Lake Forest City Council
May 21, 2026

ATTACHMENT B

PAYMENT PROVISIONS

1. Compensation: Pursuant to Government Code Section 51350, City agrees to pay to County the full costs of performing the services mutually agreed upon in this Contract. The costs of services include salaries, wages,  benefits, mileage, services, supplies, equipment, and divisional, departmental and County General overhead.

The Maximum Obligation of City for services to be provided by the County for the period July 1, 2026 through June 30, 2027 shall be $ 
 (herein “Maximum Obligation”). The County shall provide the City with a new Maximum Obligation prior to the start of the new fiscal year term for the remaining fiscal years included in this Contract Term, if applicable.

The overtime costs included in the Contract are only an estimate. Sheriff shall notify City of actual overtime worked during each fiscal year. If actual overtime worked is above or below budgeted amounts, billings will be adjusted accordingly at the end of the fiscal year. Actual overtime costs may exceed City’s Maximum Obligation.

2. Personnel and Deployment:

A. City shall pay the full costs of employees in the following instances:

1. County-paid holidays.

2. Sick leave to the extent that it does not exceed the greater of a.) 12 days per year, per position, or b.) the amount of leave accrued by an employe e assigned to City during the time he or she has been assigned to City.

3. Vacation leave to the extent it does not ex ceed an amount permitted by County to be accumulated by an employee at any one time.

4. Training as mandated by the California Commission on Peace Officers Standards and Training (P.O.S.T.) or as mandated by Sheriff.

5. Bereavement leave as authorized by County.

6. Jury duty leave as authorized by County.

7. Responses to mutual aid and natural or man-ma de disasters or emergencies, unless the County provides a replacement employee, in which case the City will pay for one employee.

B. A position unfilled for any period as a result of Workers’ Compensation leave shall be considered on leave. A position unfilled for any period as a result of reassignment to another function within Sheriff’s Department shall be considered vacant. The County will provide a credit to the City for the hours a position is vacant. The credit may be offset with overtime and reconciled at fiscal year-end.

C. The Sheriff shall not charge the City when an empl oyee, usually assigned to the City, participates in specialized Sheriff services that are available thr oughout the County, including in City, in accordance with County Resolution No. 89-1160. If the Sheriff determines that overtime coverage of the employee’s absence at City is required, the additional cost of such overtime will not be charged to the City.

Notwithstanding the above, in the event that Co unty personnel provide services in response to mutual aid and natural or man-made disasters or emergencies and the County subsequently receives reimbursement for those services, the County will credit the reimbursement to the City.

3. Invoice : County shall invoice City monthly and will require payment by City of one-twelfth (1/12) of the Maximum Obligation of City. If a determination is made that increases due to Employee Bargaining must be paid, County thereafter shall include the pro-rata charges for such increases in its monthly invoices to City for the balance.

4. Employee Bargaining: At the time this Contract is executed, there may be unresolved issues pertaining to potential changes in salaries and benefits for County employees. If changes result in the County incurring or becoming obligated to pay for increase d costs for or on account of personnel whose costs are included in the calculations of costs charged to City hereunder, City shall pay County, the full costs of said increases to the extent Item: 14
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County of Orange
Sheriff Coroner Department
Page  of 2
such increases are attributable to work performed by such personnel after the starting date of this Contract. City shall pay County in full for such increases on a pro-rata basis over the portion of the Contract term remaining after County notifies City that increases are payable.

If City is required to pay for such increases, County, at the request of City, will thereafter reduce the level of service provided to City to a level that will make the Maximum Obligation of City an amount specified by City.

The purpose of such adjustment of service levels will be to give City the option of keeping its Maximum Obligation hereunder at the pre-increase level or at any other higher or lower level specified by City. In the event of such reduction in level of service and adjustment of costs, the parties shall execute an amendment to this Contract. Decisions about how to reduce the level of servic e provided to City shall be made by Sheriff with the approval of City.

5. Billing Policy: City shall pay County in accordance with C ounty Board of Supervisors’ approved County Billing Policy dated October 27, 1992. The provisions of the policy, including a discount for early payment, shall apply to this Contract. Payments made electronic ally via a credit card or through a banking system that charges Merchant Fees, Service Fees, or any other Fees shall be the responsibility of the City. If the County is charged any of the before mentioned fees, the City shall be responsible for payment of these fees to the County.

6. Late Penalties: County shall charge City late payment penalties in accordance with County Billing Policy.

7. Licensing Payments: As payment for the Licensing Services described in this Contract, County shall retain all fees paid by applicants for licenses pursuant to C ity ordinances. Retention of said fees by County shall constitute payment in full to County for costs incurred by County in performing the functions related to licensing; provided, however, that if any of said fees are waived or reduced by City, City shall pay to County the difference between the amount of fees retained by County and the fees that were set forth in the City’s ordinances at the time this Contract was executed. If City increases the fee schedule for the licensing ordinances, either party shall have the right to seek amendment of this Contract with respect to the division of the increased fees between City and County.

8. Fees: Fees generated or collected by Sheriff contract pe rsonnel for response to false alarms or copying of documents related to the services provided in this Contract will be at County-established rates and will be credited to City on an annual basis. Narcotic asset forfeitures will be handled pursuant to Attachment G.

Revenue generated by City fees, including but not limited to the following, will be at rates established by City and will be retained by City:
a. Bicycle licensing
b. Fingerprinting
c. Visa letters
d. Report duplication
e. DUI cost recovery
f. Special police services
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dd,D
Ed
Title Detail Quantity
Cost of Service
(each)
Cost of Service
Total
MANAGEMENT:

Captain 1.00 520,130 $ 520,130$
SUPERVISION:

Sergeant Administrative 1.00 420,471 $ 420,471$ Sergeant Patrol 4.00 420,471 $ 1,681,884$ INVESTIGATION SERVICES:

Investigator 3.00 405,303 $ 1,215,909$ Investigative Assistant 1.00 229,997 $ 229,997$ PATROL AND TRAFFIC SERVICES:

Deputy Sheriff II -Patrol Patrol 34.00 338,096 $ 11,495,264$ Deputy Sheriff II -Motor Traffic 2.00 348,447 $ 696,894$ ADDITIONAL SERVICES:

Crime Prevention Specialist Crime Prevention 1.00 133,853 $ 133,853$ Community Services Officer Parking Control 4.00 174,942 $ 699,768$ Deputy Sheriff II Community Support 2.00 338,096 $ 676,192$ Deputy Sheriff II Homeless Liaison Officer 1.00 338,096$ 338,096$ Office Specialist Support Services 1.00 127,224 $ 127,224$ TOTAL POSITIONS 55.00 18,235,682$
REGIONAL / SHARED STAFF:

Title Regional Team Quantity % Allocation Cost $
TRAFFIC:

Sergeant Traffic 0.60 9.85% 26,534$
Investigator Traffic 1.00 9.85% 35,443$
Deputy Sheriff II Traffic 3.00 9.85% 120,020$
Investigative Assistant Traffic 2.00 9.85% 37,630$
AUTO THEFT:

Sergeant Auto Theft 0.30 11.61% 15,574$
Investigator Auto Theft 2.00 11.61% 97,251$
Investigative Assistant Auto Theft 1.00 11.61% 22,343$
Office Specialist Auto Theft 1.00 11.61% 16,644$
DET:

Sergeant DET 1.00 12.35% 64,893$
Investigator DET 1.00 12.35% 56,131$
COURTS:

Investigative Assistant Courts 2.00 43.12% 162,840$
MOTORCYCLE (shared Supervision):

Sergeant Motorcycle Supervision 1.00 7.02% 32,362$
TOTAL REGIONAL/SHARED 15.90 687,665$
OTHER CHARGES AND CREDITS:

OTHER CHARGES:

CREDITS:

TOTAL OTHER CHARGES AND CREDITS 4,266,865 $
TOTAL COST OF SERVICES 23,190,212 $

ORANGE COUNTY SHERIFF-CORONER

LAW ENFORCEMENT CONTRACT
FY 2026-27

LEVEL OF SERVICE
Credits include: AB 109 (2011 Public Safety Realignment), estimated vacancy credits; false alarm fees; reimbursement for training and miscellaneous programs; and reimbursement for restitution.

Other Charges include: Annual leave paydowns and apportionment of cost of leave balances paid at end of employment; Body Worn Camera (BWC) and In Car Video (ICV); contract administration; data line charges; services and supplies; enhanced helicopter response services; E-Citation recurring costs for two (2) units; facility lease; holiday pay; Integrated Law & Justice of Orange County fees; Mobile Data Computer (MDC) recurring cost for thirty-four (34) units; overtime; patrol training cost allocation; premium pay for bilingual staff, education incentive pay, MART pay, on call, and transportation charges. Added One (1) Class A vehicle and One (1) Mobile Data Computer Acquisition.

CITY OF LAKE FOREST

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386

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OCSD
BUDGET

USE ONLY

REQUEST CERTIFICATION APPROVALS

ORANGE COUNTY SHERIFF-CORONER

TRAFFIC VIOLATOR APPREHENSION PROGRAM

CONTRACT CITY
Participating City Request to Purchase From the TVA in FY Date

APPLICABILTY

QUANTITY ITEM DESCRIPTION TO TVA PROGRAM ESTIMATED COST

THE CITY CERTIFIES THAT THE EQUIPMENT PURCHASED BY CITY AND TO BE REIMBURSED BY PROGRAM FUNDS

WILL BE USED FOR ITS ENTIRE USEFUL LIFE EXCLUSIVELY FOR THE PURPOSES OF THE TRAFFIC VIOLATOR

APPREHENSION PROGRAM
CITY MANAGER REQUEST:

Printed Name
Signature: DATE
Recommended For Approval
CITY POLICE SERVICES CHIEF MANAGER – TVA PROGRAM

ORANGE COUNTY SHERIFF-CORONER DEPARTMENT

$77$&+0(17)
Item: 14
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5/7/2020 Rev.

ATTACHMENT *

POLICY FOR DISTRIBUTION OF FORFEITED AND SEIZED ASSETS

BACKGROUND
The Orange County Sheriff’s Department provides contract law enforcement services to cities in Orange County. Because of the increased likelihood that contracted patrol or investigation personnel may become involved in significant narcotic seizures, which could affect law enforcement services provided by the Sheriff’s Department to contract cities, the following policy is in effect.

CONTRACTED PATROL AND INVESTIGATION OFFICERS
When assets (cash or property) are seized in CITY by contracted patrol or investigation personnel, and subsequently forfeited to COUNTY’s Sheriff Department, hereinafter referred to as “SHERIFF”, the forfeited assets shall be shared with CITY as set forth below, for the purpose of augmenting law enforcement services in CITY, subject to guidelines by the forfeiting agency of such sharing and use of forfeited assets. A portion of forfeited assets may be retained by SHERIFF, to pay for departmental expenses not recovered through law enforcement contracts.

In such cases, pursuant to the forfeiting agency’s guidelines, SHERIFF shall apply to the forfeiting agency for the return of a share of assets. In his application, SHERIFF shall specify the percentage of shared assets returned to SHERIFF that will be used to augment law enforcement services in CITY and the use of said assets by CITY.

In those cases in which assets are seized within CITY by personnel assigned to CITY pursuant to this Agreement, without the involvement of other law enforcement personnel, and in which the seizure is a result solely of activities self-initiated by SHERIFF personnel assigned to CITY or initiated by said personnel in response to calls for service within CITY, SHERIFF shall apply to have all of the assets used to augment CITY law enforcement services.

In those cases in which SHERIFF personnel assigned to CITY pursuant to this Agreement play an ancillary role in a seizure or in which other law enforcement personnel are involved in a seizure, SHERIFF shall determine the percentage of the total forfeited assets for which he will apply to augment CITY’s law enforcement services. This determination will be based on the circumstances of the seizure, including the pro-rata involvement of all personnel, including those assigned to CITY.

Each seizure will be evaluated on an individual and independent basis, and said evaluations will be available for review to CITY’s manager. Examples of those incidents which would be evaluated as set forth in this section include situations in which a contract patrol deputy provides uniformed backup at a SHERIFF’s Narcotic Bureau search warrant location or in which contract investigators participate in the service of a search warrant that was initiated by non-contract law enforcement personnel.

Assets (cash or property) that are returned to SHERIFF by the forfeiting agency with the understanding that they will be used to augment CITY law enforcement services shall be used by CITY and SHERIFF only for such purposes. If the forfeiting agency attaches additional or more specific conditions to the use of said assets, CITY and SHERIFF shall also abide by those conditions. SHERIFF and CITY’s manager shall determine the specific use of said assets within the conditions imposed by the forfeiting agency.

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ATTACHMENT 2
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Add:

One (1) In Car Patrol Hot Red Radio

DIRECT PURCHASE SERVICES & COUNTY
NO POSITIONS SALARY OVERTIME POST PAY BENEFITS SUPPLIES TRANSP. DEPT. OH DIV. OH TRAINING OH OTHER REVENUE TOTAL 1 Captain 241,997 0 12,511 211,282 7,711 0 11,609 26,932 4,907 3,181 0 0 520,130 1 Sergeant, Administrative 181,823 0 23,061 158,589 7,711 0 11,609 30,210 4,907 2,561 0 0 420,471 4 Sergeant, Patrol 727,292 0 92,244 634,356 30,844 0 46,436 120,840 19,628 10,244 0 0 1,681,884 3 Investigator 476,817 0 42,912 414,111 23,133 0 34,827 202,890 14,721 6,498 0 0 1,215,909 2 DS II Community Support 289,856 0 18,662 251,338 15,422 0 23,218 64,026 9,814 3,856 0 0 676,192 34 DS II Patrol 4,927,552 0 317,254 4,272,746 262,174 0 394,706 1,088,442 166,838 65,552 0 0 11,495,264 1 DS II Patrol Homeless Liaison Officer (HLO) 144,928 0 9,331 125,669 7,711 0 11,609 32,013 4,907 1,928 0 0 338,096 2 DS II Motorcycle 303,056 0 18,662 258,674 15,422 0 23,218 64,026 9,814 4,022 0 0 696,894 48 Subtotal Safety $7,293,321 $0 $534,637 $6,326,765 $370,128 $0 $557,232 $1,629,379 $235,536 $97,842 $0 $0 $17,044,840 4 Community Services Officer/Parking 292,736 0 0 205,252 30,844 0 46,436 120,840 0 3,660 0 0 699,768 1 Crime Prevention Specialist 66,231 0 0 44,814 7,711 0 11,609 2,660 0 828 0 0 133,853 1 Investigative Assistant 77,799 0 0 64,529 7,711 0 11,609 67,377 0 972 0 0 229,997 1 Office Specialist 62,264 0 0 42,202 7,711 0 11,609 2,660 0 778 0 0 127,224 7 Subtotal Professional $499,030 $0 $0 $356,797 $53,977 $0 $81,263 $193,537 $0 $6,238 $0 $0 $1,190,842 55 TOTAL STAFF $7,792,351 $0 $534,637 $6,683,562 $424,105 $0 $638,495 $1,822,916 $235,536 $104,080 $0 $0 $18,235,682

REGIONAL / SHARED STAFF

0.6 Traffic - Sergeant 9.85% 11,220 517 1,363 9,521 585 1,016 686 1,174 290 162 0 0 26,534 1 Traffic - Investigator 9.85% 15,661 0 1,409 13,601 975 0 1,144 1,957 484 212 0 0 35,443 3 Traffic - Deputy Sheriff II 9.85% 47,033 9,626 2,758 39,127 2,924 7,062 3,432 5,870 1,451 737 0 0 120,020 2 Traffic - Investigative Assistant 9.85% 16,134 275 0 12,948 1,918 0 2,288 3,864 0 203 0 0 37,630

0.3 Auto Theft - Sergeant 11.61% 6,612 305 803 5,610 336 599 404 638 171 96 0 0 15,574 2 Auto Theft - Investigator 11.61% 38,670 4,243 3,322 32,836 2,239 7,280 2,696 4,252 1,140 573 0 0 97,251 1 Auto Theft - Investigative Assistant 11.61% 9,242 766 0 7,665 1,101 0 1,348 2,097 0 124 0 0 22,343 1 Auto Theft - Office Specialist 11.61% 7,439 8 0 4,940 1,101 0 1,348 1,716 0 92 0 0 16,644 1 DET - Sergeant 12.35% 23,967 7,030 2,847 20,468 972 0 1,433 7,147 606 423 0 0 64,893 1 DET - Investigator 12.35% 20,895 5,270 1,766 17,693 972 0 1,433 7,147 606 349 0 0 56,131 2 Courts - Investigative Assistant 43.12% 72,862 8,427 0 58,752 6,650 0 10,012 5,121 0 1,016 0 0 162,840 1 Motorcycle Sergeant + MDC 7.02% 13,603 0 1,618 11,649 917 1,289 815 1,394 344 195 538 0 32,362

15.90 Subtotal $283,338 $36,467 $15,886 $234,810 $20,690 $17,246 $27,039 $42,377 $5,092 $4,182 $538 $0 $687,665 One (1) MDC, One (1) BWC & Taser, One (1) ICV

CITY OF LAKE FOREST
FISCAL YEAR 2026-27 One (1) Patrol DSII
One (1) Class A vehicle, One (1) Pac Set Radio (handheld), April 29, 2026

SALARIES & EMPLOYEE BENEFITS INDIRECT COSTS
FINAL
Lake Forest FY 2026-27 Spreadsheets/FINAL FY 26-27 Page 1 of 2 Item: 14
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Add:

One (1) In Car Patrol Hot Red Radio
One (1) MDC, One (1) BWC & Taser, One (1) ICV

CITY OF LAKE FOREST
FISCAL YEAR 2026-27 One (1) Patrol DSII
One (1) Class A vehicle, One (1) Pac Set Radio (handheld), April 29, 2026

SALARIES & EMPLOYEE BENEFITS INDIRECT COSTS
FINAL

ADDITIONAL SERVICES & COUNTY
NO COSTS/REVENUE SALARY OVERTIME POST PAY BENEFITS SUPPLIES TRANSP. DEPT. OH DIV. OH TRAINING OH OTHER REVENUE TOTAL Overtime 1,305,742 89,300 16,322 1,411,364
Estimate: Vacancy Credit (200,000) (200,000)
Annual Leave (Pay Downs & Termination Pay) 212,699 212,699 AB109 (2011 Public Safety Realignment) (43,500) (43,500) Body Worn Cameras (BWC) and In Car Video (ICV) Costs 316,936 316,936 1 Class A Vehicle 100,667 100,667
Contract Administration 68,108 68,108
Data Line 5,825 5,825
2 E-Citation 5,285 5,285
Enhanced Helicopter Response Services 85,881 85,881
Facility Lease 180,153 180,153
Holiday Pay: Comp & Straight Time 321,121 321,121
Integrated Law & Justice Agency of Orange County 7,622 7,622 1 Mobile Data Computers (MDC) - Acquisition 6,958 6,958 34 Mobile Data Computers (MDC) - Recurring Costs 146,587 146,587 Patrol Training Cost Allocation (FTB) 406,128 406,128
Premium Pay 319,082 319,082
Retirement Rate Discount (Expenses for Interest and Issuance) 0 Retirement Rate Discount (Gross) 0
Revenue/False Alarms (24,310) (24,310)
Revenue/Training Reimbursement 0
Services & Supplies 97,054 97,054
Transportation - Vehicle Fuel, Mileage Interest and Maint., etc. 843,389 843,389 Restitution Payments Credits (184) (184)
Subtotal $0 $1,305,742 $0 $89,300 $283,032 $929,270 $0 $0 $406,128 $16,322 $1,305,065 ($67,994) $4,266,865 FY 2026-27 FINAL CONTRACT TOTAL $8,075,689 $1,342,209 $550,523 $7,007,672 $727,827 $946,516 $665,534 $1,865,293 $646,756 $124,584 $1,305,603 ($67,994) $23,190,212 FY 2025-26 FINAL CONTRACT TOTAL $7,978,342 $1,352,799 $540,691 $7,214,095 $713,655 $940,600 $600,644 $1,743,840 $558,489 $123,390 $1,046,372 ($74,026) $22,738,891

1.22% -0.78% 1.82% -2.86% 1.99% 0.63% 10.80% 6.96% 15.80% 0.97% 24.77% -8.15% 1.98% $97,347 ($10,590) $9,832 ($206,423) $14,172 $5,916 $64,890 $121,453 $88,267 $1,194 $259,231 $6,032 $451,321 Lake Forest FY 2026-27 Spreadsheets/FINAL FY 26-27 Page 2 of 2 Item: 14
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ATTACHMENT 3
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LAKE FORESTPOLICE SERVICES
2025
Annual Report
Provided by the Orange County Sheriff’s Department,
In partnership with the City of Lake Forest.

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MISSION STATEMENT

CORE VALUES
The men and women of the Orange County Sheriff’s
Department are dedicated to the protection of all we
serve. We provide exceptional law enforcement services
free from prejudice or favor, with leadership, integrity, and respect.

Integrity without compromise;
Service above self;
Professionalism in the performance of duty;
Vigilance in safeguarding our community.
i

VISION STATEMENT
“A Community Where Every Person Feels Safe and Valued”
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TABLE OF CONTENTS
Disclaimer: All information and data contained in this document are preliminary and subject to verification. Statistics are compiled from multiple internal and external sources and may include updates, revisions, or corrections. The Orange County Sheriff’s Department is not responsible for any misinterpretation, misuse, or misunderstanding of preliminary data presented herein.

SECTION 1 - EXECUTIVE & STRATEGIC OVERVIEW
SECTION 2 - ORGANIZATIONAL FOUNDATIONS
SECTION 3 - COMMUNITY & DEMOGRAPHIC CONTEXT
SECTION 4 - CRIME & STATISTICAL REPORTING
SECTION 5 - OPERATIONAL SERVICES & SPECIALIZED UNITS
SECTION 6 - TRAINING & PROFESSIONAL DEVELOPMENT
SECTION 7 - COMMUNITY PROGRAMS & PARTNERSHIPS
SECTION 8 - RECOGNITION & LEGACY
Table of Contents ii
Message from the Chief of Police Services 2
Introduction to Police Services Model 3
City Overview 4
Strategic Plan and Annual Priorities 5
Organizational Chart 7
Police Services Contract & Budget Summary 8
Staffing Overview (Sworn, Professional, Volunteers, and Contracted Partners) 9 City Demographics 11
Police Services Demographics 12
Veterans in Police Services 13
Crime Reporting Standards 15
Crime Statistics 16
Use of Force & Complaints 17
Field Operations & Traffic Enforcement 18
Investigations 20
Traffic Statistics 21
Special Enforcement Team (SET) / Direct Enforcement Team (DET) 22 Specialty Details & Other Assignments (SRO’s, HLO’s, etc.) 23 Training Courses Completed 25
Field Training Program 26
Crime Prevention & Programs 28
Community Outreach & Events 29
Emergency Preparedness 30
Volunteer Programs 31
Special Recognition 33
Employee of the Year 34
Message from the Sheriff 1
Vision Statement, Mission Statement, and Core Values i
ii
Fallen Officers 35
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SECTION 1EXECUTIVE & STRATEGIC OVERVIEW
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Don Barnes

MESSAGE FROM THE SHERIFF
Orange County Sheriff-Coroner
1 The Orange County Sheriff’s Department is proud of
our continued service to the City of Lake Forest.

Together, with the engagement of Lake Forest
residents, we have continued to keep our community
safe.

In 2025 we saw significant advancements in the
use of technology to assist our deputies in their
work to prevent and respond to crime. 2025 was
the first full year of operation for the Orange
County Sheriff’s Real Time Operations Center
(RTOC). The RTOC has allowed deputies to respond
safely and swiftly to crimes in progress or that have
recently occurred. At the RTOC, analysts assist
deputies in responding to crimes more resourcefully
and consciously, with improved operational
intelligence and a proactive concentration on
community and officer safety. This year we also
field tested our Drones as a First Responder
program. The drones have shown to be a critical
tool for providing our deputies with information
before they arrive at a scene, ensuring a better
response for the public.

Passage of Proposition 36 in November 2024
marked a significant shift away from California’s
decade-long decriminalization of drug and property
crimes. The measure increased accountability for
repeat retail theft offenders and drug traffickers
while requiring treatment to address addiction and
homelessness. In Orange County, Proposition 36
has already resulted in more than 10,000 bookings
and has helped sustain our low crime rates.

However, its full impact is limited by the State’s
failure to provide adequate funding. I join public
safety leaders statewide in urging the Legislature to
fully fund Proposition 36 in the Fiscal Year 2026–
27 budget.

As we work to make Proposition 36 a success, we
continue to be proactive in addressing
homelessness. The strategy of outreach and
enforcement has helped us reduce the number of
encampments and mitigate their impacts on our
community. Such a proactive strategy has also
helped those with addiction-related homelessness.

The annual report of homeless deaths produced by
the OC Sheriff’s Coroner Division shows a 25%
decrease in deaths from 508 in 2023 to 378 in
2024. This is largely driven by a decline in drug
overdose deaths. While numbers are not yet
finalized for 2025, we expect this positive trend to
continue.

The efforts of 2025 reflect a comprehensive
approach to public safety—one that combines
accountability, treatment, technology, and proactive
engagement. These results are made possible by the
dedication of our deputies, the support of our city
government partners, and the continued trust of the
communities we serve.

The men and women of the Orange County Sheriff’s
Department remain honored to serve the people of
Lake Forest. We look forward to meeting the
challenges of 2026 and keeping Orange County a
great place to live, work, and raise a family.

Item: 14
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Captain D. Pultz

MESSAGE FROM THECHIEF OF POLICESERVICES
Chief of Lake Forest Police Services
2 As Chief of Police, it is my honor to present this
year’s Annual Report on behalf of the men and
women who serve our community each day.

Policing is, at its core, a commitment to people.

Every call for service, every investigation, and every
interaction represents an opportunity to protect our
residents, assist those in need, and strengthen the
trust that makes effective public safety possible.

Our continued success in maintaining a safe
community does not happen by accident. It is the
result of the strong partnership between our
deputies, city leadership, and the residents who
actively support public safety. That partnership
allows us to respond effectively to crime, address
quality-of-life concerns, and remain proactive in
preventing problems before they escalate.

Over the past year, our department remained
focused on protecting public safety while
strengthening the relationships that make our work
possible. Deputies assigned to patrol operations,
investigations, traffic enforcement, school resource
services, and homelessness outreach worked
together to address a wide range of community
needs. Each of these teams plays a critical role in
ensuring our response to crime and community
concerns is thoughtful, coordinated, and effective.

Equally important is the engagement we maintain
with the community we serve. Public safety is most
successful when it is built on collaboration.

Throughout the year, our deputies partnered with
residents, schools, businesses, and community
organizations to share information, provide
education, and work together to solve problems.

These relationships help us better understand the
needs of our community and ensure our approach
to policing reflects both professionalism and
compassion.

We also remain committed to the continued
development of our personnel. Law enforcement is
constantly evolving, and meeting today’s challenges
requires well-trained professionals who exercise
sound judgment and strong leadership. Through
ongoing training and professional development, we
ensure our deputies are prepared to respond to
complex situations with skill, accountability, and
integrity.

None of this work would be possible without the
support of the City Council, the City Manager’s
Office, our partner agencies, and the residents who
place their trust in us. Their support provides the
resources and collaboration necessary for us to
continue delivering high-quality public safety
services.

The men and women of our department are honored
to serve this community. Their professionalism,
dedication, and commitment to service are evident
in the work they perform every day. As we look
ahead, we remain focused on protecting our
community, strengthening partnerships, and
continuing to make our city a safe and welcoming
place to live, work, and raise a family.

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INTRODUCTION TOPOLICE SERVICES MODEL
Lake Forest Police Services operates under a contract policing model designed to provide responsive, community-oriented law enforcement tailored to the city’s unique needs and priorities. This model allows the City of Lake Forest to align resources, specialized enforcement, and proactive outreach with local expectations, ensuring efficient and adaptable service delivery in a growing and diverse suburban environment.

The City of Lake Forest spans approximately 17 square miles and is primarily residential, with a strong mix of planned neighborhoods, commercial centers, business parks, schools, and extensive open space. The city is bordered by major regional transportation routes, including Interstate 5 and the State Route 241 Toll Road, and is adjacent to Whiting Ranch Wilderness Park and other open-space preserves. These features contribute to a policing environment shaped by commuter traffic, family-oriented neighborhoods, and outdoor recreation activity.

Throughout the year, Lake Forest hosts numerous community events that reflect the city’s family-friendly character and civic pride. These include seasonal celebrations such as the Fourth of July Parade and festivities, summer concert series, Movies in the Park, National Night Out, holiday tree lighting ceremonies, and other community-sponsored events. These gatherings attract large numbers of residents and visitors and require coordinated planning, staffing, and traffic management by Police Services to ensure public safety and positive community engagement.

The contract policing model provides flexibility to address fluctuations in service demand related to special events, school schedules, and commuter patterns. Peak periods—including weekday commute hours, weekends, and major community events—often require enhanced deployment focused on traffic enforcement, collision response, pedestrian safety, parking enforcement, and crowd management. Proactive patrols, problem-oriented policing, and coordination with city departments and regional partners support these efforts.

Lake Forest’s role as a regional commuter city significantly influences policing needs. Interstate 5, the Toll Road, and major arterial roadways generate ongoing demands related to traffic collisions, DUI enforcement, roadway safety, and emergency response. Additionally, the city’s proximity to open space and the wildland-urban interface requires preparedness for evacuation planning, fire- related incidents, and disaster response coordination.

Overall, Lake Forest’s blend of residential neighborhoods, community events, commercial activity, open space, and regional transportation corridors requires a balanced, data-driven policing approach that emphasizes prevention, enforcement, and community partnership. The contract policing model allows Lake Forest Police Services to remain visible, accessible, and adaptable while supporting the city’s commitment to safety, quality of life, and strong community relationships.
3 T h r o u g h i t s c o n t r a c t w i t h t h e O r a n g e C o u n t y S h e r i f f ’ s D e p a r t m e n t , L a k e F o r e s t P o l i c e S e r v i c e s h a s a c c e s s t o a f u l l s p e c t r u m o f c o u n t y w i d e l a w e n f o r c e m e n t r e s o u r c e s a n d s p e c i a l i z e d s e r v i c e s . T h i s s h a r e d - r e s o u r c e s m o d e l e n h a n c e s l o c a l o p e r a t i o n s b y p r o v i d i n g i n v e s t i g a t i v e s u p p o r t , s p e c i a l t y u n i t s , t r a i n i n g , t e c h n o l o g y , a n d m u t u a l a i d c a p a b i l i t i e s t h a t w o u l d b e d i f f i c u l t t o s u s t a i n i n d e p e n d e n t l y , w h i l e m a i n t a i n i n g d e d i c a t e d p e r s o n n e l a n d a s t r o n g l o c a l p r e s e n c e w i t h i n t h e c o m m u n i t y .

Item: 14
442

CITY OVERVIEW
The City of Lake Forest has distinct public
safety needs shaped by its residential
communities, commercial districts, major
transportation corridors, and nearby
open-space and wilderness areas. High
traffic volume and regional connectivity
require focused enforcement and
coordinated response efforts. These
factors influence staffing, deployment
strategies, and enforcement priorities,
reinforcing Lake Forest Police Services’
commitment to proactive, community-
oriented policing tailored to the City’s
unique environment.

Lake Forest is an inland city located in south Orange County, situated within the Saddleback Valley and defined by a well-planned suburban layout. The city is bordered by Irvine, Mission Viejo, Laguna Hills, and unincorporated open- space areas, creating a mix of residential neighborhoods, commercial corridors, and preserved natural land. Lake Forest is known for its strong emphasis on family living, civic participation, and neighborhood stability, while also serving as a regional employment and commuter destination.

The city’s predominantly residential composition drives a high demand for neighborhood-focused public safety services. Daily activity patterns are influenced by school schedules, commuter traffic, and local business operations, requiring consistent patrol coverage, traffic safety enforcement, and timely response to service calls. Contract services must balance visibility within neighborhoods while maintaining capacity to respond to fluctuations in demand throughout the day.

Lake Forest’s proximity to extensive open-space preserves, including Whiting Ranch Wilderness Park and surrounding foothill areas, introduces additional operational considerations. These areas require coordination related to trail use, visitor safety, evacuation readiness, and wildfire preparedness. The wildland- urban interface necessitates advance planning and interagency cooperation to address seasonal fire risk and emergency access challenges.

Regional transportation infrastructure significantly impacts service needs within the city. Interstate 5 and the State Route 241 Toll Road border and intersect Lake Forest, carrying substantial commuter and commercial traffic. These routes generate ongoing requirements for collision response, traffic enforcement, DUI prevention, and large-scale incident management, particularly during peak travel periods and adverse conditions.

Commercial centers, retail hubs, and business parks contribute to Lake Forest’s economic activity and daily population flow. These areas require targeted patrol strategies, crime prevention partnerships, and traffic management efforts to address theft, congestion, and quality-of-life concerns. Public safety services must remain adaptable to support both business operations and surrounding residential neighborhoods.

Overall, Lake Forest’s geographic layout, transportation connections, residential focus, and access to open space require a flexible and service-driven contract model. The city’s needs are best met through an approach that integrates enforcement, prevention, emergency preparedness, and community engagement, ensuring public safety while supporting Lake Forest’s commitment to livability and long-term community well-being.
4 Item: 14
443

STRATEGIC PLAN
The City of Lake Forest’s Strategic Plan provides a long-term framework for identifying community priorities and guiding City operations through clearly defined goals, including Public Safety, Fiscal Responsibility, Infrastructure and Technology, Economic and Community Development. Lake Forest Police Services plays a vital role in advancing the Public Safety goal by promoting a safe, secure, and informed community. Through proactive enforcement, strong community partnerships, and collaboration with the Orange County Sheriff's Department, Police Services aligns resources and service delivery to support the City’s vision while remaining responsive to the evolving needs of Lake Forest residents and businesses.

ANNUAL PRIORITIES
Lake Forest Police Services is committed to maintaining high levels of service, strengthening community partnerships, and leveraging personnel, technology, and regional resources to enhance public safety. Key priorities include expanding Business Watch participation, increasing networking with local businesses and schools, and maintaining a visible presence throughout the City’s neighborhoods, retail centers, parks, and trail systems. Police Services utilizes evidence-based strategies to address emerging crime trends and community concerns. Specialized resources, including the Specialized Enforcement Team (SET), strategic neighborhood engagement, E-bike patrols, and technology like ALPR, support proactive and targeted enforcement efforts.

Regional assets, including the Real-Time Operations Center (RTOC), further enhance investigative capabilities and focused patrol operations. Community education and outreach remain central to the Lake Forest approach, with workshops, safety presentations, social media engagement, and participation in City and community events.

Personnel are encouraged to pursue ongoing training and professional development to ensure accountability, adaptability, and the continued delivery of professional, community-focused service.

STRATEGIC PLAN /
ANNUAL

PRIORITES
5 Item: 14
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SECTION 2ORGANIZATIONAL FOUNDATIONS
6 Item: 14
445

2025 ORGANIZATIONAL CHART
Sheriff- Coroner Don Barnes
Undersheriff Jeff Hallock
Assistant Sheriff Jeff Puckett
Commander Kirsten Monteleone
Captain David Pultz
Patrol Operations
Lake ForestPolice Services
OperationalSupportAdministrativeServices
4 Field Supervisors
28 Patrol Deputies
2 Motor Deputies
School ResourceOfficer
4 Community Service Officers
3 InvestigatorsAdministrativeSergeant
AdministrativeDeputy
Crime Prevention Specialist
Office Specialist
7 DirectEnforcement Deputy
Investigative
Assistant
4 Special Enforcement Deputies
2 Homeless Liaison Officers
Item: 14
446

20 21 20 22 20 23 20 2 4 20 25
$0
$5 ,000 ,000
$1 0 ,000 ,000
$15 ,000 ,000
$20 ,000 ,000
$25 ,000 ,000
Y early F unding
$ 2 0 , 3 1 5 , 4 0 0
$ 2 1 , 4 3 1 ,0 0 0 $ 2 1 ,0 3 9 , 8 8 5 $ 2 1 , 3 4 7 , 2 1 3 $ 2 2 , 7 3 8 , 8 9 1

POLICE SERVICES CONTRACT
& BUDGET SUMMARY
The City of Lake Forest contracts with the Orange County Sheriff’s Department (OCSD) for all law enforcementservices through a shared-services model designed to provide full-service policing in a cost-efficient manner. TheFY 2025-26 cost of the OCSD contract is $22,738,891, which funds all local staffing, supervision, operations,and support services dedicated to Lake Forest.

Lake Forest Police Services is staffed by a full complement of sworn and professional personnel, including 1Captain, 5 Sergeants, 3 Investigators, 35 Patrol-trained Deputy Sheriffs, 2 Motor Deputies, 4 CommunityServices Officers. This team is supported by an Investigative Assistant, Office Specialist and Crime PreventionSpecialist. This staffing structure is designed to ensure 24/7 patrol coverage, targeted traffic enforcement,community engagement programming, crime prevention outreach, and investigative follow-up.

Traffic OfficeAuto TheftCourt ProcessingDirected Enforcement TeamRegional Motorcycle Sergeant This blended model of dedicated staffing and shared regional resources enables Lake Forest to receivecomprehensive, high-quality police services while maintaining fiscal responsibility. The contract continues to beevaluated annually to ensure that staffing levels, community needs, and citywide priorities align with long-termpublic safety goals. 8 Item: 14
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STAFFING OVERVIEW
The men and women of Lake Forest Police Services bring together a broad range of professional backgrounds, experience, and specialized training, working collaboratively to uphold the law with integrity, fairness, and an unwavering commitment to public safety in the City of Lake Forest. Deputies and professional staff maintain a visible and proactive presence throughout the community. They serve as peacekeepers, mentors, educators, and community partners, providing safety, support, and guidance to residents, businesses, and visitors 24 hours a day. Whether addressing quality-of-life concerns, responding to calls for service, conducting traffic enforcement, or participating in community events, personnel are dedicated to strengthening trust and maintaining a safe environment for all.

Lake Forest Police Services operates under a contract with the Orange County Sheriff's Department, allowing the City to strategically align staffing levels with local priorities and anticipated service demands. Personnel assignments are structured to ensure efficient patrol coverage, thorough investigative follow-up, and proactive engagement efforts. The team includes command staff oversight, patrol supervision, investigators, motor deputies, patrol and special enforcement deputies, a school resource deputy, community service officers, a crime prevention specialist, and office specialist who ensure seamless daily operations.

Supervisory staff oversee daily field operations while working closely with specialized units and countywide resources to address emerging crime trends and complex investigations. Professional staff and volunteers play a vital role in supporting public safety initiatives through crime prevention programs, public education campaigns, administrative coordination, and community outreach efforts. Specialized assignments allow Police Services to address specific community concerns such as traffic safety, youth engagement, behavioral health outreach, and property crime prevention. Many personnel hold advanced certifications and training designations, including Field Training Officers and Master Field Training Officers responsible for mentoring and developing the next generation of deputies.

Team members represent the community they serve, with diverse cultural backgrounds, languages, education levels, and life experiences. Many personnel hold college degrees and maintain active memberships in professional law enforcement associations at the state and national levels, further enhancing the department’s expertise and readiness.

Together, this integrated team of sworn personnel, professional staff, volunteers, and specialized units enables Lake Forest Police Services to deliver comprehensive, community-oriented public safety services while upholding the highest standards of professionalism, accountability, and service to the Lake Forest community. (SWORN, PROFESSIONAL, VOLUNTEERS, AND CONTRACTED PARTNERS) 9 Item: 14
448

SECTION 3COMMUNITY & DEMOGRAPHICCONTEXT
10 Item: 14
449

EducationProfile

53.2%

26.4%

18.5%

1.9%

42.6%

25.2%18.1%
11%

3.2%
Some College

CITY DEMOGRAPHICS
DemographicComposition Development Parks & Amenities
2025 CityCouncil
Distribution by Ethnicity & Race
Educational Attainment
Asian
Black
White
Other
Bachelor’s Degree
Associate’s Degree
Master’s Degree
Doctorate Degree
Population: 85,965
R e s i d e n t i a l : 3 , 7 5 6 a c r e s
C o m m e r c i a l & P r o f e s s i o n a l O f f i c e :
3 5 3 a c r e s
B u s i n e s s P a r k & L i g h t I n d u s t r i a l :
9 2 5 a c r e s
O p e n S p a c e & P a r k s : 3 , 0 6 5 a c r e s 30 Neighborhood/Community ParksWhiting Ranch Wilderness ParkHeritage Hill Historical ParkLake Forest Sports ParkLake Forest Golf & Practice CenterSerrano Creek & Aliso Creek TrailsEtnies Skatepark of Lake ForestThe Arbor on El ToroFoothill Ranch Town Centre Mayor Scott VoigtsMayor Pro Tem Robert PequenoCouncil Member Doug CirboCouncil Member Mark Tettemer Council Member Benajmin Yu Total Public Schools: 11Total Private Schools: 4
11 Item: 14
450

POLICE SERVICES DEMOGRAPHICS
Sworn

88.5%
Professional

11.5%
Personnel Overview
Total Personnel Assigned to the City:55
Total Sworn Staff:48
Total Professional Staff:7
Total Volunteers:29
Lieutenant
Sergeants
Deputies
CSO's
Crime Prevention
Admin
0 10
20 30
40 1 5
38 4 1 1
0-2 Years
3-5 Years
6-10 Years
11-15 Years
16+ Years
0 5
10 15
20 1
8 19
11 11
High School / GED
Some College
Bachelor's Degree
Master's Degree0
10 20
30 40
50 60
53 15
24 9
English

73.6%
Spanish
25%
Russian

1.4%
Veteran Status
Total Veterans:4
Branches:ArmyNavyCoast Guard
Education Levels Years of Service Rank Distribution
Sworn vs.Professional Staff LanguageCapabilities
12 Item: 14
451

Sgt J. Callahan
Army
2004 - 2012

VETERANS INVETERANS INPOLICE SERVICESPOLICE SERVICESVETERANS INPOLICE SERVICES Sgt R. Rhodes
Navy
1993 -1997
Deputy R. Irwin
Coast Guard
2004 - 2020
Deputy R. Fowler
Coast Guard
2010 - 2014
13 Item: 14
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SECTION 4CRIME & STATISTICAL REPORTING
14 Item: 14
453

Source: Department of Justice and International Association of Chiefs of Police

CRIME REPORTING STANDARDS
The Orange County Sheriff’s Department utilizes the National Incident-Based Reporting System (NIBRS), the current crime reporting standard established by the Federal Bureau of Investigation. NIBRS provides a comprehensive view of crime by capturing detailed information for each reported incident, including offense characteristics, victim and offender demographics, relationships, property involved, and related circumstances.

The system allows multiple offenses to be recorded within a single incident, offering a more complete representation of criminal activity.

The Orange County Sheriff’s Department began submitting NIBRS-compliant data in June 2021. This transition enhanced the Department’s ability to analyze crime trends, identify emerging public safety concerns, and evaluate patterns related to domestic violence, child and elder abuse, hate crimes, gang involvement, and drug- related offenses. The standardized structure of NIBRS supports more consistent analysis and improved insight over time.

The bar graphs included in this report reflect crime trends from 2022 through 2025, allowing for observation of changes and patterns across multiple years. These trends provide contextual insight into public safety conditions and support informed evaluation of operational priorities and resource planning.

To support timely preparation of this report, crime and statistical data were extracted from the OCSD Records Division at a specific point in time. The data presented should be considered approximate and preliminary, as incident classifications, report statuses, and submissions may continue to be reviewed and updated. As a result, figures included here may differ from finalized or certified data submitted to state or federal reporting systems.

All statistics contained in this report are based on the date a crime or arrest occurred and are subject to revision. These figures are intended to serve as working data summaries to support trend analysis and general understanding, rather than final or certified crime statistics. 15 N IB R S G R O U P A O F F E N S E S
2 0 2 2 2 0 2 3 2 0 2 4 2 0 2 5
0 5 0 0
1 0 0 0
1 5 0 0
2 0 0 0
2 5 0 0
3 0 0 0
3 5 0 0
4 0 0 0
3 1 6 3
2 9 5 9
2 4 5 2
2 2 6 6
Item: 14
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C r i m e
T o t a l

M A N S L A U G H T E R B Y N E G L I G E N C E
0 F O R C I B L E R A P E
2 S E X U A L A S S A U L T W I T H A N O B J E C T 1 F O R C I B L E F O N D L I N G
7 A G G R A V A T E D A S S A U L T
1 0 9 . 5

S I M P L E A S S A U L T
2 6 2

I N T I M I D A T I O N
1 6

P O C K E T P I C K I N G
1 2

P U R S E S N A T C H I N G
2 S H O P L I F T I N G
2 1 6 . 5

T H E F T F R O M B U I L D I N G S
3 9

T H E F T F R O M M O T O R V E H I C L E
9 4

T H E F T O F M O T O R V E H I C L E S P A R T S O R A C C E S S O R I E S 3 7

A L L O T H E R L A R C E N Y
6 1

F A L S E P R E T E N S E / S W I N D L E / C O N F I D E N C E G A M E 4 5 . 5

F R A U D - C R E D I T C A R D / A T M
5 2

I M P E R S O N A T I O N
2 8

CRIME STATISTICS
16 C r i m e
T o t a l

F R A U D - I D E N T I T Y T H E F T
7 3 . 1 7

D R U G / N A R C O T I C V I O L A T I O N
3 7 6 . 8

D R U G E Q U I P M E N T V I O L A T I O N S
3 3 8 . 5

S T A T U T O R Y R A P E
1 K I D N A P P I N G / A B D U C T I O N
1 8

R O B B E R Y
3 0

A R S O N
6 E X T O R T I O N / B L A C K M A I L
1 B U R G L A R Y / B R E A K I N G & E N T E R I N G 7 9

M O T O R V E H I C L E T H E F T
7 2

F O R G E R Y / C O U N T E R F E I T I N G
4 7

E M B E Z Z L E M E N T
6 S T O L E N P R O P E R T Y O F F E N S E S ( R E C E I V I N G , E T C . ) 3 8 . 5

D E S T R U C T I V E / D A M A G E / V A N D A L I S M O F P R O P E R T Y 1 3 2 . 5

W E A P O N E L A W V I O L A T I O N S
5 9

A N I M A L C R U E L T Y
3 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

T O T A L
2 , 2 6 5 . 9 7
T h e o f f e n s e s s h o w n a b o v e r e p r e s e n t c r i m e s r e p o r t e d w i t h i n t h e c i t y a n d r e c o r d e d i n a c c o r d a n c e w i t h t h e F B I ’ s N a t i o n a l I n c i d e n t - B a s e d R e p o r t i n g S y s t e m ( N I B R S ) o f f e n s e c l a s s i f i c a t i o n s . A l l s t a t i s t i c s a r e c o n s i d e r e d a p p r o x i m a t e a n d r e f l e c t r e p o r t e d i n c i d e n t s a t a s p e c i f i c p o i n t i n t i m e , s u b j e c t t o r e v i s i o n a s c a s e s a r e r e v i e w e d o r r e c l a s s i f i e d .

NIBRS GROUP A OFFENSES 2025 - SELECTIVE BREAKDOWN
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USE OF FORCE &

COMPLAINTS
OCSD is committed to transparency, accountability, and respectful policing. Public complaints and use-of-force reviews play an important role in guiding training, policy, and service delivery. While Deputies interact with the community tens of thousands of times each year, any use of force incident is carefully reviewed to ensure compliance with department standards.

