BILL ANALYSIS                                                                                                                                                                                                    



                                                                    AB 1859


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          CONCURRENCE IN SENATE AMENDMENTS


          AB  
          1859 (Gallagher)


          As Amended  August 18, 2016


          Majority vote


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          |ASSEMBLY:  |76-0  |(May 19, 2016) |SENATE: | 39-0 |(August 23,      |
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          Original Committee Reference:  B. & P.


          SUMMARY:  Makes clarifying changes to the Collateral Recovery  
          Act (Act) and amends the experience requirements for a  
          repossessor's license.  Specifically, this bill:


          1)Adds "skip tracing" and "locating" to the definition of  
            "assignment."
          2)Defines "repossession order" as having the same meaning as  
            "assignment" and adds "repossession order" to provisions that  
            reference "assignment."


          3)Deletes the definition of "repossession."


          4)Deletes "debt collection" from the work which may be used to  
            apply for a qualification certificate. 









                                                                    AB 1859


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          5)Makes technical and conforming changes.


          The Senate amendments delete the majority of the provisions of  
          the bill, added the new terms to the definition of assignment,  
          added "skip tracing" back into the types of qualifying  
          experience and instead deleted "debt collection," and made  
          technical and conforming changes.


          FISCAL EFFECT:  According to the Senate Appropriations  
          Committee, pursuant to Senate Rule 28.8, negligible state costs.


          COMMENTS:  


          Purpose.  This bill is sponsored by the California Association  
          of Licensed Repossessors.  According to the author, this bill  
          "makes necessary clarifying changes to the code."   


          Background.  The Act provides for the licensing and regulation  
          of repossessors.  Among other things, the Act specifies  
          standards for education, experience, and repossession  
          procedures.  However, the sponsor notes that the Act is out of  
          date in some instances.  Therefore, this bill aims to clarify  
          and update the Act.


          Repossession Order.  According to the sponsors, the term  
          "repossession order" is a commonly used term in the collateral  
          recovery industry.  Currently, the Act only uses the term  
          "assignment."  This bill clarifies that a repossession order is  
          the same as an assignment.


          Experience Requirements.  Currently, only experience in skip  
          tracing, debt collection, or actual collateral recovery may be  
          used to qualify for a license.  This bill deletes debt  
          collection from the list.








                                                                    AB 1859


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          Analysis Prepared by:                                             
                          Vincent Chee / B. & P. / (916) 319-3301  FN:  
          0004890