BILL NUMBER: AB 2858 AMENDED
BILL TEXT
AMENDED IN SENATE JUNE 28, 2004
AMENDED IN SENATE JUNE 15, 2004
AMENDED IN ASSEMBLY MAY 13, 2004
AMENDED IN ASSEMBLY APRIL 22, 2004
INTRODUCED BY Assembly Member Ridley-Thomas
FEBRUARY 20, 2004
An act to amend Section 5374 of, and to add Section
Sections 1032.2 and 5384.7 to, the Public
Utilities Code, relating to charter-party carriers of passengers.
LEGISLATIVE COUNSEL'S DIGEST
AB 2858, as amended, Ridley-Thomas. Charter-party carriers of
passengers: drivers and key employees: background checks.
The Transportation Security Administration of the United States
Department of Transportation, administered by the Undersecretary of
Transportation for Security, is responsible for carrying out measures
to ensure aviation security, including hiring, training, and
retention of personnel for the security screening of passengers and
baggage and conducting background checks for individuals with access
to secure areas of airports regularly serving an air carrier holding
a certificate issued by the Secretary of Transportation. Individuals
with specified criminal backgrounds or other factors as determined by
the Undersecretary, are disqualified from employment with an air
carrier or airport operator, if they will have access to secured
areas. The Undersecretary is required to adopt measures to improve
secured-area access control, including working with airport operators
to strengthen access control points in secured areas, including air
traffic control operations areas, maintenance areas, crew lounges,
baggage handling areas, concessions, and catering delivery areas.
The California Constitution establishes the Public Utilities
Commission, with jurisdiction over all public utilities and
authorizes the Legislature, unlimited by the other provisions of the
Constitution, to confer additional authority and jurisdiction upon
the commission that is cognate and germane to the regulation of
public utilities. Charter-party carriers of passengers are subject
to the jurisdiction and control of the commission under the Passenger
Charter-Party Carriers' Act and passenger stage corporations
are subject to the jurisdiction and control of the commission under
the Public Utilities Act . The act requires a
Any charter-party carrier of passengers or
passenger stage corporation is required to obtain from the
commission a certificate that of public
convenience and necessity require the for
operation, except that certain specific transportation services
may be conducted under authority of a permit issued by the
commission to a charter-party carrier of passengers . The
act prohibits the commission is prohibited
from issuing or renewing a permit of a charter-party
carrier of passengers, and is authorized to suspend or revoke the
operating right or certificate of a passenger stage corporation,
unless the applicant has met specified requirements.
This bill would require the commission to adopt regulations
establishing standards and procedures to investigate the criminal
background of candidates seeking certificates for employment as
drivers or key employees, as defined, with charter-party carriers of
passengers and passenger stage corporations that provide
passenger transportation to or from airports or railroad terminals
serving passenger trains. The bill would require the commission to
restrict a charter-party carrier of passengers and passenger
stage corporations to employment of individuals approved for
that employment by the commission, based on successful completion of
the criminal background investigation. The bill would impose civil
penalties for a violation of that employment restriction. The bill
would require the commission to issue an identification credential to
each applicant that successfully completes that criminal background
investigation process and would require that all drivers employed by
a charter-party carrier of passengers and passenger stage
corporations carry the identification credential at all times
on airport property. The bill would impose civil penalties for a
failure to produce the credential at the request of airport law
enforcement officers. Repeated violations would be grounds for
revocation of the a carrier's permit
or the certificate of public convenience and necessity of a
passenger stage corporation . The bill would require the
commission to provide for a fee to be charged of the
to charter-party carrier
carriers of passengers or passenger stage corporations
and collected by the commission, sufficient to cover certain
related costs.
The bill would prohibit the commission from issuing or renewing a
permit for a charter-party carrier applicant providing transportation
to or from airports or railroad terminals serving passenger trains
unless it certifies its drivers have successfully completed a
criminal history background check and have been issued an
identification credential.
The bill would prohibit employees and agents of a charter-party
carrier or passenger stage corporation from communicating
to any other person any information related to the disqualification
of a driver or key employee, and would authorize a person
disqualified from employment pursuant to the provisions of the bill
to request a hearing by the commission to present evidence of
rehabilitation and in support of employment.
