The ABC Test does not apply to a contract for “professional services” as defined below. “Professional services” means services that meet any of the following: […]

AB 2257 – Professional Services Independent Contractor Checklist

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On August 31, the state Senate and Assembly passed bills out of the regular session, bringing a close to the 2023-24 legislative session. Hundreds of bills now go to the Governor’s desk where by September 30, he will decide which become law. CAA tracked over sixty bills this session ranging from regulating Artificial Intelligence, to commissions on Guaranteed Basic Income (AB 2263, Friedman)  and screenings and testing related to Social Determinants of Health (AB 2250, Weber) to protections for Freelance Workers (SB 988, Wiener) to 14 bills on Reparations, and housing bills including AB 3068 (Haney) uniting YIMBYs and Historical Preservationists in an unprecedented partnership to cosponsor office-to-housing conversions. We also supported two nonprofit bills sponsored by CalNonprofits that are critical to easing the unfair burdens nonprofits face when contracting with the state. SB 1246 (Limón) incentivizes the state to make timely payments, and SB 336 (Umberg) ensures better coverage of indirect costs. 

CA Arts Advocates collaborated with NIVA CA in support of SB 785, authored by Senator Caballero, a consumer protection bill that banned fraudulent ticketing practices, an issue many nonprofit performing arts organizations, the artists presented and their patrons have lifted up as a prevalent problem that needs to be addressed in legislation. Unfortunately, the bill was amended in such a way that would undermine the purpose and it was moved to the inactive file, killing the bill. 

While we wait to see which bills become law this session, we are actively preparing our priorities for 2025, meeting with a variety of coalitions and legislative offices, in response to the needs outlined from our 2024 field engagement survey while focused on our ongoing strategic policy priorities. As always, we welcome your feedback on what matters most to you and the issues that you are facing that are making it more difficult for you to thrive as an arts worker in California. 

News From the Capitol - September 11, 2024

Art can be many things, but it starts as work. Sadly, that work is consistently undervalued in American society. While a recent national survey found that 81 percent of Americans believe the arts are “a positive experience in a troubled world,” a separate survey conducted for this report found only 22 percent of Americans believe artists contribute “a lot” to the general good of society.2 This gap between American feelings about the personal value of the arts and their perceptions about the value of those who create that art undermines the work artists and cultural workers are able to do, the value they are able to contribute to the health of our communities, and who is able to make a life as an artist. In this report, we address a central question: How can we better recognize the value of artists in our national policy in order to enable the essential work they do?

Art is Work: Policies to Support Creative Workers

The California Arts Council’s programs aim to allow all Californians to thrive via public support for creativity and the arts. To assess the effectiveness of its grantmaking and contract-based funding, CAC contracted with the consulting firms Scansion and WolfBrown to engage in a comprehensive, 30-month-long grantmaking evaluation. Beginning in February of 2020, the final deliverables were presented to the Council at a public meeting in August 2022.

Field Scan of Equity in Arts Funding in California

The Field Scan provides a deep analysis of California’s arts infrastructure and access to funding, with particular focuses on racial and geographic equity. These analyses offer critical context for the other components of the evaluation. Methodology included a scan of the existing literature, extensive analysis of quantitative data from CAC and other sources, as well as qualitative data from arts stakeholders in three communities across the state. The evaluation team collaborated with the National Assembly of State Arts Agencies (NASAA) in preparing the Field Scan.

California Arts Council Grantmaking Evaluation | Wolf Brown & Scansion

Summary: Creative communities across the LA region are increasingly seeking new approaches that support and grow the arts and culture sector. As the Covid-19 pandemic continues to impact the sector, it is clear that this moment requires a rethinking of our cultural infrastructure and an unprecedented investment in the collaborative, solidarity-based models that will ensure a diverse, vibrant and world-class creative ecosystem.

Solidarity for a Just and Sustainable Creative Sector: 2022 Policy and Advocacy Agenda

CFTA_covidsurvey_report_orgs_final3.pdf

Using the data provided through this survey, the following policy or program/service recommendations are offered:

Urge policymakers to continue dedicated state and federal support for California’s creative industries. If and when a second relief package includes state funding, advocate for a dedicated funding stream to creative businesses and organizations that are still closed due to the state’s blueprint for reopening.

Urge the Newsom Administration to issue guidelines for live events and performing arts so businesses have ample time to prepare venues and staffing for a safe reopening.

Consider state supported outdoor pop-up events across the state to acclimate patrons to return to live events safely and demonstrate that safe behavior protocols are possible while experiencing something that brings communities together.

Urge policymakers to recognize that California’s recovery must include the reopening of live events and a successful return of the creative industries.

Consider financial assistance programs that both support organizations to reopen more quickly, while providing interim support to keep them working until it is safe to reopen.

Explore the ways in which small investments can have strong results such as grants of less than $10,000 to organizations that have minimal requirements for reopening.

