! The Capitol Complex is closed to the public due to COVID-19. All meetings will be held virtually online. View procedures and guidelines for remote public comment

Download Zipped Introduced WordPerfect HB0179.ZIP
[Status][Bill Documents][Fiscal Note][Bills Directory]

H.B. 179

             1     

OFF-HIGHWAY VEHICLE AND

             2     
STREET-LEGAL ALL-TERRAIN VEHICLE

             3     
REVISIONS

             4     
2010 GENERAL SESSION

             5     
STATE OF UTAH

             6     
Chief Sponsor: Michael E. Noel

             7     
Senate Sponsor: Ralph Okerlund

             8     
             9      LONG TITLE
             10      General Description:
             11          This bill modifies the Traffic Code, Off-highway Vehicles Code, and the Motor and
             12      Special Fuel Tax Act by amending provisions relating to off-highway vehicles.
             13      Highlighted Provisions:
             14          This bill:
             15          .    repeals the requirement that a street-legal all-terrain vehicle only be operated on a
             16      highway with one lane in each direction;
             17          .    provides that a street-legal all-terrain vehicle may not be operated on an interstate
             18      freeway or a controlled access highway;
             19          .    provides that an all-terrain type II vehicle is eligible for an off-highway implement
             20      of husbandry sticker;
             21          .    provides that an off-highway vehicle accident shall be reported in accordance with
             22      the motor vehicle accident reporting requirements;
             23          .    provides that an off-highway vehicle owned and operated by a state government
             24      agency is exempt from the non-resident permit requirements if the operation within
             25      the state is within the course and scope of the duties of the agency;
             26          .    repeals the sunset on the refund of the motor fuel tax revenues that are deposited
             27      into the Off-highway Vehicle Account; and


             28          .    makes technical changes.
             29      Monies Appropriated in this Bill:
             30          None
             31      Other Special Clauses:
             32          None
             33      Utah Code Sections Affected:
             34      AMENDS:
             35          41-6a-1509, as last amended by Laws of Utah 2009, Chapter 311
             36          41-22-5.5, as last amended by Laws of Utah 1999, Chapter 217
             37          41-22-10.6, as last amended by Laws of Utah 2005, Chapter 2
             38          41-22-35, as last amended by Laws of Utah 2008, Chapter 382
             39          59-13-201, as last amended by Laws of Utah 2008, Chapter 382
             40     
             41      Be it enacted by the Legislature of the state of Utah:
             42          Section 1. Section 41-6a-1509 is amended to read:
             43           41-6a-1509. Street-legal all-terrain vehicle -- Operation on highways --
             44      Registration and licensing requirements -- Equipment requirements.
             45          (1) (a) Except as provided in Subsection (1)(b), an all-terrain type I or utility type
             46      vehicle that meets the requirements of this section may be operated as a street-legal ATV on a
             47      street or highway [that is a highway with one lane in each direction] unless the highway is an
             48      interstate freeway or a controlled access highway as defined in Section 41-6a-102 .
             49          (b) Unless a street or highway is designated as open for street-legal ATV use by the
             50      controlling highway authority in accordance with Section 41-22-10.5 , a person may not operate
             51      a street-legal ATV on a street or highway in accordance with Subsection (1)(a) if the highway
             52      is under the jurisdiction of:
             53          (i) a county of the first class;
             54          (ii) a municipality that is within a county of the first class; or
             55          (iii) a municipality with a population of 7,500 or more people.
             56          (2) A street-legal ATV shall comply with the same requirements as:
             57          (a) a motorcycle for:
             58          (i) traffic rules under Title 41, Chapter 6a, Traffic Code;


