State Codes and Statutes

Statutes > California > Puc > 1031-1045

PUBLIC UTILITIES CODE
SECTION 1031-1045



1031.  (a) No passenger stage corporation shall operate or cause to
be operated any passenger stage over any public highway in this state
without first having obtained from the commission a certificate
declaring that public convenience and necessity require such
operation, but no such certificate shall be required of any passenger
stage corporation as to the fixed termini between which, or the
route over which, it was actually operating in good faith on July 29,
1927, in compliance with the provisions of Chapter 213, Statutes of
1917, nor shall any such certificate be required of any person or
corporation who on January 1, 1927, was operating, or during the
calendar year 1926 had operated a seasonal service of not less than
three consecutive months' duration, sightseeing buses on a continuous
sightseeing trip with one terminus only. Any right, privilege,
franchise, or permit held, owned, or obtained by any passenger stage
corporation may be sold, assigned, leased, mortgaged, transferred,
inherited, or otherwise encumbered as other property, only upon
authorization by the commission.
   (b) For purposes of this section, "public convenience and
necessity," as it affects applications for passenger stage
corporation certificates, means that the applicant has met the
criteria for issuance of a certificate specified in Section 1032.



1031.5.  The commission shall not issue or authorize the transfer of
any certificate under this article to any person, firm, or
corporation or to any officer or director of the firm, corporation,
or other entity against whom a final judgment has been entered and
whose name has been transmitted to the commission pursuant to Section
3716.4 of the Labor Code, unless that judgment has been satisfied or
has been discharged in accordance with the bankruptcy laws of the
United States.



1032.  (a) Every applicant for a certificate or transfer of a
certificate shall file in the office of the commission an application
therefor in the form required by the commission. The commission may,
with or without a hearing, issue the certificate as requested, or
refuse to issue it, or issue it for the partial exercise only of the
privilege sought, and may attach to the exercise of the rights
granted by the certificate terms and conditions that, in its
judgment, are required in the public interest.
   (b) (1) Before a certificate is issued or transferred, the
commission shall require the applicant to establish reasonable
fitness and financial responsibility to initiate and conduct, or
continue to conduct, the proposed or existing transportation
services. The commission shall not issue or transfer a certificate
unless the applicant meets all of the following requirements:
   (A) The applicant is financially and organizationally capable of
conducting an operation that complies with the rules and regulations
of the Department of the California Highway Patrol governing highway
safety.
   (B) The applicant is committed to observing the hours of service
regulations of state and federal law, where applicable, for all
persons, whether employees or subcarriers, operating vehicles in
transportation for compensation under the certificate.
   (C) The applicant has a preventive maintenance program in effect
for its vehicles used in transportation for compensation that
conforms to regulations of the Department of the California Highway
Patrol, as described in Title 13 of the California Code of
Regulations.
   (D) The applicant participates in a program to regularly check the
driving records of all persons, whether employees or subcarriers,
operating vehicles used in transportation for compensation requiring
a class B driver's license under the certificate.
   (E) The applicant has a safety education and training program in
effect for all employees or subcarriers operating vehicles used in
transportation for compensation.
   (F) The applicant agrees to maintain its vehicles used in
transportation for compensation in safe operating condition and in
compliance with applicable laws and regulations relative to motor
vehicle safety.
   (G) The applicant has filed with the commission a certificate of
workers' compensation insurance coverage or statement required by
Section 460.7.
   (H) The applicant has provided the commission an address of an
office or terminal where documents supporting the factual matters
specified in the showings required by this subdivision may be
inspected by the commission and the Department of the California
Highway Patrol.
   (2) With respect to subparagraphs (B) and (F) of paragraph (1),
the commission may base its findings on a certification by the
commission that an applicant has filed with it a sworn declaration of
ability to comply and intent to comply.
   (c) In addition to the requirements of subdivision (b), a
passenger stage corporation shall meet all other state and federal
regulations, where applicable, as prescribed.
   (d) The commission may delegate to its executive director or his
or her designee, the authority to issue or transfer certificates of
public convenience and necessity and to make all necessary findings
specified in subdivision (b).



1032.1.  (a) The commission shall not issue or transfer a
certificate of public convenience and necessity pursuant to this
article unless the applicant provides for a mandatory controlled
substance and alcohol testing certification program as adopted by the
commission.
   (b) The commission, after considering any suggestions made by the
Department of the California Highway Patrol, shall adopt a program
that includes, but need not be limited to, all of the following
requirements:
   (1) Drivers shall test negative for each of the controlled
substances specified in Part 40 (commencing with Section 40.1) of
Title 49 of the Code of Federal Regulations, before employment.
Drivers shall test negative for these controlled substances and for
alcohol at such other times as the commission, after consulting the
Department of the California Highway Patrol, shall designate. As used
in this section, a negative test for alcohol means an alcohol
screening test showing a breath alcohol concentration of less than
0.02 percent.
   (2) Procedures shall be substantially as in Part 40 (commencing
with Section 40.1) of Title 49 of the Code of Federal Regulations,
except that the driver shall show a valid California driver's license
at the time and place of testing, and except as provided otherwise
in this section. Requirements for rehabilitation and for
return-to-duty and followup testing, and other requirements except as
provided otherwise in this section, shall be substantially as in
Part 382 (commencing with Section 382.101) of Title 49 of the Code of
Federal Regulations.
   (3) A test for one applicant shall be accepted as meeting the same
requirement for any other applicant. Any negative test result shall
be accepted for one year as meeting any requirement for periodic
testing for that applicant or any other applicant, if the driver has
not tested positive subsequent to a negative result. However, an
earlier negative result shall not be accepted as meeting the
pre-employment testing requirement for any subsequent employment, or
any testing requirements under the program other than periodic
testing.
   (4) In the case of an applicant who is also a driver, test results
shall be reported directly to the commission. In all other cases,
results shall be reported directly to the applicant.
   (5) All test results are confidential and shall not be released
without the consent of the driver, except as authorized or required
by law.
   (6) Applicants shall be responsible for compliance with, and shall
pay all costs of, this program with respect to their employees and
potential employees, except that an applicant may require employees
who test positive to pay the costs of rehabilitation and of
return-to-duty and followup testing.
   (7) The requirements of the program do not apply to any driver
required to comply with the controlled substance and alcohol use and
testing requirements of Part 382 (commencing with Section 382.101) of
Title 49 of the Code of Federal Regulations, or Section 34520 of the
Vehicle Code, or to any driver exempted from the provisions of that
section.
   (c) No evidence derived from a positive test result pursuant to
the program shall be admissible in a criminal prosecution concerning
unlawful possession, sale, or distribution of controlled substances.
   (d) On the request of an applicant, the commission shall give the
applicant a list of consortia certified pursuant to Part 382
(commencing with Section 382.101) of Title 49 of the Code of Federal
Regulations that the commission knows offer tests in California.
   (e) The commission shall conduct random and for-cause inspections
of applicants' documents supporting compliance with the program.
   (f) For purposes of this section, "employment" includes
self-employment as an independent driver.



1032.5.  The commission shall issue a certificate pursuant to this
article to every passenger stage corporation which conducts
intrastate passenger transportation service pursuant to federal
operating authority, to the extent that regulation of these
operations is not preempted by the federal Bus Regulatory Reform Act
of 1982 (P.L. 97-261), as amended. The commission may attach any
conditions or limitations to the issuance of the certificate which it
may specify, consistent with federal law and regulation.



1033.  The commission, in the exercise of the jurisdiction conferred
upon it by the Constitution of this State and by this part, may
grant certificates of public convenience and necessity, make
decisions and orders, and prescribe rules affecting passenger stage
corporations, notwithstanding the provisions of any ordinance or
permit of any city, county, or city and county, and in case of
conflict between any such order or rule and any such ordinance or
permit, the certificate, decision, order, or rule of the commission
shall prevail.


