GAVIN NEWSOM, GOVERNOR OFFICE OF ADMINISTRATIVE LAW REGISTER 2019, NUMBER 48−Z PUBLISHED WEEKLY BY THE OFFICE OF ADMINISTRATIVE LAW NOVEMBER 29, 2019 PROPOSED ACTION ON REGULATIONS TITLE 2. CALIFORNIA BEHA VIORAL HEALTH PLANNING COUNCIL Conflict−of−Interest Code — Notice File Number Z2019−11 19−03 ...................................... 1599 TITLE 2. FAIR POLITICAL PRACTICES COMMISSION Conflict−of−Interest Code — Notice File Number Z2019−11 19−04 ...................................... 1599 Amendment State Agency: California Health Benefit Exchange TITLE 3.

DEPARTMENT OF FOOD AND AGRICULTURE Allocation to Fairs of Sales and Use Tax Revenue — Notice File Number Z2019−11 19−05 ................... 1600 TITLE 4. CALIFORNIA HORSE RACING BOARD Horsemen’ s Welfare Fund — Notice File Number Z2019−1115−04 ...................................... 1606 TITLE 4. CALIFORNIA HORSE RACING BOARD Postmortem Examination Review — Notice File Number Z2019−11 14−04 ................................ 1609 TITLE 10. CALIFORNIA HEALTH BENEFIT EXCHANGE Update to Conflict−of−Interest Code — Notice File Number Z2019−11 19−06 .............................. 1613 TITLE 11.

COMMISSION ON PEACE OFFICER STANDARDS AND TRAINING Minimum Standards for Training — Notice File Number Z2019−11 14−01 ................................ 1616 TITLE 11. COMMISSION ON PEACE OFFICER STANDARDS AND TRAINING Requirements for Course Certification — Amend Regulation 1052 — Notice File Number Z2019−11 14−03 ........................................ 1618 TITLE 11. COMMISSION ON PEACE OFFICER STANDARDS AND TRAINING Requirements for Course Certification — Amend Regulation 1055 — Notice File Number Z2019−11 14−02 ........................................ 1620 (Continued on next page) Time- Dated Material

TITLE 16.

BOARD FOR PROFESSIONAL ENGINEERS, LAND SURVEYORS, AND GEOLOGISTS Fees and Certificates — Notice File Number Z2019−11 19−02 .......................................... 1621 GENERAL PUBLIC INTEREST AIR RESOURCES BOARD Application for a Variance from the Evaporative Emission Regulations for Small Off−Road Engines — American Honda Motor Company, Incorporated .............................. 1626 AIR RESOURCES BOARD Application for a Variance from the Evaporative Emission Regulations for Small Off−Road Engines — Briggs and Stratton Corporation ............................. 1628 CALIFORNIA ENVIRONMENTAL PROTECTION AGENCY Department of Toxic Substances Control Imperial Count Certified Unified Program Agency (CUP A) ................................................... 1629 OCCUPATIONAL SAFETY AND HEALTH STANDARDS BOARD Public Meeting and Business Meeting ............................................................. 1630 PROPOSITION 65 OFFICE OF ENVIRONMENTAL HEALTH HAZARD ASSESSMENT Postponement of Hearing and Additional Comment Period ............................................ 1631 RULEMAKING PETITION DECISION DEPARTMENT OF JUSTICE Notice of Decision on Petition from Jarhett Blonien Concerning California Code of Regulations, Title 11, Division 3,

Chapter 1,

Article 5,

Article 6 and

Article 7 ............. 1631

SUMMARY OF REGULATORY ACTIONS Regulations filed with the Secretary of States ....................................................... 1636 The California Regulatory Notice Register is an official state publication of the Office of Administrative Law containing notices of proposed regulatory actions by state regulatory agencies to adopt, amend or repeal regulations contained in the California Code of Regulations. The effective period of a notice of proposed regulatory action by a state agency in the California Regulatory Notice Register shall not exceed one year [Government Code § 11346.4(b)].

It is suggested, therefore, that issues of the California Regulatory Notice Register be retained for a minimum of 18 months. CALIFORNIA REGULA TORY NOTICE REGISTER is published weekly by the Office of Administrative Law, 300 Capitol Mall, Suite 1250, Sacramento, CA 95814-4339. The Register is printed by Barclays, a subsidiary of West, a Thomson Reuters Business, and is offered by subscription for $205.00 (annual price). To order or make changes to current subscriptions, please call (800) 328−4880. The Register can also be accessed at http://www.oal.ca.gov.

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z PROPOSED ACTION ON REGULATIONS Information contained in this document is published as received from agencies and is not edited by Thomson Reuters. TITLE 2. CALIFORNIA BEHA VIORAL HEALTH PLANNING COUNCIL NOTICE IS HEREBY GIVEN that the California Behavioral Health Planning Council pursuant to the authority vested in it by

section 87306 of the Govern- ment Code, proposes amendment to its conflict−of− interest code. A comment period has been established commencing on March 1, 2019 and closing on April 15, 2019. All inquiries should be directed to the contact list- ed below. The California Behavioral Health Planning Coun- cil proposes to amend its conflict−of−interest code to include employee positions that involve the making or participation in the making of decisions that may fore- seeably have a material effect on any financial interest, as set forth in subdivision (

a) of

section 87302 of the Government Code. The amendment carries out the pur- poses of the law and no other alternative would do so and be less burdensome to affected persons. Changes to the conflict−of−interest code include the following: Change the Council’s name from the Cali- fornia Mental Health Planning Council to the California Behavioral Health Planning Council, add the option for FPPC e−filing, add three (3) positions (Staff Services Manager I, Staff Mental Health Specialist, and Re- search Analyst II), as directed by the FPPC, and also makes other technical changes.

Information on the code amendment is available on the Council’s internet site and attached to this email. Any interested person may submit written comments relating to the proposed amendment by submitting them no later than April 11, 2019, or at the conclusion of the public hearing, if requested, whichever comes later. At this time, no public hearing is scheduled. A person may request a hearing no later than March 31, 2019. The California Behavioral Health Planning Coun- cil has determined that the proposed amendments: 1. Impose no mandate on local agencies or school districts. 2.

Impose no costs or savings on any state agency. 3. Impose no costs on any local agency or school district that are required to be reimbursed under

Part 7 (commencing with

Section 17500) of Division 4 of Title 2 of the Government Code. 4. Will not result in any nondiscretionary costs or savings to local agencies. 5. Will not result in any costs or savings in federal funding to the state. 6. Will not have any potential cost impact on private persons, businesses or small businesses. All inquiries concerning this proposed amendment and any communication required by this notice should be directed to: Naomi Ramirez, Legislative Coordina- tor, (916) 322−3071, naomi.ramirez@cbhpc.dhcs.ca. gov. TITLE 2.

FAIR POLITICAL PRACTICES COMMISSION NOTICE IS HEREBY GIVEN that the Fair Political Practices Commission, pursuant to the authority vested in it by Sections 82011, 87303, and 87304 of the Gov- ernment Code to review proposed conflict−of−interest codes, will review the proposed/amended conflict−of− interest codes of the following: CONFLICT−OF−INTEREST CODES AMENDMENT STATE AGENCY: California Health Benefit Exchange A written comment period has been established com- mencing on November 29, 2019 and closing on January 13, 2020.

Written comments should be directed to the Fair Political Practices Commission, Attention Brianne Kilbane, 1102 Q Street, Suite 3000, Sacramento, Cali- fornia 95811. At the end of the 45−day comment period, the pro- posed conflict−of−interest code(

s) will be submitted to the Commission’s Executive Director for his review, unless any interested person or his or her duly autho- rized representative requests, no later than 15 days prior to the close of the written comment period, a public hearing before the full Commission. If a public hearing is requested, the proposed code(

s) will be submitted to the Commission for review. The Executive Director of the Commission will re- view the above−referenced conflict−of−interest code(s), proposed pursuant to Government Code Sec- tion 87300, which designate, pursuant to Government Code

Section 87302, employees who must disclose cer- tain investments, interests in real property and income. The Executive Director of the Commission, upon his or its own motion or at the request of any interested per- son, will approve, or revise and approve, or return the proposed code(

s) to the agency for revision and re− submission within 60 days without further notice. 1599

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z Any interested person may present statements, argu- ments or comments, in writing to the Executive Direc- tor of the Commission, relative to review of the pro- posed conflict−of−interest code(s). Any written com- ments must be received no later than January 13, 2020. If a public hearing is to be held, oral comments may be presented to the Commission at the hearing.

COST TO LOCAL AGENCIES There shall be no reimbursement for any new or in- creased costs to local government which may result from compliance with these codes because these are not new programs mandated on local agencies by the codes since the requirements described herein were mandated by the Political Reform Act of 1974. Therefore, they are not “costs mandated by the state” as defined in Govern- ment Code

Section 17514. EFFECT ON HOUSING COSTS AND BUSINESSES Compliance with the codes has no potential effect on housing costs or on private persons, businesses or small businesses. AUTHORITY Government Code Sections 82011, 87303 and 87304 provide that the Fair Political Practices Commission as the code−reviewing body for the above conflict−of−in- terest codes shall approve codes as submitted, revise the proposed code and approve it as revised, or return the proposed code for revision and re−submission.

REFERENCE Government Code Sections 87300 and 87306 pro- vide that agencies shall adopt and promulgate conflict− of−interest codes pursuant to the Political Reform Act and amend their codes when change is necessitated by changed circumstances. CONTACT Any inquiries concerning the proposed conflict−of− interest code(

s) should be made to Brianne Kilbane, Fair Political Practices Commission, 1102 Q Street, Suite 3000, Sacramento, California 95811, telephone (916) 322−5660. A V AILABILITY OF PROPOSED CONFLICT−OF−INTEREST CODES Copies of the proposed conflict−of−interest codes may be obtained from the Commission offices or the re- spective agency. Requests for copies from the Commis- sion should be made to Brianne Kilbane, Fair Political Practices Commission, 1102 Q Street, Suite 3000, Sacramento, California 95811, telephone (916) 322−5660. TITLE 3. DEPARTMENT OF FOOD AND AGRICULTURE Division 7. Fairs and Expositions

Chapter 3. Revenue Generated from Sales and Use Tax at State−Designated Fairs

Article 1. Allocation Procedures Notice is hereby given that the California Department of Food and Agriculture (Department) proposes to adopt regulations in the California Code of Regulations (CCR) after considering all comments, objections, and recommendations regarding the proposed action. PUBLIC HEARING A public hearing about this proposal will be held Jan- uary 15, 2020 at 9:30 a.m. in the Auditorium of the Cali- fornia Department of Food and Agriculture, located at 1220 N Street, Sacramento, CA 95814.

The hearing will allow any interested person, or his or her duly au- thorized representative, to submit verbal or written statements or arguments relevant to the action proposed. Following the public hearing, the Department may adopt the proposed regulations substantially as de- scribed below or may modify them if such modifica- tions are sufficiently related to the original text. With the exception of technical or grammatical changes, the full text of any modified proposal will be available for 15 calendar days, prior to its adoption, from this no- tice’s designated contact person.

The modified proposal will also be mailed to those persons who submit written or oral testimony related to this proposal or who have requested notification of any changes to the proposal. WRITTEN COMMENT PERIOD Any interested person, or his or her authorized repre- sentative, may submit written comments relevant to the proposed action to this notice’s designated contact per- sons indicated below, by mail or e−mail, with “Fair Al- location Rulemaking” in the subject line, beginning 1600

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z November 29, 2019 and ending at 11:59 p.m. on Janu- ary 15, 2020. The written comment period closes at 11:59 p.m. on January 15, 2020. The Department will only consider comments received by 11:59 p.m. on Jan- uary 15, 2020.