             59          (ii) registration, titling, odometer statement, vehicle identification, license plates, and
             60      registration fees under Title 41, Chapter 1a, Motor Vehicle Act;
             61          (iii) fees in lieu of property taxes or in lieu fees under Section 59-2-405.2 ; and
             62          (iv) the county motor vehicle emissions inspection and maintenance programs under
             63      Section 41-6a-1642 ;
             64          (b) a motor vehicle for:
             65          (i) driver licensing under Title 53, Chapter 3, Uniform Driver License Act;
             66          (ii) motor vehicle insurance under Title 41, Chapter 12a, Financial Responsibility of
             67      Motor Vehicle Owners and Operators Act; and
             68          (iii) safety inspection requirements under Title 53, Chapter 8, Part 2, Motor Vehicle
             69      Safety Inspection Act, except that a street-legal ATV shall be subject to a safety inspection
             70      when registered for the first time; and
             71          (c) an all-terrain type I or type II vehicle for off-highway vehicle provisions under Title
             72      41, Chapter 22, Off-Highway Vehicles, and Title 41, Chapter 3, Motor Vehicle Business
             73      Regulation Act, unless otherwise specified in this section.
             74          (3) A street-legal ATV shall be equipped with:
             75          (a) one or more headlamps that meet the requirements of Section 41-6a-1603 ;
             76          (b) one or more tail lamps;
             77          (c) a tail lamp or other lamp constructed and placed to illuminate the registration plate
             78      with a white light;
             79          (d) one or more red reflectors on the rear;
             80          (e) one or more stop lamps on the rear;
             81          (f) amber or red electric turn signals, one on each side of the front and rear;
             82          (g) a braking system, other than a parking brake, that meets the requirements of Section
             83      41-6a-1623 ;
             84          (h) a horn or other warning device that meets the requirements of Section 41-6a-1625 ;
             85          (i) a muffler and emission control system that meets the requirements of Section
             86      41-6a-1626 ;
             87          (j) rearview mirrors on the right and left side of the driver in accordance with Section
             88      41-6a-1627 ;
             89          (k) a windshield, unless the operator wears eye protection while operating the vehicle;


             90          (l) a speedometer, illuminated for nighttime operation;
             91          (m) for vehicles designed by the manufacturer for carrying one or more passengers, a
             92      seat designed for passengers, including a footrest and handhold for each passenger;
             93          (n) for vehicles with side-by-side seating, seatbelts for each vehicle occupant; and
             94          (o) tires that:
             95          (i) do not exceed 26 inches in height;
             96          (ii) are not larger than the tires that the all-terrain vehicle manufacturer made available
             97      for the all-terrain vehicle model; and
             98          (iii) have at least 2/32 inches or greater tire tread.
             99          (4) (a) Subject to the requirement in Subsection (4)(b), an operator of a street-legal
             100      all-terrain vehicle, when operating a street-legal all-terrain vehicle on a highway in accordance
             101      with this section, may not exceed the lesser of:
             102          (i) the posted speed limit; or
             103          (ii) 45 miles per hour.
             104          (b) An operator of a street-legal all-terrain vehicle, when operating a street-legal
             105      all-terrain vehicle on a highway with a posted speed limit higher than 45 miles per hour, shall:
             106          (i) operate the street-legal all-terrain vehicle on the extreme right hand side of the
             107      roadway; and
             108          (ii) shall equip the street-legal all-terrain vehicle with a reflector or reflective tape.
             109          (5) (a) A nonresident operator of an off-highway vehicle that is authorized to be
             110      operated on the highways of another state has the same rights and privileges as a street-legal
             111      ATV that is granted operating privileges on the highways of this state, subject to the
             112      restrictions under this section and rules made by the Board of Parks and Recreation, if the other
             113      state offers reciprocal operating privileges to Utah residents.
             114          (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             115      Board of Parks and Recreation shall establish eligibility requirements for reciprocal operating
             116      privileges for nonresident users granted under Subsection (5)(a).
             117          (6) Nothing in this chapter shall restrict the operation of an off-highway vehicle in
             118      accordance with Section 41-22-10.5 .
             119          Section 2. Section 41-22-5.5 is amended to read:
             120           41-22-5.5. Off-highway husbandry vehicles.


