Amended in Senate April 14, 2016

Amended in Senate September 4, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 650


Introduced by Assembly Memberbegin delete Pereaend deletebegin insert Lowend insert

February 24, 2015


begin deleteAn act to amend Sections 19607.2 and 19607.3 of the Business and Professions Code, relating to horse racing, and declaring the urgency thereof, to take effect immediately. end deletebegin insertAn act to amend Section 85 of the Code of Civil Procedure, to repeal Sections 53075.5, 53075.6, 53075.61, 53075.7, 53075.8, and 53075.9 of the Government Code, to amend Section 830.7 of the Penal Code, to amend Sections 5353, 5411.5, 5412.2, 5413.5, and 120269 of, and to add Chapter 8.5 (commencing with Section 5451) to Division 2 of, the Public Utilities Code, and to amend Sections 1808.1, 12523.6, 16500, 21100, 21100.4, and 27908 of the Vehicle Code, relating to transportation.end insert

LEGISLATIVE COUNSEL’S DIGEST

AB 650, as amended, begin deletePereaend delete begin insertLowend insert. begin deleteHorse racing: thoroughbred racing: northern zone: auxiliary offsite stabling, training, and vanning. end deletebegin insertPublic Utilities Commission: regulation of taxicabs.end insert

begin insert

Existing law provides for regulation of various types of passenger carriers by the Public Utilities Commission, including passenger stage corporations and charter-party carriers of passengers. Existing law, among other transportation services, provides for regulation of limousines and transportation network companies by the commission as charter-party carriers of passengers. Existing law requires every city and county to adopt an ordinance to regulate taxicab service within its jurisdiction, and exempts taxicab service from commission regulation.

end insert
begin insert

This bill would enact the Taxicab Transportation Services Act and provide for the regulation of taxicab transportation services by the commission as a matter of statewide concern. The bill would provide for issuance of permits by the commission to taxicab carriers authorizing carriers to operate in one or more of 7 designated regions in the state. The bill would require drivers of taxicabs to obtain a taxi driver permit from the commission, and would specify the requirements that an applicant must meet. The bill would enact various provisions relating to insurance, vehicle inspections, monitoring of taxicab drivers, and other matters. The bill would exempt fares or fees charged by taxicab carriers from commission regulation, but would authorize the commission to require the disclosure of fares and fees, as specified. The bill would prohibit entities from providing taxicab transportation services without the required permit, and would provide for the commission to investigate and take action against unlicensed activity. The bill would repeal provisions providing for city and county regulation of taxicab services, but would authorize airports to continue to regulate the provision of taxicab transportation services to and from airports. The bill would require cities and counties that license taxicab services as of December 31, 2016, to forward to the commission licensure information for each licensee, as specified, and would thereby impose a state-mandated local program. The bill also would make conforming changes to other related provisions.

end insert
begin insert

A violation of the Taxicab Transportation Services Act would be a crime and in certain cases would also be subject to a civil penalty. The bill would also require applications for taxicab carrier permits to be verified under oath, and would require certain statements by taxicab carriers relative to workers’ compensation to be submitted to the commission under penalty of perjury. The bill would thereby impose a state-mandated local program by creating new crimes.

end insert
begin insert

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

end insert
begin insert

This bill would provide that with regard to certain mandates no reimbursement is required by this act for a specified reason.

end insert
begin insert

With regard to any other mandates, this bill would provide that, if the Commission on State Mandates determines that the bill contains costs so mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

end insert
begin delete

(1) The Horse Racing Law requires, when satellite wagering is conducted on thoroughbred races at associations or fairs in the northern zone, that an amount not to exceed 1.25% of the total amount handled by all of those satellite wagering facilities be deducted from the funds otherwise allocated for distribution as commissions, purses, and owners’ premiums and instead distributed to an organization formed and operated by thoroughbred racing associations, fairs conducting thoroughbred racing, and the organization representing thoroughbred horsemen, to administer a fund to provide reimbursement for offsite stabling at California Horse Racing Board-approved auxiliary training facilities for additional stalls beyond the number of usable stalls the association or fair is required to make available and maintain, and for the vanning of starters from these additional stalls on racing days for thoroughbred horses.

end delete
begin delete

This bill would increase the amount that is required to be deducted to an amount not to exceed 2% and would provide that this amount, if adjusted by the board, may be a different percentage of the handle for different associations and fairs but only if all the associations and fairs agree to the differing percentages. The bill would establish an auxiliary offsite stabling and training facility and vanning program for thoroughbred races in the northern zone. The bill would revise and recast the provisions governing the organization formed and operated to administer the fund to include, among other things, a 50-50 percentage allocation of specified voting interests on the board of the organization, the use of funds to pay the organization’s expenses and compensate the provider of a board-approved auxiliary facility for offsite stabling and training of thoroughbred horses in the northern zone, and the requirement that the organization submit its proposed financial and operational plans for the upcoming calendar year to the board for review no later than November 1 of the preceding year.

end delete
begin delete

The bill would also require that the funds be used to cover all or part of the cost of vanning thoroughbred horses in the northern zone from a board-approved auxiliary offsite stabling and training facility and would authorize the organization to enter into multiyear contracts for auxiliary facilities in the northern zone subject to specified conditions. The bill would authorize the organization to use the funds to pay back commissions, purses, and owners’ premiums to the extent that the deductions made exceed in any year the amount of the funds necessary to achieve the objectives of the organization. The bill would also authorize a thoroughbred racing association or fair in the northern zone to opt out of the auxiliary offsite stabling and training facility and vanning program, as specified. The bill would provide that the board shall reserve the right to adjudicate any disputes that arise regarding costs, or other matters, relating to the furnishing of offsite stabling, training, or vanning, as specified.

end delete
begin delete

(2) By expanding the provisions of the Horse Racing Law, a violation of which is a crime, the bill would create new crimes and would thereby impose a state-mandated local program.

end delete
begin delete

(3) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

end delete
begin delete

This bill would provide that no reimbursement is required by this act for a specified reason.

end delete
begin delete

(4) This bill would declare that it is to take effect immediately as an urgency statute.

end delete

Vote: begin delete23 end deletebegin insertmajorityend insert. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

P4    1begin insert

begin insertSECTION 1.end insert  

end insert

begin insertSection 85 of the end insertbegin insertCode of Civil Procedureend insertbegin insert is
2amended to read:end insert

3

85.  

An action or special proceeding shall be treated as a limited
4civil case if all of the following conditions are satisfied, and,
5notwithstanding any statute that classifies an action or special
6proceeding as a limited civil case, an action or special proceeding
7shall not be treated as a limited civil case unless all of the following
8conditions are satisfied:

9(a) The amount in controversy does not exceed twenty-five
10thousand dollars ($25,000). As used in this section, “amount in
11controversy” means the amount of the demand, or the recovery
12sought, or the value of the property, or the amount of the lien, that
13is in controversy in the action, exclusive of attorneys’ fees, interest,
14and costs.

15(b) The relief sought is a type that may be granted in a limited
16civil case.

17(c) The relief sought, whether in the complaint, a
18cross-complaint, or otherwise, is exclusively of a type described
P5    1in one or more statutes that classify an action or special proceeding
2as a limited civil case or that provide that an action or special
3proceeding is within the original jurisdiction of the municipal
4court, including, but not limited to, the following provisions:

5(1) Section 798.61 or 798.88 of the Civil Code.

6(2) Section 1719 of the Civil Code.

7(3) Section 3342.5 of the Civil Code.

8(4) Section 86.

9(5) Section 86.1.

10(6) Section 1710.20.

11(7) Section 7581 of the Food and Agricultural Code.

12(8) Section 12647 of the Food and Agricultural Code.

13(9) Section 27601 of the Food and Agricultural Code.

14(10) Section 31503 of the Food and Agricultural Code.

15(11) Section 31621 of the Food and Agricultural Code.

16(12) Section 52514 of the Food and Agricultural Code.

17(13) Section 53564 of the Food and Agricultural Code.

18(14) Section 53069.4 of the Government Code.

19(15) Sectionbegin delete 53075.6end deletebegin insert 5411.5end insert of thebegin delete Governmentend deletebegin insert Public Utilitiesend insert
20 Code.

21(16) Sectionbegin delete 53075.61end deletebegin insert 5460.12end insert of thebegin delete Governmentend deletebegin insert Public
22Utilitiesend insert
Code.

begin delete end deletebegin delete

23(17) Section 5411.5 of the Public Utilities Code.

end delete
begin delete end deletebegin delete

24(18)

end delete

25begin insert(17)end insert Section 9872.1 of the Vehicle Code.

begin delete

26(19)

end delete

27begin insert(18)end insert Section 10751 of the Vehicle Code.

begin delete

28(20)

end delete

29begin insert(19)end insert Section 14607.6 of the Vehicle Code.

begin delete

30(21)

end delete

31begin insert(20)end insert Section 40230 of the Vehicle Code.

begin delete

32(22)

end delete

33begin insert(21)end insert Section 40256 of the Vehicle Code.

34begin insert

begin insertSEC. 2.end insert  

end insert

begin insertSection 53075.5 of the end insertbegin insertGovernment Codeend insertbegin insert is repealed.end insert

begin delete
35

53075.5.  

(a) Notwithstanding Chapter 8 (commencing with
36Section 5351) of Division 2 of the Public Utilities Code, every
37city or county shall protect the public health, safety, and welfare
38by adopting an ordinance or resolution in regard to taxicab
39transportation service rendered in vehicles designed for carrying
P6    1not more than eight persons, excluding the driver, which is operated
2within the jurisdiction of the city or county.

3(b) Each city or county shall provide for, but is not limited to
4providing for, the following:

5(1) A policy for entry into the business of providing taxicab
6transportation service. The policy shall include, but need not be
7limited to, all of the following provisions:

8(A) Employment, or an offer of employment, as a taxicab driver
9in the jurisdiction, including compliance with all of the
10requirements of the program adopted pursuant to paragraph (3),
11shall be a condition of issuance of a driver’s permit.

12(B) The driver’s permit shall become void upon termination of
13employment.

14(C) The driver’s permit shall state the name of the employer.

15(D) The employer shall notify the city or county upon
16termination of employment.

17(E) The driver shall return the permit to the city or county upon
18termination of employment.

19(2) The establishment or registration of rates for the provision
20of taxicab transportation service.

21(3) (A) A mandatory controlled substance and alcohol testing
22certification program. The program shall include, but need not be
23limited to, all of the following requirements:

24(i) Drivers shall test negative for each of the controlled
25substances specified in Part 40 (commencing with Section 40.1)
26of Title 49 of the Code of Federal Regulations, before employment.
27Drivers shall test negative for these controlled substances and for
28alcohol as a condition of permit renewal or, if no periodic permit
29renewals are required, at such other times as the city or county
30shall designate. As used in this section, a negative test for alcohol
31means an alcohol screening test showing a breath alcohol
32concentration of less than 0.02 percent.

33(ii) Procedures shall be substantially as in Part 40 (commencing
34with Section 40.1) of Title 49 of the Code of Federal Regulations,
35except that the driver shall show a valid California driver’s license
36at the time and place of testing, and except as provided otherwise
37in this section. Requirements for rehabilitation and for
38return-to-duty and followup testing and other requirements, except
39as provided otherwise in this section, shall be substantially as in
P7    1Part 382 (commencing with Section 382.101) of Title 49 of the
2Code of Federal Regulations.

3(iii) A test in one jurisdiction shall be accepted as meeting the
4same requirement in any other jurisdiction. Any negative test result
5shall be accepted for one year as meeting a requirement for periodic
6permit renewal testing or any other periodic testing in that
7jurisdiction or any other jurisdiction, if the driver has not tested
8positive subsequent to a negative result. However, an earlier
9negative result shall not be accepted as meeting the
10pre-employment testing requirement for any subsequent
11employment, or any testing requirements under the program other
12than periodic testing.

13(iv) In the case of a self-employed independent driver, the test
14results shall be reported directly to the city or county, which shall
15notify the taxicab leasing company of record, if any, of positive
16results. In all other cases, the results shall be reported directly to
17the employing transportation operator, who may be required to
18notify the city or county of positive results.

19(v) All test results are confidential and shall not be released
20without the consent of the driver, except as authorized or required
21by law.

22(vi) Self-employed independent drivers shall be responsible for
23compliance with, and shall pay all costs of, this program with
24regard to themselves. Employing transportation operators shall be
25responsible for compliance with, and shall pay all costs of, this
26program with respect to their employees and potential employees,
27except that an operator may require employees who test positive
28to pay the costs of rehabilitation and of return-to-duty and followup
29testing.

30(vii) Upon the request of a driver applying for a permit, the city
31or county shall give the driver a list of the consortia certified
32pursuant to Part 382 (commencing with Section 382.101) of Title
3349 of the Code of Federal Regulations that the city or county knows
34offer tests in or near the jurisdiction.

35(B) No evidence derived from a positive test result pursuant to
36the program shall be admissible in a criminal prosecution
37concerning unlawful possession, sale or distribution of controlled
38substances.

39(c) Each city or county may levy service charges, fees, or
40assessments in an amount sufficient to pay for the costs of carrying
P8    1out an ordinance or resolution adopted in regard to taxicab
2transportation services pursuant to this section.

3(d) Nothing in this section prohibits a city or county from
4adopting additional requirements for a taxicab to operate in its
5jurisdiction.

6(e) For purposes of this section, “employment” includes
7self-employment as an independent driver.

end delete
8begin insert

begin insertSEC. 3.end insert  

end insert

begin insertSection 53075.6 of the end insertbegin insertGovernment Codeend insertbegin insert is repealed.end insert

begin delete
9

53075.6.  

Whenever a peace officer or public officer or
10employee, when authorized by ordinance and as defined in Section
11836.5 of the Penal Code, arrests any person for operating as a
12taxicab without a valid taxicab certificate, license, or permit
13required by any ordinance, and the offense occurred at a public
14airport, within 100 feet of a public airport, or within two miles of
15the international border between the United States and Mexico,
16the officer or employee may impound and retain possession of any
17vehicle used in a violation of the ordinance.

18If the vehicle is seized from a person who is not the owner of
19the vehicle, the impounding authority shall immediately give notice
20to the owner by first-class mail.

21The vehicle shall immediately be returned to the owner without
22cost to the owner if the infraction or violation is not prosecuted or
23is dismissed, the owner is found not guilty of the offense, or it is
24determined that the vehicle was used in violation of the ordinance
25without the knowledge and consent of the owner. Otherwise, the
26vehicle shall be returned to the owner upon payment of any fine
27ordered by the court. After the expiration of six weeks from the
28final disposition of the criminal case, the impounding authority
29may deal with the vehicle as lost or abandoned property under
30Section 1411 of the Penal Code.

31At any time, a person may make a motion in superior court for
32the immediate return of a vehicle on the ground that there was no
33probable cause to seize it or that there is some other good cause,
34as determined by the court, for the return of the vehicle. A
35proceeding under this paragraph is a limited civil case.

36No officer or employee, however, shall impound any vehicle
37owned or operated by a nonprofit organization exempt from
38taxation pursuant to Section 501(c)(3) of the Internal Revenue
39Code which serves youth or senior citizens and provides
40transportation incidental to its programs or services.

end delete
P9    1begin insert

begin insertSEC. 4.end insert  

end insert

begin insertSection 53075.61 of the end insertbegin insertGovernment Codeend insertbegin insert is repealed.end insert

begin delete
2

53075.61.  

