Bill Text: IA SF2415 | 2023-2024 | 90th General Assembly | Introduced


Bill Title: A bill for an act relating to motor vehicle special registration plate decals created by a nonprofit veterans' organization or associated with military service.(Formerly SF 564, SF 224, SF 90.)

Spectrum: Committee Bill

Status: (Engrossed - Dead) 2024-04-16 - Subcommittee: Best, Isenhart and Johnson. H.J. 816. [SF2415 Detail]

Download: Iowa-2023-SF2415-Introduced.html
Senate File 2415 - Introduced SENATE FILE 2415 BY COMMITTEE ON WAYS AND MEANS (SUCCESSOR TO SF 564) (SUCCESSOR TO SF 224) (SUCCESSOR TO SF 90) A BILL FOR An Act relating to motor vehicle special registration plate 1 decals created by a nonprofit veterans’ organization or 2 associated with military service. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1278SW (2) 90 th/ns
S.F. 2415 Section 1. Section 321.34, subsection 13, paragraph b, 1 subparagraph (1), subparagraph division (c), Code 2024, is 2 amended to read as follows: 3 (c) The organization is a nonprofit corporation which is 4 exempt from federal income taxation under section 501(c)(3) or 5 501(c)(19) of the Internal Revenue Code and is organized under 6 the laws of this state or authorized to do business within this 7 state. 8 Sec. 2. Section 321.34, subsection 13, paragraph f, Code 9 2024, is amended to read as follows: 10 f. A person shall not display a decal on a vehicle 11 registration plate other than a decal approved or issued by the 12 department. 13 Sec. 3. Section 321.34, subsection 20C, Code 2024, is 14 amended to read as follows: 15 20C. Combat infantryman badge, combat action badge, combat 16 action ribbon, air force combat action medal, and combat medical 17 badge plates decals . 18 a. The department, in consultation with the adjutant 19 general, shall design separate and distinct decals representing 20 a combat infantryman badge, combat action badge, combat action 21 ribbon, air force combat action medal, and combat medical badge 22 distinguishing processed emblems . Upon receipt of two hundred 23 fifty orders for combat infantryman badge, combat action badge, 24 combat action ribbon, air force combat action medal, or combat 25 medical badge special registration plates, accompanied by a 26 start-up fee of twenty dollars per order, the department shall 27 begin issuing special registration plates with the applicable 28 distinguishing processed emblem as provided in paragraphs 29 “b” , “c” , and “d” . The minimum order requirement shall apply 30 separately to each of the special registration plates created 31 under this subsection . The decals shall be designed to be 32 displayed on special plates issued under subsection 13. 33 b. An owner referred to in subsection 12 who was awarded a 34 combat infantryman badge, combat action badge, combat action 35 -1- LSB 1278SW (2) 90 th/ns 1/ 5
S.F. 2415 ribbon, air force combat action medal, or combat medical badge 1 by the United States government may, upon written application 2 to the department and presentation of satisfactory proof of 3 the award, order special registration plates with two decals 4 representing a combat infantryman badge, combat action badge, 5 combat action ribbon, air force combat action medal, or 6 combat medical badge processed emblem. The special plate fees 7 collected by the director under subsection 12 , paragraph “a” , 8 from the annual validation of letter-number designated combat 9 infantryman badge, combat action badge, combat action ribbon, 10 air force combat action medal, and combat medical badge plates, 11 and subsection 12 , paragraph “c” , from the issuance and annual 12 validation of personalized combat infantryman badge, combat 13 action badge, combat action ribbon, air force combat action 14 medal, and combat medical badge plates fee for each pair of 15 decals is ten dollars, and all such fees collected under this 16 subsection shall be paid monthly to the treasurer of state and 17 deposited in the road use tax fund. The treasurer of state 18 shall transfer monthly from the statutory allocations fund 19 created under section 321.145, subsection 2 , to the veterans 20 license fee fund created in section 35A.11 the amount of the 21 special fees collected under this subsection 12, paragraph “a” , 22 in the previous month for combat infantryman badge, combat 23 action badge, combat action ribbon, air force combat action 24 medal, and combat medical badge plates decals . 25 c. Notwithstanding subsection 12 , paragraph “a” , an owner 26 who is approved for special registration plates under this 27 subsection shall be issued one set of special registration 28 plates with a combat infantryman badge, combat action badge, 29 combat action ribbon, air force combat action medal, or combat 30 medical badge distinguishing processed emblem at no charge. 31 d. The surviving spouse of a person who was issued special 32 plates decals under this subsection may continue to use or 33 apply for and use the special plates decals affixed to the 34 plates issued under subsection 13 subject to registration of 35 -2- LSB 1278SW (2) 90 th/ns 2/ 5