During the reporting year, Lake Forest Police Services handled 29,946 calls for service. Out of these contacts, eight public complaints were received and thoroughly investigated. All eight cases were determined to be within policy and required no further action. This represents a complaint rate of approximately 0.02% if the calls handled during the reporting period.

There were fifty five use-of-force incidents, each undergoing a full administrative review. Twenty-four incidents were found fully within policy, thirty were within policy but resulted in additional training or corrective action, and one was referred for Internal Affairs review. Compared to total community contacts, use of force occurred in approximately 0.18% of all interactions.

These low percentages reflect the professionalism, training, and restraint exhibited by the deputies serving the community.

U s e o f F o r c e
W i t h i n P o l i c y
T r a i n i n g / C o r r e c t i v e A c t i o n
R e f e r r e d t o I A P e n d i n g
2 4
3 0
1 P U B L I C C O M P L A I N T S
W i t h i n P o l i c y
T r a i n i n g / C o r r e c t i v e A c t i o n
8 17
0 0
Item: 14
456

TRAFFIC ENFORCEMENT &

TRAFFIC STATISTICS
Traffic operations are supported by a team of sworn staff and Community Service Officers who work collectively to identify collision trends, address high-complaint areas, and maintain roadway safety. The City’s Motor Deputies focus on enforcing the California Vehicle Code, monitoring speed compliance, conducting high-visibility traffic enforcement, and supporting patrol operations during major incidents. Their presence provides both enforcement and a deterrent effect in problem areas.

Community Services Officers (CSOs) play a key role in traffic safety, handling parking enforcement and investigating non-injury and minor-injury traffic collisions. As non-sworn personnel trained in traffic and parking operations, they help maintain circulation, respond to community concerns, and support sworn staff by freeing up deputies for higher-priority calls. CSOs are deployed across multiple shifts to provide consistent coverage and ensure prompt response to parking and traffic-related issues.

PATROL OPERATIONS
Patrol Operations form the backbone of daily policing and public safety. Deputies provide 24/7 coverage through overlapping 12-hour shifts that maintain consistent service levels and rapid response capabilities. Patrol activity falls into two primary categories:

Assigned Calls: Calls generated through 911 or the Sheriff’s non-emergency line, including crimes in progress, welfare checks, suspicious circumstances, missing persons, thefts, and traffic collisions.

Observed Activity: Self-initiated enforcement and investigatory activity based on deputies’ observations, helping prevent crime before it occurs.

Deputies assigned to marked police vehicles, including Ford Explorer patrol units and motorcycle units, respond to the majority of calls for service and conduct proactive patrols across neighborhoods, parks, business centers, and major traffic corridors. CSOs and motor units generally conduct more self-initiated traffic and parking activity, though they remain available to support priority incidents as needed.

SPECIALIZED SKILLS &

ANCILLARY ASSIGNMENTS
Many members of Patrol and Traffic Operations possess advanced training and serve on additional teams within the Orange County Sheriff’s Department. These specialized assignments enhance operational readiness and provide expanded expertise within the city. Examples include:

Mounted Enforcement Unit
Hazardous Device Squad (Bomb Squad)
Sheriff’s Response Team (Crowd Control)
Peer Support Team
Behavioral Health Liaison roles
Emergency Operations Center assignments
These roles contribute to a higher level of service, allowing the department to respond effectively not only to routine calls but also to specialized incidents and community needs.

FIELD OPERATIONS &

TRAFFIC ENFORCEMENT
Traffic safety and proactive patrol remain core priorities for Police Services, reflecting the community’s concerns regarding speeding, collisions, and neighborhood-level safety. The department addresses these issues through a balanced combination of education, enforcement, and high-visibility patrols designed to reduce traffic incidents, improve roadway safety, and maintain an active presence throughout the community. 18 Item: 14
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SECTION 5OPERATIONAL SERVICES & SPECIALIZED UNITS
19 Item: 14
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INVESTIGATIONS
The Investigations Unit provides comprehensive follow-up on criminal cases and plays a vital role in identifying trends, filing cases with the District Attorney’s Office, and supporting frontline patrol operations. Investigators assigned to the city bring specialized training and work closely with regional OCSD units to provide full investigative support.

PRIMARY RESPONSIBILITIES
City-assigned investigators handle a wide range of cases, including:

Crimes against persons
Residential and commercial burglaries
Property and financial crimes
Identity theft
Aggravated assaults
Vandalism, petty theft, and other misdemeanor cases
Sensitive investigations (runaways, missing juveniles, etc.) Investigators also study crime patterns to identify emerging trends and direct enforcement strategies.

FIELD OPERATIONS
When not completing follow-up reports or preparing case filings, investigators are actively engaged in fieldwork such as:

Responding to investigative “call outs”
Conducting surveillance operations
Interviewing victims, witnesses, and suspects
Formulating arrest plans
Drafting and serving search warrants
Collecting evidence and processing crime scenes
Their work supports both immediate case closures and long-term crime prevention.

COLLABORATION & SPECIALIZED UNITS
Some cases require the expertise of countywide specialty teams. Depending on the case type, investigators work closely with units such as:

Economic Crimes Detail
Homicide Detail
Special Victims Detail
Real-Time Operations Center (RTOC)
This shared-services system ensures every case receives the appropriate level of expertise without increasing city costs. CASELOAD
City investigators manage a significant volume of complex cases each year.

Examples from recent reporting periods:

Lake Forest investigators submitted 606 cases to the District Attorney.

Lake Forest investigators were assigned 843 cases out of 29,255 calls for service.

Additional cases were handled by regional investigative units.

Remaining reports were cleared by arrest, citation, or dismissal following review.

IMPACT
The Investigations Unit strengthens public safety by ensuring detailed case follow-up, supporting patrol operations, improving case solvability, and proactively addressing crime trends within the community. 20 Item: 14
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TRAFFIC STATISTICS
The Lake Forest Traffic Team provides full-time, proactive traffic enforcement throughout the city. The team is composed of two Motor Deputies and four Community Services Officers (CSOs) dedicated to improving roadway safety, reducing collisions, and responding to community traffic concerns.

One of the Motor Deputies is a certified Motor Instructor, responsible for training OCSD personnel countywide.

The Traffic Team also uses drones to document collision scenes and enhance investigative accuracy. One CSO is a newly trained drone pilot, providing additional support during major traffic incidents.

The team focuses on:

Speed enforcement
Parking enforcement
School zone safety
E-bike and trail enforcement
California Vehicle Code violations
Neighborhood and community-reported traffic concerns
This partnership between motor deputies, CSOs, city staff, and the community ensures responsive and targeted solutions to traffic issues throughout Lake Forest.

TRAFFIC STATISTICSTraffic statistics are influenced by staffing, traffic volume, roadway improvements, and community activity. These totals reflect citations and enforcement actions completed by deputies and CSOs.

PARKING CITATIONS
Parking citations include violations such as street
sweeping, permit parking, handicap violations, and
other vehicle code infractions related to
stopped/parked vehicles.
2025 Total: 9,914 citations
Yearly Totals:
2022: 6,510
2023: 6,273
2024: 4,592
2025: 9,914

HAZARDOUS MOVING CITATIONS
Hazardous moving violations are issued for
vehicle-code offenses committed while a vehicle is
in motion, such as speeding, following too
closely, or failing to yield. These violations are
commonly primary contributors to traffic collisions.
2025 Total: 1,691 citations
Yearly Totals:
2022: 2,597
2023: 2,144
2024: 1,691
2025: 2,302
ALL OTHER CITATIONS“All other” citations include licensing violations, equipment violations, and other non-hazardous,
non-parking traffic-related offenses.

Yearly Totals:
2022: 453
2023: 1,584
2024: 1,342
2025: 1,894

DATA SOURCES
Parking Enforcement Statistics: Citation
Processing Center
Traffic Citation Statistics: OCSD Operations
Dashboard
Traffic trends may vary due to staffing,
enforcement focus, and vehicle volume

COLLISION TRENDS
Citywide collision reports—ranging from non-injury incidents to major injury or fatal collisions—have historically fluctuated based on community traffic volume, roadway design changes, and travel patterns. After widespread pandemic-related reductions in vehicle traffic, collisions increased as residents returned to normal routines and citywide travel volume rose. 21 Item: 14
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DET is a regional OCSD detail dedicated to addressing major crime trends across South Orange County communities. The team specializes in:

Suspect apprehension
High-risk warrant service
Targeted crime suppression
Surveillance operations
Search and seizure operations
DET is staffed by two Sergeants, one Investigator, and eight Deputies, including one Lake Forest Deputy assigned on an 18-month rotation. This partnership gives the city access to a highly specialized enforcement team without bearing the full staffing cost.

SPECIAL ENFORCEMENT TEAM (SET) &

DIRECTED ENFORCEMENT TEAM (DET)
Lake Forest Police Services utilizes two proactive enforcement teams—the Special Enforcement Team (SET) and the Directed Enforcement Team (DET)—to address crime trends, conduct targeted operations, and support large-scale enforcement efforts throughout the city and South Orange County. These teams focus on problem-oriented policing, surveillance, suspect identification, high-risk arrests, and proactive field activity that supplements patrol operations.

SPECIAL ENFORCEMENT TEAM (SET)Mission & Focus
SET is composed of selected deputies with advanced training and an in-depth understanding of the community. Their primary responsibilities include:

Identifying current crime trends
Conducting targeted enforcement in high-problem areas
Apprehending suspects involved in burglaries, theft, narcotics activity, and probation/parole violations Conducting surveillance and covert operations
Executing probation, residential, and vehicle searches
Collaborating with Investigations and Patrol on complex cases SET members routinely use open-source intelligence, field observations, and community-generated information to locate suspects and disrupt criminal activity. Lake Forest is uniquely supported by two full-time SET teams, providing consistent, daily coverage and enhanced flexibility for enforcement operations.

Additionally, SET integrates Field Training Officers (FTOs) and trainees into operations, creating stronger development opportunities and producing highly capable patrol deputies for the city.

IMPACT
Together, the SET and DET teams provide a critical layer of proactive enforcement that strengthens crime prevention, enhances investigative follow-up, and supports both city and regional public safety efforts. Their work directly contributes to reducing crime trends, improving case outcomes, and maintaining the high quality of life in Lake Forest.

DIRECTED ENFORCEMENT TEAM (DET)
SET ACTIVITY SUMMARYSET’s high level of proactive activity makes it one of the most productive units in the city. Recent activity totals include:

P a t r o l C h e c k s
C a r S t o p s
P e d e s t r i a n S t o p s
B i k e S t o p s
O c c u p i e d V e h i c l e s C h e c k e d
F e l o n y C h a r g e s
M i s d e m e a n o r C h a r g e s
2 6 2
1 8 1
4 9
2 1
4 4
9 2
7 7
22 Item: 14
461

CSOs are professional, non-sworn staff trained in traffic collision reporting, parking enforcement, neighborhood patrols, and community service functions. They support sworn personnel by handling non-emergency calls, improving response efficiency, and assisting with events, traffic control, and community complaints.

SPECALTY DETAILS &

OTHER ASSIGNMENTS
Police Services personnel support the community through a wide range of specialized assignments that extend beyond routine patrol. These roles enhance proactive enforcement, school safety, community engagement, crime prevention, and investigative support.

SCHOOL RESOURCE OFFICER (SRO)
The School Resource Officer is a sworn peace officer assigned to serve students, staff, and school campuses within the city.

The SRO receives specialized training in school safety, crisis response, and youth engagement. In addition to providing a law enforcement presence on campus, the SRO participates in youth outreach, family support programs, and instruction such as the Parent Project course.

COUNTYWIDE SUPPORT SERVICES PROVIDED AT NO COST
Through Board Resolution 89-1160, all OCSD contract cities have access to a broad range of countywide specialty units, including:

Homicide • Special Victims • Family Protection • Economic/Cyber Crimes • Narcotics/Vice/Human Trafficking RNSP (Regional Narcotics) • Forensics/Crime Lab • SWAT • Bomb Squad • Canine • Crisis Negotiations • Air Support Surveillance & Protection • Internal Affairs • Intelligence Assessment Center • Mounted Patrol • Search & Rescue Mutual Aid Bureau • Reserve Bureau • Field Training • Coroner • Crime Analysis • Property & Evidence • Records Information Systems • Inmate Transportation

COMMUNITY SERVICES OFFICERS (CSO)
The HLOs work directly with individuals experiencing homelessness, connecting them with resources, conducting outreach, and addressing quality-of-life concerns. The role focuses on balancing compassionate engagement with enforcement of municipal codes and long-term problem-solving.

HOMELESS LIAISON OFFICER (HLO)
The Bicycle Patrol Team provides flexible, high-visibility enforcement in parks, shopping centers, trails, business districts, and special events. In 2024, the team deployed electric bicycles to enhance mobility and assist with the growing e-bike population. Bicycle patrol emphasizes approachability, visibility, and community engagement.

BICYCLE PATROL TEAM
TAGRS is used to document, track, and investigate graffiti incidents. Data is submitted through a city-contracted agency and police reports, allowing officers to identify monikers, crews, damage amounts, and suspect patterns. This system enables investigators to link cases and pursue restitution.

Graffiti Activity:

Complaints: 304 (2021), 595 (2022), 455 (2023), 483 (2024), 348 (2025) Removal Costs: $22,800 (2021), $44,625 (2022), $33,115 (2023), $33,810 (2024), $24,360 (2025)

TAGRS (TRACKING AUTOMATED GRAFFITI REPORTING SYSTEM)
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SECTION 6TRAINING & PROFESSIONAL DEVELOPMENT
24 Item: 14
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SPECIALIZED & ADVANCED TRAINING
Beyond mandatory requirements, personnel are encouraged to pursue additional training to enhance expertise in
investigations, enforcement, supervision, technology, and community engagement. Training completed during the year included:

Basic & Advanced Narcotics Investigation
Rolling Surveillance & Covert Online Operations
Social Media and Open-Source Intelligence (OSINT)
Fentanyl Trends & Drug Investigations
Outlaw Motorcycle Gang Investigations
Investigative Interviewing & Interrogation
Background Investigations
Multi-disciplinary Child Abuse Interviewing
Active Shooter & Patrol Rifle Response
Advanced Patrol Tactics
Highway Drug Interdiction
Search Warrant Preparation
Criminal Gypsy/Traveler Investigations
DNA & Cellular Technology Investigations
Cyber Crimes Investigation
Asset Forfeiture
FAA Part 107 Drone Pilot Certification
Advanced CPTED (Crime Prevention Through
Environmental Design)
Critical Incident Leadership
Mobile Field Force & Crowd Control
Crisis Intervention Training (CIT)
Homeless Liaison Officer Training
LIDAR/Radar
Pursuit Intervention Technique (PIT)
Suicide by Cop: Intervention & Response
Civil & Criminal Liability
ICS Intermediate & Advanced Command
These courses strengthen department capabilities across investigative, tactical, and community-focused disciplines.

TRAINING COURSES COMPLETED
Ongoing professional development is essential to ensuring high-quality public safety services for the community. Deputies, Investigators, Sergeants, and supervisory staff must meet training standards established by California POST, legislative mandates, and OCSD policy. Many courses require renewal every two years to maintain operational readiness, legal compliance, and tactical proficiency.

The OCSD Regional Training Facility ensures that all personnel remain current in required skills and exceed minimum state mandates. OCSD requires a minimum of 36 hours of training every two years, surpassing POST baseline requirements.

MANDATORY TRAINING REQUIREMENTSAll sworn personnel complete recurrent training in the following core areas:

Arrest & Control Techniques
Firearms Update
Driving Simulator
Tactical & Interpersonal Communication
Domestic Violence Response
Bias-Free Policing
Vehicle Pursuit Policy
CPR/AED Certification
Less-Than-Lethal Tools
Search & Seizure
Ethical Decision-Making
Extremism Awareness
These foundational courses ensure deputies remain well- prepared to respond safely, legally, and effectively to the needs of the community.

COMMITMENT TO EXCELLENCE
Continuous training ensures that personnel remain prepared to address evolving public safety challenges with professionalism, skill, and integrity. OCSD’s investment in training supports safer operations, enhanced service delivery, and improved outcomes for the community.
25 Item: 14
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FIELD TRAINING PROGRAM
The Field Training Program (FTP) is one of the most critical components of patrol operations. Field Training Officers (FTOs) are responsible for developing the next generation of law enforcement professionals, ensuring they meet the high performance, safety, and service standards expected within the city and the Sheriff’s Department.

PROGRAM OVERVIEW
New patrol deputies entering the division participate in a structured, four-month training program consisting of 12-hour shifts alongside a certified FTO. Trainees are introduced to a wide range of scenarios, calls for service, and operational expectations. Daily evaluations measure performance in areas such as decision-making, officer safety, communication, investigations, and community interaction.

Trainees rotate through multiple phases, each with increasing responsibility and complexity. FTOs evaluate competence through standardized rating scales, narrative evaluations, and scenario-based assessments. Only those who consistently meet or exceed expectations progress through the program.

MASTER FIELD TRAINING OFFICERS (MFTOS)
The OCSD Field Training Bureau oversees the Master Field Training Officer (MFTO) program. MFTOs are advanced trainers selected through a competitive process that includes:

Demonstrated excellence in report writing
Strong investigative and legal knowledge
Proven teaching and adult learning skills
An oral board interview
A minimum of 1,200 FTO hours
MFTOs support training across all Patrol Operations Divisions and play a key role in shaping departmentwide standards.

The city is proud to have MFTOs assigned within its ranks, reflecting a high level of expertise and commitment to training excellence.

FTOs are selected from among the most experienced and skilled patrol deputies. The position requires:

Mastery of patrol procedures and criminal law
Strong communication and teaching skills
Sound judgment and decision-making
Demonstrated leadership ability
Patience, professionalism, and adaptability
FTOs are entrusted with shaping the department’s future workforce, ensuring trainees are prepared for the complexities of modern policing. Their influence extends beyond training—FTOs also serve as mentors, role models, and coaches.

ROLE OF THE FIELD TRAINING OFFICER
In a typical year, the division trains numerous patrol trainees, many of whom remain assigned to the city after completing FTP. This strengthens local knowledge, continuity of service, and operational consistency. Throughout the training process, FTOs pass on critical skills and reinforce department values, contributing directly to higher quality service for the community.

The FTP not only develops new deputies—it also serves as a leadership pipeline. The time, dedication, and expertise required to train new personnel position FTOs for future opportunities, including assignments as Sergeants, Investigators, and specialty detail supervisors.

PROGRAM IMPACT
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SECTION 7 COMMUNITY PROGRAMS & PARTNERSHIPS
27 Item: 14
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CRIME PREVENTION & PROGRAMS
Crime Prevention is a core component of community safety. Through education, outreach, and partnership-based programs, Police Services empowers residents and businesses to reduce crime, increase awareness, and strengthen neighborhood connectivity. The City’s Crime Prevention Specialist (CPS) leads these efforts, offering programs and resources at no cost to the community.

NEIGHBORHOOD WATCH
Neighborhood Watch remains a
cornerstone of crime-prevention
strategy. The CPS partners with
residents to:

Educate on crime trends and
prevention techniques
Strengthen communication
between neighbors and deputies
Promote proactive measures to
safeguard homes and property
Each group appoints a Block
Captain, who serves as the liaison
between residents and Police
Services. Block Captains receive
quarterly training to ensure they
remain informed on current crime
trends, prevention strategies, and
community safety updates.

Crime Prevention is most effective when the community and law enforcement work together. Through education, partnerships, communication, and public engagement, Police Services fosters a safer environment and strengthens the quality of life throughout the city.

BUSINESS WATCH
Business Watch mirrors the
Neighborhood Watch model but is
tailored to commercial districts. The
program encourages businesses to
work collaboratively with Police
Services by:

Sharing emergency contact
information
Receiving targeted crime-
prevention materials
Attending free seminars
Participating in the crime-
prevention communication
network
Participating businesses display
program decals to identify their
partnership and promote a safer
commercial environment.

CPTED – CRIME PREVENTION

THROUGH ENVIRONMENTAL
DESIGN
CPTED principles use thoughtful
design to reduce crime and
increase natural surveillance. The
CPS provides free residential and
business security assessments,
offering guidance on:

Lighting and visibility
Landscaping that enhances
security
Natural access control
Environmental layouts that
deter criminal behavior
These assessments help residents
and business owners better protect
their property through simple and
cost-effective measures.

SOCIAL MEDIA

OUTREACH
Police Services uses multiple
social media platforms—including
Instagram, Facebook, X, and
Nextdoor—to:

Share crime-prevention tips
Inform residents of scams and
criminal trends
Request community assistance
(e.g., missing persons)
Highlight safety campaigns
and deputy accomplishments
These platforms allow timely,
wide-reaching communication that
enhances public awareness.

COMMUNITY OUTREACH
& PROGRAMS
The CPS participates in and organizes
a wide variety of community events
aimed at building trust, educating the
public, and improving safety. Annual
and recurring events include:

National Night Out
Coffee with a Cop
Prescription Drug Take-Back Day
Walk-to-School Week
Station Tours
Safety Booths at City Special
Events
This year, Police Services also
partnered with the Oakley Flagship
Store and Providence Mission
Hospital to host a bicycle safety and
stunt event promoting helmet safety
and reducing traumatic injuries.
28 Item: 14
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T h r o u g h o u t t h e y e a r , s t a f f e n g a g e w i t h r e s i d e n t s o f a l l a g e s b y p r o v i d i n g :

P e r s o n a l a n d p r o p e r t y - s a f e t y e d u c a t i o n F r a u d a n d s c a m - p r e v e n t i o n i n f o r m a t i o n B i c y c l e a n d e - b i k e s a f e t y d e m o n s t r a t i o n s C h i l d s a f e t y a n d s c h o o l - f o c u s e d o u t r e a c h C r i m e - p r e v e n t i o n p r e s e n t a t i o n s l e d b y t h e C r i m e P r e v e n t i o n S p e c i a l i s t T h e s e p r o g r a m s p r o m o t e a w a r e n e s s a n d e m p o w e r t h e c o m m u n i t y t o p l a y a n a c t i v e r o l e i n i t s o w n s a f e t y .

D e p u t i e s a n d C r i m e P r e v e n t i o n S p e c i a l i s t s a t t e n d m e e t i n g s , w a l k - t h r o u g h s , a n d o u t r e a c h e v e n t s f o c u s e d o n :

N e i g h b o r h o o d W a t c h g r o u p s
B u s i n e s s W a t c h p a r t n e r s
H O A m e e t i n g s
C o m m u n i t y p r o b l e m - s o l v i n g s e s s i o n s T h e s e e n g a g e m e n t s c r e a t e o p e n c o m m u n i c a t i o n b e t w e e n r e s i d e n t s , b u s i n e s s e s , a n d d e p u t i e s , a l l o w i n g i s s u e s t o b e a d d r e s s e d q u i c k l y a n d c o l l a b o r a t i v e l y .

COFFEE-WITH-A-COP & INFORMAL MEETUPS

YOUTH & FAMILY ENGAGEMENT

COMMUNITY OUTREACH & EVENTS
Police Services maintains a strong commitment to community engagement, recognizing that positive, proactive interactions help strengthen trust and enhance public safety. Throughout the year, deputies, professional staff, and volunteers participate in a wide range of events designed to bring law enforcement and the community together in meaningful ways.

SIGNATURE COMMUNITY EVENTS
Police Services participates in major city-sponsored celebrations and annual traditions. These events often include deputy meet-and- greets, static displays, safety demonstrations, and photo opportunities with families. Holiday and seasonal events remain among the most popular, drawing thousands of residents and creating memorable positive-policing interactions.

EDUCATIONAL & SAFETY PROGRAMS

NEIGHBORHOOD & BUSINESS ENGAGEMENT
“Coffee with a Cop” remains one of the most successful ongoing outreach activities. These informal gatherings allow residents to ask questions, voice concerns, and get to know the deputies who serve their neighborhoods in a relaxed, approachable environment.

Y o u t h o u t r e a c h i s a k e y p r i o r i t y . P o l i c e S e r v i c e s p a r t i c i p a t e s i n :

W a l k - t o - S c h o o l D a y s
S c h o o l a s s e m b l i e s a n d c l a s s r o o m p r e s e n t a t i o n s S t a t i o n t o u r s
E x p l o r e r s a n d y o u t h v o l u n t e e r o p p o r t u n i t i e s B i k e s a f e t y e v e n t s a n d d e m o n s t r a t i o n s T h e s e p r o g r a m s f o s t e r p o s i t i v e r e l a t i o n s h i p s e a r l y a n d r e i n f o r c e t h e r o l e o f l a w e n f o r c e m e n t a s m e n t o r s .

PARTNERSHIP & SUPPORT VISITS
Elected officials, community partners, nonprofit groups, and regional organizations visit Police Services throughout the year to discuss local issues, strengthen collaboration, and recognize the work of deputies and volunteers. These visits support interagency partnerships and highlight the ongoing commitment to public safety.
29 Item: 14
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EMERGENCY PLANNING
A coordinated, citywide effort to plan, train, and respond to disasters and major incidents.

EVACUATION

PLANNING

EVACUATION

PLANNING
Citywide Evacuation
Zones created to support
safe and efficient resident
movement.

Operational evacuation
maps developed for
deputies and first
responders.

Integration with AlertOC
enables targeted
emergency notifications.

Public-facing evacuation
maps available on the
City website for resident
preparedness.

Strong advance planning
ensures swift, coordinated
evacuations during wildfires
and other fast-moving
incidents.

VOLUNTEER RESPONSE TEAMS

VOLUNTEER RESPONSE TEAMS
Auxiliary Communications Service (ACS)
Provides redundant communication systems, radio expertise, and technical support during disasters, city events, and emergency operations. ACS ensures continuity when primary communication channels fail or overload.

Community Emergency Response Team (CERT)
CERT members receive training in basic fire suppression, disaster medical operations, search techniques, and neighborhood safety. They serve as force multipliers during emergencies and assist with drills and community education.

Sheriff’s Team of Active Retired Seniors (STARS)
STARS support traffic control, situational awareness, logistics, and large community events. They work closely with ACS and CERT during coordinated responses.

RESPONSE

INFRASTRUCTURE

RESPONSE

INFRASTRUCTURE
The City’s Department
Operations Center (DOC)
enhances emergency
response through:

Rapid activation
capabilities
Improved interagency
coordination
Real-time situational
awareness tools
Dedicated equipment and
technology
The DOC enables quicker
decision-making, stronger
field support, and seamless
integration with outside
agencies during major
incidents.

TRAINING & REAL-
WORLD

PREPAREDNESS

TRAINING & REAL-
WORLD

PREPAREDNESS
Annual drills and tabletop
exercises with city
departments and partner
agencies.

Communications testing
with ACS and other
volunteer teams.

Participation in
countywide disaster
responses, providing real
operational experience.

Staff involvement in
Incident Management
Team (IMT) roles including
Planning, Operations,
Intelligence, and Safety.

These training opportunities
strengthen the city’s readiness
for both planned and
unexpected emergencies.
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2025

VOLUNTEER PROGRAMS
STARS is a dedicated group of community volunteers who donate their time to support Police Services through non- enforcement duties.

STARS volunteers support the city through a wide range of functions:

Citizens Patrol
Monitors residential and commercial areas; reports suspicious activity, hazards, and parking concerns; supports visibility around crime trend areas.

Administrative Support
Assists at the front desk by greeting visitors, answering phones, supporting clerical tasks, helping with programs like prescription take-back/shredding events, and assisting deputies with administrative projects.

Vacation Home Checks
Conducts routine exterior checks while residents are away to ensure homes remain secure.

Special Events Support
Assists with traffic control, logistics, crowd management, and public engagement during citywide events.

Their contributions enhance visibility, improve community engagement, and allow deputies to focus on calls for service and proactive patrol.

Sheriff’s Team of Active Retired Seniors (STARS)
2022
2023
2024
3,264
3,852
5,347
$143,616
$210,980
Year Hours
Donated
Estimated
Value
Volunteer value is calculated using the County’s hourly rate for Professional Service Responder (PSR) equivalent roles.

STARS volunteers donate thousands of hours annually, directly supporting citywide safety initiatives and reducing operational costs.
31 $169,488
$235,268
4,795
Item: 14
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Reserve Deputies are state-certified volunteers who augment patrol operations and provide support for special events and city needs.

Primary Duties Include:

Acting as a second officer in patrol units
Traffic and crowd control
Crime scene security
Foot and bike patrol
Transportation of arrestees
2025 Impact:
679 volunteer hours
Estimated value: $42,200 (at $62.15/hr)

VOLUNTEER PROGRAMS
Reserve Deputies
The Explorer Program provides young adults with leadership development, mentorship, and hands-on law enforcement experience.

Explorer Contributions:

Traffic and event support
Administrative and station tasks
Crime prevention outreach
Ride-alongs and training opportunities
2025 Hours Donated: 1,150
Estimated Value: $17,250 (based on $15/hr)
Explorer Program
32 Item: 14
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SECTION 8RECOGNITION AND LEGACY
33 Item: 14
472

SPECIAL RECOGNITION
On August 6, 2025, Deputies responded
to a local pet store regarding the theft of
a rare bird. The business provided
surveillance footage of the suspect as
well as the vehicle he fled in.

Deputy S. Pavuk, who was assigned to
Lake Forest Investigations, took over the
case for follow-up. By reviewing the
store’s surveillance footage, she was able
to determine the make and model of the
suspect’s vehicle.

A search of automated license plate
reader (ALPR) results in the area helped
identify the vehicle’s license plate as it
fled the scene. Further investigation led to
the identification of the suspect and his
residence.

On August 27, 2025, investigators
responded to the residence and
contacted the suspect, who matched the
individual seen in the surveillance
footage. The suspect was cooperative
and relinquished custody of the bird.

After a quick visit to Police Services, the
rare bird was safely returned to the pet
store the following morning when the
business opened.

Theft of Rare Bird:

Responding to Theft from a
Vehicle:

At approximately 4:45 a.m. on April 16,
2025, Deputy Blades was dispatched to
a reported theft from a vehicle. The victim
reported that his vehicle had been parked
overnight and that several items were
now missing. The stolen property included
Apple AirPods, a Glock handgun, and its
accompanying holster. The victim advised
that the AirPods were actively tracking to
another location within the city. A nearby
resident also provided video footage
showing a suspect entering the victim’s
vehicle.

Deputy Blades immediately notified
assisting deputies of the tracking location.

Deputy Gotts responded to the area and
located two subjects who were possibly
connected to the theft. With the assistance
of a K9, deputies conducted a search of
the residence and successfully located the
stolen AirPods.

With support from Lake Forest
Investigations, a search warrant was
obtained for the residence as well as an
associated vehicle. During the
investigation, investigators utilized
multiple interview techniques and gained
cooperation from one of the suspects. The
suspect ultimately assisted investigators in
locating the stolen handgun and holster,
which had been concealed inside a
Citizen Band (CB) radio amplifier.

T h e c o o p e r a t i v e s u s p e c t a d m i t t e d h e h a d a t t e m p t e d t o p u r c h a s e t h e h a n d g u n f r o m t h e o t h e r s u b j e c t . B o t h i n d i v i d u a l s w e r e s u b s e q u e n t l y a r r e s t e d a n d t r a n s p o r t e d t o t h e O r a n g e C o u n t y J a i l f o r G r a n d T h e f t a n d P o s s e s s i o n o f S t o l e n P r o p e r t y .

Deputies Zellers, Bennett and K9 Badger
Large Narcotics Recovery:

O n N o v e m b e r 2 2 , 2 0 2 5 , D e p u t y Z e l l e r s c o n d u c t e d a t r a f f i c s t o p o n a v e h i c l e t h a t m a d e a n u n s a f e l a n e c h a n g e .

D e p u t y Z e l l e r s i m m e d i a t e l y p i c k e d u p o n t h e n e r v o u s b e h a v i o r o f t h e d r i v e r w h o a d m i t t e d t o h a v i n g a c r i m i n a l p a s t t h a t i n c l u d e d s m u g g l i n g n a r c o t i c s . T h e d r i v e r w a s u n a b l e t o s t o p s h a k i n g a n d w a s p r o f u s e l y s w e a t i n g . T h e s e c l u e s l e a d t o D e p u t y Z e l l e r ’ s r e q u e s t i n g t h e c a n i n e t e a m , D e p u t y B e n n e t t a n d B a d g e r , t o h i s l o c a t i o n . K 9 B a d g e r a l e r t e d t o p o s s i b l e n a r c o t i c s b e i n g i n t h e v e h i c l e . A s e a r c h o f t h e v e h i c l e b y d e p u t i e s y i e l d e d 1 7 k i l o g r a m s o f c o c a i n e . T h e d r i v e r w a s t a k e n i n t o c u s t o d y a n d t h e n a r c o t i c s w e r e s e i z e d b e f o r e m a k i n g i t i n t o o u r c o m m u n i t y .
34 Item: 14
473

EMPLOYEE OF THE YEAR
Deputy Antonio Ramirez was selected as the
Lake Forest Deputy of the Year for 2025, an
honor reflecting the high regard he has
earned from both his supervisors and peers.

Deputy Ramirez has proudly served the Lake
Forest community since his assignment to the
city in April 2008. Over the past 17 years,
he has consistently demonstrated a strong
commitment to traffic safety, proactive
policing, and public service.

In 2010 Deputy Ramirez was selected to
become motor deputy. He has completed
extensive specialized training and is a
member of the Major Accident Investigation
Team (MAIT). His dedication to roadway
safety is evident in his work.

DEPUTY ANTONIO RAMIREZ
35 In 2025 alone, he issued an impressive
5,280 traffic citations, reflecting his tireless
efforts to protect residents, commuters, and
visitors traveling through Lake Forest each
day. His productivity and focus on traffic
enforcement play a critical role in promoting
safer driving behaviors throughout the
community.

Deputy Ramirez’s dedication,
professionalism, and work ethic earned him
the well-deserved recognition as 2025
Deputy of the Year. After more than a
decade and a half serving Lake Forest, he
continues to set the standard for commitment
to public safety and service to the community.

Lake Forest Police Services is proud to
recognize Deputy Antonio Ramirez as our
2025 Deputy of the Year.

Item: 14
474

FALLEN OFFICERS
Deputy
Darryn L.

Robins
36 End of Watch
Decemeber 25, 1993
Deputy
Bradley J.

Riches
End of Watch
June 12, 1999
Both Deputies gave their lives while in service to the
residents of Lake Forest and will be forever remembered.

Item: 14
475

Provided by the Orange County Sheriff’s Department,
In partnership with the City of Lake Forest.

Item: 14
476

CITY COUNCIL AGENDA REPORT
MEETING DATE: 05/21/2026
DEPARTMENT: City Manager
SUBJECT:

LEGISLATIVE AND REGULATORY MATTERS
RECOMMENDED ACTION(S):

1. Receive a report from staff summarizing the status of various legislation with the potential to impact the City of Lake Forest.

2. Adopt the policy positions recommended by staff on various legislation with the potential to impact the City of Lake Forest.

EXECUTIVE SUMMARY:

As part of its Legislative and Regulatory Program, the City Council adopts a Legislative and Regulatory Platform every two years prior to the start of the Federal and State's Legislative Session. This platform contains policy guidelines rooted in the preservation of local control and municipal financial independence.

The City Council adopted the 2025-2027 Legislative Platform on January 7, 2025 (Attachment 1).

This report provides a summary of proposed legislation with the potential to significantly affect the City’s ability to maintain strong public safety services and its capacity to preserve and support resident property rights. Each summary below includes a staff recommendation on whether the City Council should support or oppose the legislation. The complete bill texts are provided as Attachment 2. The positions and recommendations from Cal Cities and the Association of California Cities - Orange County ("ACC-OC") are also included in this report if a position has been adopted or specified. All decisions on actions to support or oppose legislation are at the discretion of the City Council.

Proposed State Legislation Related to E-Bike Regulations Assembly Bill 1557
Staff Recommended Position: Support
Cal Cities Position: Track
ACC-OC Position: No Position
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Assembly Bill (AB) 1557 introduced by Assembly Member Papan seeks to regulate and modify the current Vehicle Code with respect to the 3 classified classes regarding electrical bicycles and their speed thresholds. Class 1 and 2 are currently limited to obtaining a speed limit of 20 miles per hour, in which the proposed bill lowers the limit to 16 miles per hour for both classes. Class 3 currently limits its maximum speed at 28 miles per hour which will remain unchanged. The bill also proposes that all electrical bicycles that have been manufactured before January 1, 2027, may retain their current classification despite the new established regulations. Staff recommends the City Council support AB 1557 as this bill would expand the scope of enforceable offenses related to e-bikes.

Assembly Bill 1569

Staff Recommended Position: Support
CalCities Position: Support
ACC-OC Position: No Position
Assembly Bill (AB) 1569 introduced by Assembly Members Davies and Chen aims to foster a partnership between the Department of the California State Highway Patrol and the State Department of Education to develop a standardized electric bicycle safety and training program before March 1, 2028.

The program is intended for students in grades 7 through 12 to promote safe operation and awareness of electric bicycle among youth. These two entities would be able to collaborate with local law enforcement agencies or local governments to share best practices that have already been established to incorporate in the new program. The bill also promotes training demonstrations by local law enforcement for pupils and parents. Staff recommends the City Council support AB 1569 as this bill supports broader community engagement and would reinforce safe electric bicycle use through education and outreach.

Assembly Bill 1614
Staff Recommended Position: Support
CalCities Position: Support
ACC-OC Position: No Position
Assembly Bill (AB) 1614 introduced by Assembly Member Dixon and Coauthored by Assembly Member Davies seeks to expand bicycle operation requirements beyond the highways including Class I bikeways under the California Bicycle Transportation Act. Specifically, drivers and passengers must ride upon the permanent or regular seat. This bill broadens the scope of current safety regulations. Staff recommends the City Council to support AB 1614 as this bill promotes consistent safety standards for bicycle use across both roadways and designated off-street bikeways.

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Assembly Bill 1942
Staff Recommended Position: Support
CalCities Position: Support
ACC-OC Position: No Position
Assembly Bill (AB) 1942 introduced by Assembly Member Bauer-Kahan and coauthored by Assembly Member Davies aims to establish new registration and licensing requirements for all Class 2 and Class 3 electric bicycles to be registered with the Department of Motor Vehicles and to display a special license plate issued by the Department. This bill supports the adoption of the regulations governing the registration process and related requirements. Failure to comply would result in infractions and be subject to fines. Staff recommends the City Council to support AB 1942 as this bill increases oversight and accountability for higher-powered electric bicycles through a formal registration and identification system.

Assembly Bill 2346
Staff Recommended Position: Support
CalCities Position: Support
ACC-OC Position: No Position
Assembly Bill (AB) 2346 introduced by Assembly Members Wilson and Berman with principal coauthor Senator Weber Pierson and coauthors Assembly Members Boerner and Davies aims to provide disclosures including a summary of California's laws for all electric bicycles sold after January 1, 2029. The bill also requires for all electric bicycles that are sold after the assigned date to be equipped with a speedometer and integrated with a front and rear lamp to meet standards. Staff recommends the City Council support AB 2346 as this bill aims to enhance rider safety through improved equipment standards and to increase consumer understanding of applicable laws and responsibilities related to electric bicycle use.

Senate Bill 1167
Staff Recommended Position: Support
CalCities Position: Support
ACC-OC Position: No Position
Senate Bill (SB) 1167 introduced by Senator Blakespear and coauthors Senators Gonzalez, Strickland, and Wiener and Assembly Members Davies and Dixon seeks to expand existing restrictions and sale of electric bicycles by eliminating the advertisement and sales of prohibited bikes. Specifically, if the bike does not Item: 15
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meet the definition of an electric bicycle. Additionally, this bill addresses violations and protects against misleading representations by making violators subject to civil liability and enforcement actions under the Business and Professions Code. Staff recommends the City Council to support SB 1167 as this bill will reduce consumer confusion, ensure accurate product representation, and promote compliance with classification standards.

Proposed State Legislation Related to Insurance
Staff received informational flyers from the California Department of Insurance Community Relations and Outreach Branch. The Department requested support for a package of wildfire recovery and insurance reform legislation, including AB 1680, AB 1765, and SB 876. Attachments 3, 4, and 5 summarize proposed measures to establish standards for smoke-damage remediation, expand disaster-related living expense coverage, and enhance oversight and accountability of the FAIR Plan, with the stated goal of improving recovery outcomes, consumer protections, and insurance market stability in wildfire- impacted communities.

Assembly Bill 1680
Staff Recommended Position: Support
CalCities: Track
ACC-OC: No Position
Assembly Bill (AB) 1680, authored by Assemblymember Lisa Calderon, reforms and increases accountability within the FAIR Plan. Current law requires the FAIR Plan to offer “basic property insurance” to homeowners, renters and businesses that are unable to obtain traditional insurance coverage in the normal market. AB 1680 modernizes the FAIR Plan to reflect current market conditions and strengthen consumer protections. It clarifies and reinforces the Commissioner’s authority to approve, revoke, or require revisions to the FAIR Plan’s plan of operation and ensures that the Plan must adopt examination recommendations within agreed-upon timelines. Further, AB 1680 would enact key reforms identified in the California Department of Insurance’s recent Report of Examination, which found the FAIR Plan had failed to comply with 17 critical recommendations related to financial condition, corporate governance, and consumer protections. Staff recommends the City Council support AB 1680 as this bill would improve accountability and transparency within the FAIR Plan.

Assembly Bill 1795
Staff Recommended Position: Support
CalCities: Track
ACC-OC: No Position
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Assembly Bill (AB) 1795 introduced by Assembly Member Gipson, The Smoke Damage Recovery Act seeks to develop a comprehensive statewide framework to ensure consistent, science-based handling of smoke-damage claims.

Residential property insurance policies that cover the peril of fire also cover smoke damage caused by fire, and insurers are required to fully investigate claims and restore covered properties to pre-loss condition. However, California has no statewide standards governing the inspection or testing of smoke-damaged homes, no minimum sampling or clearance protocols, no mandated remediation methods, and no training or certification requirements for professionals who assess or remediate smoke damage. This bill will mandate insurer compliance with remediation protocols and clarify their obligation to cover the cost of restoring properties to pre-loss condition. These standards will apply to all residential property insurance policies. AB 1795 will also identify the state agencies responsible for implementing and enforcing the standards and create penalties for noncompliance. Staff recommends the City Council support AB 1795 as this bill ensures homes are properly cleaned and safe to live in after a fire.

Senate Bill 876
Staff Recommended Position: Support
CalCities: Track
ACC-OC: No Position
Senate Bill (SB) 876 introduced by Senator Padilla seeks to strengthen consumer protections in residential property insurance by requiring regularly updated replacement cost estimates, access to meaningful coverage options, and timely claim payments after a wildfire or other covered disaster. The bill requires insurers to offer extended and guaranteed replacement cost coverage, provide sufficient building code upgrade coverage, and follow clear timelines for issuing claims benefits. These reforms are designed to reduce underinsurance, prevent delays, and support faster, more stable recovery for disaster-impacted families and communities. Staff recommends the City Council to support SB 876 as this bill protects homeowners through reforms and seeks to support recovery efforts.

FISCAL IMPACT:

There is no fiscal impact associated with the recommended action.

ATTACHMENTS:

1. 2025-2027 Legislative and Regulatory Platform
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2. Bill Texts

3. AB 1680 Fact Sheet – CDI

4. AB 1795 Fact Sheet – CDI

5. SB 876 Fact Sheet – CDI
Initiated By: Neria Salinas, Intern
Submitted By: Nidia Ruelas Castellino, Assistant to the City Manager Approved By: Debra Rose, City Manager
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ATTACHMENT 1
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2 CITY OF LAKE FOREST
2025-2027 LEGISLATIVE AND REGULATORY PLATFORM

I. INTRODUCTION

The Legislative and Regulatory Platform (“Platform”) defines the City's Policy guidelines and provides the foundation for advocacy efforts at the federal, state, and local levels. Staff uses this Platform to identify relevant topic areas and subject matter, and makes recommendations to City Council on specific legislation or regulations consistent with the policy guidelines. Additionally, in the event it is necessary for the City to respond to a legislative proposal in a timeframe that does not allow the City Council to take formal action, staff would express positions on bills in accordance with these guidelines, and then seek City Council direction at the appropriate time.

II. GUIDING PRINCIPLES

1. Support Public Safety

Support legislation or regulations that provides the City with the ability to maintain high-level public safety for its residents and businesses. Support measures and initiatives that preserve law enforcement action that provide residents with the safety needed to achieve a desirable quality of life. Oppose efforts that would diminish the City’s ability to properly fund its police services.

2. Preserve Local Control

Preserve and protect the City’s powers, duties, and prerogatives to enact local legislation and policy direction concerning local affairs and oppose legislation or regulations that preempts local authority. Oppose measures that seek to preempt or degrade local control.

3. Fiscal Responsibility and Economic Development

Support measures that promote fiscal stability, financial independence, preserve the City’s revenue base, and maximum local control over local government budgeting. Oppose measures that shift local funds to the county, state, or federal governments and/or make cities more dependent on the county, state, or federal governments for financial stability.

4. Housing and Land Use

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3 Support legislation or regulations that preserves local authority and flexibility in housing and land use regulations to safeguard community character, health, and safety. Oppose legislation or regulations that would hinder the unique needs and priorities of the community or negatively affect local governance or property rights.

5. Environment

Support legislative and regulatory measures that prioritize responsible resource management and local autonomy in environmental regulation.

Advocate for streamlined regulatory processes that reduce unnecessary bureaucracy. Oppose policies that impose undue restrictions on local decision-making and limit the availability of diverse energy options.

III. POLICY STATEMENTS

1. Public Safety

• The City opposes any state or federal mandates that would undermine local decision-making in critical areas in Public Safety. • The City supports legislation or regulations to address safety concerns related to e-bikes, fentanyl, and retail theft mitigation. • The City supports legislation or regulations that would help to fund regional transportation projects that sustain the City’s regional public safety model.

2. Local Control

• The City supports legislation or regulations that lead to greater financial independence from federal, state and/or county government, and protect local resources from seizure by federal, state and/or county agencies.
• The City supports legislation or regulations maintaining maximum local flexibility in all areas of its responsibility and operations and opposes legislation that imposes intrusive, unnecessary, or unfunded state- imposed mandates or preempts local authority.
• The City opposes legislation or regulations that make the City more dependent on federal, state, and/or county government or agencies for policy direction.

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4 • The City opposes legislation or regulations to limit the City’s ability to contract for municipal services.
• The City opposes any legislation or regulations that are inconsistent with the doctrine of home rule, interferes with local exercise of police powers over local land use, or requires a federal, state, and/or county entity to develop model planning practices and policies. • The City supports legislation or regulations that bolster programmatic and grant funding available for local governments to access in order to fund infrastructure projects, or other improvements which would benefit the community, including federal Community Project Funding/ Congressionally Directed Spending.
• The City supports maximum flexibility with regard to expending grant funds that address economic recovery associated with public health declarations, natural disasters, and other emergencies, as well as the other needs of the City in which grant funds can be utilized.

3. Fiscal Responsibility and Economic Development

• The City supports bills that would lower taxation rates for businesses and residents.
• The City opposes legislation , regulations, or ballot initiatives that would alter the legislative intent of Proposition 13, including a split real- property tax roll that would affect commercial property and any amendment that would affect residential property.
• The City Council opposes efforts by the State Legislature to assess taxes on public goods and services such as water and electricity. • The City opposes legislation that would lower the vote threshold as a method to impose new taxes or create new financing opportunities. • The City supports efforts to reestablish the authority and financing capability previously afforded to local governments by redevelopment through legislation or regulations designed to support businesses through economic development and the City supports efforts to facilitate economic development efforts that enhance opportunities for local businesses.
• The City supports legislation or regulations that would amend existing law to ensure that prevailing wage rates do not impede its ability to pursue small-dollar projects and lower operating costs.

