BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  AB 1885|
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                                 THIRD READING


          Bill No:  AB 1885
          Author:   Hill (D)
          Amended:  6/29/10 in Senate
          Vote:     21

           
           SENATE PUBLIC SAFETY COMMITTEE  :  5-2, 6/22/10
          AYES: Leno, Cedillo, Hancock, Steinberg, Wright
          NOES: Cogdill, Huff

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8 

           ASSEMBLY FLOOR  :  53-15, 4/29/10 - See last page for vote


           SUBJECT  :    Airport limousines:  regulation

           SOURCE  :     San Francisco International Airport


           DIGEST  :    This bill allows an airport, such as San  
          Francisco International Airport, that is not located in the  
          county where the owning entity is located, to enforce state  
          laws requiring limousine operators to transport passengers  
          only through prior arrangement and to obtain consent to  
          operate at the airport.  

           ANALYSIS  :    Existing law provides that every person who  
          enters or remains on airport property owned by a city,  
          county, or city and county but located in another county,  
          and sells, peddles, or offers for sale any goods or  
          services to the public, including transportation, other  
          than charter limousines licensed by the Public Utilities  
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          Commission (PUC), on or from the airport property, without  
          express written consent of the airport governing board, is  
          guilty of a misdemeanor, punishable by imprisonment in a  
          county jail for up to six months, a fine of up to $1,000,  
          or both.  The local governing entity may regulate sale or  
          offering for sale of any goods or services.  (Pen. Code   
          602.4.)

          Existing law prohibits the governing body of any airport  
          from imposing vehicle safety, vehicle licensing, or  
          insurance requirements on charter-party carriers operating  
          limousines that are more burdensome than those imposed by  
          the PUC.  However, the governing board of any airport may  
          require a charter-party carrier operating limousines to  
          obtain an airport permit for operating authority at the  
          airport.  A city, county, or city and county may impose  
          reasonable rules for the inspection of waybills of  
          charter-party carriers of passengers operating within the  
          jurisdiction of the city, county, or city and county, for  
          purposes of verifying valid prearranged travel.  (Pub.  
          Util. Code  5371.4, subds. (b) and (h).)

          Existing law defines "limousine" as any sedan or sport  
          utility vehicle, of either standard or extended length,  
          with a seating capacity of not more than 10 passengers  
          including the driver, used in the transportation of  
          passengers for hire on a prearranged basis within  
          California.  (Pub. Util. Code  5371.4, subd. (i).)

          Existing law provides, as specified, that every  
          charter-party carrier and every officer, director, agent,  
          or employee of any charter-party carrier who violates or  
          who fails to comply with any order, decision or requirement  
          of the PUC or of any operating permit or certificate issued  
          to any charter-party carrier, or who procures, aids, or  
          abets any charter-party carrier in its failure to obey,  
          observe, or comply with any such order, decision, rule,  
          requirement, or operating permit or certificate, is guilty  
          of a misdemeanor and is punishable by a fine of not less  
          than $1,000 and not more than $5,000 or by imprisonment in  
          the county jail for not more than three months, or both.   
          Persons arrested for operating a charter-party carrier  
          without a valid certificate or permit at a public airport  
          or within 100 feet of a public airport may have their  

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          vehicle impounded.  (Pub. Util. Code  5411 and 5411.5.)

          Existing law provides that the court shall, when sentencing  
          a defendant for a conviction of operating a charter-party  
          carrier without a valid certificate or permit, impose a  
          mandatory fine not exceeding $10,000 for a first  
          conviction, or $25,000 for a subsequent conviction.  The  
          fine shall be conditioned on the defendant's ability to pay  
          and shall be imposed in addition to any other penalty.   
          (Pub. Util. Code  5412.2, subd. (b).)

          Existing law provides that whenever the PUC, after hearing,  
          finds that any person or corporation that is operating as a  
          charter-party carrier, including a charter-party carrier  
          operating a limousine, without a valid certificate or  
          permit, or fails to include in any public advertisement the  
          number or permit or required identifying symbol, the PUC  
          may impose a fine of not more than $7,500 for each  
          violation.  The PUC may assess the person or the  
          corporation in an amount sufficient to cover the reasonable  
          expense of investigation incurred by the PUC.  The PUC may  
          assess interest on any fine or assessment imposed, to  
          commence on the day the payment of the fine or assessment  
          becomes delinquent.  All fines, assessments, and interest  
          collected shall be deposited a least once a month in the  
          General Fund.  (Pub. Util. Code  5413.5.)

