Amended in Senate June 10, 2014

Amended in Assembly May 7, 2014

Amended in Assembly April 10, 2014

Amended in Assembly March 17, 2014

California Legislature—2013–14 Regular Session

Assembly Bill No. 1566

Introduced by Assembly Member Holden

January 29, 2014

An act to amend Sections begin insert 19227, end insert 19302, 19304, 19305.5, 19306, 19312, 19313.8, begin delete and 19314 end delete begin insert 19314, and 19315 end insert of the Food and Agricultural Code, and to amend Sections 2460, 2462, 2464, 2466, 2468, 2470, 2472, and 2476 of, and to add Sections 2480 and 2482 to, the Vehicle Code, relating to inedible kitchen begin delete grease end delete begin insert grease, and making an appropriation therefor end insert .

LEGISLATIVE COUNSEL’S DIGEST

AB 1566, as amended, Holden. Inedible kitchen grease.

(1) Existing law generally regulates persons engaged in certain businesses dealing with dead animals and pet food processing, including, among others, renderers, collection center operators, pet food processors, dead animal haulers, and transporters of inedible kitchen grease, as defined. These regulatory provisions are enforced by the Department of Food and Agriculture.

begin insert

Existing law requires licensed renderers and collection centers to pay a specified license fee. Existing law operative until July 1, 2015, and repealed as of January 1, 2016, authorizes the department to assess an additional fee for purposes of administering the provisions regulating these renderers and collection centers. Existing law requires fees collected pursuant to these provisions to be deposited into the Department of Food and Agriculture Fund and continuously appropriates the collected funds for the purposes described above.

end insert begin insert

This bill would extend the operation of these provisions until July 1, 2020, and would repeal them as of January 1, 2021. By extending the operation of provisions that require the collection and deposit of funds that are continuously appropriated, this bill would make an appropriation.

end insert begin delete

The department is authorized

end delete

begin insert (2) end insert begin insert   end insert begin insert Existing law authorizes the department end insert to issue licenses to renderers and collection centers and to issue registration certifications to persons engaged in the transportation of inedible kitchen grease. begin delete The department is authorized end delete begin insert Existing law authorizes the department end insert to refuse to issue a license to a renderer or collection center, after notice and hearing, unless the applicant satisfies specified requirements. The department is also authorized to suspend or revoke a transporter’s registration upon making specified findings and to establish procedures for an appeal of that suspension or revocation.

This bill would impose additional requirements upon an applicant for a rendering license and collection center license, and for registration as a certificated transporter. The bill would delete the requirement for a notice and hearing before refusing to issue a license and would instead authorize a person to whom the department refuses to issue a rendering or collection center license to appeal to the department, pursuant to a specified procedure. The bill would authorize the department to suspend or revoke a renderer license or collection center license if the department makes specified findings and would establish a procedure for appealing the suspension or revocation of a license. The bill would require the department to adopt regulations that specify the maximum time period for which a refusal of registration as a certificated transporter, and a suspension or denial of that registration, may be imposed.

begin insert

(3) Existing law requires registered transporters of inedible kitchen grease to pay a specified registration fee. Existing law operative until July 1, 2015, and repealed as of January 1, 2016, authorizes the department to assess an additional fee for purposes of administering the provisions regulating these transporters. Existing law exempts from 75% of the additional fee a registered transporter who transports inedible kitchen grease for his or her own personal, noncommercial use as an alternative fuel, subject to specified requirements. A violation of these provisions is a crime. Existing law requires fees collected pursuant to these provisions to be deposited into the Department of Food and Agriculture Fund and continuously appropriates the collected funds for the purposes described above.

end insert

begin insert This bill would extend the operation of these provisions until July 1, 2020, and would repeal them on January 1, 2021. By extending the operation of provisions that require the collection and deposit of funds that are continuously appropriated, this bill would make an appropriation. end insert begin insert By extending the operation of an existing crime, this bill would impose a state-mandated local program. end insert

begin delete

(2)

end delete

begin insert (4) end insert  Existing law prohibits a registered transporter or any other person from taking possession of inedible kitchen grease from an unregistered transporter, or knowingly taking possession of stolen inedible kitchen grease. A violation of the provisions regulating renderers is a crime.

