BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1004
                                                                  Page  1

          Date of Hearing:  April 29, 2009

                       ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT
                             Anna Marie Caballero, Chair
                  AB 1004 (Portantino) - As Amended:  April 23, 2009
           
          SUBJECT  :  Local government: emergency response.

           SUMMARY  :  Limits public agencies from seeking reimbursement for  
          the expense of an emergency response by a public agency to  
          specified incidents if the reimbursement meets specified  
          conditions.  Specifically,  this bill  :  

          1)Allows public agencies to seek reimbursement for the expense  
            of an emergency response by a public agency in the following  
            incidents:

             a)   Any person who is under the influence of an alcoholic  
               beverage or any drug, or the combined influence of an  
               alcoholic beverage and any drug, whose negligent operation  
               of a motor vehicle, any boat or vessel, or a civil aircraft  
               caused by that influence proximately causes any incident  
               resulting in an appropriate emergency response, and any  
               person whose intentionally wrongful conduct proximately  
               causes any incident resulting in an appropriate emergency  
               response;

             b)   Any person 18 years of age or older who is convicted of  
               making a false police report, and that false police report  
               proximately causes an appropriate emergency response by a  
               public agency;

             c)   Any person who intentionally, knowingly, and willfully  
               enters into any area that is closed or has been closed to  
               the public by competent authority for any reason, or an  
               area that a reasonable person under the circumstances  
               should have known was closed to the public, is liable for  
               the expenses of an emergency response required to search  
               for or rescue that person, or if the person was operating a  
               vehicle, any of his or her passengers, plus the expenses  
               for the removal of any inoperable vehicle or;

             d)   A person who drives a vehicle on a public street or  
               highway that is temporarily covered by a rise in water  
               level, including groundwater or overflow of water, and that  








                                                                  AB 1004
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               is barricaded because of flooding.

          2)Prohibits a public agency from seeking reimbursement for any  
            expenses of an emergency response if the fee imposed or  
            reimbursement is sought is made absent a finding or assessment  
            of fault and is conditioned upon the residence of the persons  
            involved in the incident or activity that prompted the  
            emergency response.

           EXISTING LAW  allows public agencies to seek reimbursement, under  
          specified circumstances, for the expense of an emergency  
          response by a public agency to the incident.  

           FISCAL EFFECT  :  Unknown

           

          COMMENTS  :   

          1)The author states the Cities of Roseville, Upland, Forest  
            Hill, Loomis, Pinole, and Nevada City are charging out-of-town  
            drivers who are involved in accidents for the cost of  
            providing varying types of emergency response services.  The  
            author also reports that the Cities of Fresno and Modesto are  
            considering enacting similar ordinances.  

            In these cities, when an accident occurs, emergency services  
            dispatchers decide which services to send to the accident  
            scene and later bill nonresident drivers for the cost of the  
            emergency services.  The author believes this leaves an  
            individual in the position of being charged for services they  
            did not request and may not have needed.  City residents, even  
            those at fault for the accident, are generally not assessed  
            these fees.

            In many cases, these costs are not covered by the driver's  
            auto insurance, leaving the accident victim with a bill,  
            perhaps in the thousands of dollars.  Additionally, the auto  
            insurance companies have indicated that any additional costs  
            associated with the fees will be passed on to all motorists.

          2)In their letter of opposition, the City of Roseville counters  
            these arguments, stating that limiting the incidents for which  
            a public agency can seek reimbursement for the expense of  
            emergency response services is too constraining.  Currently,  








                                                                  AB 1004
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            the City of Roseville transmits bills for several types of  
            emergency response by the fire department, including to  
            persons who are responsible for a significant release of  
            hazardous materials and persons who through negligent action  
            cause a significant fire.  Most if not all automobile  
            insurance companies will pay a fire department for emergency  
            services provided at the scene of an accident.  The City of  
            Roseville says during 2007 it responded to 408 accidents  
            involving nonresidents, costing the city approximately  
            $100,000.  

          3)The League of California Cities also says, when cities seek  
            reimbursement for the costs of emergency response services, it  
            is not done to boost revenue but rather to cover costs.  For  
            larger emergency responses, such as a hazardous materials  
            cleanup, cities would take a devastating hit to their general  
            funds if cities can no longer seek reimbursement.

          4)The Committee may want to consider whether the proposed  
            prohibition on public agencies seeking reimbursement costs in  
            AB 1004 is too broad.  The Committee may want to tighten the  
            proposed restriction on public agencies to have the residency  
            of the persons involved in the accident not be considered when  
            making a determination of liability.  Otherwise, as the bill  
            is currently drafted, there could be incidents where a public  
            agency could be precluded from seeking legitimate  
            reimbursement costs from a nonresident.

           5)Proposed Committee Amendments  :   On page 2, strike out lines 3  
            to 10, inclusive, and insert:
            "Except as provided in Sections 53150, 53151, 53152, 53153.5,  
            and 53159, a public agency, in making a determination of  
            liability for purposes of seeking reimbursement for the  
            expenses of any emergency response, shall not make residency a  
            determining factor."

           



          REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          Association of CA Insurance Companies 








                                                                  AB 1004
                                                                  Page  4


           Opposition 
           
          CA Fire Chiefs Association
          CA Professional Firefighters
          Cities of Orange and Roseville
          League of CA Cities
          Regional Council of Rural Counties
           
          Analysis Prepared by  :    Jennifer R. Klein / L. GOV. / (916)  
          319-3958