CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 1008Introduced by Assembly Member SalasFebruary 21, 2019 An act to amend Section 1786.16 of the Civil Code, relating to consumer reporting. LEGISLATIVE COUNSEL'S DIGESTAB 1008, as introduced, Salas. Investigative consumer reporting agencies: multiple reports: consent and disclosure.Existing law requires a person who procures or causes to be prepared an investigative consumer report for employment purposes, other than suspicion of wrongdoing or misconduct, to make specified disclosures to the consumer, including, but not limited to, the name and address of the agency conducting the investigation, the nature and scope of the investigation, and information on consumer inspection. Existing law requires this process to include a clear and conspicuous disclosure in writing in a separate document to the consumer at any time before the report is procured that an investigative consumer report may be obtained and also requires the consumer to authorize in writing the procurement of the report. This bill would additionally authorize a person to seek a one-time authorization for multiple or ongoing investigative reports from a consumer for employment purposes. The bill would require the person procuring or causing the reports to be made to provide a clear and conspicuous disclosure in a separate document to the consumer regarding the reports. The bill would specify that the one-time written consumer authorization may consist of authorization for the multiple or ongoing procurement of reports, valid for the duration of the employment or an otherwise designated time period.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. The Legislature finds and declares as follows:(a) Under the federal Fair Credit Reporting Act, employers seeking to obtain a consumer report for employment purposes are required to provide a clear and conspicuous disclosure in writing to the consumer and obtain the consumers authorization in writing before procuring a report (15 U.S.C. Sec. 1681b(b)(2)).(b) The Federal Trade Commission has explained that an employer may use a one-time blanket disclosure, and obtain permission from applicants or current employees to procure consumer reports, at any time during the application process or during the employees tenure (See Federal Trade Commission report, 40 Years of Experience With the Fair Credit Reporting Act: An FTC Staff Report with Summary of Interpretations, p. 51 (July 2011)).(c) California law, with respect to investigative consumer reports being sought for employment purposes, operates somewhat differently from federal law regarding consumer disclosure and consent.(d) Under the Investigative Consumer Reporting Agencies Act (Title 1.6a (commencing with Section 1786) of Part 4 of Division 3 of the Civil Code), if at any time, an investigative consumer report is sought for employment purposes other than suspicion of wrongdoing or misconduct by the subject of the investigation, the person seeking the investigative consumer report is required to provide disclosure and obtain written consent from the consumer pursuant to paragraph (2) of subdivision (a) of Section 1786.16 of the Civil Code.(e) Under California law, it is thus ambiguous as to whether the disclosure provided to a consumer, and the subsequent consent obtained from that consumer, remains valid throughout the course of the consumers employment or other designated time period, or if, instead, a separate disclosure needs to be provided to a consumer and additional consent obtained from that consumer each time a person seeks to obtain an investigative report.(f) When persons seek to obtain investigative consumer reports for employment purposes, they often procure these reports on at least an annual basis to ensure the safety of their workers.(g) Nevertheless, in some cases, even an annual investigative consumer report on a worker may be insufficient to detect disqualifying offenses that may have occurred in the intervening period between reports.(h) This failure to detect disqualifying offenses is concerning because individuals being checked through investigative consumer reports may have access to others homes, may be tutoring or working in another capacity that puts them in close proximity to children, or may be acting as drivers for other persons.(i) In order to adequately detect persons whose offenses disqualify them from certain types of employment, it is necessary to revise the Investigative Consumer Reporting Agencies Act to expressly allow persons seeking investigative information for employment purposes to obtain a one-time authorization for single, multiple, or ongoing disclosure of investigative consumer reports.SEC. 2. Section 1786.16 of the Civil Code is amended to read:1786.16. (a) Any person described in subdivision (d) of Section 1786.12 shall not procure or cause to be prepared an investigative consumer report unless the following applicable conditions are met:(1) If an investigative consumer report is sought in connection with the underwriting of insurance, it shall be clearly and accurately disclosed in writing at the time the application form, medical form, binder, or similar document is signed by the consumer that an investigative consumer report regarding the consumers character, general reputation, personal characteristics, and mode of living may be made. If no signed application form, medical form, binder, or similar document is involved in the underwriting transaction, the disclosure shall be made to the consumer in writing and mailed or otherwise delivered to the consumer not later than three days after the report was first requested. The disclosure shall include the name and address of any investigative consumer reporting agency conducting an investigation, plus the nature and scope of the investigation requested, and a summary of the provisions of Section 1786.22.(2) If, at any time, an If one or more investigative consumer report is or reports are sought for employment purposes other than suspicion of wrongdoing or misconduct by the subject of the investigation, the person seeking the investigative consumer report or reports may procure the report, report or reports, or cause the report or reports, to be made, only if all of the following apply:(A) The person procuring or causing the report or reports to be made has a permissible purpose, as defined in Section 1786.12.(B) The person procuring or causing the report or reports to be made provides a clear and conspicuous disclosure in writing to the consumer at any time before the a single report is procured or caused to be made made, or before one or more reports is procured or caused to be made if so authorized, in a document that consists solely of the disclosure, that:(i) An A single, multiple, or ongoing investigative consumer report reports may be obtained. obtained, as set forth in the document requesting authorization.(ii) The permissible purpose of the report or reports is identified.(iii) The disclosure may include information on the consumers character, general reputation, personal characteristics, and mode of living.(iv) Identifies the name, address, and telephone number of the investigative consumer reporting agency conducting the investigation.(v) Notifies the consumer in writing of the nature and scope of the investigation requested, including a summary of the provisions of Section 1786.22.