Bill Text: IA SF2364 | 2013-2014 | 85th General Assembly | Enrolled

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Bill Title: A bill for an act relating to state regulatory matters by exempting from sales tax the furnishing of certain environmental testing services, modifying the registration and regulation of motorsports recreational vehicles, recreational vehicle operators, and recreational vehicle cargo, and including fees, penalties, and effective date provisions. (Formerly SSB 3225.) Various effective dates; see section 3 of bill.

Spectrum: Committee Bill

Status: (Passed) 2014-05-30 - Signed by Governor. S.J. 931. [SF2364 Detail]

Download: Iowa-2013-SF2364-Enrolled.html

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Senate File 2364
AN ACT
RELATING TO STATE REGULATORY MATTERS BY EXEMPTING FROM
SALES TAX THE FURNISHING OF CERTAIN ENVIRONMENTAL TESTING
SERVICES, MODIFYING THE REGISTRATION AND REGULATION OF
MOTORSPORTS RECREATIONAL VEHICLES, RECREATIONAL VEHICLE
OPERATORS, AND RECREATIONAL VEHICLE CARGO, AND INCLUDING
FEES, PENALTIES, AND EFFECTIVE DATE PROVISIONS.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
DIVISION I
ENVIRONMENTAL TESTING SALES TAX EXEMPTION
Section 1. Section 423.2, subsection 6, paragraph a, Code
2014, is amended to read as follows:
a. The sales price of any of the following enumerated
services is subject to the tax imposed by subsection
5 : alteration and garment repair; armored car; vehicle repair;
battery, tire, and allied; investment counseling; service
charges of all financial institutions; barber and beauty;
boat repair; vehicle wash and wax; campgrounds; carpentry;
roof, shingle, and glass repair; dance schools and dance
studios; dating services; dry cleaning, pressing, dyeing, and
laundering; electrical and electronic repair and installation;
excavating and grading; farm implement repair of all kinds;
flying service; furniture, rug, carpet, and upholstery
repair and cleaning; fur storage and repair; golf and country
clubs and all commercial recreation; gun and camera repair;
house and building moving; household appliance, television,
and radio repair; janitorial and building maintenance or
cleaning; jewelry and watch repair; lawn care, landscaping,
and tree trimming and removal; limousine service, including
driver; machine operator; machine repair of all kinds; motor

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repair; motorcycle, scooter, and bicycle repair; oilers and
lubricators; office and business machine repair; painting,
papering, and interior decorating; parking facilities; pay
television; pet grooming; pipe fitting and plumbing; wood
preparation; executive search agencies; private employment
agencies, excluding services for placing a person in employment
where the principal place of employment of that person is to
be located outside of the state; reflexology; security and
detective services, excluding private security and detective
services furnished by a peace officer with the knowledge and
consent of the chief executive officer of the peace officer’s
law enforcement agency; sewage services for nonresidential
commercial operations; sewing and stitching; shoe repair
and shoeshine; sign construction and installation; storage
of household goods, mini-storage, and warehousing of raw
agricultural products; swimming pool cleaning and maintenance;
tanning beds or salons; taxidermy services; telephone
answering service; test laboratories, including mobile testing
laboratories and field testing by testing laboratories,
and excluding tests on humans or animals and excluding
environmental testing services ; termite, bug, roach, and
pest eradicators; tin and sheet metal repair; transportation
service consisting of the rental of recreational vehicles or
recreational boats, or the rental of motor vehicles subject
to registration which are registered for a gross weight of
thirteen tons or less for a period of sixty days or less, or
the rental of aircraft for a period of sixty days or less;
Turkish baths, massage, and reducing salons, excluding services
provided by massage therapists licensed under chapter 152C ;
water conditioning and softening; weighing; welding; well
drilling; wrapping, packing, and packaging of merchandise other
than processed meat, fish, fowl, and vegetables; wrecking
service; wrecker and towing.
Sec. 2. Section 423.3, Code 2014, is amended by adding the
following new subsection:
NEW SUBSECTION . 101. The sales price from the furnishing
of environmental testing services performed at a laboratory,
in the field, or by a mobile testing service. For purposes
of this subsection, “environmental testing” means the physical
or chemical analysis of soil, water, wastewater, air, or
solid waste performed in order to ascertain the presence of
environmental contamination or degradation.
Sec. 3. EFFECTIVE DATE. This division of this Act takes