A transportation inspector, authorized by a local
3government to cite any person for operating as a taxicab without
4a valid taxicab certificate, license, or permit required by any
5ordinance, may impound and retain possession of any vehicle used
6in a violation of the ordinance.

7If the vehicle is seized from a person who is not the owner of
8the vehicle, the impounding authority shall immediately give notice
9to the owner by first-class mail.

10The vehicle shall immediately be returned to the owner without
11cost to the owner if the infraction or violation is not prosecuted or
12is dismissed, the owner is found not guilty of the offense, or it is
13determined that the vehicle was used in violation of the ordinance
14without the knowledge and consent of the owner. Otherwise, the
15vehicle shall be returned to the owner upon payment of any fine
16ordered by the court. After the expiration of six weeks from the
17final disposition of the criminal case, the impounding authority
18may deal with the vehicle as lost or abandoned property under
19Section 1411 of the Penal Code.

20At any time, a person may make a motion in superior court for
21the immediate return of a vehicle on the ground that there was no
22probable cause to seize it or that there is some other good cause,
23as determined by the court, for the return of the vehicle. A
24proceeding under this paragraph is a limited civil case.

25No officer or employee, however, shall impound any vehicle
26owned or operated by a nonprofit organization exempt from
27taxation pursuant to Section 501(c)(3) of the Internal Revenue
28Code which serves youth or senior citizens and provides
29transportation incidental to its programs or services.

end delete
30begin insert

begin insertSEC. 5.end insert  

end insert

begin insertSection 53075.7 of the end insertbegin insertGovernment Codeend insertbegin insert is repealed.end insert

begin delete
31

53075.7.  

(a) Upon receipt of a complaint containing sufficient
32information to warrant conducting an investigation, the local
33agency shall investigate any business that advertises or operates
34taxicab transportation service for hire. The local agency shall, by
35ordinance, resolution, or other appropriate procedure, adopt criteria
36that establishes the type of information, if contained in a complaint,
37that is sufficient to warrant an investigation. Pursuant to this
38investigation, the local agency shall do all of the following:

P10   1(1) Determine which businesses, if any, are required to have in
2effect a valid taxicab certificate, license, or permit as required by
3ordinance, but do not have that valid authority to operate.

4(2) Inform any business not having valid authority to operate
5that it is in violation of law.

6(3) Within 60 days of informing the business pursuant to
7paragraph (2), institute civil or criminal proceedings, or both,
8pursuant to the governing municipal code or other authority of
9jurisdiction.

10(b) For purposes of this section:

11(1) “Advertises” means any action described in subdivision (b)
12of Section 53075.9.

13(2) “Local agency” means the local entity responsible for the
14regulation, including, but not limited to, the certification, licensing,
15or permitting of, and enforcement of rules, regulations, or
16ordinances governing, taxicabs within the local jurisdiction.

end delete
17begin insert

begin insertSEC. 6.end insert  

end insert

begin insertSection 53075.8 of the end insertbegin insertGovernment Codeend insertbegin insert is repealed.end insert

begin delete
18

53075.8.  

(a) The Legislature finds and declares that advertising
19and use of telephone service is essential for a taxicab transportation
20service to obtain business and conduct intrastate passenger
21transportation services. Unlawful advertisements by taxicabs
22operating without a valid taxicab certificate, license, or permit
23required by any ordinance has resulted in properly certificated,
24licensed, and permitted taxicab operators competing with these
25taxicabs operating without a proper taxicab certificate, license, or
26permit using unfair business practices. Taxicabs operating without
27a proper taxicab certificate, license, or permit have also exposed
28passengers to unscrupulous persons who portray themselves as
29lawful operators. Many of these taxicabs operating without a proper
30taxicab certificate, license, or permit have been found to have also
31been operating without insurance, or in an unsafe manner, thereby
32placing their passengers at risk.

33(b) (1) The Legislature further finds and declares that the
34termination of telephone service utilized by taxicabs operating
35without proper authority is essential to ensure the public safety
36and welfare. Therefore, local agencies should take enforcement
37action, as specified in this section, to disconnect telephone service
38of unauthorized taxicab operators who unlawfully advertise
39passenger transportation services in yellow page directories and
40other publications. The enforcement actions provided for by this
P11   1section are consistent with the decision of the California Supreme
2Court in Goldin v. Public Utilities Commission (1979) 23 Cal. 3d
3638.

4(2) For purposes of this section, a telephone corporation or
5telegraph corporation, or a corporation that holds a controlling
6interest in the telephone or telegraph corporation, or any business
7that is a subsidiary or affiliate of the telephone or telegraph
8corporation, that has the name and address of the subscriber to a
9telephone number being used by a unauthorized taxicab operator
10shall provide the local agency, or an authorized officer or employee
11of the local agency, upon demand, and the order of a magistrate,
12access to this information. A magistrate may only issue an order
13for the purposes of this subdivision, if the magistrate has made the
14findings required by paragraph (2) of subdivision (f).

15(c) (1) In addition to any other remedies that may be available
16by law, if a local agency determines that a taxicab transportation
17service has operated within the local agency’s jurisdiction in
18violation of the local agency’s ordinance adopted under Section
1953075.5, the local agency may notify the taxicab operator that the
20local agency intends to seek termination of the operator’s telephone
21service. The notice shall be sent by certified mail to the operator
22at the operator’s last known mailing address. If the local agency
23is unable to determine the operator’s mailing address, the local
24agency shall post the notice for at least 10 calendar days.

25(2) The notice shall contain sufficient information to identify
26the taxicab transportation service, to inform the taxicab operator
27of the alleged violations of the local agency’s ordinance, and the
28procedures for protesting the allegations contained in the notice.

29(d) The taxicab operator, within 10 calendar days of the date of
30the notice, may contest the allegations contained in the notice by
31filing a written protest with the local agency. The local agency
32shall schedule a hearing on the protest within 21 calendar days of
33receiving the protest.

34(e) The governing body of the local agency, or any person or
35persons as may be designated by the governing body, shall hear
36the protest. The local agency shall have both the burden of
37providing that the use made, or to be made, of the telephone service
38is to hold out to the public to perform, or to assist in performing,
39services as a taxicab transportation service, and that the telephone
40service is being, or is to be, used as an instrumentality, directly or
P12   1indirectly, to violate, or assist in violating, the local agency’s
2applicable ordinance. The taxicab operator, or his or her designated
3representative, shall be allowed to present evidence to answer or
4refute any allegations presented to the hearing body by the local
5agency. The hearing body may continue the hearing from time to
6time. Within 10 calendar days of the close of the hearing, the
7hearing body shall issue a written decision to uphold or reject, in
8whole or in part, the allegations contained in the notice. If the
9hearing body upholds the allegations in whole or in part, the written
10decision shall state either that the allegations are sufficient to justify
11seeking termination of the taxicab operator’s telephone service,
12or that the allegations are not sufficient.

13(f) (1) If the local agency does not receive a timely protest, or,
14after a protest hearing held pursuant to subdivision (d), the hearing
15body has determined that the allegations are sufficient to justify
16seeking termination of the telephone operator’s telephone service,
17the local agency may seek termination of the taxicab operator’s
18telephone service as provided in this section.

19(2) A telephone or telegraph corporation shall refuse telephone
20service to a new subscriber and shall disconnect telephone service
21of an existing subscriber only after it is shown that other available
22enforcement remedies of the local agency have failed to terminate
23unlawful activities detrimental to the public welfare and safety,
24and upon receipt from any authorized officer or employee of the
25local agency of a writing, signed by a magistrate, as defined by
26Sections 807 and 808 of the Penal Code, finding that probable
27cause exists to believe that the subscriber is advertising or holding
28out to the public to perform taxicab transportation services in
29violation of the local agency’s applicable ordinance, or that the
30telephone service otherwise is being used or is to be used as an
31instrumentality, directly or indirectly, to violate or assist in
32violation of the laws requiring a taxicab operator to have valid
33operating authority. Included in the writing of the magistrate shall
34be a finding that there is probable cause to believe that the subject
35telephone facilities have been, or are to be, used in the commission
36or facilitation of holding out to the public to perform taxicab
37transportation services in violation of the local agency’s applicable
38ordinance.

39(g) The telephone or telegraph corporation, immediately upon
40refusal or disconnection of service in accordance with paragraph
P13   1(2) of subdivision (f), shall notify the subscriber in writing that the
2refusal or disconnection of telephone service has been made
3pursuant to a request of a local agency and the writing of a
4magistrate, and shall include a copy of this section, a copy of the
5writing of the magistrate, and a statement that the customer of the
6subscriber may request information from the local agency
7concerning any provision of this section and the manner in which
8a complaint may be filed.

9(h) The provisions of this section are an implied term of every
10contract for telephone service and a part of any application for
11telephone service. Applicants for, and subscribers and customers
12of, telephone service, have, as a matter of law, consented to the
13provisions of this section as a consideration for the furnishing of
14the telephone service.

15(i) As used in this section, the terms “person,” “customer,” and
16“subscriber” include the subscriber to telephone service, any person
17using the telephone service of a subscriber, an applicant for
18telephone service, a corporation, a limited liability company, a
19partnership, an association, and includes their lessees and assigns.

20(j) As used in this section, the following terms have the
21following meanings:

22(1) “Authorized officer or employee of the local agency”
23includes any employee of the local agency designated by the local
24agency’s governing body.

25(2) “Local agency” has the same meaning as specified in
26subdivision (b) of Section 53075.7.

27(3) “Telegraph corporation” has the same meaning as specified
28in Section 236 of the Public Utilities Code.

29(4) “Telephone corporation” has the same meaning as specified
30in Section 234 of the Public Utilities Code.

end delete
31begin insert

begin insertSEC. 7.end insert  

end insert

begin insertSection 53075.9 of the end insertbegin insertGovernment Codeend insertbegin insert is repealed.end insert

begin delete
32

53075.9.  

(a) Every taxicab transportation service shall include
33the number of its certificate, license, or permit in every written or
34oral advertisement of the services it offers.

35(b) For purposes of this subdivision, “advertisement” includes,
36but is not limited to, the issuance of any card, sign, or device to
37any person, the causing, permitting, or allowing the placement of
38any sign or marking on or in any building or structure, or in any
39media form, including newspaper, magazine, radiowave, satellite
P14   1signal, or any electronic transmission, or in any directory soliciting
2taxicab transportation services subject to this chapter.

3(c) Whenever the local agency, after a hearing, finds that any
4person or corporation is operating as a taxicab transportation
5service without a valid certificate, license, or permit or fails to
6include in any written or oral advertisement the number required
7by subdivision (a), the local agency may impose a fine of not more
8than five thousand dollars ($5,000) for each violation. The local
9agency may assess the person or corporation an amount sufficient
10to cover the reasonable expense of investigation incurred by the
11local agency. The local agency may assess interest on any fine or
12assessment imposed, to commence on the day the payment of the
13fine or assessment becomes delinquent. All fines, assessments,
14and interest collected shall be deposited at least once each month
15in a fund established for the purpose of enforcing this section.

16(d) For purposes of this section, “local agency” has the same
17meaning as specified in subdivision (b) of Section 53075.7.

end delete
18begin insert

begin insertSEC. 8.end insert  

end insert

begin insertSection 830.7 of the end insertbegin insertPenal Codeend insertbegin insert is amended to read:end insert

19

830.7.  

The following persons are not peace officers but may
20exercise the powers of arrest of a peace officer as specified in
21Section 836 during the course and within the scope of their
22employment, if they successfully complete a course in the exercise
23of those powers pursuant to Section 832:

24(a) Persons designated by a cemetery authority pursuant to
25Section 8325 of the Health and Safety Code.

26(b) Persons regularly employed as security officers for
27independent institutions of higher education, recognized under
28subdivision (b) of Section 66010 of the Education Code, if the
29institution has concluded a memorandum of understanding,
30permitting the exercise of that authority, with the sheriff or the
31chief of police within whose jurisdiction the institution lies.

32(c) Persons regularly employed as security officers for health
33facilities, as defined in Section 1250 of the Health and Safety Code,
34that are owned and operated by cities, counties, and cities and
35counties, if the facility has concluded a memorandum of
36understanding, permitting the exercise of that authority, with the
37sheriff or the chief of police within whose jurisdiction the facility
38lies.

39(d) Employees or classes of employees of the California
40Department of Forestry and Fire Protection designated by the
P15   1Director of Forestry and Fire Protection, provided that the primary
2duty of the employee shall be the enforcement of the law as that
3duty is set forth in Section 4156 of the Public Resources Code.

4(e) Persons regularly employed as inspectors, supervisors, or
5security officers for transit districts, as defined in Section 99213
6of the Public Utilities Code, if the district has concluded a
7memorandum of understanding permitting the exercise of that
8authority, with, as applicable, the sheriff, the chief of police, or
9the Department of the California Highway Patrol within whose
10jurisdiction the district lies. For the purposes of this subdivision,
11the exercise of peace officer authority may include the authority
12to remove a vehicle from a railroad right-of-way as set forth in
13Section 22656 of the Vehicle Code.

14(f) Nonpeace officers regularly employed as county parole
15officers pursuant to Section 3089.

16(g) Persons appointed by the Executive Director of the California
17Science Center pursuant to Section 4108 of the Food and
18Agricultural Code.

begin delete end deletebegin delete

19(h) Persons regularly employed as investigators by the
20Department of Transportation for the City of Los Angeles and
21designated by local ordinance as public officers, to the extent
22necessary to enforce laws related to public transportation, and
23authorized by a memorandum of understanding with the chief of
24police, permitting the exercise of that authority. For the purposes
25of this subdivision, “investigator” means an employee defined in
26Section 53075.61 of the Government Code authorized by local
27ordinance to enforce laws related to public transportation.
28Transportation investigators authorized by this section shall not
29be deemed “peace officers” for purposes of Sections 241 and 243.

end delete
begin delete end deletebegin delete

30(i)

end delete

31begin insert(h)end insert Persons regularly employed by any department of the City
32of Los Angeles who are designated as security officers and
33authorized by local ordinance to enforce laws related to the
34preservation of peace in or about the properties owned, controlled,
35operated, or administered by any department of the City of Los
36Angeles and authorized by a memorandum of understanding with
37the Chief of Police of the City of Los Angeles permitting the
38exercise of that authority. Security officers authorized pursuant to
39this subdivision shall not be deemed peace officers for purposes
40of Sections 241 and 243.

begin delete

P16   1(j)

end delete

2begin insert(i)end insert Illegal dumping enforcement officers or code enforcement
3officers, to the extent necessary to enforce laws related to illegal
4waste dumping or littering, and authorized by a memorandum of
5understanding with, as applicable, the sheriff or chief of police
6within whose jurisdiction the person is employed, permitting the
7exercise of that authority. An “illegal dumping enforcement officer
8or code enforcement officer” is defined, for purposes of this
9section, as a person employed full time, part time, or as a volunteer
10after completing training prescribed by law, by a city, county, or
11city and county, whose duties include illegal dumping enforcement
12and who is designated by local ordinance as a public officer. An
13illegal dumping enforcement officer or code enforcement officer
14may also be a person who is not regularly employed by a city,
15county, or city and county, but who has met all training
16requirements and is directly supervised by a regularly employed
17illegal dumping enforcement officer or code enforcement officer
18conducting illegal dumping enforcement. This person shall not
19have the power of arrest or access to summary criminal history
20information pursuant to this section. No person may be appointed
21as an illegal dumping enforcement officer or code enforcement
22officer if that person is disqualified pursuant to the criteria set forth
23in Section 1029 of the Government Code. Persons regularly
24employed by a city, county, or city and county designated pursuant
25to this subdivision may be furnished state summary criminal history
26information upon a showing of compelling need pursuant to
27subdivision (c) of Section 11105.