1033.5.  (a) The commission may, at any time for good cause, suspend
an operating right acquired by virtue of operations conducted on
July 29, 1927, or a certificate of public convenience and necessity
and, upon notice to the holder and opportunity to be heard, revoke,
alter, or amend the operating right or certificate.
   (b) As an alternative to the suspension, revocation, alteration,
or amendment of an operating right or certificate, the commission may
impose upon the holder a fine not to exceed five thousand dollars
($5,000). The commission may assess interest upon any fine imposed,
the interest to commence upon the day the payment of the fine is
delinquent. All fines and interest collected shall be deposited at
least once each month in the Public Utilities Commission
Transportation Reimbursement Account in the General Fund.
   (c) For purposes of this section, "good cause" includes, but is
not limited to, either of the following:
   (1) A consistent failure of the holder of the operating right or
certificate to maintain vehicles in a safe operating condition and in
compliance with the Vehicle Code and with regulations contained in
Title 13 of the California Code of Regulations relative to motor
vehicle safety, as shown by the records of the commission, the
Department of Motor Vehicles, the Department of the California
Highway Patrol, or the passenger stage corporation.
   (2) The holder's knowing and willful filing of a false report
which understates revenues and fees.



1033.7.  (a) Upon receipt of a written recommendation from the
Department of the California Highway Patrol that the certificate of a
passenger stage corporation be suspended either (1) for failure to
maintain any vehicle used in transportation for compensation in a
safe operating condition or to comply with the Vehicle Code or with
regulations contained in Title 13 of the California Code of
Regulations relative to motor carrier safety, if that failure is
either a consistent failure or presents an imminent danger to public
safety, or (2) for failure to enroll all drivers in the pull notice
system as required by Section 1808.1 of the Vehicle Code, the
commission shall, pending a hearing in the matter pursuant to
subdivision (d), suspend the corporation's certificate. The
department's written recommendation shall specifically indicate
compliance with subdivision (c).
   (b) A corporation whose certificate is suspended pursuant to
subdivision (a) may obtain a reinspection of its terminal and
vehicles by the department, by submitting a written request for
reinstatement to the commission and paying a reinstatement fee of one
hundred twenty-five dollars ($125). The commission shall deposit all
reinstatement fees collected pursuant to this subdivision in the
Public Utilities Commission Transportation Reimbursement Account. The
commission shall forward a request for reinspection to the
department which shall perform a reinspection within a reasonable
time. The commission shall reinstate a corporation's certificate
suspended under subdivision (a) promptly upon receipt of a written
recommendation from the department that the corporation's safety
compliance has improved to the satisfaction of the department, unless
the certificate is suspended for another reason or has been revoked.
   (c) Before transmitting a recommendation pursuant to subdivision
(a) to the commission, the Department of the California Highway
Patrol shall notify the passenger stage corporation in writing of all
of the following:
   (1) That the department has determined that the corporation's
safety record is unsatisfactory, furnishing a copy of any
documentation or summary of any other evidence supporting the
determination.
   (2) That the determination may result in a suspension or
revocation of the corporation's certificate by the commission.
   (3) That the corporation may request a review of the determination
by the department within five days of its receipt of the notice
required under this subdivision. If a review pursuant to this
paragraph is requested by the corporation, the department shall
conduct and evaluate that review prior to transmitting any
notification to the commission pursuant to subdivision (a).
   (d) Whenever the commission suspends the certificate of any
passenger stage corporation pursuant to subdivision (a), the
commission shall furnish the corporation written notice of the
suspension and shall hold a hearing within a reasonable time, not to
exceed 21 days, after a written request therefor is filed with the
commission, with a copy thereof furnished to the Department of the
California Highway Patrol. At the hearing, the corporation shall show
cause why the suspension should not be continued. At the conclusion
of the hearing, the commission may, in addition to any other
applicable penalty provided in this part, terminate the suspension,
continue the suspension in effect, or revoke the certificate. The
commission may revoke the certificate of any passenger stage
corporation suspended pursuant to subdivision (a) at any time 90 days
or more after its suspension if the commission has not received a
written recommendation for reinstatement from the department and the
corporation has not filed a written request for a hearing with the
commission.
   (e) If the commission, after a hearing, finds that a passenger
stage corporation has continued to operate as such after its
certificate has been suspended pursuant to subdivision (a), the
commission shall do one of the following:
   (1) Revoke the certificate of the corporation.
   (2) Impose upon the holder of the certificate a civil penalty of
not less than one thousand dollars ($1,000) nor more than five
thousand dollars ($5,000) for each day of unlawful operations.



1033.8.  (a) Upon receipt of a stop order issued by the Director of
Industrial Relations pursuant to Section 3710.1 of the Labor Code,
the commission shall investigate to determine whether the passenger
stage corporation has filed a false statement relative to workers'
compensation insurance coverage, in violation of statute, or rules or
orders of the commission. If, after notice and opportunity to be
heard, the commission determines that there has been a violation of
statute, or rules or orders of the commission, the commission shall
impose appropriate penalties, which may include a fine and suspension
of operating authority for a violation.
   (b) Upon receipt of a complaint from the Director of Industrial
Relations that a final judgment has been entered against any
passenger stage corporation as a result of an award having been made
to an employee pursuant to Section 3716.2 of the Labor Code, the
commission shall, 30 days from the date notice to the corporation is
mailed, revoke the corporation's certificate of public convenience
and necessity, unless the judgment has been satisfied or has been
discharged in accordance with the bankruptcy laws of the United
States or the corporation requests a hearing pursuant to subdivision
(c).
   (c) Within seven days of receipt of a complaint from the Director
of Industrial Relations that a final judgment has been entered
against any passenger stage corporation as a result of an award
having been made to an employee pursuant to Section 3716.2 of the
Labor Code, the commission shall furnish to the corporation named in
the final judgment written notice of the right to a hearing regarding
the complaint and the procedure to follow to request a hearing. The
notice shall state that the commission is required to revoke the
corporation's certificate of public convenience and necessity to
operate pursuant to subdivision (b) after 30 days from the date the
notice is mailed unless the corporation provides proof that the
judgment is satisfied or has been discharged in accordance with the
bankruptcy laws of the United States and the commission has been so
notified seven days prior to the conclusion of the 30-day waiting
period. The notice shall also inform the corporation of a right to a
hearing and the procedures to follow to request a hearing. The
corporation may request a hearing within 10 days from the date the
notice is sent by the commission. The request for the hearing shall
stay the revocation. The hearing shall be held within 30 days of the
receipt of the request. If the commission finds that an unsatisfied
judgment exists concerning a debt arising under Section 3717 of the
Labor Code, the commission shall immediately revoke the corporation's
certificate of public convenience and necessity.



1034.  When a complaint has been filed with the commission alleging
that any passenger stage is being operated without a certificate of
public convenience and necessity, contrary to or in violation of the
provisions of this part, the commission may, with or without notice,
make its order requiring the corporation or person operating or
managing such passenger stage, to cease and desist from such
operation, until the commission makes and files its decision on the
complaint, or until further order of the commission.



1034.5.  Every corporation or person who knowingly and willfully
issues, publishes, or affixes, or causes or permits the issuance,
publishing, or affixing, of any oral or written advertisement,
broadcast, or other holding out to the public, or any portion
thereof, that the corporation or person is in operation as a
passenger stage corporation without having a valid certificate or
issued under this article is guilty of a misdemeanor punishable, if
an individual, by a fine of not more than one thousand dollars
($1,000) or by imprisonment in the county jail for not more than six
months, or by both, or, if a corporation, by a fine of not more than
five thousand dollars ($5,000).



1035.  Whether or not any stage, auto stage, or other motor vehicle
is being, or is proposed to be operated as a passenger stage
corporation "between fixed termini or over a regular route" within
the meaning of this part is a question of fact, and the finding of
the commission thereon is final and is not subject to review. Any act
of transporting or attempting to transport any person or persons by
stage, auto stage, or other motor vehicle upon a public highway of
this State between two or more points not both within the limits of a
single city or city and county, where the rate, charge, or fare for
such transportation is computed, collected, or demanded on an
individual fare basis, shall be presumed to be an act of operating as
a passenger stage corporation within the meaning of this part.




