Bill Text: IA HF93 | 2015-2016 | 86th General Assembly | Introduced
Bill Title: A bill for an act providing for special vehicle registration plates displaying a decal designed and issued by a nonprofit organization, providing fees, making a penalty applicable, and including effective date provisions. (See Cmte. Bill HF 245) (See Cmte. Bill HF 617)
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2015-04-15 - Withdrawn. H.J. 850. [HF93 Detail]
Download: Iowa-2015-HF93-Introduced.html
House File 93 - Introduced HOUSE FILE BY BYRNES A BILL FOR 1 An Act providing for special vehicle registration plates 2 displaying a decal designed and issued by a nonprofit 3 organization, providing fees, making a penalty applicable, 4 and including effective date provisions. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 1775YH (5) 86 ns/nh PAG LIN 1 1 Section 1. Section 321.34, subsection 13, Code 2015, is 1 2 amended by striking the subsection and inserting in lieu 1 3 thereof the following: 1 4 13. Special plates displaying organization decal. 1 5 a. (1) The owner of a motor vehicle subject to registration 1 6 pursuant to section 321.109, subsection 1, motor truck, motor 1 7 home, multipurpose vehicle, motorcycle, trailer, or travel 1 8 trailer may upon request be issued special registration 1 9 plates that contain a space reserved for the placement of an 1 10 organization decal. If the special plates are requested at the 1 11 time of initial application for registration and certificate 1 12 of title for the vehicle, no special plate fee is required 1 13 other than the regular annual registration fee for the vehicle. 1 14 If the special plates are requested as replacement plates, 1 15 the owner shall surrender the current regular or special 1 16 registration plates in exchange for the special plates and 1 17 shall pay a replacement plate fee of five dollars. The county 1 18 treasurer shall validate special plates with an organization 1 19 decal in the same manner as regular plates, upon payment of the 1 20 annual registration fee. 1 21 (2) An applicant may obtain a personalized special 1 22 registration plate with space reserved for an organization 1 23 decal, subject to the additional fees for a personalized plate 1 24 as provided in subsection 5. Personalized plates with space 1 25 reserved for an organization decal shall be limited to no more 1 26 than five initials, letters, or combinations of numerals and 1 27 letters. 1 28 b. (1) An organization may apply to the department 1 29 for approval to issue a decal to be displayed on vehicle 1 30 registration plates. To qualify for such approval, an 1 31 organization must have at least two hundred members in this 1 32 state and shall meet the following requirements: 1 33 (a) The primary activity or interest of the organization 1 34 serves the community, contributes to the welfare of others, 1 35 and is not discriminatory in its purpose, nature, activity, or 2 1 name. 2 2 (b) The name and purpose of the organization do not promote 2 3 any specific product or brand name that is provided for sale. 2 4 (c) The organization is a nonprofit corporation which is 2 5 exempt from taxation under section 501(c)(3) of the Internal 2 6 Revenue Code and is organized under the laws of this state or 2 7 authorized to do business within this state. 2 8 (2) The department may accept an application for a decal 2 9 design from a group of nonprofit organizations with a common 2 10 purpose, provided that each organization within the group meets 2 11 the requirements for a qualifying organization established by 2 12 the department under this subsection. 2 13 c. An organization desiring to issue a decal shall submit an 2 14 application to the department on a form to be provided by the 2 15 department. Along with the application, the organization shall 2 16 furnish to the department all of the following: 2 17 (1) A copy of the articles of incorporation for the 2 18 organization. 2 19 (2) A copy of the charter or by=laws for the organization. 2 20 (3) Any Internal Revenue Service rulings concerning the 2 21 organization's nonprofit tax exemption status. 2 22 (4) A color copy of the completed decal design. 2 23 (5) A clear and concise explanation of the purpose of the 2 24 decal, all eligibility requirements for purchasing the decal, 2 25 and fees to be charged for the decal. 2 26 (6) Certification by the person who has legal rights to the 2 27 decal design allowing use of the design. 2 28 (7) Any other information required by the department. 2 29 d. The department shall consider a proposed decal design 2 30 based upon criteria established by the department, which shall 2 31 include but not be limited to the following: 2 32 (1) A decal shall not promote a specific religion, faith, or 2 33 anti=religious sentiment. 2 34 (2) A decal shall not have any sexual connotation and shall 2 35 not be vulgar, prejudiced, hostile, insulting, or racially or 3 1 ethnically degrading. 3 2 e. Upon approval by the department of an organization's 3 3 application to issue a decal and approval of the design of the 3 4 decal, the organization is responsible for the production, 3 5 administration, and issuance of the decal. An organization 3 6 shall not issue a decal that has not been approved by the 3 7 department or alter the approved design of a decal without the 3 8 department's approval. 