Senate File 2063 - Introduced SENATE FILE 2063 BY DICKEY A BILL FOR An Act exempting certain trailers from annual registration fees 1 and registration plate issuance requirements. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 5110XS (6) 89 th/ns

S.F. 2063 Section 1. Section 321.123, Code 2022, is amended by adding 1 the following new subsection: 2 NEW SUBSECTION . 4. a. There is no annual registration fee 3 for a non-revenue-producing trailer owned by a person who owns 4 three or more non-revenue-producing trailers. This paragraph 5 does not apply to the two non-revenue-producing trailers with 6 the highest annual registration fees as calculated under this 7 section that are owned by the person. A trailer exempt from 8 the annual registration fee under this paragraph must still be 9 registered in accordance with this chapter. 10 b. Notwithstanding section 321.34 or any other provision 11 of law to the contrary, the owner of a non-revenue-producing 12 trailer exempt from the annual registration fee under paragraph 13 “a” shall not be issued a registration plate for the trailer. 14 Notwithstanding section 321.37 or any other provision of law to 15 the contrary, to be moved upon a highway, an exempted trailer 16 must display the registration plate that was issued for either 17 of the two non-revenue-producing trailers for which the annual 18 registration fee applies. An exempted trailer may display such 19 a plate only if all of the following are true: 20 (1) All applicable non-revenue-producing trailers are owned 21 by and registered to the same person. 22 (2) No more than two of the applicable 23 non-revenue-producing trailers are moved upon a highway at any 24 one time. 25 c. For purposes of this subsection, “non-revenue-producing 26 trailer” means a trailer that is not subject to permanent 27 registration under chapter 326 and that is only moved upon a 28 highway for purposes other than a private commercial purpose or 29 a purpose associated with a commercial enterprise. 30 EXPLANATION 31 The inclusion of this explanation does not constitute agreement with 32 the explanation’s substance by the members of the general assembly. 33 Under current law, motor vehicles, trailers, and 34 semitrailers, when driven or moved upon a highway, are 35 -1- LSB 5110XS (6) 89 th/ns 1/ 2

S.F. 2063 subject to the registration provisions in Code chapters 321 1 (motor vehicles and law of the road) and 326 (registration 2 reciprocity), as applicable, unless specifically exempted. 3 Each vehicle is subject to an annual registration fee and also 4 subject to a fee for new registration when the vehicle is 5 registered for the first time by the vehicle owner. 6 This bill eliminates the annual registration fee for a 7 non-revenue-producing trailer owned by a person who owns three 8 or more such trailers. However, the two non-revenue-producing 9 trailers with the highest annual registration fees owned by the 10 person are still subject to the fee. Trailers exempt from the 11 annual registration fee by the bill are still required to be 12 registered in accordance with current law. 13 Under the bill, the owner of a non-revenue-producing 14 trailer exempt from the annual registration fee is not 15 issued a registration plate for the trailer, but instead 16 must display the registration plate issued for either of 17 the two non-revenue-producing trailers for which the annual 18 registration fee applies in order to be moved upon a highway. 19 The bill defines “non-revenue-producing trailer” as a 20 trailer that is not subject to permanent registration under 21 Code chapter 326 and that is only moved upon a highway for 22 purposes other than a private commercial purpose or a purpose 23 associated with a commercial enterprise. 24 The annual registration fee for trailers with an empty 25 weight of 2,000 pounds or less is $20, and the annual 26 registration fee for trailers with an empty weight in excess of 27 2,000 pounds is $30. Travel trailers and fifth-wheel travel 28 trailers have an annual registration fee based on the trailer’s 29 square footage. 30 -2- LSB 5110XS (6) 89 th/ns 2/ 2