Provide not only financial assistance in the form of operating grants, but funding for organizations to prepare to reopen in compliance with AB 5, create new business models for future sustainability, and organizational development to restructure when they start to rehire.

Create a state level payroll system to make compliance with wage and benefits requirements easier for small organizations and businesses.

As relief funding opportunities arise, consider creating and implementing an initiative to ensure that organizations have access to information early and often as well as to workshops or other technical assistance to help them make applications for financial relief.

Summary Analysis of the Statewide Covid-19 Economic Impact Survey for Creative Organizations and Businesses

This report uses publicly available data to assess the distribution of aid from four federal programs: The Paycheck Protection Program (PPP), the Shuttered Venue Operators Grant (SVOG) Program, the American Rescue Plan (ARP), and Coronavirus Aid, Relief and Economic Security (CARES) Act grants. The PPP and the SVOG programs were administered by the Small Business Administration and open to commercial and nonprofit establishments. The National Endowment for the Arts (NEA) and Institute for Museum and Library Services (IMLS) administered the other two, which were open to nonprofit but not commercial establishments.

To create this assessment, we compiled data from sources specific to each program, then identified funding that went to arts and culture. Since there is no clear-cut definition of which industries should be considered part of the arts and culture field, we used multiple approaches to defining the sector with varying levels of emphasis on for-profit versus nonprofit entities to see where distribution differences lie.

$53 Billion Awarded to Arts and Culture During the Pandemic

Creative placemaking integrates arts, culture, and design activities into efforts that strengthen communities. Sometimes also called creative place-keeping or place-knowing, this work is rooted in the understanding that all communities have intrinsic value, unique assets, cultural significance, and that projects in the community must be informed by and relevant to the members of that community. 

Since 2016, the Creative Placemaking Technical Assistance Program (CPTA) has offered resources to support community groups, artists, government agencies, and other stakeholders in their creative placemaking efforts. The CPTA program is a partnership program between National Endowment for the Arts’ Design & Creative Placemaking team and Local Initiatives Support Corporation (LISC).

Creative Placemaking: Strengthening Communities with Arts at the Core

Abstract: New Approaches to Evidence-based Cultural Policymaking in World Cities Case Guide is produced under the World Cities Culture Forum Leadership Exchange Program funded by Bloomberg Philanthropies and Google Arts and Culture. Originally planned as an in-person exchange visit hosted by Los Angeles City and County, the leadership exchange visit on cultural mapping was cancelled due to the Covid-19 pandemic and replaced with a six-part online exchange. Between January to September 2021, city staff in the fields of culture, economic development and urban planning from ten world cities – Amsterdam, Austin, Barcelona, Chengdu, Moscow, London, Los Angeles, Milan, Montreal and Stockholm – met regularly to share experiences on different approaches to producing evidence for city policy making, with an emphasis on geographic data. This was further enriched by knowledge and insights from seven expert guest speakers. This Case Guide is co-produced with the participating cities. It aims to distill the learnings and share the case studies that were discussed over the course of the exchange with a wider audience. All of the city examples in this document are presented as ‘use cases’ of cultural data in which we highlight relevant questions and outcomes, and direct readers to further readings. Cities featured in this publication have demonstrated innovative use of data to create tangible and lasting results. The research approaches and data sources are wide-ranging: they take the form of mapping studies, community surveys, ethnographic or artistic research, analysis of open data and forecasting studies. Although the contexts and specific research approach vary, they are unified by the same policy goal to make cities more equitable so that all citizens benefit from culture.

Culture Counts: new approaches to evidence-based cultural policymaking in World Cities

CFTA_covidsurvey_report_workers_final1 (1).pdf

Using the data provided through this survey, the following policy or programs, policies, and services are recommended:

Ongoing reauthorizations of PUA benefits for self-employed individuals without access to UI. Consider, too, that there will be a lag-time between when the sector reopens and when work opportunities are available.

Continued financial support in the form of forgivable loans and artist relief grants for independent artists and self- employed workers.

Consider the creation of an unemployment assistance program and payroll system at the state level for self-employed individuals to ensure that post-pandemic they can enjoy the financial support system currently only available to employees.

Work with arts service organizations, local arts agencies, health agencies and departments statewide to identify ways to provide affordable access to mental health support for arts and cultural workers of all types.

Support the CA Creative Corps Pilot Program introduced by Governor Newsom in his 21-22 budget proposal to the Legislature. This could come as increased funding to the CAC and/or cross-departmental collaborations such as K-12 education, the environment, public health etc.

Expand the CA Creative Corps Pilot Program to ongoing legislation to employ and/or commission creative workers as artists-in-residence, community organizers, and teach-ing artists, and creative economy businesses to produce free and low-cost cultural experiences, with a specific focus on living- wage creative jobs.

