SF 2053 (LSB 5412XS (4) 88)

SENATE FILE 2053

BY  DAWSON

A BILL FOR

An Act regarding penalties imposed on persons who fail to timely pay a fine, penalty, surcharge, or court cost associated with a motor vehicle violation, and including applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 321.12, subsection 3, paragraph a, Code 2020, is amended to read as follows:
   a.  Records concerning suspensions authorized under section 321.210, subsection 1, paragraph “a”, subparagraph (7), and section 321.210A may be destroyed six months after the suspension is terminated and the requirements of section 321.191 have been satisfied.
    Sec. 2.  Section 321.210A, Code 2020, is amended by striking the section and inserting in lieu thereof the following:
   321.210A  Civil penalty —— failure to pay fine, penalty, surcharge, or court cost.
   1.  The department shall assess a person who has been convicted of violating a law regulating the operation of a motor vehicle a civil penalty if the person owes an unpaid fine, penalty, surcharge, or court cost associated with the conviction that is delinquent as provided in section 602.8107, subsection 2, and has remained delinquent for six months. The department shall also assess the person the civil penalty again every six months thereafter until the person makes final payment on the delinquent fine, penalty, surcharge, or court cost. A civil penalty assessed pursuant to this section shall be equal to four percent of the total amount of delinquent fines, penalties, surcharges, and court costs associated with the conviction that the person owes at the time the civil penalty is assessed.
   2.  Subsection 1 does not apply to a person who has entered into an installment agreement with the county attorney, the county attorney’s designee, or the private collection designee in accordance with section 321.210B to pay the fine, penalty, surcharge, or court cost. However, if there has been a determination that the person is in default of the installment agreement pursuant to section 321.210B, subsection 8, the department shall assess the person the civil penalty if the amount remains delinquent six months after the date of default and the person has not entered into a new installment agreement. The department shall assess the person the civil penalty again every six months thereafter until the person makes final payment or until the person enters into a new installment agreement. 
   3.  The clerk of the district court shall notify the department of fines, penalties, surcharges, and court costs described in subsection 1 that have been delinquent for six months, and shall also notify the department when a person makes final payment of an applicable fine, penalty, surcharge, or court cost. 
   4.  Moneys collected by the department pursuant to this section shall be remitted to the treasurer of state for deposit in the road use tax fund created in section 312.1.
    Sec. 3.  Section 321.210B, subsection 1, paragraph a, Code 2020, is amended to read as follows:
   a.  If a person’s fine, penalty, surcharge, or court cost is deemed delinquent as provided in section 602.8107, subsection 2, and the person’s driver’s license has been suspended pursuant to section 321.210A, or the clerk of the district court has reported the delinquency to the department as required by section 321.210A, the person may execute an installment agreement as defined in section 602.8107 with the county attorney, the county attorney’s designee, or the private collection designee under contract with the judicial branch pursuant to section 602.8107, subsection 5, to pay the delinquent amount and the civil penalty penalties assessed in subsection 7 in installments. Prior to execution of the installment agreement, the person shall provide the county attorney, the county attorney’s designee, or the private collection designee with a financial statement in order for the parties to the agreement to determine the amount of the installment payments.
    Sec. 4.  Section 321.210B, subsection 7, paragraph a, Code 2020, is amended to read as follows:
   a.  A civil penalty assessed pursuant to section 321.210A, 321.218A, 321A.32A, or 321J.17 shall be added to the amount owing under the installment agreement.
    Sec. 5.  Section 321.210B, subsection 7, Code 2020, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  d.  The clerk of the district court shall transmit to the department, from the first moneys collected, an amount equal to the amount of any civil penalty assessed pursuant to section 321.210A and added to the installment agreement. The department shall transmit the moneys received from the clerk of the district court pursuant to this paragraph to the treasurer of state for deposit in the road use tax fund created in section 312.1.
    Sec. 6.  Section 321.210B, subsection 10, Code 2020, is amended to read as follows:
   10.  Upon receipt of a report of a default from the clerk of the district court, the department shall suspend the driver’s license of a person as provided in section 321.210A who has failed to pay the full amount of a civil penalty assessed pursuant to section 321.218A, 321A.32A, or 321J.17, and shall not reinstate the person’s driver’s license until the full amount of the civil penalty has been paid. For purposes of suspension and reinstatement of the driver’s license of a person in default, the suspension and any subsequent reinstatement shall be considered a suspension pursuant to section 321.210A.
