BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 1418
                                                                  Page  1

          Date of Hearing:  June 28, 2010

                        ASSEMBLY COMMITTEE ON TRANSPORTATION
                               Bonnie Lowenthal, Chair
                    SB 1418 (Wiggins) - As Amended:  June 21, 2010

           SENATE VOTE  :  22-14
           
          SUBJECT  :  Service Authorities for Freeway Emergencies

           SUMMARY  :  Authorizes a $1 increase in vehicle registration fees  
          to increase revenue for service authorities for freeway  
          emergencies (SAFEs), to be renamed "service authorities for  
          freeways and expressways."  Specifically,  this bill  :  

          1)Renames "service authorities for freeway emergencies" as  
            "service authorities for freeways and expressways."  

          2)Authorizes the Metropolitan Transportation Commission (MTC),  
            as the service authority for any of the nine Bay Area counties  
            within its jurisdiction, to place call boxes in parking or  
            roadway areas in state and federal parks where  
            telecommunications services are not available, upon agreement  
            with park officials; provides that, for purposes of these call  
            boxes, the service authority will assume responsibility for  
            the installation and maintenance of the call boxes and the  
            state or federal park will assume responsibility for call  
            handling, in conjunction with the local public safety  
            answering point.  

          3)Authorizes service authorities to increase from $1 to $2 the  
            fees imposed on vehicles registered in their county.  

          4)Expands allowable uses of the revenue generated from the fees  
            to include also projects and programs to aid motorists  
            generally, such as traveler information systems; however,  
            provides that first call to available funding is to be used  
            for the implementation, maintenance and operation of call box  
            systems.  

          5)Provides that any amendment to an existing call box plan is  
            deemed approved unless the California Department of  
            Transportation (Caltrans) or the California Highway Patrol  
            (CHP) rejects the plan within 60 days of receipt of the  
            amendment.  








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           EXISTING LAW:  

          6)Authorizes a county to establish a SAFE, upon certain  
            conditions, and generally provides that the county  
            transportation commission may be designated the SAFE for that  
            county.  

          7)Specifically authorizes MTC to become the SAFE for any or all  
            of the nine counties within its jurisdiction.  

          8)Authorizes SAFEs to impose a $1 annual fee on vehicles  
            registered in the county.  

          9)Directs, with some exceptions, net revenues generated from the  
            $1 fee to be used for the implementation, maintenance, and  
            operation of a call box system on state freeways and  
            expressways, county expressways, unincorporated county roads,  
            and on connecting state highway routes that are within the  
            county.  

          10)Requires Caltrans and the CHP to review and approve and call  
            box plans proposed for state highways.  

          11)Provides that any revenue received in excess of the amount  
            needed to fully fund a county's call box system may be used  
            for the following:  

             a)   Changeable message signs;  

             b)   Lighting for call boxes;  

             c)   Support for traffic operations centers; and  

             d)   Freeway service patrols.  

           FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee, the Department of Motor Vehicles (DMV) collects the  
          fees and subtracts its administrative costs before forwarding  
          them to local SAFEs.  Over the last four years, DMV has  
          collected approximately $27.5 million annually and retained  
          approximately $137,000 for its administrative costs.  DMV  
          indicates that any additional costs related to programming  
          increases in the fees would be minor and recoverable from fee  
          revenue.  








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           COMMENTS  :  The primary purpose of SAFEs is emergency motorist  
          aid.  SAFEs manage the construction, maintenance, and operation  
          of approximately 14,033 emergency call boxes on 6,000 miles of  
          California freeways and expressways.  Funding for these call  
          boxes is provided by a fee imposed on registered vehicles in  
          participating counties.  Over the past five years, SAFEs have  
          reported receiving a total of $182.6 million in vehicle  
          registration fees, interest, and other revenues, and expending  
          $166.5 million on various projects. All of the 19 SAFEs (for 31  
          counties) are administered by a transportation planning agency.   


          In addition to funding call box systems, SAFEs also fund freeway  
          service patrols.  Not only are these systems beneficial to  
          stranded motorists, they are significant in relieving congestion  
          caused by incidents on the roadway.  Statistics indicate that  
          for every one minute of an incident, five minutes of congestion  
          results.  The faster vehicles are cleared from the roadway or  
          incidents otherwise resolved, the sooner resultant congestion  
          eases.  

          Supporters of this bill maintain that the bill is necessary to  
          modernize the SAFE program, which was begun in 1986.  They cite  
          significant technological advances, more congestion, and an  
          increase in the cost to provide motor assistance services since  
          enabling legislation was enacted as reasons the fee increase is  
          justified.  They also believe that expanding the authorized uses  
          for revenue generated by the fee will make use of new technology  
          and systems that can facilitate quicker detection and removal of  
          incidents and better communication between motorists in need and  
          service providers, such as the CHP and tow truck drivers.  

          Writing in opposition to this bill, the California New Car  
          Dealers Association (CNCDA) contends that California motorists  
          are already overburdened with hidden vehicle fees.  In addition  
          to the $34 basic registration fee, vehicle owners are subject to  
          "add-on" fees such as:  

          1)$1-$7 annual air qualify district fee;  

          2)$20 smog abatement fee for older cars;  

          3)$1 annual abandoned vehicle trust fee;  









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          4)$22 annual CHP fee;  

          5)$1 annual theft deterrence fee;  

          6)$1 annual fingerprint identification fee; and,

          7)$1.75 per tire California tire fee.  
           
           CNCDA asserts that there should be no further increase in the  
          cost of vehicle ownership unless voters elect to tax themselves.  
           
           
          REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          Metropolitan Transportation Commission (co-sponsor)
          Santa Cruz County Regional Transportation Commission  
          (co-sponsor) 
          California State Association of Counties
          Placer County Transportation Planning Agency

           Opposition 
           
          California New Car Dealers Association

           
          Analysis Prepared by  :   Janet Dawson / TRANS. / (916) 319-2093