Identify sources of financial support or other ways to help those with housing insecurity and access to affordable health care.

Depending on the assistance available in future federal pandemic support funding, consider creating and implementing an initiative to ensure that independent workers have access to information early and often as well as to workshops or other technical assistance to help them make an application for financial relief.

Summary Analysis of the Statewide Covid-19 Economic Impact Survey for Artists & Cultural Workers

This report represents how Threewalls is mapping a course towards a more just and care-centered approach to artist support, beyond funding their practices. In presenting our reflections and findings, we see ourselves contributing to a cartography that models a more just reality for artists and cultural producers.

From Living to Thriving: Threewalls’ Wage Policy Report

There are no quick fixes for many of the challenges we face, from rapid technological change and increasing costs of living to the climate crisis and geopolitical instability. But with cities now representing over 80% of global GDP and half of the world’s population, the role of cities in addressing these issues is critical.  

At World Cities Culture Forum, we believe in culture’s role as a ‘golden thread’ through urban policy – supporting communities, improving health and wellbeing, attracting tourists and boosting economies.

World Cities Culture Trends 2024

Creative Economy Tracker

Abstract: As the field of public health strives to address the impacts of social determinants of health, it has seen increasing interest in community-referral practices that expand health care beyond clinical spaces. However, community arts and culture organizations are rarely included in these practices, despite accumulating evidence of associated health benefits. In addition, such inclusion has not been formally studied. In response, this article offers an evaluation of “CultureRx” in Massachusetts (MA): the first US model of arts on prescription. The program is a partnership between 20 healthcare providers and 12 cultural organizations, in which providers can offer “prescriptions” to cultural experiences to support patients’ health.

Social Prescription in the US: A pilot evaluation of Mass Cultural Council’s “Culture Rx”

SACRAMENTO – Governor Gavin Newsom today signed the 2020 Budget Act – a $202.1 billion spending plan that strengthens emergency response, protects public health and safety, and promotes economic recovery while closing a $54.3 billion budget shortfall caused by the COVID-19 recession.

“In the face of a global pandemic that has also caused a recession across the world and here in California, our state has passed a budget that is balanced, responsible and protects public safety and health, education, and services to Californians facing the greatest hardships,” said Governor Newsom. “I thank Pro Tem Atkins, Speaker Rendon and both houses of the Legislature for their continued partnership and leadership during this challenging moment in our state’s history.”

Governor Newsom Signs 2020 Budget Act

AB 151, Committee on Budget. State employment: State Bargaining units: agreements: compensation and benefits.

(1) Existing law provides that a provision of a memorandum of understanding reached between the state employer and a recognized employee organization representing state civil service employees that requires the expenditure of funds does not become effective unless approved by the Legislature in the annual Budget Act.

Existing law requires the Department of Human Resources to provide a memorandum of understanding to the Legislative Analyst who then has 10 calendar days from the date the tentative agreement is received to issue a fiscal analysis to the Legislature. Existing law prohibits the memorandum of understanding from being subject to legislative determination until either the Legislative Analyst has presented a fiscal analysis of the memorandum of understanding or until 10 calendar days has elapsed since the memorandum was received by the Legislative Analyst.

AB 151 - Economic Development

Last week’s California Arts Council (CAC) meeting marks the first official meeting helmed by its new Executive Director Jonathan Moscone, and that’s where this summary starts. Moscone opened the meeting with an introduction to what brought him to this role, and what his hopes and priorities are moving forward alongside the Council, partners, and constituents. In his remarks, Moscone details a commitment to transparency and expediency in relation to the general operations of the Council. You can read his full remarks here. Californians for the Arts (and our partner organization California Arts Advocates) is really looking forward to working to support the field alongside Moscone and Council in this fiscal year, especially through aligning on initiatives such as the California Creative Workforce Act - SB 628 (Allen). 

Throughout the three-hour meeting there were several key takeaways from the discussion of agenda items and public comment:

California Arts Council is prioritizing adding staff to build their team in order to support their current and upcoming initiatives, especially as they relate to the recent budget allocations and to getting funding out the door faster. 

The Council is taking up discussion around the role of Administering Organizations (AO) with several Council members weighing in on the matter. Discussion included: should the Council oversee all grants to the field and not use an AO model? Does this further capacity building and equity in grant making, and how much that is going to administrative fees for AO’s could be going directly to artists instead? On the other hand it was also discussed that local organizations could be better suited to regrant funds to their communities by knowing more directly who could benefit. Some key questions that came up, and that will be discussed by committee, are: How are AO’s tracked and supported by the CAC? How can you measure the success of the program? Would any of the current grants that require AO’s make more sense to be run by the CAC? What is the fiscal breakdown of monies between all AO grant programs broken down by administrative fees and regranted funds? Is there a hybrid solution? We would love to hear what you think. Please fill out this brief survey question below.

