BILL ANALYSIS                                                                                                                                                                                                    �




                                          
                            SENATE COMMITTEE ON EDUCATION
                                Alan Lowenthal, Chair
                              2011-2012 Regular Session
                                          

          BILL NO:       SB 1295
          AUTHOR:        Huff
          AMENDED:       March 29, 2012
          FISCAL COMM:   Yes            HEARING DATE:  April 18, 2012
          URGENCY:       No             CONSULTANT:    Daniel Alvarez

           SUBJECT  :  Schoolbuses: advertisements.
          
           SUMMARY  

          This bill permits school districts to authorize the placement of 
          commercial advertisements on the exterior of a schoolbus, 
          subject to specified restrictions.

           BACKGROUND  

          Current law authorizes a school district to provide for the 
          transportation of pupils to and from school whenever in the 
          judgment of the board the transportation is advisable and good 
          reasons exist (Education Code � 39800).  Furthermore, current 
          law authorizes the State Board of Education to adopt reasonable 
          regulations relating to the use of schoolbuses by school 
          districts; however the regulations may not govern the safe 
          operation of schoolbuses that shall be adopted instead by the 
          Department of the California Highway Patrol. (EC � 39831)

          Current law prohibits school boards from adopting sponsored 
          educational materials unless the board makes a specific finding 
          that the use of the commercial material is appropriate. (EC � 
          60048)

          Existing law includes specific safety requirements for 
          schoolbuses, such as flashing red light signal systems and 
          exterior markings that distinctly identify the vehicle.  In 
          addition, the California Highway Patrol adopts rules and 
          regulations relating to the equipment, maintenance, 
          construction, design, color and operation of schoolbuses.  These 
          regulations prescribe what portions of the bus exterior can be 
          black instead of yellow and what signifiers and messages are 
          required to be displayed.  
          (Vehicle Code � 27906).





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           ANALYSIS
           
          This bill permits school districts to authorize the placement of 
          commercial advertisements on the exterior of a schoolbus, 
          subject to the following restrictions:

          1)   Requires a school district to adopt polies and guidelines 
               in connection with the content of the advertising.  At a 
               minimum, the district shall not enter into an agreement 
               with any person that would cause or permit any 
               advertisement to display or advertise material that does 
               any of the following:

               a)        Solicits alcohol, tobacco, firearms, or sexually 
                    explicit material.


               b)        Is discriminatory in nature or content.


               c)        Implies or declares endorsement of the product or 
                    service.


               d)        Is inappropriate for or insensitive to children 
                    in the community.


               e)        Contains material that is political in nature or 
                    relates to a political activity, campaign, or 
                    candidate.


               f)        Contains material effecting the establishment of 
                    religion.


               g)        Is false, misleading, deceptive, or promotes an 
                    illegal activity or antisocial behavior.

          1)   Requires the Department of the California Highway Patrol to 
               adopt and enforce rules and regulations relating to the 
               design, placement, and size of the signage of the exterior 
               of a schoolbus, including a prohibition against signage 
               that does any of the following:






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               a)        Extends from the body of the schoolbus so as to 
                    allow a handhold or poses a danger to pedestrians.


               b)        Covers any structural or sheet metal damage or 
          alteration.


               c)        Interferes with the operation of any door, 
                    window, required lettering, lamp, reflector, or other 
                    device.


               d)        Is placed on a side emergency door or the back of 
          the schoolbus.


               e)        Interferes with schoolbus identification.


               f)        Is digital or electronic.


          2)   Prohibits a schoolbus from having more than two 
               advertisements at a time and each advertisement shall not 
               cover more than 35 percent of the space available.
           
          STAFF COMMENTS  

           1)   Need for the bill  .  According to the author, in recent 
               years, school funding has been reduced significantly due to 
               the global recession and California's fiscal mismanagement. 
               Extracurricular activities have been cut, pupil 
               transportation threatened, and instruction time is on the 
               chopping block.  We need to find additional sources of 
               revenue for schools outside the burdensome practices of 
               taxation and borrowing.  Current state regulations bar 
               commercial advertising on the exterior of schoolbuses.  
               This bill would remove that restriction and allow school 
               districts to generate revenue by selling advertising space. 
               School districts would have discretion over whether to sell 
               such advertisements, as well as how to spend the resulting 
               revenue.  This measure will help alleviate the financial 
               burden of schools that are experiencing severe budget cuts. 


           2)   Safety concerns versus additional revenue - Is it worth it?  





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                As pointed out in the Senate Transportation and Housing 
               Committee analysis: 
                
                a)        The National Association of State Directors of 
                    Pupil Transportation Services (NASDPTS) maintains that 
                    the distinct yellow color and markings of schoolbuses 
                    have served as a visible reminder to motorists that 
                    students are on board or nearby and extreme caution is 
                    required.  External advertisement could distract other 
                    drivers and compromise these distinctive safety 
                    features because they may displace them and are 
                    designed to catch the attention of passing motorists.  

