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AB-2197 • 2026

School employees: solicitation: financial services or products.

School employees: solicitation: financial services or products.

Education Labor
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Valencia
Last action
2026-04-15
Official status
In committee: Set, first hearing. Hearing canceled at the request of author.
Effective date
Not listed

Plain English Breakdown

Checked against official source text during the last sync.

Rules for Selling Financial Services at Schools

This law stops school districts and charter schools from letting people sell financial services like insurance or loans directly to teachers unless certain rules are followed.

What This Bill Does

  • It says that schools cannot let people come in and try to sell things like insurance, loans, or other money-related services to employees without following strict rules.
  • The law requires anyone selling these services to show proof of their business and license before they can talk to teachers about buying something.
  • Sellers must tell the truth about what they are offering and cannot give gifts or special deals to make people buy from them.
  • It also says that sellers cannot wear uniforms or use signs that might trick employees into thinking they work for someone else.

Who It Names or Affects

  • School districts, county offices of education, and charter schools
  • People who sell financial services like insurance or loans

Terms To Know

inducement
Something given to make someone want to buy something, like a gift or special deal.
solicitation
Trying to sell something by talking directly to people.

Limits and Unknowns

  • The bill does not say what happens if someone breaks these rules.
  • It is unclear how schools will enforce the new requirements for sellers.

Bill History

  1. 2026-04-15 California Legislative Information

    In committee: Set, first hearing. Hearing canceled at the request of author.

  2. 2026-04-06 California Legislative Information

    In committee: Hearing postponed by committee.

  3. 2026-03-16 California Legislative Information

    Referred to Coms. on ED. and INS.

  4. 2026-02-20 California Legislative Information

    From printer. May be heard in committee March 22.

  5. 2026-02-19 California Legislative Information

    Read first time. To print.

Official Summary Text

AB 2197, as introduced, Valencia.
School employees: solicitation: financial services or products.
Existing law establishes a system of public elementary and secondary education in this state. Under this system, local educational agencies employ personnel to provide instruction to pupils in kindergarten and grades 1 to 12, inclusive, at schoolsites throughout the state.
This bill would prohibit a school district, county office of education, or charter school from permitting solicitation of financial services or products on a schoolsite to school employees unless specified conditions are met, including, among others, requiring the representative to follow security measures and provide evidence of their business and license status, as provided. The bill would prohibit a representative from providing any inducement, as defined, to school employees and would require the representative to provide certain verbal and written disclosures at the
beginning and end of each solicitation, as provided. The bill would prohibit a representative or business from using graphics, uniforms, or other items that could reasonably lead an employee to believe the representative is affiliated with a different business or agency. The bill would also require any solicitation conducted through electronic mail to include certain words, as provided.

Current Bill Text

Read the full stored bill text
Download Bill PDF