The bill would provide that persons endorsed or certified as
drivers of school pupil activity buses are deemed to meet the bill's
requirements for entry into an airport or railroad terminal. The
bill would require the Department of Motor Vehicles to notify the
commission whenever the department determines that the holder of such
an endorsement has a violation or conviction warranting suspension
or revocation of the endorsement or certificate.
A violation of the act Public Utilities
Act or the Passenger Charter-Party Carriers' Act or of an order
or other requirement of the commission in enforcing that
act those acts is a crime.
Because the provisions of this bill would be a part of
the one or the other act and a violation of the
bill's provisions or of an order or other requirement of the
commission implementing those provisions would be a crime, the bill
would impose a state-mandated local program by creating new crimes.
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.
The bill would become operative on July 1, 2005.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. It is the intent of the Legislature to reaffirm its
commitment to passenger stage corporations and homeland
security as it relates to charter-party carriers of passengers and
their employees who drive passengers to and from airports. The
purpose of this act is to ensure that procedures and regulations are
in place consistent with the airport security programs operated by
airports in this state, to assure the traveling public that drivers
or key employees of privately engaged carriers have been through
security clearances, and to provide uniformity in credentialing among
passenger stage corporations and charter-party carriers
of passengers.
SEC. 2. Section 1032.2 is added to the Public Utilities Code,
to read:
1032.2. (a) A passenger stage corporation applicant providing
transportation to or from airports, or to or from any railroad
terminal serving passenger trains, shall certify its drivers and key
employees have successfully completed a criminal history background
check and have been issued an identification credential in accordance
with this section. For purposes of this section, "key employees"
mean the officers and directors of the corporation or, if the
passenger stage corporation is otherwise organized, the owner or
partners of the passenger stage corporation.
(b) The commission shall adopt regulations, in accordance with
this section to establish standards and procedures to investigate the
background of candidates seeking certificates for employment as
drivers or key employees with passenger stage corporations that
provide passenger transportation to or from airports, or to or from
any railroad terminal serving passenger trains. These regulations
shall require the use of criminal history information to determine
whether applicants for employment as drivers or key employees have a
conviction for a qualifying felony crime that would disqualify them
from being hired as drivers or key employees because they would be a
threat to the safety of the public if employed as drivers or key
employees of the passenger stage corporation.
(c) The commission shall provide, by regulation, that a
fingerprint-based criminal background investigation performed by the
Department of Justice be used to determine past convictions for the
following specified criminal acts that disqualify the applicant for
employment in this capacity:
(1) Unlawful transportation of a hazardous material (49 U.S.C.
Sec. 46312).
(2) Carrying a weapon or explosive aboard an aircraft (49 U.S.C.
Sec. 46505).
(3) Unlawful entry into an aircraft or airport area that serves
air carriers or foreign air carriers contrary to established security
requirements (49 U.S.C. Sec. 46314).
(4) Destruction of an aircraft or aircraft facility (18 U.S.C.
Sec. 32).
(5) Violence at international airports (18 U.S.C. Sec. 37).
(6) Unlawful possession, use, sale, distribution, or manufacture
of an explosive, incendiary device, or assault weapon.
(7) Felony arson.
(8) Hate crime, as described in paragraph (2) of subdivision (b)
of Section 628.1 of the Penal Code, including, but not limited to,
offenses in Title 11.6 (commencing with Section 422.6) of Part 1 of
the Penal Code.
(9) Conspiracy or attempt to commit any of the criminal acts
listed in paragraphs (1) to (8), inclusive.
The commission shall ensure, by regulation, compliance with
Section 50.12 of Title 28 of the Code of Federal Regulations as it
exists on January 1, 2003, with regard to records of the Federal
Bureau of Investigation, and provide similar requirements with regard
to state records.
(d) The commission shall require, by regulation, that a passenger
stage corporation may only employ an individual as a driver of
passengers to or from airports, or to or from any railroad terminal
serving passenger trains or as a key employee if that individual has
been approved for that employment by the commission, based on
successful completion of the criminal background investigation. This
requirement shall apply retroactively to drivers and key employees
employed on or after January 1, 2003, and to all future applicants.
Employment of individuals not approved as drivers or key employees by
a passenger stage corporation shall constitute a violation of the
regulations and subject the corporation to civil penalties not to
exceed two thousand dollars ($2,000) per incident. Repeated
violations of this nature shall be grounds for revocation of the
passenger stage corporation's certificate.
While a criminal background investigation is pending, a driver or
key employee may be employed by the passenger state corporation.
