California Assembly Bill AB465

California 2021-2022 Regular Session

• Introduced: 2/8/21
• Refer: 2/18/21
• Report Pass: 4/7/21
• Refer: 4/7/21
• Report Pass: 4/21/21
• Engrossed: 5/3/21
• Refer: 5/4/21
• Refer: 5/12/21
• Report Pass: 6/7/21
• Refer: 6/7/21
• Report Pass: 6/16/21
• Refer: 6/16/21
• Enrolled: 9/1/21
• Chaptered: 9/16/21
• Passed: 9/16/21

Caption

Professional fiduciaries: prelicensing and renewal or restoration: education.

Impact

The implications of AB 465 are significant for the regulation of professional fiduciaries in California. By requiring education on cultural competency, the bill seeks to promote a better understanding of diverse cultural and ethnic backgrounds among professionals. This change aims to enhance the service delivery of fiduciaries to various communities, including historically marginalized groups. The requirement for additional ethics training also aligns with broader goals of professional accountability and the establishment of higher standards in fiduciary practice.

Summary

Assembly Bill 465, introduced by Nazarian, aims to amend Section 6538 of the Business and Professions Code in California, specifically addressing the education requirements for professional fiduciaries. This bill establishes new mandates for prelicensing education and continuing education for fiduciaries, effective January 1, 2023. It stipulates that those seeking licensure must complete 30 hours of prelicensing education, which will now include at least one hour focused on cultural competency. Additionally, licensees are required to complete at least 2 hours of ongoing instruction in ethics, cultural competency, or both each year as a condition for license renewal or restoration.

Sentiment

The sentiment surrounding the passage of AB 465 appears to be largely favorable among legislators and stakeholders in the fiduciary community. Supporters argue that increasing the educational requirements for fiduciaries will lead to improved service quality and understanding of the needs of diverse client populations. However, there may be some contention regarding the practicalities of implementing these new requirements, particularly concerning the capacity of existing educational programs to accommodate the increased emphasis on cultural competency and ethics without overwhelming practitioners.

Contention

A notable point of contention may arise around the enforcement of the new educational standards. Concerns have been raised regarding the availability of relevant courses and whether the associated costs will be manageable for fiduciaries. Furthermore, while emphasizing cultural competency is seen as beneficial, there may be apprehensions about how effectively this training can translate into practice. Ensuring that fiduciaries not only receive this education but can also apply it in real-world scenarios will be crucial for the bill's success.