S.B. 181

This document includes Senate Committee Amendments incorporated into the bill on Wed, Jan 31, 2007 at 10:03 AM by rday. -->

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Senate Committee Amendments 1-31-2007 rd/ 1

FEES TO COVER COST OF ELECTRONIC
2 PAYMENTS
3 2007 GENERAL SESSION
4 STATE OF UTAH
5 Chief Sponsor: Wayne L. Niederhauser
6 House Sponsor: John Dougall
7
8 LONG TITLE
9 General Description:
10 This bill modifies the Motor Vehicles Code, the Revenue and Taxation Code, and the
11 State Boating Act by amending certain fee provisions.
12 Highlighted Provisions:
13 This bill:
13a S. . provides definitions; .S
14 . authorizes the Motor Vehicle Division to impose a fee on certain motor vehicle,
15 off-highway vehicle, and boat registrations and renewals of registration to cover the
16 costs of electronic payments;
17 . authorizes the Motor Vehicle Enforcement Division to impose a fee on certain
18 motor vehicle business transactions to cover the costs of electronic payments;
19 . provides that the fees authorized:
20 . shall be imposed regardless of the method of payment;
21 . need not be separately identified; and
22 . shall be used as nonlapsing dedicated credits S. to cover the costs of electronic
22a payments .S ;
23 . authorizes the State Tax Commission to charge convenience fees to cover the costs
24 of electronic payments of taxes and fees administered by the commission and
25 provides that the fees shall be used as dedicated credits by the commission; and
26 . makes technical changes.
27 Monies Appropriated in this Bill:

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Senate Committee Amendments 1-31-2007 rd/ 28

None
29 Other Special Clauses:
30 This bill takes effect on July 1, 2007.
31 Utah Code Sections Affected:
32 AMENDS:
33 41-1a-1221, as enacted by Chapter 212, Laws of Utah 2003
34 41-3-602, as renumbered and amended by Chapter 234, Laws of Utah 1992
35 41-3-604, as enacted by Chapter 147, Laws of Utah 2004
36 41-22-36, as enacted by Chapter 212, Laws of Utah 2003
37 73-18-25, as enacted by Chapter 212, Laws of Utah 2003
38 ENACTS:
39 59-1-305, Utah Code Annotated 1953
40
41 Be it enacted by the Legislature of the state of Utah:
42 Section 1. Section 41-1a-1221 is amended to read:
43 41-1a-1221. Fees to cover the cost of electronic payments.
44 (1) S. As used in this section:
44a (a) "Electronic payment" means use of any form of payment processed through
44b electronic means, including credit cards, debit cards, and automatic clearinghouse
44c transactions.
44d (b) "Electronic payment fee" means the fee assessed to defray:
44e (i) the charge, discount fee, or processing fee charged by credit card companies or
44f processing agents to process an electronic payment; or
44g (ii) costs associated with the purchase of equipment necessary for processing electronic
44h payments.
44i (2) .S (a) [In accordance with Section 63-38a-105 , the Division of Motor Vehicles] The
45 Motor Vehicle Division may collect an electronic payment fee on all registrations and renewals
46 of registration under Subsections 41-1a-1206 (1)(a), [ 41-1a-1206 ] (1)(b), and [ 41-1a-1206 ] (2).
47 (b) The fee described in Subsection S. [ (1) ] (2) .S (a):
48 (i) shall be imposed regardless of the method of payment for a particular transaction;
49 and
50 (ii) need not be separately identified from the fees imposed for registration and
51 renewals of registration under Subsections 41-1a-1206 (1)(a), (1)(b), and (2).
52 S. [ (2) ] (3) .S The division shall establish the fee according to the procedures and
52a requirements of

53 Section 63-38-3.2 .
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S. [ (3) ] (4) .S A fee imposed under this section:
55 (a) shall be used by the division as a dedicated credit S. to cover the costs of electronic
55a payments .S ;
56 (b) is nonlapsing; and
57 (c) is not subject to Subsection 63-38a-104 (2).
58 Section 2. Section 41-3-602 is amended to read:

