BILL NUMBER: AB 1656 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 16, 2001
INTRODUCED BY Assembly Member Goldberg
FEBRUARY 23, 2001
An act to amend Section 21701 of the Business and
Professions Code, relating to self-service storage facilities.
An act to amend Sections 21701 and 21701.1 of the
Business and Professions Code, and to amend Section 5109 of, and to
add Section 5139.5 to, the Public Utilities Code, relating to
household goods.
LEGISLATIVE COUNSEL'S DIGEST
AB 1656, as amended, Goldberg. Self-service storage facilities
: household goods .
(1) Exiting law, the California Self Service Storage
Facility Act, defines "self-service storage facility" for the
purposes of that act.
This bill would delete a provision that excluded a warehouse from
the definition of a self-service storage facility.
This bill would provide that a self-service storage facility is a
public utility under the Public Utilities Code.
(2) Existing law provides that the transportation of individual
storage containers to and from a self-service storage facility by the
owner or operator of a self-service storage facility or a household
goods carrier that he or she owns or operates is not subject to
regulation by the Public Utilities Commission under the Household
Goods Carriers Act.
This bill would instead provide that this activity is, with
specified exceptions, subject to regulation by the Public Utilities
Commission.
(3) Existing law defines household goods carrier for purposes of
regulation by the Public Untilities Commission. Existing law
authorizes the commission to establish rules for household goods
carriers.
This bill would expand the definition of household goods carrier
to include used household goods in containers. The bill would
require the commission to adopt necessary regulations to protect
consumer interests and to promote the efficient movement of used
household goods in containers to and from storage facilities.
Vote: majority. Appropriation: no. Fiscal committee:
no yes . State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 21701 of the Business and Professions Code is
amended to read:
21701. For the purposes of this chapter, the following terms
shall have the following meanings:
(a) "Self-service storage facility" means real property designed
and used for the purpose of renting or leasing individual storage
space to occupants who are to have access to the space for the
purpose of storing and removing personal property or for storing
individual storage containers provided to occupants who have
exclusive use of the container for the purpose of storing and
removing personal property, whether or not the individual storage
containers are transported pursuant to Section 21701.1. Self-service
storage facility does not include a garage or other storage area in
a private residence. No occupant may use a self-service storage
facility for residential purposes. A self-service storage facility
is not deemed to be a public utility,
as defined in Section 216 of the Public Utilities Code. If an owner
issues a warehouse receipt, bill of lading, or other document of
title for the personal property stored, the owner and the occupant
are subject to the provisions of Division 7 (commencing with Section
7101) of the Commercial Code, and the provisions of this chapter do
not apply.
(b) "Owner" means the owner, operator, lessor, or sublessor of a
self-service storage facility, his or her agent, or any other person
authorized by him or her to manage the facility, or to receive rent
from an occupant under a rental agreement, and no real estate license
is required.
(c) "Occupant" means a person, or his or her sublessee, successor,
or assign, who is entitled to the use of the storage space at a
self-service storage facility under a rental agreement, to the
exclusion of others.
(d) "Rental agreement" means any written agreement or lease that
establishes or modifies the terms, conditions, rules, or any other
provision concerning the use and occupancy of a self-service storage
facility.
(e) "Personal property" means movable property not affixed to
land, and includes, but is not limited to, goods, merchandise,
furniture, and household items.
(f) "Last known address" means that address provided by the
occupant in the latest rental agreement, or the address provided by
the occupant in a subsequent written notice of a change of address.
SEC. 2. Section 21701.1 of the Business and Professions Code is
amended to read:
21701.1. (a) The owner or operator of a self-service storage
facility or a household goods carrier, may, for a fee, transport
individual storage containers to and from a self-service storage
facility that he or she owns or operates. This transportation
activity , whether performed by an owner, operator, or
carrier, shall not be deemed transportation for compensation or hire
as a business of used household goods and is not shall
be subject to regulation under Chapter 7 (commencing with
Section 5101) of Division 2 of the Public Utilities Code ,
provided that all of the following requirements are met
unless proof of compliance with the following or any other
requirements established by the Public Utilities Commission is
provided to the satisfaction of the Public Utilities Commission
:
(1) The fee charged (A) to deliver an empty individual storage
container to a customer and to transport the loaded container to a
self-service storage facility or (B) to return a loaded individual
storage container from a self-service storage facility to the
customer does not exceed one hundred dollars ($100) or a dollar
amount set by the Public Utilities Commission .
(2) The owner, operator, or carrier, or any affiliate of the
owner, operator, or carrier, does not load, pack, or otherwise handle
the contents of the container.
