BILL ANALYSIS                                                                                                                                                                                                    






           SENATE TRANSPORTATION & HOUSING COMMITTEE       BILL NO: Ab 716
          SENATOR ALAN LOWENTHAL, CHAIRMAN               AUTHOR:  Huber
                                                         VERSION: 6/1/09
          Analysis by: Carrie Cornwell                   FISCAL:  yes
          Hearing date: July 7, 2009





          SUBJECT:

          State agencies: veterans

          DESCRIPTION:

          This bill requires the Department of Motor Vehicles (DMV) and  
          the Employment Development Department (EDD) to collect specified  
          information on those who identify themselves as veterans,  
          transmit this information to the California Department of  
          Veterans Affairs (CDVA), and inform the veterans that they are  
          doing so.

          ANALYSIS:

          Existing law creates DMV to register vehicles and license  
          drivers. DMV performs various other related duties, including  
          enforcing vehicle financial responsibility laws, regulating  
          traffic schools, and regulating motor vehicle dealers, sales  
          people, transporters, and manufacturers.

           This bill :
          
          1.Makes various legislative findings, including that only 11  
            percent of veterans in California who are eligible to receive  
            compensation and pension payments from the U.S. Department of  
            Veterans Affairs do so, whereas the national average is 12  
            percent.

          2.Expresses the intent of the Legislature that CDVA enter into  
            memorandums of understanding or interagency agreements with  
            other state agencies, as selected by CDVA, to ascertain the  
            veteran status of all persons receiving services, benefits, or  
            assistance from those state agencies.

          3.Requires DMV and EDD to collect the name, address, telephone  




          AB 716 (HUBER)                                           Page 2

                                                                       


            number, and e-mail address, if available, of individuals that  
            identify themselves as veterans and transmit this information  
            to CDVA on a quarterly basis. 

          4.Requires DMV and EDD to notify the veterans that they are  
            collecting the information in order to transmit it to CDVA.
          
          COMMENTS:

           1.Purpose  . The author introduced this bill to provide contact  
            information for veterans to CDVA, so it can contact those  
            veterans to inform them of their likely eligibility for  
            federal benefits. The author notes that California veterans  
            currently receive in excess of $6 billion in federal benefits  
            each year, but if California rose to the national average of  
            12% of eligible veterans collecting their due benefits, then  
            an extra $330 million dollars in veteran benefits would flow  
            to Californians. This bill endeavors to increase the number of  
            veterans who are aware of their eligibility for federal  
            benefits and who collect those benefits.

           2.DMV's role and costs  . It is unclear from this bill how a  
            veteran would know to identify him or herself to either EDD or  
            DMV. It is conceivable that if a person were applying for a  
            veteran's license plate, then DMV would know of his or her  
            status as a veteran. Absent applying for a special plate,  
            however, a veteran would have to be prompted to tell DMV of  
            his or her status. Then DMV would have to collect and transmit  
            the information required under this bill to CDVA and inform  
            the veterans of that transmission. 

            The cost for DMV to inquire of each person applying for or  
            renewing a driver's license or registering a motor vehicle  
            would be huge. Each year, DMV renews over 4.5 million drivers'  
            licenses and registers approximately 33 million vehicles. This  
            bill seems to require DMV to ask each applicant for a new or  
            renewal driver's license or new or renewal vehicle  
            registration if the applicant is a veteran and then to review  
            the answers that come in from these over 37 million inquiries,  
            collect the contact information for those that identify as  
            veterans, and transmit it to CDVA. 

            In addition to being tremendously expensive, it is unclear how  
            this fits within the DMV's responsibility to register vehicles  
            and their drivers. Because DMV is a main point of contact with  
            state government for Californians, it is sometimes perceived  




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            as attractive entity through which to pursue policy goals  
            unrelated to administering motor vehicle laws. DMV is funded  
            from the fees drivers pay to register their vehicles and  
            maintain their driving privilege. The committee may therefore  
            wish to consider whether assigning the duty of identifying the  
            veteran status of individuals is an appropriate use of DMV  
            resources.
           
          3.Technical amendment  . On page 3, line 19, after "themselves"  
            insert "to those departments"

           4.Committee of second referral  .  The Rules Committee referred  
            this bill to the Veterans Affairs Committee and to the  
            Transportation and Housing Committee. This bill passed that  
            committee on June 23, 2009 by a 6 to 0 vote.
          
          Assembly Votes:
               Floor:    74 - 0
               Appr: 13 - 4
               Vet A: 8 - 0

          POSITIONS:  (Communicated to the Committee before noon on  
          Wednesday,
                     July 1, 2009)

               SUPPORT:  American Legion, Department of California
                         AMVETS, Department of California
                         California Association of County Veterans Service  
                    Officers
                         
               OPPOSED:  None received.