Chapter 0099 - 512R - H Ver of HB2580

Be it enacted by the Legislature of the State of Arizona:

Section 1. Section 49-542.05, Arizona Revised Statutes, is amended to read:

START_STATUTE49-542.05. Alternative fuel vehicles

A. Except for a vehicle fueled by hydrogen, the following apply:

1. Each original equipment manufactured alternative fuel vehicle that is registered in or used to commute into area A or area B pursuant to section 49‑542, subsection A is subject to the emissions inspection requirements prescribed in this article including subsection C of this section.

2. Each alternative fuel vehicle that is not an original equipment manufactured alternative fuel vehicle and that is registered in or used to commute into area A or area B pursuant to section 49‑542, subsection A is subject to the emissions inspection requirements prescribed in this article.

B. Except for a vehicle fueled by hydrogen, for each vehicle that is registered in or used to commute into area A or area B as prescribed by section 49‑542, subsection A and that is either an original equipment manufactured alternative fuel vehicle or an alternative fuel vehicle that is not an original equipment manufactured alternative fuel vehicle, the vehicle shall be tested before the vehicle is registered in this state as an alternative fuel vehicle both while operating on gasoline and while operating on alternative fuel, if applicable. In the fourth sixth registration year and in subsequent years, the vehicle shall be tested both while operating on gasoline and while operating on alternative fuel, if applicable, pursuant to the requirements of section 49‑542.

C. For all emissions inspections before the fourth registration year after purchase or lease of a new original equipment manufactured alternative fuel vehicle, the owner of the vehicle shall do one of the following:

1. Have the vehicle inspected pursuant to this article.

2. Pay a twenty‑five dollar fee in area A and a nine dollar fee in area B. The owner shall pay this fee together with the registration fee for the vehicle to the registering officer. The registering officer shall deposit, pursuant to sections 35‑146 and 35‑147, these fees in the air quality fund established by section 49‑551. The registering officer may enter into an intergovernmental agreement with another department of this state to collect and deposit the fee. An owner who chooses to have an emissions inspection pursuant to this article is not required to pay the fee prescribed in this paragraph for that emissions test cycle.

D. C. The registration renewal notice required for the second fourth and third fifth registration year of a new original equipment manufactured alternative fuel vehicle shall include a notice to the vehicle owner that even though an emissions inspection test is not required pursuant to subsection B of this section the owner may choose to have an emissions inspection because of vehicle emissions performance warranty limitations on emissions components of the vehicle.

E. D. The department of environmental quality shall compile and maintain data regarding the results of emissions inspections of all alternative fuel vehicles pursuant to this article. END_STATUTE

Sec. 2. Section 49-546, Arizona Revised Statutes, is amended to read:

START_STATUTE49-546. Fleet emissions inspection stations; certificates of inspection; dealer's inventory; investigations; revocation or suspension of permit

A. Any registered owner or lessee of a fleet of at least twenty‑five vehicles may apply to the director for a permit to establish a fleet emissions inspection station. The director shall not issue any fleet emissions inspection station permit until he the director has found that the applicant:

1. Maintains an established place of business for the repair and maintenance of the applicant's fleet of vehicles.

2. Has obtained approved machinery, tools and equipment to adequately conduct the required emissions inspections.

3. Employs properly trained and licensed personnel with which to perform the necessary labor.

4. Agrees to provide data as may be prescribed by the director.

B. Any operator of a fleet emissions inspection station under a valid permit shall, upon filing an application in the manner and form prescribed by the director and paying the prescribed fee, receive a sufficient number of certificates of inspection for each vehicle in the applicant's fleet. No A certificate of inspection shall not be issued to any fleet vehicle until it has been inspected and found to comply with applicable regulations. A certificate of inspection issued to a fleet vehicle is transferable to an auctioneer who intends to sell the vehicle and who is licensed as a used motor vehicle dealer. The certificate of inspection is valid for a period of not to exceed more than one hundred eighty days after the transfer unless the vehicle is reregistered with a new owner, in which case the vehicle shall be inspected in accordance with this article before the reregistration.

