BILL ANALYSIS                                                                                                                                                                                                    Ó



            SENATE COMMITTEE ON PUBLIC SAFETY
                             Senator Loni Hancock, Chair
                                2015 - 2016  Regular 

          Bill No:    SB 868        Hearing Date:    April 19, 2016    
          
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          |Author:    |Jackson                                              |
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          |Version:   |April 7, 2016                                        |
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          |Urgency:   |No                     |Fiscal:    |Yes              |
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          |Consultant:|MK                                                   |
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                     Subject:  State Remote Piloted Aircraft Act



          HISTORY

          Source:   Author

          Prior Legislation:SB 167 (Gaines) not heard 2015
                         SB 170 (Gaines) Vetoed 2015
                         SB 262 (Galgiani) Failed Senate Judiciary 2015
                         SB 263 (Gaines) not heard 2015
                         SB 271 (Gaines) Vetoed 2015
                         AB 56 (Quirk) inactive Senate Floor
                         SB 15 (Padilla) failed Assembly Public Safety  
          2014 
                         AB 1327 (Gorell) Vetoed 2014
                         

          Support:  California League of Conservation Voters; City of West  
                    Hollywood; League of California Cities; a number of  
                    individuals

          Opposition:Academy of Model Aeronautics; Association for  
                    Unmanned Vehicle Systems International;  California  
                    Chamber of Commerce; California Manufacturers and  
                    Technology Association; Consumer Technology  
                    Association; CTIO Wireless Association;  DJI;  GoPro,  
                    Inc.; Small UAV Coalition; State Farm Mutual  








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                    Automobile Insurance Company (unless amended);  
                    TechNet; 3D Robotics; Yuneec USA Inc.

                                                


          PURPOSE
          
          The purpose of this bill is to regulate the use of unmanned  
          aircraft and to provide penalties for the violation of those  
          prohibitions.
           
          Existing law authorizes certain persons who are not peace  
          officers to exercise the powers of arrest under certain  
          circumstances, if they have completed a specific training  
          course prescribed by the Commission on Peace Officer  
          Standards and Training.  (Penal Code § 830.7).

          This bill gives officers and employees of the Department of  
          Transportation who are designated by the Director of  
          Transportation the right to exercise the powers of arrest  
          to enforce the provisions of the State Remote Piloted  
          Aircraft Act, any rule or order issued under that part or  
          any other law applicable to remote piloted aircraft or  
          unmanned aircraft systems.

          Existing federal regulations require all drone owners to  
          register their drones with the Federal Aviation Administration  
          (FAA).  Commercial drone operators, but not recreational drone  
          operators, must also obtain FAA authorization, which is granted  
          on a case-by-case basis.  

          Existing law establishes a Division of Aeronautics within the  
          California Department of Transportation (Caltrans).  (Public  
          Utilities Code §§ 21001 et seq)

          This bill creates the "State Remote Piloted Aircraft Act."

          This bill provides that it shall not be construed to either  
          of the following:

                           Limit any power of the state or a  
                    political subdivision to regulate the operation  
                    of remote piloted aircraft if the regulations do  









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                    not conflict with the provision of this part.
                           Preempt any local ordinance that  
                    regulates remotely piloted aircraft or unmanned  
                    aircraft systems if the ordinance is consistent  
                    with this part.

          This bill prohibits the operation of a drone in the following  
          circumstances without consent of the property owner or manager  
          or Office of Emergency Services (OES), as specified:

             a)   Within 500 feet of critical infrastructure designated by  
               the OES, unless the operator is an FAA authorized  
               commercial operator who does not interfere with the  
               operation of the critical infrastructure;
             b)   Within 1,000 feet of a heliport;
             c)   Within five miles of an airport;
             d)   Within any other area where Caltrans or OES determines  
               that drone usage creates an imminent danger to public  
               health and safety;
             e)   Within the airspace of the state park system;
             f)   Within the airspace of lands or waters managed by the  
               Department of Fish and Wildlife; and
             g)   Within 500 feet of the State Capitol or other building  
               housing state legislative offices and chambers, unless the  
               operator is an FAA-authorized commercial operator who does  
               not interfere with the operation of the critical  
               infrastructure.

          This bill prohibits the operation of a drone in a manner that:

             a)   Interferes with manned aircraft;
             b)   Is prohibited by federal statute or regulation;
             c)   Is careless or reckless and endangers life or property;
             d)   Constitutes a nuisance under section 3479 of the Civil  
               Code;
             e)   Violates an individual's right to privacy under the  
               California constitution; and
             f)   Constitutes trespass under California law.

