HOUSE BUSINESS AND INDUSTRY COMMITTEE SUBSTITUTE FOR

HOUSE BILL 512

53rd legislature - STATE OF NEW MEXICO - first session, 2017

AN ACT

RELATING TO THE PUBLIC PEACE, HEALTH, SAFETY AND WELFARE; PROVIDING THAT A PARK MODEL RECREATIONAL VEHICLE SHALL BE TREATED THE SAME AS A MANUFACTURED HOME FOR PURPOSES OF THE MOTOR VEHICLE EXCISE TAX ACT, THE PROPERTY TAX CODE AND THE MOTOR VEHICLE CODE.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. Section 7-14-2 NMSA 1978 (being Laws 1988, Chapter 73, Section 12) is amended to read:

     "7-14-2. DEFINITIONS.--As used in the Motor Vehicle Excise Tax Act:

          A. "department" means the taxation and revenue department, the secretary of taxation and revenue or an employee of that department exercising authority lawfully delegated to that employee by the secretary;

          B. "manufactured home" means a structure that exceeds either a width of eight feet or a length of thirty-two feet, when equipped for the road;

          C. "motor vehicle" means every vehicle [which] that is self-propelled and every vehicle [which] that is propelled by electric power obtained from batteries or from overhead trolley wires but not operated upon rails;

          D. "park model recreational vehicle" means "park model recreational vehicle" as that term is defined in the Motor Vehicle Code;

          [D.] E. "person" means any individual, estate, trust, receiver, cooperative association, club, corporation, company, firm, partnership, joint venture or syndicate; "person" also means, to the extent permitted by law, any federal, state or other governmental unit or subdivision or an agency, department or instrumentality thereof;

          [E.] F. "secretary" means the secretary of taxation and revenue or the secretary's delegate;

          [F.] G. "tax" means the motor vehicle excise tax imposed under the Motor Vehicle Excise Tax Act; and

          [G.] H. "vehicle" means every device in, upon or by which any person or property is or may be transported or drawn upon a highway, including any frame, chassis or body of any vehicle or motor vehicle, except devices moved by human power or used exclusively upon stationary rails or tracks."

     SECTION 2. Section 7-14-3 NMSA 1978 (being Laws 1988, Chapter 73, Section 13, as amended) is amended to read:

     "7-14-3. IMPOSITION OF MOTOR VEHICLE EXCISE TAX.--An excise tax, subject to the credit provided by Section 7-14-7.1 NMSA 1978, is imposed upon the sale in this state of every vehicle, except as otherwise provided in Section 7-14-7.1 NMSA 1978, park model recreational vehicles and manufactured homes, required under the Motor Vehicle Code to be registered in this state. To prevent evasion of the excise tax imposed by the Motor Vehicle Excise Tax Act and the duty to collect it, it is presumed that the issuance of every original and subsequent certificate of title for vehicles of a type required to be registered under the provisions of the Motor Vehicle Code constitutes a sale for tax purposes, unless specifically exempted by the Motor Vehicle Excise Tax Act or unless there is shown proof satisfactory to the department that the vehicle for which the certificate of title is sought came into the possession of the applicant as a voluntary transfer without consideration or as a transfer by operation of law. The excise tax imposed by this section shall be known as the "motor vehicle excise tax"."

     SECTION 3. Section 7-35-2 NMSA 1978 (being Laws 1973, Chapter 258, Section 2, as amended by Laws 1994, Chapter 9, Section 1 and by Laws 1994, Chapter 9, Section 2) is amended to read:

     "7-35-2. DEFINITIONS.--As used in the Property Tax Code:

          A. "department" or "division" means the taxation and revenue department, the secretary of taxation and revenue or any employee of the department exercising authority lawfully delegated to that employee by the secretary;

          B. "director" means the secretary;

          C. "livestock" means cattle, buffalo, horses, mules, sheep, goats, swine, ratites and other domestic animals useful to man;

          D. "manufactured home" means a manufactured home as that term is defined in Section 66-1-4.11 NMSA 1978;

          E. "net taxable value" means the value of property upon which the tax is imposed and is determined by deducting from taxable value the amount of any exemption authorized by the Property Tax Code;

          F. "nonresidential property" means property that is not residential property;

          G. "owner" means the person in whom is vested any title to property;

          H. "park model recreational vehicle" means "park model recreational vehicle" as that term is defined in the Motor Vehicle Code;

          [H.] I. "person" means an individual or any other legal entity;

          [I.] J. "property" means tangible property, real or personal;

          [J.] K. "residential property" means property consisting of one or more dwellings together with appurtenant structures, the land underlying both the dwellings and the appurtenant structures and a quantity of land reasonably necessary for parking and other uses that facilitate the use of the dwellings and appurtenant structures. As used in this subsection, "dwellings" includes [both] manufactured homes, park model recreational vehicles and other structures when used primarily for permanent human habitation, but the term does not include structures when used primarily for temporary or transient human habitation such as hotels, motels and similar structures;

          [K.] L. "secretary" means the secretary of taxation and revenue and, except for purposes of Section 7-35-6 NMSA 1978 and Paragraphs (1) and (2) of Subsection B of Section [7-38-90] 9-11-6.2 NMSA 1978, also includes the deputy secretary or a division director or deputy division director delegated by the secretary;

          [L.] M. "tax" means the property tax imposed under the Property Tax Code;

          [M.] N. "taxable value" means the value of property determined by applying the tax ratio to the value of the property determined for property taxation purposes;

          [N.] O. "tax rate" means the rate of the tax expressed in terms of dollars per thousand dollars of net taxable value of property;

          [O.] P. "tax ratio" means the percentage established under the Property Tax Code that is applied to the value of property determined for property taxation purposes in order to derive taxable value; and

          [P.] Q. "tax year" means the calendar year."

     SECTION 4. Section 7-36-8 NMSA 1978 (being Laws 1973, Chapter 373, Section 1, as amended) is amended to read:

     "7-36-8. TANGIBLE PERSONAL PROPERTY EXEMPT FROM PROPERTY TAX--EXCEPTIONS.--

          A. Except as provided in Subsection B of this section, tangible personal property owned by a person is exempt from property taxation.

          B. The following tangible personal property owned by a person is subject to valuation and taxation under the Property Tax Code:

                (1) livestock;

                (2) manufactured homes;

                (3) park model recreational vehicles;

                [(3)] (4) aircraft not registered under the Aircraft Registration Act;

                [(4)] (5) private railroad cars, the earnings of which are not taxed under the provisions of the Railroad Car Company Tax Act;

                [(5)] (6) tangible personal property subject to valuation under Sections 7-36-22 through 7-36-25 and 7-36-27 through 7-36-32 NMSA 1978;

                [(6)] (7) vehicles not registered under the provisions of the Motor Vehicle Code and for which the owner has claimed a deduction for depreciation for federal income tax purposes during any federal income taxable year occurring in whole or in part during the twelve months immediately preceding the first day of the property tax year; and

                [(7)] (8) other tangible personal property not specified in Paragraphs (1) through [(6)] (7) of this subsection:

                     (a) that is used, produced, manufactured, held for sale, leased or maintained by a person for purposes of the person's profession, business or occupation; and

                     (b) for which the owner has claimed a deduction for depreciation for federal income tax purposes during any federal income taxable year occurring in whole or in part during the twelve months immediately preceding the first day of the property tax year."

     SECTION 5. Section 7-36-15 NMSA 1978 (being Laws 1975, Chapter 165, Section 2, as amended) is amended to read:

     "7-36-15. METHODS OF VALUATION FOR PROPERTY TAXATION PURPOSES--GENERAL PROVISIONS.--

          A. Property subject to valuation for property taxation purposes under this article of the Property Tax Code shall be valued by the methods required by this article of the Property Tax Code whether the determination of value is made by the department or the county assessor. The same or similar methods of valuation shall be used for valuation of the same or similar kinds of property for property taxation purposes.

          B. Unless a method or methods of valuation are authorized in Sections 7-36-20 through 7-36-33 NMSA 1978, the value of property for property taxation purposes shall be its market value as determined by application of the sales of comparable property, income or cost methods of valuation or any combination of these methods. In using any of the methods of valuation authorized by this subsection, the valuation authority:

                (1) shall apply generally accepted appraisal techniques; and

                (2) in determining the market value of residential housing, shall consider any decrease in the value that would be realized by the owner in a sale of the property because of the effects of any affordable housing subsidy, covenant or encumbrance imposed pursuant to a federal, state or local affordable housing program that restricts the future use of the property or the resale price of the property or would otherwise prohibit the owner from fully [benefitting] benefiting from any enhanced value of the property. As used in this paragraph:

                     (a) "subsidy, covenant or encumbrance imposed pursuant to a federal, state or local affordable housing program" includes those imposed by a nonprofit entity approved by a governmental entity as a qualifying grantee pursuant to the Affordable Housing Act; and

                     (b) "residential housing" means any building, structure or portion thereof that is primarily occupied, or designed or intended primarily for occupancy, as a residence by one or more households and any real property that is offered for sale or lease for the construction or location thereon of such a building, structure or portion thereof. "Residential housing" includes congregate housing, manufactured homes, park model recreational vehicles, housing intended to provide or providing transitional or temporary housing for homeless persons and common health care, kitchen, dining, recreational and other facilities primarily for use by residents of a residential housing project.

