Researcher: GM Page 1 6/4/21 OLR Bill Analysis sSB 261 (File 89, as amended by Senate “A”)* AN ACT CONCERNING RECOMMENDATIONS BY THE DEPARTMENT OF MOTOR VEHICLES. TABLE OF CONTENTS: SUMMARY §§ 1 & 2 — IDENTITY CARDS Establishes grounds for revoking identity cards and establishes a restoration fee for a revoked identity card § 4 — LIEN OR TITLE SERVICE FILING FEE Imposes a fee on a lien or title service that files seven or more registration or title applications per month and fails to do so electronically § 5 — “SAVE OUR LAKES” PLATES Establishes fees for Save Our Lakes commemorative plates and allows DMV to retain a portion to defray production and issuance costs § 7 — STUDENT TRANSPORTATI ON VEHICLE REGISTRATION Increases the registration fees for student transportation vehicles designed as passenger vehicles to reflect current DMV practice § 8 — COMMERCIAL PASSENGER VEHICLE INSURANCE Principally increases the minimum insurance coverage requirements for non-livery service vehicles (e.g., buses) that transport eight or more passengers §§ 9 & 41 — DRIVER’S LICENSE AND PERMIT CHANGES Increases the time period by which individuals must obtain a Connecticut driver’s license after establishing residency in the state; modifies driver testing requirements for applicants with expired licenses; and adds a vision exam option towards satisfying license and permit requirements § 9 — COMMERCIAL DRIVER’S LICENSE KNOWLEDGE TE STS FOR ELIGIBLE VETERANS AND SERVICE MEMBERS Allows for the waiver of commercial driver’s license knowledge tests for qualifying veterans and service members § 10 — ISSUING CREDENTIALS WITHOUT APPLICANT’S PERSONAL APPEARANCE Expands the circumstances under which DMV can renew and duplicate credentials without an applicant’s personal appearance §§ 11, 12, 22 & 51 — ONLINE DRIVER EDUCAT ION Allows driver’s education courses to be provided fully or partially through interactive distance learning 2021SB-00261-R01-BA.DOCX Researcher: GM Page 2 6/4/21 § 13 — DMV CONTRACTORS Eliminates a restriction requiring DMV contractors to process license and registration transactions at their own facilities § 14 — COMMERCIAL DRIVER’S LICENSE VALIDATION Requires DMV to check the federal Drug and Alcohol Clearinghouse before validating a commercial driver’s license, in accordance with federal regulations §§ 15 & 16 — COMMERCIAL DRIVER’S LICENSE LEARNER’S PERMITS Extends the duration of commercial driver’s license learner’s permits § 17 — COMMERCIAL DRIVER’S LICENSE DISQUALIFICATIONS Adds certain human trafficking felonies to the list of offenses resulting in a lifetime disqualification for a commercial driver’s license § 18 — ONE-YEAR REGISTRATIONS FOR SENIORS Allows seniors to renew combination registrations for a one-year period §§ 19 & 21 — LICENSE DEPOSITS Eliminates the cash deposit option for repairer, dealer, leasing or rental, and drivers’ school licenses § 20 — DEALER AND REPAIRER LICENSES Allows (1) the DMV commissioner to consider certain civil judgments against dealer and repairer license applicants and (2) new car dealer, repairer, and limited repairer license applicants to be licensed even if they owe sales tax §§ 23, 27 & 28 — OPERATOR RETRAINING AND SCHOOL BUS AND STUDENT TRANSPORTATI ON VEHICLE SAFETY TRAINING Allows operator retraining programs and school bus and student transportation vehicle safety training to be provided through interactive distance learning § 25 — EMISSION TESTING DEADLINES Permits extending the emissions testing deadline after vehicle purchases when DMV or testing stations are closed or have limited operations § 26 — SNOWMOBILE AND ALL -TERRAIN VEHICLE (ATV) OPERATORS Specifically adds snowmobiles and ATVs to the implied consent testing law § 29 — BOAT REGISTRATIONS AND DECALS Allows marine dealers to issue permanent boat registrations and decals § 30 — DEALER REGISTRATIONS Allows DMV to appoint dealers to issue additional registrations beyond the vehicles they sell § 30 — OUT-OF-STATE MOTOR VEHICLE REGISTRATIONS Extends the grace period during which a resident may drive a vehicle registered out-of- state without penalty and lowers the fine for residents who drive a vehicle registered out- of-state after the grace period § 31 — MOTOR VEHICLE REGISTRATION TASK FORCE 2021SB-00261-R01-BA.DOCX Researcher: GM Page 3 6/4/21 Restarts the motor vehicle registration task force and changes the appointing authorities for task force members § 32 — MUNICIPAL FINE FOR UNREGISTERED VEHICLES Allows municipalities to impose, by ordinance, a fine of up to $250 on owners of motor vehicles that are subject to local property tax but not registered with DMV §§ 34 & 35 — EMERGENCY VEHICLE DE FINITIONS Makes several changes to emergency vehicle definitions, including adding certain DEEP vehicles § 36 — ACCESSIBLE PARKING PLACARDS Enables a parent or guardian of a child of any age with a disability to obtain an accessible parking placard on the child’s behalf § 37 — RIGHT-OF-WAY AND BUSES Requires drivers to yield the right-of-way to a bus traveling in the same direction when the bus appropriately signals § 38 — SCHOOL BUS EQUIPMENT Allows school buses to be equipped with an extended stop arm § 39 — INSURANCE COMPANY PO SSESSION OF VEHICLES Makes changes related to salvage titles and powers of attorney needed to transfer vehicles that are total losses § 40 — REPLACEMENT VETERANS ’ PLATES Establishes a specific fee of $15 for replacing veterans’ plates that become mutilated or illegible § 42 — SCHOOL BUS PASSING VIOLATIONS Makes changes affecting school bus passing violations based on stop arm camera videos § 43 — FIRE APPARATUS SALE AND REPAIR Requires DMV to create a report on compliance with the laws regarding the sale and repair of fire apparatus § 44 — COMMERCIAL DRIVER’S LICENSE TESTING Requires the DMV commissioner to verify that certain CDL applicants have undergone specific entry level training before administering particular tests § 45 — ORGAN AND TISSUE DON ORS INFORMATION Requires DMV and DAS to provide certain organ and tissue procurement organizations with information on individuals holding instruction permits who wish to be donors § 46 — CATALYTIC CONVERTER SALES Prohibits motor vehicle recyclers from receiving a vehicle’s catalytic converter without proof of ownership § 47 — DRIVE ONLY LICENSES Allows drive only license applicants to use photocopies and other noncertified documents as proof of residency and modifies the fees for drive only licenses § 48 — DMV WAIT TIME REPORT 2021SB-00261-R01-BA.DOCX Researcher: GM Page 4 6/4/21 Modifies DMV’s reporting centered on wait times at department offices to align with the department’s shift to online services and an appointment system § 49 — LICENSE PLATES FOR VETERANS AND ARMED FO RCES MEMBERS WITH WARTIME SERVICE Requires DMV to issue special license plates indicating service during a “period of war” to any veteran or armed forces member who requests them and received a campaign medal § 50 — FEE WAIVER FOR VETERANS Allows the DMV commissioner to waive driver’s license or identity card renewal or duplicate fees for certain veterans attending specific events §§ 52-65 — PEER-TO-PEER (P2P) CAR SHARING Imposes regulatory requirements on P2P car sharing, principally concerning insurance, and requires DRS to issue guidance on the sales and use tax treatment of P2P car sharing § 66 — STATE AND MUNICIPAL CONTRACT ELIGIBILITY Repeals a provision that required a specific number of inspections of certain trucking companies and commercial motor vehicle drivers in order to make them ineligible for state or municipal contracts BACKGROUND SUMMARY This bill makes numerous unrelated changes in motor vehicle laws. Among other things, the bill: 1. expands the circumstances under which the Department of Motor Vehicles (DMV) may renew and duplicate credentials without an applicant’s personal appearance (§ 10); 2. eliminates a restriction requiring DMV contractors to process license and registration transactions at their own facilities (§ 13); 3. imposes regulatory requirements on peer-to-peer (P2P) car sharing and requires the Department of Revenue Services to issue sales and use tax guidance for P2P car sharing (§§ 51-65); 4. modifies the state’s motor vehicle registration requirements and penalties for driving with out-of-state plates, reconstitutes the motor vehicle registration task force, and allows municipalities to impose fines on taxable vehicles that are not registered under certain conditions (§§ 30-32); 2021SB-00261-R01-BA.DOCX Researcher: GM Page 5 6/4/21 5. allows for driver education courses, operator retraining programs, and school bus and student transportation vehicle safety training to be provided fully or partially online (§§ 11, 12, 22, 23, 27, 28 & 51); and 6. increases the minimum insurance coverage requirements for non-livery service vehicles (e.g., buses) that transport eight or more passengers (§ 8). Lastly, the bill makes numerous technical and conforming changes. *Senate Amendment “A” among other things, (1) adds (a) provisions on drive-only licenses, DMV wait time reporting, new veterans’ plates, and a veterans’ fee waiver and (b) numerous other provisions that are the same or substantially similar to those in related bills (see BACKGROUND); (2) modifies the