             121          (1) (a) (i) The owner of an all-terrain type I vehicle, motorcycle, all-terrain type II
             122      vehicle, or snowmobile used for agricultural purposes may apply to the Motor Vehicle Division
             123      for an off-highway implement of husbandry sticker.
             124          (ii) Each application under Subsection (1)(a)(i) shall be accompanied by:
             125          (A) evidence of ownership[,];
             126          (B) a title[,] or a manufacturer's certificate of origin[,]; and
             127          (C) a signed statement certifying that the off-highway vehicle is used for agricultural
             128      purposes.
             129          (iii) The owner shall receive an off-highway implement of husbandry sticker upon
             130      production of:
             131          (A) the documents required [above] under this Subsection (1); and
             132          (B) payment of an off-highway implement of husbandry sticker fee established by the
             133      board not to exceed $10.
             134          (b) If the vehicle is also used for recreational purposes on public lands, trails, streets, or
             135      highways, it shall also be registered under Section 41-22-3 .
             136          (c) The off-highway implement of husbandry sticker shall be displayed in a manner
             137      prescribed by the board and shall identify the all-terrain type I vehicle, motorcycle, or
             138      snowmobile as an off-highway implement of husbandry.
             139          (2) The off-highway implement of husbandry sticker is valid only for the life of the
             140      ownership of the all-terrain type I vehicle, motorcycle, or snowmobile and is not transferable.
             141          (3) The off-highway implement of husbandry sticker is valid for an all-terrain type I
             142      vehicle, motorcycle, or snowmobile which is being operated adjacent to a roadway:
             143          (a) when the all-terrain type I vehicle, motorcycle, or snowmobile is only being used to
             144      travel from one parcel of land owned or operated by the owner of the vehicle to another parcel
             145      of land owned or operated by the owner; and
             146          (b) when this operation is necessary for the furtherance of agricultural purposes.
             147          (4) If the operation of an off-highway implement of husbandry adjacent to a roadway is
             148      impractical, it may be operated on the roadway if the operator exercises due care towards
             149      conventional motor vehicle traffic.
             150          (5) It is unlawful to operate an off-highway implement of husbandry along, across, or
             151      within the boundaries of an interstate freeway.


             152          Section 3. Section 41-22-10.6 is amended to read:
             153           41-22-10.6. Requiring compliance with traffic laws.
             154          (1) Any person operating an off-highway vehicle is subject to the provisions of Title
             155      41, Chapter 6a, Traffic Code, unless specifically excluded.
             156          (2) An off-highway vehicle accident shall be reported in accordance with the
             157      requirements of Section 41-6a-402 .
             158          Section 4. Section 41-22-35 is amended to read:
             159           41-22-35. Off-highway vehicle user fee -- Decal -- Agents -- Penalty for fraudulent
             160      issuance of decal -- Deposit and use of fee revenue.
             161          (1) (a) Except as provided in Subsection (1)(b), any nonresident owning an
             162      off-highway vehicle who operates or gives another person permission to operate the
             163      off-highway vehicle on any public land, trail, street, or highway in this state shall:
             164          (i) apply for an off-highway vehicle decal issued exclusively for an off-highway
             165      vehicle owned by a nonresident of the state;
             166          (ii) pay an annual off-highway vehicle user fee; and
             167          (iii) provide evidence that:
             168          (A) the person is a nonresident; and
             169          (B) the person is the owner of the off-highway vehicle.
             170          (b) The provisions of Subsection (1)(a) do not apply to an off-highway vehicle if the
             171      off-highway vehicle is:
             172          (i) registered in another state that offers reciprocal operating privileges to Utah
             173      residents under rules made by the board; [or]
             174          (ii) used exclusively for the purposes of a scheduled competitive event sponsored by a
             175      public or private entity or another event sponsored by a governmental entity under rules made
             176      by the board[.]; or
             177          (iii) owned and operated by a state government agency and the operation of the
             178      off-highway vehicle within the boundaries of the state is within the course and scope of the
             179      duties of the agency.
             180          (2) The off-highway vehicle user fee is $30.
             181          (3) Upon compliance with the provisions of Subsection (1)(a), the nonresident shall:
             182          (a) receive a nonresident off-highway vehicle user decal indicating compliance with the


             183      provisions of Subsection (1)(a); and
             184          (b) display the decal on the off-highway vehicle in accordance with rules made by the
             185      board.
             186          (4) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             187      board shall make rules establishing:
             188          (a) procedures for:
             189          (i) the payment of off-highway vehicle user fees; and
             190          (ii) the display of a decal on an off-highway vehicle as required under Subsection
             191      (3)(b);
             192          (b) acceptable evidence indicating compliance with Subsection (1);
             193          (c) eligibility requirements for reciprocal operating privileges for nonresident users;
             194      and
             195          (d) eligibility for scheduled competitive events or other events under Subsection
             196      (1)(b)(ii).
             197          (5) (a) An off-highway vehicle user decal may be issued and the off-highway vehicle
             198      user fee may be collected by the division or agents of the division.
             199          (b) An agent shall retain 10% of all off-highway vehicle user fees collected.
             200          (c) The division may require agents to obtain a bond in a reasonable amount.
             201          (d) On or before the tenth day of each month, each agent shall:
             202          (i) report all sales to the division; and
             203          (ii) submit all off-highway vehicle user fees collected less the remuneration provided in
             204      Subsection (5)(b).
             205          (e) (i) If an agent fails to pay the amount due, the division may assess a penalty of 20%
             206      of the amount due.
             207          (ii) Delinquent payments shall bear interest at the rate of 1% per month.
             208          (iii) If the amount due is not paid because of bad faith or fraud, the division shall assess
             209      a penalty of 100% of the total amount due together with interest.
             210          (f) All fees collected by an agent, except the remuneration provided in Subsection
             211      (5)(b), shall:
             212          (i) be kept separate and apart from the private funds of the agent; and
             213          (ii) belong to the state.