(3) The owner, operator, or carrier is registered under Chapter 2
(commencing with Section 34620) of Division 14.85 of the Vehicle Code
or holds a permit under Chapter 7 (commencing with Section 5101) of
Division 2 of the Public Utilities Code.
(4) The owner, operator, or carrier has procured and maintained
cargo insurance in the amount of at least twenty thousand dollars
($20,000) per shipment. Proof of cargo insurance coverage shall be
maintained on file and presented to the Department of Motor Vehicles
or Public Utilities Commission upon written request
.
(5) The owner, operator, or carrier shall disclose to the customer
in advance the following information regarding the container
transfer service offered, in a written document separate from others
furnished at the time of disclosure:
(A) A detailed description of the transfer service, including a
commitment to use its best efforts to place the container in an
appropriate location designated by the customer.
(B) The dimensions and construction of the individual storage
containers used.
(C) The unit charge, if any, for the container transfer service
that is in addition to the storage charge or any other fees under the
rental agreement.
(D) The availability of delivery or pickup by the customer of his
or her goods at the self-service storage facility.
(E) The maximum allowable distance, measured from the self-service
storage facility, for the initial pickup and final delivery of the
loaded container.
(F) The precise terms of the company's right to move a container
from the initial storage location at its own discretion and a
statement that the customer will not be required to pay additional
charges with respect to that transfer.
(G) Conspicuous disclosure in bold text of the allocation of
responsibility for the risk of loss or damage to the customer's
goods, including any disclaimer of the company's liability, and the
procedure for presenting any claim regarding loss or damage to the
company.
The disclosure of terms and conditions required by this
subdivision, and the rental agreement, shall be received by the
customer a minimum of 72 hours prior to delivery of the empty
individual storage container; however, the customer may, in writing,
knowingly and voluntarily waive that receipt. The company shall
record in writing, and retain for a period of at least six months
after the end of the rental, the time and method of delivery of the
information, any waiver made by the customer, and the times and dates
of initial pickup and redelivery of the containerized goods.
(6) No later than the time the empty individual storage container
is delivered to the customer, the company shall provide the customer
with an informational brochure containing the following information
about loading the container:
(A) Packing and loading tips to minimize damage in transit.
(B) A suggestion that the customer make an inventory of the items
as they are loaded and keep any other record (for example,
photographs or videotape) that may assist in any subsequent claims
processing.
(C) A list of items that are impermissible to pack in the
container (for example, flammable items).
(D) A list of items that are not recommended to be packed in light
of foreseeable hazards inherent in the company's handling of the
containers and in light of any limitation of liability contained in
the rental agreement.
(b) Pickup and delivery of the individual storage containers shall
be on a date agreed upon between the customer and the company. If
the company requires the customer to be physically present at the
time of pickup, the company shall in fact be at the customer's
premises prepared to perform the service not more than four hours
later than the scheduled time agreed to by the customer and company,
and in the event of a preventable breach of that obligation by the
company, the customer shall be entitled to receive a penalty of fifty
dollars ($50) or other penalty as determined by the Public
Utilities Commission from the company and to elect rescission
of the rental agreement without liability.
(c) No charge shall be assessed with respect to any movement of
the container between self-service storage facilities by the company
at its own discretion, nor for the delivery of a container to a
customer's premises if the customer advises the company, at least 24
hours before the agreed time of container dropoff, orally or in
writing, that he or she is rescinding the request for service.
(d) For purposes of this chapter, "individual storage container"
means a container that meets all of the following requirements:
(1) It shall be fully enclosed and locked.
(2) It contains not less than 100 and not more than 1,100 cubic
feet.
(3) It is constructed out of a durable material appropriate for
repeated use. A box constructed out of cardboard or a similar
material shall not constitute an individual storage container for
purposes of this section.
(e) Nothing in this section shall be construed to limit the
authority of the Public Utilities Commission to investigate and
commence an appropriate enforcement action pursuant to Chapter 7
(commencing with Section 5101) of Division 2 of the Public Utilities
Code against any person transporting household goods in individual
storage containers in a manner other than that described in this
section.
SEC. 3. Section 5109 of the Public Utilities Code is amended to
read:
5109. "Household goods carrier" includes every corporation or
person, their lessees, trustee, receivers or trustees appointed by
any court whatsoever, engaged in the transportation for compensation
or hire as a business by means of a motor vehicle or motor vehicles
being used in the transportation of used household goods , used
household goods in containers, and personal effects over any
public highway in this state.
SEC. 4. Section 5139.5 is added to the Public Utilities Code, to
read:
5139.5. The commission shall adopt the necessary regulations to
promote the efficient movement of used household goods in containers
to and from storage facilities necessary to protect consumer
interests.