Comments may be submitted by mail or e−mail to: John Quiroz, Fairs and Expositions Branch Chief California Department of Food and Agriculture 1220 N Street, Sacramento, CA 95814 john.quiroz@cdfa.ca.gov Phone: (916) 900−5025 Alternative contact person to submit comments by mail or e−mail: Kathy Diaz−Cretu Special Assistant — Marketing Services Division California Department of Food and Agriculture Kathy.diaz@cdfa.ca.gov Phone: (916)−900−5175 AUTHORITY AND REFERENCE The Department is charged with the fiscal and admin- istrative oversight of the Network of California Fairs and allocations from the Fair and Exposition fund, in- cluding establishing the criteria for state allocations, pursuant to

section 19620 of the Business and Profes- sions Code 1. The Department is granted authority to set administrative and fiscal standards for the Network of California Fairs by sections 19622−19622.3.

Section 19620.15, which the proposed regulations would im- plement, requires that a certain portion of the sales tax revenue generated on the real property of fairs be con- tinuously appropriated to the Fair and Exposition Fund to be allocated to fairs, subject to certain conditions, for capital outlay projects and general operational support in accordance with

section 19620.2. INFORMATIVE DIGEST/POLICY STATEMENT OVERVIEW The Network of California Fairs (Network) consists of 52 District Agricultural Associations, which are state entities; 22 county fairs which are county government or not−for−profit organizations; two Citrus Fruit Fairs which are not−for−profit organizations; and the Cali- fornia Exposition and State Fair (Cal Expo), which is a state agency. These entities make up the 77 active fairs in the Network and are referred to as “state−designated” fairs. Each fair plays a vital cultural and economic role 1 All

section references are to the Business and Professions Code unless otherwise indicated. in its community. Fairs generate millions of dollars in state and local revenues by providing agricultural edu- cation through their annual fair and other events and op- erating cultural and recreational venues for use by the public. They also serve as emergency response facilities. The Department is charged with the fiscal and admin- istrative oversight of the Network and the Fair and Ex- position fund, pursuant to

section 19620. Responsibili- ties include ensuring the integrity and solvency of the Network and the fund, and administering allocations from the fund to the Network. Activities to carry out this oversight include: Establishing criteria for state alloca- tions, including fiscal and administrative standards; providing an administrative framework for fairs while allowing for maximum autonomy and local decision− making authority; and conducting fiscal and compli- ance audits.

Section 19620.15, effective July 1, 2018, establishes that, beginning 2018−2019 FY , the gross receipts for sales and use tax purposes would be segregated when the sale occurs on the real property of a state−designated fair. Every year and upon enactment of the annual Bud- get Act, three−quarters of 1 percent of the total amount of those gross receipts (“Funding”) will be transferred by the Controller to the Department’s Fair and Exposi- tion Fund for allocations to the Network.

Section 19620.2 provides that funds may be allocated from the Fair and Exposition fund to the Network for:  projects involving any of the following: public health and safety, major and deferred maintenance, fair needs due to any emergency, fair needs required by physical changes to the fair site, the need for a fair to protect the fair property or installation (such as fencing and flood protection);  the acquisition or improvement of any property or facility that will serve to enhance the operation of the fair; and  a portion of the funds may be allocated for general operational support. To be eligible to receive Funding,

Section 19620.15, requires that fairs and their lessees shall provide the fol- lowing work conditions to their non−management staff:  The employee receives a meal period of not less than 30 minutes for a work period of more than five hours per day, unless the work period per day of the employee is less than six hours and the meal period is waived by mutual consent of both the employer and the employee.  The employee receives a second meal period of not less than 30 minutes for a work period of more than 10 hours per day, unless the work period per day of the employee is less than 12 hours, the second meal period is waived by mutual consent of 1601

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z both the employer and the employee, and the first meal period was not waived.  Any work in excess of eight hours in one workday, any work in excess of 40 hours in any one workweek, and the first eight hours worked on the seventh day of work in any one workweek is compensated at the rate of no less than one and one−half times the regular rate of pay for an employee.  Any work in excess of 12 hours in one day is compensated at the rate of no less than twice the regular rate of pay for an employee.  Any work in excess of eight hours on any seventh day of a workweek is compensated at the rate of no less than twice the regular rate of pay for an employee.

Fairs are generally exempt under federal and state la- bor law from providing to certain temporary non− management employees the work conditions required to receive Funding.

Section 19620.15 exempts from these required work conditions full−time carnival ride operators employed by a traveling carnival.

In addition, fairs and their lessees are exempt from providing these required work conditions if non−management employees are covered by a valid collective bargaining agreement if it express- ly provides for the following:  Wages, hours of work, and working conditions of the employees.  Meal periods for the employees, including final and binding arbitration of disputes concerning application of its meal period provisions.  Premium wage rates for all overtime hours worked, and a regular hourly rate of pay of not less than 30 percent more than the state minimum wage.

The Department has determined that the adoption of the proposed regulations is necessary because: 1. Providing the work conditions required to receive Funding is voluntary. For those fairs that do elect to qualify for Funding,

Section 19620.15 is silent on how fairs may apply.

Section 19620.15 is silent on how fairs are to require their lessees to provide the work conditions required to receive Funding.

Section 19620.15 is silent on how the Department is to ensure the fairs and their lessees are compliant with the required work conditions.

Section 19620.15 is silent on remedial procedures upon a fair’s or its lessee’s failure to provide the required work conditions.

Section 19622 mandates that the Department shall establish an appeal process for fairs regarding funds that are withheld or restricted. The proposed regulations would allow the Depart- ment to implement

Section 19620.15 in a uniform and efficient manner, because they make specific the proce- dures by which fairs may apply to become eligible for Funding and how the Department is to ensure compli- ance with work conditions by the fairs and their lessees. ANTICIPATED BENEFITS OF THE PROPOSED REGULATIONS The objective of the proposed regulations is to speci- fy the procedures for fairs to qualify, apply, and ensure eligibility for Funding. They will also specify the pro- cedures for the Department to ensure compliance with the Funding requirements.

The priorities of the Depart- ment are to distribute allocations to qualified fairs for deferred maintenance and public health and safety projects as well as for operational support, as authorized by Sections 19620.15 and 19620.2. As of July 2011, the Network lost significant funding for operations due to the state’s fiscal problems and fairs were required to become financially self−sustaining. Fairgrounds have continued to deteriorate and create public safety issues.

Most fairgrounds’ facilities were built in the 1930s and 1940s utilizing materials that make maintaining and updating the infrastructure ex- pensive and technically challenging. This limits the fairs’ ability to derive the greatest use and benefit from its property. Further, the much−needed maintenance is especially troubling as fairgrounds are not only open to the public as recreational and cultural venues, but fre- quently utilized by Cal OES, CAL FIRE, and others as an evacuation center and public safety command center during emergencies.

The proposed regulations establish clear and uniform procedures by which the Department and fairs meet the requirements of

Section 19620.15, creating administra- tive efficiency. When receiving Funding, a fair will need to demonstrate it is providing its non− management employees with the required work condi- tions and requiring its lessees to do the same. The De- partment, charged with administering the Funding and the oversight of the Fair and Exposition fund, may also ensure the requirements are met. The proposed regula- tions will facilitate the appropriation of Funding from the Department to the Network, so that fairgrounds may receive much needed deferred maintenance and contin- ue to serve their communities as safe and accessible recreational and cultural venues and emergency re- sponse centers. 1602

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z California fairs, especially in remote regions with limited resources, also provide benefits to their local communities in the form of economic activity, agricul- tural education to the public and an affordable annual community event that highlights agriculture. All these benefits are discussed below in the “Results of Eco- nomic Impact Assessment/Analysis”

section of this document and further discussed in detail in the Initial Statement of Reasons document. The proposed regulations provide a mechanism for the Department to address contemporary and future needs through projects involving major and deferred maintenance; fair projects necessary due to an emer- gency; projects that are required by physical changes to the fair site; projects that are required to protect the fair property or installation, as well as for the acquisition or improvement of any property or facility that will serve to enhance the operation of the fair.

EV ALUATION OF INCONSISTENCY/INCOMPATIBILITY WITH EXISTING STATE REGULATIONS The Department has determined that the proposed regulations are consistent and compatible with existing State regulations. The Department is the only state agency charged with the oversight of the Network and Fair and Exposition fund. There are no regulations gov- erning the distribution of allocations from the Fair and Exposition fund to the Network or regulations pertain- ing to

Section 19620.15. DISCLOSURES REGARDING THE PROPOSED ACTION The Department makes the following initial determinations: 1) Mandate on local agencies and school districts: None. 2) Fiscal impact on public agencies, including costs/savings to state agencies or costs/savings in federal funding to the state: The proposed regulations will increase administrative cost to the Department and to those fairs that chose to qualify for Funding.

Department staff time and resources will be needed to process applications for Funding, administer grants for those projects authorized to receive Funding, conduct compliance audits, and to implement remedial action when a fair or its lessee fails to comply with the work conditions required by

Section 19620.15. In addition, fairs may also see additional administrative cost in applying for Funding, managing grants for projects, and responding to the Department during an audit or remedial action. However, administrative costs are unavoidable as they are necessary to ensure the Department and the Network are meeting the requirements established by

Section 19620.15. The Department estimates its annual costs will increase by $1,098,000 during the first three fiscal years (2020−21, 2021−22, and 2022−23) and that the ongoing cost will be $776,000 thereafter. For fairs that elect to become eligible to receive Funding, the work conditions required by

Section 19620.15 for Funding will result in additional costs of doing business.

Since it is within a fair’s discretion whether it elects to become eligible for Funding, a fair would need to balance the cost of providing the required work conditions and the benefits of receiving allocations for much needed deferred maintenance and improvements as well as general operational support. 3) Cost to any local agency or school district which must be reimbursed in accordance Government Code sections 17500 through 17630: None. 4) Other nondiscretionary costs or savings imposed on local agencies: None. 5) Cost or savings in federal funding to the state: None. 6) Cost impacts on a representative private person or business: As established in

Section 19620.15, to qualify for Funding, a fair must require their lessees provide their non−management employees with certain work conditions, unless their non−management employees meet the express exemptions. Some lessees may already be required by federal and state law to provide the work conditions in

Section 19620.15, such as meal breaks and premium pay for overtime, and their employees would not be affected by a fair’s election to receive Funding. Providing the work conditions required by

Section 19620.15 may increase the cost of doing business for those private individuals or businesses that fall within the regulations’ definition of “lessee” and which do not already provide the required work conditions to non−management employees. In addition, if a fair receives Funding, their lessees may see additional administrative cost in responding to the Department during an audit or during remedial action. The cost will vary on a case−by−case basis and therefore, it is infeasible to quantify at this time.

The Department anticipates that the impact of the regulations will be localized and minor and will, therefore, not have a significant adverse economic impact on California businesses, including the 1603

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z ability of California businesses to compete with businesses in other states. 7) Significant effect on housing costs: None.

RESULTS OF THE ECONOMIC IMPACT ANALYSIS/ASSESSMENT The Department initially concludes that the proposed regulations, by facilitating Funding to the Network in accordance with statutory requirements: (1) is unlikely to eliminate jobs in California (2) is unlikely to create a measurable number of new jobs in California (3) is unlikely to eliminate existing businesses in California (4) is unlikely to create a measurable number of new businesses in California (5) is unlikely to positively affect the expansion of businesses in California in a measurable way (6) is likely to boost local economies through: increased local demand for construction services; enhanced fairgrounds facilities to host exhibitions, expositions, and cultural and recreational events; and increased local spending power due to enhanced salary and work conditions for non−management employees. (7) is likely to support and improve the delivery of public services statewide, particularly during emergencies, through safety and accessibility improvements to fairground facilities; and (8) is likely to benefit the public good and disadvantaged populations at the local and state−level through increased improvements to the fairgrounds’ cultural and recreational venues.