          C. Dams, reservoirs, tanks, canals, irrigation wells, installed irrigation pumps, stock-watering wells and pumps, similar structures and equipment used for irrigation or stock-watering purposes, water rights and private roads shall not be valued separately from the land they serve. The foregoing improvements and rights shall be considered as appurtenances to the land they serve, and their value shall be included in the determination of value of the land.

          D. The department shall adopt regulations to implement the methods of valuation authorized in this article of the Property Tax Code."

     SECTION 6. Section 7-36-26 NMSA 1978 (being Laws 1973, Chapter 258, Section 27, as amended) is amended to read:

     "7-36-26. SPECIAL METHOD OF VALUATION--MANUFACTURED HOMES--PARK MODEL RECREATIONAL VEHICLES.--

          A. The owner of a manufactured home or park model recreational vehicle subject to valuation for property taxation purposes shall report the [manufactured] home or vehicle annually for valuation to the county assessor of the county in which the [manufactured] home or vehicle is located on January 1. The report shall be in a form and contain the information required by department regulation and shall be made no later than the last day of February of the tax year in which the property is subject to valuation.

          B. The valuation method used for determining the value of manufactured homes or park model recreational vehicles for property taxation purposes shall be a cost method applying generally accepted appraisal techniques and shall generally provide for:

                (1) the determination of initial cost of a manufactured home or park model recreational vehicle based upon classifications of manufactured homes or park model recreational vehicles and sales prices for the various classifications;

                (2) deductions from initial cost for allowable depreciation, which allowances for depreciation shall be developed by the [division] department; and

                (3) deduction from initial cost of other justifiable factors, including [but not limited to] functional and economic obsolescence.

          C. Whether or not the presence of a manufactured home or park model recreational vehicle is declared and reported by the owner to a county assessor as required by this section, the county assessor shall determine the value for property taxation purposes of each [manufactured] home or vehicle located in the county and subject to valuation. County assessors shall use the information required to be furnished them under Sections 66-6-10 and 66-7-413 NMSA 1978 to [assure] ensure that accurate records of locations of [manufactured] the homes and vehicles are maintained.

          D. Any person who intentionally refuses to make a report required [of him] under this section or who knowingly makes a false statement in a report required under this section is guilty of a misdemeanor and shall be punished by the imposition of a fine of not more than one thousand dollars ($1,000).

          E. Any person who fails to make a report required [of him] under this section is liable for a civil penalty in an amount equal to five percent of the property taxes ultimately determined to be due on the property for the tax year or years for which [he] the person failed to make the required report.

          F. Any person who intentionally refuses to make a report required [of him] under this section with the intent to evade any tax or who fails to make a report required [of him] under this section with the intent to evade any tax is liable for a civil penalty in an amount equal to twenty-five percent of the property taxes ultimately determined to be due on the property for the tax year or years for which [he] the person refused or failed to make the required report.

          G. The civil penalties authorized under Subsections E and F of this section shall be imposed and collected at the time and in the manner that the tax is imposed and collected. In order to assist in the imposition and collection of the penalties, the assessor having responsibility for determining the value of the property shall make an entry in the valuation records indicating the liability for any penalties due under this section."

     SECTION 7. Section 7-38-8 NMSA 1978 (being Laws 1973, Chapter 258, Section 48, as amended) is amended to read:

     "7-38-8. REPORTING OF PROPERTY FOR VALUATION--PENALTIES FOR FAILURE TO REPORT.--

          A. All property subject to valuation for property taxation purposes by the department shall be reported annually to the department. The report required by this subsection shall be made by the owner of the property or such other person as may be authorized by rules of the department. The report shall be in a form and contain the information required by rules of the department. It shall be made not later than the last day of February in the tax year in which the property is subject to valuation. Claims of economic obsolescence or functional obsolescence on properties not regulated by the federal government shall be made at the time the annual report is filed; however, the department shall accept supplements to the annual report containing claims of economic obsolescence or functional obsolescence on properties regulated by the federal energy regulatory commission or its successor agency at the time the annual commission report becomes available, but no later than April 15 of the tax year or at a later time allowed by an extension granted by the department. In the case of the failure or refusal to file the report required under this subsection, the department shall determine the value of the property subject to valuation from the best information available.

          B. Except as provided in Subsection D of this section, all property subject to valuation for property taxation purposes by the county assessor shall be reported as follows:

                (1) property valued in the 1974 tax year by the county assessor need not be reported for any subsequent tax year unless required to be reported under Paragraph (3) of this subsection;

                (2) property not valued in the 1974 tax year by the county assessor but that becomes subject to valuation by the county assessor in any subsequent tax year shall be reported to the county assessor not later than the last day of February of the tax year in which it becomes subject to valuation, but such property need not be reported for any year subsequent to the year in which initially reported unless required to be reported under Paragraph (3) of this subsection;

                (3) property once valued by a county assessor in a tax year, but [which] that is not valued for a year subsequent to the year of initial valuation because it is not subject to valuation for that subsequent year by the county assessor, shall be reported to the county assessor not later than the last day of February in a tax year in which it again becomes subject to valuation by the county assessor; and

                (4) reports required under Paragraphs (2) and (3) of this subsection shall be in a form and contain the information required by rules of the department.

          C. Not later than the last day of February of each tax year, every owner of real property who made, or caused to be made, in the preceding calendar year improvements costing more than ten thousand dollars ($10,000) to that real property shall report to the county assessor the property improved, the improvements made, the cost of the improvements and such other information as the department may require.

          D. Manufactured homes, park model recreational vehicles, livestock and land used for agricultural purposes shall be reported for valuation for property taxation purposes to the county assessor at the times and in the manner prescribed under Sections 7-36-26, 7-36-21 and 7-36-20 NMSA 1978 and rules promulgated by the department.

          E. Property subject to valuation by the county assessor for property taxation purposes and improvements to such property that are required to be reported under Subsection C of this section shall be reported to the county assessor of the county in which the property is required to be valued under Section 7-36-14 NMSA 1978. Reports shall be made either by the owner of the property, the owner's authorized agent or any person having control or management of the property and shall be in a form and contain the information required by rules of the department.

          F. Reports required by this section shall be made by the declarant under oath, and the secretary, employees of the department, the assessor and the assessor's employees are empowered to administer oaths for this purpose.

          G. A person who intentionally refuses to make a report required under the provisions of Subsection A, B or C of this section or who knowingly makes a false statement in a report required under the provisions of Subsection A, B or C of this section is guilty of a misdemeanor and upon conviction shall be punished by the imposition of a fine of not more than one thousand dollars ($1,000).

          H. A person who fails to make a report required under the provisions of Subsection A or B of this section is liable for a civil penalty in an amount equal to five percent of the property taxes ultimately determined to be due on the property for the tax year or years for which the person failed to make the required report.

          I. A person who intentionally refuses to make a report required under the provisions of Subsection A or B of this section with the intent to evade any tax or who fails to make a report required under the provisions of Subsection A or B of this section with the intent to evade any tax is liable for a civil penalty in an amount equal to twenty-five percent of the property taxes ultimately determined to be due on the property for the tax year or years for which the person refused or failed to make the required report.

          J. A person who is required to make a report under the provisions of Subsection C of this section and who fails to do so is personally liable for a civil penalty in an amount equal to the greater of twenty-five dollars ($25.00) or twenty-five percent of the difference between the property taxes ultimately determined to be due and the property taxes originally paid for the tax year or years for which the person failed to make the required report. This penalty shall not be considered a delinquent property tax, and the provisions of the Property Tax Code for the enforcement and collection of delinquent property taxes through the sale of the property do not apply. However, the county treasurer may use all other methods provided by law to collect the property tax or penalty due. Notwithstanding any other provision of the Property Tax Code, amounts collected pursuant to the penalty provided by this subsection shall be distributed among jurisdictions imposing tax on the property in the same proportion as the amount of tax ultimately determined to be due for the jurisdiction bears to the total due for all such jurisdictions.