This bill would additionally prohibit taking possession of inedible kitchen grease from an unlicensed collection center or an unlicensed renderer. By expanding the scope of an existing crime, this bill would impose a state-mandated local program.

begin delete

(3)

end delete

begin insert (5) end insert  Existing law requires every licensed renderer to record and keep for 2 years records containing specified information, including the name, address, and registration number of every transporter of inedible kitchen grease who has delivered to the renderer, the total amount of inedible kitchen grease purchased in each transaction, and the date of each transaction. Existing law provides that any licensed renderer who fails to keep specified records, and any licensed renderer or registered transporter who refuses, upon demand of any peace officer, to exhibit any required records, is guilty of a misdemeanor punishable by: (1) for a first offense, a fine of $500, imprisonment in a county jail, or both the fine and imprisonment; (2) for a 2nd offense within a period of one year, by a fine of not less than $1,000, imprisonment in a county jail, or both the fine and imprisonment; (3) for a 3rd or any subsequent offense within a period of 2 years, by a fine of not less than $2,000, imprisonment in a county jail, or both the fine and imprisonment.

This bill would increase the amount of these fines to $1,000, $5,000, and $10,000, respectively. The bill would apply these provisions to licensed collection centers, as defined. The bill would additionally allow for the inspection of any required records by an authorized employee of the Department of the California Highway Patrol or the Department of Food and Agriculture. By expanding the scope of crimes, this bill would impose a state-mandated local program. This bill would make conforming and clarifying changes to other provisions of existing law to remove a conflict in those provisions.

begin delete

(4)

end delete

begin insert (6) end insert  Existing law prohibits any person from engaging in the transportation of inedible kitchen grease without being registered with the Department of Food and Agriculture and without being in possession of a valid registration certificate issued by the department. Existing law prohibits a licensed renderer, registered transporter, or any other person from taking possession of inedible kitchen grease from an unregistered transporter, or knowingly take possession of stolen inedible kitchen grease. Violation of these provisions is punishable by a fine, imprisonment in a county jail, or both the fine and imprisonment, as specified.

This bill would additionally require possession of a manifest, as defined, for the inedible kitchen grease being transported. The bill would additionally prohibit a renderer, registered transporter, or any other person from taking possession of inedible kitchen grease from an unlicensed renderer or collection center. By expanding the scope of existing crimes, this bill would impose state-mandated local programs.

This bill would authorize a peace officer to remove a vehicle, within the territorial limits in which the officer may act, if the vehicle is involved in the theft or movement of stolen inedible kitchen grease. The bill would authorize the peace officer to seize and impound the vehicle, after citing or arresting the responsible person, for up to 15 days, as specified.

This bill would require each vehicle transporting inedible kitchen grease to display both a specified decal and certain information on the front doors of the vehicle, as specified.

begin delete

(5)

end delete

begin insert (7) end insert  The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation:  begin delete no end delete begin insert yes end insert . Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

begin insert

begin insert SECTION 1. end insert   

end insert

begin insert Section 19227 of the end insert begin insert Food and Agricultural Code end insert
begin insert is amended to read: end insert

19227.  

(a) In addition to the license fee required pursuant to
Section 19225, the department may charge each licensed renderer
and collection center an additional fee necessary to cover the
reasonable costs of administering Article 6 (commencing with
Section 19300) and Article 6.5 (commencing with Section 19310).
The additional fees authorized to be imposed by this section may
not exceed three thousand dollars ($3,000) per year per each
licensed rendering plant or collection center.

(b) The secretary shall fix the annual fee established pursuant
to this section and may fix different fees for renderers and
collection centers. The secretary shall also fix the date the fee is
due and the method of collecting the fee. If an additional fee is
imposed on licensed renderers pursuant to subdivision (a) and an
additional fee is imposed on registered transporters pursuant to
subdivision (a) of Section 19315, only one additional fee may be
imposed on a person or firm that is both licensed as a renderer
pursuant to Article 6 (commencing with Section 19300) and
registered as a transporter of inedible kitchen grease pursuant to
Article 6.5 (commencing with Section 19310), which fee shall be
the higher of the two fees.