Many of the callers for public comment were in relation to not receiving needed funds from the Arts in Corrections program. Deputy Director Ayanna Kiburi presented on the program mainly as an overview to educate the Council to the program as it has traditionally not been under their governance. 

Presentation by Katherin Canton on CAC’s participation in Government Alliance on Race and Equity and the Innovations in Government pilot program - announcements to made in August about grant cohort recipients and forthcoming workshops. 

In his opening statement, Moscone mentioned that one approach to transparency and more inclusive decision making for the Council would be to have community members be a part of the committees. In general, Council members felt this could get messy and some enjoyed the opportunity to have private space to discuss business. It was suggested that one way it might work is to have the community members be “experts” or highly experienced in the committee areas and to have vetting procedures in place. It’s not clear where this decision will land, but creative solutions to breaking down what is often perceived as opaque governmental processes are always welcome, in our opinion. In addition, committee meetings are currently not done publicly. There was also discussion that since the committee meetings are where the work is done, should the public be able to attend and provide comment. This issue now goes back to Governance committee to make recommendations to the full council.

The next California Arts Council meeting is August 18, 2022 at 10am. More info. 

*Administering Organizations are currently being used to regrant funds into communities for five grants. The total grant amount (listed below next to each grant) is generally divided into three allocations with one or multiple AOs: Program administration (~10-20%), Practitioner/Project funds (~50-80%), and, when applicable, additional project materials or administration funds for sub-grantee organizations (~20%).

Arts Administrators Pipeline Fellowship ($1,165,000)

Individual Artist Fellowships ($2,620,000, divided by 4 regions)

California Creative Corps ($59,400,000, $1-5m per AO)

Report Prepared by Julie Baker and Kara Q. Smith

Report from California Arts Council's 7/28/2022 Public Meeting

Actions Taken:
There were two voting items on the agenda, other than voting on the minutes.

Item 9 – Voting item on Grant Panelists Pool – presented by Ayanna Kiburi PASSED

Presented memo that included demographic information and bios on all 801 applicants to be a panelist, this data can be found in the meeting packet, Tab D HERE

The council will vote on the group of panelists, then the specific panelists for each program will be selected from this list.  All 801 will not serve on a panel

The point of the memo and presentation is to review the recruitment process and the demographics of the applicants

It was noted that every effort was taken to spread news of the opportunity as widely as possible, in an effort to gather as diverse a pool as possible. 

There will be a difference between the diversity of the full pool, and the individual panels that will be pulled from the pool

Both during public comment and Council discussion it was noted that Council is encouraged to find ways for the panelists to meet together and collaborate on their evaluation of the grants they are reviewing 

Item 14 – Voting Item Fiscal sponsor change request – Leah Goodwin - PASSED

Grantee Scholarship Audition Preparatory Academy has requested to change their fiscal sponsor because the existing Fiscal Sponsor can’t fulfill the role.  They are requesting to change the Fiscal Sponsor to Community Partners.

Jonathan asked to consider the policy to make it official that if the situation is not the fault of the fiscally sponsored that the staff can approve requests like this, instead of needing to bring it to the full council for a vote. Allowing the staff to approve a change of this nature will prevent delays in the grantees getting their funds.

Notes on non-voting items:
In the Chair’s Report Chair Montoya mentioned ACCM, the CA Arts and Culture Summit and Advocacy Day. She talked about the panel she was on during the Summit, and how impactful and inspiring the entire day was. She also talked about Advocacy Day and the exciting “swarm” of Arts Advocates that brought the message of the importance of arts funding to the legislators.  She thanked Californians for the Arts, and particularly CEO Julie Baker, for the incredible work in making both events possible.

CAC staff presented CAC Arts & Youth Programming Update:

CAC Arts & Youth programming is funded through General Fund Local Assistance funds. 
Programs under Arts & Youth are currently funded for 2 years, they will be considered again in 2024. The programs currently are:

• Artists in Schools - Supporting projects integrating community arts partners as part of the regular school day
• Arts Education Exposure - Supporting student attendance at arts performances and exhibits
• Arts Integration Training - Supporting arts integration training for educators facilitated by teaching artists
• Creative Youth Development - Supporting arts projects for youth outside of traditional school hours
• JUMP StArts - Supporting arts education projects for youth impacted by the justice system

Impact of 2021 One-Time Funding:
 With the $40 million investment in Arts & Youth in 2021, the CAC was able to: 
•More than double its grant funding to the field in the 2022-2023 year 
•Serve 10% more counties –including some of the state’s most rural areas 
•Serve 26% more grantees overall 
•Offer multi-year grant awards in these programs for the first time 
•Greatly increase the depth of impact and number of youth serve

