SECTIONS 11001-11006

11001.  (a) All money collected by the department for acceptedapplications under this part shall be reported monthly to theController and, at the same time, deposited in the State Treasury tothe credit of the Motor Vehicle License Fee Account in theTransportation Tax Fund. Any reference in any law or regulation to the Motor VehicleLicense Fee Fund shall be deemed to refer to the Motor VehicleLicense Fee Account in the Transportation Tax Fund. (b) The amount of any penalties collected by the department, asprovided in Sections 9553 and 9554 of the Vehicle Code and Sections10770 and 10854 of this code, shall, for purposes of subdivision (a),be deemed to be a percentage of the total fees allocated under thissection and under Section 42270 of the Vehicle Code equal to thatpercentage of the weight fee, registration fee, and vehicle licensefee obtained when applying the total of these fees collected,excluding use tax, against the individual weight fees, registrationfees, and vehicle license fees collected on each application.Penalties which cannot be allocated in accordance with thissubdivision shall be allocated according to subdivision (c). (c) The amount of any penalties collected by the department, asprovided in Sections 9553 and 9554 of the Vehicle Code and Sections10770 and 10854 of this code which cannot be allocated pursuant tosubdivision (b), shall, for purposes of subdivision (a), be deemed tobe a percentage of the total fees allocated under this section andunder Section 42270 of the Vehicle Code equal to that percentage ofthe ratio based on the fees previously allocated under this sectionand under Section 42270 of the Vehicle Code in the fiscal yearpreceding the calendar year for which the penalties are to beallocated. That ratio shall be reevaluated periodically and shall beadjusted to reflect any change in the fee structure that may beprovided in this code or in Division 3 (commencing with Section 4000)of the Vehicle Code.11001.5.  (a) (1) Notwithstanding Section 11001, and except asprovided in paragraph (2) and in subdivisions (b) and (d), 24.33percent, and on and after July 1, 2004, 74.9 percent, of the moneyscollected by the department under this part shall be reported monthlyto the Controller, and at the same time, deposited in the StateTreasury to the credit of the Local Revenue Fund, as establishedpursuant to Section 17600 of the Welfare and Institutions Code. Allother moneys collected by the department under this part shallcontinue to be deposited to the credit of the Motor Vehicle LicenseFee Account in the Transportation Tax Fund and first allocated to theCounty of Orange as provided in subdivision (a) of Section 11005 andas necessary for the service of indebtedness as pledged by Sections25350.6 and 53585.1 of the Government Code and in accordance withwritten instructions provided by the Controller under Sections25350.7, 25350.9, and 53585.1 of the Government Code, and the balanceshall be allocated to each city and city and county as otherwiseprovided by law. (2) For the period beginning on and after July 1, 2003, and endingon February 29, 2004, the Controller shall deposit an amount equalto 28.07 percent of the moneys collected by the department under thispart in the State Treasury to the credit of the Local Revenue Fund.All other moneys collected by the department under this part shallcontinue to be deposited to the credit of the Motor Vehicle LicenseFee Account in the Transportation Tax Fund and allocated to eachcity, county, and city and county as otherwise provided by law. (b) (1) Notwithstanding Section 11001, net funds collected as aresult of procedures developed for greater compliance with vehiclelicense fee laws in order to increase the amount of vehicle licensefee collections shall be reported monthly to the Controller, and atthe same time, deposited in the State Treasury to the credit of theVehicle License Collection Account of the Local Revenue Fund asestablished pursuant to Section 17600 of the Welfare and InstitutionsCode. All revenues in excess of fourteen million dollars($14,000,000) in the 2004-05 fiscal year and in any fiscal yearthereafter shall be allocated to cities, counties, and cities andcounties as follows: (A) (i) Fifty percent shall be paid to the cities and cities andcounties of this state in the proportion that the population of eachcity or city and county bears to the total population of all citiesand cities and counties in this state, as determined by thepopulation research unit of the Department of Finance. For purposesof this subparagraph, the population of each city or city and countyis that population determined by the last federal decennial orspecial census, or a subsequent census validated by the populationresearch unit or subsequent estimate prepared pursuant to Section2107.2 of the Streets and Highways Code. (ii) In the case of a city incorporated subsequent to the lastfederal census, or a subsequent census validated by the populationresearch unit, the population research unit shall determine thepopulation of the city. In the case of unincorporated territoryannexed to a city subsequent to the last federal census, or asubsequent census validated by the population research unit, thepopulation research unit shall determine the population of theannexed territory by the use of any federal decennial or specialcensus, or estimate prepared pursuant to Section 2107.2 of theStreets and Highways Code. In the case of the consolidation of onecity with another subsequent to the last