BILL NUMBER: SB 1627	CHAPTERED
	BILL TEXT

	CHAPTER  567
	FILED WITH SECRETARY OF STATE  SEPTEMBER 29, 2008
	APPROVED BY GOVERNOR  SEPTEMBER 29, 2008
	PASSED THE SENATE  AUGUST 29, 2008
	PASSED THE ASSEMBLY  AUGUST 22, 2008
	AMENDED IN ASSEMBLY  AUGUST 20, 2008
	AMENDED IN ASSEMBLY  AUGUST 15, 2008
	AMENDED IN ASSEMBLY  AUGUST 8, 2008
	AMENDED IN ASSEMBLY  JUNE 5, 2008
	AMENDED IN SENATE  MAY 5, 2008
	AMENDED IN SENATE  APRIL 22, 2008
	AMENDED IN SENATE  APRIL 2, 2008

INTRODUCED BY   Senator Wiggins
   (Coauthor: Senator Alquist)
   (Coauthors: Assembly Members DeVore, DeSaulnier, Evans, Huffman,
and Lieber)

                        FEBRUARY 22, 2008

   An act to amend Section 13975 of the Government Code, to amend
Sections 1130, 1137, 1150, 1152, 1153, 1154, 1155, 1156, 1156.5,
1156.6, 1157, 1158, 1159, 1159.1, 1171.5, 1180.6, 1181, and 1182 of,
and to add Sections 1117, 1157.1, 1157.2, 1157.3, 1157.4, 1159.5,
1195.1, 1195.3, 1196.1, and 1196.3 to, and to add and repeal Section
1159.4 of, the Harbors and Navigation Code, relating to pilot
commissioners, and making an appropriation therefor.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1627, Wiggins. Board of Pilot Commissioners for the Bays of San
Francisco, San Pablo, Suisun, and Monterey.
   (1) Existing law provides for the regulation and licensing of
pilots for the Bays of San Francisco, San Pablo, Suisun, and Monterey
by the Board of Pilot Commissioners for the Bays of San Francisco,
San Pablo, and Suisun. Under existing law, the board consists of 7
members who are appointed by the Governor, with the consent of the
Senate. Existing law requires the board to appoint and license the
number of pilots needed to carry out these provisions and requires
the board to consider various factors in making this determination.
Existing law specifies that the board has the sole authority to
determine the qualifications and requirements for obtaining a pilot
license, and it also authorizes the board to suspend or revoke
licenses for misconduct, and it specifies procedures for that action.
Existing law establishes various rights and duties of these pilots.
Existing law provides for an administrative assistant/secretary of
the board and assigns various duties to that position. Existing law
also prescribes pilotage rates for vessels and requires vessels
inward or outward bound to pay a specified rate of bar pilotage
through the Golden Gate and into or out of the Bays of San Francisco,
San Pablo, and Suisun, and vessels navigating the waters of Monterey
Bay are also required to pay a specified rate. Under existing law,
there is a San Francisco Bar Pilot Pension Plan, and existing law
specifies benefits, administration, eligibility, financing, and other
matters relating to the operation of the plan. Existing law also
imposes various surcharges for, among other things, pilot trainee
training, pilot training, and board operations. Existing law
authorizes the board to appoint an executive director who serves at
the pleasure of the board.
   This bill would revise and recast those provisions by making the
board a part of the Business, Transportation and Housing Agency, to
be renamed the Board of Pilot Commissioners for the Bays of San
Francisco, San Pablo, and Suisun. The bill would eliminate the
position of the administrative assistant/secretary and reassign its
duties to the board. The bill would establish the position of an
assistant director who is appointed by, and serves at the pleasure
of, the Governor. The bill would make the Secretary of the Business,
Transportation and Housing Agency an ex officio member of the board.
The bill would also require the Secretary of the Business,
Transportation and Housing Agency to act as the executive director
during the absence of the executive director from the state or during
a vacancy.
   The bill would, until January 1, 2011, require that the Bureau of
State Audits complete specified audits of the board by December 1,
2009, and January 1, 2010, respectively. The bill would also require
the Business, Transportation and Housing Agency to provide comments
and recommendations, if any, to the board and the Legislature based
on the final audits by the Bureau of State Audits no later than 6
months from the date of the receipt of the audits. The bill would
provide for reimbursement of the bureau's actual costs in conducting
these audits to the extent that these costs are not covered by a
legislative appropriation. The bill would make an appropriation of
$350,000 for this purpose.