(vi) Notifies the consumer of the Internet Web site internet website address of the investigative consumer reporting agency identified in clause (iv), or, if the agency has no Internet Web site internet website address, the telephone number of the agency, where the consumer may find information about the investigative reporting agencys privacy practices, including whether the consumers personal information will be sent outside the United States or its territories and information that complies with subdivision (d) of Section 1786.20. This clause shall become operative on January 1, 2012.(C) The consumer has authorized in writing the procurement of the report. a single report or has provided a one-time authorization in writing for the procurement of multiple reports or for the ongoing procurement of reports, valid throughout the duration of the employment or an otherwise designated period of time.(3) If an investigative consumer report is sought in connection with the hiring of a dwelling unit, as defined in subdivision (c) of Section 1940, the person procuring or causing the request to be made shall, not later than three days after the date on which the report was first requested, notify the consumer in writing that an investigative consumer report will be made regarding the consumers character, general reputation, personal characteristics, and mode of living. The notification shall also include the name and address of the investigative consumer reporting agency that will prepare the report and a summary of the provisions of Section 1786.22.(4) The person procuring or causing the request to be made shall certify to the investigative consumer reporting agency that the person has made the applicable disclosures to the consumer required by this subdivision and that the person will comply with subdivision (b).(5) The person procuring the report or causing it to be prepared agrees to provide a copy of the report to the subject of the investigation, as provided in subdivision (b).(b) Any person described in subdivision (d) of Section 1786.12 who requests an investigative consumer report, in accordance with subdivision (a) regarding that consumer, shall do the following:(1) Provide the consumer a means by which the consumer may indicate on a written form, by means of a box to check, that the consumer wishes to receive a copy of any report that is prepared. If the consumer wishes to receive a copy of the report, the recipient of the report shall send a copy of the report to the consumer within three business days of the date that the report is provided to the recipient, who may contract with any other entity to send a copy to the consumer. The notice to request the report may be contained on either the disclosure form, as required by subdivision (a), or a separate consent form. The copy of the report shall contain the name, address, and telephone number of the person who issued the report and how to contact them.(2) Comply with Section 1786.40, if the taking of adverse action is a consideration.(c) Subdivisions (a) and (b) do not apply to an investigative consumer report procured or caused to be prepared by an employer, if the report is sought for employment purposes due to suspicion held by an employer of wrongdoing or misconduct by the subject of the investigation.(d) Those persons described in subdivision (d) of Section 1786.12 constitute the sole and exclusive class of persons who may cause an investigative consumer report to be prepared.
CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 1008Introduced by Assembly Member SalasFebruary 21, 2019 An act to amend Section 1786.16 of the Civil Code, relating to consumer reporting. LEGISLATIVE COUNSEL'S DIGESTAB 1008, as introduced, Salas. Investigative consumer reporting agencies: multiple reports: consent and disclosure.Existing law requires a person who procures or causes to be prepared an investigative consumer report for employment purposes, other than suspicion of wrongdoing or misconduct, to make specified disclosures to the consumer, including, but not limited to, the name and address of the agency conducting the investigation, the nature and scope of the investigation, and information on consumer inspection. Existing law requires this process to include a clear and conspicuous disclosure in writing in a separate document to the consumer at any time before the report is procured that an investigative consumer report may be obtained and also requires the consumer to authorize in writing the procurement of the report. This bill would additionally authorize a person to seek a one-time authorization for multiple or ongoing investigative reports from a consumer for employment purposes. The bill would require the person procuring or causing the reports to be made to provide a clear and conspicuous disclosure in a separate document to the consumer regarding the reports. The bill would specify that the one-time written consumer authorization may consist of authorization for the multiple or ongoing procurement of reports, valid for the duration of the employment or an otherwise designated time period.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO
CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION
Assembly Bill No. 1008
Introduced by Assembly Member SalasFebruary 21, 2019
Introduced by Assembly Member Salas
February 21, 2019
An act to amend Section 1786.16 of the Civil Code, relating to consumer reporting.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
AB 1008, as introduced, Salas. Investigative consumer reporting agencies: multiple reports: consent and disclosure.
Existing law requires a person who procures or causes to be prepared an investigative consumer report for employment purposes, other than suspicion of wrongdoing or misconduct, to make specified disclosures to the consumer, including, but not limited to, the name and address of the agency conducting the investigation, the nature and scope of the investigation, and information on consumer inspection. Existing law requires this process to include a clear and conspicuous disclosure in writing in a separate document to the consumer at any time before the report is procured that an investigative consumer report may be obtained and also requires the consumer to authorize in writing the procurement of the report. This bill would additionally authorize a person to seek a one-time authorization for multiple or ongoing investigative reports from a consumer for employment purposes. The bill would require the person procuring or causing the reports to be made to provide a clear and conspicuous disclosure in a separate document to the consumer regarding the reports. The bill would specify that the one-time written consumer authorization may consist of authorization for the multiple or ongoing procurement of reports, valid for the duration of the employment or an otherwise designated time period.
Existing law requires a person who procures or causes to be prepared an investigative consumer report for employment purposes, other than suspicion of wrongdoing or misconduct, to make specified disclosures to the consumer, including, but not limited to, the name and address of the agency conducting the investigation, the nature and scope of the investigation, and information on consumer inspection. Existing law requires this process to include a clear and conspicuous disclosure in writing in a separate document to the consumer at any time before the report is procured that an investigative consumer report may be obtained and also requires the consumer to authorize in writing the procurement of the report.
