Loading...
HomeMy WebLinkAbout01/25/2010B A K E R S F I E L D r Staff: Committee members: John W. Stinson, Assistant City Manager Harold Hanson, Chair Rick Kirkwood, Management Assistant Irma Carson Ken Weir REGULAR MEETING OF THE BUDGET AND FINANCE COMMITTEE of the City Council - City of Bakersfield Monday, January 25, 2010, 12:00 p.m. City Hall North - Conference Room A 1600 Truxtun Avenue Bakersfield, CA 93301 A G E N D A 1. ROLL CALL 2. ADOPT OCTOBER 20, 2009 AGENDA SUMMARY REPORT 3. PUBLIC STATEMENTS 4. NEW BUSINESS A. Discussion and Committee Recommendation regarding issues Related to Unlicensed Swimming Pool Contractors - Burns B. Review, Discussion and Committeb Recommendation regarding the Annual Financial Reports - Smith C. Discussion and Committee Recommendation regarding the Transportation Development Act Audit - Rojas D. Discussion and Committee Recommendation regarding the 2010 Committee Meeting Schedule - Stinson/Kirkwood 5. COMMITTEE COMMENTS 6. ADJOURNMENT Z. ; B A K E Staff: John W. Stinson Assistant City Manager AGENDA SUMMARY REPORT REGULAR MEETING OF THE BUDGET AND FINANCE COMMITTEE Tuesday, October 20, 2009 12:00 p.m. City Hall North - Conference Room A 1600 Truxtun Avenue Bakersfield, CA 93301 The meeting was called to order at 12:04:42 PM ROLL CALL Committee Members: Harold Hanson, Chair KE n Weir Irma Carson Committee members present: Councilmember Harold Hanson, Cha r Councilmember Ken Weir Councilmember Irma Carson Staff present: Alan Tandy, City Manager Rhonda Smiley, Asst. to the City Manager Rick Kirkwood, Management Assistant Joshua Rudnick, Deputy City Attorney Brad Underwood, Asst. Public Works Dir. Sal Moretti, Solid Waste Superintendent Steve Hollingsworth, Operations Manager John W. Stinson, Assistar t City Manager Steven Teglia, Administro~tive Analyst Nelson Smith, Finance D rector Raul Rojas, Public Works Director Kevin Barnes, Solid Wast Director Luda Fishman, Business Manager Others present: 0 R S F I E L D Nancy Ewert and Doug Landon, Kern County Waste Management Dep :3rtment Greg Sanders, Metropolitan Recycling Bruce Keown, Superior S~3nitation Jacob Panero, Varner Brothers Media kGENDA SUMMARY REPORT Budget and Finance Committee Meeting Tuesday, October 20, 2009 Page 2 2. ADOPT AUGUST 31, 2009 AGENDA SUMMARY REPORT Adopted as submitted 12:05:34 PM 3. PUBLIC STATEMENTS None 12:05:41 PM 4. DEFERRED BUSINESS A. Discussion and Committee Recommendation Regarding the City Recycling Policy - Raul Rojas 12:05:50 PM Public Works Director Rojas read the suggested policy statemE nt that was provided in the agenda packet for this meeting. "To be proactive in the eduction of solid waste within the City through the promotion and implementation of -ecycling programs and other waste management strategies that are efficient, cost effective, consistent with Council goals and meet applicable State 'requirements, if any." Committee member Weir explained that there is no formal written Council policy at this time. The policy that staff has been following is the result of past practice. The Committee discussed adding this new language to the Council Goals document as an overarching goal. Specific objectives will later be deviled, which will provide direction to staff. The Committee unanimously approved this plan. The issue will now be forwarded to the entire City Council for discussion and action. 5. COMMITTEE COMMENTS None 12:19:01 PM 6. ADJOURNMENT The meeting adjourned at 12:19:09 PM S:\Council Committees\2009\8udget and Finance\October\October 20 Agenda Summary.doc MEMORANDUM DEVELOPMENT SERVICES/BUILDING DEPARTMENT December 12, 2009 TO: BUDGET & FINANCE COMMITTEE FROM: PHIL BURNS, BUILDING DIRECTOR' SUBJECT: POOL BUILDERS AND UNLICENSED SUBCONTRACTORS A group of pool builders have formed an association called Kern County Contractors Association (KCCA). One of the purposes of the association was to address the unlicensed subcontractors within their trades. The KCCA desires the City to require and enforce the use of licensed subcontractors for pool construction by requiring the permitee to provide a list of sub contractors to the City prior to permit issuance. The Building Division reviewed the request and it is our opinion that it should be handled by the State. Enforcement of licensed contractors is the jurisdiction of the State of California, Department of Consumer Affairs, Contractors State License Board "CSLB". Our role is not to police who does the work but to ensure that the work is done according to code and a permit is required that is lawfully issued to an owner-builder or contractor as required by state law. To truly do this, the requirements would have to be applied to all permit types not just pools. A commercial building may have 40 subcontractors and the logistics ensure that the stated subcontractor is doing each trade would require staff to be on site regularly. A meeting was arranged with the local CSLB enforcement staff to discuss their enforcement process and recent cases that the KCCA members had submitted. We have further assigned a staff member to be the liaison between the KCCA and CSLB. The Building Division has updated forms to comply with recent changes in owner-builder notification documentation and have offered to provide additional literature to owner builder to inform them of their potential liability. We continue to work with the KCCA to address this issue within our enforcement authority. Backaround/Findings: Building Staff met with KCCA representative on various dates prior to October 28, 2009 to discuss the problem of "pool consultants" using unlicensed subcontractors. The City's position has always been that enforcement of this issue after permit is issued is the jurisdiction of the State of California, Department of Consumer Affairs, Contractors State License Board "CSLB" and we address only the Contractor or owner builder not the Sub Contractors. This is consistent for all types of permits not just pools. KCCA desire that all subcontractors to be listed and verified on all pool permits. This would require the applicant to provide a list prior to permit issuance and for City staff to verify if the contractors on the list had the proper and current licenses for their trade. Page 1 of 3 Page 2 of 3 On October 28, 2009 a meeting was held in the City Attorney's Office with the Kern County Contractors Association and City Staff. The KCCA again brought forward the desire for the City to require all subcontractors be placed on pool permits no matter how permit was pulled (i.e. Contractor or Owner-Builder). KCCA feel unlicensed subcontractors are taking more of their business than before current financial times. According to the KCCA's statistics this year 156 pool permits have been issued of which 102 to licensed contractors and 54 to owner builders. Prior year statistics are 242 pools of which 174 to licensed contractors and 68 to owner builders. Staff understood the issue and still under opinion that the CSLB should be enforcing the issue not the City. Staff agreed to coordinate a meeting between the Association, the CSLB enforcement agency and the City. Also Staff assigned a liaison between the CSLB and KCCA. On November 11, 2009 a meeting was held in the Development Services Building with CSLB representatives, KCCA representatives and City Staff. Two Enforcement Representatives from the Statewide Investigation Fraud Team that is responsible for Kern, Tulare, Kings and Inyo Counties (25,000 sq. miles) explained the process they use for enforcement of unlicensed contractors. They explained that they have partnered with the DA's office and have recently given citations related to complaint tips given by the KCCA members. They further stated that they investigate all complaints and will call back the reporting party within 24hrs of the complaint during normal working hours and as soon as possible if complaint on the weekend. They explained that they conduct "stings" in communities to address this type of concern also. They asked the KCCA for help locating a residence to use in a "sting" in Bakersfield. They went on to discuss the typical penalties for the offenders. The KCCA representatives appeared to be happy with progress that has been made but wanted more enforcement and more severe penalties from other state and national agencies. We again discussed the City's involvement and AB2335. AB2335 is an Assembly Bill that modified the Heath and Safety Code to require an Owner-Builder to fill out and submit an additional "Notice to Property Owner" (see "Exhibit A") prior to permit issuance. We further discussed that if we were to require a list of subcontractors, an owner builder or "pool consultant" could and most likely would use the same list of subcontractors over and over. The City Building Inspectors are not on the job site at all times, thus, they would not know who actually did the work. Further, an individual may have not picked his subcontractors at the time of permit issuance or may use someone else not on list provided. Actions to Date: Implemented Owner Builder form "Notice to Property Owner" as required per AB2335 See attached exhibit "A". Met with the Association and CSLB agents to discuss the overall issue and understand the enforcement process. Established communications between the CSLB enforcement agents and the Kern County Contractors Association. Page 3 of 3 Have offered to provide Owner Builders with recommended handout "Considering Becoming an Owner-Builder?" by California Building Officials. Attached please find "Exhibit B". PB:do M. Stanley Grady, Dev. Svcs. Director John W. Stinson, Assist. City Manager Justin Crumley, Assoc. Attorney Rick Kirkwood, Management Assistant S.\Delores OldharnWemos\09-10\Budget & Finance - pool builders.doc * CITY OF BAKERSFIELD BUILDING DEPARTMENT BAKERSFIELD 1715 CHESTER AVE BAKERSFIELD, CA 93301 Office Phone: (661) 326-3720 PROPERTY ADDRESS: PERMIT NUMBER: NOTICE TO PROPERTY OWNER Dear Property Owner: An application for a building permit has been submitted in your nam~ listing yourself as the builder of the property improvements specified at We are providing you with an Owner-Builder Acknowledgment and Information Verification Form to make you aware of your responsibilities and possible risk you may incur by having this permit issued in your name as the Owner-Builder. We will not issue a building permit until you have read, initialed your understanding of each provision, signed, and returned this form to us at our official address indicated. An agent of the owner cannot execute this notice unless you, the property owner, obtain th' prior approval of the permitting authority. OWNER'S ACKNOWLEDGEMENT AND VERIFICATION OF INFORMATION DIRECTIONS: Read and initial each statement below to signify that you w derstand or verify this information. 1. 1 understand a frequent practice of unlicensed persons is to have the property owner obtain an "Owner-Builder" building permit that erroneously implies that the property owner is providing his or her own labor and material personally. I, as an Owner-Builder, may be held liable and subject to serious financial risk for any injuries sustained by an unlicensed) person and his or her employees while working on my property. My homeowner's insurance may ndt provide coverage for those injuries. I am willfully acting as an Owner-Builder and am aware of the limits of my insurance coverage for injuries to workers on my property. 2. 1 understand building permits are not required to be signed by prope y owners unless they are responsible for the construction and are not hiring a licensed Contractor to assume this responsibility. 3. 1 understand as an "Owner-Builder" I am the responsible party of record on the permit. I understand that I may protect myself from potential financial risk by hiring a licensed Contractor and having the permit filed in his or her name instead of my own. 4. 1 understand Contractors are required by law to be licensed and bonded in California and to list their license numbers on permits and contracts. 5. 1 understand if I employ or otherwise engage any persons, other thin California licensed Contractors, and the total value of my construction is at least five hundred dollars ($500), including labor and materials, I may be considered an "employer" under state and federal law. 6. 1 understand if I am considered an "employer' under state and feder~i law, I must register with the state and federal government, withhold payroll taxes, provide w rkers' compensation disability insurance, and contribute to unemployment compensation for eac "employee". I also understand my failure to abide by these laws may subject me to serious financial risk. Notice to Property Owner EXHIBIT "A" 7. 1 understand under California Contractors' State License Law, an Owner-Builder who builds single-family residential structures cannot legally build them with the intent to offer them for sale, unless all work is performed by licensed subcontractors and the numb~r of structures does not exceed four within any calendar year, or all of the work is performed under contract with a licensed general building Contractor. 8. 1 understand as an Owner-Builder if I sell the property for which this permit is issued, I may be held liable for any financial or personal injuries sustained by any subsequent owner(s) that result from any latent construction defects in the workmanship or materials. 9. 1 understand I may obtain more information regarding my obligations as an "employer" from the Internal Revenue Service, the United States Small Business Administration, the California Department of Benefit Payments, and the California Division of Indusl rial Accidents. I also understand I may contact the California Contractors' State License Boar (CSLB) at 1-800-321- CSL13 (2752) or www.cslb.ca.aov for more information about licensed contra tors. 10. 1 am aware of and consent to an Owner-Builder building permit pplied for in my name, and understand that I am the party legally and financially responsible foi proposed construction activity at the following address: 11. 1 agree that, as the party legally and financially responsible for this proposed construction activity, I will abide by all applicable laws and requirements that govern Owner-Builders as well as employers. 12. 1 agree to notify the issuer of this form immediately of any additions, deletions, or changes to any of the information I have provided on this form. Licensed contractors are regulated by laws designed to protect the public . If you contract with someone who does not have a license, the Contractors' State License B and may be unable to assist you with any financial loss you may sustain as a result of a complnt. Your only remedy against unlicensed Contractors may be in civil court. It is also important for you to understand that if an unlicensed Contractor or employee of that individual or firm is injured while working on your property, you may be held liable for damages. If you obtain a permit as Ow ier-Builder and wish to hire Contractors, you will be responsible for verifying whether or not those Contractors are properly licensed and the status of their workers' compensation insurance coverage. Before a building permit can be issued, this form must be completed and signed by the property owner and returned to the agency responsible for issuing the permit. Note: A copy of the property owner's driver's license, form notanzatior1, or other verification acceptable to the agency is required to be presented when the permit is issued to verify the property owner's signature. Print name: Signature of property owner: Date: Notice to Property Owner EXHIBIT "A" Considering Becoming an Owner-Builder? Important information you need to know BEFORE pulling your permit! The term "Owner-Builder" can mean three different -.hinge: "Owner as Worker", "Owner as Contractoi" or "Owner as Employer" Understand each has Benefits or Risk, and it is possible to combine them! Hiring a California Licensed Contractor means you do not personally perform any f the construction work, the permit is not taken out in your name, you are not personally responsible for the instruction and you are not an Owner-Builder. Instead, you become a "Customer" and California law provides you the benefit of protection from poor workmanship, failure to finish the job and financial risk due to worker injury. Benefit/Risk: Hiahest Benefits and the Least amount of Risk Owner-as- Worker is a type of Owner-Builder where you personally perform the construction work, the permit is taken out in your name and you are personally responsible for the construction rr anagement, knowledge, workmanship, and completion of the job. You benefit by not paying others to perform this work for you and your risk depends on your own ability to complete the job successfully. Benefit/Risk: Possible Benefit with Low Financial Risk Owner-as-Contractor is a type of Owner-Builder where you personally act as r wn General Contractor, the permit is taken out in your name and you hire California licensed sub-contractoouyrs t perform portions of the construction work. WARNING: The benefit of protection provided by law when you hir only California licensed sub-contractors can turn to serious financial risk if you hire uniicensedcontractors to pe orm anyof the work. Benefit/Risk: Possible Benefit and Sianificant Financial Risk Owner-as-Employer is a type of Owner-Builder where you pay any unlicensed individual to perform any construction work valued at more than $500.00, the permit is taken out in your name and you are personally responsible for their employment requirements, supervision, performance, safety ano welfare while on your property. WARNING: Cost savings benefit can turn to serious financial risk if you fail to deduct payroll taxes or provide workers compensation insurance for each worker. Benefit/Risk: Possible Bernet with Sianificant Financial Risk (Health and Safety Code Section 19827) The California Legislature declares an "urgent and statewide public interest in assuring" that contractors comply with Contractors' License Law, Business and Professions Code and Workers' Compensation Insurance re juirements to ensure EXHIBIT "B" property owners are informed about, and protected from the following when improving their property as Owner-Builders: Fraudulent representations - Liability for worker's injuries - Liability for material and labor costs unpaid by contractors - Licensing requirements - Employers tax liabilities Over 20,000 consumer complaints are filed each year. Many complaints relate to owner/builder projects and include workmanship and workers' compensation issues Hom6owners suffer financial harm due to defective workmanship and injured employees. Following are alarming examples of what has occurred with Owner-Builder permits: Example 1: Homeowner received insurance money to rebuild burned-dowr home. ■ Owner/Builder permit pulled to rebuild structure. ■ Unlicensed contractor built substandard structure - must be torn down and replaced. ■ Estimated financial injury is $225,000. ■ Additional financial injury - IRS threatened to tax insurance payout if house not completed by the end of the year. Example 2: Brother-in-law had active license but filed an exemption from Workers Comp. ■ Owner-Builder hires brother-in-law to install a new roof. ■ Employee falls and sustains multiple spinal and extremity fractures as wall as a head injury and remains in a coma to this day. ■ The Owner-Builder, who has sold the home, is now a defendant in a lawsuit for reimbursement for benefits paid to the injured worker. Example 3: Employee of contractor without Workers Comp is hired by Owner-Builder to install septic system and suffers injury that results in permanent disability. ■ The Owner-Builder did not have a homeowner's insurance policy on the house against which to submit a claim. ■ The Owner-Builder is now a defendant in a lawsuit for reimbursement for benefits paid to the injured worker. Did you know - unlicensed persons frequently have the property owner obtain an "Owner- Builder" building permit which erroneously implies that the property owner is providing his or her own labor and material personally? Did you know - your homeowner's insurance may not provide coverage for injuries sustained on your property by an unlicensed contractor and his/her employees? Did you know - if you are considered an "employer" under state and federa, law, you must register with the state and federal government, withhold