                
                b)        Studies have shown, however, that any diversion 
                    of a motorist's attention can lead to hazardous 
                    driving.  Recent studies by the National Highway 
                    Traffic Safety Administration verify that inattention 
                    and driver distraction cause a significant percentage 
                    of crashes.  NASDPTS argues that advertising on the 
                    exterior of a schoolbus is specifically designed to 
                    catch the attention of and distract passing motorists. 
                     If drivers focus their attention on the advertisement 
                    they might not notice that the schoolbus has stopped 
                    or turned on its flashing lamps for crossing children.

               Finally, California has been moving toward limiting 
               distractions for drivers on the road, one such example was 
               the passage of SB 1613 (Chapter 290, Statutes of 2006), 
               that prohibited the use of wireless phones while driving a 
               schoolbus or motor vehicle.

           3)   Have all other means for additional school revenue been 
               exhausted?   For a number of years, the State Budget has 
               suffered from a soft economy, increased demand for state 
               services, and a lack of additional revenues.  The 2011 
               Budget made major strides in reducing the out-year 
               structural deficit from $20 billion to about $5 billion.  
               However, the Governor failed to gain two-thirds legislative 
               support for his original balanced plan for voter-approved 
               taxes and spending cuts.  Instead, the enacted 2011 Budget 
               relied primarily on major cuts in most areas of the budget. 
                

               As the Legislature debates the 2012 budget, the Governor, 
               in the absence of obtaining a two-thirds vote for 
               additional tax revenue is proposing a ballot initiative to 





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               temporarily increase taxes, while also reducing other areas 
               of budgetary expenditures.  If successful, the additional 
               revenue would allow the state to undo approximately $2 
               billion in K-12 deferral payments, which would provide 
               school districts a large source of local discretionary 
               revenue.

           4)   Eight states allow advertising on schoolbuses  .  Though, the 
               NASDPTS opposes advertising on the exterior of schoolbuses, 
               this is only advisory to states.  In 1994, Colorado was the 
               first state to allow advertising on schoolbuses.  Since 
               then, Arizona, Massachusetts, New Jersey, New Mexico, 
               Tennessee, Texas, and Utah permit advertisements on 
               schoolbuses. Most of these states include statutory 
               language that prohibits advertisements for alcohol, 
               tobacco, religious organizations, or topics that are 
               political or sexual in nature.  Generally these laws allow 
               local school boards to have final approval of advertising 
               content.  In addition, each state has its own regulations 
               regarding size and location of ads.  

           5)   School children are a captive audience  .  The National 
               Education Policy Center points out that researchers 
               generally agree that thinking critically requires 
               abilities, such as problem-solving, decision-making, 
               inductive inference-making, divergent thinking, evaluative 
               thinking and reasoning.  According to the research 
               literature, critical thinking is best cultivated in a 
               school environment that encourages students to ask 
               questions and develop habits that enable them to transfer 
               the critical thinking skills they learn in class to other 
               unrelated situations.  
                
                Would schoolbus advertisement promote passive thinking by 
               children, and not provide opportunities for critical 
               analytical thinking that our current educational standards 
               promote?  

           6)   Potential freedom of speech issues  .  The National 
               Association of State Directors of Pupil Transportation 
               Services points out "while no lawsuits have been filed on 
               the issue of advertising on schoolbuses, there have been 
               cases that may have applicability to the issue of 
               controlling the content of advertising on schoolbuses."  As 
               drafted, the bill attempts to place prohibition criteria on 
               the types of advertisements permitted; however, it is not 
               unreasonable to assume that every conceivable type of 





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               advertisement that may be considered offensive or 
               inappropriate can be taken into account, or in the 
               alternative justify the resulting limitation of speech. 
               This reality may lead to unexpected or unwanted legal 
               challenges and costs.  

           7)   Transportation and Housing Committee  . This measure, as 
               currently amended, passed Transportation and Housing 
               Committee on March 27, on a 7-0 vote. 

           8)   Prior legislation  .  

               AB 2524 (Miller, 1996) authorized school districts to sell 
               advertising space on the outside of schoolbuses for the 
               purpose of generating revenue for the school district. This 
               measure failed passage on Assembly Floor. 

               AB 2930 (Goldsmith, 1994) would have allowed a school 
               district to affix a zero crime tolerance bumper sticker to 
               schoolbuses.  This measure failed passage in the Assembly 
               Transportation Committee.

           SUPPORT  

          Cal Tax
          Southern Humboldt Unified School District

           OPPOSITION

           California Association of School Transportation Officials