ATM Surcharge Ban Hits Snag in Sacramento

By Jim Stebinger
Efforts in the state senate to ban bank-imposed ATM surcharges hit a snag yesterday as a bill staunchly opposed by the banking industry failed to get out of committee. But the bill is not dead and may be back later in this legislative year.

The bill is being closely watched in Santa Monica, where the council is exploring a similar measure.

According to Charles Wright, a spokesman for Sen. Betty Karnette, (D27th.) the Long Beach senator's bill got only two yes votes in the Senate Finance, Investment and International Trade Committee.

Wright said Sen. Karnette hopes to bring the bill back for reconsideration later this year, but no timetable has been set.

At the committee hearing Karnette was opposed by three other senators. Four of the nine committee members were absent or abstained. Among those abstaining was Kevin Murray, a Democrat whose 26th District is in Culver City. Murray is the vice-chair of the committee and was considered a swing vote, according to John Golinger of CALPIRG.

Santa Monica is in the early stages of considering local anti-surcharge legislation. The city attorney is expected to report on the legality of a local ordinance within the next two weeks.

The Santa Monica Chamber of Commerce is considering whether to take a position on the issue. The matter is expected to be on the agenda at the next meeting of the chamber's board of directors set for Tuesday, May 25.