payroll taxes, provide workers compensation and disability insurance and contribute to unemployment compensation for each "employee"? Did you know - that if you fail to abide by these laws you may be subjected to serious financial risk? OWNERS BEWARE AND CONSIDER THE RISK BEFORE ACCEPTING FULL RESPONSIBILITY FOR YOUR CONSTRUCTION PERMIT EXHIBIT "B" CITY OF BAKERSFIELD REPORT TO MANAGEMENT FOR THE YEAR ENDED JUNE 30, 2009 Peter C. Brown, CPA Burton lrmehM&C?A Andrew j. NuA111 ,A- CPA, MBA ~J' Rklmt~i ;kt3tle C9~5t~C ` x , A r 011 BROWN ARMSTRON c t ,yy < ' k , G S T 5 y x r t~1u1p 1tt u , ~ +eF Y rx a. . _ AGREED UPON CONDITIONS REPORT DESIGNED TO INCREASE EFFICIENCY, INTERNAL CONTROLS AND/OR FINANCIAL REPOPTING To the Honorable Mayor and Members of the City Council City of Bakersfield, California We have audited the basic financial statements of the City of Bakersfield (the City; for the year ended June 30, 2009, and have issued our report thereon dated December 4, 2009. In planning and performing our audit of the financial statements of the City, we considered its internal control structure in order to determine our auditing procedures for the purpose of expressing our opinion on the 'financial statements and not to provide assurance on the internal control structure. As a result of our audit, we noted certain agreed-upon conditions involving the internal control structure and its operations. These conditions and recommendations, all of which have been, discussed with the appropriate members of management, are intended to help the City make improvements and achieve operational efficiencies. This report is intended solely for the information and use of the budget and finance committee, Mayor, City Council, management, others within the City, and the regulatory agency, and is not intended to be and should not be used by anyone other than these specified parties. Sincerely, BROWN ARMSTRONG ACCOUNTANCY CORPORATION ,00,~ - , Z"L- By: Eric H. Xin Bakersfield, California December 4, 2009 RfG6ifRfD with the Public 6"1 Accounimg Oversight Board aid MEMBER of the km m ImM* of &r* Pubk Acmadmh 4 Current Year Aareed Upon Conditions & Recommendations Apreed Upon Condition 1- Non Accrual of Accounts Pavable Transactions Condition - During our search for unrecorded liabilities, we noted that three disbursements related to services provided in fiscal year 08-09 were not accrued as of 8/30/09. Two of the disbursements were for construction project cost reimbursement to contractors. One disbursement is related to a year-end utility bill. Recommendation We recommend that the City improve controls over identifying after-year end disbursements that are subject to accruals. We also recommend the management provide more supervision and oversight to accounting staff that perform the year end accruals. Manaaement Response The City will improve education of Accounts Payable staff to ensure adequate understanding of the year- end accrual purpose and processes. Additional reports will be generated before posting final accruals showing all payments over $100,000 that are paid after year and determinations will be made if the amounts were property included or excluded from prior year expenditures. geed Upon Condition 2 - Computer Controls In Information Technology Services Department Condition During our inquiry of computer controls at Information Technology Services department (ITS), we noted the following: Condition #1: There is not a separation of duties between programmers, system administrators, and users. Recommendation #1: ITS staff should not be generating reports because they would have control over data input and output, and these two tasks should be (segregated. Every department using the reports generated by QREP should have a representative attend a mandatory workshop every year that will instruct ~ the staff on how to properly use the software and generate the reports. The ITS staff would then be able to help if there were any questions, but would not be in charge of data output as currently is the case. Manaaement Response Condition #1: The ITS Trainer has been scheduling classes in QREP and employees also have the option of taking classes over the intemet at no cost's to the department However, some users create reports so rarely that it is not practical for them to take classes to learn how to do so. The majority of reports are currently created by departments. The City has also recently purchase the web version of QREP, which will allow users to run ITS created reports without ITS assistance. Condition #2: The duties of ITS personnel are not rotated periodically. Recommendation #2: We recommend the City hire another individual that will wor K with IT Specialist in HTE system upon his retirement in order to maintain split re6ponsibility at the top. It would be beneficial to hire the individual in the near future to allow proper training before the retirement of the IT Specialist in HTE system. Management Resoonse Condition #2: The City has functioned for 15 years with only one IT Specialist providing support for the Sungard PS (HTE) system. ITS department has several people in the Division who can perform routine changes, and the City has.a contract with the vendor to provide support when necessary. Another IT Specialist was hired specifically to replace the current Specialist when he retires. The ITS's current budget situation simply does not allow for duplicate staff redundancy as suggested. Condition #3: Procedures are not established to determine that passwords are confidential and unique. Recommendation #3: ITS should continue to identify and eliminate most generic use accounts that are not necessary. For generic accounts deleted, new accounts should be created for each individual and only given the rights that are required'for their job. Management Response Condition #3: The City staff will eliminate the use of all generic accounts and require all logins and passwords are confidential and unique. Condition #4: Periodic security briefings are not provided from ITS personnel. Recommendation #4: We recommend that all City new hires be required to read and sign a form indicating they understand the IT polices. Ali employees (new and old) should be required to annually review the policies and submit a new form indicating their understanding of the policies and procedures in place. Management Resoonse Condition #4: Information Technology Services has created a security class that all new employees who might use a computer are required to take. Human Resources department has agreed to send new employees affected to take the class as part of their employee orientation. ITS will require all City staff who use computers to take a security class during 2010. Condition #5: Contingency plans have not been tested for adequacy in the event of a disaster. Recommendation #5: We recommend a test to see if the contingency plan works. Several things could go wrong, and it would be wise to investigate potential problems now, before an actual emergency or disaster happens. Management Response Condition #5: Financial data is backed up nightly and a copy is sent via FTP to a remote city- owned "iSeries" computer that is installed in a portable trailer. This data is restored daily proving the validity of the backup and providing a hot site, should a disaster occur. Non-financial data is backed up using a Tivoli disk to disk to tape system. The ITS Department runs frequent restores from the system on request for users who have inadvertently deleted files. Condition #6: ITS department is not immediately notified of terminaticns and transfers of employees. They typically find out. about 2-3 weeks afterwards when Human Resource department issues a report This lag creates opportunity for problems and can be addressed through a policy. Recommendation #6: We recommend as part of the procedure of termination or transfer, that the department immediately contacts IT and let them know the change in employment status, and what sorts of access should or should not be allowed. Manaaement Response Condition #6: Human Resources department has agreed to immediately notify Information ITS department whenever an employee terminates or transfers so that computer access issues can be addressed in a timely manner. Overall Recommendation We recommend that the ITS department and Finance department review the recomi vended policies and procedures and submit them to the City Council for approval to implement. Peter C, Blown, CPA' ~ "Burto CPA M OW ~t; A Rdrew J Pluidw ; - ARMSTRONG f i x•4997 'even a71S1df( CAA y' . ( f k i 4 F c ard~ Hallt3kvf5 'XV" r` A ((O~IIANIS f At t tCl kr, UA " " = INDEPENDENT ACCOUNTANT'S REPORT ON APPLYING AGREED-UPON PROCEDURES To the Technical Advisory Committee of the Bakersfield Subregional Wastewater Management Plan, the City of Bakersfield, California, the Kern Sanitation Authority, and the East Niles Community Services District We have performed the procedures enumerated below to determine the City of Bakersfield's compliance with certain provisions of contractual requirements as specified in Agreement 76-153, as amended by Agreements 76-153(6), 76-153(5), 76-153(4), 77-44, 85-197, and 92-106, regarding the Bakersfield Subregional Wastewater Management Plan. These procedures, which were agreed to by the Technical Advisory Committee (TAC), were performed solely to assist you in meeting the requirements of Agreement 76-153, as amended by Agreements 76-153(6), 76-153(5), 76-153(4), 77-44, 85-197, and 92- 106. The City's management is responsible for the Bakersfield Subregional Wastewater Management Plan. This agreed-upon procedures engagement was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants. The sufficiency of these procedures is solely the responsibility of the parties specified in the report. Consequently, we make no representation regarding the sufficiency of the procedures described below, either for the purpose for which this report has been requested or for any other purpose. We reviewed and tested the City of Bakersfield's compliance with certain provisions of contractual requirements as specified in Agreement 76-153, as amended by Agreements 76-153(6), 76-153(5), 76- 153(4), 77-44, 85-197, and 92-106. These procedures resulted in the following current year findings. Current Year Finding - Agreement Number 76-153. Section 12 - Estimation and Payment of Costs The original agreement states that by March 1 a tentative capital-related and operations and maintenance budget must be submitted to the Technical Advisory Committee and each User Agency for review and approval. However, the budget for the year ended June 30, 2010 was not formally reviewed by the Technical Advisory Committee until March 25, 2009, twenty four days after the established deadline. Recommendation We recommend compliance with the budget submission and approval dates as specified in Agreement 76-153(4). Rf61 IM wish the Pubic company kw" &mot Dowd ad ON of the km m 6xfM of certified N& kcaudmk I r17~iN Response On or before March 1, 2010, the City will submit to the Technical Advisory Committee (TAC) members and each User Agency a tentative capital-related and operation and Maintenance (O&M) budget. The TAC meets at the end of March, at which time the City will explain to the TAC that the budget information received earlier was very preliminary within the City's budget process and subject to change. The City will also explain that the reason it supplied such preliminary information was to comply with the March 1 date contained within agreement 76-153 and also to avoid any further audit findings for not meeting this date. The City will also ask that the TAC include in their March 2010 minutes that they acknowledge the problem with the March 1 date and approve receiving this information later in the! year, but prior to the City Council public budget hearings (usually held in May) so that the TAC will have the opportunity to present information and make comments for Council consideration prior to the adopfon of the budget Prior Year Finding - Aareement Number 76-153. Section 12 - Estimation and Pavment of Costs The original agreement states that by March 1 a tentative capital-related and operations and maintenance budget must be submitted to the Technical Advisory Committee and each User Agency for review and approval. However, the budget for the year ended June 30, 2009 was not formally reviewed by the Technical Advisory Committee until March 26, 2008, twenty-five days after the established deadline. Recommendation We recommend compliance with the budget submission and approval dates as specified in Agreement 76-153(4). Response In the future, the Technical Advisory Committee will meet each year in February to review the tentative budget. Current Year Status The prior year finding with Agreement Number 76-153, Section 12 - Estimation and Payment of Costs still exists in the current year. The Technical Advisory Committee has made no changes s to when the committee meets to review the tentative budget. We were not engaged to, and did not, conduct an audit, the objective of which would be the expression of an opinion on the City's compliance with certain provisions of contractual requirements as specified in Agreement 76-153, as amended by Agreements 76-153(6), 76-153(5), 76-153(4), 77-44, 85-197, and 92- 106, regarding the Bakersfield Subregional Wastewater Management Plan. Accordingly, we do not express such an opinion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you. This report is intended for the information of the Technical Advisory Committee of the Bakersfield Subregional Wastewater Management Plan, the City's management, appropriate regulatory agencies, and the City Council and is not intended to be used and should not be used by anyone other than those specified parties. BROWN ARMSTRONG ACCOUNTANCY CORPORATION By: Eric H. Xin Bakersfield, California December 4, 2009 can t~£ r BROWN AKMSTRON( UfffIf D <f.U9fl(;. AI(9NNf,ANIS To the Honorable Mayor and Members of the City Council City of Bakersfield, California We have applied the procedures enumerated below to the accompanying Appropriations Limit Worksheet Six of the City of Bakersfield, California, (the City) for the year ended June 30, 2009. These procedures, which were agreed to by the League of California Cities and presented in their Article XIIIB Appropriations Limitation Uniform Guidelines, were performed solely to assist you in meeting the requirements of Section 1.5 of Article XIIIB of the California Constitution. This agreed-upon procedures engagement was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants. The sufficiency of these procedures is solely the responsibility of those parties specified in the report. Consequently, we make no representation regarding the sufficiency of the procedures described below either for the purpose for which this report has been requested or for any other purpose. This report is intended for the information of management and the City Council. This restriction is not intended to limit the distribution of this report, which is a matter of public record. The procedures performed and our findings were as follows: 1. We obtained the City's completed worksheets required to determine that this correct annual adjustment factors were adopted by resolution of the City Council. 2. For the accompanying Appropriations Limit Worksheet Six, we added line A, last year's limit, to line E, total adjustments, and agreed the resulting amount to line F, this year's limit. 3. We agreed the current year information presented in the accompanying Appropriations Limit Worksheet Six to the other worksheets described in #1 above. 4. We agreed the prior year appropriations limit presented in the accompanying Appropriations Limit Worksheet Six to the prior year appropriations limit adopted by the City Counci during the prior year. We were not engaged to, and did not, conduct an audit, the objective of which would be the expression of an opinion, on the Appropriations Limit Worksheet Six. Accordingly, we do not express such an opinion. Based on the application of the procedures referred to above, nothing came to our attention that caused us to believe that the accompanying Appropriations Limit worksheet six was not computed in accordance with Article XIIIB of the California Constitution. Had we performed additional procedures or had we made an audit of the accompanying Appropriations Limit worksheet six and the other completed worksheets described in 1. above, matters might have come to our attention that would have been reported to you. BROWN ARMSTRONG ACCOUNTANCY CORPORATION Bakersfield, California December 4, 2009 By: Eric H. Xin BE(dS1(E 4 the Pik (m" Aaa Wq Over* Board and i of the kno m Imitate Glad Rik kmdmh CITY OF BAKERSFIELD APPROPRIATIONS LIMIT - WORKSHEET SIX FOR THE FISCAL YEAR ENDED JUNE 30, 2009 A. Last year's limit B. Adjustment factors: 1. Population % 2. Inflation % Total adjustment % C. Annual adjustment D. Other adjustments Booking fees Property tax administration fees E. Total adjustments F. This years limit 101.8291) 104.299'- 6.188080)) $ 249,728,547 15,453,397 450,000 575,000 16,478,397 $ 266,206,944 wNion,cimce 4200 Truxtun Ave., Suite 300 BakorMeld, CaW mia W309 T(g 6$1:3,24.,1971 Fax 661.324.4987 9-+19~H:7n~p(C~~ sr y~ Om tral Aug i$ 032+63 Xtf31>7+1ig245 i`F61.7A6,1~18 836 i IV fmsno S'OVoK Suits 440 F Cali[ Mia 93720 Tr31536.476.3592 t=ax 559.476.3593 To the Budget and Finance Committee City of Bakersfield, California We have audited the financial statements of the governmental activities, the business-type activities, the aggregate discretely presented component unit, each major fund, and the aggregate remaining fund information of the City of Bakersfield, California (the City) for the year ended June 30, 2009, and have issued our report thereon dated December 4, 2009. Professional standards require that we provide you with the following information related to our audit. fir Re on_ s les Under U.S. General) A ed AuditinQ tandards and UMB Cirqplar A-131 As stated in our engagement letter dated May 26, 2009, our responsibility, as described by professional standards, is to express opinions about whether the financial statements prepared by management with your oversight are fairly presented, in all material respects, in conformity with U.S. generally accepted accounting principles. Our audit of the financial statements does not relieve you or management of your responsibilities. In planning and performing our audit, we considered the City's internal control over financial reporting in order to determine our auditing procedures for the purpose of expressing our opinions on the financial statements and not to provide assurance on the internal control over financial reporting. We also considered internal control over compliance with requirements that could have a direct and material effect on a major federal program in order to determine our auditing procedures for the purpose of expressing our opinion on compliance and to test and report on internal control over compliance in accordance with OMB Circular A-133. As part of obtaining reasonable assurance about whether the City's financial s Atements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grants, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions is not an objective of our audit. Also in accordance with OMB Circular A-133, we examined, on a test basis, evidence about the City's compliance with the types of compliance requirements described in the "U.S. Office of Management and Budget (OMB) Circular A-133 Compliance Supplement" applicable to each of its major federal programs for the purpose of expressing an opinion on the City's compliance with those requirements. While our audit will provide a reasonable basis for our opinion, it does not provide a legal determination on the City's compliance with those requirements. Our responsibility is to plan and perform the audit to obtain reasonable, but not absolute, assurance that the financial statements are free of material misstatement. As part of our audit, we considered th e internal control of the City. Such considerations were solely for the purpose of determining our audit procedures and not to provide any assurance concerning such internal control. Planned Scone nd riming of the AuQi We performed the audit according to the planned scope and timing previously communicated to you in our letter to you dated May 26, 2009. REGISTERED with the Public Company Accounting Overaigld Board and MEMBER of the American Irtiftia of Certified Public A=urbrb Slariificant Audit Findinos Qualitative Aspects of Accounting Practices Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the City are described in Note 1 to the financial statements. No new accounting policies were adopted and the application of existing policies was not changed during fiscal year 2009. We noted no transactions entered into by the City during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period. Accounting estimates are an integral part of the financial statements prepared b:1 management and are based on management's knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimate affecting the City's financial statements was: Management's estimates of the net OPEB obligation and management's estimate over self- insurance claims liabilities. We evaluated the key factors and assumptions used to develop these estimates in determining that they are reasonable in relation to the financial statements taken as a whole. Certain financial statement disclosures are particularly sensitive because of their Ognificance to financial statement users. The most sensitive disclosure(s) affecting the financial statement€ were: • Note 11 - Pledged Revenue. • Note 14 - Other Post-Employment Benefits (OPEB). • Note 16 - Risk Management. Difficulties Encountered in Performing the Audit We encountered no significant difficulties in dealing with management in performing and completing our audit. Corrected and Uncorrected Misstatements Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are trivial, and communicate them to the appropriate level of management. Management has corrected all such misstatements. The attached schedule summarizes audit adjustments that, in our judgment, indicate matters that could have a significant effect on the City's financial reporting process. Disagreements with Management For purposes of this letter, professional standards define a disagreement with management as a financial accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be significant to the financial statements or the auditor's report. We are pleased to report that no such disagreements arose during the course of our audit. Management Representations We have requested certain representations from management that are included in the management representation letter dated December 4, 2009. Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a "second opinion" on certain situations. If a consultation involves application of an accounting principle to the govemmental unit's financial statements or a determination of the type of auditor's opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants. Other Audit Findings or Issues We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as the governmental unit's auditors. However, these discussions occurred in the normal course of our professional relationship land our responses were not a condition to our retention. This information is intended solely for the use of the budget and finance committee, Mayor, City Council, and management and is not intended to be and should not be used by anyone other than these specified parties. BROWN ARMSTRONG ACCOUNTANCY CORPO~ON G 'e~'4 By: Eric H. Xin Bakersfield, California December 4, 2009 City of Bakersfield Adjusting Journal Entries Summary 6/30/09 No. Fund No. Account Description 1. To accrue Cal Water Payment for June 2009 charges related to Domestic Water Operations for 08/09. Fund 441 Other Outside Services Other Outside Services Other Outside Services Cal Water Co. Receivable Accounts Payable - General 2. To accrue additional expenses for TRIP payments to Parsons and AECOM. Fund 121 Land and Improvements Non-Structural Improvements Accounts Payable - General Fund 122 Professional Services Non-Structural Improvements Accounts Payable - General Fund 335 Professional Services Non-Structural Improvements Accounts Payable - General Debit Credit 424,696 6,906 2,785 10,545 444,932 Total: 444,932 444,932 34,104 484,026 552,748 9,382 92,981 1,215 518,130 562,130 94,196 Total: :,174,456 1,174,456 CITY OF BAKERSFIELD, CALIFORNIA SINGLE AUDIT REPORTS FOR THE YEAR ENDED JUNE 30, 2009 (With Auditor's Reports Thereon) CITY OF BAKERSFIELD, CALIFORNIA SINGLE AUDIT REPORTS FOR THE YEAR ENDED JUNE 30, 2009 TABLE OF CONTENTS Page Auditor's Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards 1 Auditor's Report on Compliance with Requirements Applicable to Each Major Program and Internal Control Over Compliance in Accordance with OMB Circular A-133 3 Schedule of Expenditures of Federal Awards 5 Notes to Schedule of Expenditures of Federal Awards 6 Schedule of Findings and Questioned Costs 9 w rs REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS To the Honorable Mayor and Members of the City Council City of Bakersfield, California We have audited the financial statements of the governmental activities, the business) type activities, each major fund, and the aggregate remaining fund information of the City of Bakersfield, California (the City), as of and for the year ended June 30, 2009, which collectively comprise th e City's basic financial statements and have issued our report thereon dated December 4, 2009. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued' by the Comptroller General of the United States. Internal Control Over Financial Reportina In planning and performing our audit, we considered the City's internal control over financial reporting as a basis for designing our auditing procedures for the purpose of expressing our opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control over financial reporting. Accordingly, we do not express an opinion on the effectiveness of the City's internal control over financial reporting, A control deficiency exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to misstatements on a timely basis. A significant deficiency a control deficiency, prevent or detect deficiencies, that adversely affects an entity's ability to is initiate, autho ie, record, process mll binatiss of control financial data reliably in accordance with generally accepted accounting or report than a remote likelihood that a misstatement of the entity's finanial principles that ithere ore thmore an inconsequential will not be prevented or detected by the entity's internal control over financial reporting. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the financial statements will not be presented or detected by the entity's internal control. Our consideration of the internal control over financial reporting was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in the internal control that might be significant deficiencies and, accordingly, would not necessarily disclose all significant deficiencies that are also considered to be material weaknesses. We did not identify any deficiencies in intemal control over financial reporting that we consider to be material weaknesses, as defined above. Rf6fS im Wh the Pikk fanpoiry Oversght Bond and on 0 Nie AWxan hMihde 4 Gil* RbNc Accountants ~n Comoliance and Other Matters As part of obtaining reasonable assurance about whether the City's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. We noted certain matters that we reported to management of the City in a separate letter dated December 4, 2009. This report is intended for the information of the budget and finance committee, management and federal awarding agencies and pass-through entities. However, this report is a matter of public record and its distribution is not limited. BROWN ARMSTRONG ACCOUNTANCY C RPORATION / . Bakersfield, California December 4, 2009 2 Peter C Bro%-n, CPA $urton fir AtmsErpng, CPA, ISM' Andrew f PauidcN04 1;fevenR.5"gA r dig M, 71eorphirg( CPA , Eric H. 7Gr} Cf~; MBA ' ' ~ x M1 ~ _4 E,- m5t ; i T A* u K.`iSeptm &A AUDITOR'S REPORT ON COMPLIANCE WITH REQUIREMENTS APPLICABLE TO EACH MAJOR PROGRAM AND INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANCE WITH OMB CIRCULAR A-133 To the Honorable Mayor and Members of the City Council City of Bakersfield, California Compliance We have audited the compliance of the City of Bakersfield, Califomia, with the types of compliance requirements described in the U. S. Office of Manaaement and Budoet TOMB) Circular A-133 Compliance SUDplement that are applicable to each of its major federal programs for the year ended June 30, 2009. The City of Bakersfield's major federal programs are identified in the summary of auditor's results section of the accompanying schedule of findings and questioned costs. Compliance with' the requirements of laws, regulations, contracts and grants applicable to each of its major federal programs is the responsibility of the City of Bakersfield's management Our responsibility is to express an opinion on the City of Bakersfield's compliance based on our audit. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and OMB Circular A-133, "Audits of States. Local Governments. and Non-Profit Orpanizations." Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis,) evidence about the City of Bakersfield, California's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination on the City of Bakersfield's compliance with those requirements. In our opinion, the City of Bakersfield, California, complied, in all material respects, with the requirements referred to above that are applicable to each of its major federal programs for the year ended June 30, 2009. Internal Control Over Compliance The management of the City of Bakersfield is responsible for establishing and maintaining effective internal control over compliance with the requirements of laws, regulations, contracts, and grants applicable to federal programs. In planning and performing our audit, we considered the City of Bakersfield's internal control over compliance with the requirements that could have a direct and material effect on a major federal program in order to determine our auditing procedures for the purpose of expressing our opinion on compliance, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of the City of Bakersfield's internal control over compliance. 3 MM wish the P" ~n Am* Off* Bond and d %e Amam Indilufe 0 Pablo T: w o J", A control deficiency in an entity's internal control over compliance exists when the,design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect noncompliance with a type of compliance requirement of a federal program on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects the entity's ability to administer a federal program such that there is more than a remote likelihood that noncompliance with a type of compliance requirement of a federal program that is more than inconsequential will not be prevented or detected by the entity's internal control. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that material noncompliance with a type of compliance requirement of a federal program will not be prevented or detected by the entity's internal control. Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in internal control that might be significant deficiencies or material weaknesses. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses, as defined above. Schedule of Exoenditures of Federal Awards We have audited the financial statements of the City of Bakersfield, California, as of and for the year ended June 30, 2009, and have issued our report thereon dated December 4, 2009. Our audit was performed for the purpose of forming an opinion on the financial statements taken as a whole. The accompanying schedule of expenditures of federal awards is presented for purposes of additional analysis as required by OMB Circular A-133 and is not a required part of the financial statements. Such information has been subjected to the auditing procedures applied in the audit of the financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the financial statements taken as a whole. This report is intended for the information of the budget and finance committee, management and federal awarding agencies and pass-through entities. However, this report is a matter of public record and its distribution is not limited. BROWN ARMSTRONG ACCOUNTANCY CORPORATION Bakersfield, California December 4, 2009 4 CITY OF BAKERSFIELD, CALIFORNIA SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS JUNE 30, 2009 Federal Grantor/ Pass-Through Grantor/ Program Title U.S. Department of Housing and Urban Development: Direct Programs: Community Development Block Grant Entitlement Emergency Shelter Grant Home Program Neighborhood Stabilization Program Economic Development Initiative Grant Total Department of Housing and Urban Development U.S. Department of Transportation: Airport Improvement Program Passed through Califomia Office of Traffic Safety: State Community Highway Safety Passed through California Department of Transportation: Surface Transportation Program Transportation Equity Act Congestion Mitigation and Air Quality Program Total Department of Transportation Department of Education Safe and Drug-free Schools and Communities Department of Homeland Security Metropolitan Medical Response System Total Department of Homeland Security U.S. Department of Justice: Edward Byrne Memorial Formula Grant Program Local Law Enforcement Block Grant Bulletproof Vest Partnership Program Total Department of Justice Total Grants * Major Program CFDA Number 14.218 14.231 14.239 14.256 14.246 20.106 Pass-Thro ugh Grant Identifying Numbe* 20.600 AL0921 N/A N/A N/A N/A N/A NIA 20.205• STPL-5109 20.205' HTP21L-5109; PR.4S-5109; and NCIIP-5119 20.205* CML-5109 84.184 97.071 16.579 16.592 16.607 N/A N/A N/A N/A N/A Federal Expenditures $ 4,159,799 177,329 3,424,786 26,661 198,855 7,987.430 103,008 220,503 3,297,435 25,060,362 2,461,926 31,143,236 7,185 91,993 91,993 119,805 2,377 16,478 138,660 $ 39,368,504 The accompanying notes are an integral part of these financial statements. 5 CITY OF BAKERSFIELD, CALIFORNIA NOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS JUNE 30, 2008 NOTE I -GENERAL The accompanying Schedule of Federal Financial Assistance presents the activity of all Federal Financial Assistance programs of the City of Bakersfield, California (City). As defined in Note 1 of the Notes to the City's Financial Statements, those financial statements and the accompanying Schedule of Expenditures of Federal Awards presents the government and its component units, entities for which the government is considered to be financially accountable. Blended component units, although legally separate entities, are, in substance, part of the government's operations and so data from these units are combined with data of the primary government. Discretely presented component units, on the other hand, are reported in a separate column in the combined financial statements to emphasize that they are legally separate from the Government. Each blended and discretely presented component unit has a June 30'year end. Blended and discretely presented component units are: 1. Discretely Presented Component Unit: The Bakersfield Redevelopment Agency (the Agency) is responsible for the development and financing of projects within (1) the Southeast Bakersfield Project Area, (2) the Old Town Kern-Pioneer Project Area, and (3) the Downtown Bakersfield Project Area. The Agency is governed by a board comprised of members appointed by the City Council. The Agency is reported as a Governmental Fund Type. 2. Blended Component Unit: The Bakersfield Public Financing Authority (the Authority) is a joint exercise of powers authority formed on July 7, 1993 by and between the City of Bakersfield, California (the City), and the Bakersfield Redevelopment Agency (the Agency). The Authority was created to assist the City, the Agency and other local public agencies in financing and refinancing, through the issuance of bonds'or other instruments of indebtedness, public capital improvements and working capital pursuant to the Marks-Roos Local Bond Pooling Act of 1985. The Authority is authorized to make and enter into Bond Purchase Agreements and to purchase Obligations of any Local Agency. The Authority is governed by a board consisting of the Mayor and the City Council. The Authority is reported as a Governmental Fund Type. Complete financial statements for each of the individual component units may be obtained at the City's Finance Department. Federal financial assistance received directly from Federal agencies as well as Federal financial assistance passed through other government agencies are included on the schedule. NOTE 2 - BASIS OF ACCOUNTING The accompanying Schedule of Expenditures of Federal Awards is presented usinr, the accrual basis of accounting, which is described in Note 1 of the Notes to the City's Basic Financial Statements. NOTE 3 - RELATIONSHIP TO FEDERAL FINANCIAL REPORTS Amounts reported in the accompanying schedule agree with the amounts reported in the related periodic Federal financial reports. 6 NOTE 4 - RECONCILIATION TO BASIC FINANCIAL STATEMENTS The following is a reconciliation of the amounts listed in the Schedule of Financial Assistance to the City's basic financial statements: Federal GrantDdPmw m Title U.S. Department of Housing and Urban Development Community Development Block Grant Federal Financial Assistance Recognized $ 7,250,186 $ Other 237.505 Total $ 7,487,891 $ Reimbursable DisbursemenVExpenditure $ 7,987.430 S Total Disbursement/Exrenditure $ 7,987.430 $ Unpaid Billings as of June 30, 2009 $ 1,060,735 $ Other Long Term Receivables (Federal portion) - Accrued Revenue June 30, 2008 604.329 Due from Federal Government $ 1„865,064 1. _ . $ U.S. Department U.S. Department Department of of Transportation of Education Homeland Security U.S. Department of Justice Airport state & Highway Safe & Drug Local Law Edward 13yme Improvement community Planning & Free Schools Metropolitan Enforcement Memorial Bulletproof Vest Program Highway safety Construction & Communities Medical Response Block Grant Grant Partnership Pro$ 103,008 $ 220,503 $ 30,819,725 $ 7,185 $ 91,993 $ 2,377 $ 119,805 $ 16,478 103,008 $ 22fin°0 503 $ 30,819,725 $ 7,185 $ 91,993 $ 2,377 $ 119.805 $ 16,478 103.008 $ 220.503 $ 30.819,725 S 7185 $ 91,993 S 2.377 S 119,805 $ 16,478 _ 103.008 $ 220,503 $ 30,819725 $ 7,185 S 91,993 $ 2,377 $ 119.805 $ 18,478 s - $ 4,550,211 $ - $ - $ - $ $ - (276,936) - - - - - - 8,011.046 - - - - $ - $ 12,284,331 $ - $ - $ - $ $ - 7 NOTE 4 - RECONCILIATION TO BASIC FINANCIAL STATEMENTS (Continued) The following is a reconciliation of the variances between Expenditures and Financial Assistance recognized: Federal Grer*WPm mm Title U.S. Department of Housing and U.S. Department U.S. Department Department of Urban Devebpmerd of Transportation of Education Homeland Security U.S. Department of Justice Community Airport State & Highway Safe & Drug Local Law Edward Syme Development Improvement Community Planning & Free Schools Metropolitan Enforcement Memorial Bulletproof Vest Block Grant Program ipl> Y SafehL C onstruction & Communities Medical Response Block Grant Grant Partnership Pro$ Federal Financial Assistance Recognized $ 7,250,188 $ 103,008 $ 220,503 $ 30,819,725 $ 7,185 $ 91,993 $ 2,377 S 119,805 $ 16,478 Other 237,505 - - - - - - - - Total 487,891 $ 7 $ 103,008 S 220,503 $ 30 819 725 $ 7.185 $ 91,993 $ 2.377 1 ,805 $ 119 S 16.478 _ - .x._ Toted Disbursement/ re $ 7,987,430 $ 103,008 $ 220,503 $ 30,819,725 $ 7.185 $ 91.993 $ 2,377 $ 119,805 S 16,478 Variance of Revenues Recognized Owed(Under) Expenditures (499.739) - - - - - - - ode ft of Program income 4( 99,739) - - - - - - - - Total $ - $ - $ - $ - $ - $ - $ - $ - S - 8 CITY OF BAKERSFIELD, CALIFORNIA SCHEDULE OF FINDINGS AND QUESTIONED COSTS JUNE 30, 2009 1. Summarv of Audit Results 1. The auditor's report expresses an unqualified opinion on the financial statements of the City of Bakersfield, California. 2. No significant deficiencies or material weaknesses were disclosed during the audit of the financial statements. 3. No instances of non-compliance material to the financial statements of the City of Bakersfield, California were disclosed during the audit. 4. No significant deficiencies or material weaknesses were disclosed during ~ he audit of the major federal award programs. 5. The auditor's report on compliance for the major federal award programs for the City of Bakersfield, California expresses an unqualified opinion on all major federal programs. 