BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | SB 778|
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THIRD READING
Bill No: SB 778
Author: Allen (D)
Amended: 1/4/16
Vote: 21
SENATE ENVIRONMENTAL QUALITY COMMITTEE: 4-1, 4/29/15
AYES: Hill, Jackson, Leno, Pavley
NOES: Gaines
NO VOTE RECORDED: Wieckowski, Bates
SENATE BUS, PROF. & ECON. DEV. COMMITTEE: 5-1, 1/11/16
AYES: Hill, Block, Hernandez, Jackson, Wieckowski
NOES: Bates
NO VOTE RECORDED: Berryhill, Galgiani, Mendoza
SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8
SUBJECT: Automotive repair: oil changes: notification to
customers
SOURCE: Californians Against Waste
DIGEST: This bill requires that, when an automotive repair
dealer recommends the date or mileage for the next oil change,
the automotive repair dealer follow the oil drain interval
specified in the maintenance schedule of the vehicle's owner's
manual when making that recommendation to the customer verbally,
in the form of a window sticker, through settings in a vehicle's
oil sensor, or any other means, as specified.
ANALYSIS:
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Existing law:
1) Establishes the Automotive Repair Act and the Bureau of
Automotive Repair (BAR) under the supervision and control of
the Director of the Department of Consumer Affairs (DCA).
(Business and Professions Code (BPC) § 9880 et seq.)
2) Regulates the business of automotive repair and makes it
unlawful for any person to be an automotive repair dealer
unless registered with the BAR.
(BPC § 9880-9889.68)
3) Defines the "repair of motor vehicles" to mean all
maintenance of, and repairs to, motor vehicles, except the
following services: (BPC § 9880.1(e))
a) Repairing tires;
b) Changing tires;
c) Lubricating vehicles;
d) Installing light bulbs, batteries, windshield wiper
blades, and other minor accessories;
e) Cleaning, adjusting, and replacing spark plugs;
f) Replacing fan belts, oil, and air filters; and
g) Other minor services the Director of DCA determines to
be customarily performed by a gasoline service station.
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1) Defines an "automotive repair dealer" as a person who engages
in the business of repairing or diagnosing malfunctions of
motor vehicles for compensation.
(BPC § 9880.1(a))
2) States that the Director shall not designate a service as
minor if the Director of DCA finds that performance of the
service requires mechanical expertise, has given rise to a
high incidence of fraud or deceptive practices or involves a
part of the vehicle essential to its safe operation. (BPC §
9880.1(e))
3) Pursuant to The California Oil Recycling Enhancement Act:
(Public Resources Code § 48600 et seq.):
a) Establishes a program to encourage the recycling of used
oil.
b) Authorizes the Department of Resources Recycling and
Recovery (CalRecycle) to award grants to and work with
local governments, non-profit entities, and private
companies in order to develop and advance certain
developments in lubricating oil, such as oil recycling,
collection, research, testing, and re-refining.
c) Charges a fee on all oil sold in California to fund
local curbside oil pickup programs, local collection
facilities, and rebates to oil manufacturers.
d) Provides that a person convicted of violating the
California Oil Recycling Enhancement Act is guilty of an
infraction, which is punishable by a fine of not more than
$100/day for each day the violation occurs.
This bill:
1) Makes numerous findings and declarations regarding the use of
automotive oil in California, the development of oil quality
and engine technology, and the goal of reducing the use of
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automotive oil in California.
2) Requires, prior to performing any work, an automotive repair
dealer to notify a customer purchasing an oil change of the
recommended oil drain interval, oil grade, and viscosity
specified in the maintenance schedule of the vehicle's
owner's manual.
3) Requires that, if an automotive repair dealer recommends the
date or mileage for the next oil change, the automotive
repair dealer will follow the oil drain interval specified in
the maintenance schedule of the vehicle's owner's manual when
making that recommendation to the customer verbally, in the
form of a window sticker, through settings in a vehicle's oil
sensor, or any other means, as specified.
