SB 750: Vehicles: license plate pilot programs.
- Session Year: 2017-2018
- House: Senate
- Latest Version Date: 2017-06-28
Existing law requires a vehicle to display a license plate issued by the Department of Motor Vehicles on the rear of the vehicle. Existing law requires a vehicle to display tabs upon the license plate indicating the month and year of expiration of the vehicle registration and makes it a crime to display expired tabs. Existing law authorizes the department to conduct a pilot program, to be completed no later than January 1, 2019, to evaluate the use of alternatives to stickers, tabs, license plates, and registration cards, subject to certain requirements, and to report the results of the pilot program, as specified, to the Legislature no later than July 1, 2020. Existing law also authorizes the department to enter into contracts with qualified private industry partners to provide specified service relating to the registration of vehicles. Existing law regulates the licensing of persons engaged in the business of a registration service.
This bill would specify that the authorization to establish the above-mentioned pilot program includes the authority to establish a pilot program to evaluate alternative methods of collecting fees related to the registration of a motor vehicle or the purchase purchase, renewal, or transfer of license plates.
Existing law requires a vehicle to display a license plate issued by the Department of Motor Vehicles on the rear of the vehicle. Existing law requires a vehicle to display tabs upon the license plate indicating the month and year of expiration of the vehicle registration and makes it a crime to display expired tabs. Existing law authorizes the department to conduct a pilot program, to be completed no later than January 1, 2019, to evaluate the use of alternatives to stickers, tabs, license plates, and registration cards, subject to certain requirements, and to report the results of the pilot program, as specified, to the Legislature no later than July 1, 2020. Existing law also authorizes the department to enter into contracts with qualified private industry partners to provide specified service relating to the registration of vehicles. Existing law regulates the licensing of persons engaged in the business of a registration service.
This bill would specify that the authorization to establish the above-mentioned pilot program includes the authority to establish a pilot program to evaluate digital license plates. This bill would, as part of the pilot program, authorize a person who enters into a contract with the department and is licensed as a registration service to provide a digital license plate, as defined, and would provide requirements for a digital license plate. The bill would authorize a digital license plate provider to enter into a payment arrangement with a customer that includes a prorated monthly payment of registration fees. The bill would require a digital license plate provider to wirelessly update the registration tab display on a digital license plate, and to cancel or revoke a registration tab at the request of the department. alternative methods of collecting fees related to the registration of a motor vehicle or the purchase of license plates.
By allowing for the automatic updating of registration tabs, this bill would extend the application of the crime of displaying expired tabs to more persons, thereby creating 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.Existing law requires a vehicle to display a license plate issued by the Department of Motor Vehicles on the rear of the vehicle. Existing law requires a vehicle to display tabs upon the license plate indicating the month and year of expiration of the vehicle registration and makes it a crime to display expired tabs. Existing law authorizes the department to conduct a pilot program program, to be completed no later than January 1, 2019, to evaluate the use of alternatives to stickers, tabs, license plates plates, and registration stickers. cards, subject to certain requirements, and to report the results of the pilot program, as specified, to the Legislature no later than July 1, 2020. Existing law also authorizes the department to enter into contracts with qualified private industry partners to provide specified service relating to the registration of vehicles. Existing law regulates the licensing of persons engaged in the business of a registration service.
This bill would specify that the authorization to establish the above-mentioned pilot program includes the authority to establish a pilot program to evaluate digital license plates. This bill would, as part of the pilot program, authorize a person who enters into a contract with the department and is licensed as a registration service to provide a digital license plate, as defined, and would provide requirements for a digital license plate. The bill would allow a digital license plate and digital registration tabs to be displayed on a vehicle in lieu of a rear license plate issued by the department. The bill would authorize a digital license plate provider to provide specialized digital license plates approved by the department and to receive donations and collect a fee for a specialized digital license plate. The bill would authorize a digital license plate provider to enter into a payment arrangement with a customer that includes a prorated monthly payment of registration fees. The bill would require a digital license plate provider to wirelessly update the registration tab display on a digital license plate, and to cancel or revoke a registration tab at the request of the department.
By allowing for the automatic updating of registration tabs, this bill would extend the application of the crime of displaying expired tabs to more persons, thereby creating 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.
Existing law requires a vehicle to display a license plate issued by the Department of Motor Vehicles on the rear of the vehicle. Existing law requires a vehicle to display tabs upon the license plate indicating the month and year of expiration of the vehicle registration and makes it a crime to display expired tabs. Existing law authorizes the department to conduct a pilot program to evaluate the use of alternatives to license plates and registration stickers. Existing law also authorizes the department to enter into contracts with qualified private industry partners to provide specified service relating to the registration of vehicles. Existing law regulates the licensing of persons engaged in the business of a registration service.
This bill would authorize a person who enters into a contract with the department and is licensed as a registration service to provide a digital license plate, as defined, and would provide requirements for a digital license plate. The bill would allow a digital license plate and digital registration tabs to be displayed on a vehicle in lieu of a rear license plate issued by the department. The bill would authorize a digital license plate provider to provide specialized digital license plates approved by the department and to receive donations and collect a fee for a specialized digital license plate. The bill would authorize a digital license plate provider to enter into a payment arrangement with a customer that includes a prorated monthly payment of registration fees. The bill would require a digital license plate provider to wirelessly update the registration tab display on a digital license plate, and to cancel or revoke a registration tab at the request of the department.
By allowing for the automatic updating of registration tabs, this bill would extend the application of the crime of displaying expired tabs to more persons, thereby creating 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.
Existing law authorizes water districts, water companies, and mutual water companies to enter into water lease agreements, as prescribed.This bill would make nonsubstantive changes in these provisions.Existing law authorizes water districts, water companies, and mutual water companies to enter into water lease agreements, as prescribed.
This bill would make nonsubstantive changes in these provisions.
(a)The department may issue one or more stickers, tabs, or other suitable devices in lieu of the license plates provided for under this code. Except when the physical differences between the stickers, tabs, or devices and license plates by their nature render the provisions of this code inapplicable, all provisions of this code relating to license plates may apply to stickers, tabs, or devices.
(b)The department may establish a pilot program to evaluate the use of alternatives to the stickers, tabs, license plates, and registration cards authorized by this code, subject to all of the following requirements:
(1)The alternative products shall be approved by the Department of the California Highway Patrol.
(2)The pilot program shall be limited to no more than 0.5 percent of registered vehicles for the purpose of road testing and evaluation.
(3)The alternative products to be evaluated shall be provided at no cost to the state.
(4)Any pilot program established by the department pursuant to this subdivision shall be completed no later than January 1, 2019.
(5)Any pilot program established by the department pursuant to this subdivision shall be limited to vehicle owners who have voluntarily chosen to participate in the pilot program.
(6)The pilot program may include an evaluation of alternative methods of collecting fees related to the registration of a motor vehicle, or the purchase purchase, renewal, or transfer of license plates, and the appropriate disbursement of those fees.