Considerations Moving Forward - suggestions from staff for Council to consider
•Need Remains High: The CAC funded a slightly smaller percentage of applications in 2022 (~66%) than in 2021 (~69%). This increase in applications demonstrates an elevation of need in this area of funding. •One-Time Funding Allocation: If the one-time 2021 funds are not renewed, funding for Arts & Youth programming beginning in 2025 will be only a percentage of the CAC’s baseline funding, competing for funds with all of the agency’s other project-based, regranting, and operating support programs. It was noted that this is a priority for advocacy and legislative efforts.
 •Culturally and Linguistically-Responsive Arts Education: In all its Arts & Youth programs, CAC funds culturally and linguistically-responsive arts learning opportunities that are often not included in standard curricula. 
•Leveraging Other Arts Funding: This past fall, voters approved Prop 28 which guarantees 1% of state  education funding for arts and music. Given the requirements for that funding, it is likely there will be even greater school interest and capacity to participate in CAC’s programs.

During the Council discussion the following notes were made:

Jonathan Moscone noted that this is a great time to deepen the Council’s relationship with Create CA, to make it as strong as the relationship with Californians for the Arts. With the coming years where the level of funding is definitely going to be lower, the council needs to leverage as many partnerships as possible to make the most of the funding that there is.  He also noted that we need to focus on supporting programs that have the most impact.  

Chello Montoya also noted that in budget committee hearings what they want to see is data. It is important for applicants to find the best ways to measure and report the impact of their programs.  That then provides the data that can be used in advocacy.

In response to a Council question it was reported that there are currently funded programs in 44 of 58 counties in the state.  During the next funding cycle priority will be placed on encouraging getting applications for those remaining counties.

Report from California Arts Council's 4/28/23 Public Meeting

Existing law, the Dixon-Zenovich-Maddy California Arts Act of 1975, establishes the Arts Council, consisting of 11 appointed members, sets forth the duties of the council, and authorizes the council, among other things, to accept federal grants and unrestricted gifts, donations, bequests, or grants of funds from private sources and public agencies for the purposes of encouraging artistic awareness, promoting the employment of artists, and providing for the exhibition of art works in public buildings. Existing law requires the Arts Council to establish criteria and guidelines for state-designated cultural districts, as defined. This bill would state the intent of the Legislature to enact subsequent legislation to support the growth and enhancement of state-designated cultural districts.

AB 1382 - State-designated cultural districts

Existing law provides comprehensive regulation of ticket sellers, defined as a person who, for compensation, commission, or otherwise, sells admission tickets to sporting, musical, theater, or any other entertainment event. In this regard, existing law, among other things, prohibits specified ticket selling practices and imposes certain recordkeeping and disclosure requirements. Existing law makes a violation of those provisions a misdemeanor, and imposes civil penalties for certain violations. This bill would revise and recast those provisions to impose similar requirements, as applicable, to original sellers, event presenters, ticket resellers, and ticket marketplaces, as defined, and to require original sellers, ticket resellers, and ticket marketplaces to be registered with the Secretary of State. By expanding the scope of certain requirements related to selling those tickets, the violation of which is a crime, the bill would impose a state-mandated local program. This bill contains other related provisions and other existing laws.

SB 785 - Consumer protection: ticket sellers

Existing law provides comprehensive regulation of ticket sellers and makes violations of those provisions a misdemeanor. Existing law requires a ticket seller to issue a refund upon request to a ticket purchaser for canceled, postponed, or rescheduled events. Existing law also requires a ticket seller to disclose to a purchaser the location of the seat represented by the ticket, as specified. This bill would require a ticket seller to disclose to a purchaser the portion of the ticket price that represents a fee or surcharge and a link to an internet webpage that includes the refund requirements described above. This bill contains other related provisions and other existing laws.

AB 8 - Ticket Sellers

Existing law provides for the comprehensive regulation of ticket sellers, including prohibiting a ticket seller from contracting to sell or accepting payment for tickets unless the ticket seller has lawful possession of the ticket; has a contractual right to obtain the ticket; or informs the purchaser the seller does not have possession of the tickets, has no contract to obtain the offered ticket, and may not be able to supply the ticket at the contracted price, as specified.This bill would prohibit the operator of an entertainment facility and a primary ticket seller from entering into a contract that provides for the primary ticket seller to be the exclusive ticket seller for the operator of the entertainment facility. The bill would prohibit threatening or seeking to enforce such a provision or to otherwise penalize an operator of an entertainment facility for entering into an agreement with another primary ticket seller. This bill contains other related provisions and other existing laws.

SB 829 - Ticket Sellers: Exclusivity

Employers, Employees, Private Contractors and everyone in between. Please take our  new survey so that we may gather data to determine the direct impact of AB5 compliance and to learn if organizations are reducing or ceasing programs or closing altogether and if workers are finding fewer opportunities for employment.

