At its regularly scheduled meeting on July 20, the City of Sacramento's Law and Legislation Committee intends to consider recommending the adoption of an ordinance that would allow the city to impose a fee on nonresidents who are involved in motor vehicle accidents in the city. 

The fee is supposed to reimburse the city for the fire department's costs related to responding to traffic accidents.  The ordinance anticipates the city contracting with a third-party that would bill nonresident drivers.  Typically, such third-parties bill the drivers' insurance companies. A growing number of California local governments are putting these “crash tax” schemes into operation.

ACIC will oppose the ordinance at the July 20 meeting.  ACIC will argue that in addition to being unfair to drivers, the ordinance could increase insurance costs for consumers.