   (2) Existing law provides for the appointment of a port agent by a
majority of the licensed pilots subject to the approval of the board
and assigns to the port agent various duties, including carrying out
the orders of the board and other applicable laws and otherwise
administering the affairs of the pilots.
   This bill would specify additional duties of the port agent.
   (3) Existing law authorizes the board to issue a subpoena for a
witness in a case pending before the board. A witness who disobeys
the subpoena is subject to a civil penalty of $100.
   This bill would increase the civil penalty to $500.
   (4) Existing law requires that a register of pilots appointed by
the board be kept.
   This bill would, instead, require the board to keep specified
records of each pilot appointed and licensed by the board and would
require pilots to provide the board with a notice of change of
specified records within 30 days of the change. The bill would
specify that personal information in the records is confidential and
would require the board to establish procedures for access to that
information. An agent of the board who, without authorization,
willfully discloses confidential information is subject to a civil
penalty not to exceed $2,500.
   (5) Existing law authorizes an incident review committee to take
certain action after full consideration of the evidence related to an
incident, misconduct, or other matter for which a license may be
revoked or suspended.
   This bill would, instead, authorize the board, after full
consideration of the evidence, report, and recommendations from the
incident review committee, to take certain action, including
remanding the matter to the incident review committee for further
investigation. The executive director would be required to notify the
board of any pilot or inland pilot who fails, or refuses, to
complete training, practice trips, or other corrective action imposed
by the board.
   (6) Existing law authorizes the revocation or suspension of a
pilot or inland pilot license under specified circumstances.
   This bill would, additionally, authorize the revocation or
suspension of a license for a pilot's or inland pilot's failure or
refusal to complete corrective action imposed by the board.
   Appropriation: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  The Legislature finds and declares that providing
transparency and accountability to the Board of Pilot Commissioners
is in the public interest and it is the intent of the Legislature to
enhance, preserve, and continue the state's commitment to state
licensure of pilotage on the Bays of San Francisco, San Pablo, and
Suisun in order to ensure safe navigation, promote commerce, and
protect the environment.
  SEC. 2.  Section 13975 of the Government Code is amended to read:
   13975.  The Business and Transportation Agency in state government
is hereby renamed the Business, Transportation and Housing Agency.
The agency consists of the State Department of Alcoholic Beverage
Control, the Department of the California Highway Patrol, the
Department of Corporations, the Department of Housing and Community
Development, the Department of Motor Vehicles, the Department of Real
Estate, the Department of Transportation, the Department of
Financial Institutions, the Department of Managed Health Care, and
the Board of Pilot Commissioners for the Bays of San Francisco, San
Pablo, and Suisun; and the California Housing Finance Agency is also
located within the Business, Transportation and Housing Agency, as
specified in Division 31 (commencing with Section 50000) of the
Health and Safety Code.
  SEC. 3.  Section 1117 is added to the Harbors and Navigation Code,
to read:
   1117.  "Commission investigator" means a person employed by or
under contract with the board and assigned to investigate and report
on a navigational incident involving a vessel piloted by a pilot or
inland pilot licensed by the board, or other matter, incident,
misconduct, suspected safety violation, or other activity reported
to, or identified by, the board.
  SEC. 4.  Section 1130 of the Harbors and Navigation Code is amended
to read:
   1130.  (a) A majority of all of the pilots licensed by the board
shall appoint one pilot to act as port agent to carry out the orders
of the board and other applicable laws, and to otherwise administer
the affairs of the pilots. The appointment is subject to the
confirmation of the board.
   (b) The port agent shall be responsible for the general
supervision and management of all matters related to the business and
official duties of pilots licensed by the board.
   (c) The port agent shall immediately notify the executive officer
of the board of a suspected violation, navigational incident,
misconduct, or other rules violation that is reported to him or her
or to which he or she is a witness. The board shall adopt regulations
for the manner and content of a notice provided pursuant to this
section.
  SEC. 5.  Section 1137 of the Harbors and Navigation Code is amended
to read:
   1137.  (a) The account required pursuant to Section 1136 shall
show all of the following:
   (1) The name of each vessel piloted.
   (2) The name of the vessel's master.
   (3) The name of each vessel for which pilotage has been charged or
collected.
   (4) The amount charged to or collected for each vessel.
   (5) Any rebates made and allowed and for what amounts.
   (6) Where the vessel is registered.
   (7) The depth of each vessel's draft and its highest gross
tonnage.
