BILL NUMBER: AB 342 CHAPTERED 09/03/99 CHAPTER 316 FILED WITH SECRETARY OF STATE SEPTEMBER 3, 1999 APPROVED BY GOVERNOR SEPTEMBER 2, 1999 PASSED THE SENATE AUGUST 23, 1999 PASSED THE ASSEMBLY MAY 10, 1999 INTRODUCED BY Assembly Member Cox FEBRUARY 11, 1999 An act to amend Sections 221, 9564, and 40000.5 of the Vehicle Code, relating to vehicles. LEGISLATIVE COUNSEL'S DIGEST AB 342, Cox. Automobile dismantlers: definition. Existing law makes it a crime for any person to act as an automobile dismantler without meeting specified license or permit requirements. By definition, the owner of any premises or property used in conjunction with any agricultural, farming, mining, ranching, or motor vehicle repair business is exempted from the definition of automobile dismantler. This bill would limit that exemption from the definition of automobile dismantler to the owners or operators of the businesses listed above, as modified, if the businesses do not sell parts, except for use in dismantler or specified businesses that engage in reducing the vehicles to their component materials. By limiting the exemption, the bill would expand the scope of an existing crime, thereby imposing a state-mandated local program. This bill would also make conforming changes. (2) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 221 of the Vehicle Code is amended to read: 221. (a) The term "automobile dismantler" does not include any of the following: (1) The owner or operator of any premises on which two or more unregistered and inoperable vehicles are held or stored, if the vehicles are used for restoration or replacement parts or otherwise, in conjunction with any of the following: (A) Any business of a licensed dealer, manufacturer, or transporter. (B) The operation and maintenance of any fleet of motor vehicles used for the transportation of persons or property. (C) Any agricultural, farming, mining, or ranching business that does not sell parts of the vehicles, except for either of the following purposes: (i) For use in repairs performed by that business. (ii) For use by a licensed dismantler or an entity described in paragraph (3). (D) Any motor vehicle repair business registered with the Bureau of Automotive Repair, or those exempt from registration under the Business and Professions Code or applicable regulations, that does not sell parts of the vehicles, except for either of the following purposes: (i) For use in repairs performed by that business. (ii) For use by a licensed dismantler or an entity described in paragraph (3). (2) Any person engaged in the restoration of vehicles of the type described in Section 5004 or in the restoration of other vehicles having historic or classic significance. (3) The owner of a steel mill, scrap metal processing facility, or similar establishment purchasing vehicles of a type subject to registration, not for the purpose of selling the vehicles, in whole or in part, but exclusively for the purpose of reducing the vehicles to their component materials, if either the facility obtains, on a form approved or provided by the department, a certification by the person from whom the vehicles are obtained that each of the vehicles has been cleared for dismantling pursuant to Section 5500 or 11520, or the facility complies with Section 9564. (4) Any person who acquires used parts or components for resale from vehicles which have been previously cleared for dismantling pursuant to Section 5500 or 11520. Nothing in this paragraph permits a dismantler to acquire or sell used parts or components during the time the dismantler license is under suspension. (b) Any vehicle acquired for the purpose specified in paragraph (3) of subdivision (a) from other than a licensed dismantler, or from other than an independent hauler who obtained the vehicle, or parts thereof from a licensed dismantler, shall be accompanied by either a receipt issued by the department evidencing proof of clearance for dismantling under Section 5500, or a copy of the ordinance or order issued by a local authority for the abatement of the vehicle pursuant to Section 22660. The steel mill, scrap metal processing facility, or similar establishment acquiring the vehicle shall attach the form evidencing clearance or abatement to the certification required pursuant to this section. All forms specified in paragraph (3) of subdivision (a) and in this subdivision shall be available for inspection by a peace officer during business hours. SEC. 2. Section 9564 of the Vehicle Code is amended to read: 9564. (a) A scrap metal processor, as described in paragraph (3) of subdivision (a) of Section 221, who acquires a vehicle of a type subject to registration under this code, and who complies with all the provisions of this section, is not required to submit a certificate of nonoperation in lieu of fees or to pay fees that would otherwise be required if the vehicle were to be currently registered. (b) A scrap metal processor who acquires a vehicle as provided in subdivision (a) shall submit either of the following to the department before reducing the vehicle to its component materials: (1) Documentation that the vehicle was acquired pursuant to Section 22669 and disposed of in compliance with Article 2 (commencing with Section 22850) of Chapter 10 of Division 11. (2) The properly endorsed certificate of title transferring title to the scrap iron processor and any available license plates or registration documents. (c) A vehicle delivered to a scrap metal processor under subdivision (a) shall not be reconstructed or made operable, unless it is a vehicle which qualifies for either horseless carriage license plates or historical vehicle license plates pursuant to Section 5004, in which case the vehicle may be reconstructed or made operable. SEC. 3. Section 40000.5 of the Vehicle Code is amended to read: 40000.5. A violation of any of the following provisions shall constitute a misdemeanor, and not an infraction: Section 20, relating to false statements. Section 27, relating to impersonating a member of the California Highway Patrol. Section 31, relating to giving false information. Paragraph (3) of subdivision (a), or subdivision (b), or both, of Section 221, relating to proper evidence of clearance for dismantling. SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.