This section does not prohibit a passenger stage corporation from
employing a driver who is disqualified pursuant to this article from
being employed by the corporation in a capacity that does not involve
driving passengers to or from airports or to or from any railroad
terminal serving passenger trains. A passenger stage corporation
shall inform an applicant for employment as a driver or key employee,
both on the employment application and through oral communication,
of the requirements of this section and the consequences that may
occur if the driver or key employee is disqualified from employment.
(e) The commission shall require, by regulation, that passenger
stage corporations require applicants who are offered employment as a
driver of a motor vehicle providing passenger transportation to or
from airports, or to or from any railroad terminal serving passenger
trains, or as a key employee, to submit fingerprints and other
pertinent information, as required by the regulations, to the
commission or its designee for the purpose of obtaining criminal
background information.
(f) The commission shall require an applicant who is described in
subdivision (e) to have his or her fingerprint images captured and
related information provided for submission to the Department of
Justice for the purpose of obtaining information as to the existence
and nature of any record of state or federal convictions and state or
federal arrests for which the Department of Justice establishes that
the applicant was released on bail or on his or her own recognizance
pending trial, and for the purpose of determining whether the
applicant is disqualified pursuant to subdivision (c). Requests for
federal level criminal offender record information received by the
Department of Justice pursuant to this section shall be forwarded to
the Federal Bureau of Investigation by the Department of Justice.
(1) The Department of Justice shall respond to the commission with
information pursuant to subdivision (p) of Section 11105 of the
Penal Code.
(2) The Department of Justice shall assess a fee sufficient to
cover all of its processing costs generated from or associated with
the implementation of this section.
(3) The commission shall request, from the Department of Justice,
subsequent arrest notification as provided by Section 11105.2 of the
Penal Code, for all applicants described in subdivision (e).
(g) The commission shall review all information received from the
passenger stage corporation and the Department of Justice pursuant to
the regulations. All information received by the commission shall
be held as confidential, except that if employment is to be denied
based on criminal history information, the commission shall notify
the passenger stage corporation of the applicant's disqualification,
and provide a copy of the history and an explanation of the denial to
the applicant. Employees and agents of a passenger stage
corporation are prohibited from communicating to any other person any
information related to the disqualification of a driver or key
employee. A person who is disqualified pursuant to this section may
request a hearing by the commission to present evidence that,
notwithstanding the grounds for disqualification, he or she is fully
rehabilitated and should be permitted employment. The commission may
grant any relief it deems appropriate, including restoration of the
right of employment.
(h) The commission shall provide, by regulation, that an
identification credential be issued to each applicant that
successfully completes that criminal background investigation
process.
(i) The commission shall provide, by regulation, that all drivers
and key employees employed by a passenger stage corporation shall
carry the identification credential at all times on airport property,
and shall produce the credential for inspection upon request of
airport law enforcement officers. Failure to produce the credential
at the request of airport law enforcement officers shall constitute a
violation of the regulations and subject the driver and the
corporation to civil penalties not to exceed five hundred dollars
($500) per incident. Repeated violations of this nature shall be
grounds for revocation of the corporation's certificate.
(j) The commission shall provide, by regulation, for a fee to be
charged of the passenger stage corporation, to be collected by the
commission, sufficient to cover the costs of the commission for
processing fingerprint records, reviewing documents, and issuing
identification credentials pursuant to this section. The fee shall
include any fee assessed by the Department of Justice pursuant to
this section. An employee or applicant for employment may not be
charged a fee for the performance of the criminal background check
required by this section, other than a fee charged for the capture of
the fingerprint image and obtaining the related information.
(k) Any person with an endorsement or certificate authorizing
operation of a school pupil activity bus pursuant to Section 13369 of
the Vehicle Code shall be deemed to have met the requirements of
this section for entry into an airport or railroad terminal. The
Department of Motor Vehicles shall notify the commission whenever it
determines that a disqualifying violation or conviction exists under
Section 13370 of the Vehicle Code to suspend or revoke an endorsement
or certificate for operation of a school pupil activity bus. The
notice shall identify the individual and the cause for suspension or
revocation.
SEC. 3. Section 5374 of the Public Utilities Code is amended
to read:
5374. (a) Before a permit 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 pursuant to this
chapter, unless the applicant meets all of the following
requirements:
(1) It certifies on a form acceptable to the commission that the
applicant will maintain its vehicles 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.