1036.  (a) Each application for a certificate of public convenience
and necessity made under this article shall be accompanied by a fee
of five hundred dollars ($500), unless the applicant is already
operating in the immediate vicinity under the jurisdiction of the
commission.
   (b) No certificate issued pursuant to, or rights to conduct any of
the services authorized by, this article shall be sold, leased, or
assigned, or otherwise transferred or encumbered, unless authorized
by the commission. A filing fee of three hundred dollars ($300) shall
accompany all applications for that authorization.



1037.  Every passenger stage corporation which violates any
provision of this article, or aids or abets, or without being present
advises or encourages any person or corporation in such violation,
is guilty of a misdemeanor and, upon conviction thereof, if a person,
shall be punished by a fine not exceeding one thousand dollars
($1,000) or by imprisonment in a county jail for a term not to exceed
six months, or by both such fine and imprisonment, or, if a
corporation, shall be punished by a fine not to exceed one thousand
dollars ($1,000).


1038.  The interior of every passenger stage operated for hire in
this State shall be maintained in a clean and sanitary condition.



1038.5.  A passenger stage corporation shall not operate any motor
vehicle on a public highway unless there is displayed on the vehicle
a distinctive identifying symbol in the form prescribed by the
commission, showing the classification to which the vehicle belongs.
The identifying symbol shall not be displayed until a certificate of
public convenience and necessity has been issued under this chapter
for the operation.
   The identifying symbol displayed by a passenger stage corporation
subject to the Interstate Commerce Commission shall serve in lieu of
the display requirements of this section.



1039.  In every written or oral advertisement of the service it
offers, every passenger stage corporation shall state the number of
its certificate or identifying symbol, as specified by the
commission.


1040.  The commission shall, in issuing a certificate pursuant to
this article, require the passenger stage corporation to procure, and
to continue in effect during the life of the certificate, adequate
protection against liability imposed by law upon the corporation for
the payment of damages for personal bodily injuries, including death
resulting therefrom, protection against a total liability of the
corporation on account of bodily injuries to, or death of, more than
one person as a result of any one accident, and protection against
damage or destruction of property.
   The minimum requirements for these assurances of protection
against liability shall not be less than the requirements which are
applicable to operations of carriers conducted pursuant to the
federal Bus Regulatory Reform Act of 1982 (P.L. 97-261), as amended.
However, for vehicles designed to carry not more than eight persons,
including the driver, the commission shall not require protection
against a total liability of the corporation on account of bodily
injuries to, or death of, more than one person as a result of any one
accident in an amount exceeding seven hundred fifty thousand dollars
($750,000).


1041.  It is unlawful for the owner of a passenger stage employing
or otherwise directing the driver of the passenger stage to permit
the operation of the passenger stage upon any public highway for
compensation without first having obtained from the commission a
certificate pursuant to this chapter or without first having complied
with the vehicle identification requirements of Section 1038.5 or
the accident liability protection requirements of Section 1040.



1042.  (a) Every passenger stage corporation shall furnish the
commission annually, as specified by the commission, a list, prepared
under oath, of all vehicles used in transportation for compensation
during the preceding year. The commission shall furnish a copy of
this list to the Department of the California Highway Patrol and to
the corporation's insurer, if the corporation's accident liability
protection is provided by a policy or policies of insurance.
   (b) If the passenger stage corporation's insurer informs the
commission that the corporation has failed to obtain insurance
coverage for any vehicle reported on the list, the commission may, in
addition to any other applicable penalty provided in this part, for
a first occurrence, suspend the corporation's certificate or impose a
fine, or both, and for a second or subsequent occurrence may suspend
or revoke the certificate or impose a fine, or both.



1043.  Every passenger stage corporation earning over three hundred
fifty thousand dollars ($350,000) in annual gross operating revenue
shall, under oath, file annually a report indicating the number,
classification, and compensation of all employees and owner-operator
drivers hired or engaged during the reporting period. The commission
shall submit a copy of the report to the administrator of the
corporation's workers' compensation self-insurance plan if the
corporation is self-insured, or to the corporation's workers'
compensation insurer if the corporation's workers' compensation
protection is provided by a policy or policies of insurance. The
commission shall not be obligated to undertake an independent
investigation of the adequacy of workers' compensation insurance
coverage based on the information contained in the report if the
carrier has complied with Section 460.7.



1044.  When the executive director of the commission determines that
any passenger stage corporation, or any officer, director, or agent
of any passenger stage corporation, has engaged in, is engaged in, or
is about to engage in, any acts or practices in violation of this
chapter, or any order, decision, rule, regulation, direction, demand,
or requirement issued under this chapter, the executive director may
make application to the superior court for an order enjoining those
acts or practices or for an order directing compliance. The court may
grant a permanent or temporary injunction, restraining order, or
other order, including, but not limited to, an order allowing
vehicles used for subsequent operations subject to the order to be
impounded at the carrier's expense and subject to release only by
subsequent court order following a petition to the court by the
defendant or owner of the vehicle, upon a showing by the executive
director that a person or corporation has engaged in or is about to
engage in these acts or practices.



1045.  After the cancellation or revocation of a certificate, or
during the period of its suspension, it is unlawful for a passenger
stage corporation to conduct any operations as a carrier. The
commission may either grant or deny an application for a new
certificate whenever it appears that a prior certificate of the
applicant has been canceled or revoked pursuant to Section 1033.5 or
whenever it appears, after hearing, that as a prior certificate
holder, the applicant engaged in any of the unlawful activities set
forth in Section 1033.5 for which his or her certificate might have
been canceled or revoked.

State Codes and Statutes

Statutes > California > Puc > 1031-1045

PUBLIC UTILITIES CODE
SECTION 1031-1045



1031.  (a) No passenger stage corporation shall operate or cause to
be operated any passenger stage over any public highway in this state
without first having obtained from the commission a certificate
declaring that public convenience and necessity require such
operation, but no such certificate shall be required of any passenger
stage corporation as to the fixed termini between which, or the
route over which, it was actually operating in good faith on July 29,
1927, in compliance with the provisions of Chapter 213, Statutes of
1917, nor shall any such certificate be required of any person or
corporation who on January 1, 1927, was operating, or during the
calendar year 1926 had operated a seasonal service of not less than
three consecutive months' duration, sightseeing buses on a continuous
sightseeing trip with one terminus only. Any right, privilege,
franchise, or permit held, owned, or obtained by any passenger stage
corporation may be sold, assigned, leased, mortgaged, transferred,
inherited, or otherwise encumbered as other property, only upon
authorization by the commission.
   (b) For purposes of this section, "public convenience and
necessity," as it affects applications for passenger stage
corporation certificates, means that the applicant has met the
criteria for issuance of a certificate specified in Section 1032.



1031.5.  The commission shall not issue or authorize the transfer of
any certificate under this article to any person, firm, or
corporation or to any officer or director of the firm, corporation,
or other entity against whom a final judgment has been entered and
whose name has been transmitted to the commission pursuant to Section
3716.4 of the Labor Code, unless that judgment has been satisfied or
has been discharged in accordance with the bankruptcy laws of the
United States.