28begin insert

begin insertSEC. 9.end insert  

end insert

begin insertSection 5353 of the end insertbegin insertPublic Utilities Codeend insertbegin insert is amended
29to read:end insert

30

5353.  

This chapter does not apply to any of the following:

31(a) Transportation service rendered wholly within the corporate
32limits of a single city or city and county and licensed or regulated
33by ordinance.

34(b) Transportation of school pupils conducted by or under
35contract with the governing board of any school district entered
36into pursuant to the Education Code.

37(c) Common carrier transportation services between fixed
38termini or over a regular route that are subject to authorization
39pursuant to Article 2 (commencing with Section 1031) of Chapter
405 of Part 1 of Division 1.

P17   1(d) Transportation services occasionally afforded for farm
2employees moving to and from farms on which employed when
3the transportation is performed by the employer in an owned or
4leased vehicle, or by a nonprofit agricultural cooperative
5association organized and acting within the scope of its powers
6under Chapter 1 (commencing with Section 54001) of Division
720 of the Food and Agricultural Code, and without any requirement
8for the payment of compensation therefor by the employees.

9(e) Transportation service rendered by a publicly owned transit
10system.

11(f) Passenger vehicles carrying passengers on a noncommercial
12enterprise basis.

13(g) Taxicab transportationbegin delete service licensed and regulated by a
14city or county, by ordinance or resolution, rendered in vehicles
15designed for carrying not more than eight persons excluding the
16driver.end delete
begin insert services subject to regulation pursuant to Chapter 8.5
17(commencing with Section 5451).end insert

18(h) Transportation of persons between home and work locations
19or of persons having a common work-related trip purpose in a
20vehicle having a seating capacity of 15 passengers or less, including
21the driver, which are used for the purpose of ridesharing, as defined
22in Section 522 of the Vehicle Code, when the ridesharing is
23incidental to another purpose of the driver. This exemption also
24applies to a vehicle having a seating capacity of more than 15
25passengers if the driver files with the commission evidence of
26liability insurance protection in the same amount and in the same
27manner as required for a passenger stage corporation, and the
28vehicle undergoes and passes an annual safety inspection by the
29Department of the California Highway Patrol. The insurance filing
30shall be accompanied by a one-time filing fee of seventy-five
31dollars ($75). This exemption does not apply if the primary purpose
32for the transportation of those persons is to make a profit. “Profit,”
33as used in this subdivision, does not include the recovery of the
34actual costs incurred in owning and operating a vanpool vehicle,
35as defined in Section 668 of the Vehicle Code.

36(i) Vehicles used exclusively to provide medical transportation,
37including vehicles employed to transport developmentally disabled
38persons for regional centers established pursuant to Chapter 5
39(commencing with Section 4620) of Division 4.5 of the Welfare
40and Institutions Code.

P18   1(j) Transportation services rendered solely within the Lake
2Tahoe Basin, comprising that area included within the Tahoe
3Regional Planning Compact as set forth in Section 66801 of the
4Government Code, when the operator of the services has obtained
5any permit required from the Tahoe Basin Transportation Authority
6or the City of South Lake Tahoe, or both.

7(k) Subject to Section 34507.6 of the Vehicle Code,
8transportation service provided by the operator of an automobile
9rental business in vehicles owned or leased by that operator,
10without charge other than as may be included in the automobile
11rental charges, to carry its customers to or from its office or facility
12where rental vehicles are furnished or returned after the rental
13period.

14(l) Subject to Section 34507.6 of the Vehicle Code,
15transportation service provided by the operator of a hotel, motel,
16or other place of temporary lodging in vehicles owned or leased
17by that operator, without charge other than as may be included in
18the charges for lodging, between the lodging facility and an air,
19rail, water, or bus passenger terminal or between the lodging
20facility and any place of entertainment or commercial attraction,
21including, but not limited to, facilities providing snow skiing.
22Nothing in this subdivision authorizes the operator of a hotel,
23motel, or other place of temporary lodging to provide any round
24trip sightseeing service without a permit, as required by subdivision
25(c) of Section 5384.

26(m) (1) Transportation of hot air balloon ride passengers in a
27balloon chase vehicle from the balloon landing site back to the
28original takeoff site, provided that the balloon ride was conducted
29by a balloonist who meets all of the following conditions:

30(A) Does not fly more than a total of 30 passenger rides for
31compensation annually.

32(B) Does not provide any preflight ground transportation
33services in their vehicles.

34(C) In providing return transportation to the launch site from
35landing does not drive more than 300 miles annually.

36(D) Files with the commission an exemption declaration and
37proof of vehicle insurance, as prescribed by the commission,
38certifying that the operator qualifies for the exemption and will
39maintain minimum insurance on each vehicle of one hundred
40thousand dollars ($100,000) for injury or death of one person, three
P19   1hundred thousand dollars ($300,000) for injury or death of two or
2more persons and one hundred thousand dollars ($100,000) for
3damage to property.

4(2) Nothing in this subdivision authorizes the operator of a
5commercial balloon operation to provide any round trip sightseeing
6service without a permit, as required by subdivision (c) of Section
75384.

8(n) (1) Transportation services incidental to operation of a youth
9camp that are provided by either a nonprofit organization that
10qualifies for tax exemption under Section 501(c)(3) of the Internal
11Revenue Code or an organization that operates an organized camp,
12as defined in Section 18897 of the Health and Safety Code, serving
13youth 18 years of age or younger.

14(2) Any transportation service described in paragraph (1) shall
15comply with all of the following requirements:

16(A) Register as a private carrier with the commission pursuant
17to Section 4005.

18(B) Participate in a pull notice system for employers of drivers
19as prescribed in Section 1808.1 of the Vehicle Code.

20(C) Ensure compliance with the annual bus terminal inspection
21required by subdivision (c) of Section 34501 of the Vehicle Code.

22(D) Obtain the following minimum amounts of general liability
23insurance coverage for vehicles that are used to transport youth:

24(i) A minimum of five hundred thousand dollars ($500,000)
25general liability insurance coverage for passenger vehicles designed
26to carry up to eight passengers. For organized camps, as defined
27in Section 18897 of the Health and Safety Code, an additional two
28hundred fifty thousand dollars ($250,000) general umbrella policy
29that covers vehicles.

30(ii) A minimum of one million dollars ($1,000,000) general
31 liability insurance coverage for vehicles designed to carry up to
3215 passengers. For organized camps, as defined in Section 18897
33of the Health and Safety Code, an additional five hundred thousand
34dollars ($500,000) general umbrella policy that covers vehicles.

35(iii) A minimum of one million five hundred thousand dollars
36($1,500,000) general liability insurance coverage for vehicles
37designed to carry more than 15 passengers, and an additional three
38million five hundred thousand dollars ($3,500,000) general
39umbrella liability insurance policy that covers vehicles.

P20   1begin insert

begin insertSEC. 10.end insert  

end insert

begin insertSection 5411.5 of the end insertbegin insertPublic Utilities Codeend insertbegin insert is amended
2to read:end insert

3

5411.5.  

(a) Whenever a peace officer, as defined in Chapter
44.5 (commencing with Section 830) of Title 3 of Part 2 of the Penal
5Code, arrests a person for operation of a charter-party carrier of
6passengers without a valid certificate or permit, the peace officer
7may impound and retain possession of the vehicle.

8(b) Whenever a peace officer, as defined in Chapter 4.5
9(commencing with Section 830) of Title 3 of Part 2 of the Penal
10Code, arrests a person for operating a charter-party carrier of
11passengers as a taxicab in violation ofbegin delete an ordinance or resolution
12of a city, county, or city and county,end delete
begin insert Chapter 8.5 (commencing
13with Section 5451),end insert
the peace officer may impound and retain
14possession of the vehicle.

15(c) If the vehicle is seized from a person who is not the owner
16of the vehicle, the impounding authority shall immediately give
17notice to the owner by first-class mail.

18(d) The vehicle shall immediately be returned to the owner if
19the infraction or violation is not prosecuted or is dismissed, the
20owner is found not guilty of the offense, or it is determined that
21the vehicle was used in violation of Section 5411 without the
22knowledge and consent of the owner. The vehicle shall be returned
23to the owner upon payment of any fine ordered by the court. If the
24vehicle is seized due to a violation of a person other than the owner
25of the vehicle, the vehicle shall be returned to the owner after all
26impoundment fees are paid. After the expiration of six weeks from
27the final disposition of the criminal case, unless the owner is in
28the process of making payments to the court, the impounding
29authority may deal with the vehicle as lost or abandoned property
30under Section 1411 of the Penal Code.

31(e) At any time, a person may make a motion in superior court
32for the immediate return of the vehicle on the ground that there
33was no probable cause to seize it or that there is some other good
34cause, as determined by the court, for the return of the vehicle. A
35proceeding under this section is a limited civil case.

36(f) No peace officer, however, may impound any vehicle owned
37or operated by a nonprofit organization exempt from taxation
38pursuant to Section 501(c)(3) of the Internal Revenue Code which
39serves youth or senior citizens and provides transportation
40incidental to its programs or services or a rented motor vehicle
P21   1that is being operated by a hired driver of a charter-party carrier
2of passengers that is providing hired driver service.

3begin insert

begin insertSEC. 11.end insert  

end insert

begin insertSection 5412.2 of the end insertbegin insertPublic Utilities Codeend insertbegin insert is amended
4to read:end insert

5

5412.2.  

(a) When a person is convicted of the offense of
6operating a taxicab without a validbegin delete certificate or permit,end deletebegin insert permit
7required pursuant to Chapter 8.5 (commencing with Section 5451),end insert

8 in addition to any other penalties provided by law, if the court
9determines the operator has the ability to pay, the court shall
10impose a mandatory fine not exceeding two thousand five hundred
11dollars ($2,500) for a first conviction or five thousand dollars
12($5,000) for a subsequent conviction.

13(b) When a person is convicted of the offense of operating a
14charter-party carrier of passengers without a valid certificate or
15permit, in addition to any other penalties provided by law, if the
16court determines the operator has the ability to pay, the court shall
17impose a mandatory fine not exceeding ten thousand dollars
18($10,000) for a first conviction or twenty-five thousand dollars
19($25,000) for a subsequent conviction.

20(c) As used in this section, “taxicab”begin delete means a passenger vehicle
21designed for carrying not more than eight persons, excludingend delete
begin insert shall
22haveend insert
thebegin delete driver, and used to carry passengers for hire.end deletebegin insert meaning as
23defined in subdivision (d) of Section 5451.4.end insert
“Taxicab” shall not
24include a charter-party carrier of passengers within the meaning
25of this chapter.

26begin insert

begin insertSEC. 12.end insert  

end insert

begin insertSection 5413.5 of the end insertbegin insertPublic Utilities Codeend insertbegin insert is amended
27to read:end insert

28

5413.5.  

(a) Whenever the commission, after hearing, finds
29that any person or corporation is operating as a charter-party carrier
30of passengers, including a charter-party carrier operating a
31limousine, without a valid certificate or permit, or fails to include
32in any written or oral advertisement the number of the certificate
33or permit required by Section 5386, the commission may impose
34a fine of not more than seven thousand five hundred dollars
35($7,500) for each violation. The commission may assess the person
36or corporation an amount sufficient to cover the reasonable expense
37of investigation incurred by the commission. The commission may
38assess interest on any fine or assessment imposed, to commence
39on the day the payment of the fine or assessment becomes
P22   1delinquent. All fines, assessments, and interest collected shall be
2deposited at least once each month in the General Fund.

3(b) Whenever the commission, after hearing, finds that any
4person or corporation is operating a charter-party carrier of
5passengers as a taxicab without a validbegin delete certificate orend delete permit in
6violation ofbegin delete an ordinance or resolution of a city, county, or city
7and county,end delete
begin insert Chapter 8.5 (commencing with Section 5451),end insert the
8commission may impose a fine of not more than five thousand
9dollars ($5,000) for each violation. The commission may assess
10the person or corporation an amount sufficient to cover the
11reasonable expense of investigation incurred by the commission.
12The commission may assess interest on any fine or assessment
13imposed, to commence on the day the payment of the fine or
14assessment becomes delinquent. All fines, assessments, and interest
15collected shall be deposited at least once each month in the General
16Fund.

17begin insert

begin insertSEC. 13.end insert  

end insert

begin insertChapter 8.5 (commencing with Section 5451) is added
18to Division 2 of the end insert
begin insertPublic Utilities Codeend insertbegin insert, to read:end insert

begin insert

19 

20Chapter  begin insert8.5.end insert Taxicab Transportation Services Act
21

21 

22Article begin insert1.end insert  General Provisions and Definitions
23

 

24

begin insert5451.end insert  

This chapter shall be known, and may be cited, as the
25Taxicab Transportation Services Act.

26

begin insert5451.2.end insert  

Notwithstanding any other provision of law, this
27chapter shall apply to taxicab transportation services provided
28throughout the state. The commission shall regulate taxicab
29transportation services and enforce the requirements of this
30chapter, and may adopt regulations to further the objectives of
31this chapter. The Legislature finds and declares that uniform
32regulation of taxicab transportation services throughout the state
33constitutes a matter of statewide concern.

34

begin insert5451.4.end insert  

For the purposes of this chapter, the following terms
35have the following meanings:

36
(a) “Entity” includes a corporation, company, association, joint
37stock association, firm, partnership, individual, or any other form
38of business organization.

39
(b) “Public highway” includes every public street, road, or
40highway in this state.

P23   1
(c) “Motor vehicle” means a vehicle used on public highways
2that is self-propelled.

3
(d) “Taxicab” means a passenger motor vehicle designed for
4carrying not more than eight passengers, excluding the driver,
5and used to carry passengers for hire as part of taxicab
6transportation services.

7
(e) “Taxicab carrier” means an entity that is a permitted
8provider of taxicab transportation services to passengers under
9this chapter.

10
(f) “Taxicab driver” means an individual who is a permitted
11driver of a taxicab under this chapter.

12
(g) “Taxicab transportation services” means the provision of
13transportation services for compensation using motor vehicles
14designed for carrying not more than eight passengers, excluding
15the driver, but excludes transportation services provided by a
16charter-party carrier of passengers regulated by Chapter 8
17(commencing with Section 5351).

18
(h) With respect to a motor vehicle used in taxicab
19transportation services by a taxicab carrier, “owner” means the
20entity that is registered with the Department of Motor Vehicles as
21the owner of the motor vehicle, or that has a legal right to
22possession of the motor vehicle pursuant to a lease or rental
23agreement.

24
(i) “Region” means one of the regions identified pursuant to
25Section 5451.6.

26

begin insert5451.6.end insert  

The commission shall issue permits pursuant to this
27chapter authorizing taxicab carriers to operate in one or more of
28the following regions:

29
(a) Region 1 shall include the Counties of Del Norte, Siskiyou,
30Modoc, Humboldt, Trinity, Shasta, Lassen, Mendocino, Tehama,
31Plumas, Glenn, Butte, Lake, Colusa, Yuba, Sierra, Nevada, Yolo,
32Sutter, Placer, Sacramento, and El Dorado.

33
(b) Region 2 shall include the Counties of Sonoma, Napa, Marin,
34Solano, Contra Costa, San Mateo, Alameda, and Santa Clara.

35
(c) Region 3 shall include the City and County of San Francisco.

