BILL ANALYSIS
AB 99
Page 1
Date of Hearing: March 31, 2009
ASSEMBLY COMMITTEE ON BUSINESS AND PROFESSIONS
Mary Hayashi, Chair
AB 99 (De Le?n) - As Introduced: January 7, 2009
SUBJECT : Secondhand dealers and coin dealers.
SUMMARY : Adds a Matricula Consular (Matricula) to the specified
list of documents that a secondhand dealer or coin dealer may
use to verify the identification of an intended seller or
pledger, and provides that a signature on documents used to
verify identification is only required 'where applicable.'
EXISTING LAW :
1)Requires secondhand dealers and coin dealers to report
acquisitions of tangible personal property on a daily basis to
local law enforcement authorities, as specified.
2)Requires an acquisition report to include the identification
of the intended seller or pledger of the property and requires
the dealer to verify that identification.
3)Provides that an identification verification is valid if the
person taking the information reasonably relies on a specified
document that is currently valid or has been issued within
five years and contains a photograph or description, or both,
of the person named on it, is signed by that person, and bears
a serial or other identifying number.
FISCAL EFFECT : Unknown. This bill is keyed non-fiscal.
COMMENTS :
Purpose of this bill . According to the author's office,
"Matricula Consular cards are accepted at many financial
institutions as acceptable documentation that can be used to
open a checking or banking account, and used in a variety of
other banking transactions. AB 99 seeks to expand the
acceptable documentation for second hand / pawn transactions, to
include a Matricula Consular. Current law is very specific as to
what documents may be used as identification in a pawn
transaction and AB 99 would include a Matricula Consular, in
addition to another item of identification bearing an address as
AB 99
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an acceptable identifying document in a pawn transaction."
Background . A Matricula is an identificaton card issued by the
Government of Mexico through its consulate offices to Mexican
nationals residing outside of Mexico regardless of their
emigration status.
In November 2004, Congress passed the Transportation-Treasury
Appropriations for FY2005 (H.R. 4818/P.L. 108-447) which
restored funding for Treasury Department implementation of
regulations permitting financial institutions to accept consular
ID cards as identity documents for banking purposes.
Four of the largest banks in the United States, including
Citibank, Bank of America, US Bancorp, and Wells Fargo, accept
the Matricula as a form of identification. The Internal Revenue
Service also accepts Matriculas with a second form of
identification for issuing individual tax identification
numbers. The Matricula Consular is accepted as valid
identification in 377 cities, 163 counties, and 33 states, as
well as 178 financial institutions and 1,180 police departments
in the United States. Additionally, 12 states recognize the
card as one of the acceptable proofs of identity to obtain a
driver's license. It is also accepted by numerous telephone and
utility companies, hospitals, and small businesses, among other
establishments.
According to the author's office, "Currently, there is no
'standard form' for the new identification forms that have been
issued since September 11, 2001. The federal government and
many state governments have eliminated signature lines on many
forms of government identity cards, including passports, as they
move towards "bio-chip" forms of identification security. For
example, the US Department of Defense has begun issuing 'Common
Access Cards' that include an imbedded microchip containing
biometric information in lieu of the active military
identification cards. In this instance a signature has become
unnecessary. By adding the phrase 'where applicable' referring
to the signature, if the acceptable form of identification no
longer requires it, the signature does not have to be obtained."
Related Legislation . AB 158 (Mendoza) also removes the
signature requirement for documents that secondhand dealers and
coin dealers may use to verify identification, and instead
provides that a signature is only required for those documents
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'where applicable.'
AB 442 (Arambula) adds a Matricula to the list of documents upon
which a Notary Public may rely for purposes of identification in
taking acknowledgment of an instrument regarding the transfer of
title to property.
Prior Legislation . AB 1870 (De Le?n) of 2008 was an identical
bill that the Governor vetoed. The Governor vetoed a
substantial number of bills that year with the same message
that, due to the delay in passing the 2008-2009 State Budget, he
would only sign bills that were "the highest priority for
California." AB 1870 was vetoed for this reason.
Support . The Collateral Loan and Secondhand Dealers Association
writes, "All other lenders in California are permitted to use
the Matricula. It should be noted that police and sheriffs
throughout the state accept the Matricula. Only pawnbrokers, who
must rely on the Legislature to make any changes to their
governance, are denied permission to use the Matricula."
REGISTERED SUPPORT / OPPOSITION :
Support
Collateral Loan and Secondhand Dealers Association (CLDSA)
(sponsor)
San Ysidro Business Association
San Ysidro Chamber of Commerce
Numerous individuals
Opposition
None on file.
Analysis Prepared by : Whitney Clark / B. & P. / (916)
319-3301