BILL ANALYSIS AB 1656 Page 1 ASSEMBLY THIRD READING AB 1656 (Goldberg) As Amended May 15, 2001 Majority vote BUSINESS AND PROFESSIONS 7-3 APPROPRIATIONS 14-7 ----------------------------------------------------------------- |Ayes:|Correa, Cedillo, Corbett, |Ayes:|Migden, Alquist, Aroner, | | |Koretz, Cardoza, Nation, | |Cedillo, Corbett, Correa, | | |Wesson | |Goldberg, Papan, Pavley, | | | | |Simitian, Thomson, | | | | |Wesson, Wiggins, Wright | | | | | | |-----+--------------------------+-----+--------------------------| |Nays:|Bogh, Kelley, Leach |Nays:|Bates, Hollingsworth, | | | | |Daucher, Maldonado, | | | | |Robert Pacheco, Runner, | | | | |Zettel | ----------------------------------------------------------------- SUMMARY : Imposes registration and disclosure requirements on self-service storage facilities that transport household goods. Specifically, this bill : 1)Provides that self-service storage facilities that move household goods, in containers that have been loaded by customers, shall register with the California Public Utilities Commission (CPUC) in accordance with regulations adopted by CPUC. 2)Provides that a storage company shall obtain a customer's written acknowledgement of the company's right to move a storage container from its initial storage location, and provides that the customer has an opportunity to refuse this type of move. EXISTING LAW : 1)Provides that household goods carriers are regulated by CPUC. 2)Provides that self-service storage facilities that transport containers with household goods shall not be subject to regulation by CPUC if the facility complies with specified AB 1656 Page 2 requirements. These requirements include: limits on fees charged to customers; prohibitions on loading, packing or handling the contents of the container by the facility; maintaining cargo insurance; providing customers with specified disclosure information. FISCAL EFFECT : 1)Minor one-time special funds costs (less than $100,000) for CPUC to adopt the required regulations. 2)Minor absorbable ongoing cost for CPUC to enforce the requirements placed on self-storage facilities. COMMENTS : The author notes that current law provides that the transportation by a self-service storage facility of portable containers filled with used household goods and personal effects is exempt from regulation by CPUC if the facility complies with specified requirements. This bill is designed to enhance consumer protections by requiring self-service storage facilities to register with CPUC and ensure that consumers understand that the container with their household goods may be moved away from the storage facility where the container was originally stored. This bill increases disclosure requirements for consumers by requiring the facility to obtain a customer's written acknowledgement that the facility has the right to move a storage container from its initial storage location to a different location (that may be less convenient for the customer). This bill also provides that the customer has an opportunity to refuse this type of move. Analysis Prepared by : Jay Greenwood / B. & P. / (916) 319-3301 FN: 0001081