Bill Text: CA SB1418 | 2013-2014 | Regular Session | Amended
Bill Title: Vehicle weight fees: transportation bond debt service.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2014-05-23 - Held in committee and under submission. [SB1418 Detail]
Download: California-2013-SB1418-Amended.html
BILL NUMBER: SB 1418 AMENDED
BILL TEXT
AMENDED IN SENATE MAY 1, 2014
AMENDED IN SENATE MARCH 27, 2014
INTRODUCED BY Senator DeSaulnier
FEBRUARY 21, 2014
An act to amend Sections 16773 and 16965 of the Government Code,
to amend Section 2103 of the Streets and Highways Code, and to amend
Sections 9400.1 and 42205 of, and to repeal Section 9400.4 of, the
Vehicle Code, relating to transportation, making an appropriation
therefor, and declaring the urgency thereof, to take effect
immediately.
LEGISLATIVE COUNSEL'S DIGEST
SB 1418, as amended, DeSaulnier. Vehicle weight fees:
transportation bond debt service.
(1) Existing law imposes weight fees on the registration of
commercial motor vehicles and provides for the deposit of net weight
fee revenues into the State Highway Account. Existing law provides
for the transfer of certain weight fee revenues from the State
Highway Account to the Transportation Debt Service Fund to reimburse
the General Fund for payment of debt service on general obligation
bonds issued for transportation purposes. Existing law also provides
for the transfer of certain weight fee revenues to the Transportation
Bond Direct Payment Account for direct payment of debt service on
designated bonds, which are defined to be certain transportation
general obligation bonds issued pursuant to Proposition 1B of 2006.
Existing law also provides for loans of weight fee revenue
revenues to the General Fund to the extent the
revenues are not needed for bond debt service purposes, with the
loans to be repaid when the revenues are later needed for those
purposes, as specified.
This bill would repeal these provisions, thereby retaining the
weight fee revenues in the State Highway Account. The bill would make
other conforming changes in that regard.
(2) Existing law provides for the deposit of fuel excise tax
revenues imposed by the state on fuels used in motor vehicles upon
public streets and highways in the Highway Users Tax Account, and
appropriates those revenues to various purposes. Existing law, with
respect to the portion of these revenues that is derived from
increases in the motor vehicle fuel excise tax beginning in 2010,
requires an allocation of revenues to reimburse the State Highway
Account for the amount of weight fee revenues that the State Highway
Account is not receiving due to use of weight fee revenues to pay
debt service on transportation general obligation bonds and to make
certain loans to the General Fund, with the remaining amount of this
portion of revenues allocated 44% to the State Transportation
Improvement Program, 12% to the State Highway Operations
Operation and Protection Program, and 44% to
city and county streets and roads.
This bill, with respect to the portion of these revenues that is
derived from increases in the motor vehicle fuel excise tax beginning
in 2010, would instead require 56% of the revenues to be deposited
by the Controller in the State Highway Account and 44% to be
allocated by the Controller to city and county streets and roads.
This bill would require a minimum of 21.453% of the revenues
deposited in the State Highway Account under these provisions to be
allocated to the State Highway Operation and Protection Program. The
bill would thereby make an appropriation.
(3) This bill would declare that it is to take effect immediately
as an urgency statute, with certain provisions to become operative on
July 1, 2014.
Vote: 2/3. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 16773 of the Government Code is amended to
read:
16773. (a) Whenever any payment of principal of any bonds shall
become due, either upon the maturity of any of the bonds or upon the
redemption thereof prior to maturity, and whenever any interest on
any of the bonds shall fall due, warrants shall be drawn against the
appropriation made by the bond act from the General Fund by the
Controller in favor of the Treasurer, or state fiscal agents, or
other duly authorized agents, pursuant to claims filed with the
Controller by the Treasurer, in the amounts so falling due.
