BILL ANALYSIS
SENATE TRANSPORTATION & HOUSING COMMITTEE BILL NO: AB 1908
SENATOR ALAN LOWENTHAL, CHAIRMAN AUTHOR: cook
VERSION: 3/11/10
Analysis by: Carrie Cornwell FISCAL: yes
Hearing date: June 29, 2010
SUBJECT:
Veterans plates
DESCRIPTION:
This bill allows the Department of Veterans Affairs to redesign
the veterans' organizations license plates.
ANALYSIS:
Existing law requires that in order to register a vehicle in
California, the registered owner pay a registration fee of $34,
a $22 surcharge for additional personnel for the California
Highway Patrol, various locally-imposed fees, and a vehicle
license fee (VLF) equal to 1.15% of a vehicle's value based on
purchase price depreciated according to a statutory schedule.
In addition, any registered owner of a vehicle may apply to the
Department of Motor Vehicles (DMV) for veterans' organization
license plates for his or her vehicle. Veterans plates bear a
distinctive design that includes the word "veteran" along the
bottom of the plate and includes a decal on the left side of the
plate for one of over 100 sponsoring veterans' organizations,
such as the American Legion, 101st Airborne Division, or the
National Guard. In addition to the above fees, for veterans
plates a vehicle owner must pay:
$30 for the initial issuance of the plates and decals;
$30 annually for each renewal that includes continued
display of the plates and decals;
$35 to replace the plates if they become damaged;
$10 to replace the decals if they become damaged; and
$40 to personalize the plates;
AB 1908 (COOK) Page 2
Revenues derived from these fees go, after paying DMV's costs
associated with veterans plates, to county veterans service
offices, except for revenues from the $10-fee for replacement
decals, which is divided between county veteran service officers
and the California Environmental License Plate Fund (ELP Fund).
The ELP Fund is used to support various state environmental
programs and agencies.
This bill :
1.Permits the Department of Veterans Affairs to modify the
distinctive designs of veterans plates and the associated
decals but prohibits DMV from issuing the new plates or decals
until it has issued all existing inventories of plates and
decals.
2.Requires DMV, by July 1, 2011, to provide a link on its
website through which vehicle owners can order veterans
plates.
3.Redirects from the ELP Fund to county veterans service
officers the half of revenues from the $10-charge to replace a
damaged veterans' organization decal.
COMMENTS:
1.Purpose . The author introduced this bill to increase revenues
derived from veterans' organizations license plates and to
increase funds available for county veteran service officers.
According to the author, this bill will help the California
Department of Veterans Affairs and others to better market
veterans' organization license plates, because modifying the
plate and decal designs will make the plate more appealing. In
addition, having DMV make the plate available for on-line
ordering will stimulate sales.
The resulting revenue increase would enable county veteran
services officers to expand their operations of providing
veterans and their families free claims assistance and
referral to local, state, and federal programs. The author's
office also indicates that elimination of the 50-50 split of
fee proceeds from replacement decals recognizes the fact that
the veterans license plate is intended to benefit veterans
AB 1908 (COOK) Page 3
programs, rather than environmental programs.
2.Additional revenues . Initially authorized in 1991, the ELP
Fund provides funding that is used to support a variety of
state activities that have some environmental connection.
Examples of the entities that receive this funding include the
Resources Secretary, Department of Forestry, Department of
Fish and Game, Wildlife Conservation Board, Department of
Parks and Recreation, and various conservancies.
According to the Assembly Appropriations Committee,
redirecting the half of the revenues from replacement of
veterans plate decals to veterans programs rather than the ELP
Fund will increase funding for those programs by about $6,000
per year.
3.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 22 by a 4 to 0 vote.
Assembly Votes:
Floor: 76 - 0
Appr: 17 - 0
V.A. 9 - 0
Trans: 14 - 0
POSITIONS: (Communicated to the Committee before noon on
Wednesday,
June 23, 2010)
SUPPORT: California Association of County Veterans
Services Officers (sponsor)
AMVETS
American Legion
California Mental Health Directors Association
California State Commanders Veterans Council
Vietnam Veterans of America
OPPOSED: None received.