1032.  (a) Every applicant for a certificate or transfer of a
certificate shall file in the office of the commission an application
therefor in the form required by the commission. The commission may,
with or without a hearing, issue the certificate as requested, or
refuse to issue it, or issue it for the partial exercise only of the
privilege sought, and may attach to the exercise of the rights
granted by the certificate terms and conditions that, in its
judgment, are required in the public interest.
   (b) (1) Before a certificate is issued or transferred, the
commission shall require the applicant to establish reasonable
fitness and financial responsibility to initiate and conduct, or
continue to conduct, the proposed or existing transportation
services. The commission shall not issue or transfer a certificate
unless the applicant meets all of the following requirements:
   (A) The applicant is financially and organizationally capable of
conducting an operation that complies with the rules and regulations
of the Department of the California Highway Patrol governing highway
safety.
   (B) The applicant is committed to observing the hours of service
regulations of state and federal law, where applicable, for all
persons, whether employees or subcarriers, operating vehicles in
transportation for compensation under the certificate.
   (C) The applicant has a preventive maintenance program in effect
for its vehicles used in transportation for compensation that
conforms to regulations of the Department of the California Highway
Patrol, as described in Title 13 of the California Code of
Regulations.
   (D) The applicant participates in a program to regularly check the
driving records of all persons, whether employees or subcarriers,
operating vehicles used in transportation for compensation requiring
a class B driver's license under the certificate.
   (E) The applicant has a safety education and training program in
effect for all employees or subcarriers operating vehicles used in
transportation for compensation.
   (F) The applicant agrees to maintain its vehicles used in
transportation for compensation in safe operating condition and in
compliance with applicable laws and regulations relative to motor
vehicle safety.
   (G) The applicant has filed with the commission a certificate of
workers' compensation insurance coverage or statement required by
Section 460.7.
   (H) The applicant has provided the commission an address of an
office or terminal where documents supporting the factual matters
specified in the showings required by this subdivision may be
inspected by the commission and the Department of the California
Highway Patrol.
   (2) With respect to subparagraphs (B) and (F) of paragraph (1),
the commission may base its findings on a certification by the
commission that an applicant has filed with it a sworn declaration of
ability to comply and intent to comply.
   (c) In addition to the requirements of subdivision (b), a
passenger stage corporation shall meet all other state and federal
regulations, where applicable, as prescribed.
   (d) The commission may delegate to its executive director or his
or her designee, the authority to issue or transfer certificates of
public convenience and necessity and to make all necessary findings
specified in subdivision (b).



1032.1.  (a) The commission shall not issue or transfer a
certificate of public convenience and necessity pursuant to this
article unless the applicant provides for a mandatory controlled
substance and alcohol testing certification program as adopted by the
commission.
   (b) The commission, after considering any suggestions made by the
Department of the California Highway Patrol, shall adopt a program
that includes, but need not be limited to, all of the following
requirements:
   (1) Drivers shall test negative for each of the controlled
substances specified in Part 40 (commencing with Section 40.1) of
Title 49 of the Code of Federal Regulations, before employment.
Drivers shall test negative for these controlled substances and for
alcohol at such other times as the commission, after consulting the
Department of the California Highway Patrol, shall designate. As used
in this section, a negative test for alcohol means an alcohol
screening test showing a breath alcohol concentration of less than
0.02 percent.
   (2) Procedures shall be substantially as in Part 40 (commencing
with Section 40.1) of Title 49 of the Code of Federal Regulations,
except that the driver shall show a valid California driver's license
at the time and place of testing, and except as provided otherwise
in this section. Requirements for rehabilitation and for
return-to-duty and followup testing, and other requirements except as
provided otherwise in this section, shall be substantially as in
Part 382 (commencing with Section 382.101) of Title 49 of the Code of
Federal Regulations.
   (3) A test for one applicant shall be accepted as meeting the same
requirement for any other applicant. Any negative test result shall
be accepted for one year as meeting any requirement for periodic
testing for that applicant or any other applicant, if the driver has
not tested positive subsequent to a negative result. However, an
earlier negative result shall not be accepted as meeting the
pre-employment testing requirement for any subsequent employment, or
any testing requirements under the program other than periodic
testing.
   (4) In the case of an applicant who is also a driver, test results
shall be reported directly to the commission. In all other cases,
results shall be reported directly to the applicant.
   (5) All test results are confidential and shall not be released
without the consent of the driver, except as authorized or required
by law.
   (6) Applicants shall be responsible for compliance with, and shall
pay all costs of, this program with respect to their employees and
potential employees, except that an applicant may require employees
who test positive to pay the costs of rehabilitation and of
return-to-duty and followup testing.
   (7) The requirements of the program do not apply to any driver
required to comply with the controlled substance and alcohol use and
testing requirements of Part 382 (commencing with Section 382.101) of
Title 49 of the Code of Federal Regulations, or Section 34520 of the
Vehicle Code, or to any driver exempted from the provisions of that
section.
   (c) No evidence derived from a positive test result pursuant to
the program shall be admissible in a criminal prosecution concerning
unlawful possession, sale, or distribution of controlled substances.
   (d) On the request of an applicant, the commission shall give the
applicant a list of consortia certified pursuant to Part 382
(commencing with Section 382.101) of Title 49 of the Code of Federal
Regulations that the commission knows offer tests in California.
   (e) The commission shall conduct random and for-cause inspections
of applicants' documents supporting compliance with the program.
   (f) For purposes of this section, "employment" includes
self-employment as an independent driver.



1032.5.  The commission shall issue a certificate pursuant to this
article to every passenger stage corporation which conducts
intrastate passenger transportation service pursuant to federal
operating authority, to the extent that regulation of these
operations is not preempted by the federal Bus Regulatory Reform Act
of 1982 (P.L. 97-261), as amended. The commission may attach any
conditions or limitations to the issuance of the certificate which it
may specify, consistent with federal law and regulation.



1033.  The commission, in the exercise of the jurisdiction conferred
upon it by the Constitution of this State and by this part, may
grant certificates of public convenience and necessity, make
decisions and orders, and prescribe rules affecting passenger stage
corporations, notwithstanding the provisions of any ordinance or
permit of any city, county, or city and county, and in case of
conflict between any such order or rule and any such ordinance or
permit, the certificate, decision, order, or rule of the commission
shall prevail.


1033.5.  (a) The commission may, at any time for good cause, suspend
an operating right acquired by virtue of operations conducted on
July 29, 1927, or a certificate of public convenience and necessity
and, upon notice to the holder and opportunity to be heard, revoke,
alter, or amend the operating right or certificate.
   (b) As an alternative to the suspension, revocation, alteration,
or amendment of an operating right or certificate, the commission may
impose upon the holder a fine not to exceed five thousand dollars
($5,000). The commission may assess interest upon any fine imposed,
the interest to commence upon the day the payment of the fine is
delinquent. All fines and interest collected shall be deposited at
least once each month in the Public Utilities Commission
Transportation Reimbursement Account in the General Fund.
   (c) For purposes of this section, "good cause" includes, but is
not limited to, either of the following:
   (1) A consistent failure of the holder of the operating right or
certificate to maintain vehicles in a safe operating condition and in
compliance with the Vehicle Code and with regulations contained in
Title 13 of the California Code of Regulations relative to motor
vehicle safety, as shown by the records of the commission, the
Department of Motor Vehicles, the Department of the California
Highway Patrol, or the passenger stage corporation.
   (2) The holder's knowing and willful filing of a false report
which understates revenues and fees.



1033.7.  (a) Upon receipt of a written recommendation from the
Department of the California Highway Patrol that the certificate of a
passenger stage corporation be suspended either (1) for failure to
maintain any vehicle used in transportation for compensation in a
safe operating condition or to comply with the Vehicle Code or with
regulations contained in Title 13 of the California Code of
Regulations relative to motor carrier safety, if that failure is
either a consistent failure or presents an imminent danger to public
safety, or (2) for failure to enroll all drivers in the pull notice
system as required by Section 1808.1 of the Vehicle Code, the
commission shall, pending a hearing in the matter pursuant to
subdivision (d), suspend the corporation's certificate. The
department's written recommendation shall specifically indicate
compliance with subdivision (c).
   (b) A corporation whose certificate is suspended pursuant to
subdivision (a) may obtain a reinspection of its terminal and
vehicles by the department, by submitting a written request for
reinstatement to the commission and paying a reinstatement fee of one
hundred twenty-five dollars ($125). The commission shall deposit all
reinstatement fees collected pursuant to this subdivision in the
Public Utilities Commission Transportation Reimbursement Account. The
commission shall forward a request for reinspection to the
department which shall perform a reinspection within a reasonable
time. The commission shall reinstate a corporation's certificate
suspended under subdivision (a) promptly upon receipt of a written
recommendation from the department that the corporation's safety
compliance has improved to the satisfaction of the department, unless
the certificate is suspended for another reason or has been revoked.
   (c) Before transmitting a recommendation pursuant to subdivision
(a) to the commission, the Department of the California Highway
Patrol shall notify the passenger stage corporation in writing of all
of the following:
   (1) That the department has determined that the corporation's
safety record is unsatisfactory, furnishing a copy of any
documentation or summary of any other evidence supporting the
determination.
   (2) That the determination may result in a suspension or
revocation of the corporation's certificate by the commission.
   (3) That the corporation may request a review of the determination
by the department within five days of its receipt of the notice
required under this subdivision. If a review pursuant to this
paragraph is requested by the corporation, the department shall
conduct and evaluate that review prior to transmitting any
notification to the commission pursuant to subdivision (a).
   (d) Whenever the commission suspends the certificate of any
passenger stage corporation pursuant to subdivision (a), the
commission shall furnish the corporation written notice of the
suspension and shall hold a hearing within a reasonable time, not to
exceed 21 days, after a written request therefor is filed with the
commission, with a copy thereof furnished to the Department of the
California Highway Patrol. At the hearing, the corporation shall show
cause why the suspension should not be continued. At the conclusion
of the hearing, the commission may, in addition to any other
applicable penalty provided in this part, terminate the suspension,
continue the suspension in effect, or revoke the certificate. The
commission may revoke the certificate of any passenger stage
corporation suspended pursuant to subdivision (a) at any time 90 days
or more after its suspension if the commission has not received a
written recommendation for reinstatement from the department and the
corporation has not filed a written request for a hearing with the
commission.
   (e) If the commission, after a hearing, finds that a passenger
stage corporation has continued to operate as such after its
certificate has been suspended pursuant to subdivision (a), the
commission shall do one of the following:
   (1) Revoke the certificate of the corporation.
   (2) Impose upon the holder of the certificate a civil penalty of
not less than one thousand dollars ($1,000) nor more than five
thousand dollars ($5,000) for each day of unlawful operations.