          K. The civil penalties authorized under Subsections H and I of this section shall be imposed and collected at the time and in the manner that the tax is imposed and collected. In order to assist in the imposition and collection of the penalties, the persons having responsibility for determining the value of the property shall make an entry in the valuation records indicating the liability for any penalties due under this section.

          L. For the purposes of this section:

                (1) "improvement" means the construction of any new structure permanently affixed to the land or the repair, rehabilitation or alteration of an existing structure permanently affixed to the land that, for property used for any commercial purpose, is required or allowed to be capitalized under the Internal Revenue Code and, for other properties, any similar construction, repair, rehabilitation or alteration; and

                (2) "owner of real property" includes every owner of improvements who does not own the land upon which the improvements are made."

     SECTION 8. Section 7-38-52 NMSA 1978 (being Laws 1973, Chapter 258, Section 92, as amended) is amended to read:

     "7-38-52. NOTIFICATION TO MOTOR VEHICLE DIVISION OF UNPAID PROPERTY TAXES ON MANUFACTURED HOMES--PARK MODEL RECREATIONAL VEHICLES--NOTICE OF FILING CONSTITUTES LIEN ON VEHICLE.--

          A. In the preparation of the tax delinquency notices, the county treasurer shall ascertain [those] which persons [who] have failed to pay taxes on manufactured homes or park model recreational vehicles.

          B. In addition to the information required under Section 7-38-51 NMSA 1978, delinquency notices sent to the persons determined under Subsection A of this section shall include the location and vehicle identification number of the manufactured home or park model recreational vehicle.

          C. A copy of the delinquency notice of unpaid taxes on a manufactured home or park model recreational vehicle shall be sent to the motor vehicle division of the department. Upon receipt and filing of the notice by the motor vehicle division, the unpaid taxes, penalty and interest constitute a security interest in and a lien on the vehicle in accordance with Section 66-3-204 NMSA 1978. The delinquency notice sent to the owner of the [manufactured] home or vehicle shall notify the owner of the mailing of the copy of the notification to the motor vehicle division and of the legal effect of the filing of the notice by that division.

          D. When the delinquent taxes, penalty and interest are fully paid, the county treasurer shall certify the fact of payment and shall prepare a notification of certified payment. The original notification shall be sent to the motor vehicle division of the department, and a copy shall be sent to the owner of the manufactured home or park model recreational vehicle.

          E. The lien provided for in this section is in addition to any other remedy available to the state for the collection of delinquent property taxes."

     SECTION 9. Section 7-38-68 NMSA 1978 (being Laws 1973, Chapter 258, Section 108, as amended) is amended to read:

     "7-38-68. INSTALLMENT AGREEMENTS.--

          A. The [division] department may enter into an installment agreement for the payment of all delinquent property taxes, penalties, interest and costs due with respect to [either] real property or a manufactured home or park model recreational vehicle with the owner of the real property, [or] manufactured home or park model recreational vehicle whose taxes have become delinquent and whose account for all or part of the delinquent taxes has been transferred for collection to the [division] department. Execution of an installment agreement under this section by a property owner is an irrevocable admission of liability for all taxes that are the subject of the agreement. The installment agreement shall be in writing and shall not extend for a period of more than thirty-six months. Interest shall accrue on the unpaid balance during the period of the installment agreement. The rate of interest shall be one percent a month, and no other interest on that portion of the principal representing unpaid taxes shall accrue while an installment agreement is in effect. The [division] department shall not enter into an installment agreement with a property owner on or after the date of the initial sale of real property or manufactured home or park model recreational vehicle for delinquent taxes whether or not the real property, [or] manufactured home or park model recreational vehicle is sold and a deed issued as a result of that sale. The [division] department shall promulgate regulations establishing requirements for a minimum down payment and substantially equal monthly payments for installment agreements.

          B. An installment agreement prevents any further action to collect the delinquent taxes stated in the agreement as long as the terms of the agreement are met.

          C. The [division] department may proceed under the Property Tax Code to collect the property taxes, penalties, interest and costs due and unpaid if:

                (1) installment payments are not made on or before the dates specified in the agreement;

                (2) the property owner fails to pay other property taxes when required; or

                (3) any other condition contained in the agreement is not met.

          D. For the purpose of computing the time when real property or a manufactured home or park model recreational vehicle may be sold for delinquent taxes, the date of original delinquency shall be used when the delinquent taxes have been the subject of an installment agreement that was subsequently breached by the property owner.

          E. If an owner of real property or a manufactured home or park model recreational vehicle enters into an installment agreement and subsequently breaches the agreement under this section, the [division] department shall not enter into another installment agreement with that property owner for the payment of the delinquent taxes that were the subject of the installment agreement.

          F. Alphabetically indexed and serially numbered records of installment agreements must be kept in the office of the director and made available for public inspection."

     SECTION 10. Section 66-1-4.4 NMSA 1978 (being Laws 1990, Chapter 120, Section 5, as amended) is amended to read:

     "66-1-4.4. DEFINITIONS.--As used in the Motor Vehicle Code:

          A. "day" means calendar day, unless otherwise provided in the Motor Vehicle Code;

          B. "dealer", except as specifically excluded, means any person who sells or solicits or advertises the sale of new or used motor vehicles, manufactured homes, park model recreational vehicles or trailers subject to registration in this state; "dealer" does not include:

                (1) receivers, trustees, administrators, executors, guardians or other persons appointed by or acting under judgment, decree or order of any court;

                (2) public officers while performing their duties as such officers;

                (3) persons making casual sales of their own vehicles;

                (4) finance companies, banks and other lending institutions making sales of repossessed vehicles; or

                (5) licensed brokers under the Manufactured Housing Act who, for a fee, commission or other valuable consideration, engage in brokerage activities related to the sale, exchange or lease purchase of pre-owned manufactured homes or park model recreational vehicles on a site installed for a consumer;

          C. "declared gross weight" means the maximum gross vehicle weight or gross combination vehicle weight at which a vehicle or combination will be operated during the registration period, as declared by the registrant for registration and fee purposes; the vehicle or combination shall have only one declared gross weight for all operating considerations;

          D. "department" means the taxation and revenue department, the secretary of taxation and revenue or any employee of the department exercising authority lawfully delegated to that employee by the secretary;

          E. "designated accessible parking space for persons with significant mobility limitation" means any space, including an access aisle, that is marked and reserved for the parking of a passenger vehicle that carries registration plates or a parking placard with the international symbol of access issued in accordance with Section 66-3-16 NMSA 1978 and that is designated by a conspicuously posted sign bearing the international symbol of access and, if the parking space is paved, by a clearly visible depiction of this symbol painted in blue on the pavement of the space;

          F. "director" means the secretary;

          G. "disqualification" means a prohibition against driving a commercial motor vehicle;

          H. "distinguishing number" means the number assigned by the department to a vehicle whose identifying number has been destroyed or obliterated or the number assigned by the department to a vehicle that has never had an identifying number;

          I. "distributor" means a person who distributes or sells new or used motor vehicles to dealers and who is not a manufacturer;

          J. "division", without further specification, "division of motor vehicles" or "motor vehicle division" means the department;

          K. "driver" means every person who drives or is in actual physical control of a motor vehicle, including a motorcycle, upon a highway, who is exercising control over or steering a vehicle being towed by a motor vehicle or who operates or is in actual physical control of an off-highway motor vehicle;

          L. "driver's license" means a license or a class of license issued by a state or other jurisdiction pertaining to the authorizing of persons to operate motor vehicles and that meets federal requirements to be accepted by federal agencies for official federal purposes;

          M. "driveaway-towaway operation" means an operation in which any motor vehicle, new or used, is the item being transported when one set or more of wheels of any such motor vehicle is on the roadway during the course of transportation, whether or not the motor vehicle furnishes the motive power; and

          N. "driving authorization card" means a card issued or recognized under the laws of New Mexico pertaining to the authorizing of persons to operate motor vehicles and not intended to be accepted by federal agencies for official federal purposes."

