Stricken language would be deleted from and underlined language would be added to present law.
Act 696 of the Regular Session
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State of Arkansas As Engrossed: H4/5/23 1
94th General Assembly A Bill 2
Regular Session, 2023 SENATE BILL 427 3
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By: Senator Hill 5
By: Representative Beaty Jr. 6
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For An Act To Be Entitled 8
AN ACT TO PROVIDE AN EXEMPTION FOR SPECIA L EVENTS TO 9
ALLOW CERTAIN NEW MO TOR VEHICLE DEALERS AND NEW MOTOR 10
VEHICLE MANUFACTURER S OR DISTRIBUTORS TO DISPLAY AND 11
SELL CERTAIN VEHICLE S AT SPECIAL EVENTS THAT HAVE A 12
SIGNIFICANT ECONOMIC I MPACT ON AN AREA; AN D FOR OTHER 13
PURPOSES. 14
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Subtitle 17
TO PROVIDE AN EXEMPTION FOR SPECIAL 18
EVENTS TO ALLOW CERTAIN NEW MOTOR VEHICLE 19
DEALERS AND NEW MOTOR VEHICLE 20
MANUFACTURERS OR DISTRIBUTORS TO DISPLAY 21
AND SELL CERTAIN VEHICLES AT CERTAIN 22
SPECIAL EVENTS. 23
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BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 26
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SECTION 1. Arkansas Code Title 23, Chapter 112, Subchapter 8, is 28
amended to read as follows: 29
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Subchapter 8 — Special Motorcycle Events 31
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23-112-801. Findings. 33
The General Assembly finds that: 34
(1) A special motorcycle event sponsored by a city, county, 35
nonprofit entity, or motorcycle special event owners' organization draws 36 As Engrossed: H4/5/23 SB427
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people from all over the state, other states, and even other countries; 1
(2) A special motorcycle event can provide a valuable increase 2
in tourism for the state; and 3
(3) The laws and rules related to the display and sale of 4
motorcycles special event vehicles at a special motorcycle event must should 5
be modified to lessen the restricti ons that are hampering economic growth. 6
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23-112-802. Definitions. 8
As used in this subchapter: 9
(1) “Motorcycle owners' organization” means an entity that is 10
organized as a nonprofit entity or for -profit entity and in good standing 11
with the Secretary o f State; 12
(2) “Nonprofit entity” means an entity that has received tax -13
exempt status from the Internal Revenue Service pursuant to section 501(c)(3) 14
or section (501)(c)(4) of the Internal Revenue Code of 1986, 26 U.S.C. § 15
501(c)(3) or 26 U.S.C. § 501(c)( 4), as they existed on January 1, 2007 16
January 1, 2023; 17
(3)(2) “Public venue” means a location that: 18
(A) Is open to the general public; and 19
(B) Is not the address designated as the primary business 20
address of a new motor vehicle dealer licensed by the Arkansas Motor Vehicle 21
Commission or a used motor vehicle dealer licensed by the Department Division 22
of Arkansas State Police; 23
(4)(3) “Significant positive economic impact” means an economic 24
benefit of at least three million dollars ($3,000,000) to the state or a 25
region of the state; and 26
(5)(4) “Special motorcycle event” means an event held at a 27
public venue with or without an admission fee that: 28
(A) Is sponsored by a city, a county, a nonprofit entity, 29
or a motorcycle special event vehicle owners' organization; 30
(B) Occurs not more than one (1) time each ye ar for no 31
more than seven (7) consecutive days; and 32
(C) Includes any of the following that are invited to 33
attend: 34
(i) New motor vehicle dealers to display and sell 35
motorcycles special event vehicles ; or 36 As Engrossed: H4/5/23 SB427
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(ii) New motor vehicle manufacturers or distributors 1
to display motorcycles special event vehicles; 2
(5) "Special event vehicle" means: 3
(A) A motorcycle; 4
(B) An all-terrain vehicle; 5
(C) A utility task vehicle; 6
(D) A scooter; 7
(E) A go-kart; and 8
(F) A low-speed vehicle; and 9
(6) "Special event vehicle owners' organization" means an entity 10
that is organized as a nonprofit entity or for -profit entity and in good 11
standing with the Secretary of State . 12
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23-112-803. Statements of estimated positive economic impact. 14