(c) If the fee established pursuant to this section is not paid
within one calendar month of the date it is due, a penalty shall be
imposed in the amount of 10 percent per annum on the amount of
the unpaid fee.

(d) This section shall become inoperative on July 1, begin delete 2015, end delete begin insert 2020, end insert
and, as of January 1, begin delete 2016, end delete begin insert 2021, end insert is repealed, unless a later enacted
statute, that becomes operative on or before January 1, begin delete 2016, end delete begin insert 2021, end insert
deletes or extends the dates on which it becomes inoperative and
is repealed.

begin delete SECTION 1. end delete
begin insert SEC. 2. end insert   

Section 19302 of the Food and Agricultural Code is
amended to read:

19302.  

(a) The department may refuse to issue a license if the
department finds that the applicant does not meet one or more of
the following requirements:

(1) The applicant is properly equipped to engage in the business
of rendering or operating a collection center. For these purposes,
the department shall consult with the rendering industry to
determine the equipment that shall be required.

(2) The applicant has never been convicted of a felony involving
adulterated or misbranded food.

(3) The applicant has not violated this article or Article 6.5
(commencing with Section 19310), or any regulations adopted to
implement those provisions.

(b) A person to whom the department refuses to issue a license
may appeal to the department within 20 days of the date of
receiving notification of the refusal, in the following manner:

(1) The appeal shall be in writing and signed by the appellant
or his or her authorized agent and shall state the grounds for the
appeal.

(2) A party, at the time of filing the appeal, or within 10 days
after filing the appeal, may present written evidence and a written
argument to the department.

(3) The department may grant oral arguments upon application
made at the time written arguments are made.

(4) If an application to present an oral argument is granted, the
department shall give written notice of the time and place for the
oral argument at least 10 days prior to the date set for the oral
argument. This time requirement may be altered by an agreement
between the department and the person appealing the refusal to
issue the license.

(5) The department shall decide the appeal on any oral or written
arguments, briefs, and evidence that the department receives.

(6) The department shall render a written decision within 45
days of the date of appeal, or within 15 days of the date of oral
arguments. A copy of the department’s decision shall be delivered
or mailed to the appellant.

(7) The department may sustain the decision to refuse to issue
a license or reverse that decision.

(8) The appellant may seek a review of the decision of the
department pursuant to Section 1094.5 of the Code of Civil
Procedure.

begin delete SEC. 2. end delete
begin insert SEC. 3. end insert   

Section 19304 of the Food and Agricultural Code is
amended to read:

19304.  

All records required to be retained pursuant to this
chapter shall be maintained for two years at the regular place of
business of every renderer and collection center operator licensed
pursuant to this article and every transporter registered pursuant
to Article 6.5 (commencing with Section 19310). Those records
shall be exhibited on demand to any peace officer or authorized
employee of the Department of the California Highway Patrol and
the Department of Food and Agriculture.

begin delete SEC. 3. end delete
begin insert SEC. 4. end insert   

Section 19305.5 of the Food and Agricultural Code is
amended to read:

19305.5.  

(a) The department may suspend or revoke a renderer
license or collection center license at any time, if it finds any of
the following has occurred:

(1) The licensee has sold or offered for sale to an unlicensed
person, any inedible kitchen grease.

(2) The licensee has stolen, misappropriated, contaminated, or
damaged inedible kitchen grease or containers of inedible kitchen
grease.

(3) The licensee has violated any provision of this article or any
regulations adopted to implement this article.

(4) The licensee has taken possession of inedible kitchen grease
from an unregistered transporter or has knowingly taken possession
of inedible kitchen grease that has been stolen.

(b)  begin delete   end delete The licensee may appeal any suspension or revocation
decision to the department within 20 days of the date of receiving
notification of the suspension or revocation, pursuant to the
following procedure:

(1) The appeal shall be in writing and signed by the appellant
or his or her authorized agent and shall state the grounds for the
appeal.

(2) A party, at the time of filing the appeal, or within 10 days
after filing the appeal, may present written evidence and a written
argument to the department.