(2) It provides for a mandatory controlled substance and alcohol
testing certification program as adopted by the commission pursuant
to Section 1032.1.
(3) A charter-party carrier applicant providing transportation to
or from airports, or to or from any railroad terminal serving
passenger trains, certifies its drivers and key employees have
successfully completed a criminal history background check and have
been issued an identification credential in accordance with Section
5384.7. For purposes of this section, "key employees" mean the owner
or partner of the charter-party carrier or, if the carrier is a
corporation, the officers and directors of the corporation.
(b) (1) Before a 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 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 to regularly check the driving
records of all persons, whether employees or subcarriers, operating
vehicles used in transportation for compensation requiring a class B
driver's license under the certificate.
(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.
(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.
(c) In addition to the requirements in subdivision (b), class A
and class B charter-party carriers shall meet all other state and,
where applicable, federal regulations as prescribed.
(d) The commission may delegate to its executive director or his
or her designee the authority to renew, or authorize the transfer of,
charter-party carrier permits or certificates and to make the
findings specified in subdivision (b) that are necessary to that
delegated authority.
SEC. 3.
SEC. 4. Section 5384.7 is added to the Public Utilities
Code, to read:
5384.7. (a) The commission shall adopt regulations , in
accordance with this section and Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code,
to establish standards and procedures to investigate the
background of candidates seeking certificates for employment as
drivers or key employees with charter-party carriers of passengers
that provide passenger transportation to or from airports, or to or
from any railroad terminal serving passenger trains. These
regulations shall direct the Carriers Branch of the commission, which
licenses charter-party carriers of passengers, to use criminal
history information to determine whether applicants for employment as
drivers or key employees have a conviction for a qualifying felony
crime that would disqualify them from being hired as drivers or key
employees because they would be a threat to the safety of the public
if employed as drivers or key employees of the charter-party carrier.
(b) The commission shall provide, by regulation, that a
fingerprint-based criminal background investigation performed by
the Department of Justice be used to determine past
convictions for the following specified criminal acts that disqualify
the applicant for employment in this capacity:
(1) Unlawful transportation of a hazardous material (49 U.S.C.
Sec. 46312).
(2) Carrying a weapon or explosive aboard an aircraft (49 U.S.C.
Sec. 46505).
(3) Unlawful entry into an aircraft or airport area that serves
air carriers or foreign air carriers contrary to established security
requirements (49 U.S.C. Sec. 46314).
(4) Destruction of an aircraft or aircraft facility (18 U.S.C.
Sec. 32).
(5) Violence at international airports (18 U.S.C. Sec. 37).
(6) Unlawful possession, use, sale, distribution, or manufacture
of an explosive, incendiary device, or assault weapon.
(7) Felony arson.
(8) Hate crime, as described in paragraph (2) of subdivision (b)
of Section 628.1 of the Penal Code, including, but not limited to,
offenses in Title 11.6 (commencing with Section 422.6) of Part 1 of
the Penal Code.
(9) Conspiracy or attempt to commit any of the criminal acts
listed in paragraphs (1) to (8), inclusive.
(c) The commission shall ensure, by regulation, compliance with
Section 50.12 of Title 28 of the Code of Federal Regulations as it
exists on January 1, 2003, with regard to records of the Federal
Bureau of Investigation, and provide similar requirements with regard
to state records.
(d) The commission shall require, by regulation, that a
charter-party carrier of passengers may only employ an individual as
a driver of passengers to or from airports, or to or from any
railroad terminal serving passenger trains or as a key employee if
that individual has been approved for that employment by the
commission, based on successful completion of the criminal background
investigation. This requirement shall apply retroactively to
drivers and key employees employed on or after January 1, 2003, and
to all future applicants. Employment of individuals not approved as
drivers or key employees by a charter-party carrier of passengers
shall constitute a violation of the regulations and subject the
carrier to civil penalties not to exceed two thousand dollars
($2,000) per incident. Repeated violations of this nature shall be
grounds for revocation of the carrier's permit.
While a criminal background investigation is pending, a driver or
key employee may be employed by the carrier. This section does not
prohibit a charter-party carrier from employing a driver who is
disqualified pursuant to this article from being employed by the
carrier in a capacity that does not involve driving passengers to or
from the airport. A charter-party carrier subject to this article
shall inform an applicant for employment as a driver or key employee,
both on the employment application and through oral communication,
of the requirements of this chapter and the consequences that may
occur if the driver or key employee is disqualified from employment.
