BILL NUMBER: AB 612 AMENDED
BILL TEXT
AMENDED IN SENATE MAY 29, 2014
AMENDED IN ASSEMBLY MARCH 19, 2013
INTRODUCED BY Assembly Member Nazarian
FEBRUARY 20, 2013
An act to amend Section 21455.7 of the Vehicle Code,
relating to vehicles. An act to amend Sections 5360,
5374, 5385.5, 5385.6, and 5391 of, and to a dd Section
5374.4 to, the Public Utilities Code, relating to transportation.
LEGISLATIVE COUNSEL'S DIGEST
AB 612, as amended, Nazarian. Automated enforcement
systems. Charter-party carriers of passengers:
online-enabled application or platform.
(1) The Passenger Charter-party Carriers' Act, with certain
exceptions, prohibits a charter-party carrier of passengers from
engaging in transportation services subject to regulation by the
Public Utilities Commission without obtaining a specified certificate
or permit, as appropriate, from the commission, and imposes various
other requirements. Existing law imposes certain penalties for
violation of the act. The act defines a charter-party carrier of
passengers as every person engaged in the transportation of persons
by motor vehicle for compensation, whether in common or contract
carriage, over any public highway in this state and includes any
person, corporation, or other entity engaged in the provision of a
hired driver service when a rented motor vehicle is being operated by
a hired driver.
Pursuant to existing law, the commission has adopted rules and
regulations relating to public safety risks in the operation of
transportation network companies. Those rules and regulations define
a transportation network company as an organization that provides
prearranged transportation services for compensation using an
online-enabled application or platform to connect passengers with
drivers using their personal vehicles.
This bill would define a charter-party carrier of passengers to
include a person that uses an online-enabled application or platform
to connect passengers with drivers. The bill would require a
charter-party carrier of passengers to participate in the Department
of Motor Vehicle's Employer Pull Notice Program. The bill would
require persons operating vehicles used in transportation for
compensation under the act to furnish to the Department of Justice a
full set of fingerprints to conduct criminal history record checks
and to cause the results to be reported to the Public Utilities
Commission.
The bill would require assurances of protection against liability
applicable to charter-party carriers under existing law to be primary
and carried by the permit or certificate holder. The bill would
require the commission to develop a standard disclosure agreement
with respect to drivers who make themselves available for services
with charter-party carriers of passengers that utilize an
online-enabled application or platform to connect passengers with
drivers.
The bill would make expressly applicable to carriers that use an
online-enabled application or platform to connect passengers with
drivers certain provisions relating to the issuance of decals and
special license plates.
(2) Because a violation of these provisions would be a crime, the
bill would impose a state-mandated local program.
(3) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that no reimbursement is required by this
act for a specified reason.
Existing law requires the minimum yellow light change interval at
an intersection at which there is an automated enforcement system in
operation to be established in accordance with the Traffic Manual of
the Department of Transportation. Existing law provides that the
minimum yellow light change intervals relating to designated approach
speeds provided in the manual are mandatory minimum yellow light
change intervals.
This bill, instead, would require the minimum yellow light change
interval for all movements at an intersection at which there is an
automated enforcement system in operation to be established at one
second beyond the yellow light change intervals relating to
designated approach speeds provided in the California Manual on
Uniform Traffic Control Devices, or its successor. The bill would
provide that those minimum yellow light change intervals are
mandatory minimum yellow light change intervals, and that a citation
issued by a law enforcement agency shall be dismissed if the local
governmental agency or local authority has not established the yellow
light change intervals in compliance with the requirements of this
section.
Vote: majority. Appropriation: no. Fiscal committee: no
yes . State-mandated local program: no
yes .
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 5360 of the Public
Utilities Code is amended to read:
5360. Subject to the exclusions of Section 5353, "charter-party
carrier of passengers" means every person engaged in the
transportation of persons by motor vehicle for compensation, whether
in common or contract carriage, over any public highway in this state
, and includes any person that uses an online-enabled
application or platform to connect passengers with drivers .