   (8) Whether the vessel was inward or outward bound.
   (b) The board shall record the accounts in full detail in a book
prepared for that purpose. The account book is a public record.
  SEC. 6.  Section 1150 of the Harbors and Navigation Code is amended
to read:
   1150.  (a) There is in the Business, Transportation and Housing
Agency a Board of Pilot Commissioners for the Bays of San Francisco,
San Pablo, and Suisun, consisting of seven members appointed by the
Governor, with the consent of the Senate, as follows:
   (1) Two members shall be pilots licensed pursuant to this
division.
   (2) Two members shall represent the industry and shall be persons
currently engaged as owners, officers, directors, employees, or
representatives of a firm or association of firms that is a
substantial user of pilotage service in the Bay of San Francisco, San
Pablo, Suisun, or Monterey, one of whom shall be engaged in the
field of tanker company operations, and one of whom shall be engaged
in dry cargo operations. The board of directors of a regional
maritime trade association controlled by West Coast vessel operators
that specifically represents the owners and operators of vessels or
barges engaged in transportation by water of cargo or passengers from
or to the Pacific area of the United States shall nominate, rank,
and submit to the Governor the names of three persons for each
category of industry member to be appointed.
   (3) Three members shall be public members. Any person may serve as
a public member unless otherwise prohibited by law, except that
during his or her term of office or within the two years preceding
his or her appointment, no public member appointed may have (A) any
financial or proprietary interest in the ownership, operation, or
management of tugs, cargo, or passenger vessels, (B) sailed under the
authority of a federal or state pilot license in waters under the
jurisdiction of the board, (C) been employed by a company that is a
substantial user of pilot services, or (D) been a consultant or other
person providing professional services who had received more than 20
percent in the aggregate of his or her income from a company that is
a substantial user of pilot services or an association of companies
that are substantial users of pilot services. Ownership of less than
one-tenth of 1 percent of the stock of a publicly traded corporation
is not a financial or proprietary interest in the ownership of tugs,
cargo, or passenger vessels.
   (4) Notwithstanding any other provision of law, this chapter does
not prohibit the Governor from notifying the nominating authority
identified in paragraph (2) that persons nominated are unacceptable
for appointment. Following that notification, the nominating
authority shall submit a new list of nominees to the Governor, naming
three persons, none of whom were previously nominated, from which
the Governor may make the appointment. This process shall be
continued until a person nominated by the nominating authority and
satisfactory to the Governor has been appointed.
   (b) Each of the members appointed pursuant to paragraphs (1) and
(2) of subdivision (a) shall be appointed for a four-year term, and
may not be appointed for more than two terms. Members appointed
pursuant to paragraph (3) of subdivision (a) shall be appointed with
staggered four-year terms with the initial four-year terms expiring
on December 31 of the years 1988, 1990, and 1991, respectively, and a
person may not be appointed for more than two terms. Vacancies on
the board for both expired and unexpired terms shall be filled by the
appointing power in the manner prescribed by subdivision (a).
   (c) A quorum of the board members consists of four members. All
actions of the board shall require the vote of four members, a quorum
being present.
   (d) The Secretary of the Business, Transportation and Housing
Agency shall serve as an ex officio member of the board who, without
vote, may exercise all other privileges of a member of the board.
  SEC. 7.  Section 1152 of the Harbors and Navigation Code is amended
to read:
   1152.  (a) The public members of the board shall receive, as
compensation for their services, the amount that the board may, from
time to time, determine, which shall not exceed six hundred dollars
($600) each per month.
   (b) The appointed members and employees of the board shall also be
allowed necessary traveling and other verified expenses incurred by
them in the performance of their duties.
  SEC. 8.  Section 1153 of the Harbors and Navigation Code is amended
to read:
   1153.  (a) The board shall organize itself by electing a
president, and shall provide offices in San Francisco or Alameda
County, in which it shall meet once a month, and it may adjourn its
regular meetings from time to time.
    (b) Meetings of the board are subject to the Bagley-Keene Open
Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1
of Part 1 of Division 3 of Title 2 of the Government Code).
  SEC. 9.  Section 1154 of the Harbors and Navigation Code is amended
to read:
   1154.  (a) The board is vested with all functions and duties
relating to the administration of this division, except those
functions and duties vested in the Secretary of Business,
Transportation and Housing.
