BILL ANALYSIS                                                                                                                                                                                                    






           SENATE TRANSPORTATION & HOUSING COMMITTEE      BILL NO: AB 628
          SENATOR ALAN LOWENTHAL, CHAIRMAN               AUTHOR:  block
                                                         VERSION: 4/2/09
          Analysis by:  Jennifer Gress                   FISCAL:  yes
          Hearing date:  July 7, 2009








          SUBJECT:

          Toll evasion:  pay-by-plate toll processing and payment

          DESCRIPTION:

          This bill defines "pay-by-plate toll processing and payment" and  
          establishes what constitutes evidence of a toll evasion  
          violation where a toll operator permits this method of toll  
          payment.

          ANALYSIS:

          Existing law makes every vehicle using a toll bridge or toll  
          highway liable for any tolls or other charges that may be  
          prescribed and prohibits a person from evading or attempting to  
          evade the payment of those tolls or charges.  

          If a vehicle is found, by automated devices (including cameras),  
          by visual observation, or otherwise, to have evaded a toll, a  
          toll operator shall issue to the registered owner of the vehicle  
          a notice of toll evasion violation within 21 days of the  
          violation.  The notice must describe the violation, the  
          approximate time and location of the violation, the vehicle  
          license plate number, a clear and concise explanation of the  
          procedures to contest the violation, and if practicable, the  
          registration expiration date and the make of the vehicle.  If  
          the toll operator is unable to obtain accurate information  
          concerning the identity and address of the registered owner  
          within 21 days of the violation, it shall have an additional 45  
          calendar days to issue the notice.  

          Toll evasion penalties include any late payment penalty,  




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          administrative fee, fine, assessment, and costs of collection.   
          Existing law limits toll evasion violation penalties to $100 for  
          the first offense, $250 for a second within one year, and $500  
          for each additional violation within one year.

          Existing law establishes a process for contesting a notice of  
          toll evasion violation.  Within 21 days from the issuance of the  
          notice or within 15 days from the mailing of the notice,  
          whichever is later, a person may contest the notice in which  
          case the toll operator is required to conduct an administrative  
          investigation.  If the person is not satisfied with the results  
          of the investigation, he or she may, within 15 days of the  
          mailing of the results and after paying the penalty for toll  
          evasion, request an administrative hearing.  If the person is  
          not satisfied with the results, he or she may, within 20 days of  
          the mailing of the results, appeal to the court.

          For a toll bridge or toll highway where toll payment may be made  
          with cash or with a transponder or other electronic toll payment  
          device, using the toll facility without either lawful money of  
          the United States in the person's immediate possession in an  
          amount sufficient to pay the tolls or charges or a transponder  
          or other electronic toll payment device associated with a valid  
          Automatic Vehicle Identification account with a balance  
          sufficient to pay those tolls is considered prima facie evidence  
          of a toll evasion violation.  For a toll bridge or toll highway  
          where a transponder or other electronic device is the only  
          method of toll payment, failing to have an account with a  
          balance sufficient to pay the tolls due is considered prima  
          facie evidence of toll evasion.  Prima facie evidence indicates  
          that the burden is on the alleged violator to prove that either  
          the violation did not occur or that the person was not  
          responsible for it. 

           This bill  :

           Defines "pay-by-plate toll processing and payment" as an  
            issuing agency's use of on-road vehicle license plate  
            identification recognition technology to accept payment of  
            tolls within a specified period of time following the use of  
            the toll facility by persons entering the toll facility  
            without the payment of tolls or other charges.

           Specifies that for toll facilities where the issuing agency  
            permits pay-by-plate toll processing and payment of tolls and  
            other charges, it is prima facie evidence of a toll evasion  




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            violation for a person to enter the toll facility without  
            either lawful money of the United States, a transponder or  
            other electronic toll payment device with a valid Automatic  
            Vehicle Identification account with a balance sufficient to  
            pay those tolls, or valid California vehicle license plates  
            properly affixed to both the front and rear of the vehicle.

           Specifies that for toll facilities where the issuing agency  
            permits pay-by-plate toll processing and payment of tolls and  
            where electronic toll collection is the only other method of  
            paying tolls or other charges, it is prima facie evidence of a  
            toll evasion violation for a person to enter the toll facility  
            without either a transponder or other electronic toll payment  
            device with a valid Automatic Vehicle Identification account  
            with a balance sufficient to pay those tolls or valid  
            California license plates properly affixed to both the front  
            and rear of the vehicle.

           Provides that the bill does not require a toll operator to  
            implement pay-by-plate toll processing and payment. 

