HB2537 - 532R

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

Section 1. Section 28-2352, Arizona Revised Statutes, is amended to read:

START_STATUTE28-2352. License plate; return; replacement; fee

A. On termination of the lawful use of the license plate the director may require return to the department of the plate issued by the department.

B. If the license plate of a vehicle is mutilated or illegible, the owner shall return the plate to the department, and the department shall issue a new plate on payment of the fee provided in this section.

C. The fee for replacement of each lost, destroyed or mutilated license plate, pair of license plates or year validating tab is five dollars.

D. beginning in fiscal year 2019‑2020 and in each subsequent fiscal year, the director shall deposit, pursuant to sections 35‑146 and 35‑147, all monies collected for new or replaced standard license plates that exceed the total amount of monies collected for new or replaced standard license plates in fiscal year 2018‑2019 in the Arizona highway patrol fund established by section 41‑1752. END_STATUTE

Sec. 2. Section 28-2356, Arizona Revised Statutes, is amended to read:

START_STATUTE28-2356. Transfer of license plates to another vehicle; credit; refund

A. Except as otherwise provided in this chapter, the owner of a vehicle for which the department provided license plates pursuant to section 28‑2351 shall retain those license plates when the owner transfers the vehicle to another person only if the vehicle is subject to chapter 15, article 2 of this title pursuant to section 28‑5432 or has a special plate, an honored military license plate or a historic value license plate issued pursuant to this chapter.

B. The owner may apply for a refund or a credit of the unexpired portion of the fees and taxes as prescribed in this section if both of the following apply:

1. The owner makes proper application to the director or to an authorized third party pursuant to chapter 13 of this title.

2. The owner agrees to allow the department to deduct a twelve dollar processing fee from the amount of the refund or credit.

C. If the owner applies for a credit as prescribed in this section, the department may assign the license plates retained pursuant to subsection A of this section to another vehicle that belongs to the owner if all of the following apply:

1. The other vehicle is of the same vehicle type.

2. The owner is applying the available credit for the fees and taxes to one other vehicle the owner owns or acquires.

3. If the available credit exceeds the amount required to pay the fees and taxes, the department shall issue issues a refund for the remaining amount of credit as prescribed in this section. The department shall not charge an additional twelve dollar fee pursuant to subsection B of this section for issuing a refund under this paragraph.

4. If the vehicle license tax, gross weight fees, commercial registration fees, special plate fees and motor carrier fees are more than the similar fees and taxes required to register the vehicle to which the license plates were previously assigned, the owner pays any additional fees and taxes required after subtracting any credit allowed under this section.

D. If the vehicle that the owner transfers to another person was not issued a special plate, an honored military license plate or a historic value license plate pursuant to this chapter or is not subject to chapter 15, article 2 of this title pursuant to section 28‑5432 or if the other vehicle is not of the same vehicle type as the vehicle for which the license plates were provided by the department pursuant to section 28‑2351, the owner shall either surrender the license plates to the department or an authorized third party or submit an affidavit of license plate destruction as prescribed by the director. On surrender of the license plates or submission of an affidavit of license plate destruction, the department shall provide new license plates of the proper vehicle type to the owner and credit the owner with an amount equal to the unexpended portion of the fees and taxes originally paid by the owner for registration and license plates toward fees and taxes charged for the registration and license plates of the appropriate new vehicle type.

E. The owner of a registered vehicle who transfers license plates to another vehicle or who claims a refund pursuant to this section is entitled to a credit or a refund for the unexpired portion of the fees and taxes paid as required by law in accordance with the following conditions:

1. The fees and taxes are prorated on a monthly basis beginning on the first day of the registration month following the date of acquisition of the vehicle.

2. The credit or refund shall be an amount computed as follows:

(a) If the vehicle is registered on an annual basis, one‑twelfth for each full month of the registration period not yet expired.

(b) If the vehicle is registered on a biennial basis pursuant to section 28‑2159, one‑twenty‑fourth for each full month of the registration period not yet expired.

(c) If the vehicle is permanently registered, one‑twenty‑fourth for each full month after acquisition of the vehicle to the twenty‑fourth month after the date of initial permanent registration of the vehicle.

F. If the owner of a registered vehicle transfers the vehicle to another person but does not transfer the license plates to another vehicle, surrender the license plates to the department or an authorized third party or submit an affidavit of license plate destruction within thirty days of the transfer as required by section 28‑2058, the unexpired portion of the fees and taxes shall decrement decrease pursuant to subsection D E of this section until the owner either surrenders the license plates to the department or an authorized third party or submits an affidavit of license plate destruction.

G. Except as provided in subsection C of this section, an owner of a registered vehicle who transfers the vehicle to another person and either surrenders the license plates to the department or an authorized third party or submits an affidavit of license plate destruction may apply to the department for a refund of the unexpired portion of the fees and taxes paid if the owner does not claim a credit pursuant to this section and the refundable amount calculated pursuant to subsection D of this section exceeds the twelve dollar fee prescribed in subsection B of this section. If the department determines that the owner is entitled to a refund, the department shall send the refund by first class mail to the address provided by the owner claiming the refund or, if no address is provided, to the latest address listed on the department's records for the owner claiming the refund.

H. An owner who transfers license plates to another vehicle pursuant to this section is subject to the same penalties for the use of the license plates on another vehicle or for improper use of the license plates as the owner would have been subject to for use of the license plates on the vehicle to which the plates were previously assigned.

I. The owner of a vehicle registered in this state is not entitled to a credit or a refund pursuant to this section if the vehicle is registered in another state unless the owner is applying the credit pursuant to this section to another vehicle the owner owns or acquires for registration in this state.

J. The director shall adopt rules necessary to administer this section. END_STATUTE

Sec. 3. Section 41-1752, Arizona Revised Statutes, is amended to read:

START_STATUTE41-1752. Arizona highway patrol fund

A. An The Arizona highway patrol fund is established.

B. The Arizona highway patrol fund consists of:

1. Monies distributed to the fund from the Arizona highway user revenue fund by the legislature subject to section 28‑6537.

2. Miscellaneous service fees.

3. Rewards.

4. Awards.

5. Insurance recoveries.

6. Receipts from the sale or disposal of any property held by the Arizona highway patrol or purchased with Arizona highway patrol monies.

7. Monies received from the public safety personnel retirement system pursuant to section 20‑224.01.

8. Monies deposited pursuant to section 28‑3513.

9. Monies deposited pursuant to section 28‑2352.

C. Subject to legislative appropriation, the patrol superintendent shall administer and spend monies in the Arizona highway patrol fund in conformity with the laws governing state financial operations.

D. Monies in the Arizona highway patrol fund:

1. Do not revert to the state general fund or Arizona highway user revenue fund.

2. Are exempt from the provisions of section 35‑190 relating to lapsing of appropriations.

E. Subject to legislative appropriation, monies in the Arizona highway patrol fund shall be used to administer the provisions of law relating to the highway patrol and the Arizona highway patrol reserve and all matters pertaining to those laws, except that monies received pursuant to subsection B, paragraph 7 of this section shall be used for the department of public safety. END_STATUTE

Sec. 4. Effective date

This act is effective from and after June 30, 2019.