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5 • The City supports policies that prioritize private sector investment and economic development. The City opposes the imposition of stringent regulations that could stifle business innovation, hinder economic growth, or discourage investment in the community.

4. Housing and Land Use

• The City supports efforts to amend the current occupancy calculation in the Uniform Housing Code (“UHC”) to achieve a more reasonable standard, thereby, improving the health, safety, and residential character of our community.
• The City supports efforts, at both the federal and state level, to provide local agencies with regulatory tools related to short-term rentals and other uses in residential areas that may affect the quality of life. • The City supports the continuation and funding of federal housing assistance programs, such as vouchers or rental assistance, including those funded through existing grant programs such as the Community Development Block Grant (“CDBG”).

5. Transportation

• The City supports funding for investments in transportation which aim to reduce traffic and pollution; including investments in roads, public transportation networks, mass transit systems such as rail, and bicycle/ pedestrian infrastructure, such as funding for project design, construction, and maintenance.

6. Environment

• The City supports modification to the California Environmental Quality Act (“CEQA”) and the National Environmental Policy Act (“NEPA”) to eliminate duplicative and unnecessary provisions of the existing law. • The City supports legislative and regulatory efforts that reduce or delay the financial and compliance impacts of State-mandated organics recycling.
• The City opposes Municipal Separate St orm Sewer System (“MS4”) permit requirements that impose undue costs or burdens on municipalities or limit local flexibility in managing stormwater pollution.

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6 • The City opposes gas to electric transition efforts that would impose undue financial burdens for residents, local businesses, and property owners.
• The City supports legislation or regulations to lengthen the duration of National Pollutant Discharge Elimination System (“NPDES”) permits for stormwater discharge under the Clean Water Act (“CWA”) from five (5) to ten (10) years, and strengthening federal programs designed to assist municipalities in achieving NPDES permit compliance.

7. Social and Demographics

• The City supports religious freedom and legislation or regulations protecting religious freedom at both the state and federal level. • The City supports legislation or regulations that advance the practice or policy of favoring individuals in hiring and similar contexts based solely on abilities and personal merits, including education, skills, experience, and other similar factors.

8. Wildlife and Natural Disaster

• The City supports legislation and regulations which puts safeguards on and curbs the cost of homeowners insurance premium increases and the cancellation of insurance, on account of wildfire and other natural disasters.

IV. LEGISLATIVE DIRECTION

• Staff may continue to advocate a position for a bill which has been amended into a new bill number as long as the language and intent remain substantially unchanged.

• The City shall monitor and take into consideration the strategic goals and positions adopted by local and regional agencies, including but not limited to the following:

 Association of California
Cities – Orange County (ACC-
OC)
 County of Orange
 El Toro Water District (ETWD)
 Irvine Ranch Water District
(IRWD)
 League of California Cities
(CalCities)
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7  Orange County-American
Planning Association (OC-
APA)
 Orange County Business
Council (OCBC)
 Orange County Council of
Governments (OCCOG)
 Orange County Fire Authority
(OCFA)
 Orange County Sheriff’s
Department (OCSD)
 Orange County Transportation
Authority (OCTA)
 South Coast Air Quality
Management district (South
Coast AQMD)

V. LEGISLATIVE PROCEDURES

1) Develop and adopt a legislative and regulatory platform every two years based on the long-term strategic vision and current needs of the City.

2) Monitor and analyze proposed legislative and regulatory matters to determine effects on the City’s municipal operations and service to its residents and businesses.

3) Staff will stay up to date on legislative and regulatory matters relevant to their respective department.

4) Present legislative and regulatory matters to the City Council periodically throughout the legislative calendar.

5) Communicate the City’s position on proposed legislation or regulations through letters of support or opposition for legislation or regulations that is impactful to the City.

6) Work regularly with state and federal lobbyists to ensure that the City’s voice is well represented.

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ATTACHMENT 2
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AMENDED IN ASSEMBLY APRIL 16, 2026
AMENDED IN ASSEMBLY MARCH 16, 2026
california legislature—2025–26 regular session
ASSEMBLY BILL No. 1557
Introduced by Assembly Member Papan
(Coauthors: Assembly Members Ahrens, Alanis, Bennett, Boerner, Bonta, Carrillo, Connolly, Davies, Dixon, Haney, Harabedian, Hart, Jackson, and Schiavo)
January 8, 2026
An act to amend Section 312.5 Sections 312.5, 21213, and 22651.08 of, and to add Section 28171 to, the Vehicle Code, relating to vehicles. legislative counsel’s digest
AB 1557, as amended, Papan. Vehicles: electric bicycles.

Existing law defines an electric bic ycle as a bic ycle equipped with fully operable pedals and an electric motor that does not e xceed 750 watts of power. Existing law classifies electric bicycles into 3 classes with dif ferent restrictions. Existing la w defines a “class 1 electric bicycle” as a bic ycle equipped with a motor that pro vides assistance only when the rider is pedaling, that is not capable of e xclusively propelling the bicycle, and that ceases to pro vide assistance when the bicycle reaches the speed of 20 miles per hour. Existing defines a “class 2 electric bicycle” as a bicycle equipped with a motor that may be used exclusively to propel the bic ycle and that is not capable of pro viding assistance when the bic ycle reaches the speed of 20 miles per hour .

Existing law defines a “class 3 electric bicycle” as a bicycle equipped with a speedometer and a motor that, in pertinent part, pro vides assistance only when the rider is pedaling and that ceases to pro vide

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assistance when the bicycle reaches the speed of 28 miles per hour . A violation of the Vehicle Code is a crime.

This bill would instead define a class 1 electric bic ycle as a bicycle equipped with a motor that pro vides assistance only when the rider is pedaling, that is not capable of exclusively propelling the bicycle, and that ceases to provide assistance when the bicycle reaches the speed of 16 miles per hour. The bill would define a class 2 electric bicycle as a bicycle equipped with a motor that may be used e xclusively to propel the bicycle, and that is not capable of pro viding assistance when the bicycle reaches the speed of 16 miles per hour. The bill would provide that, notwithstanding these definitions, an electric bicycle manufactured prior to January 1, 2027, that w as equipped with a motor that is not capable of exceeding 750 watts of peak continuous power and otherwise met the le gal requirements for the rele vant class at the time of manufacture shall retain its classification.

This bill would authorize a cargo electric bicycle to be equipped with an electric motor with a maximum continuously r ated power of 750 watts. The bill would define a car go electric bicycle as an electric bicycle that is b uilt with a r einforced fr ame and inte grated r ack or platform designed to transport goods or additional persons.

The
This bill would prohibit a manufacturer from equipping, and a retailer from offering for sale or advertising, any device labeled as an electric bicycle with a motor that is capable of e xceeding 750 w atts of peak power. The bill w ould also prohibit a manuf acturer from equipping, and a retailer from offering for sale or advertising, any device labeled as a class 1 or class 2 electric bic ycle with a motor that is capable of exceeding 250 watts of continuous power or that is capable of providing assistance to reach speeds greater than 16 miles per hour. The bill would make a violation of these provisions punishable by a civil penalty not to exceed $15,000 for a first violation and not to e xceed $50,000 for each subsequent violation, upon an action brought by the Attorney General, a city attorne y, a county counsel, or a district attorne y. The bill would specify that a violation of this pro vision is not a criminal offense.

Existing law prohibits a person under 16 years of age from operating a class 3 electric bicycle, and authorizes a peace officer to remove the electric bicycle being operated by the person. Existing law requires an agency to r elease a seized electric bicycle to the owner , violator, or their agent after a minimum of 48 hours if certain conditions are met, 97 — 2 — AB 1557

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including that the costs of removal, seizure, and storage have been paid.

Existing law authorizes an agency to require, as a condition of release of an electric bicycle r emoved under this pr ovision, pr oof that the violator has completed an electric bicycle safety and training program or a related local bicycle safety course, as described.

This bill would prohibit a person under 16 years of age from operating an electric bicycle with a motor that is capable of exceeding 250 watts of continuous power, and would authorize a peace officer to r emove the electric bicycle that is being operated by the person. The bill would authorize an a gency to require proof that the violator has completed an electric bicycle safety and training program or a related local bicycle safety course, as described, as a condition of r elease of the electric bicycle. Because a violation of this pr ohibition would be a crime , the bill would impose a state-mandated local program.

The California Constitution r equires the state to r eimburse local agencies and school districts for certain costs mandated by the state .

Statutory pr ovisions establish pr ocedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation: no. Fiscal committee: yes.​ State-mandated local program: no yes.​
The people of the State of California do enact as follows:
line 1 SECTION 1. Section 312.5 of the Vehicle Code is amended line 2 to read:
line 3 312.5. (a)  An “electric bic ycle” is a bic ycle equipped with line 4 fully operable pedals and an electric motor that is not capable of line 5 exceeding 750 watts of peak power.
line 6 (1)  A “class 1 electric bic ycle,” or “lo w-speed pedal-assisted line 7 electric bicycle,” is a bicycle equipped with a motor that provides line 8 assistance only when the rider is pedaling, that is not capable of line 9 exclusively propelling the bicycle, except as provided in paragraph line 10 (4), and that ceases to provide assistance when the bicycle reaches line 11 the speed of 16 miles per hour.
line 12 (2)  A “class 2 electric bicycle,” or “low-speed throttle-assisted line 13 electric bicycle,” is a bicycle equipped with a motor that may be line 14 used exclusively to propel the bic ycle, and that is not capable of 97 AB 1557 — 3 —

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line 1 providing assistance when the bic ycle reaches the speed of 16 line 2 miles per hour.
line 3 (3)  A “class 3 electric bicycle,” or “speed pedal-assisted electric line 4 bicycle,” is a bic ycle equipped with a motor that pro vides line 5 assistance only when the rider is pedaling, that is not capable of line 6 exclusively propelling the bicycle, except as provided in paragraph line 7 (4), and that ceases to provide assistance when the bicycle reaches line 8 the speed of 28 miles per hour, and equipped with a speedometer. line 9 (4)  A class 1 or class 3 electric bicycle may have start assistance line 10 or a walk mode that propels the electric bic ycle on motor power line 11 alone, up to a maximum speed of 3.7 miles per hour. line 12 (5)  Notwithstanding paragraphs (1), (2), and (3), an electric line 13 bicycle manufactured prior to January 1, 2027, that was equipped line 14 with a motor that is not capable of e xceeding 750 watts of peak line 15 continuous power and otherwise met the le gal requirements for line 16 the rele vant class at the time of manuf acture shall retain its line 17 classification.
line 18 (b)  A person riding an electric bicycle, as defined in this section, line 19 is subject to Article 4 (commencing with Section 21200) of Chapter line 20 1 of Division 11.
line 21 (c)  Manufacturers and distrib utors of electric bic ycles shall line 22 apply a label that is permanently affixed, in a prominent location, line 23 to each electric bicycle. The label shall contain the classification line 24 number, top assisted speed, and motor w attage of the electric line 25 bicycle, and shall be printed in Arial font in at least 9-point type. line 26 (d)  The following vehicles are not electric bic ycles under this line 27 code and shall not be advertised, sold, offered for sale, or labeled line 28 as electric bicycles:
line 29 (1)  A vehicle with two or three wheels powered by an electric line 30 motor that is intended by the manuf acturer to be modifiable to line 31 attain a speed greater than 20 miles per hour on motor power alone line 32 or to attain more than 750 watts of power.
line 33 (2)  A vehicle that is modified to attain a speed greater than 20 line 34 miles per hour on motor po wer alone or to ha ve motor power of line 35 more than 750 watts.
line 36 (3)  A v ehicle that is modified to ha ve its operable pedals line 37 removed.
line 38 (e)  (1)  Notwithstanding subdivision (a), a cargo electric bicycle line 39 may be equipped with an electric motor with a maximum line 40 continuously rated power of 750 watts.
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line 1 (2)  For the purposes of this subdivision, a “car go electric line 2 bicycle” means an electric bicycle that is b uilt with a reinforced line 3 frame and integrated rack or platform designed to transport goods line 4 or additional persons.
line 5 SEC. 2. Section 21213 of the Vehicle Code is amended to read:
line 6 21213. (a)  A person under 16 years of age shall not operate a line 7 class 3 electric bicycle.
line 8 (b)  A person shall not operate a class 3 electric bicycle, or ride line 9 upon a class 3 electric bic ycle as a passenger , upon a street, line 10 bikeway, as defined in Section 890.4 of the Streets and Highways line 11 Code, or any other public bicycle path or trail, unless that person line 12 is wearing a properly fitted and fastened bicycle helmet that meets line 13 the standards of either the American Society for Testing and line 14 Materials (ASTM) or the United States Consumer Product Safety line 15 Commission (CPSC), or standards subsequently established by line 16 those entities. This helmet requirement also applies to a person line 17 who rides upon a class 3 electric bicycle while in a restraining seat line 18 that is attached to the bicycle or in a trailer towed by the bicycle. line 19 (c)  A person under 16 years of age shall not operate an electric line 20 bicycle with a motor that is capable of e xceeding 250 watts of line 21 continuous power.
line 22 SEC. 3. Section 22651.08 of the Vehicle Code is amended to line 23 read:
line 24 22651.08. (a)  A peace officer , as defined in Chapter 4.5 line 25 (commencing with Section 830) of Title 3 of Part 2 of the Penal line 26 Code, may remo ve a v ehicle located within the territorial limits line 27 in which the officer may act, under either of the follo wing line 28 circumstances:
line 29 (1)  A person is operating a vehicle with fewer than four wheels line 30 that does not meet the definition of an electric bicycle set forth in line 31 Section 312.5 and is both of the following:
line 32 (A)  Powered by an electric motor capable of e xclusively line 33 propelling the vehicle in excess of 20 miles per hour on a highway. line 34 (B)  Being operated by an operator who is not licensed to operate line 35 the vehicle.
line 36 (2)  A person is operating a v ehicle that is a class 3 electric line 37 bicycle in violation of subdivision (a) of Section 21213. line 38 (3)  A person is operating an electric bicycle with a motor that line 39 is capable of exceeding 250 watts of continuous power in violation line 40 of subdivision (c) of Section 21213.
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line 1 (b)  (1)  A city, county, or city and county may adopt at a public line 2 meeting a re gulation, ordinance, or resolution imposing char ges line 3 equal to its administrati ve costs relating to the remo val, seizure, line 4 and storage costs. The charges shall not e xceed the actual costs line 5 incurred for the e xpenses directly related to remo ving, seizing, line 6 and storing the vehicle.
line 7 (2)  A local jurisdiction that has adopted a regulation, ordinance, line 8 or resolution pursuant to paragraph (1) shall publicly and line 9 conspicuously post the schedule of char ges on their internet line 10 website.
line 11 (c)  An agenc y shall release a seized v ehicle to the o wner, line 12 violator, or their agent after a minimum of 48 hours, if both of the line 13 following conditions are met:
line 14 (1)  The owner, violator, or authorized agent’s request is made line 15 during normal business hours.
line 16 (2)  The applicable removal, seizure, and storage costs have been line 17 paid.
line 18 (d)  If a peace officer removes a vehicle pursuant to paragraph line 19 (2) or (3) of subdi vision (a), an agenc y may, as a condition of line 20 release, require the owner, violator, or the parent or legal guardian line 21 of the o wner or violator to deli ver proof that the violator has line 22 completed an electric bic ycle safety and training program, as line 23 described in Section 894 of the Streets and Highw ays Code, or a line 24 related local bicycle safety course, if one is available, as prescribed line 25 by authorities in the local jurisdiction.
line 26 SEC. 2.
line 27 SEC. 4. Section 28171 is added to the Vehicle Code, to read:
line 28 28171. (a)  (1)  A manuf acturer shall not equip an y de vice line 29 labeled as an electric bic ycle with a motor that is capable of line 30 exceeding 750 watts of peak power.
line 31 (2)  A manufacturer shall not equip any device labeled as a class line 32 1 or class 2 electric bic ycle with a motor that is capable of line 33 exceeding 250 w atts of continuous po wer or that is capable of line 34 providing assistance to reach speeds greater than 16 miles per hour. line 35 (b)  (1)  A retailer shall not offer for sale or advertise any device line 36 labeled as an electric bic ycle with a motor that is capable of line 37 exceeding 750 watts of peak power.
line 38 (2)  A retailer shall not of fer for sale or adv ertise any device line 39 labeled as a class 1 or class 2 electric bicycle with a motor that is line 40 capable of e xceeding 250 w atts of continuous po wer or that is 97 — 6 — AB 1557

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line 1 capable of pro viding assistance to reach speeds greater than 16 line 2 miles per hour.
line 3 (c)  (1)  Notwithstanding Section 40000.1, a violation of this line 4 section is not a criminal offense.
line 5 (2)  Upon an action brought by the Attorney General, a city line 6 attorney, a county counsel, or a district attorney, a person or entity line 7 that violates this section shall be liable for a ci vil penalty not to line 8 exceed fifteen thousand dollars ($15,000) for a first violation, and line 9 not to exceed fifty thousand dollars ($50,000) for each subsequent line 10 violation.
line 11 (3)  A prevailing plaintiff in an action brought for a violation of line 12 this section shall be entitled to an a ward of reasonable attorney’s line 13 fees and costs.
line 14 SEC. 5. No reimbursement is required by this act pursuant to line 15 Section 6 of Article XIII B of the California Constitution because line 16 the only costs that may be incurr ed by a local a gency or school line 17 district will be incurred because this act cr eates a new crime or line 18 infraction, eliminates a crime or infraction, or changes the penalty line 19 for a crime or infraction, within the meaning of Section 17556 of line 20 the Government Code, or changes the definition of a crime within line 21 the meaning of Section 6 of Article XIII B of the California line 22 Constitution.

O
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AMENDED IN ASSEMBLY APRIL 13, 2026
AMENDED IN ASSEMBLY MARCH 9, 2026
california legislature—2025–26 regular session
ASSEMBLY BILL No. 1569
Introduced by Assembly Members Davies and Chen
January 12, 2026
An act to add Article 9 (commencing with Section 49397) to Chapter 8 of Part 27 of Division 4 of Title 2 of the Education Code, relating to pupil safety.
legislative counsel’s digest
AB 1569, as amended, Davies. Pupil safety: electric bicycle parking:
bicycle: safety and training program.

Existing law establishes the State Department of Education in state government, and vests the department with specified powers and duties relating to the state’ s public sc hool system. Existing law establishes the Department of the California Highway Patrol, under the control of the Commissioner of the California Highway P atrol, within the Transportation Agency. Existing law r equires the Department of the California Highway P atrol to de velop statewide safety and tr aining programs based on e vidence-based pr actices for user s of electric bicycles.

This bill would r equire, on or befor e Mar ch 1, 2028, the State Department of Education, in consultation with the Department of the California Highway Patrol, to develop a standardized electric bicycle safety and training program for pupils in grades 7 to 12, inclusive, as provided. In developing the program, the bill would authorize the State Department of Education and the Department of the California Highway

97 Item: 15
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Patrol to collabor ate with local law enfor cement a gencies or local governments that have implemented electric bicycle training programs already to ensure the program reflects proven best practices. The bill would encourage local educational agencies and parent organizations to offer training demonstrations to pupils and parents on electric bicycle operations in collabor ation with local law enfor cement a gencies or local governments, as specified.

Existing law authorizes the go verning board of an y school district having jurisdiction over elementary, intermediate, junior high, or high school to provide time and facilities to local law enforcement agency having jurisdiction over the school of the district for bic ycle, scooter, electric bic ycle, motorized bic ycle, or motorized scooter safety instruction. Existing law prohibits a person from dri ving or parking a vehicle or animal upon the dri veways, paths, parking f acilities, or grounds of specific public entities, including a public school or an educational institution e xempted, in whole or in part, from taxation, except with the permission of, and subject to any condition or regulation that may be imposed by , the go verning body of the specified public entity. Existing la w authorizes a public agenc y to adopt rules or regulations to restrict, or specify the conditions for, the use of bicycles, motorized bicycles, electric bicycles, skateboards, electrically motorized boards, and roller skates on public property under the jurisdiction of that agency.

This bill w ould require each school district and county office of education that allows pupils in kindergarten or any of grades 1 to 12, inclusive, to park a class 1, 2, or 3 electric bicycle, as defined, on campus to require pupils to complete the electric bic ycle safety and training program developed by the Department of the California Highway Patrol, as provided, or a related safety course, as specified, as a condition for parking on campus. The bill would also require a pupil to submit proof of completion of the abo ve-described course to their school before parking their class 1, 2, or 3 electric bicycle on the school campus. The bill would exempt school districts and county offices of education that adopted a policy related to electric bicycle safety, on or before January 1, 2027, from the above-described requirements.

Vote: majority. Appropriation: no. Fiscal committee: no yes.​ State-mandated local program: no.​
97 — 2 — AB 1569

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The people of the State of California do enact as follows:
line 1 SECTION 1. Article 9 (commencing with Section 49397) is line 2 added to Chapter 8 of P art 27 of Division 4 of Title 2 of the line 3 Education Code, to read:
line 4
line 5 Article 9. Electric Bicycle Safety
line 6
line 7 49397. (a)  (1)  On or before March 1, 2028, the department, line 8 in consultation with the Department of the California Highway line 9 Patrol, shall de velop a standar dized electric bicycle safety and line 10 training program for pupils in grades 7 to 12, inclusive. line 11 (2)  The program de veloped pur suant to par agraph (1) shall line 12 include, but is not limited to, an online component consisting of line 13 instructional videos and a knowledg e-based compr ehensive line 14 assessment co vering rules of the r oad, oper ating dif ferences line 15 between the classes of electric bicycles, required safety equipment, line 16 and the civil and criminal implications of operating noncompliant line 17 electric bicycles that exceed legal speed limits. line 18 (3)  The department and the Department of the California line 19 Highway P atrol may collabor ate with local law enfor cement line 20 agencies or local go vernments that have alr eady implemented line 21 electric bicycle training programs to ensure the program developed line 22 pursuant to paragraph (1) reflects proven best practices. line 23 (b)  A local educational a gency or par ent or ganization, in line 24 collaboration with local law enfor cement a gencies or local line 25 governments, is encour aged to of fer training demonstrations to line 26 pupils and parents on electric bicycle oper ations related to safe line 27 mounting, braking, signaling, yielding, and riding protocols. These line 28 training demonstrations may be administered on school campuses line 29 or at a designated community facility.
line 30 (c)  For purposes of this section, the following definitions apply:
line 31 (1)  “Classes of electric bicycles” include “class 1 electric line 32 bicycles,” “class 2 electric bicycles, ” and “class 3 electric line 33 bicycles,” as defined in Section 312.5 of the Vehicle Code. line 34 (2)  “Local educational agency” means a school district, county line 35 office of education, or charter school.
line 36 SECTION 1. Article 9 (commencing with Section 49397) is line 37 added to Chapter 8 of P art 27 of Di vision 4 of Title 2 of the line 38 Education Code, to read:
97 AB 1569 — 3 —

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line 1 Article 9. Electric Bicycle Safety
line 2
line 3 49397. (a)  Commencing with the 2027–28 school year, a local line 4 educational agency that allo ws pupils in kinder garten or an y of line 5 grades 1 to 12, inclusive, to park a class 1, 2, or 3 electric bicycle line 6 on campus shall require pupils to complete the electric bic ycle line 7 safety and training program de veloped by the Department of the line 8 California Highway Patrol pursuant to Section 894 of the Streets line 9 and Highway Code, or a related safety course, if one is available, line 10 as prescribed by a local government or the local law enforcement line 11 authority having jurisdiction o ver the school, as a condition for line 12 parking on campus.
line 13 (b)  A pupil shall submit proof of completion from one of the line 14 prescribed courses described in subdi vision (a) to their school line 15 before parking their class 1, 2, or 3 electric bicycle on the school line 16 campus.
line 17 (c)  A local educational agency that has adopted a policy related line 18 to electric bic ycle safety on or before January 1, 2027, shall be line 19 exempt from the requirements of this section.
line 20 (d)  For purposes of this section, the following definitions apply:
line 21 (1)  “Class 1 electric bic ycle,” “class 2 electric bic ycle,” and line 22 “class 3 electric bic ycle” shall ha ve the same meanings as line 23 prescribed in Section 312.5 of the Vehicle Code. line 24 (2)  “Local educational agency” means a school district or county line 25 office of education.

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97 — 4 — AB 1569

Item: 15
501

california legislature—2025–26 regular session
ASSEMBLY BILL No. 1614
Introduced by Assembly Member Dixon
(Coauthor: Assembly Member Davies)
January 21, 2026
An act to amend Section 21204 of the Vehicle Code, relating to vehicles.
legislative counsel’s digest
AB 1614, as introduced, Dixon. Vehicles: bicycles.

Existing law, the California Bic ycle Transportation Act, establishes 4 classifications of f acilities, referred to as bik eways, that pro vide primarily for, and promote, bicycle travel. Existing law requires a person operating a bicycle, which includes an electric bicycle, upon a highway to ride the bicycle upon or astride a permanent and regular seat unless the bicycle was designed by the manuf acturer to be ridden without a seat. Existing law requires a person riding as a passenger on a bic ycle upon a highway to be upon or astride a seat attached to the bicycle, as specified. A violation of these provisions in punishable as an infraction.

This bill would make those provisions applicable to the operation of a bicycle upon a Class I bikeway. By expanding an existing infraction, this bill would impose a state-mandated local program.

The California Constitution requires the state to reimb urse local agencies and school districts for certain costs mandated by the state.

Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation: no. Fiscal committee: yes.​ State-mandated local program: yes.​

Revised 4-7-26—See last page. 99

Item: 15
502

The people of the State of California do enact as follows:
line 1 SECTION 1. Section 21204 of the Vehicle Code is amended line 2 to read:
line 3 21204. (a)   A person operating a bic ycle upon a highw ay or line 4 a Class I bikeway, as defined in Section 890.4 of the Str eets and line 5 Highways Code , shall not ride other than upon or astride a line 6 permanent and re gular seat attached thereto, unless the bic ycle line 7 was designed by the manufacturer to be ridden without a seat. line 8 (b)   An operator shall not allow a person riding as a passenger, line 9 and a person shall not ride as a passenger , on a bic ycle upon a line 10 highway or a Class I bik eway, as defined in Section 890.4 of the line 11 Streets and Highways Code, other than upon or astride a separate line 12 seat attached thereto. If the passenger is four years of age or line 13 younger, or weighs 40 pounds or less, the seat shall have adequate line 14 provision for retaining the passenger in place and for protecting line 15 the passenger from the moving parts of the bicycle. line 16 SEC. 2. No reimbursement is required by this act pursuant to line 17 Section 6 of Article XIIIB of the California Constitution because line 18 the only costs that may be incurred by a local agenc y or school line 19 district will be incurred because this act creates a ne w crime or line 20 infraction, eliminates a crime or infraction, or changes the penalty line 21 for a crime or infraction, within the meaning of Section 17556 of line 22 the Government Code, or changes the definition of a crime within line 23 the meaning of Section 6 of Article XIII B of the California line 24 Constitution.
line 25
line 26
REVISIONS: line 27
Heading—Line 2. line 28
line 29
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503

california legislature—2025–26 regular session
ASSEMBLY BILL No. 1942
Introduced by Assembly Member Bauer-Kahan
(Coauthor: Assembly Member Davies)
February 13, 2026
An act to add Article 8.2 (commencing with Section 5040) to Chapter 1 of Division 3 of the Vehicle Code, relating to electric bic ycles, and making an appropriation therefor.
legislative counsel’s digest
AB 1942, as introduced, Bauer-Kahan. Electric bicycles: registration and special license plates.

Existing la w prohibits a person from dri ving, mo ving, or lea ving standing upon a highway, or in an offstreet public parking facility, any motor vehicle, trailer, semitrailer, pole or pipe dolly, or logging dolly, unless it is registered and the appropriate fees ha ve been paid, except as specified. Existing law requires the Department of Motor Vehicles, upon re gistering a v ehicle, to issue to the o wner license plates that identify the vehicles for which the y are issued for the period of their validity, as specified. Existing law also requires a motorized bicycle to display a special license plate issued by the department.

Existing law authorizes a city or county to adopt a bicycle licensing ordinance or resolution, authorizes the licensing agency, by ordinance or resolution, to adopt rules and regulations for the collection of license fees, as specified, and sets the fee for each ne w bicycle license and registration certificate at a sum of no more than $4 per year.

Existing law defines an electric bic ycle as a bic ycle equipped with fully operable pedals and an electric motor of less than 750 watts, and classifies electric bicycles into 3 classes with different restrictions.

Revised 4-21-26—See last page. 99

Item: 15
504

This bill would require class 2 electric bic ycles and class 3 electric bicycles to be registered with the department and to display a special license plate issued by the department. The bill w ould require the department to adopt regulations to implement these requirements, and would make a person operating a class 2 or class 3 electric bic ycle in violation of these requirements guilty of an infraction punishable by specified fines. By creating a ne w crime, the bill w ould impose a state-mandated local program.

The bill would create the Electric Bic ycle Registration Fund in the State Treasury, require all moneys received by the department pursuant to these provisions to be deposited in the fund, and require all moneys in the fund to be a vailable, upon appropriation by the Le gislature, to the department for the administration of these provisions. The bill would also appropriate an unspecified sum of moneys from the General Fund to the Electric Bic ycle Re gistration Fund as a loan for purposes of administering these provisions, as specified.

The California Constitution requires the state to reimb urse local agencies and school districts for certain costs mandated by the state.

Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: 2⁄3. Appropriation: yes. Fiscal committee: yes.​ State-mandated local program: yes.​
The people of the State of California do enact as follows:
line 1 SECTION 1. Article 8.2 (commencing with Section 5040) is line 2 added to Chapter 1 of Division 3 of the Vehicle Code, to read:
line 3
line 4 Article 8.2. Electric Bicycles
line 5
line 6 5040. (a)  A class 2 electric bicycle and a class 3 electric bicycle line 7 shall be registered with the department and shall display a special line 8 license plate issued by the department.
line 9 (b)  The special license plate shall be affix ed to the rear of the line 10 electric bicycle and shall be clearly visible and legible at all times. line 11 5040.5. The department shall adopt regulations to implement line 12 this article, including, but not limited to, regulations on all of the line 13 following:
99 — 2 — AB 1942

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line 1 (a)  Application and issuance of registration and special license line 2 plates.
line 3 (b)  Plate size, placement, and visibility requirements. line 4 (c)  Registration fees in an amount not to exceed the reasonable line 5 regulatory cost of issuing or renewing the registration. line 6 (d)  Proof of o wnership requirements, including the pro vision line 7 of a serial number for the registered electric bicycle. line 8 5040.7. A person operating a class 2 or class 3 electric bicycle line 9 in violation of this article is guilty of an infraction punishable by line 10 a fine not to exceed one hundred dollars ($100) for the first offense, line 11 two hundred dollars ($200) for a second offense, and two hundred line 12 fifty dollars ($250) for each subsequent offense. line 13 5040.9. (a)  The Electric Bicycle Registration Fund is hereby line 14 created in the State Treasury. All mone ys recei ved by the line 15 department pursuant to this article shall be deposited in the fund. line 16 Except as provided in subdivision (b), all moneys in the fund shall line 17 be a vailable, upon appropriation by the Le gislature, to the line 18 department for the administration of this article. line 19 (b)  (1)  The sum of ____ dollars (S____) is hereby appropriated line 20 from the General Fund to the Electric Bic ycle Registration Fund line 21 as a loan that shall be available for encumbrance and expenditure line 22 until ____ for purposes of administering this article. line 23 (2)  The loan amount shall be repaid by the department to the line 24 General Fund together with interest in the amount that those line 25 moneys w ould ha ve earned in the Pooled Mone y In vestment line 26 Account.
line 27 (3)  Moneys received by the department pursuant to this article line 28 shall be used to repay the loan until the loan is fully repaid. line 29 SEC. 2. No reimbursement is required by this act pursuant to line 30 Section 6 of Article XIIIB of the California Constitution because line 31 the only costs that may be incurred by a local agenc y or school line 32 district will be incurred because this act creates a ne w crime or line 33 infraction, eliminates a crime or infraction, or changes the penalty line 34 for a crime or infraction, within the meaning of Section 17556 of line 35 the Government Code, or changes the definition of a crime within line 36 the meaning of Section 6 of Article XIII B of the California line 37 Constitution.
99 AB 1942 — 3 —

Item: 15
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line 1
line 2 REVISIONS:
line 3 Heading—Line 2.
line 4
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99 — 4 — AB 1942

Item: 15
507

AMENDED IN ASSEMBLY MARCH 26, 2026
california legislature—2025–26 regular session
ASSEMBLY BILL No. 2346
Introduced by Assembly Members Wilson and Berman
(Principal coauthor: Senator Weber Pierson)
(Coauthor: Assembly Member (Coauthors: Assembly Members Boerner and Davies)
February 19, 2026
An act to amend Section 22352 of, to add Sections 21214.8 and 21214.9 12810.1, 21214.8, 21214.9, and 22352.1 to, and to add Article 19 (commencing with Section 28170) to Chapter 5 of Di vision 12 of, the Vehicle Code, relating to vehicles.
legislative counsel’s digest
AB 2346, as amended, Wilson. Vehicles: electric bicycles and speed limits.
(1)  Existing law defines an electric bic ycle as a bic ycle equipped with fully operable pedals and an electric motor of less than 750 watts, and classifies electric bicycles into 3 classes with different restrictions for various purposes.

This bill w ould require all class 1 and class 2 electric bic ycles manufactured, sold, or offered for sale on or after January 1, 2029, to be equipped with a speedometer. The bill would also require all electric bicycles manufactured, sold, or offered for sale on or after January 1, 2029, to be equipped with an integrated front lamp and a rear lamp, as specified.

The bill would also require manufacturers and distributors of electric bicycles to include a written description of California’s electric bicycle laws with the bicycle’s packaging to be provided to the consumer. The

98 Item: 15
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bill would also require sellers and distrib utors of electric bic ycles to provide specified disclosures at or before the point of sale. The bill would make a violation of these provisions punishable by a civil penalty not to exceed $15,000 for a first violation and not to e xceed $50,000 for each subsequent violation, upon an action brought by the Attorney General, a city attorne y, a county counsel, or a district attorne y. The bill would specify that a violation of these provisions is not a criminal offense.
(2)  Existing law regulates the operation of bicycles on highways and authorizes local authorities to, among other things, prohibit, by ordinance, the operation of an electric bic ycle or any class of electric bicycle on equestrian trails or hiking or recreational trails.

This bill would authorize a local authority to set a speed limit on a bicycle path of 15 or 20 miles an hour or on a multiuse trail to 10, 15, or 20 miles per hour , subject to specified signage requirements. The bill would also prohibit a person under 16 years of age from riding a self-propelled device an electric bicycle at a speed greater than 15 miles per hour on a highw ay or a bic ycle path unless that person possesses an instruction permit issued by the department. path. The bill w ould also make technical, nonsubstantive changes to these provisions. (3)  Existing law establishes various prima facie speed limits. Existing law establishes that specified con victions and violations under the Vehicle Code and tr affic-related incidents count as points a gainst a driver’s record for purposes of the suspension or r evocation of the privilege to drive, except as specified.

This bill would set additionally set a prima facie speed limit of 5 10 miles per hour on a side walk and 15 miles per hour for a Class IV bikeway. and specify that a conviction of a violation of that speed limit shall not result in a violation point count.
(4)  Under existing law, a violation of the Vehicle Code is a crime.

By creating new requirements within the Vehicle Code, the violation of which w ould be a crime, this bill w ould impose a state-mandated local program.

The California Constitution requires the state to reimb urse local agencies and school districts for certain costs mandated by the state.

Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation: no. Fiscal committee: yes.​ State-mandated local program: yes.​
98 — 2 — AB 2346

Item: 15
509

The people of the State of California do enact as follows:
line 1 SECTION 1. Section 12810.1 is added to the Vehicle Code, to line 2 read:
line 3 12810.1. Notwithstanding subdivision (f) of Section 12810, a line 4 violation point count shall not be given for a con viction of a line 5 violation of Section 22352.1.
line 6 SECTION 1.
line 7 SEC. 2. Section 21214.8 is added to the Vehicle Code, to read:
line 8 21214.8. (a)  A local authority may set a speed limit on a line 9 bicycle path of 15 or 20 miles per hour, subject to subdivision (c). line 10 (b)  A local authority may set a speed limit on a multiuse trail line 11 of 10, 15, or 20 miles per hour, subject to subdivision (c). line 12 (c)  A local authority that sets a speed limit pursuant to this line 13 section shall place appropriate signs that indicate the limits of the line 14 restricted zone and the applicable speed limit within 400 feet of line 15 each end of the restricted zone.
line 16 SEC. 2.
line 17 SEC. 3. Section 21214.9 is added to the Vehicle Code, to read:
line 18 21214.9. A person under 16 years of age shall not ride a line 19 self-propelled device an electric bicycle at a speed greater than 15 line 20 miles per hour on a highway or a bicycle path. This section does line 21 not apply to a person who possesses an instruction permit issued line 22 by the department.
line 23 SEC. 3. Section 22352 of the Vehicle Code, as amended by line 24 Section 1 of Chapter 555 of the Statutes of 2025, is amended to line 25 read:
line 26 22352. The prima f acie limits are as follo ws and shall be line 27 applicable unless changed as authorized in this code and, if so line 28 changed, only when signs have been erected giving notice thereof:
line 29 (a)  Five miles per hour on a sidewalk, as defined in Section 555. line 30 (b)  Fifteen miles per hour:
line 31 (1)  When traversing a railway grade crossing, if, during the last line 32 100 feet of the approach to the crossing, the driver does not have line 33 a clear and unobstructed view of the crossing and of any traffic on line 34 the railway for a distance of 400 feet in both directions along the line 35 railway. This paragraph does not apply in the case of any railway line 36 grade crossing where a human flagperson is on duty or a clearly line 37 visible electrical or mechanical rail way crossing signal device is 98 AB 2346 — 3 —

Item: 15
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line 1 installed but does not then indicate the immediate approach of a line 2 railway train or car.
line 3 (2)  When traversing any intersection of highways, if, during the line 4 last 100 feet of the driver’s approach to the intersection, the driver line 5 does not ha ve a clear and unobstructed vie w of the intersection line 6 and of any traffic upon all of the highways entering the intersection line 7 for a distance of 100 feet along all those highw ays, except at an line 8 intersection protected by stop signs or yield right-of-way signs or line 9 controlled by official traffic control signals.
line 10 (3)  On any alley.
line 11 (4)  On a Class IV bik eway, as defined in Section 890.4 of the line 12 Streets and Highways Code.
line 13 (c)  Twenty-five miles per hour:
line 14 (1)  On any highway in any business or residence district unless line 15 a different speed is determined by local authority or the Department line 16 of Transportation under procedures set forth in this code. line 17 (2)  When approaching or passing a school b uilding or the line 18 grounds thereof, contiguous to a highw ay and posted with a line 19 standard “SCHOOL” warning sign, while children are going to or line 20 leaving the school either during school hours or during the noon line 21 recess period. The prima f acie limit shall also apply when line 22 approaching or passing any school grounds which are not separated line 23 from the highway by a fence, gate, or other physical barrier while line 24 the grounds are in use by children and the highway is posted with line 25 a standard “SCHOOL” w arning sign. F or purposes of this line 26 subparagraph, standard “SCHOOL” warning signs may be placed line 27 at any distance up to 500 feet away from school grounds. line 28 (3)  When passing a senior center or other facility primarily used line 29 by senior citizens, contiguous to a street other than a state highway line 30 and posted with a standard “SENIOR” w arning sign. A local line 31 authority may erect a sign pursuant to this paragraph when the line 32 local agenc y mak es a determination that the proposed signing line 33 should be implemented. A local authority may request grant line 34 funding from the Active Transportation Program pursuant to line 35 Chapter 8 (commencing with Section 2380) of Di vision 3 of the line 36 Streets and Highways Code, or any other grant funding available line 37 to it, and use that grant funding to pay for the erection of those line 38 signs, or may utilize any other funds available to it to pay for the line 39 erection of those signs, including, b ut not limited to, donations line 40 from private sources.
98 — 4 — AB 2346

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line 1 (d)  This section shall remain in effect until January 1, 2031, and line 2 as of that date is repealed.
line 3 SEC. 4. Section 22352 of the Vehicle Code , as added by line 4 Section 2 of Chapter 555 of the Statutes of 2025, is amended to line 5 read:
line 6 22352. The prima f acie limits are as follo ws and shall be line 7 applicable unless changed as authorized in this code and, if so line 8 changed, only when signs have been erected giving notice thereof:
line 9 (a)  Five miles per hour on a sidewalk, as defined in Section 555. line 10 (b)  Fifteen miles per hour:
line 11 (1)  When traversing a railway grade crossing, if, during the last line 12 100 feet of the approach to the crossing, the driver does not have line 13 a clear and unobstructed view of the crossing and of any traffic on line 14 the railway for a distance of 400 feet in both directions along the line 15 railway. This paragraph does not apply in the case of any railway line 16 grade crossing where a human flagperson is on duty or a clearly line 17 visible electrical or mechanical rail way crossing signal device is line 18 installed but does not then indicate the immediate approach of a line 19 railway train or car.
line 20 (2)  When traversing any intersection of highways, if, during the line 21 last 100 feet of the driver’s approach to the intersection, the driver line 22 does not ha ve a clear and unobstructed vie w of the intersection line 23 and of any traffic upon all of the highways entering the intersection line 24 for a distance of 100 feet along all those highw ays, except at an line 25 intersection protected by stop signs or yield right-of-way signs or line 26 controlled by official traffic control signals. line 27 (3)  On any alley.
line 28 (4)  On a Class IV bik eway, as defined in Section 890.4 of the line 29 Streets and Highways Code.
line 30 (c)  Twenty miles per hour in a school zone when an y of the line 31 following apply:
line 32 (1)  A school speed limit sign with attached beacons states “speed line 33 limit 20 when flashing” and the beacons are flashing. line 34 (2)  A school speed limit sign states “children are present” and line 35 children are present.
line 36 (3)  A school speed limit sign with specific hours, which shall line 37 be determined by the local jurisdiction.
line 38 (d)  Twenty-five miles per hour:
98 AB 2346 — 5 —

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line 1 (1)  On any highway in any business or residence district unless line 2 a different speed is determined by local authority or the Department line 3 of Transportation under procedures set forth in this code. line 4 (2)  When passing a senior center or other facility primarily used line 5 by senior citizens, contiguous to a street other than a state highway line 6 and posted with a standard “SENIOR” w arning sign. A local line 7 authority may erect a sign pursuant to this paragraph when the line 8 local agenc y mak es a determination that the proposed signing line 9 should be implemented. A local authority may request grant line 10 funding from the Active Transportation Program pursuant to line 11 Chapter 8 (commencing with Section 2380) of Di vision 3 of the line 12 Streets and Highways Code, or any other grant funding available line 13 to it, and use that grant funding to pay for the erection of those line 14 signs, or may utilize any other funds available to it to pay for the line 15 erection of those signs, including, b ut not limited to, donations line 16 from private sources.
line 17 (e)  For purposes of this section, the following definitions shall line 18 apply:
line 19 (1)  “School zone” means an area of a highway within 500 feet line 20 of school grounds in any direction, unless otherwise posted, marked line 21 with appropriate signs giving notice of the area. line 22 (2)  (A)  “Children are present” means whene ver either of the line 23 following occurs:
line 24 (i)  Children are going to or leaving the school. line 25 (ii)  School grounds are in use by children and the highw ay is line 26 posted with a standard “SCHOOL” warning sign.
line 27 (B)  “Children are present” does not include children who are line 28 separated from the highw ay by a fence, g ate, or other ph ysical line 29 barrier.
line 30 (f)  This section shall become operative on January 1, 2031. line 31 SEC. 4. Section 22352.1 is added to the Vehicle Code, to read:
line 32 22352.1. (a)  In addition to the prima facie speed limits imposed line 33 by Section 22352, the prima facie speed limit for a side walk, as line 34 defined in Section 555, is 10 miles per hour and shall be applicable line 35 as authorized in this code and, if so changed, only when signs have line 36 been erected giving notice thereof.
line 37 (b)  A conviction of a violation of this section shall not result in line 38 a violation point count pursuant to Section 12810.1. line 39 SEC. 5. Article 19 (commencing with Section 28170) is added line 40 to Chapter 5 of Division 12 of the Vehicle Code, to read:
98 — 6 — AB 2346

Item: 15
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line 1 Article 19. Electric Bicycles
line 2
line 3 28170. (a)  Manufacturers and distributors of electric bicycles line 4 shall apply a label that is permanently affix ed, in a prominent line 5 location, to each electric bic ycle. The label shall contain the line 6 classification number, top assisted speed, and motor w attage of line 7 the electric bic ycle, and shall be printed in Arial font in at least line 8 9-point type.
line 9 (b)  Manufacturers and distrib utors of electric bic ycles shall line 10 include a written description of California’s electric bicycle laws line 11 with the bicycle’s packaging to be provided to the consumer. line 12 (c)  (1)  Sellers and distributors of electric bicycles shall disclose, line 13 in writing, all of the following information at or before the point line 14 of sale of each electric bicycle:
line 15 (A)  The classification of the electric bicycle. line 16 (B)  The maximum speed of the electric bicycle. line 17 (C)  The continuous and peak wattage of the electric bicycle. line 18 (D)  Any age restrictions on the use of the electric bicycle. line 19 (E)  The helmet requirements for an electric bicycle. line 20 (2)  Sellers and distributors of electric bicycles shall also provide line 21 a disclosure at or before the point of sale that contains the following line 22 statement in 12-point:
line 23
line 24 “IT IS AGAINST CALIFORNIA LAW FOR A PERSON TO TAMPER line 25 WITH, OR MODIFY, AN ELECTRIC BICYCLE SO AS TO CHANGE THE line 26 SPEED CAPABILITY OF THE DEVICE IN A MANNER THAT WOULD line 27 ALLOW THE DEVICE TO GO FASTER THAN PERMITTED BY LAW. line 28 MODIFYING THE DEVICE TO GO FASTER MAY RESULT IN line 29 REQUIREMENTS TO OPERATE THE DEVICE WITH AN M1 OR M2 line 30 LICENSE ENDORSEMENT, TO REGISTER THE DEVICE WITH THE line 31 DEPARTMENT OF MOTOR VEHICLES, AND TO INSURE THE DEVICE line 32 AS A MOTORIZED BICYCLE OR MOTORCYCLE.”
line 33
line 34 (d)  (1)  Notwithstanding Section 40000.1, a violation of this line 35 section is not a criminal offense.
line 36 (2)  Upon an action brought by the Attorney General, a city line 37 attorney, a county counsel, or a district attorney, a person or entity line 38 that violates this section shall be liable for a ci vil penalty not to line 39 exceed fifteen thousand dollars ($15,000) for a first violation, and 98 AB 2346 — 7 —

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line 1 not to exceed fifty thousand dollars ($50,000) for each subsequent line 2 violation.
line 3 (3)  A prevailing plaintiff in an action brought for a violation of line 4 this section shall be entitled to an a ward of reasonable attorney’s line 5 fees and costs.
line 6 28172. (a)  All class 1 and class 2 electric bicycles, as defined line 7 in Section 312.5, manufactured, sold, or offered for sale on or after line 8 January 1, 2029, shall be required to be equipped with a line 9 speedometer.
line 10 (b)  All electric bicycles manufactured, sold, or offered for sale line 11 on or after January 1, 2029, shall be required to have the following line 12 equipment:
line 13 (1)  An integrated front lamp emitting a white light that, while line 14 the bicycle is in motion, illuminates the highw ay, sidewalk, or line 15 bikeway in front of the bicyclist and is visible from a distance of line 16 300 feet in front, and from the sides, of the bicycle. line 17 (2)  A rear lamp emitting a red light that, while the bicycle is in line 18 motion, illuminates the highway, sidewalk, or bikeway behind the line 19 bicyclist and is visible from a distance of 300 feet behind, and line 20 from the sides, of the bicycle.
line 21 SEC. 6. No reimbursement is required by this act pursuant to line 22 Section 6 of Article XIIIB of the California Constitution because line 23 the only costs that may be incurred by a local agenc y or school line 24 district will be incurred because this act creates a ne w crime or line 25 infraction, eliminates a crime or infraction, or changes the penalty line 26 for a crime or infraction, within the meaning of Section 17556 of line 27 the Government Code, or changes the definition of a crime within line 28 the meaning of Section 6 of Article XIII B of the California line 29 Constitution.