underlying bill by (a) specifying required interactive components of distance learning associated with driver trainings and (b) limiting the scope of its authorization for the DMV commissioner to consider civil judgements against dealer and repairer license applicants; and (3) removes provisions from the underlying bill (a) extending the timeframe to transfer a vehicle to a beneficiary after the owner's death and (b) establishing conditions for a vehicle purchaser's deposit to be refunded when financing through the seller. EFFECTIVE DATE: July 1, 2021, unless otherwise noted below. §§ 1 & 2 — IDENTITY CARDS Establishes grounds for revoking identity cards and establishes a restoration fee for a revoked identity card The bill requires the DMV commissioner to revoke an identity (ID) card if (1) the owner misrepresents his or her age or otherwise deceives to get the ID card or (2) it is used or exhibited by someone other than the owner. Under existing law, these actions are class D misdemeanors, punishable by a fine of up to $250, up to 30 days imprisonment, or both. The bill also requires owners of a revoked ID card to pay a $175 2021SB-00261-R01-BA.DOCX Researcher: GM Page 6 6/4/21 restoration fee in order to obtain a new ID card, which is the same amount to restore a suspended or revoked driver’s license. By law, a restoration fee must be paid in addition to other applicable fees. § 4 — LIEN OR TITLE SERVICE FILING FEE Imposes a fee on a lien or title service that files seven or more registration or title applications per month and fails to do so electronically The bill imposes a $25 fee on applications submitted by a lien or title service that files seven or more motor vehicle registration or title applications per month and fails or refuses to do so electronically when requested by the DMV commissioner. § 5 — “SAVE OUR LAKES” PLA TES Establishes fees for Save Our Lakes commemorative plates and allows DMV to retain a portion to defray production and issuance costs The bill (1) establishes fees of $60 and $80 for Save Our Lakes commemorative plates and (2) allows DMV to keep a part of the fees ($15) to defray plate production and issuance costs. Under the bill, the lower $60 fee is charged if the DMV commissioner selects the plate’s letters and numbers. The bill’s higher $80 fee is for (1) plates with a combination of letters or numbers requested by the registrant or (2) low number plates. The remainder of each plate fee, after DMV’s costs, must be deposited into the Connecticut Lakes, Rivers, and Ponds Preservation account. By law, plate fees are in addition to other vehicle registration fees. Correspondingly, the bill eliminates the current requirement that the DMV commissioner establish the Save Our Lakes plate fees by regulation. It also deletes a requirement that the DMV commissioner adopt specific regulations on the plates’ issuance, renewal, and replacement. Additionally, the bill extends by 18 months the date by which the DMV commissioner must begin issuing Save Our Lakes plates, from January 1, 2020, to July 1, 2021. § 7 — STUDENT TRANSPORTATI ON VEHICLE REGISTRAT ION 2021SB-00261-R01-BA.DOCX Researcher: GM Page 7 6/4/21 Increases the registration fees for student transportation vehicles designed as passenger vehicles to reflect current DMV practice The bill increases the annual registration fee for student transportation vehicles (STVs) designed as passenger vehicles from $40 to $44 to reflect DMV’s current practice of issuing these vehicles combination plates rather than passenger plates due to their mixed-use nature. § 8 — COMMERCIAL PASSENGER VEHICLE INSURANCE Principally increases the minimum insurance coverage requirements for non-livery service vehicles (e.g., buses) that transport eight or more passengers The bill makes several modifications to the requirements on insurance policies and indemnity bonds for buses, taxis, livery service vehicles, and STVs. It eliminates the option for these vehicles to select double or split limit of liability policies or bonds and instead requires them to have single limit of liability providing coverage against claims for personal injury or death and property damage for any one accident. Under the bill, non-livery service vehicles designed or used to transport eight to 14 passengers without compensation must have at least $750,000 in coverage. Currently, the minimum coverage requirements for those vehicles range from $150,000 to $200,000. For non-livery service vehicles designed or used to transport (1) eight or more passengers for compensation or (2) 15 or more passengers without compensation, the bill requires at least the amounts established under federal law, which are currently $1.5 million for vehicles with a seating capacity of 15 passengers or fewer, including the driver, and $5 million for vehicles with a seating capacity of 16 passengers or more, including the driver (49 C.F.R. § 387.33). Under current law, the minimum coverage requirements for those vehicles ranged from $150,000 to $300,000 and $200,000 to $300,000 respectively. Under existing law, unchanged by the bill, the minimum coverage requirement is (1) $100,000 for non-livery service vehicles that transport seven or fewer passengers (e.g., taxis); (2) $1.5 million for 2021SB-00261-R01-BA.DOCX Researcher: GM Page 8 6/4/21 livery service vehicles that transport 14 or fewer passengers; and (3) $5 million for livery service vehicles that transport 15 or more passengers. EFFECTIVE DATE: October 1, 2021 §§ 9 & 41 — DRIVER’S LICENSE AND PERMIT CHANGES Increases the time period by which individuals must obtain a Connecticut driver’s license after establishing residency in the state; modifies driver testing requirements for applicants with expired licenses; and adds a vision exam option towards satisfying license and permit requirements The bill lengthens, from 30 to 60 days, the time period within which a person with an out-of-state driver’s license must obtain a Connecticut license after establishing residency here. Under current law, driver’s license applicants who have not operated a motor vehicle in the preceding two years must take a driver’s test and may be required to pass a vision screening. The bill instead applies these provisions to applicants whose Connecticut licenses expired more than two years prior. Under current law, before issuing a (1) driver’s license to someone who has not been issued a Connecticut license before or operated a motor vehicle within the last two years or (2) youth instruction permit to a 16- or 17-year old, the DMV commissioner may require that person to pass a vision screening to determine if he or she satisfies the state’s vision standards. The bill specifies that this screening must be conducted by DMV or, alternatively, the person may submit the results of a vision exam by a licensed medical professional that certifies he or she satisfies the standards. The bill also imposes this vision testing as a requirement for obtaining an adult instruction permit. By law and under the bill, a “medical professional” is a licensed physician, physician assistant, advanced practice registered nurse, or optometrist (CGS § 14-46b). Additionally, the bill authorizes the DMV commissioner to direct how driver’s license applicants must submit supporting documents. § 9 — COMMERCIAL DRIVER’S LICENSE KNOWLEDGE TE STS FOR ELIGIBLE VETERAN S AND SERVICE MEMBER S 2021SB-00261-R01-BA.DOCX Researcher: GM Page 9 6/4/21 Allows for the waiver of commercial driver’s license knowledge tests for qualifying veterans and service members The bill authorizes the DMV commissioner, in her discretion, to waive commercial driver’s license (CDL) knowledge tests for eligible veterans and active duty service members who meet conditions set by federal regulation. By law, unchanged by the bill, the commissioner must waive the CDL driving skills test for such applicants who meet similar conditions. The bill specifically applies to: 1. armed forces and National Guard members who currently hold a military operator’s license of the same class as the CDL they are applying for and 2. veterans who (a) apply within two years after their military discharge and (b) before their discharge, held a military operator’s license to drive the same class of vehicles allowed under their prospective CDL. By law, a “veteran” is anyone discharged or released under conditions other than dishonorable from active service in the armed forces (i.e., the U.S. Army, Navy, Marine Corps, Coast Guard, and Air Force and any of their reserve components, including the Connecticut National Guard performing duty under Title 32 of federal law). For purposes of the knowledge test waiver, u nder federal regulations an applicant must certify and provide evidence that during the one-year period prior to applying for the CDL, he or she has not had: 1. more than one license (except for a military license); 2. any license suspended, revoked, or cancelled; 3. any type of motor vehicle conviction that would disqualify an applicant from getting a commercial license (e.g., driving under the influence); 2021SB-00261-R01-BA.DOCX Researcher: GM Page 10 6/4/21 4. more than one conviction for a serious traffic violation (e.g., driving recklessly); or 5. any conviction for violating