ECONOMIC IMPACT OF ADDED COSTS TO FAIRS AND THEIR LESSEES

Section 19620.15 requires certain work conditions be provided to non−management employees of a fair and its lessees for a fair to be eligible for Funding. The De- partment anticipates that as a result of this rulemaking to implement the requirements of

Section 19620.15, there may be added costs to fairs that choose to apply for Funding, as well as the fairs’ lessees. However, given that the decision to become eligible is voluntary, it can be expected that fairs will perform cost−benefit analy- ses to determine whether the additional cost of provid- ing the work conditions is outweighed by the benefits of receiving allocations. ECONOMIC IMPACT OF THE REGULATIONS ON THE DEPARTMENT’S ABILITY TO ALLOCATE FUNDING FOR THE DELIVERY OF PUBLIC HEALTH AND SAFETY SERVICES The proposed regulations themselves are not antici- pated to have an economic impact, as the Funding and requirements for eligibility are established by legisla- tion codified at

Section 19620.15. The proposed regula- tions establish procedures which will facilitate the allo- cations from the Fair and Exposition fund to the Net- work in accordance with

Section 19620.15 requirements. The California Department of Tax and Fee Adminis- tration (CDTFA) is charged with the responsibility of estimating the gross receipts for sales generated at state−designated fairs. According to the CDTFA’s ini- tial estimate, gross receipts for state−designated fairs for FY 2019−20 will be $2,484,961,513. Depending on the State of California’s budget process, this means that in November 2019 a total of $18,637,211.35 may be available for distribution to eligible state−designated fairs 2.

Amount of Funding appropriated to the Fair and Ex- position fund for allocation to the Network will depend on the aggregated sales and use tax generated statewide from sales on the real property of state−designated fairs, and the actual amount made available on the state’s bud- get to the Department for this purpose. Amount and availability of Funding for allocation to individual fairs will depend on the number of fairs eligi- ble to receive Funding, and the cost, project, and level of urgency of eligible fairs’ needs.

The urgent needs of the Network are deferred mainte- nance projects as most fairgrounds’ facilities were built in the 1930s and 1940s utilizing materials that currently make maintaining and updating the existing infrastruc- ture technically challenging and onerous. The highest deferred maintenance priority of the Department and Network is to provide safe and accessible facilities for use by the general public during annual fairs, events, and in response to emergencies.

In 2019, CDFA contracted with the California Fairs Services Authority, a joint powers authority, to perform a deferred maintenance survey of all active fairs. The survey requested general information on priority needs. Sixty−five fairs participated in the survey and their cur- sory input quantified the more immediate deferred maintenance needs at the fairgrounds at an estimated cost of $138 million.

Beyond the maintenance chal- 2 This figure is an annualized calculation based on the CDTFA’s statewide revenue estimate for the third quarter of 2018; it as- sumes a 3.2 percent increase based on the CIP index for the LA area. 1604

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z lenges that antiquated facilities pose, in some instances, deterioration levels are such that they have been deemed fire, life and safety hazards by the State Fire Marshall or local fire protection agencies. In order to guarantee the physical safety of the public and fair staff, the more seriously affected fairs have had to limit use of certain buildings/areas of the fairground, which in turn has limited their ability to generate revenue through fa- cility rentals and serve the community.

Funding will be distributed statewide among the fairs for a multitude of projects. The Department anticipates that the regulations will facilitate allocations to fairs re- gardless of their size or geographical location and will allow the Department to ensure compliance with the re- quirements of Sections 19620.15 and 19620.2.

SMALL BUSINESS DETERMINATION The Department has determined that the proposed regulations will not affect or have a material economic impact on small business that typically operate on fair- grounds because they exclude business with less than 50 employees and require that tenancy be exclusive and continuous for a period of one year of longer. The ma- jority of businesses that operate on fairgrounds consist of mobile vendors, such as food and beverage conces- sions and novelty retailers, as well as traveling carnivals that rent space for the duration of the annual fair or other short−term events.

These small businesses will not be impacted by the work conditions required by

Section 19620.15. CONSIDERATION OF ALTERNATIVES In accordance with subdivision (a)(13) of Govern- ment Code

Section 11346.5, the Department must de- termine that no reasonable alternative it considered or that has otherwise been identified and brought to the at- tention to the Department would be more effective in carrying out the purpose for which the action is pro- posed or would be as effective and less burdensome to affected private persons than the proposed action or would be more cost−effective to affected private per- sons and equally effective in implementing the statuto- ry policy or other provision of law.

While drafting the proposed regulations, the Depart- ment conducted three workshops for the Network to provide comment. The workshops were conducted on June 12, July 11 and August 28 in Sacramento. Partici- pants attended in person or interacted live via webinar. Participation was robust with an average of 47 partici- pants per workshop.

Additionally, the Department will accept statements or arguments with respect to alternatives to the pro- posed regulations during both the written comment pe- riod and at a hearing that will be held January 15, 2020 at 9:30 a.m. in the Auditorium of the California Depart- ment of Food and Agriculture.

CONTACT PERSONS Inquiries concerning the proposed administrative ac- tion may be directed to: John Quiroz, Fairs and Expositions Branch Chief California Department of Food and Agriculture 1220 N Street, Sacramento, CA 95814 john.quiroz@cdfa.ca.gov Phone: (916) 900−5025 Alternative contact person for these inquiries: Kathy Diaz−Cretu Special Assistant — Marketing Services Division California Department of Food and Agriculture 1220 N Street, Sacramento, CA 95814 Kathy.diaz@cdfa.ca.gov 916−900−5175 A V AILABILITY OF STATEMENT OF REASONS, TEXT OF PROPOSED REGULATIONS AND RULEMAKING FILE The Department will have the entire rulemaking file available for inspection and copying throughout the rulemaking process at the above office address.

As of the date this notice is published in the Notice Register, the rulemaking file consists of this notice, the proposed text of the regulation, the Initial Statement of Reasons, and all the information upon which this proposal is based. A V AILABILITY OF CHANGED OR MODIFIED TEXT After considering all timely and relevant comments, the Department may adopt the proposed regulations substantially as described in this notice.

If the Depart- ment makes modifications which differ, but are suffi- ciently related to the originally proposed text, it will make the full text of the modified regulations, with the changes clearly indicated, available to the public for at least 15 days prior to the date on which the agency adopts the resulting regulations. Please send requests for copies of any modified regulations to the attention of John Quiroz or Kathy Diaz−Cretu at the address, email, or phone number provided in the “Contact Per- sons”

section above. The Department will accept writ- ten comments on the modified regulations for 15 days after the date on which they are made available. 1605

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z A V AILABILITY OF THE FINAL STATEMENT OF REASONS Upon its completion, copies of the Final Statement of Reasons may be obtained by contacting those listed in the “Contact Persons”

section above. A V AILABILITY OF DOCUMENTS ON THE INTERNET Electronic copies of the Notice of Proposed Rule- making, the Initial Statement of Reasons, and the pro- posed text of the regulation, with modifications in un- derline and strikeout, will be posted at https://www. cdfa.ca.gov/mkt/regulations.html by the Division of Marketing Services. TITLE 4.

CALIFORNIA HORSE RACING BOARD NOTICE OF PROPOSAL TO AMEND RULE 2049, DESIGNATION AND APPROV AL OF HORSEMEN’S WELFARE FUND The California Horse Racing Board (Board) propos- es to amend the regulation described below after con- sidering all comments, objections, or recommendations regarding the proposed action. PROPOSED REGULATORY ACTION The Board proposes to amend Rule 2049, Designa- tion and Approval of Horsemen’s Welfare Fund, of the California Code of Regulations, Title 4, Division 4.

The proposed changes to Rule 2049 will increase the maxi- mum allowable number of directors or trustees of the Horsemen’s Welfare Fund from nine to eleven and in- crease the length of the term for a director or trustee from two years to three. The proposed changes will also eliminate the requirement that at least forty percent of the directors or trustees have no financial interest in horse racing as a licensed horse owner, trainer, or assis- tant trainer and not be current members of the horse- men’s organization responsible for establishing the Horsemen’s Welfare Fund.

PUBLIC HEARING The Board will hold a public hearing starting at 9:30 a.m., Thursday, January 23, 2020, or as soon after that as business before the Board will permit, at the San- ta Anita Park Race Track, Baldwin Terrace Room, 285 West Huntington Drive, Arcadia, California. At the hearing, any person may present statements or argu- ments orally or in writing about the proposed action de- scribed in the informative digest. It is requested, but not required, that persons making oral comments at the hearing submit a written copy of their testimony at the hearing.

WRITTEN COMMENT PERIOD Any interested person, or their authorized representa- tive, may submit written comments about the proposed regulatory action to the Board. The written comment period closes on January 13, 2020. All comments must be received by that time at the Board. However, written comments may still be submitted at the public hearing. Submit comments to: Rick Pimentel Associate Governmental Program Analyst California Horse Racing Board 1010 Hurley Way, Suite 300 Sacramento, CA 95825 (916) 274−6043 Fax: (916) 263−6042 repimentel@chrb.ca.gov AUTHORITY AND REFERENCE Authority:

Section 19440, Business and Professions Code. Reference: Sections 19641 and 19641.2, Business and Professions Code. Business and Professions Code

section 19440 autho- rizes the Board to adopt the proposed regulatory amendment, which would implement, interpret, or make specific sections 19641 and 19641.2 of the Busi- ness and Professions Code. INFORMATIVE DIGEST/POLICY STATEMENT OVERVIEW Business and Professions Code

section 19641 pro- vides for the distribution of redistributable money re- sulting from specified horse racing meetings to a wel- fare fund established for the benefit of horsemen and horsewomen and backstretch personnel. Business and Professions Code

section 19641.2 provides that the nonprofit foundation authorized to receive funds pur- suant to

section 19641 shall use those funds to adminis- ter a health and welfare trust fund. Rule 2049, Designation and Approval of Horsemen’s Welfare Fund, provides that the charitable corporation organized by the horsemen’s organization shall have a minimum of five and maximum of nine directors who are subject to Board approval. The recognized charita- 1606

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z ble corporation of the horsemen’s organization is the California Thoroughbred Horsemen’s Foundation, Inc. (CTHF). Rule 2049 provides that directors of CTHF may also be directors of the horsemen’s organization if at least forty percent of the directors have no financial interest in horse racing as a licensed horse owner, train- er, or assistant trainer and are not a current member of the horsemen’s organization.

CTHF has asked the Board to amend Rule 2049 to provide for additional di- rectors, eliminate the requirement that a percentage of directors have no financial interest in horse racing as a Board licensee and not be a director of the horsemen’s organization, and extend the term for a director from two years to three years. The proposed amendment to Rule 2049 will allow CTHF to expand its board of directors. Currently, the maximum number of directors is nine. The proposed amendment will authorize the CTHF to have a mini- mum of five and a maximum of eleven directors.

An ex- panded CTHF board of directors will provide it with the opportunity to appoint directors who would bring both financial means and a network of contacts to potentially assist the CTHF. Additional directors will also provide the opportunity for existing directors to educate and cultivate new directors without the need to replace the existing directors. This will allow for continuity in CTHF activities and decision−making. The current CTHF board of directors is composed of nine persons.

Rule 2049 requires that forty percent of the directors have no financial interest in horse racing as CHRB licensees and not be members of the horsemen’s organization. The proposed amendment to Rule 2049 will eliminate this requirement but keep intact the re- quirement that at least one director have no financial in- terest in horse racing pursuant to Business and Profes- sions Code

section 19641.2(c). This will allow CTHF to recruit the most qualified and knowledgeable individu- als who have a strong interest in CTHF’s activities. All other changes to the text of Rule 2049 are for the purposes of clarity and consistency. POLICY STATEMENT OVERVIEW/ANTICIPATED BENEFITS OF PROPOSAL The proposed amendment to subsection 2049(

a) will increase the maximum allowable number of directors or trustees of the charitable corporation from nine to eleven. The recognized charitable corporation of the horsemen’s organization is the California Thorough- bred Horsemen’s Foundation, Inc. (CTHF), which is an operating foundation that does not exist by an en- dowment. Fund raising activities are an important part of CTHF’s success. Allowing CTHF to expand its board of directors will provide it with the opportunity to ap- point directors or trustees who would bring both finan- cial means and a network of contacts to potentially as- sist CTHF.