             214          (g) An agent may not issue an off-highway vehicle user decal to any person unless the
             215      person furnishes evidence of compliance with the provisions of Subsection (1)(a).
             216          (h) A violation of any provision of this Subsection (5) is a class B misdemeanor and
             217      may be cause for revocation of the agent authorization.
             218          (6) Revenue generated by off-highway vehicle user fees shall be deposited in the
             219      Off-highway Vehicle Account created in Section 41-22-19 .
             220          Section 5. Section 59-13-201 is amended to read:
             221           59-13-201. Rate -- Tax basis -- Exemptions -- Revenue deposited in the
             222      Transportation Fund -- Restricted account for boating uses -- Refunds -- Reduction of tax
             223      in limited circumstances.
             224          (1) (a) Subject to the provisions of this section, a tax is imposed at the rate of 24-1/2
             225      cents per gallon upon all motor fuel that is sold, used, or received for sale or used in this state.
             226          (b) In lieu of the tax imposed under Subsection (1)(a) and subject to the provisions of
             227      this section, a tax is imposed at the rate of 3/19 of the rate imposed under Subsection (1)(a),
             228      rounded up to the nearest penny, upon all motor fuels that meet the definition of clean fuel in
             229      Section 59-13-102 and are sold, used, or received for sale or use in this state.
             230          (2) Any increase or decrease in tax rate applies to motor fuel that is imported to the
             231      state or sold at refineries in the state on or after the effective date of the rate change.
             232          (3) (a) No motor fuel tax is imposed upon:
             233          (i) motor fuel that is brought into and sold in this state in original packages as purely
             234      interstate commerce sales;
             235          (ii) motor fuel that is exported from this state if proof of actual exportation on forms
             236      prescribed by the commission is made within 180 days after exportation;
             237          (iii) motor fuel or components of motor fuel that is sold and used in this state and
             238      distilled from coal, oil shale, rock asphalt, bituminous sand, or solid hydrocarbons located in
             239      this state; or
             240          (iv) motor fuel that is sold to the United States government, this state, or the political
             241      subdivisions of this state.
             242          (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             243      commission shall make rules governing the procedures for administering the tax exemption
             244      provided under Subsection (3)(a)(iv).


             245          (4) The commission may either collect no tax on motor fuel exported from the state or,
             246      upon application, refund the tax paid.
             247          (5) (a) All revenue received by the commission under this part shall be deposited daily
             248      with the state treasurer and credited to the Transportation Fund.
             249          (b) An appropriation from the Transportation Fund shall be made to the commission to
             250      cover expenses incurred in the administration and enforcement of this part and the collection of
             251      the motor fuel tax.
             252          (6) (a) The commission shall determine what amount of motor fuel tax revenue is
             253      received from the sale or use of motor fuel used in motorboats registered under the provisions
             254      of the State Boating Act, and this amount shall be deposited in a restricted revenue account in
             255      the General Fund of the state.
             256          (b) The funds from this account shall be used for the construction, improvement,
             257      operation, and maintenance of state-owned boating facilities and for the payment of the costs
             258      and expenses of the Division of Parks and Recreation in administering and enforcing the State
             259      Boating Act.
             260          (7) (a) The United States government or any of its instrumentalities, this state, or a
             261      political subdivision of this state that has purchased motor fuel from a licensed distributor or
             262      from a retail dealer of motor fuel and has paid the tax on the motor fuel as provided in this
             263      section is entitled to a refund of the tax and may file with the commission for a quarterly
             264      refund.
             265          (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             266      commission shall make rules governing the application and refund provided for in Subsection
             267      (7)(a).
             268          (8) (a) The commission shall refund annually into the Off-Highway Vehicle Account in
             269      the General Fund an amount equal to the lesser of the following:
             270          (i) .5% of the motor fuel tax revenues collected under this section; or
             271          (ii) $1,050,000.
             272          (b) This amount shall be used as provided in Section 41-22-19 .
             273          [(c) This Subsection (8) sunsets on July 1, 2010.]
             274          (9) (a) Beginning on April 1, 2001, a tax imposed under this section on motor fuel that
             275      is sold, used, or received for sale or use in this state is reduced to the extent provided in


