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 --