           Allows, for agencies that permit pay-by-plate toll payment and  
            processing, the person reporting the toll evasion violation to  
            include a statement, under penalty of perjury, that the tolls  
            or other charges and any applicable fee were not paid in  
            accordance with the issuing agency's policies for pay-by-plate  
            and specifies that that documentation shall be considered  
            prima facie evidence of the violation.
          
          COMMENTS:

           1.Purpose  .  This bill permits toll roads operating in  
            California, which already use vehicle identification cameras  
            for recording toll violators, to begin using the same  
            technology for the payment of tolls.  This method is in  
            addition to cash, a transponder (e.g., FasTrak), or other  
            electronic toll payment devices that are authorized under  
            current law.
          
            The author asserts that motorists may accidentally enter a  
            toll area with no ability to turn around or they may have  
            mistakenly believed they had sufficient cash or a transponder  
            when entering a toll payment area.  Furthermore, individuals  
            may wish to utilize a toll road on an intermittent basis, but  
            do not possess a transponder or are averse to using the road  
            for lack of cash and threat of penalty.  Under this bill, the  




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            same technology currently used to capture images of and  
            process license plate numbers could be used to record license  
            plate numbers for purposes of toll payment, thereby allowing  
            drivers an additional option when they want to use a toll road  
            and helping to reduce congestion and related impacts on  
            overcrowded freeways.
          
           2.How pay-by-plate would work  .  Each toll operator would be  
            responsible for developing its own policy regarding the use of  
            a pay-by-plate toll payment and processing system, but in  
            general, a driver who would like to pay a toll but is unable  
            to, either because they did not realize they had entered a  
            tolled area or do not have a transponder or sufficient cash,  
            will, within a specified period of time (e.g., 72 hours), be  
            able to call or access a website to pay the toll (plus an  
            administrative fee) via credit card.  The toll operator would  
            be able to match the license plate number provided by the  
            driver to the license plate photographed at the time the  
            vehicle failed to pay the required toll. Depending on the toll  
            operator's policy, a person could establish a pre-paid account  
            that is debited each time he or she uses the road.  Drivers  
            could be informed of the pay-by-plate payment method in a  
            variety of ways, including signs with the telephone number or  
            website located within the toll facility.  

           3.Two types of enforcement  .  Toll evasion can be enforced in two  
            ways, through criminal penalties or civil penalties.  In the  
            first way, a CHP officer observes a motorist failing to pay a  
            toll and issues a citation for a toll evasion violation.  The  
            base fine for a violation is $35 with a total bail of $146.   
            Money derived from the base fine is distributed either to the  
            city and/or the county, depending on where the violation  
            occurred, and money derived from the penalty assessments is  
            distributed to several state and county funds for a variety of  
            purposes.  Between 2004 and 2008, CHP issued a total of 14,945  
            citations for toll evasion.  

            The second way to enforce toll evasion, through civil  
            penalties, is more common and typically involves a toll  
            operator capturing by photograph the license plate number of a  
            vehicle that fails to pay a toll.  The toll operator then  
            matches the license plate number to a record in the Department  
            of Motor Vehicle's database and issues a notice toll evasion  
            violation to the registered owner of the vehicle.  These  
            notices result in civil penalties ranging between $25 to $100,  
            plus the cost of the toll.  The toll operator controls these  




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            funds. In the Bay Area, the Bay Area Toll Authority issues an  
            average of approximately 200,000 notices of toll evasion  
            violation per month, which represents about 2 percent of the  
            10 million bridge crossings that occur in the same time  
            period. 

            How CHP would enforce toll evasion violations in a  
            jurisdiction with pay-by-plate is unclear.  An officer, who  
            may be watching whether or not a FasTrak system produced a  
            green light as a car proceeded through the toll plaza or  
            payment area, would not have any indication whether the driver  
            was evading payment of the toll or intended to pay by plate.   
            Would CHP issue tickets to drivers even if they had intended  
            to pay by plate or would CHP simply not enforce toll evasion  
            violations in jurisdictions where pay-by-plate was permitted?   
             

           4.Committee concerns and author's amendments  .  This bill was  
            presented in this committee on June 16th.  At that time,  
            committee members raised the following four questions and  
            concerns:

             a.   What privacy issues are raised by pay-by-plate toll  
               collection and processing?  How can these privacy issues be  
               addressed?

             b.   Toll operators seeking to authorize pay-by-plate toll  
               collection and processing should be required to undertake a  
               public information program that addresses, in part, the  
               cost of the toll, any administrative fees, and the length  
               of time a motorist has after using the facility to pay by  
               plate.

             c.   There should be statewide standards regarding the use of  
               pay-by-plate.  Such standards should address, at a minimum,  
               the length of time for payment and the process by which  
               administrative fees will be assessed and communicated to  
               the motoring public.

             d.   By authorizing pay-by-plate toll payment and processing,  
               will toll operators opt to stop allowing for payment by  
               cash?

