CA AB818

Establishes a separate vehicle license fee adjustment amount for cities incorporated after January 1, 2012, based on a formula using the sum of vehicle license fee adjustment amounts for all cities in the county multiplied by the incorporating city's population.

Provides an additional vehicle license fee adjustment amount for newly incorporated cities for the first fiscal year of incorporation and the next four fiscal years, calculated using registered voters and population figures.

Requires the county auditor to allocate these amounts from the Vehicle License Fee Property Tax Compensation Fund to qualifying cities, with half allocated by January 31 and half by May 31 of each fiscal year.

Applies growth adjustments to vehicle license fee amounts based on percentage changes in gross taxable assessed valuation within each city's jurisdiction for subsequent fiscal years after incorporation.

Mandates state reimbursement to local agencies for any costs if the Commission on State Mandates determines the bill imposes state-mandated local programs.