This bill would additionally authorize a person to seek a one-time authorization for multiple or ongoing investigative reports from a consumer for employment purposes. The bill would require the person procuring or causing the reports to be made to provide a clear and conspicuous disclosure in a separate document to the consumer regarding the reports. The bill would specify that the one-time written consumer authorization may consist of authorization for the multiple or ongoing procurement of reports, valid for the duration of the employment or an otherwise designated time period.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. The Legislature finds and declares as follows:(a) Under the federal Fair Credit Reporting Act, employers seeking to obtain a consumer report for employment purposes are required to provide a clear and conspicuous disclosure in writing to the consumer and obtain the consumers authorization in writing before procuring a report (15 U.S.C. Sec. 1681b(b)(2)).(b) The Federal Trade Commission has explained that an employer may use a one-time blanket disclosure, and obtain permission from applicants or current employees to procure consumer reports, at any time during the application process or during the employees tenure (See Federal Trade Commission report, 40 Years of Experience With the Fair Credit Reporting Act: An FTC Staff Report with Summary of Interpretations, p. 51 (July 2011)).(c) California law, with respect to investigative consumer reports being sought for employment purposes, operates somewhat differently from federal law regarding consumer disclosure and consent.(d) Under the Investigative Consumer Reporting Agencies Act (Title 1.6a (commencing with Section 1786) of Part 4 of Division 3 of the Civil Code), if at any time, an investigative consumer report is sought for employment purposes other than suspicion of wrongdoing or misconduct by the subject of the investigation, the person seeking the investigative consumer report is required to provide disclosure and obtain written consent from the consumer pursuant to paragraph (2) of subdivision (a) of Section 1786.16 of the Civil Code.(e) Under California law, it is thus ambiguous as to whether the disclosure provided to a consumer, and the subsequent consent obtained from that consumer, remains valid throughout the course of the consumers employment or other designated time period, or if, instead, a separate disclosure needs to be provided to a consumer and additional consent obtained from that consumer each time a person seeks to obtain an investigative report.(f) When persons seek to obtain investigative consumer reports for employment purposes, they often procure these reports on at least an annual basis to ensure the safety of their workers.(g) Nevertheless, in some cases, even an annual investigative consumer report on a worker may be insufficient to detect disqualifying offenses that may have occurred in the intervening period between reports.(h) This failure to detect disqualifying offenses is concerning because individuals being checked through investigative consumer reports may have access to others homes, may be tutoring or working in another capacity that puts them in close proximity to children, or may be acting as drivers for other persons.(i) In order to adequately detect persons whose offenses disqualify them from certain types of employment, it is necessary to revise the Investigative Consumer Reporting Agencies Act to expressly allow persons seeking investigative information for employment purposes to obtain a one-time authorization for single, multiple, or ongoing disclosure of investigative consumer reports.SEC. 2. Section 1786.16 of the Civil Code is amended to read:1786.16. (a) Any person described in subdivision (d) of Section 1786.12 shall not procure or cause to be prepared an investigative consumer report unless the following applicable conditions are met:(1) If an investigative consumer report is sought in connection with the underwriting of insurance, it shall be clearly and accurately disclosed in writing at the time the application form, medical form, binder, or similar document is signed by the consumer that an investigative consumer report regarding the consumers character, general reputation, personal characteristics, and mode of living may be made. If no signed application form, medical form, binder, or similar document is involved in the underwriting transaction, the disclosure shall be made to the consumer in writing and mailed or otherwise delivered to the consumer not later than three days after the report was first requested. The disclosure shall include the name and address of any investigative consumer reporting agency conducting an investigation, plus the nature and scope of the investigation requested, and a summary of the provisions of Section 1786.22.(2) If, at any time, an If one or more investigative consumer report is or reports are sought for employment purposes other than suspicion of wrongdoing or misconduct by the subject of the investigation, the person seeking the investigative consumer report or reports may procure the report, report or reports, or cause the report or reports, to be made, only if all of the following apply:(A) The person procuring or causing the report or reports to be made has a permissible purpose, as defined in Section 1786.12.(B) The person procuring or causing the report or reports to be made provides a clear and conspicuous disclosure in writing to the consumer at any time before the a single report is procured or caused to be made made, or before one or more reports is procured or caused to be made if so authorized, in a document that consists solely of the disclosure, that:(i) An A single, multiple, or ongoing investigative consumer report reports may be obtained. obtained, as set forth in the document requesting authorization.(ii) The permissible purpose of the report or reports is identified.(iii) The disclosure may include information on the consumers character, general reputation, personal characteristics, and mode of living.(iv) Identifies the name, address, and telephone number of the investigative consumer reporting agency conducting the investigation.(v) Notifies the consumer in writing of the nature and scope of the investigation requested, including a summary of the provisions of Section 1786.22.(vi) Notifies the consumer of the Internet Web site internet website address of the investigative consumer reporting agency identified in clause (iv), or, if the agency has no Internet Web site internet website address, the telephone number of the agency, where the consumer may find information about the investigative reporting agencys privacy practices, including whether the consumers personal information will be sent outside the United States or its territories and information that complies with subdivision (d) of Section 1786.20. This clause shall become operative on January 1, 2012.(C) The consumer has authorized in writing the procurement of the report. a single report or has provided a one-time authorization in writing for the procurement of multiple reports or for the ongoing procurement of reports, valid throughout the duration of the employment or an otherwise designated period of time.(3) If an investigative consumer report is sought in connection with the hiring of a dwelling unit, as defined in subdivision (c) of Section 1940, the person procuring or causing the request to be made shall, not later than three days after the date on which the report was first requested, notify the consumer in writing that an investigative consumer report will be made regarding the consumers character, general reputation, personal characteristics, and mode of living. The notification shall also include the name and address of the investigative consumer reporting agency that will prepare the report and a summary of the provisions of Section 1786.22.(4) The person procuring or causing the request to be made shall certify to the investigative consumer reporting agency that the person has made the applicable disclosures to the consumer required by this subdivision and that the person will comply with subdivision (b).(5) The person procuring the report or causing it to be prepared agrees to provide a copy of the report to the subject of the investigation, as provided in subdivision (b).