42270.  (a) The Department of Motor Vehicles and the Department of
the California Highway Patrol each shall file, at least monthly with
the Controller, a report of money received by the department covering
all fees for applications accepted by the department and all other
moneys received by the department under this code and, at the same
time, shall remit all money so reported to the Treasurer.  On order
of the Controller, the Treasurer shall deposit in the Motor Vehicle
Account in the State Transportation Fund, into which is merged the
Motor Vehicle Account in the Transportation Tax Fund, all moneys so
reported and remitted.
   Any reference in any law or regulation to the Motor Vehicle Fund,
or to the Motor Vehicle Account in the Transportation Tax Fund, shall
be deemed to refer to the Motor Vehicle Account in the State
Transportation Fund, which is created by subdivision (a) of Section
42271.
   (b) The amount of any penalties collected by the department
pursuant to Sections 9553 and 9554 of this code and Sections 10770
and 10854 of the Revenue and Taxation Code shall, for purposes of
subdivision (a), be deemed to be a percentage of the weight fee,
registration fee, and vehicle license fee obtained when applying the
total of these fees collected, excluding use tax, against the
individual weight fees, registration fees, and vehicle license fees
collected on each application.  Penalties which cannot be allocated
in accordance with this subdivision shall be allocated according to
subdivision (c).
   (c) The amount of any penalties collected by the department, as
provided in Sections 9553 and 9554 of this code and Sections 10770
and 10854 of the Revenue and Taxation Code which cannot be allocated
in accordance with subdivision (b), shall, for the purposes of
subdivision (a), be deemed to be a percentage of the total fees
allocated under this section and under Section 11001 of the Revenue
and Taxation Code equal to that percentage of the ratio based on the
fees previously allocated under this section and under Section 11001
of the Revenue and Taxation Code in the fiscal year preceding the
calendar year for which the penalties are to be allocated.  That
ratio shall be reevaluated periodically and shall be adjusted to
reflect any change in the fee structure that may be provided in this
code or in Part 5 (commencing with Section 10701) of Division 2 of
the Revenue and Taxation Code.
   (d) Whenever any fee paid to the department has not been allocated
within one year of the date of collection, the fee shall be
allocated  to the Motor Vehicle License Fee Account in the
Transportation Tax Fund, and the Motor Vehicle Account and the State
Highway Account in the State Transportation Fund, in proportion to
the revenue allocated to those accounts by the department in the
previous fiscal year.



42271.  (a) The Motor Vehicle Account in the State Transportation
Fund is hereby created.
   (b) The moneys deposited to the credit of the Motor Vehicle
Account in the State Transportation Fund which are appropriated in
the Budget Act or any other appropriation act for the support of or
expenditure by the Department of Motor Vehicles shall be expended by
the department in carrying out the provisions of this code and in
enforcing any other laws relating to vehicles or the use of highways.

   Regularly employed peace officers of the department may, when
authorized by the director, expend such sums as authorized for the
purchase of counterfeit, false, forged, or fictitious certificates of
ownership, registration card, certificate, license or special plate
or permit, or driver's license provided for by this code as evidence,
or for expenditures related to the procurement of such evidence, or
for expenditures made to investigate other violations of laws
administered by the department.  When approved by the director, the
identity of a peace officer who submits a claim need not be disclosed
if the disclosure might materially prejudice the investigation.
   The sums so expended shall be repaid to the peace officer making
the expenditure upon claims approved by the director.  The claims,
when approved, shall be paid out of funds appropriated or made
available by law for the support of the department.
   (c) The moneys deposited to the credit of the Motor Vehicle
Account in the State Transportation Fund which are appropriated in
the Budget Act or any other appropriation act for the support of or
expenditure by the Department of the California Highway Patrol shall
be expended by the department in carrying out the provisions of this
code and in enforcing any other laws relating to vehicles or the use
of highways.  The Department of the California Highway Patrol may
draw, without at the time furnishing vouchers and itemized
statements, sums not to exceed in the aggregate one hundred thousand
dollars ($100,000), the sums so drawn to be used as a revolving fund
where cash advances are necessary.  At the close of each fiscal year,
the moneys so drawn shall be accounted for and substantiated by
vouchers and itemized statements submitted to and audited by the
State Controller.


42272.  Section 11006 of the Government Code shall not apply to the
Motor Vehicle Account in the State Transportation Fund.



42273.  By the 10th day of each calendar month, the balance
remaining to the credit of the Motor Vehicle Account in the State
Transportation Fund at the close of business on the last day of the
preceding calendar month, after payments of refunds and
administration and enforcement, that is not needed for immediate use
from the Motor Vehicle Account shall, on order of the State
Controller, be transferred to the credit of the State Highway Account
in the State Transportation Fund.



42275.  Notwithstanding Section 42273, the State Controller may,
after at least 15 days' prior notice, transfer back to the Motor
Vehicle Account in the State Transportation Fund amounts transferred
to the State Highway Account in the State Transportation Fund
pursuant to that section to pay costs incurred against other
appropriations from the Motor Vehicle Account.



42276.  Not later than January 10, 1985, and not later than January
10th of each four-year period thereafter, the Secretary of the
Business, Transportation and Housing Agency shall submit a report to
the Legislature on a study of the fees imposed under this code,
including any finding or recommendation on changes in  the fees
necessary to generate sufficient revenues for the Motor Vehicle
Account in the State Transportation Fund to finance those operations
of state government to be financed from those revenues.



42277.  No money in the Motor Vehicle Account in the State
Transportation Fund may be expended for automobile driver training.