Additional directors will also provide the opportunity for existing directors to educate and culti- vate new directors without the need to replace the exist- ing directors. This will allow for continuity in CTHF ac- tivities and decision−making. The proposed amendment to subsection 2049(

a) will also increase the length of the term for a director or trustee of the charitable corporation from two years to three. The change from a two−year term for a director or trustee to a three−year term will provide greater stabili- ty, be less disruptive to the nomination process, and al- low for a better determination of a director or trustee’s merit. Finally, the proposed amendment to subsection 2049(

a) will eliminate the requirement that forty per- cent of the current directors or trustees of the charitable corporation have no financial interest in horse racing as licensees and not be members of the horsemen’s organi- zation that established the charitable corporation. This will allow CTHF to recruit qualified individuals who have a keen interest in CTHF’S activities and responsi- bilities. CTHF has found that the present rule is too re- strictive, as such qualified individuals are already li- censed owners, trainers, or assistant trainers or serve as directors for the horsemen’s organizations.

CONSISTENCY EV ALUATION Evaluation of Consistency and Compatibility with Existing State Regulations: During the process of de- veloping the proposed amendment, the Board has con- ducted an evaluation for any related regulations and has determined that Rule 2049 is the only regulation deal- ing with the establishment of a charitable corporation by a horsemen’s organization to administer a welfare fund for the benefit the horsemen. Therefore, the pro- posed regulation is neither inconsistent nor incompati- ble with existing state regulations.

DISCLOSURES REGARDING THE PROPOSED ACTION Mandate on local agencies and school districts: none. Cost or savings to any state agency: none. Cost to any local agency or school district that must be reimbursed in accordance with Government Code sections 17500 through 17630: none. Other non−discretionary cost or savings imposed up- on local agencies: none. Cost or savings in federal funding to the state: none. The Board has made an initial determination that the proposed amendment to Rule 2049 will not have a sig- 1607

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z nificant statewide adverse economic impact directly af- fecting business, including the ability of California businesses to compete with businesses in other states. The following studies/relevant data were relied upon in making the above determination: none. Cost impacts on representative private persons or businesses: The Board is not aware of any cost impacts that a representative private person or business would necessarily incur in reasonable compliance with the proposed action. Significant effect on housing costs: none.

RESULTS OF ECONOMIC IMPACT ASSESSMENT The adoption of the proposed amendment to Rule 2049 will not (1) create or eliminate jobs within Califor- nia; (2) create new businesses or eliminate existing businesses within California; (3) affect the expansion of businesses currently doing business within California; (4) protect worker safety; or (5) benefit the state’s envi- ronment.

The rule mandates the number of directors the charitable corporation may have, and mandates how many of those directors must not have a financial inter- est in horse racing as a licensed horse owner, trainer, or assistant trainer and not be current members of the horsemen’s organization.

The proposed regulation will strengthen and help maintain the integrity of the Cali- fornia Thoroughbred Horsemen’s Foundation (CTHF), the charitable corporation that administers the welfare fund for the benefit of horsemen, which will benefit the health and welfare of California residents by contribut- ing to the well−being of backstretch workers. Effect on small businesses: none. The proposal to amend Rule 2049 does not have an effect on small busi- nesses because horse racing is not a small business un- der Government Code

section 11342.610. CONSIDERATION OF ALTERNATIVES In accordance with Government Code

section 11346.5, subdivision (a)(13), the Board must determine that no reasonable alternative considered by the Board, or that has otherwise been identified and brought to the attention of the Board, would be more effective in car- rying out the purpose for which the action is proposed, would be as effective and less burdensome to affected private persons than the proposed action, or would be more cost−effective to affected private persons and equally as effective in implementing the statutory poli- cy or other provision of law.

The Board invites interested persons to present state- ments or arguments with respect to alternatives to the proposed regulation at the scheduled hearing or during the written comment period.

CONTACT PERSONS Inquiries concerning the substance of the proposed action and requests for copies of the proposed text of the regulation, the initial statement of reasons, the modified text of the regulation, if any, and other information upon which the rulemaking is based should be directed to: Rick Pimentel Associate Governmental Program Analyst California Horse Racing Board Policy and Regulations Unit 1010 Hurley Way, Suite 300 Sacramento, CA 95825 (916) 274−6043 repimentel@chrb.ca.gov If the person named above is not available, interested parties may contact: Amanda Drummond, Manager Policy and Regulations (916) 263−6033 A V AILABILITY OF INITIAL STATEMENT OF REASONS AND TEXT OF PROPOSED REGULATION The Board will have the entire rulemaking file avail- able for inspection and copying throughout the rule- making process at its office at the above address.

As of the date this notice is published in the Notice Register, the rulemaking file consists of this notice, the proposed text of the regulation, and the initial statement of rea- sons. Copies of these documents may be obtained by contacting Rick Pimentel, or the alternate contact per- son, at the address, phone numbers, or e−mail addresses listed above. A V AILABILITY OF MODIFIED TEXT After holding a hearing and considering all timely and relevant comments received, the Board may adopt the proposed regulation substantially as described in this notice.

If modifications are made that are sufficient- ly related to the originally proposed text, the modified text, with changes clearly marked, shall be made avail- able to the public for at least 15 days prior to the date on which the Board adopts the regulation. Requests for copies of any modified regulation should be sent to the attention of Rick Pimentel at the address stated above. The Board will accept written comments on the modi- fied regulation for 15 days after the date on which it is made available. 1608

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z A V AILABILITY OF FINAL STATEMENT OF REASONS Requests for copies of the final statement of reasons, which will be available after the Board has adopted the proposed regulation in its current or modified form, should be sent to the attention of Rick Pimentel at the address stated above. BOARD WEB ACCESS The Board will have the entire rulemaking file avail- able for inspection throughout the rulemaking process at its website. The rulemaking file consists of the notice, the proposed text of the regulation, and the initial state- ment of reasons.

The Board’s website address is www.chrb.ca.gov. TITLE 4. CALIFORNIA HORSE RACING BOARD DIVISION 4, NOTICE OF PROPOSAL TO ADD RULE 1846.6, POSTMORTEM EXAMINATION REVIEW The California Horse Racing Board (Board or CHRB) proposes to add the regulation described below after considering all comments, objections, and recom- mendations regarding the proposed action.

PROPOSED REGULATORY ACTION The Board proposes to add Rule 1846.6, Postmortem Examination Review, to require that a postmortem ex- amination review panel, consisting of a steward, a safe- ty steward, and the Equine Medical Director or desig- nated official veterinarian, be convened to determine the circumstances of each equine fatality occurring within a CHRB inclosure. The review will require the appearance before the panel of the trainer of the expired horse, as well as the production of the horse’s training and medical records that cover a minimum of 60 days prior to its date of death.

The rule will also require that the panel prepare and file a written report with the Exec- utive Director and the owner and trainer of the expired horse. PUBLIC HEARING The Board will hold a public hearing starting at 9:30 a.m., Thursday, January 23, 2020, or as soon after that as business before the Board will permit, at the San- ta Anita Park Race Track, 285 West Huntington Drive, Arcadia, California. At the hearing, any person may present statements or arguments orally or in writ- ing about the proposed action described in the informa- tive digest.

It is requested, but not required, that persons making oral comments at the hearing submit a written copy of their testimony. WRITTEN COMMENT PERIOD Any interested persons, or their authorized represen- tative, may submit written comments about the pro- posed regulatory action to the Board. The written com- ment period closes on January 13, 2020. The Board must receive all comments at that time. However, writ- ten comments may still be submitted at the public hear- ing.

Submit comments to: Nicole Lopes−Gravely, Regulation Analyst California Horse Racing Board 1010 Hurley Way, Suite 300 Sacramento, CA 95825 (916) 263−6397 Fax: (916) 263−6022 nlgravely@chrb.ca.gov AUTHORITY AND REFERENCE Authority cited:

Section 19440, Business and Profes- sions Code. Reference: Sections 19435 and 19444(c), Business and Professions Code.

Section 2032.3, Cali- fornia Code of Regulations. Business and Professions Code

section 19440 autho- rizes the Board to adopt the proposed regulation, which would implement, interpret, or make specific sections 19435, 19440 and 19444(c), Business and Professions Code. INFORMATIVE DIGEST/POLICY STATEMENT OVERVIEW Business and Professions Code

section 19435 pro- vides that the Board, its executive director, or the stew- ards, may issue subpoenas for the attendance of wit- nesses or the production of any records, books, memo- randa, documents, or other papers or things, as is neces- sary to enable any of them to effectually discharge their duties, and may administer oaths or affirmations as nec- essary in connection therewith. Business and Profes- sions Code

section 19440 provides that the Board shall have all powers necessary and proper to enable it to car- ry out fully and effectually the purposes of this chapter. Responsibilities of the Board shall include adopting rules and regulations for the protection of the public and the control of horse racing and pari−mutuel wagering. Business and Professions Code

section 19444(

c) states 1609

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z that the Board may, in performing its responsibilities under this chapter, conduct research to determine more fully the cause and prevention of horse racing accidents. The proposed addition of Rule 1846.6, Postmortem Examination Review, will require that a postmortem examination review panel be convened to determine the circumstances of each equine fatality occurring within a CHRB inclosure.

The review will require the appear- ance of the trainer of the expired horse before the panel, as well as the production of the horse’s training and medical records for the 60 days prior to its date of death. The rule will also require that the panel prepare and file a written report with the Executive Director as well as the owner and trainer of the expired horse.

The rule is intended to be a mechanism for the continuing educa- tion of trainers and veterinarians and will also serve as an important research opportunity “to determine more fully the cause and prevention of horse racing acci- dents” as permitted by Business and Professions Code

section 19444(c). Specifically, the proposed addition of Rule 1846.6 will require in subsection (

a) that the Board conduct a postmortem examination review to determine the cir- cumstances behind all equine fatalities occurring with- in a CHRB inclosure. This creates a blanket require- ment that the Board will investigate the circumstances behind every equine death that occurs within a CHRB− licensed inclosure using the postmortem examination review process. Such consistent review will ensure that all equine fatalities occurring at a racetrack are thor- oughly and equally investigated so that future accidents may be prevented.

Furthermore, the requirement af- fords the trainers and veterinarians who cared for the deceased horse an opportunity to receive case−specific recommendations from panel members on how to better train and treat their horses in the future. Subsection 1846.6(

b) requires that the postmortem examination review panel be conducted by a member of the board of stewards, a safety steward, and the Equine Medical Director or designated official veterinarian. Subsection 1846.6(

b) clearly defines the composition of the panel so that a complete and thorough review may be conducted for each fatality. Each of the designated panel members represents an area of expertise, includ- ing equine medicine and health, track safety, and horse- manship. By virtue of the positions they hold, the stew- ard, safety steward, and Equine Medical Director all possess substantial knowledge of racehorse care that is essential to the analysis and educational aspects of the review. Subsection 1846.6(

c) requires that the trainer, as well as any other licensee the panel deems necessary, appear at the postmortem examination review. This is neces- sary because it is the trainer who, under Rule 1887, Trainer or Owner to Insure Condition of Horse, ensures the condition of the horse. The trainer is responsible for how the horse is trained, medicated, and cared for while racing in California. Accordingly, it is the trainer who will have the most knowledge of the horse if the panel has specific questions about its training and health.

De- pending on the nature of the fatality, other licensees− such as the horse’s veterinarian or jockey−may also need to appear to answer questions about the circum- stances surrounding the horse’s death. Subsection 1846.6(

d) requires that the trainer make available at the postmortem examination review the training records for the expired horse, which shall in- clude exercise, medication, and shoeing histories for a minimum of 60 days prior to the date of death of the horse.

This is necessary because in order for the review panel to fully assess all circumstances surrounding the horse’s death, the panel must be able to review details of the horse’s recent training regime, including medica- tions it received and when and how it was shoed. 1 A minimum 60−day overview provides the panel with two complete months of insight into the daily care of the horse, which the Board has determined is an adequate period to identify any unique or recurring events that may have led to the horse’s death.