O
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AMENDED IN SENATE APRIL 9, 2026
AMENDED IN SENATE MARCH 26, 2026
SENATE BILL No. 1167
Introduced by Senator Blakespear
(Coauthors: Senators Gonzalez, Strickland, and Wiener)
(Coauthors: Assembly Members Davies and Dixon)
February 18, 2026
An act to amend Section 26300 of the Health and Safety Code, and to amend Sections 312.5, 405, 406, 426, 472, 672, 4020, 5030, 5031, 5032, 5033, 5034, 5035, 5036, 5037, 5038, 5039, 12500, 12509, 12509.5, 12804.9, 12814.6, 21113, 21201.3, 21203, 21207.5, 21209, 21712, 21960, 22651.08, 23103, 23135, 23330, 24015, 24951, 25650, 27800, 27802, 27803, 38012, 38366, 38505, and 38601 of, to amend the heading of Article 8.1 (commencing with Section 5030) of Chapter 1 of Di vision 3 of, to add Section 21065 to, to add Article 9 (commencing with Section 21310) to Chapter 1 of Division 11 of, and to add Article 7.5 (commencing with Section 27850) to Chapter 5 of Division 12 of, the Vehicle Code, relating to vehicles. legislative counsel’s digest
SB 1167, as amended, Blakespear. Vehicles: electric bicycles.

Existing law defines an electric bic ycle as a bic ycle equipped with fully operable pedals and an electric motor that does not e xceed 750 watts of power. Existing law classifies electric bicycles into 3 classes with different restrictions for v arious purposes, and requires, among other things, a class 3 electric bicycle to be equipped with a speedometer.

Existing law prohibits certain vehicles that do not meet the definition of an electric bic ycle from being adv ertised, sold, offered for sale, or

97 Item: 15
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labeled as an electric bic ycle, as specified. A violation of the Vehicle Code is a crime.

This bill would amend the type of v ehicles that are prohibited from being advertised, sold, offered for sale, or labeled as electric bicycles, including, among others, motor -driven c ycles and mopeds. The bill would additionally mak e a violation of this pro vision a misleading statement for purposes of unf air competition and f alse adv ertising provisions of the Business and Professions Code. By creating ne w crimes related to the advertisement, sale, offer, and labeling of electric bicycles, and by e xpanding the application of an e xisting crime, this bill would impose a state-mandated local program.

Existing law defines a motor-driven cycle as any motorcycle with a motor that displaces less than 150 cubic centimeters.

This bill would revise the definition of motor -driven cycle to mean any motorc ycle propelled by an internal comb ustion engine that displaces less than 150 cubic centimeters, or by an electric motor of less than 3,750 watts that produces 5 brake horsepower or less, and is designed for highway use, complies with all applicable federal motor safety standards, and meets all of the equipment requirements of the Vehicle Code.

Existing law defines a motorized bicycle or moped as a two-wheeled or three-wheeled de vice having fully operati ve pedals for propulsion by human power, or having no pedals if po wered solely by electrical energy, and an automatic transmission and a motor that produces less than 4 gross brake horsepower, and is capable of propelling the device at a maximum speed of not more than 30 miles per hour on level ground.

This bill would delete references to motorized bicycle in the Vehicle Code and replace the term with “moped. ” The bill w ould revise the definition of a moped to mean a two-wheeled or three-wheeled device that has an electric motor of less than 3,000 w atts or an internal combustion engine that produces less than 4 gross brak e horsepower, is capable of propelling the de vice at a maximum speed of not more than 30 miles per hour on le vel ground, is designed for highw ay use, complies with all applicable federal motor safety standards, and meets all of the equipment requirements of the Vehicle Code. The bill would specify that a moped may be equipped with operable pedals for propulsion by human power.

Existing law requires every manufacturer of a motorized bic ycle or moped to provide a specified disclosure to buyers.
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This bill would instead require every manufacturer, importer, or seller of a motor-driven cycle, moped, or electric off-road motorcycle that is powered by an electric motor to pro vide a specified disclosure to all potential buyers in any advertising, including any online advertising on internet websites or social media. The bill would additionally make a violation of this provision a misleading statement for purposes of unfair competition and f alse adv ertising pro visions of the Business and Professions Code. By creating ne w crimes related to disclosure requirements on manuf acturers, importers, or sellers of motor -driven cycles, mopeds, or electric off-road motorcycles, and by expanding the application of an existing crime, this bill would impose a state-mandated local program.

Existing la w requires manuf acturers and distrib utors of electric bicycles to apply a label that is permanently affix ed, in a prominent location, to each electric bic ycle. Existing la w requires the label to contain the classification number, top assisted speed, and motor wattage of the electric bicycle, as specified.

This bill would require manufacturers and distributors of mopeds and motor-driven cycles to apply a similar label. The bill w ould make it unlawful for a person to sell an electric bicycle, moped, or motor-driven cycle in violation of the labeling and disclosure requirements mentioned above. By expanding the application of an existing crime, this bill would impose a state-mandated local program.

This bill would prohibit a person from selling or installing an electric bicycle classification label unless the classification label is sold and installed in a ph ysical retailer or bic ycle repair shop. The bill w ould require a retailer and bic ycle repair shop of electric bic ycles to verify that the classification label matches the electric bic ycle class before installing the classification label on an electric bic ycle. By expanding the application of an e xisting crime, this bill w ould impose a state-mandated local program.

This bill would require any incident report filed by a peace officer for an injury or crash in volving an electric bic ycle, moped, and motor-driven cycle to include specified marking or label information affixed on the electric bic ycle, moped, and motor -driven cycle or to indicate that a marking or label was not available. By increasing duties on local law enforcement, this bill would impose a state-mandated local program.

Existing law defines an off-highway motor vehicle as a motor vehicle that operates on lands, other than a highway, that are open and accessible 97 SB 1167 — 3 —

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to the public, as specified. Existing la w establishes rules for the operation of an of f-highway v ehicle. Existing la w requires e very off-highway motor vehicle that is not registered under the Vehicle Code to display an identification plate or device issued by the Department of Motor Vehicles, except as specified.

This bill would explicitly clarify that off-highway electric motorcycles are subject to identification as of f-highway motor v ehicles. The bill would also prohibit the use, allo wing to use, or operation of an off-highway electric motorc ycle, motorcycle, motor-driven cycle, or moped po wered by an electric motor on an y forest-co vered land, brush-covered land, or grass-covered land unless the vehicle has been certified by an accredited independent laboratory, as specified, and the name or mark of the certifying laboratory is permanently mark ed on the vehicle or on its dri ve system. By creating ne w crimes related to the operation of of f-highway v ehicles, this bill w ould impose a state-mandated local program.

Existing law makes a person who dri ves a vehicle upon a highway, or in an offstreet parking facility, in willful or wanton disregard for the safety of persons or property guilty of reckless dri ving, which is punishable, upon con viction, by imprisonment in the county jail, payment of a fine, or both the imprisonment and fine, as specified.

This bill would make a person who operates a bicycle, including an electric bicycle, upon a highway, or in an of fstreet parking facility, in willful or wanton disregard for the safety of persons or property guilty of reckless driving. By expanding the scope of an e xisting crime, this bill would impose a state-mandated local program.

Existing law authorizes a peace officer to remo ve a vehicle that (1) has fewer than 4 wheels, b ut that does not meet the definition of an electric bicycle, if that vehicle is powered by an electric motor capable of exclusively propelling the vehicle in excess of 20 miles per hour on a highway and is being operated by an operator without a current license to operate the vehicle, or (2) is a class 3 electric bicycle being operated by a person under 16 years of age.

This bill w ould additionally prohibit a person from operating a 2-wheeled or 3-wheeled de vice powered by an electric motor that is capable of propelling the de vice at a speed greater than 20 miles per hour on level ground on a highway or public right-of-way when powered solely by the motor unless the de vice meets the definition of a de vice that is e xplicitly defined in, and authorized for use on a highw ay or public right-of-way by, the Vehicle Code. The bill w ould authorize a 97 — 4 — SB 1167

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peace officer to remo ve the v ehicle if the v ehicle is a 2-wheeled or 3-wheeled unauthorized device being operated by a person on a highway or public right-of-way. Because a violation of these pro visions would be a crime, the bill would impose a state-mandated local program.

This bill would make other clarifying and conforming changes.

The California Constitution requires the state to reimb urse local agencies and school districts for certain costs mandated by the state.

Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation: no. Fiscal committee: yes.​ State-mandated local program: yes.​
The people of the State of California do enact as follows:
line 1 SECTION 1. The Le gislature finds and declares all of the line 2 following:
line 3 (a)  Electric bicycles not only offer a solution to car dependency line 4 and transportation po verty, b ut also help reduce our carbon line 5 footprint. As California moves away from its dependence on fossil line 6 fuels, we will continue to see a rise in zero-emission modes of line 7 transportation, including, but not limited to, electric bicycles. line 8 (b)  Electric bicycles reduce barriers in encouraging more people line 9 to ride bicycles and play a significant factor in replacing car trips line 10 in order to meet our goals of shifting to alternati ve modes of line 11 transportation, reducing the number of motor v ehicle miles line 12 traveled, and improving our climate.
line 13 (c)  Other electric cycles, including motor-driven cycles, mopeds, line 14 and “e-motos” are not le gal electric bic ycles because of their line 15 excessive speed and power, are designed and marketed as “e-bikes” line 16 to children on social media, and are gaining popularity. Nearly 90 line 17 percent of electric de vices observed at the bic ycle racks of local line 18 schools in Counties of San Mateo and Marin in 2025 were line 19 “e-motos,” not legal electric bicycles.
line 20 (d)  Many devices are being deceptively marketed as class 2 or line 21 class 3 electric bicycles and do not fit into the legal classification line 22 of either class because the equipped motor is more powerful than line 23 the legally authorized 750 w atts or because the adv ertised and line 24 actual top assisted speed is above the legal limit of 20 or 28 miles line 25 per hour, respectively.
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line 1 (e)  “E-motos” are causing increased safety issues on the streets line 2 of many California communities, based on e vidence in a report line 3 issued by the Mineta Transportation Institute in 2025. line 4 (f)  It is the intent of the Le gislature to impro ve the safe line 5 movement and expanded usage of electric bic ycles as a net-zero line 6 transportation mode in the conte xt of California’ s e xisting line 7 multimodal transportation system.
line 8 (g)  It is the intent of the Legislature to protect consumers from line 9 deceptive mark eting tactics while ensuring the safety of our line 10 roadways.
line 11 SEC. 2. Section 26300 of the Health and Safety Code is line 12 amended to read:
line 13 26300. For purposes of this chapter, the following terms have line 14 the following meanings:
line 15 (a)  “Accredited testing laboratory” means an independent line 16 laboratory accredited by an accreditation body to ISO 17025 or line 17 ISO 17065, or a Nationally Recognized Testing Laboratory line 18 (NRTL).
line 19 (b)  “Certification” means the attestation by an accredited testing line 20 laboratory that the equipment, de vice, or product has been line 21 evaluated and tested and found to conform to the standards line 22 specified in this chapter.
line 23 (c)  “Charging system” means dedicated char gers used for line 24 charging an electric bicycle, a powered mobility device, or storage line 25 batteries that are either in place or removed from electric bicycles line 26 or powered mobility devices for charging.
line 27 (d)  “Complete electrical system” means all electric components line 28 of an electric bicycle or powered mobility device, including, but line 29 not limited to, drive units, batteries, battery management systems, line 30 interconnected wiring, charging systems, and power inlets. line 31 (e)  (1)  “Electric bic ycle” means a bic ycle with electric line 32 assistance as defined in Section 312.5 of the Vehicle Code. line 33 (2)  Devices adv ertised as “e-bik es,” “e-bic ycles,” “electric line 34 bikes,” or other v ariations that are substantially similar to an line 35 electric bicycle are subject to the same standards as an electric line 36 bicycle.
line 37 (f)  “Nationally recognized testing laboratory” (NR TL) means line 38 an organization that meets the qualifications pro vided in Section line 39 1910(b) of Title 29 of the Code of Federal Re gulations and is line 40 recognized as an NRTL by the United States Department of Labor, 97 — 6 — SB 1167

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line 1 Occupational Safety and Health Administration’s (OSHA) line 2 Nationally Recognized Testing Laboratory Program. line 3 (g)  “Office” means the Office of the State Fire Marshal. line 4 (h)  (1)  “Powered mobility de vice” includes an y of the line 5 following:
line 6 (A)  A motorized scooter as defined in subdivision (a) of Section line 7 407.5 of the Vehicle Code.
line 8 (B)  A motorized bicycle or moped as defined in subdivision (a) line 9 of Section 406 of the Vehicle Code.
line 10 (C)  An off-highway electric motorcycle as defined in Section line 11 436.1 of the Vehicle Code.
line 12 (D)  Any other personal mobility de vice po wered by a line 13 lithium-ion storage battery.
line 14 (2)  “Powered mobility device” does not include electric bicycles, line 15 wheelchairs, or other mobility devices designed for use by persons line 16 with disabilities, a v ehicle that is po wered by an internal line 17 combustion engine, or a vehicle required to be registered with the line 18 Department of Motor Vehicles.
line 19 (i)  “Storage battery” means any of the following:
line 20 (1)  A rechar geable lithium-ion traction battery that supplies line 21 electrical power to the motor that propels an electric bic ycle or line 22 powered mobility de vice, and includes a replacement original line 23 equipment traction battery for those devices.
line 24 (2)  A battery sold as part of a kit intended to convert a bicycle line 25 into an electric bicycle or powered mobility device. line 26 (3)  A lithium-ion battery advertised as suitable for use with an line 27 electric bicycle or powered mobility device.
line 28 SEC. 3. Section 312.5 of the Vehicle Code is amended to read:
line 29 312.5. (a)  An “electric bic ycle” is a bic ycle equipped with line 30 fully operable pedals and an electric motor that does not e xceed line 31 750 watts of power.
line 32 (1)  A “class 1 electric bic ycle,” or “lo w-speed pedal-assisted line 33 electric bicycle,” is a bicycle equipped with a motor that provides line 34 assistance only when the rider is pedaling, that is not capable of line 35 exclusively propelling the bicycle, except as provided in paragraph line 36 (4), that ceases to provide assistance when the bicycle reaches the line 37 speed of 20 miles per hour , and that is not capable of pro viding line 38 assistance to reach speeds greater than 20 miles per hour. line 39 (2)  A “class 2 electric bicycle,” or “low-speed throttle-assisted line 40 electric bicycle,” is a bicycle equipped with a motor that may be 97 SB 1167 — 7 —

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line 1 used exclusively to propel the bic ycle, and that is not capable of line 2 providing assistance when the bic ycle reaches the speed of 20 line 3 miles per hour.
line 4 (3)  A “class 3 electric bicycle,” or “speed pedal-assisted electric line 5 bicycle,” is a bic ycle equipped with a motor that pro vides line 6 assistance only when the rider is pedaling, that is not capable of line 7 exclusively propelling the bicycle, except as provided in paragraph line 8 (4), and that ceases to provide assistance when the bicycle reaches line 9 the speed of 28 miles per hour, and equipped with a speedometer. line 10 (4)  A class 1 or class 3 electric bicycle may have start assistance line 11 or a walk mode that propels the electric bic ycle on motor power line 12 alone, up to a maximum speed of 3.7 miles per hour. line 13 (b)  A person riding an electric bicycle, as defined in this section, line 14 is subject to Article 4 (commencing with Section 21200) of Chapter line 15 1 of Division 11.
line 16 (c)  The following vehicles are not electric bic ycles under this line 17 code and shall not be advertised, sold, offered for sale, or labeled line 18 as electric bicycles or “e-bikes:”
line 19 (1)  A vehicle with motor power of more than 750 watts. line 20 (2)  A vehicle capable of attaining a speed greater than 20 miles line 21 per hour on motor power alone.
line 22 (3)  A vehicle with a motor capable of providing assistance when line 23 the vehicle reaches a speed exceeding 28 miles per hour. line 24 (4)  A vehicle with no more than three wheels po wered by an line 25 electric motor that is intended by the manufacturer to be modifiable line 26 to do any of the following:
line 27 (A)  Attain more than 750 watts of power.
line 28 (B)  Attain a speed greater than 20 miles per hour on motor line 29 power alone.
line 30 (C)  Provide assistance when the v ehicle reaches a speed line 31 exceeding 28 miles per hour.
line 32 (5)  A vehicle without operable pedals.
line 33 (6)  Any motorc ycle, moped, motorized scooter , of f-highway line 34 electric motorc ycle, pock et bik e, or recreational of f-highway line 35 vehicle.
line 36 (d)  In addition to an y penalties imposed under this code, line 37 advertising or selling a de vice listed in subdi vision (c) as an line 38 “e-bike” or an y class of electric bic ycle shall constitute a line 39 misleading statement within the meaning of Sections 17200 and line 40 17500 of the Business and Professions Code.
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line 1 SEC. 4. Section 405 of the Vehicle Code is amended to read:
line 2 405. (a)  A “motor-driven cycle” is any motorcycle propelled line 3 by an internal combustion engine that displaces less than 150 cubic line 4 centimeters, or by an electric motor of less than 3,750 w atts that line 5 produces 5 brake horsepower or less, and is designed for highway line 6 use, complies with all applicable federal motor safety standards line 7 contained in Part 571 (commencing with Section 571.1) of Title line 8 49 of the Code of Federal Regulations, or any successor regulation, line 9 and is equipped in accordance with the requirements of this code. line 10 A motor-driven cycle does not include a moped.
line 11 (b)  An electric bicycle, moped, motorized scooter, pocket bike, line 12 or recreational of f-highway vehicle is not a motor -driven cycle line 13 and shall not be advertised, sold, offered for sale, or labeled as a line 14 motor-driven cycle.
line 15 (c)  In addition to an y penalties imposed under this code, line 16 advertising or selling a motor -driven cycle as an “e-bike” or any line 17 class of electric bic ycle shall constitute a misleading statement line 18 within the meaning of Sections 17200 and 17500 of the Business line 19 and Professions Code.
line 20 SEC. 5. Section 406 of the Vehicle Code is amended to read:
line 21 406. (a)  (1)  A “moped” is a tw o-wheeled or three-wheeled line 22 device that has an electric motor of less than 3,000 w atts or an line 23 internal combustion engine that produces less than 4 gross brak e line 24 horsepower, is capable of propelling the de vice at a maximum line 25 speed of not more than 30 miles per hour on le vel ground, is line 26 designed for highw ay use, complies with all applicable federal line 27 motor safety standards contained in P art 571 (commencing with line 28 Section 571.1) of Title 49 of the Code of Federal Regulations, and line 29 is equipped in accordance with the requirements of this code. line 30 (2)  A moped does not include an electric bicycle, motor-driven line 31 cycle, motorized scooter , pock et bik e, or of f-highway electric line 32 motorcycle.
line 33 (3)  A moped may be equipped with operable pedals for line 34 propulsion by human power.
line 35 (b)  In addition to an y penalties imposed under this code, line 36 advertising or selling a moped as an “e-bike” or any class of electric line 37 bicycle shall constitute a misleading statement within the meaning line 38 of Sections 17200 and 17500 of the Business and Professions line 39 Code.
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line 1 (c)  A moped is formerly also referred to as a “motorized line 2 bicycle.”
line 3
line 4
line 5 SEC. 6. Section 426 of the Vehicle Code is amended to read:
line 6 426. “New motor vehicle dealer” is a dealer who, in addition line 7 to the requirements of that section, either acquires for resale new line 8 and unregistered motor vehicles from manufacturers or distributors line 9 of those motor v ehicles or acquires for resale ne w off-highway line 10 motorcycles, of f-highway electric motorc ycles, or all-terrain line 11 vehicles from manuf acturers or distrib utors of the v ehicles. A line 12 distinction shall not be made, nor an y different construction be line 13 given to the definition of “new motor vehicle dealer” and “dealer” line 14 except for the application of the pro visions of Chapter 6 line 15 (commencing with Section 3000) of Division 2 and Sections 4456, line 16 4750.6, and 11704.5. Sections 3001 and 3003 do not, ho wever, line 17 apply to a dealer who deals exclusively in motorcycles, all-terrain line 18 vehicles, or recreational vehicles, as defined in subdivision (a) of line 19 Section 18010 of the Health and Safety Code.
line 20 SEC. 7. Section 472 of the Vehicle Code is amended to read:
line 21 472. A “pilot car” is a motor v ehicle, except a motorc ycle, line 22 moped, or motorized quadricycle, which is used to escort one or line 23 more other v ehicles, when required, due to the v ehicles’ size or line 24 character of load, in accordance with conditions set forth in a line 25 permit issued by the appropriate state agenc y or by a local line 26 authority.
line 27 SEC. 8. Section 672 of the Vehicle Code is amended to read:
line 28 672. (a)  “Vehicle manufacturer” is any person who produces line 29 from raw materials or new basic components a v ehicle of a type line 30 subject to registration under this code, off-highway motorcycles, line 31 off-highway electric motorc ycles, or all-terrain v ehicles subject line 32 to identification under this code, or trailers subject to identification line 33 pursuant to Section 5014.1, or who permanently alters, for purposes line 34 of retail sales, new commercial vehicles by converting the vehicles line 35 into house cars that display the insignia of appro val required by line 36 Section 18056 of the Health and Safety Code and any regulations line 37 issued pursuant thereto by the Department of Housing and line 38 Community Development. As used in this section, “permanently line 39 alters” does not include the permanent attachment of a camper to line 40 a vehicle.
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line 1 (b)  A vehicle manufacturer that produces a v ehicle of a type line 2 subject to registration that consists of used or reconditioned parts, line 3 for the purposes of the code, is a remanuf acturer, as defined in line 4 Section 507.8.
line 5 (c)  Unless a v ehicle manufacturer either grants franchises to line 6 franchisees in this state, or issues v ehicle warranties directly to line 7 franchisees in this state or consumers in this state, the manufacturer line 8 shall have an established place of b usiness or a representative in line 9 this state.
line 10 (d)  The scope and application of this section are limited to line 11 Division 2 (commencing with Section 1500) and Di vision 5 line 12 (commencing with Section 11100).
line 13 SEC. 9. Section 4020 of the Vehicle Code is amended to read:
line 14 4020. A moped operated upon a highw ay is e xempt from line 15 registration.
line 16 SEC. 10. The heading of Article 8.1 (commencing with Section line 17 5030) of Chapter 1 of Division 3 of the Vehicle Code is amended line 18 to read:
line 19
line 20 Article 8.1. Mopeds
line 21
line 22 SEC. 11. Section 5030 of the Vehicle Code is amended to read:
line 23 5030. A moped is required to display a special license plate line 24 issued by the department.
line 25 SEC. 12. Section 5031 of the Vehicle Code is amended to read:
line 26 5031. An application by a person other than a manufacturer or line 27 dealer for a license plate for a moped shall include all the line 28 following:
line 29 (a)  The true, full name and the driver’s license or identification line 30 card number, if any, of the owner.
line 31 (b)  A description of the moped, including any distinctive marks line 32 or features.
line 33 (c)  Other information as may reasonably be required by the line 34 department to determine whether a license plate shall be issued line 35 for the moped.
line 36 SEC. 13. Section 5032 of the Vehicle Code is amended to read:
line 37 5032. (a)  The application for a special license plate for a moped line 38 shall be made before the moped is operated or mo ved upon a line 39 highway, except that, upon the retail sale of a moped when there line 40 is no license plate, the operator may operate the moped for a period 97 SB 1167 — 11 —

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line 1 of five days from and including the date of sale, at which time line 2 application shall be made to the department for a special license line 3 plate. If the fifth day should fall on Saturday, Sunday, or a holiday, line 4 the application shall be made on the first business day thereafter. line 5 (b)  The five-day operating provision set forth in subdivision (a) line 6 shall apply only if the operator has in their immediate possession line 7 evidence that the moped w as purchased within the last fiv e days line 8 including the date of sale.
line 9 SEC. 14. Section 5033 of the Vehicle Code is amended to read:
line 10 5033. Upon proper application and payment of the fees line 11 specified in Section 5036, the department shall issue a special line 12 license plate and an identification card for the moped for which line 13 application w as made. Applications may be submitted by mail line 14 unless the department determines that it is not feasible to complete line 15 the identification process by such method.
line 16 SEC. 15. Section 5034 of the Vehicle Code is amended to read:
line 17 5034. (a)  The department may issue a special license plate or line 18 other suitable device to a manufacturer or dealer of mopeds upon line 19 payment of the fee specified in Section 5036. The license plate line 20 shall be of a size, color and configuration determined by the line 21 department. The form of the application shall also be determined line 22 by the department.
line 23 (b)  A manufacturer or dealer of mopeds may operate or mo ve line 24 a moped upon the highways during the delivery of, or during the line 25 demonstration for the sale of, the moped if the moped displays line 26 thereon a license plate or other suitable de vice issued to the line 27 manufacturer or dealer.
line 28 SEC. 16. Section 5035 of the Vehicle Code is amended to read:
line 29 5035. Each license plate issued under Section 5033 shall bear line 30 a distinctive number to identify the moped for which it is issued line 31 and shall bear a symbol, letter, or word to distinguish license plates line 32 issued under this article from license plates issued for motorcycles line 33 and motor-driven cycles. The owner, upon being issued a license line 34 plate, shall attach it to the moped for which it is issued and shall line 35 carry the identification card issued by the department as provided line 36 in Section 4454. It shall be unla wful for any person to attach or line 37 use the license plate upon any other moped or vehicle. If the moped line 38 is destroyed, the o wner shall destro y the license plate and shall line 39 within 10 days notify the department on a form appro ved by the line 40 department that the moped and license plate have been destroyed. 97 — 12 — SB 1167

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line 1 If the ownership of the moped is transferred to another person, line 2 that person shall submit, within 10 days, proper application as line 3 provided in Section 5031. The license plate shall remain with the line 4 moped moped.
line 5 SEC. 17. Section 5036 of the Vehicle Code is amended to read:
line 6 5036. A service fee of fifteen dollars ($15) shall be paid for line 7 the issuance or transfer of a special license plate for mopeds. line 8 Publicly-owned mopeds are exempt from the fee.
line 9 SEC. 18. Section 5037 of the Vehicle Code is amended to read:
line 10 5037. (a)  A moped first sold on or after July 1, 1981, shall not line 11 be moved or operated upon a highway unless the owner first makes line 12 application for a license plate and, when recei ved, attaches it to line 13 the moped as provided in this article.
line 14 (b)  Mopeds first sold prior to July 1, 1981, shall not be moved line 15 or operated upon a highway after January 1, 1982, unless the owner line 16 makes application for a license plate and, when received, attaches line 17 it to the moped as provided in this article.
line 18 SEC. 19. Section 5038 of the Vehicle Code is amended to read:
line 19 5038. The department shall establish a record system that line 20 provides for identification of stolen mopeds.
line 21 SEC. 20. Section 5039 of the Vehicle Code is amended to read:
line 22 5039. Notwithstanding any other provision of law, no dealer, line 23 manufacturer, salesman, or representative of mopeds exclusively line 24 is required to be licensed or permitted pursuant to Chapter 4 line 25 (commencing with Section 11700) of Division 5.
line 26 SEC. 21. Section 12500 of the Vehicle Code is amended to line 27 read:
line 28 12500. (a)  A person may not dri ve a motor v ehicle upon a line 29 highway, unless the person then holds a v alid dri ver’s license line 30 issued under this code, e xcept those persons who are e xpressly line 31 exempted under this code.
line 32 (b)  A person may not dri ve a motorcycle, motor-driven cycle, line 33 or moped upon a highw ay, unless the person then holds a v alid line 34 driver’s license or endorsement issued under this code for that line 35 class, except those persons who are expressly exempted under this line 36 code, or those persons specifically authorized to operate mopeds line 37 or motorized scooters with a valid driver’s license of any class, as line 38 specified in subdivision (h) of Section 12804.9. line 39 (c)  A person may not dri ve a motor v ehicle in or upon an y line 40 offstreet parking f acility, unless the person then holds a v alid 97 SB 1167 — 13 —

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line 1 driver’s license of the appropriate class or certification to operate line 2 the vehicle. As used in this subdivision, “offstreet parking facility” line 3 means any offstreet facility held open for use by the public for line 4 parking vehicles and includes an y publicly o wned facilities for line 5 offstreet parking, and privately owned facilities for offstreet parking line 6 where no fee is char ged for the pri vilege to park and which are line 7 held open for the common public use of retail customers. line 8 (d)  A person may not drive a motor vehicle or combination of line 9 vehicles that is not of a type for which the person is licensed. line 10 (e)  A motorized scooter operated on public streets shall at all line 11 times be equipped with an engine that complies with the applicable line 12 State Air Resources Board emission requirements. line 13 SEC. 22. Section 12509 of the Vehicle Code is amended to line 14 read:
line 15 12509. (a)  Except as otherwise provided in subdivision (f) of line 16 Section 12514, the department, for good cause, may issue an line 17 instruction permit to a ph ysically and mentally qualified person line 18 who meets one of the following requirements and who applies to line 19 the department for an instruction permit:
line 20 (1)  Is 15 years and 6 months of age or older, and has successfully line 21 completed approved courses in automobile dri ver education and line 22 driver training as provided in paragraph (3) of subdi vision (a) of line 23 Section 12814.6.
line 24 (2)  Is 15 years and 6 months of age or older, and has successfully line 25 completed an approved course in automobile driver education and line 26 is taking driver training as provided in paragraph (3) of subdivision line 27 (a) of Section 12814.6.
line 28 (3)  Is 15 years and 6 months of age and enrolled and line 29 participating in an inte grated automobile dri ver education and line 30 training program as pro vided in subparagraph (B) of paragraph line 31 (3) of subdivision (a) of Section 12814.6.
line 32 (4)  Is o ver 16 years of age and is applying for a restricted line 33 driver’s license pursuant to Section 12814.7.
line 34 (5)  Is over 17 years and 6 months of age.
line 35 (b)  The applicant shall qualify for, and be issued, an instruction line 36 permit within 12 months from the date of the application. line 37 (c)  An instruction permit issued pursuant to subdivision (a) shall line 38 entitle the applicant to operate a vehicle, subject to the limitations line 39 imposed by this section and any other provisions of law, upon the 97 — 14 — SB 1167

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line 1 highways for a period not e xceeding 24 months from the date of line 2 the application.
line 3 (d)  Except as pro vided in Section 12814.6, a person, while line 4 having in their immediate possession a valid permit issued pursuant line 5 to paragraphs (1) to (3), inclusi ve, of, and paragraph (5) of, line 6 subdivision (a), may operate a motor v ehicle, other than a line 7 motorcycle, motorized scooter , or a moped, when accompanied line 8 by, and under the immediate supervision of, a California-licensed line 9 driver with a valid license of the appropriate class who is 18 years line 10 of age or o ver and whose dri ving pri vilege is not subject to line 11 probation. An accompan ying licensed dri ver at all times shall line 12 occupy a position within the dri ver’s compartment that w ould line 13 enable the accompan ying licensed dri ver to assist the person in line 14 controlling the v ehicle as may be necessary to a void a collision line 15 and to pro vide immediate guidance in the safe operation of the line 16 vehicle.
line 17 (e)  A person, while having in their immediate possession a valid line 18 permit issued pursuant to paragraph (4) of subdi vision (a), may line 19 only operate a go vernment-owned motor v ehicle, other than a line 20 motorcycle, motorized scooter , or a moped, when taking dri ver line 21 training instruction administered by the California National Guard. line 22 (f)  The department may also issue an instruction permit to a line 23 person who has been issued a v alid driver’s license to authorize line 24 the person to obtain driver training instruction and to practice that line 25 instruction in order to obtain another class of dri ver’s license or line 26 an endorsement.
line 27 (g)  The department may further restrict permits issued under line 28 subdivision (a) as it may determine to be appropriate to ensure the line 29 safe operation of a motor vehicle by the permittee. line 30 SEC. 23. Section 12509.5 of the Vehicle Code is amended to line 31 read:
line 32 12509.5. (a)  A person shall obtain an instruction permit issued line 33 pursuant to this section before operating, or being issued a class line 34 M1 or M2 dri ver’s license to operate, a tw o-wheel motorcycle, line 35 motor-driven c ycle, moped, or bic ycle with an attached motor . line 36 The person shall meet the follo wing requirements to obtain an line 37 instruction permit for purposes of this section:
line 38 (1)  If age 15 years and 6 months or older, but under the age of line 39 18 years, the applicant shall meet all of the following requirements:
97 SB 1167 — 15 —

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line 1 (A)  Have a valid class C license or complete dri ver education line 2 and training pursuant to paragraph (3) of subdivision (a) of Section line 3 12814.6.
line 4 (B)  Successfully complete a motorc yclist safety program that line 5 is operated pursuant to Article 2 (commencing with Section 2930) line 6 of Chapter 5 of Division 2.
line 7 (C)  Pass the motorcycle driver’s written exam.
line 8 (2)  If 18 years of age or older , but under 21 years of age, the line 9 applicant shall meet both of the following requirements:
line 10 (A)  Successfully complete a motorc yclist safety program that line 11 is operated pursuant to Article 2 (commencing with Section 2930) line 12 of Chapter 5 of Division 2.
line 13 (B)  Pass the motorcycle driver’s written exam. line 14 (3)  If 21 years of age or older , pass the motorc ycle driver’s line 15 written exam.
line 16 (b)  A person described in paragraph (1) or (2) of subdi vision line 17 (a) shall hold an instruction permit issued pursuant to this section line 18 for a minimum of six months before being issued a class M1 or line 19 M2 license.
line 20 (c)  A person issued an instruction permit pursuant to this section line 21 shall not operate a tw o-wheel motorc ycle, motor -driven c ycle, line 22 moped, or bic ycle with an attached motor during the hours of line 23 darkness, shall stay off any freeways that have full control of access line 24 and have no crossings at grade, and shall not carry any passenger line 25 except an instructor licensed under Chapter 1 (commencing with line 26 Section 11100) of Division 5 or a qualified instructor as defined line 27 in Section 41907 of the Education Code.
line 28 (d)  An instruction permit issued pursuant to this section shall line 29 be valid for a period not e xceeding 24 months from the date of line 30 application.
line 31 (e)  The department may perform, during re gularly scheduled line 32 computer system maintenance and upgrades, an y necessary line 33 software updates related to the changes made by the addition, line 34 during the 2009–10 Regular Session, of this section. line 35 SEC. 24. Section 12804.9 of the Vehicle Code, as amended line 36 by Section 3 of Chapter 16 of the Statutes of 2025, is amended to line 37 read:
line 38 12804.9. (a)  (1)  The e xamination shall include all of the line 39 following:
97 — 16 — SB 1167

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line 1 (A)  A test of the applicant’ s knowledge and understanding of line 2 the provisions of this code go verning the operation of v ehicles line 3 upon the highways.
line 4 (B)  A test of the applicant’ s ability to read and understand line 5 simple English used in highway traffic and directional signs. line 6 (C)  A test of the applicant’s understanding of traffic signs and line 7 signals, including the bikeway signs, markers, and traffic control line 8 devices established by the Department of Transportation. line 9 (D)  An actual demonstration of the applicant’s ability to exercise line 10 ordinary and reasonable control in operating a motor v ehicle by line 11 driving it under the supervision of an e xamining officer . The line 12 applicant shall submit to an e xamination appropriate to the type line 13 of motor vehicle or combination of vehicles the applicant desires line 14 a license to drive, except that the department may waive the driving line 15 test part of the examination for any applicant who submits a license line 16 issued by another state, territory, or possession of the United States, line 17 the District of Columbia, or the Commonwealth of Puerto Rico if line 18 the department verifies through any acknowledged national driver line 19 record data source that there are no stops, holds, or other line 20 impediments to its issuance. The examining officer may request line 21 to see evidence of financial responsibility for the v ehicle before line 22 supervising the demonstration of the applicant’s ability to operate line 23 the v ehicle. The e xamining officer may refuse to e xamine an line 24 applicant who is unable to provide proof of financial responsibility line 25 for the v ehicle, unless proof of financial responsibility is not line 26 required by this code.
line 27 (E)  A test of the hearing and e yesight of the applicant, and of line 28 other matters that may be necessary to determine the mental and line 29 physical fitness of the applicant to operate a motor v ehicle upon line 30 the highways, and whether any grounds exist for refusal of a license line 31 under this code.
line 32 (2)  (A)  Before a class A or class B driver’s license, or class C line 33 driver’s license with a commercial endorsement, may be issued line 34 or renewed, the applicant shall have in the applicant’s driver record line 35 a valid report of a medical examination of the applicant given not line 36 more than two years before the date of the application by a health line 37 care professional. As used in this paragraph, “health care line 38 professional” means a person who is licensed, certified, or line 39 registered in accordance with applicable state laws and regulations line 40 to practice medicine and perform ph ysical examinations in the 97 SB 1167 — 17 —

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line 1 United States. Health care professionals are doctors of medicine, line 2 doctors of osteopathy, physician assistants, and registered advanced line 3 practice nurses, or doctors of chiropractic who are clinically line 4 competent to perform the medical examination presently required line 5 of motor carrier dri vers by the United States Department of line 6 Transportation. The report shall be on a form appro ved by the line 7 department. In establishing the requirements, consideration may line 8 be given to the standards presently required of motor carrier drivers line 9 by the Federal Motor Carrier Safety Administration. line 10 (B)  The department may accept a federal waiver of one or more line 11 physical qualification standards if the w aiver is accompanied by line 12 a report of a nonqualifying medical e xamination for a class A or line 13 class B dri ver’s license, or class C dri ver’s license with a line 14 commercial endorsement, pursuant to Section 391.41(a)(3)(ii) of line 15 Subpart E of P art 391 of Title 49 of the Code of Federal line 16 Regulations.
line 17 (3)  A physical defect of the applicant that, in the opinion of the line 18 department, is compensated for to ensure safe driving ability, shall line 19 not prevent the issuance of a license to the applicant. line 20 (b)  In accordance with the following classifications, an applicant line 21 for a driver’s license shall be required to submit to an examination line 22 appropriate to the type of motor vehicle or combination of vehicles line 23 the applicant desires a license to drive:
line 24 (1)  Class A includes the following:
line 25 (A)  Except as provided in subparagraph (H) of paragraph (3), line 26 a combination of v ehicles, if a v ehicle being to wed has a gross line 27 vehicle weight rating or gross vehicle weight of more than 10,000 line 28 pounds.
line 29 (B)  A vehicle towing more than one vehicle.
line 30 (C)  A trailer bus.
line 31 (D)  The operation of all vehicles under class B and class C. line 32 (2)  Class B includes the following:
line 33 (A)  Except as provided in subparagraph (H) of paragraph (3), line 34 a single vehicle with a gross vehicle weight rating or gross vehicle line 35 weight of more than 26,000 pounds.
line 36 (B)  A single v ehicle with three or more axles, e xcept an y line 37 three-axle vehicle weighing less than 6,000 pounds. line 38 (C)  A bus with a gross v ehicle weight rating or gross v ehicle line 39 weight of more than 26,000 pounds, except a trailer bus. line 40 (D)  A farm labor vehicle.
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line 1 (E)  A single vehicle with three or more axles or a gross vehicle line 2 weight rating or gross vehicle weight of more than 26,000 pounds line 3 towing another vehicle with a gross vehicle weight rating or gross line 4 vehicle weight of 10,000 pounds or less.
line 5 (F)  A house car over 40 feet in length, excluding safety devices line 6 and safety bumpers.
line 7 (G)  The operation of all vehicles covered under class C. line 8 (3)  Class C includes the following:
line 9 (A)  A two-axle vehicle with a gross v ehicle weight rating or line 10 gross vehicle weight of 26,000 pounds or less, including when the line 11 vehicle is towing a trailer or semitrailer with a gross vehicle weight line 12 rating or gross vehicle weight of 10,000 pounds or less. line 13 (B)  Notwithstanding subparagraph (A), a tw o-axle v ehicle line 14 weighing 4,000 pounds or more unladen when to wing a trailer line 15 coach not exceeding 9,000 pounds gross.
line 16 (C)  A house car of 40 feet in length or less.
line 17 (D)  A three-axle vehicle weighing 6,000 pounds gross or less. line 18 (E)  A house car of 40 feet in length or less or a vehicle towing line 19 another vehicle with a gross vehicle weight rating of 10,000 pounds line 20 or less, including when a to w dolly is used. A person dri ving a line 21 vehicle may not tow another vehicle in violation of Section 21715. line 22 (F)  (i)  A tw o-axle v ehicle weighing 4,000 pounds or more line 23 unladen when towing either a trailer coach or a fifth-wheel travel line 24 trailer not exceeding 10,000 pounds gross v ehicle weight rating, line 25 when the towing of the trailer is not for compensation. line 26 (ii)  A two-axle vehicle weighing 4,000 pounds or more unladen line 27 when towing a fifth-wheel travel trailer exceeding 10,000 pounds, line 28 but not e xceeding 15,000 pounds, gross v ehicle weight rating, line 29 when the towing of the trailer is not for compensation, and if the line 30 person has passed a specialized written examination provided by line 31 the department relating to the kno wledge of this code and other line 32 safety aspects governing the towing of recreational vehicles upon line 33 the highway.
line 34 (iii)  The authority to operate combinations of v ehicles under line 35 this subparagraph may be granted by endorsement on a class C line 36 license upon completion of that written examination. line 37 (G)  A v ehicle or combination of v ehicles with a gross line 38 combination weight rating or a gross v ehicle weight rating, as line 39 those terms are defined in subdi visions (j) and (k), respecti vely, 97 SB 1167 — 19 —

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line 1 of Section 15210, of 26,000 pounds or less, if all of the following line 2 conditions are met:
line 3 (i)  Is operated by a f armer, an emplo yee of a f armer, or an line 4 instructor credentialed in agriculture as part of an instructional line 5 program in agriculture at the high school, community college, or line 6 university level.
line 7 (ii)  Is used exclusively in the conduct of agricultural operations. line 8 (iii)  Is not used in the capacity of a for -hire carrier or for line 9 compensation.
line 10 (H)  Firefighting equipment, pro vided that the equipment is line 11 operated by a person who holds a firefighter endorsement pursuant line 12 to Section 12804.11.
line 13 (I)  A motorized scooter.
line 14 (J)  A bus with a gross v ehicle weight rating or gross v ehicle line 15 weight of 26,000 pounds or less, except a trailer bus. line 16 (K)  Class C does not include a tw o-wheel motorc ycle or a line 17 two-wheel motor-driven cycle.
line 18 (4)  Class M1. A two-wheel motorcycle or a motor-driven cycle. line 19 Authority to operate a vehicle included in a class M1 license may line 20 be granted by endorsement on a class A, B, or C license upon line 21 completion of an appropriate examination.
line 22 (5)  (A)  Class M2 includes a moped or a bicycle with an attached line 23 motor, except an electric bic ycle as described in subdi vision (a) line 24 of Section 312.5.
line 25 (B)  Authority to operate vehicles included in class M2 may be line 26 granted by endorsement on a class A, B, or C license upon line 27 completion of an appropriate examination. Persons holding a class line 28 M1 license or endorsement may operate vehicles included in class line 29 M2 without further examination.
line 30 (c)  A dri ver’s license or dri ver certificate is not v alid for line 31 operating a commercial motor v ehicle, as defined in subdi vision line 32 (b) of Section 15210, any other motor vehicle listed in paragraph line 33 (1) or (2) of subdivision (b), or any other vehicle requiring a driver line 34 to hold any driver certificate or any driver’s license endorsement line 35 under Section 15275, unless a medical certificate approved by the line 36 department that has been issued within tw o years of the date of line 37 the operation of that vehicle and a copy of the medical examination line 38 report from which the certificate w as issued is on file with the line 39 department. Otherwise, the license is valid only for operating class line 40 C v ehicles that are not commercial v ehicles, as defined in 97 — 20 — SB 1167

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line 1 subdivision (b) of Section 15210, and for operating class M1 or line 2 M2 vehicles, if so endorsed, that are not commercial vehicles, as line 3 defined in subdivision (b) of Section 15210.
line 4 (d)  A license or dri ver certificate issued before the enactment line 5 of Chapter 7 (commencing with Section 15200) is valid to operate line 6 the class or type of v ehicles specified under the la w in existence line 7 before that enactment until the license or certificate e xpires or is line 8 otherwise suspended, revoked, or canceled. Upon application for line 9 renewal or replacement of a dri ver’s license, endorsement, or line 10 certificate required to operate a commercial motor vehicle, a valid line 11 medical certificate on a form approved by the department shall be line 12 submitted to the department.
line 13 (e)  The department may accept a certificate of driving skill that line 14 is issued by an employer, authorized by the department to issue a line 15 certificate under Section 15250, of the applicant, in lieu of a driving line 16 test, on class A or B applications, if the applicant has first qualified line 17 for a class C license and has met the other e xamination line 18 requirements for the license for which the applicant is applying. line 19 The certificate may be submitted as e vidence of the applicant’ s line 20 skill in the operation of the types of equipment co vered by the line 21 license for which the applicant is applying.
line 22 (f)  The department may accept a certificate of competence in line 23 lieu of a dri ving test on class M1 or M2 applications, when the line 24 certificate is issued by a la w enforcement agency for its officers line 25 who operate class M1 or M2 vehicles in their duties, if the applicant line 26 has met the other e xamination requirements for the license for line 27 which the applicant is applying.
line 28 (g)  The department may accept a certificate of satisf actory line 29 completion of a motorc yclist training program appro ved by the line 30 commissioner pursuant to Section 2932 in lieu of a driving test on line 31 class M1 or M2 applications, if the applicant has met the other line 32 examination requirements for the license for which the applicant line 33 is applying. The department shall review and approve the written line 34 and dri ving test used by a program to determine whether the line 35 program may issue a certificate of completion.
line 36 (h)  Notwithstanding subdivision (b), a person holding a v alid line 37 California driver’s license of an y class may operate a short-term line 38 rental moped without taking an y special e xamination for the line 39 operation of a moped, and without having a class M2 endorsement 97 SB 1167 — 21 —

