BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



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                                    THIRD READING


          Bill No:  SB 941
          Author:   Monning (D) and DeSaulnier (D), et al.
          Amended:  5/27/14
          Vote:     21

           
           SENATE NATURAL RESOURCES AND WATER COMMITTEE  :  7-1, 4/8/14
          AYES:  Pavley, Evans, Hueso, Jackson, Lara, Monning, Wolk
          NOES:  Fuller
          NO VOTE RECORDED:  Cannella

           SENATE APPROPRIATIONS COMMITTEE  :  5-2, 5/23/14
          AYES:  De León, Hill, Lara, Padilla, Steinberg
          NOES:  Walters, Gaines


           SUBJECT  :    Vessel operator cards

           SOURCE  :     Author


           DIGEST  :    This bill requires that the Division of Boating and  
          Waterways (Division) develop a vessel operator education program  
          and issue a vessel operator card, as specified; and prohibits  
          the operation of any vessel with an engine by anyone who had not  
          received one of the new vessel operator or rental vessel  
          operator cards with certain exceptions.

           ANALYSIS  :    

          Existing law:

          1. Prohibits the operation or navigation of a for-hire vessel,  
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             as defined, in the waters of California while carrying  
             passengers, except by a person who holds a valid operator's  
             license issued by the Division.  Under existing law, a person  
             applying for an operator's license is required to undergo an  
             examination that may include, among other things, and  
             inspection of the for-hire vessel.

          2. Requires the Division to approve boating safety courses and  
             personal watercraft education courses, as specified.

          This bill:

          1. Requires the Division to develop a vessel operator card and a  
             rental vessel operator card to be issued on or before  
             December 31, 2017.

          2. Requires that the program developed or approved by the  
             Division shall be consistent with national boating education  
             standards and include basic vessel operations, rules of  
             navigation, and boating safety.

          3. States that the vessel operator card will be good for the  
             lifetime of the operator.

          4. States that the vessel operator card requirement would  
             phase-in by age group starting with those under 20 years of  
             age by January 1, 2018, and encompassing all operators by  
             January 1, 2025.

          5. Requires, as of January 1, 2018, a rental vessel operator  
             card to operate or rent a rental vessel if the operator does  
             not have a valid vessel operator card.  The rental agent can  
             issue a rental vessel operator card to the rentee or operator  
             after he/she took an abbreviated or site-specific  
             recreational boating course developed and/or approved by the  
             Division and passed an exam.  The rental vessel operator card  
             will be good for 30 days.  Authorizes the Division to charge  
             a rental agent a fee to cover the costs, but not exceed those  
             costs, to the Division of approving a site-specific rental  
             vessel operator examination for the site at which the rental  
             agent operates.

          6. Requires the Division to establish fees, in consultation with  
             a technical advisory group, which are sufficient to cover but  

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             not exceed the reasonable costs of the development,  
             establishment and operation of the program.  Requires the  
             Division to charge a fee not to exceed $30 for the initial  
             vessel operator card issued and a fee not to exceed $10 for a  
             duplicate vessel card.  Requires the fees to be deposited in  
             the newly-created Vessel Operator Certification Account  
             (VOCA).

          7. Specifies that up to a $4 million loan from the Harbors and  
             Watercraft Revolving Fund (HWRF) shall be used to establish  
             the program and the Division has eight years from the  
             effective date of this bill to repay it.

          8. Authorizes the Division to develop and provide a vessel  
             operator examination on the Division's Internet Web site.   
             Requires the Division to provide links from the Division's  
             Internet Web site to other vessel operator examinations  
             approved by the Division that are available through a  
             provider whose course has been approved by the National  
             Association of State Boating Law Administrators.

          9. Specifies that violations are an infraction and the violators  
             are required to complete and pass a boating safety course.

          10.Requires, on or before April 1, 2019, and on or before April  
             1 annually thereafter, the Division to prepare a report that  
             includes all of the following information with respect to the  
             prior calendar year:

             A.    The total number of vessel operator cards issued  
                pursuant to this bill.

             B.    The fees collected, and the cost incurred, by the  
                Division pursuant to this bill.

             C.    The correlation between vessel operator cards issued  
                and the number of accidents, injuries, and fatalities  
                related to the operation of vessels in the state that  
                are reported.

             D.    The number of violations of this bill reported to  
                the Division.

          11.Requires the report to be posted on the Division's Internet  

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             Web site.

          12.Authorizes residents of other states or countries who meet  
             the requirements to operate recreational vessels in those  
             states or countries and are temporarily operating vessels in  
             California waters, and others who meet certain conditions, to  
             operate recreational vessels with engines without possessing  
             vessel or rental vessel operator cards issued in California.