(c)In the conduct of any pilot program pursuant to this section, any data exchanged between the department and any electronic device or the provider of any electronic device shall be limited to those data necessary to display evidence of registration compliance. The department shall not receive or retain any information generated during the pilot program regarding the movement, location, or use of a vehicle participating in the pilot program.
(d)If the department conducts a pilot program authorized in subdivision (b), the department shall, no later than July 1, 2020, submit a report of the results of the pilot program to the Legislature, in compliance with Section 9795 of the Government Code, to include, but not be limited to, the following:
(1)An evaluation of the cost effectiveness cost-effectiveness of the alternatives used in the pilot program when compared to the departments current use of stickers, tabs, license plates, and registration cards.
(2)A review of all products evaluated in the pilot program and of the features of those products. The report shall note if the devices evaluated in the pilot program are available with the ability to transmit and retain information relating to the movement, location, or use of a vehicle, and if a product contains that feature, the report shall also note if the product includes any security features to protect against unauthorized access to information.
(3)Recommendations for subsequent actions, if any, that should be taken with regard to alternatives evaluated in the pilot program.
(a)The department may issue one or more stickers, tabs, or other suitable devices in lieu of the license plates provided for under this code. Except when the physical differences between the stickers, tabs, or devices and license plates by their nature render the provisions of this code inapplicable, all provisions of this code relating to license plates may apply to stickers, tabs, or devices.
(b)The department may establish a pilot program to evaluate the use of alternatives to the stickers, tabs, license plates, and registration cards authorized by this code, including, but not limited to, digital license plates as defined in Section 293, subject to all of the following requirements:
(1)The alternative products shall be approved by the Department of the California Highway Patrol.
(2)The pilot program shall be limited to no more than 0.5 percent of registered vehicles for the purpose of road testing and evaluation.
(3)The alternative products to be evaluated shall be provided at no cost to the state.
(4)Any pilot program established by the department pursuant to this subdivision shall be completed no later than January 1, 2019.
(5)Any pilot program established by the department pursuant to this subdivision shall be limited to vehicle owners who have voluntarily chosen to participate in the pilot program.
(6)The pilot program may include an evaluation of alternative methods of collecting fees related to the registration of a motor vehicle, or the purchase of license plates, and the appropriate disbursement of those fees.
(c)In the conduct of any pilot program pursuant to this section, any data exchanged between the department and any electronic device or the provider of any electronic device shall be limited to those data necessary to display evidence of registration compliance. The department shall not receive or retain any information generated during the pilot program regarding the movement, location, or use of a vehicle participating in the pilot program.
(d)If the department conducts a pilot program authorized in subdivision (b), the department shall, no later than July 1, 2020, submit a report of the results of the pilot program to the Legislature, in compliance with Section 9795 of the Government Code, to include, but not be limited to, the following:
(1)An evaluation of the cost effectiveness of the alternatives used in the pilot program when compared to the departments current use of stickers, tabs, license plates, and registration cards.
(2)A review of all products evaluated in the pilot program and of the features of those products. The report shall note if the devices evaluated in the pilot program are available with the ability to transmit and retain information relating to the movement, location, or use of a vehicle, and if a product contains that feature, the report shall also note if the product includes any security features to protect against unauthorized access to information.
(3)Recommendations for subsequent actions, if any, that should be taken with regard to alternatives evaluated in the pilot program.
SEC. 4.Section 4854 is added to the Vehicle Code, to read:4854.(a)A digital license plate, as part of the pilot program authorized pursuant to Section 4853, shall comply with all of the following criteria:(1)Have a display screen that is rectangular in shape, 12 inches in length, and six inches in width.(2)Display the registration number assigned to the vehicle in number and letter characters that have a minimum height of two and three-quarter inches, a minimum width of one and one-quarter inches, and a minimum spacing between characters of five-sixteenths of an inch.(3)Display the word California or the abbreviation Cal.(4)Display the month and year of the expiration of the registration.(5)Be capable of being securely mounted on the rear of a vehicle in compliance with Section 5201.(6)Be visible and legible in all lighting conditions and if photographed.(7)Actively display at all times, including when the vehicle is parked.(8)Have the capability to be wirelessly updated by the digital license plate provider or the department via a secure connection.(b)A digital license plate and any plate design displayed on a digital license plate shall not be issued or displayed without the prior determination and approval of the department, in consultation with the Department of the California Highway Patrol, that the plate number, registration expiration, and state are sufficiently legible.SEC. 5.Chapter 2.7 (commencing with Section 11450) is added to Division 5 of the Vehicle Code, to read:2.7.Digital License Plate Providers11450.(a)A digital license plate provider, as part of the pilot program authorized pursuant to Section 4853, may enter into a contract with the department pursuant to Section 1685.(b)A digital license plate provider shall be licensed by the department as a registration service pursuant to Chapter 2.5 (commencing with Section 11400).(c)A digital license plate provider that has entered into a contract with the department and is properly licensed is authorized to provide the following services:(1)Selling, leasing, installation, and repair of digital license plate hardware.(2)Issuing a digital license plate image by causing such an image, including registration tabs, to be displayed upon a digital license plate. A provider may charge a reasonable monthly or annual fee, as determined by the department, for providing this service.(3)Processing vehicle registrations and renewals and collecting registration fees. A provider may charge a fee, not to exceed the amount set by the department pursuant to Section 1685, for providing this service.(4)Entering into a payment arrangement with a customer, allowing the customer to pay a monthly fee to the provider for hardware, service, and prorated monthly registration fees. (5)Updating digital registration tabs displayed on a digital license plate or canceling current registration tabs at the request of the department. A digital license plate provider shall not cancel or revoke registration by turning off a digital license plate or causing it to not display the registration number. Registration shall be revoked by changing the registration tab display to an expired date or by displaying the word EXPIRED in the place of the tab, as approved by the department.SEC. 6.No reimbursement is required by this act pursuant to Section 6 of Article XIIIB 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 XIIIB of the California Constitution.A digital license plate is an electronic display, meeting the requirements set forth in Section 4854, that is mounted on the rear of a vehicle in lieu of a license plate issued by the department.
SEC. 2.Section 294 is added to the Vehicle Code, to read:294.A digital license plate provider is a person engaged in the business of providing digital license plate hardware and services to vehicle owners, including the sale or lease of digital license plate hardware, processing of registration and collection of registration fees, and issuance of a digital license plate or specialized digital license plate and registration tab images displayed on a digital license plate.
SEC. 3.Section 4853 of the Vehicle Code is amended to read:4853.(a)The department may issue one or more stickers, tabs, or other suitable devices in lieu of the license plates provided for under this code. Except where when the physical differences between the stickers, tabs, or devices and license plates by their nature render the provisions of this code inapplicable, all provisions of this code relating to license plates may apply to stickers, tabs, or devices.
(b)The department may establish a pilot program to evaluate the use of alternatives to the stickers, tabs, license plates, and registration cards authorized by this code, including, but not limited to, digital license plates as defined in Section 293, subject to all of the following requirements:
(1)The alternative products shall be approved by the Department of the California Highway Patrol.