(3) The department may grant oral arguments upon application
made at the time written arguments are made.

(4) If an application to present an oral argument is granted, the
department shall give written notice of the time and place for the
oral argument at least 10 days prior to the date set for an oral
argument. This time requirement may be altered by an agreement
between the department and the person appealing the suspension
or revocation of the license.

(5) The department shall decide the appeal on any oral or written
arguments, briefs, and evidence that the department receives.

(6) The department shall render a written decision within 45
days of the date of appeal, or within 15 days of the date of oral
arguments. A copy of the department’s decision shall be delivered
or mailed to the appellant.

(7) The department may sustain the suspension or revocation
decision or reverse that decision.

(8) The appellant may seek a review of the decision of the
department pursuant to Section 1094.5 of the Code of Civil
Procedure.

begin delete SEC. 4. end delete
begin insert SEC. 5. end insert   

Section 19306 of the Food and Agricultural Code is
amended to read:

19306.  

(a) Any renderer or collection center operator licensed
pursuant to this article or transporter registered pursuant to Article
6.5 (commencing with Section 19310) who fails in any respect to
keep the written records required by this article, or to set out in
that written record any matter required by this article to be set out
in the record, is guilty of a misdemeanor.

(b) Every renderer, collection center operator, or transporter
who refuses, upon demand of any peace officer or authorized
employee of the Department of the California Highway Patrol and
the Department of Food and Agriculture, to exhibit any written
record required by this article, or who destroys that record within
two years after making the final entry of any information required
by this article, is guilty of a misdemeanor.

(c) Any violation of subdivision (a) or (b) is punishable as
follows:

(1) For a first offense, by a fine of not less than one thousand
dollars ($1,000) or by imprisonment in a county jail for not more
than 30 days, or by both the fine and imprisonment.

(2) For a second offense within a period of one year, by a fine
of not less than five thousand dollars ($5,000) or by imprisonment
in a county jail for not more than 30 days, or by both the fine and
imprisonment. In addition to any other punishment imposed
pursuant to this paragraph, the court may order the defendant to
stop engaging in the business as a renderer, collection center
operator, or transporter for a period not to exceed 30 days.

(3) For a third or any subsequent offense within a period of two
years, by a fine of not less than ten thousand dollars ($10,000) or
by imprisonment in a county jail for not more than six months, or
by both the fine and imprisonment. In addition to any other
sentence imposed pursuant to this paragraph, the court shall order
the defendant to stop engaging in the business as a renderer,
collection center operator, or transporter for a period of 30 days.

begin delete SEC. 5. end delete
begin insert SEC. 6. end insert   

Section 19312 of the Food and Agricultural Code is
amended to read:

19312.  

(a) Registration shall be made with the department and
shall include all of the following:

(1) The applicant’s name and address.

(2) A description of the operations to be performed by the
applicant.

(3) The vehicles to be used in the transportation.

(4) A registration fee of one hundred dollars ($100).

(5) A list of the names of the drivers employed by the transporter
who transport inedible kitchen grease subject to this article and
their drivers’ license numbers.

(6) Any other information that may be required by the
department.

(b) Any renderer or collection center that registers pursuant to
this article is not required to pay the fee prescribed in this section.

(c) The department may refuse to issue an original or renewal
registration certificate to an applicant for either of the following
reasons:

(1) The existence of the grounds specified in subdivisions (a)
to (e), inclusive, of Section 19314.

(2) A failure to pay, in full by the established due date, any
penalty levied by the department for a previous violation of this
article or Article 6 (commencing with Section 19300).

(d) (1) The applicant may appeal the decision of the department
to refuse to register the applicant.

(2) The department shall establish procedures for the appeals
process, to include a noticed hearing.

(3) The department may reverse a decision to refuse to register
the applicant, upon a finding of good cause to do so.

(e) The department shall adopt regulations that specify the
maximum time period for which a refusal of registrations may be
imposed, based on the severity or the number of violations that
are the basis of the department’s action. The time period for the
refusal of registration shall not exceed three years from the date
the refusal of registration is imposed.

begin delete SEC. 6. end delete
begin insert SEC. 7. end insert   

Section 19313.8 of the Food and Agricultural Code is
amended to read:

19313.8.  

