0001| SENATE BILL 308 | 0002| 43RD LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION, 1998 | 0003| INTRODUCED BY | 0004| JOSEPH A. FIDEL | 0005| | 0006| | 0007| | 0008| | 0009| | 0010| AN ACT | 0011| RELATING TO MOTOR VEHICLES; AMENDING AND ENACTING PROVISIONS | 0012| OF THE MOTOR VEHICLE CODE ON USE OF TEMPORARY PERMITS AND | 0013| LICENSE PLATES BY VEHICLE DEALERS, MANUFACTURERS, WRECKERS OF | 0014| VEHICLES, MOTORCYCLE DEALERS AND TRANSPORTERS OF MANUFACTURED | 0015| HOMES; PROVIDING A PENALTY; MAKING AN APPROPRIATION. | 0016| | 0017| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0018| Section 1. Section 66-1-4.9 NMSA 1978 (being Laws 1990, | 0019| Chapter 120, Section 10) is amended to read: | 0020| "66-1-4.9. DEFINITIONS.--As used in the Motor Vehicle | 0021| Code: | 0022| A. "implement of husbandry" means every vehicle | 0023| that is designed for agricultural purposes and exclusively | 0024| used by the owner in the conduct of agricultural operations; | 0025| B. "intersection" means: | - 1 - 0001| (1) the area embraced within the prolongation | 0002| or connection of the lateral curb lines or, if none, then the | 0003| lateral boundary lines of the roadways of two highways that | 0004| join one another at, or approximately at, right angles, or the | 0005| area within which vehicles traveling upon different highways | 0006| joining at any other angle may come in conflict; and | 0007| (2) where a highway includes two roadways | 0008| thirty feet or more apart, every crossing of each roadway of | 0009| that divided highway by an intersecting highway shall be | 0010| regarded as a separate intersection; in the event that the | 0011| intersecting highway also includes two roadways thirty feet or | 0012| more apart, every crossing of two roadways of those ||highways | 0013| shall be regarded as a separate intersection; ~[and]~ | 0014| |C. "inventory", when referring to a vehicle | 0015| dealer, means a vehicle held for sale or lease in the ordinary | 0016| course of business, the cost of which is used in calculating | 0017| the dealer's cost of goods sold for federal income tax | 0018| purposes; and| | 0019| ~[C.]~ |D.| "jurisdiction", without modification, | 0020| means "state"." | 0021| Section 2. Section 66-1-4.17 NMSA 1978 (being Laws 1990, | 0022| Chapter 120, Section 18) is amended to read: | 0023| "66-1-4.17. DEFINITIONS.--As used in the Motor Vehicle | 0024| Code: | 0025| A. "tank vehicle" means a motor vehicle that is | - 2 - 0001| designed to transport any liquid or gaseous material within a | 0002| tank that is either permanently or temporarily attached to the | 0003| vehicle or the chassis and that has either a gross vehicle | 0004| weight rating of twenty-six thousand one or more pounds or is | 0005| used in the transportation of hazardous materials requiring | 0006| placarding of the vehicle under applicable law; | 0007| B. "taxicab" means a motor vehicle used for hire | 0008| in the transportation of persons, having a normal seating | 0009| capacity of not more than seven persons; | 0010| C. "through highway" means every highway or | 0011| portion thereof at the entrance to which vehicular traffic | 0012| from intersecting highways is required by law to stop before | 0013| entering or crossing it when stop signs are erected as | 0014| provided in the Motor Vehicle Code; | 0015| D. "trailer" means any vehicle without motive | 0016| power, designed for carrying persons or property and for being | 0017| drawn by a motor vehicle, and so constructed that no | 0018| significant part of its weight rests upon the towing vehicle; | 0019| E. "traffic" means pedestrians, ridden or herded | 0020| animals, vehicles and other conveyances either singly or | 0021| together using any highway for purposes of travel; | 0022| F. "traffic-control signal" means any device, | 0023| whether manually, electrically or mechanically operated, by | 0024| which traffic is alternately directed to stop and to proceed; | 0025| |G. "transporter of manufactured homes" means a | - 3 - 0001| commercial motor vehicle operation engaged in the business of | 0002| transporting manufactured homes from the manufacturer's | 0003| location to the first dealer's location. A "transporter of | 0004| manufactured homes" may or may not be associated with or | 0005| affiliated with a particular manufacturer or dealer;| | 0006| ~[G.]~ |H.| "travel trailer" means a trailer that | 0007| exceeds neither a width of eight feet nor a length of forty | 0008| feet, when equipped for the road, and includes recreational | 0009| travel trailers and camping trailers; | 0010| ~[H.]~ |I.| "trial court" means the magistrate, | 0011| municipal or district court that tries the case concerning an | 0012| alleged violation of a provision of the Motor Vehicle Code; | 0013| ~[I.]~ |J.| "truck" means every motor vehicle | 0014| designed, used or maintained primarily for the transportation | 0015| of property; | 0016| ~[J.]~ |K.| "truck camper" means a camping body | 0017| designed to be loaded onto, or affixed to, the bed ~[of]~ |or| | 0018| chassis of a truck. This camping body, when combined with a | 0019| truck or truck cab and chassis, even though not attached | 0020| permanently, becomes a part of the motor vehicle and | 0021| |together| they are a recreational unit to be known as a | 0022| "truck camper"; there are three general types of truck | 0023| campers: | 0024| (1) "slide-in camper" means a camping body | 0025| designed to be loaded onto and unloaded from the bed of a | - 4 - 0001| pickup truck; | 0002| (2) "chassis-mount camper" means a camping | 0003| body designed to be affixed to a truck cab and chassis; and | 0004| (3) "pickup cover" or "camper shell" means a | 0005| camping body designed to provide an all-weather protective | 0006| enclosure over the bed of a pickup truck and to be affixed | 0007| thereto; and | 0008| ~[K.]