(b) For any payments of debt service, as defined in subdivision
(c) of Section 998.404 of the Military and Veterans Code, with
respect to any bonds issued pursuant to a veterans' farm and home
purchase bond act adopted pursuant to Chapter 6 (commencing with
Section 980) of Division 4 of the Military and Veterans Code, the
Controller shall first draw warrants against the appropriation from
the Veterans' Bonds Payment Fund in Section 988.6 of the Military and
Veterans Code, and, to the extent moneys in that fund are
insufficient to pay the amount of debt service then due, shall draw
warrants against the appropriation made by the bond act from the
General Fund for payment of any remaining amount then due.
SEC. 2. Section 16965 of the Government Code is amended to read:
16965. (a) The Transportation Debt Service Fund is hereby created
in the State Treasury. Moneys in the fund shall, among other things,
as provided in this section, be dedicated to
payment of debt service on bonds, or to redeem or retire bonds,
pursuant to Section 16774, maturing in a subsequent fiscal year,
including bonds issued pursuant to the Clean Air and Transportation
Improvement Act of 1990 (Part 11.5 (commencing with Section 99600) of
Division 10 of the Public Utilities Code), the Passenger Rail and
Clean Air Bond Act of 1990 (Chapter 17 (commencing with Section 2701)
of Division 3 of the Streets and Highways Code), the Seismic
Retrofit Bond Act of 1996 (Chapter 12.48 (commencing with Section
8879) of Division 1 of Title 2), the Highway Safety, Traffic
Reduction, Air Quality, and Port Security Bond Act of 2006 (Chapter
12.49 (commencing with Section 8879.20) of Division 1 of Title 2),
and the Safe, Reliable High-Speed Passenger Train Bond Act for the
21st Century (Chapter 20 (commencing with Section 2704) of Division 3
of the Streets and Highways Code). If the moneys in the fund are
insufficient to pay the balance of the debt consistent with existing
obligations, the General Fund will be used to pay the balance of any
debt service.
(b) From the moneys transferred to the fund pursuant to Section
9400.4 of the Vehicle Code prior to July 1, 2014,
or on an ongoing basis pursuant to Section 16965.1 or 63048.67,
the Controller shall transfer as an expenditure reduction to the
General Fund any amount necessary to offset the cost of current year
debt service payments made from the General Fund with respect to any
bonds issued pursuant to Proposition 192 (1996) and three-quarters of
the amount of current year debt service payments made from the
General Fund with respect to any bonds issued pursuant to Proposition
1B (2006). In the alternative, these funds may also be used to
redeem or retire the applicable bonds, pursuant to Section 16774,
maturing in a subsequent fiscal year as directed by the Director of
Finance.
(c) From moneys transferred to the fund pursuant to Section 183.1
of the Streets and Highways Code, the Controller shall transfer as an
expenditure reduction to the General Fund any amount necessary to
offset the cost of current year debt service payments made from the
General Fund with respect to any bonds issued pursuant to Proposition
116 (1990). In the alternative, these funds may also be used to
redeem or retire the applicable bonds, pursuant to Section 16774,
maturing in a subsequent fiscal year as directed by the Director of
Finance.
(d) From moneys transferred to the fund pursuant to paragraph (2)
or (3) of subdivision (c) of Section 9400.4 of the Vehicle Code prior
to July 1, 2014, or on an ongoing basis pursuant to Section 16965.1
or 63048.67, the Controller shall transfer as an expenditure
reduction to the General Fund any amount necessary to offset the
eligible cost of current year debt service payments made from the
General Fund with respect to any bonds issued pursuant to Proposition
108 (1990) and Proposition 1A (2008), and one-quarter of the amount
of current year debt service payments made from the General Fund with
respect to any bonds issued pursuant to Proposition 1B (2006). The
Department of Finance shall notify the Controller by July 30 of every
year of the percentage of debt service that is expected to be paid
in that fiscal year with respect to bond-funded projects that qualify
as eligible guideway projects consistent with the requirements
applicable to the expenditure of revenues under Article XIX of the
California Constitution, and the Controller shall make payments only
for those eligible projects. In the alternative, these funds may also
be used to redeem or retire the applicable bonds, pursuant to
Section 16774, maturing in a subsequent fiscal year as directed by
the Director of Finance.
(e) On or before the second business day following the date on
which transfers are made to the Transportation Debt Service Fund, the
Controller shall transfer the funds designated for reimbursement of
bond debt service in that month from the fund to the General Fund
pursuant to this section.