A registered transporter or any other person shall not
take possession of inedible kitchen grease from an unregistered
transporter, an unlicensed collection center, or an unlicensed
renderer, or knowingly take possession of stolen inedible kitchen
grease.

begin delete SEC. 7. end delete
begin insert SEC. 8. end insert   

Section 19314 of the Food and Agricultural Code is
amended to read:

19314.  

The department may suspend or revoke a registration
certificate, at any time, if it finds any of the following has occurred:

(a) The registrant has sold or offered for sale to an unlicensed
person, any inedible kitchen grease.

(b) The registrant has stolen, misappropriated, contaminated,
or damaged inedible kitchen grease or containers of inedible
kitchen grease.

(c) The registrant has violated this article or any regulations
adopted to implement this article.

(d) The registrant has taken possession of inedible kitchen grease
from an unregistered transporter or has knowingly taken possession
of inedible kitchen grease that has been stolen.

(e) The registrant has been found to have engaged in, or aided
and abetted another person or entity in the commission of, any
violation of a statute, regulation, or order relating to the
transportation or disposal of inedible kitchen grease, including a
violation of the federal Water Pollution Control Act (33 U.S.C.
Sec. 1251 et seq.), the Porter-Cologne Water Quality Control Act
(Division 7 (commencing with Section 13000) of the Water Code),
Section 5650 of the Fish and Game Code, commercial vehicle
weight limits, or commercial vehicle hours of service.

(f) For purposes of this section, “registrant” includes any
business entity, trustee, officer, director, partner, person, or other
entity holding more than 5 percent equity, ownership, or debt
liability in the registered entity engaged in the transportation of
inedible kitchen grease.

(g) (1) The registrant may appeal the suspension or revocation
decision of the department.

(2) The department shall establish procedures for the appeals
process, to include a noticed hearing.

(3) The department may reverse a suspension or revocation
upon a finding of good cause to do so.

(h) The department shall adopt regulations that specify the
maximum time period during which a suspension or revocation of
a registration certificate may be imposed, based on the severity or
the number of violations that are the basis of the department’s
action. The time period for the suspension or revocation of the
registration certificate shall not exceed three years from the date
the suspension or revocation of the registration certificate is
imposed.

begin insert

begin insert SEC. 9. end insert   

end insert

begin insert Section 19315 of the end insert begin insert Food and Agricultural Code end insert begin insert is
amended to read: end insert

19315.  

(a) Except as provided in subdivision (b), in addition
to the registration fee required by Section 19312, the department
may charge a fee necessary to cover the costs of administering this
article. Any additional fee charged pursuant to this section shall
not exceed three hundred dollars ($300) per year per vehicle that
is operated to transport kitchen grease, and shall not exceed three
thousand dollars ($3,000) per year per registered transporter.

(b) An individual registered pursuant to this article who
transports inedible kitchen grease for his or her own personal,
noncommercial use as an alternative fuel is exempt from 75 percent
of the fee charged pursuant to subdivision (a), and shall meet all
of the following requirements:

(1) The individual shall meet all other requirements of this
article.

(2) The individual shall not transport more than 55 gallons of
inedible kitchen grease per load for that purpose, and shall have
no more than 165 gallons of inedible kitchen grease in his or her
possession or control at any time.

(3) The individual shall not take any inedible kitchen grease
from a container owned by another registered transporter of
inedible kitchen grease or from an inedible kitchen grease provider
under contract with a registered transporter of inedible kitchen
grease or from a container owned by a renderer or collection center.

(4) The individual shall have a document in his or her possession
while transporting inedible kitchen grease signed by the responsible
party providing the inedible kitchen grease to the individual at the
source of the inedible kitchen grease that provides permission for
the inedible kitchen grease to be removed from that site.

(5) The individual shall specify where the inedible kitchen
grease is stored and processed as an alternative fuel, if that address
is different from the address included on the registration form for
that individual pursuant to Section 19312.

(6) The individual shall not sell, barter, or trade any inedible
kitchen grease.

