BILL ANALYSIS �
SB 1183
Page 1
Date of Hearing: June 23, 2014
ASSEMBLY COMMITTEE ON TRANSPORTATION
Bonnie Lowenthal, Chair
SB 1183 (DeSaulnier) - As Amended: May 27, 2014
SENATE VOTE : 26-9
SUBJECT : Vehicle registration fees: surcharge for bicycle
infrastructure.
SUMMARY : Authorizes a city, county, or regional park district
to impose, with two-thirds voter approval, a vehicle
registration surcharge to fund local bicycle infrastructure
improvements and maintenance. Specifically, this bill :
1)Authorizes a city, county, or regional park district to impose
a vehicle registration surcharge as a special tax with
two-thirds voter approval to fund bicycle infrastructure, as
specified.
2)Requires the amount of the vehicle license surcharge, in whole
dollars and not to exceed $5, to be specified in an ordinance
adopted by the local agency.
3)Requires the Department of Motor Vehicles (DMV) to administer
the surcharge, with net revenues after deduction of DMV's
costs to be distributed to the local agency.
4)Requires the net revenues to be used by the local agency for
any of the following:
a) Improvements to paved and natural surface trails and
bikeways, including the rehabilitation, restoration, and
expansion of existing trails and bikeways;
b) The development of new trails and bikeways;
c) The improvement and development of other bicycle
facilities, including, but not limited to, bicycle parking
facilities; and,
d) The maintenance and upkeep of local and regional trail
and bikeway systems, networks, and other bicycle
facilities.
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5)Prohibits the local agency from using more than 5% of the net
revenues for administrative expenses.
6)Defines "regional park district" to mean any regional park
district, regional park and open-space district, or regional
open-space district formed pursuant to existing law.
EXISTING LAW :
1)Requires a vehicle registration fee of $46 to be paid for the
registration of every motor vehicle, except those expressly
exempt.
2)Authorizes a variety of additional fees related to the
operation of motor vehicles to be paid with the registration
to address various air quality and law enforcement issues.
3)Provides, in Article XIII C, Section 2 of the California
Constitution, that a special tax requires two-thirds voter
approval.
FISCAL EFFECT : Unknown
COMMENTS : The base fee for registering or renewing the
registration of most vehicles in California is $46, plus a $24
surcharge for additional personnel for the California Highway
Patrol. Existing law authorizes local agencies to impose
separate vehicle registration surcharges for a variety of
special programs, including $1 to abate abandoned vehicles; up
to $2 to deter, investigate, and prosecute vehicle theft; $1 ($2
for commercial vehicles) to fund fingerprint identification
programs; and up to $19 to mitigate air emissions from vehicles.
AB 1546 (Simitian), Chapter 931, Statutes of 2004, granted the
City/County Association of Governments of San Mateo County
(C/CAG) the authority to impose an annual fee on motor vehicles
for programs to manage traffic congestion and stormwater
pollution. SB 348 (Simitian), Chapter 377, Statutes of 2008,
extended this authority until January 1, 2013. SB 613
(Simitian) of 2007, would have extended the authority until
January 1, 2019, but was vetoed by Governor Schwarzenegger. SB
83 (Hancock), Chapter 554, Statues of 2009, authorized a
countywide transportation planning agency to impose an annual
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fee of up to $10 on motor vehicles registered in the county to
fund programs to address congestion mitigation and motor
vehicle-induced pollution. The definition for congestion
mitigation programs and projects includes, but is not limited
to, bicycle improvements and local street and road
rehabilitation.
This bill authorizes a city, county, or regional parks district
to impose, with a two-thirds vote of the electorate, a surcharge
of up to $5 on vehicles registered within its jurisdiction. The
amount of the surcharge would have to be specified in an
ordinance adopted by the local agency and DMV would administer
the collection of fees and the distribution of net revenues to
the local agency. The bill allows revenue from the fee to be
used for improvements to and maintenance of existing trails and
bikeways, the creation of new trails and bikeways, and the
development of other bicycle facilities, such as bike parking.
According to the author, "This bill provides a local funding
mechanism, not currently authorized in state law, to support
communities that want to build out bikeway and trail
infrastructure and bicycle network connectivity. Despite clear
health and environmental benefits of bicycling, which are
affirmed by the state in its Active Transportation Program and
its Sustainable Communities Act (SB 375), local communities lack
stable funding sources to build out bicycle and trail networks.
Bike paths, trails, and bike parking facilities provide the
crucial safety and security features that are needed for people
of different ages and abilities to choose biking as a mode of
active transportation and recreation. Promotion of bicycling
through a locally approved vehicle registration surcharge
benefits all community members, not just bicyclists or the
motorists who, while not currently bike riders, may become
comfortable enough to try bicycling. The overall community
benefit is exemplified by data showing that for every 1% shift
in commute mode from cars to bikes, there is a 5% reduction in
traffic congestion. Studies enclosed herein show that 'if you
build bike infrastructure, the riders will come', and clear
safety benefits of facilities like protected or separated bike
lanes and paths."
Arguments in support : TransForm argues that according to
Caltrans' 2013 California Household Travel Survey, Californians
are taking twice as many trips by bicycle as they did in 2000,
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and one-third of schoolchildren walk or ride their bikes to
school, but bicycle infrastructure is no keep up with this pace,
leading to unsafe road conditions for both bicyclists and
drivers. TransForm further argues that improving bicycle
infrastructure is a cost-effective way to improve safety
conditions for cyclists and drivers while providing a low-cost,
healthier, and cleaner alternative to driving.
Arguments in opposition : CalTax argues that although raising
revenue to improve bike trails and infrastructure enjoyed by
bicyclists is a noble goal, a vehicle registration surcharge is
not the right approach because bicycle infrastructure
improvements would not directly benefit the drivers who pay the
surcharge. CalTax further argues that roads, bike trails, and
parks already are funded through various taxes and fees imposed
by local governments, and if local entities would like to raise
revenue for these causes they already possess the tools to do
so.
Proposed amendments : The Local Government Committee recommended
several amendments to this bill, but for timing reasons the
amendments could not be adopted in that committee. This
Committee may wish to consider asking the author to accept the
amendments:
1) Require a local agency that imposes the surcharge to
provide an annual report to the Legislature that includes,
but is not be limited to, the amount of revenue collected
and a summary of expenditures and the projects funded.
2) Sunset the authority in 2025.
Double-referral : This bill was also referred to the Local
Government Committee, where it passed on June 18 with a vote of
7-0.
REGISTERED SUPPORT / OPPOSITION :
Support
East Bay Regional Park District (sponsor)
Bike East Bay
Breathe California
California Bicycle Coalition
California Park & Recreation Society
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California State Association of Counties
Coalition for Clean Air
TransForm
Transportation Authority of Marin
Opposition
Alliance of Automobile Manufacturers
Association of California Car Clubs
California Taxpayers Association
Analysis Prepared by : Anya Lawler / TRANS. / (916) 319-2093