Amended in Senate June 23, 2016

Amended in Senate May 27, 2016

Amended in Senate April 14, 2016

Amended in Senate September 4, 2015

California Legislature—2015–16 Regular Session

Assembly Bill No. 650

Introduced by Assembly Member Low

February 24, 2015

An 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, begin delete 16500, end delete 21100, 21100.4, and 27908 of the Vehicle Code, relating to transportation.

LEGISLATIVE COUNSEL’S DIGEST

AB 650, as amended, Low. Public Utilities Commission: regulation of taxicabs.

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.

This bill would enact the Taxicab Transportation Services Act and provide for the begin insert statewide end insert regulation of taxicab transportation services by the begin delete commission as a matter of statewide concern, end delete begin insert commission, end insert except taxicab transportation services originating in the City and County of San Francisco and at the San Francisco International Airport, which would continue to be locally regulated, but would be subject to begin delete certain requirements, including insurance and monitoring of end delete begin insert a requirement for taxicab carriers to monitor the driving records of end insert taxicab drivers. The bill would provide for issuance of permits by the commission begin delete in all other areas of end delete begin insert elsewhere in end insert the state to taxicab carriers authorizing carriers to begin delete operate in one or more of 6 designated regions in the state. end delete begin insert operate. end insert The bill would begin delete require drivers of taxicabs in those areas to obtain a taxicab driver permit from the commission, and would end delete specify the requirements that begin delete an applicant end delete begin insert taxicab drivers in commission jurisdiction end insert must meet. The bill would enact various provisions relating to insurance, vehicle inspections, monitoring of taxicab drivers, and other begin delete matters. end delete begin insert matters relating to taxicab carriers in commission jurisdiction. end insert The bill would begin delete exempt fares or fees charged by taxicab carriers from commission regulation, but would end delete authorize the commission to require the disclosure of fares and fees, as specified. The bill would prohibit entities from providing taxicab transportation services begin insert in commission jurisdiction end insert without the required permit, and would provide for the commission to investigate and take action against unlicensed activity. begin insert The bill would require the commission to adopt a general order pertaining to taxicab carriers, and would authorize peace officers to enforce the provisions of the bill and the general order. end insert 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, excluding the City and County of San Francisco, 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.

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.

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.

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

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.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

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

SECTION 1.  

Section 85 of the Code of Civil Procedure is
amended to read:

85.  

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

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

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

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

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

(2) Section 1719 of the Civil Code.

(3) Section 3342.5 of the Civil Code.

(4) Section 86.

(5) Section 86.1.

(6) Section 1710.20.

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

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

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

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

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

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

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

(14) Section 53069.4 of the Government Code.

(15) Section 5411.5 of the Public Utilities Code.

(16) Section 5460.12 of the Public Utilities Code.

(17) Section 9872.1 of the Vehicle Code.

(18) Section 10751 of the Vehicle Code.

(19) Section 14607.6 of the Vehicle Code.

(20) Section 40230 of the Vehicle Code.

(21) Section 40256 of the Vehicle Code.

SEC. 2.  

Section 53075.5 of the Government Code is repealed.

SEC. 3.  

Section 53075.6 of the Government Code is repealed.

SEC. 4.  

Section 53075.61 of the Government Code is repealed.

SEC. 5.  

Section 53075.7 of the Government Code is repealed.

SEC. 6.  

Section 53075.8 of the Government Code is repealed.

SEC. 7.  

Section 53075.9 of the Government Code is repealed.

SEC. 8.  

Section 830.7 of the Penal Code is amended to read:

830.7.  

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

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

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

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

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

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

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

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

(h) Persons regularly employed as investigators by the
Department of Transportation for the City of Los Angeles and
designated by local ordinance as public officers, to the extent
necessary to enforce laws related to public transportation, and
authorized by a memorandum of understanding with the chief of
police, permitting the exercise of that authority. For the purposes
of this subdivision, “investigator” means an employee authorized
by local ordinance to enforce laws related to public transportation.
Transportation investigators authorized by this section shall not
be deemed “peace officers” for purposes of Sections 241 and 243.

