i actually talked to a cop about that.
basically, you're not allowed to have gears. the clutch system on the standard china girl 2 stroke counts as an automatic transmission, as basically the clutch is just a release, and you don't use it to shift gears.
this also makes jack shift kits technically illegal, but unless the cop knows what he's looking at, or if you tell him, or if he even cares, i wouldn't worry about it.
most of these laws go back a few decades, and i think the automatic tranny part makes sure the bicycle is still pedal assisted, and not just a motorcycle disguised as a bicycle.
also, with the 30mph limit, adding a real gearbox would make it faster.
whatever the the actual meaning, i wouldn't worry about it. just don't bring it up at the dmv or if you get pulled over.
