BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1516
                                                                  Page  1

          Date of Hearing:   April 23, 2012

                        ASSEMBLY COMMITTEE ON TRANSPORTATION
                               Bonnie Lowenthal, Chair
                    AB 1516 (Alejo) - As Amended:  April 17, 2012
           
          SUBJECT  :  Farm vehicle exemptions

           SUMMARY  :  Provides an exemption for the operation of certain 
          farm vehicle combinations.  Specifically, this bill:

          1)Enables a farmer or rancher to operate a truck-trailer 
            combination weighing up to 28,500 pounds (up from 26,000 
            pounds) from the requirement to obtain a Class A license to 
            operate on public highways.  

          2)Exempts these larger vehicle combinations from the Motor 
            Carriers of Property Permit Act (MCPPA).  

          3)Makes related, clarifying amendments.  

           EXISTING LAW :

          1)Authorizes the California Department of Motor Vehicles (DMV) 
            to issue various classes of driver's licenses based on the 
            type of vehicle being operated.  

          2)Authorizes DMV to issue a Class C license to operate a motor 
            vehicle or combination of motor vehicles weighing 26,000 
            pounds or less when it is operated by a farmer, an employee of 
            a farmer, or a credentialed agricultural instructor as long as 
            the vehicle is used exclusively in the conduct of agricultural 
            operation and is not used in a for-hire capacity or for 
            compensation.  

          3)Authorizes CHP to regulate the safe operation of commercial 
            vehicles in accordance with the MCPPA. 
           
          FISCAL EFFECT  :  Unknown.

           COMMENTS  :  

           Driver's License Requirements:   DMV offers various classes of 
          driver's licenses including a basic, Class C license as well as 
          Class A and B licenses.  For the most part, licenses are 








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          graduated to require increasing oversight and testing for 
          drivers who operate larger and heavier vehicles on California's 
          roadways.  California driver's licenses also conform to federal 
          requirements to ensure national driving standards and to allow 
          drivers to operate vehicles across state and national boundaries 
          (in accordance with the National Free Trade Agreement.  

          The most basic driver's license is a Class C license.  A Class C 
          license generally allows a driver to operate 2-axle vehicles 
          with a GVWR of 10,000 pounds or less and to tow a single vehicle 
          with a GVWR of 10,000 pounds or less or a trailer coach or 
          5th-wheel travel trailer up to 15,000. There are various 
          exemptions that allow drivers to use a Class C license to 
          operate vehicles outside of these parameters.  As it relates to 
          this bill, farmers or employees of farmers may operate any 
          combination of vehicles with a GVWR of 26,000 pounds or less and 
          the vehicle or combination of vehicles is used exclusively for 
          agricultural operations and not in a for-hire capacity.  

           Motor Carriers of Property Permit Act  :  The MCPPA authorizes DMV 
          to issue a motor carrier permit in order to verify that a motor 
          carrier has met all of the statutory requirements to 
          commercially operate motor vehicles on California's highways.  
          Generally, any person or business entity operating a commercial 
          vehicle with a GVWR of 10,001 pounds or more, either for 
          business or personal use, is also required to enroll in the 
          MCPPA.  Enrollment in the MCPPA carries with it the requirement 
          to participate in other safety programs operated by the CHP.  

          A variety of vehicles, however, are exempt from the MCPPA, 
          including vehicles operated by household goods carriers, utility 
          trailers, two-axle daily rental trucks with a GVWR of less than 
          26,001 pounds, pickup trucks with a GVWR of less than 11,500 
          pounds (with box-type bed and not exceeding 9 feet in length 
          when operated in a non-commercial manner), vehicles used only 
          for personal use that are 10,000 GVWR or less, and vehicles that 
          are exempt from registration.  

           Discussion:   By introducing this legislation, the author intends 
          to increase the weight exemption for farm vehicles, so that 
          farmers, including their employees and agricultural instructors, 
          can drive heavier vehicle combinations with a Class C license 
          and have these heavier vehicle combinations exempt from MCPPA 
          requirements.  









