state on every lease form or rental agreement executed on or after July 1, 2013, whether the property has been determined by a CASp to meet all applicable construction-related accessibility standards.

This bill:

1) Appropriates $120,000 from the General Fund to the CCDA to establish a permanent legislative outreach coordinator position and a permanent educational outreach coordinator position.

2) Requires applicants for CASp certification or renewal to additionally provide to the State Architect information about the city, county, or city and county in which the applicant intends to provide or has provided services, and would require the State Architect to post that information on his or her Internet Web site.

3) Removes the sunset provision under current law that requires an applicant for a business license or renewal to pay a $1 fee to local jurisdictions to assist in funding CASp services.

4) Requires the CCDA to provide a link on its Internet Web site to the Internet Web site of the Division of the State Architect’s CASp certification program and to make the CCDA’s educational materials and information available to other state agencies and local building departments.

5) Requires a commercial property owner or lessor to state on every lease form or rental agreement executed on or after July 1, 2016, to provide the lessee or tenant with a current disability access inspection certificate and inspection report or a copy of the CASp inspection report.

6) Requires, if the subject premises have not been issued a current disability access inspection certificate, the property owner or lessor to include a statement on the AB 1342 (Steinorth) Page 3 of 6

rental agreement that, upon request of the lessee or tenant, the property owner may permit a CASp inspection of the subject premises at the lessee’s or tenant’s expense and that the parties must mutually agree on the time and manner of the inspection.

Background

Purpose of the bill. According to the author, “the CCDA is entrusted with a variety of responsibilities relating to disability access throughout California. However, the CCDA has not received funding increases in accordance with new responsibilities from the Legislature. The author further argues that with the funding given to the CCDA by AB 1342, the CCDA will have a half a year of funding so that they may begin hiring permanent staff positions to pursue the goals of their five year strategic plan.”

In addition, the author argues that, “AB 1342 takes several actions relating to CASp inspections. It was noted to our office by persons involved in the business community that it can be difficult to identify CASp inspectors in their area who may inspect their property.” AB 1342 would require CASp applicants to provide the State Architect information about the location of where he or she will be providing those services and require the State Architect to post that information on the State Architect’s Internet Web site.

Finally the author argues that, “the bill also requires property owners to provide tenants with any copies of CASp inspections that have occurred, so that tenants may be aware of any potential access violations. If a CASp inspection has not occurred, as it is not required by state law, property owners must state on the lease agreements that the tenant may seek a CASp inspection if they desire, at their own expense. The purpose of this requirement is to increase awareness that these inspections are available, providing tenants the opportunity to proactively ensure that the property is compliant with the American with Disabilities Act (ADA).”

History of CCDA. In 2008, the Legislature passed SB 1608 (Corbett, Chapter 549, Statutes of 2008) which established the CCDA as part of a bipartisan package of reforms shaped by discussions from disability rights advocates, attorneys for plaintiffs and defendants, and business interests. According to their mission statement, the CCDA’s mission is to promote disability access in California through dialogue and collaboration with stakeholders including but not limited to the disability and business community and all levels of government. AB 1342 (Steinorth) Page 4 of 6

According to the author of SB 1608, the bill included a multi-faceted approach aimed at addressing the high rate of non-compliance with construction-related accessibility standards by public accommodations in California, recognizing the value of and promoting voluntary compliance and prevention. Significant portions of SB 1608 were dependent on the continued funding of the Commission. The author of AB 1342 contends that the CCDA since its inception has been tasked with additional responsibilities without corresponding increases in funding.

Locating a CASp. The State Architect publishes a list of all the CASps in the State on its website. Currently, there are over 575 CASps, however, the current list does not specify the location in which a CASp provides his or her services. This bill requires an applicant for CASp certification or renewal to provide the State Architect the location where the applicant will provide CASp services, specifically, the city, county, or city and county. Additionally, AB 1342 requires the State Architect to publish information on his or her Internet Web site.

Compliance with Disability laws. Under current law, a commercial property owner is required to state on every lease form or rental agreement whether the property has been inspected by a CASp. However, because the property owner may not know whether the property has met all applicable-related accessibility standards, current law may unintentionally create a disincentive for a business property owner to obtain CASp services. The additional information provided under this bill might allow commercial tenants to better understand the state of the leased property, and hopefully allow the commercial property owner or tenant to take proactive steps in reaching compliance with disability access laws.

Prior/Related Legislation

AB 52 (Gray, 2015) provides that the defendant’s maximum liability for statutory damages in a construction-related accessibility claim against a place of public accommodation is $1,000 for each offense if the defendant has corrected all construction-related violations within 180 days of being served with the complaint. (Held in Assembly Judiciary Committee)

AB 54 (Olsen, 2015) requires a plaintiff who has been denied access to a public accommodation because of a construction-related accessibility violation of a standard which has changed in the past three years to give notice to the defendant 60 days before filing a complaint and an opportunity to cure the violation, with no statutory damages payable to the plaintiff; and provides a tax credit under the Personal Income Tax Law and the Corporation Tax Law to any taxpayer who obtains a certified access specialist inspection. (Held in Assembly Revenue and Taxation Committee) AB 1342 (Steinorth) Page 5 of 6

AB 1230 (Gomez, 2015) establishes the California Americans with Disabilities Act Small Business Compliance Act to provide loans to assist small businesses finance the costs of projects that alter or retrofit existing small business facilities to comply with the federal American with Disabilities Act. (Pending in Senate Governmental Organization Committee)

AB 1468 (Baker, 2015) provides that a public entity’s possession of a close out letter from the State Architect certifying that the buildings, facilities, and other places meet the applicable construction-related accessibility standards of the federal Americans with Disabilities Act, serves as presumptive evidence of compliance with the federal Americans with Disabilities Act. (Held in Assembly Judiciary Committee)

SB 67 (Galgiani, 2015) exempts a small business from statutory damage liability in connection with a construction-related accessibility claim and extends the period for correcting construction-related violations that are the basis of a claim from 60 days to 120 days of being served with the complaint, for purposes of reducing a defendant’s minimum statutory damage liability to $1,000. (Held in Senate Judiciary Committee)

SB 1608 (Corbett, Chapter 549, Statutes of 2008) enacted the CCDA and various other reforms intended to increase voluntary compliance with longstanding state and federal laws requiring access to the disabled in any place of public accommodation.

FISCAL EFFECT: Appropriation: Yes Fiscal Com.: Yes Local: No

SUPPORT:

American Institute of Architects California Council Building Owners and Managers Association of California California Building Industry Association California Business Properties Association California Chamber of Commerce California Commission on Disability Access Commercial Real Estate Development Association, NAIOP of California Consumer Attorneys of California Disability Rights California International Council of Shopping Centers AB 1342 (Steinorth) Page 6 of 6

National Federation of Independent Businesses

OPPOSITION:

None received

ARGUMENTS IN SUPPORT: According to Disability Rights California, “the CCDA has been instrumental in collecting information about disability access issues. Their reports provide an excellent overview of the types of architectural access issues that exist. Providing additional funding to continue their research is critical as they develop and implement recommendations as outlined in its strategic plan for improving access across California.”

The CCDA argues that “AB 1342 properly addresses the lack of resources for CCDA to fulfill its mandate. The recognition of this lack of sufficient resource allocations required for CCDA to accomplish its legislative mandates is appropriately observed. We believe AB 1342 properly establishes the vehicle to ensure the CCDA will be able to do its work.”

DUAL REFERRAL: Senate Judiciary Committee