3 9 f. A person shall not display a decal on a vehicle 3 10 registration plate other than a decal approved by the 3 11 department. 3 12 g. The department may adopt rules pursuant to chapter 17A as 3 13 necessary to implement this subsection. 3 14 Sec. 2. Section 321.166, subsection 9, Code 2015, is amended 3 15 to read as follows: 3 16 9. Special registration plates issued pursuant to section 3 17 321.34, other than gold star, medal of honor, collegiate, fire 3 18 fighter, and natural resources registration plates, shall be 3 19 consistent with the design and color of regular registration 3 20 plates but shall provide a space on a portion of the plate 3 21 for the purpose of allowing the placement of a distinguishing 3 22 processed emblem or an organization decal. Special 3 23 registration plates shall also comply with the requirements 3 24 for regular registration plates as provided in this section to 3 25 the extent the requirements are consistent with the section 3 26 authorizing a particular special vehicle registration plate. 3 27 Sec. 3. EFFECTIVE DATE. This Act takes effect January 1, 3 28 2016. 3 29 EXPLANATION 3 30 The inclusion of this explanation does not constitute agreement with 3 31 the explanation's substance by the members of the general assembly. 3 32 This bill provides for the issuance of special vehicle 3 33 registration plates containing a space for the placement of 3 34 an organization decal and provides a process for the approval 3 35 of registration plate decals to be issued by qualifying 4 1 organizations. 4 2 Under current law, anyone may submit a request to the 4 3 department of transportation for approval of a new special 4 4 registration plate with a processed emblem. If the department 4 5 approves the request and the design of the proposed emblem, 4 6 a minimum of 500 paid applications are required before the 4 7 department begins issuing the plate. The department may cancel 4 8 its approval if sufficient applications are not received within 4 9 one year. A vehicle owner is charged a fee of $25 for the 4 10 issuance of the special plates, and an annual $5 validation 4 11 fee for renewal. Those fees are deposited in the road use 4 12 tax fund. An alternative process allows for a state agency 4 13 to sponsor a special registration plate, with fees of $35 for 4 14 issuance and $10 for renewal. Those fees are credited to the 4 15 sponsoring state agency. 4 16 The bill eliminates the current process for a person to 4 17 request a new special plate and eliminates state agency 4 18 sponsorship of new special plates. Under the bill, the 4 19 department will begin issuing special registration plates with 4 20 a space reserved for placement of an organization decal to be 4 21 designed, produced, and issued by a qualifying organization, 4 22 rather than the department. The plates will be available 4 23 without an additional special plate fee at the time of initial 4 24 registration of a vehicle, and will be renewed annually upon 4 25 payment of the regular annual registration fee for the vehicle. 4 26 A $5 replacement fee applies if the plates are issued in 4 27 exchange for regular or special plates. The new plates will 4 28 also be available as personalized plates upon payment of 4 29 personalized plate fees. 4 30 A qualifying organization must be a nonprofit corporation 4 31 with at least 200 members, whose primary activity or interest 4 32 serves the community, contributes to the welfare of others, and 4 33 is not discriminatory. A group of such organizations with a 4 34 common purpose may also be approved to issue a decal. The bill 4 35 specifies that organizations that promote a specific product 5 1 or brand name are not eligible to issue organization decals. 5 2 An organization desiring to issue a decal must apply to the 5 3 department for approval by submitting information concerning 5 4 its nonprofit corporation identity along with a copy of the 5 5 proposed decal design, certification of legal rights to use 5 6 the design, and an explanation of the purpose of the decal, 5 7 eligibility requirements, and fees the organization will charge 5 8 for the decal. The department may establish criteria for decal 5 9 designs, including that a decal shall not promote a specific 5 10 religion, faith, or anti=religious sentiment, shall not have 5 11 any sexual connotation, and shall not be vulgar, prejudiced, 5 12 hostile, insulting, or racially or ethnically degrading. If 5 13 the department approves the application, the organization is 5 14 responsible for the production, administration, and issuance 5 15 of the decal, and any fees charged by the organization for the 5 16 decals will be retained by the organization. 5 17 The bill prohibits any organization from issuing a decal 5 18 without the approval of the department. The bill also 5 19 prohibits a person from displaying a decal other than an 5 20 approved decal on a vehicle registration plate. Pursuant to 5 21 current law, a person who violates Code provisions relating 5 22 to vehicle registration plates commits a simple misdemeanor 5 23 punishable by a scheduled fine of $20. 5 24 The bill takes effect January 1, 2016. LSB 1775YH (5) 86 ns/nh