6. The audit disclosed no findings relative to the major federal awards programs. 7. The programs tested as major programs included: (1) U.S. Department of Transportation - Passed through California Department of Transportation: Surface Transportation Program (CFDA Number 20.205); (2) U.S. Department of Transportation - Passed through California Department of Transportation: Transportation Equity Act (CFDA Number 20.205); (3)~ U.S. Department of Transportation - Passed through California Department of Transportation: Congestion Mitigation and Air Quality Program (CFDA Number 20.205). 8. The threshold for distinguishing Types A and B programs was $1,181,055. 9. The City of Bakersfield, California was determined to be a low-risk auditee. 2. Findinas Relatino to Financial Statements Required Under GAGAS. None. 3. Findinas and Questioned Costs - Maior Federal Award Proorams Audit None. 4. Status of Prior Year Findinas and Questioned Costs None. 9 `Wr. B A K E 'R S F I E L D CITY OF BAKERSFIELD MEMORANDUM T4: Alan Tandy, City Manager FROM: Raul Rojas, Public Works Director DATE: January 25, 2010 SUBJECT: Budget and Finance Committee Item - Transportation Development Act Audit The Independent Auditor's Reports for the Transportation Development Act Funds for the fiscal years ending June 30, 2009 and 2008 were referred to the Budget and Finance Committee at the January 13, 2010 Council Meeting. The attached Auditor's Report was prepared in compliance with the Kern Council of Governments Rules and Regulations, the California Public Utilities Code section 99245, and the California Code of Regulations section 6664. The financial statement summarizes fiscal activity for the Bikeway and Pedestrian Fund, and the Public Transit Fund. The Bikeway and Pedestrian Fund accounts for funds used to construct facilities that specifically benefit pedestrians and / or bicyclists. The Public Transit Fund accounts for funds used for maintenance and operation costs of the Bakersfield Amtrak Railway Station. The City is the owner of the station and leases the facility to Amtrak, who operates the transit service. These resources are used solely for the expenses incurred by the City as owner of the facility. The accuracy and the fairness of the presentation is the responsibility of the City. The audit firm of Brown Armstrong Paulden McCown Starbuck Thornburgh & Keeter Accountancy Corporation has issued an unqualified opinion. G:\GR0UP0ATf.*"ne\fund 145\09-10 TDA AudlLdoc R E6EIVED NO J 3;0 2009 KERN COUNCIL OF GC'VERNMENTS CITY OF BAKERSFIELD TRANSPORTATION DEVELOPMENT ACT FUNDS INDEPENDENT AUDITOR'S REPORTS, FUND FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION FOR THE FISCAL YEARS ENDED JUNE 30, 2009 AND 2008 CITY OF BAKERSFIELD TRANSPORTATION DEVELOPMENT ACT FUNDS FOR THE FISCAL YEARS ENDED JUNE 30, 2009 AND 2008 TABLE OF CONTENTS Page Independent Auditor's Report 1 Fund Financial Statements Balance Sheets - Bikeway and Pedestrian Special Revenue Fund 3 Statements of Revenues, Expenditures and Changes in Fund Balance - Bikeway and Pedestrian Special Revenue Fund 4 Balance Sheets - Amtrak Operations Special Revenue Fund 5 Statements of Revenues, Expenditures and Changes in Fund Balance - Amtrak Operations Special Revenue Fund 6 Notes to the Fund Financial Statements 7 SUDDlementarv Information Budgetary Comparison Schedule - Bikeway and Pedestrian Special Revenue Fund 9 Budgetary Comparison Schedule - Amtrak Operations Special Revenue Fund 10 Note to Supplementary Information 11 Other Resort Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Governmental Auditing Standards and the Transportation Development Act.. 12 s BROWN ARMSTRONG Ei:RtIIIFD ' POKK r A(COUNIANIS y Ti INDEPENDENT AUDITOR'S REPORT To the Board of Directors Kern Council of Governments Bakersfield, California To the City Council City of Bakersfield Bakersfield, California ~a d We have audited the accompanying financial statements of the Bikeway and Pedestri?n Special Revenue Fund and the Amtrak Operations Special Revenue Fund of the City of Bakersfield, California (City), as of and for the fiscal years ended June 30, 2009 and 2008, as listed in the table of contents. These financial statements are the responsibility of the City's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with auditing standards generally accepted n the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States of America. Those standards -equire that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but n6t for the purpose of expressing an opinion on the effectiveness of the City's internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a -est basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinions. As discussed in Note 1, the financial statements present only the Bikeway and Pedestrian Special Revenue Fund and the Amtrak Operations Special Revenue Fund of the City and are not intended to present fairly the financial position of the City and the changes in its financial position and its cash flows in conformity with accounting principles generally accepted in the United States of Amer ca. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Bikeway and Pedestrian Special Revenue Fund and the Amtrak Operations Special Revenue Fund of the City as of June 30, 2009 and 2008, and the respective changes in financial position and cash flows, where applicable, thereof for the fiscal years then ender I in conformity with accounting principles generally accepted in the United States of America. ix * s` EGIS1ER@ Ali the Public (ompony Accounting Oversight Board and MEMBER of the American Institute of (erfif red Public k ountanh In accordance with Government Auditing Standards, we have also issued our report gated September 8, 2009 on our consideration of the City's internal control over financial reporting as it relates to the Bikeway and Pedestrian Special Revenue Fund and the Amtrak Operations Special Revenue Fund and our tests of its compliance with certain provisions of laws, regulations, contracts and grant ag feements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be read in conjunction with this report in considering the results of our audit. Our audit was performed for the purpose of forming an opinion on the financial statements of the Bikeway and Pedestrian Special Revenue Fund and the Amtrak Operations Special Revenue Fund taken as a whole. The supplementary information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the financial statements of the Bikeway and Pedestrian Special Revenue Fund and the Amtrak Operations Special Revenue Fund. Such information has been subjected to the auditing procedures applied in the audit of the fund financial statements and, in our opinion, is fairly stated in all material respects in relation to the fund financial sta6ments taken as a whole. BROWN ARMSTRONG ACCOUNTANCY CORPORATION Bakersfield, California September 8, 2009 2 CITY OF BAKERSFIELD BIKEWAY AND PEDESTRIAN SPECIAL REVENUE FUND BALANCE SHEETS JUNE 30, 2009 AND 2008 ASSETS Current assets: Due from other governments Total current assets LIABILITIES AND FUND BALANCE Current Liabilities: Cash overdraft Accounts payable Total current liabilities Fund balance Total liabilities and fund balance 2009 2008 $ 22,813 $ $ 22,813 $ $ 295 $ 22,518 22,813 $ 22,813 $ The accompanying notes are an integral part of these financial statements. 3 CITY OF BAKERSFIELD BIKEWAY AND PEDESTRIAN SPECIAL REVENUE FUND STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE FOR THE FISCAL YEARS ENDED JUNE 30, 2009 AND 2008 REVENUES Local transportation fund EXPENDITURES Bikeway and pedestrian Change in fund balance Fund balance, beginning Fund balance, ending 2009 2008 $ 128,113 $ 128,113 The accompanying notes are an integral part of these financial statements. 4 CITY OF BAKERSFIELD AMTRAK OPERATIONS SPECIAL REVENUE FUND BALANCE SHEETS JUNE 30, 2009 AND 2008 ASSETS Current assets: Cash and investments Accrued interest receivable Total current assets LIABILITIES Current Liabilities: Accounts payable Unearned revenue Total current liabilities Fund balance Total liabilities and fund balance 2009 2008 $ 88,672 $ 146,187 688 1,831 $ 89,360 $ 148,018 $ 11,884 $ 16,267 77,476 131,751 89,360 148,018 $ 89,360 $ 148,018 The accompanying notes are an integral part of these financial staten cents. 5 CITY OF BAKERSFIELD AMTRAK OPERATIONS SPECIAL REVENUE FUND STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE FOR THE FISCAL YEARS ENDED JUNE 30, 2009 AND 2008 REVENUES Local transportation fund Recognition of deferred revenue Interest and other Total revenues EXPENDITURES Public transit Change in fund balance Fund balance, beginning Fund balance, ending $ 2009 172,247 54,275 4,042 230,564 230,564 2008 141,392 18,710 8,424 168,526 168,526 The accompanying notes are an integral part of these financial statements. 6 CITY OF BAKERSFIELD TRANSPORTATION DEVELOPMENT ACT FUNDS NOTES TO THE FUND FINANCIAL STATEMENTS FOR THE FISCAL YEARS ENDED JUNE 30, 2009 AND 2008 r-- Air NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The financial statements of the Bikeway and Pedestrian Special Revenue Fund and the Amtrak Operations Special Revenue Fund (collectively, the Transportation Development Act (TDA) Funds) of the City of Bakersfield (City) have been prepared in conformity with accounting principles generally accepted in the United States of America as applied to governmental units. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. The more significant of the City's accounting po icies are described below. A. Fortino Entity The TDA provides funding of public transportation through regional planning and programming agencies. Funds are allocated to the City through the county transportation planning agency, Kern Council of Governments. The TDA Funds account for the City's share of the TDJA allocations, which are legally restricted for specific purposes as detailed in applicable sections of the Public Utilities Code. The TDA Funds of the City are the Streets and Roads Special Revenues Fund (no activity in recent years), the Amtrak Operations Special Revenue Fund and the Bikeway and Pedestrian Special Revenue Fund, and are included in the basic financial statements of the City. The TDA Funds are presented combined as a nonmajor governmental fund (State (TDA) Transportation Special Revenue Fund) in the City's basic financaa(cfatamants. The accompanying financial statements present only the TDA Funds of the City and are not intended to present fairly the financial position, changes in financial position or cash flows of the City in conformity with accounting principles generally accepted in the United States of merica. B. Fund Accounting The accounts of the City are organized on the basis of funds, each of which is considered a separate accounting entity. The operations of each fund are accounted for with a separate set of self- balancing accounts that comprise its assets, liabilities, fund equity, revenues, and expenditures or expenses as appropriate. Government resources are allocated to and accounted for in individual funds based upon the purposes for which they are to be spent and the mean s by which spending activities are controlled. The Bikeway and Pedestrian Fund and the Amtrak Operations Fund ar governmental funds specifically categorized as special revenue funds. Special revenue funds are used to account for the proceeds of specific revenue sources that are legally restricted to expenditures for specified purposes. C. Measurement Focus and Basis of Accountina The Bikeway and Pedestrian Special Revenue Fund and the Amtrak Opera :ions Special Revenue Fund are reported using the current financial resources measurement focus avid the modified accrual basis of accounting. Under this method, revenues are recognized when they become measurable and available. Local Transportation Fund revenue is recognized when all eligibility requirements imposed by the provider have been met. Revenues are accrued when their receipt occurs within sixty days after the accounting period so as to be both measurable and available. Expenditures are generally recorded when a liability is incurred, as under accrual accounting. Revenues that are susceptible to accrual include local transportation fund allocations and interest income. When both restricted and unrestricted resources are available for use, it is the City's policy to use restricted resources first, and then unrestricted resources as they are needed. 7 SUPPLEMENTARY INFORMATION CITY OF BAKERSFIELD BIKEWAY AND PEDESTRIAN SPECIAL REVENUE FUND BUDGETARY COMPARISON SCHEDULE FOR THE FISCAL YEAR ENDED JUNE 30, 2009 Original Variance With Budget Final Budget Actual Final Budget REVENUES Local transportation fund $ - $ 291,494 $ 128,11; $ (163,381) EXPENDITURES Bikeway and pedestrian - 291,494 128,113 163,381 Change in fund balance $ - $ - - $ - Fund balance, beginning Fund balance, ending $ - See note to supplementary information. 9 CITY OF BAKERSFIELD AMTRAK OPERATIONS SPECIAL REVENUE FUND BUDGETARY COMPARISON SCHEDULE FOR THE FISCAL YEAR ENDED JUNE 30, 2009 REVENUES Local transportation fund Recognition of deferred revenue Interest and other Total revenues EXPENDITURES Public transit Change in fund balance Fund balance, beginning Fund balance, ending Original Variance With Budget Final Budget Actual Final Budget $ 274,800 $ 275,480 $ 172,24I7 2 $ (103,233) 54, {5 54,275 5,000 5,000 4,041,2 (958) 279,800 280,480 230,564 (49,916) 279,800 286,240 $ - $ (5,760) 230,56,4 55,676 - $ 5,760 See note to supplementary information. 10 CITY OF BAKERSFIELD TRANSPORTATION DEVELOPMENT ACT FUNDS NOTE TO SUPPLEMENTARY INFORMATION FOR THE FISCAL YEARS ENDED JUNE 30, 2009 AND 2008 NOTE 1 - BUDGETARY INFORMATION Annual budgets are adopted on a basis consistent with principles generally accepted in the United States of America for the Bikeway and Pedestrian Special Revenue Fund and the Amtrak Operations Special Revenue Fund. The City Manager is authorized to transfer budgeted amounts between departments within any fund and approve reductions of budgeted amounts. Since expenditures may not exceed budgeted appropriations at the fund level, any decisions that alter the total appropriations of any fund are to be approved by City Council. Projects budgeted within the fiscal year but not yet completed can be reappropriated the following fiscal year with City Manager approval. All o her unencumbered appropriations lapse at year-end. Encumbered amounts are reappropriated in the ensuing fiscal year budget. 11 OTHER REPORT t'- r REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTI VG AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS AND THE TRANSPORTATION DEVELOPMENT ACT To the Board of Directors Kern Council of Governments Bakersfield, California To the City Council City of Bakersfield Bakersfield, California We have audited the financial statements of the Bikeway and Pedestrian Special Re,renue Fund and the Amtrak Operations Special Revenue Fund of the City of Bakersfield (City), California, as of and for the year ended June 30, 2009, and have issued our report thereon dated September 8, 2009, which included an explanatory paragraph describing that the financial statements only presen the Bikeway and Pedestrian Special Revenue Fund and the Amtrak Operations Special Revenue Fund We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standv rds, issued by the Comptroller General of the United States. Internal Control Over Financial Reoortino In planning and performing our audit, we considered the City's internal control over fi uncial reporting as it relates to the Bikeway and Pedestrian Special Revenue Fund and the Amtrak Operations Special Revenue Fund as a basis for designing our auditing procedures for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control over financial reporting. Accordingly, we do not express an opinion on the effectiveness of the City's internal control over financial reporting. A control deficiency exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect misstatements on a timely basis. A significant deficiency is a control deficiency, or co nbination of control deficiencies, that adversely affects the City's a bility to initiate, authorize, record, process, or report financial data reliably in accordance with generally accepted accounting principles suc i that there is more than a remote likelihood that a misstatement of the City's financial statements that is more than inconsequential will not be prevented or detected by the City's internal control. ~l 12 REGISTERED with the Public Company Ikcoun ing Oversight Board and MEMBER of the American InsfiWe of Wif ied Public Acco ifanh A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the financial statements will not be prevented or detected by the City's internal control. Our consideration of internal control over financial reporting was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in internal control that might be significant deficiencies or material weaknesses. We did not identify any deficiencies in internal control over financial reporting that we consider to be material weaknesses, as defined above. Compliance and Other Matters As part of obtaining reasonable assurance about whether the Bikeway and Pedestrian Special Revenue Fund and the Amtrak Operations Special Revenue Fund financial statements financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. Our audit was further m ode to determine that Transportation Development Act (TDA) funds allocated to and received by the City were expended in conformance with applicable statutes, rules and regulations of the TDA and the allocation instructions and resolutions of the Kern Council of Governments as required by Sections 6666 and 667 of Title 21 of the California Code of Regulations. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. This report is intended solely for the information and use of the Kern Council of Governments, City management, the City Council, and the State Controller's Office and is not intended to be and should not be used by anyone other than these specified parties. BROWN ARMSTRONG ACCOUNTANCY CORPOR/JION Bakersfield, California September 8, 2009 13 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, (Continued) D. Deferred Revenue The Amtrak Operations Special Revenue Fund reports deferred revenue on their balance sheet. Deferred revenue for this fund arises when potential revenue does not meet buth the "measurable" and "available" criteria for recognition in the current period or when funds have been received prior to eligibility requirements being met. In subsequent periods, when both revenue recognition criteria are met, or when the City has a legal claim to the resources, the liability for deferred revenue is removed from the balance sheet and revenue is recognized. E. Interfund Transactions The City's General Fund allocates payroll and payroll related expenditures incirred to the Amtrak Operations Special Revenue Fund. Amounts allocated to the Amtrak Operations Special Revenue Fund for fiscal years ended June 30, 2009 and 2008 were $36,212 and $20,8? 4, respectively. In addition, premiums paid for various risk management programs to the Self Insurance Internal Service Fund by the Amtrak Operations Special Revenue Fund for the fiscal years ended June 30, 2009 and 2008 were $16,448 and $0, respectively. F. Risk Management The City administers various risk management programs, some of which relate to the Bikeway and Pedestrian Special Revenue Fund and the Amtrak Operations Special Revenue cund. The Finance Department transfers funds from the Amtrak Operations Fund to the Self Insurance Fund for the purchase of property insurance for the Amtrak Station per direction from the City's Risk Manager. The City's risk management programs are reported in the governmental activities and internal service funds in the City's basic financial statements. NOTE 2 - CASH AND INVESTMENTS Cash balances of the TDA funds are pooled with those of other funds of the City. Investment income resulting from this pooling is allocated among the funds based upon each respective fund's average cash balance in relation to the aggregate investment balance. Cash and investments for the Amtrak Operations Special Revenue Fund include a fair value adjustment for the fiscal years ended June 30, 2009 and 2008 of $72 and $560, respectively. Further information regarding the City's cash and investment pool may be found in the City's basic financia statements. NOTE 3 - UNEARNED REVENUE The Local Transportation Fund (LTF) and State Transit Assistance Fund (STA) are administered by the Kern Council of Governments, which allocates funds to the City to fund its TDA operations. The TDA requires that any funds not used may be returned to their source. LTF and S A allocations are considered earned when they are properly spent for eligible projects. Allocations received but not earned are recorded as unearned revenue. Changes in the unearned revenue account for the fiscal years ended June 30, 2009 and 2008 are summarized as follows: 2009 2008 Amtrak Operations Special Revenue Fund Unearned revenue, July 1 $ 131,751 $ 150,461 TDA allocations received 172,247 141,392 TDA allocations earned (226,522) (160,102) Unearned revenue, June 30 $ 77,476 $ 131,751 8 BUDGET AND FINANCE COMMITTEE MEETING Monday, January 25, 2010 ATTENDANCE LIST Name Organization Contact: l?hone/ E-mail J2 _cg ~ - -^r /114//) o STZ sc~ ~ G v~.c © 37-& - 3 2 5_1 Ae- z 0 4r, } mRQ.ro YV\ec~l~h V_ C,&A kQb M e't a ~a b Ci- to'Wtiov •l_0e, 1CLCA 32~-g`?L?