Amended in Senate June 14, 2016

Amended in Assembly April 11, 2016

Amended in Assembly March 18, 2016

California Legislature—2015–16 Regular Session

Assembly BillNo. 1685


Introduced by Assembly Member Gomez

January 20, 2016


An act to amend Sections 43016, 43151, 43154, 43211, and 43212 of, andbegin insert toend insert add Section 43214 to, the Health and Safety Code, relating to vehicular air pollution.

LEGISLATIVE COUNSEL’S DIGEST

AB 1685, as amended, Gomez. Vehicular air pollution: civil penalties.

(1) Existing law requires the State Air Resources Board to adopt and implement standards for the control of emissions from new motor vehicles that the state board finds to be necessary and technologically feasible. Existing law prohibits a new motor vehicle from being sold in the state that does not meet the emissions standards adopted by the state board. Existing law provides that a person who violates specified vehicular air pollution statutes or specified orders, rules, or regulations of the state board is subject to a civil penaltybegin insert ofend insert up to $500 per vehicle. Existing law provides that any manufacturer who sells, attempts to sell, or causes to be offered for sale a new motor vehicle that fails to meet the applicable emission standardsbegin delete shall beend deletebegin insert isend insert subject to a civil penalty of $5,000 per action. Existing law provides that a manufacturer or distributor who does not comply with the emission standards or the test procedures adopted by the state board is subject to a civil penalty of $50 per vehicle.

This bill would increase those penaltiesbegin insert to upend insert to $37,500 per action or vehicle. The bill would require the state board to adjust thosebegin insert maximumend insert penalties for inflation, asbegin delete specified.end deletebegin insert specified, and would exempt those adjustments from the Administrative Procedure Act.end insert The bill would require that the payment of a penalty for the violation of specified vehicular air pollution statutes or specified orders, rules, or regulations of the state board be a condition for the continued salebegin insert by a manufacturer or distributorend insert of products that are subject to regulation by the state board.begin delete The bill would exempt these provisions from the Administrative Procedure Act.end delete

This bill would authorize the state board to order a manufacturer ofbegin delete newend delete motor vehicles to bring the vehicles into compliance with the emissions configurationbegin insert to whichend insert they werebegin delete certified to meet.end deletebegin insert certified.end insert The bill would require the manufacturer to be in compliance with the state board’s order as a condition for the continued sale of motor vehicles in the state.

(2) Existing law prohibits a person who is a state resident or who operates an established place of business within the state from importing, delivering, purchasing, renting, leasing, acquiring, or receiving a new motor vehicle, new motor vehicle engine, or motor vehicle with a new motor vehicle engine for use, registration, or resale in the state unless the motor vehicle engine or new motor vehicle has been certified to meet specified emissions standards. Existing law provides that a person who violates specified provisions relating to transactions of new motor vehicles or new motor vehicle engines is subject to a civil penalty of up to $5,000 per vehicle.

This bill instead would prohibit any person frombegin delete advertising,end deletebegin insert offering for sale,end insert introducing into commerce, importing, delivering, purchasing, renting, leasing, acquiring, or receiving a new motor vehicle, new motor vehicle engine, or motor vehicle with a new motor vehicle engine for use, registration, or resale in the state unless the motor vehicle engine or new motor vehicle has been certified to meet those specified emissions standards.

This bill would increase the civil penaltybegin insert to upend insert to $37,500 per actionbegin insert and up to $10,000 for a dealer, as defined,end insert for violating those specified provisions relating to transactions of new motor vehicles or new motor vehicle engines. The bill would require the state board to adjustbegin delete that penaltyend deletebegin insert those maximum penaltiesend insert for inflation, asbegin delete specified.end deletebegin insert specified, and would exempt those adjustments from the Administrative Procedure Act.end insert The bill would require that the payment of the penalty be a condition for the continued sale of motor vehicles by the manufacturer or distributer in the state.begin delete The bill would exempt these provisions from the Administrative Procedure Act.end delete

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

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

P3    1

SECTION 1.  

Section 43016 of the Health and Safety Code is
2amended to read:

3

43016.  

(a) (1) A person who violates any provision of this
4part, or any order, rule, or regulation of the state board adopted
5pursuant to this part, and for which violation there is not provided
6in this part any other specific civil penalty or fine, shall be subject
7to a civil penalty not to exceed thirty-seven thousand five hundred
8dollars ($37,500) for eachbegin insert suchend insert action subject to regulation pursuant
9to this part. Violations involving portable fuel containers or small
10off-road engines shall be subject to a civil penaltybegin delete ofend deletebegin insert not to exceedend insert
11 five hundred dollars ($500) per unit. For a manufacturer or
12distributor who violates any provision of thisbegin delete article,end deletebegin insert part, or any
13order, rule, or regulation of the state board adopted pursuant to
14this part,end insert
the payment of the penalty shall be a condition for the
15continued sale by the manufacturer or distributor in this state of
16products regulated by the state board pursuant to this division.

17(2) The state board shall adjust the maximum penalties specified
18in paragraph (1) for inflation based on the California Consumer
19Price Index. The adjustment shall be exempt from the
20Administrative Procedure Act (Chapter 3.5 (commencing with
21Section 11340) of Part 1 of Division 3 of Title 2 of the Government
22Code).

23(b) Any penalty collected pursuant to this section shall be
24deposited in the Air Pollution Control Fund.

25

SEC. 2.  

Section 43151 of the Health and Safety Code is
26amended to read:

27

43151.  

