CA AB2737

Excludes rental or leasing entities from the definition of fleet purchasers in state air pollution incentive programs for new drayage and short-haul trucks.

Requires lessees of vehicles purchased with these incentives to comply with fleet purchaser standards, including labor and employment requirements applicable under Section 39690.

Mandates rental or leasing entities notify lessees with lease terms exceeding one year that the lessee must comply with fleet purchaser requirements.

Subjects fleet purchasers and rental or leasing entities to penalties if the state board determines they entered rental agreements of less than one year to circumvent these requirements.

Imposes civil penalties on lessees who violate applicable labor laws, appear on labor violations lists, fail to maintain control over vehicle operations, or make false attestations—penalties equal to the prorated incentive amount received by the lessor.