California Code, Vehicle Code - VEH § 40262

(a)(1) The notice of delinquent toll evasion violation shall contain the information specified in Section 40254 and, additionally shall contain a notice to the registered owner that, unless the registered owner pays the toll evasion penalty or contests the notice within 30 days after mailing of the notice of delinquent toll evasion violation or completes and files an affidavit of nonliability that complies with Section 40263 or 40264, the renewal of the vehicle registration shall be contingent upon compliance with the notice of delinquent toll evasion violation.

(2) If the toll evasion penalty is not paid as specified in the notice of delinquent toll evasion violation, the issuing agency may notify the department and the department shall refuse to renew that person's vehicle registration pursuant to Section 4770.  If the registered owner pays the toll, toll evasion penalty, and all related fees, or enters into a payment plan pursuant to Section 40269.5 and makes the first payment, the issuing or processing agency shall notify the department electronically, and the department shall not refuse renewal of the person's vehicle registration.  If the issuing agency subsequently notifies the department electronically that the registered owner is delinquent under the payment plan for more than 10 business days, the department shall refuse to renew the vehicle registration until the registered owner has fully satisfied the terms of the payment plan and the issuing agency has notified the department electronically.

(3) Notwithstanding paragraph (2), if a registered owner pays the toll, toll evasion penalty, and all related fees, or has entered into a payment plan authorized pursuant to subdivision (e) of Section 40269.5, and meets the agency's requirements for that payment plan, the issuing or processing agency shall notify the department electronically, and the department shall not refuse renewal of the person's vehicle registration.  If the registered owner is delinquent under the payment plan for more than 10 business days and the issuing agency or processing agency subsequently notifies the department electronically, the department shall refuse to renew the vehicle registration until the registered owner has fully satisfied the terms of the payment plan and the issuing agency and the issuing agency has notified the department electronically.