1033.8.  (a) Upon receipt of a stop order issued by the Director of
Industrial Relations pursuant to Section 3710.1 of the Labor Code,
the commission shall investigate to determine whether the passenger
stage corporation has filed a false statement relative to workers'
compensation insurance coverage, in violation of statute, or rules or
orders of the commission. If, after notice and opportunity to be
heard, the commission determines that there has been a violation of
statute, or rules or orders of the commission, the commission shall
impose appropriate penalties, which may include a fine and suspension
of operating authority for a violation.
   (b) Upon receipt of a complaint from the Director of Industrial
Relations that a final judgment has been entered against any
passenger stage corporation as a result of an award having been made
to an employee pursuant to Section 3716.2 of the Labor Code, the
commission shall, 30 days from the date notice to the corporation is
mailed, revoke the corporation's certificate of public convenience
and necessity, unless the judgment has been satisfied or has been
discharged in accordance with the bankruptcy laws of the United
States or the corporation requests a hearing pursuant to subdivision
(c).
   (c) Within seven days of receipt of a complaint from the Director
of Industrial Relations that a final judgment has been entered
against any passenger stage corporation as a result of an award
having been made to an employee pursuant to Section 3716.2 of the
Labor Code, the commission shall furnish to the corporation named in
the final judgment written notice of the right to a hearing regarding
the complaint and the procedure to follow to request a hearing. The
notice shall state that the commission is required to revoke the
corporation's certificate of public convenience and necessity to
operate pursuant to subdivision (b) after 30 days from the date the
notice is mailed unless the corporation provides proof that the
judgment is satisfied or has been discharged in accordance with the
bankruptcy laws of the United States and the commission has been so
notified seven days prior to the conclusion of the 30-day waiting
period. The notice shall also inform the corporation of a right to a
hearing and the procedures to follow to request a hearing. The
corporation may request a hearing within 10 days from the date the
notice is sent by the commission. The request for the hearing shall
stay the revocation. The hearing shall be held within 30 days of the
receipt of the request. If the commission finds that an unsatisfied
judgment exists concerning a debt arising under Section 3717 of the
Labor Code, the commission shall immediately revoke the corporation's
certificate of public convenience and necessity.



1034.  When a complaint has been filed with the commission alleging
that any passenger stage is being operated without a certificate of
public convenience and necessity, contrary to or in violation of the
provisions of this part, the commission may, with or without notice,
make its order requiring the corporation or person operating or
managing such passenger stage, to cease and desist from such
operation, until the commission makes and files its decision on the
complaint, or until further order of the commission.



1034.5.  Every corporation or person who knowingly and willfully
issues, publishes, or affixes, or causes or permits the issuance,
publishing, or affixing, of any oral or written advertisement,
broadcast, or other holding out to the public, or any portion
thereof, that the corporation or person is in operation as a
passenger stage corporation without having a valid certificate or
issued under this article is guilty of a misdemeanor punishable, if
an individual, by a fine of not more than one thousand dollars
($1,000) or by imprisonment in the county jail for not more than six
months, or by both, or, if a corporation, by a fine of not more than
five thousand dollars ($5,000).



1035.  Whether or not any stage, auto stage, or other motor vehicle
is being, or is proposed to be operated as a passenger stage
corporation "between fixed termini or over a regular route" within
the meaning of this part is a question of fact, and the finding of
the commission thereon is final and is not subject to review. Any act
of transporting or attempting to transport any person or persons by
stage, auto stage, or other motor vehicle upon a public highway of
this State between two or more points not both within the limits of a
single city or city and county, where the rate, charge, or fare for
such transportation is computed, collected, or demanded on an
individual fare basis, shall be presumed to be an act of operating as
a passenger stage corporation within the meaning of this part.




1036.  (a) Each application for a certificate of public convenience
and necessity made under this article shall be accompanied by a fee
of five hundred dollars ($500), unless the applicant is already
operating in the immediate vicinity under the jurisdiction of the
commission.
   (b) No certificate issued pursuant to, or rights to conduct any of
the services authorized by, this article shall be sold, leased, or
assigned, or otherwise transferred or encumbered, unless authorized
by the commission. A filing fee of three hundred dollars ($300) shall
accompany all applications for that authorization.



1037.  Every passenger stage corporation which violates any
provision of this article, or aids or abets, or without being present
advises or encourages any person or corporation in such violation,
is guilty of a misdemeanor and, upon conviction thereof, if a person,
shall be punished by a fine not exceeding one thousand dollars
($1,000) or by imprisonment in a county jail for a term not to exceed
six months, or by both such fine and imprisonment, or, if a
corporation, shall be punished by a fine not to exceed one thousand
dollars ($1,000).


1038.  The interior of every passenger stage operated for hire in
this State shall be maintained in a clean and sanitary condition.



1038.5.  A passenger stage corporation shall not operate any motor
vehicle on a public highway unless there is displayed on the vehicle
a distinctive identifying symbol in the form prescribed by the
commission, showing the classification to which the vehicle belongs.
The identifying symbol shall not be displayed until a certificate of
public convenience and necessity has been issued under this chapter
for the operation.
   The identifying symbol displayed by a passenger stage corporation
subject to the Interstate Commerce Commission shall serve in lieu of
the display requirements of this section.



1039.  In every written or oral advertisement of the service it
offers, every passenger stage corporation shall state the number of
its certificate or identifying symbol, as specified by the
commission.


1040.  The commission shall, in issuing a certificate pursuant to
this article, require the passenger stage corporation to procure, and
to continue in effect during the life of the certificate, adequate
protection against liability imposed by law upon the corporation for
the payment of damages for personal bodily injuries, including death
resulting therefrom, protection against a total liability of the
corporation on account of bodily injuries to, or death of, more than
one person as a result of any one accident, and protection against
damage or destruction of property.
   The minimum requirements for these assurances of protection
against liability shall not be less than the requirements which are
applicable to operations of carriers conducted pursuant to the
federal Bus Regulatory Reform Act of 1982 (P.L. 97-261), as amended.
However, for vehicles designed to carry not more than eight persons,
including the driver, the commission shall not require protection
against a total liability of the corporation on account of bodily
injuries to, or death of, more than one person as a result of any one
accident in an amount exceeding seven hundred fifty thousand dollars
($750,000).


1041.  It is unlawful for the owner of a passenger stage employing
or otherwise directing the driver of the passenger stage to permit
the operation of the passenger stage upon any public highway for
compensation without first having obtained from the commission a
certificate pursuant to this chapter or without first having complied
with the vehicle identification requirements of Section 1038.5 or
the accident liability protection requirements of Section 1040.



