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ARIZONA STATE SENATE

Fifty-Fourth Legislature, First Regular Session

 

FACT SHEET FOR H.B. 2707

 

humanitarian services special plates

Purpose

            Effective October 1, 2019, establishes humanitarian services special plates and the Humanitarian Services Special Plates Fund (Fund).

Background

The Arizona Department of Transportation's (ADOT) Motor Vehicle Division (MVD) provides one license plate to every motor vehicle owner for each vehicle registered (A.R.S. § 28 2351). ADOT is required to issue or renew special license plates in lieu of regular license plates under specified conditions and procedures (A.R.S. § 28-2403). The fee for obtaining or renewing a special license plate is $25  (A.R.S. § 28-2402). From the $25 fee, typically, $8 is an administration fee that ADOT deposits in the State Highway Fund (SHF) and $17 is considered a donation to the respective organization or charitable fund. ADOT currently offers over 60 special license plates.

            There is no anticipated fiscal impact to the state General Fund associated with this legislation.

Provisions

1.      Requires ADOT to issue humanitarian services special plates if a $32,000 implementation fee is paid before December 31, 2019.

2.      Requires the person who provides the $32,000 to design the humanitarian services special plates, subject to approval by ADOT.

3.      Allows the Director of ADOT (Director) to combine requests for humanitarian services special plates with personalized special plates.

4.      Specifies that a combined request is required to be submitted on a form prescribed by the Director and is subject to fees for the both the humanitarian services plates and personalized plates.

5.      Specifies that, of the $25 fee required to obtain and renew a special plate, $8 is an administration fee and $17 is an annual donation.

6.      Requires ADOT to deposit all special plate administration fees into the SHF and all remaining monies into the Fund.

7.      Requires the first $32,000 in the Fund to be reimbursed to the person who paid the initial implementation fee.

8.      Requires not more than 10 percent of monies in the Fund to be used for administration costs. 

9.      Specifies that monies in the Fund are continuously appropriated.

10.  Requires the Director to annually allocate monies from the Fund to a qualified 501(c)(3) that meets all of the following requirements:

a)      was founded in 1917 by a resident of Arizona;

b)      has almost 1.5 million members worldwide;

c)      is the largest nongovernmental entity in the world;

d)      is the only nongovernmental entity with a presence at the United Nations;

e)      has a mission to learn, discover, act and celebrate; and

f)       focuses on vision, youth, disaster relief, humanitarian aid, diabetes, hunger, the environment and childhood cancer.

11.  Requires distributed monies to be used for the following purposes:

a)      summer camp programs for special needs children and adults;

b)      vision and hearing services;

c)      maintaining and operating the charitable organization's memorial and visitor center;

d)      community service projects; and

e)      senior care facilities.

12.  Requires the State Treasurer to invest and divest monies from the Fund on notice from the Director, with proceeds being credited to the Fund.

13.  Makes technical and conforming changes.

14.  Becomes effective October 1, 2019.

House Action

TRANS         2/20/19      DPA     4-3-0-0

3rd Read         3/04/19                    33-26-1

Prepared by Senate Research

March 11, 2019

ZD/gs