Senate Study Bill 3025





                                       SENATE FILE       
                                       BY  (PROPOSED COMMITTEE ON
                                            TRANSPORTATION BILL BY
                                            CO=CHAIRPERSON PUTNEY)


    Passed Senate, Date               Passed House,  Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to registration fees for certain motor trucks,
  2    creating an E=85 trust fund, making an appropriation, and
  3    providing effective and applicability dates.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  5 TLSB 5648SK 81
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PAG LIN



  1  1    Section 1.  Section 321.109, subsection 1, unnumbered
  1  2 paragraph 1, Code Supplement 2005, is amended to read as
  1  3 follows:
  1  4    The annual fee for all motor vehicles including vehicles
  1  5 designated by manufacturers as station wagons, and 1993 and
  1  6 subsequent model years for multipurpose vehicles, and 2008 and
  1  7 subsequent model year motor trucks with an unladen weight of
  1  8 seven thousand five hundred pounds or less, except motor
  1  9 trucks registered under section 321.122, special trucks, motor
  1 10 homes, ambulances, hearses, motorcycles, motor bicycles, and
  1 11 1992 and older model years for multipurpose vehicles, shall be
  1 12 equal to one percent of the value as fixed by the department
  1 13 plus forty cents for each one hundred pounds or fraction
  1 14 thereof of weight of vehicle, as fixed by the department.  The
  1 15 weight of a motor vehicle, fixed by the department for
  1 16 registration purposes, shall include the weight of a battery,
  1 17 heater, bumpers, spare tire, and wheel.  Provided, however,
  1 18 that for any new vehicle purchased in this state by a
  1 19 nonresident for removal to the nonresident's state of
  1 20 residence the purchaser may make application to the county
  1 21 treasurer in the county of purchase for a transit plate for
  1 22 which a fee of ten dollars shall be paid.  And provided,
  1 23 however, that for any used vehicle held by a registered dealer
  1 24 and not currently registered in this state, or for any vehicle
  1 25 held by an individual and currently registered in this state,
  1 26 when purchased in this state by a nonresident for removal to
  1 27 the nonresident's state of residence, the purchaser may make
  1 28 application to the county treasurer in the county of purchase
  1 29 for a transit plate for which a fee of three dollars shall be
  1 30 paid.  The county treasurer shall issue a nontransferable
  1 31 certificate of registration for which no refund shall be
  1 32 allowed; and the transit plates shall be void thirty days
  1 33 after issuance.  Such purchaser may apply for a certificate of
  1 34 title by surrendering the manufacturer's or importer's
  1 35 certificate or certificate of title, duly assigned as provided
  2  1 in this chapter.  In this event, the treasurer in the county
  2  2 of purchase shall, when satisfied with the genuineness and
  2  3 regularity of the application, and upon payment of a fee of
  2  4 ten dollars, issue a certificate of title in the name and
  2  5 address of the nonresident purchaser delivering the same to
  2  6 the person entitled to the title as provided in this chapter.
  2  7 The application requirements of section 321.20 apply to a
  2  8 title issued as provided in this subsection, except that a
  2  9 natural person who applies for a certificate of title shall
  2 10 provide either the person's social security number, passport
  2 11 number, or driver's license number, whether the license was
  2 12 issued by this state, another state, or another country.  The
  2 13 provisions of this subsection relating to multipurpose
  2 14 vehicles are effective January 1, 1993, for all 1993 and
  2 15 subsequent model years.  The annual registration fee for
  2 16 multipurpose vehicles that are 1992 model years and older
  2 17 shall be in accordance with section 321.124.
  2 18    Sec. 2.  Section 321.109, Code Supplement 2005, is amended
  2 19 by adding the following new subsection:
  2 20    NEW SUBSECTION.  4.  Notwithstanding section 423.43, and
  2 21 prior to the crediting of revenues to the road use tax fund
  2 22 under section 423.43, subsection 1, paragraph "b", the
  2 23 treasurer of state shall transfer monthly to the E=85 trust
  2 24 fund created under section 421.71 fifty percent of the amount
  2 25 of fees collected during the previous month from the
  2 26 registration of 2008 and newer model year motor trucks under
  2 27 this section in excess of the amount that would have been
  2 28 collected for the registration of those vehicles under section
  2 29 321.122, Code 2005.  However, the total amount transferred
  2 30 shall not exceed fifty million dollars.  This subsection is
  2 31 repealed December 31, 2010.
  2 32    Sec. 3.  Section 321.122, subsection 1, unnumbered
  2 33 paragraph 1, Code 2005, is amended to read as follows:
  2 34    The annual registration fee for truck tractors, road
  2 35 tractors, and motor trucks, except 2008 and subsequent model
