BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1516
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          Date of Hearing:   April 23, 2012

                        ASSEMBLY COMMITTEE ON TRANSPORTATION
                               Bonnie Lowenthal, Chair
                    AB 1516 (Alejo) - As Amended:  April 25, 2012
           
          SUBJECT  :  Farm vehicle exemptions

           SUMMARY  :  Provides an exemption for the operation of certain 
          farm vehicle combinations until January 1, 2018.  Specifically, 
          this bill:

          1)Authorizes a farmer or rancher to operate truck-trailer 
            combinations weighing up to 28,500 pounds (up from 26,000 
            pounds) with a Class C license on public highways until 
            January 1, 2018.  

          2)Exempts these heavier vehicle combinations from the Motor 
            Carriers of Property Permit Act (MCPPA) until January 1, 2018. 
             
                                  
          3)Requires the California Highway Patrol (CHP) to evaluate the 
            authorization and exemption provided in this bill and 
            recommend whether or not they should be continued in a report 
            submitted to the Legislature on or before January 1, 2017.

          4)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. 
           








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          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 
          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 gross vehicle weight rating (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 
          pounds. 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 if 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.  








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           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.  

          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 simply 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 driver's license does not 
          necessarily result in substantial out-of-pocket costs, obtaining 
          and maintaining a higher class of driver's license requires 
          substantial expenditure of time and effort.  

          Supporters note that this bill provides much needed clarity.  
          Specifically, they note that this bill 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 
          applies 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 
          vehicles 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 also suggest that this bill would place California out 
          of compliance with federal regulations governing highway safety 
          which could jeopardize millions of dollars in federal 








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          transportation funding.  In response to this claim, the author 
          states that recent amendments were taken to specifically address 
          these concerns.  The author also notes that an opinion has been 
          requested from the United States Department of Transportation 
          (USDOT) to verify that the exemptions will not jeopardize 
          federal funding.  Further, the author has committed to drop the 
          bill if the USDOT determines that the provisions would in any 
          way jeopardize federal funding.  

          To address potential safety concerns raised by opponents, the 
          author amended the bill to: 

            1)  Delete reference to the 65-foot vehicle combination length 
              exemption; 

            2)  Add a provision to make the bill 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 bill has 
              resulted in increased accidents and whether or not the 
              exemption should be reauthorized.  

           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.  That bill passed out of the 
          Assembly Committee on Transportation on consent with a 14-0 vote 
          and is currently in the Assembly Appropriations Committee 
          awaiting hearing.  
           
          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








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          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
          Regional Council of Rural Counties
          San Luis Obispo Co. Cattlemen's Association
          Shasta County Office of the Sheriff
          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