~ |L.| "truck tractor" means every motor | 0009| vehicle designed and used primarily for drawing other vehicles | 0010| and not so constructed as to carry a load other than a part of | 0011| the weight of the vehicle and load so drawn." | 0012| Section 3. Section 66-3-6 NMSA 1978 (being Laws 1978, | 0013| Chapter 35, Section 26, as amended) is amended to read: | 0014| "66-3-6. TEMPORARY PERMITS |AND DEMONSTRATION PLATES|.-- | 0015| A. The ~[division]~ |department| may issue a | 0016| temporary permit to |individuals to| operate a vehicle pending | 0017| action by the ~[division]~ |department| upon an application | 0018| for registration and certificate of title |or renewal of | 0019| registration| when the application is accompanied by the | 0020| proper ~[fee, and the division]~ |fees and taxes. The | 0021| temporary permit shall be valid for a period not to exceed | 0022| thirty business days from the day it is validated by the | 0023| department. Temporary permits shall not be extended nor | 0024| another issued except for good cause shown.| | 0025| |B. The department| may issue a temporary permit | - 5 - 0001| ~[for a fifty cent ($.50) fee]~ to individuals and financing | 0002| institutions to operate a vehicle for ~[purposes]~ |the | 0003| purpose| of demonstrating the vehicle for resale. The | 0004| temporary permit shall ~[state the number of days the permit | 0005| is valid and shall be validated by the signature of the | 0006| director. | 0007| B. The division]~ |be valid for a period not to | 0008| exceed five business days from the day it is validated by the | 0009| department. Temporary permits shall not be extended nor | 0010| another issued except for good cause shown.| | 0011| |C. The department may issue a temporary permit to | 0012| a manufacturer of vehicles or transporter of manufactured | 0013| homes for the purpose of demonstrating or transporting the | 0014| vehicle to a dealer's location. The temporary permit shall be | 0015| valid for a period not to exceed ten business days, shall | 0016| state the number of days for which the permit is valid and | 0017| shall be validated by the signature of the manufacturer or | 0018| transporter. Temporary permits shall not be extended nor | 0019| another issued except for good cause shown.| | 0020| |D. The department| shall issue |or authorize the | 0021| issuance of| temporary transportation permits to dealers | 0022| licensed ~[under the Motor Vehicle Code who hold current | 0023| special plates issued under Section 66-3-402 NMSA 1978. The | 0024| division shall collect a fee of fifty cents ($.50) for each | 0025| permit issued]~ |pursuant to Section 66-4-1 NMSA 1978|. | - 6 - 0001| Temporary transportation permits shall be used only ~[by]~ |on | 0002| vehicles held in the inventory of| the dealer to whom the | 0003| permits are issued. ~[Use of]~ The permits shall be |used| | 0004| only for importing vehicles into this state or for | 0005| transporting vehicles between dealers intrastate ~[and only on | 0006| vehicles owned by the dealer]~. Use of the permits shall be | 0007| deemed compliance with the requirements of Section 66-3-4 NMSA | 0008| 1978. ~[For misuse of the permits by a dealer, the director | 0009| may revoke or suspend their use after a hearing as provided in | 0010| Section 66-4-3 NMSA 1978.]~ The permits shall be ~[validated | 0011| by the signature of the dealer to whom they are issued and | 0012| are]~ valid for not more than ~[thirty]~ |five| additional | 0013| |business| days from the date of validation. ~[In addition to | 0014| the general requirements for temporary permits, all]~ | 0015| Temporary transportation permits shall ~[include the | 0016| following]~: | 0017| (1) ~[the]~ name ~[of]~ the dealer to whom | 0018| the permits are issued; | 0019| (2) ~[the]~ name ~[of]~ the authorized driver | 0020| of the vehicle; | 0021| (3) |show| the point of origin |and | 0022| termination| of the trip covered by the permit; and | 0023| (4) ~[the point of termination of the trip | 0024| covered by]~ |be signed and dated by the dealer who executed| | 0025| the permit. | - 7 - 0001| ~[C.]~ |E.| The ~[division]~ |department| shall | 0002| issue |or authorize the issuance of| temporary retail-sale | 0003| permits to dealers licensed ~[under the Motor Vehicle Code who | 0004| hold current special plates issued under Section 66-3-402 NMSA | 0005| 1978. The division shall collect a fee of fifty cents ($.50) | 0006| for each permit issued]~ |pursuant to Section 66-4-1 NMSA | 0007| 1978|. Temporary retail-sale permits shall be used only on | 0008| vehicles sold at retail by the dealer to whom the temporary | 0009| permits are issued and shall not be extended nor another | 0010| issued for the same vehicle ~[and only after the application | 0011| for registration has been executed and proper fees collected | 0012| by the dealer, except that when a vehicle is sold to a bona | 0013| fide nonresident, neither an application for registration nor | 0014| the payment of fees is required under this section]~ |except | 0015| for good cause shown|. Use of the permits shall be deemed | 0016| compliance with the provisions of Section 66-3-4 NMSA 1978. | 0017| ~[For the misuse of the permits by a dealer, the director may | 0018| revoke or suspend their use after a hearing as provided in | 0019| Section 66-4-3 NMSA 1978.]