  3  1 year motor trucks with an unladen weight of seven thousand
  3  2 five hundred pounds or less and motor trucks registered as
  3  3 special trucks, shall be based on the combined gross weight of
  3  4 the vehicle or combination of vehicles.  All such trucks,
  3  5 truck tractors, or road tractors registered under this section
  3  6 shall be registered for a gross weight equal to or in excess
  3  7 of the unladen weight of the vehicle or combination of
  3  8 vehicles.  The annual registration fee fees for such vehicles
  3  9 or combination of vehicles, except special trucks, shall be
  3 10 are as follows:
  3 11    Sec. 4.  NEW SECTION.  421.71  E=85 TRUST FUND.
  3 12    1.  An E=85 trust fund is created within the state treasury
  3 13 under the control of the department.  The fund shall consist
  3 14 of moneys transferred from the registration of motor trucks
  3 15 under section 321.109, subsection 4, any moneys appropriated
  3 16 by the general assembly, and any other moneys available to and
  3 17 obtained or accepted by the department from government or
  3 18 private sources for placement in the fund.  The assets of the
  3 19 fund are appropriated to the department to be used to
  3 20 establish E=85 retail facilities throughout the state by
  3 21 providing reimbursement to new and existing motor fuel
  3 22 retailers for costs associated with the installation or
  3 23 conversion of infrastructure used to sell and dispense E=85
  3 24 blended gasoline.  The total amount that may be awarded to an
  3 25 applicant for reimbursement under this section is limited to
  3 26 twenty=five thousand dollars per retail location.  Up to one
  3 27 hundred thousand dollars of the moneys in the fund may be
  3 28 allocated to the department annually for administrative costs
  3 29 incurred by the department for purposes of administering the
  3 30 fund.
  3 31    2.  Moneys in the E=85 trust fund shall be drawn upon the
  3 32 written requisition of the director or an authorized
  3 33 representative of the director.  Notwithstanding section
  3 34 12C.7, subsection 2, interest or earnings on moneys deposited
  3 35 in the fund shall be credited to the fund.  Notwithstanding
  4  1 section 8.33, moneys in the fund that remain unencumbered or
  4  2 unobligated at the close of the fiscal year shall not revert
  4  3 but shall remain available for expenditure for the purposes
  4  4 designated through December 31, 2012.  The department shall
  4  5 adopt rules for the administration of this section.
  4  6    Sec. 5.  EFFECTIVE AND APPLICABILITY DATES.  This Act takes
  4  7 effect January 1, 2007, and applies to registrations of 2008
  4  8 and subsequent model year motor trucks with an unladen weight
  4  9 of seven thousand five hundred pounds or less.
  4 10                           EXPLANATION
  4 11    This bill revises the method for calculating annual
  4 12 registration fees for motor trucks with an unladen weight of
  4 13 7,500 pounds or less.  Currently, most such trucks are
  4 14 registered based on combined gross weight for an annual fee of
  4 15 $65, which is reduced to $55 when the vehicle is more than 10
  4 16 model years old, $45 when the vehicle is more than 13 model
  4 17 years old, and $35 when the vehicle is more than 15 model
  4 18 years old.
  4 19    The bill requires that 2008 and subsequent model year motor
  4 20 trucks with an unladen weight of 7,500 pounds or less be
  4 21 registered under the weight and value system that applies to
  4 22 most other motor vehicles.  Currently under that system,
  4 23 registration fees are equal to 1 percent of the value of the
  4 24 vehicle plus 40 cents for each 100 pounds of weight of the
  4 25 vehicle.  Registration fees based on weight and value are
  4 26 automatically reduced according to the age of the vehicle
  4 27 beginning when the vehicle is more than five model years old.
  4 28    The bill establishes an E=85 trust fund under the control
  4 29 of the department of revenue, to be used to fuel the
  4 30 establishment of E=85 retail facilities.  Through December 31,
  4 31 2010, 50 percent of the amount of fees collected from the
  4 32 registration of 2008 and newer model year motor trucks under
  4 33 the weight and value system in excess of the amount that would
  4 34 have been collected for the registration of those vehicles for
  4 35 a flat fee shall be deposited monthly in the E=85 trust fund.
  5  1 However, the total amount deposited shall not exceed $50
  5  2 million.  A maximum amount of $25,000 shall be awarded to an
  5  3 applicant to reimburse costs incurred for E=85 infrastructure
  5  4 projects at any one retail location.  Moneys remaining in the
  5  5 fund after December 31, 2012, shall revert to the road use tax
  5  6 fund.
  5  7    The bill takes effect January 1, 2007, and applies to
  5  8 registrations of 2008 and subsequent model year motor trucks.
  5  9 The bill does not alter the current flat fee schedule, which
  5 10 will continue to apply to 2007 and previous model year trucks.
  5 11 LSB 5648SK 81
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