4) Authorizes a customer to choose a different drain interval
used for purposes of
Item #3, above, if a customer purchases oil for the oil change
that has a recommended drain interval different from the oil
drain interval specified in the maintenance schedule of the
vehicle's owner manual.
Background
The Californians Against Waste is the Sponsor of the bill.
According to the Author, "Oil chemistry and engine technology
have evolved over the past 5 decades, with lubricants that can
last up to 15,000 miles. In fact, most cars today call for an
oil change at 7,500 or more miles. However, a 2012 survey by
CalRecycle shows that almost 10 million Californians change
their motor oil every 3,000 miles or less. This is partly
because of the ingrained myth that all vehicles must have their
oil changed every 3000 miles, but it is also because some
automotive repair shops still recommend, through window stickers
and other means, that drivers have their oil changed every 3,000
miles. Ensuring that auto repair dealers follow the
manufacturer's recommendations when listing the date or mileage
for the customer's next oil change will reduce the amount of oil
waste generated and save consumers dollars."
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Types of Oil. Oil comes in a variety of types - conventional
motor oil, premium conventional oil, semi-synthetic,
full-synthetic, or high-mileage.
Conventional oil. This is the oil used in bulk at dealerships
and is the cheapest at auto stores. It is fossil fuel oil.
Conventional oil tends to break down and separate more quickly
than synthetic oil [due to heat and elements].
Full-synthetic oil. This oil is made for high-tech engines.
If these oils pass stringent special tests, it means they have
superior, longer-lasting performance in critical areas, such
as viscosity index and protection against engine deposits.
They flow better at low temperatures and maintain peak
lubrication at high temperatures. Although it is considered
an excellent quality oil, synthetics are about three times as
expensive as conventional oil and not always necessary for
some engines. However, some engines call for synthetic only
such as Corvette, BMW and Mercedes-Benz.
According to Popular Mechanics, petroleum-type engine oil
contains a mixture of several different types of base oil.
Oil companies typically pick from a selection of five groups,
each of which is produced in a different way and in different
viscosities. The more expensive groups are more highly
processed, in some cases with methods that produce a
lubricant that can be classified as a synthetic. The full
synthetics contain chemicals that may be derived from
petroleum, but are altered so much that they are not
considered natural oil anymore.
In general, synthetic oils have a lower environmental impact,
higher vehicle performance, and can extend the time between
oil changes.
Synthetic Blend Oil. This oil is a mix of synthetic and
conventional oils, which is formulated to provide protection
for heavier loads and high temperatures. This generally means
they are less volatile and evaporate less, which reduces oil
loss. They are less expensive than full-synthetic oils.
High-Mileage Oil. This oil is formulated for vehicles with
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higher mileage. They may have higher viscosities, higher dose
of anti-wear additives, and are formulated with seal
conditioners that flow into the pores of the seals to restore
their shape and increase their flexibility. High-mileage oils
have ingredients to take care of older engines, like
conditioners, seal swells, antioxidants, detergents and wear
or friction additives. Typically they use a viscosity
modifier that is durable and will not lose viscosity very
easily. These oils need to stay thicker longer to protect
engine parts.
Extended-Life Oils. Many oil companies are releasing
extended-life oils that are guaranteed for specific mileage
listed on the bottle. For example, Mobil's most advanced fully
synthetic product is guaranteed for 15,000 miles. The company
recommends it for vehicles that are beyond their warranty period
because many automakers will void the warranty if the owner does
not follow the manufacturer's recommended service intervals.
Automotive Oil Changes. Changing the oil in a motor vehicle is
necessary to protect the engine, keeping vital engine parts well
lubricated so that they do not overheat. An engine cannot
function without it and going too long between oil changes can
cause permanent damage to an engine over time.
Depending on the vehicle, the intervals for required oil changes
vary. For example, many newer models require an oil change at
least every 5,000 miles; some require every 15,000 miles.