any military, state, or local law relating to motor vehicle traffic control (other than a parking violation) in connection with any traffic accident or any record of an accident where he or she was at fault. The applicant must also provide evidence and certify that he or she: 1. is or was regularly employed and designated as an operator of one of eight specific vehicles (e.g., Air Force 2T1 vehicle operator) and 2. is or was operating a vehicle that is representative of the type he or she expects to operate (49 C.F.R. § 383.77). § 10 — ISSUING CREDENTIALS WITHOUT APPLICANT’S PERSONAL APPEARANCE Expands the circumstances under which DMV can renew and duplicate credentials without an applicant’s personal appearance The bill expands the circumstances under which DMV can renew and duplicate credentials without an applicant’s personal appearance. Under the bill, the DMV commissioner may renew or duplicate a driver’s license, CDL, or an ID card without the applicant’s personal appearance if: 1. the commissioner has on file the applicant’s photo or digital image that (a) meets the standards and specifications the commissioner prescribes (see below) and (b) may be used on a license or ID card; 2. the commissioner has satisfactory evidence of the applicant’s identity; 3. the commissioner is satisfied that the applicant is a legal resident of this state; 4. in the case of renewal, the applicant has personally appeared to 2021SB-00261-R01-BA.DOCX Researcher: GM Page 11 6/4/21 renew the license or ID card within the time limitations specified in state or federal law; and 5. the applicant meets all other requirements for a renewal or duplicate license. Under current law, the commissioner may renew these credentials without the applicant’s personal appearance only (1) if the applicant is an armed forces member, (2) if the applicant is temporarily residing out-of-state for business or educational purposes, or (3) in other circumstances where, in the commissioner’s judgement, personal appearance would be impractical or impose significant hardship. Current law does not allow the commissioner to issue duplicate credentials without personal appearance. The bill specifies that temporary licenses, instruction permits, and ID cards are not required to contain an applicant’s photo. Current law requires that all licenses and ID cards contain the holder’s photo or digital image. The bill also repeals the commissioner’s authority to adopt regulations on renewing licenses and ID cards by mail or electronic communications with DMV. Instead, if the commissioner elects to renew or issue duplicate credentials without the applicant’s personal appearance, she must establish procedures to renew or issue them by mail or electronic communication with DMV. EFFECTIVE DATE: Upon passage §§ 11, 12, 22 & 51 — ONLINE DRIVER EDUCAT ION Allows driver’s education courses to be provided fully or partially through interactive distance learning Under current law, driver’s education provided by commercial driving schools and secondary schools must be provided through classroom instruction, which is generally defined as group instruction of students in a classroom or a similar group situation by qualified instructors (Conn. Agencies Regs. §§ 14-36f-1(2) & 14-78-20(2)). 2021SB-00261-R01-BA.DOCX Researcher: GM Page 12 6/4/21 The bill allows these courses to be provided fully or partially through distance learning, provided the distance learning has interactive components (e.g., mandatory interactions, participation, or testing). However, it specifies that if the eight-hour safe driving practices course is provided through distance learning, it must be conducted in real-time by an instructor. For the purposes of courses provided by secondary schools, it defines “classroom instruction” to include instruction provided through distance learning or through a combination of in-person and real-time, interactive distance learning. It also requires that the regulations for commercial and secondary school driver’s education permit classes to be offered fully or partially through distance learning. The law authorizes DMV to adopt regulations about commercial driving schools, including establishing instructional standards and recordkeeping requirements for them. The bill requires DMV to update its commercial driving school regulations to include (1) requirements as to the administration of a test at the conclusion of each class and (2) the form in which required student records must be transmitted to the commissioner, when required. EFFECTIVE DATE: Upon passage § 13 — DMV CONTRACTORS Eliminates a restriction requiring DMV contractors to process license and registration transactions at their own facilities By law, the DMV commissioner may contract with other entities, including automobile clubs and municipalities, to conduct various license and registration transactions. Under current law, she may authorize a contractor or municipality to conduct these transactions only at their own office or facilities. The bill eliminates this restriction. EFFECTIVE DATE: Upon passage § 14 — COMMERCIAL DRIVER’S LICENSE VALIDATION 2021SB-00261-R01-BA.DOCX Researcher: GM Page 13 6/4/21 Requires DMV to check the federal Drug and Alcohol Clearinghouse before validating a commercial driver’s license, in accordance with federal regulations The bill conforms state law to federal regulations by requiring the DMV commissioner, beginning January 6, 2023, to request a CDL applicant’s record from the federal Drug and Alcohol Clearinghouse to determine whether he or she is qualified to renew, transfer, or upgrade a CDL (49 C.F.R. § 383.725). The clearinghouse is an online database that gives employers and government agencies access to information about CDL and commercial learner’s permit holders’ drug and alcohol program violations (e.g., positive drug or alcohol test results and test refusals). In accordance with the federal regulations, the bill also prohibits the commissioner from disclosing the information in the applicant’s clearinghouse record to any person or entity not directly involved in evaluating the applicant’s CDL qualifications (49 C.F.R. § 383.725(c)). §§ 15 & 16 — COMMERCIAL DRIVER’S LICENSE LEARNER’S PERMITS Extends the duration of commercial driver’s license learner’s permits This bill modifies the duration of a CDL learner’s permit from 180 days with an option to have it reissued or renewed for an additional 180 days within a two-year period, to a single, one-year period. Relatedly, it adjusts the fee for the permit from $10 to $20. § 17 — COMMERCIAL DRIVER’S LICENSE DISQUALIFICATIONS Adds certain human trafficking felonies to the list of offenses resulting in a lifetime disqualification for a commercial driver’s license The bill conforms state law to federal regulation by requiring a lifetime CDL disqualification without the possibility of reinstatement for any person who commits certain human trafficking felonies, as defined under federal law, while using a commercial motor vehicle. Specifically, this provision applies to the following felonies: 1. sex trafficking in which a commercial sex act is induced by force, fraud, or coercion, or in which the person induced to perform the act is under age 18; or 2021SB-00261-R01-BA.DOCX Researcher: GM Page 14 6/4/21 2. the recruitment, harboring, transportation, provision, or obtaining of a person for labor or services through the use of force, fraud, or coercion for the purpose of subjection to involuntary servitude, peonage, debt bondage, or slavery (49 C.F.R. § 383.51 & 22 U.S.C. § 7201(11)). By law, unchanged by the bill, CDL holders are disqualified for life and ineligible for reinstatement if they commit a felony involving the manufacture, distribution, or dispensing of a controlled substance while using any motor vehicle. EFFECTIVE DATE: October 1, 2021 § 18 — ONE-YEAR REGISTRATIONS F OR SENIORS Allows seniors to renew combination registrations for a one-year period Existing law allows registrants age 65 or older to opt to renew their passenger motor vehicle registrations for a one-year period instead of a two- or three-year registration period (CGS § 14-49(a)). The bill additionally allows them to opt to renew combination registrations for a one-year period. EFFECTIVE DATE: October 1, 2021 §§ 19 & 21 — LICENSE DEPOSITS Eliminates the cash deposit option for repairer, dealer, leasing or rental, and drivers’ school licenses The bill eliminates the option to deposit cash with DMV as a condition of obtaining the following licenses: (1) repairer, (2) limited repairer, (3) new car dealer, (4) used car dealer, (5) leasing or rental, or (6) drivers’ school. In doing so, it requires those license applicants to submit surety bonds, which is an option under current law. EFFECTIVE DATE: October 1, 2021, except the change affecting drivers’ school licenses is effective July 1, 2021. § 20 — DEALER AND REPAIRER LICENSES Allows (1) the DMV commissioner to consider certain civil judgments against dealer and repairer license applicants and (2) new car dealer, repairer, and limited repairer license applicants to be licensed even if they owe sales tax 2021SB-00261-R01-BA.DOCX Researcher: GM Page 15 6/4/21 This bill authorizes the DMV commissioner to consider certain