California Code of Regulations
Title 13 - Motor Vehicles
Division 1 - Department of Motor Vehicles
Chapter 1 - Department of Motor Vehicles
Article 4.2 - Vehicle Dealers
Section 268.06 - Dealer Educational Program Requirements

Universal Citation: 13 CA Code of Regs 268.06

Current through Register 2024 Notice Reg. No. 38, September 20, 2024

(a) All applicants for a vehicle dealer license subject to Vehicle Code Section 11704.5 shall provide evidence to the department of having successfully completed an educational program as described by Vehicle Code Section 11704.5(b) and this article.

(1) When a firm, corporation, association, limited liability company, or a partnership submits a dealer license application which is subject to Vehicle Code Section 11704.5, at least one person who is part of the ownership structure and who is required to submit a Personal History Statement, and who will have primary responsibility for managing the day to day dealership business which is reliant on the subject matter knowledge contained in the dealer examination shall be required to provide evidence to the department of having successfully completed an educational program as described by Vehicle Code Section 11704.5(b) and this article.

(b) The educational program completed by dealer license applicants subject to Vehicle Code Section 11704.5 must be a program which is approved and certified by the department.

(c) The educational program completed by dealer license applicants subject to Vehicle Code Section 11704.5 shall adequately cover the subject areas specified in Vehicle Code Section 11704.5(a) and the additional subjects specified in section 268.04(b) of this article.

(d) The lesson plans for all educational programs provided under this section shall be approved by the department as complying with the program requirements described in this article and in Vehicle Code Section 11704.5. All lesson plans approved by the department shall also substantially comply with the department's Lesson Plan Guideline for Used Vehicle Dealer Education Programs, OL 2000 (New. 8/97), which the department hereby incorporates by reference.

(e) All dealer educational program providers shall submit their fully developed lesson plans to the department for approval prior to utilizing them in a program.

(1) All lesson plans submitted for approval shall include a complete table of contents, and the pages of the plan shall be consecutively numbered.

(2) All lesson plans submitted for approval shall include samples of all workbooks, videos, tests, final exams, and other teaching aids used in the program.

(3) All lesson plans submitted for approval shall include a time schedule that specifies the time allotted to cover each subject area, the time allotted for break periods, and the time allotted for administrative activities.

(f) All educational program providers shall be responsible for revising their approved lesson plans as necessary to ensure that all required subject areas presented reflect substantial ongoing changes in relevant statutes, regulations or other requirements.

(1) Any substantial change(s) to the lesson plan of an approved program must be authorized in writing by the department prior to presenting them in an approved program.

(g) All proposed program lesson plans and proposed changes to approved lesson plans submitted by a program provider to the department for approval shall receive a letter of approval or disapproval within 30 working days of receipt by the department of a proposed lesson plan or a proposed lesson plan change.

(1) The department shall provide a written receipt within 10 working days of receiving any proposed lesson plan and proposed change to an approved lesson plan submitted by a program provider for the department's approval.
(A) The receipt provided by the department shall inform the program provider that the proposed lesson plan or lesson plan change is complete and accepted for consideration or is deficient and specify what additional data or materials are necessary.

(2) All programs approved by the department shall receive a written certification containing a unique certification number issued by the department.

(3) An educational program approved by the department shall remain certified only so long as the program continues to meet all program requirements as described in this article and in Vehicle Code Section 11704.5.

(4) Whenever a program fails to meet all program requirements, the department shall notify the program provider in writing of all program deficiencies and shall include specific instructions on how the program can correct the identified deficiencies.
(A) The department will allow the program provider 20 working days from the date of the deficiency notice to implement the required changes in order to correct the identified program deficiencies.

(5) In the event a program provider fails to implement the required program corrections for all identified program deficiencies within the specified period, the department will decertify the program in writing which will specify the effective date of the decertification.

(6) Any program completion certificates issued for any period of instruction during which the issuing program was not certified by the department will not be accepted as evidence of program completion.

(h) All educational programs provided under this section shall contain a comprehensive final examination which tests for knowledge of all subjects which are required to be covered in the program.

(1) A successful passing score of 70% on the final program examination is required of all program participants prior to the issuance of a completion certificate by the program provider.

(i) All persons who wish to be admitted as students to a certified dealer educational program are required to present a current California DL or ID as personal identification.

(1) All certified program providers shall refuse to provide a program completion certificate to any person who has not presented a current California DL or ID which verifies his or her personal identity.

(j) Records of all classes given by a certified program provider shall be compiled and retained by the provider for not less than one (1) year and one (1) month from completion of the class.

(1) Records shall include complete student rosters, course dates and times, and all final examinations and scores.

(2) Records shall be made available to department inspectors and investigators for official purposes relating to inquiries of program sufficiency or program fraud.

1. New section filed 3-31-98; operative 3-31-98 pursuant to Government Code section 11343.4(d) (Register 98, No. 14).

Note: Authority cited: Section 1651, Vehicle Code. Reference: Sections 470 and 11704.5, Vehicle Code.

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