BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON TRANSPORTATION AND HOUSING
                              Senator Jim Beall, Chair
                                2015 - 2016  Regular 

          Bill No:          AB 1960           Hearing Date:     6/28/2016
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          |Author:   |Lackey                                                |
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          |Version:  |5/5/2016                                              |
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          |Urgency:  |No                     |Fiscal:      |Yes             |
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          |Consultant|Manny Leon                                            |
          |:         |                                                      |
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          SUBJECT:  Vehicles:  Basic Inspection of Terminals program


            DIGEST:  This bill excludes an agricultural vehicle, as defined,  
          from the Basic Inspection of Terminals (BIT) program conducted  
          by the California Highway Patrol (CHP).  

          ANALYSIS:
          
          Existing law:
          
          1)Requires CHP to regulate the safe operation of commercial and  
            various other types of vehicles, as specified.  

          2)Prohibits a motor carrier from operating specific types of  
            vehicles without identifying to CHP all terminals in the state  
            where those vehicles may be inspected.

          3)Requires motor carriers to make vehicles and records available  
            for inspection by CHP.  If a motor carrier fails to provide  
            vehicles and records, an unsatisfactory terminal rating is  
            required to be issued by CHP.

          4)Provides that under the BIT program, the inspection of  
            vehicles at a terminal be based on a representative sample of  
            a terminal fleet size, according to a specified schedule.

          5)Requires CHP to place an inspection priority on motor-carrier  
            terminals that have never been previously inspected, vehicles  
            transporting hazardous materials, and vehicles that receive  







          AB 1960 (Lackey)                                   Page 2 of ?
          
          
            unsatisfactory ratings.  Provides that non-priority terminals  
            are not required to be inspected less than six years since  
            their last inspection.


          This bill:

          1)Defines an "agricultural vehicle" as a vehicle or combination  
            of vehicles with a gross combination weight rating or a gross  
            vehicle weight rating (GVWR) of 26,000 pounds or less that is  
            operated by a farmer, employee of a farmer, or instructor  
            credentialed in agriculture as part of an instructional  
            program at the high school, community college, or university  
            level; used exclusively in the conduct of agricultural  
            operations; not used in the capacity of a for-hire carrier or  
            for compensation; and where the towing vehicle has a GVWR of  
            16,000 pounds or less.

          2)Exempts an agricultural vehicle from the BIT program.


          COMMENTS:

          1)Purpose.  The author notes, "Vehicle and vehicle combinations  
            subject to BIT include commonly-used pickup trucks and  
            pickup-and-trailer combinations that for most farmers and  
            ranchers also serve as their personal vehicles. If not used in  
            farming, ranching or another commercial enterprise, these  
            vehicles and vehicle combinations would otherwise be exempt  
            from the BIT program.

            The author introduced this bill to propose a narrowly-tailored  
            exemption from BIT solely for farmers and ranchers, so long as  
            the pickup and/or pickup-and-trailer combination is used  
            solely in agriculture, not used for hire, the total gross  
            combined weight rating of the pickup and trailer does not  
            exceed 26,000 pounds, the pickup or towing vehicle has a GVWR  
            of less than 16,000 pounds, and the vehicle(s) are used solely  
            in intrastate commerce.

          2)CHP's BIT program.  The BIT program was implemented to ensure  
            the safe operation of commercial vehicles by a motor carrier  
            through the inspection of those vehicles at motor carrier  
            terminals.  In 2013, AB 529 (Lowenthal, Chapter 500, Statutes  
            of 2013) revised the BIT program to establish a  








          AB 1960 (Lackey)                                   Page 3 of ?
          
          
            performance-based model for inspections, moving away from  
            motor-carrier terminal inspections occurring once every 25  
            months to a model where ongoing compliant motor carriers may  
            be inspected only once every six years.  Non-compliant  
            carriers would be targeted for additional inspections to  
            ensure compliance.  In switching to this performance-based  
            system, more classifications of commercial motor vehicles were  
            brought into the jurisdiction of BIT inspections, which both  
            increased the number of vehicles inspected for safety by CHP  
            and spread the cost for operating the program over a greater  
            number of vehicles.  Implementation of the revised BIT program  
            began January 1, 2016, and fees required under the BIT program  
            start at $130 per terminal annually for the smallest fleet  
            sizes. 

          1)A necessary carve-out? Although the exemption proposed by this  
            bill relates only to agricultural vehicles, it is unclear why  
            these particular vehicles need to be exempted from the BIT  
            program.  The author's argument that these vehicles are used  
            for both passenger and commercial purposes (i.e., more  
            operation on public roads and highways) provides a greater  
            argument as to why these vehicles should in fact be included  
            in the BIT program. 

            Furthermore, it is unclear what the safety impact of this  
            exemption would be.  If the specified vehicles are not  
            inspected under the BIT program, the risk of non-compliance  
            with vehicle safety standards and properly maintained driver  
            records is increased.  However, it is important to note that  
            these vehicles will still be subject to various safety  
            requirements, including motor-carrier permit and commercial  
            driver's license requirements, and if a vehicle or carrier is  
            found to be in violation of such requirements, they would  
            still be subject to the appropriate penalties.  

            Lastly, with a particular exemption for agricultural vehicles,  
            this bill sets a precedent which may lead to future  
            legislative proposals for vehicle exemptions from other  
            industries.  
           
          Related Legislation:
          
          AB 529 (Lowenthal, Chapter 500, Statutes of 2013) - revised the  
          BIT program to include additional vehicles and establish a  
          performance-based model for inspections.








          AB 1960 (Lackey)                                   Page 4 of ?
          
          


          FISCAL EFFECT:  Appropriation:  No    Fiscal Com.:  Yes     
          Local:  No


          Assembly votes:

            Floor:    78-0
            Appr:     20-0 
            Trans:    15-0
            
          POSITIONS:  (Communicated to the committee before noon on  
          Wednesday,
                          June 22, 2016.)
          
            SUPPORT:  

          California Cattlemen's Association (Sponsor)
          Association of California Egg Farmers
          California Association of Wine Grape Growers
          California Farm Bureau Federation
          California Grain & Feed Association
          California Poultry Federation
          Family Winemakers of California
          Western Growers Association

          OPPOSITION:

          California Teamsters Public Affairs Council
          Western States Trucking Association



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