36
(d) Region 4 shall include the Counties of San Joaquin, Amador,
37Alpine, Stanislaus, Calaveras, Tuolumne, Mono, Merced,
38Mariposa, San Benito, Madera, Fresno, Inyo, Kings, Tulare, and
39Kern.

P24   1
(e) Region 5 shall include the Counties of Santa Cruz, Monterey,
2San Luis Obispo, Santa Barbara, and Ventura.

3
(f) Region 6 shall include the Counties of Los Angeles, San
4Bernardino, Orange, and Riverside.

5
(g) Region 7 shall include the Counties of San Diego and
6Imperial.

7 

8Article begin insert2.end insert  Authorization to Operate as a Taxicab Carrier
9

 

10

begin insert5452.end insert  

An entity shall not engage in taxicab transportation
11services without first having obtained a taxicab carrier permit
12issued by the commission pursuant to this chapter.

13

begin insert5452.2.end insert  

The commission shall issue permits to entities to
14operate taxicab transportation services as a taxicab carrier if
15otherwise qualified under this chapter. Each permit shall specify
16the region of the state in which the taxicab carrier is authorized
17to operate. Nothing in this chapter shall preclude a taxicab carrier
18from holding permits to operate in multiple regions.

19

begin insert5452.4.end insert  

A taxicab carrier holding a permit for a region shall
20not be restricted as to point of origin or destination within that
21region.

22

begin insert5452.6.end insert  

A taxicab carrier shall include the number of its permit
23in every written, oral, or electronic advertisement of the services
24it offers and shall comply with the signing requirements of Section
2527908 of the Vehicle Code. For the purposes of this section,
26“advertisement” includes, but is not limited to, the issuance of
27any card, sign, or device to any person, the causing, permitting,
28or allowing of the placement of any sign or marking on or in any
29building or structure, or in any media form, including newspaper,
30magazine, radiowave, satellite signal, or any electronic
31transmission, or in any directory soliciting taxicab transportation
32services subject to this chapter.

33

begin insert5452.8.end insert  

(a) Applications for taxicab carrier permits shall be
34in writing and verified under oath, and shall be in the form and
35contain the information required by the commission.

36
(b) An application for a taxicab carrier permit shall be
37accompanied by a filing fee as follows:

38
(1) Permits (new): ____ dollars ($____).

39
(2) Permits (renewal): ____ dollars ($____).

P25   1

begin insert5452.10.end insert  

(a) (1) Before a permit is issued or renewed, the
2commission shall require the applicant to establish reasonable
3fitness and financial responsibility to initiate and conduct or
4continue to conduct the proposed or existing taxicab transportation
5services. The commission shall not issue or renew a permit
6pursuant to this chapter unless the applicant meets all of the
7following requirements:

8
(A) It is financially and organizationally capable of conducting
9an operation that complies with the rules and regulations of the
10Department of the California Highway Patrol relating to the safe
11operation of vehicles on the public highways.

12
(B) It is committed to observing the hours of service regulations
13of state and, where applicable, federal law for all taxicab drivers,
14whether employees or contractors.

15
(C) It has an inspection program in effect for its motor vehicles
16used to provide taxicab transportation services that conforms to
17Article 8 (commencing with Section 5458).

18
(D) It participates in the pull notice program pursuant to Section
191808.1 of the Vehicle Code to regularly check the driving records
20of all taxicab drivers, whether employees or contractors.

21
(E) It has a safety education and training program in effect for
22all taxicab drivers, whether employees or contractors.

23
(F) It will maintain its motor vehicles used in taxicab
24transportation services in a safe operating condition and in
25compliance with the Vehicle Code and with regulations contained
26in Title 13 of the California Code of Regulations relative to motor
27vehicle safety.

28
(G) It has provided to the commission an address of an office
29or terminal where documents supporting the factual matters
30specified in the showing required by this subdivision may be
31inspected by the commission or the Department of the California
32Highway Patrol.

33
(H) It provides for a mandatory controlled substance and
34alcohol testing certification program pursuant to Section 5457.22.

35
(2) With respect to subparagraphs (B) and (F) of paragraph
36(1), the commission may base a finding on a certification by the
37commission that an applicant has filed, with the commission, a
38sworn declaration of ability to comply and intent to comply.

P26   1
(b) In addition to the requirements in subdivision (a), taxicab
2carriers shall meet all other state and, where applicable, federal
3regulations as prescribed.

4

begin insert5452.12.end insert  

(a) Every taxicab carrier shall furnish to the
5commission a list, prepared under oath, of all motor vehicles used
6by the carrier in taxicab transportation services during the period
7since the last inspection. The commission shall furnish a copy of
8the list to the taxicab carrier’s insurer, if the taxicab carrier’s
9accident liability protection is provided by a policy of insurance.

10
(b) If the taxicab carrier’s insurer informs the commission that
11the carrier has failed to obtain insurance coverage for any vehicle
12reported on the list, the commission may, in addition to any other
13penalty provided in this chapter, for a first occurrence, suspend
14the carrier’s permit or impose a fine, or both, and, for a second
15or subsequent occurrence, suspend or revoke the permit or impose
16a fine, or both.

17

begin insert5452.14.end insert  

The commission may, with or without hearing, issue
18a permit under this chapter. If the commission finds that the
19applicant possesses satisfactory fitness and financial responsibility
20to initiate and conduct the proposed taxicab transportation
21services, and will faithfully comply with the rules and regulations
22adopted by the commission with respect thereto, it shall issue the
23permit.

24

begin insert5452.16.end insert  

A permit, or renewal thereof, is effective for three
25years, unless suspended or revoked by the commission.

26

begin insert5452.18.end insert  

No permit issued pursuant to this chapter, or rights
27to conduct any of the services authorized by the permit, shall be
28sold, leased, or assigned, or otherwise transferred or encumbered,
29unless authorized by the commission. A filing fee of ____ dollars
30($____) shall accompany all applications for that authorization.

31 

32Article begin insert3.end insert  Enforcement
33

 

34

begin insert5453.end insert  

Upon receipt of a complaint containing sufficient
35information to warrant conducting an investigation, the commission
36shall investigate any entity that advertises or holds itself out as
37providing services that may be reasonably considered to be taxicab
38transportation services but that does not have a permit required
39by this chapter. The commission, in a rulemaking or other
40appropriate procedure, shall adopt criteria that establish the type
P27   1of information, if contained in a complaint, that is sufficient to
2warrant an investigation. Pursuant to this investigation, the
3commission shall do all of the following:

4
(a) Determine which entities, if any, are required to obtain a
5taxicab carrier permit pursuant to Article 2 (commencing with
6Section 5452) but that do not have the required permit.

7
(b) Inform any entity identified in subdivision (a) that the failure
8to obtain a permit is in violation of the law.

9
(c) Within 60 days of informing the entity pursuant to subdivision
10(b), institute civil or criminal proceedings, or both, if the entity
11continues to be in noncompliance with this chapter.

12

begin insert5453.2.end insert  

The commission shall not issue, renew, or authorize
13the transfer of a taxicab carrier permit under this chapter to any
14entity against whom a final judgment has been entered and whose
15name has been transmitted to the commission pursuant to Section
163716.4 of the Labor Code, unless that judgment has been satisfied
17or has been discharged in accordance with the bankruptcy laws
18of the United States.

19

begin insert5453.4.end insert  

(a) The commission may cancel, suspend, or revoke
20a taxicab carrier permit issued pursuant to this chapter upon any
21of the following grounds:

22
(1) The violation by the permitholder of any of the provisions
23of this chapter, or of the terms of a permit issued under this
24chapter.

25
(2) The violation by the permitholder of any order, decision,
26rule, regulation, direction, demand, or requirement of the
27commission pursuant to this chapter.

28
(3) The conviction of a taxicab carrier of any misdemeanor
29under this chapter while holding a taxicab carrier permit issued
30by the commission or the conviction of the carrier or its officers
31of a felony while holding a permit issued by the commission, limited
32to robbery, burglary, larceny, fraud, or intentional dishonesty for
33personal gain.

34
(4) The rendition of a judgment against the taxicab carrier for
35any penalty imposed under this chapter.

36
(5) The failure of a taxicab carrier to pay any fee imposed on
37the carrier within the time required by the commission.

38
(6) On request of the taxicab carrier.

39
(7) The failure of a taxicab carrier to operate and perform
40reasonable service. That failure may include repeated violations
P28   1of the Vehicle Code or of regulations contained in Title 13 of the
2California Code of Regulations relative to motor vehicle safety by
3employees of the taxicab carrier that support an inference of unsafe
4operation or willful neglect of the public safety by the carrier.

5
(8) Consistent failure of the taxicab carrier to maintain its
6vehicles in a safe operating condition pursuant to Article 8
7(commencing with Section 5458) and in compliance with the
8Vehicle Code and with regulations contained in Title 13 of the
9California Code of Regulations relative to motor vehicle safety,
10as shown by the records of the commission, the Department of
11Motor Vehicles, the Department of the California Highway Patrol,
12or the carrier.

13
(9) Failure of a taxicab carrier, or of any of its employees, to
14follow any order, decision, rule, regulation, direction, demand,
15ordinance, or other requirement established by the governing body
16of an airport, including solicitation practices, providing the
17requirements are consistent with subdivision (b) of Section 5459.

18
(b) The commission may levy a civil penalty of up to seven
19thousand five hundred dollars ($7,500) upon a taxicab carrier for
20any of the violations specified in subdivision (a), as an alternative
21to canceling, revoking, or suspending the carrier’s permit. The
22commission may also levy interest upon the civil penalty, which
23shall be calculated as of the date on which the civil penalty is
24unpaid and delinquent. The commission shall deposit at least
25monthly all civil penalties and interest collected pursuant to this
26section into the General Fund.

27

begin insert5453.6.end insert  

(a) A taxicab carrier shall have and shall make
28available for inspection by the commission, upon request, one of
29the following:

30
(1) A certificate of workers’ compensation coverage for its
31employees issued by an admitted insurer.

32
(2) A certification of consent to self-insure issued by the Director
33of Industrial Relations.

34
(3) A statement under penalty of perjury, stating that, in its
35operations as a taxicab carrier, it does not employ any person in
36any manner so as to become subject to the workers’ compensation
37laws of this state.

38
(b) The workers’ compensation coverage certified to under
39paragraph (1) of subdivision (a) shall be in the form of a policy
P29   1that remains effective until canceled. Cancellation of the policy
2shall require 30 days’ advance notice.

3
(c) If, after filing the statement described in paragraph (3) of
4subdivision (a), the carrier becomes subject to the workers’
5compensation laws of this state, the carrier shall promptly notify
6the commission that the carrier is withdrawing its statement under
7paragraph (3) of subdivision (a), and shall simultaneously file the
8certificate described in either paragraph (1) or (2) of subdivision
9(a).

10

begin insert5453.8.end insert  

The commission may, on a complaint alleging that an
11entity is operating taxicab transportation services without a valid
12taxicab carrier permit in violation of this chapter, or on its own
13motion without a complaint, with or without notice of a hearing,
14order the entity so operating to cease and desist from that
15operation until the commission makes and files its decision in the
16matter or until further order of the commission.

17 

18Article begin insert4.end insert  Trade Dress
19

 

20

begin insert5454.end insert  

A taxicab carrier shall not operate a motor vehicle on
21a public highway unless there is displayed on the vehicle a
22distinctive identifying symbol in the form prescribed by the
23commission. The identifying symbol shall not be displayed on any
24vehicle until a permit under this chapter has been issued to the
25carrier.

26

begin insert5454.2.end insert  

The commission shall assign both trade name and
27trade dress within each region for taxicab transportation services.
28In doing so, the commission shall take into account taxicab carriers
29operating within each region on December 31, 2016, and shall
30minimize public confusion to consumers of taxicab transportation
31services in awarding trade name and trade dress in each region.
32The commission may assign the same or similar trade name and
33trade dress in different regions of the state in a manner that
34minimizes public confusion to consumers of taxicab transportation
35services.

36

begin insert5454.4.end insert  

A taxicab carrier shall remove all markings required
37by the commission from a motor vehicle when the motor vehicle
38is permanently withdrawn from service as a taxicab.

39

begin insert5454.6.end insert  

The commission shall award initial trade name and
40trade dress in each region as soon as practicable on or after
P30   1January 1, 2017. In doing so, the commission shall consider all
2of the following:

3
(a) Historic trade name and trade dress granted to licensees by
4cities, counties, cities and counties, or any subdivision thereof as
5submitted to the commission pursuant to Section 5454.8.

6
(b) The geographic service boundaries of the provision of
7taxicab services before January 1, 2017.

8
(c) The cost to taxicab carriers of changing trade name or trade
9dress in accordance with the commission’s order.

10

begin insert5454.8.end insert  

Any city, county, or city and county, or any subdivision
11thereof, that regulates or oversees the licensure of taxicab
12transportation services within its jurisdiction on December 31,
132016, shall forward to the commission licensure information for
14each taxicab transportation service licensee within its jurisdiction.
15The information shall include, but need not be limited to, the
16following:

17
(a) The name of the licensee, including the approved “doing
18business as” name granted to a licensee.

19
(b) Information related to trade dress or exterior markings
20granted to each licensee within the jurisdiction.

21
(c) The geographical boundaries, if any, granted to a licensee
22in the provision of taxicab transportation services.

23
(d) Any other information the commission may require to carry
24out the purposes of this chapter.

25

begin insert5454.10.end insert  

The commission may adopt an alternate process for
26awarding trade name and trade dress within each region
27subsequent to the initial award outlined in Section 5454.2, provided
28that the alternate process shall seek to minimize public confusion
29to consumers of taxicab transportation services in each region.

30 

31Article begin insert5.end insert  Insurance
32

 

33

begin insert5455.end insert  

The commission, in granting a permit to a taxicab carrier
34pursuant to this chapter, shall require the taxicab carrier to
35procure, and to continue in effect during the life of the permit,
36protection against liability imposed by law upon the taxicab carrier
37for the payment of damages for personal bodily injuries, including
38death resulting therefrom, protection against a total liability of
39the taxicab carrier on account of bodily injuries to, or death of,
40more than one person as a result of any one accident, and
P31   1protection against damage or destruction of property. The
2maximum requirements for these assurances of protection against
3liability shall be no more than fifty thousand dollars ($50,000) for
4death and personal injury per person, one hundred thousand
5dollars ($100,000) for death and personal injury per incident, and
6 thirty thousand dollars ($30,000) for property damage.

7

begin insert5455.2.end insert  

The protection required under Section 5455 shall be
8evidenced by the deposit of any of the following with the
9commission covering each motor vehicle used or to be used under
10the permit applied for:

11
(a) A policy of insurance, issued by a company licensed to write
12insurance in this state, or by nonadmitted insurers subject to
13Section 1763 of the Insurance Code, if the policies meet the rules
14promulgated therefor by the commission.

15
(b) A bond of a surety company licensed to write surety bonds
16in this state.

17
(c) Evidence of the qualification of the taxicab carrier as a
18self-insurer as may be authorized by the commission.

19

begin insert5455.4.end insert  

No entity holding a valid taxicab carrier permit issued
20by the commission pursuant to this chapter shall be required by a
21city, county, city and county, or any other local agency to provide
22insurance in a manner different from that required by this article.

23

begin insert5455.6.end insert  

The insurance requirements specified in this article
24shall only be applicable to motor vehicles while providing taxicab
25transportation services. When not providing those services, the
26insurance requirements for those vehicles shall be the minimum
27amounts otherwise applicable to motor vehicles not providing
28taxicab transportation services.

