SECTIONS 7231-7236 - California Statutes

REVENUE AND TAXATION CODE

SECTION 7231-7236

7231. (a) This chapter may be cited as the Motor Carriers of
Property Permit Fee Act.
(b) The Legislature finds and declares that a safe and efficient
transportation system is essential to the welfare of the state, and
an important part of the system is service rendered by motor carriers
of property.

7232. (a) Every motor carrier of property shall annually pay a
permit fee to the Department of Motor Vehicles. The fees contained in
this section are due and shall be paid by each carrier at the time
of application for an initial motor carrier permit, and upon annual
renewal, with the Department of Motor Vehicles, pursuant to the Motor
Carriers of Property Permit Act, as set forth in Division 14.85
(commencing with Section 34600) of the Vehicle Code. The Department
of Motor Vehicles may, upon initial application for a motor carrier
permit, assign an expiration date not less than six months, nor more
than 18 months, from date of application, and may charge one-twelfth
of the annual fee for each month covered by the initial permit. The
fee paid by each motor carrier of property shall be based on the
number of commercial motor vehicles operated in California by the
motor carrier of property.
(b) As used in this chapter, "motor carrier of property" means any
person who operates any commercial motor vehicle as defined in
subdivision (d). "Motor carrier of property" does not include a
household goods carrier, as defined in Section 5109 of the Public
Utilities Code, a household goods carrier transporting used office,
store, and institution furniture and fixtures under its household
goods carrier permits pursuant to Section 5137 of the Public
Utilities Code, persons providing only transportation of passengers,
or a passenger stage corporation transporting baggage and express
upon a passenger vehicle incidental to the transportation of
passengers.
(c) As used in this chapter, "for-hire motor carrier of property"
means a motor carrier of property, as defined in subdivision (b), who
transports property for compensation.
(d) As used in this chapter, "commercial motor vehicle" means any
self-propelled vehicle listed in subdivisions (a), (b), (f), (g), and
(k) of Section 34500 of the Vehicle Code, any motor truck of two or
more axles that is more than 10,000 pounds gross vehicle weight
rating, and any other motor vehicle used to transport property for
compensation. "Commercial motor vehicle" does not include vehicles
operated by household goods carriers, as defined in Section 5109 of
the Public Utilities Code, vehicles operated by household goods
carriers to transport used office, store, and institution furniture
and fixtures under their household goods carrier permit pursuant to
Section 5137 of the Public Utilities Code, pickup trucks as defined
in Section 471 of the Vehicle Code, two-axle daily rental trucks with
gross vehicle weight ratings less than 26,001 pounds when operated
in noncommercial use or a motor truck or two-axle truck trailer
operated in noncommercial use with a gross vehicle weight rating
(GVWR) of less than 26,001 pounds used solely to tow a camp trailer,
trailer coach, fifth wheel travel trailer, or utility trailer.
(e) The "number of commercial motor vehicles operated by the motor
carrier of property" as used in this section means all of the
commercial motor vehicles owned, registered to, or leased by the
carrier. For interstate and foreign motor carriers of property the
fees set forth in subdivision (a) shall be apportioned based on the
percentage of fleet miles traveled in California in intrastate
commerce. In the absence of records to establish intrastate fleet
miles, the fees set forth in subdivision (a) shall be apportioned on
total fleet miles traveled in California.
(f) For purposes of this chapter, "private carrier" means a motor
carrier of property, as defined in subdivision (b), who does not
transport any goods or property for compensation.
(g) (1) Fees contained in this chapter shall not apply to a motor
carrier of property while engaged solely in interstate or foreign
transportation of property by motor vehicle. A motor carrier of
property shall not engage in any interstate or foreign transportation
of property for compensation by motor vehicle on any public highway
in this state without first having registered the operation with the
Department of Motor Vehicles or with the carrier's base registration
state, if other than California, as determined in accordance with
final regulations issued pursuant to the Federal Unified Carrier
Registration Act of 2005 (P.L.109-59). To register with the
Department of Motor Vehicles, carriers specified in this subdivision
shall comply with the following:
(A) When the operation requires authority from the Federal Motor
Carrier Safety Administration under the Federal Unified Carrier
Registration Act of 2005 (P.L.109-59), or authority from another
federal regulatory agency, a copy of that authority shall be filed
with the initial application for registration. A copy of any
additions or amendments to the authority shall be filed with the
Department of Motor Vehicles.
(B) If the operation does not require authority from the Federal
Motor Carrier Safety Administration under the Federal Unified Carrier
Registration Act of 2005 (P.L.109-59), or authority from another
federal regulatory agency, an affidavit of that exempt status shall
be filed with the application for registration.
(2) The Department of Motor Vehicles shall grant registration upon
the filing of the application pursuant to applicable law and the
payment of any applicable fees, subject to the carrier's compliance
with this chapter.
(3) This subdivision does not apply to household goods carriers,
as defined in Section 5109 of the Public Utilities Code, and motor
carriers engaged in the transportation of passengers for
compensation.

