BILL ANALYSIS                                                                                                                                                                                                    






           SENATE TRANSPORTATION & HOUSING COMMITTEE       BILL NO: AB 873
          SENATOR ALAN LOWENTHAL, CHAIRMAN               AUTHOR:  Price
                                                         VERSION: 5/4/09
          Analysis by: Carrie Cornwell                   FISCAL:  yes
          Hearing date: June 16, 2009






          SUBJECT:

          Duplicate or substitute license plates and certificates of title

          DESCRIPTION:

          This bill allows a registration service to apply for a duplicate  
          or substitute certificate of title or license plate in cases  
          where the address of the applicant for the replacement title or  
          plate does not match the address in state records.

          ANALYSIS:

          Existing law defines a "registration service" as a person  
          engaged in the business of soliciting or receiving and  
          submitting to the Department of Motor Vehicles (DMV) an  
          application for the registration, renewal of registration, or  
          transfer of registration or ownership of a vehicle. To operate  
          in this state, a registration service must secure a license from  
          DMV by filing an application demonstrating to DMV's satisfaction  
          the applicant's character, honesty, integrity, and reputation  
          and by posting a surety bond of $25,000. As an example, the  
          automobile clubs, such as AAA, provide registration services for  
          their members.

          Existing law prohibits the DMV from issuing a duplicate or  
          substitute vehicle license plate or certificate of title if the  
          registered owner's address in DMV's records is different from  
          the address on the application for the new title or plate. When  
          those addresses do not match, DMV can issue a duplicate  
          certificate of title or a new license plate only if the  
          registered owner applies in person and presents proof of  
          ownership of the vehicle that is acceptable to DMV plus a  
          driver's license with a photograph of the registered owner. 





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          Existing law exempts from the above requirements an application  
          for a duplicate or substitute license plate or certificate of  
          title if it comes from or through a vehicle dealer, a vehicle  
          dismantler, an insurer, a salvage pool, or a legal owner who is  
          not the registered owner (typically a bank).

           This bill  also exempts, at DMV's discretion, an individual,  
          business entity, court-appointed bankruptcy referee, dealer,  
          dismantler, insurer, salvage pool, or legal owner who is  
          represented by a licensed registration service from the above  
          requirements when filing an application for a duplicate or  
          substitute certificate of title or license plate where the  
          registered owner's address on the application does not match the  
          address in DMV's records. 

          The bill requires that the registration service accept an  
          application from an individual only with a notarized signature.  
          The bill also requires that the registration service keep full  
          and complete records of its transactions with these individuals  
          and make them available for inspection by law enforcement.
          
          COMMENTS:
          
           1.Purpose  . This bill restores statutory provisions that AB 2606  
            (Plescia), Chapter 430, Statutes of 2004, enacted, but which  
            expired on January 1, 2008. According to the sponsor, the  
            Coalition of Vehicle Registration Services, previous law  
            proved successful over the three-year period in which it was  
            in place. DMV concurs that there were no problems during that  
            three-year period with having registration services submit  
            applications to replace lost, stolen, or destroyed license  
            plates and certificates of title where the registered owner's  
            address on the application and in DMV's records did not match.

           2.Technical amendment  . On page 4, delete line 4, and insert "(A)  
            A person"
          
          Assembly Votes:
               Floor:    78 - 0
               Appr: 16 - 0
               Trans:    14 - 0

          POSITIONS:  (Communicated to the Committee before noon on  
          Wednesday, 
                     June 10, 2009)





          AB 873 (PRICE)                                           Page 3

                                                                       


               SUPPORT:  Coalition of Vehicle Registration Services  
          (sponsor)
          
               OPPOSED:  None received.