BILL ANALYSIS Ó AB 3 Page 1 Date of Hearing: May 11, 2011 ASSEMBLY COMMITTEE ON APPROPRIATIONS Felipe Fuentes, Chair AB 3 (Miller) - As Amended: April 14, 2011 Policy Committee: TransportationVote:14-0 Urgency: No State Mandated Local Program: No Reimbursable: No SUMMARY This bill requires the Department of Motor Vehicles (DMV) to provide notice of outstanding toll evasion violations to individuals who have requested a confidential home address. Specifically, this bill: 1)Requires DMV to provide notice of outstanding toll evasion violations to an individual who has requested a confidential home address from DMV and authorizes the department to collect a fee from such an individual to cover administrative costs. 2)Suspends the statutory time period for collection of the toll evasion violation and tolling charges until the vehicle owner receives notice of the violation from DMV. 3)Requires the notice to meet existing legal standards for such notices. 4)Directs DMV to refuse to renew the registration of a vehicle if the agency responsible for processing a violation has filed or electronically transmitted to DMV an itemized notice of the unpaid toll evasion violation, DMV has mailed notice to the vehicle owner and the vehicle owner has not paid the penalty. FISCAL EFFECT 1)According to DMV, its automated vehicle registration notice system would need significant modification, entailing millions of dollars, to be capable of serving as the legal notice of outstanding toll evasion violation, which DMV describes this as cost-ineffective. (Motor Vehicle Account.) AB 3 Page 2 2)Potential increased revenue to local governments of an unknown amount, but possibly in the millions of dollars annually, resulting from an increased ability to collect unpaid toll violations or from a reduction in toll violations. While this revenue to local governments may be greater than the costs to DMV to modify its automated vehicle registration notice system, the revenue would accrue locally while the costs would fall on the state agency. COMMENTS 1)Rationale . According to the author, this bill will allow local governments to collect millions of dollars in unpaid fines for toll evasion violations. An investigation by the Orange County Register in 2008 revealed thousands of unpaid violations and tolls accrued by peace officers and other individuals whose DMV records subject to enhanced confidentiality. Such confidentiality of DMV records makes it prohibitively difficult for toll operators to obtain the address of certain toll evaders. As a result, the toll operators cannot notify the violators of their unpaid fines and, as a result, the toll agencies are unable to collect the fines. These unpaid tolls and fines cost agencies in Orange County over $5 million over the prior five years. 2)Background . a) All DMV Records Confidential, but Some Records More Confidential Than Others. Until 1989, DMV records were generally considered public records and any person who had a legitimate reason to seek a home address of a particular person in the DMV files could obtain it simply by producing the relevant driver's license number or a license plate number. In 1986, legislation was enacted creating a list of public officials whose home addresses were to be kept confidential by the DMV. Under this legislation, the home addresses of peace officers and others on the statutory list may only be disclosed to a court, a law enforcement agency, the BOE, or any governmental agency legally required to be furnished that information. As a matter of practice, DMV records for these individuals only show the individual's employer's name (and no address). Home addresses may be retrieved only through a time consuming manual process. Over the years, the number of groups AB 3 Page 3 covered by the enhanced confidentiality statutes has increased, to the point where about 1.5 million persons are currently covered. b) In response to a stalking and murder case, the Legislature passed AB 1779 (Roos), Chapter 1213, Statutes of 1989, which made confidential the home addresses of all individuals with records at the DMV. The level of confidentiality is similar to that enjoyed by public officials protected by the 1986 legislation, except that disclosures may also be made, in limited circumstances, to financial institutions, insurance companies, attorneys, vehicle manufacturers, and persons doing statistical research. c) Toll Road Operator Unable To Collect Fines. In keeping with current law, DMV does not provide road agencies with the home addresses of individuals whose records are subject to enhanced confidentiality. As a result, toll road operators oftentimes unable to collect fines for toll evasion committed by such individuals. 3)Other Related Legislation. AB 996 (Spitzer) of 2008 would have addressed this situation by allowing toll and parking enforcement agencies access to records of those covered by the special confidentiality statutes. That measure was vetoed. 4)Support . This bill is supported by the Bay Area Toll Authority, Metropolitan Transportation Commission, the Automobile Club of California, the Automobile Club of Southern California and others. 5)There is no registered opposition to this bill. Analysis Prepared by : Jay Dickenson / APPR. / (916) 319-2081