Regulatory Changes

This document was last updated May 8, 2018.

Escape Technology is dedicated to ensuring that our software meets all State, Federal and other reporting requirements. The following is a list of upcoming regulatory changes, how we plan to address the changes, and what the timeline is for implementing the changes.

2018 REGULATORY CHANGES PLANNED AND IN PROGRESS

Union Reporting and Opt Out flag (CR 17386)

Per AB119, public employees must be provided with bargaining unit representative information within 30 days of being hired. In addition, the employer must also provide the representative with information for all employees in the bargaining unit at least every 120 days, unless more frequent or more detailed lists are required by an agreement with the exclusive representative. 

Employees have a right to opt-out of providing personal information (i.e,. home phone number, cell phone number, personal email address, and home address. For more information about the bill, please see the California Legislature site or the California Labor Blog.

What is the deadline?

The bill was signed into law on June 27, 2017.

What is changing in Escape Online?

Escape has been working with customers -- during the 2017 Beyond Escape User Conference and using the Basecamp feedback tool -- to create a report, including an "opt out" mechanism, that will generate the necessary information that can be distributed to employees and bargaining unit representatives. An opt-out flag will be added to the Employee record and a report will be created for distributing the appropriate information to the unions.

When will the changes in Escape Online be ready?

The flag became available in Release 18.01. The report will be delivered in 2018. In the meantime, the required notification can be administered manually.


Risk Assessment Questionnaire & Certificate of Completion report (CR 14710)

While we have added the fields to the Employee record for tracking immunization, we feel that customers would benefit from a standard report for questioning employees per AB1667 - Tuberculosis testing in schools. For more information about the bill, please see the California Legislature site.

What is the deadline?

The bill has been signed into law and tracking can be accomplished in Escape Online. The required questionnaire can be administered by paper currently, so there is no current deadline.

What is changing in Escape Online?

Escape Online will create a new report that mimics the state report and allow for it to be delivered to employees electronically.

When will the changes in Escape Online be ready?

This will be scheduled at a future date.


2019 REGULATORY CHANGES PLANNED AND IN PROGRESS

Gender Reconciliation Act (CR 17285)

Per SB179, the State of California will provide three equally recognized gender options on state-issued identification documents—female, male, and nonbinary. For more information about the bill, please see the California Legislature site.

What is the deadline?

The bill was signed into law on October 15, 2017. The gender options are required to be in place by January 1, 2019.

What is changing in Escape Online?

Escape will add the nonbinary option to the Gender lookup in the Employee, Credential Holder and Person records. In addition, search forms and reports will be updated as appropriate.

When will the changes in Escape Online be ready?

The changes to the records and searches are scheduled for Release 18.03. We are reviewing reports and scheduling as needed.


2020 Regulatory Changes Planned

STRS Pension Solution Project (CR 15962)

CalSTRS has undertaken a replacement of their current legacy pension administration and auxiliary systems (START). The goal of the replacement is to ensure CalSTRS has a pension system with enough flexibility to quickly respond to business changes. For more information, please see the Powerpoint handout from STRS.

What is the deadline?

STRS is using a multi-year phase approach, with full implementation by the year 2020.

What is changing in Escape Online?

Escape Online will change the STRS processing to create multiple regular files in same month, phasing out supplemental files.

When will the changes in Escape Online be ready?

We will be working closely with STRS and our customers to roll out the new functionality in alignment with STRS.


2022 Regulatory Changes Planned

ACA Excise Tax on High Cost Employer Sponsored Health Coverage (CR 14692)

If the aggregate cost of applicable employer-sponsored coverage provided to an employee exceeds a statutory dollar limit, which is revised annually, the excess is subject to a 40 percent excise tax. This tax is commonly referred to as the Cadillac Tax and is referred to as Section 4980I.

On January 22, 2018, the End The Shutdown Act of 2018 delayed the implementation of the ACA Excise Tax to January 1, 2022. The tax was originally set to take effect in 2018 but was delayed until 2020 under the Consolidated Appropriations Act of 2016.

For more information, please see the IRS ACA Provisions Home Page.

What is the deadline?

Currently, the IRS is in a comment period. This section of IRS Code should not take effect until 2020.

What is changing in Escape Online 5?

We are also in a comment period, gathering information from customers and government agencies.

When will the changes in Escape Online 5 be ready?

This will be scheduled at a future date.


Regulatory changes delivered

2018 Regulatory Changes DELIVERED

  • Opt out flag for Union Employee Information report (AB119) (CR 17547) ~ Delivered 18.01
  • Tax Tables and Supplemental Rates (CR 17646, 17106, 17438) ~ Delivered 18.01
  • New Matrix Errors for STRS Solution Project (CR 17159) ~ Delivered 18.01

2017 Regulatory Changes DELIVERED

  • ACA changes for 2017 (CR 17191, 17200, 17191) ~ Delivered 17.04
  • W2 changes for 2017 (CR 16466) ~ Delivered 17.04
  • PERS mandate of Electronic Fund Payments (CR 16488) ~ Delivered 17.03
  • 1099 changes for 2017 (CR 16469) ~ Delivered 17.02
  • EEOC Assignment Classification (CR 11487) ~ Delivered 17.02
  • Track immunization for influenza, pertussis and measles (CR 16132) ~ Delivered 17.01
  • Allow for filing of prior year ACA manifest and data files (CR 16320) ~ Delivered 17.01 

    2016 Regulatory Changes Delivered

    • ACA 2016 CHANGES (CR 15682) ~ Delivered 16.04
    • New STRS Rates (CR 16021, 16036, 16061) ~ Delivered 16.03
    • W2 2016 Changes (CR 15544) ~ Delivered 16.03
    • 1099 2016 Changes (CR 15841 AND 15445) ~ Delivered 16.03
    • ACA Integrated IRS Filing (CR 14706) ~ Delivered 16.02
    • New Activity for ACA Reporting (CR 14899) ~ Delivered 15.03
    • ACA Snapshot 1095-C - Employer-Provided Health Insurance Offer and Coverage (CR 14704) ~ Delivered 15.03
    • ACA Snapshot 1095-B - Health Coverage (CR 14705) ~ Delivered 15.03
    • ACA Compliance Reporting Setup and Employee Activity (CR 14231, 14531, 14668) ~ Delivered 15.02
    • ACA Compliance Reporting Setup (CR 14501, 14532, 14533, 14535, 14536, 14539) ~ Delivered 15.01

    2015 Regulatory Changes Delivered

    • CTC EXPANDING RECOM-INST (CR 14984, 14985) ~ Delivered 15.03
    • AB2585 - Fiscal51 - remove Dual Budget options from Reporting Period in Section 3 (CR 14828) ~ Delivered 15.03
    • SB854 - Add new fields for DIR registration number, date verified, license type, license number, license expiration to vendor record (CR 14732) ~ Delivered 15.03
    • AB1522 - Two reports for monitoring the Healthy Families Act sick leave (CR 14748, 14754) ~ Delivered 15.03
    • AB1522 (CR 12598, 14374, 14745, 14746) ~ Delivered 15.02
    • Creditable Compensation Regulations (CR 14622) ~ Delivered 15.02
    • AB1667 (CR 14694) ~ Delivered 15.01
    • AB2472 (CR 14526 and 14527) ~ Delivered 15.01
    • 2015 Tax Tables (CR 13571) ~ Delivered January 2015
    • 1099 Combined State Filing Codes (CR 14591) ~ Delivered February 2015
    • AB2472 (CR 14412) ~ Delivered as a patch to 14.03

    Comments are appreciated! Or, if you know of upcoming regulations, send us an email and let us know.