~ The permits shall be ~[validated | 0020| by the signature of the dealer to whom they are issued and | 0021| shall be]~ valid for not more than thirty additional days from | 0022| the date of validation. Temporary retail-sale permits shall: | 0023| (1) name the dealer to whom the permits are | 0024| issued; ~[and]~ | 0025| (2) name the person to whom the vehicle has | - 8 - 0001| been sold; |and| | 0002| |(3) be signed and dated by the dealer who | 0003| executed the permit.| | 0004| |F. The department shall issue, or authorize the | 0005| issuance of, temporary demonstration plates to dealers | 0006| licensed pursuant to Section 66-4-1 NMSA 1978. Temporary | 0007| demonstration plates shall be used only on vehicles included | 0008| in the inventory of the dealer to whom the temporary plates | 0009| are issued. The temporary plates shall be used to allow the | 0010| operation of vehicles for the limited purposes of testing, | 0011| demonstrating or preparing a vehicle for sale or lease.| | 0012| Temporary demonstration plates may not be used on work or | 0013| service vehicles, as that term is defined in Section 66-3-401 | 0014| NMSA 1978, that are owned, used or held in inventory by a | 0015| dealer. Use of the temporary plates shall be deemed | 0016| compliance with the provisions of Section 66-3-4 NMSA 1978. A | 0017| temporary demonstration plate, after being affixed to a | 0018| specific vehicle, shall be valid for as long as the vehicle is | 0019| held in the dealer's inventory. A dealer who uses temporary | 0020| demonstration plates is required to maintain a list showing | 0021| the plate assigned to each specific vehicle and make that list | 0022| available to the department during normal business hours. | 0023| Temporary demonstration plates shall: | 0024| (1) name the dealer to whom the plates are | 0025| issued; and | - 9 - 0001| (2) display a unique identification number | 0002| assigned by the department. | 0003| |G. In lieu of issuing temporary transportation | 0004| permits, temporary retail-sale permits or temporary | 0005| demonstration plates to dealers, the department may authorize | 0006| in writing dealers licensed pursuant to Section 66-4-1 NMSA | 0007| 1978 to print and use at their own cost temporary permits or | 0008| plates to be used in conformance with the provisions of | 0009| Subsections D, E and F of this section, subject to reasonable | 0010| requirements established by the department.| | 0011| ~[D.]~ |H.| The ~[division]~ |department| shall | 0012| prescribe the size, ~[and]~ shape |and content| of all | 0013| temporary permits |and plates authorized by this section|. No | 0014| temporary permit |or plate| is valid until affixed to the | 0015| vehicle for which it is validated in a manner prescribed by | 0016| the ~[division. All temporary permits shall: | 0017| (1) identify the vehicle for which it is | 0018| validated by make, model, year of model and engine or other | 0019| identifying number; | 0020| (2) bear an identification number of a size | 0021| and color to be prescribed by the division; | 0022| (3) bear the expiration date of the permit in | 0023| numerals of a size to be prescribed by the division; and | 0024| (4) bear the date the validating signature is | 0025| affixed. | - 10 - 0001| E. The division]~ |department.| | | 0002| I. For the misuse of any temporary permit or plate | 0003| authorized by this section by an individual, financing | 0004| institution, manufacturer, transporter of manufactured homes, | 0005| dealer, wrecker or dismantler, the secretary may revoke or | 0006| suspend their use after a hearing as provided in Section | 0007| 66-2-17 NMSA 1978. | 0008| J. The department shall collect an administrative | 0009| fee of fifty cents ($.50) in addition to the actual cost of | 0010| the temporary permit document or plate for each temporary | 0011| permit or plate issued by the department to individuals, | 0012| financial institutions, manufacturers, transporters, wreckers | 0013| or dealers pursuant to this section.| | | 0014| K. The department may issue temporary | 0015| transportation permits, temporary retail-sale permits and | 0016| temporary demonstration plates to dealers in units of not less | 0017| than one hundred permits at a fee established by the | 0018| department to cover the actual cost of the permit or plate | 0019| documents. No administrative fee shall be charged by the | 0020| department when temporary permits or plates are issued by the | 0021| department pursuant to the provisions of this subsection.| | 0022| |L. The fees authorized by Subsections J and K of | 0023| this section to cover the actual cost of the temporary permit | 0024| document or plate are appropriated to the department to defray | 0025| the costs of administering the temporary permit and plate | - 11 - 0001| program. The department| shall remit the ~[temporary permit]~ | 0002| |administrative| fee revenues of this section to the motor | 0003| vehicle suspense fund to be distributed in accordance with | 0004| Section 66-6-23 NMSA 1978." | 0005| Section 4. Section 66-3-18 NMSA 1978 (being Laws 1978, | 0006| Chapter 35, Section 38, as amended) is amended to read: | 0007| "66-3-18. DISPLAY OF REGISTRATION ~[PLATE]~ |PLATES AND | 0008| TEMPORARY PERMITS AND PLATES|--DISPLAYS PROHIBITED AND | 0009| ALLOWED.