AB 516: Vehicles: temporary license plates.

Existing law requires the Department of Motor Vehicles (DMV), upon registering a vehicle, to issue to the owner 2 license plates, as specified. Existing law also requires vehicle dealers and lessor-retailers to attach a numbered report-of-sale form issued by the DMV to a vehicle at the time of sale, and to submit to the DMV an application for registration of the vehicle, and the applicable fees, within a specified period after the date of sale. Existing law authorizes a dealer, as specified, to assess a specified document processing charge on the purchaser or lessee of a vehicle for the preparation and processing of documents, disclosures, and titling, registration, and information security obligations imposed by state and federal law. Existing law generally makes a violation of the Vehicle Code an infraction, but makes counterfeiting a license plate a felony.

Existing law requires the driver of a motor vehicle to present evidence of registration of a vehicle under the drivers immediate control upon demand by a peace officer. Existing law prohibits displaying or presenting to a peace officer specified indicia of vehicle registration that are not issued for that vehicle. Existing law authorizes the DMV to assess administrative fees on a processing agency for providing notices of delinquent parking violations or toll evasion violations to the offenders in connection with the collection of penalties for those violations, and authorizes the use of those administrative fees to support those collection procedures. Existing law requires license plates to be securely fastened to the vehicle for which they were issued for the period of validity of the license plates, and authorizes the use of a special permit in lieu of license plates for that purpose.

This bill would require the DMV to develop an operational system, no later than January 1, 2019, that allows a dealer or lessor-retailer to electronically report the sale of a vehicle and provide a temporary license plate, as specified. The bill would, commencing January 1, 2018, authorize the DMV to assess specified administrative fees on parking and toll evasion processing agencies to support the administration of this system. The bill would also, commencing January 1, 2019, increase the document processing charge, as specified, that a dealer may impose on the purchaser or lessee of a vehicle and would authorize the imposition of a specified electronic filing charge for reporting vehicle sales and producing temporary license plates. The bill would authorize the DMV to establish contracts with qualified industry partners to provide these vehicle sale reporting and temporary license plate services.

The bill would, commencing January 1, 2019, prohibit a person from displaying on a vehicle or presenting to a peace officer a temporary license plate that was not issued for that vehicle, as specified, and would make counterfeiting a temporary license plate a felony. The bill would, commencing January 1, 2019, require temporary license plates to be securely fastened to the vehicle for which they are issued, as specified, and would require a person upon receipt of permanent license plates to replace and destroy the temporary license plates. The bill would make additional conforming changes. By creating new crimes and expanding the scope of existing crimes, the bill would impose a state-mandated local program.

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.