BILL NUMBER: AB 787	ENROLLED
	BILL TEXT

	PASSED THE SENATE  AUGUST 25, 2010
	PASSED THE ASSEMBLY  AUGUST 27, 2010
	AMENDED IN SENATE  AUGUST 20, 2010
	AMENDED IN SENATE  JULY 15, 2010
	AMENDED IN SENATE  JUNE 15, 2010
	AMENDED IN SENATE  FEBRUARY 9, 2010
	AMENDED IN ASSEMBLY  JUNE 1, 2009
	AMENDED IN ASSEMBLY  APRIL 15, 2009

INTRODUCED BY   Assembly Member Hill

                        FEBRUARY 26, 2009

   An act to amend Sections 44062.1 , 44062.3, and 44125 of the
Health and Safety Code, relating to air pollution.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 787, Hill. Smog check: vehicle repair assistance and retirement
program.
   (1) Existing law establishes a motor vehicle inspection and
maintenance (smog check) program, developed, implemented, and
administered by the Department of Consumer Affairs (the department).
The duty of enforcing and administering the program is vested in the
Chief of the Bureau of Automotive Repair within the department. The
owner of a motor vehicle that has failed its most recent smog check
inspection has the right to retire the vehicle from operation at a
dismantler under contract with the Bureau of Automotive Repair, and
the department is required to pay this person up to $1,500, or more
if cost effective.
   This bill would instead require the department to pay a person who
retires his or her vehicle $1,500 for a low-income motor vehicle
owner, as defined, and $1,000 for all other motor vehicle owners, and
would authorize additional payments above these amounts based on
consideration of specified criteria. The bill would require the
department to permit vehicle retirement for any motor vehicle that
has been continuously registered in the state for at least 2 years
prior to vehicle retirement, and that fails any type of smog check
inspection lawfully performed in the state.
   Existing law also creates an enhanced fleet modernization program
for the retirement of high polluting vehicles to be administered by
the Bureau of Automotive Repair pursuant to guidelines adopted by the
State Air Resources Board.
   This bill would require retirement payments made pursuant to that
program to also be $1,500 for a low-income motor vehicle owner and
$1,000 for all other motor vehicle owners, and would authorize
additional payments above these amounts based on the same criteria as
in the vehicle retirement program discussed above.
   (2) Existing law provides for a repair assistance program
available to an individual whose maximum income level is 185% of the
federal poverty level, or 225% of the federal poverty level if a
certain determination is made, and who is the owner of a motor
vehicle that has failed a smog check inspection or received a notice
to correct, or an individual who has failed a smog check inspection
and is directed to a test-only facility.
   This bill would make the repair assistance program available only
to low-income individuals whose income does not exceed 225% of the
federal poverty level, as specified. The bill would make other
conforming changes, and delete obsolete provisions of law.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 44062.1 of the Health and Safety Code is
amended to read:
   44062.1.  (a) The department shall offer a repair assistance
program through entities authorized to perform referee functions.
   (b) (1) The repair assistance program shall be available to an
individual who is a low-income motor vehicle owner, and who is either
or both of the following:
    (A) The owner of a motor vehicle that has failed a smog check
inspection.
    (B) The owner of a motor vehicle who was issued a notice to
correct for an alleged violation of Section 27153 or 27153.5 of the
Vehicle Code involving that vehicle, if the vehicle subject to that
notice has failed a smog check inspection subsequent to receiving the
notice.
   (2) The department shall offer repair cost assistance to
individuals based on the cost-effectiveness and air quality benefit
of the needed repair. Repair assistance may include retesting costs
and the costs of repairs to remedy the violation of Section 27153 or
27153.5 of the Vehicle Code.
   (3) An applicant for repair assistance shall file an application
on a form prescribed by the department, and shall certify under
penalty of perjury that the applicant meets the applicable
eligibility standards.
   (4) Verification of income eligibility shall be based on at least
one form of documentation, as determined by the department,
including, but not limited to, (A) an income tax return, (B) an
employment warrant, or (C) a form of public assistance verification.
   (c) The repair assistance program shall be funded by the High
Polluter Repair or Removal Account.
   (d) Repairs to motor vehicles that fail smog check inspections and
are subsidized by the state through the program shall be performed
at a repair station licensed and certified pursuant to Sections 44014
and 44014.2. Repairs shall be based upon a preapproved list of
repairs for cost-effective emission reductions or repairs to remedy a
violation of Section 27153 or 27153.5 of the Vehicle Code.
   (e) The qualified low-income motor vehicle owner receiving repair
assistance pursuant to this section shall contribute a copayment, as