-- | 0010| A. The registration plate shall be attached to the | 0011| rear of the vehicle for which it is issued; however, the | 0012| registration plate shall be attached to the front of a road | 0013| tractor or truck tractor. The plate shall be securely | 0014| fastened at all times in a fixed horizontal position at a | 0015| height of not less than twelve inches from the ground, | 0016| measuring from the bottom of the plate. It shall be in a | 0017| place and position so as to be clearly visible, and it shall | 0018| be maintained free from foreign material and in a condition to | 0019| be clearly legible. | 0020| |B. Except for temporary demonstration plates, | 0021| temporary permits shall be firmly affixed to the inside left | 0022| rear window of the vehicle to which it is issued, unless such | 0023| display presents a safety hazard or the temporary permit is | 0024| not visible or readable from that position, in which case, the | 0025| temporary permit shall be displayed in such a manner that it | - 12 - 0001| is clearly visible from the rear or left side of the vehicle. | 0002| Temporary demonstration plates shall be displayed as provided | 0003| for in Subsection A of this section.| | 0004| ~[B.]~ |C.| No vehicle while being operated on the | 0005| highways of this state shall have displayed either on the | 0006| front or the rear of the vehicle any registration plate, | 0007| including tab or sticker, other than one issued or validated | 0008| for the current registration period by the ~[division]~ | 0009| |department| or any other licensing authority having | 0010| jurisdiction over the vehicle. No expired registration plate, | 0011| tab or sticker shall be displayed on the vehicle other than an | 0012| expired special registration plate which may be exhibited on | 0013| the front of the vehicle. | 0014| ~[C.]~ |D.| Nothing contained in this section | 0015| shall be construed as prohibiting the use ~[on the front of | 0016| the vehicle]~ of a promotional or advertising plate |on the | 0017| front of the vehicle|." | 0018| Section 5. Section 66-3-104 NMSA 1978 (being Laws 1978, | 0019| Chapter 35, Section 51, as amended) is amended to read: | 0020| "66-3-104. USE OF PLATE AND REGISTRATION NUMBER ON | 0021| ANOTHER VEHICLE--TRANSFER OF REGISTRATION.-- | 0022| |A.| Whenever the owner of a registered vehicle | 0023| assigns title or interest to the vehicle, the registration of | 0024| ~[the]~ |that| vehicle expires. At such time, the owner shall | 0025| remove |and retain| the registration plate from the vehicle | - 13 - 0001| and, |within thirty days of the transfer, either shall make | 0002| application to have the registration number assigned to | 0003| another vehicle of the same class or| shall forward the plate | 0004| to the ~[division]~ |department| or its authorized agent | 0005| ~[within thirty days of the transfer]~ to be destroyed ~[or | 0006| the owner shall retain the license plate, within the same | 0007| thirty days, and make application to have the registration | 0008| number assigned to another vehicle of the same class]~. The | 0009| registration plate shall be transferred only where the | 0010| application for transfer is made in the name of the original | 0011| registered owner unless the owner's name has been changed by | 0012| marriage, divorce or court order. | 0013| |B.| The registration plate shall not be displayed | 0014| upon the newly acquired vehicle until the registration of the | 0015| vehicle has been completed and a new registration certificate | 0016| issued. |However, the temporary retail-sale permit issued for | 0017| the vehicle by the dealer pursuant to the provisions of | 0018| Section 66-3-6 NMSA 1978 may be securely attached to the plate | 0019| to be transferred and displayed in accordance with Subsection | 0020| A of Section 66-3-18 NMSA 1978.|" | 0021| Section 6. Section 66-3-107 NMSA 1978 (being Laws 1978, | 0022| Chapter 35, Section 54, as amended) is amended to read: | 0023| "66-3-107. ~[TRANSFER BY DEALER]~ |DUTIES OF SELLER OR | 0024| TRANSFEROR--ADDITIONAL DUTIES OF DEALERS|--APPLICATION FOR | 0025| TRANSFER--PENALTY--MILEAGE OF VEHICLE.-- | - 14 - 0001| A. ~[Dealers required to be licensed under the | 0002| provisions of the Motor Vehicle Code shall furnish to a | 0003| purchaser upon delivery]~ |Any seller or transferor, including | 0004| a dealer|, of a vehicle required to be registered ~[under]~ | 0005| |pursuant to| the Motor Vehicle Code |shall furnish to the | 0006| purchaser upon delivery| the necessary title properly assigned | 0007| and shall inform the purchaser that application ~[of]~ |for| | 0008| transfer must be filed with the ~[division]~ |department| | 0009| within thirty days of the date of ~[delivery]~ |sale|. When a | 0010| dealer |licensed pursuant to Section 66-4-1 NMSA 1978| allows | 0011| a vehicle ~[or motor vehicle]~ to be purchased over a period | 0012| of time pursuant to an expressed or implied contract and | 0013| elects to retain a security interest in ~[said]~ |the| | 0014| vehicle, the dealer shall collect the necessary transfer fees | 0015| from the purchaser upon delivery of the vehicle and shall, | 0016| within thirty days, pay all transfer fees due on ~[said]~ | 0017| |the| vehicle to the ~[division of motor vehicles]~ | 0018| |department| and shall give to the new purchaser the new | 0019| registration certificate in the purchaser's name. | 0020| B. Every dealer, upon transferring by sale, lease | 0021| or otherwise any vehicle, whether new or used, of a type | 0022| subject to registration ~[under]~ |pursuant to| the Motor | 0023| Vehicle Code shall give written notice of the transfer to the | 0024| ~[division]~ |department| upon an appropriate form provided by | 0025| the ~[division]~ |department|. | - 15 - 0001| C. Except as otherwise provided in this | 0002| subsection, the dealer shall indicate on the form the actual | 0003| mileage of the vehicle as indicated by the vehicle's odometer | 0004| at the time of the transfer. | 0005| D. A sale shall be deemed completed and | 0006| consummated when the purchaser of that vehicle has paid the | 0007| purchase price or, in lieu thereof, has signed a purchase | 0008| contract or security agreement and taken physical possession | 0009| or delivery of that vehicle. | 0010| E. Failure to apply for transfer of registration | 0011| and issuance of a new certificate of title within thirty days | 0012| from the date of transfer ~[shall subject]~ |subjects| the | 0013| transferee to a penalty of twenty dollars ($20.00), which | 0014| shall be collected by the ~[division]~ |department| and shall | 0015| be in addition to other fees and penalties provided by law." | 0016| Section 7. Section 66-3-108 NMSA 1978 (being Laws 1978, | 0017| Chapter 35, Section 55) is amended to read: | 0018| "66-3-108. TRANSFER TO DEALERS.