civil judgments against dealer and repairer license applicants when deciding whether to grant or renew those licenses. Specifically, she may consider judgements involving odometer fraud or operating a dealer, repairer, or motor vehicle recycler business without a license. The bill makes a conforming change by requiring licensees to disclose these civil judgements under penalty of false statement when renewing their license. Existing law already allows the commissioner to consider certain criminal convictions against these applicants. The bill also requires applicants for dealer and repairer licenses to submit to a national criminal history record check, in addition to the existing requirement to submit to a state criminal history record check. It additionally allows the commissioner to require that applications for these licenses be submitted electronically. The bill also allows the commissioner to require those license applications be submitted electronically. Under the bill, license applicants must submit to a national criminal history record check, which will be in addition to the existing requirement to submit to a state criminal history record check. It additionally allows the commissioner to require those license applications be submitted electronically. The bill also eliminates current law’s prohibition on new car dealers, repairers, and limited repairers from receiving initial or renewed licenses if they owe sales tax. It maintains the prohibition for used car dealer licenses. §§ 23, 27 & 28 — OPERATOR RETRAINING AND SCHOOL BUS AND STUDENT TRANSPOR TATION VEHICLE SAFETY TRAINING Allows operator retraining programs and school bus and student transportation vehicle safety training to be provided through interactive distance learning The bill specifically allows certain training programs to be offered fully or partially through distance learning, provided the distance learning has interactive components such as mandatory interactions, participation, or testing. It specifically applies to (1) operator retraining programs conducted by DMV or DMV -certified organizations, (2) 2021SB-00261-R01-BA.DOCX Researcher: GM Page 16 6/4/21 school bus and STV operator safety training administered by DMV, and (3) school bus operator safety training required by a town or regional school district. EFFECTIVE DATE: Upon passage § 25 — EMISSION TESTING DEADLINES Permits extending the emissions testing deadline after vehicle purchases when DMV or testing stations are closed or have limited operations By law, whenever a vehicle’s ownership is transferred, the new owner must present the vehicle for an emissions inspection within 30 days after registering the vehicle. The bill authorizes the DMV commissioner to extend that deadline for the new owner to comply if circumstances require DMV or emissions inspection stations to close or have limited operations. § 26 — SNOWMOBILE AND ALL -TERRAIN VEHICLE (ATV ) OPERATORS Specifically adds snowmobiles and ATVs to the implied consent testing law By law, motor vehicle operators implicitly consent to chemical analyses of their blood, breath, or urine; and if the operator is a minor, his or her parents or guardians have implicitly consented for him or her. Current law applies this requirement to all vehicles used on public roads. The bill also applies it to snowmobiles and ATVs. By law, a snowmobile is any self-propelled vehicle designed for travel on snow or ice, except for ones propelled by sail. An ATV is a self-propelled vehicle designed to travel over unimproved terrain, has been determined by the DMV commissioner to be unsuitable for operation on public roads, and is ineligible for registration (CGS § 14- 379). The implied consent law establishes administrative license suspension procedures for operators who refuse to submit to a test or whose test results indicate an elevated blood alcohol content. Relatedly, the bill’s specific inclusion of snowmobiles and ATVs align the implied consent law with the state’s criminal DUI laws (CGS §§ 14- 227a and 14-227m). 2021SB-00261-R01-BA.DOCX Researcher: GM Page 17 6/4/21 § 29 — BOAT REGISTRATIONS AND DECALS Allows marine dealers to issue permanent boat registrations and decals The bill permits the DMV commissioner to allow marine dealers to issue boat registration and decal certificates without a limitation on the type of those certificates, thus allowing them to issue permanent certificates. Under current law, authorized marine dealers may only issue temporary boat registrations and decals. Additionally, the bill eliminates a requirement that the DMV commissioner adopt regulations about these transactions and instead grants her the discretion to adopt them. EFFECTIVE DATE: Upon passage § 30 — DEALER REGISTRATIONS Allows DMV to appoint dealers to issue additional registrations beyond the vehicles they sell The bill permits the DMV commissioner to appoint certain qualified and licensed dealers to issue original and renewal registrations for passenger motor vehicles, motorcycles, campers, camp trailers, commercial trailers, service buses, school buses, trucks, and other vehicle types determined by the commissioner, regardless of whether the dealers sold the vehicles to the registrants. Under current law, the commissioner may appoint dealers to issue registrations only on the vehicles that the dealers sold. By law, registration applicants must pay to the dealer the registration fee for their vehicles as well as any other applicable fees. The bill allows the DMV commissioner to authorize dealers, as part of their registration transactions, to charge and retain a service fee. The commissioner must establish the maximum service fee that these dealers may charge. The bill also eliminates a requirement that the DMV commissioner impose a $10 fee for each new dealer issue form furnished to dealers. Additionally, the bill requires the commissioner to allow these appointed dealers to electronically register vehicles with a gross vehicle weight rating exceeding 26,000 pounds that are used or 2021SB-00261-R01-BA.DOCX Researcher: GM Page 18 6/4/21 operated in intrastate commerce. Under the bill, these dealers must pay all applicable registration and title fees for the registrations. EFFECTIVE DATE: October 1, 2021 § 30 — OUT-OF-STATE MOTOR VEHICLE REGISTRATIONS Extends the grace period during which a resident may drive a vehicle registered out-of- state without penalty and lowers the fine for residents who drive a vehicle registered out- of-state after the grace period The bill extends, from 60 to 90 days after establishing residency, the grace period during which a resident may drive a vehicle registered out-of-state without penalty. It also lowers the fine, from $1,000 to $250, for residents who drive a vehicle registered out-of-state after the grace period and requires that the fine be suspended for first-time violators who provide proof that they registered their vehicle after the violation but before the fine is imposed. EFFECTIVE DATE: October 1, 2021 § 31 — MOTOR VEHICLE REGIST RATION TASK FORCE Restarts the motor vehicle registration task force and changes the appointing authorities for task force members The bill reconstitutes and modifies the motor vehicle registration task force, which never met. The motor vehicle registration task force is charged with studying compliance with motor vehicle registration laws and making recommendations to prevent Connecticut residents from registering motor vehicles out-of-state. The bill modifies the appointing authorities for the task force’s appointed members, generally changing them from the legislative leaders to the Transportation Committee leaders, as shown in Table 1. As under current law, the task force also includes two gubernatorial appointees and the DMV and emergency services and public protection commissioners, or their designees. Table 1: Appointment Authority Changes 2021SB-00261-R01-BA.DOCX Researcher: GM Page 19 6/4/21 Number and Qualifications Appointing Authority Current Law Bill Two members, one of whom is a municipal tax assessor association member House speaker Transportation Committee House chairperson Two members, one of whom is a municipal police chief Senate president pro tempore Transportation Committee Senate chairperson One member who is a municipal tax assessor serving a municipality with at least 75,000 residents House majority leader Transportation Committee House vice- chairperson One member who is a member of a police department serving a municipality with at least 75,000 residents Senate majority leader Transportation Committee Senate vice- chairperson One member who is a member of a police department serving a municipality with less than 75,000 residents House minority leader Transportation Committee House ranking member One member who is a municipal tax assessor serving a municipality with less than 75,000 residents Senate minority leader Transportation Committee Senate ranking member Under the bill, appointing authorities must make appointments to the task force by September 1, 2021. The bill requires the Transportation Committee chairpersons, rather than the House Speaker and Senate President Pro Tempore, to jointly select the task force’s chairpersons from among its members. The selected