BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      AB 63


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          Date of Hearing:  April 29, 2015


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                                 Jimmy Gomez, Chair


          AB  
          63 (Bonilla) - As Amended April 22, 2015


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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill requires the California Department of Education (CDE)  
          to apply to the DMV to create a specialized license plate  
          program to fund the purposes of the School Safety and Violence  
          Protection Act.








                                                                      AB 63


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          FISCAL EFFECT:


          1)Potential one-time special fund costs of approximately  
            $440,000 to DMV to establish the specialized license plate  
            program, including computer programming changes and updating  
            forms. Pursuant to current law, DMV will make computer  
            programming and form changes only after program applications  
            meet a 7,500-application threshold. Therefore, the DMV will  
            incur these costs only if it receives enough applications to  
            require the CDE to implement the program. The DMV will incur  
            minor ongoing costs to continue issuing specialty license  
            plates and renewals under the program. All of the DMV's  
            initial and ongoing costs will be covered by a portion of the  
            additional $50 fee paid for original specialized license  
            plates and the additional $40 fee to renew such plates.

          2)Minor costs to CDE to submit the program application and  
            license prototype to DMV, design and print the license plate  
            application, and collect and hold applications and fees until  
            7,500 applications are received. 

          3)Potential ongoing revenue to CDE for grants to school  
            districts, from a portion of the additional fees for new and  
            renewed specialty license plates generated after the funding  
            requirements in (1) are satisfied.

          COMMENTS:


          1)Specialized License Plates. Prior to 2007, any new special  
            interest license plate required specific legislative  
            authorization. This practice was held to be unconstitutional  
            in that the Legislature approved some of the plates, and  
            rejected others, using no standardized or objective criteria  
            for those decisions. Pursuant to AB 84 (Leslie)/Statutes of  
            2006, the DMV will issue specialized license plates when  








                                                                      AB 63


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            sponsored by a state agency, the plate's message and resulting  
            revenues support that agency's program, and at least 7,500  
            paid license applications have been received. The  
            7,500-application threshold attempts to assure that DMV's  
            startup costs are fully covered, by the portion of the  
            registration fee surcharge directed to the department, and to  
            avoid a proliferation of different types of plates, which can  
            be troublesome from a law enforcement perspective.


          2)Purpose. Youth violence is a problem that has serious social,  
            emotional, physical, and economic consequences. Bullying,  
            which has been linked to youth homicides and suicides, is also  
            on the rise in California.  In fact, a recent survey  
            administered by CDE found that one in three middle school and  
            high school students in California report having been harassed  
            or bullied at least once in the previous year.





            The author indicates that the state had provided categorical  
            funding for grants to help raise awareness about and prevent  
            violence, and improve school safety. With enactment of the  
            local control funding formula, however, these grants are no  
            longer in existence. AB 63 attempts to fund these violence  
            prevention programs by creating a new and direct source of  
            funding derived from the sale of youth violence prevention  
            specialized license plates.  


          


          3)Prior Legislation. AB 544 (DeSaulnier) of 2014, a  
            substantially similar bill, failed in Assembly Education due  
            to lack of a motion.









                                                                      AB 63


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            Over the past five years, 13 bills have been introduced  
            directing a state agency to sponsor a specialized license  
            plate for a variety of causes, and eight of these bills were  
            passed by the Legislature and signed by the Governor.  Most  
            recently, in 2014, the following four bills were enacted: AB  
            49 (Buchanan)/Chapter 351, for breast cancer awareness, AB  
            1096 (Nestande)/Chapter 353) for Salton Sea restoration, AB  
            2321 (Gomez)/Chapter 358, for domestic violence prevention,  
            and AB 2450 (Logue), for kidney disease research.





          Analysis Prepared by:Chuck Nicol / APPR. / (916)  
          319-2081