BILL ANALYSIS �
AB 244
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Date of Hearing: May 15, 2013
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Mike Gatto, Chair
AB 244 (Bonilla) - As Amended: April 24, 2013
Policy Committee:
TransportationVote:16-0
Veterans Affairs 7-0
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill requires the Department of Veterans Affairs (CDVA) to
apply to the DMV for a veterans' specialized license plate
designed exactly like the veterans' license plate that was
available prior to 2010, when legislation authorized a
differently-designed plate. Net revenues from these licensed
plates will be used to fund county veterans' service offices.
FISCAL EFFECT
1)Potential one-time special fund costs of approximately
$400,000 to DMV to establish the veterans license plate
program, including computer programming changes and updating
of forms. Pursuant to current law, DMV will make computer
programming and form changes only after program applications
meet the 7,500-application threshold. The DMV will incur minor
ongoing costs to continue issuing specialty license plates and
renewals under the program. All of the DMV's initial and
ongoing costs will be covered by a portion of the additional
$50 fee paid for specialized license plates.
2)Minor one-time costs to CDVA to submit the program application
to DMV, design and print the license plate application, and
collect and hold applications and fees until 7,500
applications are received. The department's costs will
eventually be recovered assuming sufficient participation in
the program.
3)Potential ongoing additional revenue to fund county veterans
service offices.
AB 244
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COMMENTS
1)Specialized License Plates . Prior to 2007, any new special
interest license plate required specific legislative
authorization. This practice was held to be unconstitutional
in that the Legislature approved some of the plates, and
rejected others, using no standardized or objective criteria
for those decisions. Pursuant to AB 84 (Leslie)/ Chapter 91 of
2006, the DMV will issue specialized license plates when
sponsored by a state agency, the plate's message and resulting
revenues support that agency's program, and at least 7,500
paid license applications have been received. The
7,500-application threshold attempts to assure that DMV's
startup costs are fully covered, by the portion of the
registration fee surcharge directed to the department, and to
avoid a proliferation of different types of plates, which can
be troublesome from a law enforcement perspective.
2)Purpose . The author indicates that, prior to 2010, DMV only
offered a "veterans" special interest license plate which
could be purchased by persons who serve or previously served
in our nation's armed forces. (Actually, the plates were not
exclusively for veterans, as purchase of the plates at that
time was not limited solely to veterans.) In order to garner
more widespread appeal and license plate acquisition, AB 1908
(Cook)/Chapter 166 of 2010 established an "honoring veterans"
license plate, replacing the "veterans-only" plate.
Subsequently, veterans and veterans groups have been asking
for the return of the "veterans-only" plate so they can be
specifically identified as veterans who have served their
country.
This bill requires the CDVA to seek to reestablish the
veterans' special interest license plate that was previously
issued several years ago, and directs monies generated from
the additional license plate fees to fund county veteran
service offices.
3)Related Legislation . AB 1096 (Nestande), also on today's
committee agenda, authorizes the Department of Fish and
Wildlife to apply for a specialized license plate to benefit
restoration of the Salton Sea.
AB 49 (Buchanan), pending in this committee, requires the
AB 244
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Department of Health Care Services (DHCS) to apply to the DMV
to sponsor a breast cancer awareness license plate program.
AB 482 (Atkins), also pending in this committee, requires the
California Cultural and Historical Endowment to apply to DMV
for a specialized license plate to fund a program providing
grants for small projects at the state's museums.
Analysis Prepared by : Chuck Nicol / APPR. / (916) 319-2081