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

(j) Illegal dumping enforcement officers or code enforcement
officers, to the extent necessary to enforce laws related to illegal
waste dumping or littering, and authorized by a memorandum of
understanding with, as applicable, the sheriff or chief of police
within whose jurisdiction the person is employed, permitting the
exercise of that authority. An “illegal dumping enforcement officer
or code enforcement officer” is defined, for purposes of this
section, as a person employed full time, part time, or as a volunteer
after completing training prescribed by law, by a city, county, or
city and county, whose duties include illegal dumping enforcement
and who is designated by local ordinance as a public officer. An
illegal dumping enforcement officer or code enforcement officer
may also be a person who is not regularly employed by a city,
county, or city and county, but who has met all training
requirements and is directly supervised by a regularly employed
illegal dumping enforcement officer or code enforcement officer
conducting illegal dumping enforcement. This person shall not
have the power of arrest or access to summary criminal history
information pursuant to this section. No person may be appointed
as an illegal dumping enforcement officer or code enforcement
officer if that person is disqualified pursuant to the criteria set forth
in Section 1029 of the Government Code. Persons regularly
employed by a city, county, or city and county designated pursuant
to this subdivision may be furnished state summary criminal history
information upon a showing of compelling need pursuant to
subdivision (c) of Section 11105.

SEC. 9.  

Section 5353 of the Public Utilities Code is amended
to read:

5353.  

This chapter does not apply to any of the following:

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

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

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

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

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

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

(g) Taxicab transportation services subject to regulation pursuant
to Chapter 8.5 (commencing with Section 5451) or exempt from
regulation under that chapter pursuant to Section 5451.3.

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

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

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

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

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

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

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

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

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

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

(2) Nothing in this subdivision authorizes the operator of a
commercial balloon operation to provide any round trip sightseeing
service without a permit, as required by subdivision (c) of Section
5384.

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

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

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

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

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

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

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

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

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

SEC. 10.  

Section 5411.5 of the Public Utilities Code is
amended to read:

5411.5.  

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

(b) Whenever a peace officer, as defined in Chapter 4.5
(commencing with Section 830) of Title 3 of Part 2 of the Penal
Code, arrests a person for operating a charter-party carrier of
passengers as a taxicab in violation of Chapter 8.5 (commencing
with Section 5451) or in violation of a local ordinance of the City
and County of San Francisco or its airport authority, the peace
officer may impound and retain possession of the vehicle.

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

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

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

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

SEC. 11.  

Section 5412.2 of the Public Utilities Code is
amended to read:

5412.2.  

(a) When a person is convicted of the offense of
operating a taxicab without a valid permit required pursuant to
Chapter 8.5 (commencing with Section 5451) or pursuant to a local
ordinance of the City and County of San Francisco or its airport
authority, in addition to any other penalties provided by law, if the
court determines the operator has the ability to pay, the court shall
impose a mandatory fine not exceeding two thousand five hundred
dollars ($2,500) for a first conviction or five thousand dollars
($5,000) for a subsequent conviction.

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

(c) As used in this section, “taxicab” shall have the meaning as
defined in subdivision (d) of Section 5451.4. “Taxicab” shall not
include a charter-party carrier of passengers within the meaning
of this chapter.

SEC. 12.  

Section 5413.5 of the Public Utilities Code is
amended to read:

5413.5.  

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

(b) Whenever the commission, after hearing, finds that any
person or corporation is operating a charter-party carrier of
passengers as a taxicab without a valid permit in violation of
Chapter 8.5 (commencing with Section 5451) or a local ordinance
of the City and County of San Francisco or its airport authority,
the commission may impose a fine of not more than five thousand
dollars ($5,000) for each violation. The commission may assess
the person or corporation an amount sufficient to cover the
reasonable expense of investigation incurred by the commission.
The commission may assess interest on any fine or assessment
imposed, to commence on the day the payment of the fine or
assessment becomes delinquent. All fines, assessments, and interest
collected shall be deposited at least once each month in the General
Fund.

SEC. 13.  

Chapter 8.5 (commencing with Section 5451) is added
to Division 2 of the Public Utilities Code, to read:

 

Chapter  8.5. Taxicab Transportation Services Act

 

Article 1.  General Provisions and Definitions

 

5451.  

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

begin insert

begin insert 5451.1. end insert   

The commission may delegate to its executive director
or designee of the executive director the authority to issue, renew,
or authorize the transfer of taxicab carrier permits under this
chapter and to otherwise implement this chapter.

end insert

5451.2.  

Notwithstanding any other provision of law, and except
as otherwise provided in Section 5451.3, this chapter shall apply
to taxicab transportation services provided throughout the state.
The commission shall regulate taxicab transportation services and
enforce the requirements of this chapter, and may adopt regulations
to further the objectives of this chapter. begin delete The Legislature finds and
declares that regulation of taxicab transportation services
throughout the state constitutes a matter of statewide concern. end delete

5451.3.  

This chapter shall not apply to taxicab transportation
services originating in the jurisdiction of the City and County of
San Francisco or at the San Francisco International Airport,
including taxicab carriers begin delete and taxicab drivers end delete associated with those
services. Those taxicab transportation services shall remain under
the regulation of the City and County of San Francisco or its airport
authority, as the case may be.