--When the transferee of | 0019| a vehicle is a dealer who holds the ~[same]~ |vehicle| for | 0020| resale and ~[operates the same only for purposes incident to a | 0021| resale or when a dealer]~ does not drive ~[such]~ |the| | 0022| vehicle or permit it to be driven upon the highways, the | 0023| dealer shall not be required to obtain transfer of | 0024| registration of ~[such]~ |the| vehicle or forward the | 0025| certificate of title to the ~[division]~ |department|. | - 16 - 0001| However, ~[such]~ |the| dealer, upon transferring his title or | 0002| interest to another person, shall execute an assignment and | 0003| warrant of title upon the certificate of title and deliver the | 0004| same to the person to whom ~[such]~ |the| transfer is made." | 0005| Section 8. Section 66-3-401 NMSA 1978 (being Laws 1978, | 0006| Chapter 35, Section 80) is amended to read: | 0007| "66-3-401. OPERATION OF VEHICLES UNDER SPECIAL |DEALER| | 0008| PLATES.-- | 0009| A. ~[A manufacturer]~ |Any vehicle that is | 0010| required to be registered pursuant to the Motor Vehicle Code | 0011| and that is included in the inventory of a| wrecker of | 0012| vehicles or dealer ~[owning any vehicle of a type otherwise | 0013| required to be registered hereunder may operate or move the | 0014| same]~ |may be operated or moved| upon the highways for ~[all | 0015| purposes incidental to his business including but not limited | 0016| to transporting, testing, demonstrating or selling the same | 0017| without registering each such vehicle, upon condition that any | 0018| such]~ |any purpose provided that the| vehicle display | 0019| ~[thereon]~ in the manner prescribed in Section ~[64-3-18 NMSA | 0020| 1953]~ |66-3-18 NMSA 1978| a special plate issued to ~[such | 0021| manufacturer]~ |the| dealer or wrecker of vehicles as provided | 0022| in ~[this article]~ |Section 66-3-402 NMSA 1978|. This | 0023| ~[paragraph]~ |subsection| shall not be construed as limiting | 0024| the use of temporary permits issued to dealers ~[under]~ | 0025| |pursuant to| Section ~[64-3-6 NMSA 1953]~ |66-3-6 NMSA 1978|. | - 17 - 0001| B. The provisions of this ~[article]~ |section| do | 0002| not apply to work or service vehicles ~[owned]~ |used| by a | 0003| ~[manufacturer]~ wrecker of vehicles or dealer. |For the | 0004| purposes of this subsection, "work or service vehicle" | 0005| includes any vehicle used substantially as a: | 0006| (1) parts or delivery vehicle; | 0007| (2) vehicle used to tow another vehicle; | 0008| (3) courtesy shuttle; or | 0009| (4) vehicle loaned to customers for their | 0010| convenience.| | 0011| |C. Each vehicle included in a dealer's inventory | 0012| required to be registered pursuant to the provisions of | 0013| Subsection A of this section must conform to the registration | 0014| provisions of the Motor Vehicle Code, but is not required to | 0015| be titled pursuant to the provisions of that code. When any | 0016| vehicle is no longer included in a dealer's inventory, and is | 0017| not sold or leased to an unrelated entity, the dealer must | 0018| title the vehicle and pay the motor vehicle excise tax that | 0019| would have been due when the vehicle was first registered by | 0020| the dealer.| | 0021| D. In lieu of the use of special dealer plates | 0022| pursuant to this section, a dealer or wrecker may register and | 0023| title a vehicle included in a dealer's inventory in the name | 0024| of the dealer or wrecker upon payment of the registration fee | 0025| applicable to that vehicle, but without payment of the motor | - 18 - 0001| vehicle excise tax provided the vehicle is subsequently sold | 0002| or leased in the ordinary course of business in a transaction | 0003| subject to the motor vehicle excise tax or the leased vehicle | 0004| gross receipts tax." | 0005| Section 9. A new Section 66-3-401.1 NMSA 1978 is enacted | 0006| to read: | 0007| "66-3-401.1. [|NEW MATERIAL|] OPERATION OF VEHICLES | 0008| UNDER SPECIAL COLLEGIATE REGISTRATION PLATES.-- | 0009| A. In lieu of the use of special dealer plates | 0010| pursuant to Section 66-3-401 NMSA 1978, a dealer may register | 0011| and title a vehicle in the name of the dealer pursuant to the | 0012| provisions of Section 66-3-416 NMSA 1978 for the purpose of | 0013| providing the use of a vehicle from the inventory of the | 0014| dealer to a full-time coach or athletic director at any state- | 0015| supported four-year institution of higher education in New | 0016| Mexico. | 0017| B. Each vehicle that a dealer elects to register | 0018| pursuant to Subsection A of this section is not required to be | 0019| titled pursuant to the provisions of the Motor Vehicle Code, | 0020| but such vehicle must be included in the driver's inventory | 0021| for Internal Revenue Code of 1986 purposes and transferred to | 0022| the full-time coach or athletic director under conditions that | 0023| require the dealer to report the value of the use of the | 0024| vehicle as income to the full-time coach or athletic | 0025| director." | - 19 - 0001| Section 10. Section 66-3-402 NMSA 1978 (being Laws 1978, | 0002| Chapter 55, Section 81) is amended to read: | 0003| "66-3-402. APPLICATION FOR ~[AND ISSUANCE OF CERTIFICATE | 0004| AND]~ SPECIAL |DEALER| PLATES.