(2)The pilot program shall be limited to no more than 0.5 percent of registered vehicles for the purpose of road testing and evaluation.
(3)The alternative products to be evaluated shall be provided at no cost to the state.
(4)Any pilot program established by the department pursuant to this subdivision shall be completed no later than January 1, 2019.
(5)Any pilot program established by the department pursuant to this subdivision shall be limited to vehicle owners who have voluntarily chosen to participate in the pilot program.
(c)In the conduct of any pilot program pursuant to this section, any data exchanged between the department and any electronic device or the provider of any electronic device shall be limited to those data necessary to display evidence of registration compliance. The department shall not receive or retain any information generated during the pilot program regarding the movement, location, or use of a vehicle participating in the pilot program.
(d)If the department conducts a pilot program authorized in subdivision (b), the department shall, no later than July 1, 2020, submit a report of the results of the pilot program to the Legislature, in compliance with Section 9795 of the Government Code, to include, but not be limited to, the following:
(1)An evaluation of the cost effectiveness of the alternatives used in the pilot program when compared to the departments current use of stickers, tabs, license plates, and registration cards.
(2)A review of all products evaluated in the pilot program and of the features of those products. The report shall note if the devices evaluated in the pilot program are available with the ability to transmit and retain information relating to the movement, location, or use of a vehicle, and if a product contains that feature, the report shall also note if the product includes any security features to protect against unauthorized access to information.
(3)Recommendations for subsequent actions, if any, that should be taken with regard to alternatives evaluated in the pilot program.
SEC. 3.SEC. 4.Section 4854 is added to the Vehicle Code, to read:4854.(a)A digital license plate plate, as part of the pilot program authorized pursuant to Section 4853, shall comply with all of the following criteria:
(1)Have a display screen that is rectangular in shape, 12 inches in length, and 6 six inches in width.
(2)Display the registration number assigned to the vehicle in number and letter characters that have a minimum height of two and three-quarter inches, a minimum width of one and one-quarter inches, and a minimum spacing between characters of five-sixteenths of an inch.
(3)Display the word California or the abbreviation Cal.
(4)Display the month and year of the expiration of the registration.
(5)Be capable of being securely mounted on the rear of a vehicle in compliance with Section 5201.
(6)Be visible and legible in all lighting conditions and if photographed.
(7)Actively display at all times, including when the vehicle is parked.
(8)Have the capability to be wirelessly updated by the digital license plate provider or the department via a secure connection.
(b)A digital license plate and any plate design displayed on a digital license plate shall not be issued or displayed without the prior determination and approval of the department, in consultation with the Department of the California Highway Patrol, that the plate number, registration expiration, and state are sufficiently legible.
SEC. 4.Article 8.7 (commencing with Section 5175) is added to Chapter 1 of Division 3 of the Vehicle Code, to read:8.7.Specialized Digital Displays5175.(a)A digital license plate provider may offer a specialized license plate design to an applicant with a digital license plate issued by that provider.(b)A digital license plate provider may require a donation for a specialized license plate design. The full amount of the donation collected be the provider shall be remitted to the organization benefited by the specialized license plate design.(c)A digital license plate provider may charge a fee set by the department in addition to the required donation to pay for the design and administrative costs of issuing the specialized design.(d)Any specialized license plate design issued by a digital license plate provider for display on a digital license plate must be approved pursuant to Sections 4854 and 5176.5176.(a)The Legislature hereby finds and declares that the placement of a design or message on a California license plate is a reflection of the government, state, and people of California that is carried across the highways of this country. California residents embrace a wide array of passions, interests, hobbies, and pursuits, and the digital license plate program gives these California residents a wide array of choices. However, it is the intent of the Legislature to limit this selection to those designs and messages that reflect positively on the state and that are not inconsistent with Californias unwavering commitment to equality, safety, and quality of life for its residents.(b)A specialty plate design shall not be issued or displayed without the prior approval of the department, which has the authority to reject any design that contains obscene language or images, promotes alcohol or drugs, contains hateful or discriminatory language or images, is likely to incite confrontation, or, otherwise, in the opinion of the department, reflects poorly on the state, government, and people of California.SEC. 5.Section 5200 of the Vehicle Code is amended to read:5200.(a)Except as otherwise provided in subdivision (c), when two license plates are issued by the department for use upon a vehicle, they shall be attached to the vehicle for which they were issued, one in the front and the other in the rear.(b)When only one license plate is issued for use upon a vehicle, it shall be attached to the rear thereof, unless the license plate is issued for use upon a truck tractor, in which case the license plate shall be displayed in accordance with Section 4850.5.(c)A digital license plate issued by a licensed digital license plate provider and compliant with Section 4854 may be attached to the rear of the vehicle for which it was issued in lieu of a license plate issued by the department. If a digital license plate is attached to a vehicle pursuant to this subdivision, a license plate issued by the department shall be attached to the front of the vehicle.SEC. 6.Section 5204 of the Vehicle Code is amended to read:5204.(a)Except as provided by subdivisions (b) and (c), a tab shall indicate the year of expiration and a tab shall indicate the month of expiration. Current month and year tabs shall be attached to the rear license plate assigned to the vehicle for the last preceding registration year in which license plates were issued, and, when so attached, the license plate with the tabs shall, for the purposes of this code, be deemed to be the license plate, except that truck tractors, and commercial motor vehicles having a declared gross vehicle weight of 10,001 pounds or more, shall display the current month and year tabs upon the front license plate assigned to the truck tractor or commercial motor vehicle. Vehicles that fail to display current month and year tabs or display expired tabs are in violation of this section.(b)The requirement of subdivision (a) that the tabs indicate the year and the month of expiration does not apply to fleet vehicles subject to Article 9.5 (commencing with Section 5300) or vehicles defined in Section 468.(c)Subdivision (a) does not apply when proper application for registration has been made pursuant to Section 4602 and the new indicia of current registration have not been received from the department.(d)This section is enforceable against any motor vehicle that is driven, moved, or left standing upon a highway, or in an offstreet public parking facility, in the same manner as provided in subdivision (a) of Section 4000.(e)A vehicle utilizing a digital license plate in lieu of a license plate issued by the department, shall display electronic tabs indicating the month and year of expiration in the same location, size, and color as a tab issued by the department. A digital license plate provider shall ensure that the electronic tabs displayed on a digital license plate accurately indicate the current registration status of the vehicle.SEC. 7.SEC. 5.Chapter 2.7 (commencing with Section 11450) is added to Division 5 of the Vehicle Code, to read:2.7.Digital License Plate Providers11450.(a)A digital license plate provider provider, as part of the pilot program authorized pursuant to Section 4853, may enter into a contract with the department pursuant to Section 1685.
(b)A digital license plate provider shall be licensed by the department as a registration service pursuant to Chapter 2.5 (commencing with Section 11400).
(c)A digital license plate provider that has entered into a contract with the department and is properly licensed is authorized to provide the following services:
(1)Selling, leasing, installation, and repair of digital license plate hardware.