   (b) The board's vested powers include the power to make and
enforce rules and regulations that are reasonably necessary to carry
out its provisions and to govern its actions. These rules and
regulations shall be adopted in accordance with Chapter 3.5
(commencing with Section 11340) of Part 1 of Division 3 of Title 2 of
the Government Code.
  SEC. 10.  Section 1155 of the Harbors and Navigation Code is
amended to read:
   1155.  The president of the board may administer oaths in regard
to any matter properly before it and he or she may issue subpoenas
for witnesses in like cases. A witness disobeying the subpoena served
on him or her shall incur a penalty of five hundred dollars ($500),
for which judgment may be recovered by the board in a civil action.
This section shall not apply to proceedings conducted in accordance
with Chapter 5 (commencing with Section 11500) of Part 1 of Division
3 of Title 2 of the Government Code.
  SEC. 11.  Section 1156 of the Harbors and Navigation Code is
amended to read:
   1156.  (a) The board may appoint, fix the compensation of, and
from time to time adjust the compensation of, an executive director
who is exempt from the civil service laws, and other employees as may
be necessary. The executive director shall be well qualified for the
position, with experience in government. The executive director may
perform all duties, exercise all powers, discharge all
responsibilities, and administer and enforce all laws, rules, and
regulations under the jurisdiction of the board, with the approval of
the board, including, but not limited to, all of the following:
   (1) The administration of personnel employed by the board in
accordance with the civil service laws.
   (2) To serve as treasurer of the board and keep, maintain, and
provide the board with all statements of accounts, records of
receipts, and disbursements of the board in accordance with the law.
   (3) The issuance and countersigning of licenses that shall also be
signed by the president of the board.
   (4) The administration of matters and the maintenance of files
pertaining to action taken against licenses issued by the board.
   (5) The administration of investigations of, and reporting on, a
navigational incident or other matter for which a license issued by
the board may be revoked or suspended.
   (6) To work with board members, staff, and other interested
stakeholders to recommend improvements in the pilot training program.

   (7) Under the direction of the board, to coordinate with other
state and federal agencies charged with protecting the environment
and with the oil and hazardous chemical shipping industry.
   (8) Any other function, task, or duty as may reasonably be
assigned by the president of the board, including, but not limited
to, performing research and obtaining documents and other evidence
for board activities, including rate hearings.
   (b) The Governor shall appoint one assistant director to serve at
the pleasure of the Governor. The assistant director shall have the
duties as assigned by the executive director, and shall be
responsible to the executive director for the performance of his or
her duties.
   (c) The board may employ personnel necessary to carry out the
purposes of this chapter. All personnel shall be appointed pursuant
to the State Civil Service Act (Part 1 (commencing with Section
18000) of Division 5 of Title 2 of the Government Code), except for
the executive director and the assistant director, who shall be
exempt from state civil service. The board may fix the compensation
of, and from time to time adjust the compensation of, any employees
as may be necessary.
   (d) All personnel of the board shall be appointed, directed, and
controlled by the board, the executive director, or the board's
authorized deputies or agents to whom it may delegate its powers.
   (e) The board may contract and employ commission investigators.
The board shall adopt regulations for the minimum standards for a
commission investigator that shall include, but are not limited to, a
basic knowledge of investigative techniques and maritime issues.
  SEC. 11.5  Section 1156.5 of the Harbors and Navigation Code is
amended to read:
   1156.5.  (a) The executive director shall serve at the pleasure of
the board and shall be under the direct supervision of the board.
The term of office to which the executive director is appointed is
five years.
   (b) The Secretary of Business, Transportation and Housing, or his
or her designee, shall act as the executive director during the
absence from the state or other temporary absence, disability, or
unavailability of the executive director, or during a vacancy in that
position.
  SEC. 12.  Section 1156.6 of the Harbors and Navigation Code is
amended to read:
   1156.6.  (a) Whenever suspected safety standard violations
concerning pilot hoists, pilot ladders, or the proper rigging of
pilot hoists or pilot ladders are reported to the board, the
executive director shall assign a commission investigator to
personally inspect the equipment for its compliance with the relevant
safety standards promulgated by the United States Coast Guard and
the International Maritime Organization. The commission investigator
shall report preliminary conclusions, including an assessment of the
equipment's compliance with the relevant safety standards, to the
executive director as soon as possible. If, in the preliminary
report, the equipment is found to be in violation, or in likely
violation in the opinion of the commission investigator, of the
relevant safety standards, the executive director shall immediately
alert the Coast Guard Marine Safety Office. The commission
investigator shall submit a written report to the incident review
committee as established by subdivision (a) of Section 1180.3 that
shall remain confidential until reported to the board. The incident
review committee, in turn, shall report its findings and
recommendations, if any, to the board. The board shall receive the
incident review committee's findings, which may include other
reports, information, or statements from interested parties. The
board shall specify, by regulation, the information that shall be
contained in the report.