(c) The secretary shall fix the annual fee established pursuant
to this section and may fix different fees for transporters of inedible
kitchen grease and collection centers, and for transporters of
interceptor grease. The secretary shall also fix the date the fee is
due and the method of collecting the fee. If an additional fee is
imposed on licensed renderers pursuant to subdivision (a) of
Section 19227 and an additional fee is imposed on registered
transporters pursuant to subdivision (a), only one additional fee
may be imposed on a person or firm that is both licensed as a
renderer pursuant to Article 6 (commencing with Section 19300)
and registered as a transporter of inedible kitchen grease pursuant
to this article, which fee shall be the higher of the two fees.

(d) If the fee established pursuant to this section is not paid
within one calendar month of the date it is due, a penalty shall be
imposed in the amount of 10 percent per annum on the amount of
the unpaid fee.

(e) This section shall become inoperative on July 1, begin delete 2015, end delete begin insert 2020, end insert
and, as of January 1, begin delete 2016, end delete begin insert 2021, end insert is repealed, unless a later enacted
statute, which becomes effective on or before January 1, begin delete 2016, end delete
begin insert 2021, end insert deletes or extends the dates on which it becomes inoperative
and is repealed.

(f) For the purposes of this section, “interceptor grease” means
inedible kitchen grease that is principally derived from food
preparation, processing, or waste, and that is removed from a grease
trap or grease interceptor.

begin delete SEC. 8. end delete
begin insert SEC. 10. end insert   

Section 2460 of the Vehicle Code is amended to read:

2460.  

(a) The definitions set forth in Article 1 (commencing
with Section 19200) of Chapter 5 of Part 3 of Division 9 of the
Food and Agricultural Code apply for purposes of interpreting this
article. The definitions set forth elsewhere in this section also apply
for purposes of interpreting this article.

(b) A “licensed renderer” is a renderer licensed under Article 6
(commencing with Section 19300) of Chapter 5 of Part 3 of
Division 9 of the Food and Agricultural Code.

(c) A “registered transporter” is a transporter of inedible kitchen
grease registered under Article 6.5 (commencing with Section
19310) of Chapter 5 of Part 3 of Division 9 of the Food and
Agricultural Code.

(d) A “peace officer” is any peace officer defined in Chapter
4.5 (commencing with Section 830) of Title 3 of Part 2 of the Penal
Code.

(e) A “container” is a receptacle, including, but not limited to,
a box, barrel, tank, or jar, for holding meat or meat products,
poultry meat or poultry meat products, animal carcasses or parts,
inedible kitchen grease, packinghouse waste, or other such items.

(f) A “manifest” is a written or electronic record that contains
information required by Section 1180.24 of Article 42 of
Subchapter 2 of Chapter 4 of Division 2 of Title 3 of the California
Code of Regulations.

(g) “Transportation” means the movement of inedible kitchen
grease and the loading, unloading, or storage incidental to that
movement.

(h) “Inedible kitchen grease” means any fat or used cooking
grease or oils from any source.

(i) “Rendering” means all recycling, processing, and conversion
of animal and fish materials and carcasses and inedible kitchen
grease into fats, oils, proteins, and other products that are used in
the animal, poultry, and pet food industries and other industries.

(j) “Collection center” means a receiving area for the temporary
storage of animal carcasses, packinghouse waste, or other products
before transportation to a licensed rendering plant or pet food
processor.

(k) “Licensed collection center” means a collection center
licensed pursuant to Section 19300.5 of the Food and Agricultural
Code.

begin delete SEC. 9. end delete
begin insert SEC. 11. end insert   

Section 2462 of the Vehicle Code is amended to read:

2462.  

(a) In addition to any other records required to be
maintained and retained pursuant to Chapter 5 (commencing with
Section 19200) of Part 3 of Division 9 of the Food and Agricultural
Code, each licensed renderer and collection center shall record
and maintain for two years, in connection with the receipt of
kitchen grease that is not intended for human food, all of the
information required by Section 1180.24 of Article 42 of
Subchapter 2 of Chapter 4 of Division 2 of Title 3 of the California
Code of Regulations, including, but not limited to, the following:

(1) The name of each registered transporter of inedible kitchen
grease who has delivered that material to the licensed renderer or
collection center.

