Chapter 6. Division of Labor Standards Enforcement
Subchapter 11. Car washing and polishing

§13682. Conditions for Registration, Initial and Renewal.

The Labor Commissioner may not register an employer, either initially or as a renewal, until the employer fully satisfies all conditions of registration, including the following:

(a) The employer completes, signs, and submits the application form provided by the Labor Commissioner, "Car Washing and Polishing Registration Application" [DLSE 666 (09/05)], which is hereby incorporated by reference. The employer shall sign the application and certify, under penalty of perjury, that the information he, she, or it has provided on the application form and in any supplementary documents or information submitted by the employer in support of the application is true and correct. Information required on the application includes the following:

(1) Whether the applicant is permissively self-insured against liability to pay workers' compensation insurance claims as described in subdivision (d)(1) of this section;

(2) An indication as to whether the employer's form of legal entity is one of the following:

(A) Sole proprietorship;

(B) General partnership;

(C) Limited partnership;

(D) Limited liability company; or,

(E) Corporation;

(3) The residential address and home telephone number of every person listed on the form, "Car Washing and Polishing Registration Application" [DLSE 666 (09/05)] as having any one of the following positions, titles, responsibilities, or interests:

(A) Sole proprietor;

(B) General partner;

(C) Limited partner;

(D) Limited liability company member;

(E) Corporate officer;

(F) A person who exercises management responsibility in the employer's business, regardless of the form of legal entity; or,

(G) A person, except bona fide employees, who has a financial interest of 10 percent or more in the employer's business, regardless of the form of legal entity.

(4) If a corporation or limited liability company, the name and business address of the agent for service of process;

(5) Whether the employer or any person having a position, title, responsibility, or interest identified in subparagraphs (A) through (G) of paragraph (3) of subdivision (a) of this section and who is so identified on the form "Car Washing and Polishing Registration Application" [DLSE 666 (09/05)] owes an employee any unpaid wages, and if so, the employee's name, residential address, residential telephone number, amount of wages owed, and a description of any existing payment arrangements;

(6) Whether the employer or any person having a position, title, responsibility, or interest identified in subparagraphs (A) through (G) of paragraph (3) of subdivision (a) of this section and who is so identified on the form "Car Washing and Polishing Registration Application" [DLSE 666 (09/05)] has any unpaid judgments outstanding, and if so, the name, address and telephone number of the judgment creditor, the amount owed, and a description of any existing payment arrangements;

(7) Whether the employer or any person having a position, title, responsibility, or interest identified in subparagraphs (A) through (G) of paragraph (3) of subdivision (a) of this section and who is so identified on the form "Car Washing and Polishing Registration Application" [DLSE 666 (09/05)] has an outstanding lien or lawsuit pending in court against him, her, or it, and if so, the name, address and telephone number of the lienholder or opposing party, the type of lien or nature of the lawsuit, the location of the court where the case is pending, and the current status of the lien or lawsuit;

(8) Whether the employer or any person having a position, title, responsibility, or interest identified in subparagraphs (A) through (G) of paragraph (3) of subdivision (a) of this section and who is so identified on the form "Car Washing and Polishing Registration Application" [DLSE 666 (09/05)] owes any payroll taxes, personal, partnership, or corporate income taxes, social security taxes, or disability insurance contributions, and if so, the type of tax or contribution owed, the agency to whom the tax or contribution is owed, the amount owed, and a description of any payment arrangements;

(9) Whether the employer or any person having a position, title, responsibility or interest identified in subparagraphs (A) through (G) of paragraph (3) of subdivision (a) of this section and who is so identified on the form "Car Washing and Polishing Registration Application" [DLSE 666 (09/05)] has ever been cited or assessed a penalty for violating any provision of the California Labor Code or an order of the Industrial Welfare Commission regulating wages, hours and working conditions, and if so, the name of the person or business, or both, that was cited or assessed, the date, nature, and amount of the citation or assessment, the disposition of the citation or assessment, if any, whether or not an appeal challenging the citation or assessment was filed, and if so, whether the citation or assessment was upheld on appeal, and if upheld, whether the citation or assessment has been paid, and if paid, the date on which it was paid;

(b) The employer obtains a surety bond ensuring the payment of wages, interest on wages, gratuities, and fringe benefits of its employees.

(1) Except as provided in paragraph (3) of subdivision (b) of this section, the bond shall be in the principal sum equal to fifteen thousand dollars ($15,000.00).

(2) The bond must be issued by a surety company licensed to do business in the State of California, and the original bond must be filed with the Labor Commissioner along with the application for registration. The bond must be in favor of, and payable to the "People of the State of California," and be for the benefit of any employee damaged by his or her employer's failure to pay wages, interest on wages, or fringe benefits, or damaged by a violation of Labor Code Section 351(gratuities) or 353 (accurate record keeping of gratuities), or both. The bond shall be on a form provided by the Labor Commissioner, "Car Wash Bond" [DLSE 668 (09/05)], which is hereby incorporated by reference.

(3) The Labor Commissioner may determine that the principal sum of the surety bond be an amount greater than that described in paragraph (1) of subdivision (b) of this section. If the Labor Commissioner makes such a determination, he or she will serve written notice of the increased amount on the employer at least 30 calendar days prior to the date. Service of the notice may be by regular first-class mail. Factors the Labor Commissioner may consider in determining that a surety bond be in an amount greater than that described in paragraph (1) of subdivision (b) of this section include, history of violations including matters such as wage claims, orders, decisions, or awards of the Labor Commissioner, final determinations of the Labor Commissioner in retaliation or discrimination complaints, and final judgments of any type against the employer, and the size of the employer's business, including number of employees and/or branch locations.

(c) The employer presents the Labor Commissioner, along with the application for registration, with proof of compliance with the local government's business licensing or regional regulatory requirements. For purposes of this subdivision, "proof of compliance with the local government's business licensing or regional regulatory requirements" includes a copy of the employer's business license issued by the local government's business licensing or regional regulatory authority, or both, and such other licenses or permits required by those authorities in order for the employer to operate a car washing and polishing business in that jurisdiction.

(d) The employer presents the Labor Commissioner along with the application for registration with either of the following:

(1) A copy of the certificate from the Director of the Department of Industrial Relations consenting to the employer being self-insured against liability to pay compensation under the State's workers' compensation laws either as an individual employer, or as one employer in a group of employers; or,

(2) A certificate of insurance evidencing that a current workers' compensation insurance policy issued by an insurance company licensed to do business in the State of California is in effect for its employees.

(e) The employer completes and submits to the Internal Revenue Service, the form entitled, "Tax Information Authorization." Form 8821 (4/04), Department of Treasury, Internal Revenue Service. The applicant must submit the completed form to the address of the Internal Revenue Service specified on that form. The Labor Commissioner will provide this form to all persons who are sent the "Car Washing and Polishing Registration Application" [DLSE 666 (09/05)] or to any person who makes a written or oral request to the office of the Labor Commissioner for a copy of Form 8821 (4/04).

(f) The employer presents the Labor Commissioner, along with the application for registration, with payment of the annual registration fee and annual assessment established pursuant to Labor Code subsections 2059(a) and (b), respectively.

(g) The employer has fully complied with any citation issued by the Labor Commissioner after the citation is final and has been served on the employer.

(h) The employer presents the Labor Commissioner, along with the application for registration, with a complete registration packet.

Note: Authority cited: Sections 55, 59, 95 and 98.8, Labor Code. Reference: Sections 2054, 2055, 2059, 2060, 2061 and 2062, Labor Code.

HISTORY

1. New section filed 11-22-2005; operative 12-22-2005 (Register 2005, No. 47).