Cal. Code Regs. Tit. 10, § 10008 - Enforcement of Employer Compliance

(a) The Board may delegate enforcement of employer compliance with Title 21 (commencing with Section 100000) of the Government Code, including all failures by an Eligible Employer to allow its Eligible Employees to participate in the Program, to the Board staff. Staff shall exercise due diligence to ensure reasonable attempts are made to bring employers into compliance prior to issuing a final notice of penalty application to a noncompliant Employer.

(b) Enforcement efforts by Board staff, pursuant to subsection (a), shall include email and letter notifications of penalty application to the noncompliant Employers identifying the cause of their noncompliance and the methods available to Employers to comply.

(c) Noncompliant employers are subject to the penalties set forth in Gov. Code Section 100033(b) until compliance is satisfied.

(1) A noncompliant employer, who fails to achieve compliance after the initial $250 penalty is assessed, will be fined $500 per eligible employee for each subsequent calendar year in which the employer is noncompliant;

(2) Noncompliance does not need to be consecutive to assess the penalty of $500. Any calendar year of noncompliance after the initial penalty of $250 will result in a penalty of $500 per eligible employee.

(d) If, through the collection efforts of the Franchise Tax Board as described in Cal Code regs. Tit. 18 §§ 19285 et seq., and before the penalty payment is received, a noncompliant employer demonstrates compliance through the submission of written documentation, or as determined by review of the employer's account status, then the Board staff shall inform the Franchise Tax Board that the current year penalty shall not be imposed due to the Eligible Employer's compliance with the requirements of Title 21 (commencing with Section 10000) of the Government Code. Any erroneously made payments shall be refunded.

Notes

Cal. Code Regs. Tit. 10, § 10008

Note: Authority cited: Sections 100010 and 100048, Government Code. Reference: Sections 100014, 100032 and 100033, Government Code.

Note: Authority cited: Sections 100010 and 100048, Government Code. Reference: Sections 100014, 100032 and 100033, Government Code.

1. New section filed 1-25-2021 as an emergency; operative 1/25/2021. Pursuant to Health and Safety Code section 1363.04(f), this action is a deemed emergency and exempt from OAL review. Expiration date of emergency action extended 60 days (Executive Order N-40-20) plus an additional 60 days (Executive Order N-71-20) (Register 2021, No. 5). A Certificate of Compliance must be transmitted to OAL by 11-23-2021 or emergency language will be repealed by operation of law on the following day.
2. New section refiled 11-17-2021 as an emergency; operative 11/24/2021. Pursuant to Health and Safety Code section 1363.04(f), this action is a deemed emergency and exempt from OAL review (Register 2021, No. 47). A Certificate of Compliance must be transmitted to OAL by 2-22-2022 or emergency language will be repealed by operation of law on the following day.
3. Certificate of Compliance as to 11-17-2021 order transmitted to OAL 12-2-2021 and filed 1/13/2022 (Register 2022, No. 2).
4. New subsections (c)-(d) filed 12-26-2023 as an emergency; operative 12/26/2023 (Register 2023, No. 52). A Certificate of Compliance must be transmitted to OAL by 6-24-2024 or emergency language will be repealed by operation of law on the following day.
5. New subsections (c)-(d) refiled 6-20-2024 as an emergency; operative 6/20/2024 (Register 2024, No. 34). A Certificate of Compliance must be transmitted to OAL by 9-18-2024 or emergency language will be repealed by operation of law on the following day.
6. Certificate of Compliance as to 6-20-2024 order transmitted to OAL 8-2-2024 and filed 8-21-2024 (Register 2024, No. 34).