BILL ANALYSIS                                                                                                                                                                                                    

                                                                  AB 286
                                                                  Page  1


          ASSEMBLY THIRD READING
          AB 286 (Salas and Jones)
          As Introduced  February 13, 2009
          Majority vote 

           LOCAL GOVERNMENT    5-2         TRANSPORTATION      8-5         
           
           ----------------------------------------------------------------- 
          |Ayes:|Caballero, Arambula,      |Ayes:|Eng, Blumenfield,         |
          |     |Davis, Krekorian, Skinner |     |Buchanan, Furutani,       |
          |     |                          |     |Bonnie Lowenthal, John A. |
          |     |                          |     |Perez, Solorio, Torlakson |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Knight, Duvall            |Nays:|Jeffries, Conway,         |
          |     |                          |     |Garrick, Miller, Niello   |
           ----------------------------------------------------------------- 

           APPROPRIATIONS      12-5                                        
           
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          |Ayes:|De Leon, Ammiano, Charles  |   |                          |
          |     |Calderon, Davis, Fuentes,  |   |                          |
          |     |Hall, John A. Perez,       |   |                          |
          |     |Price, Skinner, Solorio,   |   |                          |
          |     |Torlakson, Krekorian       |   |                          |
          |     |                           |   |                          |
          |-----+---------------------------+---+--------------------------|
          |Nays:|Nielsen, Duvall, Harkey,   |   |                          |
          |     |Miller,                    |   |                          |
          |     |Audra Strickland           |   |                          |
          |     |                           |   |                          |
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           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  






                                                                  AB 286
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            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:

             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.






                                                                  AB 286
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           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee, the continuation of the program would maintain the  
          registration fee service charge at current levels, resulting in  
          about $30 million revenues per year for local vehicle theft  
          prevention programs.

           COMMENTS  :  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.

          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].

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

          In 2008, AB 860 (Salas), a bill substantially similar to AB 286,  
          was vetoed by the Governor due to the Budget delay.  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.
           
          Analysis Prepared by  :    Debbie Michel / L. GOV. / (916)  
          319-3958                                          FN: 0001138