BILL ANALYSIS �
SB 338
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Date of Hearing: August 21, 2014
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Mike Gatto, Chair
SB 338 (Hill) - As Amended: August 14, 2013
Policy Committee:
TransportationVote:15-0
Urgency: Yes State Mandated Local Program:
Yes Reimbursable: No
SUMMARY
This bill requires limousines to be equipped with fire
extinguishers and be subject to annual safety inspections.
Specifically, this bill:
1)Require limousine that has been modified or extended to
increase vehicle length and passenger capacity to be equipped
with two fire extinguishers, as specified.
2)Authorizes the Public Utilities Commission (PUC) to require
compliance with (1) as a condition for issuing or renewing a
charter-party carrier's permit.
3)Requires the CHP, by January 1, 2015 to adopt regulations and
implement an annual safety inspection program, as specified,
for limousines modified or extended to increase vehicle length
and passenger capacity and that have a capacity of 10
passengers or less. This program is to be consistent with the
CHP's existing inspection program for buses, which covers
limousines with capacity greater than 10.
4)Requires the CHP to transmit inspection data to the PUC
pursuant to the CHP's regulations.
5)Requires the limousine owner or operator to:
a) Certify to the PUC that the vehicle meets all applicable
federal and state vehicle safety standards.
b) Pay a fee of $25 per limousine or a maximum of $6,500 to
offset CHP inspection costs.
SB 338
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FISCAL EFFECT
1)Significant cost to the CHP to establish and implement an
ongoing safety inspection program for limousines with a
capacity of 10 passengers or less. There are an estimated
12,500 such vehicles statewide. The number of these vehicles
that have been modified or extended is unknown, however, but
is estimated at around 4,200 to 5,000. Based on this estimate,
the CHP would require at least eight additional Motor Carrier
Safety Specialist positions and eight vehicles. First-year
costs would be about $1.2 million and ongoing costs would be
about $900,000. The $25 fee specified in the bill would only
generate $312,000 annually to offset these costs, so the
balance would be from the Motor Vehicle Account.
2)With more charter-party vehicles being inspected, the PUC
anticipates workload increases associated with vehicles
failing inspection. This will requires two to three positions
at an annual cost of $120,000 to $180,000, (Transportation
Reimbursement Account).
COMMENTS
1)Background . Charter-party carriers are regulated by the PUC.
Carriers do not include vehicles on a set schedule or between
fix termini, taxi cabs, car rentals, or public transit. Any
carrier that operates extended limousines with a seating
capacity for more than 10 passengers is subject to commercial
vehicle regulatory requirements and thus must comply with the
same driver safety and vehicle maintenance requirements as
charter buses or shuttles, including CHP vehicle inspections,
driver certifications, and hours of service requirements.
Carriers that operate limousines with a seating capacity of
less than 10 passengers remain classified as passenger
vehicles and are not subject to the abovementioned
requirements. Rather, these carriers must submit to the PUC
an application to obtain a permit or certificate, pay a fee,
and provide adequate evidence of reasonable fitness and
financial responsibility.
On May 4, 2013, a limousine fire occurred on the San Mateo
Bridge, killing five passengers who were unable to escape the
vehicle. Several of the other passengers were able to exit
the limousine only after climbing through the partition window
separating the passengers from the driver. Similarly, on June
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9, 2013, nine passengers successfully exited a limousine in
Walnut Creek prior to the vehicle catching fire while idling.
2)Purpose . SB 338 requires additional safety standards on
limousines that have been modified or extended for purposes of
increasing vehicle length and passenger capacity. The author
asserts the bill will improve the safety standards for smaller
carriers by bringing them in line with the standards for
larger carriers.
3)Related Legislation . SB 109 (Corbett), pending in the
Assembly, requires limousines operating in the state to be
equipped with emergency exits.
Analysis Prepared by : Chuck Nicol / APPR. / (916) 319-2081