29

begin insert5455.8.end insert  

With the consent of the commission, a copy of an
30insurance policy, certified by the company issuing it to be a true
31copy of the original policy, or a photocopy thereof, or an electronic
32copy thereof, or an abstract of the provisions of the policy, or a
33certificate of insurance issued by the company issuing the policy,
34may be filed with the commission in lieu of the original or a
35duplicate or counterpart of the policy.

36 

37Article begin insert6.end insert  Pricing and GPS Metering
38

 

39

begin insert5456.end insert  

The commission shall not regulate either of the following
40with respect to provision of taxicab transportation services:

P32   1
(a) Fares or fees charged by taxicab carriers, including, but
2not limited to, meter rates, gate fees, or any other charge to the
3consumer related to the hiring of a taxicab.

4
(b) The type of device used by taxicab carriers to calculate
5fares, including the use of global positioning system metering as
6a form of calculating fares.

7

begin insert5456.2.end insert  

The commission may adopt rules requiring taxicab
8carriers to disclose fares, fees, and other pricing structures for
9taxicab transportation services. Any rules shall allow a taxicab
10carrier to disclose fares, fees, or other pricing structures on its
11Internet Web site or cellular telephone application.

12 

13Article begin insert7.end insert  Taxicab Drivers
14

 

15

begin insert5457.end insert  

An individual shall not be a driver providing taxicab
16transportation service without first obtaining a taxicab driver
17permit from the commission pursuant to this article.

18

begin insert5457.2.end insert  

A taxicab driver permit issued pursuant to this article
19shall be valid in any region in this state.

20

begin insert5457.4.end insert  

The commission shall issue a taxicab driver permit to
21an applicant if the applicant meets all of the following
22requirements:

23
(a) The applicant submits to the commission a written
24application for a taxicab driver permit.

25
(b) The applicant pays a taxicab driver permit fee as determined
26by the commission.

27
(c) The applicant is a minimum of 18 years of age.

28
(d) The applicant possesses a current class C California driver’s
29license.

30
(e) The applicant is not afflicted with either a physical or mental
31incapacity that would preclude the individual from safely operating
32a taxicab and performing the duties normally associated with the
33profession.

34
(f) The applicant passes a written exam as prescribed by the
35commission.

36
(g) The applicant passes a background check through the
37Department of Justice’s live scan system.

38

begin insert5457.6.end insert  

An applicant may be required to submit a medical
39report and obtain a valid medical certificate if the application, or
40observation by the commission, indicates a physical or mental
P33   1affliction. In that situation, the applicant may be granted a
2temporary taxicab driver permit for 30 days pending receipt of a
3valid medical certificate. Upon submittal of the valid medical
4certificate and its acceptance by the commission, a regular taxicab
5driver permit shall be issued to the applicant.

6

begin insert5457.8.end insert  

An applicant shall be denied a taxicab driver permit
7if any portion of the application is found to be falsified. If the
8falsification is deemed to be willful and intentional, the applicant
9shall not be allowed to reapply for a taxicab driver permit for a
10one-year period from the time the falsification is first discovered.
11Should a repeat offense of falsification occur, the applicant shall
12not be allowed to reapply for a taxicab driver permit for a
13seven-year period from the time the additional falsification is
14discovered.

15

begin insert5457.10.end insert  

An applicant who has willfully and intentionally
16attempted to cheat in the taxicab driver permit exam process shall
17be immediately disqualified from the exam. First-time offenders
18shall be ineligible to retake the exam for a 180-day period. Repeat
19offenders shall be ineligible to retake the exam for a seven-year
20period. Test misconduct shall include, but not be limited to, using
21notes or other materials that have been prohibited, looking at other
22applicant test papers, talking to other applicants during the exam,
23failing to stop as requested at the end of the exam period, or in
24any way coercing others for exam information.

25

begin insert5457.12.end insert  

While providing taxicab transportation services, a
26taxicab driver shall have in his or her immediate possession, and
27shall present, upon request, to a law enforcement officer, a
28representative of the commission, or a customer, both of the
29following:

30
(a) A valid California driver’s license.

31
(b) A valid taxicab driver permit issued by the commission.

32

begin insert5457.14.end insert  

A holder of a taxicab driver permit shall not drive a
33taxicab while his or her driver’s license is expired, suspended, or
34revoked.

35

begin insert5457.16.end insert  

A taxicab driver shall properly display his or her
36valid taxicab driver permit in the taxicab in a manner as prescribed
37by the commission.

38

begin insert5457.18.end insert  

A taxicab driver shall not do any of the following:

39
(a) Knowingly allow another individual to use his or her taxicab
40driver permit.

P34   1
(b) Duplicate a taxicab driver permit.

2
(c) Use another person’s taxicab driver permit.

3
(d) Apply for, or possess, more than one taxicab driver permit
4issued by the commission.

5

begin insert5457.20.end insert  

A holder of a taxicab driver permit that becomes
6invalid shall destroy the permit.

7

begin insert5457.22.end insert  

(a) A taxicab carrier shall do all of the following:

8
(1) Participate in a pull-notice system pursuant to Section
91808.1 of the Vehicle Code to regularly check the driving records
10of all taxicab drivers employed or contracted by the carrier.

11
(2) Provide for a mandatory controlled substance and alcohol
12testing certification program for taxicab divers employed or
13contracted by the carrier, as required by the commission. The
14program shall not be more strict than the program adopted by the
15commission pursuant to Section 1032.1 for transportation network
16company drivers.

17
(b) Taxicab drivers hired or contracted by a taxicab carrier on
18or after January 1, 2017, shall be subject to mandatory drug and
19alcohol testing prior to employment or contracting. Drivers hired
20or contracted by a taxicab carrier before January 1, 2017, shall
21complete a drug and alcohol test before January 1, 2018.

22

begin insert5457.24.end insert  

(a) A taxicab carrier shall not employ, or contract
23with, any of the following persons as a taxicab driver:

24
(1) A person convicted, during the preceding seven years, of
25any offense relating to the use, sale, possession, or transportation
26of narcotics, controlled substances, or addictive or dangerous
27drugs, or of any act involving force, violence, threat or intimidation
28against persons, or of any sexual offense, or of any act involving
29moral turpitude, including fraud or intentional dishonesty for
30personal gain, or of any felony offense, or of any offense involving
31the possession of a firearm or dangerous weapon, or of any offense
32involving the solicitation or agreement to engage in or engagement
33in any act of prostitution, or of any act of resisting, delaying, or
34obstructing a peace officer, public officer, or emergency medical
35technician, or of theft in either degree. For the purposes of this
36paragraph, a subsequent change of plea or vacation of verdict and
37dismissal of charges pursuant to Section 1203.4 of the Penal Code
38does not release the applicant from the penalties and disabilities
39resulting from the offense of which he or she has been convicted.

P35   1
(2) A person required to register as a sex offender under Section
2290 of the Penal Code or a person convicted of a felony involving
3any type of sexual offense; the manufacture, possession for sale,
4transportation, or distribution of narcotics, controlled substances,
5or addictive or dangerous drugs; force, violence, threat, or
6intimidation against persons; kidnaping; forgery, fraud, larceny,
7extortion, burglary, robbery, or theft; credit card fraud; possession
8of a firearm or dangerous weapon; resisting or obstructing a peace
9 officer, public officer, or emergency medical technician; or use of
10a vehicle for hire in the commission of a felony.

11
(3) A person convicted of any violation of Section 20001, 20003,
1220004, 23104, or 23153 of the Vehicle Code.

13
(b) For purposes of subdivision (a), out-of-state convictions for
14equivalent violations shall be given the same effect as in-state
15convictions.

16 

17Article begin insert8.end insert  Vehicle Inspection
18

 

19

begin insert5458.end insert  

Upon initial placement into service and annually
20thereafter, a taxicab carrier shall inspect each of its motor vehicles
21used for taxicab transportation services, or have each vehicle
22inspected at a facility licensed by the Bureau of Automotive Repair,
23and shall maintain complete documentation of each inspection.
24The inspection shall cover all of the following components, and
25each component shall, at a minimum, be in satisfactory condition
26before a vehicle may be used in providing taxicab transportation
27services:

28
(a) Foot brakes.

29
(b) Emergency brakes.

30
(c) Steering mechanism.

31
(d) Windshield.

32
(e) Rear window and other glass.

33
(f) Windshield wipers.

34
(g) Headlights.

35
(h) Tail lights.

36
(i) Turn indicator lights.

37
(j) Stop lights.

38
(k) Front seat adjustment mechanism.

39
(l) Doors, including opening, closing, and locking.

40
(m) Horn.

P36   1
(n) Speedometer.

2
(o) Bumpers.

3
(p) Muffler and exhaust system.

4
(q) Tires.

5
(r) Interior and exterior rear view mirrors.

6
(s) Safety belts for the driver and passengers.

7 

8Article begin insert9.end insert  Local Agencies and Airports
9

 

10

begin insert5459.end insert  

(a) Except as otherwise specifically provided in this
11article, and notwithstanding any other provision of law, this
12chapter constitutes the exclusive regulation of taxicab carriers,
13taxicab drivers, and taxicab transportation services in this state
14and preempts all other regulation. In that regard, a local agency
15may not require a license, or impose a tax or fee, for the conduct
16of taxicab transportation services subject to regulation under this
17chapter.

18
(b)  Nothing in this chapter shall be construed to prevent a local
19agency from designating taxicab stands on public highways under
20its jurisdiction pursuant to Section 21112 of the Vehicle Code for
21use by taxicabs, or from designating other locations for taxicabs
22to stop pursuant to Section 22500 of the Vehicle Code.

23
(c) Nothing in this chapter shall be construed to prevent the
24governing body of an airport from adopting and enforcing
25reasonable and nondiscriminatory local airport rules, regulations,
26and ordinances pertaining to access, use of highways, parking,
27traffic control, passenger transfers and occupancy, passenger
28solicitation practices, and the use of buildings and facilities, that
29are applicable to taxicab carriers operating on airport property.
30In that regard, the governing body of an airport may require a
31taxicab carrier to obtain an airport permit in order to operate
32taxicab transportation services to or from the airport. However,
33the governing body of an airport may not impose a fee on taxicab
34carriers that is based on the gross receipts of the carrier, and may
35not impose vehicle safety, vehicle licensing, or insurance
36requirements on taxicab carriers that are more burdensome than
37those imposed by this chapter or by commission regulation
38pursuant to this chapter.

39
(d) Nothing in this chapter shall be construed to prohibit any
40agreement entered into between a taxicab carrier and the
P37   1governing board of an airport pursuant to Article 4.5 (commencing
2with Section 21690.5) of Chapter 4 of Part 1 of Division 9.

3 

4Article begin insert10.end insert  Violations
5

 

6

begin insert5460.end insert  

Every taxicab carrier and every officer, director, agent,
7employee, or contractor of any taxicab carrier who violates or
8fails to comply with, or who procures, aids, or abets any violation
9of, any provision of this chapter, or who fails to obey, observe, or
10comply with any order, decision, rule, regulation, direction,
11demand, or requirement of the commission, or with any permit
12issued under this chapter, or who procures, aids, or abets any
13taxicab carrier in its failure to comply with the order, decision,
14rule, regulation, direction, demand, requirement, or permit, is
15guilty of a misdemeanor and is punishable by a fine of not less
16than one thousand dollars ($1,000) and not more than five
17thousand dollars ($5,000) or by imprisonment in a county jail for
18not more than three months, or by both that fine and imprisonment.

19

begin insert5460.2.end insert  

Every person other than a taxicab carrier who
20knowingly and willfully, either individually, or acting as an officer,
21agent, or employee of a person other than a taxicab carrier, who
22violates any provision of this chapter, or who fails to obey, observe,
23or comply with any order, decision, rule, regulation, direction,
24demand, or requirement of the commission, or who procures, aids,
25or abets any taxicab carrier in its violation of this chapter, or in
26its failure to obey, observe, or comply with any order, decision,
27rule, regulation, direction, demand, or requirement, is guilty of a
28misdemeanor and is punishable by a fine of not less than one
29thousand dollars ($1,000) and not more than five thousand dollars
30($5,000) or by imprisonment in a county jail for not more than
31three months, or by both that fine and imprisonment.

32

begin insert5460.4.end insert  

Every taxicab carrier and every officer, director, agent,
33employee, or contractor of any taxicab carrier who violates or
34fails to comply with, or who procures, aids, or abets any violation
35by any taxicab carrier of, any provision of this chapter, or who
36fails to obey, observe, or comply with any order, decision, rule,
37regulation, direction, demand, or requirement of the commission,
38or with any permit issued under this chapter, or who procures,
39aids, or abets any taxicab carrier in its failure to comply with the
40order, decision, rule, regulation, direction, demand, requirement,
P38   1or permit, is subject to a civil penalty of not more than two
2thousand dollars ($2,000) for each offense.

3

begin insert5460.6.end insert  

Every person other than a taxicab carrier who
4knowingly and willfully, either individually, or acting as an officer,
5agent, or employee of a person other than a taxicab carrier, who
6violates any provision of this chapter, or who fails to obey, observe,
7or comply with any order, decision, rule, regulation, direction,
8demand, or requirement of the commission, or who procures, aids,
9or abets any taxicab carrier in its violation of this chapter, or in
10its failure to obey, observe, or comply with any order, decision,
11rule, regulation, direction, demand, or requirement, is subject to
12a civil penalty of not more than two thousand dollars ($2,000) for
13each offense.

14

begin insert5460.8.end insert  

Every person who drives a taxicab in conjunction with
15providing taxicab transportation services subject to regulation
16under this chapter and who does not possess a valid taxicab driver
17permit is guilty of a misdemeanor and is punishable by a fine of
18not less than ____ dollars ($____) and not more than ____ dollars
19($____) or by imprisonment in a county jail for not more than
20____ months, or by both that fine and imprisonment.

21

begin insert5460.10.end insert  

Every violation of this chapter or of any order,
22decision, rule, regulation, direction, demand, or requirement of
23the commission by any person is a separate and distinct offense
24and, in case of a continuing violation, each day’s continuance
25thereof is a separate and distinct offense.

26

begin insert5460.12.end insert  

(a) Whenever a peace officer, as defined in Chapter
274.5 (commencing with Section 830) of Title 3 of Part 2 of the Penal
28Code, arrests a person for the operation of a taxicab without a
29valid permit, the peace officer may impound and retain possession
30of the vehicle.

31
(b) If the vehicle is seized from a person who is not the owner
32of the vehicle, the impounding authority shall immediately give
33notice to the owner by first-class mail.

34
(c) The vehicle shall immediately be returned to the owner if
35the violation is not prosecuted or is dismissed, the owner is found
36not guilty of the offense, or it is determined that the vehicle was
37used in violation of Section 5460.8 without the knowledge and
38consent of the owner. The vehicle shall be returned to the owner
39upon payment of any fine ordered by the court. If the vehicle is
40seized due to a violation of a person other than the owner of the
P39   1vehicle, the vehicle shall be returned to the owner after all
2impoundment fees are paid. After the expiration of six weeks from
3the final disposition of the criminal case, unless the owner is in
4the process of making payments to the court, the impounding
5authority may deal with the vehicle as lost or abandoned property
6under Section 1411 of the Penal Code.

7
(d) At any time, a person may make a motion in superior court
8for the immediate return of the vehicle on the ground that there
9was no probable cause to seize it or that there is some other good
10cause, as determined by the court, for the return of the vehicle. A
11proceeding under this section is a limited civil case.

