BILL ANALYSIS Ó AB 1884 Page 1 Date of Hearing: April 6, 2016 ASSEMBLY COMMITTEE ON APPROPRIATIONS Lorena Gonzalez, Chair AB 1884 (Harper) - As Amended March 10, 2016 ----------------------------------------------------------------- |Policy |Transportation |Vote:|16 - 0 | |Committee: | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: NoReimbursable: No SUMMARY: This bill requires the Department of Health Care Services (DHCS) to apply to the DMV to create a specialized license plate program to promote mental health awareness. FISCAL EFFECT: AB 1884 Page 2 1)Potential one-time special fund costs of approximately $440,000 to DMV to establish the specialized license plate program, including computer programming changes and updating forms. Pursuant to current law, DMV will make computer programming and form changes only after program applications meet a 7,500-application threshold. Therefore, the DMV will incur these costs only if it receives enough applications to require the DHCS to implement the program. The DMV will incur minor ongoing costs to continue issuing specialty license plates and renewals under the program. All of the DMV's initial and ongoing costs will be covered by a portion of the additional $50 fee paid for original specialized license plates and the additional $40 fee to renew such plates. 2)Minor costs to DHCS to submit the program application and license prototype to DMV, design and print the license plate application, and collect and hold applications and fees until 7,500 applications are received. 3)Potential ongoing revenue to DHCS, subject to appropriation by the Legislature, to fund mental health awareness and education. COMMENTS: 1)Specialized License Plates. Prior to 2007, any new special interest license plate required specific legislative authorization. This practice was held to be unconstitutional in that the Legislature approved some of the plates, and rejected others, using no standardized or objective criteria for those decisions. Pursuant to AB 84 (Leslie)/Statutes of 2006, the DMV will issue specialized license plates when sponsored by a state agency, the plate's message and resulting revenues support that agency's program, and at least 7,500 paid license applications have been received. The 7,500-application threshold attempts to assure that DMV's startup costs are fully covered, by the portion of the registration fee surcharge directed to the department, and to AB 1884 Page 3 avoid a proliferation of different types of plates, which can be troublesome from a law enforcement perspective. 2)Purpose. This bill is intended to promote awareness and encourage the de-stigmatization of mental health illnesses. According to Every Mind Matters, 50% of Californians will experience a mental health challenge in their lifetime and between 70% and 90% of individuals report reduced symptoms and improved quality of life with treatment and support. According to the author, "Awareness is an important part of treating mental health issues in California. This bill will let Californians spread the word about this critical issue every time they get in their cars." 3)Related Legislation. There are three bills, all pending in Senate Appropriations, that establish a specialized license plate program: AB 63 (Bonilla) for school safety, AB 270 (Nazarian) for diabetes awareness, and AB 932 (Daly) for local parks and recreation grant programs. 4)Prior Legislation. Since 2011, 12 bills have been introduced establishing specialized license plate program, of which four have been chaptered: Salton Sea restoration [AB 1096 (Nestande), Chapter 353, Statutes of 2014], kidney disease research [AB 2450 (Logue), Chapter 359, Statutes of 2014], breast cancer awareness [AB 49 (Buchanan), Chapter 351, Statutes of 2014], and domestic violence prevention [AB 2321 (Gomez), Chapter 358, Statutes of 2014]. Analysis Prepared by:Chuck Nicol / APPR. / (916) 319-2081 AB 1884 Page 4