(2)Issuing a digital license plate image by causing such an image, including registration tabs, to be displayed upon a digital license plate. A provider may charge a reasonable monthly or annual fee, as determined by the department, for providing this service.
(3)Processing vehicle registrations and renewals and collecting registration fees. A provider may charge a fee, not to exceed the amount set by the department pursuant to Section 1685, for providing this service.
(4)Entering into a payment arrangement with a customer, allowing the customer to pay a monthly fee to the provider for hardware, service, and prorated monthly registration fees.
(5)Providing a specialty license plate pursuant to Article 8.7 (commencing with Section 5175) of Chapter 1 of Division 3. (6)(5)Updating digital registration tabs displayed on a digital license plate or canceling current registration tabs at the request of the department. A digital license plate provider shall not cancel or revoke registration by turning off a digital license plate or causing it to not display the registration number. Registration shall be revoked by changing the registration tab display to an expired date or by displaying the word EXPIRED in the place of the tab, as approved by the department.
SEC. 8.SEC. 6.No reimbursement is required by this act pursuant to Section 6 of Article XIIIB 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 XIIIB of the California Constitution.
A digital license plate is an electronic display, meeting the requirements set forth in Section 4854, that is mounted on the rear of a vehicle in lieu of a license plate issued by the department.
SEC. 2.Section 294 is added to the Vehicle Code, to read:294.A digital license plate provider is a person engaged in the business of providing digital license plate hardware and services to vehicle owners, including the sale or lease of digital license plate hardware, processing of registration and collection of registration fees, and issuance of a digital license plate or specialized digital license plate and registration tab images displayed on a digital license plate.
SEC. 3.Section 4854 is added to the Vehicle Code, to read:4854.(a)A digital license plate shall comply with all of the following criteria:
(1)Have a display screen that is rectangular in shape, 12 inches in length, and 6 inches in width.
(2)Display the registration number assigned to the vehicle in number and letter characters that have a minimum height of two and three-quarter inches, a minimum width of one and one-quarter inches, and a minimum spacing between characters of five-sixteenths of an inch.
(3)Display the word California or the abbreviation Cal.
(4)Display the month and year of the expiration of the registration.
(5)Be capable of being securely mounted on the rear of a vehicle in compliance with Section 5201.
(6)Be visible and legible in all lighting conditions and if photographed.
(7)Actively display at all times, including when the vehicle is parked.
(8)Have the capability to be wirelessly updated by the digital license plate provider or the department via a secure connection.
(b)A digital license plate and any plate design displayed on a digital license plate shall not be issued or displayed without the prior determination and approval of the department, in consultation with the Department of the California Highway Patrol, that the plate number, registration expiration, and state are sufficiently legible.
SEC. 4.Article 8.7 (commencing with Section 5175) is added to Chapter 1 of Division 3 of the Vehicle Code, to read:8.7.Specialized Digital Displays5175.(a)A digital license plate provider may offer a specialized license plate design to an applicant with a digital license plate issued by that provider.
(b)A digital license plate provider may require a donation for a specialized license plate design. The full amount of the donation collected be the provider shall be remitted to the organization benefited by the specialized license plate design.
(c)A digital license plate provider may charge a fee set by the department in addition to the required donation to pay for the design and administrative costs of issuing the specialized design.
(d)Any specialized license plate design issued by a digital license plate provider for display on a digital license plate must be approved pursuant to Sections 4854 and 5176.
5176.(a)The Legislature hereby finds and declares that the placement of a design or message on a California license plate is a reflection of the government, state, and people of California that is carried across the highways of this country. California residents embrace a wide array of passions, interests, hobbies, and pursuits, and the digital license plate program gives these California residents a wide array of choices. However, it is the intent of the Legislature to limit this selection to those designs and messages that reflect positively on the state and that are not inconsistent with Californias unwavering commitment to equality, safety, and quality of life for its residents.
(b)A specialty plate design shall not be issued or displayed without the prior approval of the department, which has the authority to reject any design that contains obscene language or images, promotes alcohol or drugs, contains hateful or discriminatory language or images, is likely to incite confrontation, or, otherwise, in the opinion of the department, reflects poorly on the state, government, and people of California.
SEC. 5.Section 5200 of the Vehicle Code is amended to read:5200.(a)When Except as otherwise provided in subdivision (c), when two license plates are issued by the department for use upon a vehicle, they shall be attached to the vehicle for which they were issued, one in the front and the other in the rear.
(b)When only one license plate is issued for use upon a vehicle, it shall be attached to the rear thereof, unless the license plate is issued for use upon a truck tractor, in which case the license plate shall be displayed in accordance with Section 4850.5.
(c)A digital license plate issued by a licensed digital license plate provider and compliant with Section 4854 may be attached to the rear of the vehicle for which it was issued in lieu of a license plate issued by the department. If a digital license plate is attached to a vehicle pursuant to this subdivision, a license plate issued by the department shall be attached to the front of the vehicle.
SEC. 6.Section 5204 of the Vehicle Code is amended to read:5204.(a)Except as provided by subdivisions (b) and (c), a tab shall indicate the year of expiration and a tab shall indicate the month of expiration. Current month and year tabs shall be attached to the rear license plate assigned to the vehicle for the last preceding registration year in which license plates were issued, and, when so attached, the license plate with the tabs shall, for the purposes of this code, be deemed to be the license plate, except that truck tractors, and commercial motor vehicles having a declared gross vehicle weight of 10,001 pounds or more, shall display the current month and year tabs upon the front license plate assigned to the truck tractor or commercial motor vehicle. Vehicles that fail to display current month and year tabs or display expired tabs are in violation of this section.
(b)The requirement of subdivision (a) that the tabs indicate the year and the month of expiration does not apply to fleet vehicles subject to Article 9.5 (commencing with Section 5300) or vehicles defined in Section 468.
(c)Subdivision (a) does not apply when proper application for registration has been made pursuant to Section 4602 and the new indicia of current registration have not been received from the department.
(d)This section is enforceable against any motor vehicle that is driven, moved, or left standing upon a highway, or in an offstreet public parking facility, in the same manner as provided in subdivision (a) of Section 4000.
(e)A vehicle utilizing a digital license plate in lieu of a license plate issued by the department, shall display electronic tabs indicating the month and year of expiration in the same location, size, and color as a tab issued by the department. A digital license plate provider shall ensure that the electronic tabs displayed on a digital license plate accurately indicate the current registration status of the vehicle.
SEC. 7.Chapter 2.7 (commencing with Section 11450) is added to Division 5 of the Vehicle Code, to read:2.7.Digital License Plate Providers11450.(a)A digital license plate provider may enter into a contract with the department pursuant to Section 1685.
(b)A digital license plate provider shall be licensed by the department as a registration service pursuant to Chapter 2.5 (commencing with Section 11400).
(c)A digital license plate provider that has entered into a contract with the department and is properly licensed is authorized to provide the following services:
(1)Selling, leasing, installation, and repair of digital license plate hardware.
(2)Issuing a digital license plate image by causing such an image, including registration tabs, to be displayed upon a digital license plate. A provider may charge a reasonable monthly or annual fee, as determined by the department, for providing this service.
