BILL ANALYSIS �
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|SENATE RULES COMMITTEE | AB 27|
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THIRD READING
Bill No: AB 27
Author: Medina (D), et al.
Amended: 6/12/14 in Senate
Vote: 21
PRIOR VOTES NOT RELEVANT
SENATE TRANSPORTATION & HOUSING COMMITTEE : 11-0, 6/24/14
AYES: DeSaulnier, Gaines, Beall, Cannella, Galgiani, Hueso,
Lara, Liu, Pavley, Roth, Wyland
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
SUBJECT : Vehicles: registration: one-trip permits
SOURCE : Author
DIGEST : This bill extends, from five days to 10 days, the
time for a vehicle to operate under a one-trip permit.
ANALYSIS :
Existing law:
1.Requires in general that a vehicle driven, moved, towed, or
left standing on any California highway must have some form of
paid California registration, but exempts certain vehicles
from registration, such as a vehicle being moved or operated
from a dealer's, distributor's, or manufacturer's place of
business to a place where essential parts of the vehicle are
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to be altered or supplied.
2.Requires the Department of Motor Vehicles (DMV) to issue, upon
payment of a $35 fee, a one-trip permit to a manufacturer or
dealer authorizing:
A. A new trailer, semitrailer, or auxiliary dolly which has
never been registered in any state to operate within,
enter, or leave California for five days as part of one
continuous trip from the place of manufacture to the place
where the vehicle will be offered for sale.
B. A used trailer, semitrailer, or auxiliary dolly which is
not currently registered to be moved or operated laden
within, enter, or leave California for five days as part of
one continuous trip from the place of dispatch or entry
into California to the place where the vehicle will be
offered for sale.
1.Authorizes DMV to issue one-trip permits in bulk pamphlets,
but provides that each permit shall be valid for only one
trip.
2.Prohibits a one-trip permit from being used for:
A. Operating a loaded commercial vehicle, unless the
vehicle is being moved to participate in a parade or
display.
B. Traveling by a roundabout or indirect route.
C. Moving a trailer coach owned by a California resident
(must be registered).
D. Moving a crane or any vehicle requiring an oversize
permit issued by the Department of Transportation.
This bill extends from five days to 10 days the time period of
the temporary permit issued by DMV to a manufacturer or dealer
authorizing operation or movement of a new or used trailer,
semitrailer, or auxiliary dolly not registered in the state.
Comments
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In August 2013, the Governor's Office of Business and Economic
Development (GO-Biz) identified an "impediment" in the Vehicle
Code relating to moving unregistered new trailers manufactured
in this state. While California's one-trip permits are valid
for five days, Go-Biz maintains that many other states have much
longer permit periods. DMV reports that it does not commonly
issue one-trip permits for trailers because trailers are rarely
manufactured and sold new in California for delivery in another
state. The author notes that the five-day permit restriction
"may very well be a contributing reason California doesn't have
a large presence of semi-truck trailer manufacturers." The
author states that by increasing the one-trip permit period to
10 days, this bill will increase California's prospects of
attracting trailer manufacturers to the state, thereby improving
opportunities for businesses in the state as well as creating
jobs.
How do manufacturers and companies use one-trip permits ? A
company typically obtains a one-trip permit when it purchases a
newly manufactured trailer and delivers it to a distant
location. The permit enables the company to move the trailer
immediately, rather than first moving the empty trailer from the
manufacturer to the purchaser, then registering it, loading it,
and putting it on the road.
Other states . At least half of states issue one-trip permits
that are similar to California's, but for a 72-hour period - two
days shorter than California's one-trip permit. Most states
also offer an alternate permit - not offered in California -
allowing an individual or company to temporarily operate a
non-registered trailer or semitrailer for a longer period,
ranging from five days (Washington) to 10 days (Oregon) to 15
days (Texas). Some states offer temporary registration permits
for longer periods; for example, Indiana offers a temporary
registration permit that is good for 90 days. Again, California
does not offer this type of permit. When an individual or
company purchases a trailer in California, they typically obtain
a one-trip permit to transport the trailer either elsewhere in
the state or outside the state. The owner then registers the
trailer in the state of final destination, or obtains a
five-year permanent trailer identification plate in California,
for a nominal fee.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
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Local: No
SUPPORT : (Verified 8/5/14)
California Manufacturers and Technology Association
California Trucking Association
ARGUMENTS IN SUPPORT : The California Trucking Association
states this bill "would change the limit on California
interstate registration permits from 5 days to 10 days. This
measure will improve opportunities for businesses in California,
assist the motor carrier industry and create needed jobs in the
manufacturing sector in our state.
"The Governor's Office of Business and Economic Development
Permit Assistance Unit has identified an impediment in the
Vehicle Code relating to moving unregistered, new commercial
trailers manufactured in this state. Current California law
allows the Department of Motor Vehicles, to issue one-trip
permits valid for 5 days to move such trailers.
"However, this 5-day restriction limits manufacturers who need
additional time to maneuver new trailers to their final
destination. AB 27 would remove this impediment and improve
California's prospects of attracting trailer manufacturers to
locate in this state."
JA:e 8/6/14 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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