     SECTION 11. Section 66-1-4.6 NMSA 1978 (being Laws 1990, Chapter 120, Section 7, as amended) is amended to read:

     "66-1-4.6. DEFINITIONS.--As used in the Motor Vehicle Code:

          A. "farm tractor" means every motor vehicle designed and used primarily as a farm implement for drawing plows, mowing machines and other implements of husbandry;

          B. "financial responsibility" means the ability to respond in damages for liability resulting from traffic accidents arising out of the ownership, maintenance or use of a motor vehicle of a type subject to registration under the laws of New Mexico, in amounts not less than specified in the Mandatory Financial Responsibility Act or having in effect a motor vehicle insurance policy. "Financial responsibility" includes a motor vehicle insurance policy, a surety bond or evidence of a sufficient cash deposit with the state treasurer;

          C. "first offender" means a person who for the first time under state or federal law or a municipal ordinance or a tribal law has been adjudicated guilty of the charge of driving a motor vehicle while under the influence of intoxicating liquor or any other drug that renders the person incapable of safely driving a motor vehicle, regardless of whether the person's sentence was suspended or deferred;

          D. "flammable liquid" means any liquid that has a flash point of seventy degrees Fahrenheit or less, as determined by a tagliabue or equivalent closed-cup test device;

          E. "foreign jurisdiction" means any jurisdiction other than a state of the United States or the District of Columbia;

          F. "foreign vehicle" means every vehicle of a type required to be registered under the provisions of the Motor Vehicle Code brought into this state from another state, territory or country; and

          G. "freight trailer" means any trailer, semitrailer or pole trailer drawn by a truck tractor or road tractor, and any trailer, semitrailer or pole trailer drawn by a truck that has a gross vehicle weight of more than twenty-six thousand pounds, but "freight trailer" does not include manufactured homes, park model recreational vehicles, trailers of less than one-ton carrying capacity used to transport animals or fertilizer trailers of less than three thousand five hundred pounds empty weight."

     SECTION 12. Section 66-1-4.14 NMSA 1978 (being Laws 1990, Chapter 120, Section 15, as amended) is amended to read:

     "66-1-4.14. DEFINITIONS.--As used in the Motor Vehicle Code:

          A. "park" or "parking" means the standing of a vehicle, whether occupied or not, other than temporarily for the purpose of and while actually engaged in loading and unloading;

          B. "park model recreational vehicle" means a recreational vehicle or trailer that is:

                (1) built on a single chassis;

                (2) mounted on wheels or was originally mounted on wheels but the wheels have been removed;

                (3) primarily designed to resemble the appearance of a housing structure for temporary, semipermanent or seasonal use as living quarters; and

                (4) made to comply with the certification requirements of a nationally recognized standards and conformity assessment system that promotes and facilitates voluntary consensus standards for the park model recreational vehicle industry;

          [B.] C. "parking lot" means a parking area provided for the use of patrons of any office of state or local government or of any public accommodation, retail or commercial establishment;

          [C.] D. "parts car" means a motor vehicle generally in nonoperable condition that is owned by a collector to furnish parts that are usually nonobtainable from normal sources, thus enabling a collector to preserve, restore and maintain a motor vehicle of historic or special interest;

          [D.] E. "pedestrian" means any natural person on foot;

          [E.] F. "person" means every natural person, firm, copartnership, association, corporation or other legal entity;

          [F.] G. "personal information" means information that identifies an individual, including an individual's photograph, social security number, driver identification number, name, address other than zip code, telephone number and medical or disability information, but "personal information" does not include information on vehicles, vehicle ownership, vehicular accidents, driving violations or driver status;

          [G.] H. "placard" or "parking placard" means a card-like device that identifies the vehicle as being currently in use to transport a person with severe mobility impairment and issued pursuant to Section 66-3-16 NMSA 1978 to be displayed inside a motor vehicle so as to be readily visible to an observer outside the vehicle;

          [H.] I. "pneumatic tire" means every tire in which compressed air is designed to support the load;

          [I.] J. "pole trailer" means any vehicle without motive power, designed to be drawn by another vehicle and attached to the towing vehicle by means of a reach or pole or by being boomed or otherwise secured to the towing vehicle and ordinarily used for transporting long or irregularly shaped loads such as poles, structures, pipes and structural members capable, generally, of sustaining themselves as beams between the supporting connections;

          [J.] K. "police or peace officer" means every officer authorized to direct or regulate traffic or to make arrests for violations of the Motor Vehicle Code;

          [K.] L. "private road or driveway" means every way or place in private ownership used for vehicular travel by the owner and those having express or implied permission from the owner, but not other persons; and

          [L.] M. "property owner" means the owner of a piece of land or the agent of that property owner."

     SECTION 13. Section 66-1-4.15 NMSA 1978 (being Laws 1990, Chapter 120, Section 16, as amended) is amended to read:

     "66-1-4.15. DEFINITIONS.--As used in the Motor Vehicle Code:

          A. "railroad" means a carrier of persons or property upon cars operated upon stationary rails;

          B. "railroad sign or signal" means any sign, signal or device erected by authority of a public body or official or by a railroad and intended to give notice of the presence of railroad tracks or the approach of a railroad train;

          C. "railroad train" means a steam engine, electric or other motor, with or without cars coupled thereto, operated upon rails;

          D. "reconstructed vehicle" means any vehicle assembled or constructed largely by means of essential parts, new or used, derived from other vehicles or which, if originally otherwise assembled or constructed, has been materially altered by the removal of essential parts, new or used;

          E. "recreational travel trailer" means a camping body designed to be drawn by another vehicle;

          F. "recreational vehicle" means a vehicle with a camping body that has its own motive power, is affixed to or is drawn by another vehicle and includes motor homes, travel trailers and truck campers. "Recreational vehicle" does not include a park model recreational vehicle;

          G. "registration" means registration certificates and registration plates issued under the laws of New Mexico pertaining to the registration of vehicles;

          H. "registration number" means the number assigned upon registration by the division to the owner of a vehicle or motor vehicle required to be registered by the Motor Vehicle Code;

          I. "registration plate" means the plate, marker, sticker or tag assigned by the division for the identification of the registered vehicle;

          J. "residence district" means the territory contiguous to and including a highway not comprising a business district when the property on the highway for a distance of three hundred feet or more is in the main improved with residences or residences and buildings in use for business;

          K. "revocation" means that the driver's license and privilege to drive a motor vehicle on the public highways are terminated and shall not be renewed or restored, except that an application for a new license may be presented to and acted upon by the division after the expiration of at least one year after date of revocation;

          L. "right of way" means the privilege of the immediate use of the roadway;

          M. "road tractor" means every motor vehicle designed and used primarily for drawing other vehicles and constructed not to carry a significant load on the road tractor, either independently or as any part of the weight of a vehicle or load drawn; and

          N. "roadway" means that portion of a street or highway improved, designed or ordinarily used for vehicular travel, exclusive of the berm or shoulder; when a highway includes two or more separate roadways, the term "roadway" refers to each roadway separately but not to all of the roadways collectively."

     SECTION 14. Section 66-1-4.18 NMSA 1978 (being Laws 1990, Chapter 120, Section 19) is amended to read:

     "66-1-4.18. DEFINITIONS.--As used in the Motor Vehicle Code:

          A. "unclaimed vehicle or motor vehicle" means a vehicle or motor vehicle that has been placed in an impound lot by a law enforcement agency or removed to any storage lot by a property owner and to which no owner or lienholder of record has asserted a valid claim; and

          B. "utility trailer" means any trailer, semitrailer or pole trailer, but does not include freight trailers, manufactured homes, park model recreational vehicles, trailers of less than one-ton carrying capacity used to transport animals or fertilizer trailers of less than three thousand five hundred pounds empty weight."

     SECTION 15. Section 66-3-1 NMSA 1978 (being Laws 1978, Chapter 35, Section 21, as amended) is amended to read:

     "66-3-1. VEHICLES SUBJECT TO REGISTRATION--EXCEPTIONS.--

          A. With the exception of vehicles identified in Subsection B of this section, every motor vehicle, manufactured home, park model recreational vehicle, trailer, semitrailer and pole trailer when driven or moved upon a highway and every off-highway motor vehicle is subject to the registration and certificate of title provisions of the Motor Vehicle Code except:

                (1) any such vehicle driven or moved upon a highway in conformance with the provisions of the Motor Vehicle Code relating to manufacturers, dealers, [lien-holders] lien holders or nonresidents;

                (2) any such vehicle that is driven or moved upon a highway only for the purpose of crossing the highway from one property to another;

                (3) an implement of husbandry that is only incidentally operated or moved upon a highway;

                (4) special mobile equipment;

                (5) a vehicle that is propelled exclusively by electric power obtained from overhead trolley wires though not operated upon rails;

                (6) a freight trailer if it is:

                     (a) properly registered in another state;

                     (b) identified by a proper base registration plate that is properly displayed; and

                     (c) identified by other registration documents that are in the possession of the operator and exhibited at the request of a police officer;

                (7) a freight trailer or utility trailer owned and used by:

                     (a) a nonresident solely for the transportation of farm products purchased by the nonresident from growers or producers of the farm products and transported in the trailer out of the state;

                     (b) a farmer or a rancher who transports to market only the produce, animals or fowl produced by that farmer or rancher or who transports back to the farm or ranch supplies for use thereon; or

                     (c) a person who transports animals to and from fairs, rodeos or other places, except racetracks, where the animals are exhibited or otherwise take part in performances, in trailers drawn by a motor vehicle or truck of less than ten thousand pounds gross vehicle weight rating bearing a proper registration plate, but in no case shall the owner of an unregistered trailer described in this paragraph perform such uses for hire;

                (8) a moped;

                (9) an electric personal assistive mobility device;

                (10) a vehicle moved on a highway by a towing service as defined in Section 59A-50-2 NMSA 1978; and

                (11) an off-highway motor vehicle exempted pursuant to Section 66-3-1005 NMSA 1978.