(3)Processing vehicle registrations and renewals and collecting registration fees. A provider may charge a fee, not to exceed the amount set by the department pursuant to Section 1685, for providing this service.
(4)Entering into a payment arrangement with a customer, allowing the customer to pay a monthly fee to the provider for hardware, service, and prorated monthly registration fees.
(5)Providing a specialty license plate pursuant to Article 8.7 (commencing with Section 5175) of Chapter 1 of Division 3.
(6)Updating digital registration tabs displayed on a digital license plate or canceling current registration tabs at the request of the department. A digital license plate provider shall not cancel or revoke registration by turning off a digital license plate or causing it to not display the registration number. Registration shall be revoked by changing the registration tab display to an expired date or by displaying the word EXPIRED in the place of the tab, as approved by the department.
SEC. 8.No reimbursement is required by this act pursuant to Section 6 of Article XIIIB 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 XIIIB of the California Constitution.
SECTION 1.Section 1022 of the Water Code is amended to read:1022.(a)If the water subject to the lease is held by a district, the following provisions apply:(1)The governing body of the district may, by a resolution adopted and entered in its minutes, determine that the district should lease water pursuant to this chapter, or, if otherwise required by law, determine that an election should be held to lease water pursuant to this chapter. The district shall administer any water lease and determine whether water is in excess of the needs of the district and is available for a lease.(2)Any water lease administered by the district shall include provisions to achieve all of the following:(A)Establish a schedule for district water users to provide written notice of the intention to participate in a water lease.(B)Establish a minimum price for the water available for leasing to maintain the financial integrity of the district and enter into leases for that water at market values at or above the minimum price.(C)Annually distribute the net monetary proceeds to water users in the district who have participated in the water leases, according to district water allocation policies, after first deducting district costs. These costs include, but are not limited to, the cost of the water, whether or not water is delivered, the costs of conveyance, distribution and development facilities, lease administration, and other appropriate district costs apportioned to water users in the district who forego the use of district water to participate in the water lease.(3)Participation in a water lease administered by the district pursuant to this section is deemed to be a public service generally provided by the public body or board for purposes of paragraph (3) of subdivision (a) of Section 1091.5 of the Government Code.(b)For the purposes of this section, district means a water district, a water company, or a mutual water company.(1)The governing body of the district may, by a resolution adopted and entered in its minutes, determine that the district should lease water pursuant to this chapter, or, if otherwise required by law, determine that an election should be held to lease water pursuant to this chapter. The district shall administer any water lease and determine whether water is in excess of the needs of the district and is available for a lease.
(b)(2)Any water lease administered by the district shall include provisions to achieve all of the following:
(1)(A)Establish a schedule for district water users to provide written notice of the intention to participate in a water lease.
(2)(B)Establish a minimum price for the water available for leasing to maintain the financial integrity of the district and enter into leases for that water at market values at or above the minimum price.
(3)(C)Annually distribute the net monetary proceeds to water users in the district who have participated in the water leases, according to district water allocation policies, after first deducting district costs. These costs include, but are not limited to, the cost of the water, whether or not water is delivered, the costs of conveyance, distribution and development facilities, lease administration, and other appropriate district costs apportioned to water users in the district who forego the use of district water to participate in the water lease.
(c)(3)Participation in a water lease administered by the district pursuant to this section is deemed to be a public service generally provided by the public body or board for purposes of paragraph (3) of subdivision (a) of Section 1091.5 of the Government Code.
(b)For the purposes of this section, district means a water district, a water company, or a mutual water company.
|
Date
|
Status
|
|---|---|
| Sep 1, 2017 | September 1 hearing: Held in committee and under submission. |
| Aug 23, 2017 | August 23 set for first hearing. Placed on suspense file. |
| Jun 28, 2017 | Read second time and amended. Re-referred to Com. on APPR. |
| Jun 27, 2017 | From committee: Do pass as amended and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 14. Noes 0.) (June 26). |
| Jun 19, 2017 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on TRANS. |
| Jun 1, 2017 | Referred to Com. on TRANS. |
| May 23, 2017 | In Assembly. Read first time. Held at Desk. |
| May 22, 2017 | Read third time. Passed. (Ayes 37. Noes 0. Page 1138.) Ordered to the Assembly. |
| May 16, 2017 | Read second time. Ordered to third reading. |
| May 15, 2017 | From committee: Do pass. (Ayes 7. Noes 0. Page 1081.) (May 15). |
| May 5, 2017 | Set for hearing May 15. |
| May 3, 2017 | Read second time and amended. Re-referred to Com. on APPR. |
| May 2, 2017 | From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 13. Noes 0. Page 858.) (April 25). |
| Apr 21, 2017 | Set for hearing April 25. |
| Apr 19, 2017 | Re-referred to Com. on T. & H. |
| Apr 17, 2017 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on RLS. |
| Mar 9, 2017 | Referred to Com. on RLS. |
| Feb 21, 2017 | From printer. May be acted upon on or after March 23. |
| Feb 17, 2017 | Introduced. Read first time. To Com. on RLS. for assignment. To print. |
|
Date
|
Description
|
Location
|
Votes
|
|
|---|---|---|---|---|
| Jun 26, 2017 | Do pass as amended, and be re-referred to the Committee on [Appropriations] with recommendation: To Consent Calendar | Assembly Standing Committee on Transportation |
Passed |
|
| May 22, 2017 | Senate 3rd Reading SB750 Hueso | Senate Floor |
Passed |
|
| May 15, 2017 | Do pass | Senate Standing Committee on Appropriations |
Passed |
|
| Apr 25, 2017 | Do pass as amended, but first amend, and re-refer to the Committee on [Appropriations] | Senate Standing Committee on Transportation and Housing |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
|
Organization
|
Position
|
Date
|
|---|---|---|
| Revivermx | ** Support | Jun 23, 2017 |
Date of Hearing: August 23, 2017
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez Fletcher, Chair
SBPCA Bill Id:SB 750
Author:(Hueso) – As Amended Ver:June 28, 2017
Policy Committee: | Transportation | Vote: | 14 - 0 |
|
| ||
|
|
Urgency: No State Mandated Local Program: No Reimbursable: No
SUMMARY:
This bill expands an existing and ongoing Department of Motor Vehicles (DMV) pilot program to evaluate alternatives to vehicle license plates, registration stickers, and registration cards, such as the use of digital license plates. Specifically, this bill adds to the scope of the pilot program an evaluation of alternative methods of collecting fees related to the registration of a motor vehicle or the purchase of license plates, such as transferring fee collection responsibilities to a private vendor. In addition, this bill allows DMV to evaluate alternative methods for distributing fee revenue collected to the statutorily-required funds and programs.
FISCAL EFFECT:
Minor and absorbable costs to the DMV.