federal census, or asubsequent census validated by the population research unit, thepopulation of the consolidated city, for the purpose of thissubparagraph, is the aggregate population of the respective cities asdetermined by the last federal census, or a subsequent census orestimate validated by the population research unit. (B) Fifty percent shall be paid to the counties and cities andcounties in the proportion that the population of each county or cityand county bears to the total population of all counties and citiesand counties, as determined by the population research unit. Forpurposes of this subparagraph, the population of each county or cityand county is that determined by the last federal census, orsubsequent census validated by the population research unit, or asdetermined by Section 11005.6 of the Revenue and Taxation Code. (2) The amendments made to this section by the act that added thisparagraph are operative upon the enactment of that act. However, theamendments made by the act that added this paragraph apply torevenues in the Vehicle License Collection Account in excess offourteen million dollars ($14,000,000) in the 2004-05 fiscal year andany fiscal year thereafter. (c) Notwithstanding Section 11001, 25.72 percent of the moneyscollected by the department on or after August 1, 1991, and beforeAugust 1, 1992, under this part shall be reported monthly to theController, and at the same time, deposited in the State Treasury tothe credit of the Local Revenue Fund, as established pursuant toSection 17600 of the Welfare and Institutions Code. All other moneyscollected by the department under this part shall continue to bedeposited to the credit of the Motor Vehicle License Fee Account inthe Transportation Tax Fund and allocated to each city, county, andcity and county as otherwise provided by law. (d) Notwithstanding any other provision of law, both of thefollowing apply: (1) This section is operative for the period beginning on andafter March 1, 2004. (2) It is the intent of the Legislature that the total amountdeposited by the Controller in the State Treasury to the credit ofthe Local Revenue Fund for the 2003-04 fiscal year be equal to thetotal amount that would have been deposited to the credit of theLocal Revenue Fund if paragraph (1) of subdivision (a) was appliedduring that entire fiscal year. The department shall calculate andnotify the Controller of the adjustment amounts that are required bythis paragraph to be deposited in the State Treasury to the credit ofthe Local Revenue Fund. The amounts deposited in the State Treasuryto the credit of the Local Revenue Fund pursuant to this paragraphshall be deemed to have been deposited during the 2003-04 fiscalyear. (e) This section does not amend nor is it intended to amend orimpair Section 25350 and following of, Section 53584 and followingof, the Government Code, or any other statute dealing with theinterception of funds.11002.  The money in the Motor Vehicle License Fee Fund is herebyappropriated as provided in this chapter.11003.  The amount appropriated by the Legislature for the use ofthe Department of Motor Vehicles and the Franchise Tax Board for theenforcement of this part shall be transferred from the Motor VehicleLicense Fee Account in the Transportation Tax Fund to the MotorVehicle Account in the State Transportation Fund. That amount shallbe determined so that the appropriate costs for registration andmotor vehicle license fee activities are apportioned between therecipients of revenues in proportion to the revenues that would havebeen received by those recipients if the total fee imposed under thispart was 2 percent of the market value of a vehicle.11003.1.  All license fees on trailer coaches levied and collectedby the Department of Motor Vehicles pursuant to Section 10751 shallbe deposited in the State Treasury to the credit of the General Fund.11004.  On or before the first day of December of each fiscal year,on order of the Controller, there shall be transferred from the MotorVehicle License Fee Fund to the General Fund and set apartsufficient money in the amount of the semiannual interest necessaryto be paid during the following month of January on bonds of theState issued under: (a) The "State Highways Act," approved by the Governor March 22,1909, and by a majority of the electors at the general election heldNovember 8, 1910. (b) The "State Highways Act of 1915," approved by the Governor May20, 1915, and by a majority of the electors at the general electionheld November 7, 1916. (c) Section 2 of Article XVI of the Constitution as approved by amajority of the electors at a special election held July 1, 1919. (d) Section 3 of Article XVI of the Constitution, as approved by amajority of the electors at the general election held November 2,1920. On or before the first day of June of each fiscal year, on orderof the Controller, there shall be transferred from the Motor VehicleLicense Fee Fund to the General Fund and set apart sufficient moneyin the amount of the semiannual interest and the annual redemptioncharges necessary to be paid during the following month of July onthe bonds referred to in this section.11004.5.  