BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 1946


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          Date of Hearing:  April 4, 2016


                        ASSEMBLY COMMITTEE ON TRANSPORTATION


                                 Jim Frazier, Chair


          AB 1946  
          (Hadley) - As Amended March 15, 2016


          SUBJECT:  Driver's licenses


          SUMMARY:  Repeals the $5 fee charged by the Department of Motor  
          Vehicles (DMV) when issuing a driver's license (DL) or  
          identification card (ID) with a veteran's designation.


          EXISTING LAW:  


          1)Requires DMV to issue a DL to an applicant when the department  
            determines that the applicant is lawfully entitled to a  
            license.


          2)Requires the applicant for a DL or ID to pay a number of fees  
            to DMV associated with the issuance of the DL or ID.


          3)Allows an applicant for a DL or ID to request the word  
            "VETERAN" to be printed on the face of the DL or ID, subject  
            to certain requirements including the payment of an additional  
            $5 fee.










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          FISCAL EFFECT:  Unknown


          COMMENTS:  AB 935 (Frazier), Chapter 644, Statutes of 2014,  
          required DMV to issue a DL or ID with a veteran's designation to  
          an applicant that meets specified conditions.  AB 935 also  
          authorized DMV to collect a fee of $5, eligible for adjustment  
          up to $15, in order to offset the department's reasonable costs  
          in processing and issuing a request for a DL or ID with a  
          veteran's designation.  This bill would repeal that fee.


          The author contends that, because the veteran's designation on a  
          DL or ID is a critical substitute for the use of a Certificate  
          of Release or Discharge from Active Duty for proving veteran  
          status, access to this designation by veterans should have as  
          few obstacles as possible.  The author also points out that no  
          fee is charged for an organ or tissue donor designation on a DL  
          or ID, or when DMV facilitates a DL or ID applicant's voter  
          registration.  While no fee is required for the organ and tissue  
          donor designation, an applicant for that designation may make a  
          voluntary contribution of $2 with their application, and DMV is  
          authorized use these donations to cover its actual  
          administrative costs associated with providing the organ and  
          tissue donor designation.


          Committee Concerns:  According to the Legislative Analyst's  
          Office, the Motor Vehicle Account (MVA), created to support the  
          state's activities to administer and enforce laws regulating the  
          operation and registration of vehicles used on public streets  
          and highways, is experiencing a shortfall that could result in  
          the fund's insolvency.  The fee collected in the veteran's  
          designation transaction supports the MVA.  As such, any  
          reduction in MVA revenues associated with repealing the fee  
          would likely exacerbate the existing shortfall.


          Previous Legislation:  AB 935 (Frazier), Chapter 644, Statutes  








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          of 2014, required DMV to offer a DL or ID printed with the word  
          "VETERAN" indicating the licensee or possessor of a DL or ID is  
          a military veteran.


          AB 1637 (Frazier) of 2014, was virtually identical to AB 935 and  
          was held on the Assembly Appropriations Committee suspense file.


          AB 531 (Frazier) of 2013, was virtually identical to AB 935 and  
          was held on the Assembly Appropriations Committee suspense file.


          AB 1725 (Lowenthal) of 2012, was virtually identical to AB 935  
          and was held on the Assembly Appropriations Committee suspense  
          file.


          REGISTERED SUPPORT / OPPOSITION:




          Support


          None on file




          Opposition


          None on file












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          Analysis Prepared by:Justin Behrens / TRANS. / (916) 319-2093