   (b) This section applies to the pilotage grounds, as defined in
Section 1114.5. Whenever a vessel passes outside of the pilotage
grounds, the commission investigator's report shall include that fact
along with a description of the incident.
   (c) The record of the investigation and the board's findings and
recommendations, if any, shall be a public record maintained by the
board.
  SEC. 13.  Section 1157 of the Harbors and Navigation Code is
amended to read:
   1157.  The board shall keep a written record of all the board's
proceedings and acts.
   (a) The board shall also keep a complete record of each pilot
appointed and licensed by the board that includes at a minimum, his
or her current mailing address, residence, the date of the initial
issuance and renewal of the license, the date of completion for
initial and any subsequent training, and a record of any reports of
meritorious activities, commendation, misconduct, safety violations,
or other incidents or information related or relevant to the issuance
and use of his or her pilot license.
   (b) All pilots or inland pilots licensed by the board shall
provide the board with written notice of any change of name, mailing
address, or residence within 30 days of that change in a manner
prescribed by the board.
   SEC. 14.  Section 1157.1 is added to the Harbors and Navigation
Code, to read:
   1157.1.  (a) Except as provided in Section 1157.4, all records of
the board relating to the personal information of a pilot, collected
pursuant to subdivision (b) of Section 1157, are confidential and
shall not be open to public inspection.
   (b) For purposes of this section, "personal information" means
information, other than the name and mailing address, that identifies
an individual, including an individual's photograph, social security
number, address, telephone number, and medical or disability
information, but does not include other information related to
licensing such as incidents, rules or safety violations, misconduct,
training records, commendations, and license status.
   SEC. 15.  Section 1157.2 is added to the Harbors and Navigation
Code, to read:
   1157.2.  The board shall establish procedures for access to
confidential or restricted information from its records to protect
the confidentiality of its employees and licensees. If confidential
or restricted information is released to an agent of a person
authorized to obtain information, the person shall require the agent
to take all steps necessary to ensure confidentiality and prevent the
release of information to a third party. An agent shall not obtain
or use confidential or restricted records for any purpose other than
the reason the information was requested.
  SEC. 16.   Section 1157.3 is added to the Harbors and Navigation
Code, to read:
   1157.3.  A member of the board, the executive director, the
assistant director, or an employee of the board who willfully
discloses confidential information from the board record to a person
not authorized to receive it shall be liable for a civil penalty not
to exceed two thousand five hundred dollars ($2,500) for each
violation, which may be assessed and recovered in a civil action.
  SEC. 17.  Section 1157.4 is added to the Harbors and Navigation
Code, to read:
   1157.4.  Upon a request to the board by a federal, state, or local
law enforcement agency, the executive director shall make available
to the requesting agency any information contained in the board's
records.
  SEC. 18.  Section 1158 of the Harbors and Navigation Code is
amended to read:
   1158.  The public members, the executive director, the assistant
director, and employees of the board shall not engage in an
employment, activity, or enterprise that is clearly inconsistent,
incompatible, in conflict with, or inimical to his or her duties as a
state officer or employee or make, participate in making, or attempt
to use his or her official position to in any way influence a
governmental decision in which he or she knows or has reason to know
that he or she, or any member of his or her immediate family, has a
financial interest.
   SEC. 19.   Section 1159 of the Harbors and Navigation Code is
amended to read:
   1159.  (a) All moneys received by the board pursuant to the
provisions of any law shall be accounted for at the close of each
month to the Controller in the form that the Controller may prescribe
and, at the same time on the order of the Controller, all these
moneys shall be paid into the State Treasury to the credit of the
Board of Pilot Commissioners' Special Fund.
   (b) Notwithstanding Section 13340 of the Government Code, the
moneys deposited in the State Treasury to the credit of the Board of
Pilot Commissioners' Special Fund are appropriated without regard to
fiscal years for the payment of the compensation and expenses of the
board and its officers and employees.
