California Legislature—2015–16 Regular Session

Assembly Bill No. 1053

Introduced by Assembly Member Mathis

February 26, 2015

An act to amend Section 800 of the Military and Veterans Code, relating to military service.

LEGISLATIVE COUNSEL’S DIGEST

AB 1053, as introduced, Mathis. Military service: benefits.

Existing law authorizes a member of the United States Military Reserve or the National Guard who is called to active duty, as specified, to defer payments on certain obligations while serving on active duty.

This bill would make technical, nonsubstantive changes to this provision.

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

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

SECTION 1.  

Section 800 of the Military and Veterans Code
is amended to read:

800.  

(a) (1) Subject to subdivision (b), in addition to any other
begin delete benefits end delete begin insert benefit end insert provided by begin delete law end delete begin insert law, end insert and to the extent permitted
by federal law, any member of the United States Military Reserve
or the National Guard of this state who is called to active duty after
the enactment of this chapter and before January 1, 2014, as a part
of the Iraq and Afghanistan begin delete conflicts end delete begin insert conflicts, end insert may defer payments
on any of the following obligations while serving on active duty:

(A) An obligation secured by a mortgage or deed of trust.

(B) Credit begin delete card end delete begin insert card, end insert as defined in Section 1747.02 of the Civil
Code.

(C) Retail installment begin delete contract end delete begin insert contract, end insert as defined in Section
1802.6 of the Civil Code.

(D) Retail installment account, installment account, or revolving
begin delete account end delete begin insert account, end insert as defined in Section 1802.7 of the Civil Code.

(E) Up to two vehicle loans. begin delete For purposes of this chapter,
“vehicle” means a vehicle as defined in Section 670 of the Vehicle
Code. end delete

(F) Any payment of property tax or begin delete any end delete special assessment of
in-lieu property tax imposed on real property that is assessed on
residential property owned by the reservist and used as that
reservist’s primary place of residence on the date the reservist was
ordered to active duty.

(2) Subject to subdivision (b), in addition to any other begin delete benefits end delete
begin insert benefit end insert provided by begin delete law end delete begin insert law, end insert and to the extent permitted by federal
law, a reservist who is called to active duty on and after January
1, 2014, may defer payments on any of the following obligations
while serving on active duty:

(A) An obligation secured by a mortgage or deed of trust.

(B) Credit begin delete card end delete begin insert card, end insert as defined in Section 1747.02 of the Civil
Code.

(C) Retail installment begin delete contract end delete begin insert contract, end insert as defined in Section
1802.6 of the Civil Code.

(D) Retail installment account, installment account, or revolving
begin delete account end delete begin insert account, end insert as defined in Section 1802.7 of the Civil Code.

(E) Up to two vehicle loans. begin delete For purposes of this chapter,
“vehicle” means a vehicle as defined in Section 670 of the Vehicle
Code. end delete

(F) Any payment of property tax or begin delete any end delete special assessment of
in-lieu property tax imposed on real property that is assessed on
residential property owned by the reservist and used as that
reservist’s primary place of residence on the date the reservist was
ordered to active duty.

(G) Any obligation owed to a utility company.

(b) (1) In order for an obligation or liability of a reservist to be
subject to begin delete the provisions of end delete this chapter, the reservist or the
reservist’s designee shall deliver to the obligor both of the
following:

(A) A letter signed by the reservist, under penalty of perjury,
requesting a deferment of financial obligations.

(B) A copy of the reservist’s activation or deployment order
and any other information that substantiates the duration of the
service member’s military service.

(2) If required by a financial institution, proof that the reservist’s
employer does not provide continuing income to the reservist while
the reservist is on active military duty, including the reservist’s
military pay, of more than 90 percent of the reservist’s monthly
salary and wage income earned before the call to active duty.

(c) Upon request of the reservist or the reservist’s dependent or
designee and within five working days of that request, if applicable,
the employer of a reservist shall furnish the letter or other
comparable evidence showing that the employer’s compensation
policy does not provide continuing income to the reservist,
including the reservist’s military pay, of more than 90 percent of
the reservist’s monthly salary and wage income earned before the
call to active duty.

(d) The deferral period on financial obligations shall be the
lesser of 180 days or the period of active duty plus 60 calendar
begin delete days end delete begin insert days, end insert and shall apply only to those payments due subsequent
to the notice provided to a lender as provided in subdivision (b).
In addition, the total period of the deferment shall not exceed 180
days within a 365-day period.

(e) If a lender defers payments on a closed end credit obligation
or an open-end credit obligation with a maturity date, pursuant to
this chapter, the lender shall extend the term of the obligation by
the amount of months the obligation was deferred.

(f) If a lender defers payments on an open-end credit obligation
pursuant to this chapter, the lender may restrict the availability of
additional credit with respect to that obligation during the term of
the deferral.

begin insert

(g) For purposes of this chapter, “vehicle” means a vehicle as
defined in Section 670 of the Vehicle Code.

end insert