SB 779: Contractors: civil penalties.

Official summary

Legislative Counsel’s Digest (official, as of the latest version). Written by nonpartisan legislative staff; reproduced verbatim.

Existing law, the Contractors State License Law, provides for the licensure and regulation of contractors by the Contractors State License Board in the Department of Consumer Affairs. Under existing law, willful or deliberate disregard by a licensed contractor of various state building, labor, and safety laws constitutes a cause for disciplinary action by the board. Existing law provides for related disciplinary proceedings and requires the board to promulgate regulations covering the assessment of civil penalties under those disciplinary provisions, as prescribed. Existing law authorizes a civil penalty not less than $200 and not to exceed $15,000 for certain violations relating to unlicensed persons, as specified. Existing law authorizes a civil penalty not to exceed $8,000 or $30,000 for other violations of the Contractors State License Law, as provided.

This bill, commencing July 1, 2026, would increase the minimum civil penalties for violations related to unlicensed persons to at least $1,500 and would impose minimum civil penalties of at least $500 or $1,500 for other specified violations, as provided. The bill would also authorize the Contractors State License Board to adjust the amounts of these minimum civil penalties for inflation every 5 years, as provided.

Existing law authorizes the board to set specified fees according to a prescribed schedule. Existing law, notwithstanding this fee schedule, authorizes the board to set fees to maintain the amount of the reserve fund at a level not to exceed approximately 6 months of annual authorized board expenditures.

This bill would increase the above-described limit on the reserve fund to a level not to exceed approximately 12 months of annual authorized board expenditures.

This bill would incorporate additional changes to Section 7099.2 of the Business and Professions Code proposed by SB 291 to be operative only if this bill and SB 291 are enacted and this bill is enacted last.

Sponsors

Sponsors by party (alphabetical): Democratic 1

“Support” is shown only as formal sponsorship recorded by the legislature. Roll-call votes are available on the official bill page.

Recent official actions

1. October 1, 2025Chaptered by Secretary of State. Chapter 233, Statutes of 2025.
2. October 1, 2025Approved by the Governor.
3. September 22, 2025Enrolled and presented to the Governor at 11 a.m.
4. September 11, 2025Assembly amendments concurred in. (Ayes 40. Noes 0. Page 2876.) Ordered to engrossing and enrolling.
5. September 9, 2025In Senate. Concurrence in Assembly amendments pending.
6. September 9, 2025Read third time. Passed. (Ayes 80. Noes 0. Page 3079.) Ordered to the Senate.
7. September 4, 2025Ordered to third reading.
8. September 4, 2025Read third time and amended.
9. September 2, 2025Read second time. Ordered to third reading.
10. August 29, 2025From committee: Do pass. (Ayes 15. Noes 0.) (August 29).
11. July 16, 2025July 16 set for first hearing. Placed on APPR. suspense file.
12. July 2, 2025Read second time and amended. Re-referred to Com. on APPR.