House Study Bill 40 - Introduced HOUSE FILE _____ BY (PROPOSED COMMITTEE ON WAYS AND MEANS BILL BY CHAIRPERSON HEIN) A BILL FOR An Act allowing counties to collect a fee for the issuance 1 and renewal of driver’s licenses and nonoperator’s 2 identification cards to persons who reside outside the 3 county. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 1490YC (2) 89 th/ns

H.F. _____ Section 1. Section 321M.9, subsection 1, Code 2021, is 1 amended to read as follows: 2 1. Fees to counties. 3 a. Notwithstanding any other provision in the Code to the 4 contrary, the county treasurer of a county authorized to issue 5 driver’s licenses under this chapter shall retain for deposit 6 in the county general fund seven dollars of fees received for 7 each issuance or renewal of driver’s licenses and nonoperator’s 8 identification cards, but shall not retain any moneys for 9 the issuance of any persons with disabilities identification 10 devices. The five dollar processing fee charged by a county 11 treasurer for collection of a civil penalty under section 12 321J.17 shall be retained for deposit in the county general 13 fund. The county treasurer shall remit the balance of fees and 14 all civil penalties to the department. 15 b. A county authorized to issue driver’s licenses under 16 this chapter may charge, in addition to any other fee imposed 17 by law, a convenience fee for the issuance or renewal of a 18 driver’s license or nonoperator’s identification card to a 19 person who is not a resident of the county, unless that person 20 pays property tax to the county and provides proof of payment 21 such as a receipt as provided in section 445.5, subsection 6, 22 or another form of proof as determined by the county. The 23 convenience fee shall not exceed ten dollars. The county 24 treasurer shall retain for deposit in the county general fund 25 the amount of the convenience fee collected. 26 EXPLANATION 27 The inclusion of this explanation does not constitute agreement with 28 the explanation’s substance by the members of the general assembly. 29 Current law authorizes certain counties to issue driver’s 30 licenses and nonoperator’s identification cards if the county 31 meets standards set by the department of transportation. A 32 county retains for deposit in the county general fund $7 33 of fees received for each issuance or renewal of driver’s 34 licenses and nonoperator’s identification cards. This 35 -1- LSB 1490YC (2) 89 th/ns 1/ 2

H.F. _____ bill allows a county authorized to issue driver’s licenses 1 to charge a convenience fee, not to exceed $10, for the 2 issuance or renewal of a driver’s license or nonoperator’s 3 identification card to a person who is not a resident of the 4 county. However, the county cannot charge the convenience fee 5 to a nonresident person who pays property tax to the county if 6 the person provides proof that they paid property tax, such as 7 a receipt from the county treasurer or another form of proof 8 as determined by the county. The county treasurer retains the 9 entire convenience fee collected for deposit in the county 10 general fund. 11 -2- LSB 1490YC (2) 89 th/ns 2/ 2