CA AB1231

Authorizes courts to grant pretrial diversion for certain felony offenses punishable under Penal Code Section 1170(h) or as "wobblers" (misdemeanor or up to 3 years in state prison), excluding serious felonies, violent felonies, offenses causing great bodily injury, firearm use, sex offenses requiring registration, domestic violence, and stalking

Requires courts to find that the diversion plan mitigates unreasonable risk to public safety and that the defendant is likely to benefit from proposed services before granting diversion

Allows diversion periods of up to 24 months with individualized plans including terms, conditions, programs, and services; progress reports must be submitted at least every three months to the court, defense, and prosecution

Permits courts to reinstate criminal proceedings if the defendant is charged with a felony or violence-related misdemeanor while on diversion, or if the defendant shows repeated or significant noncompliance with the diversion plan

Mandates dismissal of criminal charges and sealing of arrest records upon successful completion of diversion, with the arrest deemed never to have occurred; unpaid restitution due to indigence cannot be grounds for denial or failure finding