    Sec. 7.  Section 321.210B, subsection 11, Code 2020, is amended to read as follows:
   11.  If a new fine, penalty, surcharge, or court cost is imposed on a person after the person has executed an installment agreement with the county attorney, the county attorney’s designee, or the private collection designee, and the new fine, penalty, surcharge, or court cost is deemed delinquent as provided in section 602.8107, subsection 2, and the person’s driver’s license has been suspended pursuant to section 321.210A, the person may enter into a second installment agreement with the county attorney, county attorney’s designee, or the private collection designee to pay the delinquent amount and the civil penalty penalties, if assessed, in subsection 7 in installments.
    Sec. 8.  Section 321.212, subsection 1, paragraph a, subparagraph (1), Code 2020, is amended to read as follows:
   (1)  Except as provided in section 321.210A or 321.513, the department shall not suspend a license for a period of more than one year, except that a license suspended because of incompetency to drive a motor vehicle shall be suspended until the department receives satisfactory evidence that the former holder is competent to operate a motor vehicle and a refusal to reinstate constitutes a denial of license within section 321.215; upon. Upon revoking a license the department shall not grant an application for a new license until the expiration of one year after the revocation, unless another period is specified by law.
    Sec. 9.  Section 321.215, subsection 2, Code 2020, is amended to read as follows:
   2.  Upon conviction and the suspension or revocation of a person’s noncommercial driver’s license under section 321.209, subsection 5 or 6, or section 321.210, 321.210A, or 321.513; or upon the denial of issuance of a noncommercial driver’s license under section 321.560, based solely on offenses enumerated in section 321.555, subsection 1, paragraph “c”, or section 321.555, subsection 2; or upon suspension or revocation of a juvenile’s driver’s license pursuant to a dispositional order under section 232.52, subsection 2, paragraph “a”, for a violation of chapter 124 or 453B, or section 126.3; or upon suspension of a driver’s license pursuant to a court order under section 714.7D, the person may apply to the department for a temporary restricted license to operate a motor vehicle for the limited purpose or purposes specified in subsection 1. The application may be granted only if all of the following criteria are satisfied:
   a.  The temporary restricted license is requested only for a case of hardship or circumstances where alternative means of transportation do not exist.
   b.  The temporary restricted license is restricted to the limited purpose or purposes specified in subsection 1 at times specified in the license.
   c.  Proof of financial responsibility is established as defined in chapter 321A. However, such proof is not required if the driver’s license was suspended under section 321.210A or 321.513.
    Sec. 10.  Section 321.218, subsection 3, paragraph a, Code 2020, is amended to read as follows:
   a.  The department, upon receiving the record of the conviction of a person under this section upon a charge of operating a motor vehicle while the license of the person is suspended or revoked, shall, except for licenses suspended under section 252J.8, section 321.210, subsection 1, paragraph “a”, subparagraph (3), or section 321.210A or 321.513, extend the period of suspension or revocation for an additional like period or for one year, whichever period is shorter, and the department shall not issue a new driver’s license to the person during the extended period.
    Sec. 11.  Section 321A.17, subsection 4, Code 2020, is amended to read as follows:
   4.  An individual applying for a driver’s license following a period of suspension or revocation pursuant to a dispositional order issued under section 232.52, subsection 2, paragraph “a”, or under section 321.180B, section 321.210, subsection 1, paragraph “a”, subparagraph (4), or section 321.210A, 321.213A, 321.213B, 321.216B, or 321.513, following a period of suspension or revocation under section 321.178 or 321.194, or following a period of revocation pursuant to a court order issued under section 321J.2A, is not required to maintain proof of financial responsibility under this section.
    Sec. 12.  Section 602.8102, subsection 50A, Code 2020, is amended to read as follows:
   50A.  Assist Notify the state department of transportation in suspending, pursuant to section 321.210A, the driver’s licenses of persons who fail to timely pay criminal fines or penalties, surcharges, or court costs related to the violation of a law regulating the operation of a motor vehicle as described in section 321.210A.