A statement of the estimated positive economic impact of a proposed 15
special motorcycle event shall be submitted to the Arkansas Motor Vehicle 16
Commission from an independent source such as, including without limitation a 17
university, chamber of commerce, or other entity that regularly engages in 18
the estimation of the economic benefit of an occurrence for businesses and 19
industries. 20
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23-112-804. Significant positive economic impact determinations. 22
(a) If the statement of estimated positive economic impact that is 23
submitted to the Arkansas Motor Vehicle Commission establishes that a special 24
motorcycle event has a significant positive economic impact, the special 25
motorcycle event is exempt from regulation by the commissio n as provided 26
under § 23-112-805. 27
(b) If the statement of estimated positive economic impact that is 28
presented to the commission establishes that a special motorcycle event will 29
not have a significant positive economic impact, then the commission shall 30
determine whether the special motorcycle event is exempt from the provisions 31
of this chapter and any rules promulgated by the commission. 32
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23-112-805. Authority to waive relevant market area and rules. 34
(a) The Arkansas Motor Vehicle Commission shall wai ve the following 35
for a special motorcycle event that has a significant positive economic 36 As Engrossed: H4/5/23 SB427
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impact or is determined by the commission to otherwise qualify for an 1
exemption under § 23 -112-804(b) if no franchised motor vehicle dealer of a 2
licensed manufacturer is represented participating in the host county of the 3
special motorcycle event or the counties contiguous to the host county: 4
(1) The provisions of this This chapter regarding relevant 5
market area; and 6
(2) The rules regarding motor vehicle dealers i n contiguous 7
counties. 8
(b)(1) The commission may promulgate rules for the issuance of a 9
temporary permit to in-state and out-of-state new motor vehicle dealers and 10
new motor vehicle manufacturers or distributors to participate in a special 11
motorcycle event under this subchapter. 12
(2) No rule shall be promulgated The commission shall not 13
promulgate a rule that puts a greater burden on out -of-state new motor 14
vehicle dealers and new motor vehicle manufacturers or distributors to obtain 15
a temporary permit than the requirements necessary for a new motor vehicle 16
dealer or new motor vehicle manufacturer or distributor to obtain a license 17
from the commission. 18
(3) If the commission establishes fees for a temporary permit 19
under this subsection, the fees shall not exceed: 20
(A) For an out-of-state new motor vehicle dealer, one 21
hundred dollars ($100); 22
(B) For a new motor vehicle manufacturer or distributor, 23
two hundred fifty dollars ($250); 24
(C) For an out-of-state salesperson, fifteen dollars 25
($15.00); and 26
(D) For a factory representative or distributor 27
representative, fifty dollars ($50.00). 28
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23-112-806. Established and ongoing special motorcycle events. 30
(a) A special motorcycle event that has been ongoing for five ( 5) 31
years or more before July 31, 2007, and has had a significant positive 32
economic impact in the past shall be: 33
(1) Considered an established and ongoing special motorcycle 34
event; and 35
(2) Eligible to a presumption of a significant positive economic 36 As Engrossed: H4/5/23 SB427
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impact by the Arkansas Motor Vehicle Commission. 1
(b) Notwithstanding any provision of law to the contrary, an 2
established and ongoing special motorcycle event under this section may 3
continue to invite motor vehicle dealers and manufacturers that have 4
participated in the special motorcycle event for the previous three (3) years 5
new motor vehicle dealers and new motor vehicle manufacturers or distributors 6
that have participated in an established and ongoing special event under this 7
section for the previous t hree (3) years may continue to be invited to the 8
special event. 9
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/s/Hill 11
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APPROVED: 4/11/23 14
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