- h'►c~c~~c+~ h , , rl ti~ ~i 3 _ 30 y v g (t ~JiL~r C ~r r 67 _ 30 v.3?~ ' h"DA-A vvl e n C.Z av'r« iJ' MCv- ( 1 to 0a6o6,o4- Aveve 3 0 i X- -730, *3 3 al_ Isa- s 61)~~ jsK_Tbacpas.uwL 1 5 _ cow ofrTti~~ cy ~~z Z n~.~s v (60) ~?ze-7SOr V5 1~ CrUM 3 (f 3 If J)zd u~ - 6 -1 Z n T C0 tANP_ LLO k F*ePieU3 3z~-3zsS figNEL~ /31JlCc°~S~C~tvc . y. v_ u I ~G CSC fLA FIZV1 ~pLo{ovjij {C6.4 78 _-Z .is,)Kc)es3GC~co:irC.-u BUDGET AND FINANCE COMMITTEE MEET ING FOR MONDAY, JANUARY 25, 2010 MEDIA NOTIFICATION P{a.. F- T~, tleb 2j ra~~newvak [f t ® 8 ~~Datefrim 1 TdtFcj..PtF,ia _1r-ax yumrm ;y AC f 112G20101t03 News Edku BaknsfieV,d_. 3957519 J C ! 1221201011.03... Charles G. Wide 325-78 omnw+ current it 1 22/201 0 11 03 Editor - Bakersield News 3249472 1122/20101103 BIA 633.1317 I Plannini; ! 11221201011:03... Government Affairs Dir. Plannins t 1122/201011:03... Clear Chanrel Radio Trash , t 1122/20101103. News Director -Chennel3 334.2685 J...~ Other U ? 1/221201011:03 Opinion - Bakersfield Cal 395.7300 ? 1/22/201011M News Director - Univision 334-2687 " T 1122/201011:03 . News Director - KBAK TV29 861-9810 11221201011:03 . . News Director-KERN/K... 326-0388 * 1/22Y201011 03- Editor - El Popular 325.1351 * 112212010 11:03 _ . Bede Library 631.9439 122/201011:03.. . Editor - El Mexicalo } 1/22/201011:03 . . Na- Director - KWAC SP.. . 327-0797 * 1 M/2010 11.03 . News Director - KERD TV 323-5538 1 M12010 11:03. News Director - KGET TV.. 283.1843 + 122/20101103. The Minority Construction 323.9287 $t 122/201011:03 News Director - KU2Z / K.. . 328-7537 1/22/201011:03. Kathy Eddy - County of Ke n 868-3190 * 1122/201011,03. News Deector-Chamber.. . 327.8751 1122/2010 1103. News Director - KLLY 95 F 393-1915 + 1 22/201 0 11:03 David auger - Bakersfield 395-7519 $ 1/22/201011:03 News Director - KM } 1/221201011.03 Gretchen Wenner 395.7519 1122/201011:03 James Burger 395-7519 1/22/201011:03 Steve Swanson 395.7519 --z.. ~ I Aceaai$ 1 Status PJ.T.......... g_.Yn 1 Pgs r OK 1 pgs 0 OK 1 pgs 0 OK 1 pgs 0 Phone Line Problem 1 Pgs 0 Phone Line Problem 1 pigs 0 OK 1 fogs 0 OK 1 logs 0 OK 1 pgs 0 OK 1 Pgs 0 OK 1 fogs 0 OK 1 pgs 0 OK 1 pgs 0 Phone Line Problem logs 0 OK 1 logs 0 OK 1 Pp 0 OK 1 pgs 0 OK 1 logs 0 OK pgs 0 OK h Pgs 0 OK 1 pgs 0 OK 1 logs Q OK 1 pgs 0 Phone Line Problem 1 Pgs A OK 1 pgs 0 OK 1 pgs 0 OK .!L.....i 2i -2J fasts kited. _ f sc-t1 ~F t) * J N aff _ /'_;'i ci,ncF J '$I'dadle Piotl. g Rtt)htfa>•.._ MrsoSoft 1~ 2:30 PM i-~ Flay THE FOLLOW NG DOCUMENTS WERE HANDED OUT DU NG THE BUDGE- AND F NANCE COMM TTEE MEET NG ON MONDAY., JANUARY 25, 2010 consequences or uontracimg wimoui a License - t-ontractors Late License rso4u rage 1 ui 1 Department of Consumer Affairs Contractors State Li^ense oard , Consequences of Contracting Without a License The Contractors State License Board (CSLB) was established in 1929 at the request of the building industn,. Since work done by contractors can endanger both them and consumers, the industry realized being regulated would help raise standards, thereby protecting consumers. Those who operate without a license harm consumers each and every day. They tarnish the respectability 0 the construction industry and harm the state's financial situation by operating in the underground economy. The CSLB makes a concerted effort to target unlicensed operators. The CSLB's Statewide Investigative Fraud Team (SWIFT) conducts undercover sting and sweep operations on a weekly basis around the state. You c )uld be targeted by one of these operations. If you're caught contracting without a license, you will likely have to go in front of a judge to answer to misdemeanor charges, which carry a potential sentence of up to six months in jail at ~d/or a $500 fine, and a potential administrative fine of $200 to $15,000. If you get caught again, the penalties get stiffer. You could face a mandatory 90 day jail sentence as well as a fine of 20 percent of the contract price of the work performed, or a $4,500 fine. Felony charges may be filed against those who illegally use someone else's license or who try to mislead consumers Into believing that you are a licensed contractor. In addition, you could face felony charges if yoL contract for any project that is covered by a state of emergency or disaster proclaimed by the Governor of California or the President of the United States. If you're convicted of felony charges, you could end up in state prison. Plus, if you contract without a license consumers don't have to pay you for your work. You don't have a right to sue them in court for work you weren't legally able to perform. In addition, if you've got your contractor's license and have a dispute with a consumer, the CSLB has a variety of tools to help resolve ft. These range from on-site negotiation to mediation and arbitration. These services zru free of charge to consumers and licensed contractors. Plus, when you consider the cost of your contractors license, about $20 a month, you can't afford not to be licensed. Conditions of Use I Privacy- Policy Copyright ® 2009 State of California http://www.cslb.ca.gov/Journeymen/JoumeymenUnlicensedConsequences.asp 12/30/2009 WHO can build a swimming pool? A - Genera Engineering Contr~ctor A swimming pool is recreational; therefore an engineering contractor can contract and build a swimming poo on private or commercial property as part of a recreational proiect. See §7056 of the B & P, which states, in part, "parks; Olaygrounds, and other recreational works." C27 Landscaping Contractor A landscaping contractor can build / install fountai s, waterfalls, fishponds, or reflective pools. NO SWIMMING POOLS. See §7027.5 (1). A landscaping coftactor can farce a 'nme contract to build a swimming pool, spa or hot tub only wher'it is included within a total landscaping project, but must then sL_b out the buildina of the swimming aool. spa or hot tub to a t53 Swimminq Pool Contractor. C53 -Swimming Poo Contractor B - Genera Bui ding Contractor A swimming pool can be built by a general builder when it is part of a total "B" project. (For instance, home, deck, grounds and pool) The B contractor can take a contract for a swimmirg pool (alone) but must then sub it out to a C53 contractor. The B contractor cannot take a contract for and build a swimming pool alone. STEPHEN P. SANDS, Registrar Task Force Investigation Leads to Largest Enforcement Judgment in CSLB History CSLB's Enforcement Division has won a court battle that was almost two decades in the making. In a final judgment on March 12, 2009, SRVS Charge Inc. (SRVS) was ordered to pay $3 million in penalties and restitution. This is the largest enforcement judgment in CSLB's 80-year history. An extensive CSLB investigation found that companies operated by SRVS engaged in a massive scheme to defraud thousands of California consumers out of millions of dollars by charging exorbitant fees for substandard electrical, plumbing and heating/air conditioning repair services that were not performed by qualified, legitimately licensed individuals. The defendants operated various service and repair companies in southern California, the San Francisco Bay Area, and the Sacramento region. These companies routinely targeted elderly Californians. SEE INVESTIGATION PAGE 3 What You Need to Know About Bidding on Public Works Projects k! The American Recovery and Reinvestment Act of 2009 (ARRA) is a job and economic stimulus bill intended to help California and the nation restart their economies and stimulate employment during the worst economic downturn in over 70 years. These projects are paid for by local, state and federal tax dollars, and are called "public works" projects. Many contractors realize the benefits of bidding on public works projects. But if you want to get involved, you need to SEE BIDDING PAGE 4 SEE WILDFIRES PAGE 4 CSLB's Intake/Mediation Center Has Great Success Closing Complaints Quickly and Fairly Whether it's the law of averages, Murphy's Law, or another adage, there stands the possibility that sometime during your career as a licensed contractor, a complaint may be filed against you. The key to resolving any contractor-consumer conflict is in the way the disagreement is handled. After CSLB receives a complaint, a customer service representative (CSR) in the Intake/Mediation Cc titer will send contact letters to you and the person who filed the comF laint, called the complainant. The notice urges the complainant t o cooperate with you to try to resolve the complaint. If that do tsrA happen, the CSR gathers Wil SCHWARZENEGGER, Governor ' Devastating wildfires in southern California kept CSI B on the move throughout 2008. Investigators from CSLB's Statewide Investigative Fraud Team (SWIFT) fanned out in the fire-damaged areas in November, canvassin,; affected regions and reaching out to ho neowners whose properties were damaged or destroyed in the fires. It has bec-)me standard procedure for CSLB to °stablish an immediate presence following a natural disaster. CSLB also issued reminders and posted signs explaining that it is punishable as a felony for unlicensed individua s to work in a government-declared disaster zt ne. This has paid off with low numbers of unlicensed activity being detected in the are, s. Staff checced licenses, distributed CSLB education 11 materials, and posted warning signs thro ighout the fire areas of Sylmar, SEE INTAKE/MEDIATION PAGE 4 CSLB Moves Quickly in follow some very specific guidelines. When contracting for public works projects, you �® CALIFORNIA Chairman's Column �r u. r CSLB recognizes its 80th anniversary in 2009,a true testament to the major role construction plays in California's economy.Thanks to r fi professional contractors like you,our state will continue to weather even the toughest economic times wi standards and skills that result in quality construction for businesses and consumers alike. When CSLB opened its doors in 1929,our nation faced the Great ME Depression.Today,we are faced with in economy that will challenge `e all of us for some time.What impress-s me is the industry's foresight i and flexibility,which we are noticing n CSLB statistics.In 2008 11 and in early 2009,there has been a shift in the type of a pP lica ions submitted to CSLB: more contractors are changing or adding different classificatio is to their license,and more i people are taking out Home Improvement Salesperson registr tions as was to maintain or x y grow their construction-related businesses. Billions of federal stimulus dollars soon will begin flowing into our state.Among the variety of industry news in this issue of the California Licensed Conti actor are some valuable articles 4 . I for you on public works projects.I hope you'll find this inforn tation helpful. encourage you to frequently tap the CSLB resources that are instantly available to you on the ` Web site:www.csib.ca.gov,where you'll find everything from i-nportant license information to Industry Bulletins and enforcement efforts,including the Most Wanted page.The Web r r site is also where you'll find CSLB's 2008 Activities and Acco phshments Report(keyword "accomplishments")for details on how all of CSLB's divisions ire actively supporting you and w r` the state's construction industry. We,at CSLB,applaud your hard work and innovation during the economic challenges . and shifts,and continue to support you through regulation of tandards,enforcement,and educational information that results in fair competition. Sincerely, ames Miller s,.. CSLB CHAIRMAN %"O e4 CSLB Historical Milestones 4giii* log 4- September 15, 1935 Law Changing Bureau to Board W, a0v " . October 9, 1939 First license ?xam given In the mid-1920's,representatives of the state's construction industry sought to have their business regulated to protect the public from irresponsible contractors.The law creating the License Bureau took effect on August 14, 1929.The first application fee was$5.00,and licenses were not issued with classifications as we know them today.Thee were no examination require- ments.The only requirement was that the applicant had to have"good character."There is no - record of any license being denied at that time.No license was re, uired for jobs under$200.00.16 2 SPRING/SUMMER 2009 low=I awn=2110 Investigation CONTINUED FROM PAGE 1 SRVS's scheme worked like this: and Sacramento County District Attorney's – $45( 000 to be assessed in penalties • The company bought millions of dollars in offices.In one instance,the San Diego fors ate Business and Professions Code District Attorney's Office found that a service viola ions;and telephone directory advertising,including technician had also committed burglary and many full-page ads.The ads, that listed theft,and is now being prosecuted u for his – The emainder to be used to reimburse different company names,claimed a 100% g P CSL for investigative and legal satisfaction guarantee and senior discounts. crimes. costs and costs of monitoring future When customers called the numbers listed To stop the companies'illegal practices compliance with the judgment. in any of the ads,they would be directed and provide restitution to those who were If the ter ins of the settlement are violated, to a central call center. victimized,CSLB,and the Attorney General's the defen lants may be held in contempt • Many times,repairmen would be Office reached a settlement with: and face j 'I time. dispatched from a different company • SRVS Charge Inc.and its affiliates, "This sett ement is a victory for California than the customer called. • Principal owner,Sarkis Terabelian,43, consume�s and legitimate contractors,and • Often,these workers had not undergone of Burbank; brings res)lution to thousands of hours of the criminal background check required investigative work,"said CSLB Registrar Improvement of all contractors and Home Im • General manager,Zohrab"Rob" P Mkhitarian 40 of Burbank; Steve Sans."Victims will now be able to Salespeople licensed by the Contractors , , an regain some of their losses,and CSLB will State License Board since January 1,2005. • Associates Marine Metspakyan,33,of be able to watch this company closely so 38 andzhyan, , • Customers were charged high prices for Burbank;Avetik Avo Gy others are 't harmed."6 emergency home service and repair,often Lilit Lusparyan,28,and Estine Akopyan, unrelated to the actual home repair work. 28,all of Glendale;Alisa Oganyan,35,of Much of the work was poorly done or North Hollywood;and Vardui Terabelian, CSLB is now in the process of identifying � . never completed. 45,of Van Nuys. as many as Possible of the„ scheme.Consumers who 00fieved4hey are • If a customer refused to pay,the company The settlement provides for the following: victims Of 80011 13 businesses would file a lien against the home to force • A permanent injunction against the and have documents to vw#y,thei elaim payment. defendants'prior illegal activities.This are asked to contac LBet8g MI—CSL6 Because the company used multiple business includes: (2752)and prm 7' names,it was difficult,if not impossible,for – CSLB monitoring of the defendant - Qrbell Enterprises,1".,[#BA Plumbing' customers to seek a remedy for incompetent operations for one year; One(CSl,B#713Q116) workmanship,incomplete work,or any • Answering Resources,Inc.DBA:lhrifty – Mandatory registration of all company /7 other issue that arose on their project. service technicians with CSLB.This lbBCtfjC(Ctb.6 Customers were often denied refunds,despite * USA Services,Inc.(CSLB#`77586,3) the existence of the"100%satisfaction requires technicians to undergo a criminal background check; • Cal Repair Services;Inc:,08A Pick Red guarantee"promised in the ads. Plumbing{CSLB;t7l)7241) – Limiting the number of business names Over several years,CSLB was able to shut and licenses that the defendants can use; * Love My Home, oc.tOkS 0811961) down affiliates of SRVS. But instead of – Preventing the defendants from charging * American Electric 01f Fastbnc. ending the scheme,the defendants continued fees that have nothing to do with the (CSLB 1� to run their company under a labyrinth of actual work that is performed; • Amariean Home Rep ' Inc business names and fraudulent contractor (CSLB#834M license numbers that were interchangeable. – Fully disclosing to CSLB the names of * Roman Construction,Inc.,IDBA American When CSLB either revoked a license or the directors,officers,and employees of Bectric{C ) received an excessive number of complaints, their company;and the company would establish a new corporate – Mandator customer complaint tracking 5dY Plumbing ,F.Ilect#837 Inc.,) RBA Mandatory P g 58 Mute ice.{CSLB ► identity,and business continued without with proper complaint investigation and * Pro Seetric Co.(CSLB Xi OY71) interruption. reasonable efforts to resolve them. As part of its investigation,CSLB conducted $3 million in penalties and restitution to * RC€1 (CSLB 05161192)A Plus be distributed,as follows: - Electric Avenue; � undercover stings against service technicians Company(CSLB ) suspected of using these fraudulent licenses – $1.3 million to be used for consumer and referred instances of the ile al activity restitution; * Pacific W119 118 &AW CWdlb11ng 1� to the San Diego,Los Angeles,Santa Clara, (CSLB CALIFORNIA LICENSED CONTRACTOR Bidding CONTINUED FROM PAGE 1 j ir are subject to a system that sets certain a� conditions of employment.These conditions include minimum wage requirements,called "prevailing wage rates." By law,employers contracting for public works projects must pay their employees at least the prevailing wage rate associated with the type of work they are doing.The prevailing hourly wage rates for specific job duties are available on the Department of Industrial Relations' (DIR)Web site at http://www.dir.ca.gov/dise/dlsePublicWorks. Fall 2008 southern Califon is wildfire photo taken by Michael Gonzalez html.These rates vary in different regions Wildfires CONTINUED FROM PAGE 1 throughout the state. Anaheim Hills,Yorba Linda, Chino Hills,Corona and Monte cito.Staff conducted a similar Employers must also maintain accurate routine in the burn areas of Butte and Mariposa counties. payroll records,including work classifications A sting operation was conducted in cooperation with the Los geles County District for workers employed in connection with Attorney's office at two separate fire-damaged properties on December 10,2008.The the job.In addition,they must comply with apprenticeship training requirements, operation targeted illegal operators who were advertising for construction work in the fire administered by the DIR's Division of zones. Apprenticeship Standards. A total of 10 people were detained.Eight cases were turned o r to the Los Angeles County Prevailing wage requirements are strictly District Attorney's office to determine if felony charges would a pursued.One unlicensed enforced.Investigations may be triggered operator was given an administrative citation,with a civil pen Ity of$2,250.Two arrests by complaints from workers,employees, were made.One of those,82-year-old Albert Prizant,a multip a repeat offender,was taken to jail on a$50,000 warrant for contracting without a license. Prizant failed to show up for other contractors,other monitoring agencies his December court appearance to face the felony charge of co itracting without a license in and awarding bodies.When a complaint a disaster area.There is now a new$20,000 warrant for his arrest. is filed,the contractor in question will be required to provide the DIR's Division of CSLB has maintained a presence in all of the fire zones into th.