SEC. 3. Section 2103 of the Streets and Highways Code is amended
to read:
2103. (a) Notwithstanding Section 13340 of the Government Code,
of the net revenues deposited to the credit of the Highway Users Tax
Account in the Transportation Tax Fund that are derived from the
increases in the rates of taxes that are imposed pursuant to
subdivision (b) of Section 7360 and Section 7361.1 of the Revenue and
Taxation Code, all of the following shall occur on a monthly basis:
(1) Fifty-six percent shall be transferred by the Controller to
the State Highway Account to fund projects that are consistent with
Section 1 2 of Article XIX of the
California Constitution, with a minimum of 21.43 percent of the
revenues transferred under this paragraph to be used to fund projects
in the State Highway Operation and Protection Program.
(2) Forty-four percent shall be apportioned by the Controller for
local street and road purposes as follows:
(A) Fifty percent shall be apportioned by the Controller to
cities, including a city and county, in the proportion that the total
population of the city bears to the total population of all the
cities in the state.
(B) Fifty percent shall be apportioned by the Controller to
counties, including a city and county, in accordance with the
following formulas:
(i) Seventy-five percent shall be apportioned among the counties
in the proportion that the number of fee-paid and exempt vehicles
that are registered in the county bear to the number of fee-paid and
exempt vehicles registered in the state.
(ii) Twenty-five percent shall be apportioned among the counties
in the proportion that the number of miles of maintained county roads
in each county bear to the total number of miles of maintained
county roads in the state. For the purposes of apportioning funds
under this subparagraph, any roads within the boundaries of a city
and county that are not state highways shall be deemed to be county
roads.
(b) After the transfers or other actions pursuant to subdivision
(a), at least 90 percent of the balance deposited to the credit of
the Highway Users Tax Account in the Transportation Tax Fund by the
28th day of each month shall be apportioned or transferred, as
applicable, by the Controller by the second working day thereafter,
except for June, in which case the apportionment or transfer shall be
made the same day. These apportionments or transfers shall be made
as provided for in Sections 2104 to 2122, inclusive. If information
is not available to make the apportionment or transfer as required,
the apportionment or transfer shall be made on the basis of the
information of the previous month. Amounts not apportioned or
transferred shall be included in the apportionment or transfer of the
subsequent month.
(c) Notwithstanding any other law, the funds apportioned by the
Controller to cities and counties pursuant to paragraph (2) of
subdivision (a) are not subject to Section 7104 or 7104.2 of the
Revenue and Taxation Code. These funds may be expended for any street
and road purpose consistent with the requirements of this chapter.
SEC. 4. Section 9400.1 of the Vehicle Code is amended to read:
9400.1. (a) (1) In addition to any other required fee, there
shall be paid the fees set forth in this section for the registration
of commercial motor vehicles operated either singly or in
combination with a declared gross vehicle weight of 10,001 pounds or
more. Pickup truck and electric vehicle weight fees are not
calculated under this section.
(2) The weight of a vehicle issued an identification plate
pursuant to an application under Section 5014, and the weight of an
implement of husbandry as defined in Section 36000, shall not be
considered when calculating, pursuant to this section, the declared
gross vehicle weight of a towing commercial motor vehicle that is
owned and operated exclusively by a farmer or an employee of a farmer
in the conduct of agricultural operations.
(3) Tow trucks that are utilized to render assistance to the
motoring public or to tow or carry impounded vehicles shall pay fees
in accordance with this section, except that the fee calculation
shall be based only on the gross vehicle weight rating of the towing
or carrying vehicle. Upon each initial or transfer application for
registration of a tow truck described in this paragraph, the
registered owner or lessee or that owner's or lessee's designee,
shall certify to the department the gross vehicle weight rating of
the tow truck:
Gross Vehicle Weight Range Fee
10,001-15,000 .......................... $ 257
15,001-20,000 .......................... 353
20,001-26,000 .......................... 435
26,001-30,000 .......................... 552
30,001-35,000 .......................... 648
35,001-40,000 .......................... 761
40,001-45,000 .......................... 837
45,001-50,000 .......................... 948
50,001-54,999 .......................... 1,03
9
55,000-60,000 .......................... 1,17
3
60,001-65,000 .......................... 1,28
2
65,001-70,000 .......................... 1,39
8
70,001-75,000 .......................... 1,65
0
75,001-80,000 .......................... 1,70
0
(b) The fees specified in subdivision (a) apply to both of the
following:
(1) An initial or original registration occurring on or after
December 31, 2001, to December 30, 2003, inclusive, of a commercial
motor vehicle operated either singly or in combination with a
declared gross vehicle weight of 10,001 pounds or more.