          This bill prohibits the weaponization of drones.


          This bill authorizes operating a drone:










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             a)   Above any property to which the drone operator has a  
               right of entry.
             b)   Above state property if the operator has received a  
               permit from the California Film Commission.
             c)   In any airspace deemed necessary by the operator to  
               avoid imminent danger to the life and safety of another  
               person or the public.

          This bill requires:

             a)   Every commercial operator of a drone to procure adequate  
               protection against liability.
             b)   Every drone to give way to manned aircraft.
             c)   Every drone operator to comply with all licensing,  
               registration, and marking requirements of the FAA.

          This bill provides that Caltrans and OES may adopt rules and  
          regulations relating to the provisions in this bill.

          Existing law provides that a violation of the State Aeronautics  
          Act is punishable as a misdemeanor with a penalty of up to six  
          months in jail and/or a fine of not more than $1,000 (plus  
          penalty assessments).

          This bill provides that a violation of any provision, except as  
          otherwise specified, shall be punishable in the same manner as  
          provided in the State Aeronautics Act.

          This bill provides that operating an unmanned aircraft within  
          the airspace overlaying units of the state park system without a  
          permit or other authorizations is a wobblet with a misdemeanor  
          penalty of imprisonment in the county jail not exceeding 90 days  
          and/or a fine not exceeding $1,000 (plus penalty assessments) or  
          an infraction punishable by a fine of not more than $1,000 (plus  
          penalty assessments).

          This bill provides that operating an unmanned aircraft with in  
          airspace overlaying lands or waters managed by the Department of  
          Fish and Wildlife without a permit or other authorization is a  
          wobblet with a misdemeanor penalty of up to six months in jail  
          and/or a fine of $1,000 (plus penalty assessments) or an  
          infraction with a fine of $100 to $1,000 (plus penalty  
          assessments).










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          This bill provides that operating an unmanned aircraft within  
          500 feet of the State Capitol or other building housing the  
          state legislative offices and chambers without a permit or other  
          authorizations is a misdemeanor punishable by up to six months  
          in jail and/or a fine of $1,000 plus penalty assessments.

          This bill provides that the provisions of this bill are  
          severable.  If any part of this bill is found to be invalid, the  
          remaining parts of the bill are unaffected.







                    RECEIVERSHIP/OVERCROWDING CRISIS AGGRAVATION

          For the past several years this Committee has scrutinized  
          legislation referred to its jurisdiction for any potential  
          impact on prison overcrowding.  Mindful of the United States  
          Supreme Court ruling and federal court orders relating to the  
          state's ability to provide a constitutional level of health care  
          to its inmate population and the related issue of prison  
          overcrowding, this Committee has applied its "ROCA" policy as a  
          content-neutral, provisional measure necessary to ensure that  
          the Legislature does not erode progress in reducing prison  
          overcrowding.   

          On February 10, 2014, the federal court ordered California to  
          reduce its in-state adult institution population to 137.5% of  
          design capacity by February 28, 2016, as follows:   

                 143% of design bed capacity by June 30, 2014;
                 141.5% of design bed capacity by February 28, 2015; and,
                 137.5% of design bed capacity by February 28, 2016. 

          In December of 2015 the administration reported that as "of  
          December 9, 2015, 112,510 inmates were housed in the State's 34  
          adult institutions, which amounts to 136.0% of design bed  
          capacity, and 5,264 inmates were housed in out-of-state  
          facilities.  The current population is 1,212 inmates below the  
          final court-ordered population benchmark of 137.5% of design bed  
          capacity, and has been under that benchmark since February  









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          2015."  (Defendants' December 2015 Status Report in Response to  
          February 10, 2014 Order, 2:90-cv-00520 KJM DAD PC, 3-Judge  
          Court, Coleman v. Brown, Plata v. Brown (fn. omitted).)  One  
          year ago, 115,826 inmates were housed in the State's 34 adult  
          institutions, which amounted to 140.0% of design bed capacity,  
          and 8,864 inmates were housed in out-of-state facilities.   
          (Defendants' December 2014 Status Report in Response to February  
          10, 2014 Order, 2:90-cv-00520 KJM DAD PC, 3-Judge Court, Coleman  
          v. Brown, Plata v. Brown (fn. omitted).)  
           