AB-5 Data

AB 2257, follow up legislation to AB 5, was signed by Governor Newsom on September 4, 2020 and goes into effect immediately. The law includes new exemptions for musicians, performing artists and fine artists. Learn more about these new exemptions in this webinar moderated by Julie Baker, Executive Director, California Arts Advocates/Californians for the Arts; guest speakers Assemblywoman Lorena Gonzalez, 80th District, Author AB 5 and AB 2257; Assembly Majority Leader Ian C. Calderon, 57th District, Principal Co-author AB 2257; John Acosta, President, AFM Local 47; and Sara B. Boyns, Attorney, Fenton & Keller.

All questions must be submitted by Wednesday, September 30. Registration will remain open until the end of the webinar. Please use the registration form to submit your questions.


This webinar is scheduled for 75 minutes.
____________________
This event will be recorded.

Assemblywoman, California State Assembly, 80th District

Assemblywoman Lorena Gonzalez was elected in May of 2013, promising to fight for our state’s working and middle classes, and she hasn’t stopped yet. In 2015, The Atlantic Magazine labeled her “The California Democrat setting the National Agenda” for her practical, progressive legislation aimed at alleviating real issues in people’s lives.

In 2014, Lorena authored historic legislation to allow 6.5 million Californians the ability to earn paid sick leave. When AB 1522 was signed by Governor Brown, California became the first state in the nation to guarantee earned sick days for every single private sector worker regardless of employer size or sector. The next year, Lorena brought the idea of Automatic Voter Registration to life for nearly seven million unregistered citizens by authoring and passing California’s New Motor Voter Act. In 2017, Lorena succeeded in making California the first state in the nation to subsidize diapers for parents in need -- hardworking mothers and fathers struggling to juggle job and parenting responsibilities. AB 480, the Diaper Affordability Act, was signed by Governor Jerry Brown on Oct. 12, 2017.

Lorena has passed critical bills to protect the jobs of grocery workers, fight the misclassification of employees as independent contractors, create the first workplace bullying training requirement in the nation, limit excessive CEO compensation in the utility industry, protect immigrant communities from legal services fraud and mandate that public schools test their drinking water for lead. Taking on women’s equity issues large and small, Lorena co-authored the nation’s toughest rules to close the gender pay gap and wrote the legislation that finally forced California to classify high school cheerleading as a sport. 

Lorena is the first Latina in California history to Chair the Assembly Appropriations Committee. She is also Chairwoman of the Select Committee on Women in the Workplace and Chair of the Latino Caucus.

Lorena’s father immigrated to California from Mexico and initially worked in the strawberry fields in North San Diego County. Her mother was a nurse. Lorena is a graduate of Stanford University, has a Master’s degree from Georgetown University and a Law Degree from UCLA. She remains a member in good standing of the California State Bar.

Prior to being elected to the Assembly, Lorena was a labor leader and organizer, serving as the first woman and first person of color to be elected CEO and Secretary-Treasurer for the San Diego and Imperial Counties Labor Council, AFL-CIO. Lorena also previously worked as the Senior Advisor to California’s Lt. Governor Cruz Bustamante, and she served on the California State Lands Commission and the California Coastal Commission.

Lorena’s most cherished title, nonetheless, is that of mother. In the City Heights neighborhood of San Diego, Lorena and her husband, Nathan Fletcher, have a home with four of their children. Lorena's eldest child, her daughter Tierra, lives in Los Angeles. 

Majority Leader, California State Assembly, 57th District

Majority Leader Ian Calderon was elected in November 2012 to represent California's 57th Assembly District, becoming the first millennial elected to the State Legislature.

A product of the 57th District, prior to his election to the Assembly, Ian worked as a field representative for the Legislature, which allowed him to assist residents in his community to navigate state and local government.

In March 2016, Ian became the youngest Majority Leader in the history of the state of California. As Majority Leader, Ian has led the Assembly to pass landmark legislation, such as raising the minimum wage to $15 per hour by 2022 and reducing greenhouse gas emissions. He is particularly proud of legislation he authored that allows terminally ill Californians to attempt experimental treatments to try to save their own lives.

Majority Leader Calderon currently serves as the Chair of the Select Committee on Technological Advances, Co-Chair of the Legislative Technology and Innovation Caucus, and Co-Chair of the Legislative Millennial Caucus. He is a member of the Insurance Committee, Appropriations Committee, Accountability and Administrative Review Committee, Privacy and Consumer Protection Committee, and the Elections and Redistricting Committee.

In recognition of his work to foster innovation in California, Majority Leader Ian Calderon was named Legislator of the Year by TechNet, received the Internet Champion Award from the Internet Association, and was named TechAmerica’s 2014 California Tech Champion, as well as the 2016 CompTia California Tech Champion. A staunch supporter of arts education, Ian received the California Association of Museums’ 2015 President’s Award and was named a Legislative Arts Champion by Californians for the Arts.

Ian graduated from California State University Long Beach where he earned a degree in Political Science with a minor in Communications. He resides in Whittier with his wife Elise and their daughters, Charlie Nicole and Hartley James, and their newborn son, Crew Colson.