"Charter-party carrier of passengers" includes any person,
corporation, or other entity engaged in the provision of a hired
driver service when a rented motor vehicle is being operated by a
hired driver.
SEC. 2. Section 5374 of the Public
Utilities Code is amended to read:
5374. (a) (1) Before a permit or certificate is issued or
renewed, the commission shall require the applicant to establish
reasonable fitness and financial responsibility to initiate and
conduct or continue to conduct the proposed or existing
transportation services. The commission shall not issue or renew a
permit or certificate pursuant to this chapter unless the applicant
meets all of the following requirements:
(A) It is financially and organizationally capable of conducting
an operation that complies with the rules and regulations of the
Department of the California Highway Patrol governing highway safety.
(B) It is committed to observing the hours of service regulations
of state and, where applicable, federal law, for all persons, whether
employees or subcarriers, operating vehicles in transportation for
compensation under the certificate.
(C) It has a preventive maintenance program in effect for its
vehicles used in transportation for compensation that conforms to
regulations of the Department of the California Highway Patrol in
Title 13 of the California Code of Regulations.
(D) It participates in a program the
Department of Motor Vehicle's Employer Pull Notice Program to
regularly check the driving records of all persons, whether employees
or subcarriers, operating vehicles used in transportation for
compensation.
(E) It has a safety education and training program in effect for
all employees or subcarriers operating vehicles used in
transportation for compensation.
(F) It will maintain its vehicles used in transportation for
compensation in a safe operating condition and in compliance with the
Vehicle Code and with regulations contained in Title 13 of the
California Code of Regulations relative to motor vehicle safety.
(G) It has filed with the commission the certificate of workers'
compensation insurance coverage or statement required by Section
5378.1.
(H) It has provided the commission an address of an office or
terminal where documents supporting the factual matters specified in
the showing required by this subdivision may be inspected by the
commission and the Department of the California Highway Patrol.
(I) It provides for a mandatory controlled substance and alcohol
testing certification program as adopted by the commission pursuant
to Section 1032.1.
(J) Subparagraphs (C), (F), and (H) do not apply to a
charter-party carrier of passengers engaged in the provision of a
hired driver service when a rented motor vehicle is being operated by
the hired driver.
(2) With respect to subparagraphs (B) and (F) of paragraph (1),
the commission may base a finding on a certification by the
commission that an applicant has filed, with the commission, a sworn
declaration of ability to comply and intent to comply.
(3) The commission may require, as a precondition to the issuance
of a permit or certificate, the procurement of a performance bond
sufficient to facilitate the collection of fines, penalties, and
restitution related to enforcement actions that can be taken against
the applicant.
(b) In addition to the requirements in subdivision (a),
charter-party carriers shall meet all other state and, where
applicable, federal regulations as prescribed.
(c) The commission may delegate to its executive director or that
executive director's designee the authority to issue, renew, or
authorize the transfer of, charter-party carrier permits or
certificates and to make the findings specified in subdivision (a)
that are necessary to that delegated authority.
SEC. 3. Section 5374.4 is added to the
Public Utilities Code , to read:
5374.4. Notwithstanding any other law, the commission shall
require all persons, whether employees or subcarriers, operating
vehicles used in transportation for compensation under this chapter
to furnish to the Department of Justice a full set of fingerprints
for purposes of conducting criminal history record checks, and to
cause the results of those record checks to be reported to the
commission.
SEC. 4. Section 5385.5 of the Public
Utilities Code is amended to read:
5385.5. For motor vehicles designed to carry not more than eight
passengers, including the driver, the commission shall issue a
suitable decal for purposes of Section 5385, for each vehicle
registered with the commission and operated by a charter-party
carrier of passengers holding a valid permit or certificate of public
convenience and necessity , including any carrier that uses an
online-enabled application or platform to connect passengers with
drivers . The decal with an identifying symbol shall be a
minimum size of two and one-half inches by six inches, and shall be
affixed to the lower right hand corner of the rear bumper of the
vehicle.