chairpersons must schedule the first meeting and hold it by October 1, 2021. The bill requires that the task force (1) submit a report on its findings to the Transportation Committee by January 1, 2022, and (2) terminate on the date it submits the report or January 1, 2022, 2021SB-00261-R01-BA.DOCX Researcher: GM Page 20 6/4/21 whichever is later. EFFECTIVE DATE: Upon passage § 32 — MUNICIPAL FINE FOR UNREGISTERED VEHICLES Allows municipalities to impose, by ordinance, a fine of up to $250 on owners of motor vehicles that are subject to local property tax but not registered with DMV The bill allows municipalities to impose, by ordinance, a fine of up to $250 on owners of motor vehicles that are subject to local property tax in the municipality but are not registered with DMV. Municipalities may only impose this fine on vehicles eligible for registration and required to be registered under the state’s motor vehicle laws. Under the bill, police officers or anyone authorized by the municipality’s chief executive officer may issue a citation to any person who fails to register a motor vehicle. Municipalities imposing the $250 fine must (1) adopt a citation hearing procedure, in accordance with state law, through which the fine must be imposed and (2) suspend fines for first-time violators who provide proof that they registered their vehicle with DMV after the violation but before the fine is imposed. The bill prohibits municipalities from imposing a penalty for failing to pay the fine that is more than 25% of the fine. The bill’s authorization to impose a fee by ordinance applies regardless of any provisions of the general statutes or a special act, municipal charter, or ordinance. §§ 34 & 35 — EMERGENCY VEHICLE DE FINITIONS Makes several changes to emergency vehicle definitions, including adding certain DEEP vehicles The bill modifies the statutory definitions of the terms “emergency vehicle” and “authorized emergency vehicle” as used in the laws establishing those vehicles’ rights and motorists’ responsibilities with respect to them. Specifically, the bill expands the definition of “emergency vehicle” to include (1) any ambulance or vehicle operated by an emergency 2021SB-00261-R01-BA.DOCX Researcher: GM Page 21 6/4/21 medical service organization member taking a patient to a hospital and (2) any Department of Energy and Environmental Protection (DEEP) vehicle operated by an authorized DEEP employee while in the course of his or her employment and while en route to a fire or responding to an emergency call, but not returning from a fire or an emergency call. The bill also removes a public service company or municipal department ambulance or emergency vehicle designated or authorized by the DMV commissioner from the definition of “authorized emergency vehicle” and instead simply specifies that an ambulance is an authorized emergency vehicle. EFFECTIVE DATE: Upon passage § 36 — ACCESSIBLE PARKING P LACARDS Enables a parent or guardian of a child of any age with a disability to obtain an accessible parking placard on the child’s behalf Current law allows a parent or guardian of a child younger than age 18 with a disability to apply for an accessible parking windshield placard on the child’s behalf and specifies that DMV must issue a placard to each parent or guardian who applies up to two placards per eligible child. The bill eliminates the limitation that the child must be under age 18. EFFECTIVE DATE: October 1, 2021 § 37 — RIGHT-OF-WAY AND BUSES Requires drivers to yield the right-of-way to a bus traveling in the same direction when the bus appropriately signals The bill requires drivers to yield the right-of-way to a bus traveling in the same direction when the bus appropriately signals (i.e., by using a hand and arm, signal lamp, or mechanical signal device) to reenter the flow of traffic. A violation is an infraction. EFFECTIVE DATE: October 1, 2021 § 38 — SCHOOL BUS EQUIPMENT Allows school buses to be equipped with an extended stop arm 2021SB-00261-R01-BA.DOCX Researcher: GM Page 22 6/4/21 The bill allows school buses to be equipped with an extended stop arm. Under the bill, an “extended stop arm” is a device attached to a stop semaphore that when activated displays a stop sign and extends between three and six feet from the left side of a school bus. EFFECTIVE DATE: October 1, 2021 § 39 — INSURANCE COMPANY PO SSESSION OF VEHICLES Makes changes related to salvage titles and powers of attorney needed to transfer vehicles that are total losses The bill creates a process for insurance companies that take possession of a vehicle as a result of a damage or theft claim settlement to apply to DMV for certain title documents if they are unable to obtain them from the insured or lienholder. The companies may specifically apply for regular, SALVAGE, or SALVAGE-PARTS ONLY title certificates. (By law, if a vehicle has been declared a total loss and offered for sale by certain insurance entities, the title certificates must be stamped with (1) “SALVAGE” or (2) “SALVAGE-PARTS ONLY” if the company determines the vehicle has at least 10 major component parts that are damaged beyond repair and must be replaced.) Under the bill, applications must be on a DMV commissioner- prescribed form and include documents the commissioner requires. They must also include evidence satisfactory to the commissioner that the company (1) provided at least two notices by certified mail, return receipt requested, to the insured and any lienholder of record for the vehicle indicating the company’s intention to apply for a title certificate as the owner of the vehicle and (2) made payment to the insured or lienholders in full settlement of the claim involving the vehicle. The bill prohibits the commissioner from issuing these title certificates until at least 30 days after the settlement payment is made. The bill also makes changes to powers of attorney used to support an insurance company’s application for or transfer of title certificates. Under existing law, the Connecticut Uniform Power of Attorney Act generally, with certain exceptions, applies to all powers of attorney and requires, among other things, a principal’s signature be witnessed 2021SB-00261-R01-BA.DOCX Researcher: GM Page 23 6/4/21 by two people and acknowledged before a notary, Connecticut- licensed attorney, or other person authorized to take acknowledgements (CGS §§ 1-350b & 1-350d). Notwithstanding that law, the bill requires that a power of attorney used to support an insurance company’s application for or transfer of title certificate only needs a signature or electronic signature of the insured who has received or will receive a total loss settlement from the company. Additionally, the bill authorizes, rather than requires as under current law, the DMV commissioner to adopt regulations about these applications and related law. EFFECTIVE DATE: October 1, 2021 § 40 — REPLACEMENT VET ERANS’ PLATES Establishes a specific fee of $15 for replacing veterans’ plates that become mutilated or illegible Under existing law, the DMV commissioner generally must charge a fee of $20 to replace vehicle plates (CGS § 14-50a(a)). The bill establishes a specific fee of $15 for replacing veterans’ plates that become mutilated or illegible. § 42 — SCHOOL BUS PASSING V IOLATIONS Makes changes affecting school bus passing violations based on stop arm camera videos The bill makes modifications affecting the issuance of school bus passing violation tickets based on evidence from a school bus violation detection video monitoring system (i.e., stop arm cameras). Specifically, it (1) extends, from 10 to 30 days, the deadline for law enforcement to issue a ticket after a violation is recorded and (2) removes the requirement for a signed affidavit from the person who witnessed the violation live. EFFECTIVE DATE: October 1, 2021 § 43 — FIRE APPARATUS SALE AND REPAIR Requires DMV to create a report on compliance with the laws regarding the sale and repair of fire apparatus The bill requires the DMV commissioner to study compliance with 2021SB-00261-R01-BA.DOCX Researcher: GM Page 24 6/4/21 the laws regarding the sale and repair of fire apparatus in Connecticut and submit a report with her findings and recommendations to the Transportation Committee by February 1, 2022. Under the bill, the study must include: 1. the number of times in the last five years the commissioner imposed a civil penalty under CGS § 14-51a for violating related laws or conducted investigations and held hearings under CGS § 14-65k on the sale or repair of fire apparatus, 2. the number of times in the last five years the commissioner requested the attorney general to apply to the Superior Court for a temporary or permanent restraining order enjoining a person or entity selling or repairing fire apparatus from violating related laws (CGS §§ 14-51 to 14-65j), 3. a summary of all complaints received regarding the sale or repair of fire apparatus, and 4. any recommendations for legislation to ensure fire apparatus sellers and repairers are properly licensed by DMV. EFFECTIVE DATE: Upon passage § 44 — COMMERCIAL DRIVER’S LICENSE TESTING Requires the DMV commissioner to verify that certain CDL applicants have undergone specific entry level training before