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          According to the sponsor, increasing the vehicle combination 
          weight exemption for both licensing and MCPPA requirements is 
          necessary because CHP is citing farmers who unknowingly exceed 
          the farm vehicle weight exemption.  The sponsor contends that 
          bringing these vehicles into compliance MCPPA requirements is 
          very costly, particularly given that exemption weights are being 
          exceeded because newer pickups are being made heavier, not 
          because farmers are using inherently new or different equipment. 
           With respect to licensing, the sponsor notes that while 
          obtaining a higher class of license does not necessarily result 
          in substantial out-of-pocket costs, higher classes of driver's 
          license do require a substantial expenditure of time and effort 
          to obtain and maintain.  

          Supporters note that this bill provides much needed clarity.  
          Specifically, they note that the revision to existing law simply 
          updates license requirements to reflect the increased weight of 
          newer pickups and ensures that farmers can continue to operate 
          substantially similar equipment without having to go through 
          complicated and expensive commercial permitting and licensing 
          processes.  Supporters view the bill as a narrowly-tailored 
          exemption that would only apply to a small subset of vehicles 
          and that public safety concerns raised by opponents are 
          inherently addressed by the fact that the newer pickup trucks 
          provide improved braking power over older trucks that more 
          easily meet the weight exemption.  

          Opponents have expressed concerns that the bill would deregulate 
          the safety of a class of commercial vehicles and would subject 
          the public to increased risk of accidents given that heavier and 
          longer vehicle are more difficult to control.  Opponents also 
          suggest that such vehicles should only be driven only by 
          qualified drivers and note that agricultural trucking has one of 
          the worst safety records in the trucking industry.  

          Opponents have also suggested that this bill would place 
          California out of compliance with federal regulations governing 
          highway safety and could jeopardize millions of dollars in 
          federal transportation funding.  In response to this claim, the 
          author states the recent amendments were taken to specifically 
          address these concerns including federal requirements in the 
          bill and limiting the exemptions to vehicles operated in 
          California.  The author notes that they have requested an 
          opinion from the United States Department of Transportation 
          (USDOT) to verify that the bill in no way jeopardizes federal 








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          funding.  

           Author's amendment  :  To address potential safety concerns raised 
          by opponents, the author has offered to amend the bill to: 1) 
          delete reference to the 65-foot vehicle combination length 
          exemption; 2) make the provisions inoperative as of January 1, 
          2018; and 3) require the CHP to report to the Legislature on or 
          before January 1, 2017, describing whether or not the exemption 
          has resulted in increased accidents and whether or not the 
          exemption should be reauthorized.  

          Additionally, the author has agreed to drop the bill if the 
          USDOT determines that the provisions would in any way jeopardize 
          federal funding for non-compliance with federal safety 
          regulations.  

           Previous legislation  :  AB 2487 (Firestone) Chapter 819, Statutes 
          of 1996, authorized drivers who hold Class C licenses to perform 
          farming operations or tow boats using vehicle combinations up to 
          26,000 pounds.  
           
          AB 2188 (Lowenthal) of 2012 would, among other things, make 
          amend existing law to ensure compliance with the federal 
          Commercial Motor Vehicle Safety Act of 1986 as it relates to 
          commercial motor vehicle licensing.  
           
          REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          California Cattlemen's Association (sponsor)
          Butte County Office of the Sheriff
          California Association of Nurseries and Garden Centers
          California Association of Pest Control Advisors
          California Cotton Ginners and Growers Association
          California Farm Bureau Federation
          California Grain and Feed Association
          California Horse Council
          California Poultry Federation
          California Thoroughbred Breeders Association
          Charros Federation USA
          Morris Grassfed
          Nesei Farmers League
          Pacific Egg and Poultry Federation
          Professional Rodeo Cowboys Association








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          Regional Council of Rural Counties
          San Luis Obispo Co. Cattlemen's Association
          Western Growers Association
          Western United Dairyman
           
          Opposition 
           
          Teamsters
          California Conference Board of the Amalgamated Transit Union
          California Conference of Machinists
           

          Analysis Prepared by  :   Victoria Alvarez / TRANS. / (916) 319- 
          2093