determined by the department, either in cash, or in emissions-related
partial repairs as verified by a test-only station pursuant to
paragraph (2) of subdivision (c) of Section 44015, or a combination
thereof. If the repair cost exceeds the applicable repair cost limit,
the department shall inform a motor vehicle owner of all options for
compliance at the time of testing and repair.
   (f) The department may increase its contribution toward the repair
of a motor vehicle under this program in excess of the amount
authorized for the repair of a high polluter pursuant to paragraph
(1) of subdivision (b) of Section 44094, if the department determines
that the expenditure is cost effective. In determining the
cost-effectiveness of the expenditure, the department shall consider
a failure of the visible smoke test, pursuant to Section 44012.1, and
the costs associated with repairing a smoking vehicle.
    (g) The department shall collect data from the program to provide
information to develop recommendations to improve the program. Data
collection shall include all of the following:
   (1) The number of motor vehicle owners that are eligible for
repair assistance.
   (2) The number of eligible motor vehicle owners that use repair
assistance funds.
   (3) The potential for fraud.
   (4) The average repair bills.
   (5) The types of repairs being done.
   (6) The amount of partial repairs done prior to receipt of repair
assistance.
   (7) The emissions benefits of providing repair assistance.
    (h) For purposes of this section, "low-income motor vehicle owner"
means a person whose income does not exceed 225 percent of the
federal poverty level, as published quarterly in the Federal Register
by the United States Department of Health and Human Services.
  SEC. 2.  Section 44062.3 of the Health and Safety Code is amended
to read:
   44062.3.  (a) The owner of a motor vehicle that has been
continuously registered in the state for at least two years prior to
vehicle retirement, and that has failed the most recent smog check
inspection for that vehicle, may retire the vehicle from operation at
a dismantler under contract with the Bureau of Automotive Repair, at
any time after learning of the smog check failure. The department
shall pay a person who retires his or her vehicle under this section
one thousand five hundred dollars ($1,500) for a low-income motor
vehicle owner, as defined in Section 44062.1, and one thousand
dollars ($1,000) for all other motor vehicle owners. The department
may pay a motor vehicle owner more than these amounts based on
factors, including, but not limited to, the age of the vehicle, the
emission benefit of the vehicle's retirement, the emission impact of
any replacement vehicle, and the location of the vehicle in an area
of the state with the poorest air quality.
   (b) The department shall permit vehicle retirement pursuant to
subdivision (a) for any motor vehicle that has been continuously
registered in the state for at least two years prior to vehicle
retirement, and that fails any type of smog check inspection lawfully
performed in the state.
  SEC. 3.  Section 44125 of the Health and Safety Code is amended to
read:
   44125.  (a) No later than July 1, 2009, the state board, in
consultation with the Bureau of Automotive Repair (BAR), shall adopt
a program to commence on January 1, 2010, that allows for the
voluntary retirement of passenger vehicles and light-duty and
medium-duty trucks that are high polluters. The program shall be
administered by the BAR pursuant to guidelines adopted by the state
board.
   (b) The guidelines shall ensure all of the following:
   (1) Vehicles retired pursuant to the program are permanently
removed from operation and retired at a dismantler under contract
with the BAR.
   (2) Districts retain their authority to administer vehicle
retirement programs otherwise authorized under law.
   (3) The program is available for high polluting passenger vehicles
and light-duty and medium-duty trucks that have been continuously
registered in California for two years prior to acceptance into the
program or otherwise proven to have been driven primarily in
California for the last two years and have not been registered in
another state or country in the last two years.
   (4) The program is focused where the greatest air quality impact
can be identified.
   (5) Compensation for retired vehicles shall be one thousand five
hundred dollars ($1,500) for a low-income motor vehicle owner, as
defined in Section 44062.1, and one thousand dollars ($1,000) for all
other motor vehicle owners. The department may pay a motor vehicle
owner more than these amounts based on factors including, but not
limited to, the age of the vehicle, the emission benefits of the
vehicle's retirement, the emission impact of any replacement vehicle,
and the location of the vehicle in an area of the state with the
poorest air quality.
   (6) Cost-effectiveness and impacts on disadvantaged and low-income
populations are considered.
  SEC. 4.  The savings created by the amendments made to Section
44062.1 of the Health and Safety Code by Section 1 of this act shall
be used exclusively to fund retirement payments pursuant to Section
44062.3 of the Health and Safety Code.