          While significant gains have been made in reducing the prison  
          population, the state must stabilize these advances and  
          demonstrate to the federal court that California has in place  
          the "durable solution" to prison overcrowding "consistently  
          demanded" by the court.  (Opinion Re: Order Granting in Part and  
          Denying in Part Defendants' Request For Extension of December  
          31, 2013 Deadline, NO. 2:90-cv-0520 LKK DAD (PC), 3-Judge Court,  
          Coleman v. Brown, Plata v. Brown (2-10-14).  The Committee's  
          consideration of bills that may impact the prison population  
          therefore will be informed by the following questions:

              Whether a proposal erodes a measure which has contributed  
               to reducing the prison population;
              Whether a proposal addresses a major area of public safety  
               or criminal activity for which there is no other  
               reasonable, appropriate remedy;
              Whether a proposal addresses a crime which is directly  
               dangerous to the physical safety of others for which there  
               is no other reasonably appropriate sanction; 
              Whether a proposal corrects a constitutional problem or  
               legislative drafting error; and
              Whether a proposal proposes penalties which are  
               proportionate, and cannot be achieved through any other  
               reasonably appropriate remedy.


          

          COMMENTS
          
          1.   Need for The Bill
          
          According to the author:










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               The development of small unmanned aircraft systems -  
               known as "unmanned aerial vehicles," "remote piloted  
               aircraft," or simply "drones" - promises to  
               revolutionize the way Californians interact with each  
               other and their environment.  Drone technology may  
               transform the way California's farmers and ranchers  
               manage livestock and agricultural resources.  Drone  
               technology could also fundamentally alter the way goods  
               move across the state and greatly improve the capacity  
               of emergency personnel to respond to disasters.
               However, the lack of clear rules governing the use of  
               this emerging technology threatens to harm California's  
               natural resources and undermine public safety.  To  
               date, the lack of regulation has led to disputes  
               between neighbors concerned about invasions of their  
               privacy, impacts to wildlife, near-collisions with  
               airplanes and helicopters, interference with  
               firefighting efforts, and accidents injuring innocent  
               bystanders.  Some individuals are reportedly modifying  
               drones to carry weapons, and, in at least one instance,  
               a drone was used to land radioactive material on the  
               roof of a government building.

               Commonsense rules are needed to ensure that drones are  
               used in a safe and responsible manner, consistent with  
               the values of the people of the State of California.

               This bill creates a comprehensive set of sensible and  
               intelligent drone regulations that strike an  
               appropriate balance between protecting public safety  
               and privacy, and encouraging innovation and technology.  
                

               SB 868 avoids the threat of frivolous litigation by  
               vesting primary enforcement authority with the Division  
               of Aeronautics within the Department of Transportation.  
                The bill also directs the Division of Aeronautics to  
               work cooperatively with local governments, state  
               agencies, and the federal government to enforce this  
               regulatory framework.
          
          2.   Current Drone Regulation
          
          The FAA does not permit commercial drone operation except on a  









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          case-by-case basis.  However, in February 2015, the FAA proposed  
          regulations on commercial drone users.  Among the proposals was  
          a 55-pound weight limitation, line-of-sight operation, maximum  
          airspeed of 100 mph, a ban on operation over any people, a  
          maximum operating altitude of 500 feet, and training and  
          licensing for the operator.  Those rules have not been finalized  
          but are expected by mid-year.  

          In December 2015, the FAA required commercial and recreational  
          drone users to register their drones.  Nearly 300,000 drone  
          users registered within the first 30 days, according to the FAA.  
           This is modest success given the more than 1 million drones in  
          use.

          Several California local governments have enacted their own  
          drone regulations.  In October 2015, the City of Los Angeles  
          enacted drone regulations similar to the FAA proposal.  In  
          December, the city filed the first criminal charges under the  
          ordinance, citing two individuals for operating a drone which  
          interfered with a Los Angeles Police Department air unit,  
          causing it to change its landing path.  In northern California,  
          the Golden Gate Bridge, Highway and Transportation District  
          banned drones near the Golden Gate Bridge after a drone crashed  
          on the roadway.

          3.   Regulation of Drones
          
          This bill sets up a regulation of remote piloted aircraft  
          prohibiting their use in specified public locations without  
          authorization.  Specifically it:
                 Limits drone use within 500 feet of critical  
               infrastructure, within 1,000 feet of a heliport, or  
               within 5 miles of an airport, without permission;
                 Limits disruptive drone use within the immediate  
               airspace of private property without permission;
                 Limits drone use over state parks, wildlife refuges,  
               the State Capitol, or other designated safety areas,  
               without a permit or permission;
             Prohibits the weaponization of drones;
                 Prohibits the reckless operation of drones and drone  
               interference with manned aircraft;
             Requires commercial drone operators to obtain liability  
             insurance; and
             Continues to allow local governments to regulate drone  









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             use in their communities.

