BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1986
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          Date of Hearing:  April 28, 2014

                        ASSEMBLY COMMITTEE ON TRANSPORTATION
                               Bonnie Lowenthal, Chair
                    AB 1986 (Linder) - As Amended:  April 21, 2014
           
          SUBJECT  :  Vehicles: traffic violator school program 

           SUMMARY  :  Makes several changes related to the Department of  
          Motor Vehicles (DMV) Traffic Violator School (TVS) program.   
          Specifically,  this bill  :   

          1)Makes a technical change to existing law to correct an  
            inconsistency that was enacted in the 2013 Maintenance of  
            Codes legislation, AB 383 (Wagner), Chapter 76, Statutes of  
            2013.

          2)Changes the date by which DMV is required to submit it annual  
            TVS report to the Legislature from December 31st of each year  
            to December 15th of each year.  

           EXISTING LAW  :

          1)Provides for the licensing and administration by DMV of  
            traffic violator schools, operators, and instructors.  

          2)Establishes licensing requirements for TVS owners, operators,  
            and instructors, as specified. 

          3)Requires DMV, until January 1, 2016, to submit a report to the  
            Legislature on the status and progress related to the  
            statewide regulation of TVSs by December 31st of each year.  

           FISCAL EFFECT  :  Unknown

           COMMENTS  :  AB 2499 (Portantino), Chapter 599, Statutes of 2010,  
          enacted a long-sought regulatory scheme to bring some parity and  
          consistency to the TVS process.  Several of that bill's key  
          provisions included, establishing DMV oversight of all TVS  
          modalities (e.g. classroom-based, home-study, and Internet  
          instructional services), requiring DMV to develop a web-based  
          system to be accessible by the courts and TVSs in order to  
          electronically record and transmit course completion data, and  
          requiring DMV to provide on its website, a randomized list of  
          all licensed TVSs.  








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          AB 2499 also required DMV, until January 1, 2016, to submit an  
          annual TVS report to the Legislature by December 31st on the  
          status and progress of AB 2499's implementation.  According to  
          the most recent report, at the end of Fiscal Year 2012-2013,  
          there were 537 licensed businesses offering TVS services  
          including 292 classroom courses, 129 home study courses, and 283  
          Internet courses (704 total courses).  Additionally, the report  
          indicated a total of 41 consumer complaints were submitted to  
          DMV between July 1, 2012 and June 30, 2013, with a vast majority  
          of those complaints relating to TVSs not properly transmitting  
          student completion information.  

          This bill will make several changes to existing law related to  
          DMV's TVS program.  First, this bill proposes to correct a  
          drafting error that occurred per the enactment of AB 383 which  
          reestablished a section within the Vehicle Code that was  
          inadvertently made inoperative under the passing of AB 2499 in  
          2010.  Second, this bill proposes to change the date that DMV is  
          required to submit its annual TVS report to the Legislature from  
          December 31st to not later than December 15th of each year.  

          The author asserts that this bill will correct an inadvertent  
          drafting error in existing law, and by changing the date for  
          DMV's reporting requirements, will provide the Legislature the  
          opportunity to review DMV's recommendations and provide  
          additional time to determine if additional legislative remedies  
          are necessary.  

          TVSs have a long, contentious history, primarily turning on the  
          axis of brick-and-mortar schools versus internet-based schools,  
          as evidenced by the strong opposition to the bill despite the  
          fact that it contains only non-substantive provisions.  

           REGISTERED SUPPORT / OPPOSITION  :  

           Support 
           
          None on file 

           Opposition 
           
          Traffic Safety Educators Association of California 
          World's Fastest Traffic School.com
          Fast and Fun Online.com 








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          Traffic School Lowest Price.com
          Great Comedians Traffic School 
          Simple Fast Fun.com
          Comedy and Fun
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          Comedians Teach You Online.com
          Traffic Schools Online 4U.com
          Cheap Fast Fun.com
           

          Analysis Prepared by  :   Manny Leon / TRANS. / (916) 319-2093