          B. A certificate of title required pursuant to Subsection A of this section is not required for a vehicle of a type subject to registration owned by:

                (1) the government of the United States; or

                (2) a carrier that is from a jurisdiction that is not a participant in the International Fuel Tax Agreement, that is authorized by the United States government or an agency of the United States government to conduct cross-border operations beyond the commercial border zone pursuant to the provisions of the North American Free Trade Agreement and that identifies New Mexico as the carrier's base jurisdiction.

          C. A person who violates the provisions of this section is guilty of a misdemeanor as provided in Section 66-8-7 NMSA 1978. A person charged with violating this section shall not be convicted if the person produces, in court, evidence of compliance valid at the time of issuance of the citation."

     SECTION 16. Section 66-3-4 NMSA 1978 (being Laws 1978, Chapter 35, Section 24, as amended by Laws 2007, Chapter 319, Section 16 and by Laws 2007, Chapter 320, Section 2) is amended to read:

     "66-3-4. APPLICATION FOR REGISTRATION AND CERTIFICATE OF TITLE--NONREPAIRABLE VEHICLE CERTIFICATE.--

          A. Except for a vehicle owned by a carrier that is from a jurisdiction that is not a participant in the International Fuel Tax Agreement, that is authorized by the United States government or an agency of the United States government to conduct cross-border operations beyond the commercial border zone pursuant to the provisions of the North American Free Trade Agreement and that identifies New Mexico as the carrier's base jurisdiction, every owner of a vehicle of a type required to be registered in this state shall make application to the division for the registration and issuance of a certificate of title for the vehicle. Applications shall be upon the appropriate forms furnished by the division and shall bear the signature of the owner written with pen and ink. All applications presented to the division shall contain:

                (1) for a vehicle other than a recreational vehicle, the name, bona fide New Mexico residence address and mail address of the owner or, if the owner is a firm, association or corporation, the name, bona fide New Mexico business address and mail address of the firm, association or corporation and for a recreational vehicle, the name, bona fide residence address and mail address of the owner and proof of delivery in New Mexico;

                (2) a description of the vehicle including, to the extent that the following specified data may exist with respect to a given vehicle, the make, model, type of body, number of cylinders, type of fuel used, serial number of the vehicle, odometer reading, engine or other identification number provided by the manufacturer of the vehicle, whether new or used and, if a vehicle not previously registered, date of sale by the manufacturer or dealer to the person intending to operate the vehicle. In the event a vehicle is designed, constructed, converted or rebuilt for the transportation of property, the application shall include a statement of its rated capacity as established by the manufacturer of the chassis or the complete vehicle;

                (3) a statement of the applicant's title and of all liens or encumbrances upon the vehicle and the names and addresses of all persons having an interest in the vehicle, the nature of each interest and the name and address of the person to whom the certificate of title shall be delivered by the division;

                (4) if the vehicle required to be registered is a house trailer, as defined in the Motor Vehicle Code, a certificate from the treasurer or assessor of the county in which the house trailer is located showing that either:

                     (a) all property taxes due or to become due on the house trailer for the current tax year or any past tax years have been paid; or

                     (b) no liability for property taxes on the house trailer exists for the current year or any past tax years; and

                (5) further information as may reasonably be required by the division to enable it to determine whether the vehicle is lawfully entitled to registration and the owner entitled to a certificate of title.

          B. The owner of a vehicle subject to registration that has never been registered in this state and that has been registered in another state, except manufactured homes and park model recreational vehicles, shall have the vehicle examined and inspected for its identification number or engine number by the division or an officer or a designated agent of the division incident to securing registration, reregistration or a certificate of title from the division.

          C. When an application refers to a vehicle not previously registered and the vehicle is purchased from a dealer licensed in this state or a dealer licensed or recognized as such in any other state, territory or possession of the United States, the application shall be accompanied by a manufacturer's certificate of origin duly assigned by the dealer to the purchaser. In the event that a vehicle not previously registered is sold by the manufacturer to a dealer in a state not requiring a manufacturer's certificate of origin and in the event that the vehicle is subsequently purchased by a dealer or any person in this state, the application for title shall be accompanied by the evidence of title accepted by the state in which the vehicle was sold by the manufacturer to a dealer in that state together with evidence of subsequent transfers.

          D. Prior to the sale or disposal of a nonrepairable vehicle, the owner, owner's agent or salvage pool shall obtain a properly endorsed nonrepairable vehicle certificate from the department and deliver it to the purchaser within twenty days after payment in full for the nonrepairable vehicle and shall also comply with Section 66-3-10.1 NMSA 1978. The department shall accept the endorsed nonrepairable vehicle certificate in lieu of the certificate of ownership or other evidence of ownership when accompanied by an application and other documents and fees as may be required by the department. A vehicle for which a nonrepairable vehicle certificate has been issued shall not be titled or registered for use on the highways of this state.

          E. If an insurance company makes a total loss settlement on a nonrepairable vehicle and takes possession of that vehicle, either itself or through an agent or salvage pool, the insurance company or an authorized agent of the insurance company shall:

                (1) stamp the face of the title or manufacturer's certificate of origin with the word "NONREPAIRABLE", in letters no less than one-half inch high, at an angle of approximately forty-five degrees to the text of the title or manufacturer's certificate of origin; and

                (2) within twenty days after receipt of title by the insurer, free and clear of all liens, submit a copy of the branded title or manufacturer's certificate of title to the department together with documents explaining the reason for branding, and shall forward a properly endorsed certificate of title or manufacturer's certificate of origin or other evidence of ownership acceptable to the department together with the proper fee to the department. The department, upon receipt of the title or manufacturer's certificate of origin or other evidence of ownership, shall issue a nonrepairable vehicle certificate for the vehicle.

          F. If an owner of a nonrepairable vehicle elects to retain possession of the vehicle, the insurance company shall notify the department of the retention on a form prescribed by the department. The insurance company shall also notify the insured or owner of the insured's or owner's responsibility to comply with this section. The owner shall, within twenty days from the date of settlement of the loss, forward a properly endorsed certificate of title or manufacturer's certificate of origin or other evidence of ownership acceptable to the department together with the proper fee to the department. The department, upon receipt of the title or manufacturer's certificate of origin or other evidence of ownership, shall issue a nonrepairable vehicle certificate for the vehicle.

          G. If a nonrepairable vehicle is not the subject of an insurance settlement, the owner shall, within twenty days from the date of the loss, forward a properly endorsed certificate of title or manufacturer's certificate of origin or other evidence of ownership acceptable to the department together with the proper fee to the department. The department, upon receipt of the title or manufacturer's certificate of origin or other evidence of ownership, shall issue a nonrepairable vehicle certificate for the vehicle.

          H. The department shall not issue a new registration card and certificate of ownership pursuant to Subsection A, B or C of this section on a vehicle that has been issued a nonrepairable vehicle certificate pursuant to Subsections E, F and G of this section."

     SECTION 17. Section 66-3-6 NMSA 1978 (being Laws 1978, Chapter 35, Section 26, as amended) is amended to read:

     "66-3-6. TEMPORARY REGISTRATION PERMITS, DEMONSTRATION PERMITS AND TRANSPORT PERMITS.--

          A. The department may issue a temporary registration permit to individuals to operate a vehicle pending action by the department upon an application for registration and certificate of title or renewal of registration when the application is accompanied by the proper fees and taxes. The temporary registration permit shall be valid for a period not to exceed thirty business days from the day it is validated by the department. Temporary registration permits shall not be extended nor another issued except for good cause shown.

          B. The department may issue a demonstration permit to individuals and financing institutions to operate a vehicle for the purpose of demonstrating the vehicle for resale. The demonstration permit shall be valid for a period not to exceed five business days from the day it is validated by the department. Demonstration permits shall not be extended nor another issued except for good cause shown.

          C. The department may issue a transport permit to a manufacturer of vehicles or transporter of manufactured homes or park model recreational vehicles for the purpose of demonstrating or transporting the vehicle to a dealer's location. The transport permit shall be valid for a period not to exceed ten business days, shall state the number of days for which the transport permit is valid and shall be validated by the signature of the manufacturer or transporter. Transport permits shall not be extended nor another issued except for good cause shown.

