BILL ANALYSIS                                                                                                                                                                                                    



                                                                    SB 1399  


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          Date of Hearing:  June 29, 2016


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                               Lorena Gonzalez, Chair


          SB 1399  
          (Hueso) - As Amended April 26, 2016


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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill extends the sunset on an existing DMV pilot program  
          evaluating alternatives to license plates, registration  
          stickers, and registration cards from January 1, 2017, to  
          January 1, 2019, and the deadline for DMV to report on the pilot  
          to the Legislature from July 1, 2018, to July 1, 2020.


          FISCAL EFFECT:


          Any cost to complete the pilot and report will be minor and  
          absorbable.








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          COMMENTS:


          Background and Purpose. SB 806 (Hueso), Chapter 569, Statutes of  
          2013, authorized the DMV to establish a pilot program to  
          evaluate the use of alternatives to license plates, registration  
          stickers, and registration cards.  At the time, that bill's  
          author sought to facilitate DMV's ability to explore  
          alternatives to the traditional metal license plate,  
          plastic-coated registration stickers, and paper registration  
          cards in order to improve efficiency and lower the cost of DMV  
          vehicle registration services.


          To date, the DMV has developed specifications and completed  
          procurements for each of the three authorized alternatives.   
          This process took longer than was anticipated, however, and  
          field testing for some of the technologies by the contracted  
          vendors did not begin until as late as November 2015.  Due to  
          the abbreviated nature of the testing window, the vendors  
          carrying out the pilot are seeking to extend the pilot's  
          authorization. 


          The author believes that by extending the authorization by two  
          years, the vendors will have ample time to complete their  
          testing and collect additional, more extensive data to share  
          with DMV, which will then be reported by the department to the  
          Legislature to assist in determining the viability of these  
          technologies.


          Analysis Prepared by:Chuck Nicol / APPR. / (916)  
          319-2081











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