BILL NUMBER: AB 2736 CHAPTERED 08/28/06 CHAPTER 169 FILED WITH SECRETARY OF STATE AUGUST 28, 2006 APPROVED BY GOVERNOR AUGUST 28, 2006 PASSED THE ASSEMBLY AUGUST 10, 2006 PASSED THE SENATE JUNE 29, 2006 AMENDED IN SENATE JUNE 7, 2006 INTRODUCED BY Assembly Member Niello FEBRUARY 24, 2006 An act to amend Sections 1651.5 and 4601.5 of, and to add Section 9559.5 to, and to add Article 5 (commencing with Section 8100) to Chapter 4 of Division 3 of, the Vehicle Code, relating to vehicles. LEGISLATIVE COUNSEL'S DIGEST AB 2736, Niello Vehicles: apportioned registration. (1) Under existing law and except as otherwise provided a vehicle registration and registration card expires at midnight on the expiration date designated by the Director of Motor Vehicles and is required to be renewed prior to the expiration of the registration year under a year-round registration scheme. Under existing law, a vehicle registered pursuant to the International Registration Plan and a vehicle registered under the Partial Year Registration Program expire at midnight of December 31 of the registration year. This bill would delete the provision requiring a vehicle that is registered under the International Registration Plan be assigned a midnight December 31 registration expiration date. Instead, in order to implement a year-round registration, the bill, on or before January 1, 2009, would require the Director of Motor Vehicles to assign or reassign dates for the expiration of registration for these vehicles. The bill would allow the director to implement this change to use the practices and procedures currently applicable to the registration of other vehicles. The bill would require the Director of Motor Vehicles to adjust annual registration fees, as specified, when, by reason of the assignment or reassignment of a renewal registration date, the registration year is less than, or more than, 12 months. (2) Existing law provides for apportioned registration of vehicles. This bill would require an application for apportioned registration received on and after January 1, 2008, to contain the United States Department of Transportation number, and taxpayer identification number which consists of the federal employer identification number or the social security account number. The bill would provide that the taxpayer identification number is confidential and would prohibit its disclosure by the department except to law enforcement or a federal agency, or as provided by law. The bill would specify grounds for the department to refuse an application for apportioned registration, and would provide for the suspension of the apportioned registration of a vehicle or fleet, when the person responsible for the safety of the vehicle or fleet is prohibited from operating in interstate commerce by a federal agency. The bill would restrict, as specified, the operation of a vehicle or fleet when the apportioned registration is suspended. The bill would require, among other things, that before an apportioned registration may be reissued after a suspension has been terminated, there shall, in addition to any other fees required, be paid a fee of $150. Because a violation of these provisions would be crimes under related provisions of existing law, this bill would impose a state-mandated local program. (3) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 1651.5 of the Vehicle Code is amended to read: 1651.5. (a) The director may assign or reassign dates for the expiration of registration for a vehicle registered pursuant to this code. The director may establish a registration year for any vehicle consisting of any period from seven months to 18 months, inclusive, with subsequent renewals being required at yearly intervals thereafter. The director shall assign an expiration date of the last day of the calendar month to all trailers and to all motor vehicles subject to additional fees under the provisions of Section 9400. Any vehicle being registered on a quarterly basis shall be assigned or reassigned an expiration date of December 31 for the registration year. The director shall have the authority to exclude from year-round registration any type of vehicle that the director deems appropriate for exclusion. (b) In order to implement a year-round registration for vehicles registered pursuant to the International Registration Plan as described in Article 4 (commencing with Section 8050) of Chapter 4 of Division 3, the director, on or before January 1, 2009, shall assign or reassign a date for the expiration of registration of those vehicles described in this subdivision and may utilize the applicable practices and procedures set forth under subdivision (a) in order to implement this subdivision. SEC. 2. Section 4601.5 of the Vehicle Code is amended to read: 4601.5. Notwithstanding Section 4601, the registration for vehicles registered pursuant to the Partial Year Registration Program as described in Article 5 (commencing with Section 9700) of Chapter 6 of Division 3, expires at