House File 2336 - Introduced
HOUSE FILE
BY COMMITTEE ON
TRANSPORTATION
(SUCCESSOR TO HF 2248)
A BILL FOR
1 An Act relating to special certificates issued to aircraft
2 manufacturers, transporters, and dealers, providing fees,
3 making penalties applicable, and including effective date
4 and applicability provisions.
5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
TLSB 5937HV (1) 87
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PAG LIN
1 1 Section 1. Section 328.28, subsection 1, Code 2018, is
1 2 amended to read as follows:
1 3 1. A manufacturer or dealer owning an aircraft otherwise
1 4 required to be registered under this chapter may operate the
1 5 aircraft for up to three years for purposes of transporting,
1 6 testing, demonstrating, or selling the aircraft without
1 7 registering the aircraft, upon condition that a special
1 8 certificate be obtained by the owner for each year the owner
1 9 operates the aircraft as provided in this section and sections
1 10 328.29 through 328.33.
1 11 Sec. 2. Section 328.29, Code 2018, is amended to read as
1 12 follows:
1 13 328.29 Application for special certificate == fee.
1 14 A manufacturer, transporter, or dealer may, upon payment
1 15 of a one four hundred dollar fee, make application to the
1 16 department upon such forms as the department may prescribe
1 17 for a special certificate. The applicant shall also submit
1 18 such reasonable proof of the applicant's status as a bona fide
1 19 manufacturer, transporter, or dealer as the department may
1 20 require. Dealers in new aircraft shall furnish satisfactory
1 21 evidence of a valid franchise with the manufacturer or
1 22 distributor of such aircraft authorizing such dealership.
1 23 Sec. 3. Section 328.32, Code 2018, is amended to read as
1 24 follows:
1 25 328.32 Expiration of special certificate.
1 26 A special certificate expires at midnight on June 30 October
1 27 31, and a new special certificate for the ensuing year may be
1 28 obtained by the person to whom the expired special certificate
1 29 was issued, upon application to the department and payment of
1 30 the fee provided in section 328.29.
1 31 Sec. 4. Section 328.34, Code 2018, is amended by adding the
1 32 following new subsection:
1 33 NEW SUBSECTION. 7. That the person making application for,
1 34 or holding, a special certificate operated an aircraft for
1 35 purposes of transporting, testing, demonstrating, or selling
2 1 the aircraft, without registering the aircraft, for more than
2 2 three years in violation of section 328.28.
2 3 Sec. 5. Section 328.36, subsection 1, Code 2018, is amended
2 4 to read as follows:
2 5 1. All moneys received by the department pursuant to section
2 6 sections 328.21 and 328.29 shall be deposited into the state
2 7 aviation fund created in section 328.56.
2 8 Sec. 6. EFFECTIVE DATE. This Act takes effect June 30,
2 9 2018.
2 10 Sec. 7. APPLICABILITY. This Act applies to special
2 11 certificates issued by the department of transportation
2 12 that are valid for a period beginning after midnight on June
2 13 30, 2018. Special certificates issued by the department of
2 14 transportation that are valid for a period between midnight on
2 15 June 30, 2018, and midnight on October 31, 2018, shall expire
2 16 at midnight on October 31, 2019.
2 17 EXPLANATION
2 18 The inclusion of this explanation does not constitute agreement with
2 19 the explanation's substance by the members of the general assembly.
2 20 Under current law, an aircraft manufacturer or dealer may
2 21 operate an aircraft for purposes of transporting, testing,
2 22 demonstrating, or selling the aircraft without registering the
2 23 aircraft by obtaining a special certificate from the department
2 24 of transportation (DOT). This bill limits the period a
2 25 manufacturer or dealer may operate the aircraft under a special
2 26 certificate to three years. The bill increases the annual
2 27 fee for a special certificate from $100 to $400, and provides
2 28 that a special certificate expires at midnight on October 31
2 29 rather than midnight on June 30. The bill provides that the
2 30 DOT may refuse to issue, or may revoke or suspend, a special
2 31 certificate if the person making application for, or holding,
2 32 the special certificate operated an aircraft for more than
2 33 three years in violation of the bill.
2 34 Under current law, aircraft registration fees collected
2 35 under Code section 328.21 are required to be deposited in the
3 1 state aviation fund. The bill specifies that fees received by
3 2 the DOT for the issuance of special certificates must also be
3 3 deposited in the state aviation fund, in accordance with the
3 4 current practice.
3 5 The bill takes effect June 30, 2018, and applies to special
3 6 certificates issued by the DOT that are valid for a period
3 7 beginning after midnight on June 30, 2018. The bill provides
3 8 that special certificates issued by the DOT that are valid for
3 9 a period between midnight on June 30, 2018, and midnight on
3 10 October 31, 2018, shall expire at midnight on October 31, 2019.
3 11 Under current law, Code section 328.40 provides that any
3 12 person who violates any of the provisions of Code chapter
3 13 328 shall be guilty of a fraudulent practice. A fraudulent
3 14 practice is punishable by criminal penalties under Code
3 15 sections 714.9 through 714.13.
LSB 5937HV (1) 87
ns/jh