5451.4.  

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

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

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

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

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

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

(f) “Taxicab driver” means an individual who is a begin delete permitted end delete
begin insert licensed end insert driver of a taxicab under this chapter.

(g) “Taxicab transportation services” means the provision of
transportation services for compensation using motor vehicles
designed for carrying not more than eight passengers, excluding
the driver, begin insert and that are permitted to serve passengers via street
hail, including curbside pickups, end insert but excludes transportation
services provided by a charter-party carrier of passengers regulated
by Chapter 8 (commencing with Section 5351).

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

begin delete

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

end delete

5451.6.  

The commission shall issue permits pursuant to this
chapter authorizing taxicab carriers to begin delete operate in one or more of
the following regions: end delete begin insert operate. end insert

begin delete

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

(b) Region 2 shall include the Counties of Sonoma, Napa, Marin,
Solano, Contra Costa, San Mateo, Alameda, and Santa Clara.
Region 2 shall exclude taxicab transportation services originating
at the San Francisco International Airport in the County of San
Mateo.

(c) Region 3 shall include the Counties of San Joaquin, Amador,
Alpine, Stanislaus, Calaveras, Tuolumne, Mono, Merced,
Mariposa, San Benito, Madera, Fresno, Inyo, Kings, Tulare, and
Kern.

(d) Region 4 shall include the Counties of Santa Cruz, Monterey,
San Luis Obispo, Santa Barbara, and Ventura.

(e) Region 5 shall include the Counties of Los Angeles, San
Bernardino, Orange, and Riverside.

(f) Region 6 shall include the Counties of San Diego and
Imperial.

end delete

begin delete

5451.7.  

A taxicab carrier regulated by the City and County of
San Francisco or its airport authority and not subject to regulation
by the commission shall not be authorized to apply for a permit to
operate taxicab transportation services originating within any of
the regions regulated by the commission pursuant to Section
5451.6.

end delete

 

Article 2.  Authorization to Operate as a Taxicab Carrier

 

5452.  

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

5452.2.  

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

begin delete

5452.4.  

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

end delete

5452.6.  

A taxicab carrier shall include the number of its permit
in every written, oral, or electronic advertisement of the services
it offers and shall comply with the signing requirements of Section
27908 of the Vehicle Code. For the purposes of this section,
“advertisement” includes, but is not limited to, the issuance of any
card, sign, or device to any person, the causing, permitting, or
allowing of the placement of any sign or marking on or in any
building or structure, or in any media form, including newspaper,
magazine, radiowave, satellite signal, or any electronic
transmission, or in any directory soliciting taxicab transportation
services subject to this chapter.

5452.8.  

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

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

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

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

5452.10.  

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

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

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

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

(D) It participates in the pull notice program pursuant to Section
1808.1 of the Vehicle Code to regularly check the driving records
of all taxicab drivers, whether employees or contractors.

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

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

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

(H) It provides for a mandatory controlled substance and alcohol
testing certification program pursuant to Section begin delete 5457.22. end delete begin insert 5457.4. end insert

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

begin insert

(b) The commission, as a precondition to the issuance of a
permit under this article, may require the procurement of a
performance bond by the applicant sufficient to facilitate the
collection of fines, penalties, and restitution related to enforcement
actions that may be taken against the applicant.

end insert begin delete

(b)

end delete

begin insert (c) end insert  In addition to the requirements in subdivision (a), taxicab
carriers shall meet all other state and, where applicable, federal
regulations as prescribed.

5452.12.  

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

begin insert insurer. end insert

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

5452.14.  

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

5452.16.  

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

5452.18.  

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

 

Article 3.  Enforcement

 

5453.  

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

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

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

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

5453.2.  

The commission shall not issue, renew, or authorize
the transfer of a taxicab carrier permit under this chapter to any
entity against whom a final judgment has been entered and whose
name has been transmitted to the commission pursuant to Section
3716.4 of the Labor Code, unless that judgment has been satisfied
or has been discharged in accordance with the bankruptcy laws of
the United States.

5453.4.  

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

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

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

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

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

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

(6) On request of the taxicab carrier.

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

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

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

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

5453.6.  

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

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

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

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

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

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

begin insert

begin insert 5453.7. end insert   

(a) The commission may at any time have access to
the land, buildings, or equipment of a taxicab carrier in connection
with the operation of the carrier’s business and may inspect the
accounts, books, papers, and documents of the carrier. Any
inspection by the commission may include reproduction of
documents either at the premises of the carrier or the offices of
the commission, at the option of the carrier. The commission shall
reimburse the carrier for any reproduction expenses incurred by
the carrier at the direction of the commission.