-spring,working to keep Labor Standards Enforcement(DLSE)with homeowners from becoming a victim a second time while keeping the playing field level payroll records and other documentation for licensed contractors.A as requested.If a violation is determined, ------------------------------------------------ DLSE will issue a Civil Wage and Penalty ------------------------------------------ Assessment to prime contractors,affected Intake/Mediation CONTINUED FROM PAGE 1 subcontractors,and their bonding companies. additional information and/or documents from both parties in an attempt to mediate a P resolution.It is much easier to resolve complaints early on,bef re the parties get entrenched in The financial penalties for violating prevailing their positions,plus,you may be able to avoid legal costs. wage obligations can be severe.Repeat offenders or those intending to commit Here's a real life example of the benefits of how CSLB's mediation program works:A fraud are subject to debarment,rendering subcontractor contracted for nearly$125,000.00 with a genera contractor for hazardous waste them ineligible to bid on,be awarded,or transportation and disposal services.The subcontractor only received a fraction of the contract perform work on any public works project price and was seeking the remaining balance.The general contr ictor admitted owing the money for up to three years. but explained that there were delays in receiving payments that would enable him to pay the sub.Given the state of the economy,he was unsure how he was going to pay the sub.CSLB's The DIR conducts public works training consumer services representative recommended a payment option,and both parties agreed.Each throughout the state.Check this Web site: company's bookkeeper then met and arranged a viable payment plan that will allow the entire http://www.dir.ca.gov/DACpw/DACpw.html balance to be paid within the next year. for details on future seminars.6 CSLB consistently meets its goal of closing 70%of complaints gainst licensees at this Intake/ Mediation level.A 4 . . - Avoid "Bid Shopping" for Public Works Projects Whether you're a contractor who regularly bids on public works no intention of actually performij ig the work.If the bid shopping projects or you are new to the process,it's important to be familiar contractor is,by chance,the low bid,the subcontractor may"call with the requirements related to proper subcontracting practices,and around"to other contractors to fi d out if another will perform the to give closer attention to the letter of the law. work at a lower price.In effect,t e awarded subcontractor is selling The Subletting and Subcontracting Fair Practices Act(of California the job to earn a commission.This tactic is used when specialty Public Contract Code(PCC)Sections 4100-4114)was created to contractors informally refer to themselves as"brokers." combat the practice of"bid shopping."Bid shopping often results in Consequences of this illegal practice can result in squeezing the unfair competition among contractors,failure to pay prevailing wages contractor that actually performs he work to cut corners,and the to employees,and inferior workmanship. Bid shopping is illegal and performing contractor may pay employees less than the prevailing is a violation of state law. wage or substitute inferior materi Is to make a profit. Bid shopping occurs when a prime contractor lists a subcontractor The prime contractor is responsible for the first,second and third tier on a bid,but when it comes time to start the project,a different subcontractors working under the r contract,and ignorance of the law contractor executes the work.Subcontractors must be listed when the is never a valid excuse.An illegals bstitution occurs if the listed first portion of the work they are going to perform is greater than one-half tier subcontractor never performs my work,and instead a second or of one percent(.5)of the prime contractor's total bid.If a contractor third tier subcontractor is employ d on the job. wants to change the listed subcontractor,the proper substitution process must be followed and approved by the awarding authority. PCC Section 4100-4114 explains,in detail,the requirements of public works contracts for prime contractors,subcontractors and An example of bid shopping by a subcontractor is when a properly awarding bodies.Be sure you are f imiliar with these laws before qualified subcontractor submits a bid to a prime contractor,but has bidding on a public works project A Lowrn MOOD Obaulk,PUblla VVO#*a wt w t.d1r.0s govf w tar VWWW*CW.C*.gov/DA,S/DAS-134AIcUnSComplienc.0/15UUdingComplhwtoo.htm ------------------------------------------------------------- ---------------------- --------- Gearing up to Bid for Caltrans Contracts Contractors should be "ready, willing and able" as federal infrastructure dollars are released California is expected to receive approx- several state resources that are designed to imately$2.57 billion for highways,local help them with the contract bidding process. streets and roads,freight and passenger rail, Caltrans provides no-cost technical assistance and port infrastructure projects from the American Recovery and Reinvestment Act. and training through 10 Small Business before deciding whether to purchase the Learn more at www dot Reinvestment Ac Development Centers(SBDC)located at project plans and submit a bid.More community college facilities throughout informatic n on assistance and the The California Department of Transportation California.The one-on-one construction Caltrans b dding process is available at (Caltrans)wants to remind contractors of management counseling is confidential and is www.builccalifornia.org. designed to increase Another Caltrans opportunity is its contractors'chances Contractor Interest Registry at www dot. of successfully ca.gov/con tractor.Contractors of all sizes are bidding on major invited to express their interest in potentially transportation performin emergency work for Caltrans. projects.The When an emergency strikes,Caltrans may " SB also offer use emergency procedures to immediately plan r rooms" select a contractor to reopen damaged where contractors facilities.The purpose of the registry is to can view project provide a list of contractors who might be specifications available for emergency work.6 s i CALIFORNIA LICENSED . . _ Properly Classifying Employees Avoids Tax Liabilities Sri Properly classifying your workers can help prevent an unpleasant tax time surprise. v Tax liability can occur if a worker that the employer presumed was an independent contractor files a claim for Unemployment or State Disability Insurance.If the state determined that the ~t , 1 claimant was an employee rather than an independent contractor,the employer would owe unemployment insurance taxes and would be responsible for State Disability Insurance that z should have been withheld from the worker's pay. Your worker may be an employee if: ;" • Payment is by the hour or other time period; • Services are performed for customers of s your business; � � • Services are provided on a regular basis; " • The worker isn't employed by anybody else; • You provide the tools,equipment and work place; � � ' � • _ • Work is usually supervised; • Work is long-term,not an isolated event; • Work is not separate from the regular business or service provided by your company; x • No written contract between you and the employee shows an intent to create an independent work relationship;and ,; h R", t • The worker has little discretion over how to do the job. ` Employers can request a written determination on their particular employment relationship with employees from the state Employment Development Department.More information is x {y available at www.edd.ca.gov/taxrep/taxioc.htm#taxloc or by calling 888.745.3886.A I } ------------------------------------------------------------------------------------------------------ .,x se for Not Payino Subcontractors -Ow es mcuseprime contractors fmm,the requirement to pay their subcontractors. ' 1144ness and ho ions Code 7108.5 sma that; AO'AO*Yw cohOvIctm or subcontractor shall to r. ,pay subcontractor,not later than 10 days of receipt of pr psi+ nt,unless othe. 'o a agreed to in writing,the reactive arnounts at to on account of the work performed by the subcontractors,to wdent Bach subcontractor's interest therein.In the event that there is a good _ *th dispute over all or any portion of the amount due on a progress psyment me contractor or,subcontractor to a subcontractor,then the prime contractor or su ay withtwid no more than 150 percent of the disputed amount. YkAsting this lacer can lead to a penalty ranging from a one-year probation to having your license •`f: i revok4 The Em for an administrative citation can range from$200 to$2,OW. Dodt are tough for your subcontractors,too.Its more important than ever to meet your a s SPRING/SUMMER 2009 saw Fingerprinting Program Update CSLB's fingerprinting program has now entered its fifth year.Since implementation on January 1,2005,nearly 180,500 transmittals have been received from the California Department of justice and the Federal Bureau of Investigation.Of those,more than 28,300 applicants have been reported to have a criminal conviction.Yet,only 812 applications were denied,and 540 applicants received probationary licenses. 1 When CSLB's Criminal Background Unit receives a repor of an applicant's criminal record, the case must be reviewed.The time to review the record and get supporting information is now approximately two to three weeks.That's down from!one-time high of six months. When submitting applications to CSLB,it is essential that applicants fully and accurately disclose all of their criminal convictions as required by law and as indicated on the application.Incomplete or inaccurate disclosure is conside ed falsification of the application and grounds for application denial.6 Increased Penalties for Contracting with a Revoked License Starting this year,contractors face stiffer penalties for attempting to contract while their license is revoked.Under Senate Bill 797(Ridley-Thomas),a person named on a revoked license could be subject to between$4,500 and not more than the greater amount of either $10,000 in fines or 20 percent of the value of the project for which that person illegally contracted.In addition,the revoked licensee could face a county jail sentence of between 90 days and one year. These fines,jail time,or a combination of the two mean that contracting with a suspended license will receive the same penalties as a third conviction for contracting without a license. CSLB believes more stringent prosecution for revoked licensees will add a significant deterrent to violating Contractor License Law.A ------------------------------------------------------------------------------------------------------- 1 CSLB Successfully Saves Money on Cita ion Appeals MSCs balance cost of a licensee's right to appeal CSLB continues to save a substantial amount of money with a individuals scheduled to appear m et before an Administrative procedure that helps settle appeals to administrative citations.It's Law Judge(ALJ),who explains the MSC process. called a Mandatory Settlement Conference(MSC). The ALJ remains onsite while CSLI- staff meets with the individuals In fiscal year 2007-08,CSLB issued more than 2,150 administrative to negotiate the settlement terms of the citations.If a settlement citations against licensed contractors and unlicensed operators. cannot be reached,the individual ill then be scheduled for an By law,the cited individual has a right to appeal and request a hearing administrative hearing. before an Administrative Law Judge.An administrative hearing is a In fiscal year 2007-08,754 citations were appealed.Of those very expensive and time-consuming process. appeals,357 were referred to a MSC and 276 appeals were settled In 2002,CSLB started holding MSCs once a month in both northern at that point.This resulted in a savings to CSLB of more than$1.2 and southern California. On the day before the MSC,the group of million over what it would have cot for those appeals to go to all administrative hearing.16 �® CALIFORNIA LICENSED CONTRACTOR Extension Granted to Help Off-Road Fleet Owners Meet Diesel Emission Requirements Contractors now have until January 1,2010,to receive additional . credit for retrofits to larger-capacity loaders,tractors,backhoes,and excavators with engines greater than 25 horsepower.The California Air Resources Board(ARB)extended the March 1,2009 deadline to d make sure that companies involved in retrofitting their fleets are able - �I to comply with the upcoming,more stringent state diesel emission requirements. These retrofits and credits will help business owners meet new standards for particulate matter emissions that must be achieved between 2010 and 2025,depending on the size of their fleets.Fleet owners who retrofit vehicles with 25 horsepower or greater engines , with diesel particulate filters before 2010 will receive credit equivalent to double the horsepower of the engine. ; Limited grants to help off-road vehicle owners retrofit their engines or replace them with new or rebuilt engines are available through local air quality management districts,the California Air Resources Board Moyer Program guidelines at http://mww.arb.ca.gov/mspgog/moyer/ and federal agencies.The Carl Moyer Program is the nation's largest guidlines/cmp—guildines_partl_2.pd. clean air incentive program with about$140 million available every year,primarily through local air quality districts. In general,projects Small businesses that operate their eq ipment within the San Joaquin funded through Carl Moyer grants must reduce emissions three years Valley might benefit from a joint California Air Resources Board- earlier than regulations require. State Treasurer's Office loan guarante program. Known as the Pilot Off-Road Loan Incentives(POLI),this program is available to help These grants may be more accessible to owners of small and medium- purchase ARB-verified exhaust retrofi s for off-road vehicles.Small sized fleets,due to later compliance date requirements for smaller businesses with higher-than-conventional lending risk could benefit fleet owners.Medium fleets may be eligible for Carl Moyer funds if from this program. repowers are completed or retrofits installed by February 28,2010. Small fleets may be eligible for 100 percent grant funding for retrofits In southern California,fleet owners s eking to retrofit their off-road and grants of up to 85 percent for repowered engines installed by equipment may be able to apply for nding under the South Coast February 28,2012. Retrofits funded with Carl Moyer grants are Air Quality Management District's Surplus Off-Road Opt-In for eligible only for single,not double,credit.Read the current Carl NOx(SOON)program.Diesel-engine emissions of nitrogen oxides, or NOx,can contribute to smog.See ttp://www.aqmd.gov/tao/ implementation/soonprogram.htm fo�information.is WW- "W � S r ■ M'x i 'ane-stop shop„ a v�I!��y�p1gV a. I z i an I _ ".. .,, s - SPRING/SUMMER 2009 New Energy Efficiency The nation's fiat green building Standards Effective in "' st r2008.Thecode,c 1 , summer 20f18;The code,called Au 1.1$t 1 the"2008 California Green g Standards Building Standards Code: is also 11 ' known as the"CalGiven Code' August 1,2009,is an important date for all contractors to note.That's The new standards establish when new energy efficiency standards take effect.These standards may California ase leadarinft impact your construction projects,depending on the date you submit efforts-to reduce greenhouse your building permits. gas emissions from structures. It in s mandatory features In Title 24,Part 6 of the California Code of Regulations,the Energy With a delayed effective date for Standards for Residential and Nonresidential Buildings will carry some revised guidelines for housing,end vo untary standards for . projects that are submitted for approval to local building departments.Since implementation hospitals and other non-residential may vary from jurisdiction to jurisdiction,it's important to clearly understand your local structures, building department's interpretation of the"building permit application submittal date." "These new building standards will ensure that California remains The Energy Efficiency Standards for Residential and Nonresidential Buildings were established at the forefront of reducing our in 1978 in response to a legislative mandate to reduce California's energy consumption.The carbon footprint and conserving standards have been updated periodically to allow consideration and possible incorporation valuable natural resources while of new energy efficiency technologies and methods.The Standards were revised in 2001,and also protecting our economy," said again in 2005. Governor Arnold Schwarzonogger, upon presentation of the new Part of the new standards specifically impact roofing,including new construction,significant standards. repairs of existing roofs,re-roofing,plus additions and alterations of existing buildings and The "g Building Standards homes.These standards are designed to reduce air conditioner demand,save money,and Commission,IBSQis-pesponsible for reduce the urban heat island effect.One example of a new standard taking effect is that a adnnistering California's°building residential cool roof will change from an optional energy efficiency measure to a requirement. Codes,including ing,approving, To learn more,visit the California Energy publishing,and implementing codes and standards. Commission Web site:http://www.energy. ca.gov/tide24/2008standards/index.html or Contractors can find useful call the Commission's Hotline at 916.654.5106 information on current actions and upcoming dwges-to the green or 800.772.3300(toll-free in California),or ' Building Cede on the BSC Web site: e-mail:title24@energy.state.ca.us.11111 vwwv .bse.ca -------------------------------------------------------------------------------------------------------- Update to C-46 Solar Contractor License Classification Under Way New language better represents work done by licensees At its November 20,2008 meeting,the Contractors State License The revised Board gave its approval to make the following description revision language condenses to the C-46 Solar contractor license,which would amend Section the classification 832.46 of the California Code of Regulations: description §832.46. Class C-46 Solar Contractor by encompassing • A solar contractor installs,modifies,maintains,and repairs thermal solar-related subsystems into the to 7ms"thermal and photovoltaic." and photovoltaic solar energy systems. Members of the public will have an opportunity to comment • A licensee classified in this section shall not undertake or perform on the proposed change during the rulemaking process.Details building or construction trades,crafts or skills,except when are posted in the Notice Register on www.cslb.ca.gov. Click on required to install an active solar energy system. "General Info"and"How to Participate."A s CALIFORNIA LICENSED CONTRACTOR Don't Dig Yourself into a Hole Over Building Permits Co-xr-aion A new law took effect on January 1,2009, , which is designed to give property _ owners valuable information they need - -- 7 ADVERTNI"6 about the financial responsibilities of _ 7= _ 1 °°'°"'"`6 declaring themselves as an owner-builder. $ ' Those responsibilities include workers' compensation insurance and employee wage taxes. This summer,CSLB begins an outreach campaign at building departments CSLB Publications throughout the state,"Don't Dig Yourself into a Hole,"to educate consumers about The CSLB Public Affairs Staff is in the process of updating and revising the responsibilities they take on if they many of its free,award-winning publications,which are available for downloadin from the Web site:www.cslb.ca.gov. ere,you'll find new hire an unlicensed individual and declare g themselves as the owner-builder. or updated versions of 10 Tips To Make Sure Your Contractor Measures Up, Owner-Builder Beware.and After a Disaster Don't ge Scammedl If you are It's important for licensed contractors to interested in having a quantity to provide to your ctstomers,use the online remember that they are responsible for order form,or print out the form and mail