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SPONSOR: |
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DATE TYPED: |
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HB |
211/aHTC |
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SHORT TITLE: |
Off-Highway Motor Vehicle Requirements |
SB |
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ANALYST: |
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APPROPRIATION
Appropriation
Contained |
Estimated
Additional Impact |
Recurring or
Non-Rec |
Fund Affected |
||
FY03 |
FY04 |
FY03 |
FY04 |
|
|
|
|
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$7.8 |
Recurring |
OSF |
REVENUE
Estimated Revenue |
Subsequent Years Impact |
Recurring or
Non-Rec |
Fund Affected |
|
FY03 |
FY04 |
|
|
|
|
|
$2.4 |
Recurring |
New
Off-Highway Motor Vehicle Fund |
|
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($2.4) |
Recurring |
Motor
Vehicle Suspense Fund |
(Parenthesis ( ) Indicate Revenue Decreases)
Responses
Received From
Taxation
and Revenue Department (TRD)
SUMMARY
Synopsis
of HTC Amendment
The House Transportation Committee amendment
increases the cost of duplicate certificates of registration from $1 to $5 and
allows TRD to issue an off-highway motor vehicle a registration plate or
a validation sticker.
In addition, the HTC amendment gives the State
Parks Division of the Energy and Natural Resources Department the
responsibility of administering the “off-highway motor vehicle fund”.
Synopsis
of Original Bill
House Bill 211 exempts
out-of-state off-highway motor vehicles from registration requirements if the
vehicle is brought into the state as a result of an organized competition in an
off-highway location that has received money from the off-highway motor vehicle
fund.
If these out-of-state
off-highway motor vehicles are used in a different location, they must either
be registered in another state or temporarily registered through the
department.
HB 211requires the use of helmets for
those under the age of eighteen.
Significant
Issues
Persons under eighteen should be required to
protect themselves when riding off-highway vehicles.
FISCAL IMPLICATIONS
The off-highway motor
vehicle fund is created. Money in the
fund is directed to be used for off-highway motor vehicle safety, improving
off-highway riding locations and to close off-highway riding locations that are
dangerous to riders and damaging to the environment.
Registration fees from
off-highway motor vehicles collected under HB 211shall be deposited in the
off-highway motor vehicle fund. Currently this money is being deposited into
the Motor Vehicle Division (MVD) suspense fund and being deposited according to
an existing formula to various state and local road funds. The fiscal impact is estimated at $2.4
annually.
MVD registration statistics indicate that, as of
2001, there were 356 vehicles that were registered as off-highway. If one assumes no more than about 5% growth
in the total number of off-highway registrations each year, that would mean up
to 20 additional registrations in the first year. Since each registration must be renewed every
three years to remain valid, approximately 1/3 of 412 (estimate for 2004) will
pay $15 each year. The new registrations
will also pay $15 each year.
HB 211 adds off-highway motor vehicles with
engines less than 100cc will be issued a one-time registration at the time of
title transfer. Depending on the number
of vehicles that would qualify as having an engine size of 100cc or less, this
would reduce the above estimate because of the decrease in recurring renewal
fees.
Also, there is the potential of additional
revenue from out-of-state off-highway vehicle temporary registration. This amount would most likely be
insignificant.
ADMINISTRATIVE IMPLICATIONS
HB 211 requires the on-line field office manual to be updated and clerks trained to examine the engine size. Reprogramming would have to be done to distinguish between off-highway vehicle engines that are over/under 100ccs. This would also affect all re-registration systems and associated renewal notice programming. TRD estimates the systems related expense for this bill will be approximately $7,800.
HB 211 will require TRD to rewrite TRD Regulation 18.19.3.13, which is concerned with how to attach a registration plate to an off-highway motor vehicle. This will have to be amended to allow for “attaching a validating sticker” as an alternative approach.
TECHNICAL
ISSUES
TRD provided the following:
The material in Section 2(D) should be added to
Section 66-3-1005, where exemptions to the off-highway motor vehicles are
listed. HB 211 will require MVD to
create a temporary registration process for off-highway vehicles from out of
state. Fees and time limits would need
to be set for this temporary registration.
HB 211adds new material regarding the use
of helmets for those under the age of eighteen. There is, however, no language specifying
what the penalty would be for violation of this requirement.
There is a misspelling on page 4, line 14. The word “existing” should be “exiting”.
One minor addition for clarity should be made in
66-3-1018 (A), line 8. The intent
appears to be to create a separate fund that does not revert to the general
fund, but the language used is “…shall not revert”. Better language would be “…shall not revert
to the general fund.”
DW/yr/njw