Oil change information is located in a vehicle owner's manual
and many automakers post their manuals online. Automaker oil
change recommendations differ depending on driving conditions as
well as car make, model and year. According to car
manufacturers, for driving conditions considered "severe" (e.g.
extensive idling or stop and go traffic; extreme weather or
humidity; repeated short-distance trips of less than five miles;
or towing a trailer or hauling heavy materials), the oil should
be changed more frequently or at shorter mileage intervals than
for conditions considered normal.
In addition, some automakers have installed oil life monitors in
their vehicles with varying capabilities - the basic versions
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are maintenance reminders based on mileage while the more
advanced systems take information from various sensors
throughout the vehicle and use an algorithm to predict the life
of the oil. These systems are calibrated to work with the
factory-recommended oil. Although these systems take the guess
work out of knowing when the next oil service should be, many
people have preconceived notions about oil change intervals such
as all cars need the oil changed every 3,000 miles.
Educating the Vehicle Owner. Oil change information is in the
maintenance section of a vehicle owner's manual. Also, many
automakers have put their manuals online. In addition,
CalRecycle has an easily accessible, interactive webpage to see
how often one should change the oil for a car based on the make,
model, and year of the car.
Many cars today require a minimum oil change of every 5,000 or
7,500 miles. Ford Motor Company recommends oil changes for many
of its new vehicles at 10,000 miles. Some cars commonly seen on
the road require an oil change every 15,000 miles.
According to CalRecycle, "[c]hanging motor oil according to the
manufacturer specifications would reduce motor-oil demand in
California by about 10 million gallons a year." (Jerry Hirsch,
"State hopes to break car owners' habit of changing oil too
often," Los Angeles Times, December 15, 2011).
Prior to the January 4, 2016 amendments, this bill faced a
policy concern in the Senate Committee on Environmental Quality
about whether educating the vehicle owner was a more effective
way to reduce oil waste. With the new amendments, the bill
addresses the concerns and explicitly requires the automotive
repair dealer to notify the customer of the recommended oil
change interval listed in the vehicle's owner's manual and
change the oil at that interval, unless otherwise specified.
Ongoing Litigation. Currently, the California Attorney General,
on behalf of BAR, filed an accusation against numerous Jiffy
Lube stations across the state. The accusation lists various
causes for discipline including failure to provide a copy of the
signed estimate, departure from trade standards, fraud, false
and misleading records, unfair competition, and untrue and
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misleading statements.
FISCAL EFFECT: Appropriation: No Fiscal
Com.:YesLocal: Yes
SUPPORT: (Verified1/19/16)
Californians Against Waste (source)
Biosynthetic Technologies
California League of Conservation Voters
California Product Steward Counsel
California Public Interest Research Group
Clean Water Action
Consumer Federation of California
Consumers for Auto Reliability and Safety
Honda
Natural Resources Defense Counsel
Wildcoast Costasalvaje
Sierra Club of California
OPPOSITION: (Verified1/19/16)
New Car Dealers Association
ARGUMENTS IN SUPPORT: Proponents of this bill assert that "oil
technology has changed enormously over the last 30 years making
the 3,000-mile
oil change unnecessary in nearly all vehicles. The majority of
automakers today call for oil changes at either 7,500 or 10,000
miles. And yet, a 2012 survey by CalRecycle indicates that
almost 10 million Californians change their motor oil every
3,000 miles or less. If improperly disposed of, used motor oil,
which is insoluble and contains heavy metals and toxic
chemicals, can enter our oceans and fresh waters via the storm
water systems, endangering humans, fish and wildlife. Also, one
gallon of used motor oil can foul the taste of 1 million gallons
of water. Used oil is considered a hazardous waste, and is often
burned as fuel, creating dangerous air pollution."
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ARGUMENTS IN OPPOSITION: Opponents of this measure
underscore that "while the intention of SB 778 is to protect
consumers and the environment from unnecessary and costly oil
changes, this measure is premature, unnecessary and will not
solve the bill's stated objective?unfortunately SB 778 has
several practice problems that will result in regulatory
uncertainty and lead to costly litigation."
Prepared by:Mark Mendoza / B., P. & E.D. / (916) 651-1868
1/20/16 15:40:06
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