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41-3-602. Disposition of fees and penalties.
60 [All] Except as provided in Sections 41-3-603 and 41-3-604 , all fees and penalties
61 collected under this chapter shall be paid to the state treasurer who shall deposit them in the
62 General Fund.
63 Section 3. Section 41-3-604 is amended to read:
64 41-3-604. Fee to cover the cost of electronic payments.
65 (1) S. As used in this section:
65a (a) "Electronic payment" has the same meaning as defined in Section 41-1a-1221.
65b (b) "Electronic payment fee" has the same meaning as defined in Section 41-1a-1221.
65c (2) .S (a) [In accordance with Section 63-38a-105 , the] The division may collect a fee to
66 cover the cost of electronic payments on the following transactions:
67 (i) each purchase or renewal of a license under Section 41-3-202 ;
68 [(a)] (ii) each purchase of a book of temporary permits under Section 41-3-302 ;
69 [(b)] (iii) each penalty issued for a delinquent temporary permit under Section
70 41-3-302 ; [and]
71 (iv) each purchase of an in-transit permit under Section 41-3-305 ;
72 (v) each purchase of a loaded demonstration permit under Section 41-3-502 ;
73 (vi) each purchase of a license plate under Section 41-3-503 ; and
74 [(c)] (vii) each purchase of a salvage vehicle buyer license under Section 41-3-202 .
75 (b) The fee described in Subsection S. [ (1) ] (2) .S (a):
76 (i) shall be imposed regardless of the method of payment for a particular transaction;
77 and
78 (ii) need not be separately identified from the fees and penalty described in Subsections
79 S. [ (1) ] (2) .S (a)(i) through (vii).
80 S. [ (2) ] (3) .S The division shall establish the fee under Subsection S. [ (1) ] (2) .S (a)
80a according to the
81 procedures and requirements of Section 63-38-3.2 .
82 S. [ (3) ] (4) .S A fee imposed under this section:
83 (a) shall be used by the division as a dedicated credit S. to cover the costs of electronic
83a payments .S ;
84 (b) is nonlapsing; and
85 (c) is not subject to Subsection 63-38a-104 (2).
86 Section 4. Section 41-22-36 is amended to read:
87 41-22-36. Fees to cover the costs of electronic payments.
88 (1) S. As used in this section: .S

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Senate Committee Amendments 1-31-2007 rd/ 88a

S. (a) "Electronic payment" has the same meaning as defined in Section 41-1a-1221.
88b (b) "Electronic payment fee" has the same meaning as defined in Section 41-1a-1221.
88c (2) .S (a) [In accordance with Section 63-38a-105 , the Division of Motor Vehicles] The
89 Motor Vehicle Division may collect an electronic payment fee on all registrations and renewals

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of registration under Section 41-22-8 .
91 (b) The fee described in Subsection S. [ (1) ] (2) .S (a) shall be imposed regardless of the
91a method of
92 payment for a particular transaction.
93 S. [ (2) ] (3) .S The division shall establish the fee according to the procedures and
93a requirements of
94 Section 63-38-3.2 .
95 S. [ (3) ] (4) .S A fee imposed under this section:
96 (a) shall be used by the Motor Vehicle Division as a dedicated credit S. to cover the costs
96a of electronic payments .S ;
97 (b) is nonlapsing;
98 (c) is not subject to Subsection 63-38a-104 (2); and
99 (d) need not be separately identified from the fees imposed on registrations and
100 renewals of registration under Section 41-22-8 .
101 Section 5. Section 59-1-305 is enacted to read:
102 59-1-305. Convenience fee to cover the costs of electronic payments.
103 (1) S. As used in this section:
103a (a) "Electronic payment" has the same meaning as defined in Section 41-1a-1221.
103b (b) "Electronic payment fee" has the same meaning as defined in Section 41-1a-1221.
103c (2) .S The commission may collect a convenience S. electronic payment .S fee
103d established in accordance with the
104 procedures and requirements of Section 63-38-3.2 to cover the costs of electronic payments of
105 taxes and fees administered by the commission.
106 S. [ (2) ] (3) .S Notwithstanding any other provisions of this title, the commission shall use
106a a fee
107 imposed under this section as a dedicated credit S. to cover the costs of electronic payments .S .
108 Section 6. Section 73-18-25 is amended to read:
109 73-18-25. Fees to cover the costs of electronic payments.
110 (1) S. As used in this section:
110a (a) "Electronic payment" has the same meaning as defined in Section 41-1a-1221.
110b (b) "Electronic payment fee" has the same meaning as defined in Section 41-1a-1221.
110c (2) .S (a) [In accordance with Section 63-38a-105 , the Division of Motor Vehicles] The
111 Motor Vehicle Division may collect an electronic payment fee on all registrations and renewals
112 of registration under Section 73-18-7 .
113 (b) The fee described under Subsection S. [ (1) ] (2) .S (a) shall be imposed regardless of

113a the
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method of payment for a particular transaction.
115 S. [ (2) ] (3) .S The [division] Motor Vehicle Division shall establish the fee according to
115a the
116 procedures and requirements of Section 63-38-3.2 .
117 S. [ (3) ] (4) .S A fee imposed under this section:
118 (a) shall be used by the Motor Vehicle Division as a dedicated credit S. to cover the costs
118a of electronic payments .S ;
119 (b) is nonlapsing;
120 (c) is not subject to Subsection 63-38a-104 (2); and

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122 renewals of registration under Section 73-18-7 .
123 Section 7. Effective date.
124 This bill takes effect on July 1, 2007.

Legislative Review Note
as of 1-25-07 9:14 AM

Office of Legislative Research and General Counsel