(2) The renewal of registration of a commercial motor vehicle
operated either singly or in combination, with a declared gross
vehicle weight of 10,001 pounds or more for which registration
expires on or after December 31, 2001, to December 30, 2003,
inclusive.
(c) (1) For both an initial or original registration occurring on
or after December 31, 2003, of a commercial motor vehicle operated
either singly or in combination with a declared gross vehicle weight
of 10,001 pounds or more, and the renewal of registration of a
commercial motor vehicle operated either singly or in combination,
with a declared gross vehicle weight of 10,001 pounds or more for
which registration expires on or after December 31, 2003, there shall
be paid fees as follows:
Gross Vehicle Weight
Range Weight Code Fee
10,001-15,000 A $ 332
15,001-20,000 B 447
20,001-26,000 C 546
26,001-30,000 D 586
30,001-35,000 E 801
35,001-40,000 F 937
40,001-45,000 G 1,028
45,001-50,000 H 1,161
50,001-54,999 I 1,270
55,000-60,000 J 1,431
60,001-65,000 K 1,562
65,001-70,000 L 1,701
70,001-75,000 M 2,004
75,001-80,000 N 2,064
(2) For the purpose of obtaining "revenue neutrality" as described
in Sections 1 and 59 of Senate Bill 2084 of the 1999-2000 Regular
Session (Chapter 861 of the Statutes of 2000), the Director of
Finance shall review the final 2003-04 Statement of Transactions of
the State Highway Account. If that review indicates that the actual
truck weight fee revenues deposited in the State Highway Account do
not total at least seven hundred eighty-nine million dollars
($789,000,000), the Director of Finance shall instruct the department
to adjust the schedule set forth in paragraph (1), but not to exceed
the following fee amounts:
Gross Vehicle Weight
Range Weight Code Fee
10,001-15,000 A $ 354
15,001-20,000 B 482
20,001-26,000 C 591
26,001-30,000 D 746
30,001-35,000 E 874
35,001-40,000 F 1,024
40,001-45,000 G 1,125
45,001-50,000 H 1,272
50,001-54,999 I 1,393
55,000-60,000 J 1,571
60,001-65,000 K 1,716
65,001-70,000 L 1,870
70,001-75,000 M 2,204
75,001-80,000 N 2,271
(d) (1) In addition to the fees set forth in subdivision (a), a
Cargo Theft Interdiction Program fee of three dollars ($3) shall be
paid at the time of initial or original registration or renewal of
registration of each motor vehicle subject to weight fees under this
section.
(2) This subdivision does not apply to vehicles used or maintained
for the transportation of persons for hire, compensation or profit,
and tow trucks.
(3) For vehicles registered under Article 4 (commencing with
Section 8050) of Chapter 4, the fee imposed under this subdivision
shall be apportioned as required for registration fees under that
article.
(4) Funds collected pursuant to the Cargo Theft Interdiction
Program shall not be proportionately reduced for each month and shall
be transferred to the Motor Carriers Safety Improvement Fund.
(e) Notwithstanding Section 42270 or any other provision of law,
of the moneys collected by the department under this section, one
hundred twenty-two dollars ($122) for each initial, original, and
renewal registration shall be reported monthly to the Controller, and
at the same time, deposited in the State Treasury to the credit of
the Motor Vehicle Account in the State Transportation Fund. All other
moneys collected by the department under this section shall be
deposited to the credit of the State Highway Account in the State
Transportation Fund. One hundred twenty-two dollars ($122) of the fee
imposed under this section shall not be proportionately reduced for
each month. For vehicles registered under Article 4 (commencing with
Section 8050) of Chapter 4, the fee shall be apportioned as required
for registration under that article.