(2) The total amount of inedible kitchen grease purchased in
each transaction.

(3) The date of delivery for each transaction.

(b) Each registered transporter shall record and maintain for
two years a manifest that includes, but is not limited to, all of the
following:

(1) The name and address of each location from which the
registered transporter obtained the inedible kitchen grease.

(2) The quantity of inedible kitchen grease received from each
location.

(3) The date on which the inedible kitchen grease was obtained
from each location.

begin delete SEC. 10. end delete
begin insert SEC. 12. end insert   

Section 2464 of the Vehicle Code is amended to read:

2464.  

All records required to be retained pursuant to this article
shall be maintained and retained at the regular place of business
of each licensed renderer, collection center, and registered
transporter for two years. Those records shall be exhibited on
demand to any peace officer or authorized employee of the
Department of the California Highway Patrol or the Department
of Food and Agriculture.

begin delete SEC. 11. end delete
begin insert SEC. 13. end insert   

Section 2466 of the Vehicle Code is amended to read:

2466.  

A peace officer or an authorized employee of the
Department of the California Highway Patrol or the Department
of Food and Agriculture may, during normal business hours,
inspect any premises maintained by a licensed renderer, collection
center, or registered transporter, and any inedible kitchen grease
located on the premises, for the purpose of determining whether
that renderer, collection center, or transporter is complying with
the record maintenance requirements of this article.

begin delete SEC. 12. end delete
begin insert SEC. 14. end insert   

Section 2468 of the Vehicle Code is amended to read:

2468.  

(a) A licensed renderer, collection center, or registered
transporter who fails in any respect to keep the records required
by this article, or to set out in that record any matter required by
this article to be set out in the record, is guilty of a misdemeanor.

(b) Each licensed renderer or collection center, or registered
transporter, who refuses, upon demand of any peace officer or
authorized employee of the Department of the California Highway
Patrol or the Department of Food and Agriculture, to exhibit any
record required by this article, or who destroys that record within
two years after making the final entry of any information required
by this article, is guilty of a misdemeanor.

(c) A violation of subdivision (a) or (b) is punishable as follows:

(1) For a first offense, by a fine of not less than one thousand
dollars ($1,000), or by imprisonment in the county jail for not more
than 30 days, or by both that fine and imprisonment.

(2) For a second offense within a period of one year, by a fine
of not less than five thousand dollars ($5,000), or by imprisonment
in the county jail for not more than 30 days, or by both that fine
and imprisonment. In addition to any other punishment imposed
pursuant to this paragraph, the court may enjoin the defendant
from engaging in the business as a transporter, collection center,
or renderer for a period not to exceed 30 days.

(3) For a third or any subsequent offense within a period of two
years, by a fine of not less than ten thousand dollars ($10,000), or
by imprisonment in the county jail for not more than six months,
or by both that fine and imprisonment. In addition to any other
sentence imposed pursuant to this paragraph, the court shall enjoin
the defendant from engaging in the business as a transporter,
collection center, or renderer for a period of 30 days.

begin delete SEC. 13. end delete
begin insert SEC. 15. end insert   

Section 2470 of the Vehicle Code is amended to read:

2470.  

It is unlawful for a person to engage in the transportation
of inedible kitchen grease without being registered with the
Department of Food and Agriculture and without being in
possession of a valid registration certificate issued by that
department, or a copy of the certificate, and a manifest for the
inedible kitchen grease being transported.

begin delete SEC. 14. end delete
begin insert SEC. 16. end insert   

Section 2472 of the Vehicle Code is amended to read:

2472.  

(a) It is unlawful for any person who is not a licensed
renderer or collection center or registered transporter of inedible
kitchen grease to transport that product from any place within this
state to any place outside the borders of this state.

(b) It is unlawful for any person who is not a licensed renderer
or collection center or registered transporter of inedible kitchen
grease to transport that product from any place outside this state
to any place inside the borders of this state.

begin delete SEC. 15. end delete
begin insert SEC. 17. end insert   

Section 2476 of the Vehicle Code is amended to read:

2476.  

