Sacramento, California is the latest U.S. municipality to enact a “crash tax” for revenue. Reports say that this new Sacramento accident law will fine out-of-town drivers whose car accidents require rescue crews.
The crash tax fees range from $435 to $2,275, if a helicopter is needed. These new fines may generate as much as $500,000 a year for the cash-strapped city. Approved by Sacramento’s City Council, the law says that out-of-town motorists will be fined if they are involved in a Sacramento accident, even if it is not their fault.
“It’s bad public policy,” said Sam Sorich, president of the Association of California Insurance Cos., which opposes the fees. “This is a fundamental government service. Anyone who comes to Sacramento expects that the government will come to the scene of an accident.”
“We don’t believe it’s a tax,” said Sacramento Fire Chief Ray Jones. ‘‘The purpose isn’t to secure revenue. The purpose is to recover reasonable costs.” That said, Sacramento faces a $35 million gap this year, amplified by growing labor costs and proposed cuts in state aid as California grapples with its own $25 billion deficit.
Sacramento Accident Report
Sacramento’s fire department responds to about 3,600 car accidents each year, according to city figures. Cities that charge these kinds of fees generally bill insurance companies for payment, however, typical insurance policies don’t cover the fees, so the drivers themselves may then be billed.
These crash taxes have been outlawed in 10 states, including Alabama, Florida and Georgia, according to the Association of California Insurance Cos. A bill is pending in the California Legislature by state Senator Tony Strickland, a Ventura Republican, to make them illegal in the most populous U.S. state.
Call a Sacramento Accident Law Firm
While it’s possible the crash taxes may be banned in California in the future, right now, they are a reality. This is even more of a reason to contact a Sacramento accident lawyer if you are in an accident. In addition to the pain and suffering, you could be facing an additional crash tax. If you’re the victim of a car accident, call 877-702-7274 to speak one of our experienced Sacramento accident attorneys today.
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