The Controller shall deduct from the allocations he wouldotherwise make pursuant to Section 11005, the amounts chargeable toeach city, county, and city and county under Section 40516 of theVehicle Code, and transfer that amount to the Motor Vehicle Fund inaugmentation of the funds available for the support of the Departmentof California Highway Patrol. The Controller shall make such deductions at the time of the firstallocation which occurs after the filing with him of the chargescertified by the Commissioner of the California Highway Patrol. Ifthe amount of the deduction for any city, county, or city and countyexceeds the amount of the allocation for such city, county, or cityand county, the balance of the deduction in excess of the amount ofthe apportionment shall be carried over and applied to the nextsucceeding allocation or allocations until exhausted.11005.  After payment of refunds therefrom and after making thedeductions authorized by Section 11003 and reserving the amountdetermined necessary by the Pooled Money Investment Board to meet thetransfers ordered or proposed to be ordered pursuant to Section16310 of the Government Code, commencing with the 2004-05 fiscalyear, the balance of all motor vehicle license fees and any othermoney appropriated by law for expenditure pursuant to this sectionand deposited to the credit of the Motor Vehicle License Fee Accountin the Transportation Tax Fund and remaining unexpended therein atthe close of business on the last day of the calendar month, shall beallocated by the Controller by the 10th day of the following monthin accordance with the following: (a) First, to the County of Orange. For the 2004-05 fiscal year,that county shall be allocated fifty-four million dollars($54,000,000) in monthly installments. For the 2005-06 fiscal yearand each fiscal year thereafter, that county shall receive, inmonthly installments, an amount equal to the amount allocated underthis section for the prior fiscal year, adjusted for the percentagechange in the amount of revenues credited to the Motor VehicleLicense Fee Account in the Transportation Tax Fund from the revenuescredited to that account in the prior fiscal year. Moneys allocatedto the County of Orange under this subdivision shall be used firstfor the service of indebtedness as provided in paragraph (1) ofsubdivision (a) of Section 11001.5. Any amounts in excess of theamount required for this service of indebtedness may be used by thatcounty for any lawful purpose. (b) Second, to each city, the population of which is determinedunder Section 11005.3 on August 5, 2004, in an amount equal to theadditional amount of vehicle license fee revenue, including offsettransfers, that would be allocated to that city under Sections 11000and 11005, as those sections read on January 1, 2004, as a result ofthat city's population being determined under subdivision (a) or (b)of Section 11005.3. (c) Third, to each city that was incorporated from anunincorporated territory after August 5, 2004, in an amount equal tothe product of the following two amounts: (1) The quotient derived from the following fraction: (A) The numerator is the product of the following two amounts: (i) Fifty dollars ($50) per year. (ii) The fraction determined as the total amount of vehiclelicense fee revenue collected during the most recent fiscal yeardivided by the total amount of vehicle license fee revenue collectedduring the 2004-05 fiscal year. (B) The denominator is the fraction determined as the actualpopulation, as defined in subdivision (e) of Section 11005.3, of allcities during the most recent fiscal year, divided by the actualpopulation, as defined in subdivision (e) of Section 11005.3, of allcities in the 2004-05 fiscal year. (2) The city's population determined in accordance with Section11005.3. (d) Fourth, to each city that was incorporated before August 5,2004, in an amount equal to the product of the following two amounts: (1) The quotient derived from the following fraction: (A) The numerator is the product of the following two amounts: (i) Fifty dollars ($50) per year. (ii) The fraction determined as the total amount of vehiclelicense fee revenue collected during the most recent fiscal yeardivided by the total amount of vehicle license fee revenue collectedduring the 2004-05 fiscal year. (B) The denominator is the fraction determined as the actualpopulation, as defined in subdivision (e) of Section 11005.3, of allcities during the most recent fiscal year, divided by the actualpopulation, as defined in subdivision (e) of Section 11005.3, of allcities in the 2004-05 fiscal year. (2) The actual population, as defined in subdivision (e) ofSection 11005.3, residing in areas annexed after August 5, 2004, asof the date of annexation. (e)  Fifth, to the cities and cities and counties of this state inthe proportion that the population of each city or city and countybears to the total population of all cities and cities and countiesin this state, as determined by the Demographic Research Unit of theDepartment of Finance. For the purpose of this subdivision, thepopulation of each city or city and county shall be determined inaccordance with Section 11005.3.11005.1.  (a) Any city or city and county may expend any moneyreceived by it pursuant to Section 11005 for: (1) Planning, acquiring, constructing, operating, or maintaining arapid transit system itself or jointly with one or more othercities, counties, cities and counties, or public rapid transitdistricts, agencies, or authorities; or (2) Making contributions to any public rapid transit district,agency, or authority exercising jurisdiction within the city or cityand county for use in planning, acquiring, constructing, operating,or maintaining a rapid transit system. (b) A county may expend such money in making contributions to anycity or public rapid transit district, agency, or authority withinthe county for use in planning, acquiring, constructing, operating,or maintaining a rapid transit system.11005.2.  