          4.   Criminal Penalties

             a.   Penalties by reference

            This bill creates criminal penalties by cross-referencing  
            other code sections.  Because when imposing criminal penalties  
            it is important to be clear what they are and because the  
            cross-referenced sections could change or be deleted, it would  
            be more appropriate for the penalties to appear in the actual  
            act this bill creates.

             b.   General penalty

            Unless otherwise provided, the penalty for a violation of this  
            section is a misdemeanor with a penalty of up to 6 months in  
            jail and/ or a fine up to $1,000.   Because there are  
            approximately 310% in penalty assessments added to criminal  
            fines, the actual fine will be closer to $4,100.   Is this an  
            appropriate penalty?

             c.   Penalty for unmanned aircraft over land or state parks

            This bill provides that it is a wobblet for a person to  
            operate an unmanned aircraft within airspace over the state  
            park system unless the person has a permit or it is authorized  
            by rule or regulation.  The misdemeanor penalty is  
            imprisonment in the county jail not exceeding 90 days and/or a  
            fine not exceeding $1,000 ($4,100 with penalty assessments)  
            and the infraction penalty is a fine of not more than $1,000 (  
            $4,100 with penalty assessments).   

            The standard fine for an infraction is not more than $250  
            ($1025 with penalty assessments).  A person charged with an  
            infraction has not right to a jury trial or representation.   
            Is a fine that will be $4,100 with penalty assessments  
            appropriate for an infraction in this case?

            The bill creates an exception the prohibition against using an  
            unmanned aircraft over state parks if there are rules or  
            regulations authorizing the operation of the unmanned  
            aircraft.   Will these rules and regulations be easily  
            accessible for the general public so as not to create  









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            confusion or to make the crime void for vagueness?

             d.   Penalty for unmanned aircraft over Fish and Wildlife  
               lands and waters

            This bill provides that it is a wobblet for a person to  
            operate an unmanned aircraft with in airspace overlaying lands  
            or waters managed by the Department of Fish and Wildlife  
            unless the person has a permit or it is authorized by a rule  
            or regulation.  The misdemeanor penalty is up to six months in  
            jail and/or a fine of $1,000 ($4,100 with penalty assessments)  
            or an infraction with a fine of $100 to $1,000 ($410-$4,100).

            The standard fine for an infraction is not more than $250  
            ($1025 with penalty assessments).  A person charged with an  
            infraction has not right to a jury trial or representation.   
            Is a fine that will be $4,100 with penalty assessments  
            appropriate for an infraction in this case?

            The bill creates and exception the prohibition against using  
            an unmanned aircraft over lands and waters managed by the  
            Department of Fish and Wildlife if there are rules or  
            regulations authorizing the operation of the unmanned  
            aircraft.   Will these rules and regulations be easily  
            accessible for the general public so as not to create  
            confusion or to make the crime void for vagueness?

             e.   Penalty for operating an unmanned aircraft near the  
               State Capitol

            This bill makes it a misdemeanor to operate an unmanned  
            aircraft within 500 feet of the State Capitol or other  
            building housing the state legislative offices and chambers  
            situated in the area bounded by 10th, L, 15th and N Streets  
            without a permit or authorization by rule or regulation.  The  
            misdemeanor penalty is up to six months in jail and/or a fine  
            of $1,000 ($4,100 with penalty assessments)

            The bill creates and exception the prohibition against using  
            an unmanned within 500 feet of the State Capitol if there are  
            rules or regulations authorizing the operation of the unmanned  
            aircraft.   Will these rules and regulations be easily  
            accessible for the general public so as not to create  
            confusion or to make the crime void for vagueness?  









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            It is not clear if the bill intends to cover the LOB, it  
            states "other building housing legislative offices and  
            chambers" but puts the boundary at N street which would not  
            seem to cover LOB which extends beyond N street.

            Will it be clear to the general public that flying an unmanned  
            aircraft is inappropriate in Capitol Park?   Under this  
            Legislation an unmanned aircraft could be flown in front of  
            the Library and Courts building but not across 10th Street in  
            Capitol Park.  Since the limitation is within 500 feet of the  
            building, it appears a person could fly an unmanned aircraft  
            near the rose garden on 15th Street but would be in violation  
            at some point as the unmanned aircraft neared the Capitol  
            building.  The penalty for a violation is a misdemeanor so  
            should some notice be required?  