If the charter-party carrier is a subcarrier that does not employ
any drivers other than the holder of the permit to operate as a
charter-party carrier, the subcarrier shall be treated as an employee
of the parent carrier for the purposes of complying with the
criminal background check requirements of this section and Section
5374.
(e) The commission shall require, by regulation, that
charter-party carriers of passengers require applicants who are
offered employment as a driver of a motor vehicle providing passenger
transportation to or from airports, or to or from any railroad
terminal serving passenger trains, or as a key employee, to submit
fingerprints and other pertinent information, as required by the
regulations, to the commission or its designee for the
purpose of obtaining criminal background information.
(f) The commission shall require an applicant who is described in
subdivision (e) to have his or her fingerprint images captured and
related information provided for submission to the Department of
Justice for the purpose of obtaining information as to the existence
and nature of any record of state or federal convictions and state or
federal arrests for which the Department of Justice establishes that
the applicant was released on bail or on his or her own recognizance
pending trial , and for the purpose of determining whether the
applicant is disqualified pursuant to subdivision (b) .
Requests for federal level criminal offender record information
received by the Department of Justice pursuant to this section shall
be forwarded to the Federal Bureau of Investigation by the Department
of Justice.
(1) The Department of Justice shall respond to the commission with
information pursuant to subdivision (p) of Section 11105 of the
Penal Code.
(2) The Department of Justice shall assess a fee sufficient to
cover all of its processing costs generated from or associated with
the implementation of this section.
(3) The commission shall request, from the Department of Justice,
subsequent arrest notification as provided by Section 11105.2 of the
Penal Code, for all applicants described in subdivision (e).
(g) The commission shall review all information received from the
charter-party carrier of passengers and the Department of Justice
pursuant to the regulations. All information received by the
commission shall be held as confidential, except that if employment
is to be denied based on criminal history information, the commission
shall notify the charter-party carrier of passengers of the
applicant's disqualification, and provide a copy of the history and
an explanation of the denial to the applicant. Employees and agents
of a charter-party carrier of passengers are prohibited from
communicating to any other person any information related to the
disqualification of a driver or key employee. A person who is
disqualified pursuant to this section may request a hearing by the
commission to present evidence that, notwithstanding the grounds for
disqualification, he or she is fully rehabilitated and should be
permitted employment. The commission may grant any relief it deems
appropriate, including restoration of the right of employment.
(h) The commission shall provide, by regulation, that an
identification credential be issued to each applicant that
successfully completes that criminal background investigation
process.
(i) The commission shall provide, by regulation, that all drivers
and key employees employed by a charter-party carrier of passengers
shall carry the identification credential at all times on airport
property, and shall produce the credential for inspection upon
request of airport law enforcement officers. Failure to produce the
credential at the request of airport law enforcement officers shall
constitute a violation of the regulations and subject the driver and
the carrier to civil penalties not to exceed five hundred dollars
($500) per incident. Repeated violations of this nature shall be
grounds for revocation of the carrier's permit.
(j) The commission shall provide, by regulation, for a fee to be
charged of the charter-party carrier of passengers, to be collected
by the commission, sufficient to cover the costs of the commission
for processing fingerprint records, reviewing documents, and issuing
identification credentials pursuant to this section. The fee shall
include any fee assessed by the Department of Justice pursuant to
this section. An employee or applicant for employment may not be
charged a fee for the performance of the criminal background check
required by this section, other than a fee charged for the capture of
the fingerprint image and obtaining the related information.
(k) Any person with an endorsement or certificate authorizing
operation of a school pupil activity bus pursuant to Section 13369 of
the Vehicle Code shall be deemed to have met the requirements of
this section for entry into an airport or railroad terminal. The
Department of Motor Vehicles shall notify the commission whenever it
determines that a disqualifying violation or conviction exists under
Section 13370 of the Vehicle Code to suspend or revoke an endorsement
or certificate for operation of a school pupil activity bus. The
notice shall identify the individual and the cause for suspension or
revocation.
(l) For the purposes of this section, "key employees" mean the
owner or partner of the charter-party carrier or, if the carrier is a
corporation, the officers and directors of the corporation.
SEC. 4. 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.
SEC. 5. This act shall become operative on July 1, 2005.