(a) A person shall notbegin delete advertise,end deletebegin insert offer for sale,end insert introduce
28into commerce, import, deliver, purchase, rent, lease, acquire, or
29receive a new motor vehicle, new motor vehicle engine, or motor
30vehicle with a new motor vehicle engine for use, registration, or
31resale in this state unless the motor vehicle engine or motor vehicle
P4    1has been certified pursuant to this chapter. A person shall not
2attempt or assist inbegin delete thatend deletebegin insert any suchend insert action.

3(b) This article shall not apply to a vehicle acquired by a resident
4of this state for the purpose of replacing a vehicle registered to
5that resident that was damaged or became inoperative beyond
6reasonable repair or was stolen while out of this state provided
7that the replacement vehicle is acquired out of state at the time the
8previously owned vehicle was either damaged or became
9inoperative or was stolen. This article shall not apply to a vehicle
10transferred by inheritance or by a decree of divorce, dissolution,
11or legal separation entered by a court of competent jurisdiction,
12or to any vehicle sold after the effective date of the amendments
13to this subdivision at the 1979-80 Regular Session of the
14Legislature if the vehicle was registered in this state before that
15 effective date.

16(c) This chapter shall not apply to any motor vehicle having a
17certificate of conformity issued pursuant to the federal Clean Air
18Act (42 U.S.C. Sec. 7401 et seq.) and originally registered in
19another state by a resident of that state who subsequently
20establishes residence in this state and who, upon registration of
21the vehicle in this state, provides satisfactory evidence to the
22Department of Motor Vehicles of the previous residence and
23registration. This subdivision shall become operative 180 calendar
24days after the state board adopts regulations for the certification
25of new direct import vehicles pursuant to Section 43203.5.

26

SEC. 3.  

Section 43154 of the Health and Safety Code is
27amended to read:

28

43154.  

(a) (1) A person who violates any provision of this
29article shall be subject to a civil penalty not to exceed thirty-seven
30thousand five hundred dollars ($37,500) for eachbegin insert suchend insert action. For
31a manufacturer or distributor who violates any provision of this
32article, the payment of the penalty shall be a condition for the
33continued sale of motor vehicles by that manufacturer orbegin delete distributerend delete
34begin insert distributorend insert in this state.

begin insert

35
(2) Notwithstanding paragraph (1), a dealer, as defined in
36Section 285 of the Vehicle Code, who violates any provision of
37this article shall be subject to a civil penalty not to exceed ten
38thousand dollars ($10,000) for each such action.

end insert
begin delete

39(2)

end delete

P5    1begin insert(3)end insert The state board shall adjust the maximum penalty specified
2inbegin delete paragraph (1)end deletebegin insert paragraphs (1) and (2)end insert for inflation based on the
3California Consumer Price Index. The adjustment shall be exempt
4from the Administrative Procedure Act (Chapter 3.5 (commencing
5with Section 11340) of Part 1 of Division 3 of Title 2 of the
6Government Code).

7(b) Any action to recover a penalty under this section shall be
8brought in the name of the people of the State of California in the
9 superior court of the county where the violation occurred, or in
10the county where the defendant’s residence or principal place of
11business is located, by the Attorney General on behalf of the state
12board, in which event all penalties adjudged by the court shall be
13deposited in the Air Pollution Control Fund, or by the district
14attorney or county attorney of such county, or by the city attorney
15of a city in that county, in which event all penalties adjudged by
16the court shall be deposited with the treasurer of the county or city,
17as the case may be.

18

SEC. 4.  

Section 43211 of the Health and Safety Code is
19amended to read:

20

43211.  

(a) (1) A new motor vehicle sold in California shall
21meet the emission standards adopted by the state board, and a
22manufacturer who sells, attempts to sell, or causes to be offered
23for sale a new motor vehicle that fails to meet the applicable
24emission standards shall be subject to a civil penaltybegin delete ofend deletebegin insert not to
25exceedend insert
thirty-seven thousand five hundred dollars ($37,500) for
26eachbegin insert suchend insert action.

27(2) The state board shall adjust the maximum penalty specified
28in paragraph (1) for inflation based on the California Consumer
29Price Index. The adjustment shall be exempt from the
30Administrative Procedure Act (Chapter 3.5 (commencing with
31Section 11340) of Part 1 of Division 3 of Title 2 of the Government
32Code).

33(b) Any penalty recovered pursuant to this section shall be
34deposited into the General Fund.

35

SEC. 5.  

Section 43212 of the Health and Safety Code is
36amended to read:

37

43212.  

(a) (1) A manufacturer or distributor who does not
38comply with the emission standards or the test procedures adopted
39by the state board shall be subject to a civil penaltybegin delete ofend deletebegin insert not to exceedend insert
40 thirty-seven thousand five hundred dollars ($37,500) for each
P6    1vehicle that does not comply with the standards or procedures and
2that is first sold in this state. The payment ofbegin delete theend deletebegin insert suchend insert penalties to
3the state board shall be a condition to the further sale by the
4manufacturer or distributor ofbegin delete newend delete motor vehicles in this state.

5(2) The state board shall adjust the maximum penalty specified
6in paragraph (1) for inflation based on the California Consumer
7Price Index. The adjustment shall be exempt from the
8Administrative Procedure Act (Chapter 3.5 (commencing with
9Section 11340) of Part 1 of Division 3 of Title 2 of the Government
10Code).

11(b) Any penalty recovered pursuant to this section shall be
12deposited into the Air Pollution Control Fund.

13

SEC. 6.  

Section 43214 is added to the Health and Safety Code,
14to read:

15

43214.  

The state board may order a manufacturer ofbegin delete newend delete motor
16vehicles to bring its vehicles into compliance with the emissions
17configurationbegin insert to whichend insert they werebegin delete certified to meet.end deletebegin insert certified.end insert
18 Compliance with the order shall be a condition for the continued
19sale of motor vehicles by that manufacturer in this state.



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