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line 1 on that license. As used in this subdi vision, “short-term” means line 2 48 hours or less.
line 3 (i)  A person under 21 years of age shall not be issued a class line 4 M1 or M2 license or endorsement unless the person pro vides line 5 evidence satisfactory to the department of completion of a novice line 6 motorcycle safety training program that is operated pursuant to line 7 Article 2 (commencing with Section 2930) of Chapter 5 of Division line 8 2.
line 9 (j)  A driver of a v anpool vehicle may operate with a class C line 10 license b ut shall possess e vidence of a medical e xamination line 11 required for a class B license when operating vanpool vehicles. In line 12 order to be eligible to dri ve the vanpool vehicle, the driver shall line 13 keep in the vanpool vehicle a statement, signed under penalty of line 14 perjury, that the driver has not been convicted of reckless driving, line 15 drunk driving, or a hit-and-run offense in the last five years. line 16 (k)  This section shall remain in effect only until January 1, 2029, line 17 and as of that date is repealed.
line 18 SEC. 25. Section 12804.9 of the Vehicle Code, as amended line 19 by Section 4 of Chapter 16 of the Statutes of 2025, is amended to line 20 read:
line 21 12804.9. (a)  (1)  The e xamination shall include all of the line 22 following:
line 23 (A)  A test of the applicant’ s knowledge and understanding of line 24 the provisions of this code go verning the operation of v ehicles line 25 upon the highways.
line 26 (B)  A test of the applicant’ s ability to read and understand line 27 simple English used in highway traffic and directional signs. line 28 (C)  A test of the applicant’s understanding of traffic signs and line 29 signals, including the bikeway signs, markers, and traffic control line 30 devices established by the Department of Transportation. line 31 (D)  An actual demonstration of the applicant’s ability to exercise line 32 ordinary and reasonable control in operating a motor v ehicle by line 33 driving it under the supervision of an e xamining officer . The line 34 applicant shall submit to an e xamination appropriate to the type line 35 of motor vehicle or combination of vehicles the applicant desires line 36 a license to drive, except that the department may waive the driving line 37 test part of the examination for any applicant who submits a license line 38 issued by another state, territory, or possession of the United States, line 39 the District of Columbia, or the Commonwealth of Puerto Rico if line 40 the department verifies through any acknowledged national driver 97 — 22 — SB 1167

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line 1 record data source that there are no stops, holds, or other line 2 impediments to its issuance. The examining officer may request line 3 to see evidence of financial responsibility for the v ehicle before line 4 supervising the demonstration of the applicant’s ability to operate line 5 the v ehicle. The e xamining officer may refuse to e xamine an line 6 applicant who is unable to provide proof of financial responsibility line 7 for the v ehicle, unless proof of financial responsibility is not line 8 required by this code.
line 9 (E)  A test of the hearing and e yesight of the applicant, and of line 10 other matters that may be necessary to determine the mental and line 11 physical fitness of the applicant to operate a motor v ehicle upon line 12 the highways, and whether any grounds exist for refusal of a license line 13 under this code.
line 14 (2)  (A)  Before a class A or class B driver’s license, or class C line 15 driver’s license with a commercial endorsement, may be issued line 16 or renewed, the applicant shall have in the applicant’s driver record line 17 a valid report of a medical examination of the applicant given not line 18 more than two years before the date of the application by a health line 19 care professional. As used in this paragraph, “health care line 20 professional” means a person who is licensed, certified, or line 21 registered in accordance with applicable state laws and regulations line 22 to practice medicine and perform ph ysical examinations in the line 23 United States. Health care professionals are doctors of medicine, line 24 doctors of osteopathy, physician assistants, and registered advanced line 25 practice nurses, or doctors of chiropractic who are clinically line 26 competent to perform the medical examination presently required line 27 of motor carrier dri vers by the United States Department of line 28 Transportation. The report shall be on a form appro ved by the line 29 department. In establishing the requirements, consideration may line 30 be given to the standards presently required of motor carrier drivers line 31 by the Federal Motor Carrier Safety Administration. line 32 (B)  The department may accept a federal waiver of one or more line 33 physical qualification standards if the w aiver is accompanied by line 34 a report of a nonqualifying medical e xamination for a class A or line 35 class B dri ver’s license, or class C dri ver’s license with a line 36 commercial endorsement, pursuant to Section 391.41(a)(3)(ii) of line 37 Subpart E of P art 391 of Title 49 of the Code of Federal line 38 Regulations.
97 SB 1167 — 23 —

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line 1 (3)  A physical defect of the applicant that, in the opinion of the line 2 department, is compensated for to ensure safe driving ability, shall line 3 not prevent the issuance of a license to the applicant. line 4 (b)  In accordance with the following classifications, an applicant line 5 for a driver’s license shall be required to submit to an examination line 6 appropriate to the type of motor vehicle or combination of vehicles line 7 the applicant desires a license to drive:
line 8 (1)  Class A includes the following:
line 9 (A)  Except as provided in subparagraph (H) of paragraph (3), line 10 a combination of v ehicles, if a v ehicle being to wed has a gross line 11 vehicle weight rating or gross vehicle weight of more than 10,000 line 12 pounds.
line 13 (B)  A vehicle towing more than one vehicle.
line 14 (C)  A trailer bus.
line 15 (D)  The operation of all vehicles under class B and class C. line 16 (2)  Class B includes the following:
line 17 (A)  Except as provided in subparagraph (H) of paragraph (3), line 18 a single vehicle with a gross vehicle weight rating or gross vehicle line 19 weight of more than 26,000 pounds.
line 20 (B)  A single v ehicle with three or more axles, e xcept an y line 21 three-axle vehicle weighing less than 6,000 pounds. line 22 (C)  A bus with a gross v ehicle weight rating or gross v ehicle line 23 weight of more than 26,000 pounds, except a trailer bus. line 24 (D)  A farm labor vehicle.
line 25 (E)  A single vehicle with three or more axles or a gross vehicle line 26 weight rating or gross vehicle weight of more than 26,000 pounds line 27 towing another vehicle with a gross vehicle weight rating or gross line 28 vehicle weight of 10,000 pounds or less.
line 29 (F)  A house car over 40 feet in length, excluding safety devices line 30 and safety bumpers.
line 31 (G)  The operation of all vehicles covered under class C. line 32 (3)  Class C includes the following:
line 33 (A)  A two-axle vehicle with a gross v ehicle weight rating or line 34 gross vehicle weight of 26,000 pounds or less, including when the line 35 vehicle is towing a trailer or semitrailer with a gross vehicle weight line 36 rating or gross vehicle weight of 10,000 pounds or less. line 37 (B)  Notwithstanding subparagraph (A), a tw o-axle v ehicle line 38 weighing 4,000 pounds or more unladen when to wing a trailer line 39 coach not exceeding 9,000 pounds gross.
line 40 (C)  A house car of 40 feet in length or less.
97 — 24 — SB 1167

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line 1 (D)  A three-axle vehicle weighing 6,000 pounds gross or less. line 2 (E)  A house car of 40 feet in length or less or a vehicle towing line 3 another vehicle with a gross vehicle weight rating of 10,000 pounds line 4 or less, including when a to w dolly is used. A person dri ving a line 5 vehicle may not tow another vehicle in violation of Section 21715. line 6 (F)  (i)  A tw o-axle v ehicle when to wing a trailer e xceeding line 7 10,000 pounds, b ut not e xceeding 15,000 pounds gross v ehicle line 8 weight rating or gross v ehicle weight, if all of the follo wing line 9 conditions are met:
line 10 (I)  The to wing of the trailer is not for compensation or line 11 commercial purposes.
line 12 (II)  The trailer is coupled to the to wing v ehicle by a line 13 bed-mounted gooseneck hitch or a fifth-wheel and kingpin line 14 connection.
line 15 (III)  The trailer is used exclusively for recreational purposes. line 16 (IV)  The trailer is used for the transportation of property or line 17 human habitation, or both.
line 18 (V)  The person has passed a specialized written e xamination line 19 provided by the department relating to the knowledge of this code line 20 and other safety aspects go verning the to wing of recreational line 21 vehicles upon the highway.
line 22 (ii)  A v ehicle to wing a fifth-wheel tra vel trailer e xceeding line 23 10,000 pounds, b ut not e xceeding 15,000 pounds, gross v ehicle line 24 weight rating or gross v ehicle weight, when the to wing of the line 25 trailer is not for compensation, and if the person has passed a line 26 specialized written e xamination pro vided by the department line 27 relating to the kno wledge of this code and other safety aspects line 28 governing the towing of recreational vehicles upon the highway. line 29 (iii)  The authority to operate combinations of v ehicles under line 30 this subparagraph may be granted by endorsement on a class C line 31 license upon completion of that written examination. line 32 (G)  A v ehicle or combination of v ehicles with a gross line 33 combination weight rating or a gross v ehicle weight rating, as line 34 those terms are defined in subdi visions (j) and (k), respecti vely, line 35 of Section 15210, of 26,000 pounds or less, if all of the following line 36 conditions are met:
line 37 (i)  Is operated by a f armer, an emplo yee of a f armer, or an line 38 instructor credentialed in agriculture as part of an instructional line 39 program in agriculture at the high school, community college, or line 40 university level.
97 SB 1167 — 25 —

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line 1 (ii)  Is used exclusively in the conduct of agricultural operations. line 2 (iii)  Is not used in the capacity of a for -hire carrier or for line 3 compensation.
line 4 (H)  Firefighting equipment, pro vided that the equipment is line 5 operated by a person who holds a firefighter endorsement pursuant line 6 to Section 12804.11.
line 7 (I)  A motorized scooter.
line 8 (J)  A bus with a gross v ehicle weight rating or gross v ehicle line 9 weight of 26,000 pounds or less, except a trailer bus. line 10 (K)  Class C does not include a tw o-wheel motorc ycle or a line 11 two-wheel motor-driven cycle.
line 12 (4)  Class M1. A two-wheel motorcycle or a motor-driven cycle. line 13 Authority to operate a vehicle included in a class M1 license may line 14 be granted by endorsement on a class A, B, or C license upon line 15 completion of an appropriate examination.
line 16 (5)  (A)  Class M2 includes a moped or a bicycle with an attached line 17 motor, except an electric bic ycle as described in subdi vision (a) line 18 of Section 312.5.
line 19 (B)  Authority to operate vehicles included in class M2 may be line 20 granted by endorsement on a class A, B, or C license upon line 21 completion of an appropriate examination. Persons holding a class line 22 M1 license or endorsement may operate vehicles included in class line 23 M2 without further examination.
line 24 (c)  A dri ver’s license or dri ver certificate is not v alid for line 25 operating a commercial motor v ehicle, as defined in subdi vision line 26 (b) of Section 15210, any other motor vehicle listed in paragraph line 27 (1) or (2) of subdivision (b), or any other vehicle requiring a driver line 28 to hold any driver certificate or any driver’s license endorsement line 29 under Section 15275, unless a medical certificate approved by the line 30 department that has been issued within tw o years of the date of line 31 the operation of that vehicle and a copy of the medical examination line 32 report from which the certificate w as issued is on file with the line 33 department. Otherwise, the license is valid only for operating class line 34 C v ehicles that are not commercial v ehicles, as defined in line 35 subdivision (b) of Section 15210, and for operating class M1 or line 36 M2 vehicles, if so endorsed, that are not commercial vehicles, as line 37 defined in subdivision (b) of Section 15210.
line 38 (d)  A license or dri ver certificate issued before the enactment line 39 of Chapter 7 (commencing with Section 15200) is valid to operate line 40 the class or type of v ehicles specified under the la w in existence 97 — 26 — SB 1167

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line 1 before that enactment until the license or certificate e xpires or is line 2 otherwise suspended, revoked, or canceled. Upon application for line 3 renewal or replacement of a dri ver’s license, endorsement, or line 4 certificate required to operate a commercial motor vehicle, a valid line 5 medical certificate on a form approved by the department shall be line 6 submitted to the department.
line 7 (e)  The department may accept a certificate of driving skill that line 8 is issued by an employer, authorized by the department to issue a line 9 certificate under Section 15250, of the applicant, in lieu of a driving line 10 test, on class A or B applications, if the applicant has first qualified line 11 for a class C license and has met the other e xamination line 12 requirements for the license for which the applicant is applying. line 13 The certificate may be submitted as e vidence of the applicant’ s line 14 skill in the operation of the types of equipment co vered by the line 15 license for which the applicant is applying.
line 16 (f)  The department may accept a certificate of competence in line 17 lieu of a dri ving test on class M1 or M2 applications, when the line 18 certificate is issued by a la w enforcement agency for its officers line 19 who operate class M1 or M2 vehicles in their duties, if the applicant line 20 has met the other e xamination requirements for the license for line 21 which the applicant is applying.
line 22 (g)  The department may accept a certificate of satisf actory line 23 completion of a motorc yclist training program appro ved by the line 24 commissioner pursuant to Section 2932 in lieu of a driving test on line 25 class M1 or M2 applications, if the applicant has met the other line 26 examination requirements for the license for which the applicant line 27 is applying. The department shall review and approve the written line 28 and dri ving test used by a program to determine whether the line 29 program may issue a certificate of completion.
line 30 (h)  Notwithstanding subdivision (b), a person holding a v alid line 31 California driver’s license of an y class may operate a short-term line 32 rental moped without taking an y special e xamination for the line 33 operation of a moped, and without having a class M2 endorsement line 34 on that license. As used in this subdi vision, “short-term” means line 35 48 hours or less.
line 36 (i)  A person under 21 years of age shall not be issued a class line 37 M1 or M2 license or endorsement unless the person pro vides line 38 evidence satisfactory to the department of completion of a novice line 39 motorcycle safety training program that is operated pursuant to 97 SB 1167 — 27 —

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line 1 Article 2 (commencing with Section 2930) of Chapter 5 of Division line 2 2.
line 3 (j)  A driver of a v anpool vehicle may operate with a class C line 4 license b ut shall possess e vidence of a medical e xamination line 5 required for a class B license when operating vanpool vehicles. In line 6 order to be eligible to dri ve the vanpool vehicle, the driver shall line 7 keep in the vanpool vehicle a statement, signed under penalty of line 8 perjury, that the driver has not been convicted of reckless driving, line 9 drunk driving, or a hit-and-run offense in the last five years. line 10 (k)  This section shall become operative on January 1, 2029. line 11 SEC. 26. Section 12814.6 of the Vehicle Code is amended to line 12 read:
line 13 12814.6. (a)  Except as provided in Section 12814.7, a driver’s line 14 license issued to a person at least 16 years of age b ut under 18 line 15 years of age shall be issued pursuant to the pro visional licensing line 16 program contained in this section. The program shall consist of line 17 all of the following components:
line 18 (1)  Upon application for an original license, the applicant shall line 19 be issued an instruction permit pursuant to Section 12509. A person line 20 who has in their immediate possession a v alid permit issued line 21 pursuant to Section 12509 may operate a motor vehicle, other than line 22 a motorcycle or moped, only when the person is either taking the line 23 driver training instruction referred to in paragraph (3) or practicing line 24 that instruction, pro vided the person is accompanied by , and is line 25 under the immediate supervision of, a California-licensed dri ver line 26 25 years of age or older whose driving privilege is not on probation. line 27 The age requirement of this paragraph does not apply if the licensed line 28 driver is the parent, spouse, or guardian of the permitholder or is line 29 a licensed or certified driving instructor.
line 30 (2)  The person shall hold an instruction permit for not less than line 31 six months prior to applying for a provisional driver’s license. line 32 (3)  The person shall have complied with one of the following:
line 33 (A)  Satisfactory completion of approved courses in automobile line 34 driver education and dri ver training maintained pursuant to line 35 provisions of the Education Code in an y secondary school of line 36 California, or equi valent instruction in a secondary school of line 37 another state.
line 38 (B)  Satisfactory completion of an inte grated driver education line 39 and training program that is appro ved by the department and line 40 conducted by a dri ving instructor licensed under Chapter 1 97 — 28 — SB 1167

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line 1 (commencing with Section 11100) of Di vision 5. The program line 2 shall utilize se gmented modules, whereby a portion of the line 3 educational instruction is provided by, and then reinforced through, line 4 specific behind-the-wheel training before moving to the next phase line 5 of dri ver education and training. The program shall contain a line 6 minimum of 30 hours of classroom instruction and 6 hours of line 7 behind-the-wheel training.
line 8 (C)  Satisfactory completion of six hours or more of line 9 behind-the-wheel instruction by a driving school or an independent line 10 driving instructor licensed under Chapter 1 (commencing with line 11 Section 11100) of Di vision 5 and either an accredited course in line 12 automobile driver education in any secondary school of California line 13 pursuant to pro visions of the Education Code or satisf actory line 14 completion of equi valent professional instruction acceptable to line 15 the department. To be acceptable to the department, the line 16 professional instruction shall meet minimum standards to be line 17 prescribed by the department, and the standards shall be at least line 18 equal to the requirements for driver education and driver training line 19 contained in the rules and regulations adopted by the State Board line 20 of Education pursuant to the Education Code. A person who has line 21 complied with this subdi vision shall not be required by the line 22 governing board of a school district to comply with subparagraph line 23 (A) in order to graduate from high school.
line 24 (D)  Except as provided under subparagraph (B), a student may line 25 not tak e dri ver training instruction, unless the student has line 26 successfully completed driver education.
line 27 (4)  The person shall complete 50 hours of supervised dri ving line 28 practice prior to the issuance of a provisional license, which is in line 29 addition to any other driver training instruction required by la w. line 30 Not less than 10 of the required practice hours shall include driving line 31 during darkness, as defined in Section 280. Upon application for line 32 a provisional license, the person shall submit to the department line 33 the certification of a parent, spouse, guardian, or licensed or line 34 certified driving instructor that the applicant has completed the line 35 required amount of dri ving practice and is prepared to tak e the line 36 department’s dri ving test. A person without a parent, spouse, line 37 guardian, or who is an emancipated minor , may have a licensed line 38 driver 25 years of age or older or a licensed or certified dri ving line 39 instructor complete the certification. This requirement does not line 40 apply to motorcycle practice.
97 SB 1167 — 29 —

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line 1 (5)  The person shall successfully complete an e xamination line 2 required by the department. Before retaking a test, the person shall line 3 wait for not less than one week after failure of the written test and line 4 for not less than two weeks after failure of the driving test. line 5 (b)  Except as pro vided in Section 12814.7, the pro visional line 6 driver’s license shall be subject to all of the following restrictions:
line 7 (1)  Except as specified in paragraph (2), during the first 12 line 8 months after issuance of a pro visional license the licensee may line 9 not do any of the follo wing unless accompanied and supervised line 10 by a licensed dri ver who is the licensee’ s parent or guardian, a line 11 licensed driver who is 25 years of age or older , or a licensed or line 12 certified driving instructor:
line 13 (A)  Drive between the hours of 11 p.m. and 5 a.m. line 14 (B)  Transport passengers who are under 20 years of age. line 15 (2)  A licensee may dri ve between the hours of 11 p.m. and 5 line 16 a.m. or transport an immediate f amily member without being line 17 accompanied and supervised by a licensed dri ver who is the line 18 licensee’s parent or guardian, a licensed driver who is 25 years of line 19 age or older , or a licensed or certified dri ving instructor, in the line 20 following circumstances:
line 21 (A)  Medical necessity of the licensee when reasonable line 22 transportation facilities are inadequate and operation of a vehicle line 23 by a minor is necessary. The licensee shall keep in their possession line 24 a signed statement from a ph ysician familiar with the condition, line 25 containing a diagnosis and probable date when sufficient recovery line 26 will have been made to terminate the necessity. line 27 (B)  Schooling or school-authorized acti vities of the licensee line 28 when reasonable transportation f acilities are inadequate and line 29 operation of a vehicle by a minor is necessary. The licensee shall line 30 keep in their possession a signed statement from the school line 31 principal, dean, or school staff member designated by the principal line 32 or dean, containing a probable date that the schooling or line 33 school-authorized activity will have been completed. line 34 (C)  Employment necessity of the licensee when reasonable line 35 transportation facilities are inadequate and operation of a vehicle line 36 by a minor is necessary. The licensee shall keep in their possession line 37 a signed statement from the employer, verifying employment and line 38 containing a probable date that the emplo yment will ha ve been line 39 completed.
97 — 30 — SB 1167

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line 1 (D)  Necessity of the licensee or the licensee’s immediate family line 2 member when reasonable transportation f acilities are inadequate line 3 and operation of a vehicle by a minor is necessary to transport the line 4 licensee or the licensee’s immediate family member. The licensee line 5 shall keep in their possession a signed statement from a parent or line 6 legal guardian verifying the reason and containing a probable date line 7 that the necessity will have ceased.
line 8 (E)  The licensee is an emancipated minor.
line 9 (c)  A law enforcement officer shall not stop a v ehicle for the line 10 sole purpose of determining whether the dri ver is in violation of line 11 the restrictions imposed under subdivision (b). line 12 (d)  A law enforcement officer shall not stop a v ehicle for the line 13 sole purpose of determining whether a driver who is subject to the line 14 license restrictions in subdivision (b) is in violation of Article 2.5 line 15 (commencing with Section 118947) of Chapter 4 of P art 15 of line 16 Division 104 of the Health and Safety Code.
line 17 (e)  (1)  Upon a finding that any licensee has violated paragraph line 18 (1) of subdivision (b), the court shall impose one of the following:
line 19 (A)  Not less than 8 hours nor more than 16 hours of community line 20 service for a first offense and not less than 16 hours nor more than line 21 24 hours of community service for a second or subsequent offense. line 22 (B)  A fine of not more than thirty-fiv e dollars ($35) for a first line 23 offense and a fine of not more than fifty dollars ($50) for a second line 24 or subsequent offense.
line 25 (2)  If the court orders community service, the court shall retain line 26 jurisdiction until the hours of community service ha ve been line 27 completed.
line 28 (3)  If the hours of community service have not been completed line 29 within 90 days, the court shall impose a fine of not more than line 30 thirty-five dollars ($35) for a first offense and not more than fifty line 31 dollars ($50) for a second or subsequent offense. line 32 (f)  A con viction of paragraph (1) of subdi vision (b), when line 33 reported to the department, may not be disclosed as otherwise line 34 specified in Section 1808 or constitute a violation point count value line 35 pursuant to Section 12810.
line 36 (g)  Any term of restriction or suspension of the driving privilege line 37 imposed on a person pursuant to this subdi vision shall remain in line 38 effect until the end of the term e ven though the person becomes line 39 18 years of age before the term ends.
97 SB 1167 — 31 —

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line 1 (1)  The driving privilege shall be suspended when the record line 2 of the person shows one or more notifications issued pursuant to line 3 former Section 40509 or former Section 40509.5. The suspension line 4 shall continue until an y notification issued pursuant to former line 5 Section 40509 or former Section 40509.5 has been cleared. line 6 (2)  A 30-day restriction shall be imposed when a driver’s record line 7 shows a violation point count of two or more points in 12 months, line 8 as determined in accordance with Section 12810. The restriction line 9 shall require the licensee to be accompanied by a licensed parent, line 10 spouse, guardian, or other licensed driver 25 years of age or older, line 11 except when operating a class M v ehicle, or so licensed, with no line 12 passengers aboard.
line 13 (3)  A 6-month suspension of the driving privilege and a one-year line 14 term of probation shall be imposed whene ver a licensee’s record line 15 shows a violation point count of three or more points in 12 months, line 16 as determined in accordance with Section 12810. The terms and line 17 conditions of probation shall include, b ut not be limited to, both line 18 of the following:
line 19 (A)  The person shall violate no la w that, if resulting in line 20 conviction, is reportable to the department under Section 1803. line 21 (B)  The person shall remain free from accident responsibility. line 22 (h)  Whenever action by the department under subdi vision (g) line 23 arises as a result of a motor v ehicle accident, the person may, in line 24 writing and within 10 days, demand a hearing to present evidence line 25 that they were not responsible for the accident upon which the line 26 action is based. Whenever action by the department is based upon line 27 a conviction reportable to the department under Section 1803, the line 28 person has no right to a hearing pursuant to Article 3 (commencing line 29 with Section 14100) of Chapter 3.
line 30 (i)  The department shall require a person whose driving privilege line 31 is suspended or revoked pursuant to subdivision (g) to submit proof line 32 of financial responsibility as defined in Section 16430. The proof line 33 of financial responsibility shall be filed on or before the date of line 34 reinstatement following the suspension or re vocation. The proof line 35 of financial responsibility shall be maintained with the department line 36 for three years following the date of reinstatement. line 37 (j)  (1)  Notwithstanding any other pro vision of this code, the line 38 department may issue a distincti ve driver’s license, that displays line 39 a distincti ve color or a distincti vely colored stripe or other line 40 distinguishing characteristic, to persons at least 16 years of age 97 — 32 — SB 1167

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line 1 and older but under 18 years of age, and to persons 18 years of line 2 age and older b ut under 21 years of age, so that the distincti ve line 3 license feature is immediately recognizable. The features shall line 4 clearly differentiate between driver’s licenses issued to persons at line 5 least 16 years of age or older b ut under 18 years of age and to line 6 persons 18 years of age or older but under 21 years of age. line 7 (2)  If changes in the format or appearance of dri ver’s licenses line 8 are adopted pursuant to this subdi vision, those changes may be line 9 implemented under any new contract for the production of driver’s line 10 licenses entered into after the adoption of those changes. line 11 (k)  The department shall include, on the face of the provisional line 12 driver’s license, the original issuance date of the pro visional line 13 driver’s license in addition to any other issuance date. line 14 (l)  This section shall be kno wn and may be cited as the line 15 Brady-Jared Teen Driver Safety Act of 1997.
line 16 SEC. 27. Section 21065 is added to the Vehicle Code, to read:
line 17 21065. Any incident report filed by a peace officer for an injury line 18 or crash in volving an electric bic ycle, moped, or motor -driven line 19 cycle shall include all of the information provided in subdivision line 20 (a) or (b) of Section 27850. If the electric bic ycle, moped, or line 21 motor-driven cycle does not have the marking or label, the incident line 22 report shall indicate that a marking or label was not available. line 23 SEC. 28. Section 21113 of the Vehicle Code is amended to line 24 read:
line 25 21113. (a)  (1)  Except as provided in paragraph (2), a person line 26 shall not drive a vehicle or animal, or stop, park, or leave standing line 27 a v ehicle or animal, whether attended or unattended, upon the line 28 driveways, paths, parking f acilities, or the grounds of an y of the line 29 following:
line 30 (A)  A public school, state uni versity, state colle ge, or an line 31 educational institution exempted, in whole or in part, from taxation. line 32 (B)  A unit of the state park system.
line 33 (C)  A county park.
line 34 (D)  A municipal airport.
line 35 (E)  A rapid transit district, transit de velopment board, transit line 36 district, public transportation agenc y, county transportation line 37 commission created pursuant to Section 130050 of the Public line 38 Utilities Code, or a joint powers agency operating or managing a line 39 commuter rail system.
97 SB 1167 — 33 —

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line 1 (F)  Any property under the direct control of the legislative body line 2 of a municipality.
line 3 (G)  A state, county, or hospital district institution or building. line 4 (H)  Any harbor improvement district or harbor district formed line 5 pursuant to P art 2 (commencing with Section 5800) or P art 3 line 6 (commencing with Section 6000) of Division 8 of the Harbors and line 7 Navigation Code.
line 8 (I)  A district or ganized pursuant to P art 3 (commencing with line 9 Section 27000) of Division 16 of the Streets and Highways Code. line 10 (J)  State grounds serv ed by the Department of the California line 11 Highway Patrol.
line 12 (K)  Any property under the possession or control of a housing line 13 authority formed pursuant to Article 2 (commencing with Section line 14 34240) of Chapter 1 of P art 2 of Di vision 24 of the Health and line 15 Safety Code.
line 16 (2)  The activities described in paragraph (1) may be performed line 17 with the permission of, and upon and subject to an y condition or line 18 regulation that may be imposed by , the le gislative body of the line 19 municipality, or the governing board or officer of the public school, line 20 state university, state college, county park, municipal airport, rapid line 21 transit district, transit de velopment board, transit district, public line 22 transportation agenc y, county transportation commission, joint line 23 powers agency operating or managing a commuter rail system, or line 24 state, county , or hospital district institution or b uilding, or line 25 educational institution, or harbor district, or a district or ganized line 26 pursuant to Part 3 (commencing with Section 27000) of Division line 27 16 of the Streets and Highways Code, or housing authority, or the line 28 Director of Parks and Recreation regarding units of the state park line 29 system or the state agency with jurisdiction over the grounds served line 30 by the Department of the California Highway Patrol. line 31 (b)  A governing board, le gislative body, or officer shall erect line 32 or place appropriate signs giving notice of any special conditions line 33 or regulations that are imposed under this section and the governing line 34 board, le gislative body, or officer shall also prepare and k eep line 35 available at the principal administrati ve office of the go verning line 36 board, legislative body, or officer, for examination by all interested line 37 persons, a written statement of all those special conditions and line 38 regulations adopted pursuant to this section.
line 39 (c)  When a governing board, legislative body, or officer permits line 40 public traffic upon the dri veways, paths, parking f acilities, or 97 — 34 — SB 1167

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line 1 grounds under their control then, e xcept for those conditions line 2 imposed or regulations enacted by the governing board, legislative line 3 body, or officer applicable to the traffic, all the provisions of this line 4 code relating to traffic upon the highw ays shall be applicable to line 5 the traffic upon the driveways, paths, parking facilities, or grounds. line 6 (d)  A public transportation agency that imposes any condition line 7 or regulation upon a person who parks or leaves standing a vehicle, line 8 pursuant to subdi vision (a), is authorized to do either of the line 9 following:
line 10 (1)  Enforce that condition or regulation in the manner provided line 11 in Article 3 (commencing with Section 40200) of Chapter 1 of line 12 Division 17 of this code. The public transportation agenc y shall line 13 be considered the issuing agency for that purpose. line 14 (2)  Designate regularly employed and salaried employees, who line 15 are eng aged in directing traffic or enforcing parking la ws and line 16 regulations, for the purpose of removing any vehicle in the same line 17 manner as a city, county, or jurisdiction of a state agency pursuant line 18 to Chapter 10 (commencing with Section 22650) of Di vision 11 line 19 of this code.
line 20 (e)  With respect to the permitted use of vehicles or animals on line 21 property under the direct control of the le gislative body of a line 22 municipality, no change in the use of v ehicles or animals on the line 23 property, that had been permitted on January 1, 1976, shall be line 24 effective unless and until the le gislative body, at a meeting open line 25 to the general public, determines that the use of vehicles or animals line 26 on the property should be prohibited or regulated. line 27 (f)  A transit de velopment board may adopt ordinances, rules, line 28 or regulations to restrict, or specify the conditions for , the use of line 29 bicycles, mopeds, electric bic ycles, skateboards, electrically line 30 motorized boards, and roller skates on property under the control line 31 of, or any portion of property used by, the board. line 32 (g)  A public agency, including, but not limited to, the Regents line 33 of the University of California and the Trustees of the California line 34 State Uni versity, may adopt rules or re gulations to restrict, or line 35 specify the conditions for , the use of bic ycles, mopeds, electric line 36 bicycles, skateboards, electrically motorized boards, and roller line 37 skates on public property under the jurisdiction of that agency. line 38 (h)  “Housing authority,” for the purposes of this section, means line 39 a housing authority located within a county with a population of 97 SB 1167 — 35 —

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line 1 over 6,000,000 people, and an y other housing authority that line 2 complies with the requirements of this section.
line 3 (i)  “Public transportation agency,” for purposes of this section, line 4 means a public agenc y that pro vides public transportation as line 5 defined in paragraph (1) of subdivision (f) of Section 1 of Article line 6 XIX A of the California Constitution or a county transportation line 7 commission created pursuant to Section 130050 of the Public line 8 Utilities Code.
line 9 SEC. 29. Section 21201.3 of the Vehicle Code is amended to line 10 read:
line 11 21201.3. (a)  A bicycle or moped used by a peace officer , as line 12 defined in Section 830.1 of, subdi vision (a), (b), (c), (d), (e), (f), line 13 (g), or (i) of Section 830.2 of, subdi vision (b) or (d) of Section line 14 830.31 of, subdi vision (a) or (b) of Section 830.32 of, Section line 15 830.33 of, subdivision (a) of Section 830.36 of, subdivision (a) of line 16 Section 830.4 of, or Section 830.6 of, the Penal Code, in the line 17 performance of the peace officer’s duties, may display a steady or line 18 flashing blue warning light that is visible from the front, sides, or line 19 rear of the bicycle or moped.
line 20 (b)  No person shall display a steady or flashing blue w arning line 21 light on a bicycle or moped except as authorized under subdivision line 22 (a).
line 23 SEC. 30. Section 21203 of the Vehicle Code is amended to line 24 read:
line 25 21203. No person riding upon any motorcycle, moped, bicycle, line 26 coaster, roller skates, sled, or toy vehicle shall attach the same or line 27 themselves to any streetcar or vehicle on the roadway. line 28 SEC. 31. Section 21207.5 of the Vehicle Code is amended to line 29 read:
line 30 21207.5. (a)  Notwithstanding Sections 21207 and 23127 of line 31 this code, or an y other la w, a moped shall not be operated on a line 32 bicycle path or trail, bik eway, bicycle lane established pursuant line 33 to Section 21207, equestrian trail, or hiking or recreational trail, line 34 unless it is within or adjacent to a roadw ay or unless the local line 35 authority or the go verning body of a public agenc y ha ving line 36 jurisdiction o ver the path or trail permits, by ordinance, that line 37 operation.
line 38 (b)  The local authority or go verning body of a public agenc y line 39 having jurisdiction over an equestrian trail, or hiking or recreational 97 — 36 — SB 1167

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line 1 trail, may prohibit, by ordinance, the operation of an electric line 2 bicycle or any class of electric bicycle on that trail. line 3 (c)  The Department of Parks and Recreation may prohibit the line 4 operation of an electric bicycle or any class of electric bicycle on line 5 any bicycle path or trail within the department’s jurisdiction. line 6 SEC. 32. Section 21209 of the Vehicle Code is amended to line 7 read:
line 8 21209. (a)  No person shall drive a motor vehicle in a bicycle line 9 lane established on a roadw ay pursuant to Section 21207 e xcept line 10 as follows:
line 11 (1)  To park where parking is permitted.
line 12 (2)  To enter or leave the roadway.
line 13 (3)  To prepare for a turn within a distance of 200 feet from the line 14 intersection.
line 15 (b)  This section does not prohibit the use of a moped in a bicycle line 16 lane, pursuant to Section 21207.5, at a speed no greater than is line 17 reasonable or prudent, ha ving due re gard for visibility , traffic line 18 conditions, and the condition of the roadway surface of the bicycle line 19 lane, and in a manner which does not endanger the safety of line 20 bicyclists.
line 21 SEC. 33. Article 9 (commencing with Section 21310) is added line 22 to Chapter 1 of Division 11 of the Vehicle Code, to read:
line 23
line 24 Article 9. Unauthorized Devices
line 25
line 26 21310. (a)  Notwithstanding any other law, a person shall not line 27 operate a tw o-wheeled or three-wheeled de vice powered by an line 28 electric motor that is capable of propelling the de vice at a speed line 29 greater than 20 miles per hour on le vel ground on a highw ay or line 30 public right-of-way when powered solely by the motor unless the line 31 device meets a definition of a class of motor v ehicle device that line 32 is explicitly defined in Division 1 (commencing with Section 100), line 33 complies with all applicable requirements for that motor vehicle, line 34 and is e xplicitly authorized for use on a highw ay or public line 35 right-of-way pursuant to this code.
line 36 (b)  A v ehicle described in subdi vision (a) includes, without line 37 limitation, any device that has multiple speed modes or settings, line 38 notwithstanding that one or more of the settings limit the maximum line 39 speed of the device to 20 miles per hour when powered solely by 97 SB 1167 — 37 —

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line 1 the motor , and de vices that are designed or designated by the line 2 manufacturer for off-road use or for use on private land. line 3 SEC. 34. Section 21712 of the Vehicle Code is amended to line 4 read:
line 5 21712. (a)  A person dri ving a motor v ehicle shall not line 6 knowingly permit a person to ride on a v ehicle or upon a portion line 7 of a v ehicle that is not designed or intended for the use of line 8 passengers.
line 9 (b)  A person shall not ride on a v ehicle or upon a portion of a line 10 vehicle that is not designed or intended for the use of passengers. line 11 (c)  A person driving a motor vehicle shall not knowingly permit line 12 a person to ride in the trunk of that motor vehicle. line 13 (d)  A person shall not ride in the trunk of a motor vehicle. line 14 (e)  A person violating subdivision (c) or (d) shall be punished line 15 as follows:
line 16 (1)  By a fine of one hundred dollars ($100).
line 17 (2)  For a second violation occurring within one year of a prior line 18 violation that resulted in a conviction, a fine of two hundred dollars line 19 ($200).
line 20 (3)  For a third or a subsequent violation occurring within one line 21 year of two or more prior violations that resulted in con victions, line 22 a fine of two hundred fifty dollars ($250).
line 23 (f)  Subdivisions (a) and (b) do not apply to an employee engaged line 24 in the necessary discharge of their duty or in the case of persons line 25 riding completely within or upon v ehicle bodies in the space line 26 intended for a load on the vehicle.
line 27 (g)  A person shall not dri ve a motor v ehicle that is to wing a line 28 trailer coach, camp trailer, or trailer carrying a vessel, containing line 29 a passenger, except when a trailer carrying or designed to carry a line 30 vessel is engaged in the launching or recovery of the vessel. line 31 (h)  A person shall not knowingly drive a motor vehicle that is line 32 towing a person riding upon a motorcycle, moped, bicycle, coaster, line 33 roller skates, sled, skis, or toy vehicle.
line 34 (i)  Subdivision (g) does not apply to a trailer coach that is towed line 35 with a fifth-wheel device if the trailer coach is equipped with safety line 36 glazing materials wherever glazing materials are used in windows line 37 or doors, with an audible or visual signaling device that a passenger line 38 inside the trailer coach can use to g ain the attention of the motor line 39 vehicle driver, and with at least one unobstructed e xit capable of 97 — 38 — SB 1167

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line 1 being opened from both the interior and e xterior of the trailer line 2 coach.
line 3 SEC. 35. Section 21960 of the Vehicle Code is amended to line 4 read:
line 5 21960. (a)  The Department of Transportation and local line 6 authorities, by order , ordinance, or resolution, with respect to line 7 freeways, expressways, or designated portions thereof under their line 8 respective jurisdictions, to which vehicle access is completely or line 9 partially controlled, may prohibit or restrict the use of the freeways, line 10 expressways, or an y portion thereof by pedestrians, bic ycles or line 11 other nonmotorized traffic or by an y person operating a line 12 motor-driven c ycle, moped, motorized scooter , or electrically line 13 motorized board. A prohibition or restriction pertaining to bicycles, line 14 motor-driven cycles, motorized scooters, or electrically motorized line 15 boards shall be deemed to include mopeds. A person shall not line 16 operate a moped wherever that prohibition or restriction is in force. line 17 Notwithstanding any order, ordinance, or resolution to the contrary, line 18 the driver or passengers of a disabled vehicle stopped on a freeway line 19 or expressway may walk to the nearest exit, in either direction, on line 20 that side of the freeway or expressway upon which the vehicle is line 21 disabled, from which telephone or motor v ehicle repair services line 22 are available.
line 23 (b)  The prohibitory re gulation authorized by subdi vision (a) line 24 shall be effective when appropriate signs giving notice thereof are line 25 erected upon an y free way or e xpressway and the approaches line 26 thereto. If an y portion of a county free way or e xpressway is line 27 contained within the limits of a city within the county, the county line 28 may erect signs on that portion as required under this subdivision line 29 if the ordinance has been appro ved by the city pursuant to line 30 subdivision (b) of Section 1730 of the Streets and Highways Code. line 31 (c)  No ordinance or resolution of local authorities shall apply line 32 to any state highw ay until the proposed ordinance or resolution line 33 has been presented to, and approved in writing by, the Department line 34 of Transportation.
line 35 (d)  An ordinance or resolution adopted under this section on or line 36 after January 1, 2005, to prohibit pedestrian access to a county line 37 freeway or expressway shall not be effective unless it is supported line 38 by a finding by the local authority that the freeway or expressway line 39 does not have pedestrian facilities and pedestrian use would pose line 40 a safety risk to the pedestrian.
97 SB 1167 — 39 —

Item: 15
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line 1 SEC. 36. Section 22651.08 of the Vehicle Code is amended to line 2 read:
line 3 22651.08. (a)  A peace officer , as defined in Chapter 4.5 line 4 (commencing with Section 830) of Title 3 of Part 2 of the Penal line 5 Code, may remo ve a v ehicle located within the territorial limits line 6 in which the officer may act, under either of the follo wing line 7 circumstances:
line 8 (1)  A person is operating a vehicle with fewer than four wheels line 9 that does not meet the definition of an electric bicycle set forth in line 10 Section 312.5 and is both of the following:
line 11 (A)  Powered by an electric motor capable of e xclusively line 12 propelling the vehicle in excess of 20 miles per hour on a highway. line 13 (B)  Being operated by an operator who is not licensed to operate line 14 the vehicle.
line 15 (2)  A person is operating a v ehicle that is a class 3 electric line 16 bicycle in violation of subdivision (a) of Section 21213. line 17 (3)  A person is operating an unauthorized de vice, pursuant to line 18 Article 9 (commencing with Section 21310) of Chapter 1 of line 19 Division 11, on a highway or public right-of-way. line 20 (b)  (1)  A city, county, or city and county may adopt at a public line 21 meeting a re gulation, ordinance, or resolution imposing char ges line 22 equal to its administrati ve costs relating to the remo val, seizure, line 23 and storage costs. The charges shall not e xceed the actual costs line 24 incurred for the e xpenses directly related to remo ving, seizing, line 25 and storing the vehicle.
line 26 (2)  A local jurisdiction that has adopted a regulation, ordinance, line 27 or resolution pursuant to paragraph (1) shall publicly and line 28 conspicuously post the schedule of char ges on their internet line 29 website.
line 30 (c)  An agenc y shall release a seized v ehicle to the o wner, line 31 violator, or their agent after a minimum of 48 hours, if both of the line 32 following conditions are met:
line 33 (1)  The owner, violator, or authorized agent’s request is made line 34 during normal business hours.
line 35 (2)  The applicable removal, seizure, and storage costs have been line 36 paid.
line 37 (d)  If a peace officer removes a vehicle pursuant to paragraph line 38 (2) of subdivision (a), an agenc y may, as a condition of release, line 39 require the owner, violator, or the parent or le gal guardian of the line 40 owner or violator to deliver proof that the violator has completed 97 — 40 — SB 1167

Item: 15
555

line 1 an electric bic ycle safety and training program, as described in line 2 Section 894 of the Streets and Highways Code, or a related local line 3 bicycle safety course, if one is a vailable, as prescribed by line 4 authorities in the local jurisdiction.
line 5 SEC. 37. Section 23103 of the Vehicle Code is amended to line 6 read:
line 7 23103. (a)   A person who drives a vehicle upon a highway in line 8 willful or wanton disregard for the safety of persons or property line 9 is guilty of reckless driving.
line 10 (b)   A person who dri ves a v ehicle in an of fstreet parking line 11 facility, as defined in subdivision (c) of Section 12500, in willful line 12 or wanton disregard for the safety of persons or property is guilty line 13 of reckless driving.
line 14 (c)  A person who operates a bic ycle, including an electric line 15 bicycle, upon a highw ay in willful or w anton disregard for the line 16 safety of persons or property is guilty of reckless driving. line 17 (d)  A person who operates a bic ycle, including an electric line 18 bicycle, in an offstreet parking facility, as defined in subdi vision line 19 (c) of Section 12500, in willful or wanton disregard for the safety line 20 of persons or property is guilty of reckless driving. line 21 (e)  Except as otherwise pro vided in Section 40008, persons line 22 convicted of the offense of reckless driving shall be punished by line 23 imprisonment in a county jail for not less than five days nor more line 24 than 90 days or by a fine of not less than one hundred forty-fiv e line 25 dollars ($145) nor more than one thousand dollars ($1,000), or by line 26 both that fine and imprisonment, e xcept as pro vided in Section line 27 23104 or 23105.
line 28 SEC. 38.
line 29 SEC. 37. Section 23135 of the Vehicle Code is amended to line 30 read:
line 31 23135. It is unlawful for any person to operate upon a highway line 32 any vehicle which w as originally manuf actured as a moped, as line 33 defined in Section 406, and which has been modified in such a line 34 manner that it no longer conforms to the definition of a moped. line 35 SEC. 39.
line 36 SEC. 38. Section 23330 of the Vehicle Code is amended to line 37 read:
line 38 23330. Except where a special permit has been obtained from line 39 the Department of Transportation under the provisions of Article 97 SB 1167 — 41 —

Item: 15
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line 1 6 (commencing with Section 35780) of Chapter 5 of Division 15, line 2 none of the following shall be permitted on any vehicular crossing:
line 3 (a)  Animals while being led or driven, even though tethered or line 4 harnessed.
line 5 (b)  Bicycles, mopeds, or motorized scooters, unless the line 6 department by signs indicates that bicycles, mopeds, or motorized line 7 scooters, or any combination thereof, are permitted upon all or any line 8 portion of the vehicular crossing.
line 9 (c)  Vehicles having a total width of v ehicle or load exceeding line 10 102 inches.
line 11 (d)  Vehicles carrying items prohibited by re gulations line 12 promulgated by the Department of Transportation. line 13 SEC. 40.
line 14 SEC. 39. Section 24015 of the Vehicle Code is amended to line 15 read:
line 16 24015. (a)  Mopeds shall comply with those federal motor line 17 vehicle safety standards established pursuant to Chapter 301 line 18 (commencing with Section 30101) of Part A of Subtitle VI of Title line 19 49 of the United States Code that apply to a motor -driven cycle, line 20 as that term is defined in re gulations adopted pursuant to those line 21 provisions. These standards include, b ut are not limited to, line 22 provisions requiring a headlamp, taillamp, stoplamp, side and rear line 23 reflex reflectors, and adequate brakes.
line 24 (b)  In addition to equipment required in subdi vision (a), all line 25 mopeds operated upon a highway shall be equipped with a mirror line 26 as required in subdivision (a) of Section 26709, a horn as required line 27 in Section 27000, and mopeds po wered by a liquid fuel shall be line 28 equipped with an adequate muffler as required in subdi vision (a) line 29 of Section 27150.
line 30 (c)  Except as provided in subdivisions (a) and (b), none of the line 31 provisions of this chapter relating to motorcycles and motor-driven line 32 cycles, as defined in this code, shall apply to a moped. line 33 SEC. 41.
line 34 SEC. 40. Section 24951 of the Vehicle Code is amended to line 35 read:
line 36 24951. (a)  Any vehicle may be equipped with a lamp-type line 37 turn signal system capable of clearly indicating an y intention to line 38 turn either to the right or to the left.
line 39 (b)  The following vehicles shall be equipped with a lamp-type line 40 turn signal system meeting the requirements of this chapter. 97 — 42 — SB 1167

Item: 15
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line 1 (1)  Motortrucks, truck tractors, b uses and passenger v ehicles, line 2 other than motorc ycles, manufactured and first re gistered on or line 3 after January 1, 1958.
line 4 (2)  Trailers and semitrailers manuf actured and first re gistered line 5 between December 31, 1957, and January 1, 1969, having a gross line 6 weight of 6,000 pounds or more.
line 7 (3)  Trailers and semitrailers 80 or more inches in width line 8 manufactured on or after January 1, 1969.
line 9 (4)  Motorcycles manufactured and first re gistered on or after line 10 January 1, 1973.
line 11 (5)  Motor-driven cycles and mopeds propelled by an electric line 12 motor and manufactured after January 1, 2027.
line 13 The requirements of this subdivision shall not apply to special line 14 mobile equipment, or auxiliary dollies.
line 15 (c)  Turn signal lamps on v ehicles manuf actured on or after line 16 January 1, 1969, shall be mounted not lower than 15 inches. line 17 SEC. 42.
line 18 SEC. 41. Section 25650 of the Vehicle Code is amended to line 19 read:
line 20 25650. Every motorc ycle, motor -driven c ycle, and moped line 21 during darkness shall be equipped with at least one and not more line 22 than tw o lighted headlamps which shall conform to the line 23 requirements and limitations of this division.
line 24 SEC. 43.
line 25 SEC. 42. Section 27800 of the Vehicle Code is amended to line 26 read:
line 27 27800. It is unlawful for a driver of a motorcycle or a moped line 28 to carry any other person thereon, except on a seat securely fastened line 29 to the machine at the rear of the driver and provided with footrests, line 30 or in a sidecar attached to a motorc ycle and designed for the line 31 purpose of carrying a passenger. Every passenger on a motorcycle line 32 or a moped shall keep their feet on the footrests while such vehicle line 33 is in motion.
line 34 SEC. 44.
line 35 SEC. 43. Section 27802 of the Vehicle Code is amended to line 36 read:
line 37 27802. (a)  The department may adopt reasonable regulations line 38 establishing specifications and standards for safety helmets offered line 39 for sale, or sold, for use by drivers and passengers of motorcycles line 40 and mopeds as it determines are necessary for the safety of those 97 SB 1167 — 43 —