12

begin insert5460.14.end insert  

When a person is convicted of the offense of operating
13a taxicab without a valid permit, in addition to any other penalties
14provided by law, if the court determines the person has the ability
15to pay, the court shall impose a mandatory fine not exceeding two
16thousand five hundred dollars ($2,500) for a first conviction or
17five thousand dollars ($5,000) for a subsequent conviction.

18

begin insert5460.16.end insert  

Whenever the commission, after hearing, finds that
19any entity is operating as a taxicab carrier without a valid permit
20in violation of this chapter, the commission may impose a fine of
21not more than five thousand dollars ($5,000) for each violation.
22The commission may assess the entity an amount sufficient to cover
23the reasonable expense of investigation incurred by the
24commission. The commission may assess interest on any fine or
25assessment imposed, to commence on the day the payment of the
26fine or assessment becomes delinquent. All fines, assessments, and
27interest collected shall be deposited at least once each month in
28the General Fund.

end insert
29begin insert

begin insertSEC. 14.end insert  

end insert

begin insertSection 120269 of the end insertbegin insertPublic Utilities Codeend insertbegin insert is
30amended to read:end insert

31

120269.  

(a) If the board licenses or regulates any transportation
32service, pursuant to Section 120266, or any passenger jitney
33service, pursuant to Section 120267, and the licensed or regulated
34service employs, or contracts with, any driver who (1) is not
35required to be tested for controlled substances and alcohol pursuant
36to Part 382 (commencing with Section 382.101) of Title 49 of the
37Code of Federal Regulations,begin delete paragraph (3) of subdivision (b) ofend delete
38 Sectionbegin delete 53075.5 of the Government Code, Section 1032.1end deletebegin insert 1032.1
39or 5457.22end insert
of this code, or Section 34520 of the Vehicle Code,
40and (2) is not exempted under Section 34520 of the Vehicle Code,
P40   1the board shall adopt, by ordinance or resolution, a mandatory
2controlled substance and alcohol testing certification program for
3those drivers.

4(b) The program adopted pursuant to subdivision (a) shall meet
5substantially the requirements set forth in paragraph (3) of
6subdivision (b) of Section 53075.5 of the Governmentbegin delete Code.end deletebegin insert Code,
7as that paragraph read on December 31, 2016.end insert

8(c) Evidence derived from a positive test result collected
9pursuant to the program adopted under subdivision (a) shall not
10be admissible in a criminal prosecution concerning unlawful
11possession, sale, or distribution of controlled substances.

12begin insert

begin insertSEC. 15.end insert  

end insert

begin insertSection 1808.1 of the end insertbegin insertVehicle Codeend insertbegin insert is amended to
13read:end insert

14

1808.1.  

(a) The prospective employer of a driver who drives
15a vehicle specified in subdivision (k) shall obtain a report showing
16the driver’s current public record as recorded by the department.
17For purposes of this subdivision, a report is current if it was issued
18less than 30 days prior to the date the employer employs the driver.
19The report shall be reviewed, signed, and dated by the employer
20and maintained at the employer’s place of business until receipt
21of the pull-notice system report pursuant to subdivisions (b) and
22(c). These reports shall be presented upon request to an authorized
23representative of the Department of the California Highway Patrol
24during regular business hours.

25(b) The employer of a driver who drives a vehicle specified in
26subdivision (k) shall participate in a pull-notice system, which is
27a process for the purpose of providing the employer with a report
28showing the driver’s current public record as recorded by the
29department, and any subsequent convictions, failures to appear,
30accidents, driver’s license suspensions, driver’s license revocations,
31or any other actions taken against the driving privilege or
32certificate, added to the driver’s record while the employer’s
33notification request remains valid and uncanceled. As used in this
34section, participation in the pull-notice system means obtaining a
35requester code and enrolling all employed drivers who drive a
36vehicle specified in subdivision (k) under that requester code.

37(c) The employer of a driver of a vehicle specified in subdivision
38(k) shall, additionally, obtain a periodic report from the department
39at least every 12 months. The employer shall verify that each
40employee’s driver’s license has not been suspended or revoked,
P41   1the employee’s traffic violation point count, and whether the
2employee has been convicted of a violation of Section 23152 or
323153. The report shall be signed and dated by the employer and
4maintained at the employer’s principal place of business. The
5report shall be presented upon demand to an authorized
6representative of the Department of the California Highway Patrol
7during regular business hours.

8(d) Upon the termination of a driver’s employment, the employer
9shall notify the department to discontinue the driver’s enrollment
10in the pull-notice system.

11(e) For the purposes of the pull-notice system and periodic report
12process required by subdivisions (b) and (c), an owner, other than
13an owner-operator as defined in Section 34624, and an employer
14who drives a vehicle described in subdivision (k) shall be enrolled
15as if he or she were an employee. A family member and a volunteer
16 driver who drives a vehicle described in subdivision (k) shall also
17be enrolled as if he or she were an employee.

18(f) An employer who, after receiving a driving record pursuant
19to this section, employs or continues to employ as a driver a person
20against whom a disqualifying action has been taken regarding his
21or her driving privilege or required driver’s certificate, is guilty of
22a public offense, and upon conviction thereof, shall be punished
23by confinement in a county jail for not more than six months, by
24a fine of not more than one thousand dollars ($1,000), or by both
25that confinement and fine.

26(g) As part of its inspection of bus maintenance facilities and
27terminals required at least once every 13 months pursuant to
28subdivision (c) of Section 34501, the Department of the California
29Highway Patrol shall determine whether each transit operator, as
30defined in Section 99210 of the Public Utilities Code, is then in
31compliance with this section and Section 12804.6, and shall certify
32each operator found to be in compliance. Funds shall not be
33allocated pursuant to Chapter 4 (commencing with Section 99200)
34of Part 11 of Division 10 of the Public Utilities Code to a transit
35operator that the Department of the California Highway Patrol has
36not certified pursuant to this section.

37(h) (1) A request to participate in the pull-notice system
38established by this section shall be accompanied by a fee
39determined by the department to be sufficient to defray the entire
40actual cost to the department for the notification service. For the
P42   1receipt of subsequent reports, the employer shall also be charged
2a fee established by the department pursuant to Section 1811. An
3employer who qualifies pursuant to Section 1812 shall be exempt
4from any fee required pursuant to this section. Failure to pay the
5fee shall result in automatic cancellation of the employer’s
6participation in the notification services.

7(2) A regularly organized fire department, having official
8recognition of the city, county, city and county, or district in which
9the department is located, shall participate in the pull-notice
10program and shall not be subject to the fee established pursuant
11to this subdivision.

12(3) The Board of Pilot Commissioners for Monterey Bay and
13the Bays of San Francisco, San Pablo, and Suisun, and its port
14agent shall participate in the pull-notice system established by this
15section, subject to Section 1178.5 of the Harbors and Navigation
16Code, and shall not be subject to the fees established pursuant to
17this subdivision.

18(i) The department, as soon as feasible, may establish an
19automatic procedure to provide the periodic reports to an employer
20by mail or via an electronic delivery method, as required by
21subdivision (c), on a regular basis without the need for individual
22requests.

23(j) (1) The employer of a driver who is employed as a casual
24driver is not required to enter that driver’s name in the pull-notice
25system, as otherwise required by subdivision (a). However, the
26employer of a casual driver shall be in possession of a report of
27the driver’s current public record as recorded by the department,
28prior to allowing a casual driver to drive a vehicle specified in
29subdivision (k). A report is current if it was issued less than six
30months prior to the date the employer employs the driver.

31(2) For the purposes of this subdivision, a driver is employed
32as a casual driver when the employer has employed the driver less
33than 30 days during the preceding six months. “Casual driver”
34does not include a driver who operates a vehicle that requires a
35passenger transportation endorsement.

36(k) This section applies to a vehicle for the operation of which
37the driver is required to have a class A or class B driver’s license,
38a class C license with any endorsement issued pursuant to Section
3915278, a class C license issued pursuant to Section 12814.7, or a
40certificate issued pursuant to Section 12517, 12519, 12520, 12523,
P43   112523.5, or 12527,begin delete orend delete a passenger vehicle having a seating capacity
2of not more than 10 persons, including the driver, operated for
3compensation by a charter-party carrier of passengers or passenger
4stage corporation pursuant to a certificate of public convenience
5and necessity or a permit issued by the Public Utilities
6
begin delete Commission.end deletebegin insert Commission, or a taxicab as defined in subdivision
7(d) of Section 545.14 of the Public Utilities Code.end insert

8(l) This section shall not be construed to change the definition
9of “employer,” “employee,” or “independent contractor” for any
10purpose.

11(m) A motor carrier who contracts with a person to drive a
12vehicle described in subdivision (k) that is owned by, or leased to,
13that motor carrier, shall be subject to subdivisions (a), (b), (c), (d),
14(f), (j), (k), and (l) and the employer obligations in those
15subdivisions.

begin delete end deletebegin delete

16(n) Reports issued pursuant to this section, but only those for a
17driver of a taxicab engaged in transportation services as described
18in subdivision (a) of Section 53075.5 of the Government Code,
19shall be presented upon request, during regular business hours, to
20an authorized representative of the administrative agency
21responsible for issuing permits to taxicab transportation services
22pursuant to Section 53075.5 of the Government Code.

end delete
begin delete end delete
23begin insert

begin insertSEC. 16.end insert  

end insert

begin insertSection 12523.6 of the end insertbegin insertVehicle Codeend insertbegin insert is amended to
24read:end insert

25

12523.6.  

(a) (1) On and after March 1, 1998, no person who
26is employed primarily as a driver of a motor vehicle that is used
27for the transportation of persons with developmental disabilities,
28as defined in subdivision (a) of Section 4512 of the Welfare and
29Institutions Code, shall operate that motor vehicle unless that
30person has in his or her possession a valid driver’s license of the
31appropriate class and a valid special driver certificate issued by
32the department.

33(2) This subdivision only applies to a person who is employed
34by a business, a nonprofit organization, or a state or local public
35agency.

36(b) The special driver certificate shall be issued only to an
37applicant who has cleared a criminal history background check by
38the Department of Justice and, if applicable, by the Federal Bureau
39of Investigation.

P44   1(1) In order to determine the applicant’s suitability as the driver
2of a vehicle used for the transportation of persons with
3developmental disabilities, the Department of the California
4Highway Patrol shall require the applicant to furnish to that
5department, on a form provided or approved by that department
6for submission to the Department of Justice, a full set of
7fingerprints sufficient to enable a criminal background
8investigation.

9(2) Except as provided in paragraph (3), an applicant shall
10furnish to the Department of the California Highway Patrol
11evidence of having resided in this state for seven consecutive years
12immediately prior to the date of application for the certificate.

13(3) If an applicant is unable to furnish the evidence required
14under paragraph (2), the Department of the California Highway
15Patrol shall require the applicant to furnish an additional full set
16of fingerprints. That department shall submit those fingerprint
17cards to the Department of Justice. The Department of Justice
18shall, in turn, submit the additional full set of fingerprints required
19under this paragraph to the Federal Bureau of Investigation for a
20national criminal history record check.

21(4) Applicant fingerprint forms shall be processed and returned
22to the area office of the Department of the California Highway
23Patrol from which they originated not later than 15 working days
24from the date on which the fingerprint forms were received by the
25Department of Justice, unless circumstances, other than the
26administrative duties of the Department of Justice, warrant further
27 investigation. Upon implementation of an electronic fingerprinting
28system with terminals located statewide and managed by the
29Department of Justice, the Department of Justice shall ascertain
30the information required pursuant to this subdivision within three
31working days.

32(5) The applicant shall pay, in addition to the fees authorized
33in Section 2427, a fee of twenty-five dollars ($25) for an original
34certificate and twelve dollars ($12) for the renewal of that
35certificate to the Department of the California Highway Patrol.

36(c) A certificate issued under this section shall not be deemed
37a certification to operate a particular vehicle that otherwise requires
38a driver’s license or endorsement for a particular class under this
39code.

P45   1(d) On or after March 1, 1998, no person who operates a
2business or a nonprofit organization or agency shall employ a
3person who is employed primarily as a driver of a motor vehicle
4for hire that is used for the transportation of persons with
5developmental disabilities unless the employed person operates
6the motor vehicle in compliance with subdivision (a).

7(e) Nothing in this section precludes an employer of persons
8who are occasionally used as drivers of motor vehicles for the
9transportation of persons with developmental disabilities from
10requiring those persons, as a condition of employment, to obtain
11a special driver certificate pursuant to this section or precludes any
12volunteer driver from applying for a special driver certificate.

13(f) As used in this section, a person is employed primarily as
14driver if that person performs at least 50 percent of his or her time
15worked including, but not limited to, time spent assisting persons
16onto and out of the vehicle, or at least 20 hours a week, whichever
17is less, as a compensated driver of a motor vehicle for hire for the
18transportation of persons with developmental disabilities.

19(g) This section does not apply to any person who has
20successfully completed a background investigation prescribed by
21law, including, but not limited to, health care transport vehicle
22operators, or to the operator of a taxicab regulated pursuant to
23begin insert Chapter 8.5 (commencing withend insert Sectionbegin delete 21100.end deletebegin insert 5451) of Division
242 of the Public Utilities Code.end insert
This section does not apply to a
25person who holds a valid certificate, other than a farm labor vehicle
26driver certificate, issued under Section 12517.4 or 12527. This
27section does not apply to a driver who provides transportation on
28a noncommercial basis to persons with developmental disabilities.

29begin insert

begin insertSEC. 17.end insert  

end insert

begin insertSection 16500 of the end insertbegin insertVehicle Codeend insertbegin insert is amended to
30read:end insert

31

16500.  

Every owner of a vehicle used in the transportation of
32passengers for hire,begin delete including taxicabs,end delete when the operation of the
33vehicle is not subject to regulation by the Public Utilities
34Commission, shall maintain, whenever he or she may be engaged
35in conducting those operations, proof of financial responsibility
36resulting from the ownership or operation of the vehicle and arising
37by reason of personal injury to, or death of, any one person, of at
38least fifteen thousand dollars ($15,000), and, subject to the limit
39of fifteen thousand dollars ($15,000) for each person injured or
40killed, of at least thirty thousand dollars ($30,000) for the injury
P46   1to, or the death of, two or more persons in any one accident, and
2for damages to property of at least five thousand dollars ($5,000)
3resulting from any one accident. Proof of financial responsibility
4may be maintained by either:

5(a) Being insured under a motor vehicle liability policy against
6that liability.

7(b) Obtaining a bond of the same kind, and containing the same
8provisions, as those bonds specified in Section 16434.

9(c) By depositing with the department thirty-five thousand
10dollars ($35,000), which amount shall be deposited in a special
11deposit account with the Controller for the purpose of this section.

12(d) Qualifying as a self-insurer under Section 16053.

13The department shall return the deposit to the person entitled
14thereto when he or she is no longer required to maintain proof of
15financial responsibility as required by this section or upon his or
16her death.

17begin insert

begin insertSEC. 18.end insert  

end insert

begin insertSection 21100 of the end insertbegin insertVehicle Codeend insertbegin insert is amended to
18read:end insert

19

21100.  