Because many train- ers tend to oversee multiple horses, review of their actu- al records is the best way to ensure the most accurate and specific training histories are analyzed. By review- ing these records, the panel will have the opportunity to identify specific training sessions, medication adminis- trations, and/or shoeing decisions that may have con- tributed to the horse’s fatality. Any one of these aspects of a horse’s care, if mistakenly or negligently carried out, can substantially increase the chance that an acci- dent will occur while the horse is racing.

Training records may reveal that the horse was run too hard in the days leading up to its accident. Medication records may show that the horse accidentally received too much of a certain drug. Shoeing histories may reveal that the horse was shoed to correct a misdiagnosed problem. Any of these issues will assist the panel in determining what led to the horse’s death. Moreover, by looking at the train- ing histories of deceased horses over time, the panel may be able to determine that there are specific training practices, medications, and shoeing choices that corre- late with an increased risk of fatality.

Identifying such practices will allow the CHRB to better regulate horse racing and will increase safety on the race track. Subsections 1846.6(e)(1) through (7) will require that all CHRB−licensed veterinarians attending a horse 1 Race horses require a wide range of shoes because of the differ- ent types of race surfaces and conditions in which they perform. The condition of the horse’s feet may also influence the type of shoe used. Bruising, abscesses and quarter cracks are some of the issues farriers and trainers may address with shoeing. 1610

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z having died within a CHRB inclosure make available at the postmortem examination review a

summary medi- cal record covering a minimum of 60 days prior to the date of death of the horse, or longer if requested by the postmortem review panel. The

summary record shall include history of the horse’s medical status, data from physical examination, treatment plans, medications prescribed and dispensed, daily progress and disposi- tion of the case, laboratory data, and diagnostic images. This information is necessary because a horse’s veteri- nary medical condition, including physical examina- tion findings, certain veterinary treatments and proce- dures, and medications and medication levels, have all been linked to racing injuries, both catastrophic and lesser injuries.

Some veterinary treatments and medica- tions may adversely affect a horse’s health and increase its risk of accident or fatality. By reviewing the horse’s complete medical history, the postmortem review panel will have the opportunity to identify specific veterinary treatments that may have contributed to the horse’s fatality. Subsection 1846.6(

f) provides that any copies of lab- oratory data or diagnostic images, pursuant to subsec- tion (e)(6) and (7), respectively, are the property of the veterinary facility that originally ordered their prepara- tion and require client authorization before the records may be released. This is in keeping with Business and Professions Code

section 4857, which addresses the protection of the veterinarian/client/patient relation- ship. This also prevents the public dissemination of cer- tain private information that is conveyed during the re- view. By restricting the panel from retaining the docu- ments it inspects, the documents will not be subject to a Public Records Act request. This is important to trainers and veterinarians because the training and treatment regimens they use are often unique and contribute largely to their professional value in their occupations. Subsection 1846.6(

g) requires that the postmortem examination review panel file a written report with the Executive Director and the owner and trainer of the ex- pired horse. This is necessary because one of the major purposes of this regulation is to study and understand the cause of horse racing accidents so that they may be prevented in the future. By recording the determined cause of each horse fatality with the Executive Director, such reports can be reviewed in bulk to identify certain training and veterinary practices that correlate with an increased risk of fatality.

Identifying such practices will allow the CHRB to better regulate horse racing and will increase safety on the race track. Furthermore, requir- ing the panel to provide copies of its report to the trainer and owner of the horse completes the intended educa- tion element by informing the parties what the deter- mined cause of death was. Such information will help trainers, veterinarians, and other involved licensees im- prove their own horsemanship.

POLICY STATEMENT OVERVIEW OF ANTICIPATED BENEFITS OF PROPOSAL The proposed addition of Rule 1846.6 promotes the safety and welfare of horses racing in California by fa- cilitating in−depth research and review into the training and medical histories of expired horses. Presently, CHRB Rule 1846.5, Postmortem Examination, re- quires that every horse that dies within an area under the jurisdiction of the Board undergo a postmortem exami- nation in a diagnostic laboratory to determine the injury or sickness that resulted in euthanasia or natural death.

While such examinations are useful in determining the cause of death, they rarely provide any information about what triggered the fatality. For instance, while a horse may suffer a fatal accident due to a broken leg, no further information is obtained to determine why the leg broke. The purpose of the postmortem examination re- view is to investigate the circumstances surrounding an equine fatality to gain an understanding of all events that may have contributed to the incident.

By exploring the training and medical histories of expired horses, the postmortem examination review panel will be obtain- ing new and unique information that can better assist the CHRB in identifying correlations between common training and medical practices and fatal accidents on and off the racetrack. This allows the Board to educate the industry regarding which specific practices carry such an increased risk of fatality. Such information will benefit trainers and veterinarians who will be able to ad- just their practices to protect the health and welfare of horses in their care.

The proposed rule benefits trainers and veterinarians by creating an opportunity for their continued and per- sonalized education. By exploring training and medical records with the deceased horse’s trainer and veterinari- an, the panel will be able to provide case−specific rec- ommendations to prevent future injuries. This will im- prove the quality of training and veterinary services be- ing provided by CHRB−licensed trainers and veterinar- ians and will ultimately increase the safety of the sport for both human and equine athletes.

Finally, the proposed rule will benefit the horseracing industry in general by improving public perception of the sport. Implementing an in−depth review process that considers the specific circumstances behind each horse fatality within the inclosure signals to the public that the CHRB takes animal welfare very seriously. Fur- thermore, by engaging trainers and veterinarians with case−specific reviews that aim to educate the parties in- volved, safety on and off of the racetrack is bound to im- 1611

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z prove, which will also heighten public perception by re- ducing those instances when the public is audience to a racing accident. CONSISTENCY EV ALUATION During the process of developing the regulation, the Board has conducted a search of any similar regulations on this topic and has concluded that the regulation is neither inconsistent nor incompatible with existing state regulations. DISCLOSURE REGARDING THE PROPOSED ACTION/RESULTS OF THE ECONOMIC IMPACT ANALYSIS Mandate on local agencies and school districts: none.

Cost or savings to any state agency: none. Cost to any local agency or school district that must be reimbursed in accordance with Government Code sections 17500 through 17630: none. Other non−discretionary costs or savings imposed upon local agencies: none. Cost or savings in federal funding to the state: none. The Board has made an initial determination that the proposed addition of Rule 1846.6 will not have a signif- icant statewide adverse economic impact directly af- fecting businesses including the ability of California businesses to compete with businesses in other states.

The following studies/relevant data were relied upon in making the above determination: none. Cost impact on representative private persons or businesses: none. The Board is not aware of any cost impacts that a rep- resentative private person or business would necessari- ly incur in reasonable compliance with the proposed action. Significant effect on housing costs: none.

RESULT OF ECONOMIC IMPACT ANALYSIS The adoption of the proposed addition of Rule 1846.6 will not (1) create or eliminate jobs within California; (2) create new businesses or eliminate existing busi- nesses within California; or (3) affect the expansion of businesses currently doing business within California. The proposed addition of Rule 1846.6 is a benefit to the health and welfare of both human and equine athletes, as well as the public.

The proposed addition will allow the CHRB to review and analyze training and veteri- nary records of deceased race horses so that it can better understand and prevent equine racing accidents and fa- talities through education and regulation. Such efforts will increase safety in horse racing and decrease the rate of accidents occurring both on and off of the racetrack. This will not only improve the health and welfare of equine athletes, but also the human athletes that ride the horses.

Furthermore, an increase in safety and decrease in accidents will likely improve public perception of horse racing, which may result in increased wagering. An increase in wagering will have a positive economic impact on the industry by increasing handle, which in turn increases purses and commissions. The proposed addition of Rule 1846.6 will not impact worker safety or the state’s environment. Effect on small businesses: none. The proposal to add Rule 1846.6 does not affect small businesses because horse racing is not a small business under Government Code

Section 11342.610. CONSIDERATION OF ALTERNATIVES In accordance with Government Code

Section 11346.5, subdivision (a)(13), the Board must determine that no reasonable alternative considered by the Board, or that has otherwise been identified and brought to the attention of the Board, would be more effective in car- rying out the purpose for which the action is proposed, or would be as effective and less burdensome on affect- ed private persons than the proposed action, or would be more cost−effective to affected private persons and equally effective in implementing the statutory policy or other provision of law.

The Board invites interested persons to present state- ments or arguments with respect to alternatives to the proposed regulation at the scheduled hearing or during the written comment period.

CONTACT PERSON Inquiries concerning the substance of the proposed action and requests for copies of the proposed text of the regulation, the initial statement of reasons, the modified text of the regulation, if any, and other information upon which the rulemaking is based should be directed to: Nicole Lopes−Gravely California Horse Racing Board 1010 Hurley Way, Suite 300 Sacramento, CA 95825 (916) 263−6397 nlgravely@chrb.ca.gov If the person named above is not available, interested parties may contact: Robert Brodnik Staff Counsel (916) 263−6025 1612

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z A V AILABILITY OF INITIAL STATEMENT OF REASONS AND TEXT OF PROPOSED REGULATION The Board will have the entire rulemaking file avail- able for inspection and copying throughout the rule- making process at its offices at the above address. As of the date this notice is published in the Notice Register, the rulemaking file consists of this notice, the proposed text of the regulation, and the initial statement of rea- sons.

Copies may be obtained by contacting Nicole Lopes−Gravely, or the alternative contact person at the address, phone number, or e−mail address listed above. A V AILABILITY OF MODIFIED TEXT After holding a hearing and considering all timely and relevant comments received, the Board may adopt the proposed regulation substantially as described in this notice. If modifications are made which are suffi- ciently related to the originally proposed text, the modi- fied text, with changes clearly marked, shall be made available to the public for at least 15 days prior to the date on which the Board adopts the regulations.

Re- quests for copies of any modified regulation should be sent to the attention of Nicole Lopes−Gravely at the ad- dress stated above. The Board will accept written com- ments on the modified regulation for 15 days after the date on which it is made available. A V AILABILITY OF STATEMENT OF REASONS Requests for copies of the final statement of reasons, which will be made available after the Board has adopt- ed the proposed regulation in its current or modified form, should be sent to the attention of Nicole Lopes− Gravely at the address stated above.

BOARD WEB ACCESS The Board will have the entire rulemaking file avail- able for inspection throughout the rulemaking process at its web site. The rulemaking file consists of the no- tice, the proposed text of the regulation and the initial statement of reasons. The Board’s web site address is: www.chrb.ca.gov. TITLE 10. CALIFORNIA HEALTH BENEFIT EXCHANGE The Board of Directors for the California Health Ben- efit Exchange (hereinafter referred to as the “Ex- change”) proposes to amend its conflict−of−interest code after considering all comments, objections, and recommendations regarding the proposed action.

INFORMATIVE DIGEST/POLICY STATEMENT OVERVIEW Overview In March 2010, President Obama signed federal health reform legislation called the Patient Protection and Affordable Care Act (ACA). It created the opportu- nity for each state to establish a state−based health in- surance exchange to implement the ACA.

California chose to operate an exchange that is commonly known as known as “Covered California.” For purposes of this Notice, Covered California will be referred to as the “Exchange.” The Exchange’s mission is to increase the number of insured Californians, improve health care quality, lower costs, and reduce health disparities through an innovative, competitive marketplace that empowers consumers to choose their health plan. State law also specifies the powers and duties of the executive board of the Exchange. Government Code

Section 100504(a)(6) authorizes the Exchange’s Board of Directors to adopt rules and regulations, as neces- sary. The Exchange proposes this permanent rulemak- ing in furtherance of its rulemaking authority to imple- ment, interpret and make specific state and federal laws. Government Code

Section 87300 requires every state agency to adopt and promulgate a conflict−of−interest code. Agencies are required to review their code every two years and update the code when positions and divi- sions change or are created. The Exchange’s existing code was created in 2011 and approved by the FPPC in 2012. The Exchange as a state agency as grown consid- erably since that date, added many new positions and re−organized as it pursued its mission. AUTHORITY AND REFERENCE Authority: Sections 87300 and 100504, Government Code.

