Store Research
Assembly Bill 2620 (Eastin – 1990)
Chapter 178, Statutes of 1990
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Business and Professions Code section 7108.5 was amended in 1990 following legislative passage of Assembly Bill 2620, which affected only this section. (See Exhibit A, #1f) Assembly member Delaine Eastin introduced Assembly Bill 2620 on January 17, 1990 at the request of the Plumbing-Heating-Cooling Contractors Association Cal-SMACCNA. (See Exhibit A, #1a, #3, and #9)
Assembly Bill 2620 was assigned to the Assembly Committee on Governmental Efficiency and Consumer Protection where policy issues raised by the bill were considered. (See Exhibit A, #3) The Assembly amended the bill on March 1 and March 8, 1990. (See Exhibit A, #1b, #1c, and #2) Assembly Bill 2620 was approved by the Assembly and forwarded to the Senate on March 12, 1990. (See Exhibit A, #2)
While in the Senate, the Committee on Judiciary considered the policy issues raised by the bill. (See Exhibit A, #7) Two amendments were made to Assembly Bill 2620 by the Senate, on May 16 and June 1, 1990. (See Exhibit A, #1d, #1e, and #2) The Senate thereafter approved the bill and returned it to the Assembly. (See Exhibit A, #2)
The Assembly approved the Senate amendments, and Assembly Bill 2620 was forwarded to the Governor on June 18, 1990. Governor George Deukmejian signed the bill on June 26, 1990, and it was recorded by the Secretary of State on June 27, 1990 as Chapter 178 of the Statutes of 1990. (See Exhibit A, #1f and #2)
The Third Reading analysis of Assembly Bill 2620 as last amended that was prepared by the Office of Senate Floor Analyses described the bill as follows:
DIGEST: This bill would require prime contractors to pay their specialty contractors and subcontractors within 10 days of
receiving a progress payment from the owner, as specified, and to be subject to a two percent monthly penalty for late payments.
(See Exhibit A, #9, page 1)