Local authorities may adopt rules and regulations by
20ordinance or resolution regarding all of the following matters:

21(a) Regulating or prohibiting processions or assemblages on the
22highways.begin insert end insert

begin delete end deletebegin delete

23(b) Licensing and regulating the operation of vehicles for hire
24and drivers of passenger vehicles for hire.

end delete
begin delete end deletebegin delete

25(c)

end delete

26begin insert(b)end insert Regulating traffic by means of traffic officers.

begin delete

27(d)

end delete

28begin insert(c)end insert Regulating traffic by means of official traffic control devices
29meeting the requirements of Section 21400.

begin delete

30(e)

end delete

31begin insert(d)end insert (1) Regulating traffic by means of a person given temporary
32or permanent appointment for that duty by the local authority when
33official traffic control devices are disabled or otherwise inoperable,
34at the scenes of accidents or disasters, or at locations as may require
35traffic direction for orderly traffic flow.

36(2) A person shall not be appointed pursuant to this subdivision
37unless and until the local authority has submitted to the
38commissioner or to the chief law enforcement officer exercising
39jurisdiction in the enforcement of traffic laws within the area in
40which the person is to perform the duty, for review, a proposed
P47   1program of instruction for the training of a person for that duty,
2and unless and until the commissioner or other chief law
3enforcement officer approves the proposed program. The
4commissioner or other chief law enforcement officer shall approve
5a proposed program if he or she reasonably determines that the
6program will provide sufficient training for persons assigned to
7perform the duty described in this subdivision.

begin delete

8(f)

end delete

9begin insert(e)end insert Regulating traffic at the site of road or street construction
10or maintenance by persons authorized for that duty by the local
11authority.

begin delete

12(g)

end delete

13begin insert(f)end insert (1) Licensing and regulating the operation of tow truck
14service or tow truck drivers whose principal place of business or
15employment is within the jurisdiction of the local authority,
16excepting the operation and operators of any auto dismantlers’ tow
17vehicle licensed under Section 11505 or any tow truck operated
18by a repossessing agency licensed under Chapter 11 (commencing
19with Section 7500) of Division 3 of the Business and Professions
20Code and its registered employees.

21(2) The Legislature finds that the safety and welfare of the
22general public is promoted by permitting local authorities to
23regulate tow truck service companies and operators by requiring
24licensure, insurance, and proper training in the safe operation of
25towing equipment, thereby ensuring against towing mistakes that
26may lead to violent confrontation, stranding motorists in dangerous
27situations, impeding the expedited vehicle recovery, and wasting
28state and local law enforcement’s limited resources.

29(3) This subdivision does not limit the authority of a city or city
30and county pursuant to Section 12111.

begin delete

31(h)

end delete

32begin insert(g)end insert Operation of bicycles, and, as specified in Section 21114.5,
33electric carts by physically disabled persons, or persons 50 years
34of age or older, on public sidewalks.

begin delete

35(i)

end delete

36begin insert(h)end insert Providing for the appointment of nonstudent school crossing
37guards for the protection of persons who are crossing a street or
38highway in the vicinity of a school or while returning thereafter
39to a place of safety.

begin delete

40(j)

end delete

P48   1begin insert(i)end insert Regulating the methods of deposit of garbage and refuse in
2streets and highways for collection by the local authority or by
3any person authorized by the local authority.

begin delete

4(k)

end delete

5begin insert(j)end insert (1) Regulating cruising.

6(2) The ordinance or resolution adopted pursuant to this
7subdivision shall regulate cruising, which is the repetitive driving
8of a motor vehicle past a traffic control point in traffic that is
9congested at or near the traffic control point, as determined by the
10ranking peace officer on duty within the affected area, within a
11specified time period and after the vehicle operator has been given
12an adequate written notice that further driving past the control
13point will be a violation of the ordinance or resolution.

14(3) A person is not in violation of an ordinance or resolution
15adopted pursuant to this subdivision unless both of the following
16apply:

17(A) That person has been given the written notice on a previous
18driving trip past the control point and then again passes the control
19point in that same time interval.

20(B) The beginning and end of the portion of the street subject
21to cruising controls are clearly identified by signs that briefly and
22clearly state the appropriate provisions of this subdivision and the
23local ordinance or resolution on cruising.

begin delete

24(l)

end delete

25begin insert(k)end insert Regulating or authorizing the removal by peace officers of
26vehicles unlawfully parked in a fire lane, as described in Section
2722500.1, on private property. A removal pursuant to this
28subdivision shall be consistent, to the extent possible, with the
29procedures for removal and storage set forth in Chapter 10
30(commencing with Section 22650).

begin delete

31(m)

end delete

32begin insert (end insertbegin insertlend insertbegin insert)end insert Regulating mobile billboard advertising displays, as defined
33in Section 395.5, including the establishment of penalties, which
34may include, but are not limited to, removal of the mobile billboard
35advertising display, civil penalties, and misdemeanor criminal
36penalties, for a violation of the ordinance or resolution. The
37ordinance or resolution may establish a minimum distance that a
38mobile billboard advertising display shall be moved after a
39specified time period.

begin delete

40(n)

end delete

P49   1begin insert(m)end insertbegin insertend insert Licensing and regulating the operation of pedicabs for hire,
2as defined in Section 467.5, and operators of pedicabs for hire,
3including requiring one or more of the following documents:

4(1) A valid California driver’s license.

5(2) Proof of successful completion of a bicycle safety training
6course certified by the League of American Bicyclists or an
7equivalent organization as determined by the local authority.

8(3) A valid California identification card and proof of successful
9completion of the written portion of the California driver’s license
10examination administered by the department. The department shall
11administer, without charging a fee, the original driver’s license
12written examination on traffic laws and signs to a person who
13states that he or she is, or intends to become, a pedicab operator,
14and who holds a valid California identification card or has
15successfully completed an application for a California identification
16card. If the person achieves a passing score on the examination,
17the department shall issue a certificate of successful completion
18of the examination, bearing the person’s name and identification
19card number. The certificate shall not serve in lieu of successful
20completion of the required examination administered as part of
21any subsequent application for a driver’s license. The department
22is not required to enter the results of the examination into the
23computerized record of the person’s identification card or otherwise
24retain a record of the examination or results.

begin delete

25(o)

end delete

26begin insert(n)end insert (1) This section does not authorize a local authority to enact
27or enforce an ordinance or resolution that establishes a violation
28if a violation for the same or similar conduct is provided in this
29code, nor does it authorize a local authority to enact or enforce an
30ordinance or resolution that assesses a fine, penalty, assessment,
31or fee for a violation if a fine, penalty, assessment, or fee for a
32violation involving the same or similar conduct is provided in this
33code.

34(2) This section does not preclude a local authority from enacting
35parking ordinances pursuant to existing authority in Chapter 9
36(commencing with Section 22500) of Division 11.

begin delete

37(p)

end delete

38begin insert(o)end insert (1) Regulating advertising signs on motor vehicles parked
39or left standing upon a public street. The ordinance or resolution
P50   1may establish a minimum distance that the advertising sign shall
2be moved after a specified time period.

3(2) Paragraph (1) does not apply to any of the following:

4(A) Advertising signs that are permanently affixed to the body
5of, an integral part of, or a fixture of a motor vehicle for permanent
6decoration, identification, or display and that do not extend beyond
7the overall length, width, or height of the vehicle.

8(B) If the license plate frame is installed in compliance with
9Section 5201, paper advertisements issued by a dealer contained
10within that license plate frame or any advertisements on that license
11plate frame.

12(3) As used in paragraph (2), “permanently affixed” means any
13of the following:

14(A) Painted directly on the body of a motor vehicle.

15(B) Applied as a decal on the body of a motor vehicle.

16(C) Placed in a location on the body of a motor vehicle that was
17specifically designed by a vehicle manufacturer as defined in
18Section 672 and licensed pursuant to Section 11701, in compliance
19with both state and federal law or guidelines, for the express
20purpose of containing an advertising sign.

21begin insert

begin insertSEC. 19.end insert  

end insert

begin insertSection 21100.4 of the end insertbegin insertVehicle Codeend insertbegin insert is amended to
22read:end insert

23

21100.4.  

(a) (1) A magistrate presented with the affidavit of
24a peace officerbegin delete or a designated local transportation officerend delete
25 establishing reasonable cause to believe that a vehicle, described
26by vehicle type and license number, is being operated as a taxicab
27or other passenger vehicle for hire in violation ofbegin delete licensing
28requirements adopted by a local authority under subdivision (b)
29of Section 21100end delete
begin insert Chapter 8.5 (commencing with Section 5451) of
30Division 2 of the Public Utilities Codeend insert
shall issue a warrant or
31order authorizing the peace officerbegin delete or designated local
32transportation officerend delete
to immediately seize and cause the removal
33of the vehicle.begin delete As used in this section, “designated local
34transportation officer” means any local public officer employed
35by a local authority to investigate and enforce local taxicab and
36vehicle for hire laws and regulations.end delete

37(2) The warrant or court order may be entered into a
38computerized database.

39(3) A vehicle so impounded may be impounded for a period not
40to exceed 30 days.

P51   1(4) The impounding agency, within two working days of
2impoundment, shall send a notice by certified mail, return receipt
3requested, to the legal owner of the vehicle, at an address obtained
4from the department, informing the owner that the vehicle has
5been impounded and providing the owner with a copy of the
6warrant or court order. Failure to notify the legal owner within
7two working days shall prohibit the impounding agency from
8charging for more than 15 days’ impoundment when a legal owner
9redeems the impounded vehicle. The law enforcement agency shall
10be open to issue a release to the registered owner or legal owner,
11or the agent of either, whenever the agency is open to serve the
12public for regular, nonemergency business.

13(b) (1) An impounding agency shall release a vehicle to the
14registered owner or his or her agent prior to the end of the
15impoundment period and without the permission of the magistrate
16authorizing the vehicle’s seizure under any of the following
17circumstances:

18(A) When the vehicle is a stolen vehicle.

19(B) When the vehicle was seized under this section for an
20offense that does not authorize the seizure of the vehicle.

21(C) When the vehicle is a rental car.

22(2) A vehicle may not be released under this subdivision, except
23upon presentation of the registered owner’s or agent’s currently
24validbegin delete licenseend deletebegin insert permitend insert to operate the vehicle under thebegin delete licensingend delete
25 requirementsbegin delete adopted by the local authority under subdivision (b)
26of Section 21100,end delete
begin insert of Chapter 8.5 (commencing with Section 5451)
27of Division 2 of the Public Utilities Code,end insert
and proof of current
28vehicle registration, or upon order of the court.

29(c) (1) Whenever a vehicle is impounded under this section,
30the magistrate ordering the storage shall provide the vehicle’s
31registered and legal owners of record, or their agents, with the
32opportunity for a poststorage hearing to determine the validity of
33the storage.

34(2) A notice of the storage shall be mailed or personally
35delivered to the registered and legal owners within 48 hours after
36issuance of the warrant or court order, excluding weekends and
37holidays, by the person or agency executing the warrant or court
38order, and shall include all of the following information:

39(A) The name, address, and telephone number of the agency
40providing the notice.

P52   1(B) The location of the place of storage and a description of the
2vehicle, which shall include, if available, the name or make, the
3manufacturer, the license plate number, and the mileage of the
4vehicle.

5(C) A copy of the warrant or court order and the peace officer’s
6affidavit, as described in subdivision (a).

7(D) A statement that, in order to receive their poststorage
8hearing, the owners, or their agents, are required to request the
9hearing from the magistrate issuing the warrant or court order in
10person, in writing, or by telephone, within 10 days of the date of
11the notice.

12(3) The poststorage hearing shall be conducted within two court
13days after receipt of the request for the hearing.

14(4) At the hearing, the magistrate may order the vehicle released
15if he or she finds any of the circumstances described in subdivision
16(b) or (e) that allow release of a vehicle by the impounding agency.

17(5) Failure of either the registered or legal owner, or his or her
18agent, to request, or to attend, a scheduled hearing satisfies the
19poststorage hearing requirement.

20(6) The agency employing the peace officerbegin delete or designated local
21transportation officerend delete
who caused the magistrate to issue the
22warrant or court order shall be responsible for the costs incurred
23for towing and storage if it is determined in the poststorage hearing
24that reasonable grounds for the storage are not established.

25(d) The registered owner or his or her agent is responsible for
26all towing and storage charges related to the impoundment, and
27any administrative charges authorized under Section 22850.5.

28(e) A vehicle removed and seized under subdivision (a) shall
29be released to the legal owner of the vehicle or the legal owner’s
30agent prior to the end of the impoundment period and without the
31permission of the magistrate authorizing the seizure of the vehicle
32if all of the following conditions are met:

33(1) The legal owner is a motor vehicle dealer, bank, credit union,
34acceptance corporation, or other licensed financial institution
35legally operating in this state or is another person, not the registered
36owner, holding a security interest in the vehicle.

37(2) (A) The legal owner or the legal owner’s agent pays all
38towing and storage fees related to the seizure of the vehicle. A lien
39sale processing fee shall not be charged to the legal owner who
40redeems the vehicle prior to the 15th day of impoundment. Neither
P53   1the impounding authority nor any person having possession of the
2vehicle shall collect from the legal owner of the type specified in
3paragraph (1), or the legal owner’s agent, any administrative
4charges imposed pursuant to Section 22850.5 unless the legal
5owner voluntarily requested a poststorage hearing.

6(B) A person operating or in charge of a storage facility where
7vehicles are stored pursuant to this section shall accept a valid
8bank credit card or cash for payment of towing, storage, and related
9fees by a legal or registered owner or the owner’s agent claiming
10the vehicle. A credit card shall be in the name of the person
11presenting the card. “Credit card” means “credit card” as defined
12in subdivision (a) of Section 1747.02 of the Civil Code, except,
13for the purposes of this section, credit card does not include a credit
14card issued by a retail seller.

15(C) A person operating or in charge of a storage facility
16described in subparagraph (B) who violates subparagraph (B) shall
17be civilly liable to the owner of the vehicle or to the person who
18tendered the fees for four times the amount of the towing, storage,
19and related fees, but not to exceed five hundred dollars ($500).

20(D) A person operating or in charge of a storage facility
21described in subparagraph (B) shall have sufficient funds on the
22premises of the primary storage facility during normal business
23hours to accommodate, and make change in, a reasonable monetary
24transaction.

25(E) Credit charges for towing and storage services shall comply
26with Section 1748.1 of the Civil Code. Law enforcement agencies
27may include the costs of providing for payment by credit when
28making agreements with towing companies on rates.

29(3) (A) The legal owner or the legal owner’s agent presents to
30the law enforcement agency or impounding agency, or any person
31acting on behalf of those agencies, a copy of the assignment, as
32defined in subdivision (b) of Section 7500.1 of the Business and
33Professions Code; a release from the one responsible governmental
34agency, only if required by the agency; a government-issued
35photographic identification card; and any one of the following as
36determined by the legal owner or the legal owner’s agent: a
37certificate of repossession for the vehicle, a security agreement
38for the vehicle, or title, whether paper or electronic, showing proof
39of legal ownership for the vehicle. The law enforcement agency,
40impounding agency, or any other governmental agency, or any
P54   1person acting on behalf of those agencies, shall not require the
2presentation of any other documents.

3(B) The legal owner or the legal owner’s agent presents to the
4person in possession of the vehicle, or any person acting on behalf
5of the person in possession, a copy of the assignment, as defined
6in subdivision (b) of Section 7500.1 of the Business and
7Professions Code; a release from the one responsible governmental
8agency, only if required by the agency; a government-issued
9photographic identification card; and any one of the following as
10determined by the legal owner or the legal owner’s agent: a
11certificate of repossession for the vehicle, a security agreement
12for the vehicle, or title, whether paper or electronic, showing proof
13of legal ownership for the vehicle. The person in possession of the
14vehicle, or any person acting on behalf of the person in possession,
15shall not require the presentation of any other documents.

