AB 612, as amended, Nazarian. Charter-party carriers of passengers: permit requirements: drivers.
The Passenger Charter-party Carriers’ Act, with certain exceptions, prohibits a charter-party carrier of passengers from engaging in transportation services subject to regulation by the Public Utilities Commission without obtaining a specified certificate or permit, as appropriate, from the commission, subject to various requirements. The act defines a charter-party carrier of passengers as every person engaged in the transportation of persons by motor vehicle for compensation, whether in common or contract carriage, over any public highway in this state and includes any person, corporation, or other entity engaged in the provision of a hired driver service when a rented motor vehicle is being operated by a hired driver.
This bill would prohibit the commission from issuing or renewing a permit or certificate to a charter-party carrier of passengers unless the applicant, in addition to existing requirements, participates in the Department of Motor Vehicles Employer Pull Notice Program and provides for mandatory Department of Justice background checks of every driver who is either employed by or under contract to the applicant, as specified.
The bill would also require any driver who is either under contract to, or employed by, the carrier to operate a vehicle used in transportation for compensation under the act to furnish classifiable fingerprint cards which the carrier would be required to forward to the Department of Justice to conduct a criminal history background check, as specified and would prohibit the carrier from employing or contracting with a driver who fails that check, as specified.end delete
(2) Because a violation of these provisions would be a crime, the bill would impose a state-mandated local program.
(3) 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.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.
The people of the State of California do enact as follows:
Section 5374 of the Public Utilities Code is amended
(a) (1) Before a permit or certificate is issued or
8renewed, the commission shall require the applicant to establish
9reasonable fitness and financial responsibility to initiate and
10conduct or continue to conduct the proposed or existing
11transportation services. The commission shall not issue or renew
12a permit or certificate pursuant to this chapter unless the applicant
13meets all of the following requirements:
14(A) It is financially and organizationally capable of conducting
15an operation that complies with the rules and regulations of the
16Department of the California Highway Patrol governing highway
18(B) It is committed to observing the hours of service regulations
19of state and, where applicable, federal law, for all persons, whether
20employees or subcarriers, operating vehicles in transportation for
21compensation under the certificate.
22(C) It has a preventive maintenance program in effect for its
23vehicles used in transportation for compensation that conforms to
24regulations of the Department of the California Highway Patrol
25in Title 13 of the California Code of Regulations.
26(D) It participates in the Department of Motor Vehicle’s
27Employer Pull Notice Program to regularly check the driving
28records of all persons, whether employees or subcarriers, operating
29vehicles used in transportation for compensation.
30(E) It has a safety education and training program in effect for
31all employees or subcarriers operating vehicles used in
32transportation for compensation.
33(F) It will maintain its vehicles used in transportation for
34compensation in a safe operating condition and in compliance with
35the Vehicle Code and with regulations contained in Title 13 of the
36California Code of Regulations relative to motor vehicle safety.
37(G) It has filed with the commission the certificate of workers’
38compensation insurance coverage or statement required by Section
P4 1(H) It has provided the commission an address of an office or
2terminal where documents supporting the factual matters specified
3in the showing required by this subdivision may be inspected by
4the commission and the Department of the California Highway
6(I) It provides for a mandatory controlled substance and alcohol
7testing certification program as adopted by the commission
8pursuant to Section 1032.1.
9(J) Subparagraphs (C), (F), and (H) do not apply to a
10charter-party carrier of passengers engaged in the provision of a
11hired driver service when a rented motor vehicle is being operated
12by the hired driver.
13(K) It provides for mandatory Department of Justice criminal
14background checks to check the criminal history of any driver who
15is either under contract to, or employed by, the applicant to operate
16a vehicle used in transportation for compensation pursuant to the
18(i) Upon accepting employment by or entering into a contract
19with a carrier, a driver shall obtain two classifiable fingerprint
20cards for submission to the Department of Justice. The driver shall
21submit to the carrier the fingerprint cards and a processing fee
22payable to the department. The carrier shall forward the classifiable
23fingerprint cards and the fee to the Department of Justice. The
24department shall forward one classifiable fingerprint card to the
25Federal Bureau of Investigation for purposes of a background
26check. The processing fee shall be in an amount to cover the actual
27costs to the department.
28(ii) In lieu of classifiable fingerprint cards provided for in this
29section, the carrier may authorize drivers to submit their
30fingerprints into an electronic fingerprinting system administered
31by the Department of Justice. Drivers who submit their fingerprints
32by electronic means shall have their fingerprints entered into the
33 system through a terminal operated by a law enforcement agency
34or other facility authorized by the Department of Justice to conduct
35electronic fingerprinting. The enforcement agency responsible for
36operating the terminal may charge a fee sufficient to reimburse it
37for the costs incurred in providing this service.
38(iii) Upon receipt of a driver’s electronic or hard card
39fingerprints as provided in this section, the Department of Justice
40shall disseminate the following information to the carrier:
P5 1(I) Every conviction rendered against the driver.
2(II) Every arrest for an offense for which the driver is presently
3awaiting trial, whether the driver is incarcerated or has been
4released on bail or on his or her own recognizance pending trial.
5(iv) The carrier
shall request from the Department of Justice
6subsequent notification service, as provided pursuant to Section
711105.2 of the Penal Code.
26(v) A driver shall be denied employment or have his or her
27contract voided if he or she is required by any law to register as a
28sex offender or has been convicted of any felony involving any
29type of sexual offense; the manufacture, possession for sale,
30transportation, or distribution of narcotics, controlled substances,
31or addictive or dangerous drugs; force, violence,
begin delete threatend delete or
32intimidation against persons; kidnapping; forgery, fraud, larceny,
33extortion, burglary, robbery, or theft; credit card fraud; possession
34of a firearm or dangerous weapon; resisting or obstructing a peace
35officer, public officer, or emergency medical technician; or use of
36another vehicle for hire in the commission of a felony. Equivalent
37out-of-state violations shall be considered.
38(vi) As used in this section, “driver” has the same meaning as
39defined in Section 305 of the Vehicle Code.
3(2) With respect to subparagraphs (B) and (F) of paragraph (1),
4the commission may base a finding on a certification by the
5commission that an applicant has filed, with the commission, a
6sworn declaration of ability to comply and intent to comply.
7(3) The commission may require, as a precondition to the
8issuance of a permit or certificate, the procurement of a
9performance bond sufficient to facilitate the collection of fines,
10penalties, and restitution related to enforcement actions that can
11be taken against the applicant.
12(b) In addition to the requirements in subdivision (a),
13charter-party carriers shall meet all other state and, where
14applicable, federal regulations as prescribed.
15(c) The commission may delegate to its executive director or
16that executive director’s designee the authority to issue, renew, or
17authorize the transfer of, charter-party carrier permits or certificates
18and to make the findings specified in subdivision (a) that are
19necessary to that delegated authority.
No reimbursement is required by this act pursuant to
22Section 6 of Article XIII B of the California Constitution because
23the only costs that may be incurred by a local agency or school
24district will be incurred because this act creates a new crime or
25infraction, eliminates a crime or infraction, or changes the penalty
26for a crime or infraction, within the meaning of Section 17556 of
27the Government Code, or changes the definition of a crime within
28the meaning of Section 6 of Article XIII B of the California