COMMENTS:
- Background. In 2013, the Legislature passed and Governor Brown signed SB 806 (Hueso), Chapter 569, Statutes of 2013, authorizing DMV to establish a pilot program to evaluate the use of alternatives to license plates, registration stickers, and registration cards. At the time, the author sought to facilitate DMV’s ability to explore alternatives to the traditional metal license plate, plastic-coated registration stickers, and paper registration cards in order to improve efficiency and lower the cost of DMV vehicle registration services.
Since the enactment of SB 806, DMV has developed specifications and completed procurements for each of the three authorized alternatives. The procurement process ran longer than was anticipated when SB 806 was initially considered, and field testing for some of the technologies by the contracted vendors did not begin until as late as November 2015. Due to the abbreviated nature of the testing window and at the behest of the vendor carrying out the pilot, Governor Brown signed SB 1399 (Hueso), Chapter 155, Statutes of 2016, extending the authorization of the pilot until 2019 and the deadline for DMV to report on the pilot until 2020.
- Purpose. This bill is sponsored by ReviverMX, the vendor currently conducting the digital license plate pilot program with DMV. The initial version of this bill sought to authorize broad use of digital license plates prior to the completion of the pilot program. The current version of the bill instead expands the scope of the existing pilot program. According to ReviverMX, expanding the scope of the pilot program to include new vehicle registration technologies “allows the DMV to explore other potential cost-saving variables related to payments and digital license plate technology, including the monthly payment of annual VLF assessments, a broadening of the specialty license plate program and reduced DMV implementation costs for specialty license plate approvals.”
- Staff Comments. This bill makes substantial changes to an existing pilot program. The scope of the changes are almost equivalent to the creation of new pilot program. This is because the existing pilot program is intended to evaluate the viability of digital license plate technology, while this bill allows DMV to evaluate the outsourcing of registration fee collection and revenue disbursement. Once a pilot program is ongoing, it usually does not make sense to significantly change the scope of a pilot. Furthermore, it appears premature to evaluate what additional services a digital license plate vendor could provide before the proof of concept of the technology has been completed. For example, the vendor has installed only a handful of digital license plates on vehicles as part of the pilot program, which is not a sufficient sample size and is unlikely to test durability of the technology in various climates. Given the challenges the pilot currently faces with extremely low participation, adding a new scope of work could compromise the ability to meet the objectives of the existing pilot program. If the existing pilot fails to provide useful information, there could be pressure to conduct another pilot program, which could result in state costs. The author may want to consider whether combining the evaluation of outsourcing certain registration functions with the pilot testing of digital license plate technology is prudent at this time given the current status of the pilot program.
In addition, the potential outsourcing of vehicle registration fee collection and revenue disbursement is a broader issue that carries numerous policy considerations that are not addressed in the bill. Outsourcing raises the question of what level of oversight would be necessary and how much authority would be given to vendors who are performing vehicle registration duties. For example, would vendors have the authority to pursue collection activities, impound vehicles, or take other steps to seek payment if a vehicle owner fails to pay their registration on time? In light of the much broader issues associated with potentially outsourcing certain vehicle registration activities and potential fiscal implications on revenue collection, the author may wish to amend the bill to specify the goals and objectives of pilot testing these activities.
Analysis Prepared by: Jessica Peters / APPR. / (916) 319-2081
Date of Hearing: June 26, 2017
ASSEMBLY COMMITTEE ON TRANSPORTATION
Jim Frazier, Chair
SBPCA Bill Id:SB 750
Author:(Hueso) – As Amended Ver:June 19, 2017
SENATE VOTE: 37-0
SUBJECT: Vehicles: license plate pilot programs
SUMMARY: Authorizes an existing Department of Motor Vehicles (DMV) pilot evaluating alternatives to vehicle license plates, registration stickers, and registration cards to also include alternative methods of collecting fees related to the registration of a motor vehicle or the purchase of license plates, and the appropriate disbursement of those fees.
EXISTING LAW:
- Requires DMV to issue two reflectorized license plates for vehicles and specifies that:
- Each plate must display the word “California,” the vehicle's registration number, and the year for which the vehicle's registration is valid, and;
- For license plates other than motorcycles, the license must be rectangular in shape, 12 inches in length, and six inches in width.
- Prohibits DMV from letting a contract to any non-governmental entity for purposes of manufacturing license plates.
- Authorizes DMV to issue one or more stickers, tabs, or other suitable devices in lieu of a license plate as specified.
- Authorizes DMV to conduct a pilot program to evaluate alternatives to vehicle license plates, registration stickers, and registration cards until no later than January 1, 2019, and requires DMV to report on the results of the pilot program to the Legislature no later than July 1, 2020.
- Requires the Department of the California Highway Patrol to approve any DMV-selected alternative to license plates or registration stickers and cards.
- Requires a vendor to be responsible for the cost associated with any alternative products used in the pilot program.
- Imposes various fees for purposes including the registration of vehicles and the purchase, transfer, and renewal of specialty license plates.
FISCAL EFFECT: Unknown
COMMENTS: DMV has issued license plates and registration stickers since 1959. Currently, in order to register a vehicle, the registered owner must submit proof of insurance, pay registration and other fees, and when required, provide proof that the vehicle passed a smog check inspection. DMV then issues, typically by mail, a vehicle registration card and the appropriate sticker for the vehicle’s rear license plate. For annual renewal of a vehicle registration, DMV mails the registered owner a notice and reply envelope approximately 60 days prior to the vehicle’s renewal date. The owner can remit fees and required documentation by mail, via DMV’s website, in person at a DMV field office or at a DMV self-service terminal, or at the office of one of DMV’s private industry partners. DMV registers 35 million vehicles annually, with over 10 million renewals taking place in DMV field offices each year.
In 2013, the Legislature passed and Governor Brown signed SB 806 (Hueso), Chapter 569, Statutes of 2013, authorizing DMV to establish a pilot program to evaluate the use of alternatives to license plates, registration stickers, and registration cards. At the time, the author sought to facilitate DMV’s ability to explore alternatives to the traditional metal license plate, plastic-coated registration stickers, and paper registration cards in order to improve efficiency and lower the cost of DMV vehicle registration services.
Since the enactment of SB 806, DMV has developed specifications and completed procurements for each of the three authorized alternatives. The procurement process ran longer than was anticipated when SB 806 was initially considered, and field testing for some of the technologies by the contracted vendors did not begin until as late as November 2015. Due to the abbreviated nature of the testing window and at the behest of the vendors carrying out the pilot, Governor Brown signed SB 1399 (Hueso), Chapter 155, Statutes of 2016, extending the authorization of the pilot until 2019 and the deadline for DMV to report on the pilot until 2020.
This bill would authorize the pilot program to also include an evaluation of alternative methods of collecting fees associated with registering a vehicle, including the vehicle registration fee, the vehicle license fee, and fees associated with the purchase, transfer, and renewal of license plates. Currently, when a person registers a vehicle or renews a registration they must pay a number of fees, including a $46 registration fee, a $23 fee for the California Highway Patrol, and a vehicle license fee (VLF) assessed at 0.65% of the vehicle’s value. After DMV collects all these fees, the department disburses them to the appropriate agency, city, or county. Customers must also pay fees when obtaining a specialty license plate, typically $50 for the original issuance of the plates, $40 for renewing a plate, and $15 for transferring the plates to a different vehicle, plus an additional fee for a customized letter/number sequence on the plate. After DMV deducts administrative costs, these fees are allocated to a variety of funds, depending on the plate.
