BILL ANALYSIS Ó SENATE TRANSPORTATION & HOUSING COMMITTEE BILL NO: ab 2393 SENATOR MARK DESAULNIER, CHAIRMAN AUTHOR: levine VERSION: 2/21/14 Analysis by: Carrie Cornwell FISCAL: yes Hearing date: June 17, 2014 SUBJECT: Vehicle registration surcharge: fingerprint identification systems DESCRIPTION: This bill authorizes counties to impose either a $1 or $2 vehicle registration surcharge to fund fingerprint identification systems. ANALYSIS: Existing law establishes a basic vehicle registration fee of $46, plus a $24 surcharge for additional personnel for the California Highway Patrol (CHP), for the new or renewal registration of most vehicles. Existing law also authorizes local agencies to impose separate vehicle registration fee surcharges in their respective jurisdictions for a variety of special programs, including $1 for fingerprint identification programs. County boards of supervisors adopt resolutions imposing the surcharge and declaring the purpose of and need for the surcharge. In counties that have imposed the surcharge, commercial vehicles pay an additional $2 and other vehicles pay an additional $1 with their vehicle registrations for the fingerprint program. Existing law continuously appropriates the funds generated by the $1 and $2 surcharges, which are collected by the Department of Motor Vehicles (DMV) and disbursed by the State Controller, to each county that has adopted the required resolution. Counties may only spend these revenues to fund programs that enhance the capacity of local law enforcement to provide automated mobile and fixed-location fingerprint identification of individuals who may be involved in driving under the influence of alcohol or drugs, vehicular manslaughter, and other vehicle-related crimes, as well as other crimes committed while operating a motor vehicle. AB 2393 (LEVINE) Page 2 Every participating county must issue a fiscal year-end report to the State Controller. The State Controller must notify DMV if a participating county either does not file the report or does not expend the surcharge revenue for an authorized purpose. In either instance, DMV suspends collection of the surcharge in that county for a year. This bill authorizes any county that has imposed a $1 vehicle registration surcharge for fingerprint identification systems to increase that surcharge to $2 through a resolution its board of supervisors adopts. In addition, a county without this surcharge currently in place could choose to impose either a $1 or $2 surcharge through a resolution its board of supervisors adopts. Counties that impose $2 surcharges on their regular vehicle registrations would automatically increase the surcharge on commercial vehicles from $2 to $4 as well. The county must submit the resolution to DMV at least six months prior to the date DMV will begin collecting the $2 surcharge. COMMENTS: 1.Purpose of the bill . Since 1986, the State Department of Justice has operated an automated fingerprint identification program, known as Cal-ID. This program is designed to assist law enforcement agencies in various ways, including verifying the identity of persons placed under arrest, identifying human remains, and identifying criminal suspects by the use of fingerprints. Local law enforcement agencies have access to the Cal-ID system, but many agencies had, in the past, reported that the necessary access equipment was antiquated and that they were not financially able to take full advantage of the significant advances in the related technology. In light of these shortcomings, the Legislature enacted SB 720 (Lockyer), Chapter 587, Statutes of 1997, which authorized, until January 1, 2003, participating counties to impose the $1 annual surcharge to fund local law enforcement use of automated mobile and fixed-location fingerprint identification equipment (live-scan). AB 879 (Keeley), Chapter 986, Statutes of 2002 extended the sunset date to 2006 and added requirements for participating counties to report to the State Controller and for the Controller to report to the Legislature on the program. In 2005, AB 857 (Bass), Chapter 470, extended AB 2393 (LEVINE) Page 3 the sunset date until January 1, 2012, and then in 2011, AB 674 (Bonilla), Chapter 205, repealed the sunset date, making the program permanent. Although the program is permanent, the author introduced this bill to restore some of the lost purchasing power of the $1 surcharge, which has not changed since the inception of the program 17 years ago. In addition, proponents note that this increase would enable law enforcement to take advantage of advances in fingerprinting technology. 2.Opposition . Opponents argue that the fee increase proposed in this bill runs afoul of Constitutional provisions governing the imposition of special taxes, namely that imposition of such a tax requires a two-thirds vote of the electorate. 3.Vote of the people . The people passed Proposition 26 in November 2010, and so amended the California Constitution to require that any "change in statute which results in a taxpayer paying a higher tax must be imposed by an act passed by not less than two-thirds of all members elected to each of the two houses of the Legislature." This bill does not result in a taxpayer paying a higher tax but delegates to county boards of supervisors the authority to impose a higher surcharge on vehicle registrations to fund a specific government function. Ultimately, county counsels will have to determine a vote threshold at the county level. So while this bill is a majority vote measure in the Legislature, the local action to increase the registration surcharge may be a two-thirds vote of the electorate in a county. Assembly Votes: Floor: 42-31 Appr: 12-5 L Gov: 6-3 Trans: 9-6 POSITIONS: (Communicated to the committee before noon on Wednesday, June 11, 2014.) SUPPORT: California State Sheriffs' Association (sponsor) Alameda County Sheriff's Office California Association of Crime Laboratory Directors California District Attorneys Association AB 2393 (LEVINE) Page 4 California State Association of Counties Contra Costa County County of San Mateo Office of the Sheriff Napa County Office of Sheriff-Coroner Orange County Sheriff's Department Sheriff-Coroner, Santa Cruz County Sheriff's Office, County of Kern OPPOSED: California Car Clubs California Taxpayers Association Howard Jarvis Taxpayers Association