Item: 15
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line 1 drivers and passengers. The regulations shall include, but are not line 2 limited to, the requirements imposed by Federal Motor Vehicle line 3 Safety Standard No. 218 (49 C.F.R. Sec. 571.218) and may include line 4 compliance with that federal standard by incorporation of its line 5 requirements by reference. Each helmet sold or of fered for sale line 6 for use by drivers and passengers of motorcycles and mopeds shall line 7 be conspicuously labeled in accordance with the federal standard line 8 which shall constitute the manuf acturer’s certification that the line 9 helmet conforms to the applicable federal motor v ehicle safety line 10 standards.
line 11 (b)  No person shall sell, or offer for sale, for use by a driver or line 12 passenger of a motorc ycle or moped an y safety helmet which is line 13 not of a type meeting requirements established by the department. line 14 SEC. 45.
line 15 SEC. 44. Section 27803 of the Vehicle Code is amended to line 16 read:
line 17 27803. (a)  A dri ver and an y passenger shall wear a safety line 18 helmet meeting requirements established pursuant to Section 27802 line 19 when riding on a motorcycle, motor-driven cycle, or moped. line 20 (b)  It is unlawful to operate a motorcycle, motor-driven cycle, line 21 or moped if the dri ver or an y passenger is not wearing a safety line 22 helmet as required by subdivision (a).
line 23 (c)  It is unla wful to ride as a passenger on a motorc ycle, line 24 motor-driven cycles, or moped if the dri ver or an y passenger is line 25 not wearing a safety helmet as required by subdivision (a). line 26 (d)  This section applies to persons who are riding on line 27 motorcycles, motor -driven c ycles, or mopeds operated on the line 28 highways.
line 29 (e)  For the purposes of this section, “wear a safety helmet” or line 30 “wearing a safety helmet” means having a safety helmet meeting line 31 the requirements of Section 27802 on the person’ s head that is line 32 fastened with the helmet straps and that is of a size that fits the line 33 wearing person’s head securely without excessive lateral or vertical line 34 movement.
line 35 (f)  This section does not apply to a person operating, or riding line 36 as a passenger in, a fully enclosed three-wheeled motor v ehicle line 37 that is not less than seven feet in length and not less than four feet line 38 in width, and has an unladen weight of 900 pounds or more, if the line 39 vehicle meets or exceeds all of the requirements of this code, the line 40 Federal Motor Vehicle Safety Standards, and the rules and 97 — 44 — SB 1167

Item: 15
559

line 1 regulations adopted by the United States Department of line 2 Transportation and the National Highw ay Traffic Safety line 3 Administration.
line 4 (g)  In enacting this section, it is the intent of the Legislature to line 5 ensure that all persons are pro vided with an additional safety line 6 benefit while operating or riding a motorcycle, motor-driven cycle, line 7 or mopeds.
line 8 SEC. 46.
line 9 SEC. 45. Article 7.5 (commencing with Section 27850) is added line 10 to Chapter 5 of Division 12 of the Vehicle Code, to read:
line 11
line 12 Article 7.5. Electric Modes of Transportation
line 13
line 14 27850. (a)  Manufacturers and distributors of electric bicycles line 15 shall securely affix the follo wing information on or to the frame line 16 or fork of each electric bic ycle, subject to the specifications line 17 described in subdivision (c):
line 18 (1)  The name of the brand.
line 19 (2)  The manuf acturer, importer, or distrib utor of the electric line 20 bicycle.
line 21 (3)  The classification number of the electric bicycle. line 22 (4)  The top assisted speed and motor w attage of the electric line 23 bicycle.
line 24 (b)  Manufacturers and distributors of mopeds and motor-driven line 25 cycles shall securely affix the following information on or to the line 26 frame or fork of each moped or motor-driven cycle, subject to the line 27 specifications described in subdivision (c):
line 28 (1)  The name of the brand.
line 29 (2)  The manufacturer, importer, or distributor of the moped or line 30 motor-driven cycle.
line 31 (3)  The word “moped” or “motor-driven cycle.”
line 32 (4)  The top assisted speed and motor wattage, if applicable, of line 33 the moped or motor-driven cycle.
line 34 (c)  The information required by subdi visions (a) and (b) shall line 35 be permanently affix ed on or to the electric bic ycle, moped, or line 36 motor-driven c ycle, by means of a marking or labeling that is line 37 readily visible without in verting the electric bic ycle, moped, or line 38 motor-driven c ycle, and that cannot be remo ved without the line 39 marking or labeling being defaced or destroyed. The information line 40 shall be printed in Arial font in at least 9-point type. 97 SB 1167 — 45 —

Item: 15
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line 1 (d)  (1)  A person shall not sell or install an electric bic ycle line 2 classification label unless the classification label is sold and line 3 installed in a physical retailer or bicycle repair shop. line 4 (2)  A retailer and bicycle repair shop of electric bicycles shall line 5 verify that the classification label matches the electric bic ycle line 6 class, pursuant to Section 312.5, before installing the classification line 7 label on an electric bicycle.
line 8 27851. Every manuf acturer, importer , or seller of a line 9 motor-driven cycle, a moped, or an off-highway electric motorcycle line 10 that is powered by an electric motor shall provide a disclosure to line 11 all potential b uyers in an y adv ertising, including an y online line 12 advertising on internet websites or social media, that advises buyers line 13 that the v ehicle is a motor v ehicle subject to re gistration, their line 14 existing insurance policies may not pro vide co verage for the line 15 vehicle, and that they should contact their insurance compan y or line 16 insurance agent to determine if coverage is provided. line 17 (a)  (1)  A written disclosure shall be provided to the buyer and line 18 printed in not less than 14-point boldface type on a single sheet of line 19 paper that contains no information other than the statement line 20 specified in subdivision (d).
line 21 (2)  Any disclosure provided through online advertising or on a line 22 website offering the v ehicle for sale shall be in a font size no line 23 smaller than the largest font size used in such advertising or website line 24 content and require the buyer to affirmatively acknowledge having line 25 had the opportunity to read the disclosure before completing the line 26 purchase.
line 27 (b)  The disclosure shall include the following language in capital line 28 letters:
line 29 “THIS VEHICLE IS A MOTOR VEHICLE AND SUBJECT
line 30 TO APPLICABLE MO TOR VEHICLE LA WS INCLUDING
line 31 USE OF A DO T-APPROVED MO TORCYCLE HELMET ,
line 32 REGISTRATION, OPERATOR LICENSE, AND INSURANCE
line 33 REQUIREMENTS IF USED ON A HIGHW AY. YOUR
line 34 INSURANCE POLICIES MA Y NOT PROVIDE COVERAGE
line 35 FOR CRASHES INVOLVING THE USE OF THIS VEHICLE.
line 36 TO DETERMINE IF CO VERAGE IS PR OVIDED, YOU
line 37 SHOULD CONT ACT YOUR INSURANCE COMP ANY OR
line 38 AGENT.”
line 39 (c)  In addition to an y penalties imposed under this code, a line 40 violation of the disclosure requirements described in this section 97 — 46 — SB 1167

Item: 15
561

line 1 by a manuf acturer, importer, or seller of a motor -driven c ycle, line 2 moped, or electric off-road motorcycle shall constitute a misleading line 3 statement pursuant to Sections 17200 and 17500 of the Business line 4 and Professions Code.
line 5 27852. It is unla wful for a person to sell an electric bic ycle, line 6 moped, or motor -driven c ycle in violation of the labeling and line 7 disclosure requirements of Sections 27850 and 27851. line 8 SEC. 47.
line 9 SEC. 46. Section 38012 of the Vehicle Code is amended to line 10 read:
line 11 38012. (a)  As used in this division, “off-highway motor vehicle line 12 subject to identification” means a motor v ehicle subject to line 13 subdivision (a) of Section 38010.
line 14 (b)  As used in this di vision, “of f-highway motor v ehicle” line 15 includes, but is not limited to, the following:
line 16 (1)  A moped, motorcycle, or motor-driven cycle, including an line 17 off-highway electric motorc ycle, except for an y motorcycle that line 18 is eligible for a special transportation identification device issued line 19 pursuant to Section 38088.
line 20 (2)  A snowmobile or other vehicle designed to travel over snow line 21 or ice, as defined in Section 557.
line 22 (3)  A motor v ehicle commonly referred to as a sand b uggy, line 23 dune buggy, or all-terrain vehicle.
line 24 (4)  A motor vehicle commonly referred to as a jeep. line 25 (5)  A recreational of f-highway vehicle as defined in Section line 26 500.
line 27 (6)  An off-highway electric motorc ycle as defined in Section line 28 436.1.
line 29 SEC. 48.
line 30 SEC. 47. Section 38366 of the Vehicle Code is amended to line 31 read:
line 32 38366. (a)  Notwithstanding Section 4442 of the Public line 33 Resources Code, and except for vehicles with mufflers as provided line 34 in Article 2 (commencing with Section 27150) of Chapter 5 of line 35 Division 12, no person shall use, operate, or allo w to be used or line 36 operated, any off-highway motor v ehicle, as defined in Section line 37 38006, on an y forest-co vered land, brush-co vered land, or line 38 grass-covered land unless the v ehicle is equipped with a spark line 39 arrester maintained in effective working order. 97 SB 1167 — 47 —

Item: 15
562

line 1 (b)  A spark arrester affixed to the exhaust system of a vehicle line 2 subject to this section shall not be placed or mounted in such a line 3 manner as to allow flames or heat from the exhaust system to ignite line 4 any flammable material.
line 5 (c)  A spark arrester is a de vice constructed of nonflammable line 6 materials specifically for the purpose of remo ving and retaining line 7 carbon and other flammable particles o ver 0.0232 of an inch in line 8 size from the e xhaust flow of an internal comb ustion engine or line 9 which is qualified and rated by the United States Forest Service. line 10 (d)  Subdivision (a) is not applicable to an off-highway electric line 11 motorcycle or to any vehicle being operated off the highway in an line 12 organized racing or competitive event upon a closed course, which line 13 is conducted under the auspices of a recognized sanctioning body line 14 and by permit issued by the fire protection authority ha ving line 15 jurisdiction.
line 16 (e)  A person shall not use, operate, or allo w to be used or line 17 operated, any off-highway electric motorcycle, or any motorcycle, line 18 motor-driven cycle, or moped po wered by an electric motor , on line 19 any forest-covered land, brush-covered land, or grass-covered land line 20 unless the vehicle has been certified by an accredited independent line 21 laboratory for compliance with SAE J2929 or another applicable line 22 SAE, ISO, UNECE, IEC, or other electrical safety standard and line 23 the name or mark of the certifying laboratory is permanently line 24 marked on the vehicle or on its drive system.
line 25 SEC. 49.
line 26 SEC. 48. Section 38505 of the Vehicle Code is amended to line 27 read:
line 28 38505. A person shall not operate, ride, or be otherwise line 29 propelled on an all-terrain vehicle on public lands, as described in line 30 Section 38001, unless the person wears a safety helmet meeting line 31 requirements established for motorc ycles and mopeds, pursuant line 32 to Section 27802.
line 33 SEC. 50.
line 34 SEC. 49. Section 38601 of the Vehicle Code is amended to line 35 read:
line 36 38601. A person shall not operate, or allo w a passenger in, a line 37 recreational off-highway vehicle on public lands, as described in line 38 Section 38001, unless the person and the passenger are wearing line 39 safety helmets meeting the requirements established for line 40 motorcycles and mopeds pursuant to Section 27802. 97 — 48 — SB 1167

Item: 15
563

line 1 SEC. 51.
line 2 SEC. 50. No reimbursement is required by this act pursuant to line 3 Section 6 of Article XIIIB of the California Constitution because line 4 the only costs that may be incurred by a local agenc y or school line 5 district will be incurred because this act creates a ne w crime or line 6 infraction, eliminates a crime or infraction, or changes the penalty line 7 for a crime or infraction, within the meaning of Section 17556 of line 8 the Government Code, or changes the definition of a crime within line 9 the meaning of Section 6 of Article XIII B of the California line 10 Constitution.

O
97 SB 1167 — 49 —

Item: 15
564

AMENDED IN ASSEMBLY APRIL 13, 2026
AMENDED IN ASSEMBLY MARCH 25, 2026
california legislature—2025–26 regular session
ASSEMBLY BILL No. 1680
Introduced by Assembly Member Calderon
(Coauthors: Assembly Members Addis, Alvarez, Bauer-Kahan, Berman, Gipson, Harabedian, Ortega, Petrie-Norris,
Michelle Rodriguez, and Zbur)
February 2, 2026
An act to amend Section 10095 of, and to add Sections 10100.4 and 10100.5 to, the Insurance Code, relating to insurance.
legislative counsel’s digest
AB 1680, as amended, Calderon. California FAIR Plan Association.

The California F AIR Plan Association is a joint reinsurance association in which all insurers licensed to write basic property insurance participate to administer a program for the equitable apportionment of basic property insurance for persons who are unable to obtain that coverage through normal channels. Existing law requires the Insurance Commissioner to appro ve the association’ s plan of operation and authorizes the commissioner to examine the association’s books, records, files, papers, and documents that relate to its operation.

Existing law authorizes the commissioner to impose civil penalties for various violations of the Insurance Code.

This bill w ould require the association to comply with the recommendations of tak e corrective actions to corr ect violations of applicable statutes, r egulations, statutory accounting principles, or other applicable rules identified in a report of e xamination or other

97 Item: 15
565

operational report and report. The bill would subject the association to a fine of not more than $20,000 for each violation of f ailing to adopt the recommendations failing to tak e corr ection action within a timeframe agreed upon by the commissioner or a person designated by the commissioner. The bill w ould set other ci vil penalty amounts for violations of pro visions relati ve to the association as not to e xceed $10,000 for each act in violation or not to exceed $20,000 if the act was willful, and would require the commissioner to impose those penalties, as specified. The
The bill w ould also authorize the commissioner to require the association to both adjust the polic y limits a vailable under programs underwritten by the association and make additional coverage offerings available for fair rental value coverage under the association’s renters’ property insurance program.

Vote: majority. Appropriation: no. Fiscal committee: yes.​ State-mandated local program: no.​
The people of the State of California do enact as follows:
line 1 SECTION 1. Section 10095 of the Insurance Code is amended line 2 to read:
line 3 10095. (a)  Within 30 days following the effective date of this line 4 chapter, the association shall submit to the commissioner, for the line 5 commissioner’s review, a proposed plan of operation, consistent line 6 with this chapter, creating an association consisting of all insurers line 7 licensed to write and eng aged in writing in this state, on a direct line 8 basis, basic property insurance or any component of basic property line 9 insurance in homeo wners’ or other dwelling multiperil policies. line 10 An insurer described in this subdivision shall be a member of the line 11 association and shall remain a member as a condition of its line 12 authority to transact those kinds of insurance in this state. line 13 (b)  The proposed plan shall authorize the association to assume line 14 and cede reinsurance on risks written by insurers in conformity line 15 with the program.
line 16 (c)  Under the plan, an insurer shall participate in the writings, line 17 expenses, profits, and losses of the association in the proportion line 18 that its premiums written during the second preceding calendar line 19 year bear to the aggregate premiums written by all insurers in the line 20 program, e xcluding that portion of the premiums written line 21 attributable to the operation of the association. Premiums written 97 — 2 — AB 1680

Item: 15
566

line 1 on a policy of basic residential earthquake insurance issued by the line 2 California Earthquake Authority pursuant to Section 10089.6 shall line 3 be attributed to the insurer that writes the underlying polic y of line 4 residential property insurance.
line 5 (d)  The plan shall pro vide for administration by a go verning line 6 committee under rules to be adopted by the governing committee line 7 with the approval of the commissioner. Voting on administrative line 8 questions of the association and f acility shall be weighted in line 9 accordance with each insurer’s premiums written during the second line 10 preceding calendar year as disclosed in the reports filed by the line 11 insurer with the commissioner.
line 12 (e)  The plan shall pro vide for a plan to encourage persons to line 13 secure basic property insurance through normal channels from an line 14 admitted insurer or a licensed surplus line brok er by informing line 15 those persons what steps the y must tak e in order to secure the line 16 insurance through normal channels.
line 17 (f)  The plan shall be subject to the approval of the commissioner line 18 and shall go into ef fect upon the tentati ve appro val of the line 19 commissioner. The commissioner may , at an y time, withdra w line 20 tentative appro val or the commissioner may , at an y time after line 21 giving final appro val, revoke that appro val if the commissioner line 22 feels it is necessary to carry out the purposes of the chapter . The line 23 withdrawal or re vocation of that appro val shall not af fect the line 24 validity of any policies executed before the date of the withdrawal. line 25 If the commissioner disappro ves or withdra ws or re vokes their line 26 approval to all or any part of the plan of operation, the association line 27 shall, within 30 days, submit for re view an appropriately revised line 28 plan or part of a revised plan, and, if the association fails to do so, line 29 or if the re vised plan is unacceptable, the commissioner shall line 30 promulgate a plan of operation or part of a plan as the line 31 commissioner may deem necessary to carry out this chapter. line 32 (g)  The association may, on its own initiative or at the request line 33 of the commissioner , amend the plan of operation, subject to line 34 approval by the commissioner, who shall have supervision of the line 35 inspection b ureau, the f acility, and the association. The line 36 commissioner, or an y person designated by the commissioner , line 37 shall ha ve the po wer of visitation of and e xamination into the line 38 operation and free access to all the books, records, files, papers, line 39 and documents that relate to operation of the f acility and line 40 association, and may summon, qualify, and examine as witnesses 97 AB 1680 — 3 —

Item: 15
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line 1 all persons ha ving kno wledge of those operations, including line 2 officers, agents, or employees thereof. The association shall comply line 3 with the recommendations of take corrective actions to corr ect line 4 violations of applicable statutes, regulations, statutory accounting line 5 principles, or other applicable rules identified in the report of line 6 examination or an y other operational report conducted by the line 7 commissioner or a person designated by the commissioner. If the line 8 association f ails to adopt the recommendations tak e corrective line 9 action within a timeframe agreed upon by the commissioner or a line 10 person designated by the commissioner , the association shall be line 11 fined not more than twenty thousand dollars ($20,000) for each line 12 violation. These penalties fines may be in addition to an y other line 13 fines or penalties provided by law.
line 14 (h)  An insurer member of the association shall pro vide to an line 15 applicant who is denied coverage, or a policyholder whose policy line 16 is canceled or not rene wed, the internet website address and line 17 statewide toll-free telephone number for the association established line 18 pursuant to Section 10095.5 for the purpose of obtaining line 19 information and assistance in obtaining basic property insurance. line 20 (i)  To reduce the association’ s concentration and number of line 21 policies, and to encourage maximum use of the normal insurance line 22 market consistent with subdi vision (c) of Section 10090, the line 23 association shall develop and implement a clearinghouse program line 24 on or before July 1, 2021, to help reduce the number of e xisting line 25 FAIR Plan policies and pro vide the opportunity for admitted line 26 insurers to of fer homeowners’ insurance policies to F AIR Plan line 27 policyholders. An insurer that participates in the clearinghouse line 28 program shall sign an agreement with the association that sets forth line 29 the terms and conditions for the insurer to of fer homeo wners’ line 30 insurance through the policy’s listed agent or broker of record, if line 31 any. The clearinghouse program may include a provision to include line 32 nonadmitted insurers if admitted insurers have the first option. line 33 (j)  To reduce the association’ s concentration and number of line 34 commercial policies, and to encourage maximum use of the normal line 35 insurance market consistent with subdivision (c) of Section 10090, line 36 the association shall de velop and implement a commercial line 37 insurance policy clearinghouse program on or before July 1, 2024, line 38 to help reduce the number of e xisting FAIR Plan commercial line 39 policies and provide the opportunity for admitted insurers to offer line 40 commercial insurance policies to F AIR Plan polic yholders. An 97 — 4 — AB 1680

Item: 15
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line 1 insurer that participates in the commercial polic y clearinghouse line 2 program shall sign an agreement with the association that sets forth line 3 the terms and conditions for the insurer to of fer commercial line 4 insurance through the policy’s listed agent or broker of record, if line 5 any. The commercial policy clearinghouse program may include line 6 a provision to include nonadmitted insurers if admitted insurers line 7 have the first option.
line 8 (k)  (1)  With respect to the clearinghouse programs referenced line 9 in subdivisions (i) and (j), the association shall comply with the line 10 Insurance Information and Pri vacy Protection Act (Article 6.6 line 11 (commencing with Section 791) of Chapter 1 of Part 2 of Division line 12 1) and re gulations on the Pri vacy of Nonpublic Personal line 13 Information (Subchapter 5.9 (commencing with Section 2689.1) line 14 of Chapter 5 of Title 10 of the California Code of Regulations). line 15 (2)  The association shall provide all policyholders with notice line 16 of each of the following:
line 17 (A)  The manner in which the association shall share line 18 policyholders’ personal information to f acilitate offers of private line 19 insurance through the clearinghouse programs.
line 20 (B)  A method to opt out of the sharing of policyholders’ personal line 21 information in connection with the clearinghouse programs. line 22 SEC. 2. Section 10100.4 is added to the Insurance Code , line 23 immediately following Section 10100.3, to read:
line 24 10100.4. To meet the needs of policyholders, the commissioner line 25 may require the association to do both of the following:
line 26 (a)  Adjust the polic y limits a vailable under programs line 27 underwritten by the association.
line 28 (b)  Make additional coverage offerings available for fair rental line 29 value coverage under the association’s renters’ property insurance line 30 program.
line 31 SEC. 3. Section 10100.5 is added to the Insurance Code, to line 32 read:
line 33 10100.5. (a)  A person who violates this chapter is liable to the line 34 state for a civil penalty not to exceed ten thousand dollars ($10,000) line 35 for each act, or, if the act was willful, a civil penalty not to exceed line 36 twenty thousand dollars ($20,000) for each act in violation. The line 37 commissioner shall have the discretion to establish what constitutes line 38 an act.
line 39 (b)  A penalty imposed pursuant to this section shall be imposed line 40 by and determined by the commissioner. The penalty imposed by 97 AB 1680 — 5 —

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line 1 this section is appealable by means of an y remedy pro vided by line 2 Section 12940 or by the Administrative Procedure Act (Chapter line 3 5 (commencing with Section 11500) of P art 1 of Di vision 3 of line 4 Title 2 of the Government Code).
line 5 (c)  (1)  If the commissioner has reason to believe that a person line 6 has violated this chapter , or that the association has violated line 7 subdivision (g) of Section 10095, and that a proceeding by the line 8 commissioner re garding that violation w ould be in the public line 9 interest, the commissioner shall issue and serv e upon the person line 10 an order to sho w cause for the purpose of determining if the line 11 commissioner should order that person to pay a penalty imposed line 12 pursuant to this section and to cease and desist in the violation. line 13 The order to show cause shall include a statement of the charges, line 14 a statement of the person’ s potential liability under this section, line 15 and a notice of a hearing to be held at a time and place fixed in the line 16 notice, which shall not be less than 30 days after the service of the line 17 notice.
line 18 (2)  If the char ges are found to be justified, the commissioner line 19 shall issue and serve upon the person an order requiring the person line 20 to pay a penalty imposed pursuant to this section and to cease and line 21 desist in the violation. The hearing shall be conducted in line 22 accordance with the Administrative Procedure Act (Chapter 5 line 23 (commencing with Section 11500) of Part 1 of Division 3 of Title line 24 2 of the Go vernment Code), e xcept that the hearings may be line 25 conducted by an administrati ve law judge in the administrati ve line 26 law bureau if the proceedings involve a common question of law line 27 or fact with another proceeding arising under other provisions of line 28 the Insurance Code that may be conducted by administrative law line 29 judges in the administrati ve law bureau. The commissioner and line 30 the appointed administrative law judge shall have all the powers line 31 granted under the Administrative Procedure Act. The person shall line 32 be entitled to ha ve the proceedings and the order re viewed by line 33 means of any remedy provided by Section 12940 of this code or line 34 by the Administrative Procedure Act.
line 35 (d)  The powers granted to the commissioner by this section are line 36 in addition to an y other po wers to enforce penalties, fines, or line 37 forfeitures, or denials, suspensions, or re vocations of licenses or line 38 certificates.

O
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AMENDED IN ASSEMBLY APRIL 27, 2026
AMENDED IN ASSEMBLY APRIL 16, 2026
AMENDED IN ASSEMBLY APRIL 7, 2026
AMENDED IN ASSEMBLY MARCH 16, 2026
california legislature—2025–26 regular session
ASSEMBLY BILL No. 1795
Introduced by Assembly Member Gipson
February 10, 2026
An act to add Chapter 6.12 (commencing with Section 25405) to Division 20 of, and to add Chapter 7.5 (commencing with Section 105435) to Part 5 of Division 103 of, the Health and Safety Code, and to add Sections 2060.1, 2060.2, 14048, and 15009.2 to the Insurance Code, relating to smoke damage, and declaring the urgency thereof, to take effect immediately.
legislative counsel’s digest
AB 1795, as amended, Gipson. Smoke Damage Recovery Act. (1)  Existing law requires the Secretary for Environmental Protection to implement a unified hazardous w aste and hazardous materials management re gulatory program, kno wn as the unified program.

Existing law requires the Office of the State Fire Marshal to de velop and make available on its internet website a Wildland-Urban Interface Fire Safety Building Standards Compliance training intended for use in the training of local b uilding officials, b uilders, and fire service personnel, as specified. Existing law authorizes the Office of the State Fire Marshal to allow certification of contractors who conduct defensible space, home hardening, fuel reduction, roadside clearance, and other

95 Item: 15
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contracting acti vities for wildlife resilienc y ef forts and who ha ve completed specified training programs.

This bill, the Smok e Damage Reco very Act, w ould require the California Environmental Protection Agency, on or before June 30, 2027, and in coordination with other state agencies and local public health departments, to de velop health-based standards for required sampling, testing, and chemical screening levels for residential properties that ha ve sustained smok e damage as a result of a wildland-urban interface fire or urban conflagration. The bill w ould authorize the California Environmental Protection Agency, the Department of Forestry and Fire Protection, or a city or county public health or safety agenc y to designate a smoke exposure zone for a specific wildfire, as provided, and, upon that designation, establish that the smok e e xposure zone would supersede the default zones. The bill would additionally authorize the California Environmental Protection Agency to impose additional sampling, testing, or chemical screening requirements pertaining to a specific wildfire.

This bill w ould require the California En vironmental Protection Agency, on or before January 1, 2028, and in consultation with state and local agencies, to establish training and certification requirements for a person who inspects, evaluates, samples, tests, analyzes, or restores residential properties that have sustained smoke damage as a result of a wildland-urban interface fire or urban conflagration. The bill would require the California Environmental Protection Agency to promulgate regulations, if necessary , to implement, administer , and enforce the training and certification requirements, establish rules for noncompliance, and determine which entity or entities shall ha ve jurisdiction over the different categories of persons who will be subject to the requirements. The bill would require the regulations to establish the fees that will be required for the certifications, and limit the fees to the amount sufficient to cover the costs of administering and enforcing these requirements. The bill would establish the Wildfire Remediation Certification and Training Fund in the State Treasury, require fees collected pursuant to these provisions to be deposited into the fund, and make these funds available, upon appropriation by the Legislature, for use in administering the training and certification requirements. (2)  Existing law generally regulates classes of insurance, including fire and residential property insurance. Existing la w specifies the measure of indemnity under an open fire insurance policy that requires payment of actual cash value or replacement cost. If there is a covered 95 — 2 — AB 1795

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loss relating to a state of emer gency, existing law requires additional living expense coverage to be for a period of no less than 24 months from the inception of the loss.

This bill would prohibit an insurer from terminating additional living expenses coverage for a residential property insurance smoke damage claim as a result of a wildland-urban interface fire or urban conflagration that is declared a state of emergency until the property has been cleared for habitation, as specified. The bill would require the above-described California Environmental Protection Agency guidance and specified local or state guidance to apply to these claims. The bill would create a reb uttable presumption re garding the impact classification of a smoke-damaged property and claims within the impact zone . The bill would make an insurer responsible for the cost of sampling and testing required pursuant to California En vironmental Protection Agency guidance. The bill would require an insurer that chooses to exercise its right to inspect a smok e-damaged property to inspect the property as soon as practicable, but no later than 30 calendar days after recei ving notice of the claim or, if applicable, no later than 30 calendar days after access to the property is granted. The bill would require the insurer to pay the actual cash v alue of the cost to restore the damaged property no later than 30 calendar days after the inspection, unless the policyholder has agreed to remediation and restoration by the insurer .

After that payment is made, the bill w ould require the insurer to pay the undisputed amount of replacement cost, up to the applicable policy limits, within 15 calendar days from the date the insured pro vides the insurer with their contractor’ s contract to remediate and restore the damaged property to its preloss condition, unless the policyholder has agreed to remediation and restoration by the insurer.
(3)  Existing law, the Insurance Adjuster Act, generally regulates the licensing of insurance adjusters. Existing la w, the Public Insurance Adjusters Act, generally re gulates the licensing of public insurance adjusters. The acts set forth v arious requirements with respect to operation as an insurance adjuster or public insurance adjuster.

This bill w ould require the Department of Insurance to de velop training and certification programs for insurance adjusters and public insurance adjusters in inspecting, evaluating, sampling, or testing smoke damage caused by a wildland-urban interface fire or urban conflagration in residential properties. The bill w ould require an insurer , adjuster firm, or qualified manager to train and accredit its adjusters in accordance with those standards, and would require a public insurance 95 AB 1795 — 3 —

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adjuster hired by an insured to adjust smoke damage claims to have the requisite license, training, and certification.
(4)  This bill would declare that it is to take effect immediately as an urgency statute.

Vote: 2⁄3. Appropriation: no. Fiscal committee: yes.​ State-mandated local program: no.​
The people of the State of California do enact as follows:
line 1 SECTION 1. This act shall be known, and may be cited, as the line 2 Smoke Damage Recovery Act.
line 3 SEC. 2. (a)  The Le gislature finds and declares all of the line 4 following:
line 5 (1)  California has experienced recordbreaking wildfires in recent line 6 years, including the Eaton Fire and Palisades Fire in January 2025 line 7 that damaged and destroyed thousands of homes and businesses. line 8 In addition to completely destro yed homes, condominiums, and line 9 apartments, thousands of residential properties suf fered damage line 10 as a result of smoke, soot, char, ash, and other contaminants. line 11 (2)  Thousands of smok e damage insurance claims ha ve been line 12 filed as a result of these fires. The lack of universally recognized line 13 standards for the testing, e valuation, and remediation of smok e line 14 damage has prompted complaints from survi vors that their line 15 insurance companies ha ve completely or partially denied their line 16 smoke damage claims or ha ve refused to conduct, or reimb urse line 17 for, preremediation testing or postremediation clearance testing to line 18 ensure their homes ha ve been properly restored to preloss line 19 condition.
line 20 (3)  While the Department of Insurance has tak en multiple line 21 executive actions to protect consumers, including issuing a bulletin line 22 to insurers reminding them of their duty to fully in vestigate line 23 complaints, initiating legal action against the California FAIR Plan line 24 over its f ailure to handle smok e damage claims within e xisting line 25 law, and in vestigating complaints from consumers, the lack of line 26 standards and unsettled caselaw case law have caused a patchwork line 27 of claims handling practices by insurance companies. line 28 (4)  Smoke, soot, char, ash, and other contaminants that emanate line 29 from wildfires cause damage to properties by depositing particulate line 30 matter, gases, heavy metals, volatile organic compounds, and other line 31 pollutants onto personal property and into the walls, floors, ceilings, 95 — 4 — AB 1795

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line 1 surfaces, and other infrastructure of a property. Those contaminants line 2 not only compromise the inte grity of the premises, but they may line 3 also pose significant, long-term health issues long after the fire line 4 has been extinguished.
line 5 (5)  As property o wners and tenants return to their properties line 6 and the areas that have been damaged or destroyed after a wildfire, line 7 many face uncertainty as to whether their properties ha ve been line 8 properly remediated and are safe to inhabit. Residents whose line 9 properties suffer smoke damage as a result of wildfire should be line 10 assured ensured of their safety and habitability, as well as having line 11 their personal property restored to preloss condition. line 12 (6)  It is in the best interest of Californians to protect the health line 13 and safety of residents by ensuring that their properties are returned line 14 to a safe and habitable condition after suf fering damage from line 15 wildfires, including smoke damage.
line 16 (7)  While all property insurance policies that cover the peril of line 17 fire also co ver smoke damage resulting from fire, the e xtent to line 18 which insurance companies are co vering the remediation and line 19 restoration of properties has been inconsistent, and many residents line 20 are concerned that they will incur significant financial b urden to line 21 remediate and restore their properties on their own. line 22 (8)  While remediation of smok e damage is made more line 23 challenging due to the v arying severity of smok e inundation on line 24 the e xterior and interior of properties, consistent standards are line 25 vitally needed regarding the inspection, testing, and remediation line 26 of smoke damage on residential properties after a fire so that the line 27 Department of Insurance is able to enforce insurance companies’ line 28 remediation oblig ations and so that residential properties are line 29 rendered safe and habitable and restored to preloss condition. line 30 (9)  In response to the unprecedented damage caused by the line 31 January wildfires, in June 2025, Insurance Commissioner Ricardo line 32 Lara directed the Department of Insurance to lead a Smoke Claims line 33 and Remediation Task Force (Task Force), comprised of members line 34 representing consumers, public health, environmental health, fire line 35 safety, local governments, remediation and restoration specialists, line 36 industrial h ygienists, and the insurance industry , to de velop line 37 recommendations for uniform standards for the inspection, testing, line 38 and remediation of smok e damage in residential properties, and line 39 to determine the extent to which the remediation of those properties line 40 should be covered by residential property insurance policies. The 95 AB 1795 — 5 —

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line 1 Task Force met over several months in 2025 and has submitted its line 2 report of recommendations to the Insurance Commissioner. line 3 (b)  It is the intent of the Le gislature to set forth standards and line 4 protocols to ensure the health and safety of residents and for the line 5 proper handling of smoke-damaged residential property insurance line 6 claims caused by wildfires after consideration of the line 7 recommendations in the Task F orce Report, as well as other line 8 relevant scientific and health-based sources.
line 9 SEC. 3. Chapter 6.12 (commencing with Section 25405) is line 10 added to Division 20 of the Health and Safety Code, to read:
line 11
line 12 Chapter 6.12. Residential Property Wildfire
line 13 Remediation
line 14
line 15 25405. (a)  On or before June 30, 2027, the California line 16 Environmental Protection Agency, in coordination with other state line 17 agencies and local public health departments, as necessary , shall line 18 develop health-based standards for required sampling, testing, and line 19 chemical screening le vels for residential properties that ha ve line 20 sustained smoke damage as a result of a wildland-urban interface line 21 fire or urban conflagration, similar in scope to the “Residential line 22 Soil Evaluation: Guidance for the 2025 Los Angeles Wildfires,” line 23 developed by the Department of Toxic Substances Control, in line 24 coordination with the Department of Resources Rec ycling and line 25 Recovery. These standards shall include required parameters and line 26 thresholds for preremediation testing, postremediation testing, and line 27 clearance of a residential property for habitation after remediation line 28 is completed. In meeting the requirements of this section, the line 29 California Environmental Protection Agency shall consult with line 30 agencies that include, b ut are not limited to, the Department of line 31 Toxic Substances Control, Office of Environmental Health Hazard line 32 Assessment, State Air Resources Board, State Department of Public line 33 Health, and air pollution control districts, as necessary. line 34 (b)  (1)  (A)  The requirements developed pursuant to subdivision line 35 (a) shall consider differences, where if appropriate, based on the line 36 distance of a residential structure from the fire perimeter . The line 37 following objective default zones, based on distance of a residential line 38 structure from the fire perimeter, shall be used:
line 39 (i)  High-impact zone.
line 40 (ii)  Moderate-impact zone.
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line 1 (iii)  Low-impact zone.
line 2 (B)  If applicable, there shall be more stringent standards for the line 3 high-impact zone, and lesser standards, if deemed appropriate, for line 4 the moderate-impact zone and the low-impact zone. line 5 (2)  The California En vironmental Protection Agency, the line 6 Department of Forestry and Fire Protection, and a city or county line 7 public health or safety agenc y may designate a smok e exposure line 8 zone for a specific wildfire.
line 9 (3)  If the California En vironmental Protection Agency, the line 10 Department of F orestry and Fire Protection, or a city or county line 11 public health or safety agency designates a smoke exposure zone line 12 for a specific wildfire, then the smok e e xposure zone shall line 13 supersede the def ault zones described in paragraph (1) and the line 14 requirements applicable to a high-impact zone shall apply within line 15 the smoke exposure zone.
line 16 (c)  The requirements developed pursuant to subdivision (a) shall line 17 also consider, where appropriate, whether certain wildfire smoke line 18 byproducts and associated hazardous substances dissipate with the line 19 passage of time.
line 20 (d)  The California En vironmental Protection Agency and line 21 Department of Forestry and Fire Protection shall adopt regulations, line 22 pursuant to Chapter 3.5 (commencing with Section 11340) of Part line 23 1 of Di vision 3 of Title 2 of the Go vernment Code, as may be line 24 necessary to implement or mak e more specific the pro visions of line 25 subdivisions (a) to (c), inclusive.
line 26 (e)  (1)  The California Environmental Protection Agency may, line 27 in addition to the requirements developed pursuant to subdivision line 28 (a), impose requirements pertaining to a specific wildfire, including line 29 requirements that relate to the identification of additional line 30 wildland-urban interface fire or urban conflagration contaminants, line 31 additional minimum sampling and testing recommendations or line 32 requirements, or additional chemical screening levels for residential line 33 properties that have sustained smoke damage.
line 34 (2)  A requirement or recommendation adopted pursuant to line 35 paragraph (1) shall be exempt from the Administrative Procedure line 36 Act (Chapter 3.5 (commencing with Section 11340), Chapter 4 line 37 (commencing with Section 11370), Chapter 4.5 (commencing with line 38 Section 11400), and Chapter 5 (commencing with Section 11500) line 39 of Part 1 of Division 3 of Title 2 of the Government Code). 95 AB 1795 — 7 —

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line 1 (f)  (1)  The California Environmental Protection Agency may, line 2 as an interim measure before the adoption of the re gulations line 3 described in subdi vision (a), impose sampling, testing, and line 4 chemical screening requirements pertaining to a specific wildfire line 5 that a person in volved in the inspection, e valuation, testing, or line 6 remediation process, including an open, pending, or disputed line 7 insurance claim involving that specific wildfire, shall comply with. line 8 (2)  A requirement adopted pursuant to paragraph (1) shall be line 9 inoperative upon the adoption of re gulations described in line 10 subdivision (a).
line 11 (3)  A requirement adopted pursuant to paragraph (1) shall be line 12 exempt from the Administrative Procedure Act (Chapter 3.5 line 13 (commencing with Section 11340), Chapter 4 (commencing with line 14 Section 11370), Chapter 4.5 (commencing with Section 11400), line 15 and Chapter 5 (commencing with Section 11500) of P art 1 of line 16 Division 3 of Title 2 of the Government Code).
line 17 (g)
line 18 (f)  For purposes of this chapter:
line 19 (1)  “Fire perimeter” means the footprint or entire outer boundary line 20 of a burned area as a result of a wildland-urban interf ace fire or line 21 urban conflagration, as determined and mapped by the Department line 22 of Forestry and Fire Protection.
line 23 (2)  “High-impact zone” means the area within the fire perimeter line 24 and within six miles from the fire perimeter , or the area within a line 25 smoke exposure zone designated for a specific wildfire pursuant line 26 to this section.
line 27 (3)  “Low-impact zone” means the area greater than 12 miles line 28 from the fire perimeter , or the area greater than 6 miles from a line 29 smoke exposure zone designated for a specific wildfire pursuant line 30 to this section.
line 31 (4)  “Moderate-impact zone” means the area within 6 miles to line 32 12 miles from the fire perimeter, or within 6 miles from a smoke line 33 exposure zone designated for a specific wildfire pursuant to this line 34 section.
line 35 (2)  “Impact zone” means a ZIP Code that is either of the line 36 following:
line 37 (A)  Is within the fire perimeter, as described in par agraph (2) line 38 of subdivision (b) of Section 675.1 of the Insurance Code. line 39 (B)  Adjacent to the fir e perimeter, as described in par agraph line 40 (2) of subdivision (b) of Section 675.1 of the Insurance Code, and 95 — 8 — AB 1795

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line 1 downwind of the fir e perimeter based on maps g enerated by the line 2 National Oceanic and Atmospheric Administration. line 3 (5)
line 4 (3)  “Person” means an indi vidual, insurance compan y, line 5 association, or ganization, partnership, b usiness trust, limited line 6 liability company, or corporation.
line 7 (6)
line 8 (4)  “Restoration of the property to preloss condition” means the line 9 removal of smok e damage residues, comb ustion byproducts, line 10 chemicals, contaminants, and odor caused by wildfire smok e line 11 exposure through remediation of the property, including structural line 12 elements, building systems, contents, and indoor environment, to line 13 the same condition that existed before exposure. line 14 (7)
line 15 (5)  “Smoke damage” means exposure of residential property or line 16 its contents to wildfire smok e, combustion byproducts, and the line 17 chemicals and contaminants contained within the wildfire smoke. line 18 (8)  “Smoke e xposure zone” means the area e xposed to line 19 significant settled, fine particulate residue, including soot, char , line 20 and ash, carried by a smok e plume and winds after a line 21 wildland-urban interface fire or urban conflagration, as designated line 22 by the California En vironmental Protection Agency, the line 23 Department of F orestry and Fire Protection, or a city or county line 24 public health or safety agency.
line 25 (9)
line 26 (6)  “Urban conflagration” means a massive, uncontrollable fire, line 27 regardless of cause, that spreads rapidly from building to building line 28 through densely populated, de veloped areas, typically line 29 overwhelming fire suppression resources, and that has been line 30 designated and declared in a state of emergency pursuant to Section line 31 8558 of the Government Code. These fires are typically fueled by line 32 high winds, structural density , and flammable materials, often line 33 transitioning from wildland-urban interface fires into surrounding line 34 communities.
line 35 (10)
line 36 (7)  “Wildfire” means a wildland-urban interface fire, or an urban line 37 conflagration, that has been designated and declared in a state of line 38 emergency pursuant to Section 8558 of the Government Code. line 39 (11)
95 AB 1795 — 9 —

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line 1 (8)  “Wildland-urban interface fire” means a fire, regardless of line 2 cause, in the zone of transition between unoccupied land and line 3 human development, including the area or zone where structures line 4 and other human de velopment meet or intermingle with line 5 undeveloped wildland or vegetative fuels creating significant fire line 6 risk to developed areas and a significant number of structures, that line 7 has been designated and declared in a state of emergency pursuant line 8 to Section 8558 of the Government Code.
line 9 SEC. 4. Chapter 7.5 (commencing with Section 105435) is line 10 added to Part 5 of Division 103 of the Health and Safety Code, to line 11 read:
line 12
line 13 Chapter 7.5. Wildfire Remediation Certification and line 14 Training
line 15
line 16 105435. (a)  The Le gislature finds and declares all of the line 17 following:
line 18 (1)  The State Department of Public Health administers the line 19 Lead-Related Construction Program (Chapter 4 (commencing with line 20 Section 105250)).
line 21 (2)  The Department of Industrial Relations, through its Division line 22 of Occupational Safety and Health, regulates asbestos-related work. line 23 (3)  The Contractors State License Board regulates contractors, line 24 including asbestos consultants, for asbestos abatement projects line 25 involving 100 square feet or more of surf ace area of line 26 asbestos-containing material.
line 27 (4)  The State Water Resources Control Board administers the line 28 Environmental Laboratory Accreditation Act (Article 3 line 29 (commencing with Section 100825) of Chapter 4 of P art 1 of line 30 Division 101).
line 31 (b)  On or before January 1, 2028, the California Environmental line 32 Protection Agency shall consult with the Department of Insurance, line 33 those agencies identified in subdivision (a), and any other state or line 34 local go vernmental agenc y, as may be necessary , to establish line 35 training and certification requirements for a person who inspects, line 36 evaluates, samples, tests, analyzes, or restores residential properties line 37 that have sustained smoke damage as a result of a wildland-urban line 38 interface fire or urban conflagration, including industrial hygienists, line 39 restoration professionals, and laboratories. The training and line 40 certification requirements shall be tailored to each cate gory of 95 — 10 — AB 1795

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line 1 persons depending on their role with re gard to wildfire smok e line 2 damage.
line 3 (c)  The California En vironmental Protection Agency shall line 4 promulgate re gulations, if necessary , to implement, administer , line 5 and enforce the training and certification requirements, establish line 6 rules for noncompliance, and determine which entity or entities line 7 shall have jurisdiction over the different categories of persons who line 8 will be subject to the requirements.
line 9 (d)  (1)  The regulations adopted pursuant to subdivision (c) shall line 10 also establish the fees that will be required for the certification of line 11 a person who inspects, e valuates, samples, tests, analyzes, or line 12 restores residential properties that have sustained smoke damage line 13 as a result of wildfire. The fees imposed under this section shall line 14 be established at levels not to exceed an amount sufficient to cover line 15 the costs of administering and enforcing the requirements and line 16 regulations adopted under this section.
line 17 (2)  Fees collected pursuant to this section shall be deposited line 18 into the Wildfire Remediation Certification and Training Fund, line 19 which is hereby created in the State Treasury. Funds shall be line 20 available, upon appropriation by the Legislature, for the purposes line 21 described in paragraph (1).
line 22 (e)  The definitions set forth in Section 25405 apply for purposes line 23 of this section.
line 24 SEC. 5. Section 2060.1 is added to the Insurance Code, to read:
line 25 2060.1. (a)  An insurer shall not terminate co verage for line 26 additional li ving e xpenses for a co vered smok e damage claim line 27 submitted under a polic y of residential property insurance, as line 28 defined in Section 10087, as a result of a wildland-urban interface line 29 fire or urban conflagration that is declared a state of emer gency line 30 pursuant to Section 8558 of the Go vernment Code until the line 31 property has been cleared for habitation pursuant to guidance issued line 32 pursuant to Section 25405 of the Health and Safety Code and line 33 Section 2060.2, subject to the applicable policy limit. line 34 (b)  For purposes of this section, “smok e damage, ” “urban line 35 conflagration,” and “wildland-urban interface fire” have the same line 36 meanings as defined in Section 25405 of the Health and Safety line 37 Code.
line 38 SEC. 6. Section 2060.2 is added to the Insurance Code, to read:
line 39 2060.2. (a)  The guidance de veloped by the California line 40 Environmental Protection Agency pursuant to Section 25405 of 95 AB 1795 — 11 —