According to ReviverMX, a vendor of digital license plate technologies and the sponsors of this bill, expanding the scope of the pilot program to include new vehicle registration technologies “allows the DMV to explore other potential cost-saving variables related to payments and digital license plate technology, including the monthly payment of annual VLF assessments, a broadening of the specialty license plate program and reduced DMV implementation costs for specialty license plate approvals.”
When coupled with the digital license plate technology also being evaluated in the pilot, the alternative methods of collecting registration-related fees contemplated by this bill could result in streamlined DMV transactions by directly transferring fees from the customer to the appropriate agency or fund without going through DMV. They could also allow customers to pay their fees due to DMV automatically or in installments. For example, a monthly registration fee could replace the annual fee if DMV had the capability to update a digital license plate’s registration status instantaneously. Such capabilities could conceivably make transactions more efficient for DMV and more convenient for customers.
Because existing statute merely authorizes DMV to establish a pilot but does not require the department to purchase any technology from the vendors, broadening the scope of the pilot program will give DMV the opportunity to evaluate new technologies but will not obligate them to implement any new innovations in the future.
Proposed author’s amendment: The author proposes to amend the bill to specify that the pilot may also evaluate alternate methods of collecting fees related to the transfer and renewal of license plates, in addition to the purchase of license plates.
The language would read as follows:
“(6) The pilot program may include an evaluation of alternative methods of collecting fees related to the registration of a motor vehicle, or the purchase, transfer, and renewal of license plates, and the appropriate disbursement of those fees.”
Related legislation: AB 714 (Acosta) would require DMV to establish an opt-in automatic vehicle registration process. AB 714 was passed out of this committee on March 20 on a 14-0 vote, but was held on the Assembly Appropriations Suspense File.
Previous legislation: SB 1399 (Hueso), Chapter 155, Statutes of 2016, extended the sunset on the DMV pilot program evaluating alternatives to license plates, registration stickers, and registration cards to January 1, 2019, and the deadline for DMV to report on the pilot to July 1, 2020.
SB 806 (Hueso), Chapter 569, Statutes of 2013, authorized DMV to conduct a pilot program to evaluate alternatives to license plates, registration stickers, and registration cards.
REGISTERED SUPPORT / OPPOSITION:
Support
ReviverMX
Opposition
None on file
Analysis Prepared by: Justin Behrens / TRANS. / (916) 319-2093
Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 | SB |
THIRD READING
Bill No: SB 750
:
SENATE TRANS. & HOUSING COMMITTEE: 13-0, 4/25/17
AYES: Beall, Cannella, Allen, Atkins, Bates, Gaines, McGuire, Mendoza, Morrell, Roth, Skinner, Wieckowski, Wiener
SENATE APPROPRIATIONS COMMITTEE: 7-0, 5/15/17
AYES: Lara, Bates, Beall, Bradford, Hill, Nielsen, Wiener
DIGEST:
This bill authorizes the use of digital license plates within an existing license plate pilot program at the Department of Motor Vehicles (DMV).
Existing law:
- Requires the DMV, upon registering a vehicle, to issue to the owner two license plates. The plates must be rectangular, 12 inches long and six inches wide, with letters and numbers with a minimum height of two and three-quarter inches, a minimum width of one and one-quarter inches, and a minimum spacing between characters of five-sixteenths of an inch.
- Authorizes the DMV to establish a pilot program to evaluate the use of alternatives to license plates, registration cards, and stickers. The pilot program must be completed by January 1, 2019. A report on the pilot is required to be submitted to the Legislature by July 1, 2020.
- Provides for a specialized license plate program, under which the DMV may issue new special-interest license plates subject to certain qualifications.
This bill:
- Authorizes the use of digital license plates in the existing pilot program.
- Authorizes the DMV to contract with digital license plate providers to issue plates and process registration.
Comments
- Author’s purpose. The author introduced this bill to expand the current DMV pilot program so that the DMV and its partners may further pilot and implement new technologies that can make the vehicle registration process more efficient and cost effective.
- New technologies. The DMV registers the 33 million vehicles in the state annually, mailing paper registration cards and physical stickers which must be affixed to the license plate. The DMV is currently evaluating three technologies to potentially modernize this process in their pilot program: a digital license plate, an electronic vehicle registration card, and a vinyl license plate that can be molded to a bumper.
FISCAL EFFECT: Appropriation: Fiscal Com.: Local:
According to the Senate Appropriations Committee, DMV indicates that any costs to revise existing contracts and consult with vendors would be minor and absorbable. (Motor Vehicle Account)
ReviverMX
OPPOSITION: (Verified 5/16/17)
5/17/17 9:45:24
**** END ****
SENATE COMMITTEE ON
Senator Ricardo Lara, Chair
2017 - 2018 Regular Session
SB 750 (Hueso) - Vehicles: Digital license plates
Version: | Policy Vote: |
Urgency: | Mandate: |
Hearing Date: | Consultant: |
This bill does not meet the criteria for referral to the Suspense File.
Bill Summary:
SB 750 would explicitly authorize the Department of Motor Vehicles (DMV) to test digital license plates as an alternative to license plates as part of an ongoing pilot program, specify requirements for digital license plates, and authorize digital license plate providers to provide specified services and charge certain fees.
Fiscal Impact:
DMV indicates that any costs to revise existing contracts and consult with vendors would be minor and absorbable. (Motor Vehicle Account)
Background:
Existing law, since 1959, has authorized DMV to issue stickers, tabs, or other suitable devices in lieu of license plates. DMV issues a set of plates when a vehicle is initially registered, and provides a renewal sticker annually thereafter to indicate the registration is current. DMV also provides the vehicle owner with a registration card to show that the vehicle is currently registered. The department has never exercised its authority to establish other devices in lieu of license plates.
Existing law authorizes DMV to establish a pilot program until January 1, 2019 to evaluate alternatives to license plates, registration stickers, and registration cards, under specified conditions. Among the conditions is a requirement that any alternative products that are tested must be provided at no cost to the state. Following the pilot program, DMV is required to report results to the Legislature by July 1, 2020. DMV is currently evaluating electronic license plates, vinyl license plates, and electronic vehicle registrations as alternatives under the current pilot program.
Proposed Law:
SB 750 would explicitly authorize digital license plates to be evaluated tested under the current DMV pilot program, specify requirements for digital plates, and authorize digital plate providers to offer certain services. Specifically, this bill would:
- Define “digital license plate” as an electronic display, meeting specified requirements, that is mounted on the rear of a vehicle in lieu of a license plate issued by DMV.
- Define “digital license plate provider” as a person engaged in the business of providing digital license plate hardware and services to vehicle owners, including the sale or lease of digital plate hardware, processing of registration and collection of registration fees, and issuance of a digital license plate and registration tab images displayed on a digital plate.