(b) Subdivision (a) also applies to access to property and
inspections of accounts, books, papers, and documents of any entity
that is a subsidiary or affiliate of, or that holds a controlling
interest in, a taxicab carrier with respect to any transaction
between the carrier and the other entity.

(c) Subdivisions (a) and (b) also apply to any entity engaged in
the transportation of persons by motor vehicle for compensation
upon a determination by the commission that the entity is
advertising or holding itself out as providing services that may
reasonably be considered to be taxicab transportation services.

end insert

5453.8.  

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

begin insert

begin insert 5453.10. end insert   

(a) The Legislature finds and declares that
advertising and use of telephone service is essential for a an entity
providing taxicab transportation services to obtain business.
Unlawful advertisements by unlicensed taxicabs have resulted in
properly-permitted taxicab carriers competing with unlicensed
taxicabs using unfair business practices. Unlicensed taxicabs have
also exposed residents of the state to unscrupulous persons who
portray themselves as properly licensed, qualified, and insured
taxicabs. Many of these unlicensed taxicabs have been found to
have operated their vehicles without insurance, or in an unsafe
manner, placing residents of the state at risk.

(b) (1) The Legislature further finds and declares that the
termination of telephone service utilized by unlicensed taxicabs is
essential to ensure the public safety and welfare. Therefore, the
commission should take enforcement action as specified in this
section to disconnect telephone service of entities operating
unlicensed taxicab transportation services who unlawfully advertise
passenger transportation services in yellow page directories and
other publications. The enforcement actions provided for by this
section are consistent with the decision of the California Supreme
Court in Goldin v. Public Utilities Commission (1979) 23 Cal. 3d
638.

(2) For purposes of this section, a telephone corporation or
telegraph corporation, or a corporation that holds a controlling
interest in the telephone or telegraph corporation, or any business
that is a subsidiary or affiliate of the telephone or telegraph
corporation, that has the name and address of the subscriber to a
telephone number being used by an unlicensed operator of taxicab
transportation services shall provide the commission, upon the
order of a magistrate and the demand of the commission, access
to this information. A magistrate may only issue an order for the
purposes of this subdivision if the magistrate has made the findings
required by subdivision (c).

(c) A telephone or telegraph corporation shall refuse telephone
service to a new subscriber and shall disconnect telephone service
of an existing subscriber under this section only after it is shown
that other available enforcement remedies of the commission have
failed to terminate unlawful activities detrimental to the public
welfare and safety, and upon receipt from the commission of a
writing, signed by a magistrate, as defined by Sections 807 and
808 of the Penal Code, finding that probable cause exists to believe
that the subscriber is advertising, or holding itself out to the public
to perform, taxicab transportation services without a permit of the
commission, or that the telephone service otherwise is being used
or is to be used as an instrumentality, directly or indirectly, to
violate or assist in violation of the laws requiring a taxicab carrier
to have a permit from the commission. Included in the writing of
the magistrate shall be a finding that there is probable cause to
believe that the applicable telephone facilities have been, or are
to be, used in the commission or facilitation of holding out to the
public to perform or in performing taxicab transportation services
in violation of this chapter and that, in the absence of immediate
and summary action, a danger to the public welfare and safety
will result.

(d) Any person aggrieved by any action taken pursuant to this
section shall have the right to file a complaint with the commission
and may include in the complaint a request for interim relief. The
commission shall schedule a public hearing on the complaint to
be held within 21 calendar days of the filing and assignment of a
docket number to the complaint. The remedy provided by this
section shall be exclusive. No other action at law or in equity shall
accrue against any telephone or telegraph corporation because
of, or as a result of, any matter or thing done or threatened to be
done pursuant to this section.

(e) At any hearing held on a complaint filed with the commission
pursuant to subdivision (d), the commission staff shall have the
right to participate, including the right to present evidence and
argument and to present and cross-examine witnesses. The
commission staff shall have both the burden of proving that the
use made or to be made of the telephone service is to hold out to
the public to perform, or to assist in performing, taxicab
transportation services, or that the telephone service is being or
is to be used as an instrumentality, directly or indirectly, to violate
or to assist in violation of the permitting requirements applicable
to taxicab carriers and that the character of the acts are such that,
absent immediate and summary action, a danger to public welfare
or safety will result, and the burden of persuading the commission
that the telephone services should be refused or should not be
restored.