Item: 15
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line 1 the Health and Safety Code shall apply to covered smoke damage line 2 claims within the impact zone submitted under policies of line 3 residential property insurance as a result of a wildland-urban line 4 interface fire or urban conflagration that is declared a state of line 5 emergency pursuant to Section 8558 of the Government Code. line 6 (b)  In addition to the guidance described in subdi vision (a), if line 7 a local or state public health department, en vironmental agency, line 8 or any other governmental agency with jurisdiction over the area line 9 where a wildfire has occurred issues a public notice, b ulletin, or line 10 advisory that pro vides explicit guidance pertaining to a specific line 11 wildfire, including identifying specific wildland-urban interf ace line 12 fire or urban conflagration contaminants, minimum sampling and line 13 testing recommendations, and chemical screening le vels for line 14 residential properties that have sustained smoke damage, then that line 15 guidance shall also apply to claims under residential property line 16 insurance on properties that ha ve sustained smok e damage as a line 17 result of a wildland-urban interf ace fire or urban conflagration, line 18 utilizing the same tiered sampling and testing recommendations line 19 for each zone de veloped by the California En vironmental line 20 Protection Agency.
line 21 (c)  Until the California En vironmental Protection Agency line 22 develops the guidance required pursuant to Section 25405 of the line 23 Health and Safety Code, if a local or state public health department, line 24 environmental agenc y, or an y other go vernmental agenc y with line 25 jurisdiction over the area where a wildfire has occurred issues a line 26 public notice, bulletin, advisory, or guidance that describes specific line 27 standards for sampling, testing, and chemical screening levels for line 28 residential smoke damage and restoration pertaining to a specific line 29 wildfire, then those standards shall apply to a person in volved in line 30 the inspection, e valuation, testing, and restoration process, line 31 including an open, pending, or disputed insurance claim involving line 32 that specific wildfire.
line 33 (d)
line 34 (c)  An insurer shall be responsible for covering the cost of the line 35 sampling and testing that is required pursuant to the guidance line 36 issued pursuant to Section 25405 of the Health and Safety Code line 37 and this section, subject to the terms and provisions of the policy, line 38 the conditions and limitations set forth in subdivision (h), and all line 39 of the following rebuttable presumptions: policy. 95 — 12 — AB 1795

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line 1 (1)  For residential properties in the high-impact zone, there shall line 2 be a rebuttable presumption that there is significant smoke damage line 3 exposure from the wildfire and the smoke damage claim shall be line 4 classified as high impact for purposes of the type of inspection, line 5 evaluation, and testing it receives.
line 6 (2)  For residential properties in the moderate-impact zone, there line 7 shall be a rebuttable presumption that the property shall initially line 8 be classified as moderate impact for purposes of the type of line 9 inspection, evaluation, and testing, if applicable, it receives. line 10 (3)  For residential properties in the low-impact zone, there shall line 11 be a reb uttable presumption that the property shall initially be line 12 classified as low impact for purposes of the type of inspection, if line 13 any, and evaluation it receives.
line 14 (e)
line 15 (d)  This section does not preclude an insurer from co vering line 16 sampling and testing that exceeds what is required pursuant to the line 17 guidance issued pursuant to Section 25405 of the Health and Safety line 18 Code and this section.
line 19 (f)
line 20 (e)  All of the following conditions shall apply to covered smoke line 21 damage claims resulting from a wildland-urban interf ace fire or line 22 urban conflagration that is declared a state of emergency pursuant line 23 to Section 8558 of the Government Code:
line 24 (1)  If the insurer chooses to e xercise its right to inspect the line 25 smoke-damaged property, the insurer shall inspect the property as line 26 soon as practicable, b ut no later than 30 calendar days after line 27 receiving notice of the claim. If the property is not accessible due line 28 to go vernment restrictions, then the insurer shall inspect the line 29 property as soon as practicable, but no later than 30 calendar days line 30 after access to the property is granted.
line 31 (2)  Unless the policyholder has agreed to permit the insurer, or line 32 the insurer’s contractor , to remediate and restore the damaged line 33 property, the insurer shall pay the actual cash value of the cost to line 34 restore the damaged property to no less than its condition before line 35 the loss as soon as practicable, but no later than 30 calendar days line 36 from the date the property was inspected.
line 37 (3)  Unless the policyholder has agreed to permit the insurer, or line 38 the insurer’s contractor , to remediate and restore the damaged line 39 property, under a polic y of residential property insurance that line 40 requires payment of the replacement cost for a loss, after the actual 95 AB 1795 — 13 —

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line 1 cash value payment is made pursuant to paragraph (2), the insurer line 2 shall pay the undisputed amount of replacement cost to restore the line 3 damaged property to no less than its condition before the loss, up line 4 to the applicable policy limits, within 15 calendar days from the line 5 date upon which the insured provides the insurer with a copy of a line 6 valid and executed contract with a licensed contractor to remediate line 7 and restore the damaged property to its preloss condition. line 8 (4)  A payment not made pursuant to the timeframes required line 9 by this subdi vision shall accrue interest payable to the insured line 10 pursuant to Section 2057.
line 11 (g)
line 12 (f)  If a smoke damage insurance claim is settled on the basis of line 13 a written scope or estimate prepared by or for the insurer , the line 14 insurer shall supply the claimant with a cop y of each document line 15 upon which the settlement is based. The estimate prepared by or line 16 for the insurer shall be for an amount that will restore the damaged line 17 property to no less than its condition before the loss and that shall line 18 allow for restoration to be completed in a manner that meets or line 19 exceeds the guidance issued pursuant to Section 25405 of the line 20 Health and Safety Code and accepted trade and industry standards line 21 for the specific w ork being performed. A vendor or contractor line 22 hired or referred by the insurer to prepare the written scope or line 23 estimate or to perform smoke damage restoration work shall have line 24 the requisite license, training, and certification with respect to line 25 smoke damage caused by wildfire in residential properties. The line 26 policyholder shall have the right to select the vendor or contractor line 27 to perform the restoration of the property.
line 28 (h)
line 29 (g)  All of the following conditions and limitations shall apply line 30 to covered smoke damage claims resulting from a wildland-urban line 31 interface fire or urban conflagration that is declared a state of line 32 emergency pursuant to Section 8558 of the Government Code:
line 33 (1)  Notice of the claim shall be pro vided to the insurer within line 34 120 days after the wildfire has reached 100 percent containment, line 35 as determined by the Department of Forestry and Fire Protection. line 36 An insurer shall pro vide an insured, or insured’ s representative, line 37 additional e xtensions of this time period for good cause if the line 38 insured, acting in good f aith and with reasonable diligence, line 39 encounters a delay in providing notice of the claim that is beyond line 40 the control of the insured. Circumstances be yond the control of 95 — 14 — AB 1795

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line 1 the insured may include either of the follo wing, if applicable to line 2 the specific claim:
line 3 (A)  The death, disability, injury, or incapacity of the insured. line 4 (B)  The inability of the insured to access the insured property line 5 as a result of governmental action or because the insured property line 6 is located in an area that is exposed to hazardous materials posing line 7 a health risk.
line 8 (2)  If notice of the claim is gi ven to an insurer later than the line 9 time period permitted under paragraph (1), then the claim may be line 10 subject to a sublimit of no less than 10 percent of the policy limits line 11 applicable to the primary structure.
line 12 (i)
line 13 (h)  The department shall implement and enforce the guidance line 14 issued pursuant to Section 25405 of the Health and Safety Code line 15 and this section as they pertain to its licensees and shall have the line 16 administrative authority to assess penalties for noncompliance. A line 17 violation of this section shall be an unfair practice subject to Article line 18 6.5 (commencing with Section 790) of Chapter 1 of P art 2 of line 19 Division 1.
line 20 (j)
line 21 (i)  The department may adopt regulations pursuant to Chapter line 22 3.5 (commencing with Section 11340) of P art 1 of Division 3 of line 23 Title 2 of the Government Code as necessary to implement or make line 24 specific this section.
line 25 (k)
line 26 (j)  The definitions set forth in Section 25405 of the Health and line 27 Safety Code apply for purposes of this section. line 28 (l)
line 29 (k)  This section applies to all policies of residential property line 30 insurance, as defined in Section 10087, issued, amended, or line 31 renewed on or after the operative date of this section. line 32 SEC. 7. Section 14048 is added to the Insurance Code , line 33 immediately following Section 14047, to read:
line 34 14048. (a)  On or before January 1, 2028, the department shall line 35 develop a training and certification program for insurance adjusters line 36 in inspecting, e valuating, sampling, or testing smok e damage line 37 caused by a wildland-urban interf ace fire or urban conflagration line 38 in residential properties on behalf of insurers. An insurer, adjuster line 39 firm, or qualified manager shall train and accredit its adjusters in line 40 accordance with those standards.
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line 1 (b)  The department shall implement and enforce the standards line 2 developed pursuant to subdi vision (a) and shall ha ve the line 3 administrative authority to assess penalties for noncompliance. A line 4 violation of this section shall be an unfair practice subject to Article line 5 6.5 (commencing with Section 790) of Chapter 1 of P art 2 of line 6 Division 1, in addition to an y other disciplinary proceedings line 7 provided in this chapter.
line 8 (c)  The department may adopt regulations pursuant to Chapter line 9 3.5 (commencing with Section 11340) of P art 1 of Division 3 of line 10 Title 2 of the Government Code as necessary to implement or make line 11 specific this section.
line 12 (d)  For purposes of this section, “insurance adjuster” includes line 13 all of the following persons:
line 14 (1)  Persons licensed pursuant to this chapter. line 15 (2)  Employees of persons licensed pursuant to this chapter who line 16 perform insurance adjusting acti vities, as described in Section line 17 14021.
line 18 (3)  Employees of an insurer who perform insurance adjusting line 19 activities, as described in Section 14021.
line 20 (e)  For purposes of this section, “smok e damage, ” “urban line 21 conflagration,” and “wildland-urban interface fire” have the same line 22 meanings as defined in Section 25405 of the Health and Safety line 23 Code.
line 24 SEC. 8. Section 15009.2 is added to the Insurance Code, to line 25 read:
line 26 15009.2. (a)  On or before January 1, 2028, the department line 27 shall de velop a training and certification program for public line 28 insurance adjusters, as defined in Section 15007, in inspecting, line 29 evaluating, sampling, or testing smok e damage caused by a line 30 wildland-urban interface fire or urban conflagration in residential line 31 properties on behalf of insureds. A public adjuster hired by an line 32 insured to adjust smok e damage claims shall ha ve the requisite line 33 license, training, and certification, as required by this section. line 34 (b)  The department shall implement and enforce the standards line 35 developed pursuant to subdi vision (a) and shall ha ve the line 36 administrative authority to assess penalties for noncompliance. A line 37 violation of this section shall be an unfair practice subject to Article line 38 6.5 (commencing with Section 790) of Chapter 1 of P art 2 of line 39 Division 1, in addition to an y other disciplinary proceedings line 40 provided in this chapter.
95 — 16 — AB 1795

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line 1 (c)  The department may adopt regulations pursuant to Chapter line 2 3.5 (commencing with Section 11340) of P art 1 of Division 3 of line 3 Title 2 of the Government Code as necessary to implement or make line 4 specific this section.
line 5 (d)  For purposes of this section, “smok e damage, ” “urban line 6 conflagration,” and “wildland-urban interface fire” have the same line 7 meanings as defined in Section 25405 of the Health and Safety line 8 Code.
line 9 SEC. 9. This act is an ur gency statute necessary for the line 10 immediate preservation of the public peace, health, or safety within line 11 the meaning of Article IV of the California Constitution and shall line 12 go into immediate effect. The facts constituting the necessity are:
line 13 There are no e xisting standards with re gard to the handling of line 14 wildfire smoke damage insurance claims, which has resulted in line 15 unfair and inconsistent handling by insurers to the detriment of line 16 the residents of this state who are being forced to return to line 17 smoke-damaged residential properties that have not been properly line 18 restored and cleared for habitation. Therefore, the Legislature finds line 19 that it is necessary that this act take effect immediately.

O
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AMENDED IN SENATE APRIL 13, 2026
SENATE BILL No. 876
Introduced by Senator Padilla
January 6, 2026
An act to amend Sections 790.035, 2051, 2051.5, 2060, 2071, 10102, 10103, 10103.4, 10103.7, 12928.7, and 14047 of, to add Section 10103.8 to, and to repeal and add Section 10103.2 of, the Insurance Code, relating to insurance.
legislative counsel’s digest
SB 876, as amended, Padilla. Fire and residential property insurance. (1)  Existing law generally regulates classes of insurance, including fire and residential property insurance.

Existing law specifies the measure of indemnity under an open fire insurance polic y that requires payment of actual cash v alue or replacement cost. Under e xisting law, the measure of the actual cash value recovery is the amount it would cost the insured to repair, rebuild, or replace the thing lost or injured less a fair and reasonable deduction for physical depreciation based upon its condition at the time of the injury or the policy limit, whichever is less. If an open policy requires the insured to repair, rebuild, or replace the damaged property to collect the full replacement cost, under existing law the insurer is required to pay the actual cash v alue of the damaged property until the damaged property is repaired, reb uilt, or replaced, at which time the insurer is required to pay the dif ference between the actual cash v alue payment made and the full replacement cost reasonably paid to replace the damaged property.

If there is a total loss to the insured structure, this bill would require an insurer to pay the actual cash v alue associated with the primary

98 Item: 15
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structure and other insured structures within 30 calendar days from the date of loss. After this payment is made, the bill would require an insurer to pay the undisputed amount of replacement cost associated with the primary structure and other insured structures, up to the limits in the policy, within 30 calendar days from the occurrence of a specified event.

The bill would require interest to accrue if these payments are not made within 30 calendar days.
(2)  Existing law prohibits a policy from limiting or denying a payment of building code upgrade cost on the basis that the insured has decided to rebuild at a new location or to purchase an already b uilt home at a new location.

If there is a total loss of the insured structure, this bill would require the building code upgrade cost payable to include all costs that w ould have been incurred if the insured structure been completely reb uilt at its original location. The bill would also require building code upgrade coverage to be provided at no less than 20% of the policy limits if there is a covered loss relating to a state of emergency.
(3)  Existing law requires a disclosure to be pro vided upon an offer of a residential property insurance polic y that states policies of fering extended replacement cost coverage of at least 50% may be a vailable for that property and that includes the internet website address of the Homeowners Co verage Comparison Tool. Existing la w e xempts specified insurers, agents, and brokers from this requirement.

This bill would instead prohibit a residential property insurance policy from being issued or renewed unless the applicant or insured is offered extended replacement cost coverage in an amount of no less than 50% of coverage above the policy limits for the primary dwelling and other structures. If an applicant or polic yholder declines this of fer, the bill would require them to sign an ackno wledgment of the of fer. The bill would also prohibit issuing or renewing a residential property insurance policy unless the applicant or polic yholder is of fered guaranteed replacement cost coverage for the primary dwelling and other structures.

If there is a covered loss relating to a state of emergency, the bill would increase the residential property insurance policy limits for the primary dwelling and other structures coverages increased by an amount equal to 50% of the polic y limits for each of these co verages, which would be in addition to extended replacement cost coverage.
(4)  Existing law requires an insurer that pro vides replacement cost coverage to pro vide a cost estimate for reb uilding or replacing the 98 — 2 — SB 876

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structure at specified interv als, b ut e xempts an insurer that meets specified criteria from this requirement.

This bill would delete those e xemptions and would extend the cost estimate requirements to a policy offered by the California FAIR Plan Association if replacement cost coverage is available under the policy.

The bill w ould mak e an insurer that f ails to comply with the cost estimate requirements liable for up to the full replacement cost of the insured property after a loss.
(5)  Existing law requires an insurer to provide an insured with a list of items that the insurer belie ves may be co vered under the polic y as additional li ving e xpenses if there is a loss under a homeo wners’ insurance policy for which the insured has made a claim for additional living e xpenses. If there is a co vered loss relating to a state of emergency, existing law requires additional li ving expense coverage to be for a period of no less than 24 months from the inception of the loss.

This bill w ould require the abo ve-described list to be written, and would authorize the list to be transmitted as an electronic document.

The bill w ould require additional li ving expense coverage to include all reasonable additional expenses incurred by the insured for the insured to maintain a comparable standard of li ving for the time the insured dwelling is not habitable due to a co vered loss, as specified. The bill would authorize an insured to choose to collect the monthly fair rental value of the dwelling in lieu of reimb ursement for itemized e xpenses under additional li ving e xpense co verage, as specified. If there is a covered total loss relating to a state of emergency, the bill would require policy limits for additional living expenses to be increased by an amount equal to 100 percent of the polic y limits for this co verage and would extend additional li ving expenses 15 calendar days be yond the date upon which the premises is deemed habitable.
(6)  Existing law authorizes an insured under a residential property insurance policy to combine payments for claims for losses up to the policy limits for the primary dwelling and other structures if there is a covered loss relating to a state of emergency. If there is a covered total loss of a primary dwelling resulting from a state of emergency and the residence was furnished, e xisting law requires the insurer to of fer a payment under the contents coverage of no less than 60% of the policy limit applicable to co vered personal property , up to a maximum of $350,000, but authorizes the insured to recover additional amounts up to the policy limit by filing a claim, as specified.
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This bill w ould authorize an insured under a residential property insurance policy to also combine payments for contents losses with the primary dwelling and other structures if there is a covered loss relating to a state of emergency. The bill would require an insurer to provide a payment of 100% of the polic y limit applicable to co vered personal property if there is a covered total loss of a primary dwelling resulting from a state of emer gency and the residence w as furnished. The bill would require that payment to be made within 30 calendar days from the date the insured property is determined to be a total loss and would require interest to accrue if the payment is not made within 30 calendar days.
(7)  Existing law requires a residential property insurer to pro vide a written status report to the insured if the insurer assigns a 3rd or subsequent first-party claims adjuster within a 6-month period for a claim arising as a result of a state of emergency. Existing law prescribes the standard form for fire insurance policies co vering property and requires the form to include specified statements re garding this status report. Under existing law, it is a misdemeanor to issue or countersign a fire policy that varies from the standard form fire insurance policy.

This bill would require an insurer to assign a primary claims adjuster to be primarily responsible for a claim that in volves one or more coverages under a policy of residential property insurance and is for a loss relating to a state of emer gency, and would require an insurer to provide a written report within 5 business days of the assignment of a subsequent adjuster. The bill would make conforming changes to the standard form for fire insurance, thus expanding the scope of an existing crime and imposing a state-mandated local program.
(8)  Existing la w prescribes the standard form of the California Residential Insurance Disclosure, which sets forth a description of certain types of insurance coverage. Existing law requires a residential property insurance polic y to include specified information about coverage on its declarations page. Existing law requires the disclosure and declarations page to e xplain that building code upgrade coverage covers additional costs to comply with building codes and zoning laws in effect at the time of loss or rebuilding.

This bill w ould instead require the abo ve-described disclosure and declarations page to explain that building code upgrade coverage covers additional costs to comply with building codes and zoning laws in effect at the time of rebuilding and required for rebuilding.
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(9)  Existing law creates the Department of Insurance, headed by the Insurance Commissioner, and prescribes the commissioner’ s powers and duties. Existing law requires an admitted insurer to submit various reports and documents to the commissioner or department upon request or at specified intervals and authorizes the commissioner to conduct an examination of an insurer at the commissioner’s discretion.

This bill w ould require a residential property insurer to submit a detailed disaster response plan to the department before April 1, 2027, and would require the plan to be updated e very 2 years or upon the commissioner’s request. The bill w ould also require a residential property insurer to report to the commissioner the losses, claims, and estimate of total incurred losses no later than 15 calendar days from the date a state of emergency was declared if there is a related covered loss. (10)  Existing la w defines certain actions as unf air methods of competition and unfair and deceptive acts or practices in the b usiness of insurance. Under e xisting law, a person who eng ages in an unf air method of competition or an unfair or deceptive act or practice is liable to the state for a ci vil penalty to be fix ed by the commissioner, not to exceed $5,000 for each act, or, if the act or practice was willful, a civil penalty not to exceed $10,000 for each act. Existing law authorizes the commissioner to order a respondent to pro vide restitution for a loss arising from the respondent’ s conduct, b ut exempts specified surplus line brok ers, production agencies, and administrators from those restitution orders.

This bill would additionally make a person who engages in an unfair method of competition or an unfair or deceptive act or practice relating to a state of emergency liable to the state for a civil penalty to be fixed by the commissioner, not to exceed $10,000 for each act, or, if the act or practice was willful, a civil penalty not to exceed $20,000 for each act. The bill would authorize the commissioner to order a person who engages in an unf air method of competition or an unf air or deceptive act or practice to pro vide restitution, as specified. The bill w ould eliminate the restitution order e xemption for surplus line brok ers, production agencies, and administrators.

The California Constitution requires the state to reimb urse local agencies and school districts for certain costs mandated by the state.

Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.
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Vote: majority. Appropriation: no. Fiscal committee: yes.​ State-mandated local program: yes.​
The people of the State of California do enact as follows:
line 1 SECTION 1. Section 790.035 of the Insurance Code is line 2 amended to read:
line 3 790.035. (a)  A person who eng ages in an unf air method of line 4 competition or an unf air or decepti ve act or practice defined in line 5 Section 790.03 is liable to the state for a civil penalty to be fixed line 6 by the commissioner, not to exceed five thousand dollars ($5,000) line 7 for each act, or, if the act or practice w as willful, a ci vil penalty line 8 not to exceed ten thousand dollars ($10,000) for each act. line 9 (b)  A person who engages in an unfair method of competition line 10 or an unfair or deceptive act or practice defined in Section 790.03 line 11 relating to a state of emergency, as defined in Section 8558 of the line 12 Government Code, is liable to the state for a ci vil penalty, to be line 13 fixed by the commissioner, of no less than fiv e thousand dollars line 14 ($5,000) for each act, not to exceed ten thousand dollars ($10,000) line 15 for each act, or, if the act or practice w as willful, a ci vil penalty line 16 of no less than ten thousand dollars ($10,000) for each act, not to line 17 exceed twenty thousand dollars ($20,000) for each act. line 18 (c)  The commissioner shall have the discretion to establish what line 19 constitutes an act. Ho wever, when the issuance, amendment, or line 20 servicing of a polic y or endorsement is inadv ertent, all of those line 21 acts shall be a single act for the purpose of this section. line 22 (d)  The penalty imposed pursuant to this section shall be line 23 imposed by and determined by the commissioner as pro vided by line 24 Section 790.05. The penalty imposed by this section is appealable line 25 by means of a remedy pro vided by Section 12940 or by Chapter line 26 5 (commencing with Section 11500) of P art 1 of Di vision 3 of line 27 Title 2 of the Government Code.
line 28 (e)  In addition to a penalty imposed pursuant to this section, the line 29 commissioner may order a person who engages in an unfair method line 30 of competition or an unfair or deceptive act or practice defined in line 31 Section 790.03 to pro vide restitution for a loss arising from the line 32 person’s conduct, pursuant to Section 12928.7.
line 33 SEC. 2. Section 2051 of the Insurance Code is amended to line 34 read:
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line 1 2051. (a)  Under an open policy, the measure of indemnity in line 2 fire insurance is the expense to the insured of replacing the thing line 3 lost or injured in its condition at the time of the injury, the expense line 4 being computed as of the time of the commencement of the fire. line 5 (b)  (1)  Under an open polic y that requires payment of actual line 6 cash value, the measure of the actual cash value recovery, in whole line 7 or partial settlement of the claim, for either a total or partial loss line 8 to the structure or its contents, shall be the amount it w ould cost line 9 the insured to repair, rebuild, or replace the thing lost or injured line 10 less a fair and reasonable deduction for physical depreciation based line 11 upon its condition at the time of the injury or the polic y limit, line 12 whichever is less. A deduction for physical depreciation shall apply line 13 only to components of a structure that are normally subject to line 14 repair and replacement during the useful life of that structure. line 15 (2)  If there is a total loss to the insured structure, the insurer line 16 shall pay the actual cash value associated with the primary structure line 17 and other insured structures, as determined by this section, within line 18 30 calendar days from the date of loss. A payment that is not made line 19 pursuant to this section within 30 calendar days shall accrue interest line 20 payable to the insured pursuant to Section 2057. line 21 SEC. 3. Section 2051.5 of the Insurance Code is amended to line 22 read:
line 23 2051.5. (a)  (1)  Under an open polic y that requires payment line 24 of the replacement cost for a loss, the measure of indemnity is the line 25 amount that it would cost the insured to repair, rebuild, or replace line 26 the thing lost or injured, without a deduction for ph ysical line 27 depreciation, or the policy limit, whichever is less. line 28 (2)  If the policy requires the insured to repair, rebuild, or replace line 29 the damaged property in order to collect the full replacement cost, line 30 the insurer shall pay the actual cash value of the damaged property, line 31 as defined in Section 2051, until the damaged property is repaired, line 32 rebuilt, or replaced. Once the property is repaired, reb uilt, or line 33 replaced, the insurer shall pay the dif ference between the actual line 34 cash value payment made and the full replacement cost reasonably line 35 paid to replace the damaged property, up to the limits stated in the line 36 policy.
line 37 (3)  After an actual cash v alue payment is made pursuant to line 38 Section 2051, an insurer shall pay the undisputed amount of line 39 replacement cost associated with the primary structure and other 98 SB 876 — 7 —

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line 1 insured structures, up to the limits in the policy, within 30 calendar line 2 days from the occurrence of one the following:
line 3 (A)  The date upon which the insured obtains a v alid and line 4 executed contract with a licensed contractor to rebuild the insured line 5 structure at its original location or at another location. line 6 (B)  The date upon which the insured enters into contract or line 7 escrow to purchase a replacement home at another location. line 8 (4)  A payment that is not made pursuant to this section within line 9 30 calendar days shall accrue interest payable to the insured line 10 pursuant to Section 2057.
line 11 (b)  (1)  (A)  A time limit of less than 12 months from the date line 12 that the first payment to ward the actual cash v alue is made shall line 13 not be placed upon an insured in order to collect the full line 14 replacement cost of the loss, subject to the policy limit. line 15 (B)  If a loss is relating to a state of emer gency, as defined in line 16 Section 8558 of the Go vernment Code, a time limit of less than line 17 36 months from the date that the first payment to ward the actual line 18 cash value is made shall not be placed upon the insured in order line 19 to collect the full replacement cost of the loss, subject to the policy line 20 limit.
line 21 (C)  This section does not prohibit an insurer from allowing the line 22 insured additional time to collect the full replacement cost. line 23 (2)  An insurer shall pro vide to a polic yholder one or more line 24 additional extensions of six months for good cause pursuant to line 25 subparagraph (A) or (B) of paragraph (1) if the insured, acting in line 26 good faith and with reasonable diligence, encounters a delay or line 27 delays in approval for, or reconstruction of, the home or residence line 28 that are beyond the control of the insured. Circumstances beyond line 29 the control of the insured include, b ut are not limited to, line 30 unavoidable construction permit delays, the lack of necessary line 31 construction materials, or the una vailability of contractors to line 32 perform the necessary work.
line 33 (3)  (A)  If a loss is relating to a state of emer gency, as defined line 34 in Section 8558 of the Go vernment Code, an insurer shall not line 35 require the insured to provide proof of loss less than 100 days after line 36 the loss.
line 37 (B)  The insurer shall pro vide to the insured one or more line 38 additional extensions of three months for submission of proof of line 39 loss for good cause if the insured, acting in good f aith and with line 40 reasonable diligence, encounters a delay in providing proof of loss 98 — 8 — SB 876

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line 1 that is beyond the control of the insured. Circumstances be yond line 2 the control of the insured may include, but are not limited to, any line 3 of the following, where applicable to the specific claim:
line 4 (i)  Delays by the insurer in ackno wledging the claim or line 5 providing the claimant necessary forms, instructions, and line 6 reasonable assistance, including, but not limited to, specifying the line 7 information the claimant must provide for proof of loss. line 8 (ii)  For personal property co verage, the f act that a personal line 9 property inventory is premature if the primary structure has not line 10 yet commenced construction.
line 11 (iii)  The una vailability of contractors to either perform the line 12 necessary work or create an estimate to rebuild, repair, or replace. line 13 (iv)  The disability, injury, or incapacity of the insured. line 14 (v)  The inability of the insured to access the insured property line 15 as a result of governmental action or because the insured property line 16 is located in an area that is exposed to hazardous materials posing line 17 a health risk.
line 18 (c)  (1)  If there is a total loss of the insured structure, a polic y line 19 issued or delivered in this state shall not contain a pro vision that line 20 limits or denies, on the basis that the insured has decided to rebuild line 21 at a new location or to purchase an already b uilt home at a ne w line 22 location, payment of the b uilding code upgrade cost or full line 23 replacement cost, including an y e xtended replacement cost line 24 coverage, to the e xtent those costs are otherwise co vered by the line 25 terms of the polic y or an y polic y endorsement. Ho wever, the line 26 measure of indemnity shall not e xceed the replacement cost, line 27 including the b uilding code upgrade cost and an y e xtended line 28 replacement cost co verage, if applicable, to repair , reb uild, or line 29 replace the insured structure at its original location, up to the limits line 30 stated in the policy. Notwithstanding a provision in a policy issued, line 31 amended, or renewed on or after January 1, 2027, for purposes of line 32 this paragraph, if the insured has decided to reb uild at a ne w line 33 location or to purchase an already b uilt home at a ne w location, line 34 the building code upgrade cost payable shall include all costs that line 35 would have been incurred if the insured structure been completely line 36 rebuilt at its original location.
line 37 (2)  Notwithstanding any other la w, for a residential property line 38 insurance polic y, the measure of damages a vailable to a line 39 policyholder to use to reb uild or replace the insured home at line 40 another location shall be the amount that w ould ha ve been 98 SB 876 — 9 —

Item: 15
596

line 1 recoverable had the insured dwelling been reb uilt at its original line 2 location, and a deduction for the value of land at the new location line 3 shall not be permitted from that measure of damages. Ho wever, line 4 the measure of indemnity shall not exceed the cost, including the line 5 building code upgrade cost and an y extended replacement cost line 6 coverage, if applicable, to reb uild the insured structure at its line 7 original location.
line 8 (d)  This section does not prohibit an insurer from restricting line 9 payment in cases of suspected fraud.
line 10 (e)  On and after July 1, 2026, all policy forms issued or renewed line 11 by an insurer shall comply with this section in its entirety, including line 12 the changes made to this section by the act that added this line 13 paragraph.
line 14 SEC. 4. Section 2060 of the Insurance Code is amended to line 15 read:
line 16 2060. (a)  (1)  If there is a loss under a homeowners’ insurance line 17 policy for which the insured has made a claim for additional living line 18 expenses, the insurer shall provide the insured with a written list line 19 of items that the insurer believes may be covered under the policy line 20 as additional living expenses. The list may include a statement that line 21 the list is not intended to include all items covered under the policy, line 22 but only those that are commonly claimed, if this is the case. If line 23 the department develops a list for use by insurers, the insurer may line 24 use that list. The list provided by the insurer may be transmitted line 25 as an electronic document pursuant to Section 38.6. line 26 (2)  Additional living expense coverage under a homeo wners’ line 27 insurance policy shall include reimb ursement for all reasonable line 28 additional expenses incurred by the insured, o ver and abo ve the line 29 expenses incurred before the loss, for the insured to maintain a line 30 comparable standard of living for the time the insured dwelling is line 31 not habitable due to a covered loss, up to the limits in the polic y, line 32 if any. These additional costs shall include temporary housing, line 33 furniture rental, food, transportation, storage, and boarding of pets. line 34 (3)  Under a homeowners’ insurance policy for which the insured line 35 has made a claim for additional living expenses, the insured may line 36 choose to e xercise the option, in lieu of seeking reimb ursement line 37 for itemized expenses, to collect the monthly f air rental value of line 38 the dwelling for the time the insured dwelling is not habitable due line 39 to the co vered loss, up to the limits of the polic y, if an y. F or line 40 purposes of this paragraph, the fair rental value is the amount the 98 — 10 — SB 876

Item: 15
597

line 1 insured dwelling could ha ve demanded for rental in furnished line 2 condition at the time of the loss.
line 3 (b)  (1)  If there is a covered loss relating to a state of emergency, line 4 as defined in Section 8558 of the Government Code, coverage for line 5 additional living expenses shall be for a period of no less than 24 line 6 months from the inception of the loss, but shall be subject to other line 7 policy provisions. An insurer shall grant an extension of up to 12 line 8 additional months, for a total of 36 months, if an insured acting in line 9 good faith and with reasonable diligence encounters a delay or line 10 delays in the reconstruction process that are the result of line 11 circumstances beyond the control of the insured. Circumstances line 12 beyond the control of the insured include, b ut are not limited to, line 13 unavoidable construction permit delays, lack of necessary line 14 construction materials, and lack of available contractors to perform line 15 the necessary work. Additional extensions of six months shall be line 16 provided to policyholders for good cause.
line 17 (2)  A polic y that pro vides co verage for additional li ving line 18 expenses subject to this subdi vision shall not limit the line 19 policyholder’s right to reco very if the insured home is rendered line 20 uninhabitable by a covered peril. However, an insurer may, in lieu line 21 of making living expense payments required by this subdivision, line 22 provide a reasonable alternative remedy that addresses the property line 23 condition that precludes reasonable habitation of the insured line 24 premises. The additional living expense coverage subject to this line 25 section does not include a utility public safety power shut off event, line 26 which is the deenergization of a portion of the electrical distribution line 27 or transmission system to reduce the risk of wildfire ignition. line 28 (3)  If there is a co vered total loss relating to a state of line 29 emergency, as defined in Section 8558 of the Go vernment Code, line 30 the policy limits, if an y, for additional li ving expenses shall be line 31 increased by an amount equal to 100 percent of the polic y limits line 32 for this coverage.
line 33 (4)  Additional li ving e xpenses pro vided pursuant to this line 34 subdivision shall be for the period of time that the insured premises line 35 is deemed uninhabitable and shall extend 15 calendar days beyond line 36 the date upon which the premises is deemed habitable for the line 37 insured to make the necessary arrangements to move back into the line 38 premises.
line 39 (c)  For a loss that is otherwise not subject to subdivision (b), if line 40 there is a state of emer gency, as defined in Section 8558 of the 98 SB 876 — 11 —

Item: 15
598

line 1 Government Code, that is accompanied by an order of ci vil line 2 authority restricting access to the home, related to a covered peril, line 3 additional living expense coverage shall be pro vided for at least line 4 two weeks. Additional extensions of two weeks shall be provided line 5 to a policyholder for good cause, but shall be subject to other policy line 6 provisions.
line 7 (d)  This section applies to homeowners’ insurance policies that line 8 provide coverage for additional li ving expenses, loss of use, f air line 9 rental v alue, or similar terms used by insurers to identify the line 10 benefits described in this section.
line 11 SEC. 5. Section 2071 of the Insurance Code is amended to line 12 read:
line 13 2071. (a)  The following is adopted as the standard form of line 14 fire insurance policy for this state:
line 15
line 16 California Standard Form Fire Insurance Policy
line 17
line 18 No.
line 19 [Space for insertion of name of company or companies issuing line 20 the policy and other matter permitted to be stated at the head of line 21 the policy.]
line 22 [Space for listing amounts of insurance, rates and premiums for line 23 the basic coverages insured under the standard form of policy and line 24 for additional co verages or perils insured under endorsements line 25 attached.]
line 26 In consideration of the pro visions and stipulations herein or line 27 added hereto and of ____ dollars premium this compan y, for the line 28 term of ________
line 29
line 30 At 12:01 a.m., ⎫ from the ________ day of _______, 20 _______ line 31 standard time, ⎭ to the __________ day of ________ , 20 ______ line 32
line 33 at location of property involved, to an amount not exceeding ____ line 34 dollars, does insure ________ and le gal representatives, to the line 35 extent of the actual cash value of the property at the time of loss, line 36 but not e xceeding the amount which it w ould cost to repair or line 37 replace the property with material of like kind and quality within line 38 a reasonable time after the loss, without allo wance for an y line 39 increased cost of repair or reconstruction by reason of an y line 40 ordinance or la w regulating construction or repair , and without 98 — 12 — SB 876

Item: 15
599

line 1 compensation for loss resulting from interruption of b usiness or line 2 manufacture, nor in an y event for more than the interest of the line 3 insured, ag ainst all LOSS BY FIRE, LIGHTNING AND BY line 4 REMOVAL FR OM PREMISES END ANGERED BY THE
line 5 PERILS INSURED AGAINST IN THIS POLICY, EXCEPT AS line 6 HEREINAFTER PROVIDED, to the property described hereinafter line 7 while located or contained as described in this polic y, or pro rata line 8 for five days at each proper place to which an y of the property line 9 shall necessarily be remo ved for preserv ation from the perils line 10 insured against in this policy, but not elsewhere. line 11 Assignment of this polic y shall not be v alid e xcept with the line 12 written consent of this company.
line 13 This polic y is made and accepted subject to the fore going line 14 provisions and stipulations and those hereinafter stated, which are line 15 hereby made a part of this polic y, together with an y other line 16 provisions, stipulations and agreements as may be added hereto, line 17 as provided in this policy.
line 18 IN WITNESS WHEREOF, this compan y has e xecuted and line 19 attested these presents; b ut this polic y shall not be v alid unless line 20 countersigned by the duly authorized agent of this company at line 21
line 22 President. Secretary.
line 23 day of _______________ , 20 ______    Countersigned this_____________ line 24 ___________________________Agent
line 25
line 26 Concealment, fraud
line 27
line 28 This entire policy shall be void if, whether before or after a loss, line 29 the insured has willfully concealed or misrepresented any material line 30 fact or circumstance concerning this insurance or the subject line 31 thereof, or the interest of the insured therein, or in case of an y line 32 fraud or false swearing by the insured relating thereto. line 33
line 34 Uninsurable and excepted property
line 35
line 36 This polic y shall not co ver accounts, bills, currenc y, deeds, line 37 evidences of debt, mone y or securities; nor , unless specifically line 38 named hereon in writing, bullion or manuscripts. 98 SB 876 — 13 —

Item: 15
600

line 1 Perils not included
line 2
line 3 This company shall not be liable for loss by fire or other perils line 4 insured against in this policy caused, directly or indirectly, by: (a) line 5 enemy attack by armed forces, including action taken by military, line 6 naval or air forces in resisting an actual or an immediately line 7 impending enemy attack; (b) in vasion; (c) insurrection; (d) line 8 rebellion; (e) revolution; (f) civil war; (g) usurped power; (h) order line 9 of any civil authority except acts of destruction at the time of and line 10 for the purpose of preventing the spread of fire, provided that the line 11 fire did not originate from any of the perils excluded by this policy; line 12 (i) neglect of the insured to use all reasonable means to sa ve and line 13 preserve the property at and after a loss, or when the property is line 14 endangered by fire in neighboring premises; (j) nor shall this line 15 company be liable for loss by theft.
line 16
line 17 Other insurance
line 18
line 19 Other insurance may be prohibited or the amount of insurance line 20 may be limited by endorsement attached hereto.
line 21
line 22 Conditions suspending or restricting insurance
line 23
line 24 Unless otherwise provided in writing added hereto this company line 25 shall not be liable for loss occurring (a) while the hazard is line 26 increased by an y means within the control or kno wledge of the line 27 insured; or (b) while a described b uilding, whether intended for line 28 occupancy by owner or tenant, is vacant or unoccupied beyond a line 29 period of 60 consecuti ve days; or (c) as a result of e xplosion or line 30 riot, unless fire ensues, and in that event for loss by fire only. line 31
line 32 Other perils or subjects
line 33
line 34 Any other peril to be insured against or subject of insurance to line 35 be covered in this policy shall be by endorsement in writing hereon line 36 or added hereto.
98 — 14 — SB 876

Item: 15
601

line 1 Added provisions
line 2
line 3 The extent of the application of insurance under this policy and line 4 of the contrib ution to be made by this compan y in case of loss, line 5 and any other pro vision or agreement not inconsistent with the line 6 provisions of this polic y, may be pro vided for in writing added line 7 hereto, but no provision may be waived except such as by the terms line 8 of this policy or by statute is subject to change. line 9
line 10 Waiver provisions
line 11
line 12 No permission affecting this insurance shall exist, or waiver of line 13 any pro vision be v alid, unless granted herein or e xpressed in line 14 writing added hereto. No provision, stipulation or forfeiture shall line 15 be held to be waived by any requirement or proceeding on the part line 16 of this compan y relating to appraisal or to an y e xamination line 17 provided for herein.
line 18
line 19 Cancellation of policy
line 20
line 21 This policy shall be canceled at an y time at the request of the line 22 insured, in which case this compan y shall, upon demand and line 23 surrender of this policy, refund the excess of paid premium above line 24 the customary short rates for the expired time. This policy may be line 25 canceled at any time by this compan y by giving to the insured a line 26 20 days’ written notice of cancellation with or without tender of line 27 the excess of paid premium abo ve the pro rata premium for the line 28 expired time, which excess, if not tendered, shall be refunded on line 29 demand. Notice of cancellation shall state that said excess premium line 30 (if not tendered) will be refunded on demand. If the reason for line 31 cancellation is nonpayment of premium, this polic y may be line 32 canceled by this compan y by gi ving to the insured a 10 days’ line 33 written notice of cancellation.
line 34
line 35 Mortgagee interests and obligations
line 36
line 37 If loss hereunder is made payable, in whole or in part, to a line 38 designated mortgagee not named herein as the insured, the interest line 39 in this polic y may be canceled by gi ving to the mortg agee a 10 line 40 days’ written notice of cancellation.
98 SB 876 — 15 —

Item: 15
602

line 1 If the insured fails to render proof of loss the mortg agee, upon line 2 notice, shall render proof of loss in the form herein specified within line 3 60 days thereafter and shall be subject to the pro visions hereof line 4 relating to appraisal and time of payment and of bringing suit. If line 5 this compan y shall claim that no liability e xisted as to the line 6 mortgagor or owner, it shall, to the e xtent of payment of loss to line 7 the mortg agee, be subrog ated to all the mortg agee’s rights of line 8 recovery, but without impairing mortgagee’s right to sue; or it may line 9 pay off the mortgage debt and require an assignment thereof and line 10 of the mortg age. Other pro visions relating to the interests and line 11 obligations of the mortgagee may be added hereto by agreement line 12 in writing.
line 13
line 14 Pro rata liability
line 15
line 16 This company shall not be liable for a greater proportion of any line 17 loss than the amount hereby insured shall bear to the whole line 18 insurance covering the property against the peril involved, whether line 19 collectible or not.
line 20
line 21 Requirements in case loss occurs
line 22
line 23 The insured shall give written notice to this company of any loss line 24 without unnecessary delay , protect the property from further line 25 damage, forthwith separate the damaged and undamaged personal line 26 property, put it in the best possible order , furnish a complete line 27 inventory of the destro yed, damaged and undamaged property , line 28 showing in detail quantities, costs, actual cash v alue and amount line 29 of loss claimed; and within 60 days after the loss, unless the time line 30 is extended in writing by this compan y, the insured shall render line 31 to this company a proof of loss, signed and sworn to by the insured, line 32 stating the knowledge and belief of the insured as to the following:
line 33 the time and origin of the loss, the interest of the insured and of line 34 all others in the property, the actual cash value of each item thereof line 35 and the amount of loss thereto, all encumbrances thereon, all other line 36 contracts of insurance, whether valid or not, covering any of said line 37 property, an y changes in the title, use, occupation, location, line 38 possession or exposures of said property since the issuing of this line 39 policy, by whom and for what purpose an y b uilding herein line 40 described and the several parts thereof were occupied at the time 98 — 16 — SB 876

Item: 15
603

line 1 of loss and whether or not it then stood on leased ground, and shall line 2 furnish a copy of all the descriptions and schedules in all policies line 3 and, if required and obtainable, v erified plans and specifications line 4 of any building, fixtures or machinery destroyed or damaged. line 5 The insured, as often as may be reasonably required and subject line 6 to the pro visions of Section 2071.1, shall e xhibit to an y person line 7 designated by this company all that remains of any property herein line 8 described, and submit to examinations under oath by any person line 9 named by this company, and subscribe the same; and, as often as line 10 may be reasonably required, shall produce for e xaminations all line 11 books of account, bills, invoices, and other vouchers, or certified line 12 copies thereof if the originals be lost, at an y reasonable time and line 13 place as may be designated by this company or its representative, line 14 and shall permit extracts and copies thereof to be made. The insurer line 15 shall inform the insured that tax returns are pri vileged ag ainst line 16 disclosure under applicable law but may be necessary to process line 17 or determine the claim.
line 18 The insurer shall notify e very claimant that the y may obtain, line 19 upon request, copies of claim-related documents. For purposes of line 20 this section, “claim-related documents” means all documents that line 21 relate to the evaluation of damages, including, but not limited to, line 22 repair and replacement estimates and bids, appraisals, scopes of line 23 loss, drawings, plans, reports, third-party findings on the amount line 24 of loss, co vered damages, and cost of repairs, and all other line 25 valuation, measurement, and loss adjustment calculations, whether line 26 preliminary or final, that in any way relate to the amount of loss, line 27 covered damage, and cost of repairs. Ho wever, attorne y w ork line 28 product and attorney-client privileged documents, and documents line 29 that indicate fraud by the insured or that contain medically line 30 privileged information, are excluded from the documents an insurer line 31 is required to provide pursuant to this section to a claimant. Within line 32 15 calendar days after recei ving a request from an insured for line 33 claim-related documents, the insurer shall provide the insured with line 34 copies of all claim-related documents, e xcept those excluded by line 35 this section. Nothing in this section shall be construed to af fect line 36 existing litigation discovery rights.
line 37 After a covered loss, the insurer shall provide, free of charge, a line 38 complete, current copy of this policy within 30 calendar days of line 39 receipt of a request from the insured. The time period for providing line 40 this policy may be extended by the Insurance Commissioner. 98 SB 876 — 17 —

Item: 15
604

line 1 An insured who does not experience a covered loss shall, upon line 2 request, be entitled to one free cop y of this polic y annually. The line 3 policy provided to the insured shall include, where applicable, the line 4 policy declarations page.
line 5
line 6 Appraisal
line 7
line 8 In case the insured and this company shall fail to agree as to the line 9 actual cash value or the amount of loss, then, on the written request line 10 of either, each shall select a competent and disinterested appraiser line 11 and notify the other of the appraiser selected within 20 days of the line 12 request. Where the request is accepted, the appraisers shall first line 13 select a competent and disinterested umpire; and f ailing for 15 line 14 days to agree upon the umpire, then, on request of the insured or line 15 this company, the umpire shall be selected by a judge of a court line 16 of record in the state in which the property co vered is located. line 17 Appraisal proceedings are informal unless the insured and this line 18 company mutually agree otherwise. For purposes of this section, line 19 “informal” means that no formal disco very shall be conducted, line 20 including depositions, interrogatories, requests for admission, or line 21 other forms of formal civil discovery, no formal rules of evidence line 22 shall be applied, and no court reporter shall be used for the line 23 proceedings. The appraisers shall then appraise the loss, stating line 24 separately actual cash value and loss to each item; and, failing to line 25 agree, shall submit their differences, only, to the umpire. An award line 26 in writing, so itemized, of any two when filed with this company line 27 shall determine the amount of actual cash v alue and loss. Each line 28 appraiser shall be paid by the party selecting him or her and the line 29 expenses of appraisal and umpire shall be paid by the parties line 30 equally. In the event of a government-declared disaster, as defined line 31 in the Government Code, appraisal may be requested by either the line 32 insured or this company but shall not be compelled. line 33
line 34 Adjusters
line 35
line 36 If the compan y assigns a subsequent adjuster to be primarily line 37 responsible for a claim, the insurer , in a timely manner , shall line 38 provide the insured with a written status report within five working line 39 days of the assignment. F or purposes of this section, a written line 40 status report shall include a summary of any decisions or actions 98 — 18 — SB 876