          This bill removes the exception in the offense for charter  
          limousines licensed by the Public Utilities Commission.   
          The bill instead provides that if a charter-party carrier  
          licensed by the Public Utilities Commission operates at an  
          airport on a prearranged basis, as specified, that  
          operation would not constitute the sale, peddling, or  
          offering of goods, merchandise, property, or services, for  
          purposes of those existing law provisions.

           Background
           
          The author has provided this additional background  
          information:

               Due to a 1973 exemption, officers of the San Francisco  
               Police Department (SFPD) do not have enforce laws  
               prohibiting unauthorized limousine drivers from  

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               illegally soliciting business on the grounds of San  
               Francisco International Airport (SFO).  SFO is owned  
               and operated by the City and County of San Francisco.   
               San Francisco Police officers patrol SFO.  However,  
               the airport is located in San Mateo County.   
               Consequently, San Francisco Police officers at the  
               airport cannot arrest the drivers or impound their  
               vehicles based on San Francisco police powers because  
               those powers do not extend to San Mateo County, the  
               location of SFO.  

               This bill would allow SFO and San Francisco Police to  
               use Penal Code Section 602.4, which provides the  
               police with legal authority to arrest any person who  
               comes onto airport property and sells or offers to  
               sell goods and services to members of the public in  
               violation of the rules and regulations or the airport  
               governing board.  Unfortunately, however, while  
               Section 602.4 applies generally to transportation  
               services, charter limousines are specifically exempt  
               from this provision.  Therefore, SFPD cannot protect  
               the public at SFO from pirate limousine owners and  
               drivers by arresting such drivers and impounding their  
               vehicles.

               Illegal soliciting by limousine drivers is a  
               long-standing problem at SFO.  I was recently offered  
               a ride by an unauthorized limo driver at SFO.  I have  
               experience with this and know this type of illegal  
               soliciting is happening and can be dangerous to those  
               passengers that get roped in by these rogue limo  
               drivers.

               Because the restriction in Section 602.4 only applies  
               to SFO and Ontario Airport, other airports do not have  
               a comparable problem with illegal limousine operators.  
                AB 1885 provides law enforcement the necessary tools  
               to reduce the prevalence of limousine drivers that  
               illegally solicit business at SFO.  Unauthorized  
               limousine drivers not only take away business from  
               legitimate drivers, they endanger passengers because  
               they do not have to undergo criminal background checks  
               and their vehicles are not inspected by the  
               appropriate authorities.

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           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes

           SUPPORT  :   (Verified  8/3/10)

          San Francisco International Airport (source) 


           ARGUMENTS IN SUPPORT  :    According to the author's office:

               I was recently offered a ride by an unauthorized limo  
               driver at San Francisco International (SFO) Airport.   
               I have experience with this and know this type of  
               illegal soliciting is happening and can be dangerous  
               to those passengers that get roped in by these rogue  
               limo drivers.  

               AB 1885 provides law enforcement the necessary tools  
               to reduce the prevalence of unauthorized limousine  
               drivers that are illegally soliciting business at San  
               Francisco International Airport.  Due to a 1973  
               exemption, SFO police officers do not have adequate  
               enforcement authority to monitor unauthorized  
               limousine drivers.  AB 1885 would change the Penal  
               Code to give them this much needed authority.   
               Unauthorized limousine drivers not only take away  
               business from legitimate drivers, they endanger  
               passengers because they do not have to undergo  
               criminal background checks and their vehicles are not  
               inspected by the appropriate authorities.


           ASSEMBLY FLOOR  :  
          AYES: Adams, Ammiano, Arambula, Beall, Tom Berryhill,  
            Block, Blumenfield, Bradford, Brownley, Buchanan, Carter,  
            Chesbro, Cook, Coto, Davis, De La Torre, De Leon, Eng,  
            Evans, Feuer, Fletcher, Fong, Fuentes, Furutani,  
            Galgiani, Hagman, Hall, Hayashi, Hernandez, Hill, Huber,  
            Huffman, Lieu, Ma, Mendoza, Miller, Monning, Nava,  
            Nestande, V. Manuel Perez, Portantino, Ruskin, Salas,  
            Saldana, Skinner, Smyth, Solorio, Swanson, Torlakson,  
            Torres, Tran, Yamada, John A. Perez
          NOES: Anderson, Blakeslee, Conway, DeVore, Fuller, Gaines,  

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            Gilmore, Harkey, Knight, Logue, Niello, Nielsen, Norby,  
            Silva, Audra Strickland
          NO VOTE RECORDED: Bass, Bill Berryhill, Caballero, Charles  
            Calderon, Emmerson, Garrick, Jeffries, Jones, Bonnie  
            Lowenthal, Torrico, Villines, Vacancy


          RJG:nl  8/4/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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