(f) The telephone or telegraph corporation, immediately upon
refusal or disconnection of service in accordance with subdivision
(c), shall notify the subscriber in writing that the refusal or
disconnection of telephone service has been made pursuant to a
request of the commission and the writing of a magistrate, and
shall include with the notice a copy of this section, a copy of the
writing of the magistrate, and a statement that the customer or
subscriber may request information from the commission at its
San Francisco or Los Angeles office concerning any provision of
this section and the manner in which a complaint may be filed.

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

(h) As used in this section, the terms “person,” “customer,”
and “subscriber” include a subscriber to telephone service, any
person using the telephone service of a subscriber, an applicant
for telephone service, a corporation, as defined in Section 204, a
“person” as defined in Section 205, a limited liability company,
a partnership, an association, and includes their lessees and
assigns.

(i) (1) As used in this section, “telephone corporation” is
defined as provided in Section 234.

(2) As used in this section, “telegraph corporation” is defined
as provided in Section 236.

(j) As used in this section, “commission” includes the employees
of the commission as provided in Section 5451.1, unless the context
otherwise requires.

end insert begin insert

begin insert 5453.12. end insert   

In order to facilitate enforcement by peace officers
of taxicab laws pursuant to this chapter and associated regulations
adopted by the commission, both of the following shall apply:

(a) The commission shall adopt a general order containing its
rules pertaining to taxicab carriers.

(b) Peace officers may enforce this chapter and the
commission’s rules in the general order pertaining to taxicab
carriers.

end insert

 

Article 4.  Trade Dress

 

5454.  

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

5454.2.  

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

5454.4.  

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

5454.6.  

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

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

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

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

5454.8.  

Any city or county, or any subdivision thereof, that
regulates or oversees the licensure of taxicab transportation services
within its jurisdiction on December 31, 2016, shall forward to the
commission licensure information for each taxicab transportation
service licensee within its jurisdiction. This section shall not apply
to the taxicab transportation services exempted from this chapter
pursuant to Section 5451.3. The information shall include, but
need not be limited to, the following:

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

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

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

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

begin delete

5454.10.  

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

end delete

 

Article 5.  Insurance

 

5455.  

The commission, in granting a permit to a taxicab carrier
pursuant to this chapter, shall require the taxicab carrier to procure,
and to continue in effect during the life of the permit, begin delete protection end delete
begin insert insurance end insert against liability imposed by law upon the taxicab carrier
for the payment of damages for personal bodily injuries, including
death resulting therefrom, begin delete protection end delete begin insert insurance end insert against a total
liability of the taxicab carrier on account of bodily injuries to, or
death of, more than one person as a result of any one accident, and
begin delete protection end delete begin insert insurance end insert against damage or destruction of property.
The begin delete maximum end delete begin insert insurance end insert requirements begin delete for these assurances of
protection against liability end delete shall be begin insert satisfied through commercial
liability insurance coverage applicable 24 hours per day and seven
days per week that is end insert no begin delete more end delete begin insert less end insert than one hundred thousand
dollars ($100,000) for death and personal injury per person, three
hundred thousand dollars ($300,000) for death and personal injury
per incident, and fifty thousand dollars ($50,000) for property
damage. begin insert The commission may require higher amounts of insurance
coverage. end insert

5455.2.  

The begin delete protection end delete begin insert insurance coverage end insert required under
Section 5455 shall begin delete be evidenced by the deposit of any of the
following with the commission covering end delete begin insert cover end insert each motor vehicle
used or to be used under begin delete the permit applied for: end delete

begin delete (a) end delete begin delete   end delete begin delete A end delete begin insert a taxicab carrier’s permit. The end insert policy of begin delete insurance, end delete
begin insert insurance shall be end insert issued by a company licensed to write insurance
in this state, or by nonadmitted insurers subject to Section 1763
of the Insurance Code, if the policies meet the rules promulgated
therefor by the commission.

begin delete

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

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

end delete

5455.4.  

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

begin delete

5455.6.  

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

end delete

5455.8.  

begin insert The insurance policy shall be filed with the commission. end insert
With the consent of the commission, a copy of an insurance policy,
certified by the company issuing it to be a true copy of the original
policy, or a photocopy thereof, or an electronic copy thereof, or
an abstract of the provisions of the policy, or a certificate of
insurance issued by the company issuing the policy, may be filed
with the commission in lieu of the original or a duplicate or
counterpart of the policy.

 

Article 6.  Pricing and GPS Metering

 

5456.  

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

begin delete

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

end delete

begin delete (b) end delete begin delete   end delete begin delete The end delete begin insert regulate the end insert type of device used by taxicab carriers to
calculate fares, including the use of global positioning system
metering as a form of calculating fares.

5456.2.  

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

 

Article 7.  Taxicab Drivers

 

begin delete

5457.  