S.F. 2415 the special plates in the surviving spouse’s name and upon 1 payment of the annual five-dollar special plate fee and the 2 regular annual registration fee for the vehicle. If the 3 surviving spouse remarries, the surviving spouse shall either 4 remove and dispose of the decals or return the special plates 5 with the decals affixed to the department and the department 6 shall issue regular registration plates to the surviving 7 spouse. 8 Sec. 4. DEPARTMENT TO MAKE ACCOMMODATIONS. For special 9 registration plate applications received by the department of 10 transportation under section 321.34, subsection 20C, Code 2024, 11 prior to July 1, 2024, the department shall make reasonable 12 efforts to contact the applicants to inform the applicants 13 of the decals authorized by this Act. The department shall 14 give the applicant the option to be refunded the twenty-dollar 15 start-up fee for combat infantryman badge, combat action badge, 16 combat action ribbon, air force combat action medal, or combat 17 medical badge special registration plates paid by the applicant 18 prior to July 1, 2024, or to be refunded ten dollars of the 19 original start-up fee and be issued a special plate under 20 section 321.34, subsection 13, along with the applicable decals 21 authorized by this Act, if the applicant is eligible to be 22 issued the decals. 23 EXPLANATION 24 The inclusion of this explanation does not constitute agreement with 25 the explanation’s substance by the members of the general assembly. 26 Under current law, the department of transportation (DOT) is 27 authorized to issue special registration plates with a space 28 to display an organization decal. The DOT does not issue the 29 organization decal. Instead, the organization is responsible 30 for producing, administering, and issuing the decal. 31 An organization must submit an application to the DOT 32 for approval to issue a decal. An application must include 33 proof of eligibility to issue the decal, a color copy of the 34 completed decal design, a clear and concise explanation of 35 -3- LSB 1278SW (2) 90 th/ns 3/ 5
S.F. 2415 the purpose of the decal, all eligibility requirements for 1 purchasing the decal, and the fees to be charged for the decal. 2 To qualify for approval, the primary activity or interest 3 of the organization must serve the community, contribute to 4 the welfare of others, and cannot be discriminatory in its 5 purpose, nature, activity, or name; the name and purpose of the 6 organization cannot promote any specific product or brand name 7 that is provided for sale; and the organization is required to 8 be a nonprofit corporation which is exempt from taxation under 9 section 501(c)(3) of the Internal Revenue Code and organized 10 under Iowa’s laws or authorized to do business within Iowa. 11 This bill also authorizes an organization which is exempt 12 under section 501(c)(19) of the Internal Revenue Code to 13 apply for approval to issue an organization decal. To be 14 exempt under section 501(c)(19), an organization must be a 15 post or organization of past or present members of the United 16 States armed forces, an auxiliary unit or society of such post 17 or organization, or a trust or foundation for such post or 18 organization. 19 In 2011, the general assembly authorized the DOT, in 20 consultation with the adjutant general, to design combat 21 infantryman badge, combat action badge, combat action ribbon, 22 air force combat action medal, and combat medical badge 23 distinguishing processed emblem special registration plates. 24 However, the DOT is required to receive 250 orders, including 25 a start-up fee, for each plate before the DOT can produce or 26 issue any of the registration plates. The bill strikes the 27 provisions relating to the special registration plates and 28 minimum order requirements and instead requires the DOT to 29 design and issue separate and distinct decals representing the 30 applicable badges, ribbons, and medals. The decals must be 31 designed to be displayed on registration plates issued under 32 Code section 321.34(13) (plates with space reserved for a 33 decal). 34 The DOT must issue two decals to an approved applicant and 35 -4- LSB 1278SW (2) 90 th/ns 4/ 5
S.F. 2415 the fee for a pair of decals is $10. The fee is deposited into 1 the road use tax fund and, each month, the treasurer of state 2 must transfer from the statutory allocations fund the amount 3 of fees received under the bill to the veterans license fee 4 fund. The bill makes corresponding changes to Code section 5 321.34(20C). 6 The DOT is required to make reasonable efforts to contact 7 applicants who previously applied for and paid the required 8 start-up fee. An applicant is eligible to receive a refund of 9 the $20 fee, or receive a refund of $10 plus the applicable 10 decals and plates as provided in the bill. 11 -5- LSB 1278SW (2) 90 th/ns 5/ 5
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