administering particular tests Under current law, the DMV commissioner must not issue a commercial driver’s license (CDL) unless the person has, among other things, passed a knowledge and skills test that complies with specific minimum federal standards. Beginning February 7, 2022, the bill requires the commissioner to not administer a (1) CDL skills test to a person who is applying for or upgrading to a class A or class B CDL or applying for a “P” or “S” endorsement or (2) CDL knowledge test to a person who is applying for an “H” endorsement, until the commissioner has verified with the Federal Motor Carrier Safety Administration that the person has undergone the entry level driver training required under federal regulations. The bill provides that 2021SB-00261-R01-BA.DOCX Researcher: GM Page 25 6/4/21 these requirements do not apply to anyone exempt under federal regulations. EFFECTIVE DATE: October 1, 2021 § 45 — ORGAN AND TISSUE DON ORS INFORMATION Requires DMV and DAS to provide certain organ and tissue procurement organizations with information on individuals holding instruction permits who wish to be donors By law, the DMV and Department of Administrative Services commissioners must enter into an agreement with at least one organ and tissue procurement organization to provide the organization access to information on driver’s license and identity card holders who intend to be donors. The bill requires the departments to also provide the procurement organization with information on individuals holding instruction permits who wish to be donors. EFFECTIVE DATE: October 1, 2021 § 46 — CATALYTIC CONVERTER SALES Prohibits motor vehicle recyclers from receiving a vehicle’s catalytic converter without proof of ownership The bill prohibits motor vehicle recyclers from receiving a vehicle’s catalytic converter unless the seller provides proof that he or she owns the vehicle or is an authorized agent of the vehicle’s owner. The bill also requires motor vehicle recyclers to maintain copies of the proof with their records. By law, their records must be available for inspection by the DMV, State Police, and any organized local police department. EFFECTIVE DATE: October 1, 2021 § 47 — DRIVE ONLY LICENSES Allows drive only license applicants to use photocopies and other noncertified documents as proof of residency and modifies the fees for drive only licenses By law, applicants for any driver’s license must, among other things, submit proof of residency in the state. The bill allows drive only license applicants to use photocopies, notarized photocopies, or noncertified documents as proof of residency, conforming to current 2021SB-00261-R01-BA.DOCX Researcher: GM Page 26 6/4/21 department practice for other types of licenses. The bill also specifies the fees for these licenses. By law, original drive only licenses must expire three to six years after the date of issuance and may be renewed every three years afterwards. In practice, DMV currently charges $72 for both original and renewal licenses. The bill specifies that the fee for (1) an original drive only license is $72 for a six-year period, or a prorated amount for shorter periods and (2) a renewal license is $36 dollars. These fees are proportional to existing driver’s license fees. § 48 — DMV WAIT TIME REPORT Modifies DMV’s reporting centered on wait times at department offices to align with the department’s shift to online services and an appointment system Under current law, DMV must submit monthly and annual reports to the Transportation Committee on wait times at department offices. The bill eliminates the monthly reporting requirement and modifies the content that must be included in its annual report, aligning the report with the department’s shift to online services and an appointment system for in-person services. Under current law, DMV must report annually to the Transportation committee, (1) identifying specific goals for acceptable wait times at its offices, (2) summarizing steps it took in the previous year to achieve those goals, and (3) including a strategy to achieve or exceed those goals in the coming year. Under the bill, DMV must instead, by February 1, 2022, and annually thereafter, submit a report that includes the following from the preceding year: 1. the average number of days between the date a person scheduled an appointment on DMV’s website and the date of the scheduled appointment, 2. a list of the transactions that were available to be conducted by scheduling an appointment on DMV’s website, 3. a list of the transactions that were available to be conducted on the DMV’s website, 2021SB-00261-R01-BA.DOCX Researcher: GM Page 27 6/4/21 4. the number of transactions conducted on DMV’s website, and 5. a summary of DMV’s efforts to increase the types of transactions available to be conducted on its website. The bill also eliminates the specific authorization for the committee to hold a public hearing within 30 days of receiving the annual report, and a requirement that the DMV commissioner, or her designee, testify at the hearing. § 49 — LICENSE PLATES FOR V ETERANS AND ARMED FO RCES MEMBERS WITH WARTIME SERVICE Requires DMV to issue special license plates indicating service during a “period of war” to any veteran or armed forces member who requests them and received a campaign medal The bill requires DMV to issue special license plates indicating service during certain statutorily-defined periods of war (see below) at the request of any veteran or armed forces member who received a campaign medal. The request must be accompanied by proof from the Department of Veterans Affairs (DVA) that the requestor served in the armed forces during a qualifying period of war. The plates must be designed in consultation with the veterans affairs commissioner and bear the words “(Name of War) Veteran.” They may not be used for any purpose other than official license plates. The DMV commissioner must charge an additional fee for the plates that covers the plate’s entire production costs. The plates expire and must be renewed in the same manner as other existing license plates. Under the bill, a veteran’s or armed forces member’s surviving spouse may retain the plates for his or her lifetime or until her or she remarries. If an armed forces member is dishonorably discharged, he or she must return the plates to DMV within 30 days after his or her discharge date. The bill prohibits DMV from renewing plates for vehicles owned or leased by armed forces members who are dishonorably discharged. Definitions 2021SB-00261-R01-BA.DOCX Researcher: GM Page 28 6/4/21 Under the bill, a “veteran” is anyone who was (1) honorably discharged or released from active service in the armed forces or (2) discharged under conditions other than dishonorable or for bad conduct and has a qualifying condition (i.e., a diagnosis of post- traumatic stress disorder or traumatic brain injury or a disclosed military sexual trauma) (CGS § 27-103). The table below shows the qualifying periods of war for which DMV must issue special license plates. Table 2: Periods of War Operation Dates World War II 12/07/41-12/31/46 Korean War 06/27/50-01/31/55 Lebanon Conflict 07/01/58-11/01/58 or 09/29/82-03/30/84 Vietnam Era 02/28/61-07/01/75 Grenada Invasion 10/25/83-12/15/83 Operation Earnest Will (escort of Kuwaiti tankers flying U.S. flag in Persian Gulf) 07/24/87-08/01/90 Panama Invasion 12/20/89-01/31/90 Persian Gulf War 08/02/90 until a date prescribed by the President or law EFFECTIVE DATE: January 1, 2022 § 50 — FEE WAIVER FOR VETER ANS Allows the DMV commissioner to waive driver’s license or identity card renewal or duplicate fees for certain veterans attending specific events The bill authorizes the DMV commissioner to waive driver’s license and identity card renewal or duplication fees for certain veterans while attending a one-day event that offers services, supplies, or assistance to veterans and is hosted by the DVA. Under the bill, a “veteran” is (1) anyone honorably discharged or released from active service in the U.S. Armed Forces or their reserve 2021SB-00261-R01-BA.DOCX Researcher: GM Page 29 6/4/21 components, including the Connecticut National Guard performing duty under Title 32 of the U.S. Code (e.g., certain Homeland Security missions); (2) any former service member entitled to military retirement pay under federal law, regardless of age (10 U.S.C. ch. 1223); or (3) anyone discharged under conditions other than dishonorable or for bad conduct that has a qualifying condition (i.e., a diagnosis of post-traumatic stress disorder or traumatic brain injury or a disclosed military sexual trauma). Additionally, to qualify for a waiver under the bill, the person or member must have verification from the DVA that he or she is a veteran. §§ 52-65 — PEER-TO-PEER (P2P) CAR SHARING Imposes regulatory requirements on P2P car sharing, principally concerning insurance, and requires DRS to issue guidance on the sales and use tax treatment of P2P car sharing The bill imposes regulatory requirements on peer-to-peer (P2P) car sharing companies (e.g., Turo and Getaround) and on individuals who share their vehicles through the companies’ car sharing platforms (i.e., P2P car sharing). The bill establishes insurance requirements