Reference: Sections 81004, 81008, 87202, 87203, 87204, 87206, 87207, 87208, 87209, 87210, 87300, 87301, 87302, 87302.6, 87303, 87306, 100500, and 100504, Government Code. POLICY STATEMENT The objective of the proposed regulation is to update the Exchange’s existing conflict−of−interest code. EXISTING LAW Current statutes provide that no Exchange staff or board member may be employed by, a consultant to, a 1613

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z member of the board of directors of, affiliated with, or otherwise a representative of, a carrier or other insurer, an agent or broker, a health care provider, or a health care facility or health clinic, or a trade association of any of those individuals or entities, while serving on the Ex- change board or staff. (See Government Code 100500.) Additionally, an Exchange staff or board member may not be a health care provider unless he or she receives no compensation for rendering services as a health care provider and does not have an ownership interest in a professional health care practice.

Id.

An existing statute also requires the Exchange to adopt and promulgate a conflict−of−interest code containing provisions including:  Designation of the positions within the agency which involve the making or participation in making of decisions which may foreseeably have a material effect on any financial interest, and for each such designated position, the specific types of investments, business positions, and sources of income which are reportable;  Requirement that individuals holding a designated position file a disclosure of economic interests upon assuming office, annually thereafter, and upon leaving office; and  Specific provisions setting forth any circumstances under which designated employees must disqualify themselves from making, participating in making, or using their official position to influence the making of any decision. (Government Code

Section 87302.) A current regulation adopted by the Fair Political Practices Commission contains the terms of a standard conflict−of−interest code that can be incorporated by reference in an agency’s code. (Cal. Code Regs., tit. 2,

Section 18730). A

summary of the proposed regulations’ effect on ex- isting law and regulations follows: Title 10,

Section 6400 Conflict−of−Interest Code The Conflict−of−Interest Code restates the require- ment under the Political Reform Act that all state agen- cies adopt and promulgate a conflict−of−interest code. The Fair Political Practices Commission has adopted a regulation (Cal. Code Regs., tit. 2,

Section 18730) that contains the terms of a standard conflict−of−interest code, which can be incorporated by reference into an agency’s code. The Conflict−of−Interest Code incorpo- rates that regulation by reference. Also, it specifies that the regulation and the attached Appendices designating positions and establishing disclosure categories consti- tute the Exchange’s conflict−of−interest code.

The main document also specifies that individuals holding designated positions shall file their statements of economic interest with the Exchange, which will make the statements available for public inspection and reproduction, as required under Government Code Sec- tion 81008. Further, after receiving the statements for Board members and the Executive Director, the Ex- change will make and retain copies and forward the originals to the Fair Political Practices Commission. The Exchange will retain all other statements.

Appendix A List of Designated Positions The List of Designated Positions includes all posi- tions with the Exchange that must file a disclosure of economic interests and assigns their disclosure catego- ry. It also establishes a process for designating disclo- sure requirements for Consultants/New Positions.

Positions in Disclosure Category 1 include but are not limited to Board Members, the Executive Director, the Chief Deputy Director, Deputy Directors, the Chief Fi- nancial Officer, the Chief Operations Officer, the SHOP Exchange Director, the Health Plan Contracting Direc- tor, the Chief Information Technology and Information Officer, the Chief Medical Officer, the General Coun- sel, the Communications and Marketing Director, the Legislation Director, and Staff Counsel. Positions in Disclosure Category 2 include Procure- ment Personnel.

Consultants and individuals serving in new positions are included in the list of designated positions and shall disclose pursuant to the broadest disclosure category. However, the List of Designated Positions clarifies that the Executive Director may determine in writing that a particular consultant, although in a designated position, is hired to perform limited duties and may not be re- quired to comply with the disclosure requirements de- scribed in the Code. The written determination must in- clude a description of the consultant’s duties and a state- ment of the extent of required disclosure.

This determi- nation is a public record and must be retained for public inspection. Appendix B Disclosure Categories The Disclosure Categories provide the extent of re- quired disclosure for designated positions in each of the categories. Designated positions in Disclosure Category 1 must disclose all investments and positions in business enti- ties, and income, including gifts, loans, and travel pay- ments, from the following:  Health insurance carriers.  Health insurance agents or brokers.  Health care providers.  Health care facilities or health clinics.  Pharmaceutical companies. 1614

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z  Medical device or equipment manufacturers or distributors.  Pharmacy benefit management companies  Third−party administrators (health claims only)  Non−profit foundations formed or funded by health insurance carriers  Trade associations of health insurance carriers, health insurance agents or brokers, health care providers, health care facilities or health clinics, pharmaceutical companies, and medical device or equipment manufacturers or distributors.  Organizations representing individuals with specific medical conditions.  Information technology consulting firms.  Sources of the type to provide goods, equipment, materials, supplies, and information technology or telecommunication products to the Exchange.  Sources of the type to provide personal services to the Exchange, including, but not limited to, health care and insurance research consulting firms.  Sources of the type to receive funding from or through the Exchange.

Designated positions in Disclosure Category 2 must disclose all investments and business positions in busi- ness entities, and sources of income, which provide goods, materials, supplies, and information technology or telecommunication products of the type used by the Exchange. PUBLIC HEARING The Exchange has not scheduled a public hearing on this proposed action. However, the Exchange will hold a hearing if it receives a written request for a public hearing for any interested person, or his or her autho- rized representative, no later than 15 days before the close of the written comment period.

WRITTEN COMMENT PERIOD Any interested person, or his or her authorized repre- sentative, may submit written comments relevant to the proposed regulatory action to the Exchange. The writ- ten comment period closes on January 13, 2020. The Exchange will consider only comments received at the Exchange’s office by that time. Submit written com- ments to: Faviola Adams Regulations Coordinator California Health Benefit Exchange (Covered California) 1601 Exposition Blvd. Sacramento, CA 95815 Comments may also be submitted by facsimile (FAX) at 916−228−8321 or by e−mail to regulations@covered.ca.gov.

AUTHORITY AND REFERENCE Authority: Sections 87300 and 100504, Government Code. Reference: Sections 81004, 81008, 87202, 87203, 87204, 87206, 87207, 87208, 87209, 87210, 87300, 87301, 87302, 87302.6, 87303, 87306, 100500, and 100504, Government Code. DOCUMENTS RELIED UPON None. DETERMINATIONS The Exchange has determined that the proposed amendments: 1. Impose no mandate on local agencies or school districts. 2. Impose no costs or savings on any state agency. 3. Impose no costs on any local agency or school district that are required to be reimbursed under

Part 7 (commencing with

Section 17500) of Division 4 of Title 2 of the Government Code. 4. Will not result in any nondiscretionary costs or savings to local agencies. 5. Will not result in any costs or savings in federal funding to the state. 6. Will not have any potential cost impact on private persons, businesses or small businesses. CONTACT PERSONS Inquiries concerning the proposed administrative ac- tion may be directed to: Faviola Adams Regulations Coordinator California Health Benefit Exchange (Covered California) 1601 Exposition Blvd. Sacramento, CA 95815 Telephone: (916) 228−8668 1615

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z The backup contact person for inquiries concerning the proposed administrative action may be directed to: Andrea Rosen Senior Attorney California Health Benefit Exchange (Covered California) 1601 Exposition Blvd. Sacramento, CA 95815 Telephone: (916) 228−8343 A V AILABILITY OF DOCUMENTS ON THE INTERNET Copies of the proposed amendment to the conflict− of−interest code can be accessed through our website at https://hbex.coveredca.com/regulations. TITLE 11.

COMMISSION ON PEACE OFFICER STANDARDS AND TRAINING Notice is hereby given that the Commission on Peace Officer Standards and Training (POST) proposes to amend regulations in Division 2 of Title 11 of the Cali- fornia Code of Regulations as described below in the in- formative Digest. A public hearing is not scheduled. Pursuant to Government Code

section 11346.8, any in- terested person, or his/her duly authorized representa- tive, may request a public hearing. POST must receive the written request no later than 15 days prior to the close of the public comment period. PUBLIC COMMENTS DUE BY JANUARY 13, 2020 Notice is also given that any interested person, or au- thorized representative, may submit written comments relevant to the proposed regulatory action by fax at (916) 227−4547, by email to Julie Gorwood, or by letter to: Commission on POST Attention: Julie Gorwood 860 Stillwater Road, Suite 100 West Sacramento, CA 95605−1630 AUTHORITY AND REFERENCE This proposal is made pursuant to the authority vest- ed by Penal Code

Section 13503 (authority of the Com- mission on POST) and Penal Code

section 13506 (POST authority to adopt regulations). This proposal is intended to interpret, implement, and make specific Pe- nal Code

section 13503(e), which authorizes POST to develop and implement programs to increase the effec- tiveness of law enforcement, including programs in- volving training and education courses. INFORMATIVE DIGEST/POLICY STATEMENT OVERVIEW The proposed revision to Commission Regulation 1005 would allow individuals who have completed the Regular Basic Course (RBC) or Specialized Investiga- tor Basic Course (SIBC) in California, with qualifying out of state or federal law enforcement experience, and more than six years has elapsed since completion of the RBC or SIBC, to participate in the Basic Course Waiver process.

The proposed revisions would also require all Basic Course Waiver applicants to participate in the Requali- fication Course unless entering California Law En- forcement at middle management or executive rank. This would align the waiver requirements with the cur- rent regulation requirement for individuals with Cali- fornia training and experience. The requalification course consists of an overview of basic course content along with updated instruction on California laws. It is necessary to ensure that individu- als are competent and proficient prior to appointment.

This would increase the applicants’ chance for success in the field training program and successful completion of a probationary period. The specific benefits anticipated by the proposed reg- ulatory changes to the health and welfare of California residents will be to have consistency for all individuals applying for the Basic Course Waiver testing/assess- ment process. The proposed amendment of regulation will increase the effectiveness of law enforcement stan- dards for peace officers in preserving peace, protection of public health and safety, and welfare of California.

During the process of developing these regulations and amendments, the Commission on Peace Officer Stan- dards and Training has conducted a search of any simi- lar regulations on this topic and has concluded that these regulations are neither inconsistent nor incompatible with existing State regulations. ADOPTION OF PROPOSED REGULATIONS Following the public comment period, the Commis- sion may adopt the proposal substantially as set forth without further notice, or the Commission may modify the proposal if such modifications remain sufficiently related to the text as described in the Informative Di- gest.

If the Commission makes changes to the language before the date of adoption, the text of any modified lan- guage, clearly indicated, will be made available at least 15 days before adoption to all persons whose comments 1616

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z were received by POST during the public comment pe- riod and to all persons who request notification from POST of the availability of such changes. A request for the modified text should be addressed to the agency of- ficial designated in this notice. The Commission will accept written comments on the modified text for 15 days after the date that the revised text is made available. Estimate of Economic Impact Fiscal impact on Public Agencies including Costs or Savings to State Agencies or Costs/Savings in Federal Funding to the State: None.

Non−Discretionary Costs/Savings to Local Agen- cies: None. Local Mandate: None. Costs to any Local Agency or School District for which Government Code sections 17500−17630 re- quires reimbursement: None.

Significant Statewide Adverse Economic Impact Di- rectly Affecting California Businesses, including Small Business: The Commission on Peace Officer Standards and Training has made an initial determination that the amended regulations will not have a significant statewide adverse economic impact directly affecting California businesses, including the ability of Califor- nia businesses to compete with businesses in other states.

The Commission on Peace Officer Standards and Training has found that the proposed amendments will not affect California businesses, including small busi- nesses, because the Commission sets selection and training standards for law enforcement which does not impact California businesses, including small businesses. Cost impacts on Representative Private Persons or Businesses: The Commission on Peace Officer Stan- dards and Training is not aware of any cost impacts that a representative private person or business would nec- essarily incur in reasonable compliance with the pro- posed action.

Effect on Housing Costs: The Commission on Peace Officer Standards and Training has made an initial de- termination that the proposed regulation would have no effect on housing costs. RESULTS OF ECONOMIC IMPACT ASSESSMENT PER GOV . CODE

SECTION 11346.3(

b) The adoption of the proposed amendments of regula- tions will neither create nor eliminate jobs in the State of California, nor result in the elimination of existing busi- nesses or create or expand businesses in the State of California. The benefits of the proposed amendments of regula- tions to the regulations will increase the efficiency of the state of California in delivering services to stake- holders. Thus, the law enforcement standards are main- tained and effective in preserving peace, protection of public health, safety, and welfare in California.