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effect July 1, 2015.
DIVISION II
MOTORSPORTS RECREATIONAL VEHICLES
Sec. 4. Section 321.1, subsection 8, Code 2014, is amended
by adding the following new paragraph:
NEW PARAGRAPH . i. A person operating a motorsports
recreational vehicle is not a chauffeur.
Sec. 5. Section 321.1, subsection 36C, Code 2014, is amended
by adding the following new paragraph:
NEW PARAGRAPH . e. “Motorsports recreational vehicle” means
a modified motor vehicle used for the purpose of participating
in motorsports competitions and consisting of a conversion unit
mounted on a truck tractor or motor truck chassis such that the
motor vehicle can be used as a conveyance on the highway and as
a temporary or recreational dwelling. The motor vehicle must
have at least four of the permanently installed systems listed
in paragraph “d” , two of which shall be systems specified in
paragraph “d” , subparagraph (1), (4), or (5).
Sec. 6. Section 321.109, subsection 1, paragraph a, Code
2014, is amended to read as follows:
a. The annual fee for all motor vehicles including vehicles
designated by manufacturers as station wagons, 1993 and
subsequent model year multipurpose vehicles, and 2010 and
subsequent model year motor trucks with an unladen weight of
ten thousand pounds or less, except motor trucks registered
under section 321.122 , business-trade trucks, special trucks,
motor homes, motorsports recreational vehicles, ambulances,
hearses, motorcycles, motorized bicycles, and 1992 and older
model year multipurpose vehicles, shall be equal to one
percent of the value as fixed by the department plus forty
cents for each one hundred pounds or fraction thereof of
weight of vehicle, as fixed by the department. The weight
of a motor vehicle, fixed by the department for registration
purposes, shall include the weight of a battery, heater,
bumpers, spare tire, and wheel. Provided, however, that for
any new vehicle purchased in this state by a nonresident
for removal to the nonresident’s state of residence the
purchaser may make application to the county treasurer in
the county of purchase for a transit plate for which a fee
of ten dollars shall be paid. And provided, however, that
for any used vehicle held by a registered dealer and not
currently registered in this state, or for any vehicle held
by an individual and currently registered in this state,

Senate File 2364, p. 4
when purchased in this state by a nonresident for removal to
the nonresident’s state of residence, the purchaser may make
application to the county treasurer in the county of purchase
for a transit plate for which a fee of three dollars shall
be paid. The county treasurer shall issue a nontransferable
certificate of registration for which no refund shall be
allowed; and the transit plates shall be void thirty days
after issuance. Such purchaser may apply for a certificate
of title by surrendering the manufacturer’s or importer’s
certificate or certificate of title, duly assigned as provided
in this chapter . In this event, the treasurer in the county
of purchase shall, when satisfied with the genuineness and
regularity of the application, and upon payment of a fee of
twenty dollars, issue a certificate of title in the name and
address of the nonresident purchaser delivering the title
to the owner. If there is a security interest noted on the
title, the county treasurer shall mail to the secured party an
acknowledgment of the notation of the security interest. The
county treasurer shall not release a security interest that
has been noted on a title issued to a nonresident purchaser
as provided in this paragraph. The application requirements
of section 321.20 apply to a title issued as provided in this
subsection , except that a natural person who applies for a
certificate of title shall provide either the person’s social
security number, passport number, or driver’s license number,
whether the license was issued by this state, another state, or
another country. The provisions of this subsection relating to
multipurpose vehicles are effective for all 1993 and subsequent
model years. The annual registration fee for multipurpose
vehicles that are 1992 model years and older shall be in
accordance with section 321.124 .
Sec. 7. Section 321.124, Code 2014, is amended by adding the
following new subsection:
NEW SUBSECTION . 4. a. The annual registration fee
for a motorsports recreational vehicle is four hundred
dollars. For purposes of determining that portion of the
annual registration fee which is based upon the value of the
motorsports recreational vehicle, sixty percent of the annual
fee is attributable to the value of the vehicle. The owner of
a motor vehicle registered under this subsection shall certify
at the time of registration or renewal of registration that
the motor vehicle is used for the purpose of participating in
motorsports competition.