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

5457.2.  

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

5457.4.  

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

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

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

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

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

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

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

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

5457.6.  

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

5457.8.  

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

5457.10.  

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

end delete

begin delete 5457.12. end delete

begin insert 5457. end insert   

While providing taxicab transportation services, a taxicab
driver shall have in his or her immediate possession, and shall
present, upon request, to a law enforcement officer, a representative
of the commission, or a customer, begin delete both end delete begin insert all end insert of the following:

(a)  begin delete A end delete begin insert Evidence of a end insert valid begin insert Class C end insert California driver’s license.

(b) A valid begin delete taxicab driver end delete permit issued by the begin delete commission. end delete

begin insert commission to a taxicab carrier. end insert

begin insert

(c) Evidence of the taxicab carrier’s liability insurance in
compliance with Article 5 (commencing with Section 5455).

end insert

begin delete 5457.14. end delete

begin insert 5457.2. end insert   

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

begin delete

5457.16.  

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

end delete begin delete

5457.18.  

A taxicab driver shall not do any of the following:

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

(b) Duplicate a taxicab driver permit.

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

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

end delete begin delete

5457.20.  

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

end delete

begin delete 5457.22. end delete

begin insert 5457.4. end insert   

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

(1) Participate in a pull-notice system pursuant to Section 1808.1
of the Vehicle Code to regularly check the driving records of all
taxicab drivers employed or contracted by the carrier.

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

begin insert

(3) Ensure that a taxicab driver employed or contracted by the
carrier meets all of the following requirements:

end insert begin insert

(A) Is a minimum of 18 years of age.

end insert begin insert

(B) Possesses a valid Class C California driver’s license.

end insert begin insert

(C) Is not afflicted with either a physical or mental incapacity
that would preclude the individual from safely operating a taxicab
and performing the duties normally associated with the profession.

end insert begin insert

(D) Passes a background check through the Department of
Justice’s live scan system.

end insert begin insert

(4) Provide each taxicab driver employed or contracted by the
taxicab carrier with documentation necessary for the driver to
comply with subdivisions (b) and (c) of Section 5457.

end insert begin insert

(b) A taxicab carrier may require a taxicab driver to submit a
medical report and obtain a valid medical certificate if the carrier
believes that the driver has a physical or mental affliction.

end insert begin delete

(b)

end delete

begin insert (c) end insert  Taxicab drivers hired or contracted by a taxicab carrier on
or after January 1, 2017, shall be subject to mandatory drug and
alcohol testing prior to employment or contracting. Drivers hired
or contracted by a taxicab carrier before January 1, 2017, shall
complete a drug and alcohol test before January 1, 2018.

begin delete 5457.24. end delete

begin insert 5457.6. end insert   

(a) A taxicab carrier regulated pursuant to this chapter
shall not employ, or contract with, any of the following persons
as a taxicab driver:

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

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

(3) A person convicted of any violation of Section 20001, 20003,
20004, 23104, or 23153 of the Vehicle Code.

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

 

Article 8.  Vehicle Inspection

 

5458.  

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

(a) Foot brakes.

(b) Emergency brakes.

(c) Steering mechanism.

(d) Windshield.

(e) Rear window and other glass.

(f) Windshield wipers.

(g) Headlights.

(h) Tail lights.

(i) Turn indicator lights.

(j) Stop lights.

(k) Front seat adjustment mechanism.

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

(m) Horn.

(n) Speedometer.

(o) Bumpers.

(p) Muffler and exhaust system.

(q) Tires.

(r) Interior and exterior rear-view mirrors.

(s) Safety belts for the driver and passengers.

 

Article 9.  Local Agencies and Airports

 

5459.  

(a) Except as otherwise specifically provided in this
article and in Section 5451.3, and notwithstanding any other
provision of law, this chapter constitutes the exclusive regulation
of taxicab begin delete carriers, taxicab drivers, end delete begin insert carriers end insert and taxicab
transportation services in this begin delete state and preempts all other
regulation. end delete begin insert state. end insert In that regard, a local agency may not require a
license, or impose a tax or fee, for the conduct of taxicab
transportation services subject to regulation under this chapter.

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

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

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

 

Article 10.  Violations

 

5460.  

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

5460.2.  

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

5460.4.  

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

5460.6.  

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

5460.8.  

Every person who drives a taxicab in conjunction with
providing taxicab transportation services subject to regulation
under this chapter and who begin delete does not possess a valid taxicab driver
permit end delete begin insert is in violation of Section 5457 or 5457.2 end insert is guilty of a
misdemeanor and is punishable by a fine of not less than ____
dollars ($____) and not more than ____ dollars ($____) or by
imprisonment in a county jail for not more than ____ months, or
by both that fine and imprisonment.