midnight of December 31 of the registration year. However, for the purposes of applying any future reductions or increases in the vehicle license fee, the vehicle registrations subject to this section shall be deemed to have a final expiration date in the succeeding calendar year. SEC. 3. Article 5 (commencing with Section 8100) is added to Chapter 4 of Division 3 of the Vehicle Code, to read: Article 5. Federal Motor Vehicle Safety Program 8100. An application for apportioned registration received on and after January 1, 2008, and filed pursuant to Article 4 (commencing with Section 8050) shall contain the following information: (a) The United States Department of Transportation Number issued to the person responsible for the safe operation of each vehicle being registered. (b) The taxpayer identification number corresponding to the United States Department of Transportation number provided in the apportioned registration application. The taxpayer identification number may consist of the federal employer identification number or the social security number, as applicable. (c) Notwithstanding any other provision of law, the taxpayer identification number provided pursuant to this section is confidential and shall not be disclosed by the department except to law enforcement or a federal agency, or as required by law. 8101. In addition to the reasons specified in Section 4750 or 4751, the department shall refuse an application for apportioned registration for the following grounds: (a) The applicant has failed to furnish the department with information required in the application under Section 8100. (b) The person responsible for the safety of the vehicle or fleet is prohibited from operating in interstate commerce by a federal agency. 8102. (a) In addition to the reasons specified in Section 8800, the department may suspend the apportioned registration of a vehicle or a fleet, when the person responsible for the safety of the vehicle or a fleet of vehicles is prohibited from operating in interstate commerce by a federal agency. (b) Whenever the department suspends the apportioned registration of a vehicle or a fleet pursuant to subdivision (a), the department may refuse the issuance of vehicle registration as authorized pursuant to Section 4751. (c) Whenever the department suspends the apportioned registration under subdivision (a), the department shall furnish the person responsible for the vehicle or fleet with written notice of the suspension. (d) When an apportioned registration is suspended pursuant to this section, and that suspension is based wholly or in part on the failure of the person to maintain a vehicle or a fleet in safe operating condition, the person to whom the registration was issued shall not lease, or otherwise allow, another person to operate a vehicle that is subject to the suspension during the period of the suspension. (e) A person shall not knowingly lease, operate, dispatch, or otherwise utilize a vehicle from another person whose apportioned registration is suspended, when that suspension is based wholly or in part on the failure of the person to maintain a vehicle or a fleet in safe operating condition. (f) The apportioned registration of a vehicle or a fleet, that was suspended because the vehicle or fleet is prohibited from operating in interstate commerce by a federal agency may be reinstated upon notification from the federal agency that the prohibition has been lifted. (g) Notwithstanding any other provision of this code, before an apportioned registration may be reissued after a suspension is terminated, there shall, in addition to other fees required by this code, be paid to the department a fee of one hundred fifty dollars ($150). This fee shall be deposited in the Motor Vehicle Account to cover the department's cost of administering this program. 8103. Notwithstanding any other provision of this code, a hearing shall not be provided when the suspension is based solely on notification by a federal agency that interstate operation is prohibited. 8104. Except as provided in subdivision (e), a vehicle or a fleet for which the apportioned registration has been suspended pursuant to this article shall not be operated in interstate or intrastate commerce unless evidence is provided to the department that the vehicle or the fleet is to be operated by a person whose apportioned registration is not subject to a suspension pursuant to this article and who has a valid apportioned registration pursuant to Article 4 (commencing with Section 8050) or Division 14.85. SEC. 4. Section 9559.5 is added to the Vehicle Code, to read: 9559.5. When, by reason of the assignment or reassignment of a renewal registration date by the director, the registration year is less than, or more than, 12 months, the fee due for that renewal shall be decreased or increased by one-twelfth of the annual fee for each month of the period less than, or in excess of, 12 months. SEC. 5. No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.