BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 636
                                                                  Page  1

          Date of Hearing:   May 6, 2009

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Kevin De Leon, Chair

                    AB 636 (Jones) - As Amended:  April 13, 2009 

          Policy Committee:                               
          UtilitiesVote:15-0
                        Transportation                        13-0  
          (Consent)

          Urgency:     No                   State Mandated Local Program:  
          Yes    Reimbursable:              No

           SUMMARY  

          This bill places new requirements on the operations of  
          charter-party carriers.  Specifically, this bill:

          1)Permanently revokes a person's ability to attain a license to  
            drive a bus of any kind, if that person drives a bus for a  
            charter-party carrier without the proper driver's license,  
            endorsement, or certificate.  

          2)Requires the Public Utilities Commission (PUC) to permanently  
            revoke the authority of a charter-party carrier that operates  
            a bus without having been issued a proper permit from the PUC  
            or who knowingly employs a bus driver who has not been issued  
            the required license, endorsement, or certificate.  

          3)Requires, when a California Highway Patrol (CHP) officer stops  
            or inspects a charter-party carrier that is operating the bus  
            without having been issued the proper permit from the PUC or  
            is being driven by a driver to whom an appropriate license,  
            endorsement, or certificate has not been issued, that the bus  
            be impounded for 30 days.  

          4)Provides a charter-party carrier subject to (3) a right to an  
            expedited hearing by the PUC.  

           FISCAL EFFECT  

          Minor absorbable costs to the PUC for additional enforcement.









                                                                  AB 636
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           COMMENTS  

           1)Background  .  Charter-party carriers furnish  
            limousines-for-hire or passenger charter transportation  
            service in motor vehicles.  Charter-party carriers do not  
            include vehicles on a set schedule or between fixed termini,  
            taxi cabs, car rentals, or a city bus.  Typical charter party  
            carriers provide different sized vehicles to take a scheduled  
            group of people to another location and/or back, such as on  
            tour buses.  The group would usually reserve the vehicle as a  
            group, and would not reserve a "seat" individually.  Current  
            law requires charter-party carriers to possess a certificate  
            to operate from the PUC.

           2)Purpose  .  According to the author, the purpose of this bill is  
            to implement stronger deterrents for charter buses that pose  
            great harm to passengers.  The author cites two recent  
            incidents involving charter-party carriers who were in  
            violation of the law.  

            On October 5, 2008, a bus crashed on its way to a casino in  
            Colusa County.  The crash killed 10 people and injured nearly  
            40 others.  The investigation report revealed that the bus  
            driver did not have the proper "P" endorsement from DMV, and  
            the bus company was currently filed with DMV as  
            "non-operational."  

            On October 31, 2008, a charter bus carrying the Alameda High  
            School varsity football team crashed in Pinole.  There were no  
            major injuries, but the CHP determined later that the driver  
            did not hold the proper license and the bus itself had not  
            been registered with CHP since 2005.  

            The author notes six other incidences where buses and/or  
            operators did not possess the appropriate licenses,  
            endorsements, or certificates.  Some had mechanical  
            violations.  Based on the suspected number of carriers  
            operating without a license and the number of accidents and  
            incidents that result from these violations, the author  
            believes current penalties clearly are not hindering these  
            carriers.  This bill is sponsored by the California Bus  
            Association.

           3)Related Legislation  .  AB 951 (Lieu), also on today's agenda,  
            increases the range of fines the PUC can impose on  








                                                                  AB 636
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            charter-party carriers who knowingly violate state laws and  
            PUC regulations.      

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081