BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 873
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          CONCURRENCE IN SENATE AMENDMENTS
          AB 873 (Price)
          As Amended  June 18, 2009
          Majority vote 
           
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          |ASSEMBLY:  |78-0 |(May 11, 2009)  |SENATE: |36-0 |(July 16,      |
          |           |     |                |        |     |2009)          |
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           Original Committee Reference:   TRANS  .

           SUMMARY  :  Reenacts provisions that were allowed to sunset that  
          allow licensed registration services to apply for duplicate  
          certificates of ownership or duplicate license plates.  
           
          The Senate amendments  make technical, non-substantive changes.   

          EXISTING LAW  :   
           
          1)Prohibits the Department of Motor Vehicles (DMV) from issuing  
            a copy, duplication, or substitution of a certificate of  
            ownership or license plate for a vehicle if, after a search of  
            the records of DMV, the registered owner's address, as  
            submitted with the application for that document, is different  
            from that which appears in the DMV records, unless the  
            registered owner applies for that document in person and  
            presents certain verifying documents.  

          2)Provides that this prohibition does not apply if the  
            registered owner's name, address, and driver's license or  
            identification card number submitted on the application match  
            the name, address, and driver's license or identification card  
            number contained in DMV records, or if an application for a  
            duplicate or substitute certificate of title or license plate  
            is submitted by or through a legal owner, a dealer, a  
            dismantler, an insurer, and agent of the insurer, or a salvage  
            pool.  

          3)Defines a "licensed registration service" as a person engaged  
            in the business of soliciting or receiving any application for  
            the registration, renewal, or transfer of registration or  
            ownership of any vehicle of a type subject to registration, or  
            of transmitting or presenting any of those documents DMV when  
            any compensation is solicited or received for the service.  








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          4)Requires DMV to process requests for duplicate certificates of  
            ownership within 72 hours, if the applicant pays an additional  
            $15 fee, in addition to any other fees that may exist.  

          5)Requires that a $25,000 bond be filed for the issuance or  
            renewal of a vehicle registration service license.  

           AS PASSED BY THE ASSEMBLY  , this bill was substantially similar  
          to the version passed by the Senate.  

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee analysis, DMV indicates that, since this bill  
          reinstates a process that DMV had previously had in place, any  
          costs to implement the bill are minor and absorbable.  DMV may  
          realize ongoing savings by allowing registration services to  
          process transactions.  
           COMMENTS  :  The provisions in this bill were contained in AB 2606  
          (Plescia), Chapter 430, Statutes of 2004, which included a  
          sunset date of January 1, 2008.  Since provisions were allowed  
          to expire and not renewed, this bill seeks to reenact previous  
          law prior to 2008.  

          According to the Coalition of Vehicle Registration Services, the  
          sponsor of this bill, previous law proved successful over the  
          three-year period in which it was in place.  

          Prior to the establishment of law that granted licensed  
          registration services the same privilege to submit duplicate  
          title or replacement license plate transactions, there was  
          hesitancy on the part of DMV to allow such entities to be given  
          that access.  In a previous analysis of AB 2606, the DMV stated  
          that "as an industry, registration services have not  
          demonstrated that they should be allowed access to procedures  
          not available to the general public."  The DMV pointed out that  
          it had revoked the licenses of 28 registration services for  
          serious offenses and had suspended or placed on probation the  
          licenses of another 21 services over a three year period.  

          Eventually, provisions were included in the previous bill  
          (before repeal) that required an individual who is not a  
          court-appointed bankruptcy referee or recognized business entity  
          utilizing a registration service, to submit his or her  
          application with a notarized signature.  In addition,  
          registration services were required to maintain all paperwork  








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          and making it available to law enforcement for purposes of a  
          stolen vehicle investigation.  

          The sponsor adds that many of the concerns that were raised  
          during deliberation of the previous bill were addressed through  
          safeguards.  DMV reports that many of the fraud concerns that  
          were previously raised did not materialize over the three year  
          period in which previous law was in place.  


           Analysis Prepared by  :   Alejandro Esparza / TRANS. / (916)  
          319-2093 


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