          D. The department shall issue transport permits to dealers licensed pursuant to Section 66-4-1 NMSA 1978. Transport permits shall be used only on vehicles held in the inventory of the dealer to whom the transport permits are issued. The transport permits shall be used only for importing vehicles into this state or for transporting vehicles between dealers intrastate. Use of transport permits pursuant to this section shall be deemed compliance with the requirements of Section 66-3-4 NMSA 1978. The transport permits shall be valid for not more than five business days from the date of validation. Transport permits shall:

                (1) name the dealer to whom the transport permits are issued;

                (2) name the authorized driver of the vehicle;

                (3) show the point of origin and termination of the trip covered by the transport permit; and

                (4) be signed and dated by the dealer who executed the transport permit.

          E. The department shall issue temporary registration permits to dealers licensed pursuant to Section 66-4-1 NMSA 1978. Temporary registration permits shall be used only on vehicles sold at retail by the dealer to whom the temporary registration permits are issued and shall not be extended nor another issued for the same vehicle except for good cause shown. Use of the temporary registration permits pursuant to this section shall be deemed compliance with the provisions of Section 66-3-4 NMSA 1978. The temporary registration permits shall be valid for not more than thirty days from the date of validation. Temporary registration permits shall:

                (1) name the dealer to whom the temporary registration permits are issued;

                (2) name the person to whom the vehicle has been sold; and

                (3) be signed and dated by the dealer who executed the temporary registration permit.

          F. The department shall issue demonstration permits to dealers licensed pursuant to Section 66-4-1 NMSA 1978. Demonstration permits shall be used only on vehicles included in the inventory of the dealer to whom the demonstration permits are issued. The demonstration permits shall be used to allow the operation of vehicles for the limited purposes of testing, demonstrating or preparing a vehicle for sale or lease. Demonstration permits may not be used on work or service vehicles, as that term is defined in Section 66-3-401 NMSA 1978, that are owned, used or held in inventory by a dealer. Use of the demonstration permits pursuant to this section shall be deemed compliance with the provisions of Section 66-3-4 NMSA 1978. A demonstration permit, after being affixed to a specific vehicle, shall be valid for as long as the vehicle is held in the dealer's inventory. A dealer who uses demonstration permits is required to maintain a list showing the date on which the dealer assigned the permit to a vehicle and the name and a description of the vehicle, including its make, model, model year and vehicle identification number. A dealer shall maintain the list for three years from the end of the year in which the dealer issued the permit and must make it available to the department or its agents and to law enforcement officers during reasonable business hours. When a vehicle is sold, the dealer shall keep demonstration permits with other records of the sale. A demonstration permit shall:

                (1) name the dealer to whom the demonstration permit is issued; and

                (2) display a unique identification number assigned by the department.

          G. The department may authorize in writing dealers licensed pursuant to Section 66-4-1 NMSA 1978 to print and use at their own cost demonstration permits in conformance with the provisions of Subsection F of this section, subject to reasonable requirements established by the department.

          H. The department may authorize agents of the division, in writing, to print and issue demonstration permits to be used by dealers in conformance with the provisions of Subsection F of this section, subject to reasonable requirements established by the department. Agents who issue demonstration permits shall maintain a list showing the date on which the permit was issued and the name of the dealer to whom it was issued. Agents shall maintain the list for three years from the end of the year in which they issued the permit and shall make it available to the department or its agents, and to law enforcement officers, during reasonable business hours. A demonstration permit shall:

                (1) name the dealer to whom the permit is issued; and

                (2) display a unique identification number assigned by the department.

          I. The department shall prescribe the size, shape and content of all temporary registration permits, demonstration permits and transport permits authorized by this section. A temporary registration permit, demonstration permit or transport permit is not valid until affixed to the vehicle for which it is validated in a manner prescribed by the department.

          J. For the misuse of a temporary registration permit, demonstration permit or transport permit authorized by this section by an individual, financing institution, manufacturer of vehicles, transporter of manufactured homes or park model recreational vehicles, dealer or auto recycler, the secretary may revoke or suspend the use of that type of permit after a hearing as provided in Section 66-2-17 NMSA 1978.

          K. The department shall collect the administrative fee imposed in Section 66-2-16 NMSA 1978 in addition to the actual cost of the temporary registration permit, demonstration permit or transport permit for each permit issued by the department pursuant to this section to individuals, financial institutions, manufacturers, transporters or auto recyclers.

          L. The department may issue temporary registration permits, demonstration permits and transport permits to dealers in units of not less than one hundred at a fee established by the department to cover the actual cost of the permits. An administrative fee shall not be charged by the department when permits are issued by the department pursuant to the provisions of this subsection.

          M. The fees authorized by Subsections K and L of this section to cover the actual cost of the permits are appropriated to the department to defray the costs of administering the permits program. The department shall remit the administrative fee revenues of this section to the motor vehicle suspense fund to be distributed in accordance with Section 66-6-23 NMSA 1978."

     SECTION 18. Section 66-3-8 NMSA 1978 (being Laws 1978, Chapter 35, Section 28, as amended) is amended to read:

     "66-3-8. EXAMINATION OF REGISTRATION RECORDS AND INDEX OF STOLEN AND RECOVERED VEHICLES.--The department, upon receiving application for original registration of a vehicle or a certificate of title, except a title issued on a manufactured home or a park model recreational vehicle, shall first check the engine or other standard identification number provided by the manufacturer of the vehicle shown in the application against its own records, the records of the national crime information center and other records as appropriate."

     SECTION 19. Section 66-3-19 NMSA 1978 (being Laws 1978, Chapter 35, Section 39, as amended by Laws 1995, Chapter 44, Section 2 and also by Laws 1995, Chapter 135, Section 12) is amended to read:

     "66-3-19. RENEWAL OF REGISTRATION--STAGGERED PERIOD FOR VEHICLES--EXCEPTION FOR MANUFACTURED HOMES, PARK MODEL RECREATIONAL VEHICLES AND FREIGHT TRAILERS--LATE REGISTRATION.--

          A. The department, in order to operate a more uniform system of vehicle registration, is authorized for certain or all vehicles to:

                (1) prorate registration fees by quarterly increments for periods in excess of twelve months, but not exceeding twenty-four months;

                (2) determine the specific registered vehicle owners and the numbers of these to be assigned to each registration period in order to maintain the system;

                (3) notify each registered vehicle owner by mail at the last known address within an appropriate period prior to the expiration of the current registration period. The notice shall include a renewal-of-registration application form specifying the amount of registration fees due and the specific dates of the registration period covered by the renewal application;

                (4) provide for the retention of registration plates;

                (5) provide for the issuance of validating stickers to be affixed either to retained registration plates or elsewhere on the vehicles as prescribed by the department to signify the registration of the vehicles for the current registration period; and

                (6) provide for identification purposes clearly recognizable distinctions between current and expired registration plates and validation stickers. To this end, the department, by whatever system or device the secretary may direct that is approved by the chief of the New Mexico state police division of the department of public safety, shall ensure a practicable display of the proper and current registration of vehicles.

          B. Certificates of title need not be renewed annually but shall remain valid until canceled by the department for cause or upon transfer of any interest shown in the certificate of title.

          C. The vehicle registration of vehicles registered under the provisions of Subsection A of this section expires on the last day of the period for which the vehicle has been registered. Every vehicle registration other than vehicles registered in accordance with Subsection A of this section, manufactured homes, park model recreational vehicles and freight trailers expires December 31. The department may receive applications for renewal of registration and may issue new registration evidence and registration plates or validating stickers at any time prior to expiration of the current registration.

          D. The registration of a manufactured home, park model recreational vehicle or freight trailer need not be renewed annually, and the initial registration shall be effective and considered a current registration for the purpose of the Motor Vehicle Code as long as the ownership of the vehicle is not transferred. The transfer of title provisions of the Motor Vehicle Code do apply to manufactured homes, park model recreational vehicles and freight trailers, and the transferee is required to register the vehicle in accordance with Section 66-3-103 NMSA 1978. The department is authorized and directed to issue distinctive registration plates for manufactured homes, park model recreational vehicles and freight trailers that identify the plates as permanent registration plates.