7233. No city, county, or city and county, shall assess, levy, or
collect an excise or license tax of any kind, character, or
description whatever upon the transportation business conducted on or
after the effective date of this chapter, by any for-hire motor
carrier of property.

7234. (a) The uniform business license tax fee imposed by this
chapter is in lieu of all city, county, or city and county excise or
license taxes of any kind, character, or description whatever, upon
the transportation business of any for-hire motor carrier of
property.
(b) This section does not prohibit the imposition by any city,
county, or city and county, of any excise or license tax authorized
under Division 2 (commencing with Section 6001).

7235. The Safety Fee imposed by this chapter shall be paid by all
motor carriers of property, as defined in Section 34601 of the
Vehicle Code.

7236. (a) Uniform business license tax fee payments collected by
the Department of Motor Vehicles pursuant to Section 7232 shall be
deposited in the State Treasury to the credit of the General Fund.
All other funds collected by the Department of Motor Vehicles
pursuant to Section 7232 shall be deposited in the State Treasury to
the credit of the Motor Vehicle Account in the State Transportation
Fund. The following fees shall be paid to the department:
(1) For-hire motor carriers of property shall pay, according to
the following schedule, fees indicated as the safety fee and uniform
business license tax fee, based on the size of their motor vehicle
fleet.
(2) Private carriers of property with a fleet size of 10 or less
motor vehicles shall pay a fee of thirty-five dollars ($35). Private
carriers of property with a fleet size of 11 or more motor vehicles
shall pay, according to the following schedule, fees indicated as the
safety fee, based on the size of their motor vehicle fleet. Any
carrier that does not pay a uniform business license tax fee shall
not operate as a for-hire motor carrier.
(3) A seasonal permit may be issued to a motor carrier of property
upon payment of fees indicated as the safety fee and one-twelfth of
the fee indicated as the uniform business license tax fee, rounded to
the next dollar, for each month the permit is valid. The original
seasonal permit shall be valid for a period of not less than six
months, and may be renewed upon payment of a five-dollar ($5) fee,
and one-twelfth of the fee indicated as a uniform business license
tax fee for each additional month of operation.

Fleet Size- Uniform
-Commercial Business
Motor Vehicles Fee Safety Fee License Tax
1 $60 $60
2-4 $75 $125
5-10 $200 $275
11-20 $240 $470
21-35 $325 $650
36-50 $430 $880
51-100 $535 $1,075
101-200 $635 $1,300
201-500 $730 $1,510
501-1,000 $830 $1,715
1,001-2,000 $930 $1,900
2,001-over $1,030 $2,000

Notwithstanding the above fee schedule, motor carriers of property
with 10 or fewer trucks shall not pay fees higher than they would
have paid under the fee structure in place as of January 1, 1996.
Notwithstanding Section 34606 of the Vehicle Code, fees for these
carriers shall not be subject to an increase by the Department of
Motor Vehicles.
(b) Funds derived from safety fees shall remain in the Motor
Vehicle Account in the State Transportation Fund and shall be
available for appropriation by the Legislature to cover costs
incurred by the Department of Motor Vehicles and the Department of
the California Highway Patrol in regulating motor carriers of
property pursuant to Division 14.85 (commencing with Section 34600)
of the Vehicle Code.
(c) It is the intent of the Legislature that the fee schedule
established in subdivision (a) shall not discriminate against small
fleet or individual vehicle operators or result in a disproportionate
share of those fees being assigned to small fleet or individual
vehicle operators.