When Does Prop. 22 Take Effect?

With the adoption of Proposition 22 by the statewide electorate on November 3, questions have arisen regarding when the measure’s numerous provisions take effect. While Prop. 22 does not have a section specifying effective and operative dates, there are dates scattered among half a dozen of the ballot measure’s provisions.

As a general matter, the effective date of Prop. 22 itself is governed by Section 10 of Article II of the state Constitution that specifies, “(a) An initiative statute or referendum approved by a majority of votes cast thereon takes effect on the fifth day after the Secretary of State files the statement of the vote for the election at which the measure is voted on, but the measure may provide that it becomes operative after its effective date.”

According to the California Secretary of State, “The Statement of Vote reports the county-by-county votes cast for each candidate and measure on the ballot. In a statewide contest such as Governor, the vote is reported by all 58 counties and listed in alphabetical order with the statewide total at the bottom.” The Secretary of State is expected to issue the Statement of Vote on December 12. Assuming that date, then Prop. 22 takes effect on December 17.

There are six sections added to the Labor Code by Prop. 22 that specify dates. First, new Labor Code Section 7459, which concerns safety training, provides that any app-based driver that has entered into a contract with a network company prior to January 1, 2021 to provide rideshare services or delivery services has until July 1, 2021 to complete the safety training required by this section.

Second, new Section 7453(d)(4)(B)(ii), which concerns vehicle expenses, provides that, after the effective date of this chapter and for the 2021 calendar year, the per-mile compensation for vehicle expenses is thirty cents ($0.30) per engaged mile. For calendar years after 2021, the amount per engaged mile shall be adjusted pursuant to clause (iii).

Third, new Section 7454(g), which concerns health coverage, provides that, on or before December 31, 2020, and on or before each September 1 thereafter, Covered California shall publish the average statewide monthly premium for an individual for the following calendar year for a Covered California bronze health insurance plan.

Fourth, new Section 7464(c), which concerns local ordinances, provides that, notwithstanding subdivision (b), nothing in this section shall limit a local government’s ability to adopt local ordinances necessary to punish the commission of misdemeanor and felony crimes or to enforce local ordinances and regulations enacted prior to October 29, 2019

Fifth, new Section 7464.5(f), which concerns payment transactions, provides that this section shall apply to reportable payment transactions occurring on or after January 1, 2021.

Sixth, new Section 7465, which concerns amending Prop. 22, provides that no statute enacted after October 29, 2019, but prior to the effective date of this chapter, that would constitute an amendment of this chapter, shall be operative after the effective date of this chapter unless the statute was passed in accordance with the requirements of this subdivision.