    Sec. 13.  REINSTATEMENT OF DRIVER’S LICENSES.  Upon application of a person whose driver’s license has been suspended pursuant to section 321.210A, Code 2020, the department of transportation shall reinstate the person’s license if the person is otherwise eligible for issuance of a driver’s license, and if all fees and penalties applicable under sections 321.191, 321.218A, 321A.32A, and 321J.17 are paid in full or the person has executed an installment agreement pursuant to section 321.210B and is not in default.
    Sec. 14.  APPLICABILITY.
   1.  This Act applies to fines, penalties, surcharges, and court costs associated with a conviction for violating a law regulating the operation of a motor vehicle that are delinquent as provided in section 602.8107, subsection 2, on or after the effective date of this Act.
   2.  If a fine, penalty, surcharge, or court cost associated with a conviction for violating a law regulating the operation of a motor vehicle has been deemed delinquent as provided in section 602.8107, subsection 2, prior to the effective date of this Act, the first day of delinquency for purposes of determining whether to assess a civil penalty as provided in section 321.210A, as amended in this Act, shall be the effective date of this Act. 
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   Under current law, Code section 321.210A requires the department of transportation (DOT) to suspend the driver’s license of a person who, after being convicted of violating a law regulating the operation of a motor vehicle, has failed to timely pay a criminal fine, penalty, surcharge, or court cost. 
   This bill strikes Code section 321.210A and replaces it with a provision that requires the DOT to assess a civil penalty to a person who, upon conviction for violating a law regulating the operation of a motor vehicle, has failed to timely pay a fine, penalty, surcharge, or court cost associated with the conviction. The person is assessed the civil penalty by the DOT if the amount remains delinquent for six months. The DOT is required to assess the civil penalty again every six months thereafter until the person makes final payment on the delinquent fine, penalty, surcharge, or court cost. The civil penalty is equal to 4 percent of the total amount of the person’s delinquent fines, penalties, surcharges, and court costs associated with the conviction that the person owes at the time the civil penalty is assessed. 
   The civil penalty is not assessed to a person who has entered into an installment agreement with the county attorney, the county attorney’s designee, or the private collection designee in accordance with Code section 321.210B unless the person is in default of the installment agreement, in which case the DOT is required to assess the person the civil penalty if the amount remains delinquent six months after the date of default, and every six months thereafter until the person makes final payment or until the person enters into a new installment agreement. 
   The clerk of the district court is required to notify the DOT of six-month delinquencies and if final payment of a person’s delinquent fine, penalty, surcharge, or court cost is received. Under current law, the clerk of the district court is also required to report the receipt of an executed installment agreement entered into pursuant to Code section 321.210B and any default on such agreement to the DOT. 
   Moneys collected by the DOT pursuant to the bill are required to be remitted to the treasurer of state for deposit in the road use tax fund. 
   The bill makes conforming changes to Code sections 321.12, 321.210B, 321.212, 321.215, 321.218, 321A.17, and 602.8102. The bill does not amend Code section 321.191, which requires the payment of a $20 fee for license reinstatement, or Code sections 321.218A, 321A.32A, or 321J.17, which require the payment of a $200 civil penalty (or a $50 civil penalty under Code sections 321.218A and 321A.32A for persons age 19 or under) for license reinstatement or the issuance of a temporary restricted license.
   Upon application, the bill requires the DOT to reinstate a person’s driver’s license that has been suspended pursuant to Code section 321.210A, Code 2020, if the person is otherwise eligible for the issuance of a driver’s license, and if all fees and penalties applicable under Code sections 321.191, 321.218A, 321A.32A, and 321J.17 are paid in full or the person has executed an installment agreement and is not is default. 
   The bill applies to fines, penalties, surcharges, and court costs associated with a conviction for violating a law regulating the operation of a motor vehicle that are delinquent on or after the bill’s effective date. If a fine, penalty, surcharge, or court cost has been deemed delinquent prior to the bill’s effective date, the first day of delinquency for purposes of determining whether to assess the civil penalty is the bill’s effective date.