          13.Defines "rental agent," for purposes of this bill, to mean a  
             person engaged in the business of providing for rent a vessel  
             or vessels propelled by an engine, regardless of whether the  
             engine is the principle source of propulsion.
           
          Background
           
          It is the policy of the state to promote boating safety.  The  
          Division, now part of the Department of Parks and Recreation,  
          regulates the operation of vessels in the state's inland and  
          coastal waterways.  Under existing law, no one may operate a  
          for-hire vessel that can carry passengers without a valid  
          operator's license.  Additionally, the Division serves  
          approximately four million recreational boaters statewide who  
          operate approximately 2.6 million recreational boats.  The  
          Division estimates that recreational boating annually  
          contributes several billion dollars to the state's economy.

          The Division recommends that a boating safety class be taken  
          prior to boating and provides links to numerous approved courses  
          available both on and offline.  From 2011-2013, approximately  
          3,000 California boaters participated annually in some form of  
          boating safety course.  Persons convicted of certain offenses  
          while boating (e.g. an alcohol or drug offense or moving  
          violation) are required by the court to take and pass one of  
          these approved courses. 

          From 2001-2012, there have been approximately 730 accidents  
          (range 473-973) and 407 injuries (range 247-502) from  
          recreational boating on average each year.  While the total  
          number of accidents appears to have fallen steadily since 2007,  
          the number of fatalities from recreational boating has remained  
          at about 50 per year for the 2001-2012 time period.  Alcohol is  
          involved in about 50% of all recreational boating fatalities.   
          Most accidents occur on a summer weekend in the early to late  

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          afternoon, although accidents can and do occur year round on any  
          day of the week and at any time of day.  Most accidents involve  
          a collision with another vessel.  From 2010-2012, operator  
          inattention was the most typical cause of accidents (about 36%)  
          followed by excessive speed (about 21%) and operator  
          inexperience (about 20%).

          Almost all vessel operators involved in recreational boating  
          accidents in California have had little-to-no formal boater  
          education.  In only about 10% of reported accidents is an  
          operator involved who has taken a formal boater safety training  
          course.  Nationwide, about 80% of all boating deaths due to  
          accidents involve an operator who has not completed a boating  
          safety education course. 

           FISCAL EFFECT :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes


          According to the Senate Appropriations Committee:


             One-time cost of $4 million from the HWRF (Special Fund) for  
             a loan to the VOCA in 2015, with likely repayments beginning  
             in 2023.

              One-time costs of $2.3 million from the VOCA (Special) for  
              FY 2015-16 to the Division for the creation of the vessel  
              operator and rental operator card.
              Unknown ongoing costs of at least $3.9 million from the  
              VOCA (Special) beginning in FY 2016-17 for the Division to  
              issue vessel operator cards with a potential significant  
              drop in costs after 2025.
             Unknown ongoing revenues, likely in the low millions of  
             dollars to the VOCA (Special) beginning in 2017 from vessel  
             operator card fees with a potential significant drop in  
             revenues after 2025.  

           SUPPORT  :   (Verified  5/27/14)

          Boaterexam.com
          California State Sheriffs' Association
          California Yacht Brokers Association
          Marina Recreation Association

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          Mayor Jerry B. Edelen, City of Del Rey Oaks
          National Boating Federation
          National Marine Manufacturers Association
          Recreational Boaters of California
          Tahoe Community Sailing Foundation, Inc.
          United States Life-Saving Association
          Western Boaters Safety Group

           ARGUMENTS IN SUPPORT :    According to the authors, "Due to the  
          large number of vessels and boating families in the state, it is  
          important to minimize personal injury, loss of life, and  
          property damage associated with recreational boating when  
          vessels are operated improperly."

          They continue "California has enacted numerous laws and programs  
          addressing and enhancing vessel operator safety and education  
          throughout the years, yet it remains one of only six states that  
          do not require individuals to take a boating safety course  
          before operating a vessel. [?] In a study of best practices in  
          boating education conducted by the National Association of State  
          Boating Law Administrators in 2006, it found that states with  
          the longest history of boating education requirements also had  
          lower incidents of boating accidents.  SB 941 will enhance  
          safety on the state's waterways by ensuring that operators of  
          engine-propelled vessels pass a vessel operator examination  
          approved by the [Division]."

          According to the California Yacht Brokers Association and  
          others, "SB 941 is a good example of stakeholders working with  
          policy makers in a cooperative fashion to craft the best  
          legislation possible. [?] SB 941 strikes a good balance between  
          ensuring that vessel operators are sufficiently educated about  
          boating safety and vessel operation without imposing an  
          excessive burden that could serve as a barrier to entry and harm  
          this critical aspect of our state's economy."


          RM:d  5/27/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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