BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 935
                                                                  Page  1

          CONCURRENCE IN SENATE AMENDMENTS
          AB 935 (Frazier)
          As Amended  August 21, 2014
          Majority vote
           
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          |ASSEMBLY:  |     |(May 9, 2013)   |SENATE: |32-0 |(August 25,    |
          |           |     |                |        |     |2014)          |
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                (vote not relevant)

          Original Committee Reference:    L.GOV.  

           SUMMARY  :  Requires the Department of Motor Vehicles (DMV) to  
          offer a driver's license (DL) or identification card (ID)  
          printed with the word "VETERAN" indicating the licensee or  
          possessor of a DL or ID is a military veteran.  

           The Senate amendments  delete the Assembly version of this bill  
          and instead:  

          1)Commencing November 11, 2015, allow an applicant applying for  
            a DL or ID in person at a DMV field office to request the word  
            "VETERAN" to be printed on the face of a DL or ID.  

          2)Require the Department of Veterans Affairs to develop a  
            verification form in consultation with DMV and the California  
            Association of County Veterans Service Officers.  

          3)Require a county veterans service office (CVSO) to verify a  
            person's veteran status and sign the verification form  
            confirming the person's status as a veteran.  

          4)Require DMV to accept the signed verification form by a CVSO  
            as proof of an applicant's veteran status.  

          5)Upon payment of a fee and verification of an applicant's  
            veteran status, require DMV to print the word "VETERAN" on the  
            face of a DL or ID, as specified.  

          6)Provide that DMV may charge a one-time fee of $5 to cover the  
            cost associated with processing and issuing a DL or ID with a  
            veterans designation; further provide DMV the authority to  
            increase the fee to not more that $15 to cover the cost  
            associated with the provisions specified in this bill.  








                                                                 AB 935
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           FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee, 

          1)Estimated DMV implementation costs of $1.05 million in 2014-15  
            and 2015-16, and ongoing costs of $775,392 in 2016-17, and  
            $768,072 in 2017-18 (Motor Vehicle Account).  
           
          2)DMV estimates revenue increases of up to $2.2 million  
            annually, beginning in 2015-16, assuming approximately 150,000  
            veterans apply for the veteran designation in their normal  
            renewal cycle, and 47,000 veterans apply for a duplicate  
            license outside the normal cycle of renewal (Motor Vehicle  
            Account).  Revenues are expected to taper after several years.  
             

          3)Minor costs to the Department of Veterans Affairs to develop  
            the form that provides for verification of veterans status  
            (General Fund).  

          4)Unknown CVSO costs, beginning in 2015-16, to verify veteran  
            status for an estimated 200,000 veterans annually for several  
            years.  CVSOs receive an annual General Fund allocation of  
            $2.6 million.  

           COMMENTS  :  Veterans groups point out that as large numbers of  
          service members return from overseas deployments, they desire an  
          efficient means of proving their eligibility for benefits and  
          discounts (such as those available from Home Depot or Jiffy  
          Lube).  When they are still in the military, they use their  
          military ID cards.  Upon leaving the service they are issued a  
          paper discharge DD-214, containing a substantial amount of  
          personal information and intended for a person's private files  
          and therefore, not suitable for carrying around at all times.  

          Moreover, federal, state, and local governments offer varying  
          degrees of benefits and services for veterans.  In the past, the  
          DD-214 sufficed for veterans' relatively infrequent experiences  
          with the federal Veterans Affairs system.  However, over the  
          last decade, numerous private, non-profit service providers have  
          begun to offer a variety of services for veterans including:   
          housing, mental health, drug counseling, and financial,  
          educational, and occupational assistance.  According to a San  
          Diego Union Tribune article, "California veterans may be losing  
          out on $400 million in federal benefits."  








                                                                  AB 935
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          This bill will provide an easy way for veterans to identify  
          themselves and potentially gain more timely access to these  
          services.  Additionally, the author further points out that  
          having the veteran's designation would "be helpful to medical  
          and law enforcement agencies.  This designation would ensure  
          that these entities are informed and therefore better equipped  
          to handle medical and law enforcement situations - for example,  
          a situation involving a veteran with some sort of trauma, such  
          as posttraumatic stress disorder as a result of their service."   


          In consideration of these potential advantages, 40 states  
          currently offer veterans designation on DL's with several  
          additional states considering pending legislation.  

          This bill was substantially amended in the Senate and the  
          Assembly-approved version of this bill was deleted.  The  
          provisions in this bill are nearly identical to the provisions  
          included in AB 531 (Frazier) of 2013, and AB 1637 (Frazier) of  
          the current legislative session, which were both heard and  
          passed out of the Assembly Transportation Committee but were  
          held on the suspense file in the Assembly Appropriations  
          Committee.   


          Analysis Prepared by  :    Manny Leon / TRANS. / (916) 319-2093 


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