BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 286
                                                                  Page  1

          Date of Hearing:  April 1, 2009

                       ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT
                             Anna Marie Caballero, Chair
                  AB 286 (Salas) - As Introduced:  February 13, 2009
           
          SUBJECT  :  Vehicles: additional registration fees.

           SUMMARY  :  Extends until 2018 the existing provisions that allow  
          counties to impose a $1 vehicle registration fee, and adds  
          additional reporting requirements for those counties that have  
          adopted a resolution to impose the fee.  Specifically,  this  
          bill  :  

          1)Extends, until January 1, 2018, existing provisions that allow  
            counties to impose a $1 annual vehicle registration fee to be  
            used to enhance the capacity of local police and prosecutors  
            to deter, investigate, and prosecute vehicle theft crimes.

          2)Requires the year-end reports that counties compile on the  
            usage of the fees to also include details of the expenditures  
            made by the county, including salaries and expenses, purchase  
            of equipment and supplies, and any other expenditures made  
            listed by type with an explanatory comment.

           EXISTING LAW  :  

           1)Allows counties, until January 1, 2010, to impose a $1 annual  
            vehicle registration fee in order to fund programs that  
            enhance the capacity of local police and prosecutors to deter,  
            investigate, and prosecute vehicle theft crimes.

          2)Requires a county board of supervisors to adopt a resolution  
            in order to impose the $1 fee.

          3)Requires a county that has adopted a resolution to impose the  
            $1 fee to provide a quarterly expenditure and activity report  
            to the designated statewide Vehicle Theft Investigation and  
            Apprehension Coordinator in the Department of the California  
            Highway Patrol (CHP).

          4)Requires a county that has adopted a resolution to impose the  
            $1 fee to issue a fiscal year-end report to the Controller by  
            August 31 of each year summarizing:









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             a)   The total revenues received by the county from the fee;

             b)   The total expenditures made by the county;

             c)   A summary of vehicle theft abatement activities and  
               other vehicle theft programs funded by the fee;

             d)   The total number of stolen vehicles recovered and the  
               value of those vehicles;

             e)   A comparison of stolen vehicles from the last fiscal  
               year to the year preceding the last fiscal year; and,

             f)   Any additional, unexpended fee revenues.
          5)Requires the Controller to suspend the fee for one year if the  
            county fails to submit the fiscal year-end report by November  
            30 of each year.

          6)Authorizes the Controller, in consultation with the CHP, to  
            suspend the fee for one year if it is determined that the fee  
            revenues are not being utilized appropriately.

           FISCAL EFFECT  :  Unknown

           COMMENTS  :   

          1)This bill extends the sunset date on the vehicle theft  
            prevention fee from January 1, 2010 to January 1, 2018, and  
            makes minor changes to an associated year-end report that  
            counties submit to the State Controller.

          2)Existing law establishes a basic vehicle registration fee of  
            $31, plus a $10 surcharge for additional personnel for the  
            California Highway Patrol as well as several other  
            county-based surcharges for various other programs.  Under SB  
            2139 (Davis), Chapter 1670, Statutes of 1990, counties are  
            authorized to impose a $1 fee to fund a program to deter,  
            investigate and prosecute vehicle theft.  Subsequent  
            legislation has extended the sunset date three times, with the  
            most recent extension signed into law in 2004 [AB 1663  
            (Dutra), Chapter 514].

          3)The author notes that since 1990, over 44 counties have  
            established vehicle theft suppression programs to combat the  
            high incidence of auto theft in their regions.  Some of the  








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            larger regions, including Los Angeles and San Diego, have  
            established regional multi-jurisdictional task forces to  
            coordinate law enforcement efforts against auto thieves.

          4)In 2007, the Los Angeles County Sheriff sponsored AB 878  
            (Davis), which Governor Schwarzenegger vetoed.  AB 878 would  
            have allowed any county to increase the fee within its  
            jurisdiction from $1 to $2 to fund vehicle theft prevention,  
            investigation, and prosecution programs.  Additionally, AB 878  
            would have extended the sunset on this program until 2013.   
            Governor Schwarzenegger vetoed AB 878 noting that "on numerous  
            previous bills attempting to raise registration fees, I have  
            held that fees such as these should be approved by a vote of  
            the people.  This measure does not include such a provision."   
            AB 286 does not propose to increase the fee like AB 878, but  
            instead would extend the sunset date by eight years, from 2010  
            to 2018.

          5)In 2008, AB 860 (Salas), a bill substantially similar to AB  
            286, was vetoed by the Governor.  The veto message said that  
            "the historic delay in passing the 2008-2009 State Budget has  
            forced me to prioritize the bills sent to my desk at the end  
            of the year's legislative session.  Given the delay, I am only  
            signing bills that are the highest priority for California.   
            This bill does not meet that standard and I cannot sign it at  
            this time."  

            Committee staff notes that the authority for counties to  
            impose this fee will expire January 1, 2010, and if the  
            Legislature desires to keep the authority and funding  
            mechanism in place, legislation to extend the sunset must be  
            signed into law in 2009.

          6)This bill is double-referred to the Committee on  
            Transportation.

           
          REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          Los Angeles County District Attorney's Office [CO-SPONSOR]
          Los Angeles County Sheriff's Department [CO-SPONSOR]
          San Diego County District Attorney's Office [CO-SPONSOR]
          American Federation of State, County and Municipal Employees








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          Association for Los Angeles Deputy Sheriffs
          CA District Attorneys Association
          CA State Association of Counties
          CA State Sheriffs' Association
          City Police Departments of:  Azusa, La Verne, and Monrovia
          County Sheriff's Office of:  Alameda, Amador, Butte, Contra  
          Costa, Del Norte, Sacramento, 
               San Diego, Shasta, Tuolumne, Ventura, Yolo

           Opposition 
           
          Cal-Tax
          Howard Jarvis Taxpayers Association

           
          Analysis Prepared by  :    Debbie Michel / L. GOV. / (916)  
          319-3958