C. No A holder of a fleet emissions inspection station permit shall not inspect or certificate any vehicle for which such the permittee is not the registered owner or lessee, unless authorized by the director.

D. Vehicles which that are owned by a licensed vehicle dealer and which that are held for resale as a part of the dealer's business inventory shall be deemed a part of such the dealer's vehicle fleet for the purposes of this section.

E. Every vehicle subject to the provisions of this section and registered in this state shall be inspected in accordance with the provisions of this article at least once within each twelve-month period following any original registration or reregistration or the rules adopted pursuant to this article. No A vehicle that is subject to the provisions of this section may not be registered or reregistered until such the vehicle has passed inspection or been issued a waiver pursuant to section 49‑542.

F. The director shall investigate the operation of each fleet emissions inspection station as the conditions and circumstances of such the operation may indicate. He The director may require the holder of any fleet permit to submit such documentation required concerning the operation of such the inspection station. The director may suspend or revoke and require the surrender and forfeiture of any fleet emissions inspection station permit and certificates of inspection of such the permittee if he the director finds that such the station is not operated in accordance with this article and the lawful rules and regulations adopted by the director or the holder of such the permit has failed or refused to submit records or documentation required.

G. For the purposes of section 49‑542.03, the provisions of this section apply applies to a fleet motor vehicle dealer who meets both of the following conditions:

1. The principal place of business is within fifty miles of the outer boundary of area A.

2. The dealer certifies to the department that customers who reside in area A are the primary source of their the dealer's business. END_STATUTE

Sec. 3. Section 49-551, Arizona Revised Statutes, is amended to read:

START_STATUTE49-551. Air quality fee; air quality fund; purpose

A. Every person who is required to register a motor vehicle in this state pursuant to section 28‑2153 shall pay, in addition to the registration fee, an annual air quality fee at the time of vehicle registration of one dollar fifty cents. Unless and until the United States environmental protection agency grants a waiver for diesel fuel pursuant to section 211(c)(4) of the clean air act, every person who is required to register a diesel powered motor vehicle in this state with a declared gross weight as defined in section 28‑5431 of more than eight thousand five hundred pounds and every person who is subject to an apportioned fee for diesel powered motor vehicles collected pursuant to title 28, chapter 7, articles 7 and 8 shall pay an additional apportioned diesel fee of ten dollars.

B. The registering officer shall collect the fees and immediately deposit, pursuant to sections 35‑146 and 35‑147, the air quality fees in the air quality fund established pursuant to subsection C of this section and shall deposit the diesel fees in the voluntary vehicle repair and retrofit program fund established pursuant to section 49‑474.03.

C. An air quality fund is established consisting of monies received pursuant to this section, section 49‑542.05, gifts, grants and donations, and monies appropriated by the legislature. The department of environmental quality shall administer the fund. Monies in the fund are exempt from the provisions of section 35‑190 relating to the lapsing of appropriations. Interest earned on monies in the fund shall be credited to the fund. Monies in the air quality fund shall be used, subject to legislative appropriation, for:

1. Air quality research, experiments and programs conducted by or for the department for the purpose of bringing area A or area B into or maintaining area A or area B in attainment status, improving air quality in areas of this state outside area A or area B and reducing emissions of particulate matter, carbon monoxide, oxides of nitrogen, volatile organic compounds and hazardous air pollutants throughout the state.

2. Monitoring visible air pollution and developing and implementing programs to reduce emissions of pollutants that contribute to visible air pollution in counties with a population of four hundred thousand persons or more.

3. Developing and adopting rules in compliance with sections 49‑426.03, 49‑426.04, 49‑426.05 and 49‑426.06.

D. The department shall transfer four hundred thousand dollars from the air quality fund to the department of administration for the purposes prescribed by section 49‑588 in eight installments in each of the first eight months of a fiscal year.

E. This section does not apply to an electrically powered golf cart or an electrically powered vehicle. END_STATUTE