   SEC. 20.   Section 1159.1 of the Harbors and Navigation Code, as
added by Section 9 of Chapter 1423 of the Statutes of 1990, is
amended to read:
   1159.1.  (a) The vessel shall pay a board operations surcharge,
the purpose of which is to fully compensate the board and the
Business, Transportation and Housing Agency for the official
services, staff services, and incidental expenses of the board and
agency. The amount of the surcharge shall be 7.5 percent of all
pilotage fees charged by pilots and inland pilots, pursuant to
Sections 1190 and 1191 unless the board establishes, with the
approval of the Department of Finance, a lesser percentage, not to
exceed any percentage consistent with subdivision (d).
   (b) The surcharge shall be billed and collected by the pilots and
inland pilots. The pilots and inland pilots shall pay all surcharges
collected by them to the board monthly or at such later time as the
board may direct.
   (c) The board shall quarterly review its ongoing and anticipated
expenses and adjust the surcharge to reflect any changes which have
occurred since the last adjustment.
   (d) The board operations surcharge shall not represent a
percentage significantly more than that required to support the board
and any costs of the Business, Transportation and Housing Agency
related to the administration of the board pursuant to subdivision
(a) in addition to the maintenance of a reasonable reserve.
  SEC. 21.  Section 1159.4 is added to the Harbors and Navigation
Code, to read:
   1159.4.  (a) The Bureau of State Audits by January 1, 2010, shall
complete a comprehensive performance audit of the Board of Pilot
Commissioners, and by December 1, 2009, shall complete a
comprehensive financial audit of the Board of Pilot Commissioners
pursuant to Chapter 6.5 (commencing with Section 8543) of Division 1
of Title 2 of the Government Code.
   (b) (1) The actual costs incurred by the Bureau of State Audits in
conducting the audits required pursuant to this section shall be
paid out of the operations surcharge collected pursuant to Section
1159.1.
   (2) The Bureau of State Audits shall apprise the board of the
estimated costs of each of the two audits prior to initiating each
audit.
   (3) Notwithstanding subdivision (d) of Section 1159.1, the board
shall make surcharge adjustments pursuant to subdivision (c) of
Section 1159.1, as necessary, to comply with this section. The actual
costs incurred in conducting audits required by this section shall
be considered official services and shall include the staff services
and incidental expenses of both the board and the bureau.
   (4) The board shall reimburse the Bureau of State Audits for the
actual costs incurred in conducting the audits required by this
section. Reimbursement shall be made upon a demonstration by the
bureau that any costs incurred in conducting the audits were not
otherwise covered by an appropriation made by the Legislature for
this purpose. If needed, these costs may be reimbursed through an
interagency agreement between the board and the Bureau of State
Audits.
   (c) This section shall remain in effect only until January 1,
2011, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2011, deletes or extends
that date.
  SEC. 22.  Section 1159.5 is added to the Harbors and Navigation
Code, to read:
   1159.5.  The Business, Transportation and Housing Agency shall
provide comments and recommendations, if any, to the board and the
Legislature based on the final audits of the Bureau of State Audits
completed pursuant to Section 1159.4 no later than six months from
the date that the agency receives the final audit.
  SEC. 23.  Section 1171.5 of the Harbors and Navigation Code is
amended to read:
   1171.5.  (a) The board shall adopt, by regulation, licensing
standards that equal or exceed standards for obtaining federal
endorsements and that conform with and support the state policy
specified in Sections 1100 and 1101.
   (b) The board shall adopt reasonable rules and regulations that
require pilots to be qualified to perform all pilot duties.
   (c) The board shall adopt, by regulation, training standards and a
training program for pilots, inland pilots, and pilot trainees. In
the case of pilot trainees, the training program shall be for a
minimum of one year and a maximum of three years. In the case of
pilots and inland pilots, the board shall specify the type, nature,
duration, and frequency of the training required and the identity of
the pilots or inland pilots who are required to undergo training in
the next 12-month period. Pursuant to Section 1182, the license of a
pilot or inland pilot may be revoked or suspended if he or she fails
to complete the training required by this subdivision during the
period specified. The board shall also require that an evaluation of
the pilot's or inland pilot's performance be prepared by the
institution selected by the board to provide pilot training, and the
institution shall provide copies of the evaluation to the pilot or
inland pilot and to the pilot evaluation committee.
   (d) The board shall adopt, by regulation, the qualifications,
standards, and rating criteria for admission of pilot trainees to the
training program. Notwithstanding subdivision (f), the board shall
administer and conduct the pilot trainee admission selection in
accordance with the regulations for admission.