SEC. 5. Section 5385.6 of the Public
Utilities Code is amended to read:
5385.6. (a) No charter-party carrier , including any carrier
that uses an online-enabled application or platform to connect
passengers with drivers, shall operate a limousine as defined
by Section 5371.4 unless the limousine is equipped with the special
license plates issued and distributed by the Department of Motor
Vehicles pursuant to Section 5011.5 of the Vehicle Code.
(b) The commission shall issue to each charter-party carrier
operating limousines a permit or certificate for the number of
vehicles verified by the carrier as employed in providing limousine
service. The permit or certificate shall be submitted to the
Department of Motor Vehicles, which will issue to each verified
vehicle a set of unique, identifying license plates. The department
shall maintain a record of each set of plates it issues and provide a
copy of each record to the commission.
(c) The commission shall recover from any carrier whose permit or
certificate is cancelled, suspended, or revoked any and all plates
issued pursuant to this section.
(d) The special license plate shall be in lieu of the decal
required to be issued and displayed pursuant to Section 5385.5.
(e) This section shall become operative on July 1, 1995.
SEC. 6. Section 5391 of the Public
Utilities Code is amended to read:
5391. (a) The commission shall, in granting
permits or a certificate pursuant to this chapter, require the
charter-party carrier of passengers to procure, and to continue in
effect during the life of the permit or certificate, adequate
protection against liability imposed by law upon the charter-party
carrier of passengers for the payment of damages for personal bodily
injuries, including death resulting therefrom, protection against a
total liability of the charter-party carrier of passengers on account
of bodily injuries to, or death of, more than one person as a result
of any one accident, and protection against damage or destruction of
property. The requirements for these assurances of
protection against liability shall be primary and shall be
carried by the permit or certificate holder. The minimum
requirements for such these assurances
of protection against liability shall not be less than the
requirements which that are applicable
to operations conducted under certificates of public convenience and
necessity issued pursuant to the provisions of Article 2 (commencing
with Section 1031), Chapter 5, Part 1, Division 1, of this code, and
the rules and regulations prescribed pursuant thereto shall apply to
charter-party carriers of passengers.
(b) The commission shall develop a standard disclosure agreement
with respect to drivers who make themselves available for services
with charter-party carriers of passengers that utilize an
online-enabled application or platform to connect passengers with
drivers. The standard disclosure agreement shall be part of a written
agreement between the driver and the charter-party carrier of
passengers, and shall provide information to the driver about
insurance coverage and limits of liability coverage and advise the
driver that their personal automobile insurance policy may not
provide coverage when they are operating a vehicle as part of that
charter-party carrier of passengers operation. The standard
disclosure agreement shall be in writing and shall be signed by each
driver participating in this type of arrangement with a charter-party
carrier of passengers. Standard disclosure agreement records of
charter-party carriers of passengers shall be subject to review and
audit by the commission at its discretion.
SEC. 7. No reimbursement is required by this act
pursuant to Section 6 of Article XIII B of the California
Constitution because the only costs that may be incurred by a local
agency or school district will be incurred because this act creates a
new crime or infraction, eliminates a crime or infraction, or
changes the penalty for a crime or infraction, within the meaning of
Section 17556 of the Government Code, or changes the definition of a
crime within the meaning of Section 6 of Article XIII B of the
California Constitution.
SECTION 1. Section 21455.7 of the Vehicle Code
is amended to read:
21455.7. (a) At an intersection at which there is an automated
enforcement system in operation, the minimum yellow light change
interval for all movements shall be established at one second beyond
the yellow light change intervals relating to designated approach
speeds provided in the California Manual on Uniform Traffic Control
Devices, or its successor.
(b) The minimum yellow light change intervals established pursuant
to subdivision (a) are mandatory minimum yellow light change
intervals. A citation issued by a law enforcement agency shall be
dismissed if the local governmental agency or local authority has not
established the yellow light change intervals in compliance with the
requirements of this section.
(c) A yellow light change interval may exceed the minimum interval
established pursuant to subdivision (a).