BILL ANALYSIS                                                                                                                                                                                                    



                                                                           
           AB 60
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          CONCURRENCE IN SENATE AMENDMENTS
          AB 60 (Cedillo)
          As Amended September 13, 2001
          Majority vote
           
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          |ASSEMBLY:  |53-20|(June 7, 2001)  |SENATE: |22-7 |(September 14, |
          |           |     |                |        |     |2001)          |
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           Original Committee Reference:    TRANS.  

           SUMMARY :  Modifies the requirement for driver's license and  
          identification card applicants to establish their lawful  
          presence and to provide social security numbers (SSN) to the  
          Department of Motor Vehicles (DMV).

           The Senate amendments  :

          1)Require DMV applications for driver's licenses and  
            identification (ID) cards to allow for the submission of a  
            federal taxpayer ID number in lieu of an SSN.

          2)Prohibit DMV from including an applicant's SSN or federal  
            taxpayer ID number on any DMV document.

          3)Prohibit DMV from disclosing an applicant's SSN or federal  
            taxpayer ID number except to respond to federal agencies, the  
            State Controller or the Franchise Tax Board (FTB) for  
            specified purposes.

          4)Require driver's license applicants to furnish an SSN or any  
            other number or identifier determined to be appropriate by  
            DMV.  The use of such alternative identifiers must be  
            accompanied by an affidavit signed by the applicant that he or  
            she does not possess an SSN.

          5)Require a driver's license applicant who has submitted a  
            federal taxpayer ID number or other identifier in lieu of an  
            SSN to provide his or her SSN to DMV upon obtaining one.

          6)Require DMV to require driver's license and ID card applicants  
            to offer proof of their identity prior to completing an  
            application








                                                                           
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          7)Require driver's license and ID card applicants to either  
            establish their lawful presence in the United States or show  
            documentation that they have initiated steps to obtain lawful  
            immigration status.

          8)Prohibit DMV from completing a driver's license application  
            that does not include a SSN or alternative documentation  
            required by this bill.

          9)Require applicants for commercial driver's licenses to include  
            their SSNs in their applications.

          10)Require DMV to adopt regulations to establish a hearing  
            process for appeals stemming from driver's license and ID card  
            denials.  The regulations would also establish methods for DMV  
            to verify ID documents provided by applicants.

          11)Require DMV annually to report to the Governor and  
            Legislature on the cost of verifying the citizenship or legal  
            residency of driver's license and ID card applicants.

          12)Provide that the inability to obtain a license does not  
            excuse a driver from any of his or her other legal  
            obligations.

          13)Require DMV to develop regulations regarding the issuance,  
            reissuance, and extension of temporary licenses.

           EXISTING LAW  requires applicants for drivers' licenses and  
          identification cards to provide their SSNs and proof of their  
          legal presence to DMV.  DMV is required to verify applicants'  
          legal presence.  Pending that verification, DMV issues a  
          temporary license.

           AS PASSED BY THE ASSEMBLY  , this bill:  

          1)Repealed the requirement that driver's license and  
            identification card application forms provide a section for  
            listing the applicant's SSNs.

          2)Repealed the prohibition against DMV completing an application  
            for a driver's license or identification card for an applicant  
            who has failed to furnish a SSN.








                                                                           
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          3)Repealed conforming sections proscribing the use by DMV of  
            SSNs obtained from applicants.

          4)Repealed one of two Vehicle Code provisions requiring a  
            driver's license applicant to provide his or her SSN on the  
            application.

          5)Allowed a driver's license applicant, in lieu of submitting a  
            SSN to, instead, submit a taxpayer identification number or  
            another identifier determined to be appropriate by DMV and to  
            sign an affidavit that he or she does not possess a SSN.  The  
            submission of such an identifier will be deemed the equivalent  
            of providing a SSN.

          6)Prohibited information relating to SSNs from being displayed  
            on a driver's license.

          7)Required DMV to require that applicants for driver's licenses  
            and identification cards either:  a) establish their lawful  
            presence in the United States; or, b) show documentation of  
            their application or petition for lawful immigration status or  
            extension of legal presence.

          8)Provided that any applicant for a driver's license who does  
            not have a SSN or is in the process of obtaining lawful  
            immigration status shall be issued a license or identification  
            card for a term of three years.

          9)Prohibited DMV, its employees, and its agents from disclosing  
            any information regarding an applicant's SSN or lack of a SSN,  
            except as permitted by state or federal law or upon request  
            from FTB for tax administration and non-tax debt collection  
            purposes.

          10)Repealed provisions requiring DMV to verify applicants' legal  
            presence in the United States and to submit an annual  
            supplemental budget report detailing their costs of verifying  
            applicants' citizenship or legal residency status.

          11)Repealed provisions prohibiting peace officers from detaining  
            or arresting persons solely on the belief that they are  
            unlicensed drivers.









