BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1864
                                                                  Page  1

          Date of Hearing:   April 30, 2014

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                 AB 1864 (Daly) - As Introduced:  February 19, 2014 

          Policy Committee:                               
          TransportationVote:16-0

          Urgency:     No                   State Mandated Local Program:  
          Yes    Reimbursable:              No

           SUMMARY  

          This bill reduces, from 90 days to 75 days, the maximum period a  
          purchased vehicle may be operated without license plates or a  
          registration card.

           FISCAL EFFECT  

          Costs to DMV would be minor and absorbable to respond to  
          additional complaints from vehicle purchasers who do not receive  
          their plates within 75 instead of 90 days.

           COMMENTS  

           1)Purpose  . AB 1215 (Blumenfield)/Statutes of 2011, implemented  
            several changes to the vehicle registration process.  AB 1215  
            required all new vehicle dealerships to register the cars they  
            sell through the electronic vehicle registration (EVR)  
            program, increased document processing charges, required an  
            owner of a vehicle to attach license plates on a vehicle upon  
            receipt, and allowed a purchased vehicle to be operated while  
            displaying the report of sale notice for no longer than 90  
            days or until the plates are received by the purchaser,  
            whichever occurs first.  

            While existing law now requires a person to install a  
            vehicle's license plates upon receipt, a person may in fact  
            operate a vehicle for up to 90 days without affixed license  
            plates due to law enforcement's inability to readily determine  
            from a distance the date by which a vehicle should have plates  
            installed.  









                                                                  AB 1864
                                                                  Page  2

            The author asserts that "current practice as a result of the  
            implementation of AB 1215, is for almost all license plates to  
            arrive within 30 days.  The required 75 days as proposed by AB  
            1864 still gives consumers plenty of time to receive their  
            license plates and for both the dealers and DMV to make sure  
            that the vehicle registration process is complete and  
            accurate."

           2)Related Legislation  . AB 2197 (Mullin), pending in this  
            committee, requires DMV to implement a temporary license plate  
            system and requires all vehicles sold by a dealer or  
            lessor-retailer that do not possess a permanent license plate  
            to be affixed with a temporary license plate.  

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081