16(C) All presented documents may be originals, photocopies, or
17facsimile copies, or may be transmitted electronically. The law
18enforcement agency, impounding agency, or any person in
19possession of the vehicle, or anyone acting on behalf of them, shall
20not require any documents to be notarized. The law enforcement
21agency, impounding agency, or any person acting on behalf of
22those agencies, may require the agent of the legal owner to produce
23a photocopy or facsimile copy of its repossession agency license
24or registration issued pursuant to Chapter 11 (commencing with
25Section 7500) of Division 3 of the Business and Professions Code,
26or to demonstrate, to the satisfaction of the law enforcement
27agency, impounding agency, or any person in possession of the
28vehicle, or anyone acting on behalf of them, that the agent is
29exempt from licensure pursuant to Section 7500.2 or 7500.3 of the
30Business and Professions Code.

31(D) An administrative cost authorized under subdivision (a) of
32Section 22850.5 shall not be charged to the legal owner of the type
33specified in paragraph (1) who redeems the vehicle unless the legal
34owner voluntarily requests a poststorage hearing. A city, county,
35city and county, or state agency shall not require a legal owner or
36a legal owner’s agent to request a poststorage hearing as a
37requirement for release of the vehicle to the legal owner or the
38legal owner’s agent. The law enforcement agency, impounding
39agency, or any other governmental agency, or any person acting
40on behalf of those agencies, shall not require any documents other
P55   1than those specified in this paragraph. The law enforcement agency,
2impounding agency, or other governmental agency, or any person
3acting on behalf of those agencies, may not require any documents
4to be notarized. The legal owner or the legal owner’s agent shall
5be given a copy of any documents he or she is required to sign,
6except for a vehicle evidentiary hold logbook. The law enforcement
7agency, impounding agency, or any person acting on behalf of
8those agencies, or any person in possession of the vehicle, may
9photocopy and retain the copies of any documents presented by
10the legal owner or legal owner’s agent.

11(4) A failure by a storage facility to comply with any applicable
12conditions set forth in this subdivision shall not affect the right of
13the legal owner or the legal owner’s agent to retrieve the vehicle,
14provided all conditions required of the legal owner or legal owner’s
15agent under this subdivision are satisfied.

16(f) (1) A legal owner or the legal owner’s agent that obtains
17release of the vehicle pursuant to subdivision (e) shall not release
18the vehicle to the registered owner of the vehicle or the person
19who was listed as the registered owner when the vehicle was
20impounded or any agents of the registered owner until the
21termination of the impoundment period.

22(2) The legal owner or the legal owner’s agent shall not
23relinquish the vehicle to the registered owner or the person who
24was listed as the registered owner when the vehicle was impounded
25until the registered owner or that owner’s agent presents his or her
26valid driver’s license or valid temporary driver’s license, and an
27operator’sbegin delete licenseend deletebegin insert permitend insert that is in compliance with thebegin delete licensingend delete
28 requirementsbegin delete adopted by the local authority under subdivision (b)
29of Section 21100,end delete
begin insert of Chapter 8.5 (commencing with Section 5451)
30of Division 2 of the Public Utilities Code,end insert
to the legal owner or the
31legal owner’s agent. The legal owner or the legal owner’s agent
32or the person in possession of the vehicle shall make every
33reasonable effort to ensure that thebegin delete licensesend deletebegin insert license and permitend insert
34 presented are valid and possession of the vehicle will not be given
35to the driver who was involved in the original impoundment
36proceeding until the expiration of the impoundment period.

37(3) Prior to relinquishing the vehicle, the legal owner may
38require the registered owner to pay all towing and storage charges
39related to the impoundment and the administrative charges
P56   1authorized under Section 22850.5 that were incurred by the legal
2owner in connection with obtaining the custody of the vehicle.

3(4) Any legal owner who knowingly releases or causes the
4release of a vehicle to a registered owner or the person in
5possession of the vehicle at the time of the impoundment or any
6agent of the registered owner in violation of this subdivision shall
7be guilty of a misdemeanor and subject to a civil penalty in the
8amount of two thousand dollars ($2,000).

9(5) The legal owner, registered owner, or person in possession
10of the vehicle shall not change or attempt to change the name of
11the legal owner or the registered owner on the records of the
12department until the vehicle is released from the impoundment.

13(g) Notwithstanding any other provision of this section, the
14registered owner and not the legal owner shall remain responsible
15for any towing and storage charges related to the impoundment
16and the administrative charges authorized under Section 22850.5
17and any parking fines, penalties, and administrative fees incurred
18by the registered owner.

19(h) The law enforcement agency and the impounding agency,
20including any storage facility acting on behalf of the law
21enforcement agency or impounding agency, shall comply with this
22section and shall not be liable to the registered owner for the
23improper release of the vehicle to the legal owner or the legal
24owner’s agent if the release complies with this section. The legal
25owner shall indemnify and hold harmless a storage facility from
26any claims arising out of the release of the vehicle to the legal
27owner or the legal owner’s agent and from any damage to the
28vehicle after its release, including the reasonable costs associated
29with defending any such claims. A law enforcement agency shall
30not refuse to issue a release to a legal owner or the agent of a legal
31owner on the grounds that it previously issued a release.

32begin insert

begin insertSEC. 20.end insert  

end insert

begin insertSection 27908 of the end insertbegin insertVehicle Codeend insertbegin insert is amended to
33read:end insert

34

27908.  

(a) In every taxicab operated in this state there shall
35be a sign of heavy material, not smaller than 6 inches by 4 inches,
36or such other size as thebegin delete agency regulating the operation of the
37taxicabend delete
begin insert Public Utilities Commissionend insert provides for other notices or
38signs required to be in every taxicab, securely attached and clearly
39displayed in view of the passenger at all times, providing in letters
P57   1as large as the size of the sign will reasonably allow, all of the
2following information:

3(1) The name, address, and telephone number of thebegin delete agency
4regulatingend delete
begin insert applicable unit ofend insert thebegin insert Public Utilities Commission that
5regulates theend insert
operation of the taxicab.

6(2) The name, address, and telephone number of thebegin delete firm
7licensed or controlledend delete
begin insert taxicab carrier that has been issued a permit
8to provide taxicab transportation servicesend insert
by thebegin delete agency regulating
9the operation of the taxicab.end delete
begin insert Public Utilities Commission.end insert

begin delete end deletebegin delete

10(b) In the event more than one local regulatory agency has
11jurisdiction over the operation of the taxicab, the notice required
12by paragraph (1) of subdivision (a) shall provide the name, address,
13and telephone number of the agency having jurisdiction in the area
14where the taxicab operator conducts its greatest volume of business;
15or, if this cannot readily be ascertained, the agency having
16jurisdiction in the area where the taxicab operator maintains its
17offices or primary place of business, provided that the operator
18conducts a substantial volume of business in such area; or, if neither
19of the foregoing provisions apply, any agency having jurisdiction
20of an area where the taxicab operator conducts a substantial volume
21of business.

end delete
begin delete end deletebegin delete

22(c)

end delete

23begin insert(b)end insert As used in this section, “taxicab” means a passengerbegin insert motorend insert
24 vehicle designed for carrying not more than eight persons,
25excluding the driver, and used to carry passengers forbegin delete hire.end deletebegin insert hire
26as part of taxicab transportation services regulated pursuant to
27Chapter 8.5 (commencing with Section 5451) of Division 2 of the
28Public Utilities Code.end insert
“Taxicab” shall not include a charter-party
29carrier of passengers within the meaning of the Passenger
30Charter-party Carriers’begin delete Act, Chapterend deletebegin insert Act (Chapterend insert 8 (commencing
31with Section 5351) of Division 2 of the Public Utilitiesbegin delete Code.end delete
32
begin insert Code.)end insert

33begin insert

begin insertSEC. 21.end insert  

end insert
begin insert

No reimbursement is required by this act pursuant
34to Section 6 of Article XIII B of the California Constitution for
35certain costs that may be incurred by a local agency or school
36district because, in that regard, this act creates a new crime or
37infraction, eliminates a crime or infraction, or changes the penalty
38for a crime or infraction, within the meaning of Section 17556 of
39the Government Code, or changes the definition of a crime within
P58   1the meaning of Section 6 of Article XIII B of the California
2Constitution.

end insert
begin insert

3
However, if the Commission on State Mandates determines that
4this act contains other costs mandated by the state, reimbursement
5to local agencies and school districts for those costs shall be made
6pursuant to Part 7 (commencing with Section 17500) of Division
74 of Title 2 of the Government Code.

end insert
begin delete
8

SECTION 1.  

Section 19607.2 of the Business and Professions
9Code
is amended to read:

10

19607.2.  

Notwithstanding Section 19605.8, when satellite
11wagering is conducted on thoroughbred races at associations or
12fairs in the northern zone, an amount not to exceed 2 percent of
13the total amount handled by all of those satellite wagering facilities,
14shall be deducted from the funds otherwise allocated for
15distribution as commissions, purses, and owners’ premiums and
16instead distributed to an organization formed and operated by
17thoroughbred racing associations, fairs conducting thoroughbred
18racing, and the organization representing thoroughbred horsemen
19and horsewomen, for use pursuant to Section 19607.3. A vote of
20the organization representing thoroughbred horsemen and
21horsewomen shall constitute 50 percent of all voting interests on
22the board of the organization formed and operated to administer
23the fund. The other 50 percent of all voting interests shall be
24allocated among thoroughbred racing associations and fairs
25conducting thoroughbred racing in a manner that provides
26meaningful representation on the governing board of the
27organization for thoroughbred racing associations and fairs
28conducting thoroughbred racing, except as provided in subdivision
29(h) of Section 19607.3.

30

SEC. 2.  

Section 19607.3 of the Business and Professions Code
31 is amended to read:

32

19607.3.  

(a) Notwithstanding Section 19535, the funds
33distributed to the organization formed pursuant to Section 19607.2
34shall be used to pay the organization’s expenses and compensate
35the provider of a board-approved auxiliary offsite facility for
36stabling, training, and vanning of thoroughbred horses in the
37northern zone. The organization administering the auxiliary offsite
38stabling and training facility and vanning program shall submit its
39proposed financial and operational plans for the upcoming calendar
40year to the board for review no later than November 1 of the
P59   1preceding year. Neither the organization administering the auxiliary
2offsite stabling and training facility and vanning program nor any
3of the entities forming and operating the organization, except the
4entity operating the auxiliary offsite stabling and training facility
5where the injury occurred, shall be liable for any injury to any
6jockey, exercise person, owner, trainer, or any employee or agent
7thereof, or any horse occurring at any auxiliary offsite stabling
8and training facility.

9(b) The funds shall also be used to cover all or part of the cost
10of vanning thoroughbred horses from a board-approved auxiliary
11offsite stabling and training facility to the track to start in a
12thoroughbred race at a thoroughbred or fair racing meeting in the
13northern zone. The organization shall determine the extent of and
14manner in which compensation will be paid for thoroughbred
15horses that are vanned from the auxiliary facility to the track or
16the fair conducting the thoroughbred or fair racing meeting. Neither
17the organization administering the auxiliary offsite stabling and
18training facility and vanning program nor any of the entities
19forming and operating the organization, except an entity actually
20engaged in vanning horses, is liable for any injury occurring to
21any individual or horse during vanning from an offsite stabling
22and training facility.

23(c) The auxiliary offsite stabling and training facilities and the
24amenities provided for offsite stabling and training purposes shall
25be substantially equivalent in character to those provided by the
26thoroughbred racing association or fair conducting the racing
27meeting.

28(d) In order to ensure the long-term availability of facilities for
29offsite stabling and training, the organization may enter into
30multiyear contracts for auxiliary facilities in the northern zone.
31The organization shall submit to the board for its approval the
32multiyear contracts that it enters into with providers of auxiliary
33facilities for offsite stabling and training. Contracts not disapproved
34by the board within 60 days of submittal to the board shall be
35deemed to have been approved by the board.

36(e) At the request of the board, the organization shall submit a
37report detailing all of its receipts and expenditures over the prior
38two fiscal years and, upon request of any party within the
39organization, those receipts and expenditures shall be audited by
40the board.

P60   1(f) In addition to the uses of the funds described in subdivisions
2(a) and (b), the organization may use the funds for both of the
3following:

4(1) Maintain a reserve fund of up to 10 percent of the total
5estimated annual vanning and auxiliary offsite stabling and training
6facility costs. In addition to the reserve fund, if the funds generated
7for the auxiliary offsite stabling and training facilities and vanning
8are insufficient to fully cover the expenses incurred, the
9organization may, in the future, accumulate sufficient funds to
10fully cover those expenses.

11(2) Pay back commissions, purses, and owners’ premiums to
12the extent the deductions made pursuant to Section 19607.2 exceed
13in any year the amount of funds necessary to achieve the objectives
14of the organization.

15(g) The amount initially deducted and distributed to the
16organization pursuant to Section 19607.2 may, at the request of
17the organization, be adjusted by the board, in its discretion.
18However, the adjusted amount may not exceed 2 percent of the
19total amount handled by satellite wagering facilities. The amount
20deducted and distributed to the organization as adjusted by the
21board may be a different percentage of the handle for different
22associations and fairs conducting thoroughbred racing meetings
23in the northern zone, but only if all the associations and fairs agree
24to the differing percentages.

25(h) A thoroughbred racing association or fair in the northern
26zone that is able to provide the minimum number of stalls required
27by its racing meeting license without the use of any auxiliary offsite
28stabling and training facility and vanning program may opt out of
29that program, in which case the deduction described in Section
3019607.2 shall not apply during the live racing meeting conducted
31by the association or fair until such time as the association or fair
32opts back into the auxiliary offsite stabling and training facility
33and vanning program. Any thoroughbred racing association or fair
34in the northern zone that opts out of the auxiliary offsite stabling
35and training facility and vanning program shall not have any voting
36interest therein until such time as the association or fair opts back
37into the program. The organization shall establish reasonable
38procedures and timelines for the giving of notice to the organization
39by a thoroughbred racing association or fair that elects to opt out
P61   1of the auxiliary offsite stabling and training facility and vanning
2program.

3(i) The board shall reserve the right to adjudicate any disputes
4that arise regarding costs, or other matters, relating to the furnishing
5of offsite stabling, training, or vanning. Notwithstanding any other
6law, the board shall maintain all powers necessary and proper to
7ensure that offsite stabling, training, and vanning, as provided for
8 in this article, is conducted in a manner that protects the public
9and serves the best interests of horse racing.

10

SEC. 3.  

No reimbursement is required by this act pursuant to
11Section 6 of Article XIII B of the California Constitution because
12the only costs that may be incurred by a local agency or school
13district will be incurred because this act creates a new crime or
14infraction, eliminates a crime or infraction, or changes the penalty
15for a crime or infraction, within the meaning of Section 17556 of
16the Government Code, or changes the definition of a crime within
17the meaning of Section 6 of Article XIII B of the California
18Constitution.

19

SEC. 4.  

This act is an urgency statute necessary for the
20immediate preservation of the public peace, health, or safety within
21the meaning of Article IV of the Constitution and shall go into
22immediate effect. The facts constituting the necessity are:

23At current levels, there are insufficient funds to maintain an
24auxiliary offsite stabling and training facility and vanning program
25at racing meetings of thoroughbred horses conducted by
26thoroughbred racing associations or fairs. Therefore, in order to
27raise sufficient funds before the winter thoroughbred horse racing
28season begins, it is necessary that this act take effect immediately.

end delete


O

    97