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AB-2107 Department of Motor Vehicles: electronic vehicle registration services: interstate carrier partnership.(2015-2016)

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Assembly Bill No. 2107
CHAPTER 456

An act to add Section 1685.1 to the Vehicle Code, relating to vehicles.

[ Approved by Governor  September 22, 2016. Filed with Secretary of State  September 22, 2016. ]

LEGISLATIVE COUNSEL'S DIGEST


AB 2107, Frazier. Department of Motor Vehicles: electronic vehicle registration services: interstate carrier partnership.
Existing law authorizes the Department of Motor Vehicles, in order to continue improving the quality of products and services it provides to its customers, to establish contracts for electronic programs that allow qualified private industry partners to join the department in providing services that include processing and payment programs for vehicle registration and titling transactions.
This bill would authorize the department, in order to provide electronic vehicle registration services, to enter into an interstate carrier partnership with an interstate carrier partner, if the partner meets specified requirements, and would authorize the department to enter into contractual agreements with 3 specified types of partnerships. The bill would authorize the department to adopt regulations to carry out the purposes of these provisions, including, but not limited to, establishing fees and safeguards for privacy and protecting information authorized for release, and to establish the maximum amount that an interstate carrier partner may charge its customers in providing the services authorized under these provisions.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 1685.1 is added to the Vehicle Code, to read:

1685.1.
 (a) In order to provide electronic vehicle registration services, the department may enter into an interstate carrier partnership, established under this section, with an interstate carrier partner, if the partner meets all of the following requirements:
(1) Agrees to provide electronic vehicle registration services capable of accepting, completing, and transmitting registration transaction data to the department using a departmental registration system or system approved by the department.
(2) Maintains, protects, and issues apportioned vehicle registration documents, and indicia as applicable on behalf of the department to its customers.
(3) Demonstrates International Registration Plan knowledge proficiency, as determined by the department and established pursuant to subdivision (d).
(4) Meets qualification standards, as established by the department pursuant to subdivision (d).
(b) (1) The department may enter into contractual agreements with interstate carrier partners that utilize the departmental apportioned registration system or a system approved by the department. The following three types of partnerships are authorized under this section:
(A) A registration service, as defined in Section 505.2.
(B) A vehicle leasing company or vehicle rental company.
(C) A motor carrier association.
(2) For purposes of this section, the following definitions shall apply:
(A) “Vehicle leasing company” or “vehicle rental company” means a transportation provider that rents commercial vehicles to the public.
(B) “Motor carrier association” means an association that represents interstate motor carriers for the purpose of providing apportioned registration services for its members.
(c) An interstate carrier partner applicant shall submit an application to the department on the form adopted by the department pursuant to subdivision (d). The applicant shall also include with the application any other information the department may require.
(d) The department may adopt regulations to carry out the purposes of this section, including, but not limited to:
(1) Program administration structure.
(2) Fees.
(3) Financial responsibility.
(4) Compliance requirements.
(5) Adequate oversight and monitoring.
(6) Safeguards for privacy and protecting information authorized for release under this section.
(7) Minimum transaction requirements.
(8) Performance standards to ensure accuracy and efficiency.
(e) The director may establish, through the adoption of regulations pursuant to subdivision (d), the maximum amount that an interstate carrier partner may charge its customers in providing the services authorized under subdivision (a).