Notwithstanding subdivision (b) of Section 11005, theController shall not allocate any revenue pursuant to paragraph (1)of that subdivision to any city which receives revenue pursuant toSection 97.3 or pursuant to Section 56842.2 of the Government Code.11005.3.  (a) In the case of a city that incorporated on or afterJanuary 1, 1987, and before August 5, 2004, the Controller shalldetermine that the population of the city for its first 10 fullfiscal years, and any portion of the first year in which theincorporation is effective if less than a full fiscal year, is thegreater of either: (1) The number of registered voters in the city multiplied bythree. The number of registered voters shall be calculated as of theeffective date of the incorporation of the city. (2) The actual population, as defined in subdivision (e). (b) In the case of a city that incorporated on or after January 1,1987, and before August 5, 2004, and for which the application forincorporation was filed with the executive officer of the localagency formation commission pursuant to subdivision (a) of Section56828 of the Government Code on or after January 1, 1991, theController shall determine that the population of the city for itsfirst seven full fiscal years, and any portion of the first year inwhich the incorporation is effective if less than a full fiscal year,is the greater of either: (1) The number of registered voters in the city multiplied bythree. The number of registered voters shall be calculated as of theeffective date of the incorporation of the city. (2) The actual population, as defined in subdivision (e). (c) In the case of a city that was incorporated fromunincorporated territory after August 5, 2004, the Controller shalldetermine the population of the city as follows: (1) For its first 12 months, 150 percent of the city's actualpopulation. (2) For its 13th through 24th months, 140 percent of the city'sactual population. (3) For its 25th through 36th months, 130 percent of the city'sactual population. (4) For its 37th through 48th months, 120 percent of the city'sactual population. (5) For its 49th through 60th months, 110 percent of the city'sactual population. (6) After its 60th month, the city's actual population. (d) For purposes of this section, "actual population" means thepopulation determined by the last federal decennial or specialcensus, or a subsequent census validated by the Demographic ResearchUnit of the Department of Finance or subsequent estimate preparedpursuant to Section 2107.2 of the Streets and Highways Code. (e)  In the case of unincorporated territory being annexed to acity, during the 10-year, seven-year, or five-year period followingincorporation, as the case may be, subsequent to the last federalcensus, or a subsequent census validated by the Demographic ResearchUnit of the Department of Finance, the unit shall determine thepopulation of the annexed territory by the use of any federaldecennial or special census or any estimate prepared pursuant toSection 2107.2 of the Streets and Highways Code. The population ofthe annexed territory as determined by the Demographic Research Unitshall be added to the city's population as previously determined bythe Controller pursuant to paragraph (1) or (2) of subdivision (a),paragraph (1) or (2) of subdivision (b), or subdivision (c), asapplicable. (f) After the 10-year, seven-year, or five-year period followingincorporation, as the case may be, the Controller shall determine thepopulation of the city as the city's actual population, as definedin subdivision (d). (g) The amendments made to this section by the act adding thissubdivision shall not apply with respect to either of the following: (1) Any city that has adopted an ordinance or resolution, approveda ballot measure, or is subject to a consent decree or court order,that annually limits the number of housing units that may beconstructed within the city. (2) Any city that has not prepared and adopted a housing elementin compliance with Section 65585 of the Government Code. (h) This section shall become operative July 1, 1991.11005.4.  Notwithstanding Section 11005, for the 1993-94 fiscal yearonly, after payment of refunds therefrom and after making thedeductions authorized by Section 11003 and reserving the amountdetermined necessary by the Pooled Money Investment Board to meet thetransfers ordered or proposed to be ordered pursuant to Section16310 of the Government Code, the Controller shall, in addition tomaking any allocations required by Section 11005, allocate, inaccordance with the procedures applicable to those moneys allocatedpursuant to subdivisions (c) and (d) of Section 11005, the amount ofone hundred thirty million dollars ($130,000,000) as follows: (a) Ninety million dollars ($90,000,000) to cities in proportionto the total property tax revenue allocation reduction for each cityas a result of Sections 97.02 and 97.035, as determined by theDirector of Finance. (b) Forty million dollars ($40,000,000) to counties and cities andcounties in proportion to the total property tax revenue allocationreduction for each county or city and county as a result of Sections97.02 and 97.035, as determined by the Director of Finance.11005.5.  The payments provided under Section 11005 shall not bemade to any incorporated city which has not held an election ofmunicipal officers within a period of 10 years preceding the date ofsuch payment. Payments heretofore accumulated on behalf of any suchcity shall be apportioned to all other cities in the manner providedby Section 11005.11005.6.  