There would be no impact that would affect worker safety or the State’s environment.

CONSIDERATION OF ALTERNATIVES To take this action, the Commission must determine that no reasonable alternative considered by the Com- mission, or otherwise identified and brought to the at- tention of the Commission, would be more effective in carrying out the purpose for which the action is pro- posed, or would be as effective as and less burdensome to affected private persons than the proposed action, or would be more cost−effective to affected private per- sons and equally effective in implementing the statuto- ry policy or other provision of law than the proposed action.

CONTACT PERSONS Questions regarding this proposed regulatory action may be directed to Julie Gorwood, Commission on POST, 860 Stillwater Road, Suite 100, West Sacramen- to, CA 95605−1630 at (916) 227−3915. General ques- tions regarding the regulatory process may be directed to Katie Strickland at (916) 227−2802. TEXT OF PROPOSAL Individuals may request copies of the exact language of the proposed regulations and of the initial statement of reasons, and the information the proposal is based upon, from the Commission on POST at 860 Stillwater Road, Suite 100, West Sacramento, CA 95605−1630.

These documents are also located on the POST Website. A V AILABILITY AND LOCATION OF THE RULEMAKING FILE AND THE FINAL STATEMENT OF REASONS The rulemaking file contains all information upon which POST is basing this proposal and is available for public inspection by contacting the person(

s) named above. To request a copy of the Final Statement of Reasons once it has been approved, submit a written request to the contact person(

s) named above. 1617

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z TITLE 11. COMMISSION ON PEACE OFFICER STANDARDS AND TRAINING Notice is hereby given that the Commission on Peace Officer Standards and Training (POST) proposes to amend regulations in Division 2 of Title 11 of the Cali- fornia Code of Regulations as described below in the In- formative Digest. A public hearing is not scheduled. Pursuant to Government Code

section 11346.8, any in- terested person, or his/her duly authorized representa- tive, may request a public hearing. POST must receive the written request no later than 15 days prior to the close of the public comment period. PUBLIC COMMENTS DUE BY JANUARY 13, 2020 Notice is also given that any interested person, or au- thorized representative, may submit written comments relevant to the proposed regulatory action by fax at (916) 227−4823, by email to Melanie Dunn, or by letter to: Commission on POST Attention: Rulemaking 860 Stillwater Road, Suite 100 West Sacramento, CA 95605−1630 AUTHORITY AND REFERENCE This proposal is made pursuant to the authority vest- ed by Penal Code

Section 13503 (authority of the Com- mission on POST) and Penal Code

section 13506 (POST authority to adopt regulations). This proposal is intended to interpret, implement, and make specific Pe- nal Code

section 13503(e), which authorizes POST to develop and implement programs to increase the effec- tiveness of law enforcement, including programs in- volving training and education. INFORMATIVE DIGEST/POLICY STATEMENT OVERVIEW Regulation 1052 — Requirements for Course Certifi- cation, lists the requirements to obtain course certifica- tion. There are multiple proposed changes in this regulation. In a course involving manipulative skills, the course shall include a formal written safety policy.

The amend- ed regulation language will ensure training at all times will be conducted in a manner designed to minimize the risk of injury and to promote safety; and ensure a POST Regional Consultant is properly notified in writing within five (5) business days when an injury requiring more than basic first aid has occurred. This information will also provide POST staff with all information for evaluating injury reports and identifying possible relat- ed trends. The Expanded Course Outline (ECO) document re- quires specific information such as presenter name and number, course title, and page number(s).

Staff recom- mends that presenters add a revision date as best prac- tice, but there is often hesitation or resistance because there is no requirement to do so. This can present a prob- lem when there are questions about the correctness of contemporary nature of the content in the ECO. Also, the lack of revision date information can be problematic in court and when responding to California Public Records Act (CPRA) requests. The amended language will add a requirement to include a revision date in each ECO in the footer, near the page number. Both in−service and academy course(

s) safety poli- cies must include the name, location, and phone number of the nearest emergency medical facility; however, there is no requirement for the inclusion of the address, phone number, and contact person for each of the train- ing sites listed in the safety policy. By requiring this in- formation, it would reinforce the importance of student safety, proper documentation, and timely injury report- ing. It also allows POST staff to identify possible dis- crepancies between locations listed in the course certifi- cation materials and in the course safety policy.

Currently, the Academy Director, Academy Coordi- nator, and Recruit Training Officers are not required to have full−time sworn law enforcement experience; the Academy Director and Academy Coordinator are also not currently required to not have management or su- pervisory experience. In addition, a single individual may currently be assigned to the responsibilities of all three roles.

The proposed regulation amendment will add qualifications to the positions of Academy Director and Academy Coordinator to require first−level super- visory experience; require the Academy Director, Academy Coordinator, and Recruit Training Officers to have full−time law enforcement experience, and re- quire the three positions be assigned to separate individ- uals with clearly defined roles. The specific benefits anticipated by the proposed reg- ulatory changes will contribute to the health and wel- fare of California residents by providing clarity to our law enforcement presenters.

During the process of developing these regulations and amendments, the Commission on POST has con- ducted a search of any similar regulations on this topic and has concluded that these regulations are neither in- consistent nor incompatible with existing State regulations. 1618

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z ADOPTION OF PROPOSED REGULATIONS Following the public comment period, the Commis- sion may adopt the proposal substantially as set forth without further notice, or the Commission may modify the proposal if such modifications remain sufficiently related to the text as described in the Informative Di- gest.

If the Commission makes changes to the language before the date of adoption, the text of any modified lan- guage, clearly indicated, will be made available at least 15 days before adoption to all persons whose comments were received by POST during the public comment pe- riod and to all persons who request notification from POST of the availability of such changes. A request for the modified text should be addressed to the agency of- ficial designated in this notice. The Commission will accept written comments on the modified text for 15 days after the date that the revised text is made available.

ESTIMATE OF ECONOMIC IMPACT Fiscal impact on Public Agencies including Costs or Savings to State Agencies or Costs/Savings in Federal Funding to the State: None. Non−Discretionary Costs/Savings to Local Agen- cies: None. Local Mandate: None. Costs to any Local Agency or School District for which Government Code sections 17500−17630 re- quires reimbursement: None.

Significant Statewide Adverse Economic Impact Di- rectly Affecting California Businesses, including Small Business: The Commission on POST has made an ini- tial determination that the amended regulations will not have a significant statewide adverse economic impact directly affecting California businesses, including the ability of California businesses to compete with busi- nesses in other states.

The Commission on POST has found that the proposed amendments will not affect California businesses, including small businesses, be- cause the Commission sets selection and training stan- dards for law enforcement which does not impact Cali- fornia businesses, including small businesses. Cost Impacts on Representative Private Persons or Businesses: The Commission on POST is not aware of any cost impacts that a representative private person or business would necessarily incur in reasonable compli- ance with the proposed action.

Effect on Housing Costs: The Commission on POST has made an initial determination that the proposed reg- ulation would have no effect on housing costs. RESULTS OF ECONOMIC IMPACT ASSESSMENT PER GOV . CODE

SECTION 11346.3(

b) The adoption of the proposed amendments of regula- tions will neither create nor eliminate jobs in the State of California, nor result in the elimination of existing busi- nesses or create or expand businesses in the State of California. The benefits of the proposed amendments of regula- tions to the regulations will increase the efficiency of the state of California in delivering services to stake- holders. Thus, the law enforcement standards are main- tained and effective in preserving peace, protection of public health, safety, and welfare in California.

There would be no impact that would affect worker safety or the state’s environment.

CONSIDERATION OF ALTERNATIVES To take this action, the Commission must determine that no reasonable alternative considered by the Com- mission, or otherwise identified and brought to the at- tention of the Commission, would be more effective in carrying out the purpose for which the action is pro- posed, or would be as effective as and less burdensome to affected private persons than the proposed action, or would be more cost−effective to affected private per- sons and equally effective in implementing the statuto- ry policy or other provision of law than the proposed action.

CONTACT PERSONS Questions regarding this proposed regulatory action may be directed to Melanie Dunn , Commission on POST, 860 Stillwater Road, Suite 100, West Sacramen- to, CA 95605−1630 at (916) 227−4866. General ques- tions regarding the regulatory process may be directed to Katie Strickland at (916) 227−2802. TEXT OF PROPOSAL Individuals may request copies of the exact language of the proposed regulations and of the initial statement of reasons, and the information the proposal is based upon, from the Commission on POST at 860 Stillwater Road, Suite 100, West Sacramento, CA 95605−1630.

These documents are also located on the POST Website. 1619

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z A V AILABILITY AND LOCATION OF THE RULEMAKING FILE AND THE FINAL STATEMENT OF REASONS The rulemaking file contains all information upon which POST is basing this proposal and is available for public inspection by contacting the person(

s) named above. To request a copy of the Final Statement of Reasons once it has been approved, submit a written request to the contact person(

s) named above. TITLE 11. COMMISSION ON PEACE OFFICER STANDARDS AND TRAINING Notice is hereby given that the Commission on Peace Officer Standards and Training (POST) proposes to amend regulations in Division 2 of Title 11 of the Cali- fornia Code of Regulations as described below in the In- formative Digest. A public hearing is not scheduled. Pursuant to Government Code

section 11346.8, any in- terested person, or his/her duly authorized representa- tive, may request a public hearing. POST must receive the written request no later than 15 days prior to the close of the public comment period. PUBLIC COMMENTS DUE BY JANUARY 13, 2020 Notice is also given that any interested person, or au- thorized representative, may submit written comments relevant to the proposed regulatory action by fax at (916) 227−4823, by email to Melanie Dunn, or by letter to: Commission on POST Attention: Rulemaking 860 Stillwater Road, Suite 100 West Sacramento, CA 95605−1630 AUTHORITY AND REFERENCE This proposal is made pursuant to the authority vest- ed by Penal Code

Section 13503 (authority of the Com- mission on POST) and Penal Code

section 13506 (POST authority to adopt regulations). This proposal is intended to interpret, implement, and make specific Pe- nal Code

section 13503(e), which authorizes POST to develop and implement programs to increase the effec- tiveness of law enforcement, including programs in- volving training and education courses. INFORMATIVE DIGEST/POLICY STATEMENT OVERVIEW Regulation 1055(

h) refers to a requirement to retain a copy of documents that must be kept on file at a presen- ters’ facility for inspection by POST. The current Regu- lation 1055(

h) incorrectly references Regulation 1053(

a) and (b). This approved Commission change provides clean−up language to properly reference the correction Regulation of 1052(

a) and (b). The specific benefits anticipated by the proposed reg- ulatory changes to the health and welfare of California residents will be to provide clarity to our law enforce- ment presenters. During the process of developing these regulations and amendments, the Commission on POST has con- ducted a search of any similar regulations on this topic and has concluded that these regulations are neither in- consistent nor incompatible with existing State regulations.

ADOPTION OF PROPOSED REGULATIONS Following the public comment period, the Commis- sion may adopt the proposal substantially as set forth without further notice, or the Commission may modify the proposal if such modifications remain sufficiently related to the text as described in the Informative Di- gest.

If the Commission makes changes to the language before the date of adoption, the text of any modified lan- guage, clearly indicated, will be made available at least 15 days before adoption to all persons whose comments were received by POST during the public comment pe- riod and to all persons who request notification from POST of the availability of such changes. A request for the modified text should be addressed to the agency of- ficial designated in this notice. The Commission will accept written comments on the modified text for 15 days after the date that the revised text is made available.

