BILL ANALYSIS                                                                                                                                                                                                    Ó




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          |SENATE RULES COMMITTEE            |                       AB 2217|
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                                    THIRD READING


          Bill No:  AB 2217
          Author:   Hadley (R)
          Introduced:2/18/16  
          Vote:     21  

           SENATE JUDICIARY COMMITTEE:  7-0, 6/14/16
           AYES: Jackson, Moorlach, Anderson, Hertzberg, Leno, Monning,  
            Wieckowski

           ASSEMBLY FLOOR:  76-0, 5/2/16 (Consent) - See last page for  
            vote

           SUBJECT:   Notary public:  service fees


          SOURCE:    Author


          DIGEST:  This bill allows notary publics to charge higher prices for  
          some of their services. 

          ANALYSIS:  

          Existing law:

          1)Authorizes the Secretary of State to appoint and commission  
            notaries public who have met education, examination, and  
            ethical requirements as specified.  (Gov. Code Secs.  
            8200-8201.5)  

          2)Provides that fees charged by a notary public for the  
            following services shall not exceed the following: 

                 taking an acknowledgment or proof of a deed, or other  
               instrument, to include the seal and the writing of the  








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               certificate, ten dollars ($10) for each signature taken;
                 administering an oath or affirmation to one person and  
               executing the jurat, including the seal, ten dollars ($10);
                 providing services rendered to take a deposition, twenty  
               dollars ($20), and in addition thereto, five dollars ($5)  
               for administering the oath to the witness and five dollars  
               ($5) for the certificate to the deposition;
                 entering data provided by a client on immigration forms  
               provided by a federal or state agency if the notary public  
               is qualified and bonded as an immigration consultant, ten  
               dollars ($10); and
                 certifying a copy of a power of attorney under Section  
               4307 of the Probate Code, ten dollars ($10).  

          1)Provides that no fees may be charged by notaries public for  
            notarizing an application or a claim by a United States  
            military veteran for a pension, allotment, allowance,  
            compensation, insurance, or any other veteran's benefit.  

          2)Provides that no fees may be charged by notaries public for  
            notarizing vote by mail ballot identification envelopes or  
            other voting materials.  

          This bill:

          1)Allows a notary public to charge an additional $5 for the  
            following services:

                 each signature taken for an acknowledgment or proof or a  
               deed, or other instrument, to include the seal and the  
               writing of the certificate;  
                 administering an oath or affirmation to one person and  
               executing the jurat, including the seal; 
                 certifying a copy of a power of attorney under Section  
               4307 of the Probate Code; and
                 entering data provided by a client on immigration forms  
               provided by a federal or state agency if the notary public  
               is qualified and bonded as an immigration consultant.

          1)Allows, in connection with the taking of any deposition, a  
            notary public to charge a fee up to $30, instead of $20, and  
            in addition allows the notary to charge $7 instead of $5 for  








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            administering the oath to the witness and for the certificate  
            to the deposition.  

          2)Makes other nonsubstantive conforming changes.  

          Background
          
          A notary public is a public officer appointed and commissioned  
          by the Secretary of State to serve the public in non-contentious  
          matters generally concerning estates, deeds, powers-of-attorney,  
          foreign and international business, and other written  
          instruments.  Occasionally, an individual who is party to a more  
          sensitive formal agreement, such as a child custody agreement, a  
          confidential marriage license, or an advance healthcare  
          directive, must have the agreement notarized before it can enter  
          into force.  A notary's main functions are to take  
          acknowledgements of various written instruments, administer  
          oaths and affirmations, take depositions and affidavits, certify  
          copies of powers of attorney under the Probate Code, demand  
          acceptance and payment of foreign and inland bills of exchange  
          or promissory notes, and to protest nonpayment and nonacceptance  
          of bills and notes.  (Gov. Code Sec. 8205.)  

          Notaries public are commissioned for four-year terms by the  
          Secretary of State.  In order to receive a commission, an  
          individual must be a California resident who is at least 18  
          years old, complete a study course, pass an examination, clear a  
          background check, and pay a fee to the Secretary of State.   
          There is a statutory cap on the fees that a notary public may  
          charge for the basic services that a notary public provides.   
          For example, under current law a notary public may charge up to  
          $10 for each signature taken for taking an acknowledgement or  
          proof of a deed.  The cap on fees that notaries public can  
          charge has not increased for over 20 years, while the cost of  
          living has increased over 60%.  (See U.S. Department of Labor,  
          Bureau of Labor Statistics Inflation Calculator  
           
                                                                    Page  4



          The author writes:

            California law does not set a minimum fee but currently  
            caps the maximum fee that a Notary Public may charge at  
            $10 per signature.  This cap has not changed for over  
            twenty years, during which time the cost of living has  
            increased over 60%.

            AB 2217 will increase the maximum fee that can be charged  
            by Notaries Public in California. 

            By increasing the fees a notary may charge to $15 per  
            signature, AB 2217 will align those fees with the increase  
            of 64.8% seen in the Consumer Price Index (CPI) since 1993  
            - the last time the Notary fees were raised.  AB 2217 also  
            maintains current law, stating that no fee shall be  
            charged to notarize voting materials, nor shall fees be  
            charged to U.S. military veterans for notarization on  
            veteran's benefit claims. 

            It is important to note that AB 2217 does not set the  
            price for Notary Public series, it simply raises the  
            price.  Notaries may continue to set their prices subject  
            to customer demand and subject to the revised cap. 

          $10 in 1993 has the same buying power as $16.56 in 2016.   
          According to the Bureau of Labor Statistic's inflation  
          calculator, $10 in 1993 has the same buying power as $16.56 in  
          2016.  (See U.S. Department of Labor, Bureau of Labor Statistics  
          Inflation Calculator  
                                                                    Page  5




          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:NoLocal:    No


          SUPPORT:   (Verified6/14/16)


          The American Association of Notaries 
          American Society of Notaries
          National Notary Association
          More than 1,100 individuals


          OPPOSITION:   (Verified6/14/16)


          None received




           ASSEMBLY FLOOR:  76-0, 5/2/16
           AYES: Achadjian, Alejo, Travis Allen, Arambula, Atkins, Baker,  
            Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke,  
            Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley,  
            Cooper, Dababneh, Dahle, Daly, Dodd, Eggman, Frazier,  
            Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson,  
            Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Holden,  
            Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Linder,  
            Lopez, Low, Maienschein, Mathis, Mayes, McCarty, Medina,  
            Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen,  
            Patterson, Quirk, Rodriguez, Salas, Santiago, Steinorth, Mark  
            Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk, Wood,  
            Rendon
           NO VOTE RECORDED: Beth Gaines, Roger Hernández, Ridley-Thomas,  
            Williams



          Prepared by:  Margie Estrada / JUD. / (916) 651-4113
          6/30/16 8:43:12








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