for P2P car sharing, including requiring P2P car sharing companies to: 1. ensure that vehicle owners and drivers participating in P2P car sharing are covered under a primary insurance policy that meets minimum requirements and recognizes that the vehicle is available on a car sharing platform and 2. provide coverage for claims if a vehicle owner’s or driver’s policy has lapsed. The bill establishes certain consumer protections, including (1) requiring shared vehicle owners to repair their vehicles when they receive safety recall notices and (2) requiring P2P companies to disclose certain information to shared vehicle owners and drivers. It also addresses liens, vicarious liability, driver’s license verification, and responsibility for equipment. The bill also requires the Department of Revenue Services to issue 2021SB-00261-R01-BA.DOCX Researcher: GM Page 30 6/4/21 guidance on the applicability of the sales and use tax to P2P car sharing by December 1, 2021 (§ 65). Under the bill, a P2P car sharing company is prohibited from allowing P2P car sharing at Bradley International Airport unless it enters into an agreement with the Connecticut Airport Authority (CAA). CAA may charge and collect reasonable fees from a P2P company for the privilege of operating P2P car sharing at the airport (§ 64). EFFECTIVE DATE: January 1, 2022, except that the provision on DRS guidance is effective upon passage. P2P Car Sharing Definitions (§ 52) Car Sharing Agreements. The bill defines P2P car sharing as the authorized use of a “shared vehicle” for consideration by a person other than the “shared vehicle owner” through a car sharing platform. A “car sharing platform” is a physical or electronic place that allows a shared vehicle owner to make a shared vehicle available for P2P car sharing and connect a shared vehicle owner with a shared vehicle driver. It includes a store, booth, catalog, website, or dedicated software application. A “P2P car sharing company” is any person, corporation, limited partnership, or other legal entity that operates a car sharing platform to enable P2P car sharing in Connecticut. P2P car sharing companies exclude motor vehicle rental or leasing companies. Shared Vehicles. Under the bill, a “shared vehicle” is a vehicle that is available for sharing on a car sharing platform. It excludes passenger motor vehicles used by licensed rental companies for rental purposes. A “shared vehicle owner” is the shared vehicle’s registered owner or a person or entity the registered owner designates. A “shared vehicle driver” is a person authorized by the shared vehicle owner to drive the shared vehicle under a car sharing agreement. 2021SB-00261-R01-BA.DOCX Researcher: GM Page 31 6/4/21 Car Sharing Agreements. The bill defines “car sharing agreement” as the terms and conditions applicable to a shared vehicle owner and a shared vehicle driver governing a shared vehicle’s use. The bill also defines the following, which are related to terms and conditions included in agreements: 1. “car sharing period,” which is the time period that begins at the “car sharing delivery period” or, if there is no such period, at the “car sharing start time” and ends at the “car sharing termination time”; 2. “car sharing delivery period,” which is the time period during which a shared vehicle is being delivered to the location of the “car sharing start time,” if applicable, as documented by the car sharing agreement; and 3. “car sharing start time” which is the time when a shared vehicle driver takes possession and control of the shared vehicle at or after the time the shared vehicle reservation is scheduled to begin under a car sharing agreement. Under the bill, the “car sharing termination time” is whenever one of the following events occurs: 1. the time period established under a car sharing agreement for using a shared vehicle expires, if the shared vehicle is delivered to the location agreed upon in the agreement; 2. the shared vehicle is returned to a location the shared vehicle owner and shared vehicle driver alternatively agree on as communicated through a car sharing platform and incorporated into the car sharing agreement; or 3. the shared vehicle owner or the shared vehicle owner's authorized designee takes possession and control of the shared vehicle. Insurance Provisions (§§ 53, 55, 56, 58 & 59) 2021SB-00261-R01-BA.DOCX Researcher: GM Page 32 6/4/21 Assumption of Liability (§ 53(a) & (b)). The bill requires P2P car sharing companies to assume a shared vehicle owner’s liability for bodily injury or property damage to third parties, or uninsured or underinsured motorist or personal injury protection losses, during the car sharing period in the amount stated in the car sharing agreement. It must be for at least as much as the state’s minimum auto insurance coverage amounts (see BACKGROUND). However, the bill exempts P2P car sharing companies from assuming this liability when a shared vehicle owner (1) makes an intentional or fraudulent material misrepresentation or omission to the company or on the car sharing platform before the car sharing period in which the liability arose or (2) acts in concert with a shared vehicle driver who fails to return the shared vehicle pursuant to the car sharing agreement. Required Coverage (§ 53 (c), (d), (f) & (h)). The bill requires P2P car sharing companies to ensure that, during each car sharing period, the shared vehicle owner and the shared vehicle driver are insured under an auto insurance policy that: 1. provides insurance coverage in at least the minimum amounts required by law for auto insurance policies and 2. either (a) recognizes that the shared vehicle insured under the policy is made available and used through a car sharing platform or (b) does not exclude the use of a shared vehicle by a shared vehicle driver. The required insurance coverage may be maintained by a shared vehicle owner, a shared vehicle driver, a P2P car sharing company, or all three. If a claim occurs in another state that requires higher minimum auto insurance coverage than Connecticut does, then the insurance policy must provide coverage to satisfy the minimum amounts required by the other state up to the applicable policy limits. 2021SB-00261-R01-BA.DOCX Researcher: GM Page 33 6/4/21 The bill prohibits coverage under the P2P car sharing company’s auto insurance policy from being contingent on another auto insurance company first denying a claim or requiring an initial claim denial. Primary Liability (§ 53(e)). The insurance required under the bill must assume primary liability for a claim: 1. during each car sharing period; 2. when there is a dispute over who controlled the shared vehicle at the time of loss and the P2P car sharing company did not retain or fails to provide records on the vehicle’s use (see below); or 3. when there is a dispute over whether the shared vehicle was returned to the alternatively agreed upon location, as communicated through the car sharing platform and incorporated into the car sharing agreement. Lapsed Policies (§ 53(g)). If a shared vehicle owner’s or shared vehicle driver’s auto insurance policy has lapsed or does not provide the required coverage, the bill requires that the P2P car sharing company’s policy provide the coverage from the first dollar of the claim. The insurance company issuing the P2P car sharing company’s policy has the duty to defend a claim, except under certain circumstances (see “assumption of liability,” above). Other Provisions (§ 53(i)). The bill provides that nothing in its insurance provisions limits the P2P car sharing company’s: 1. liability for any act or omission that results in bodily injury to any person as a result of using a shared vehicle through a car sharing platform or 2. ability to contract for indemnification from the shared vehicle owner or the shared vehicle driver for economic loss the company sustains due to a breach of the car sharing agreement’s terms and conditions. 