          

          5.   Enforcement
          
          This bill provides that along with peace officers the Director  
          of the Department of Transportation and its officers and  
          employees may enforce and assist in the enforcement of this bill  
          and any rule or order issued under this bill.  

          Under this bill, the Director of the Department of  
          Transportation may designate any officer or employee of the  
          department to exercise the powers of arrest pursuant to Penal  
          Code Section 830.7.  Penal Code Section 830.7 authorizes certain  
          people to exercise the power to arrest provided they have  
          received the specified POST training.

          Instead of giving general power to enforce these laws to anyone  
          in the Department of Transportation, should that power be  
          limited to those who have received the Penal Code 830.7  
          designation?
                                                                       
          6.   Transportation Committee Amendment

          The author will take an amendment in this Committee that she  
          agreed to in the Committee on Transportation and Housing to  
          address the opposition by State Farm regarding financial  
          responsibility.









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          7.   Support
          
          The League of California Cities supports this bill stating:

               The rapid development and increased use of drone  
               technology in recent years offers a variety of  
               benefits, but also presents a series of challenges for  
               state and local government regulatory authority.  
               Unregulated drone activity has led to a variety of  
               issues, including interference with first responders,  
               firefighting efforts, near-collisions with first  
               responder as well as commercial aircraft and invasions  
               of privacy.

          The California League of Conservation Voters supports this bill  
          stating:

               Drone Technology promises to transform many aspects of  
               California's economy, and could greatly decrease  
               environmental costs associated with farming and moving  
               goods across our state. However, the lack of clear  
               rules governing the use of this emerging technology  
               threatens to harm California's natural resources and  
               undermine public safety.  Recent news articles have  
               described how wildlife are impacted by unregulated  
               drone use, and research from wildlife biologists has  
               shown that drones can cause stress to animals like  
               black bears and raptors even when operated some  
               distance from an animal. Both Department of Fish and  
               Wildlife and the California state Parks are beginning  
               to experience similar issues with drones impacting  
               wildlife in our parks and refuges.

               Commonsense rules are needed to ensure that drones are  
               used in a safe and responsible manner. This bill  
               creates a comprehensive set of sensible and intelligent  
               drone regulations that strike an appropriate balance  
               between protecting natural resources and encouraging  
               innovation and technology?.  

          8.   Opposition











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          A coalition<1> of companies opposes this bill stating:

               The undersigned organizations and companies  
               (hereinafter the "Coalition"), each of which has a  
               significant presence in California, are writing today  
               in strong opposition to enactment of Senate Bill No.  
               868 ("SB 868"), the "State Remote Piloted Aircraft  
               Act." Contrary to the legislation's stated purpose of  
               "[e]ncouraging the development and general use of  
               remote piloted aircraft," the Bill, if enacted, would  
               deter future innovation and investment in California by  
               the unmanned aircraft systems ("UAS") industry. See SB  
               868, § 21751(i). SB 868 should be rejected because (1)  
               various provisions needlessly address conduct already  
               prohibited in California, (2) it creates a new  
               insurance requirement devoid of empirical support for  
               the burdens imposed, and (3) various provisions are  
               preempted by federal law. If the legislation is not  
               rejected, it should be modified to eliminate the  
               problems identified above. Such action would be  
               consistent with the legislature's goal to establish  
               "only those regulations that are essential" and to  
               place "the least possible restriction" on UAS usage.

                                         ***

               For the above reasons, the Coalition opposes enactment  
               of SB 868. To the extent legislation is adopted, it  
               should clarify the scope of existing law and its  
               application to UAS. State statues that conflict with  
               federal law, redundantly address already-forbidden  
               conduct, or attach burdensome regulation to UAS  
               operations would undermine innovation and provide a  
               strong disincentive to the UAS industry regarding  
               future developmental and educational activities in  
               California. The Coalition stands ready to work with  
               California regarding potential steps that can be taken  
               to address UAS concerns without adopting legislation  
               that is unnecessary or preempted.
               -----------------------
          <1> The coalition is: Academy of Model Aeronautics; Association  
          for Unmanned Vehicle Systems International; California Chamber  
          of Commerce; CMTA;  Consumer Technology Association; CTIA-the  
          Wireless Association; Small UAV Coalition; TechNet; 3D Robotics;  
          DJI; GoPro, Inc.; Yuneec USA Inc.








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