(b) Any person described in subdivision (d) of Section 1786.12 who requests an investigative consumer report, in accordance with subdivision (a) regarding that consumer, shall do the following:(1) Provide the consumer a means by which the consumer may indicate on a written form, by means of a box to check, that the consumer wishes to receive a copy of any report that is prepared. If the consumer wishes to receive a copy of the report, the recipient of the report shall send a copy of the report to the consumer within three business days of the date that the report is provided to the recipient, who may contract with any other entity to send a copy to the consumer. The notice to request the report may be contained on either the disclosure form, as required by subdivision (a), or a separate consent form. The copy of the report shall contain the name, address, and telephone number of the person who issued the report and how to contact them.(2) Comply with Section 1786.40, if the taking of adverse action is a consideration.(c) Subdivisions (a) and (b) do not apply to an investigative consumer report procured or caused to be prepared by an employer, if the report is sought for employment purposes due to suspicion held by an employer of wrongdoing or misconduct by the subject of the investigation.(d) Those persons described in subdivision (d) of Section 1786.12 constitute the sole and exclusive class of persons who may cause an investigative consumer report to be prepared.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. The Legislature finds and declares as follows:(a) Under the federal Fair Credit Reporting Act, employers seeking to obtain a consumer report for employment purposes are required to provide a clear and conspicuous disclosure in writing to the consumer and obtain the consumers authorization in writing before procuring a report (15 U.S.C. Sec. 1681b(b)(2)).(b) The Federal Trade Commission has explained that an employer may use a one-time blanket disclosure, and obtain permission from applicants or current employees to procure consumer reports, at any time during the application process or during the employees tenure (See Federal Trade Commission report, 40 Years of Experience With the Fair Credit Reporting Act: An FTC Staff Report with Summary of Interpretations, p. 51 (July 2011)).(c) California law, with respect to investigative consumer reports being sought for employment purposes, operates somewhat differently from federal law regarding consumer disclosure and consent.(d) Under the Investigative Consumer Reporting Agencies Act (Title 1.6a (commencing with Section 1786) of Part 4 of Division 3 of the Civil Code), if at any time, an investigative consumer report is sought for employment purposes other than suspicion of wrongdoing or misconduct by the subject of the investigation, the person seeking the investigative consumer report is required to provide disclosure and obtain written consent from the consumer pursuant to paragraph (2) of subdivision (a) of Section 1786.16 of the Civil Code.(e) Under California law, it is thus ambiguous as to whether the disclosure provided to a consumer, and the subsequent consent obtained from that consumer, remains valid throughout the course of the consumers employment or other designated time period, or if, instead, a separate disclosure needs to be provided to a consumer and additional consent obtained from that consumer each time a person seeks to obtain an investigative report.(f) When persons seek to obtain investigative consumer reports for employment purposes, they often procure these reports on at least an annual basis to ensure the safety of their workers.(g) Nevertheless, in some cases, even an annual investigative consumer report on a worker may be insufficient to detect disqualifying offenses that may have occurred in the intervening period between reports.(h) This failure to detect disqualifying offenses is concerning because individuals being checked through investigative consumer reports may have access to others homes, may be tutoring or working in another capacity that puts them in close proximity to children, or may be acting as drivers for other persons.(i) In order to adequately detect persons whose offenses disqualify them from certain types of employment, it is necessary to revise the Investigative Consumer Reporting Agencies Act to expressly allow persons seeking investigative information for employment purposes to obtain a one-time authorization for single, multiple, or ongoing disclosure of investigative consumer reports.
SECTION 1. The Legislature finds and declares as follows:(a) Under the federal Fair Credit Reporting Act, employers seeking to obtain a consumer report for employment purposes are required to provide a clear and conspicuous disclosure in writing to the consumer and obtain the consumers authorization in writing before procuring a report (15 U.S.C. Sec. 1681b(b)(2)).(b) The Federal Trade Commission has explained that an employer may use a one-time blanket disclosure, and obtain permission from applicants or current employees to procure consumer reports, at any time during the application process or during the employees tenure (See Federal Trade Commission report, 40 Years of Experience With the Fair Credit Reporting Act: An FTC Staff Report with Summary of Interpretations, p. 51 (July 2011)).(c) California law, with respect to investigative consumer reports being sought for employment purposes, operates somewhat differently from federal law regarding consumer disclosure and consent.(d) Under the Investigative Consumer Reporting Agencies Act (Title 1.6a (commencing with Section 1786) of Part 4 of Division 3 of the Civil Code), if at any time, an investigative consumer report is sought for employment purposes other than suspicion of wrongdoing or misconduct by the subject of the investigation, the person seeking the investigative consumer report is required to provide disclosure and obtain written consent from the consumer pursuant to paragraph (2) of subdivision (a) of Section 1786.16 of the Civil Code.(e) Under California law, it is thus ambiguous as to whether the disclosure provided to a consumer, and the subsequent consent obtained from that consumer, remains valid throughout the course of the consumers employment or other designated time period, or if, instead, a separate disclosure needs to be provided to a consumer and additional consent obtained from that consumer each time a person seeks to obtain an investigative report.(f) When persons seek to obtain investigative consumer reports for employment purposes, they often procure these reports on at least an annual basis to ensure the safety of their workers.(g) Nevertheless, in some cases, even an annual investigative consumer report on a worker may be insufficient to detect disqualifying offenses that may have occurred in the intervening period between reports.(h) This failure to detect disqualifying offenses is concerning because individuals being checked through investigative consumer reports may have access to others homes, may be tutoring or working in another capacity that puts them in close proximity to children, or may be acting as drivers for other persons.(i) In order to adequately detect persons whose offenses disqualify them from certain types of employment, it is necessary to revise the Investigative Consumer Reporting Agencies Act to expressly allow persons seeking investigative information for employment purposes to obtain a one-time authorization for single, multiple, or ongoing disclosure of investigative consumer reports.
SECTION 1. The Legislature finds and declares as follows:
### SECTION 1.
(a) Under the federal Fair Credit Reporting Act, employers seeking to obtain a consumer report for employment purposes are required to provide a clear and conspicuous disclosure in writing to the consumer and obtain the consumers authorization in writing before procuring a report (15 U.S.C. Sec. 1681b(b)(2)).
(b) The Federal Trade Commission has explained that an employer may use a one-time blanket disclosure, and obtain permission from applicants or current employees to procure consumer reports, at any time during the application process or during the employees tenure (See Federal Trade Commission report, 40 Years of Experience With the Fair Credit Reporting Act: An FTC Staff Report with Summary of Interpretations, p. 51 (July 2011)).
(c) California law, with respect to investigative consumer reports being sought for employment purposes, operates somewhat differently from federal law regarding consumer disclosure and consent.
