BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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                                 THIRD READING


          Bill No:  AB 2189
          Author:   Skinner (D)
          Amended:  8/7/12 in Senate
          Vote:     21

           
           SENATE JUDICIARY COMMITTEE  :  5-0, 7/3/12
          AYES:  Evans, Harman, Blakeslee, Corbett, Leno

           ASSEMBLY FLOOR  :  76-0, 5/14/12 - See last page for vote


           SUBJECT  :    Vehicles: rentals: drivers licenses

           SOURCE  :     Hertz Corporation


           DIGEST  :    This bill allows for identification required of 
          a person renting a vehicle to be verified by comparison of 
          a photograph to the driver renting the vehicle.  This bill 
          also creates an exemption from this requirement for a 
          rental company that is located remotely, as defined, that 
          enters into a rental transaction in which a vehicle that is 
          part of a regional fleet and is available through a 
          nonbinding agreement to be rented electronically on either 
          an hourly or daily basis.  

           ANALYSIS  :    Existing law defines a "rental company" as a 
          person or entity in the business of renting passenger 
          vehicles to the public.  (Civil Code Section 1936(a)) 

          Existing law prohibits a person from renting a motor 
          vehicle to another unless: 
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             The person to whom the vehicle is rented is licensed 
             under this code or is a nonresident who is licensed 
             under the laws of the state or country of his or her 
             residence; and 

             The person renting to another person has inspected the 
             driver's license of the person to whom the vehicle is to 
             be rented and compared the signature thereon with the 
             signature of that person written in his or her presence. 
              (Vehicle Code Section 14608)

          This bill amends the above Vehicle Code Section to allow a 
          person renting a motor vehicle to another person, in 
          inspecting the driver's license of the person to whom the 
          vehicle is to be rented, to compare the photograph on the 
          license with the person to whom the vehicle is to be 
          rented. 

          This bill provides that a "rental company," as defined 
          above, is not subject to the requirements of Section 14608 
          of the Vehicle Code when entering into a rental transaction 
          for a vehicle that is located remotely, is part of a 
          regional fleet, and is available to be rented-through a 
          membership agreement electronically on either an hourly or 
          daily basis.

          This bill makes other technical, non-substantive changes. 
          
           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No   
          Local:  No

           SUPPORT  :   (Verified  8/7/12)

          Hertz Corporation (source)

           ARGUMENTS IN SUPPORT  :    The sponsor writes that, "In the 
          evolving nature of renting cars and providing customers 
          with more flexibility and convenience, companies and 
          organizations are allowing customers to rent cars on an 
          hourly or daily basis and have the ability to enter the 
          vehicle at convenient locations where the customer lives or 
          works.  Rental cars can be located throughout a city or 
          campus and can be accessed by the customer at any parked 

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          location.  This car rental structure is often called "car 
          sharing."  In fact, existing state law recognizes the "car 
          sharing" structure by specifically allowing localities to 
          adopt an ordinance to designate street or portions of 
          streets for the exclusive parking privilege to cars 
          participating in a car share vehicle program.  The benefit 
          of this type of transaction and convenience to customers is 
          less vehicles miles traveled and not having the burden of 
          car ownership, which includes having insurance, car 
          maintenance costs, and parking."


           ASSEMBLY FLOOR  :  76-0, 5/14/12
          AYES:  Achadjian, Alejo, Allen, Ammiano, Beall, Bill 
            Berryhill, Block, Blumenfield, Bonilla, Bradford, 
            Brownley, Buchanan, Butler, Charles Calderon, Campos, 
            Carter, Cedillo, Chesbro, Conway, Cook, Davis, Dickinson, 
            Donnelly, Eng, Feuer, Fong, Fuentes, Furutani, Beth 
            Gaines, Galgiani, Garrick, Gatto, Gordon, Gorell, Grove, 
            Hagman, Halderman, Hall, Harkey, Hayashi, Roger 
            Hernández, Hill, Huber, Hueso, Huffman, Jeffries, Jones, 
            Knight, Lara, Logue, Bonnie Lowenthal, Ma, Mansoor, 
            Mendoza, Miller, Mitchell, Monning, Morrell, Nestande, 
            Nielsen, Norby, Olsen, Pan, V. Manuel Pérez, Portantino, 
            Silva, Skinner, Smyth, Solorio, Swanson, Torres, Wagner, 
            Wieckowski, Williams, Yamada, John A. Pérez
          NO VOTE RECORDED:  Atkins, Fletcher, Perea, Valadao


          RJG:d  8/9/12   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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