5460.10.  

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

5460.12.  

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

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

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

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

5460.14.  

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

5460.16.  

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

SEC. 14.  

Section 120269 of the Public Utilities Code is
amended to read:

120269.  

(a) If the board licenses or regulates any transportation
service, pursuant to Section 120266, or any passenger jitney
service, pursuant to Section 120267, and the licensed or regulated
service employs, or contracts with, any driver who (1) is not
required to be tested for controlled substances and alcohol pursuant
to Part 382 (commencing with Section 382.101) of Title 49 of the
Code of Federal Regulations, Section 1032.1 or 5457.22 of this
code, or Section 34520 of the Vehicle Code, and (2) is not
exempted under Section 34520 of the Vehicle Code, the board
shall adopt, by ordinance or resolution, a mandatory controlled
substance and alcohol testing certification program for those
drivers.

(b) The program adopted pursuant to subdivision (a) shall meet
substantially the requirements set forth in paragraph (3) of
subdivision (b) of Section 53075.5 of the Government Code, as
that paragraph read on December 31, 2016.

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

SEC. 15.  

Section 1808.1 of the Vehicle Code is amended to
read:

1808.1.  

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

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

(c) The employer of a driver of a vehicle specified in subdivision
(k) shall, additionally, obtain a periodic report from the department
at least every 12 months. The employer shall verify that each
employee’s driver’s license has not been suspended or revoked,
the employee’s traffic violation point count, and whether the
employee has been convicted of a violation of Section 23152 or
23153. The report shall be signed and dated by the employer and
maintained at the employer’s principal place of business. The
report shall be presented upon demand to an authorized
representative of the Department of the California Highway Patrol
during regular business hours.

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

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

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

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

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

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

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

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

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

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

(k) This section applies to a vehicle for the operation of which
the driver is required to have a class A or class B driver’s license,
a class C license with any endorsement issued pursuant to Section
15278, a class C license issued pursuant to Section 12814.7, or a
certificate issued pursuant to Section 12517, 12519, 12520, 12523,
12523.5, or 12527, a passenger vehicle having a seating capacity
of not more than 10 persons, including the driver, operated for
compensation by a charter-party carrier of passengers or passenger
stage corporation pursuant to a certificate of public convenience
and necessity or a permit issued by the Public Utilities
Commission, or a taxicab as defined in subdivision (b) of Section
27908.

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

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

SEC. 16.  

Section 12523.6 of the Vehicle Code is amended to
read:

12523.6.  

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

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

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

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

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

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

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

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

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

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

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

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

(g) This section does not apply to any person who has
successfully completed a background investigation prescribed by
law, including, but not limited to, health care transport vehicle
operators, or to the operator of a taxicab regulated pursuant to
Chapter 8.5 (commencing with Section 5451) of Division 2 of the
Public Utilities Code. This section does not apply to a person who
holds a valid certificate, other than a farm labor vehicle driver
certificate, issued under Section 12517.4 or 12527. This section
does not apply to a driver who provides transportation on a
noncommercial basis to persons with developmental disabilities.

begin delete

SEC. 17.  

Section 16500 of the Vehicle Code is amended to
read:

16500.  

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

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

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

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

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

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

A taxicab carrier regulated by the City and County of San
Francisco or its airport authority shall comply with the insurance
requirements of Section 5455 of the Public Utilities Code.

end delete

begin delete SEC. 18. end delete

begin insert SEC. 17. end insert   

Section 21100 of the Vehicle Code is amended to
read:

21100.  

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

(a) Regulating or prohibiting processions or assemblages on the
highways.

(b) Regulating traffic by means of traffic officers.

(c) Regulating traffic by means of official traffic control devices
meeting the requirements of Section 21400.

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

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

(e) Regulating traffic at the site of road or street construction
or maintenance by persons authorized for that duty by the local
authority.

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

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

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

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

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

(i) Regulating the methods of deposit of garbage and refuse in
streets and highways for collection by the local authority or by
any person authorized by the local authority.

(j) (1) Regulating cruising.

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

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

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

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

(k) Regulating or authorizing the removal by peace officers of
vehicles unlawfully parked in a fire lane, as described in Section
22500.1, on private property. A removal pursuant to this
subdivision shall be consistent, to the extent possible, with the
procedures for removal and storage set forth in Chapter 10
(commencing with Section 22650).