ESTIMATE OF ECONOMIC IMPACT Fiscal impact on Public Agencies including Costs or Savings to State Agencies or Costs/Savings in Federal Funding to the State: None. Non−Discretionary Costs/Savings to Local Agen- cies: None. Local Mandate: None. Costs to any Local Agency or School District for which Government Code sections 17500−17630 re- quires reimbursement: None. Significant Statewide Adverse Economic Impact Di- rectly Affecting California Businesses, including Small Business: The Commission on POST has made an ini- 1620

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z tial determination that the amended regulations will not have a significant statewide adverse economic impact directly affecting California businesses, including the ability of California businesses to compete with busi- nesses in other states. The Commission on POST has found that the proposed amendments will not affect California businesses, including small businesses, be- cause the Commission sets selection and training stan- dards for law enforcement which does not impact Cali- fornia businesses, including small businesses.

Cost Impacts on Representative Private Persons or Businesses: The Commission on POST is not aware of any cost impacts that a representative private person or business would necessarily incur in reasonable compli- ance with the proposed action. Effect on Housing Costs: The Commission on POST has made an initial determination that the proposed reg- ulation would have no effect on housing costs. RESULTS OF ECONOMIC IMPACT ASSESSMENT PER GOV . CODE

SECTION 11346.3(

b) The adoption of the proposed amendments of regula- tions will neither create nor eliminate jobs in the State of California, nor result in the elimination of existing busi- nesses or create or expand businesses in the State of California. The benefits of the proposed amendments of regula- tions to the regulations will increase the efficiency of the state of California in delivering services to stake- holders. Thus, the law enforcement standards are main- tained and effective in preserving peace, protection of public health, safety, and welfare in California.

There would be no impact that would affect worker safety or the State’s environment.

CONSIDERATION OF ALTERNATIVES To take this action, the Commission must determine that no reasonable alternative considered by the Com- mission, or otherwise identified and brought to the at- tention of the Commission, would be more effective in carrying out the purpose for which the action is pro- posed, or would be as effective as and less burdensome to affected private persons than the proposed action, or would be more cost−effective to affected private per- sons and equally effective in implementing the statuto- ry policy or other provision of law than the proposed action.

CONTACT PERSONS Questions regarding this proposed regulatory action may be directed to Melanie Dunn , Commission on POST, 860 Stillwater Road, Suite 100, West Sacramen- to, CA 95605−1630 at (916) 227−4866. General ques- tions regarding the regulatory process may be directed to Katie Strickland at (916) 227−2802. TEXT OF PROPOSAL Individuals may request copies of the exact language of the proposed regulations and of the initial statement of reasons, and the information the proposal is based upon, from the Commission on POST at 860 Stillwater Road, Suite 100, West Sacramento, CA 95605−1630.

These documents are also located on the POST Website. A V AILABILITY AND LOCATION OF THE RULEMAKING FILE AND THE FINAL STATEMENT OF REASONS The rulemaking file contains all information upon which POST is basing this proposal and is available for public inspection by contacting the person(

s) named above. To request a copy of the Final Statement of Reasons once it has been approved, submit a written request to the contact person(

s) named above. TITLE 16. BOARD FOR PROFESSIONAL ENGINEERS, LAND SURVEYORS, AND GEOLOGISTS NOTICE IS HEREBY GIVEN that the Board for Professional Engineers, Land Surveyors, and Geolo- gists (Board) is proposing to take the action described in the Informative Digest. Any person interested may present statements or arguments orally or in writing rel- evant to the action proposed at a hearing to be held at: Hearing location: 2020 West El Camino Avenue, Suite 800 Sacramento, CA 95833 Hearing Date: January 14, 2020 Hearing Time: 10:00 a.m. to 12:00 p.m.

Written comments, including those sent by mail, fac- simile, or e−mail to the addresses listed under contact person in this Notice, must be received by the Board at its office no later than 12:00 p.m. on January 14, 2020, or must be received by the Board at the hearing. The Board, upon its own motion or at the request of any interested party, may thereafter adopt the proposals substantially as described below or may modify such 1621

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z proposals if such modifications are sufficiently related to the original text. With the exception of technical or grammatical changes, the full text of any modified proposal will be available for 15 days prior to its adoption from the per- son designated in the Notice as contact person and will be mailed to those persons who submit written or oral testimony related to this proposal or who have request- ed notification of any changes to the proposal.

Authority and Reference Citations: Pursuant to the authority vested by Sections 6716, 6765, 6799, 7818, 7854, 7887, 8710, 8749, and 8805 of the Business and Professions Code (BPC), and to implement, interpret or make specific Sections 119, 122, 158, 6706.3, 6765, 6795, 6798, 6799, 7851, 7880, 7881, 7887, 8749, 8775.3, 8801, 8802, 8804, 8804.5, and 8805 of said code, the Board is considering changes to Title 16, Divi- sions 5 and 29, Sections 407, 410, 3005, and 3010 of the California Code of Regulations (CCR) as follows: INFORMATIVE DIGEST In accordance with the provisions of the Administra- tive Procedure Act, BPC sections 6716, 7818, and 8710 authorize the Board to adopt, amend, or repeal rules and regulations which are reasonably necessary to carry out the provisions of the Professional Engineers Act (BPC sections 6700, et seq.), the Geologist and Geophysicist Act (BPC sections 7800, et seq.), and the Professional Land Surveyors’ Act (BPC sections 8700, et seq.), re- spectively.

BPC sections 6799, 7887, and 8805 pre- scribe and establish the statutory limits for the fees that the Board may charge and collect for each of the profes- sions under the regulatory jurisdiction of the Board. BPC sections 6765, 7854, and 8749 authorize the Board to issue duplicate certificates and to adopt rules and reg- ulations governing the issuance of such certificates. The Board proposes to amend Sections 407, 410, and 3005 and to adopt

Section 3010 of Divisions 5 and 29 of Title 16 of the CCR. The purpose for amending Sections 407 and 3005 is to standardize fees for services for all regulated professions, address structural imbalances in the Board’s budget and ensure future fiscal solvency. The purpose for amending

Section 410 and adopting

Section 3010 is to clarify under what circumstances cer- tificates, including duplicate certificates, will be issued. The application, examination, renewal, retired, delin- quent, and duplicate certificate fees have remained the same since 2012 and are disparate across the regulated professions. In this proposed rulemaking, the Board seeks to amend Sections 407 and 3005 to standardize said fees as detailed in Attachment I.

Section 410 is proposed to be amended and

Section 3010 is proposed to be added to address when and how the Board will is- sue certificates, including duplicate certificates. The Board anticipates the proposed standardized fee structure will foster an affordable path to licensure, align fees with the full cost of operational services, and set fees to facilitate the effective administration of the Board while meeting the needs of the public, applicants, and licensees.

The proposed fees will apply to the re- newal of licenses that expire after the effective date of the amendments to the regulations and to all other speci- fied fees to be charged as of the effective date of the amendments to the regulations. Amend Title 16 CCR Sections 407 and 3005 Relating to Fees. The existing regulations set forth the fees that may be charged and collected by the Board for an application, examination, renewal of a license, delinquency of a li- cense, and retired license. The proposed fee changes will standardize fees amongst all professions regulated by the Board.

See Attachment I for description of fee changes. The Board last adjusted fees in 2012 and that fee structure has provided operational program support until Fiscal Year (FY) 2017−18. Proposed changes to all regulatory fees across all pro- fessions are detailed below. Impact to Application, Renewal, Retired, and Delinquent Fees: The proposed fee changes will standardize fees amongst all professions regulated by the Board. Stan- dardization by regulated profession is provided in At- tachment I.

Impact to Examination Fees: For all California specific state examinations, the proposed fee changes will support the actual cost to de- velop, maintain, and administer examinations and stan- dardize fees amongst all regulated professions. For pro- fessional geologists also required to take the National Association of State Boards of Geology (ASBOG ®) ex- aminations those fees are set by the national organiza- tion and are identified in Attachment I. Transfer of Duplicate Certificate Fee from

Section 410 to

Section 407: Currently, the fee to be charged for the issuance of a duplicate certificate to a professional engineer or a pro- fessional land surveyor is specified in

Section 410, while other fees are listed in

Section 407. The fee charged to professional geologists and professional geophysicists for duplicate certificates is specified in

Section 3005, which also identifies other fees applica- ble to those professions. It is more appropriate to speci- fy all fees to be charged in one regulatory section; there- fore, the Board is proposing to specify the duplicate cer- tificate fee in

Section 407 and remove it from

Section 410. 1622

CALIFORNIA REGULATORY NOTICE REGISTER 2019, VOLUME NUMBER 48-Z Change in Duplicate Certificate Fee in

Section 3005: The Board’s internal process to issue a duplicate cer- tificate is the same whether it is issued under the laws pertaining to professional engineers and land surveyors or those pertaining to professional geologists and geo- physicists. As such, it is appropriate to charge the same fee of $10 for this service across all of the Board’s regu- lated professions. Amend Title 16, CCR

Section 410 and Adopt Title 16, CCR

Section 3010 Relating to Certificates. The Board proposes to amend

Section 410 and adopt

Section 3010 of Divisions 5 and 29, respectively, of Ti- tle 16 of the CCR relating to certificates. Currently, Sec- tion 410 addresses when and how the Board will issue certificates, including duplicate certificates, to profes- sional engineers and professional land surveyors and specifies the fee to be charged for duplicate certificates. There is no

section in the regulations promulgated un- der the Geologist and Geophysicist Act that addresses when and how the Board will issue certificates, includ- ing duplicate certificates, to professional geologists and professional geophysicists; however, the fee to be charged for duplicate certificates is specified in

Section 3005. This proposal would also add

Section 3010 to ad- dress when and how the Board will issue certificates, in- cluding duplicate certificates, to professional geolo- gists and geophysicists. This will provide consistency regarding the procedures for all of the Board’s regulated professions. Furthermore, this proposal would amend

Section 410 to remove the specific dollar amount of the fee and indi- cate that the fee to be charged for duplicate certificates is specified in

Section 407, which is the

section that lists all of the specific fees to be charged by the Board. Addi- tionally, language is proposed to be added to

Section 410 to clarify that the affidavit is to be submitted in in- stances where a certificate was destroyed or mutilated, as well as in instances where the certificate was lost, since the preceding sentence requires an affidavit in all three of those circumstances. POLICY STATEMENT OVERVIEW/ANTICIPATED BENEFITS OF PROPOSAL The necessity for this proposed regulatory action is to standardize fees for services for all regulated profes- sions and ensure future fiscal solvency for the Board.

Analysis of the Fund Condition statement confirms the Board must implement budgetary adjustments to ad- dress dissimilar fees amongst all professions it regu- lates and protect the Fund from becoming insolvent as projected in Fiscal Year (FY) 2020−21. Analysis of the Board’s fund balance measured by Months in Reserve (MIR) projects that at the end of FY 2019−20, a 0.5−month reserve will exist. The Board’s budget will become insolvent in FY 2020−21 with a deficit of −$3.3 million and −3.1 MIR. In FY 2021−22, this deficit will be approximately −$7.5 million or −6.8 MIR.

The cur- rent fee structure is not comparable to the services pro- vided. Attachment II details the Board’s fund condition updated with the 2019−20 Governor’s Budget Act. Standardizing the Board’s various fee amounts across the professions and resolving the structural fund imbal- ance are unattainable without a fee change. There are several factors that have created the need to standardize fees. On July 1, 2016, Assembly Bill 177 — Bonilla (Chapter 428, Statutes of 2015) merged the Ge- ologist and Geophysicist Account under the Profes- sional Engineer’s and Land Surveyor’s Fund into one Fund.

Prior to the Funds merging, the Geologist and Geophysicist Account was expending more than gener- ated revenue, thus creating a structural fund imbalance in the Fund. This impact has been absorbed while the Board has studied equitable and service−based fee lev- els amongst all regulated professions.

Additionally, expenditures have increased over the past four years by an average of 8 percent, or $872,000, and are tied to increases in employee salaries and bene- fits, operating expenses related to examination devel- opment costs, and pro rata charges, which in themselves have been impacted by the increases in employee salaries and benefits, as follows: Actual Positions: Fiscal Year 2014−2015: 48.0; Fis- cal Year 2015−2016: 51.0; Fiscal Year 2