BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                     AB 270


                                                                    Page  1





          Date of Hearing:  March 23, 2015


                        ASSEMBLY COMMITTEE ON TRANSPORTATION


                                 Jim Frazier, Chair


          AB 270  
          (Nazarian) - As Amended March 16, 2015


          SUBJECT:  Specialized license plates:  diabetes awareness


          SUMMARY:  Requires the State Department of Public Health (DPA)  
          to apply to the State Department of Motor Vehicles (DMV) to  
          sponsor a diabetes awareness, education, and research  
          specialized license plate program (program), as specified.   
          Establishes the Diabetes Awareness Fund (fund) and specifies  
          that revenues from the fund will be used by DPA to fund programs  
          related to diabetes awareness and prevention, as specified. 


          EXISTING LAW: 





          1)Allows any state agency to apply to DMV to sponsor a  
            specialized license plate program.  

          2)Requires DMV to issue specialized license plates for that  
            program if the agency complies with all statutory  
            requirements.  

          3)Prohibits DMV from establishing a specialized license plate  








                                                                     AB 270


                                                                    Page  2





            program for an agency until it has received not less than  
            7,500 paid applications for that agency's specialized license  
            plates.  

          4)Requires the agency to collect and hold applications for the  
            plates.  Once the agency has received at least 7,500  
            applications, it must submit the applications, along with the  
            necessary fees, to DMV.  

          5)Prohibits advance payment to DMV of its estimated or actual  
            administrative costs associated with the issuance of a  
            particular specialized license plate from constituting  
            compliance with the 7,500 application threshold requirement.  

          6)Requires funds accruing to a sponsoring state agency from the  
            sale of specialized license plates to be expended exclusively  
            for projects and programs that promote that agency's official  
            policy, mission, or work.  

          7)Allows specialized license plates to feature a distinctive  
            design, decal, or distinctive message in a two-inch by  
            three-inch space to the left of the plate's numerical sequence  
            and a space not larger than 5/8-inch in height below the  
            numerical series.  



          FISCAL EFFECT:  Unknown


          COMMENTS:  Prior to 2007, any new specialized license plate  
          required specific legislative authorization.  That practice was  
          held to be unconstitutional by the federal courts in that the  
          Legislature approved some of the plates and rejected others,  
          while using no standardized or objective criteria for those  
          decisions.  In response to the court decision, AB 84 (Leslie),  
          Chapter 454, Statutes of 2006, established the current  
          specialized license plate program to provide a forum for  
          government speech that promotes California's state policies.  AB  








                                                                     AB 270


                                                                    Page  3





          84 excludes private organizations from seeking specialized  
          license plates as a forum for private speech, and thus addresses  
          the court's objection.  

          Plates now created and the revenue they generate must publicize  
          or promote a state agency, or the official policy, mission, or  
          work of a state agency.  Furthermore, the process requires that  
          at least 7,500 paid applications must be received by the state  
          agency prior to notifying DMV.  The 7,500-application threshold  
          was previously put into statute for specialized license plates  
          and was arrived at in an attempt to assure that DMV's startup  
          costs would be fully covered by the portion of the registration  
          fee surcharge that is directed to DMV and to avoid a  
          proliferation of different types of plates, which can be  
          troublesome from a law enforcement perspective.  

          Diabetes is a serious medical condition that has impacted people  
          across the entire United States.  According to the Center for  
          Disease Control and Prevention (CDC), 28.9 million people over  
          age 20 have diabetes.  Moreover, recent studies cited in a  
          California State Auditor (CSA) report (2014) found that the  
          number of people diagnosed with diabetes in California has  
          jumped 50 percent from 2001 to 2012.  While cases of diabetes  
          have increased, CSA further reported that funding for diabetes  
          prevention has declined over the past several years and has  
          resulted in program expenditure cuts.  

          The author introduced this bill in attempt to establish an  
          additional funding source for diabetes prevention and raise  
          awareness through education and outreach efforts.  The author  
          notes that this bill "will establish a diabetes specialized  
          license plate in order to promote diabetes awareness and allow  
          motorist to show their support for the prevention of diabetes."   


          Previous legislation: Over the past 5 years, 13 bills have been  
          introduced directing a state agency to sponsor a specialized  
          license plate for a variety of causes.  Of the 13 bills, eight  
          passed the Legislature and were signed by the Governor.  Most  








                                                                     AB 270


                                                                    Page  4





          recently, in 2014, four bills were introduced and enacted to  
          raise money for Salton Sea restoration [AB 1096 (Nestande),  
          Chapter 353, Statutes of 2014], kidney disease research [AB 2450  
          (Logue), Chapter 359, Statutes of 2014], breast cancer awareness  
          [AB 49 (Buchanan), Chapter 351, Statutes of 2014], and domestic  
          violence prevention [AB 2321 (Gomez), Chapter 358, Statutes of  
          2014].   



          REGISTERED SUPPORT / OPPOSITION:




          Support
          


          American Diabetes Association


          American Federation of State, County, and Municipal, AFL-CIO 


          Behavioral Diabetes Institute 




          Opposition


          None on file 




          Analysis Prepared by:Manny Leon / TRANS. / (916) 319-2093








                                                                     AB 270


                                                                    Page  5