BILL NUMBER: AB 1656	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 15, 2001
	AMENDED IN ASSEMBLY  MAY 1, 2001
	AMENDED IN ASSEMBLY  APRIL 16, 2001

INTRODUCED BY   Assembly Member Goldberg

                        FEBRUARY 23, 2001

   An act to amend  Section 21701.1 of, and to add Section 21701.2
to, 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) 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.
   (2) Existing  
   Existing  law defines household goods carrier for purposes of
regulation by the Public Utilities 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  
   This  bill would require the commission to adopt regulations
requiring  specified  self-service storage facilities
 ,  to register with the commission  and would
require them to register with the commission  .
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  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  shall be subject to regulation under Chapter 7
(commencing with Section 5101) of Division 2 of the Public Utilities
Code 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:
   , 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 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: 
   (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).
   (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.  The storage company shall
obtain the customer's written acknowledgement that this type of move
might occur and provide the customer an opportunity to refuse this
type of move  unless the facility in which the customer's goods
are stored is to be closed  .
   (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) 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. 2.  Section 21701.2 is added to the Business and Professions
Code, to read:
   21701.2.  Every self-service storage facility  defined in
Section 21701   that engages in transportation of
individual storage containers pursuant to Section 21701.1  shall
register with the Public Utilities Commission in accordance with the
regulations established by the commission.
  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.  In order to protect consumer interests and to promote the
efficient movement of used household goods in containers to and from
self-service storage facilities, the commission shall adopt
regulations requiring all self-service storage facilities to register
with the commission.  
   5139.5.  In order to monitor whether individual storage containers
are transported in violations of Chapter 7 (commencing with Section
5101) of Division 2 of the Public Utilities Code, the commission
shall adopt regulations requiring those self-service storage
facilities described in Section 21701.2 to register with the
commission.