(d) Under the Investigative Consumer Reporting Agencies Act (Title 1.6a (commencing with Section 1786) of Part 4 of Division 3 of the Civil Code), if at any time, an investigative consumer report is sought for employment purposes other than suspicion of wrongdoing or misconduct by the subject of the investigation, the person seeking the investigative consumer report is required to provide disclosure and obtain written consent from the consumer pursuant to paragraph (2) of subdivision (a) of Section 1786.16 of the Civil Code.
(e) Under California law, it is thus ambiguous as to whether the disclosure provided to a consumer, and the subsequent consent obtained from that consumer, remains valid throughout the course of the consumers employment or other designated time period, or if, instead, a separate disclosure needs to be provided to a consumer and additional consent obtained from that consumer each time a person seeks to obtain an investigative report.
(f) When persons seek to obtain investigative consumer reports for employment purposes, they often procure these reports on at least an annual basis to ensure the safety of their workers.
(g) Nevertheless, in some cases, even an annual investigative consumer report on a worker may be insufficient to detect disqualifying offenses that may have occurred in the intervening period between reports.
(h) This failure to detect disqualifying offenses is concerning because individuals being checked through investigative consumer reports may have access to others homes, may be tutoring or working in another capacity that puts them in close proximity to children, or may be acting as drivers for other persons.
(i) In order to adequately detect persons whose offenses disqualify them from certain types of employment, it is necessary to revise the Investigative Consumer Reporting Agencies Act to expressly allow persons seeking investigative information for employment purposes to obtain a one-time authorization for single, multiple, or ongoing disclosure of investigative consumer reports.
SEC. 2. Section 1786.16 of the Civil Code is amended to read:1786.16. (a) Any person described in subdivision (d) of Section 1786.12 shall not procure or cause to be prepared an investigative consumer report unless the following applicable conditions are met:(1) If an investigative consumer report is sought in connection with the underwriting of insurance, it shall be clearly and accurately disclosed in writing at the time the application form, medical form, binder, or similar document is signed by the consumer that an investigative consumer report regarding the consumers character, general reputation, personal characteristics, and mode of living may be made. If no signed application form, medical form, binder, or similar document is involved in the underwriting transaction, the disclosure shall be made to the consumer in writing and mailed or otherwise delivered to the consumer not later than three days after the report was first requested. The disclosure shall include the name and address of any investigative consumer reporting agency conducting an investigation, plus the nature and scope of the investigation requested, and a summary of the provisions of Section 1786.22.(2) If, at any time, an If one or more investigative consumer report is or reports are sought for employment purposes other than suspicion of wrongdoing or misconduct by the subject of the investigation, the person seeking the investigative consumer report or reports may procure the report, report or reports, or cause the report or reports, to be made, only if all of the following apply:(A) The person procuring or causing the report or reports to be made has a permissible purpose, as defined in Section 1786.12.(B) The person procuring or causing the report or reports to be made provides a clear and conspicuous disclosure in writing to the consumer at any time before the a single report is procured or caused to be made made, or before one or more reports is procured or caused to be made if so authorized, in a document that consists solely of the disclosure, that:(i) An A single, multiple, or ongoing investigative consumer report reports may be obtained. obtained, as set forth in the document requesting authorization.(ii) The permissible purpose of the report or reports is identified.(iii) The disclosure may include information on the consumers character, general reputation, personal characteristics, and mode of living.(iv) Identifies the name, address, and telephone number of the investigative consumer reporting agency conducting the investigation.(v) Notifies the consumer in writing of the nature and scope of the investigation requested, including a summary of the provisions of Section 1786.22.(vi) Notifies the consumer of the Internet Web site internet website address of the investigative consumer reporting agency identified in clause (iv), or, if the agency has no Internet Web site internet website address, the telephone number of the agency, where the consumer may find information about the investigative reporting agencys privacy practices, including whether the consumers personal information will be sent outside the United States or its territories and information that complies with subdivision (d) of Section 1786.20. This clause shall become operative on January 1, 2012.(C) The consumer has authorized in writing the procurement of the report. a single report or has provided a one-time authorization in writing for the procurement of multiple reports or for the ongoing procurement of reports, valid throughout the duration of the employment or an otherwise designated period of time.(3) If an investigative consumer report is sought in connection with the hiring of a dwelling unit, as defined in subdivision (c) of Section 1940, the person procuring or causing the request to be made shall, not later than three days after the date on which the report was first requested, notify the consumer in writing that an investigative consumer report will be made regarding the consumers character, general reputation, personal characteristics, and mode of living. The notification shall also include the name and address of the investigative consumer reporting agency that will prepare the report and a summary of the provisions of Section 1786.22.(4) The person procuring or causing the request to be made shall certify to the investigative consumer reporting agency that the person has made the applicable disclosures to the consumer required by this subdivision and that the person will comply with subdivision (b).(5) The person procuring the report or causing it to be prepared agrees to provide a copy of the report to the subject of the investigation, as provided in subdivision (b).(b) Any person described in subdivision (d) of Section 1786.12 who requests an investigative consumer report, in accordance with subdivision (a) regarding that consumer, shall do the following:(1) Provide the consumer a means by which the consumer may indicate on a written form, by means of a box to check, that the consumer wishes to receive a copy of any report that is prepared. If the consumer wishes to receive a copy of the report, the recipient of the report shall send a copy of the report to the consumer within three business days of the date that the report is provided to the recipient, who may contract with any other entity to send a copy to the consumer. The notice to request the report may be contained on either the disclosure form, as required by subdivision (a), or a separate consent form. The copy of the report shall contain the name, address, and telephone number of the person who issued the report and how to contact them.(2) Comply with Section 1786.40, if the taking of adverse action is a consideration.(c) Subdivisions (a) and (b) do not apply to an investigative consumer report procured or caused to be prepared by an employer, if the report is sought for employment purposes due to suspicion held by an employer of wrongdoing or misconduct by the subject of the investigation.(d) Those persons described in subdivision (d) of Section 1786.12 constitute the sole and exclusive class of persons who may cause an investigative consumer report to be prepared.