          E. It is unlawful to operate or transport or cause to be transported upon any highways in this state any vehicle, except a commercial motor vehicle registered in another state, [or] a manufactured home or a park model recreational vehicle, subject to registration under the provisions of the Motor Vehicle Code without having paid the registration fee or without having secured and constantly displayed the registration plate required by the Motor Vehicle Code. If a vehicle, other than a manufactured home or park model recreational vehicle, is operated or transported after the expiration of the vehicle registration, the owner of the vehicle is subject to a penalty of the greater of ten dollars ($10.00) or, if the vehicle is operated or transported thirty-one or more days after the expiration of the registration, an amount equal to seventy-five percent of the registration fee. Any duly appointed deputy or agent of the department has the authority to seize the vehicle and hold it until the fee, penalty and any fine that may be imposed for violation of law are paid and may sell the vehicle in the manner provided by law for the distraint and sale of personal property.

          F. It is unlawful to operate, transport or cause to be transported upon any highways in this state or to maintain in any place in this state a manufactured home or park model recreational vehicle subject to registration under the provisions of the Motor Vehicle Code without having paid the registration fee or without having secured and constantly displayed the registration plate required by the Motor Vehicle Code. Violation of this subsection subjects the owner to a penalty of five dollars ($5.00), and no other administrative penalty for failure to register under the Motor Vehicle Code shall be imposed [upon] on manufactured homes or park model recreational vehicles that are subject to the provisions of Section 66-6-10 NMSA 1978. Any duly appointed deputy or agent of the department has authority to seize the [manufactured] home or vehicle and hold it until the fee, penalties and any fine that may be imposed for violation of law are paid and may sell the [manufactured] home or vehicle in the manner provided by law for the distraint and sale of personal property.

          G. This section authorizes a staggered system of registration of vehicles."

     SECTION 20. Section 66-3-110 NMSA 1978 (being Laws 1978, Chapter 35, Section 57, as amended) is amended to read:

     "66-3-110. WHEN DIVISION TO REREGISTER VEHICLE AND ISSUE NEW CERTIFICATE.--

          A. The division upon receipt of a properly endorsed certificate of title, current registration evidence and proper application for registration or transfer of registration accompanied by the required fee and when satisfied as to the genuineness and regularity of the transfer and of the right of the transferee to a certificate of title shall reregister the vehicle as upon a new registration in the name of the new owner and issue a new certificate of title as upon an original application.

          B. If the vehicle is a manufactured home or park model recreational vehicle, the division shall require in addition to those conditions set out in Subsection A of this section a certificate from the treasurer or assessor of the county in which the [manufactured] home or vehicle is located showing that either:

                (1) all property taxes due or to become due on the [manufactured] home or vehicle for the current tax year or any past tax years have been paid; or

                (2) no liability for property taxes on the [manufactured] home or vehicle exists for the current year or any past tax years.

          C. The division shall retain and appropriately file every surrendered certificate of title. The file shall be so maintained as to permit the tracing of title of the vehicles designated therein."

     SECTION 21. Section 66-3-201 NMSA 1978 (being Laws 1978, Chapter 35, Section 73, as amended) is amended to read:

     "66-3-201. FILING SECURITY INTERESTS.--

          A. A security interest in a vehicle of a type required to be titled and registered in New Mexico is not valid against attaching creditors, subsequent transferees or lienholders unless perfected as provided by this section. This provision does not apply to liens dependent upon possession nor to property tax liens on manufactured homes or park model recreational vehicles perfected under Section 66-3-204 NMSA 1978.

          B. Title applications may be submitted electronically to the department, but all title applications shall be accompanied by the certificate of title last issued for the vehicle and shall contain the name and address of any lienholder, the date the security agreement was executed and the maturity date of the agreement.

          C. Upon receipt of a title application, the department shall record the date it was received. When satisfied as to the genuineness of the application, the department shall file it and issue a new certificate of title showing the owner's name and all liens existing against the vehicle.

          D. No security interest filed in any state [which] that does not show all liens on the certificate of title shall be valid against any person in this state other than the parties to the security agreement or those persons who take with actual notice of the agreement."

     SECTION 22. Section 66-3-202 NMSA 1978 (being Laws 1978, Chapter 35, Section 74, as amended) is amended to read:

     "66-3-202. FILING EFFECTIVE TO GIVE NOTICE.--

          A. On or after June 1, 1996, the filing of an application with the division and the issuance of a new certificate of title by the division as provided in Section 66-3-201 NMSA 1978 shall constitute constructive notice of all security interests in the vehicle described in the application. Except for a manufactured home, park model recreational vehicle or recreational vehicle, if the application is received by the division within ten days after the date the security agreement was executed, constructive notice shall be effective as of the date of the execution of the security agreement, and the security interest shall be deemed to have been filed and perfected as of that date and shall have priority over other liens attached or filed subsequent to that date, except for tax liens filed by the state, county or federal governments. In the case of a manufactured home, park model recreational vehicle or recreational vehicle, if the application is received by the division within sixty days after the date the security agreement was executed, constructive notice shall be effective as of the date of the execution of the security agreement, and the security agreement shall be deemed to have been filed and perfected as of that date and shall have priority over other liens attached or filed subsequent to that date, except for tax liens filed by the state, county or federal governments. In all other cases, constructive notice shall be effective as of the date of receipt noted on the title application.

          B. The method provided in this article for perfecting a security interest shall be exclusive except as to liens dependent upon possession and property tax liens on manufactured homes or park model recreational vehicles perfected under Section 66-3-204 NMSA 1978.

          C. The constructive notice provided for in this section terminates twelve months after the maturity date of the debt. Unless refiled in a manner prescribed by the division within twelve months after the maturity date, the division may ignore the security interest in the issuance of all subsequent certificates of title."

     SECTION 23. Section 66-3-204 NMSA 1978 (being Laws 1978, Chapter 35, Section 76, as amended) is amended to read:

     "66-3-204. PROPERTY TAX LIENS ON MANUFACTURED HOMES OR PARK MODEL RECREATIONAL VEHICLES--FILING--EFFECT.--

          A. Upon receipt of a notification of unpaid taxes on a manufactured home or park model recreational vehicle required by Section 7-38-52 NMSA 1978, the division shall file the notification and indicate on it the date and time of receipt. It shall maintain an index and file of the notifications by vehicle registration number.

          B. From the date and time of receipt of a notification, the unpaid taxes, penalty and interest certified by the county treasurer constitute a lien on and a security interest in the manufactured home or park model recreational vehicle on behalf of the state until paid. The lien is valid against holders of prior perfected security interests, attaching creditors and subsequent transferees and when perfected by filing in accordance with this section constitutes constructive notice of the lien claimed. When a lien is perfected under this section, the division shall send written notification of the lien to all holders of prior perfected security interests as shown on the vehicle's certificate of title. The notice shall be sent no later than ten days after the filing of the lien.

          C. Upon receipt of a certified notice from a county treasurer showing that the taxes, penalty and interest for which a lien is claimed have been paid, the division shall indicate in writing on the filed notification the fact of payment, shall attach the notice of payment to the original notification, shall remove both documents from its lien file to a separate file and shall make a written entry in its index indicating the satisfaction of the lien. At the same time, it shall send written notification to the registered owner of the manufactured home or park model recreational vehicle of the action it has taken."

     SECTION 24. Section 66-6-10 NMSA 1978 (being Laws 1978, Chapter 35, Section 345, as amended) is amended to read:

     "66-6-10. REGISTRATION FEES FOR MANUFACTURED HOMES, PARK MODEL RECREATIONAL VEHICLES AND TRAVEL TRAILERS--DIVISION TO NOTIFY COUNTY ASSESSOR OF MANUFACTURED HOME OR PARK MODEL RECREATIONAL VEHICLE REGISTRATION.--

          A. For the registration of each manufactured home or park model recreational vehicle, the division shall collect a fee of seven dollars ($7.00).

          B. The division shall compile and transmit to each county assessor each year a list of the manufactured homes and park model recreational vehicles that are registered with the division showing the assessor's county as the principal location of the [manufactured] home or vehicle. The listing shall include all data pertinent to and necessary for the county assessor to value the [manufactured] homes or vehicles in accordance with valuation rules promulgated by the property tax division pursuant to Section 7-36-26 NMSA 1978. The listing required by this subsection shall be transmitted no later than thirty days following the close of the annual registration process and shall be supplemented no less often than every thirty days to provide information to the appropriate county assessors on registrations occurring throughout the year.

          C. At the time a person registers a manufactured home or park model recreational vehicle and pays the fee required by this section, the person shall be notified in writing by the division that the information required by Subsection B of this section will be furnished to the county assessor of the county of the principal location of the [manufactured] home or vehicle and that the [manufactured] home or vehicle is subject to property taxation under the Property Tax Code."

