

| Legislative Watch |
California |
10/15/03-Gov. Gray Davis has signed a bill into law increasing weight-based
IRP fees in the state starting in 2004.
SB1055 increases the fees 21 percent in the first year. However,
if the new law does not bring in as much revenue as the state expects, then
the fees could go up within a year to 34 percent higher than their current
level in 2005. And it contains a clause that would increase the fee along
with California ’s rate of inflation.
9/17/03-The
General Assembly has passed a bill increasing weight-based
IRP fees in the state starting in 2004.
SB1055 increases the fees 21 percent in the first
year. However, if the bill does not bring in as much revenue as the state
expects,
then the fees could go up within a year to 34
percent higher than their current level in 2005. And the bill contains
a clause that would increase
the fee along with California’s rate of inflation.
SB1055, which had stalled since late May, was amended and passed
by the Assembly Sept. 10. The Senate agreed with the amendments and sent
it to the governor Sept. 11.
For standard 18-wheelers, the fee, which is now $1,700, would increase
initially under the bill to $2,064. If that did not raise the expected
level of income, it could go as high as $2,271 the next year.
The bill states that after that, “The department [of Motor Vehicles]
would be required to adjust the fees by increasing each fee in an amount equal
to the increase in the California Consumer Price Index for the current year,
as calculated by the Department of Finance.”The higher fees would be
triggered if the state receives less than $789 million.
For bill status, call (916) 445-4251.






