BILL ANALYSIS
AB 823
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 823 (Hill)
As Amended September 1, 2009
Majority vote
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|ASSEMBLY: |56-19|(June 3, 2009) |SENATE: |23-10|(September 2, |
| | | | | |2009) |
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Original Committee Reference: TRANS .
SUMMARY : Revises the income eligibility level for vehicle
owners requesting assistance from the California Department of
Consumer Affairs, Bureau of Automotive Repair (BAR).
The Senate amendments :
1)Delete this bill's provisions related to the BAR vehicle
scrappage program.
2)Increase the maximum income eligibility level from 200% to
225% of the federal poverty level for low-income motor vehicle
owners who may request vehicle repair consumer funding
assistance.
EXISTING LAW :
1)Establishes the smog check program, administered by BAR and
the California Air Resources Board (ARB). Requires,
generally, vehicles that are registered in non-attainment
areas for ozone or carbon monoxide pollutant emissions to
undergo biennial smog checks.
2)Authorizes BAR to enforce and administer the smog check
program to ensure the reduction of gaseous emissions of
hydrocarbons, carbon monoxide, and oxides of nitrogen.
Directs that a certain percentage of vehicles deemed to be
"high emitters" (currently about 42% of vehicles subject to
the program) to specified "test-only" stations. Test-only
stations are those that test, but do not repair, vehicles.
3)Requires the periodic evaluation of the smog check program by
BAR and ARB. Establishes the Inspection and Maintenance
Review Committee (IMRC) that provides periodic reviews of the
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smog check program to the Legislature.
4)Authorizes a state consumer assistance program offering
eligible motorists to receive up to $450 to fix their vehicle
or $1,500 to retire it. Authorizes BAR to increase its
contribution for motor vehicle repairs if it determines that
the expenditure is cost effective (accordingly, BAR has
increased the level to $500).
5)Establishes the maximum income level for eligible motorists to
qualify for the consumer assistance program, for vehicle
repairs, at 200% of the federal poverty level as published
quarterly in the "Federal Register." Authorizes BAR, at its
discretion, to increase the maximum income level up to 225%.
However, authorizes a vehicle owner, regardless of income
level, to receive financial assistance for repair of their
vehicle if it failed smog check inspection at a test-only
facility. Establishes no income level for participation in
the voluntary vehicle retirement or "scrappage" program.
6)Allows the use of specific air district motor vehicle funds to
be used for light-duty vehicle programs such as the voluntary
accelerated vehicle retirement (VAHR) program, that are
optional for local air districts that choose to administer
them. The program is also known as the car scrappage or old
vehicle buy back program that provides monetary or other
incentives to vehicle owners to voluntarily retire their
older, more polluting vehicle that, unlike the BAR program,
passes the smog check program.
7)Establishes on January 2010, pursuant to AB 118 (Nunez),
Chapter 750, Statutes of 2007, an enhanced fleet modernization
program for the retirement of high polluting vehicles that
pass smog check to be administered by BAR pursuant to
guidelines adopted by the ARB.
AS PASSED BY THE ASSEMBLY , this bill:
1)Increased the amount (from $1,500 to $2,000) that BAR is
required to pay to an owner of a motor vehicle that has failed
a motor vehicle inspection and maintenance program (smog
check) test and chooses to retire the vehicle from operation
at a BAR-authorized dismantler.
2)Authorized BAR to issue transit vouchers in lieu of the $2,000
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payment to owners of vehicles who choose to retire their
vehicles.
FISCAL EFFECT : According to the Assembly Appropriations
Committee, annual savings, starting in 2010-11, of approximately
$4 million resulting from elimination of financial assistance
repair of non-low income vehicle owners (HPRRA.).
COMMENTS : According to the author of this bill, "BAR's vehicle
repair program currently allows millionaires to receive
financial assistance for their high polluting vehicle. The
millionaire has to pay $100 towards the repair and BAR will pay
up to $400. AB 823 closes this loophole. This bill would limit
participation in the repair assistance incentive program to
Californian's whose income level is 225% of the federal poverty
level. Only those making less than $52,000 would be eligible to
receive the $500 state assistance funding and would not have to
pay the $100 deductible."
This bill affects a similar provision contained within AB 859
(Jones of 2009) pertaining to the income level for consumers.
That bill was held in the Assembly Appropriations Committee.
Analysis Prepared by : Ed Imai / TRANS. / (916) 319-2093
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