(f) (1) The department, in consultation with the Department of the
California Highway Patrol, shall design and make available a set of
distinctive weight decals that reflect the declared gross combined
weight or gross operating weight reported to the department at the
time of initial registration, registration renewal, or when a weight
change is reported to the department pursuant to Section 9406.1. A
new decal shall be issued on each renewal or when the weight is
changed pursuant to Section 9406.1. The decal for a tow truck that is
subject to this section shall reflect the gross vehicle weight
rating or weight code.
(2) The department may charge a fee, not to exceed ten dollars
($10), for the department's actual cost of producing and issuing each
set of decals issued under paragraph (1).
(3) The weight decal shall be in sharp contrast to the background
and shall be of a size, shape, and color that is readily legible
during daylight hours from a distance of 50 feet.
(4) Each vehicle subject to this section shall display the weight
decal on both the right and left sides of the vehicle.
(5) A person may not display upon a vehicle a decal issued
pursuant to this subdivision that does not reflect the declared
weight reported to the department.
(6) Notwithstanding subdivision (e) or any other provision of law,
the moneys collected by the department under this subdivision shall
be deposited in the State Treasury to the credit of the Motor Vehicle
Account in the State Transportation Fund.
(7) This subdivision shall apply to vehicles subject to this
section at the time of an initial registration, registration renewal,
or reported weight change that occurs on or after July 1, 2004.
(8) The following shall apply to vehicles registered under the
permanent fleet registration program pursuant to Article 9.5
(commencing with Section 5301) of Chapter 1:
(A) The department, in consultation with the Department of the
California Highway Patrol, shall distinguish the weight decals issued
to permanent fleet registration vehicles from those issued to other
vehicles.
(B) The department shall issue the distinguishable weight decals
only to the following:
(i) A permanent fleet registration vehicle that is registered with
the department on January 1, 2005.
(ii) On and after January 1, 2005, a vehicle for which the
department has an application for initial registration as a permanent
fleet registration vehicle.
(iii) On and after January 1, 2005, a permanent fleet registration
vehicle that has a weight change pursuant to Section 9406.1.
(C) The weight decal issued under this paragraph shall comply with
the applicable provisions of paragraphs (1) to (6), inclusive.
SEC. 5. Section 9400.4 of the Vehicle Code is repealed.
SEC. 6. Section 42205 of the Vehicle Code is amended to read:
42205. (a) Notwithstanding Chapter 3 (commencing with Section
42270), the department shall file, at least monthly with the
Controller, a report of money received by the department pursuant to
Section 9400 for the previous month and shall, at the same time,
remit all money so reported to the Treasurer. On order of the
Controller, the Treasurer shall deposit all money so remitted into
the State Highway Account in the State Transportation Fund.
(b) The Legislature shall appropriate from the State Highway
Account in the State Transportation Fund to the department and the
Franchise Tax Board amounts equal to the costs incurred by each in
performing their duties pursuant to Article 3 (commencing with
Section 9400) of Chapter 6 of Division 3. The applicable amounts
shall be determined so that the appropriate costs for registration
and weight fee collection activities are appropriated between the
recipients of revenues in proportion to the revenues that would have
been received individually by those recipients if the total fee
imposed under the Vehicle License Fee Law (Part 5 (commencing with
Section 10701) of Division 2 of the Revenue and Taxation Code) was 2
percent of the market value of a vehicle. The remainder of the funds
collected under Section 9400 and deposited in the account may be
appropriated to the Department of Transportation, the Department of
the California Highway Patrol, and the Department of Motor Vehicles
for the purposes authorized under Section 3 of Article XIX of the
California Constitution.
SEC. 7. Sections 1 to 6, inclusive, of this act shall become
operative on July 1, 2014.
SEC. 8. This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect. The facts constituting the necessity are:
In order to make vehicle weight fees available for critically
needed transportation improvements as quickly as possible, it is
necessary that this act take effect immediately.