SEC. 2. Section 1786.16 of the Civil Code is amended to read:
### SEC. 2.
1786.16. (a) Any person described in subdivision (d) of Section 1786.12 shall not procure or cause to be prepared an investigative consumer report unless the following applicable conditions are met:(1) If an investigative consumer report is sought in connection with the underwriting of insurance, it shall be clearly and accurately disclosed in writing at the time the application form, medical form, binder, or similar document is signed by the consumer that an investigative consumer report regarding the consumers character, general reputation, personal characteristics, and mode of living may be made. If no signed application form, medical form, binder, or similar document is involved in the underwriting transaction, the disclosure shall be made to the consumer in writing and mailed or otherwise delivered to the consumer not later than three days after the report was first requested. The disclosure shall include the name and address of any investigative consumer reporting agency conducting an investigation, plus the nature and scope of the investigation requested, and a summary of the provisions of Section 1786.22.(2) If, at any time, an If one or more investigative consumer report is or reports are sought for employment purposes other than suspicion of wrongdoing or misconduct by the subject of the investigation, the person seeking the investigative consumer report or reports may procure the report, report or reports, or cause the report or reports, to be made, only if all of the following apply:(A) The person procuring or causing the report or reports to be made has a permissible purpose, as defined in Section 1786.12.(B) The person procuring or causing the report or reports to be made provides a clear and conspicuous disclosure in writing to the consumer at any time before the a single report is procured or caused to be made made, or before one or more reports is procured or caused to be made if so authorized, in a document that consists solely of the disclosure, that:(i) An A single, multiple, or ongoing investigative consumer report reports may be obtained. obtained, as set forth in the document requesting authorization.(ii) The permissible purpose of the report or reports is identified.(iii) The disclosure may include information on the consumers character, general reputation, personal characteristics, and mode of living.(iv) Identifies the name, address, and telephone number of the investigative consumer reporting agency conducting the investigation.(v) Notifies the consumer in writing of the nature and scope of the investigation requested, including a summary of the provisions of Section 1786.22.(vi) Notifies the consumer of the Internet Web site internet website address of the investigative consumer reporting agency identified in clause (iv), or, if the agency has no Internet Web site internet website address, the telephone number of the agency, where the consumer may find information about the investigative reporting agencys privacy practices, including whether the consumers personal information will be sent outside the United States or its territories and information that complies with subdivision (d) of Section 1786.20. This clause shall become operative on January 1, 2012.(C) The consumer has authorized in writing the procurement of the report. a single report or has provided a one-time authorization in writing for the procurement of multiple reports or for the ongoing procurement of reports, valid throughout the duration of the employment or an otherwise designated period of time.(3) If an investigative consumer report is sought in connection with the hiring of a dwelling unit, as defined in subdivision (c) of Section 1940, the person procuring or causing the request to be made shall, not later than three days after the date on which the report was first requested, notify the consumer in writing that an investigative consumer report will be made regarding the consumers character, general reputation, personal characteristics, and mode of living. The notification shall also include the name and address of the investigative consumer reporting agency that will prepare the report and a summary of the provisions of Section 1786.22.(4) The person procuring or causing the request to be made shall certify to the investigative consumer reporting agency that the person has made the applicable disclosures to the consumer required by this subdivision and that the person will comply with subdivision (b).(5) The person procuring the report or causing it to be prepared agrees to provide a copy of the report to the subject of the investigation, as provided in subdivision (b).(b) Any person described in subdivision (d) of Section 1786.12 who requests an investigative consumer report, in accordance with subdivision (a) regarding that consumer, shall do the following:(1) Provide the consumer a means by which the consumer may indicate on a written form, by means of a box to check, that the consumer wishes to receive a copy of any report that is prepared. If the consumer wishes to receive a copy of the report, the recipient of the report shall send a copy of the report to the consumer within three business days of the date that the report is provided to the recipient, who may contract with any other entity to send a copy to the consumer. The notice to request the report may be contained on either the disclosure form, as required by subdivision (a), or a separate consent form. The copy of the report shall contain the name, address, and telephone number of the person who issued the report and how to contact them.(2) Comply with Section 1786.40, if the taking of adverse action is a consideration.(c) Subdivisions (a) and (b) do not apply to an investigative consumer report procured or caused to be prepared by an employer, if the report is sought for employment purposes due to suspicion held by an employer of wrongdoing or misconduct by the subject of the investigation.(d) Those persons described in subdivision (d) of Section 1786.12 constitute the sole and exclusive class of persons who may cause an investigative consumer report to be prepared.
