Bill requires small business presence on comp fund board

The California Senate passed a bill Monday that would require the governor to appoint a small-business owner to the State Compensation Insurance Fund board of directors.

The member would “ideally offer practical advice on the role that workers compensation has on small businesses across” California, according to a statement from Assemblyman Chris Holden’s office last month. The Senate passed Assembly Bill 61, sponsored by Mr. Holden, D-Pasadena, with a 38-0 vote. 

Under the current law, the board consists of 11 members, nine of which are appointed by the governor. A.B. 61 would require that the governor appoint one current or former small-business owner who is or has been a small-business owner for more than five years. The bill also specifies that the person be a State Compensation Insurance Fund policyholder and that they be appointed to the first board vacancy that is not left by the labor member or the member with an auditing background, according to the bill’s latest text.