(l) Regulating mobile billboard advertising displays, as defined
in Section 395.5, including the establishment of penalties, which
may include, but are not limited to, removal of the mobile billboard
advertising display, civil penalties, and misdemeanor criminal
penalties, for a violation of the ordinance or resolution. The
ordinance or resolution may establish a minimum distance that a
mobile billboard advertising display shall be moved after a
specified time period.

(m)  Licensing and regulating the operation of pedicabs for hire,
as defined in Section 467.5, and operators of pedicabs for hire,
including requiring one or more of the following documents:

(1) A valid California driver’s license.

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

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

(n) (1) This section does not authorize a local authority to enact
or enforce an ordinance or resolution that establishes a violation
if a violation for the same or similar conduct is provided in this
code, nor does it authorize a local authority to enact or enforce an
ordinance or resolution that assesses a fine, penalty, assessment,
or fee for a violation if a fine, penalty, assessment, or fee for a
violation involving the same or similar conduct is provided in this
code.

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

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

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

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

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

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

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

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

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

begin delete SEC. 19. end delete

begin insert SEC. 18. end insert   

Section 21100.4 of the Vehicle Code is amended to
read:

21100.4.  

(a) (1) A magistrate presented with the affidavit of
a peace officer establishing reasonable cause to believe that a
vehicle, described by vehicle type and license number, is being
operated as a taxicab or other passenger vehicle for hire in violation
of Chapter 8.5 (commencing with Section 5451) of Division 2 of
the Public Utilities Code or in violation of an ordinance of the City
and County of San Francisco or its airport authority shall issue a
warrant or order authorizing the peace officer to immediately seize
and cause the removal of the vehicle.

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

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

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

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

(A) When the vehicle is a stolen vehicle.

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

(C) When the vehicle is a rental car.

(2) A vehicle may not be released under this subdivision, except
upon presentation of the registered owner’s or agent’s currently
valid permit to operate the vehicle under the requirements of
Chapter 8.5 (commencing with Section 5451) of Division 2 of the
Public Utilities Code or an ordinance of the City and County of
San Francisco or its airport authority, and proof of current vehicle
registration, or upon order of the court.

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

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

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

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

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

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

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

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

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

(6) The agency employing the peace officer who caused the
magistrate to issue the warrant or court order shall be responsible
for the costs incurred for towing and storage if it is determined in
the poststorage hearing that reasonable grounds for the storage are
not established.

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

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

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

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

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

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

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

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

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

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

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

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

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

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

(2) The legal owner or the legal owner’s agent shall not
relinquish the vehicle to the registered owner or the person who
was listed as the registered owner when the vehicle was impounded
until the registered owner or that owner’s agent presents his or her
valid driver’s license or valid temporary driver’s license, and an
operator’s permit that is in compliance with the requirements of
Chapter 8.5 (commencing with Section 5451) of Division 2 of the
Public Utilities Code or an ordinance of the City and County of
San Francisco or its airport authority, to the legal owner or the
legal owner’s agent. The legal owner or the legal owner’s agent
or the person in possession of the vehicle shall make every
reasonable effort to ensure that the license and permit presented
are valid and possession of the vehicle will not be given to the
driver who was involved in the original impoundment proceeding
until the expiration of the impoundment period.

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

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

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

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

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

begin delete SEC. 20. end delete

begin insert SEC. 19. end insert   

Section 27908 of the Vehicle Code is amended to
read:

27908.  

(a) In every taxicab operated in this state there shall
be a sign of heavy material, not smaller than 6 inches by 4 inches,
or such other size as the Public Utilities Commission, or other
regulating agency pursuant to Section 5451.3 of the Public Utilities
Code, provides for other notices or signs required to be in every
taxicab, securely attached and clearly displayed in view of the
passenger at all times, providing in letters as large as the size of
the sign will reasonably allow, all of the following information:

(1) The name, address, and telephone number of the applicable
unit of the Public Utilities Commission or other regulating agency
that regulates the operation of the taxicab.

(2) The name, address, and telephone number of the taxicab
carrier that has been issued a permit to provide taxicab
transportation services by the Public Utilities Commission or other
regulating agency.

(b) As used in this section, “taxicab” means a passenger motor
vehicle designed for carrying not more than eight persons,
excluding the driver, and used to carry passengers for hire as part
of taxicab transportation services regulated pursuant to Chapter
8.5 (commencing with Section 5451) of Division 2 of the Public
Utilities Code or by another regulating agency pursuant to Section
5451.3 of the Public Utilities Code. “Taxicab” shall not include a
charter-party carrier of passengers within the meaning of the
Passenger Charter-party Carriers’ Act (Chapter 8 (commencing
with Section 5351) of Division 2 of the Public Utilities Code).

begin delete SEC. 21. end delete

begin insert SEC. 20. end insert   

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

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