1042.  (a) Every passenger stage corporation shall furnish the
commission annually, as specified by the commission, a list, prepared
under oath, of all vehicles used in transportation for compensation
during the preceding year. The commission shall furnish a copy of
this list to the Department of the California Highway Patrol and to
the corporation's insurer, if the corporation's accident liability
protection is provided by a policy or policies of insurance.
   (b) If the passenger stage corporation's insurer informs the
commission that the corporation has failed to obtain insurance
coverage for any vehicle reported on the list, the commission may, in
addition to any other applicable penalty provided in this part, for
a first occurrence, suspend the corporation's certificate or impose a
fine, or both, and for a second or subsequent occurrence may suspend
or revoke the certificate or impose a fine, or both.



1043.  Every passenger stage corporation earning over three hundred
fifty thousand dollars ($350,000) in annual gross operating revenue
shall, under oath, file annually a report indicating the number,
classification, and compensation of all employees and owner-operator
drivers hired or engaged during the reporting period. The commission
shall submit a copy of the report to the administrator of the
corporation's workers' compensation self-insurance plan if the
corporation is self-insured, or to the corporation's workers'
compensation insurer if the corporation's workers' compensation
protection is provided by a policy or policies of insurance. The
commission shall not be obligated to undertake an independent
investigation of the adequacy of workers' compensation insurance
coverage based on the information contained in the report if the
carrier has complied with Section 460.7.



1044.  When the executive director of the commission determines that
any passenger stage corporation, or any officer, director, or agent
of any passenger stage corporation, has engaged in, is engaged in, or
is about to engage in, any acts or practices in violation of this
chapter, or any order, decision, rule, regulation, direction, demand,
or requirement issued under this chapter, the executive director may
make application to the superior court for an order enjoining those
acts or practices or for an order directing compliance. The court may
grant a permanent or temporary injunction, restraining order, or
other order, including, but not limited to, an order allowing
vehicles used for subsequent operations subject to the order to be
impounded at the carrier's expense and subject to release only by
subsequent court order following a petition to the court by the
defendant or owner of the vehicle, upon a showing by the executive
director that a person or corporation has engaged in or is about to
engage in these acts or practices.



1045.  After the cancellation or revocation of a certificate, or
during the period of its suspension, it is unlawful for a passenger
stage corporation to conduct any operations as a carrier. The
commission may either grant or deny an application for a new
certificate whenever it appears that a prior certificate of the
applicant has been canceled or revoked pursuant to Section 1033.5 or
whenever it appears, after hearing, that as a prior certificate
holder, the applicant engaged in any of the unlawful activities set
forth in Section 1033.5 for which his or her certificate might have
been canceled or revoked.


State Codes and Statutes

State Codes and Statutes

Statutes > California > Puc > 1031-1045

PUBLIC UTILITIES CODE
SECTION 1031-1045



1031.  (a) No passenger stage corporation shall operate or cause to
be operated any passenger stage over any public highway in this state
without first having obtained from the commission a certificate
declaring that public convenience and necessity require such
operation, but no such certificate shall be required of any passenger
stage corporation as to the fixed termini between which, or the
route over which, it was actually operating in good faith on July 29,
1927, in compliance with the provisions of Chapter 213, Statutes of
1917, nor shall any such certificate be required of any person or
corporation who on January 1, 1927, was operating, or during the
calendar year 1926 had operated a seasonal service of not less than
three consecutive months' duration, sightseeing buses on a continuous
sightseeing trip with one terminus only. Any right, privilege,
franchise, or permit held, owned, or obtained by any passenger stage
corporation may be sold, assigned, leased, mortgaged, transferred,
inherited, or otherwise encumbered as other property, only upon
authorization by the commission.
   (b) For purposes of this section, "public convenience and
necessity," as it affects applications for passenger stage
corporation certificates, means that the applicant has met the
criteria for issuance of a certificate specified in Section 1032.



1031.5.  The commission shall not issue or authorize the transfer of
any certificate under this article to any person, firm, or
corporation or to any officer or director of the firm, corporation,
or other entity against whom a final judgment has been entered and
whose name has been transmitted to the commission pursuant to Section
3716.4 of the Labor Code, unless that judgment has been satisfied or
has been discharged in accordance with the bankruptcy laws of the
United States.



1032.  (a) Every applicant for a certificate or transfer of a
certificate shall file in the office of the commission an application
therefor in the form required by the commission. The commission may,
with or without a hearing, issue the certificate as requested, or
refuse to issue it, or issue it for the partial exercise only of the
privilege sought, and may attach to the exercise of the rights
granted by the certificate terms and conditions that, in its
judgment, are required in the public interest.
   (b) (1) Before a certificate is issued or transferred, the
commission shall require the applicant to establish reasonable
fitness and financial responsibility to initiate and conduct, or
continue to conduct, the proposed or existing transportation
services. The commission shall not issue or transfer a certificate
unless the applicant meets all of the following requirements:
   (A) The applicant is financially and organizationally capable of
conducting an operation that complies with the rules and regulations
of the Department of the California Highway Patrol governing highway
safety.
   (B) The applicant is committed to observing the hours of service
regulations of state and federal law, where applicable, for all
persons, whether employees or subcarriers, operating vehicles in
transportation for compensation under the certificate.
   (C) The applicant has a preventive maintenance program in effect
for its vehicles used in transportation for compensation that
conforms to regulations of the Department of the California Highway
Patrol, as described in Title 13 of the California Code of
Regulations.
   (D) The applicant participates in a program to regularly check the
driving records of all persons, whether employees or subcarriers,
operating vehicles used in transportation for compensation requiring
a class B driver's license under the certificate.
   (E) The applicant has a safety education and training program in
effect for all employees or subcarriers operating vehicles used in
transportation for compensation.
   (F) The applicant agrees to maintain its vehicles used in
transportation for compensation in safe operating condition and in
compliance with applicable laws and regulations relative to motor
vehicle safety.
   (G) The applicant has filed with the commission a certificate of
workers' compensation insurance coverage or statement required by
Section 460.7.
   (H) The applicant has provided the commission an address of an
office or terminal where documents supporting the factual matters
specified in the showings required by this subdivision may be
inspected by the commission and the Department of the California
Highway Patrol.
   (2) With respect to subparagraphs (B) and (F) of paragraph (1),
the commission may base its findings on a certification by the
commission that an applicant has filed with it a sworn declaration of
ability to comply and intent to comply.
   (c) In addition to the requirements of subdivision (b), a
passenger stage corporation shall meet all other state and federal
regulations, where applicable, as prescribed.
   (d) The commission may delegate to its executive director or his
or her designee, the authority to issue or transfer certificates of
public convenience and necessity and to make all necessary findings
specified in subdivision (b).



