BILL ANALYSIS �
AB 2414
Page 1
Date of Hearing: April 29, 2014
ASSEMBLY COMMITTEE ON BUSINESS, PROFESSIONS AND CONSUMER
PROTECTION
Susan A. Bonilla, Chair
AB 2414 (Ting) - As Introduced: February 21, 2014
SUBJECT : Parking facilities: electric vehicle charging.
SUMMARY : Specifies that the use of electricity by state
government and other government entities, state officers and
employees, or other persons for the charging of an electric
vehicle in a department maintained or joint use motor vehicle
parking facility is not a gift of public funds prohibited by the
California Constitution.
EXISTING LAW
1)Generally prohibits, under the California Constitution, the
Legislature from making, or authorizing the making of, gifts
of public funds unless it determines that the funds serve a
public purpose. (California Constitution Article XVI Section
6)
2)Authorizes the Department of General Services (DGS) to acquire
real property, as specified, and to construct, operate, and
maintain motor vehicle parking facilities for state officers
and employees, or other persons, as specified. (Government
Code Section (GC) 14678)
3)Authorizes DGS to enter into arrangements with other public
and state agencies for joint use of motor vehicle parking
facilities if the benefit to be derived by the state is
commensurate with its participation; prescribe the terms and
condition of this parking, including the payment of parking
fees in any amounts and under any circumstances as determined
by DGS; and establish various rates for parking fees based on
location, parking facility, or number of riders in each
vehicle. (GC 14678)
4)Provides that revenues received by DGS for these motor vehicle
parking facilities as designated by the Director of DGS, and
under the jurisdiction of any other state agency that has
entered into an agreement with DGS for the payment of
revenues, be deposited into the General fund and are
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continuously appropriated to DGS for the construction,
operation, and maintenance of motor vehicle parking
facilities, as specified. (GC 14678)
FISCAL EFFECT : None. This bill is keyed non-fiscal by the
Legislative Counsel.
COMMENTS :
1)Purpose of this bill . This bill clarifies that the use of
electricity by officers and employees of any state or
government entity or by members of the public for the charging
of an electric vehicle in a DGS-managed or joint use parking
facility is not an illegal gift of public funds. The aim of
this bill is to encourage the state development and use of
electric charging stations. This bill is author-sponsored.
2)Author's statement . According to the author, "[This bill]
ensures that electric vehicle charging stations built in
parking areas developed by state government entities are not
considered gifts of public funds. Across the state,
government entities are actively working to establish robust
electric vehicle charging systems. While electric vehicle
charging stations provide benefits to individuals, they also
serve a public purpose. Electric vehicle charging stations in
public parking areas increase the availability and awareness
of electric vehicle charging, which serve as an important part
of replacing [greenhouse gas]-emitting cars and trucks with
clean electric vehicles.
"This bill ensures government entities can spend more time
expanding the installation of electric vehicle charging
stations without [worrying about] violating provisions of the
gift of public funds, such as not accounting for every
incidental cost related to providing electricity and charging
stations."
3)Prohibition on public gifts . Section 6 of Article XVI of the
California Constitution prohibits the state and its
subdivisions from making, or authorizing the making, "of any
gift, of any public money or thing of value to any individual,
municipal or other corporation?." The primary question to be
considered when determining whether an appropriation of public
funds is considered a gift is whether the funds are used for a
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private or public purpose. If they are used for a public
purpose, they are not a gift within the meaning of this
constitutional prohibition, even if there may be incidental
benefit to private persons. (County of Alameda v. Janssen
(1940) 16 Cal.2d 276)
Although a court may be unlikely to determine that the provision
of electricity through electric charging stations is an
unconstitutional gift of public funds that is used for a
private purpose, this bill does not prohibit a court from
making such a determination because a statute cannot supersede
a constitutional provision. As a result, this bill merely
seeks to clarify that providing electricity without charge
through electric charging stations in state parking facilities
is viewed as having a public purpose, and is therefore not a
gift of public funds in violation of the California
Constitution.
4)Arguments in support . According to the California Municipal
Utilities Association, "[Our] members currently help
facilitate the implementation of electric vehicle charging
infrastructure. Many of these charging stations are located
at state and locally owned facilities. Public awareness of
these facilities often starts with public promotion and usage
by public officials and state employees. In furtherance of
state policies promoting the transition to an electric vehicle
economy, [?] any potential obstacles that may limit state
employees and other public officials from accessing electric
vehicle charging facilities should be removed."
The Southern California Public Power Authority (SCPPA) also
writes in support, "Our member agencies are actively working
to establish a robust electric vehicle charging system
throughout California as an important step in replacing
[greenhouse gas]-emitting cars and trucks with clean electric
vehicles. Ensuring we don't run afoul of the gift of public
funds provisions in existing statute while working to move
this important infrastructure forward for our ratepayers and
California as a whole is critical to the success of an overall
[electric vehicle] deployment."
5)Previous legislation . SB 454 (Corbett), Chapter 418, Statutes
of 2013, created the Electric Vehicle Charging Stations Open
Access Act, which prohibited the charging of a subscription
fee of persons desiring to use an electric vehicle charging
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station, prohibited a requirement for persons to obtain
membership in any club, association, or organization as a
condition of using the station, except as specified, and
required the total actual charges for the use of an electric
vehicle charging station to be disclosed to the public at the
point of sale.
AB 1092 (Levine), Chapter 410, Statutes of 2013, required the
California Building Standards Commission (CBSC) to adopt,
approve, codify, and publish mandatory building standards for
the installation of future electric vehicle charging
infrastructure for parking spaces in multifamily dwellings and
nonresidential development.
AB 2644 (Butler) of 2012 would have required the CBSC to adopt
building standards for the construction, installation, and
alteration of electric vehicle charging stations for parking
spaces in single-family residential real property. That bill
was held in the Assembly Housing and Community Development
Committee.
REGISTERED SUPPORT / OPPOSITION :
Support
California Municipal Utilities Association
Southern California Public Power Authority (SCPPA)
Opposition
None on file.
Analysis Prepared by : Eunie Linden / B.,P. & C.P. / (916)
319-3301