BILL ANALYSIS
AB 2572
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 2572 (Bradford)
As Amended August 18, 2010
Majority vote
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|ASSEMBLY: |62-4 |(May 20, 2010) |SENATE: |28-7 |(August 23, |
| | | | | |2010) |
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Original Committee Reference: U. & C.
SUMMARY : Expands the definition of a "charter-party carrier" to
include any person, or entity engaged in providing
transportation service where the vehicle is rented and is
operated by a for-hire driver. Changes certificate renewal fees
and imposes additional enforcement provisions to allow the
California Public Utilities Commission (PUC) to exercise
enforcement techniques.
The Senate amendments :
1)Clarify intent language that PUC has access to the Department
of Motor Vehicle's Employer Pull Notice Program.
2)Require a charter-party carrier engaged in a hired driver
service to meet certain insurance requirements.
AS PASSED BY THE ASSEMBLY , this bill was substantially similar
to the version passed by the Senate.
FISCAL EFFECT : According to the Assembly Appropriations
Committee analysis, based on 2009 applications and renewals of
charter party licenses and certificates, the change in fees from
this bill would result in additional special fund revenue of
about $235,000. Any costs associated with implementing
legislative intent and enforcing the new requirements will be
covered by the additional revenue.
COMMENTS : This bill is intended to increase public safety and
consumer protections by providing PUC greater authority to
enforce charter-party carrier laws. This bill captures a
different business model used by Avis, a well-known rental car
company that would like to implement a program in California
AB 2572
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where it hires drivers to drive Avis cars as a
limousine-for-hire service.
Charter-party carriers are rented as an entire vehicle and
transport passengers on a prearranged basis. Some examples
include limousines and chartered buses for tours or events.
Analysis Prepared by : DaVina Flemings / U. & C. / (916)
319-2083
FN:
0006599