             276      Subsection (9)(b) if:
             277          (i) a tax imposed on the basis of the sale, use, or receipt for sale or use of the motor
             278      fuel is paid to the Navajo Nation;
             279          (ii) the tax described in Subsection (9)(a)(i) is imposed without regard to whether or
             280      not the person required to pay the tax is an enrolled member of the Navajo Nation; and
             281          (iii) the commission and the Navajo Nation execute and maintain an agreement as
             282      provided in this Subsection (9) for the administration of the reduction of tax.
             283          (b) (i) If but for Subsection (9)(a) the motor fuel is subject to a tax imposed by this
             284      section:
             285          (A) the state shall be paid the difference described in Subsection (9)(b)(ii) if that
             286      difference is greater than $0; and
             287          (B) a person may not require the state to provide a refund, a credit, or similar tax relief
             288      if the difference described in Subsection (9)(b)(ii) is less than or equal to $0.
             289          (ii) The difference described in Subsection (9)(b)(i) is equal to the difference between:
             290          (A) the amount of tax imposed on the motor fuel by this section; less
             291          (B) the tax imposed and collected by the Navajo Nation on the motor fuel.
             292          (c) For purposes of Subsections (9)(a) and (b), the tax paid to the Navajo Nation under
             293      a tax imposed by the Navajo Nation on the basis of the sale, use, or receipt for sale or use of
             294      motor fuel does not include any interest or penalties a taxpayer may be required to pay to the
             295      Navajo Nation.
             296          (d) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             297      commission shall make rules governing the procedures for administering the reduction of tax
             298      provided under this Subsection (9).
             299          (e) The agreement required under Subsection (9)(a):
             300          (i) may not:
             301          (A) authorize the state to impose a tax in addition to a tax imposed under this chapter;
             302          (B) provide a reduction of taxes greater than or different from the reduction described
             303      in this Subsection (9); or
             304          (C) affect the power of the state to establish rates of taxation;
             305          (ii) shall:
             306          (A) be in writing;


             307          (B) be signed by:
             308          (I) the chair of the commission or the chair's designee; and
             309          (II) a person designated by the Navajo Nation that may bind the Navajo Nation;
             310          (C) be conditioned on obtaining any approval required by federal law;
             311          (D) state the effective date of the agreement; and
             312          (E) state any accommodation the Navajo Nation makes related to the construction and
             313      maintenance of state highways and other infrastructure within the Utah portion of the Navajo
             314      Nation; and
             315          (iii) may:
             316          (A) notwithstanding Section 59-1-403 , authorize the commission to disclose to the
             317      Navajo Nation information that is:
             318          (I) contained in a document filed with the commission; and
             319          (II) related to the tax imposed under this section;
             320          (B) provide for maintaining records by the commission or the Navajo Nation; or
             321          (C) provide for inspections or audits of distributors, carriers, or retailers located or
             322      doing business within the Utah portion of the Navajo Nation.
             323          (f) (i) If, on or after April 1, 2001, the Navajo Nation changes the tax rate of a tax
             324      imposed on motor fuel, any change in the reduction of taxes under this Subsection (9) as a
             325      result of the change in the tax rate is not effective until the first day of the calendar quarter after
             326      a 60-day period beginning on the date the commission receives notice:
             327          (A) from the Navajo Nation; and
             328          (B) meeting the requirements of Subsection (9)(f)(ii).
             329          (ii) The notice described in Subsection (9)(f)(i) shall state:
             330          (A) that the Navajo Nation has changed or will change the tax rate of a tax imposed on
             331      motor fuel;
             332          (B) the effective date of the rate change of the tax described in Subsection (9)(f)(ii)(A);
             333      and
             334          (C) the new rate of the tax described in Subsection (9)(f)(ii)(A).
             335          (g) If the agreement required by Subsection (9)(a) terminates, a reduction of tax is not
             336      permitted under this Subsection (9) beginning on the first day of the calendar quarter after a
             337      30-day period beginning on the day the agreement terminates.


             338          (h) If there is a conflict between this Subsection (9) and the agreement required by
             339      Subsection (9)(a), this Subsection (9) governs.




Legislative Review Note
    as of 2-3-10 9:26 AM


Office of Legislative Research and General Counsel


[Bill Documents][Bills Directory]