1786.16. (a) Any person described in subdivision (d) of Section 1786.12 shall not procure or cause to be prepared an investigative consumer report unless the following applicable conditions are met:(1) If an investigative consumer report is sought in connection with the underwriting of insurance, it shall be clearly and accurately disclosed in writing at the time the application form, medical form, binder, or similar document is signed by the consumer that an investigative consumer report regarding the consumers character, general reputation, personal characteristics, and mode of living may be made. If no signed application form, medical form, binder, or similar document is involved in the underwriting transaction, the disclosure shall be made to the consumer in writing and mailed or otherwise delivered to the consumer not later than three days after the report was first requested. The disclosure shall include the name and address of any investigative consumer reporting agency conducting an investigation, plus the nature and scope of the investigation requested, and a summary of the provisions of Section 1786.22.(2) If, at any time, an If one or more investigative consumer report is or reports are sought for employment purposes other than suspicion of wrongdoing or misconduct by the subject of the investigation, the person seeking the investigative consumer report or reports may procure the report, report or reports, or cause the report or reports, to be made, only if all of the following apply:(A) The person procuring or causing the report or reports to be made has a permissible purpose, as defined in Section 1786.12.(B) The person procuring or causing the report or reports to be made provides a clear and conspicuous disclosure in writing to the consumer at any time before the a single report is procured or caused to be made made, or before one or more reports is procured or caused to be made if so authorized, in a document that consists solely of the disclosure, that:(i) An A single, multiple, or ongoing investigative consumer report reports may be obtained. obtained, as set forth in the document requesting authorization.(ii) The permissible purpose of the report or reports is identified.(iii) The disclosure may include information on the consumers character, general reputation, personal characteristics, and mode of living.(iv) Identifies the name, address, and telephone number of the investigative consumer reporting agency conducting the investigation.(v) Notifies the consumer in writing of the nature and scope of the investigation requested, including a summary of the provisions of Section 1786.22.(vi) Notifies the consumer of the Internet Web site internet website address of the investigative consumer reporting agency identified in clause (iv), or, if the agency has no Internet Web site internet website address, the telephone number of the agency, where the consumer may find information about the investigative reporting agencys privacy practices, including whether the consumers personal information will be sent outside the United States or its territories and information that complies with subdivision (d) of Section 1786.20. This clause shall become operative on January 1, 2012.(C) The consumer has authorized in writing the procurement of the report. a single report or has provided a one-time authorization in writing for the procurement of multiple reports or for the ongoing procurement of reports, valid throughout the duration of the employment or an otherwise designated period of time.(3) If an investigative consumer report is sought in connection with the hiring of a dwelling unit, as defined in subdivision (c) of Section 1940, the person procuring or causing the request to be made shall, not later than three days after the date on which the report was first requested, notify the consumer in writing that an investigative consumer report will be made regarding the consumers character, general reputation, personal characteristics, and mode of living. The notification shall also include the name and address of the investigative consumer reporting agency that will prepare the report and a summary of the provisions of Section 1786.22.(4) The person procuring or causing the request to be made shall certify to the investigative consumer reporting agency that the person has made the applicable disclosures to the consumer required by this subdivision and that the person will comply with subdivision (b).(5) The person procuring the report or causing it to be prepared agrees to provide a copy of the report to the subject of the investigation, as provided in subdivision (b).(b) Any person described in subdivision (d) of Section 1786.12 who requests an investigative consumer report, in accordance with subdivision (a) regarding that consumer, shall do the following:(1) Provide the consumer a means by which the consumer may indicate on a written form, by means of a box to check, that the consumer wishes to receive a copy of any report that is prepared. If the consumer wishes to receive a copy of the report, the recipient of the report shall send a copy of the report to the consumer within three business days of the date that the report is provided to the recipient, who may contract with any other entity to send a copy to the consumer. The notice to request the report may be contained on either the disclosure form, as required by subdivision (a), or a separate consent form. The copy of the report shall contain the name, address, and telephone number of the person who issued the report and how to contact them.(2) Comply with Section 1786.40, if the taking of adverse action is a consideration.(c) Subdivisions (a) and (b) do not apply to an investigative consumer report procured or caused to be prepared by an employer, if the report is sought for employment purposes due to suspicion held by an employer of wrongdoing or misconduct by the subject of the investigation.(d) Those persons described in subdivision (d) of Section 1786.12 constitute the sole and exclusive class of persons who may cause an investigative consumer report to be prepared.
1786.16. (a) Any person described in subdivision (d) of Section 1786.12 shall not procure or cause to be prepared an investigative consumer report unless the following applicable conditions are met:(1) If an investigative consumer report is sought in connection with the underwriting of insurance, it shall be clearly and accurately disclosed in writing at the time the application form, medical form, binder, or similar document is signed by the consumer that an investigative consumer report regarding the consumers character, general reputation, personal characteristics, and mode of living may be made. If no signed application form, medical form, binder, or similar document is involved in the underwriting transaction, the disclosure shall be made to the consumer in writing and mailed or otherwise delivered to the consumer not later than three days after the report was first requested. The disclosure shall include the name and address of any investigative consumer reporting agency conducting an investigation, plus the nature and scope of the investigation requested, and a summary of the provisions of Section 1786.22.(2) If, at any time, an If one or more investigative consumer report is or reports are sought for employment purposes other than suspicion of wrongdoing or misconduct by the subject of the investigation, the person seeking the investigative consumer report or reports may procure the report, report or reports, or cause the report or reports, to be made, only if all of the following apply:(A) The person procuring or causing the report or reports to be made has a permissible purpose, as defined in Section 1786.12.(B) The person procuring or causing the report or reports to be made provides a clear and conspicuous disclosure in writing to the consumer at any time before the a single report is procured or caused to be made made, or before one or more reports is procured or caused to be made if so authorized, in a document that consists solely of the disclosure, that:(i) An A single, multiple, or ongoing investigative consumer report reports may be obtained. obtained, as set forth in the document requesting authorization.(ii) The permissible purpose of the report or reports is identified.(iii) The disclosure may include information on the consumers character, general reputation, personal characteristics, and mode of living.(iv) Identifies the name, address, and telephone number of the investigative consumer reporting agency conducting the investigation.(v) Notifies the consumer in writing of the nature and scope of the investigation requested, including a summary of the provisions of Section 1786.22.(vi) Notifies the consumer of the Internet Web site internet website address of the investigative consumer reporting agency identified in clause (iv), or, if the agency has no Internet Web site internet website address, the telephone number of the agency, where the consumer may find information about the investigative reporting agencys privacy practices, including whether the consumers personal information will be sent outside the United States or its territories and information that complies with subdivision (d) of Section 1786.20. This clause shall become operative on January 1, 2012.(C) The consumer has authorized in writing the procurement of the report. a single report or has provided a one-time authorization in writing for the procurement of multiple reports or for the ongoing procurement of reports, valid throughout the duration of the employment or an otherwise designated period of time.(3) If an investigative consumer report is sought in connection with the hiring of a dwelling unit, as defined in subdivision (c) of Section 1940, the person procuring or causing the request to be made shall, not later than three days after the date on which the report was first requested, notify the consumer in writing that an investigative consumer report will be made regarding the consumers character, general reputation, personal characteristics, and mode of living. The notification shall also include the name and address of the investigative consumer reporting agency that will prepare the report and a summary of the provisions of Section 1786.22.(4) The person procuring or causing the request to be made shall certify to the investigative consumer reporting agency that the person has made the applicable disclosures to the consumer required by this subdivision and that the person will comply with subdivision (b).(5) The person procuring the report or causing it to be prepared agrees to provide a copy of the report to the subject of the investigation, as provided in subdivision (b).(b) Any person described in subdivision (d) of Section 1786.12 who requests an investigative consumer report, in accordance with subdivision (a) regarding that consumer, shall do the following:(1) Provide the consumer a means by which the consumer may indicate on a written form, by means of a box to check, that the consumer wishes to receive a copy of any report that is prepared. If the consumer wishes to receive a copy of the report, the recipient of the report shall send a copy of the report to the consumer within three business days of the date that the report is provided to the recipient, who may contract with any other entity to send a copy to the consumer. The notice to request the report may be contained on either the disclosure form, as required by subdivision (a), or a separate consent form. The copy of the report shall contain the name, address, and telephone number of the person who issued the report and how to contact them.(2) Comply with Section 1786.40, if the taking of adverse action is a consideration.(c) Subdivisions (a) and (b) do not apply to an investigative consumer report procured or caused to be prepared by an employer, if the report is sought for employment purposes due to suspicion held by an employer of wrongdoing or misconduct by the subject of the investigation.(d) Those persons described in subdivision (d) of Section 1786.12 constitute the sole and exclusive class of persons who may cause an investigative consumer report to be prepared.