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b. If the department determines by audit or other means that
a person registered a vehicle as a motorsports recreational
vehicle that is not qualified for such registration, the person
shall be required to pay the difference between the regular
annual registration fees owed for the vehicle for each year the
vehicle was registered in violation of this section and the
fees actually paid.
c. If the department determines by audit or other
means that the person knowingly registered a vehicle as a
motorsports recreational vehicle that is not qualified for such
registration, the person shall be required to pay a penalty
for improper registration in the amount of seven hundred fifty
dollars for each registration year in which the vehicle was
registered in violation of this section, not to exceed two
thousand two hundred fifty dollars.
Sec. 8. Section 321.152, subsection 1, Code 2014, is amended
by adding the following new paragraph:
NEW PARAGRAPH . g. Twenty-five percent of each penalty
collected for improper motorsports recreational vehicle
registration under section 321.124, subsection 4.
Sec. 9. Section 321.284A, subsection 2, Code 2014, is
amended to read as follows:
2. This section does not apply to a passenger being
transported in a motor vehicle designed, maintained, or used
primarily for the transportation of persons for compensation,
or a passenger being transported in the living quarters of a
motor home, motorsports recreational vehicle, manufactured or
mobile home, travel trailer, or fifth-wheel travel trailer.
Sec. 10. Section 321.310, subsections 1 and 2, Code 2014,
are amended to read as follows:
1. A motor vehicle shall not tow a four-wheeled trailer with
a steering axle, or more than one trailer or semitrailer, or
both in combination. However, this section does not apply to
a motor home, motorsports recreational vehicle, multipurpose
vehicle, motor truck, truck tractor or road tractor nor to
a farm tractor towing a four-wheeled trailer, nor to a farm
tractor or motor vehicle towing implements of husbandry, nor to
a wagon box trailer used by a farmer in transporting produce,
farm products , or supplies hauled to and from market.
2. Any four-wheeled trailer towed by a truck tractor or road
tractor shall be registered under the semitrailer provisions
of section 321.123 , ; provided , however, that the provisions
of this section subsection shall not be applicable apply to

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motor vehicles drawing wagon box trailers used by a farmer
in transporting produce, farm products , or supplies hauled
to and from market , or to a four-wheeled trailer towed by a
motorsports recreational vehicle .
Sec. 11. Section 321.446, subsection 3, paragraph b, Code
2014, is amended to read as follows:
b. The transportation of children in 1965 model year or
older vehicles, authorized emergency vehicles, buses, or motor
homes, or motorsports recreational vehicles except when a child
is transported in a motor home’s or motorsports recreational
vehicle’s passenger seat situated directly to the driver’s
right.
Sec. 12. Section 321.450, Code 2014, is amended by adding
the following new subsection:
NEW SUBSECTION . 6. Notwithstanding other provisions of
this section, rules adopted under this section applicable to
the transportation of any fuel used in race car engines shall
not apply to the transportation of such fuel if the fuel is
contained in the fuel cells of a race car being transported in
a trailer and the fuel cells are certified by SFI foundation,
inc.
Sec. 13. Section 321.454, Code 2014, is amended to read as
follows:
321.454 Width of vehicles.
The total outside width of a vehicle or the load on
the vehicle shall not exceed eight feet six inches. This
limitation on the total outside width of a vehicle or the load
on the vehicle does not include safety equipment on a vehicle
or incidental appurtenances or retracted awnings on motor
homes, motorsports recreational vehicles, travel trailers, or
fifth-wheel travel trailers if the incidental appurtenance or
retracted awning is less than six inches in width. However,
if hay, straw, or stover is moved on an implement of husbandry
and the total width of load of the implement of husbandry
exceeds eight feet six inches, the implement of husbandry is
not subject to the permit requirements of chapter 321E . If
hay, straw, or stover is moved on any other vehicle subject to
registration, the moves are subject to the permit requirements
for transporting loads exceeding eight feet six inches in width
as required under chapter 321E .
Sec. 14. Section 321.457, subsection 2, paragraph j, Code
2014, is amended to read as follows:
j. A motor home or motorsports recreational vehicle shall

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not have an overall length, excluding front and rear bumpers
and safety equipment, in excess of forty-five feet.
Sec. 15. Section 321.457, subsection 2, Code 2014, is
amended by adding the following new paragraph:
NEW PARAGRAPH . o. Notwithstanding any other provision of
this chapter, and to the extent allowed under federal law, a
combination of two vehicles coupled together, one of which is
a motorsports recreational vehicle, shall not have an overall
length in excess of eighty-five feet.
Sec. 16. Section 322.2, subsection 11, Code 2014, is amended
to read as follows:
11. “Manufacturer” means any person engaged in the business
of fabricating or assembling motor vehicles. “Manufacturer”
does not include a person who converts, modifies, or alters a
completed motor vehicle manufactured by another person or a
person who assembles a glider kit vehicle as defined in section
321.1 . “Manufacturer” includes a person who uses a completed
motor vehicle manufactured by another person to construct
a class “B” motor home as defined in section 321.124 or a
motorsports recreational vehicle as defined in section 321.1 .
______________________________
PAM JOCHUM
President of the Senate
______________________________
KRAIG PAULSEN
Speaker of the House
I hereby certify that this bill originated in the Senate and
is known as Senate File 2364, Eighty-fifth General Assembly.
______________________________
MICHAEL E. MARSHALL
Secretary of the Senate
Approved _______________, 2014
______________________________
TERRY E. BRANSTAD
Governor