1032.1.  (a) The commission shall not issue or transfer a
certificate of public convenience and necessity pursuant to this
article unless the applicant provides for a mandatory controlled
substance and alcohol testing certification program as adopted by the
commission.
   (b) The commission, after considering any suggestions made by the
Department of the California Highway Patrol, shall adopt a program
that includes, but need not be limited to, all of the following
requirements:
   (1) Drivers shall test negative for each of the controlled
substances specified in Part 40 (commencing with Section 40.1) of
Title 49 of the Code of Federal Regulations, before employment.
Drivers shall test negative for these controlled substances and for
alcohol at such other times as the commission, after consulting the
Department of the California Highway Patrol, shall designate. As used
in this section, a negative test for alcohol means an alcohol
screening test showing a breath alcohol concentration of less than
0.02 percent.
   (2) Procedures shall be substantially as in Part 40 (commencing
with Section 40.1) of Title 49 of the Code of Federal Regulations,
except that the driver shall show a valid California driver's license
at the time and place of testing, and except as provided otherwise
in this section. Requirements for rehabilitation and for
return-to-duty and followup testing, and other requirements except as
provided otherwise in this section, shall be substantially as in
Part 382 (commencing with Section 382.101) of Title 49 of the Code of
Federal Regulations.
   (3) A test for one applicant shall be accepted as meeting the same
requirement for any other applicant. Any negative test result shall
be accepted for one year as meeting any requirement for periodic
testing for that applicant or any other applicant, if the driver has
not tested positive subsequent to a negative result. However, an
earlier negative result shall not be accepted as meeting the
pre-employment testing requirement for any subsequent employment, or
any testing requirements under the program other than periodic
testing.
   (4) In the case of an applicant who is also a driver, test results
shall be reported directly to the commission. In all other cases,
results shall be reported directly to the applicant.
   (5) All test results are confidential and shall not be released
without the consent of the driver, except as authorized or required
by law.
   (6) Applicants shall be responsible for compliance with, and shall
pay all costs of, this program with respect to their employees and
potential employees, except that an applicant may require employees
who test positive to pay the costs of rehabilitation and of
return-to-duty and followup testing.
   (7) The requirements of the program do not apply to any driver
required to comply with the controlled substance and alcohol use and
testing requirements of Part 382 (commencing with Section 382.101) of
Title 49 of the Code of Federal Regulations, or Section 34520 of the
Vehicle Code, or to any driver exempted from the provisions of that
section.
   (c) No evidence derived from a positive test result pursuant to
the program shall be admissible in a criminal prosecution concerning
unlawful possession, sale, or distribution of controlled substances.
   (d) On the request of an applicant, the commission shall give the
applicant a list of consortia certified pursuant to Part 382
(commencing with Section 382.101) of Title 49 of the Code of Federal
Regulations that the commission knows offer tests in California.
   (e) The commission shall conduct random and for-cause inspections
of applicants' documents supporting compliance with the program.
   (f) For purposes of this section, "employment" includes
self-employment as an independent driver.



1032.5.  The commission shall issue a certificate pursuant to this
article to every passenger stage corporation which conducts
intrastate passenger transportation service pursuant to federal
operating authority, to the extent that regulation of these
operations is not preempted by the federal Bus Regulatory Reform Act
of 1982 (P.L. 97-261), as amended. The commission may attach any
conditions or limitations to the issuance of the certificate which it
may specify, consistent with federal law and regulation.



1033.  The commission, in the exercise of the jurisdiction conferred
upon it by the Constitution of this State and by this part, may
grant certificates of public convenience and necessity, make
decisions and orders, and prescribe rules affecting passenger stage
corporations, notwithstanding the provisions of any ordinance or
permit of any city, county, or city and county, and in case of
conflict between any such order or rule and any such ordinance or
permit, the certificate, decision, order, or rule of the commission
shall prevail.


1033.5.  (a) The commission may, at any time for good cause, suspend
an operating right acquired by virtue of operations conducted on
July 29, 1927, or a certificate of public convenience and necessity
and, upon notice to the holder and opportunity to be heard, revoke,
alter, or amend the operating right or certificate.
   (b) As an alternative to the suspension, revocation, alteration,
or amendment of an operating right or certificate, the commission may
impose upon the holder a fine not to exceed five thousand dollars
($5,000). The commission may assess interest upon any fine imposed,
the interest to commence upon the day the payment of the fine is
delinquent. All fines and interest collected shall be deposited at
least once each month in the Public Utilities Commission
Transportation Reimbursement Account in the General Fund.
   (c) For purposes of this section, "good cause" includes, but is
not limited to, either of the following:
   (1) A consistent failure of the holder of the operating right or
certificate to maintain vehicles in a safe operating condition and in
compliance with the Vehicle Code and with regulations contained in
Title 13 of the California Code of Regulations relative to motor
vehicle safety, as shown by the records of the commission, the
Department of Motor Vehicles, the Department of the California
Highway Patrol, or the passenger stage corporation.
   (2) The holder's knowing and willful filing of a false report
which understates revenues and fees.



1033.7.  (a) Upon receipt of a written recommendation from the
Department of the California Highway Patrol that the certificate of a
passenger stage corporation be suspended either (1) for failure to
maintain any vehicle used in transportation for compensation in a
safe operating condition or to comply with the Vehicle Code or with
regulations contained in Title 13 of the California Code of
Regulations relative to motor carrier safety, if that failure is
either a consistent failure or presents an imminent danger to public
safety, or (2) for failure to enroll all drivers in the pull notice
system as required by Section 1808.1 of the Vehicle Code, the
commission shall, pending a hearing in the matter pursuant to
subdivision (d), suspend the corporation's certificate. The
department's written recommendation shall specifically indicate
compliance with subdivision (c).
   (b) A corporation whose certificate is suspended pursuant to
subdivision (a) may obtain a reinspection of its terminal and
vehicles by the department, by submitting a written request for
reinstatement to the commission and paying a reinstatement fee of one
hundred twenty-five dollars ($125). The commission shall deposit all
reinstatement fees collected pursuant to this subdivision in the
Public Utilities Commission Transportation Reimbursement Account. The
commission shall forward a request for reinspection to the
department which shall perform a reinspection within a reasonable
time. The commission shall reinstate a corporation's certificate
suspended under subdivision (a) promptly upon receipt of a written
recommendation from the department that the corporation's safety
compliance has improved to the satisfaction of the department, unless
the certificate is suspended for another reason or has been revoked.
   (c) Before transmitting a recommendation pursuant to subdivision
(a) to the commission, the Department of the California Highway
Patrol shall notify the passenger stage corporation in writing of all
of the following:
   (1) That the department has determined that the corporation's
safety record is unsatisfactory, furnishing a copy of any
documentation or summary of any other evidence supporting the
determination.
   (2) That the determination may result in a suspension or
revocation of the corporation's certificate by the commission.
   (3) That the corporation may request a review of the determination
by the department within five days of its receipt of the notice
required under this subdivision. If a review pursuant to this
paragraph is requested by the corporation, the department shall
conduct and evaluate that review prior to transmitting any
notification to the commission pursuant to subdivision (a).
   (d) Whenever the commission suspends the certificate of any
passenger stage corporation pursuant to subdivision (a), the
commission shall furnish the corporation written notice of the
suspension and shall hold a hearing within a reasonable time, not to
exceed 21 days, after a written request therefor is filed with the
commission, with a copy thereof furnished to the Department of the
California Highway Patrol. At the hearing, the corporation shall show
cause why the suspension should not be continued. At the conclusion
of the hearing, the commission may, in addition to any other
applicable penalty provided in this part, terminate the suspension,
continue the suspension in effect, or revoke the certificate. The
commission may revoke the certificate of any passenger stage
corporation suspended pursuant to subdivision (a) at any time 90 days
or more after its suspension if the commission has not received a
written recommendation for reinstatement from the department and the
corporation has not filed a written request for a hearing with the
commission.
   (e) If the commission, after a hearing, finds that a passenger
stage corporation has continued to operate as such after its
certificate has been suspended pursuant to subdivision (a), the
commission shall do one of the following:
   (1) Revoke the certificate of the corporation.
   (2) Impose upon the holder of the certificate a civil penalty of
not less than one thousand dollars ($1,000) nor more than five
thousand dollars ($5,000) for each day of unlawful operations.



1033.8.  (a) Upon receipt of a stop order issued by the Director of
Industrial Relations pursuant to Section 3710.1 of the Labor Code,
the commission shall investigate to determine whether the passenger
stage corporation has filed a false statement relative to workers'
compensation insurance coverage, in violation of statute, or rules or
orders of the commission. If, after notice and opportunity to be
heard, the commission determines that there has been a violation of
statute, or rules or orders of the commission, the commission shall
impose appropriate penalties, which may include a fine and suspension
of operating authority for a violation.
   (b) Upon receipt of a complaint from the Director of Industrial
Relations that a final judgment has been entered against any
passenger stage corporation as a result of an award having been made
to an employee pursuant to Section 3716.2 of the Labor Code, the
commission shall, 30 days from the date notice to the corporation is
mailed, revoke the corporation's certificate of public convenience
and necessity, unless the judgment has been satisfied or has been
discharged in accordance with the bankruptcy laws of the United
States or the corporation requests a hearing pursuant to subdivision
(c).
   (c) Within seven days of receipt of a complaint from the Director
of Industrial Relations that a final judgment has been entered
against any passenger stage corporation as a result of an award
having been made to an employee pursuant to Section 3716.2 of the
Labor Code, the commission shall furnish to the corporation named in
the final judgment written notice of the right to a hearing regarding
the complaint and the procedure to follow to request a hearing. The
notice shall state that the commission is required to revoke the
corporation's certificate of public convenience and necessity to
operate pursuant to subdivision (b) after 30 days from the date the
notice is mailed unless the corporation provides proof that the
judgment is satisfied or has been discharged in accordance with the
bankruptcy laws of the United States and the commission has been so
notified seven days prior to the conclusion of the 30-day waiting
period. The notice shall also inform the corporation of a right to a
hearing and the procedures to follow to request a hearing. The
corporation may request a hearing within 10 days from the date the
notice is sent by the commission. The request for the hearing shall
stay the revocation. The hearing shall be held within 30 days of the
receipt of the request. If the commission finds that an unsatisfied
judgment exists concerning a debt arising under Section 3717 of the
Labor Code, the commission shall immediately revoke the corporation's
certificate of public convenience and necessity.



