S.F. 171 Section 1. Section 35A.11, subsection 4, Code 2013, is 1 amended by striking the subsection. 2 Sec. 2. Section 321.34, subsection 18, Code 2013, is amended 3 to read as follows: 4 18. Purple heart special plates. 5 a. An owner referred to in subsection 12 who was awarded 6 a purple heart medal by the United States government for 7 wounds received in military or naval combat against an armed 8 enemy of the United States may, upon written application to 9 the department and presentation of satisfactory proof of the 10 award of the purple heart medal, order special registration 11 plates with a purple heart processed emblem. The design of the 12 emblem shall include a representation of a purple heart medal 13 and ribbon. Each applicant applying for special registration 14 plates under this subsection may order only one set of 15 registration plates under this subsection. The application 16 is subject to approval by the department in consultation with 17 the adjutant general. The special plate fees collected by the 18 director under subsection 12 , paragraphs “a” and “c” , from the 19 issuance and annual validation of letter-number designated and 20 personalized purple heart plates shall be paid monthly to the 21 treasurer of state and deposited in the road use tax fund. The 22 treasurer of state shall transfer monthly from the statutory 23 allocations fund created under section 321.145, subsection 2 , 24 to the veterans license fee fund created in section 35A.11 25 the amount of the special fees collected under subsection 26 12 , paragraph “a” , in the previous month for purple heart 27 plates. The special registration plates shall be issued at 28 no charge to the applicant in exchange for the registration 29 plates previously issued to the person, if any. A person who 30 is issued special plates under this subsection is exempt from 31 payment of any annual registration fee for the vehicle bearing 32 the special plates. 33 b. The surviving spouse of a person who was issued special 34 plates under this subsection may continue to use or apply for 35 -1- LSB 1955XS (3) 85 dea/nh 1/ 4

S.F. 171 and use the special plates subject to registration of the 1 special plates in the surviving spouse’s name and upon payment 2 of the annual five-dollar special plate fee and the regular 3 annual registration fee for the vehicle. If the surviving 4 spouse remarries, the surviving spouse shall return the special 5 plates to the department and the department shall issue regular 6 registration plates to the surviving spouse. 7 Sec. 3. Section 321.145, subsection 2, paragraph b, 8 subparagraph (3), Code 2013, is amended to read as follows: 9 (3) The amounts required to be transferred pursuant to 10 section 321.34 from revenues available under this subsection 11 shall be transferred and credited as provided in section 12 321.34, subsections 7, 10, 10A, 11, 11A, 11B, 13, 16, 17, 13 18, 19, 20, 20A, 20B, 20C, 21, 22, 23, 24, 25, and 26 for the 14 various purposes specified in those subsections. 15 Sec. 4. PREVIOUSLY ISSUED PURPLE HEART REGISTRATION 16 PLATES. It is the intent of the general assembly that owners 17 of vehicles who were issued special purple heart registration 18 plates prior to the effective date of this Act be permitted to 19 continue using the plates on the vehicles for which the plates 20 were issued. The following provisions apply to the owner of 21 one or more vehicles bearing purple heart plates issued prior 22 to the effective date of this Act: 23 1. The owner shall be exempt from the payment of any special 24 plate renewal fee, special personalized plate renewal fee, 25 and annual registration fee, as provided in section 321.34, 26 subsection 18, as amended in this Act, for one vehicle bearing 27 purple heart registration plates at the time of renewal of 28 the vehicle registration. The owner may transfer the special 29 plates to another vehicle upon assignment or transfer of 30 ownership of the vehicle for which the special plates were 31 issued. 32 2. If the owner has one or more additional vehicles bearing 33 purple heart plates, the owner may continue to use the special 34 purple heart plates for the vehicle for which the plates were 35 -2- LSB 1955XS (3) 85 dea/nh 2/ 4

S.F. 171 issued, upon payment of the regular annual registration fee 1 and, if the plate is a personalized plate, payment of the 2 five-dollar personalized plate renewal fee for the vehicle. 3 The special purple heart plates shall be surrendered in 4 exchange for regular registration plates upon assignment or 5 transfer of ownership of the vehicle for which they were 6 issued. 7 Sec. 5. APPLICABILITY. This Act applies on and after July 8 1, 2013, for new applications for purple heart registration 9 plates. For owners of vehicles bearing purple heart 10 registration plates issued prior to the effective date of this 11 Act, this Act applies at the time of registration renewal. 12 EXPLANATION 13 This bill abolishes the fees associated with special purple 14 heart vehicle registration plates and exempts purple heart 15 recipients from the payment of annual registration fees for one 16 vehicle. 17 Special purple heart registration plates are currently 18 issued to the owner of a vehicle who was awarded a purple heart 19 medal by the United States government for wounds received 20 in military or naval combat against an armed enemy of the 21 United States. Standard special plate fees currently apply 22 to purple heart plates. The fee for issuance is $25, and the 23 annual validation fee is $5. Both fees are in addition to the 24 regular annual registration fee for the vehicle, and the amount 25 collected from the fees is deposited in the veterans license 26 fee fund administered by the commission of veterans affairs. 27 Purple heart plates are currently available as personalized 28 plates upon payment of an additional $25 fee for issuance, 29 and subject to an additional $5 personalized plate renewal 30 fee. The personalized plate fees, which are in addition to 31 the special plate fees and the annual registration fee, are 32 credited to the road use tax fund. 33 The bill provides that a person who is eligible for special 34 purple heart plates may order only one set of the special 35 -3- LSB 1955XS (3) 85 dea/nh 3/ 4

S.F. 171 plates. The purple heart plates shall be issued without fee, 1 and the owner of the vehicle bearing the special plates is 2 exempt from payment of the annual registration fee for that 3 vehicle. After the effective date of the bill, the issuance of 4 personalized purple heart plates will be discontinued. 5 Under current law, the surviving spouse of a person who was 6 issued special purple heart plates may continue to use or apply 7 for and use special purple heart plates upon payment of the 8 special plate fees and annual registration fee for the vehicle. 9 The special plates must be surrendered if the surviving spouse 10 remarries. Under the bill, a surviving spouse may continue to 11 use the one set of special purple heart plates issued without 12 fee. 13 The bill addresses previously issued purple heart plates 14 by allowing the owner of one or more vehicles bearing purple 15 heart plates issued prior to July 1, 2013, to be exempt from 16 special plate fees and the annual registration fee for one such 17 vehicle. For any additional vehicle currently bearing purple 18 heart plates, the owner may continue to use the plates, but 19 must pay the annual registration fee, and a personalized plate 20 fee if applicable, and the plates must be surrendered upon 21 assignment or transfer of ownership of the vehicle. 22 The bill applies on and after July 1, 2013, for new 23 applications for purple heart registration plates. For purple 24 heart plates issued prior to July 1, 2013, the new provisions 25 apply at the time of registration renewal. 26 -4- LSB 1955XS (3) 85 dea/nh 4/ 4