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HomePublic Utilities CodeDiv. 1Pt. 1Ch. 2.5Art. 2§ 422 Carrier Fee Assessment Rules

§ 422 Carrier Fee Assessment Rules

Public Utilities Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 422 Carrier Fee Assessment Rules

Key Takeaways

  • •The commission sets fees for different types of businesses (like trucking companies, airlines, etc.) to pay for their work.
  • •The fee amount depends on how much money the business makes in the state, except for small businesses or railroads which have special rules.
  • •Some businesses (like passenger vehicle operators) might pay fees based on things like the number of vehicles instead of money made.
  • •If a business is in more than one category, they have to pay fees for each category.

Example

A small trucking company makes $80,000 a year within the state.

Since the company makes less than $100,000 a year, it pays a fixed fee instead of a fee based on its money made. This makes it easier for small businesses to pay their share.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 422 Carrier Fee Assessment Rules

The commission shall establish the fee pursuant to Section 421 with the approval of the Department of Finance and in accordance with all of the following: (a) In its annual budget request, the commission shall specify, at a minimum, both of the following: (1) The amount of its budget to be financed by the fee. (2) The dollar allocation of the amount of its budget to be financed by the fee by each class of carrier and related business subject to the fee. Each class of carrier and related business subject to this article shall pay fees sufficient to support the commission’s regulatory activities for the class from which the fee is collected and to establish an appropriate reserve. (b) The commission may establish different and distinct methods of assessing fees for each class of carrier and related business, if the revenues collected are consistent with paragraph (2) of subdivision (a). (c) (1) Within each class of carrier and related business subject to the fee, the commission shall allocate, among the members of the class, the amount of the commission’s budget to be financed by the fee based on the ratio that each member’s gross intrastate revenues bears to the total gross intrastate revenues of the class, except for railroad corporations, whose fees shall be allocated within that class in accordance with subdivision (g). (2) However, in the case of passenger vehicle operators, the commission may assess fees on a basis other than revenue, including, but not limited to, on a per vehicle basis, in an amount sufficient to support the regulatory activities of the commission for the passenger vehicle operators class from which the fee is collected, and to establish an appropriate reserve. (d) Any carrier or related business which is a member of more than one class of carrier or related business shall be subject to the fee for each class of which it is a member. (e) For every carrier and related business having annual gross intrastate revenues of one hundred thousand dollars ($100,000) or less, or for every railroad corporation having annual gross intrastate revenues of ten million dollars ($10,000,000) or less, the commission shall annually establish uniform fees, which shall be not less than a minimum annual fee, to be paid by each carrier and related business and by each railroad corporation, if the revenues collected are consistent with paragraph (2) of subdivision (a). Every carrier and related business and railroad corporation paying fees pursuant to this subdivision shall show proof of eligibility at the time of payment in a form the commission may specify. (f) The commission shall annually establish a uniform fee, which shall be not less than a minimum annual fee, to be paid by every commercial air operator and for-hire vessel operator, if the revenues collected are consistent with paragraph (2) of subdivision (a). (g) The commission shall establish the initial fee amount to be paid by railroad corporations subject to this section, and the regulations for the assessment and collection of the fee, no later than January 31, 1992. The commission shall collect the initial fee from railroad corporations beginning on February 1, 1992, and shall disburse the amounts collected as directed in Section 309.7, as added by Assembly Bill 684 of the 1991–92 Regular Session, and Section 421. (h) The commission shall establish regulations for allocating the proportionate share of the fee established pursuant to paragraph (2) of subdivision (a) to be paid by the rail corporations within that class. The regulations may utilize gross intrastate revenues; track mileage within the state; terminals located within the state; loaded car miles traveled within the state; fuel consumption; or any other measure deemed by the commission to be appropriate in allocating the fee among railroad corporations. On or before January 15, 1992, railroad corporations as a group may submit a proposed plan of allocation to the commission, which the commission shall consider in establishing the regulations. (Amended by Stats. 2000, Ch. 341, Sec. 2. Effective January 1, 2001.)

Last verified: January 23, 2026

Key Terms

commissioncorporationportvehicleroadaccordancethe california publicallocation

Related Statutes

  • § 423 Carrier Fee Payment Schedule
  • § 432 Public Utility Fee Allocation
  • § 404 Fee Recovery And Adjustment
  • § 421 Common Carrier Annual Fees
  • § 425 Carrier Record Inspection Authority

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Public Utilities Code. Section 422.
View Official Source