President, American Federation of Musicians Local 47

John Acosta currently serves as President of the American Federation of Musicians Local 47 representing over 7,000 professional musicians in the southern California area. John also serves as an International Executive Board member of the AFM, Vice President on the Los Angeles County Federation of Labor Executive Board, President on the Music Fund of Los Angeles Board of Directors, Director on the Actors Fund Western Council and Director on the Verdugo-Workforce Investment Board. John hails from the Bronx, New York. His father Juan Acosta was a percussionist from Cuba who worked as a touring musician with Latin jazz greats such as Tito Puente and Celia Cruz. In California, John began his recording career working as a composer, guitarist, producer and engineer for artists on Warner Brothers, DreamWorks, Geffen, BMG, Elektra and Capitol Records. John's work as a musician lead to his work with Local 47, advocating for musicians rights.

Sara represents employers with regard to a wide variety of workplace issues, including discrimination and harassment, wage and hour claims, employee misclassification issues, employment policies, leave issues, workplace investigations, defense of post-employment claims, and in home caregiver agreements. Her 30+ years of experience in areas of law ranging from civil litigation to estate planning complements her expertise in employment law, and provides a unique perspective to problem solving for her clients. Sara is proactive and responsive when assisting managers and employers in complying with complex employment laws, preventing and solving day-to-day workplace problems, and developing a productive, profitable work force. Sara presents interactive and current educational seminars on employment related topics for clients and the general public, including the California statutorily required harassment prevention training seminars for employees. Sara has also been a featured speaker at the HFTP Club & Hotel Controllers Conference, and she frequently speaks to local community groups on employment law topics. Sara also conducts workplace investigations for a wide range of clients and is an Association of Workplace Investigators Certificate Holder (AWI-CH). With contributions from her colleagues, Sara writes a bi-weekly article for the Monterey Herald addressing workplace law issues, and she is also responsible for the content in the Fenton & Keller newsletter. A member of the firm since 2000, Sara is involved in community activities primarily related to education and youth. In early 2019, the Salinas Valley Chamber of Commerce named Sara Businesswoman of the year.

Understanding AB 2257, Follow Up Legislation to AB 5, and Its Impact on the Arts Sector

https://www.youtube.com/watch?v=9PGmkIolSjU

States and the IRS Look at Worker Status - So Should You as an Employer

How do you tell an employee from an independent contractor? It's often a difficult question, but it's one that has many serious implications. The IRS watches closely to make sure workers are classified correctly.

"The biggest trigger of IRS audits is misclassifying employees as independent contractors," says Reva Lesonsky, of Yahoo Small Business.

Here's a recent example (from 2015) that explains the difficulty: California's Labor Commission said that an Uber driver should be classified as an employee, not an independent contractor, as Uber (the on-demand ride sharing company) claims. This ruling affected only one driver, and several other states have ruled that Uber drivers are contractors. Uber appealed the ruling and another similar one in Florida. 

More of these lawsuits, including some of the class action variety, are or will be headed to the courts soon. Note that it's not just the IRS, but states, that can make this determination. 

Are you certain your workers are correctly classified? 

The IRS considers a worker to be an employee unless independent contractor status is clearly indicated by the relationship.  The IRS evaluates every situation on a case-by-case basis. 

This article looks at the definitions of employee and independent contractor, explains the benefits and disadvantages of employee and independent contractor status for employers, and discusses how the IRS evaluates individual cases, 

Employee or Independent Contractor?. James Porter/Getty Images

An employee is a worker who performs services at the direction of an employer.  In general, anyone who performs services for an organization is an employee if the organization can control what will be done and how it will be done.

2. Examples of Independent Contractors and Employees

Tech Careers has some great examples to show you the difference between an independent contractor and an employee. Don't forget that each case is different, though, so be sure to check with your legal advisor before you make any assumptions about whether a worker is an independent contractor or an employee.

3. Salespeople as Independent Contractors vs. Employees

Salespeople fall into the same categories of employees vs. independent contractors. These situations are handled on a case-by-case basis, but one case stands out for its detail. 

In a 2008 case in district appeals court, the Court (U.S. v. Porter) used the IRS 20-factor test and had some specific findings: 

The salesmen (all men in this case) had no set territory, no set hours of work, and no one else had control over when they worked. All three of these factors indicate an independent contractor situation.

All of the salesmen had training, which consisted of riding along, providing advice, or seminars, but much of the training had to do with the specifics of the products being sold, rather than details of how to sell. The Court decided that this factor was only "minimally" decisive.

There was no requirement that the salesmen submit written reports, although some submitted these reports voluntarily.

Expenses were paid by the company and the salesmen were provided a vehicle to use to make sales calls and deliver products. Both of these factors indicate an employment relationship.