-- | 0005| A. Any ~[manufacturer]~ wrecker of vehicles or | 0006| dealer may ~[make application]~ |apply| to the ~[division]~ | 0007| |department| upon the appropriate form ~[for a certificate | 0008| containing a general "vehicle-business number" and]~ for one | 0009| or more special |dealer| plates. The applicant shall ~[also]~ | 0010| submit proof of his status as a bona fide ~[manufacturer]~ | 0011| wrecker of vehicles or dealer as may reasonably be required by | 0012| the ~[division]~ |department|. | 0013| |B. The maximum number of special dealer plates | 0014| for which a dealer of new or used motor vehicles or | 0015| motorcycles may apply pursuant to this section shall be: | 0016| (1) for a dealer who sold in the previous | 0017| calendar year five or more but fewer than fifty vehicles, one | 0018| plate; | 0019| (2) for a dealer who sold in the previous | 0020| calendar year more than fifty but fewer than one hundred | 0021| vehicles, three plates; | 0022| (3) for a dealer who sold in the previous | 0023| calendar year more than one hundred but fewer than five | 0024| hundred vehicles, five plates; and | 0025| (4) for a dealer who sold in the previous | - 20 - 0001| calendar year five hundred or more vehicles, ten plates. | 0002| C. The maximum number of special dealer plates for | 0003| which a wrecker or dismantler of new or used motor vehicles or | 0004| motorcycles may apply pursuant to this section shall be: | 0005| (1) for a wrecker or dismantler who wrecked | 0006| or dismantled three or more but fewer than fifty vehicles, one | 0007| plate; | 0008| (2) for a wrecker or dismantler who wrecked | 0009| or dismantled fifty or more but fewer than one hundred | 0010| vehicles, three plates; | 0011| (3) for a wrecker or dismantler who wrecked | 0012| or dismantled one hundred or more but fewer than five hundred | 0013| vehicles, five plates; and | 0014| (4) for a wrecker or dismantler who wrecked | 0015| or dismantled five hundred vehicles or more, ten plates. | 0016| D. Any dealer or wrecker shall be entitled to five | 0017| plates in the first calendar year in which he begins business. | 0018| Any dealer or wrecker who is licensed pursuant to the | 0019| provisions of Section 66-4-1 NMSA 1978 on or after August 1 of | 0020| any calendar year shall also be entitled to five plates in the | 0021| calendar year following the year in which he is first licensed | 0022| to do business.| | 0023| ~[B.]~ |E.| The ~[division]~ |department| upon | 0024| granting any such application shall issue to the applicant a | 0025| certificate containing the applicant's name and address and | - 21 - 0001| ~[general vehicle-business number]~ |the numbers of the | 0002| special dealer plates| assigned to the applicant. | 0003| ~[C. The division shall issue special plates as | 0004| applied for which shall have displayed thereon the general | 0005| vehicle-business numbers assigned to the applicant.]~" | 0006| Section 11. Section 66-3-403 NMSA 1978 (being Laws 1978, | 0007| Chapter 35, Section 82) is amended to read: | 0008| "66-3-403. EXPIRATION OF SPECIAL ~[VEHICLE-BUSINESS]~ | 0009| |DEALER| PLATES.--Every special ~[vehicle-business]~ |dealer| | 0010| plate issued ~[hereunder]~ |pursuant to Section 66-3-402 NMSA | 0011| 1978| expires at midnight on December 31 of each year. ~[and | 0012| a]~ |Upon payment of the proper fee, the person to whom the | 0013| special dealer plate was issued may apply to the department | 0014| for a| new plate or validating sticker for the ensuing year | 0015| ~[may be obtained by the person to whom any such expired plate | 0016| was issued upon application to the division and payment of the | 0017| fee provided by law]~. Renewal of all ~[such]~ special | 0018| ~[vehicle-business]~ |dealer| plates shall be on or before | 0019| ~[March 2 of the following year]~ |December 31. It is a | 0020| misdemeanor pursuant to the Motor Vehicle Code to operate a | 0021| vehicle with a special dealer plate that has expired|." | 0022| Section 12. Section 66-4-1 NMSA 1978 (being Laws 1978, | 0023| Chapter 35, Section 214, as amended) is amended to read: | 0024| "66-4-1. DEALERS, WRECKERS, WHOLESALERS AND DISTRIBUTORS | 0025| OF VEHICLES MUST BE LICENSED--PRESUMPTION OF CONDUCTING | - 22 - 0001| BUSINESS.-- | 0002| A. No person, unless licensed to do so by the | 0003| ~[division]~ |department|, shall carry on or conduct the | 0004| |active trade or| business of: | 0005| (1) a dealer in ~[vehicles or]~ motor | 0006| vehicles ~[trailers, semitrailers, house trailers or pole | 0007| trailers]~ of a type subject to registration |pursuant to the | 0008| Motor Vehicle Code|; | 0009| (2) wrecking or dismantling any vehicle or | 0010| motor vehicle for the resale of the parts. Any person | 0011| possessing three or more wrecked, dismantled or partially | 0012| wrecked or dismantled vehicles or motor vehicles and selling | 0013| or offering for sale a used vehicle or motor vehicle part and | 0014| who regularly sells or offers for sale used vehicles or used | 0015| motor vehicle parts shall be presumed to be conducting the | 0016| business of wrecking or dismantling a vehicle or motor vehicle | 0017| for the resale of the parts; | 0018| (3) wholesaling of vehicles. Any person who | 0019| sells or offers for sale vehicles of a type subject to | 0020| registration in this state, to a vehicle dealer licensed | 0021| ~[under]~ |pursuant to| the Motor Vehicle Code or who is | 0022| franchised by a manufacturer, distributor or vehicle dealer to | 0023| sell or promote the sale of vehicles dealt in by such | 0024| manufacturer, distributor or vehicle dealer shall be presumed | 0025| to be conducting the