     SECTION 25. Section 66-7-413 NMSA 1978 (being Laws 1978, Chapter 35, Section 484, as amended) is amended to read:

     "66-7-413. PERMITS FOR EXCESSIVE SIZE AND WEIGHT--SPECIAL NOTIFICATION REQUIRED ON MOVEMENT OF MANUFACTURED HOMES AND PARK MODEL RECREATIONAL VEHICLES.--

          A. The department of public safety and local highway authorities may, in their discretion, upon application in writing and good cause being shown, issue a special permit in writing authorizing the applicant to operate or move a vehicle or load of a size or weight exceeding the maximum specified in Sections 66-7-401 through 66-7-416 NMSA 1978 on a highway under the jurisdiction of the state transportation commission or local authorities. Except for the movement of manufactured homes and park model recreational vehicles, a permit may be granted, in cases of emergency, for the transportation of loads on a certain unit or combination of equipment for a specified period of time not to exceed one year, and the permit shall contain the route to be traversed, the type of load to be transported and any other restrictions or conditions deemed necessary by the body granting the permit. In every other case, the permit shall be issued for a single trip and may designate the route to be traversed and contain any other restrictions or conditions deemed necessary by the body granting the permit. Every permit shall be carried in the vehicle to which it refers and shall be opened for inspection to any peace officer. It is a misdemeanor for a person to violate a condition or term of the special permit.

          B. The department of public safety shall promulgate rules in accordance with the State Rules Act pertaining to safety practices, liability insurance and equipment for escort vehicles provided by the motor carrier and for escort vehicles provided by a private business in this state.

                (1) The department of public safety shall provide the escort personnel with a copy of applicable rules and shall inspect the escort vehicles for the safety equipment required by the rules. If the escort vehicles and personnel meet the requirements set forth in the rules, the department of public safety shall issue the special permit.

                (2) The movement of vehicles upon the highways of this state requiring a special permit and required to use an escort of the type noted in Paragraph (1) of this subsection is subject to department of public safety authority and inspection at all times.

                (3) The department of transportation shall conduct engineering investigations and engineering inspections to determine which four-lane highways are safe for the operation or movement of manufactured homes or park model recreational vehicles without an escort. After making that determination, the department of transportation shall hold public hearings in the area of the state affected by the determination, after which it may adopt rules designating those four-lane highways as being safe for the operation or movement of manufactured homes or park model recreational vehicles without an escort. If a portion of such a four-lane highway lies within the boundaries of a municipality, the department of transportation, after obtaining the approval of the municipal governing body, shall include such portions in its rules.

          C. Except for the movement of manufactured homes and park model recreational vehicles, special permits may be issued for a single vehicle or combination of vehicles by the department of public safety for a period not to exceed one year for a fee of two hundred fifty dollars ($250). The special permits may allow excessive height, length and width for a vehicle or combination of vehicles or load thereon and may include a provision for excessive weight if the weight of the vehicle or combination of vehicles is not greater than one hundred forty thousand pounds. Utility service vehicles, operating with special permits pursuant to this subsection, shall be exempt from prohibitions or restrictions relating to hours or days of operation or restrictions on movement because of poor weather conditions.

          D. Special permits for a single trip for a vehicle or combination of vehicles or load thereon of excessive weight, width, length and height may be issued by the department of public safety for a single vehicle for a fee of twenty-five dollars ($25.00) plus the product of two and one-half cents ($.025) for each two thousand pounds in excess of eighty-six thousand four hundred pounds or major fraction thereof multiplied by the number of miles to be traveled by the vehicle or combination of vehicles on the highways of this state.

          E. If a vehicle for which a permit is issued pursuant to this section is a manufactured home or park model recreational vehicle, the department of public safety or local highway authority issuing the permit shall furnish the following information to the property tax division of the taxation and revenue department, which shall forward the information:

                (1) to the county assessor of a county from which a manufactured home or park model recreational vehicle is being moved, the date the permit was issued, the location being moved from, the location being moved to if within the same county, the name of the owner of the [manufactured] home or vehicle and the identification and registration numbers of the [manufactured] home or vehicle;

                (2) to the county assessor of any county in this state to which a manufactured home or park model recreational vehicle is being moved, the date the permit was issued, the location being moved from, the location being moved to, the name of the owner of the [manufactured] home or vehicle and the registration and identification numbers of the [manufactured] home or vehicle; and

                (3) to the owner of a manufactured home or park model recreational vehicle having a destination in this state, notification that the information required in Paragraphs (1) and (2) of this subsection is being given to the respective county assessors and that [manufactured] the homes or vehicles are subject to property taxation.

          F. Except as provided in Subsection G of this section, if the movement of a manufactured home or park model recreational vehicle originates in this state, a permit shall not be issued pursuant to Subsection E of this section until the owner of the [manufactured] home or vehicle or the authorized agent of the owner obtains and presents to the department of public safety proof that a certificate has been issued by the county assessor or treasurer of the county in which the [manufactured] home or vehicle movement originates showing that either:

                (1) all property taxes due or to become due on the [manufactured] home or vehicle for the current tax year or any past tax years have been paid, except for [manufactured] homes or vehicles located on an Indian reservation; or

                (2) liability for property taxes on the [manufactured] home or vehicle does not exist for the current tax year or a past tax year, except for [manufactured] homes or vehicles located on an Indian reservation.

          G. The movement of a manufactured home or park model recreational vehicle from the lot or business location of a manufactured home or park model recreational vehicle dealer to its destination designated by an owner-purchaser is not subject to the requirements of Subsection F of this section if the [manufactured home] movement of the home or vehicle originates from the lot or business location of the dealer and the [manufactured] home or vehicle was part of the dealer's inventory prior to the sale to the owner-purchaser; however, the movement of a [manufactured] home or vehicle by a dealer or the dealer's authorized agent as a result of a sale or trade-in from a nondealer-owner is subject to the requirements of Subsection F of this section whether the destination is the business location of a dealer or some other destination.

          H. A permit shall not be issued pursuant to this section for movement of a manufactured home or park model recreational vehicle whose width exceeds eighteen feet with no more than a six-inch roof overhang on the left side or twelve inches on the right side in addition to the eighteen-foot width of the [manufactured] home or vehicle. [Manufactured] Homes or vehicles exceeding the limitations of this section shall only be moved on dollies placed on the front and the rear of the structure.

          I. The secretary of public safety may by rule provide for movers of manufactured homes or park model recreational vehicles to self-issue permits for certain sizes of [manufactured] those homes or vehicles over specific routes. The cost of a permit shall not be less than twenty-five dollars ($25.00).

          J. The secretary of public safety may provide by rule for dealers of implements of husbandry to self-issue permits for the movement of certain sizes of implements of husbandry from the lot or business location of the dealer over specific routes with specific escort requirements, if necessary, to a destination designated by an owner-purchaser or for purposes of a working demonstration on the property of a proposed owner-purchaser. The department of public safety shall charge a fee for each self-issued permit not to exceed fifteen dollars ($15.00).

          K. A private motor carrier requesting an oversize or overweight permit shall provide proof of insurance in at least the following amounts:

                (1) bodily injury liability, providing:

                     (a) fifty thousand dollars ($50,000) for each person; and

                     (b) one hundred thousand dollars ($100,000) for each accident; and

                (2) property damage liability, providing twenty-five thousand dollars ($25,000) for each accident.

          L. A motor carrier requesting an oversize permit shall produce a copy of a warrant or a single state registration receipt as evidence that the motor carrier maintains the insurance minimums prescribed by the public regulation commission.

          M. The department of public safety may provide by rule the time periods during which a vehicle or load of a size or weight exceeding the maximum specified in Sections 66-7-401 through 66-7-416 NMSA 1978 may be operated or moved by a motor carrier on a highway under the jurisdiction of the state transportation commission or local authorities.

          N. An applicant for a special permit to operate a vehicle or combination of vehicles with a gross weight not exceeding ninety-six thousand pounds within six miles of the port of entry at the border with Mexico at Santa Teresa or within a circular quadrant starting at that port of entry with an east boundary line running due north twelve miles from the Santa Teresa port of entry to a point, then along an arc to the west with a twelve-mile radius and central angle of approximately ninety degrees to a point on the international boundary with Mexico, then returning due east twelve miles to the starting point at that port of entry, and twelve miles of other ports of entry on the border with Mexico shall not be required to demonstrate to the department of public safety that the load cannot be reduced as a condition of the issuance of the permit.

          O. Revenue from fees for special permits authorizing vehicles and loads of excessive size or weight to operate or move upon a highway under the jurisdiction of the state transportation commission or local authorities shall be collected for the department of transportation and transferred to the state road fund."

     SECTION 26. APPLICABILITY.--The provisions of Sections 3 through 9 of this act apply to property tax years beginning January 1, 2018.

     SECTION 27. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2017.

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