BILL ANALYSIS                                                                                                                                                                                                    



SENATE RULES COMMITTEE                           AB 2795  
Office of Senate Floor Analyses
1020 N Street, Suite 524
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                        THIRD READING
                                                              
                                                          .
  
Bill No:  AB 2795
Author:   Oller (R), et al
Amended:  8/25/98 in Senate
Vote:     21
                                                              
                                                             
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All Committee Votes Not Relevant

  SENATE FLOOR  :  11-18, 8/24/98
AYES:  Alpert, Ayala, Brulte, Burton, Calderon, Costa,  
  Craven, Dills, Greene, Hayden, Haynes, Hughes, Hurtt,  
  Johannessen, Johnson, Johnston, Karnette, Kelley, Knight,  
  Kopp, Leslie, Lewis, Lockyer, Maddy, McPherson, Monteith,  
  Mountjoy, O'Connell, Peace, Polanco, Rainey, Rosenthal,  
  Schiff, Sher, Solis, Thompson, Vasconcellos, Watson,  
  Wright

  ASSEMBLY FLOOR  :   Not Relevant
                                                              
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SUBJECT  :    Motor vehicles:  smog check program

  SOURCE  :     Author
                                                              
                                                         .

DIGEST  :    This bill makes various changes to the Vehicle  
and Health and Safety Codes which would return the current  
Motor Vehicle Inspection and Maintenance Program to the  
program in operation prior to 1994.  This program is  
commonly referred to as "BAR-90." Specifically, this set of  
amendments:

1.Repeals all Vehicle Code and Health and Safety Code  
  sections added to establish the "Smog Check II" program.






2.Retains requirements of the "BAR-90" Program, as the  
  program was constituted prior to 1994 amendments.

3.Repeals all references to enhanced areas, dynamometers,  
  gold shield stations, and test-only requirements.

4.Retains exemption provisions established in 1997, which  
  exempt from the program all vehicles manufactured prior  
  to the 1974 model year and all new vehicles for the first  
  four model years.

5.Retains the Low-Income Repair Assistance Program, but  
  removes all references to the "Smog Check II" Program.

6.Requires the Department of Motor Vehicles to notify  
  motorists of their right to have vehicles pre-tested,  
  pursuant to Section 44011.3 of the Health and Safety  
  Code. 

7.Provides funding from Item 1111-001-0582 of the Budget  
  Act of 1998 for reimbursement of costs to smog check  
  station owners associated with complying with Bureau of  
  Automotive Repair regulations establishing the enhanced  
  program.  Eligible costs, as determined by the Bureau,  
  would include equipment and installation costs incurred  
  through participation in the enhanced program.

  Senate Floor Amendments  of 8/25/98 delete urgency clause.

  ANALYSIS  :    Existing law establishes a motor vehicle  
inspection and maintenance (smog check) program,  
administered by the State Department of Consumer Affairs;  
requires inspection of motor vehicles upon initial  
registration, biennially upon renewal of registration, upon  
transfer of ownership, and in certain other circumstances;  
and requires all motor vehicles that are registered in  
designated areas of the state to biennially obtain a  
certificate of compliance or noncompliance with motor  
vehicle emission standards, except for certain exempted  
motor vehicles.  Existing law also provides for an enhanced  
motor vehicle inspection and maintenance program in each  
urbanized area of the state, any part of which is  
classified by the United States Environmental Protection  
Agency as a serious, severe, or extreme non-attainment area  
for carbon monoxide with a design value greater than 12.7  
ppm, and in other areas of the state, as specified.

This bill would repeal those provisions providing for an  
enhanced program and would make related changes.






This bill would also permit every motor vehicle subject to  
the inspection program to be pre-tested, as defined.  The  
bill would also require information contained in the  
renewal of registration notice to notify the owner of the  
vehicle of the right to have the vehicle pre-tested.

The bill would require the Bureau of Automotive Repair to  
provide reimbursement to eligible smog check station owners  
for certain costs incurred to comply with the enhanced smog  
check program from specified funds appropriated pursuant to  
the Budget Act of 1998.

  Prior Legislation  

AB 2789 (Thomson), passed the Senate 27-8, and was vetoed  
by the Governor with the following message:

     This bill would make a number of changes to the  
     Smog Check II program by eliminating  
     "ping-ponging" of cars that fail a smog test  
     between test-only facilities and repair shops;  
     revising the low-income and repair assistance  
     program; and simplifying procedures for vehicles  
     to be removed from the enhanced program testing  
     requirements when ownership is transferred to a  
     non-enhanced area.

     Unfortunately the bill, similar to a bill vetoed  
     last year (AB 999), would remove the Enhanced  
     Area designation on some areas of the state by  
     arbitrarily defining an "urbanized" area as  
     having a population of 100,000 or more residents.  
      Changing the designation of these areas would  
     result in emissions reduction shortfall which  
     could force the state to face federal sanctions.   
     Avoiding the sanctions would require creating  
     inequities by shifting the burden of increased  
     emissions reductions to industrial and stationary  
     pollution sources or upon the other areas where  
     the enhanced program remains active.

     Nothing has changed over last year to warrant a  
     reversal of the prior veto.  It remains  
     imperative that we continue to make desired and  
     necessary progress to protect public health  
     through clean air standards, avoid unnecessary  
     exposure to federal sanctions, and ensure that  
     California's air quality policy approach remains  
     equitable, technologically feasible, and cost  
     effective.






     This bill does, however, contain a number of  
     laudable changes that would have made significant  
     improvements for all sectors of the motoring  
     public.  As such, I am directing my agencies to  
     implement those features of this bill that will  
     increase public convenience and acceptance to the  
     fullest extent permissible under existing  
     statutory authority.

  Veto Analysis of Item 1111-001-0582 (from the Budget):   
Department of Consumer Affairs, Bureau of Automotive Repair  

Deletes $3 million provided for reimbursement of smog  
check station owners for the costs of returning to the  
BAR-90 test as a result of AB 2789, which would exempt  
small communities from the enhanced program.  States  
that this veto is consistent with the veto of AB 2789,  
which contained numerous reforms to the smog check  
program.

AB 999 (Thomson) of 1997, passed the Senate 21-18 and was  
vetoed by the Governor with the following message:

     This bill would redefine the term "urban area,"  
     so that California's enhanced smog check program  
     would apply only to those urban areas with a  
     population of 100,000 or more.

     Currently, urbanized areas of 50,000 or more  
     residents, that exceed air quality standards for  
     ozone and carbon monoxide, must participate in an  
     enhanced vehicle inspection and maintenance  
     program (Smog Check II).  Changing the definition  
     of urbanized area, as proposed by this bill,  
     would exempt certain areas from this program.   
     This would create inequities by shifting the  
     burden of increased emission reductions from  
     automobiles to industrial and stationary  
     pollution sources.

     It is imperative that we continue to make desired  
     and necessary progress toward health -  
     protective, clean air standards, avoid  
     unnecessary exposure to federal sanctions, and  
     ensure that California's air quality policy  
     approach remains equitable, technologically  
     feasible, and cost effective.  Those three  
     elements would be severely jeopardized by this  
     bill.






  FISCAL EFFECT  :   Appropriation:  No   Fiscal Com.:  Yes    
Local:  No


RJG:ctl/jk  8/26/98  Senate Floor Analyses
             SUPPORT/OPPOSITION:  NONE RECEIVED
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