            Since that time, the author and sponsor have been working to  
            address these issues in cooperation with other toll operators  
            in the state.  Toll operators generally prefer to set their  




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            own toll policies and procedures locally and thus have been  
            resistant to establishing some of the standards and  
            requirements desired by the committee.  The author intends to  
            offer author's amendments in committee that address some, but  
            not all, of the committee's issues.  The amendments do the  
            following:

                 Require toll operators permitting pay-by-plate toll  
               payment to maintain a public information program and  
               specify the type of information that should be included in  
               the program.

                 Require toll operators permitting pay-by-plate to  
               communicate the amount of toll in the same manner that it  
               communicates other toll payment methods, which includes  
               on-road signage approved by the California Department of  
               Transportation.

                 Provide that administrative costs shall be incorporated  
               into the base toll rate for pay-by-plate and that no  
               additional costs shall be added above the posted  
               pay-by-plate toll rate.

           5.Other author's amendments  .  The author will also offer two  
            other substantive amendments.

             a.   Front and rear license plate.  The bill specifies that  
               in order for failure to pay-by-plate to constitute prima  
               facie evidence of a toll violation, the driver must have  
               both a front and rear license plate.  Some vehicles, such  
               as motorcycles and tractors (i.e., big rig trucks), are not  
               issued plates for both the front and the back of the  
               vehicle.  To remedy this, the author intends to offer  
               amendments in committee to delete the requirement that a  
               license plate be affixed to both the front and rear of the  
               vehicle and instead provide that the plate must be affixed  
               in accordance with the law for that vehicle.    

             b.   Penalty of perjury.  The bill conforms the process for  
               conducting an administrative review for violations in  
               jurisdictions that offer pay-by-plate toll payment and  
               processing with the process used in those jurisdictions  
               that offer electronic tolling or cash payment.  In this  
               process, the officer or agency representative that issued  
               the notice of toll violation provides a statement under  
               penalty of perjury indicating that the violator did in fact  




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               fail to pay his or her toll.  With this provision, the bill  
               was double-referred to this committee and the Senate Public  
               Safety Committee. Because the author and sponsor were  
               attempting to address concerns raised by committee members,  
               the bill would not have been passed out of this committee  
               and re-referred to the Public Safety Committee prior to the  
               last day that policy committees may meet and report bills  
               pursuant to Joint Rule 61(a)(10).  In other words, the bill  
               would have become a two-year bill.  To allow the bill to  
               proceed through the legislative process this year, the  
               author is amending the bill to remove the penalty of  
               perjury provision from the bill and in its place  
               establishing civil penalties to which officers or agents  
               may be subject for providing false information regarding a  
               notice of toll violation.  Of course, now the types of  
               penalties for providing false information are different in  
               jurisdictions where pay-by-plate toll payment and  
               processing is permitted than in jurisdictions where it is  
               not.

           6.Support  .  Supporters of the measure believe that toll  
            collection technology has progressed to the point where toll  
            authorities are able to charge and collect tolls using digital  
            images of license plates and that this method has been  
            implemented on toll facilities throughout the U.S. and around  
            the world as an alternative or supplement to transponder-based  
            electronic toll collection.  Supporters describe several  
            benefits to pay-by-plate.  It would expand the toll payment  
            options available to their customers, which may be  
            particularly beneficial for infrequent users, making it easier  
            for them to use a facility they may not have had access to  
            previously.  At toll plazas that allow payment by cash,  
            pay-by-plate may also reduce the number of cash-paying  
            customers, easing traffic congestion at toll plazas.  

           7.Double-referral  .  This bill is double referred to this  
            committee and the Senate Public Safety Committee.  If the bill  
            passes this committee, it will then be referred to the Public  
            Safety Committee.  

          Assembly Votes:
               Floor:    79-0
               Appr: 16-0
               Trans:    14-0

           POSITIONS:  (Communicated to the Committee before noon on  




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                     Wednesday,                              
                      July 1, 2009)

               SUPPORT:  South Bay Expressway, L.P. (sponsor)
                         Golden Gate Bridge, Highway & Transportation  
          District
                         Metropolitan Transportation Commission
                         Orange County Transportation Authority
                         Transportation Corridor Agencies
          
               OPPOSED:  None received.