BILL ANALYSIS Ó SENATE COMMITTEE ON APPROPRIATIONS Senator Ricardo Lara, Chair 2015 - 2016 Regular Session SB 1259 (Runner) - Vehicles: toll payment: veterans ----------------------------------------------------------------- | | | | | | ----------------------------------------------------------------- |--------------------------------+--------------------------------| | | | |Version: April 21, 2016 |Policy Vote: T. & H. 10 - 1 | | | | |--------------------------------+--------------------------------| | | | |Urgency: No |Mandate: No | | | | |--------------------------------+--------------------------------| | | | |Hearing Date: May 9, 2016 |Consultant: Mark McKenzie | | | | ----------------------------------------------------------------- This bill does not meet the criteria for referral to the Suspense File. Bill Summary: SB 1259 would exempt vehicles with specified veterans license plates from paying tolls, charges, and related fines when accessing specified toll facilities. Fiscal Impact: Unknown, likely minor revenue losses to various local tolling and regional entities that operate toll facilities. (local funds) Unknown, likely minor foregone state revenues, to the extent the Department of Transportation (Caltrans) develops and operates state toll facilities. (State highway Account) See staff comments. SB 1259 (Runner) Page 1 of ? Background: Existing law makes every vehicle using a toll bridge, toll highway, high-occupancy toll (HOT) lane, or other toll facility liable for any tolls or other charges that may be prescribed, and prohibits a person from evading or attempting to evade the payment of those tolls or charges. Existing law exempts authorized emergency vehicles from paying tolls when responding to or returning from an urgent or emergency call, as specified. Existing toll facilities are generally administered by local or regional transportation entities, and toll revenues are retained at the local level to cover administrative and maintenance costs, to pay off debt for capital improvements, or for other authorized expenditures within the corridor of the toll facility. Existing law, as enacted by AB 194 (Frazier), Chap. 687/2015, authorizes Caltrans and regional transportation entities to develop and operate HOT lanes and other toll facilities, upon approval by the California Transportation Commission. Existing law authorizes the Department of Motor Vehicles (DMV) to issue various specialized license plates, including certain plates that are only available to qualifying veterans. Proposed Law: SB 1259 would exempt vehicles registered to a veteran and displaying certain veterans license plates from tolls or other charges on a toll road, HOT lane, toll bridge, toll highway, vehicular crossing, or any other toll facility. This exemption would apply to vehicles displaying a specialized license plate for disabled veterans, Pearl Harbor survivors, members of the Legion of Honor, former American prisoners of war, Congressional Medal of Honor recipients, and Purple Heart recipients. Staff Comments: DMV indicates that there are 24,672 vehicles currently registered with specialized license plates that qualify for this bill's toll exemption. Revenue losses to individual tolling entities are unknown, but likely relatively minor, considering the exemption would only apply to a limited SB 1259 (Runner) Page 2 of ? subset of the motoring public, and a small percentage of those vehicles would access any particular toll facility. Currently, all toll facilities are administered by local or regional transportation entities, so there would be no immediate state fiscal impacts. To the extent Caltrans develops and operates toll facilities in the future, this bill could result in foregone revenues by exempting vehicles with certain veterans plates from paying tolls. Future impacts would be determined by the number of vehicles accessing state-administered toll facilities, and the amount of the tolls that would otherwise have been paid for accessing those facilities. Since the amount of individual tolls would likely be established based upon a projection of the number of toll-paying vehicles, any foregone revenues resulting from this bill would be covered by a proportionate increase in the amount of tolls paid by the drivers of other vehicles. -- END --