1     
MOTOR VEHICLE BUSINESS LICENSING AMENDMENTS

2     
2017 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Kim Coleman

5     
Senate Sponsor: Wayne A. Harper

6     

7     LONG TITLE
8     Committee Note:
9          The Revenue and Taxation Interim Committee recommended this bill.
10     General Description:
11          This bill amends provisions related to licensure of motor vehicle dealers.
12     Highlighted Provisions:
13          This bill:
14          ▸     directs the motor vehicle enforcement administrator within the State Tax
15     Commission to:
16               •     issue a provisional license under certain circumstances; and
17               •     issue a provisional license holder a standard license without an additional
18     application or fee once the license holder complies with all of the standard
19     license qualifications.
20     Money Appropriated in this Bill:
21          None
22     Other Special Clauses:
23          This bill provides a special effective date.
24     Utah Code Sections Affected:
25     ENACTS:
26          41-3-202.2, Utah Code Annotated 1953
27     


28     Be it enacted by the Legislature of the state of Utah:
29          Section 1. Section 41-3-202.2 is enacted to read:
30          41-3-202.2. Provisional license.
31          (1) As used in this section:
32          (a) "Provisional license" means a provisional version of a particular class of standard
33     license.
34          (b) "Standard license" means a license that the administrator is authorized to issue
35     under Section 41-3-202 for a class for which a principal place of business is required under
36     Section 41-3-204.
37          (2) The administrator may issue a provisional license for any class of standard license
38     the administrator issues under Section 41-3-202.
39          (3) A person may apply to the administrator for a provisional license using the same
40     procedure described in this chapter and under other applicable state law for a standard license
41     of the same class as the provisional license.
42          (4) Subject to Subsection (5), the administrator shall grant a provisional license to an
43     applicant who:
44          (a) demonstrates that the applicant meets all of the qualifications described in this
45     chapter and under other applicable state law for a standard license of the same class as the
46     provisional license, except for the requirement that the applicant maintain a principal place of
47     business as required by Section 41-3-204;
48          (b) complies with procedures established by the administrator; and
49          (c) pays a fee established by the administrator.
50          (5) In addition to demonstrating the qualifications described in Subsection (4), an
51     applicant for a provisional license shall:
52          (a) submit to the administrator a site acquisition plan that describes the applicant's
53     anticipated principal place of business; and
54          (b) demonstrate that the applicant's site acquisition plan describes a principal place of
55     business that would comply with the requirements described in this chapter and under other
56     applicable state law for the principal place of business of a licensee with a standard license of
57     the same class as the provisional license.
58          (6) A provisional license does not allow a person to act as a licensee with a standard

59     license.
60          (7) Subject to Subsections (8) and (9), once a person with a provisional license
61     demonstrates to the administrator that the person meets all of the qualifications under this
62     chapter and under other applicable state law for a standard license of the same class as the
63     provisional license, the administrator shall grant the person a standard license of the same class
64     as the provisional license without requiring that the person:
65          (a) submit an additional application; or
66          (b) pay an additional fee.
67          (8) (a) A provisional license is valid for three months.
68          (b) The commission may extend the term of a provisional license for an additional
69     three months at the commission's discretion.
70          (9) The commission may create application procedures for a provisional license in
71     accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
72          (10) The commission may require and determine the amount of an application fee for a
73     provisional license in compliance with Section 63J-1-504.
74          Section 2. Effective date.
75          This bill takes effect on October 1, 2017.






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