- Explicitly authorize DMV to test digital license plates during the pilot program.
- Specify requirements for digital license plates, including: shape and size of the plate; minimum lettering and spacing parameters; display of registration number and expiration date; capability to be securely mounted, active, visible, and legible in all lighting conditions; and capability to be wirelessly updated by the provider or DMV.
- Prohibit the issuance or display of any digital plate and plate design displayed on a digital plate without prior determination and approval of DMV, in consultation with the California Highway Patrol, that the plate number, registration expiration, and state are sufficiently legible.
- Authorize a digital plate provider to enter into a contract with DMV, require the provider to be licensed by DMV as a registration service, and authorize such a provider to provide the following services:
- Selling, leasing, installation, and repair of digital license plate hardware.
- Issuing a digital license plate image and registration tab for display, and charging a reasonable monthly or annual fee, as determined by DMV.
- Processing vehicle registrations and renewals, and collecting registration fees and charging additional service fees, as specified.
- Entering into payment arrangements with customers that provide for the payment of a monthly fee to the provider for hardware, service, and prorated monthly registration fees.
- Updating digital registration tabs or cancelling tabs upon DMV request. Cancellation or revocation must be accomplished by displaying the word “EXPIRED” in place of the registration tab, upon approval by DMV, and the registration number must be displayed at all times, as specified.
Related Legislation:
SB 806 (Hueso), Chap. 569/2013, authorized DMV to establish a pilot program to evaluate the use of alternatives to license plates, registration stickers, and registration cards. The pilot must be completed by January 1, 2017, and a report on the program is due to the Legislature by January 1, 2018.
SB 1399 (Hueso), Chap. 155/2016, extended the sunset on the pilot program until January 1, 2019, and extended the due date on the report to January 1, 2020.
Staff Comments:
The current DMV pilot program has been underway for several years, and currently includes testing of a digital license plate alternative. By the time this bill is enacted, and contracts are renegotiated to expand the services provided by digital license plate providers, there would be less than one year remaining in the pilot period. The Committee may wish to consider whether expanding the parameters of the existing pilot program would allow for sufficient data collection to make an informed evaluation of the efficacy of providing specified services through digital plate providers.
-- END --
SENATE COMMITTEE ON TRANSPORTATION AND HOUSING
Senator Jim Beall, Chair
2017 - 2018 Regular
Bill No: SB 750 Hearing Date: 4/25/2017
Author: | Hueso | ||
Version: | 4/17/2017 | ||
Urgency: | No | Fiscal: | Yes |
Consultant: | Randy Chinn | ||
SUBJECT: Vehicles: Digital license plates.
DIGEST: This bill authorizes the use of digital license plates.
ANALYSIS:
Existing law:
- Requires the Department of Motor Vehicles (DMV), upon registering a vehicle, to issue to the owner two license plates. The plates must be rectangular, 12 inches long and six inches wide, with letters and numbers with a minimum height of two and three-quarter inches, a minimum width of one and one-quarter inches, and a minimum spacing between characters of five-sixteenths of an inch.
- Authorizes the DMV to establish a pilot program to evaluate the use of alternatives to license plates, registration cards, and stickers. The pilot program must be completed by January 1, 2019. A report on the pilot is required to be submitted to the Legislature by July 1, 2020.
- Provides for a specialized license plate program, under which the DMV may issue new special-interest license plates subject to certain qualifications.
This bill:
Authorizes the use of digital license plates.
- Authorizes specialized license plate designs.
- Establishes specifications regarding the size of the display, size of the display of the registration number, and operation of the digital display.
- Authorizes the DMV to contract with digital license plate providers to issue plates and process registration.
COMMENTS:
- Author’s Purpose. The author introduced this bill to expand the current DMV pilot program so that the DMV and its partners may further pilot and implement new technologies that can make the vehicle registration process more efficient and cost effective.
- New Bill. This bill was recently amended and referred to the committee on Wednesday, April 19, 2017.
- New technologies. The DMV registers the 33 million vehicles in the state annually, mailing paper registration cards and physical stickers which must be affixed to the license plate. The DMV is currently evaluating three technologies to potentially modernize this process in their pilot program: a digital license plate, an electronic vehicle registration card, and a vinyl license plate that can be molded to a bumper.
- What could go wrong? A digital license plate is in effect a computer screen in the shape of a license plate. Because of the computing capability and wireless connectivity, these devices may be a great benefit to California motorists, lowering costs and making vehicle registration more convenient. When combined with location technology, it could help with toll collection; targeted advertising and helping companies keep track of their vehicles. But these technologies raise important privacy and cyber-security issues. Cost, reliability, visibility and compatibility with automated license plate readers are additional concerns. How the plates operate is also a concern: Can they carry advertising? Can they be turned off? What happens if the battery fails? There is an existing pilot program which includes these electronic license plates. Last year this program was extended for an additional two years. It seems premature and risky to authorize digital license plates without having the benefit of the experience of the newly extended pilot program. The author will offer amendments to make the bill provisions a part of the pilot program.
- Custom Plates. This bill also creates a new program for customized license plate designs. This is different from the existing special-interest plate program which offers several special plate designs for environmental issues or military service, as examples. It is also different from the personalized license plate program, where a vehicle owner can have a specific combination of letters, numbers and selected symbols on their plate. Under the program specified in this bill, any design would be permitted if approved by the DMV, which could reject the design based on concerns about obscenity, promotion of alcohol or drugs, containing hateful or discriminatory images, or reflects poorly on the state.
This is problematic from a public safety perspective. License plates must be easily and quickly read by law enforcement. Have a virtually unlimited number of plate designs will be confusing to officers. In July 2015 the DMV issued a report on special interest license plates.[1] That report surveyed 400 law enforcement agencies. Of those responding, half indicated that the increase in different license plates affected their ability to recognize vehicle registration violations. The report made numerous recommendations to improve plate visibility, including a prohibition of full-plate graphics. Given the concerns of the DMV and law enforcement, the author and committee may wish to delete the provisions of this bill dealing with customized plates.
Related Legislation:
SB 806 (Hueso, Chapter 569, Statutes of 2013) — authorizes the DMV to establish a pilot program to evaluate the use of alternatives to license plates, registration cards and stickers. The pilot program must be completed by January 1, 2017. A report on the pilot is required to be submitted to the Legislature by July 1, 2018.
SB 1399 (Hueso, Chapter 155, Statues of 2016) — extends the sunset on an existing pilot program for alternative license plates from January 1, 2017, to January 1, 2019.
FISCAL EFFECT: Appropriation: Fiscal Com.: Local:
POSITIONS: (Communicated to the committee before noon on Wednesday,
April 20, 2017.)
SUPPORT:
ReviverMX
OPPOSITION:
None received.
-- END --
Senate Resolution 28, Report on Special Interest License Plates; California Department of Motor Vehicles; July 2015. ↑
Discussed in Hearing
Senate Standing Committee on Appropriations
Senate Standing Committee on Transportation and Housing
Bill Author
Bill Co-Author(s):