                                                                           
           AB 60
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          12)Repealed the requirement that the driver's license of a legal  
            nonimmigrant be limited to a 90-day term.

          13) Required applicants for original commercial drivers'  
            licenses to include their SSNs on the application.

           FISCAL EFFECT  :  According to the Senate Appropriations Committee  
          analysis, DMV will save $49,000 in fiscal year (FY) 2001-02,  
          followed by annual savings of $660,000 beginning in FY 2002-03.   
          However, the Department of Social Services (DSS) may suffer an  
          annual multimillion-dollar loss in federal child support  
          funding.

           COMMENTS  :  This bill is a reintroduction of last year's AB 1463  
          (Cedillo).  That bill was vetoed by the Governor, who said,  
          "Requiring the DMV to issue a driver's license or ID card merely  
          on the basis of the applicant providing a 'receipt' from the INS  
          that an application or petition for lawful immigration status  
          has been initiated is an invitation for fraud.  Moreover, the  
          states of Arizona, Florida, New Mexico, and Texas all require  
          that a social security number be provided to their Department of  
          Motor Vehicles.  California should not embrace a weaker standard  
          than those imposed by other southern border states.  While I  
          applaud the public safety concerns this bill seeks to address,  
          it ignores the fact that California has made substantial efforts  
          to make the driver's license a more secure form of  
          identification.  There is no question that a driver's license is  
          often the key document used to acquire other documentation and  
          to qualify for various services and services."

          The author cites the following reasons for this bill, including  
          that:  1) unlicensed drivers endanger the public safety; 2)  
          operating a motor vehicle is an important key to participating  
          in the state's economy; 3) vehicle liability insurance coverage  
          is unavailable to an unlicensed driver; and, 4) the existing  
          license requirements "have created an unfair and unjust crisis  
          that severely curtails economic growth and productivity."  The  
          California Catholic Conference adds that immigrants are fearful  
          of contacts with government agencies and that "unless a clear  
          distinction between the INS and the DMV is drawn for immigrants,  
          the agencies will remain a blur and immigrants will avoid  
          dealings with DMV."  The American Insurance Association further  
          points out that, under current law, individuals who are  
          registered with the Immigration and Naturalization Service (INS)  








                                                                           
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          are effectively legal residents until the INS rules otherwise.   
          Yet they are unable to acquire a driver's license and,  
          consequently, cannot obtain insurance if they wish to drive in  
          California.

          The current statute requiring applicants for drivers' licenses  
          to produce documentation of citizenship or legal residence was  
          enacted by SB 976 (Alquist), Chapter 820, Statutes of 1993.  SB  
          976 was designed to make the driver's license a more secure form  
          of identification with the intent of preventing undocumented  
          immigrants from being licensed or obtaining identification  
          cards.  The sponsors asserted that the driver's license was a  
          "breeder" document that is used to acquire other documentation  
          and qualifying status for a variety of public services and  
          programs.  They further contended that it would improve the  
          uninsured motorist problem, reduce fraudulent applications for  
          government programs, discourage undocumented immigrants from  
          operating a motor vehicle, and generally act as a deterrent to  
          illegal immigration.

          The provision requiring DMV to obtain the SSN from each person  
          registering a vehicle or applying for a driver's license was  
          enacted by AB 1297 (Isenberg), Chapter 90, Statutes of 1991.  SB  
          1297 was designed to provide enhanced ability to check for  
          uncleared traffic violations and unpaid fees. 

          SSNs collected by DMV are used for internal operations and  
          responsibilities, but are also made available to DSS, FTB, and  
          the Board of Equalization (BOE) for purposes of enforcing child  
          support orders.  AB 257 (Speier), Chapter 481, Statutes of 1995,  
          enacted the provision that provides for the enforcement of child  
          support orders.  AB 257 allows a driver's license to be revoked  
          if child support is delinquent for 30 calendar days.  After 30  
          days, the violator of his or her child support agreement has 150  
          days to fulfill the agreement.  After 150 days, the license must  
          be revoked.

          Additionally, the federal Child Support Performance and  
          Incentive Act of 1998 requires states to have a database  
          available to the federal government which contains SSNs.   
          Failure to collect and secure SSNs could result in the  
          withholding of funds by the U.S. Department of Health and Human  
          Services.









                                                                           
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          In 1999, the Legislature passed SB 371 (Solis), which would have  
          required that every applicant for an original driver's license  
          or identification card submit proof of legal presence in the  
          United States.  Under SB 371, once proof of legal presence was  
          submitted, further verification would have been required only if  
          supporting documents appeared to be fraudulent.  The Governor  
          vetoed SB 371, noting that "California has made substantial  
          efforts to make the driver's license a more secure form of  
          identification, as it is often a key document used to acquire  
          other documentation and to qualify for various services and  
          privileges."  He asserted that an effect of the bill be  
          "weakening a key element of California's anti-fraud efforts." 
           

          Analysis Prepared by  :  Howard Posner / TRANS. / (916) 319-2093 


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