BILL ANALYSIS                                                                                                                                                                                                    �





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          GOVERNOR'S VETO
          AB 1978 (Galgiani)
          As Amended  August 16, 2012
          2/3 vote

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          |ASSEMBLY:  |71-0 |(April 23,      |SENATE: |21-13|(August 27,    |
          |           |     |2012)           |        |     |2012)          |
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          |ASSEMBLY:  |70-8 |(August 29,     |        |     |               |
          |           |     |2012)           |        |     |               |
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           Original Committee Reference:    JUD.  

           SUMMARY  :  Protects owners of private property and tow truck 
          operators, when acting reasonably, from civil liability for the 
          lawful removal of an unattended collection box placed on the 
          property without written consent of the property owner.  
          Specifically,  this bill  :   

          1)Prohibits any person from placing or maintaining a collection 
            box on private property unless the owner or operator of the 
            collection box first obtains the written consent of the 
            property owner or the owner's authorized agent, as specified.

          2)Permits an owner of private property or the owner's authorized 
            agent to rescind consent that had previously been given for 
            the placement of a collection box on the property, by 
            providing written notice of the rescission to the collection 
            box owner or operator.

          3)Provides that an owner of private property, who acts 
            reasonably, shall not be civilly liable to a collection box 
            owner or operator for the removal of a collection box placed 
            on the property owner's private property without the owner's 
            written consent.  Further provides that an owner of property 
            who has rescinded his or her consent shall not be civilly 










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            liable to the owner or operator of the collection box if the 
            property owner acted reasonably in the removal of the 
            collection box.

          4)Provides that a tow truck operator, who acts reasonably, shall 
            not be civilly liable to a collection box owner or operator 
            for the removal of a collection box from private property if 
            the tow truck operator first obtains authorization from the 
            property owner.

          5)Provides that a property owner or a person in lawful 
            possession of private property who causes the removal of a 
            collection box to a storage facility, or otherwise disposes of 
            a collection box, despite valid written consent from the 
            property owner at the time of removal, shall be civilly liable 
            to the owner or operator of the collection box for four times 
            the amount of the towing and storage charges, or $1,000, 
            whichever is higher, unless removal is necessary to comply 
            with enforcement of applicable permitting, zoning, or other 
            local ordinances.

          6)Requires a property owner who causes the removal of a 
            collection box to mail, within five days of removal, a written 
            notice of removal to the address that is conspicuously 
            displayed on the front of every collection box, unless no 
            address appears on the box. 

          7)Establishes that these provisions shall become operative on 
            March 1, 2013.

           The Senate amendments  require the property owner to mail a 
          written notice of removal to the address on any collection box 
          being removed; clarify that initial consent is deemed rescinded 
          10 days after the written notice of rescission is mailed; permit 
          a property owner's authorized agent to provide and rescind 
          written consent; and establishes an operative date for this act 
          of March 1, 2013.
           
          EXISTING LAW  :  

          1)Defines "collection box" to mean an unattended canister, box, 










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            receptacle, or similar device, used for soliciting and 
            collecting donations of salvageable personal property.  

          2)Requires the front of every collection box to conspicuously 
            display the name, address, telephone number, and, if 
            available, the Internet Web address of the owner and operator 
            of the collection box, and a statement, in at least two-inch 
            typeface, that either reads, "this collection box is owned and 
            operated by a for-profit organization" or "this collection box 
            is owned and operated by a nonprofit organization."  

          3)Authorizes any city, county, or city and county to declare a 
            collection box that does not comply with the above 
            requirements to be a public nuisance and to abate that 
            nuisance accordingly.  

          4)States that the above restrictions are not intended to limit 
            or infringe upon the powers of a city, county, or city and 
            county to impose additional requirements upon the solicitation 
            and sale of salvageable personal property within its 
            jurisdiction.  

           AS PASSED BY THE ASSEMBLY  , this bill was substantially similar 
          to the version approved by the Senate.
           
          FISCAL EFFECT  :  None
           
          COMMENTS  :  This bill, sponsored by two regional affiliates of 
          nonprofit Goodwill Industries, seeks to protect owners of 
          private property and tow truck operators from civil liability, 
          when acting reasonably, for the lawful removal of an unattended 
          collection box placed on private property without written 
          consent of the property owner.  

          According to the author, local communities across the state have 
          seen a flood of unattended collection boxes being placed on 
          commercial properties by for-profit companies without the 
          knowledge or consent of the property owners.  In response, many 
          local cities have adopted local ordinances authorizing the 
          towing and removal of these collection boxes, but enforcement 
          has reportedly been hampered by the lack of local budget 










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          resources.  In the meantime, property owners have been uncertain 
          about the civil liability associated with calling a tow truck 
          operator themselves to have an unauthorized box removed from 
          their property.  

          This bill establishes a sensible enforcement mechanism that 
          makes civil liability for removal of collection boxes 
          transparent to property owners, their tenants, tow truck 
          operators, and collection box operators alike.  The bill 
          requires the property owner's written consent to place a 
          collection box on private property, and shields property owners 
          and tow truck drivers from civil liability, when acting 
          reasonably, for the removal of a collection box placed without 
          obtaining consent of the property owner.  Conversely, the bill 
          establishes specified liability for removal of a collection box 
          that occurs despite a valid consent agreement being in place, 
          unless removal was necessary to comply with local enforcement of 
          applicable permitting, zoning, or other ordinances.

          As recently amended, this bill requires a property owner who 
          causes the removal of a collection box to mail, within five days 
          of removal, a written notice of removal to the address that is 
          conspicuously displayed on the front of every collection box, 
          unless no address appears on the box.  In addition, the bill 
          authorizes a property owner's agent to provide written consent 
          for the placement of the collection box and to rescind such 
          consent.

          The bill also clarifies that a property owner's authorized agent 
          may both provide written consent for placement of the collection 
          box and rescind such consent if that consent is consistent with 
          the authority conferred upon the agent by the property owner in 
          writing.  In addition, the owner's authorized agent shall be 
          entitled to the same rights and protections from liability as 
          the property owner as provided by this bill.

          The bill is supported by affiliates of Goodwill Industries from 
          several counties, who contend that greater regulation of the 
          practices of collection box companies is warranted.  They 
          contend that the unfettered use of these boxes by for-profit 
          companies to generate revenue has the effect of "siphoning off 










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          the flow of donations from reputable local charities that rely 
          on donations to fund social services, and that have become more 
          reliant on donation during tough economic times."

          In order to provide more time for property owners and collection 
          box owners to adjust to these new requirements, the bill states 
          that these provisions shall become operative starting March 1, 
          2013.
           
          GOVERNOR'S VETO MESSAGE  :

          "This bill would prohibit placement of an unattended collection 
          box on private property unless the owner or operator of the box 
          obtains the written consent of the property owner.  

          "I support the author's goal of giving property owners more 
          tools to enforce their property rights.  However, I believe the 
          language can be more narrowly crafted to avoid unintended 
          consequences to local charities and nonprofits.  I look forward 
          to working with the author next year to craft a more balanced 
          approach."
          

          Analysis Prepared by  :    Anthony Lew / JUD. / (916) 319-2334 


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