1786.16. (a) Any person described in subdivision (d) of Section 1786.12 shall not procure or cause to be prepared an investigative consumer report unless the following applicable conditions are met:
(1) If an investigative consumer report is sought in connection with the underwriting of insurance, it shall be clearly and accurately disclosed in writing at the time the application form, medical form, binder, or similar document is signed by the consumer that an investigative consumer report regarding the consumers character, general reputation, personal characteristics, and mode of living may be made. If no signed application form, medical form, binder, or similar document is involved in the underwriting transaction, the disclosure shall be made to the consumer in writing and mailed or otherwise delivered to the consumer not later than three days after the report was first requested. The disclosure shall include the name and address of any investigative consumer reporting agency conducting an investigation, plus the nature and scope of the investigation requested, and a summary of the provisions of Section 1786.22.
(2) If, at any time, an If one or more investigative consumer report is or reports are sought for employment purposes other than suspicion of wrongdoing or misconduct by the subject of the investigation, the person seeking the investigative consumer report or reports may procure the report, report or reports, or cause the report or reports, to be made, only if all of the following apply:
(A) The person procuring or causing the report or reports to be made has a permissible purpose, as defined in Section 1786.12.
(B) The person procuring or causing the report or reports to be made provides a clear and conspicuous disclosure in writing to the consumer at any time before the a single report is procured or caused to be made made, or before one or more reports is procured or caused to be made if so authorized, in a document that consists solely of the disclosure, that:
(i) An A single, multiple, or ongoing investigative consumer report reports may be obtained. obtained, as set forth in the document requesting authorization.
(ii) The permissible purpose of the report or reports is identified.
(iii) The disclosure may include information on the consumers character, general reputation, personal characteristics, and mode of living.
(iv) Identifies the name, address, and telephone number of the investigative consumer reporting agency conducting the investigation.
(v) Notifies the consumer in writing of the nature and scope of the investigation requested, including a summary of the provisions of Section 1786.22.
(vi) Notifies the consumer of the Internet Web site internet website address of the investigative consumer reporting agency identified in clause (iv), or, if the agency has no Internet Web site internet website address, the telephone number of the agency, where the consumer may find information about the investigative reporting agencys privacy practices, including whether the consumers personal information will be sent outside the United States or its territories and information that complies with subdivision (d) of Section 1786.20. This clause shall become operative on January 1, 2012.
(C) The consumer has authorized in writing the procurement of the report. a single report or has provided a one-time authorization in writing for the procurement of multiple reports or for the ongoing procurement of reports, valid throughout the duration of the employment or an otherwise designated period of time.
(3) If an investigative consumer report is sought in connection with the hiring of a dwelling unit, as defined in subdivision (c) of Section 1940, the person procuring or causing the request to be made shall, not later than three days after the date on which the report was first requested, notify the consumer in writing that an investigative consumer report will be made regarding the consumers character, general reputation, personal characteristics, and mode of living. The notification shall also include the name and address of the investigative consumer reporting agency that will prepare the report and a summary of the provisions of Section 1786.22.
(4) The person procuring or causing the request to be made shall certify to the investigative consumer reporting agency that the person has made the applicable disclosures to the consumer required by this subdivision and that the person will comply with subdivision (b).
(5) The person procuring the report or causing it to be prepared agrees to provide a copy of the report to the subject of the investigation, as provided in subdivision (b).
(b) Any person described in subdivision (d) of Section 1786.12 who requests an investigative consumer report, in accordance with subdivision (a) regarding that consumer, shall do the following:
(1) Provide the consumer a means by which the consumer may indicate on a written form, by means of a box to check, that the consumer wishes to receive a copy of any report that is prepared. If the consumer wishes to receive a copy of the report, the recipient of the report shall send a copy of the report to the consumer within three business days of the date that the report is provided to the recipient, who may contract with any other entity to send a copy to the consumer. The notice to request the report may be contained on either the disclosure form, as required by subdivision (a), or a separate consent form. The copy of the report shall contain the name, address, and telephone number of the person who issued the report and how to contact them.
(2) Comply with Section 1786.40, if the taking of adverse action is a consideration.
(c) Subdivisions (a) and (b) do not apply to an investigative consumer report procured or caused to be prepared by an employer, if the report is sought for employment purposes due to suspicion held by an employer of wrongdoing or misconduct by the subject of the investigation.
(d) Those persons described in subdivision (d) of Section 1786.12 constitute the sole and exclusive class of persons who may cause an investigative consumer report to be prepared.