business of wholesaling. Provided, | - 23 - 0001| however, that if any such person also sells a vehicle at | 0002| retail, he shall be deemed to be a dealer and is subject to | 0003| the dealer-licensing provisions of the Motor Vehicle Code; or | 0004| (4) distributing of vehicles. Any person who | 0005| distributes or sells new or used motor vehicles to dealers and | 0006| who is not a manufacturer shall be presumed to be conducting | 0007| the business of distributing vehicles. | 0008| B. Application for a dealer's, wholesaler's, | 0009| distributor's or wrecker's license shall be made upon the form | 0010| prescribed by the ~[division]~ |department| and shall contain | 0011| the name and address of the applicant and, when the applicant | 0012| is a partnership, the name and address of each partner; or, | 0013| when the applicant is a corporation, the names of the | 0014| principal officers of the corporation and the state in which | 0015| incorporated and the place ~[or places]~ where the business is | 0016| to be conducted and the nature of the business and such other | 0017| information as may be required by the ~[division]~ | 0018| |department|. Every application shall be verified by the oath | 0019| or affirmation of the applicant, if an individual, or, in the | 0020| event an applicant is a partnership or corporation, by a | 0021| partner or officer of the partnership or corporation. Every | 0022| application shall be accompanied by the fee required by law. | 0023| C. Any metal processor or dealer in scrap who | 0024| dismantles, processes for scrap, shreds, compacts, crushes or | 0025| otherwise destroys more than three vehicles or motor vehicles | - 24 - 0001| within a period of one year shall be licensed ~[under]~ | 0002| |pursuant to| the provisions of Sections 66-4-1 through 66-4-9 | 0003| NMSA 1978. | 0004| D. In order to ensure that any dealer, wholesaler, | 0005| distributor or wrecker complies with this section, the | 0006| ~[director]~ |secretary| may apply to a district court of this | 0007| state to have any person operating without a license as | 0008| required by this section enjoined from engaging in business | 0009| until he complies with the requirements of licensing as | 0010| provided by this section. | 0011| E. Upon application to a court for the issuance of | 0012| an injunction against an unlicensed operator, the court may | 0013| forthwith issue an order temporarily restraining him from | 0014| doing business. The court shall hear the matter within three | 0015| days and, upon a showing by the preponderance of the evidence | 0016| that the person is operating without a license and that he has | 0017| been given notice of the hearing as required by law, the court | 0018| may enjoin him from engaging in business in New Mexico until | 0019| he ceases to be unlicensed. Upon issuing an injunction, the | 0020| court may also order the business premises of the person to be | 0021| sealed by the sheriff and may allow the person access thereto | 0022| only upon approval of the court. | 0023| F. No temporary restraining order shall be issued | 0024| against any person who has complied with the provisions of | 0025| this section. Upon a showing to the court by any person | - 25 - 0001| against whom a temporary restraining order has been issued | 0002| that he has a license in accordance with the provisions of | 0003| this section, the court shall dissolve or set aside the | 0004| temporary restraining order." | 0005| Section 13. Section 66-4-7 NMSA 1978 (being Laws 1978, | 0006| Chapter 35, Section 220, as amended) is amended to read: | 0007| "66-4-7. DEALERS, WHOLESALERS, DISTRIBUTORS AND WRECKERS | 0008| OF VEHICLES--~[HOUSE TRAILER DEALERS]~ DEALERS OF MOTORCYCLES | 0009| ONLY--BOND.-- | 0010| A. Before issuance of any dealer's license, | 0011| wholesaler's license, distributor's license |or| wrecker of | 0012| vehicles license ~[or house trailer dealer's license]~, the | 0013| applicant shall procure and file with the ~[division]~ | 0014| |department| a corporate surety bond in the amount of ~[twenty | 0015| thousand dollars ($20,000)]~ |fifty thousand dollars | 0016| ($50,000)|. An applicant for a dealer's license for | 0017| motorcycles only shall procure and file with the ~[division]~ | 0018| |department| a corporate surety bond in the amount of twelve | 0019| thousand five hundred dollars ($12,500). The corporate surety | 0020| shall be licensed |by the state corporation commission or a | 0021| successor entity| to do business in this state |as a surety| | 0022| and the form of the bond shall be approved by the attorney | 0023| general. The bond shall be payable to the state for the use | 0024| and benefit of the purchaser and his vendees, conditioned upon | 0025| payment of any loss, damage and expense sustained by the | - 26 - 0001| purchaser or his vendees, or both, by reason of failure of the | 0002| title of the vendor, by any fraudulent misrepresentations or | 0003| by any breach of warranty as to freedom from liens on the | 0004| motor vehicle |or| motorcycle ~[or | 0005| house trailer]~ sold by the dealer, wholesaler, distributor, | 0006| dealer of motorcycles only ~[house trailer dealer]~ or wrecker | 0007| of vehicles. The bond shall be continuous in form and limited | 0008| to the payment of ~[twenty thousand dollars ($20,000)]~ |fifty | 0009| thousand dollars ($50,000)| in total aggregate liability on a | 0010| dealer's license, wholesaler's license, distributor's license | 0011| ~[house trailer dealer's license]~ and a wrecker of vehicles | 0012| license and twelve thousand five hundred dollars ($12,500) on | 0013| a dealer's license for motorcycles only. | 0014| B. No applicant for a dealer's license, | 