A licensed renderer or collection center, registered
transporter, or any other person shall not take possession of inedible
kitchen grease from an unregistered transporter, unlicensed renderer
or collection center, or any other person, or knowingly take
possession of stolen inedible kitchen grease.

begin delete SEC. 16. end delete
begin insert SEC. 18. end insert   

Section 2480 is added to the Vehicle Code, to read:

2480.  

(a) A peace officer may remove a vehicle, within the
territorial limits in which the officer may act, if the vehicle is
involved in the theft or movement of stolen inedible kitchen grease.
If a peace officer removes a vehicle pursuant to this subdivision,
the officer may, after citing or arresting the responsible person,
seize the vehicle, which may be impounded for up to 15 days.

(b) The registered and legal owner of a vehicle removed and
seized pursuant to subdivision (a) or their agents shall be provided
the opportunity for a storage hearing to determine the validity of
the storage in accordance with Section 22852.

(c) (1) Notwithstanding Chapter 10 (commencing with Section
22650) or any other law, an impounding agency shall release a
motor vehicle to the registered owner or his or her agent prior to
the conclusion of the impoundment period described in subdivision
(a) under any of the following circumstances:

(A) If the vehicle is a stolen vehicle and reported as stolen in
accordance with then existing state and local law.

(B) If the legal owner or registered owner of the vehicle is a
rental car agency.

(C) If, prior to the conclusion of the impoundment period, a
citation or notice is dismissed under Section 40500, criminal
charges are not filed by the district attorney because of a lack of
evidence, or the charges are otherwise dismissed by the court.

(2) A vehicle shall be released pursuant to this subdivision only
if the registered owner or his or her agent presents a currently valid
driver’s license to operate the vehicle and proof of current vehicle
registration, or if ordered by a court.

(d) A vehicle seized and removed pursuant to subdivision (a)
shall be released to the legal owner of the vehicle, or the legal
owner’s agent, on or before the 15th day of impoundment if all of
the following conditions are met:

(1) The legal owner is a motor vehicle dealer, bank, credit union,
acceptance corporation, or other licensed financial institution
legally operating in this state, or is another person, not the
registered owner, holding a security interest in the vehicle.

(2) The legal owner or the legal owner’s agent pays all towing
and storage fees related to the impoundment of the vehicle. No
lien sale processing fees shall be charged to a legal owner who
redeems the vehicle on or before the seventh day of impoundment.

(3) The legal owner or the legal owner’s agent presents
foreclosure documents or an affidavit of repossession for the
vehicle.

(e) (1) The registered owner or his or her agent is responsible
for all towing and storage charges related to the impoundment,
and any administrative charges authorized under Section 22850.5.

(2) If the vehicle is a rental vehicle, the rental car agency may
require the person to whom the vehicle was rented to pay all towing
and storage charges related to the impoundment and any
administrative charges authorized under Section 22850.5 incurred
by the rental car agency in connection with obtaining possession
of the vehicle.

(3) The owner is not liable for any towing and storage charges
related to the impoundment if acquittal or dismissal occurs.

(4) The vehicle may not be sold prior to the defendant’s
conviction.

begin delete SEC. 17. end delete
begin insert SEC. 19. end insert   

Section 2482 is added to the Vehicle Code, to read:

2482.  

(a) To assist law enforcement personnel in enforcing
this article, each vehicle transporting inedible kitchen grease shall
have a current registration decal issued by the Department of Food
and Agriculture permanently affixed and prominently displayed
on the upper right corner of the vehicle windshield or in a
conspicuous location on the right side of the trailer being towed.

(b) Each vehicle used in the transportation of inedible kitchen
grease shall conspicuously display the following information on
both front doors of the vehicle in letters not less than two inches
high:

(1) The name of the business or person registered as a transporter
with the Department of Food and Agriculture.

(2) The address of the company or owner, or the carrier
identification number issued by the California Highway Patrol.

(c) Removable signs shall also display the information specified
in subdivision (b).

begin delete SEC. 18. end delete
begin insert SEC. 20. end insert   

No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of
the Government Code, or changes the definition of a crime within
the meaning of Section 6 of Article XIII B of the California
Constitution.