BILL ANALYSIS Ó AB 1658 Page 1 Date of Hearing: April 9, 2012 ASSEMBLY COMMITTEE ON TRANSPORTATION Bonnie Lowenthal, Chair AB 1658 (Gatto) - As Amended: April 11, 2012 SUBJECT : Specialty license plates SUMMARY : Establishes a California Legacy License Plate Program. Specifically, this bill : 1)Requires the Department of Motor Vehicles (DMV) to establish a California Legacy License Plate Program and create and issue a series of specialized license plates known as California Legacy License Plates that replicate the look of California license plates from the state's past. 2)Requires the plates' design to be identical to a regular license plate to the extent feasible, except for consisting of one or more of the following designs: a) Yellow background with black lettering per the appearance of California license plates issued by DMV in the 1950s; b) Black background with yellow lettering per the appearance of California license plates issued by DMV in the 1960s; and, c) Blue background with yellow lettering per the appearance of California license plates issued by DMV in the 1980s. 1)Levies for these plates, in addition to the regular fees for an original registration or renewal of registration, a fee of $50 for the original issuance of the plates, $40 for registration renewal, $15 for transfer of the plates to another vehicle, and $35 for each substitute replacement plate. 2)Prohibits DMV from issuing a California Legacy License Plates for a vehicle that is exempt from the payment of registration fees. 3)Prohibits DMV from establishing the California Legacy License Plate Program until it has received not less than 7,500 paid AB 1658 Page 2 applications for plates. 4)Requires DMV to collect and hold applications for the plates and to issue them after it has received not less than 7,500 paid applications for the particular plates by January 1, 2014. If, after that date, 7,500 paid applications have not been received, DMV must immediately refund to all applicants all fees or deposits that have been collected. 5)Makes moneys available, upon appropriation by the Legislature, to DMV for the necessary administrative costs of establishing the California Legacy License Plate Program upon determination by DMV that there are sufficient funds for the program. 6)Requires DMV, after deducting its administrative costs, to deposit any additional revenue derived from the issuance, renewal, transfer, and substitution of the specialized license plates into the California Environmental License Plate Fund, for appropriation by the Legislature pursuant to existing law. EXISTING LAW : 1)Allows a state agency to apply to DMV to sponsor a specialized license plate program that DMV may not establish until it has received at least 7,500 applications for that agency's proposed plates. A sponsoring agency is allowed 12 months, following the date of approval of its initial application to sponsor a specialized license plate, to receive the required number of applications. 2)Allows an owner of a vehicle that is a 1969 or older model-year vehicle or the owner of a commercial vehicle or a pickup truck that is a 1972 or older model-year to utilize California license plates from the year corresponding to the model-year date when the vehicle was manufactured, if the model-year date license plate is legible and serviceable, as determined by DMV, in lieu of the license plates that would otherwise be required. FISCAL EFFECT : Unknown COMMENTS : According to the author, this bill is intended to recreate license plates "that replicate the look of plates from the state's past. It seeks to mirror the retro trend in the AB 1658 Page 3 auto industry where companies have produced autos that pay homage to vehicle designs of the past, as well as companies that have revived old models that feature modern takes on vintage designs." The bill would require DMV, upon receiving at least 7,500 paid applications, to produce and issue new license plates that allow consumers to choosing from classic designs from the 1950s/1960s (black lettering on yellow background or yellow lettering on black background) and 1970s/1980s (yellow lettering on blue background). The author adds, "In addition to giving consumers new options on what sort of license plate to use on their vehicles, it would provide classic car collectors a risk-free way to acquire plates that match the vintage of their vehicles. Currently, classic car owners can 'revive' old plates that match the vintage of their vehicle. Unfortunately, there are unscrupulous sellers of these 'vintage' license plates who pass off counterfeit reproductions as genuine 'vintage' plates. The Legacy License Plate Series would let collectors an opportunity, if they choose, to put plates on their vehicles that match the era of their vehicle without fear of being sold fake plates." REGISTERED SUPPORT / OPPOSITION : Support American Federation of State, County and Municipal Employees Association of California Car Clubs Capitol Auto Club Thunderbolts Opposition None on file Analysis Prepared by : Howard Posner / TRANS. / (916) 319-2093