0015| wholesaler's license, distributor's license ~[house trailer | 0016| dealer's license]~ or dealer's license for motorcycles only | 0017| who files bond in the amount and form specified in Subsection | 0018| A of this section shall be required to file any additional | 0019| bond to conduct a business of wrecking or dismantling motor | 0020| vehicles ~[house trailers]~ or motorcycles. Conversely, no | 0021| applicant for a wrecker of vehicles license who files bond in | 0022| the amount and form specified in Subsection A of this section | 0023| shall be required to file any additional bond to conduct a | 0024| business of dealer ~[of motor vehicles]~, distributor ~[of | 0025| motor vehicles]~, wholesaler ~[of motor vehicles, house | - 27 - 0001| trailer dealer]~ or dealer of motorcycles only. | 0002| ~[C. No applicant for a dealer's license for | 0003| motorcycles only who files a bond in the amount and form | 0004| specified in Subsection A of this section shall be required to | 0005| file any additional bond to conduct a business of motorcycle | 0006| trailer dealer incidental to his business of dealer of | 0007| motorcycles only]~ | 0008| |C. In lieu of the bond required in this section, | 0009| the dealer, wholesaler, distributor, wrecker of vehicles or | 0010| dealer of motorcycles only may elect to file with the | 0011| department the equivalent amount of cash or bonds of the | 0012| United States or New Mexico or of any political subdivision of | 0013| the state|." | 0014| Section 14. Section 66-4-8 NMSA 1978 (being Laws 1978, | 0015| Chapter 35, Section 221) is amended to read: | 0016| "66-4-8. ~[BOAT DEALERS--EXEMPT FROM BOND]~ |EXEMPTIONS | 0017| FROM LICENSING AND BOND PROVISIONS|.--The provisions of | 0018| ~[Section 64-4-7 NMSA 1953]~ |Sections 66-4-1 through 66-4-7 | 0019| NMSA 1978| requiring dealers, |wholesalers and distributors of | 0020| motor vehicles| and wreckers of vehicles |and motor vehicles| | 0021| to |be licensed and| post a bond do not apply to persons who | 0022| deal in ~[boat trailers incidentally to dealing in boats]~ | 0023| |boats or vessels, off-highway motor vehicles, manufactured | 0024| homes, recreational vehicles that are designed to be towed by | 0025| a motor vehicle, trailers, semitrailers, pole trailers and | - 28 - 0001| trailers designed to transport boats, vessels or off-highway | 0002| motor vehicles| and who do not deal in other motor vehicles | 0003| ~[trailers, semitrailers, house trailers or pole trailers]~ of | 0004| a type subject to registration." | 0005| Section 15. Section 66-6-17 NMSA 1978 (being Laws 1978, | 0006| Chapter 35, Section 352, as amended) is amended to read: | 0007| "66-6-17. SPECIAL |DEALER| PLATE FEES ~[MANUFACTURERS, | 0008| DEALERS AND WRECKERS OF VEHICLES]~.-- | 0009| A. Except as provided otherwise in Subsection C of | 0010| this section, every ~[manufacturer]~ dealer or wrecker of | 0011| vehicles, except a dealer in motorcycles only, shall pay each | 0012| license year fifty dollars ($50.00) for ~[the first]~ |each| | 0013| special |dealer| plate issued |pursuant to Section 66-3-402 | 0014| NMSA 1978| to the ~[manufacturer]~ dealer or wrecker for that | 0015| license year ~[and shall pay ten dollars ($10.00) for each | 0016| additional plate so issued in that license year]~. | 0017| B. Except as provided otherwise in Subsection C of | 0018| this section, every dealer in motorcycles only shall pay each | 0019| license year ten dollars ($10.00) for ~[the first]~ |each| | 0020| special |dealer| plate issued |pursuant to Section 66-3-402 | 0021| NMSA 1978| to the dealer for that license year ~[and shall pay | 0022| five dollars ($5.00) for each additional plate so issued for | 0023| that license year | 0024| C. A replacement plate for a special plate shall | 0025| be issued upon the payment of ten dollars ($10.00)]~. | - 29 - 0001| |C. In the event any special dealer plate is lost, | 0002| mutilated or becomes illegible, a dealer, wrecker of vehicles | 0003| or dealer in motorcycles only shall obtain a replacement plate | 0004| pursuant to the provisions of Section 66-3-24 NMSA 1978. The | 0005| fee for a replacement special dealer plate shall be fifty | 0006| dollars ($50.00) for a dealer or wrecker of vehicles and ten | 0007| dollars ($10.00) for a dealer in motorcycles only.|" | 0008| Section 16. TEMPORARY PROVISION.-- | 0009| A. Dealers, wreckers of vehicles or dealers in | 0010| motorcycles only who have a valid license issued pursuant to | 0011| the provisions of Section 66-4-1 NMSA 1978 and one or more | 0012| special plates issued pursuant to the provisions of Section | 0013| 66-3-402 NMSA 1978 as of July 1, 1998 may elect to postpone | 0014| the effective date of Sections 1 through 15 of this act until | 0015| January 1, 1999. The election to postpone the effective date | 0016| is made by not applying for any of the temporary permits | 0017| provided for in Sections 1 through 15 of this act. An | 0018| application for any of the temporary permits provided for in | 0019| Sections 1 through 15 of this act serves as an election not to | 0020| postpone the effective date. If the election to postpone the | 0021| effective date is not made, no fees paid for special plates | 0022| prior to the effective date of the election shall be refunded. | 0023| B. The provisions of Sections 1 through 15 of this | 0024| act shall apply to any dealer, wrecker of vehicles or dealer | 0025| in motorcycles only who applies for or is granted a license | - 30 - 0001| pursuant to the provisions of Section 66-4-1 NMSA 1978 on or | 0002| after July 1, 1998. | 0003| Section 17. EFFECTIVE DATE.--The effective date of the | 0004| provisions of this act is July 1, 1998. | 0005|  |