   (e) The board shall establish a pilot evaluation committee
consisting of five active pilots who each have at least 10 years'
experience as a pilot on the Bays of San Francisco, San Pablo, and
Suisun. The board shall select the members of the pilot evaluation
committee. A member may not serve for more than two four-year terms,
except that two of the initial members appointed to the pilot
evaluation committee shall serve terms of two years.
   (f) The pilot evaluation committee shall conduct and supervise the
pilot training programs pursuant to the direction and regulation of
the board and consistent with the intent of this division.
   (g) The board shall issue a certificate of completion to each
pilot trainee who satisfactorily completes the training program. The
board shall not issue a pilot's license to any person who does not
receive a certificate of completion of the training program from the
board, although the board may refuse to issue a pilot license to a
pilot trainee who has received this certificate.
   (h) The training and continuing education programs for pilots,
inland pilots, and pilot trainees shall be funded from revenues
collected for these purposes as determined by the board pursuant to
Sections 1195 and 1196 and deposited into the Board of Pilot
Commissioners' Special Fund pursuant to Section 1159.
   SEC. 24.  Section 1180.6 of the Harbors and Navigation Code is
amended to read:
   1180.6.  (a) The board, after full consideration of the evidence,
report, and recommendations presented by the incident review
committee relating to an incident, misconduct, or other matter
pursuant to Section 1180.3, shall take one or more of the following
actions:

      (1) Serve an accusation for suspension or revocation of the
pilot's or inland pilot's license on the pilot or inland pilot, as
provided in Chapter 5 (commencing with Section 11500) of Part 1 of
Division 3 of Title 2 of the Government Code, pursuant to Sections
1181 and 1182.
   (2) Enter into a written stipulation for corrective action to be
performed by the pilot or inland pilot, which may include, but is not
limited to, further training or supervised practice trips.
   (3) Provide counseling for the pilot or inland pilot relating to
the duties and obligations of a pilot.
   (4) Issue a warning letter of reprimand to the pilot or inland
pilot.
   (5) Take any other action, as provided in the guidelines adopted
pursuant to subdivision (e).
   (6) Close the investigation without further action.
   (7) Remand the matter to the incident review committee for further
investigation.
   (b) Action required pursuant to subdivision (a) shall be taken by
a majority vote of the board.
   (c) A member of the board shall not sit on the board as a trier of
fact for those cases in which he or she has served on the incident
review committee recommending action to the board.
   (d) The executive director shall note any action taken by the
board pursuant to this section in a pilot's or inland pilot's record
and shall establish a suspense file to ensure that all training,
practice trips, or other corrective action required to be performed
pursuant to subdivision (a) by the pilot or inland pilot are
completed as required. The executive director shall report to the
board each month on the progress of any training, supervised practice
trips, or other corrective action or the completion of any other
action required pursuant to subdivision (a).
   (e) The executive director shall notify the board of a pilot or
inland pilot who fails, or refuses, to complete training, practice
trips, or other corrective action imposed by the board pursuant to
subdivision (a). If the board determines that the pilot or inland
pilot has intentionally failed to complete training, practice trips,
or other corrective action, the board may take additional action as
specified in subdivision (a).
   (f) The board shall adopt guidelines for the determination by the
incident review committee of the action to be taken pursuant to
subdivision (a) at the completion of an investigation conducted
pursuant to Section 1180.3.
  SEC. 25.   Section 1181 of the Harbors and Navigation Code is
amended to read:
   1181.  The license of a pilot or inland pilot may be revoked or
suspended before its expiration only for reasons of misconduct, which
shall include, but not be limited to, the following:
   (a) Neglect, for 30 days after it becomes due, to render an
account to the board of all money received for pilotage.
   (b) Neglect, for 30 days after it becomes due, to pay over to the
board the percentage of all pilotage money received, as set by the
board.
   (c) Rendering to the board a false account of pilotage received.
   (d) Absence from duty for more than one month at any one time
without leave granted by the board, unless sickness or personal
injury causes the absence. This subdivision does not apply to inland
pilots.
   (e) Refusing to exhibit the pilot or inland pilot license when
requested to do so by the master of any vessel boarded.
   (f) Intoxication or being under the influence of any substance or
combination of substances that so affects the nervous system, brain,
or muscles as to impair, to an appreciable degree, the ability to
conduct the duties of a pilot or inland pilot while on duty.
