(a) The department shall have the power and duties necessary to administer the enforcement of employer compliance with Title 21 (commencing with Section 100000) of the Government Code.

(b) Each eligible employer that, without good cause, fails to allow its eligible employees to participate in the CalSavers Retirement Savings Program pursuant to Sections 100014 and 100032 of the Government Code, on or before 90 days after service of notice by the director pursuant to Section 1206 of its failure to comply, shall pay a penalty of two hundred fifty dollars ($250) per eligible employee if noncompliance extends 90 days or more after the notice, and if found to be in noncompliance 180 days or more after the notice, an additional penalty of five hundred dollars ($500) per eligible employee.

(c) The department shall enforce this penalty as part of its existing investigation and audit function.

(d) The provisions of this article, the provisions of Article 9 (commencing with Section 1176), with respect to refunds and overpayments, and the provisions of Article 11 (commencing with Section 1221), with respect to administrative appellate review shall apply to the penalty imposed by this section. Penalties collected pursuant to this section shall be deposited in the contingent fund.

(e) If the department participates in the implementation and administration of the program, it may charge the board a reasonable fee for costs it incurs for implementing and administering the program.

(f) This section shall only become operative when both of the following occur:

(1) The board notifies the Director of Employment Development that enforcement should proceed.

(2) The board and the Director of Employment Development agree to a reasonable implementation timeline.

(g) Upon satisfaction of the conditions in subdivision (f), the department shall post on its internet website a notice of the operative date of the section.

(Amended by Stats. 2019, Ch. 24, Sec. 36. (SB 83) Effective June 27, 2019. Section operative on date prescribed in subd. (f).)