2021SB-00261-R01-BA.DOCX Researcher: GM Page 34 6/4/21 Insurable Interest (§ 59). Under the bill, a P2P car sharing company has an insurable interest in the shared vehicle during the car sharing period. However, the bill specifies that this provision does not make the P2P car sharing company liable for failure to maintain the bill’s required coverage. A P2P car sharing company may own and maintain, as the named insured, one or more automobile liability insurance policies that covers (1) liability assumed by the P2P car sharing company under a car sharing agreement, (2) any liability of the shared vehicle owner, (3) damage or loss to the shared vehicle, or (4) any liability of the shared vehicle driver. Exclusions of P2P Car Sharing in Auto Policies (§ 55). The bill explicitly allows insurance companies offering auto insurance policies in the state to offer policies that exclude any or all coverage and the duty to defend or indemnify any claim afforded under a shared vehicle owner’s liability insurance policy. The exclusions may include (1) liability coverage for bodily injury and property damage, (2) personal injury protection coverage, (3) uninsured and underinsured motorist coverage, (4) medical payments coverage, (5) comprehensive physical damage coverage, or (6) collision physical damage coverage. The bill specifies that nothing in the provision allowing these exclusions (1) invalidates or limits an exclusion in an auto liability insurance policy, including any policy that excludes coverage for motor vehicles made available for rent, sharing, hire or business use or (2) invalidates, limits, or restricts an insurance company that offers automobile liability insurance coverage to underwrite, cancel, or not renew an insurance policy. Right to Seek Recovery (§ 58). Under the bill, an insurance company that defends or indemnifies a claim against a shared vehicle owner that is excluded under the terms of its auto insurance policy has the right to seek recovery against the P2P car sharing company’s insurance company if the claim is (1) made against the shared vehicle owner or shared vehicle driver for loss or injury that occurs during the 2021SB-00261-R01-BA.DOCX Researcher: GM Page 35 6/4/21 car sharing period and (2) excluded under the policy’s terms. Records (§ 56). The bill requires P2P car sharing companies to collect and verify records pertaining to a shared vehicle’s use, including (1) the times used, (2) location of the car sharing start time and car sharing termination time, (3) car sharing period fees paid by the shared vehicle driver, and (4) revenue received by the shared vehicle owner. The company must retain the records for a time period not less than the applicable personal injury statute of limitations (i.e., two years from the date when the injury is first sustained or discovered or in the exercise of reasonable care should have been discovered (CGS § 52-584)). P2P car sharing companies must provide these records at the following times: 1. upon request to the shared vehicle owner, the shared vehicle owner’s insurance company, or the shared vehicle driver’s insurance company to facilitate a claim coverage investigation, settlement, negotiation, or litigation or 2. as required under an agreement with the CAA for airport access. Notice Regarding Liens (§ 54) The bill requires P2P car sharing companies to notify shared vehicle owners that, if the shared vehicle has a lien against it, the use of a shared vehicle through a car sharing platform (including without physical damage coverage) may violate the terms of a contract with the lien holder. The company must provide this notice when the vehicle owner registers with the P2P car sharing company as a shared vehicle owner but before the shared vehicle is made available on the car sharing platform. Vicarious Liability (§ 57) The bill exempts P2P car sharing companies and shared vehicle owners from vicarious liability, in accordance with the federal Graves Amendment (see BACKGROUND) , under any state law or municipal 2021SB-00261-R01-BA.DOCX Researcher: GM Page 36 6/4/21 ordinance that imposes liability solely based on vehicle ownership. Required Disclosures (§ 60) The bill requires that car sharing agreements, at a minimum, disclose the following to a shared vehicle owner and shared vehicle driver: 1. the P2P car sharing company’s right to seek indemnification from the shared vehicle owner or the shared vehicle driver for any economic loss it sustains from a breach of the car sharing agreement’s terms and conditions; 2. that the shared vehicle owner’s auto insurance policy for the shared vehicle or the shared vehicle driver’s auto policy does not provide a defense or indemnification for any claim asserted by the P2P car sharing company; 3. that the P2P car sharing company’s insurance coverage on the shared vehicle owner and the shared vehicle driver is in effect only during the car sharing period and that, if the shared vehicle driver uses the shared vehicle after the car sharing termination time, the shared vehicle driver and the shared vehicle owner may not have insurance coverage; 4. the daily rate, fees and, if applicable, any insurance or protection package costs that are charged to the shared vehicle owner or the shared vehicle driver; 5. that the shared vehicle owner’s auto insurance may not provide coverage for a shared vehicle; 6. an emergency telephone number to personnel capable of answering calls for roadside assistance and other customer service inquiries; and 7. if there are conditions under which a shared vehicle driver must maintain an auto insurance policy with certain applicable coverage limits on a primary basis to book a shared vehicle. 2021SB-00261-R01-BA.DOCX Researcher: GM Page 37 6/4/21 Driver’s License Verification (§ 61) The bill prohibits P2P car sharing companies from entering into a car sharing agreement with a shared vehicle driver unless the driver holds a driver’s license authorizing him or her to operate a vehicle of the same class as the shared vehicle. P2P companies must keep a record of the shared vehicle driver’s name, address, and driver’s license number and place of issuance. Responsibility for Equipment (§ 62) Under the bill, a P2P car sharing company is responsible for any equipment (e.g., GPS systems) that is put in or on the shared vehicle to monitor or facilitate the car sharing transaction. The company must indemnify and hold harmless shared vehicle owners for any equipment damage or theft during the car sharing period unless the owner caused it. The P2P company has the right to seek indemnification from the shared vehicle driver for any equipment loss or damage that occurs during the car sharing period. Recalls (§ 63) The bill requires shared vehicle owners, when they receive notice of a safety recall for their shared vehicle, to get the required repairs made before making the vehicle available on a P2P car sharing platform. If the shared vehicle is already available on a car sharing platform when a shared vehicle owner receives a recall notice, he or she must remove the vehicle as soon as possible and keep it off until repairs are made. It the shared vehicle owner receives a recall notice during the car sharing period, the owner must notify both the P2P car sharing company and the shared vehicle driver. The bill requires P2P car sharing companies to (1) verify that a shared vehicle is not subject to a safety recall for which repairs have not been made and (2) notify shared vehicle owners of their obligations related to recalls. The company must do this when the shared vehicle owner registers a shared vehicle with the company but before the shared vehicle is available on the car sharing platform. § 66 — STATE AND MUNICIPAL CONTRACT ELIGIBILITY 2021SB-00261-R01-BA.DOCX Researcher: GM Page 38 6/4/21 Repeals a provision that required a specific number of inspections of certain trucking companies and commercial motor vehicle drivers in order to make them ineligible for state or municipal contracts The bill repeals a statute that prohibited certain trucking companies and commercial motor vehicle drivers from being found ineligible for state or municipal contracts based on the results of safety inspections, unless at least 10 safety inspections of the company’s or driver’s vehicle had been conducted during the 24 months before the contract’s starting date. EFFECTIVE DATE: Upon passage BACKGROUND Minimum Auto Insurance Requirements Connecticut law requires a driver to maintain a minimum amount of auto insurance, including liability and uninsured and underinsured motorist (UI/UM) coverage. The law requires minimum coverage of $25,000 per person and $50,000 per accident for bodily injury and $25,000 per accident for property damage (CGS §§ 38a-335 and 14- 112(a)). UI/UM coverage covers bodily injury to the vehicle owner, relatives living with the owner, and passengers injured in an accident caused by (1) an uninsured driver, (2) a driver whose bodily injury liability limits are insufficient, or (3) a hit-and-run driver. The law requires at least $25,000 per person and $50,000 per accident (CGS § 38a-336). Federal Graves Amendment The Graves Amendment (49 U.S.C. § 30106) protects car rental companies from vicarious liability claims by providing that a rental company cannot be held liable under state law for damages or injuries that occur during the rental period simply because the company owns the vehicle. The amendment does not protect companies from negligence or criminal wrongdoing. (A Connecticut law making companies liable for such damages (CGS § 14-154a) is preempted by the Graves Amendment.) Related Bills 2021SB-00261-R01-BA.DOCX Researcher: GM Page 39 6/4/21 sHB 6569, reported favorably by the Transportation Committee, contains substantially similar provisions on the motor vehicle registration task force and municipal fines for unregistered vehicles. sSB 982, reported favorably by the Transportation Committee, contains similar provisions on accessible parking placards, right-of- way and buses, school bus equipment, insurance company possession of vehicles, replacement veterans’ plates, school bus passing violations, fire apparatus sale and repair, CDL testing, organ and tissue donors information, and catalytic converter sales. sHB 6568, reported favorably by the Transportation Committee and passed by the House as amended by House Amendment “A,” contains nearly identical provisions on the regulation of P2P car sharing. COMMITTEE ACTION Transportation Committee Joint Favorable Substitute Yea 34 Nay 0 (03/03/2021)