BILL ANALYSIS
SB 427
Page 1
SENATE THIRD READING
SB 427 (Negrete McLeod)
As Amended August 9, 2010
Majority vote
SENATE VOTE :25-10
BUSINESS & PROFESSIONS 7-3 APPROPRIATIONS 12-5
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|Ayes:|Hayashi, Eng, Hernandez, |Ayes:|Fuentes, Bradford, |
| |Hill, Ma, Nava, Ruskin | |Charles Calderon, Coto, |
| | | |Davis, De Leon, Gatto, |
| | | |Hall, Skinner, Solorio, |
| | | |Torlakson, Torrico |
| | | | |
|-----+--------------------------+-----+--------------------------|
|Nays:|Conway, Niello, Smyth |Nays:|Conway, Harkey, Miller, |
| | | |Nielsen, Norby |
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SUMMARY : Increases the penalty from $1,000 to $5,000 under the
Automotive Repair Act (Act) for failing to repair an air bag and
makes minor technical amendments. Specifically, this bill :
1)Makes it a misdemeanor under the Act for an automotive repair
dealer (ARD) who prepares a written estimate for repairs that
includes replacement of a deployed airbag and who fails to
repair and fully restore the airbag to original operating
condition. This is punishable by a fine of $5,000,
imprisonment in the county jail for up to one year, or by both
that fine and imprisonment.
2)References parts "supplied" and crash parts "installed."
3)Specifies use of a "final repair invoice," rather than an
"invoice."
4)Clarifies that no service shall be done by anyone other than
the ARD or his or her employees without the consent of the
customer, unless the customer cannot reasonably be notified.
5)Redefines "aftermarket crash part" to mean a replacement for
any crash part.
SB 427
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6)Defines "crash part" as any of the nonmechanical sheet metal
or plastic parts which generally constitute the exterior of a
motor vehicle, including inner and outer panels and exterior
lighting, and shall also include the airbag in a motor
vehicle's inflatable restraint system.
FISCAL EFFECT : According to the Assembly Appropriations
Committee, potential nonreimbursable costs to local government
for additional enforcement, offset to some extent by additional
fine revenues.
COMMENTS : According to the author's office, "While the majority
of autobody repair shops comply with the law, the problem of
'parts switching' - or billing the consumer for a more expensive
original equipment manufacturer (OEM) part, but installing a
less-expensive aftermarket part - remains a common area of fraud
in the autobody repair industry.
"Crash parts," or "body parts," constitute the exterior of a
motor vehicle, and are generally made of sheet metal, plastic,
or glass and serve a cosmetic function. Examples of crash parts
include bumper reinforcements and absorbers, hoods, fenders,
door shells, rear outer panels, deck and trunk lids, quarter
panels, truck beds and box sides, body side panels, tailgates,
and lift gates.
OEM crash parts are made by the manufacturer of a given motor
vehicle for use on that vehicle. Non-OEM parts are auto parts
made by an independent manufacturer, generally not affiliated
with the manufacturer of the motor vehicle for which the part is
intended.
Non-OEM manufacturers must reverse-engineer the replacement
parts because they do not have access to the OEM manufacturer's
proprietary engineering specifications. Non-OEM crash parts
typically cost 20% to 65% less than OEM crash parts.
The Bureau of Automotive Repair (BAR) reestablished the Auto
Body Inspection Program (program) in January 2007, which allows
qualified consumers to receive free inspections to verify the
collision repair work done on their cars. DCA's 2008-09 Annual
Report states that the BAR conducted 209 inspections through the
program that resulted in more than 61 consumer complaints for
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poor workmanship and/or billing for parts and services not
performed.
Analysis Prepared by : Sarah Weaver / B.,P. & C.P. / (916)
319-3301
FN: 0005730