it to CSLB.Mailing information making sure their work meets all building is on the form. code requirements.The best way to do this is by pulling all required building permits CSLB's Building Official Guide,Industry Experts Pr am and Description of and making sure that all inspections are Classifications will be available to order this spring. ew,updated versions completed.Not pulling permits can lead to of Before You Dive into Swimming Pool Construction Blueprint to Becoming having your license suspended or revoked. a Licensed Contractor,the Mandatory and Voluntary Arbitration Program Guides,and the asbestos guide will be published lat r this year. A property owner can pull permits on your behalf.However,if they do,be sure Spanish versions of What You Should Know Before I Firing a Licensed .they list you as the licensed contractor and Contractor(Lo que usted deberia de saber antes de contratar un contratista don't declare themselves the owner-builder. con licencia)I What Seniors Should Know(Lo que 1 personas mayores de Unlicensed operators often get property edad deben de saber antes de contrar a un contratis a),A Homeowner's Guide owners to illegally pull permits as an to Preventing Mechanic's Liens(Guia para propietari s acerca de como evitar owner-builder. los gravamenes por los derechos del constructor),aj id Tips For Hiring a CSLB urges you to do your part by making Roofing Contractor(Consejos para contratar a un c ntratista especializado sure your clients understand how the permit en techos)have been updated and can also be orde ed at www.cslb.ca.gov. process works,and the dangers of illegally Spanish versions of Consumer's Guide to Filing Ct nstruction Complaints declaring themselves as an owner-builder.t (Guia al consumidor para la presentacion de recla IIaciones relacionadas con la construccion)and After a Disaster Don't Get Scan imed(Despues de un desastre iNo se deje estafar!)will be available this st mmer. Brochures are being placed into a two-year production cycle,which means each will be reviewed and updated every two years o ensure contractors and consumers receive the most up-to-date inform tion and guides.All �+ publications are free and can be easily downloaded from the CSLB Web site to hand out to your customers.16 10 =WSW�-' SPRING/SUMMER 2009 own=111001 You Can Participate in CSLB Test Development lopment Each year,CSLB's Testing Division typically classification.SMEs and Testing staff review In orde�iust o participate as an SME,your updates eight of the 45 examinations that and finalize the information. license be in good standing with CSLB. are administered for state licensure.This Letters a e sent out to licensees to see if they ongoing revision process is to help make sure The second part of the update process is g g P P called examination development.Workshops are inter sted in becoming an SME.An SME that contractor applicants are tested with receives 150 per day and travel expenses questions that are current and relevant to the are held with the SMEs to review and q revise the existing test questions with the for parti ipating at workshops.Interest specific trades. letters w re recently mailed out that seek information that has been gathered.A survey Through the Division's rotating schedule of is then sent to all licensees(or a sample for Participation in C-11,C-43,"B",and reevaluation,analysis and review,all exams the larger trade groups)to get input on how C-20 exams. are updated every five to seven years.This is often tasks are done and what knowledge is Current Testing Updates where licensee participation is most valuable. most important.The process results in an An occur ational analysis for the C-35 During the occupational analysis phase, examination outline that specifies the content Lathing and Plastering examination was contractors who have agreed to be Subject and weights that you see in the study guides, recently completed,in addition to new Matter Experts(SMEs)work with Testing and determines the final testing weights of examinatlions for C-34 Pipeline and C-38 staff to help develop a list of tasks and the examinations. RefrigeraltIion.The table below shows the knowledge that is necessary in their specific current exam update schedule.6 • Occupatic inal Analyses New Examinations ft1Visiat1: in Progress in Progress 'A' Gener I Engineering C-5 Framing and + Use the CSLB study guides(available at www.cSlb.co.gov,and Rough Carpentry USO the list Of resources to study. "B"Gene-al Building C-10 Electrical C-15 Flooring C-13 Fencing if you do not pass,review failure le s)to identify test sections C-23 Ornamental Metals C-28 Lock and that had the lowest scores and the sections that carry the most I Security Equipment ht C-36 Pluming C-35 Lathing and Plastering Review the resources and learn the information thoroughly before C-51 Structural Steel C-50 Reinforcing taking the test again. I Steel C-60 Welding How to Make Sure Your Application is Accepted The number one reason applications with completely filled out. It can save weeks or provides etailed instructions that will help CSLB are denied is for failure to report a months in waiting time by taking a few extra prevent d lays and rejections. conviction.That means pleading guilty,no minutes to make sure everything on the contest or being convicted by a court for checklist is completed. Applications for Hazardous Subsistence any misdemeanor or felony in this state or -------------------------- Removal certificates require extra attention. elsewhere.This includes any record that was Here are s me tips for completing that form: expunged,charges that were reduced,and Checklist vehicle code violations like driving under the License classifications that may apply are: influence(DUI) that resulted in a felony or O Sign all the forms. A-Gen ral Engineering,B-General misdemeanor conviction. O Fill out the forms completely. Building,C-12 Earthwork and Paving, mbing,C-57 Well Drilling, Applicants are not automatically denied for C-36 PI; O Make sure the Certificate of C61/D- 0 Limited Specialty for Service admitting a conviction.Each applicant is Work Experience adds up to ; reviewed on a case-by-case basis. CSLB will ; Station Equipment and Maintenance. consider the seriousness of the crime,how four(4)years for each The con ractor's license must be in long ago it was committed,and evidence of classification. good sta ding. rehabilitation. -------------------------------- . Fingerprinting is required. Almost half of all license applications Go over the General Information section Make sue the form is completely submitted to CSLB are routinely rejected in the front of the application packet.It filled ou and signed. for the simple reason that they were not tf i CALIFORNIA LICENSED . . _ 4�. License Revocations v NAME CITY LIC.# DATE SECTIONS VIOLATED NAME CITY LIC.f DATE SECTIONS VIOLATED A+CONSTRUCTION OAKLAND 831487 01/07/2009 7090.1 BERGIN MICHAEL CONSTRUCTION INC REDLANDS 441979 09/18/2008 7107,7113,7114,7120, A&A CASAS CONSTRUCTION MERCED 562962 11/21/2008 7090.1 7115,7030 A&C ROOFING INC SANTA ROSA 860740 02/27/2009 7109.5,7110 BIANCO FLOORING VALLEJO 659210 11/07/2008 7085.6 A&M TREE SERVICE CORPORATION ANAHEIM 767930 01/15/2009 7090.1 BIG UNLIMITED CAMARILLO 768462 09/29/2008 7030.A,7107,7113,7109.A, A-1 DESIGNS SAN JOSE 558325 12/15/2008 7085.6 7116,71010715913,710 A, A C/D C ELECTRIC CORPORATION VAN NUYS 831514 08/04/2008 7085.6 7116,7108,71 9(C6,D1 A C INTERIORS MORENO VALLEY 870623 12/26/2008 7090.1 BLANDA JOSEPH ANDREW VAN NUYS 398165 10/06/2008 7085.6 A J F CONSTRUCTION CANYON COUNTRY 787537 02/27/2009 7097,7098,7121(5) BLASINGAME CONSTRUCTION ANTIOCH 538141 02/20/2009 7097,7098,7121151.7122 ABSOLUTE ENTERPRISES CANOGA PARK 783378 10/24/2008 7090.1 BLUE ANGELS CONSTRUCTION SACRAMENTO 835968 07/24/2008 7085.6 ACCURATE BUILDERS INC VAN NUYS 837098 08/04/2008 7085.6 BLUE ANGELS CONSTRUCTION SACRAMENTO 835968 11/06/2008 7085.6 ACEVES JULIO ROBERT MONTROSE 588363 06/24/2008 7090.1 BLUE HORIZON POOL RANCHOCUCAMON 790863 07/17/2008 7090.1 ADVANCED BUILDERS&DESIGNS OAKLAND 732064 11/21/2008 7090.1 BLUE LAGOON CUSTOM POOL&SPA STOCKTON 839581 06/19/2008 7085.6 ADVANCED EXTERIOR SYSTEMS INC ROCKLIN 704754 06/11/2008 7107,7068.1,7108,7113, BLUE LAGOON CUSTOM POOL&SPA INC STOCKTON 848020 06/19/2008 7085.6 7116,7154 BLUE LAGOON DESIGN& ADVANTAGE WELL DRILLING ACTON 633871 10/09/2008 7107,7111.1,7119,7159, POOL CONSTRUCTION CHULA VISTA 855931 01/29/2009 7030(A,B).7083,7107,7108, 1113 7109.A,7110.K,7113,7116, AGOURA PAINTING INC THOUSAND OAKS 690986 09/02/2008 7085.6 7120,7123,7159(5A5,5A3) ALFARO HECTOR CONSTRUCTION HIGHLAND PARK 875911 01/29/2009 7123 BOS CONSTRUCTORS INC OJAI 417640 07/03/2008 7097,7098,7121(5) ALL AMERICAN HEATING&AIR EL CAJON 849626 06/03/2008 7028.5,7107,7113,7108, BRAN CORP CHINO 809639 12/09/2008 7090.1 7159.5A3,7115,7116, BRAY'S MODULAR YUCAIPA 745057 12/26/2008 7090.1 ALL CITIES LANDSCAPE 7117.513 BRINTON WELL DRILLING YREKA 823177 09/24/2008 7097,7098,7121(5),7122.5 COLTON 887815 12/14/2008 7085.6 BRIT CONSTRUCTION COLOMA 525801 07/01/2008 7090.1 ALL IN ONE CONSTRUCTION FRESNO 888025 12/09/2008 7090.1 BRITT JAMES CONSTRUCTION LONG BEACH 765552 12/29/2008 7090.1 AMADOR SEPTIC SYSTEMS PINE GROVE 855012 08/04/2008 7085.6 BRUCES QUALITY CUSTOM PAINTING IRVINE 780856 06/11/2008 7030.8,7116,7123, AMERICAN DREAM HOME BUILDERS INC SHERMAN OAKS 816529 06/05/2008 7107,7109,7113, 7159(5A3,5A4,C4,C6,DlOA) 7159(8,D,G).7110 BUILDER LINE INC LOS ANGELES 866865 11/07/2008 7090.1 AMERICAN LANDSCAPE DEVELOPMENT COMPANY BULLDOG CONSTRUCTION MOORPARK 774682 06/03/2008 7083,7107,7113,7154, ONTARIO 681076 12/04/2008 7090.1 1159(B,G) AMERICAN ROOF SERVICE INCORPORATED CONCORD 374164 07/24/2008 7085.6 BUZZ'S DRYWALL MARINA 788454 09/24/2008 7123,7112,7110,7125.4, AMOS PHILIP IRWIN HERMOSA BEACH 443003 07/15/2008 7097,7098,7121(5) 7115,7068(1,2) ANC ROOFING SANTA ROSA 668719 02/27/2009 7097,7098,7121(5),7122 BYERS SCOTT CONSTRUCTION CULVER CITY 640982 08/13/2008 7085.6 ANC ROOFING INC SANTA ROSA 689097 02/27/2009 C A P CONSTRUCTION LAGUNA BEACH 442612 01/12/2009 7090.1 ANDERSON DRAIN CLEANING&PLUMBING ELK GROVE 885922 07/24/2008 7085.6 C D S PAINTING LADERA RANCH 756909 09/05/2008 7085.6 ANYKIND CONSTRUCTION TRACY 677394 06/26/2008 7107,7109,7113,7119 C F I CONTEMPORARY FLOORS INC MARTINEZ 558343 08/25/2008 7090.1 ARMOR BUILDERS INC CHINO HILLS 854617 09/11/2008 7115,7027(3,1),7071.13, C J HOUSE HOLD REPAIRS GRANADA HILLS 786302 08/27/2008 7090.1 7028 C J S CONSTRUCTION GALT 650859 01/07/2009 7090.1 ASHLEY HOMES INC APPLE VALLEY 857769 11/07/2008 7107,7109,7068.1,7113, C M L CONSTRUCTION INC SANTA CLARA 780231 08/21/2008 7109(A,B),7113 ATHERTON RICHARD CONSTRUCTION 7164.A,7115 C M V CONSTRUCTION INC SANTA CLARA 761873 08/21/2008 7091,7098,7121(5) SAN DIEGO 778353 09/02/2008 7085.6 CAL-SCAPE - SOUTH LAKE TAHOE 864255 06/10/2008 7085.6 AUDET MIKE PAINTING GROVER BEACH 775576 06/10/2008 7090.1 CAL-WEST LANDSCAPE TEMECULA 838262 01/08/2009 7090.1 AUSSIE POOLS AND MASONRY SACRAMENTO 616362 11/19/2008 7090.1 CAL-WEST LANDSCAPE TEMECULA 838262 08/11/2008 7090.1 AVALON BUILDER QUARTZ HILL 507847 08/22/2008 7107,7111.1,7113, CAL SCAPES VALENCIA 842132 01/12/2009 7090.1 7159(D9C,C4,C6,E4,D3, CALIFORNIA BUILDING&DEVELOPMENT SAN JOSE 539455 11/26/2008 7090.1 E5,E6B),7116,7117.A CALIFORNIA HOME DEVELOPMENT AVERY STONE&TILE LIVERMORE 852429 08/25/2008 7090.1 &DESIGN INC CANOGA PARK 900992 10/15/2008 7085.6 AVILA PRIME CONSTRUCTION SANTA ANA 758337 11/16/2008 7085.6 CALPAC CONSTRUCTION THOUSAND OAKS 671663 01/08/2009 7109.A,7110,7113,7115, B&B REMEDIATION&RESTORATION INC OCEANSIDE 875908 06/16/2008 7090.1 7030,7159,7098,7121(5) B&B RESTORATION INCORPORATED OCEANSIDE 812401 06/16/2008 7090.1 CALVARY CONSTRUCTION TEAM CHINO HILLS 546451 09/30/2008 7107,7 1 08,7113,7117.A, B R S BUILDING PRODUCTS INC SANJUAN CAPISTRANO 828215 10/24/2008 7090.1 71591C4,C6,DBC,E4,E5,E6A, B R S BUILDING PRODUCTS INC SAN JUAN CAPISTRANO 828215 12/05/2008 7090.1 7159(0,C6,DBC,E BAJA POOLS INC LAGUNA BEACH 844719 09/15/2008 7107,7113,7154,7109.A, CAMPBELL CONSTRUCTION FRESNO 720223 09/25/2008 7090.1 7108,7120,7159.C5 CAMPBELL CONSTRUCTION FRESNO 720223 10/10/2008 7090.1 BARAJAS CONSTRUCTION WALNUT CREEK 793248 01/13/2009 7090.1 CAMPBELL CONSTRUCTION FRESNO 20223 11/21/2008 7090.1 BARDALES CONSTRUCTION WILDOMAR 820623 08/04/2008 7085.6 CAMPOS ANDREW JULLIAN CERES 382700 08/06/2008 7085.6 BARGAIN A/C&HEATING NORTHRIDGE 858215 09112/2008 7090.1 CANYON CREST LANDSCAPE SERVICES RIVERSIDE 795323 01/26/2009 71591D8C,D1,D10C,D118,[5, BAYSIDE ROOFING BRENTWOOD 749209 07/09/2008 7090.1 E6B,5A3),7109(A,B) BELLA FLOORING CARMICHAEL 870733 12/19/2008 7112,7115,7068.1,7098, CAPITOL CITY PAINTING INC FAIR OAKS 303461 09/25/2008 7090.1 7121(5) CARLESE VINCENT S BUILDER RENO ')99809 10/17/2008 7103 12 ARM SPRING/SUMMER 2009 License Revocations NAME CITY LIC.# DATE SECTIONS VIOLATED NAME CITY LIC.B DATE SECTIONS VIOLATED CASEY JOHN KEVIN TEMECULA 687967 12/04/2008 7090.1 ENERGY TECHNOLOGY SOLUTIONS INC CASTILLO DESIGN ELK GROVE 362426 01/23/2009 7107,7108,7113,7117.6, DBA:DESERT MOON CUSTOM POOLS&S SAN DIEGO 794011 02/06/2009 7109(,8),7116,7113,7114, 7159.5A3 7159(5A5,C5,D10A,E7, CASTRO CRISTOBAL CONSTRUCTION INC CHULA VISTA 766235 11/21/2008 7090.1 E2,E4).7030 CERTIFIED RESTORATION& ENGLISH BUILT WOODLAND 800642 01/27/2009 7085.6 CONSTRUCTION INC ELK GROVE 677024 12/23/2008 7090.1 ENGLISH BUILT WOODLAND 800642 12/23/2008 7090.1 CHABOT CONSTRUCTION CASTRO VALLEY 864194 08/25/2008 7090.1 ENTERPRISE REMODELING INC LOS ANGELE! 874345 01/23/2009 7097,7098,1121(5) CHANNEL ISLAND CUSTOM SWIMMING ENVIRONMENTAL LAND SYSTEMS INC DBA: POOLS&SPAS CHANNEL ISLANDS 591345 07/08/2008 7090.1 CREATIVE LANDSCAPE SYSTEMS GRANITE BA 710540 01/13/2009 7090.1 CINA RICHARD PLASTERING RESEDA 272175 08/04/2008 7085.6 ENVIRONMENTAL LAND SYSTEMS INC DBA: CLASSIC NATURAL GRANITE&TILE GALT 861877 02/26/2009 7090.1 CREATIVE LANDSCAPE SYSTEMS GRANITE BA 710540 11/21/2008 7090.1 COASTAL DESIGNS LANDSCAPE INC CARLSBAD 855553 10/02/2008 7090.1 ERVIN CONSTRUCTION INC COLTON 730233 06/10/2008 7085.6 COBALT POOLS LINCOLN 877270 12/23/2008 7090.1 ETCHISON WELL DRILLING YREKA 700937 09/24/2008 7107,7113,7116,7159.5A3, COHEN YACOV KOBY LOS ANGELES 812274 06/05/2008 7097,7098,7121(5) 7181 COLVIN CO THE LOS ALAMITOS 368210 07/08/2008 7107,7113,7115,7030, EUROPEAN HARDWOOD FLOORS DESIGN 7098,7121(5) &INTERIORS MOUNTAIN V EW 704616 06/02/2008 7112,7117.5 COMPLETE BUILDERS AND DESIGN CANYON COUNTRY 889380 09/02/2008 7085.6 EXPERT HOME REMODELING INC VAN NUYS I 888949 10/15/2008 7085.6 COMPLETE RECONSTRUCTION INC SAN DIEGO 817897 06/24/2008 7090.1 F M CONSTRUCTION RANCHO CUCNMONGA 837285 02/20/2009 7113,1114,7107,7109.A, CONSTRUCTION MANAGEMENT SERVICES SAN BERNARDINO 887327 08/04/2008 7085.6 7159(5A3,5A5,C4,D1,D10A, CONTRACTOR DIRECT INC VAN NUYS 835692 06/17/2008 7090.1 D10C,D11B,5A4),7115 COOPER&JACKSON INC DBA: FARO CONSTRUCTION BONITA 734619 01/12/2009 7090.1 OLYMPIA RESTORATION SO.SAN FRANCISCO 653870 12/23/2008 7090.1 FEMAT ROOFING NORTHHOLL WOOD 732242 01/12/2009 7090.1 COOPER CUSTOM CONSTRUCTION PARADISE 672664 08/25/2008 7090.1 FERNANDEZ V CONCRETE CHULA VISTA 428815 12/04/2008 7090.1 COOPER CUSTOM CONSTRUCTION FERREIRA HAULING ALBANY 742028 01/02/2009 7109.5,7110,7125.4, A PARTNERSHIP MAGALIA 859350 01/13/2009 7090.1 7117.6,7115,7027.1,7111.1 CORNER STONE BUILDERS WILDOMAR 572660 11/16/2008 7085.6 FIDELITY HOME IMPROVEMENT INC LOS ANGELEE 874344 01/23/2009 7068.1,7107,7109,7113, CORNERSTONE 2000 INC DBA: 7114,7115,7116,7117, JUNGLE JULIE LANDSCAPE SOLUTIONS DANA POINT 832336 09/30/2008 7097,7098,7121(5) 7125.4,7154,7159(D7,D8C, CRAIG W A INC DIXON 455752 01/07/2009 7090.1 D9C,D10A,D71A,5A3,5A5, CREATIVE HARDWOOD FLOORS LAGUNA HILLS 651055 09/30/2008 7109.A,7113,7117.5, 5A6) 7125.4,7159 FIDELITY REMODELING LOS ANGELES 812547 01/23/2009 7097,7098,7121(5) CRISTOBAL FRAMING CHULA VISTA 763807 01/07/2009 7090.1 FIRST STEP CONSTRUCTION HAWTHORNE 807148 01/14/2009 7085.6 CROSSING JORDAN CONSTRUCTION INC VISTA 849985 09/29/2008 7028,7159(5A5,DBC,D9C, FOCHT PATRICK ENTERPRISES LA MESA 699953 09/09/2008 7090.1 D10C,D11B) FOOTHILL POOL&SPA ROSEVILLE 825029 09/02/2008 7090.1 CROWN HOME WORKS INC DBA: FRANKLIN SERVICES YUCCA VALLE 844564 06/10/2008 7085.6 CAL-PAC HOME IMPROVEMENT SANTA CLARA 698626 01/02/2009 7107,7113,7116,7120, FUTURE EFFICIENT HOMES GRANITE BAY 849213 09/25/2008 7121,7122 7159.5A3 G A CONSTRUCTION HEMET 819299 11/16/2008 7085.6 CUSTOM CONCEPTS SAN JUAN CAPISTRANO837962 02/26/2009 7085.6 6AGLANVILLE SANTAMON11 A 681022 12/11/2008 7085.6 CUSTOM DESIGN PATIO COVERS OAKLEY 812790 07/09/2008 7090.1 G T B CONSTRUCTION LA VERNE 705255 09/11/2008 7090.1 CUSTOM PRO CONSTRUCTION CONCORD 887450 02/23/2009 7097,7098,7121(5) GARABET KRIKOR NORTHRIDGE 457168 12/05/2008 7097,7098,1121(5) D&D FLOOR COVERING SANTA ANA 686150 11/06/2008 7085.6 GARNA CONSTRUCTION COMPANY PASO ROBLES 849838 08/21/2008 7107,7113,7115,7159 D H BUILDER SACRAMENTO 625760 02/23/2009 7125.4,7159(5A4,5A5,A,D). GEMSTONE POOLS&SPAS PISMO BEACH 821875 07/29/2008 7085.6 7107,7113,7123,7112 GENERAL USA DEVELOPMENT ROWLAND HE GHTS 776280 01/29/2009 7083,7107,7113,7117.A DPPLUMBING RVISTA 832855 09/16/2008 7090.1 GIFFORDCONTRACTING OCEANSIDE 729082 06/17/2008 7090.1 DAE WON&ASSOCIATES INC SAN FRANCISCO 529805 10/17/2008 7107,7113,7108,7116, GIL G M CONSTRUCTION CHULA VISTA 337611 06/09/2008 7107,7109.A,7083,7113, 7117(5A,5B,),7159(C6,E4, 7114,7154,7068.1,7097, 5A5,5A4) 7098 7121(5) DAHLINGER CONSTRUCTION MODESTO 817753 08/04/2008 7085.6 GOLDEN LEGACY DEVELOPMENT TEHACHAPI 826699 08/21/2008 7083,7109(A,B),1113,7112, DANGLACRUZ CONSTRUCTION AND 7164(B2,B3,B4,B5,A,D) DEVELOPMENT COMPANY DOWNEY 811802 07/29/2008 7085.6 GONZALEZMORA BAYARDO J SAN PABLO 861350 09/25/2008 7090.1 DANNY BOY CONSTRUCTION MANAGEMENT ELK GROVE 788162 12/24/2008 7107,7109,B,7110,7113, GOODWIN MIKE CONSTRUCTION SAN DIEGO 788396 09/09/2008 7085.6 7115,7030,7119,7097, GRACE'S CONSTRUCTION&DESIGN INC LA OUINTA 879392 01/12/2009 7090.1 DAVID R JONES GENERAL BUILDING 1098,7121(5) GREEN PRO LANDSCAPE SERVICES CONCORD 839873 02/23/2009 7107,7109(A,B),7113, 7159(A,5A5).7115 CONTRACTOR LONG BEACH 528710 01/29/2009 7107,7109.A,7113,7116, GROUP 2 LA INC DBA:STAR CONSTRUCTION WOODLAND H LLS 830520 01/12/2009 7097,7098,7121(5) 7159(D,5A3,D8C),7110.G, GYENES JOSEPH DBA: 1125.4 JAG CONSTRUCTION COMPANY BEVERLY HILL 378993 11/19/2008 7085.6 DECCOLUX CORONA 871468 09/30/2008 7107,7108, H&M CONSTRUCTION HUNTINGTON 3EACH 775304 10/02/2008 7090.1 7110,7125.4,7154 H K CONSTRUCTION CO NORWALK 503546 07/10/2008 7107,7109(A,B),7113,7115, DEITZ SHAWN CONSTRUCTION FRESNO 846254 09/04/2008 7107,71 13,7115, 7030,7159,7119,7098, 7110,1159,7109(A,B).7120 7121(5) DELYNN REMODELING AND DESIGN HAYWARD 515378 06/23/2008 7107,7109(A,B),711O(A), H V K CONTRACTORS INC DBA: 7 113,7115,7159,7097, TWINS SERVICES LOS ANGELES 828024 01/08/2009 7090.1 7098,7121(5) H V K CONTRACTORS INC DBA: DESTINY POOLS&CONSTRUCTION INC TWINS SERVICES LOS ANGELES 828024 01/07/2009 7090.1 DBA:DESTINY POOL CONSTRUCTION I RIVERSIDE 848168 09/05/2008 7107,7109(A,B),7110, HAMPTON&COLEMAN CONSTRUCTION INC RICHMOND 679836 09/25/2008 7090.1 7113,7154,7115, HANA GEORGES CONST CO BEVERLY HILLS 526670 06/10/2008 7085.6 7159,5A3,7121(5) HANDYMAN RENOVATIONS INC TURLOCK 858695 07/24/2008 7085.6 DEVELOPERS WEST INC SANTA MONICA 780193 12/11/2008 7085.6 HANDYMAN RENOVATIONS INC TURLOCK 858695 12/22/2008 7090.1 DIAMOND BAR PLUMBING SACRAMENTO 327800 01/13/2009 7090.1 HANSEN D R CONSTRUCTION LOS ANGELES 843820 10/10/2008 7112 DIRECT CONNECT ELECTRIC ANAHEIM 785052 09/15/2008 7114 HARRIS BRADLEY GENERAL CONTRACTOR ALAMEDA 792787 07/24/2008 7085.6 DONNELL MICHAEL C TOPANGA 398364 09/25/2008 7097,7098,7121(5),7122.5 HARRISON COMPANY MANHATTAN EACH 693165 01/15/2009 7090.1 DREAM BUILDER CONSTRUCTION HARTLEY LANDSCAPING BENICIA 792191 02/23/2009 7097,7098,7121.5 AND RESTORATION SACRAMENTO 845617 02/09/2009 7085.6 HI-DESERT ROOFING YUCCA VALLEY 776368 07/08/2008 7090.1 DREAM CONSTRUCTION SAN BERNARDINO 753611 08/15/2008 7107,7113,7120,7108, HOBSON&SONS CARLSBAD 765891 06/09/2008 7107.7109A 7113,7123, 7030(A,B) 7112,159(C4,C6,D10C,D11B, DUGAS STEVEN W CONSTRUCTION OXNARD 759977 01/15/2009 7083,7107,7113,7116, E5,E6A,5A3,E6B),7125.4, 711T5,7123 7110 E-Z DOES IT CONSTRUCTION INC REDONDO BEACH 883810 01/26/2009 1085.6 HOMEWORKS REMODELING E A W CONSTRUCTION INC VAN NUYS 771448 01/12/2009 7090.1 AND RESTORATION SAN CLEMENT 598152 01/29/2009 7107,7109.,7113,7117, E M C C LANDSCAPE AND POOL CONSTRUCTION TORRANCE 690833 11/07/2008 7085.6 7154,7125.4,7159(5A5, E M K CONSTRUCTION BURLINGAME 435134 01/23/2009 7097,7098,7121(5) HUNTER MICHAEL LEE YUCAIPA 813538 08/14/2008 77085.6 tOC,D11B1.1083 E N CONSTRUCTION VAN NUYS 413908 10/22/2008 7116,7114(1),7117,7027.4 HURKLAND HOMES INC CALIFORNIA Cl Y 876384 09/25/2008 7101,7110.G,7113,7114, E S B CONSTRUCTION SAN JOSE 835445 09/10/2008 7109.,7113,7110,7117.6. 