1034.  When a complaint has been filed with the commission alleging
that any passenger stage is being operated without a certificate of
public convenience and necessity, contrary to or in violation of the
provisions of this part, the commission may, with or without notice,
make its order requiring the corporation or person operating or
managing such passenger stage, to cease and desist from such
operation, until the commission makes and files its decision on the
complaint, or until further order of the commission.



1034.5.  Every corporation or person who knowingly and willfully
issues, publishes, or affixes, or causes or permits the issuance,
publishing, or affixing, of any oral or written advertisement,
broadcast, or other holding out to the public, or any portion
thereof, that the corporation or person is in operation as a
passenger stage corporation without having a valid certificate or
issued under this article is guilty of a misdemeanor punishable, if
an individual, by a fine of not more than one thousand dollars
($1,000) or by imprisonment in the county jail for not more than six
months, or by both, or, if a corporation, by a fine of not more than
five thousand dollars ($5,000).



1035.  Whether or not any stage, auto stage, or other motor vehicle
is being, or is proposed to be operated as a passenger stage
corporation "between fixed termini or over a regular route" within
the meaning of this part is a question of fact, and the finding of
the commission thereon is final and is not subject to review. Any act
of transporting or attempting to transport any person or persons by
stage, auto stage, or other motor vehicle upon a public highway of
this State between two or more points not both within the limits of a
single city or city and county, where the rate, charge, or fare for
such transportation is computed, collected, or demanded on an
individual fare basis, shall be presumed to be an act of operating as
a passenger stage corporation within the meaning of this part.




1036.  (a) Each application for a certificate of public convenience
and necessity made under this article shall be accompanied by a fee
of five hundred dollars ($500), unless the applicant is already
operating in the immediate vicinity under the jurisdiction of the
commission.
   (b) No certificate issued pursuant to, or rights to conduct any of
the services authorized by, this article shall be sold, leased, or
assigned, or otherwise transferred or encumbered, unless authorized
by the commission. A filing fee of three hundred dollars ($300) shall
accompany all applications for that authorization.



1037.  Every passenger stage corporation which violates any
provision of this article, or aids or abets, or without being present
advises or encourages any person or corporation in such violation,
is guilty of a misdemeanor and, upon conviction thereof, if a person,
shall be punished by a fine not exceeding one thousand dollars
($1,000) or by imprisonment in a county jail for a term not to exceed
six months, or by both such fine and imprisonment, or, if a
corporation, shall be punished by a fine not to exceed one thousand
dollars ($1,000).


1038.  The interior of every passenger stage operated for hire in
this State shall be maintained in a clean and sanitary condition.



1038.5.  A passenger stage corporation shall not operate any motor
vehicle on a public highway unless there is displayed on the vehicle
a distinctive identifying symbol in the form prescribed by the
commission, showing the classification to which the vehicle belongs.
The identifying symbol shall not be displayed until a certificate of
public convenience and necessity has been issued under this chapter
for the operation.
   The identifying symbol displayed by a passenger stage corporation
subject to the Interstate Commerce Commission shall serve in lieu of
the display requirements of this section.



1039.  In every written or oral advertisement of the service it
offers, every passenger stage corporation shall state the number of
its certificate or identifying symbol, as specified by the
commission.


1040.  The commission shall, in issuing a certificate pursuant to
this article, require the passenger stage corporation to procure, and
to continue in effect during the life of the certificate, adequate
protection against liability imposed by law upon the corporation for
the payment of damages for personal bodily injuries, including death
resulting therefrom, protection against a total liability of the
corporation on account of bodily injuries to, or death of, more than
one person as a result of any one accident, and protection against
damage or destruction of property.
   The minimum requirements for these assurances of protection
against liability shall not be less than the requirements which are
applicable to operations of carriers conducted pursuant to the
federal Bus Regulatory Reform Act of 1982 (P.L. 97-261), as amended.
However, for vehicles designed to carry not more than eight persons,
including the driver, the commission shall not require protection
against a total liability of the corporation on account of bodily
injuries to, or death of, more than one person as a result of any one
accident in an amount exceeding seven hundred fifty thousand dollars
($750,000).


1041.  It is unlawful for the owner of a passenger stage employing
or otherwise directing the driver of the passenger stage to permit
the operation of the passenger stage upon any public highway for
compensation without first having obtained from the commission a
certificate pursuant to this chapter or without first having complied
with the vehicle identification requirements of Section 1038.5 or
the accident liability protection requirements of Section 1040.



1042.  (a) Every passenger stage corporation shall furnish the
commission annually, as specified by the commission, a list, prepared
under oath, of all vehicles used in transportation for compensation
during the preceding year. The commission shall furnish a copy of
this list to the Department of the California Highway Patrol and to
the corporation's insurer, if the corporation's accident liability
protection is provided by a policy or policies of insurance.
   (b) If the passenger stage corporation's insurer informs the
commission that the corporation has failed to obtain insurance
coverage for any vehicle reported on the list, the commission may, in
addition to any other applicable penalty provided in this part, for
a first occurrence, suspend the corporation's certificate or impose a
fine, or both, and for a second or subsequent occurrence may suspend
or revoke the certificate or impose a fine, or both.



1043.  Every passenger stage corporation earning over three hundred
fifty thousand dollars ($350,000) in annual gross operating revenue
shall, under oath, file annually a report indicating the number,
classification, and compensation of all employees and owner-operator
drivers hired or engaged during the reporting period. The commission
shall submit a copy of the report to the administrator of the
corporation's workers' compensation self-insurance plan if the
corporation is self-insured, or to the corporation's workers'
compensation insurer if the corporation's workers' compensation
protection is provided by a policy or policies of insurance. The
commission shall not be obligated to undertake an independent
investigation of the adequacy of workers' compensation insurance
coverage based on the information contained in the report if the
carrier has complied with Section 460.7.



1044.  When the executive director of the commission determines that
any passenger stage corporation, or any officer, director, or agent
of any passenger stage corporation, has engaged in, is engaged in, or
is about to engage in, any acts or practices in violation of this
chapter, or any order, decision, rule, regulation, direction, demand,
or requirement issued under this chapter, the executive director may
make application to the superior court for an order enjoining those
acts or practices or for an order directing compliance. The court may
grant a permanent or temporary injunction, restraining order, or
other order, including, but not limited to, an order allowing
vehicles used for subsequent operations subject to the order to be
impounded at the carrier's expense and subject to release only by
subsequent court order following a petition to the court by the
defendant or owner of the vehicle, upon a showing by the executive
director that a person or corporation has engaged in or is about to
engage in these acts or practices.



1045.  After the cancellation or revocation of a certificate, or
during the period of its suspension, it is unlawful for a passenger
stage corporation to conduct any operations as a carrier. The
commission may either grant or deny an application for a new
certificate whenever it appears that a prior certificate of the
applicant has been canceled or revoked pursuant to Section 1033.5 or
whenever it appears, after hearing, that as a prior certificate
holder, the applicant engaged in any of the unlawful activities set
forth in Section 1033.5 for which his or her certificate might have
been canceled or revoked.