   (g) Negligently, ignorantly, or willfully running a vessel on
shore, or otherwise rendering it liable to damage, or otherwise
causing injury to persons or damage to property. However, this
subdivision does not apply to a vessel of less than 300 gross tons
unless a pilot or inland pilot is required by law.
   (h) Willful violation of the rules and regulations adopted by the
board for the government of pilots or inland pilots.
   (i) Inability to comply with the standards of health or physical
condition requisite to the duties of a pilot or inland pilot, but in
that case the burden of proving compliance with these standards is
upon the licensee, unless prior to the hearing the licensee takes and
passes those tests or examinations required by the board.
   (j) Failure or refusal, to complete training, practice trips, or
other corrective action imposed on that pilot or inland pilot by the
board pursuant to Section 1180.6.
  SEC. 26.   Section 1182 of the Harbors and Navigation Code is
amended to read:
   1182.  If, after a hearing, the board finds that the pilot or
inland pilot is guilty of misconduct sufficient for deprivation of
the license, the board shall revoke or suspend the license of the
pilot or inland pilot. The order shall be entered in the minutes and
placed in the record of the pilot maintained pursuant to Section
1157. The proceedings shall be conducted in accordance with Chapter 5
(commencing with Section 11500) of Part 1 of Division 3 of Title 2
of the Government Code, and the board shall have all the powers
granted pursuant to that chapter.
  SEC. 27.   Section 1195.1 is added to the Harbors and Navigation
Code, to read:
   1195.1.  (a) The moneys charged and collected each month from the
pilot trainee surcharge pursuant to Section 1195 shall be paid to the
Board of Pilot Commissioners' Special Fund pursuant to Section 1159.
The moneys shall be used only to fund the pilot trainee training
program referred to in subdivision (h) of Section 1171.5 and Section
1195.3.
   (b) Information regarding moneys remitted to the Board of Pilot
Commissioners' Special Fund pursuant to Section 1159 collected from
the surcharge authorized pursuant to Section 1195, or otherwise
collected by the board for that purpose, and information regarding
moneys spent as pilot trainee training program expenses authorized by
Section 1195.3 shall be made available to the public upon request
and to the board or its finance committee.
  SEC. 28.  Section 1195.3 is added to the Harbors and Navigation
Code, to read:
   1195.3.  Expenses of the pilot trainee program shall include all
costs incurred by the board in the operation and administration of
the pilot trainee training program and all costs resulting from any
contracts entered into for the purchase or lease of goods and
services required by the board, including, but not limited to, the
costs of testing, test preparation, advertising and soliciting for
trainee applicants, trainee stipends, worker's compensation insurance
premiums, reimbursement of costs of services provided to the board
by other governmental entities, and for the costs for any other goods
and services necessary for effectuating the purposes of training as
determined by the board.
  SEC. 29.  Section 1196.1 is added to the Harbors and Navigation
Code, to read:
   1196.1.  (a) The moneys charged and collected each month from the
pilot and inland pilot continuing education surcharge pursuant to
Section 1196 shall be paid to the Board of Pilot Commissioners'
Special Fund pursuant to Section 1159. The moneys shall be used only
to fund the pilot and inland pilot continuing education program
referred to in subdivision (h) of Section 1171.5 and Section 1196.3.
   (b) Information regarding moneys remitted to the Board of Pilot
Commissioners' Special Fund pursuant to Section 1159 collected from
the surcharge authorized pursuant to Section 1196, or otherwise
collected by the board for that purpose, and information regarding
moneys spent as pilot and inland pilot continuing education expenses
authorized by Section 1196.3 shall be made available to the public
upon request and to the board or its finance committee.
  SEC. 30.  Section 1196.3 is added to the Harbors and Navigation
Code, to read:
   1196.3.  Pilot and inland pilot continuing education expenses
shall include all costs incurred by the board in the operation and
administration of the pilot and inland pilot continuing education
program and all costs resulting from any contracts entered into for
the purchase or lease of goods and services required by the board,
including, but not limited to, the reimbursement of costs of services
provided to the board by other governmental entities, and for the
costs for any other goods and services necessary for effectuating the
purposes of continuing education as determined by the board.
  SEC. 31.  The sum of three hundred fifty thousand dollars
($350,000) is hereby appropriated from the operations surcharge
collected pursuant to Section 1159.1 of the Harbors and Navigation
Code to the Bureau of State Audits for the purpose of reimbursing the
bureau for conducting the audits required pursuant to subdivision
(a) of Section 1159.4 of the Harbors and Navigation Code.