7116,7159 7118,7125.4,7159(5A5). HUTCH SURFACE SPECIALISTS CORONA 886331 07/08/2008 7090.1 7115 HUTCH SURFACE SPECIALISTS CORONA 886331 09/05/2008 7085.6 EATON DEVELOPMENT CO INC LA MESA 512908 12/18/2008 7085.6 HUTMELL PROPERTY DEVELOPMENT CO DBA: ELDRED DAVID SAN FRANCISCO 518284 06/16/2008 7107,7109(,B),7110,7113, GOLD COAST BUILDERS FULLERTON 537269 06/19/2008 7085.6 7115,7030,7159,7097, I T ROOFING CONTRACTORS OAKLAND 774276 12/09/2008 7090.1 7098,7121(5) ILIJEVJOVAN SACRAMENTO 816836 12/19/2008 7112,7098,7121.5 ELITE POOL&SPA ROUGHHOUSE 803366 12/09/2008 7090.1 IMPERIAL POOLS INC DBA: EMERSON CONSTRUCTION INC ANAHEIM 866120 06/04/2008 7068.1,7083,7107,7108, AQUARIUS POOLS SACRAMENTO 267176 07/25/2008 7071.15,715$E4,A,C4), 7109.8,7113,7114,7115, 7107,7108(5),7112,7113, 7116,7117(A,58),7118, 7116,7117.7068.2,7120 7154,71591C4,C6,D2,D7, IRSCO INC SUN VALLEY 565905 09/05/2008 7085.6 DBC,DI0A.D10C,D13.E4.E5. ISABELO ELECTRIC NORTH HOLLYV OOD 724607 08/04/2008 7085.6 E6,E6B 13 �® CALIFORNIA LICENSED CONTRACTOR License Revocations NAME CITY LIC.# DATE SECTIONS VIOLATED NAME CITY LIC.M DATE SECTIONS VIOLATED ISLAND POOLS RIVERSIDE 844578 11/162008 7085.6 MISTER PERFECT REMODELING SAN LEANDRO 850513 08/042008 7085.6 J&J HEATING AND COOLING INC FRESNO 897089 01/23/2009 7112 MONCLOVA'S POOL CONST LAMONT 835624 0925/2008 7090.1 J&J POOL SERVICE LAKE FOREST 843601 12/29/2008 7107,7109A,7113,7120, MOORE IRRIGATION SAN DIEGO 439580 06/092008 7115,7159(E5,A,B,FG,J,K,L), 7159,7098,7121(5) 7071.11,7110.D,7109.A, J A L GENERAL CONTRACTOR SANTA CLARA 671375 08212008 7091,7098,7721(5) 7113,7125 J BIRD CONSTRUCTION CAMARILLO 822650 09/16/2008 7090.1 NATIONAL CONSTRUCTION LOS ANGELES 761023 12/12208 700.1 J C D CONSTRUCTION HOLLISTER 676057 10/08208 7090.1 NATIONAL CONSTRUCTION LOS ANGELES 791823 12/12208 7090.1 J S CONSTRUCTION WHITTIER 789752 09242008 7107,7116,7159(5A3,C4,C6, NATIONAL HEATING&COOLING COOL 855066 01/13209 7090.1 D8C,D11B,D13,E4,E5,E6B, NATIONAL HEATING&COOLING INC COOL 855261 01/13/2009 700.1 5A6,5A415A NAVAJAVIER SANTA PAULA 785609 11/122008 7085.6 J S TILE&STONE MODESTO 873391 07/09/200 700.1 NAVARRO CONST PERRIS 724525 0929/2008 7107,7113,7154,7109.A, JAWAD&CO SAN LEANDRO 859054 08212008 7107,7109.A,7110,7113, 7117.A,7115,7125.4 7159(C3BII,C4,C6,D7,D9B, NEW WEST OJAI 532274 07/03/2008 7097,7098,7121(5) D10B,D11B,D13,E) NGUYENBA SAN JOSE 82009 12/07/2008 7085.6 JAY'S GARDENING SERVICE AND NIX CURTIS N APPLE VALLEY 430644 0929208 7097,7098,7121(5) LAND DEVELOPMENT SARATOGA 680130 11/21/2008 7090.1 NU-DESIGN MANUFACTURING LOS GATOS 796199 01/02/2009 7108,7113,7116,7159.5A5 JAY'S PLUMBING LOS ANGELES 412472 12/24208 7085.6 NU CONSTRUCTION SACRAMENTO 834871 08/15208 7107,7109.A,7113,7116, JOE RAMZ CONSTRUCTION RIVERSIDE 627275 01/122009 7107,7108,7113,7097, 7110,7159)E5,5A3,5A5) 700,7121(5) NUSSLOCK JEFF W WESTMINSTER 789767 10/312008 700.1 JOELECTRIC MORENO VALLEY 806590 07/082008 7090.1 0 N A DEVELOPERS INC LOS ANGELES 855255 09/16/2008 7085.6 JONATHAN BUILDERS INC VALLEYVILLAGE 769049 06/112008 7090.1 O'SULLIVAN LANDSCAPE CONSTRUCTION YORBA LINDA 576559 10/31208 7090.1 JONES RONALD DBA:ICON DEVELOPMENT TORRANCE 784530 06/18/2008 7107,7113,7116,7110, OASIS COMPANY INC BRENTWOOD 818839 0825208 7090.1 1 7159(C4,C6,D7,D10C,D11B, ORACLE BUILDERS SANTA ROSA 811553 10/10/2008 700, 5A4,5A5,5A6),7083,7097, PACIFIC REMODELS SANTA CLARA 855036 08/01/2008 7090.1 7098,7121151 PACIFIC WEST HEATING&AIR JONTERRA BUILDING CONTRACTOR CONDITIONING CORONA 604150 01/07/2009 7090.1 AND DEVELOPER PALM SPRINGS 364417 09/122008 700.1 PACIFIC WEST HEATING&AIR JR CONCRETE CONSTRUCTION OAKLAND 688837 09/04208 7109.A,7110,7115,7159, CONDITIONING CORONA 604150 01/08209 700.1 7098,7121(5) PACIFIC WEST HEATING&AIR K&C ALWAYS CONCRETE SACRAMENTO 845977 1121/2008 7090.1 CONDITIONING CORONA 604150 10/01/2008 7090.1 K T CONSTRUCTION&RESTORATION CO RIVERSIDE 877458 01/12209 7090.1 PACIFIC WEST HEATING&AIR K V C CONSTRUCTION REDLANDS 660177 11/16208 7085.6 CONDITIONING CORONA 604150 10/09208 700.1 KALYMAN PAINTING&WALLPAPER SAN JOSE 656094 06/182008 7085.6 PAINTING COMPANY THE INC HUNTINGTON BEAC A 791916 09/12208 7090.1 KATMAI DEVELOPMENT COMPANY LAKESIDE 815505 10/062008 7085.6 PAMPAS VAN NUYS 857449 01/15209 7090.1 KEPLEY PARADISE 719534 01/14209 7085.6 PARAMOUNT CONSTRUCTION TEMECULA 759828 01/02209 7109.7159(D9B,5A3).7113, KICHENS AND BATHS 4 YOU LOS ANGELES 839895 07/152008 7071.13,7154,7159(C4,C6, 711 O(G,A),7097,7098, D1OA,D10C,D11B,E4,5A4), 7121(5) 7191(A,B),7107,7109 A, PARKINSON BACKHOE SERVICE BIG BEAR CITY 817126 1226208 7090.1 7113,7117 PASSARELLO DAVID P DBA: KIMBLE THOMAS M MALIBU 586179 01/122009 700.1 KSE DEVELOPMENT CO ARCADIA 681363 08/042008 7107,7113,7110,7115, KINGS CUSTOM COVERS ELK GROVE 828295 09/05/2008 7109(A,B),7110 7159.E,1028,7114,7112, KRISTL FAMILY BUILDERS WESTMINSTER 895482 08/14208 7085.6 7097,7098,7121(5) KUKLAKI ENTERPRISES INC DBA: PATIO 2000 INC FULLERTON 789329 10/06208 7085.6 SAN DIEGO ROOFING SAN DIEGO 846228 0925/200 7097,7098,7121(5) PATRIOT COMMERCIAL&RESIDENTIAL KURYL CORPORATION DBA:R&D DRYWALL ENCINO 705579 09/29208 711O(F,A),7116,7161.B, SERVICES INC VISTA 857459 12/12/2008 715915A5,DBC.D9C, 7115,7097,7098,7121151, DIOC,D11 B) 710(A,B),7068,7114, PATRIOT MAINTENANCE&SERVICES INC VISTA 893741 12/12/208 1091,708,7121(5) 7117(B,5B,A),7154,7107, PERDUE INC DBA PACIFIC VALLEY LANDSCAPE OJAI 783234 07/03208 7107,7113,7159(5A3,E5), KURYL REMODELING&CONSTRUCTION INC VAN NUYS 878354 092 7159.5A5,7162 7117.6,7030(A.B)9/2008 7097,7098,1121(5) PERMATECHS PAINTING BEAUMONT 63409 09/16208 7090.1 L C LANDSCAPE CONTRACTING ONTARIO 770655 12/04/2008 7090.1 PETRA WATERFALLS INC MIRA LOMA 804939 09/052008 7097,7098,7121(5) LA BOY FRANK DBA:OAKRIDGE ROOFING PLEASANTON 760469 0925208 7090.1 PETRICEVIC FLOORING A PARTNERSHIP CITRUS HEIGHTS 872776 12/19208 7112,7115,7068.1, LANDMARK CO ROWLAND HEIGHTS 597617 01/15/2009 7109(A,B),7120,7117.6, 7098,7121151 7159.5A3,7113 PIERCE LANDSCAPING LIVERMORE 607954 11/192008 7090.1 LANDTECH LANDSCAPES MODESTO 854811 08262008 1107,7109(AB),7113, PINE CREEK ENTERPRISES SANTA CLARITA 763227 07/142008 7097,7098,7121(5) 7159(C3A,5A3,5A5),7108 PINE CREEK ENTERPRISES SANTA CLARITA 805240 07/14/200 7107,7113,7109(A,B). LANE RICHARD MCO MONROVIA 597969 0/18/208 7120,7113,7115 1159(C4,Cfi,D7,D10C,DiiB1. LARRY TAM'S WINDSOR 697920 01/14209 7085.6 LAWRENCE ROBERT A CARLSBAD 850652 0220/2009 7097,708,7121 7110,7030 PIO AL CONSTRUCTION CATHEDRAL CITY 714595 0724208 7085.6 LEE STANFORD S H GARDEN GROVE 438442 06/042008 7097,7098,7121(5) PLANCARTE GENERAL CONSTRUCTION RIVERSIDE 871543 0/06/2008 7085.6 LEG CONSTRUCTION VALLEJO 781915 09/23208 7085.6 PLANT RITE LANDSCAPE LEWIS C J BUILDERS OCEANSIDE 804945 07292008 7085.6 MANAGEMENT COMPANY MANTECA 728040 0/102008 7085.6 LIGUORI CONSTRUCTION RANCHO MURIETA 793709 01/29/2009 7085.6 PLATENSE CONSTRUCTION N HOLLYWOOD 788387 12/05200 700.1 LINDNER MARV K3 POOL SERVICE PINE VALLEY 719745 0123209 7107,7116,7159(D10C, POOLWORKS LAFAYETTE 561490 0/252008 7090.1 DI1B,C4,C6,D10A,E4),7154, POSHARD CONSTRUCTION LOS GATOS 816976 08/04208 7085.6 LITTLE ALAN CUSTOM HOMES INC ARROYO GRANDE 694590 10/102008 7090.1 7113,7108 RECISION HOME IMPROVEMENT HAYWARD 8830407 02/20/2009 71009.AO7108 7120,7113,, LITTLEFIELD ADRIAN ERIC COOL 835884 12/09208 7090.1 7111.1 LIVING IN COMFORT SAN MARCOS 893044 0220/200 7097,7098,7121 PREMIER CONSTRUCTION HESPERIA 354120 01/02209 7107,7109.,7113,7154, LYN ROBERT W PALMDALE 695462 09/09/2008 7085.6 25 M D W REMODELING& 7117,71 7107,0125.4, 9(5,5, 75.4,7 1 5 MAINTENANCE REPAIR FRESNO 775543 0129/2009 7030(B),7107,7113,7116, PRESTIGE HOMES L P ONTARIO 811544 10/31200 7090.1 7117.5.7159(AC4,C6,D, PRIME AMERICAN BUILDER LA MESA 794026 07/18200 700.1 D10B,D11B,E4,5A3) PRIME AMERICAN BUILDER LA MESA 794026 09/302008 7106.5,7109(A,B1.7113, M G M CONSTRUCTION SAN JOSE 764560 02232009 7091,708,7121(5),7122(5) 7120 •H CONTRACTORS INC CASTLE ROCK 841582 07/01/2008 7109.A,7173 PRO-LINE EXCAVATION MORGAN HILL 707065 12/15208 7085.6 •K CONSTRUCTION CHICO 717304 12/15208 7085.6 PROWSE LANDSCAPING MURRIETA 761148 0227209 7107,7109.,7113,7116, M WOLFF CONSTRUCTION CORP LAKE ELSINORE 850474 09/192008 7107,7113,7028,7108, 7117(8),7125.4,7159(D8C, 7109,7110,7114,7116, D70A,D10C,D7.1B,E4,E5, 7117.6,7154,7159 MAILBOX MEDIC INC SPRING VALLEY 733774 09/30/20E6B,5C1.703 0 7107,7108,7113,7159(G4, QUALITY PLUS LANDSCAPE CONSTRUCTION CHULA VISTA 855006 0/05/200 7090.1 MAIN CONSTRUCTION CALABASAS 433922 0/30208 7607,7113,7159106,E4,E51, QAND SPASGUNITE SWIMMING POOLS RIVERSIDE 820869 06/102008 1085.6 7111.1 QUINTERO JOHN LATHING&PLASTERING TORRANCE 792053 0220200 7109.A,7113,7159 MAJOR CONTINENTAL LTD GRANADA HILLS 813885 09/70/2008 7123,7112,7110 MANNY'S CONSTRUCTION CO HAYWARD 714152 082 (Dl 0A,E5,D116,C6,E4,C4). 5/2008 7090.1 7114,772115E 7097,C6,E4,98 MAVERICK REMODELING&CONSTRUCTION BEVERLY HILLS 80012 10/15208 7085.6 R&R HOME IMPROVEMENTS MORENO VALLEY 776874 0220209 7097,7098,7121(5) MC GHEE MICHAEL PAINTING CARLSBAD 731526 0825208 700.1 R&R REAL ESTATE INVESTORS INC MC HALE JAMES A COMPANY VENTURA 786642 12/24/200 710.A,7110.A,7111.1, DBA:SWIFT COSTA MESA 792181 02/20/200 7102,71091A,BI,7113,7120, 7113,7111.A,7118,7115, 7159(E5,C4,C6,D10A,5A5). MC INTOSH URAL MICHAEL LOS ANGELES 872794 11/16200 7085.6,C,E) R M M PLUMBING&ELECTRICAL INC 7083 MC REYNOLDS CONSTRUCTION REDWOOD CITY 836284 12/152008 7085.6 DBA:ASAP ELECTRIC ROSEVILLE 833296 0611012008 7090.1 MINOTAUR DEVELOPMENT MARINA DEL REY 681622 06/18/208 490,7123,7112,7097,7098, R 7 BUILDERS SAN FERNANDO 890739 11/16/2008 7085.6 MIRACLE BUILDING MAINTENANCE SAN PABLO 832076 0126/200 7085'6) REC 0 GEORGE ATION CORONA 816335 09/16208 7085.6 BAKERSFIELD 860509 1121208 7090.1 14 SPRING/SUMMER 2009 License Revocations NAME CITY LIC.► DATE SECTIONS VIOLATED NAME CITY LIC.9 DATE SECTIONS VIOLATED RED HILL CONSTRUCTION SACRAMENTO 697459 07/25/2008 7097,7098,7121(5),7122 T&F CONSTRUCTION CO REED PAUL MURRIETA 795959 09/30/2008 7107,7110,7113, DBA:AQUA BLU POOLS SAN JOSE 153343 08/25/2008 7090.1 7117(A,5B).7159(D9C,5A5) T C CONSTRUCTION&PAINTING CO AMERICAN C NYON 636127 11/14/2008 7109.A,7113,7115,7159, REINITZ BILL CONSTRUCTION ORLAND 391916 01/29/2009 7085.6 7098,7121(5) REMODEL IT INC LA MESA 874243 06/30/2008 7106 T D ENGINEERING&CONSTRUCTION INC NORTHRIDGE 483158 12/05/2008 7123,7097,7098,7121(5) REMODELING&CONSTRUCTION 101 INC LOS ANGELES 871680 11/16/2008 7085.6 T N T CONSTRUCTION SYLMAR 736153 11/13/2008 7085.6 RENAISSANCE CONSTRUCTION INC STUDIO CITY 801590 08/04/2008 7085.6 T S M CONCRETE LONG BEACH 878408 01/12/2009 7090.1 RESIDENTIAL SYSTEMS GRANITE BAY 816536 11/19/2008 7090.1 T-MAN GRADING&PAVING EL DORADO I ILLS 597298 07/11/2008 7109A,7030(A),7113,7115, RESTORE-IT LOS ANGELES 758601 07/15/2008 7107,7113,7159(5A5,D), 7159(FK,L) 7109 TALLAC PLUMBING SOUTHLAKE AHOE 839977 12/09/2008 7090.1 RICHARDS J CONSTRUCTION INCLINE VILLAGE 791464 12/23/2008 7090.1 TANSIER TECHNOLOGY RICHMOND 818951 02/26/2009 7090.1 RICHARDSON CONSTRUCTION SAN FRANCISCO 807439 08/25/2008 7090.1 TARGET SERVICES NORTH HOLL WOOD 869050 12/04/2008 7090.1 RICHARDSON'S FLOOR COVERING BURBANK 750656 11/13/2008 7085.6 TAYLOR CONSTRUCTION ROHNERT PA iK 687557 08/27/2008 7085.6 RITCHIE CONSTRUCTION AND ELECTRIC BAKERSFIELD 717000 07/09/2008 7090.1 THERMAGLASS SACRAMENT 814428 09/10/2008 7090.1 RIVER CITY ROOF COATINGS REDDING 673236 02/26/2009 7090.1 THOMASIAN EDMOND TARZANA 616958 12/05/2008 7097,7098,7121(5) RIVER CITY ROOF COATINGS REDDING 687280 02/26/2009 7090.1 THOMPSON CONSTRUCTION SOQUEL 854677 12/04/2008 7090.1 RIVER CITY ROOFING COMPANY REDDING 819725 02/26/2009 7090.1 TOP DOG CONSTRUCTION&MAINTENANCE FILLMORE 792613 09/25/2008 7090.1 RIVER CITY ROOFING COMPANY REDDING 819725 12/22/2008 7090.1 TOP DOGG CONSTRUCTION COMPANY TEHACHAPI 799313 08/18/2008 7123,7107,7113,7116 RIVER CITY WATERPROOFING REDDING 811115 02/26/2009 7090.1 TOP NOTCH CONSTRUCTION HESPERIA 830118 02/17/2009 7085.6 RIZZO JOEL MENIFEE 815877 01/12/2009 7090.1 TOTAL SURFACING VISTA 782576 06/24/2008 7090.1 ROCCA CONSTRUCTION APPLE VALLEY 735325 02/20/2009 7107,7109,7113,7114, TOWN&COUNTRY CUSTOM POOLS EL CAJON 777208 12/12/2008 7109.A,7110,7113,7115, 7115,7117,7119,7154, 7030(A,B),7159,7098, 7164,7110,7108.5 7121(5) ROMAN CONSTRUCTION INC TRI VALLEY CONSTRUCTION SAN JOSE 740766 09/24/2008 7090.1 DBA:AMERICAN ELECTRIC PLEASANTON 834398 08/25/2008 7090.1 TRINITYDEVELOPMENTS CRESCENT Cl Y 845805 08/25/2008 7090.1 ROMAN CONSTRUCTION INC TRITON LANDSCAPE IRRIGATION& DBA:AMERICAN ELECTRIC PLEASANTON 834398 12/22/2008 7090.1 MAINTENANCE CO SUTLER CREEK 627972 10/17/2008 7123 ROMAN CONSTRUCTION INC TUSCAN POOLS FOLSOM 832913 12/22/2008 7090.1 DBA:AMERICAN ELECTRIC PLEASANTON 834398 11/17/2008 7090.1 U S A REMODELING TARZANA 802511 09/11/2008 7116(5A),7154,7161, ROMAN CONSTRUCTION INC 703gA,B1.7159,7110, DBA:AMERICAN ELECTRIC PLEASANTON 834398 10/09/2008 7090.1 7117 6 ROMAN CONSTRUCTION INC ULTIMATE POOLS BY AQUA DREAM INC VALENCIA 852770 12/29/2008 7090.1 DBA AMERICAN ELECTRIC PLEASANTON 834398 10/01/2008 7090.1 US METRO DEVELOPMENT INC LOS ANGELS 822279 12/12/2008 7090.1 RON'S CUSTOM WOODWORKING SHADOW HILLS 504819 12/04/2008 7090.1 V M CONSTRUCTION SAN JOSE 825608 02/23/2009 498,7112,7114,7117,7115, ROSETTI CONSTRUCTION RIVERSIDE 871469 01/14/2009 7085.6 7068.2 ROTELL CONTRACTORS MURRIETA 738933 06/16/2008 7090.1 VAN ZANT CONSTRUCTION MURPHYS 841654 09/25/2008 7090.1 RUIZ CESAR F ALHAMBRA 488639 08/07/2008 7114,7109,7113 VEGA GARDENS CERES 765885 11/21/2008 7090.1 S D D CONSTRUCTION CANOGA PARK 699314 06/19/2008 7085.6 VEGA RICHARD R DBA:RICHARD R VEGA CASTRO VALL 753506 08/14/2008 7085.6 SABIA FRANK CONSTRUCTION LOS ANGELES 645880 11/16/2008 7085.6 VEKTOR FLOOR COVERING CARMICHAEL 842808 12/19/2008 7115,7068.1,7112,7121.5 SAN DIEGO ROOF REMOVAL EL CAJON 750789 09/30/2008 7123,7110 VENICE CONTRACTORS MORENO VAL EY 592177 12/29/2008 7090.1 SAN DIEGO ROOFING INC SAN DIEGO 686318 09/25/2008 7109,7113,7116,7154, VICTORIA'S EXCAVATION INC VENTURA 804781 01/12/2009 7085.6 7155,7159(5A5,D) W C M CONSTRUCTION COMPANY CLOVIS 636613 06/02/2008 7085.6 SCHUTZ AND SONS BAKERSFIELD 846785 08/25/2008 7090.1 WALSTON CONCRETE HEMET 533259 07/24/2008 7085.6 SCHMEDES DAVID L HEATING AND WANG CHING KUNG HOWLAND HE GHTS 584434 12/04/2008 7090.1 AIR CONDITIONING ARNOLD 771678 12/23/2008 7090.1 WAY LOW SHEET METAL HAWTHORNE 401920 09/12/2008 7090.1 SCOFIELD LANDSCAPING LOS ANGELES 437194 09/29/2008 7109(A,B),7113,1159( WEST COAST BUILDERS SACRAMENT( 858308 01/13/2009 7090.1 C4,5A6,C5,C6,5A3) WEST COAST POOLS&SPAS INC CORONA 842052 11/02/2008 7085.6 SHARP CONSTRUCTION HAYWARD 844957 08/25/2008 7090.1 WESTERN PACIFIC DESIGN AND SILL MITCHELL CREATIVE CONCRETE GRANITE BAY 867591 12/23/2008 7090.1 DEVELOPMENT NATIONAL CII 781204 08/20/2008 7097,7098,7121(5) SINGLE PLY ROOFING MADERA 607838 01/04/2009 7085.6 WESTERN POOL REMODELING INC LAKESIDE 610263 01/15/2009 7109,7110,7113,7119, SMART UNIQUE SERVICES 7159(5A5,D1,D10A,D10C, CORPORATION THE QUARTZ HILL 799805 01/26/2009 7113,7159(B,E,J).7107, D118) 7109.A,7115,7068.1, WIGWAM CONTRACTING CO RESEDA 679924 10/23/2008 7109.A,7110,7114,7115, 7030(A,B) 7164,7118,7097,7098, SMITH ANDERSON WILLIAM 7121(5) CONSTRUCTION COMPANY REDDING 593236 06/19/2008 7085.6 WILDER GREGG CONSTRUCTION VACAVILLE 794222 09/25/2008 7090.1 SOL ENTERPRISE SAN PEDRO 848346 07/10/2008 7159(545A4,5A5). WILDERNESS LANDSCAPES VISTA 834806 06/02/2008 7107,7109.A,7113, 7119 7159(5A5),7154,7125.4 SOLARSYSTEMS INC WILLOW LANE GROWERS ENCINITAS 870517 10/02/2008 7098,7109A21(5) DBA:SOLARSYSTEMS INC FONTANA 714201 11/13/2008 7085.6 WILLOWLANE GROWERS ENCINITAS 704643 10/02/2008 7107,7109.A,7113,7115, SOLID CONSTRUCTION BY M CH EAST PALO ALTO 811166 06/23/2008 7107,7109.A,7113,7116, 7159,7125,7154,7098, 7159(A,DBA,B,C,E5,5A3,5A5) 7121(5) SOLOMON E L CONSTRUCTION SACRAMENTO 531656 10/06/2008 7085.6 WILSON CONSTRUCTION RANCHO SAN A SOLUTIONS ENTERPRISE SEASIDE 801776 07/13/2009 7090.1 MARGARITA 597740 01/05/2009 7085.6 SONG WON YONG LOS ANGELES 838972 06/03/2008 7090,7107,7109(A,B),7113, WOITAS MARK KENNETH CHICO 668140 06/10/2008 7090.1 7159(5A3) WOLFFMILTON ESCONDIDO 291026 09/19/2008 7097,7098,7121(5) SOUTH WEST PROFESSIONAL PAINTING INC UPLAND 855555 08/27/2008 7090.1 WONG MARK BURBANK 692398 01/12/2009 7090.1 SOUTHERN CALIFORNIA ENERGY WORK OF ART TILE&MARBLE INC SANTA ANA 765578 06/06/2008 7030(A,B),7107,7110,7109, SPECIALISTS INC SAN MARCOS 685569 02/20/2009 7107,7108,7113,7159.5A5 7159(B,D,E,F,G,K,L),7115, SOUTHLAND POOL&SPA SERVICE INC UPLAND 842161 09/15/2008 7097,7098,7121(5) 7117 STANDARD SPRAY MACHINE INC WORLD MAINTENANCE COMPANY CYPRESS 727928 11/13/2008 7085.6 DBA:L&M COATING CO GARDEN GROVE 778373 06/04/2008 7097,7098,7121(5) WYNKOOP TODD BERKELEY 786890 08/14/2008 7085.6 STAR CONSTRUCTION REDWOOD CITY 757538 12/23/2008 7090.1 WYNN'S CONSTRUCTION RIPON 363499 06/06/2008 7107,7109,7112,7159(B) STAR CONSTRUCTION WOODLAND HILLS 522291 12/12/2008 7114,7115,7075.1,7098, X-TREME POOLS BY 1121(5) AVILES CONSTRUCTION FONTANA 816508 11/24/2008 7085.6 STARR CORP ZO INC YAMNIZKY DANNY INC VAN NUYS 818731 08/04/2008 7085.6 DBA:STAR CONSTRUCTION' TARZANA 432175 01/12/2009 7107,7112,7115,7068.1 YODER CONSTRUCTION INC STEPHENSON ROOFING INCORPORATED DBA:YODER&SON CONSTRUCTION INC VACAVILLE 874059 11/26/2008 7085.6 DBA:TAYLOR ROOFING SAN JOSE 452010 01/29/2009 490,7121,7122 YOUNG-K CONSTRUCTION INC FULLERTON 879109 10/08/2008 7085.6 STERLING LE OCEANSIDE 733535 09/25/2008 7097,7098,7121(5).7122 YUCAIPA CONCRETE INC YUCAIPA 587039 08/04/2008 7085.6 STON-CO INC SAN FERNANDO 820617 01/23/2009 7090.1 STONE HAVEN POOLS INC OAK VIEW 792544 06/03/2008 7090.1 STONEYBROOK CONSTRUCTION COMPANY BEAR VALLEY 874511 07/24/2008 7085.6 STRATASCAPE SANTA ANA 667775 02/20/2009 7018.5,7107,7110,7111.1, 7113,7115,7030,7083, 7159,7117.A,7097,7098, IIII") 11 SUMMER PLACE POOLS INC TEMECULA 872223 11/13/2008 7085.6 SUPERIOR MOBILE SERVICES MURRIETA 46461 06/05/2008 7090.090. SURFACE PROTECTION SYSTEMS IMPERIAL AL BEACH 870458 12/04/2008 7090.1 1 QQ O SWEENEY CONSTRUCTION LIVERMORE 007316 09/25/2008 7090.1 SYSTEM LANDSCAPE ROSEVILLE 713016 12/23/2008 7090.1 SYSTEM LANDSCAPE DESIGN CONSTRUCTION&MAINTENANCE INC ROSEVILLE 812264 12/23/2008 7090.1 SYSTEMS CONSTRUCTION CO VISALIA 786793 01/26/2009 7107,7113,7159.A 15 i CALIFORNIA LICENSED . . _ mm MEN T PRSRTSTD —�� U.S.POSTAGE CALIFORNIA LICENSED CONTRACTOR PAID - - — — — — — — — — - - SACRAMENTO,CA Contractors State License Board PERMIT NO.434 P.O. Box 26000 Sacramento,CA 95826 800.321.CSLB(2752) www.csib.ca.gov CSLB's Mission Statement CSLB protects consumers by regu ating the construction industry no*m of State Regarding through policies that promote the health,safety and general welfare ` of the public in matters relating to construction. CA&riaia esaAad Pro (B&P)Code reinforces CSLB accomplishes this by: the rtance of soaking sure you have your business name CSLB Ensuring that construction is pe formed in a safe,competent and professional manner; According csu mZW Code 7083'you have 90 days to notify Licensing contractors and enforcing licensing laws; moue tiny�in your name,busin Address,, � individual blond exemption or • Requiring that any person practicing or offering to practice do 110 muldple licenses.Failure to no*CSLl3 construction contracting be licensed; +ref of these changes can result in disciplinary action. • Enforcing the laws,regulations and standards governing 'JnaddJiW n,,}roti Gast"be disciplined under)B&P Code 7117 construction contracting in a fair and uniform manner; f4c 144 the Opacity,ofacontractor with a different name Providing resolution to disputes hat arise from construction t *fiat* 6f a with CSLB or wig persomid scot listed on activities;and 11 tht license stpp n.,B&P Code 7117.6 irohibits,you fttsm • Educating consumers so they ca make informed choices. ocity;of a amts for in any classification for Gettift the record}It nor licensed. ��Gt�hcs Cph�4 straight with CSLB is easy...and free:Visit .Wb, i click on"Contractor,"then Glick on 4 M ICMtMCOO&J.iUldII;to Ling""� 1828 2008 �oR 801r6/'