Any city, county, or city and county may apply to thepopulation research unit of the Department of Finance to estimate itspopulation. The department may make the estimate if in the opinionof the department there is available adequate information upon whichto base the estimate. Not less than 25 days nor more than 30 daysafter the completion of the estimate, the Department of Finance shallfile a certified copy thereof with the Controller if the estimate isgreater than the current certified population. Such a certificationmay be made once each fiscal year. All payments under Section 11005 for any allocation subsequent tothe filing of the estimate shall be based upon the population soestimated until a subsequent certification is made by the Departmentof Finance or a subsequent federal decennial census is made. Population changes based on a federal or state special census orestimate validated by the Department of Finance shall be accepted bythe Controller only if certified to him or her at the request of theDepartment of Finance. The request shall be made only if the censusor estimate is greater than the current certified population andshall become effective on the first day of the month followingreceipt of the certification. The Department of Finance may assess a reasonable charge, not toexceed the actual cost thereof, for the preparation of populationestimates pursuant to this section, which is a proper charge againstthe city, county, or city and county applying therefor. The amountreceived shall be deposited in the State Treasury as a reimbursementto be credited to the appropriation from which the expenditure ismade. As of May 1, 1988, any population estimate prepared by theDepartment of Finance pursuant to Section 2227 may be used for allpurposes of this section unless a written request not to certify isreceived by the department from the city, city and county, or countywithin 25 days of completion of the estimate.11006.  (a) Commencing on December 31, 2001, the Controller, inconsultation with the Department of Motor Vehicles and the Departmentof Finance, shall recalculate the distribution of the amount ofmotor vehicle license fees paid by commercial vehicles that aresubject to Section 9400.1 of the Vehicle Code and transfer thefollowing sums from the General Fund in the following order: (1) An amount sufficient to cover all allocations and interceptionof funds associated with all pledges, liens, encumbrances andpriorities as set forth in Section 25350.6 of the Government Code,which shall be transferred so as to pay that allocation. (2) An amount sufficient to continue allocations to the StateTreasury to the credit of the Vehicle License Fee Account of theLocal Revenue Fund, as established pursuant to Section 17600 of theWelfare and Institutions Code, which would be in the same amount hadthe amendments made by the act that added this section to Section10752 of the Revenue and Taxation Code not been enacted, which shallbe deposited in the State Treasury to the credit of the VehicleLicense Fee Account of the Local Revenue Fund, as establishedpursuant to Section 17600 of the Welfare and Institutions Code. Thisparagraph shall be inoperative commencing with the 2010-11 fiscalyear. (3) An amount sufficient to continue allocations to the StateTreasury to the credit of the Vehicle License Fee Growth Account ofthe Local Revenue Fund, as established pursuant to Section 17600 ofthe Welfare and Institutions Code, which would be in the same amounthad the amendments made by the act that added this section to Section10752 of the Revenue and Taxation Code not been enacted, which shallbe deposited in the State Treasury to the credit of the VehicleLicense Fee Growth Account of the Local Revenue Fund, as establishedpursuant to Section 17600 of the Welfare and Institutions Code. (4) An amount sufficient to cover all allocations and interceptionof funds associated with all pledges, liens, encumbrances andpriorities, other than those referred to in paragraph (1), as setforth in Section 25350 and following of, Section 53584 and followingof, 5450 and following of, the Government Code, which shall betransferred so as to pay those allocations. (b) The balance of any funds not otherwise allocated pursuant tosubdivision (a) shall continue to be deposited to the credit of theMotor Vehicle License Fee Account in the Transportation Tax Fund andallocated to each city, county, and city and county as otherwiseprovided by law. (c) In enacting paragraphs (1) and (4) of subdivision (a), theLegislature declares that paragraphs (1) and (4) of subdivision (a),shall not be construed to obligate the State of California to makeany payment to a city, city and county, or county from the MotorVehicle License Fee Account in the Transportation Tax Fund in anyamount or pursuant to any particular allocation formula, or to makeany other payment to a city, city and county, or county, including,but not limited to, any payment in satisfaction of any debt orliability incurred or so guaranteed if the State of California hadnot so bound itself prior to the enactment of this section. (d) Notwithstanding subdivisions (a) and (b), on and after July 1,2010, that amount equal to the amount that would have beentransferred pursuant to paragraph (2) of subdivision (a) had the actadding this subdivision not been enacted, shall not be transferredfrom the General Fund.