Item: 15
605

line 1 that are substantially related to the disposition of a claim, including, line 2 but not limited to, the amount of losses to structures or contents, line 3 the retention or consultation of design or construction professionals, line 4 the amount of co verage for losses to structures or contents, the line 5 dollar amount of claims paid to date for each portion of coverage, line 6 and all items of dispute or pending.
line 7
line 8 Company’s options
line 9
line 10 It shall be optional with this company to take all, or any part, of line 11 the property at the agreed or appraised v alue, and also to repair , line 12 rebuild or replace the property destro yed or damaged with other line 13 of like kind and quality within a reasonable time, on giving notice line 14 of its intention so to do within 30 days after the receipt of the proof line 15 of loss herein required.
line 16
line 17 Abandonment
line 18
line 19 There can be no abandonment to this company of any property. line 20
line 21 When loss payable
line 22
line 23 The amount of loss for which this company may be liable shall line 24 be payable 60 days after proof of loss, as herein pro vided, is line 25 received by this compan y and ascertainment of the loss is made line 26 either by agreement between the insured and this compan y line 27 expressed in writing or by the filing with this company of an award line 28 as herein provided.
line 29
line 30 Suit
line 31
line 32 No suit or action on this polic y for the reco very of an y claim line 33 shall be sustainable in an y court of la w or equity unless all the line 34 requirements of this polic y shall ha ve been complied with, and line 35 unless commenced within 12 months ne xt after inception of the line 36 loss. If the loss is related to a state of emer gency, as defined in line 37 subdivision (b) of Section 8558 of the Government Code, the time line 38 limit to bring suit is extended to 24 months after inception of the line 39 loss.
98 SB 876 — 19 —

Item: 15
606

line 1 Subrogation
line 2
line 3 This company may require from the insured an assignment of line 4 all right of reco very against any party for loss to the e xtent that line 5 payment therefor is made by this company.
line 6
line 7 (b)  Any amendments to this section by the enactment of Senate line 8 Bill 658 of the 2001–02 Re gular Session shall go vern a polic y line 9 utilizing the form provided in subdivision (a) when that policy is line 10 originated or renewed on or after January 1, 2002. line 11 (c)  The amendments to this section made by the act adding this line 12 subdivision shall go vern a polic y utilizing the form pro vided in line 13 subdivision (a) when that polic y is originated or rene wed on or line 14 after January 1, 2004.
line 15 (d)  (1)  The amendments to this section made by the act adding line 16 this subdivision govern a policy originated or renewed on or after line 17 the effective date of this act.
line 18 (2)  Notwithstanding paragraph (1), an insurer shall incorporate line 19 the revisions to the standard form of fire insurance polic y made line 20 by the act adding this subdivision on or before July 1, 2019. line 21 SEC. 6. Section 10102 of the Insurance Code is amended to line 22 read:
line 23 10102. (a)  The disclosure required by Section 10101 shall be line 24 in no less than 10-point type and shall be pro vided prior to or line 25 concurrent with, the application for a policy of residential property line 26 insurance. In the event that an application is made by telephone, line 27 an insurer that mails a copy of the disclosure within three business line 28 days shall be in compliance with this section. For policies issued line 29 on or after July 1, 1993, the agent or insurer shall obtain the line 30 applicant’s signature acknowledging receipt of the disclosure form line 31 within 60 days of the date of the application. When the insurer or line 32 agent establishes delivery of the disclosure form by obtaining the line 33 signature of the applicant or insured, or when an insurer or agent line 34 provides the applicant with the disclosure form and the applicant line 35 does not return a signed acknowledgment of receipt within 60 days line 36 of the date it was provided, there shall be a conclusive presumption line 37 that the insurer or agent has complied with the disclosure line 38 requirement of this chapter . The insurer or agent shall ha ve the line 39 burden of demonstrating in accordance with California Rules of 98 — 20 — SB 876

Item: 15
607

line 1 Evidence that the disclosure w as pro vided to the applicant or line 2 insured. A signature shall not be required at the time of renewal. line 3 If the disclosure is mailed to the named insured or applicant, it line 4 shall be mailed to the mailing address sho wn on the polic y of line 5 residential property insurance or to the address requested by the line 6 applicant. First-class mail shall be deemed adequate for proof of line 7 mailing. The insurer shall ha ve the b urden of demonstrating in line 8 accordance with California Rules of Evidence that the disclosure line 9 was mailed to the applicant or insured.
line 10 The disclosure shall contain the following language:
line 11
line 12 “NOTICE TO CONSUMERS — CALIFORNIA RESIDENTIAL
line 13 INSURANCE DISCLOSURE
line 14
line 15 This disclosure is required by Section 10102 of the California Insurance Code. line 16 This form provides general information related to residential property insurance line 17 and is not part of your residential property insurance policy. Only the specific line 18 provisions of your policy will determine whether a particular loss is covered line 19 and the amount payable. The information provided does not preempt existing line 20 California law.
line 21
line 22 PRIMARY FORMS OF RESIDENTIAL DWELLING COVERAGE
line 23
line 24 You have purchased the coverage(s) checked below. NOTE: Actual Cash line 25 Value Coverage is the most limited level of coverage listed. Guaranteed line 26 Replacement Cost is the broadest level of coverage. line 27
line 28 ______ ACTUAL CASH VALUE COVERAGE for either a total or partial line 29 loss to the structure or its contents pays the amount it would cost you to repair, line 30 rebuild, or replace the thing lost or injured, less a fair and reasonable deduction line 31 for physical depreciation based upon its condition at the time of the injury or line 32 the policy limit, whichever is less. A deduction for physical depreciation applies line 33 only to components of a structure that are normally subject to repair and line 34 replacement during the useful life of that structure. line 35
line 36 ______ REPLACEMENT COST COVERAGE is intended to provide for line 37 the cost to repair or replace the damaged or destroyed dwelling, without a line 38 deduction for physical depreciation. Many policies pay only the dwelling’s line 39 actual cash value until the insured has actually begun or completed repairs or 98 SB 876 — 21 —

Item: 15
608

line 1 reconstruction on the dwelling. Coverage only pays for replacement costs up line 2 to the limits specified in your policy.
line 3
line 4 ______ EXTENDED REPLACEMENT COST COVERAGE is intended line 5 to provide for the cost to repair or replace the damaged or destroyed dwelling line 6 without a deduction for physical depreciation. Many policies pay only the line 7 dwelling’s actual cash value until the insured has actually begun or completed line 8 repairs or reconstruction on the dwelling. Extended Replacement Cost provides line 9 additional coverage above the dwelling limits up to a stated percentage or line 10 specific dollar amount. See your policy for the additional coverage that applies. line 11
line 12 ______ GUARANTEED REPLACEMENT COST COVERAGE covers line 13 the full cost to repair or replace the damaged or destroyed dwelling for a line 14 covered peril regardless of the dwelling limits shown on the policy declarations line 15 page.
line 16
line 17 ______ BUILDING CODE UPGRADE COVERAGE, also called Ordinance line 18 and Law coverage, covers additional costs to repair or replace a dwelling to line 19 comply with the building codes and zoning laws in effect at the time of line 20 rebuilding and required for rebuilding. These costs may otherwise be excluded line 21 by your policy. Meeting current building code requirements can add significant line 22 costs to rebuilding your home. Refer to your policy or endorsement for the line 23 specific coverage provided and coverage limits that apply. line 24
line 25 READ YOUR POLICY AND POLICY DECLARATIONS PAGE
line 26 CAREFULLY: The policy declarations page shows the specific coverage line 27 limits you have purchased for your dwelling, personal property, separate line 28 structures such as detached garages, and additional living expenses. The actual line 29 policy and endorsements provide details on extensions of coverage, limitations line 30 of coverage, and coverage conditions and exclusions. The amount of any claim line 31 payment made to you will be reduced by any applicable deductibles shown on line 32 your policy declarations page. It is important to take the time to consider line 33 whether the limits and limitations of your policy meet your needs. Contact line 34 your agent, broker, or insurance company if you have questions about what is line 35 covered or if you want to discuss your coverage options. line 36
line 37 INFORMATION YOU SHOULD KNOW ABOUT RESIDENTIAL
line 38 DWELLING INSURANCE
line 39
98 — 22 — SB 876

Item: 15
609

line 1 AVOID BEING UNDERINSURED: Insuring your home for less than its line 2 replacement cost may result in your having to pay thousands of dollars out of line 3 your own pocket to rebuild your home if it is completely destroyed. Contact line 4 your agent, broker, or insurance company immediately if you believe your line 5 policy limits may be inadequate.
line 6
line 7 THE RESIDENTIAL DWELLING COVERAGE LIMIT: The coverage line 8 limit on the dwelling structure should be high enough so you can rebuild your line 9 home if it is completely destroyed. Please note:
line 10
line 11 ◼  The cost to rebuild your home is almost always different from the market line 12 value.
line 13 ◼  Dwelling coverage limits do not cover the value of your land. line 14 ◼  The estimate to rebuild your home should be based on construction costs line 15 in your area and should be adjusted to account for the features of your home. line 16 These features include, but are not limited to, the square footage, type of line 17 foundation, number of stories, and the quality of the materials used for items line 18 such as flooring, countertops, windows, cabinetry, lighting, and plumbing. line 19 ◼  The cost to rebuild your home should be adjusted each year to account for line 20 inflation.
line 21 ◼  Coverage limits for contents, separate structures, additional living expenses, line 22 and debris removal are usually based on a percentage of the limit for the line 23 dwelling. If your dwelling limit is too low, these coverage limits may also be line 24 too low.
line 25
line 26 You are encouraged to obtain a current estimate of the cost to rebuild your line 27 home from your insurance agent, broker, or insurance company or an line 28 independent appraisal from a local contractor, architect, or real estate appraiser. line 29 If you do obtain an estimate of replacement value and wish to change your line 30 policy limits, contact your insurance company. While not a guarantee, a current line 31 estimate can help protect you against being underinsured. line 32
line 33 DEMAND SURGE: After a widespread disaster, the cost of construction can line 34 increase dramatically as a result of the unusually high demand for contractors, line 35 building supplies, and construction labor. This effect is known as demand line 36 surge. Demand surge can increase the cost of rebuilding your home. Consider line 37 increasing your coverage limits or purchasing Extended or Guaranteed line 38 Replacement Cost coverage to prepare for this possibility. line 39
98 SB 876 — 23 —

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610

line 1 CHANGES TO PROPERTY: Changes to your property may increase its line 2 replacement cost. These changes may include the building of additions, line 3 customizing your kitchen or bathrooms, or otherwise remodeling your home. line 4 Failure to advise your insurance company of any significant changes to your line 5 property may result in your home being underinsured. line 6
line 7 EXCLUSIONS: Not all causes of damage are covered by common line 8 homeowners or residential fire policies. You need to read your policy to see line 9 what causes of loss or perils are not covered. Coverage for landslide is typically line 10 excluded. Some excluded perils such as earthquake or flood can be purchased line 11 as an endorsement to your policy or as a separate policy. Contact your agent, line 12 broker, or insurance company if you have a concern about any of the exclusions line 13 in your policy.
line 14
line 15 CONTENTS (PERSONAL PROPERTY) COVERAGE DISCLOSURE:
line 16 This disclosure form does not explain the types of contents coverage provided line 17 by your policy for items such as your furniture or clothing. Contents may be line 18 covered on either an actual cash value or replacement cost basis depending on line 19 the contract. Almost all policies include specific dollar limitations on certain line 20 property that is particularly valuable, such as jewelry, art, or silverware. Contact line 21 your agent, broker, or insurance company if you have any questions about your line 22 contents coverage. You should create a list of all personal property in and line 23 around your home. Pictures and video recordings also help you document your line 24 property. The list, photos, and video should be stored away from your home. line 25
line 26 CONSUMER ASSISTANCE: If you have any concerns or questions, contact line 27 your agent, broker, or insurance company. You are also encouraged to contact line 28 the California Department of Insurance consumer information line at (800) line 29 927-HELP (4357) or at www.insurance.ca.gov for free insurance assistance.” line 30
line 31 (b)  The agent or insurer shall indicate on the disclosure form line 32 which coverages the applicant or insured has selected or purchased. line 33 (c)  The disclosure statement may contain additional provisions line 34 not conflicting with, annulling, or detracting from the foregoing. line 35 (d)  Following the issuance of the policy of residential property line 36 insurance, the insurer shall provide the disclosure statement to the line 37 insured on an e very-other-year basis at the time of rene wal. The line 38 disclosure required by this section may be transmitted with the line 39 material required by Section 10086.1.
98 — 24 — SB 876

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611

line 1 (e)  A polic y of residential property insurance shall not be line 2 initially issued as guaranteed replacement cost co verage if it line 3 contains any maximum limitation of co verage based on an y set line 4 dollar limits, percentage amounts, construction cost limits, line 5 indexing, or an y other preset maximum limitation for co vered line 6 damage to the insured dwelling. The limitations referred to in this line 7 section are solely applicable to dwelling structure co verages. line 8 Endorsements covering additional risks to the insurer’ s dwelling line 9 structure co verage may ha ve internal limits as long as those line 10 endorsements are not called guaranteed replacement cost coverage. line 11 (f)  A polic y of residential property insurance shall not be line 12 renewed as guaranteed replacement cost co verage if it contains line 13 any maximum limitation of coverage based on any set dollar limits, line 14 percentage amounts, construction cost limits, inde xing, or an y line 15 other preset maximum limitation for covered damage to the insured line 16 dwelling. The limitations referred to in this section are solely line 17 applicable to dwelling structure coverages. Endorsements covering line 18 additional risks to the insurer’ s dwelling structure coverage may line 19 have internal limits as long as those endorsements are not called line 20 guaranteed replacement cost coverage.
line 21 (g)  Coverage provided for building code upgrades by a polic y line 22 of residential property insurance shall be applicable to b uilding line 23 codes, ordinances, standards, or laws only to the extent that those line 24 codes, ordinances, standards, or la ws do not impose stricter line 25 standards on the property on the basis of the le vel of insurance line 26 coverage applicable to the property.
line 27 (h)  The disclosure required by Section 10101 shall also be line 28 provided to the mortgagor in the event that a policy is forced placed line 29 by an insurer at the request of a mortgagee. In those cases, neither line 30 the insurer nor the mortgagee shall be required to obtain a signature line 31 from the mortg agor. A disclosure shall not be required to be line 32 provided with respect to blank et policies issued to a mortg agee, line 33 and designed to pro vide interim co verage for losses occurring line 34 before the mortgagee has knowledge of the lapse of the policy and line 35 before placement of a policy on behalf of the mortgagor. line 36 (i)  A disclosure required by Section 10101 that is provided on line 37 and after January 1, 2020, shall include an y fire safety-related line 38 discounts offered by the insurer.
line 39 SEC. 7. Section 10103 of the Insurance Code is amended to line 40 read:
98 SB 876 — 25 —

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line 1 10103. (a)  A policy of residential property insurance shall not line 2 be issued or renewed in this state unless it provides the following line 3 information on the declarations page of the policy:
line 4 (1)  The limits of liability for the structure.
line 5 (2)  The follo wing statement re garding the v aluation of the line 6 structure:
line 7 “The limit of liability for this structure (Coverage A) is based line 8 on an estimate of the cost to rebuild your home, including an line 9 approximate cost for labor and materials in your area, and line 10 specific information that you have provided about your home.” line 11 (3)  Limits of liability for personal property. line 12 (4)  Deductibles.
line 13 (5)  For a residential property insurance polic y that pro vides line 14 replacement cost co verage, a statement that the polic y provides line 15 building code upgrade coverage for the increased costs of repairing line 16 or replacing damage to the insured dwelling caused by a covered line 17 loss because of building ordinances or laws regulating the repair line 18 or replacement. Building code upgrade coverage is provided based line 19 on the increased costs associated with building ordinances or laws line 20 in effect at the time of rebuilding and required for rebuilding, up line 21 to policy limits for this coverage.
line 22 (b)  If the polic y includes b uilding code upgrade co verage, it line 23 shall do both of the following:
line 24 (1)  State it includes b uilding code upgrade co verage on the line 25 declaration page in no less than 10-point type, state any applicable line 26 limits on the amount of coverage, and, if the policy contains other line 27 terms, conditions, or restrictions for co verage, disclose on the line 28 declarations page that those terms, conditions, or restrictions are line 29 identified on a separate disclosure form attached to the declarations line 30 page.
line 31 (2)  If the building code upgrade coverage is subject to any terms, line 32 limits, conditions, or restrictions, state the terms, limits, conditions, line 33 or restrictions on a separate disclosure form attached to the line 34 declarations page. The separate disclosure form shall be printed line 35 in no less than 10-point type.
line 36 (c)  (1)  An open polic y of residential property insurance that line 37 provides replacement cost coverage shall not be issued or renewed line 38 unless it pro vides additional b uilding code upgrade co verage of line 39 no less than 10 percent of the dwelling coverage policy limits. The line 40 building code upgrade coverage required by this subdivision shall 98 — 26 — SB 876

Item: 15
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line 1 be additional coverage, and use of this coverage shall not reduce line 2 or deplete the dwelling co verage polic y limits for the insured line 3 property. This subdi vision does not prohibit an insurer from line 4 offering building code upgrade coverage of greater than 10 percent line 5 of the dwelling co verage policy limits, in addition to pro viding line 6 the minimum co verage of 10 percent of the dwelling co verage line 7 policy limits.
line 8 (2)  If there is a covered loss relating to a state of emergency, as line 9 defined in Section 8558 of the Go vernment Code, building code line 10 upgrade coverage shall be provided at no less than 20 percent of line 11 the dwelling coverage policy limits.
line 12 (d)  The provisions of paragraphs (1), (2), and (5) of subdivision line 13 (a), subdivision (b), and subdivision (c) are not required for policies line 14 purchased by tenants or unit owners that do not cover the structure line 15 of the premises.
line 16 (e)  (1)  The requirements of paragraph (5) of subdi vision (a), line 17 subdivision (b), and subdi vision (c) do not apply to a polic y of line 18 residential property insurance that pro vides actual cash v alue line 19 coverage and does not pro vide replacement cost co verage or line 20 building code upgrade coverage.
line 21 (2)  The requirements of subdivision (c) do not apply to a policy line 22 of residential property insurance that is an apartment polic y, a line 23 tenant’s policy, a renter’s policy, a mobilehome policy, or a policy line 24 insuring individually owned condominium units, if the polic y of line 25 residential property insurance does not provide dwelling structure line 26 coverage. The requirements of subdi vision (c) also do not apply line 27 to a policy covering all or part of a commercial or farm operation, line 28 including a polic y co vering a structure or dwelling unit on line 29 commercial or farm property, regardless of whether the structure line 30 or dwelling unit is o wner occupied or rented for indi vidual line 31 residential purposes.
line 32 (3)  A polic y of residential property insurance that does not line 33 provide b uilding code upgrade co verage shall include on the line 34 declarations page of the polic y in no less than 10-point type the line 35 following statement: “THIS POLICY DOES NO T INCLUDE line 36 BUILDING CODE UPGRADE COVERAGE.”
line 37 (f)  The amendments to this section made by the act adding this line 38 subdivision shall be operative for any policy issued or renewed on line 39 or after July 1, 2021, e xcept that an insurer that files a complete line 40 rate application, including, without limitation, a form change 98 SB 876 — 27 —

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line 1 application or rule filing, by no later than April 1, 2021, in order line 2 to comply with the provisions of this act, shall begin issuing and line 3 renewing policies in compliance with this section within 75 days line 4 following the commissioner’s prior approval of that complete rate line 5 application, including, without limitation, a form change line 6 application or rule filing.
line 7 SEC. 8. Section 10103.2 of the Insurance Code is repealed. line 8 SEC. 9. Section 10103.2 is added to the Insurance Code, to line 9 read:
line 10 10103.2. (a)  A residential property insurance policy shall not line 11 be issued or renewed in this state unless the applicant or insured line 12 is of fered e xtended replacement cost co verage, as defined in line 13 Section 10102, in an amount of no less than 50 percent of coverage line 14 above the polic y limits for the primary dwelling and other line 15 structures. The offer shall be accompanied by the premium charge line 16 for this additional coverage.
line 17 (b)  If an applicant or polic yholder declines the of fer made line 18 pursuant to subdivision (a), the applicant or policyholder shall sign line 19 an agreement ackno wledging that e xtended replacement cost line 20 coverage of at least 50 percent was offered and is being declined. line 21 (c)  An insurer that offers residential property insurance policies line 22 shall notify the department on or before February 1 of each year line 23 of the amount of e xtended replacement cost coverage offered by line 24 the insurer for each polic y or product it sells in California if the line 25 amount is different than what w as reported in the pre vious year. line 26 The department shall use this information to annually update the line 27 Homeowners Co verage Comparison Tool on the department’ s line 28 internet website.
line 29 (d)  A residential property insurance polic y shall not be issued line 30 or renewed in this state unless the applicant or polic yholder is line 31 offered guaranteed replacement cost coverage, as defined in Section line 32 10102, for the primary dwelling and other structures. The offer line 33 shall be accompanied by the premium char ge for this additional line 34 coverage.
line 35 (e)
line 36 (d)  If there is a covered loss relating to a state of emergency, as line 37 defined in Section 8558 of the Go vernment Code, a residential line 38 property insurance polic y shall ha ve the polic y limits for the line 39 primary dwelling and other structures co verages increased by an line 40 amount equal to 50-percent of the polic y limits for each of these 98 — 28 — SB 876

Item: 15
615

line 1 coverages. The 50 percent additional amount of polic y limits line 2 described in this subdivision shall be in addition to any extended line 3 replacement cost coverage, as defined in Section 10102, that may line 4 be included in the policy.
line 5 SEC. 10. Section 10103.4 of the Insurance Code is amended line 6 to read:
line 7 10103.4. (a)  An insurer that pro vides replacement cost line 8 coverage in accordance with Section 10102 shall, on an every other line 9 year basis, at the time an of fer to rene w a polic y of residential line 10 property insurance is made to the policyholder, provide an estimate line 11 of the cost necessary to reb uild or replace the insured structure line 12 that complies with Sections 2695.180 to 2695.183, inclusi ve, of line 13 Article 1.3 of Subchapter 7.5 of Chapter 5 of Title 10 of the line 14 California Code of Re gulations, as those sections pro vided on line 15 January 1, 2018.
line 16 (b)  This section does not limit or preclude an insurer and insured line 17 from agreeing to provide coverage for a policy limit that is greater line 18 or lesser than the estimate of replacement v alue pro vided in line 19 accordance with subdivision (a).
line 20 (c)  This section applies to a residential property insurance policy line 21 offered by the California F AIR Plan Association if replacement line 22 cost coverage is available under the policy.
line 23 (d)  An insurer that f ails to comply with this section shall be line 24 liable for up to the full replacement cost of the insured property line 25 after a loss.
line 26 SEC. 11. Section 10103.7 of the Insurance Code is amended line 27 to read:
line 28 10103.7. (a)  If there is a co vered loss relating to a state of line 29 emergency, as defined in Section 8558 of the Go vernment Code, line 30 an insured under a residential property insurance polic y shall be line 31 permitted to combine payments for claims for losses up to the line 32 policy limits for the primary dwelling, other structures, and line 33 contents (personal property) for an y of the co vered e xpenses line 34 reasonably necessary to reb uild or replace the damaged or line 35 destroyed dwelling, if the policy limits for coverage to rebuild or line 36 replace the primary dwelling are insufficient. Any claims payments line 37 for losses pursuant to this subdivision for which replacement cost line 38 coverage is applicable shall be for the full replacement v alue of line 39 the loss without requiring actual replacement of the other structures line 40 or contents. Claims payments for other structures or contents in 98 SB 876 — 29 —

Item: 15
616

line 1 excess of the amount applied towards the necessary cost to rebuild line 2 or replace the damaged or destro yed dwelling shall be paid line 3 according to the terms of the policy.
line 4 (b)  (1)  If there is a co vered total loss of a primary dwelling line 5 under a residential property insurance policy resulting from a state line 6 of emergency, as defined in Section 8558 of the Government Code, line 7 if the residence was furnished at the time of the loss, the insurer line 8 shall pro vide payment under the contents (personal property) line 9 coverage at 100 percent of the polic y limit applicable to the line 10 personal property covered under the policy without requiring the line 11 insured to file an itemized claim.
line 12 (2)  The insurer shall mak e payment pursuant to this section line 13 within 30 calendar days from the date the insured property is line 14 determined to be a total loss. A payment that is not made pursuant line 15 to this section within 30 calendar days shall accrue interest payable line 16 to the insured pursuant Section 2057.
line 17 (3)  This subdivision does not affect payment under the polic y line 18 for scheduled personal property.
line 19 (4)  As a condition of receiving the payment made pursuant this line 20 subdivision, an insurer may require the insured sign an attestation line 21 form. The attesting form may request that the insured acknowledge line 22 the residence was furnished and that the insured reasonably believes line 23 the personal property damaged or destro yed had a v alue that line 24 equates or exceeded the amount of the payment. The attestation line 25 form shall not contain any misleading or inaccurate information. line 26 The commissioner may issue a bulletin or promulgate a regulation line 27 that describes the parameters of an attestation form. line 28 (5)  This section does not prohibit an insurer from restricting line 29 payment in cases of suspected fraud.
line 30 (c)  On and after July 1, 2027, all policy forms issued or renewed line 31 by an insurer shall comply with this section in its entirety, including line 32 the changes made to this section by the act that amended this line 33 subdivision.
line 34 SEC. 12. Section 10103.8 is added to the Insurance Code, to line 35 read:
line 36 10103.8. (a)  A residential property insurer doing b usiness in line 37 this state shall submit to the department a detailed disaster response line 38 plan outlining how the insurer will handle claims arising from a line 39 disaster, including communication with polic yholders, customer line 40 service continuity, adjuster training and deplo yment, ability to 98 — 30 — SB 876

Item: 15
617

line 1 track disaster claims data, and o verall operations staffing during line 2 widescale disasters relating to policies underwritten by the insurer line 3 in this state.
line 4 (b)  The initial disaster response plan required pursuant to line 5 subdivision (a) shall be submitted to the department before April line 6 1, 2027. The disaster response plan shall be updated e very two line 7 years or upon request by the commissioner.
line 8 (c)  The commissioner may require postdisaster progress reports line 9 or a comprehensi ve performance re view of an insurer’ s disaster line 10 response plan.
line 11 (d)  If there is a covered loss relating to a state of emergency, as line 12 defined in Section 8558 of the Go vernment Code, a residential line 13 property insurer shall do the following:
line 14 (1)  No later than 15 calendar days from the date on which the line 15 insurer received notice of the claim, pro vide the claimant with a line 16 copy of the most recent notice described in paragraph (1) of line 17 subdivision (a) of Section 14046 and a toll-free telephone number line 18 that an af fected claimant may call for answers to questions, line 19 including questions about the claim and coverage under the policy. line 20 (2)  No later than 15 calendar days from the date on which the line 21 state of emergency was declared, report to the commissioner the line 22 losses, claims, and estimate of total incurred losses for re view. line 23 The commissioner shall make a determination based on the initial line 24 information as to ho w often claims data should be updated and line 25 whether or not to publish aggre gate data on the department’ s line 26 internet website.
line 27 (e)  If there is a state of emergency, as defined in Section 8558 line 28 of the Government Code, upon receiving any written or oral inquiry line 29 from the department concerning a claim, a licensee shall line 30 immediately, but no more than 15 calendar days of receipt of that line 31 inquiry, furnish the department with a complete written response line 32 based on the f acts as then kno wn by the licensee. A complete line 33 written response addresses all issues raised by the department in line 34 its inquiry and includes copies of any documentation and claim or line 35 underwriting files requested.
line 36 (f)  The commissioner shall maintain a list of contact information line 37 for local officials and community-based or ganizations that may line 38 provide pertinent information upon the occurrence of a wildfire line 39 emergency event.
98 SB 876 — 31 —

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line 1 (g)  The commissioner may issue guidance to insurers regarding line 2 the content of the disaster response plan, require re gular updates line 3 on disaster claims and loss data, and require compliance with other line 4 provisions in this section. The guidance issued by the commissioner line 5 shall not be subject to the Administrative Procedure Act (Chapter line 6 3.5 (commencing with Section 11340) of P art 1 of Division 3 of line 7 Title 2 of the Government Code).
line 8 SEC. 13. Section 12928.7 of the Insurance Code is amended line 9 to read:
line 10 12928.7. (a)  The commissioner may order a respondent to line 11 provide restitution for a loss arising from the respondent’s conduct. line 12 If the f acts and equity permit, with a restitution order , the line 13 commissioner may issue an order of rescission enforceable on any line 14 person subject to the commissioner’s jurisdiction. line 15 (b)  A restitution order under this section shall meet all of the line 16 following requirements:
line 17 (1)  The respondent shall be subject to the commissioner’ s line 18 jurisdiction.
line 19 (2)  The restitution order shall be ancillary to another proceeding line 20 authorized by this code in which the commissioner does both of line 21 the following:
line 22 (A)  Determines the respondent violated this code or the line 23 standards of conduct applicable to persons acting in the capacity line 24 the respondent was acting in or purporting to act in when the loss line 25 occurred.
line 26 (B)  Issues an order imposing a cease and desist order, an order line 27 for a monetary penalty , or another sanction with respect to the line 28 respondent’s conduct.
line 29 (3)  The restitution order shall cite the f actual basis for the line 30 restitution order.
line 31 (4)  The restitution order shall state the persons, or classes of line 32 persons, who suffered a loss.
line 33 (5)  The restitution order shall state the amount to be paid or line 34 property to be returned as restitution.
line 35 (c)  A rescission or restitution order shall be subject to judicial line 36 review in the same manner and at the same time as the order to line 37 which it is ancillary.
line 38 (d)  A rescission or restitution order may be judicially enforced line 39 in an action brought by the commissioner , the Attorney General, line 40 a district attorney, a city attorney, or any person owed restitution 98 — 32 — SB 876

Item: 15
619

line 1 pursuant to the order. In that action, the court may award attorney’s line 2 fees and court costs to a prevailing plaintiff.
line 3 (e)  The commissioner may order a respondent who is ordered line 4 to pro vide restitution pursuant to this section to reimb urse the line 5 commissioner for the commissioner’s costs of implementing and line 6 enforcing this section, including attorney’s fees. The commissioner line 7 shall not credit an y funds recei ved from a respondent to wards line 8 payment of a monetary penalty until restitution has been tendered line 9 to all persons to whom restitution is owed, or to the commissioner line 10 on their behalf, as required by a restitution order. line 11 (f)  This section does not limit or restrict actions, remedies, or line 12 procedures otherwise a vailable to the commissioner , the line 13 department, or an y person pursuant to an administrati ve or civil line 14 action to enforce any law. It is not a defense in an administrati ve line 15 or civil action that the commissioner did not order a person to pay line 16 restitution.
line 17 (g)  This section does not expand, limit, or otherwise affect the line 18 commissioner’s authority to seek or to ha ve sought restitution, line 19 refunds, or penalties against insurers, except as expressly provided. line 20 (h)  As used in this section, “restitution” means the full amount line 21 that will compensate each person for their direct and indirect line 22 financial and nonfinancial losses proximately caused by the line 23 respondent’s violations.
line 24 (i)  Money recei ved by the commissioner for distrib ution to line 25 persons as restitution pursuant to this section or Section 12928.6 line 26 or 12976 shall be deposited into the Insurance Fund. line 27 SEC. 14. Section 14047 of the Insurance Code is amended to line 28 read:
line 29 14047. (a)  If there is a loss giving rise to a claim that involves line 30 one or more co verages under a polic y of residential property line 31 insurance relating to a state of emergency, as defined in subdivision line 32 (b) of Section 8558 of the Go vernment Code, the insurer shall line 33 assign a primary claims adjuster to be primarily responsible for line 34 the claim. If the insurer assigns a subsequent claims adjuster to be line 35 primarily responsible for the claim, the insurer, within five business line 36 days of the assignment, shall pro vide the insured with a written line 37 status report and provide the insured with one or more direct means line 38 of communication with the primary point of contact. An insurer line 39 shall assign a primary point of contact for a claim, even if multiple 98 SB 876 — 33 —

Item: 15
620

line 1 adjusters may be responsible for dif ferent co verages under the line 2 claim.
line 3 (b)  The primary point of contact shall be a vailable to respond line 4 to inquiries by the insured related to the residential property line 5 insurance claim. Other claims personnel, vendors, or professionals, line 6 including clerical staf f members and call center staf f members, line 7 may work on portions of the insured’s claim. Once assigned, the line 8 primary point of contact shall remain assigned to the insured’ s line 9 claim until the insurer determines that the residential property line 10 claim is closed or litigation has been filed.
line 11 (c)  The insurer shall ensure that the primary point of contact line 12 refers and transfers an insured to the appropriate supervisor with line 13 a span of control over the primary point of contact upon the request line 14 of the insured. This process shall be satisfied by a referral to a line 15 first-tier or second-tier manager with authority over claim handling. line 16 (d)  For purposes of this section:
line 17 (1)  “Policy of residential property insurance” has the same line 18 meaning as defined in Section 10087.
line 19 (2)  “Primary point of contact” means a first-party real or line 20 personal property claims adjuster who is knowledgeable about the line 21 claim and its current status.
line 22 (3)  “Written status report” includes a summary of decisions or line 23 actions that are substantially related to the disposition of a claim, line 24 including the amount of losses to structures or contents, the line 25 retention or consultation of design or construction professionals, line 26 the amount of co verage for losses to structures or contents, the line 27 dollar amount of claims paid to date for each portion of coverage, line 28 and all items of dispute or pending.
line 29 SEC. 15. No reimbursement is required by this act pursuant to line 30 Section 6 of Article XIIIB of the California Constitution because line 31 the only costs that may be incurred by a local agenc y or school line 32 district will be incurred because this act creates a ne w crime or line 33 infraction, eliminates a crime or infraction, or changes the penalty line 34 for a crime or infraction, within the meaning of Section 17556 of line 35 the Government Code, or changes the definition of a crime within line 36 the meaning of Section 6 of Article XIII B of the California line 37 Constitution.

O
98 — 34 — SB 876

Item: 15
621

ATTACHMENT 3
Item: 15
622

Insurance Commissioner Ricardo Lara
California Department of Insurance
AB 1680 (Calderon)
Make it FAIR Act

Insurance Commissioner
Ricardo Lara

We protect all Californians by regulating the
insurance industry to ensure a competitive and sustainable market, investigating fraud, and advocating for consumers through awareness, public policy, innovation, and service.

Updated 02/02/2026

BILL SUMMARY
AB 1680, the Make it Fair Act, strengthens oversight of the California FAIR Plan, enhances consumer protections, and expands the Insurance Commissioner’s authority to ensure the Plan operates effectively as the state’s insurer of last resort. The bill modernizes governance, establishes meaningful enforcement tools, and authorizes additional coverage options to better serve homeowners and renters in high-risk areas.

BACKGROUND
In recent years, wildfire risks, insurer withdrawals, and widespread nonrenewals have driven unprecedented growth in FAIR Plan enrollment. As the FAIR Plan increasingly functions as a major insurer rather than a limited backstop, gaps have emerged in its coverage offerings, operational flexibility, and accountability mechanisms. The statutory framework has not kept pace with the scale of the FAIR Plan’s responsibilities or the needs of policyholders who rely on it.

In addition, the California Department of Insurance’s Report of Examination – the most comprehensive review of the FAIR Plan in decades – revealed systemic problems that have left wildfire survivors struggling with delays, denials, and inconsistent claims decisions, particularly after the 2025 Los Angeles wildfires, the largest urban wildfire disaster in state history. The examination evaluated the FAIR Plan’s financial conditions, corporate governance, and controls to protect policyholders across 32 areas – finding that in more than half of them, the FAIR Plan had not started or fully implemented the Department’s
recommendations. The legislation would require the FAIR Plan to make significant operational and governance changes to meet Californians’ needs.

EXISTING LAW
Current law requires the FAIR Plan to offer “basic property insurance” to homeowners, renters and businesses that are unable to obtain traditional insurance coverage in the normal market. Current law also requires the FAIR Plan to have a Plan of Operation, approved by the commissioner and for the Plan to be

administrated by a governing committee under rules to be adopted by the governing committee with the approval of the commissioner. Current law grants the commissioner, or any person designated by the commissioner, the power of
examination into the operation and access to all books, records, files, papers, and documents that relate to the operation.

PROBLEM
The FAIR Plan’s policy count and exposure levels have grown dramatically, creating financial and operational risks that extend beyond the program’s original purpose. Many policyholders require coverage options that exceed the FAIR Plan’s basic offerings, particularly renters and homeowners who require more complete protection. Commercial policyholders lack a mechanism to transition back into the admitted market, leaving many businesses dependent on the FAIR Plan for extended periods. The Commissioner’s oversight tools must be
strengthened to ensure timely compliance with examination findings and statutory requirements. Without a penalty
structure, there is limited deterrence for violations.

PROPOSED SOLUTION
AB 1680 modernizes the FAIR Plan to reflect current market conditions and strengthen consumer protections. It clarifies and reinforces the Commissioner’s authority to approve, revoke, or require revisions to the FAIR Plan’s plan of operation and ensures that the Plan must adopt examination recommendations within agreed‑upon timelines.

Further, AB 1680 will enact key reforms identified in the California Department of Insurance’s recent Report of
Examination, which found the FAIR Plan had failed to comply with 17 critical recommendations related to financial condition, corporate governance, and consumer protections.

SPONSOR
Insurance Commissioner Ricardo Lara

Item: 15
623

Insurance Commissioner Ricardo Lara
California Department of Insurance
AB 1680 (Calderon)
Make it FAIR Act

Insurance Commissioner
Ricardo Lara

We protect all Californians by regulating the
insurance industry to ensure a competitive and sustainable market, investigating fraud, and advocating for consumers through awareness, public policy, innovation, and service.

Updated 02/02/2026

CONTACTS
Josephine Figueroa
Deputy Commissioner & Legislative Director
California Department of Insurance
[email protected]
Item: 15
624

ATTACHMENT 4
Item: 15
625

Insurance Commissioner Ricardo Lara
California Department of Insurance
Assembly Bill 1795 (Gipson)
Smoke Damage Recovery Act

Insurance Commissioner
Ricardo Lara

We protect all Californians by regulating the
insurance industry to ensure a competitive and sustainable market, investigating fraud, and advocating for consumers through awareness, public policy, innovation, and service.

Updated 01/23/2026

BILL SUMMARY
AB 1795 establishes uniform statewide standards for the inspection, testing, and remediation of residential
properties damaged by smoke exposure from wildfires. It requires insurance companies to follow consistent
remediation protocols, ensures that residential properties are restored to safe and habitable condition, and creates training and certification requirements for professionals involved in smoke‑damage assessment and cleanup. The
bill directs the Department of Insurance (CDI) to adopt regulations, identifies the responsible enforcement
agencies, and provides interim guidance for claims arising from specific fires when state or local agencies issue
post‑fire guidance or advisories.

BACKGROUND
California has experienced record‑breaking wildfires,
including the January 2025 Eaton and Palisades Fires,
which destroyed thousands of homes and left many more
contaminated by smoke, soot, ash, char, and other
hazardous substances. Thousands of smoke‑damage
insurance claims have since been filed.

Because no authoritative, enforceable standards exist for testing or remediating smoke damage, survivors report
inconsistent claims handling, partial or total denials, and refusals by insurers to pay for pre‑ or post‑remediation testing. CDI has taken executive actions—including
consumer bulletins, enforcement actions, and
investigations—but the absence of standards has resulted in a patchwork of insurer practices.

Other states face similar challenges. Colorado’s recent study found that the lack of standards leads to “battles of experts,” failed cleanups, excessive sampling costs,
prolonged ALE expenses, and litigation. Both states

identified the need for minimum testing protocols and
uniform remediation guidance.

In response to the January 2025 fires, Insurance
Commissioner Lara convened a Smoke Claims and
Remediation Task Force to develop recommendations for
statewide standards and insurance coverage expectations.

EXISTING LAW
Residential property insurance policies that cover the peril of fire also cover smoke damage caused by fire, and
insurers are required to fully investigate claims and restore covered properties to pre‑loss condition. However,
California has no statewide standards governing the
inspection or testing of smoke‑damaged homes, no
minimum sampling or clearance protocols, no mandated
remediation methods, and no training or certification
requirements for professionals who assess or remediate
smoke damage. No state agency is currently designated to enforce uniform smoke‑damage remediation standards,
and existing claims‑handling requirements lack the
specificity needed for consistent enforcement.

PROBLEM
The absence of authoritative, enforceable standards has resulted in inconsistent insurer practices, including denials of testing, partial claim denials, and refusals to reimburse for pre‑ or post‑remediation testing. Homeowners and
tenants face uncertainty about whether their homes are
safe to reenter, and many have been forced to pay for
testing or remediation out of pocket. Disputes between
insurers and policyholders frequently escalate into a
“battle of experts,” leading to delays, failed cleanups, extended displacement, increased alternative living
expenses, and litigation. Without statewide standards,
Item: 15
626

Insurance Commissioner Ricardo Lara
California Department of Insurance
Assembly Bill 1795 (Gipson)
Smoke Damage Recovery Act

Insurance Commissioner
Ricardo Lara

We protect all Californians by regulating the
insurance industry to ensure a competitive and sustainable market, investigating fraud, and advocating for consumers through awareness, public policy, innovation, and service.

Updated 01/23/2026

neither insurers nor regulators have a clear framework to ensure that smoke‑damaged homes are restored to safe,
habitable, pre‑loss condition, and the resulting instability contributes to rising costs in the residential property insurance market.

PROPOSED SOLUTION
AB 1795 would create a comprehensive statewide
framework to ensure consistent, science‑based handling of smoke‑damage claims. It will establish minimum protocols for inspection, sampling, and testing of smoke‑related
contaminants and sets clear thresholds for determining
whether a property is safe. This bill will mandate insurer compliance with remediation protocols and clarify their obligation to cover the cost of restoring properties to preloss condition. These standards will apply to all
residential property insurance policies.

AB 1795 will also identify the state agencies responsible for implementing and enforcing the standards and creates penalties for noncompliance.

SPONSOR
Insurance Commissioner Ricardo Lara

CONTACTS
Josephine Figueroa
Deputy Commissioner & Legislative Director
California Department of Insurance
[email protected]

Item: 15
627

ATTACHMENT 5
Item: 15
628

Insurance Commissioner Ricardo Lara
California Department of Insurance
Senate Bill 876 (Padilla)
Disaster Recovery Reform Act
Insurance Commissioner
Ricardo Lara

We protect all Californians by regulating the
insurance industry to ensure a competitive and sustainable market, investigating fraud, and advocating for consumers through awareness, public policy, innovation, and service.

Updated 01/23/2026

BILL SUMMARY
SB 876 strengthens consumer protections in residential property insurance by requiring regularly updated replacement cost estimates, access to meaningful coverage options, and timely claim payments after a wildfire or other covered disaster. The bill requires insurers to offer extended and guaranteed replacement cost coverage, provide sufficient building code upgrade coverage, and follow clear timelines for issuing claims benefits. These reforms are designed to reduce underinsurance, prevent delays, and support faster, more stable recovery for disaster‑impacted families and communities.

Specifically, SB 876 establishes:

Faster Payments After a Total Loss
• Requires insurers pay actual cash value (ACV) within
30 days of the date of loss.
• Requires insurers to pay the undisputed replacement
cost within 30 days of a specified milestone.
• Interest accrues if insurers miss these deadlines.

Stronger Building Code Upgrade (BCU) Coverage
• For a total loss, BCU coverage must include all costs that would have been incurred if the home were
rebuilt at the original location.
• After a state of emergency, insurers must provide at
least 20% of primary policy limits in BCU coverage.

Improved Transparency and Consumer Information
• Requires regular updates of estimates of
replacement cost which determines the policy limit.

Disaster Recovery & Claims Handling Reforms
• Requires insurers submit to CDI a disaster recovery
plan for handling claims during emergencies.
• Doubles penalties for violations of fair claims practices during declared emergencies.
• Authorizes the insurance commissioner to require
insurers to pay restitution to those harmed by unfair
claims practices.
• Requires insurers to provide status reports within 5
days whenever a new adjuster is assigned to a claim.
• Expands additional living expense (ALE) limits by 100% during a declared disaster.

BACKGROUND
California’s wildfire season has become longer, more destructive, and more expensive, leaving thousands of families displaced each year. Many homeowners only discover after a total loss that their insurance coverage is far below the true cost to rebuild. Rising construction costs, and updated building codes have widened the gap between policy limits and actual
rebuilding expenses. Survivors also frequently encounter delays in receiving claim payments, which prolongs displacement, increases financial strain, slows community recovery and deepens the long‑term impacts of catastrophic events.

Last year, a series of 14 destructive wildfires affected the Los Angeles and San Diego County Regions. Most of the damage occurred because of the Eaton Fire in Altadena and the Palisades Fire in Pacific Palisades, where more than 12,000 homes were destroyed or damaged. Unfortunately, although climate change has contributed to more severe wildfires and winter storms, decades-old insurance laws have not kept pace. A year later, Wildfire survivors have continued to report on-going problems with accessing their insurance benefits with delays, denials, and miscommunication from insurance companies.

EXISTING LAW
Current law requires insurers to provide a replacement cost estimate when a policy is first issued and to offer certain coverage options, including building code upgrade coverage.

Insurers must pay undisputed portions of claims promptly and disclose policy limits and available coverage options. However, the law does not require insurers to update replacement cost estimates regularly, and building code upgrade coverage is often insufficient. Timelines for issuing actual cash value and replacement cost payments are limited and inconsistent, and consumers often lack clear information about whether their coverage is adequate to rebuild.

PROBLEM
Underinsurance has become widespread across California, leaving many families unable to rebuild after catastrophic loss.

Replacement cost estimates are frequently outdated or
Item: 15
629

Insurance Commissioner Ricardo Lara
California Department of Insurance
Senate Bill 876 (Padilla)
Disaster Recovery Reform Act

Insurance Commissioner
Ricardo Lara

We protect all Californians by regulating the
insurance industry to ensure a competitive and sustainable market, investigating fraud, and advocating for consumers through awareness, public policy, innovation, and service.

Updated 01/23/2026

inaccurate, and homeowners are not consistently offered coverage options that reflect real rebuilding costs. Building code upgrades required during reconstruction are often not fully covered, creating unexpected financial gaps. Survivors also face delays and fragmented claim payments that slow recovery, increase out‑of‑pocket expenses, and prolong displacement.

These systemic issues undermine the stability of families and communities following disasters.

PROPOSED SOLUTION
SB 876 addresses these challenges by requiring insurers to provide accurate and regularly updated replacement cost estimates and to offer extended and guaranteed replacement cost coverage options that better reflect actual rebuilding costs.

The bill strengthens building code upgrade coverage to ensure that homeowners can rebuild safely and in compliance with modern standards. It also establishes firm timelines for issuing actual cash value and replacement cost payments, improving transparency and consistency in claim handling. Together, these reforms reduce underinsurance, accelerate recovery, and support long‑term community resilience.

SPONSOR
Insurance Commissioner Ricardo Lara

CONTACTS
Josephine Figueroa
Deputy Commissioner & Legislative Director
California Department of Insurance
[email protected]

Item: 15
630