The salesmen did not invest in facilities to use in performing duties; they were reimbursed for these expenses, indicate an employer-employee relationship.

Either the salesman or the company could terminate the relationship at any time - this indicates an employment situation.

Finally, the salesmen said they were not provided with health benefits or other employee benefits.

The Court's decision said that there were a number of factors indicating an independent contractor relationship, but they were not compelling enough to change the status of these salesmen from employees to independent contractors. 

An independent contractor is an individual or business that provides services to another individual or business. The independent contractor is a separate business entity and is not considered an employee. Some examples of independent contractors are consultants, agents, or brokers.

5. How Employees and Independent Contractors Are Paid and Pay Reported

Employees are paid on an hourly or salaried basis, and they receive a W-2 showing their total earnings for the year. Independent contractors are paid by the job or by the hour, and they receive a 1099-MISC showing their total payments for the year.

NOTE: The way a worker gets paid is not a factor that the IRS uses to determine whether the worker is an independent contractor or an employee.

6. Independent Contractor or Employee - What is the Difference?

The IRS looks at three broad areas in making its determinations of whether a worker is an employee or contractor.  On a case-by-case basis, the IRS considers behavioral control, financial control, and the relationship between the worker and employer.  Understanding these factors can help you in considering whether to hire an employee or a contractor.

The IRS previously used a "20-factor test" to makes its determinations on worker status. The IRS used these factors as a guideline, not a checklist, and cases, as now, were decided on a case-by-case basis. While the test is no longer specifically used, it can be a guide for you in considering whether a worker is an employee or contractor.

8. Request an IRS Determination Using Form SS-8

You can request a determination letter from the IRS on the status of a worker, using Form SS-8. Getting a determination voluntarily can help you avoid fines and penalties for misclassification of a worker.;

9. Advantages and Disadvantages of Hiring Employees vs. Contractors

When you start a new business, you will invariably decide that you need help. Most small business owners start out by hiring outside contractors to do work for them, but at some point, you may decide to hire an employee or two. This article discusses the advantages and disadvantages of hiring employees vs. independent contractors.

Employee vs. Independent Contractor Status

For a summary of AB5, information on how to determine if you or your business are affected, current exemptions that apply to artists, non-profits and art organizations and more, see our About AB5.

Additional links: 
California State Assembly AB5 fact sheet (updated September 2019)Latest AB5 News

Labor & Workforce Development Agency AB5 FAQ

State of California, Department Of Industrial Relations

Establish a sole proprietorship in California

Los Angeles: Jackson Lewis: Adam.Siegel@jacksonlewis.com
Los Angeles: Baker, Keener & Nahra, LLP, Derrick Lowe dlowe@bknlawyers.com

Monterey: Fenton & Keller, Sara B. Boyns sboyns@fentonkeller.com www.fentonkeller.com

Oakland: BOGATIN, CORMAN & GOLD, MJ Bogatin, Bogatin@bcgattorneys.com

Orange County: Manatt, Michael E. Olsen: MOlsen@manatt.com

Sacramento: Bryan Hawkins: bryan.hawkins@stoel.com

San Diego: Brown Law Group, Arlene Yang: Yang@brownlawgroup.com

California Lawyers for the Arts, referral service: https://www.calawyersforthearts.org/

Human Resources, Employment Resources & Employment Lawyers

The California Supreme Court established the Borello test in S.G. Borello & Sons, Inc. v. Dept. of Industrial Relations in 1989. This test relies upon multiple factors to make the determination of whether a worker is properly classified, including whether the potential employer has control over the manner and means of accomplishing the result desired, although such control need not be direct, actually exercised, or detailed. This factor, which is not dispositive, must be considered along with other factors, which include: […]

Single Engagement Business to Business Exemption Checklist- AB 2257

The ABC test does not apply if an individual acting as a sole proprietor, or a business entity formed as a partnership, limited liability company, limited liability partnership, or corporation (“service provider”) provides services to clients through a referral agency. Instead, the workers classification as an employee or independent contractor of the referral agency shall be governed by Borello, if the referral agency demonstrates that all of the following criteria are satisfied: […]

AB 2257- Referral Agency and Service Provider Exemption Analysis

AB 2257 – Protecting Workers, Businesses, and Taxpayers Against Misclassification

In response to the AB5 crisis affecting artists and arts organizations, CFTA members and colleagues California Lawyers for the Arts (CLA) has created a toolkit, "Life After AB5" that describes the legal background of this law and various options that employers and the artists they work with can consider going forward.

An extensive toolkit published on February 1, 2020 by California Lawyers for the Arts, compiled and edited by: M.J. Bogatin, Kyle Kate Dudley and Alma Robinson, with research assistance from Sanam Rafiq

This document covers the following topics:

Negative outcomes of being an independent contractor

Positive outcomes of being an independent contractor.

AB 2257 – Professional Services Independent Contractor Checklist

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