Assigned to TTMC FOR COMMITTEE
ARIZONA STATE SENATE
Fifty-Sixth Legislature, Second Regular Session
FACT SHEET FOR H.B. 2573
use fuel dispenser labels; penalties
Purpose
Reduces, from $100 per day to $100, the civil penalty for violating the labeling
requirements for use fuel dispensers and requires dispenser labels to be provided in bulk.
Background
According to standards established by the Weights and Measurers Services Division of the
Arizona Department of Agriculture, a vendor must label use fuel dispensers to notify the purchaser
of the state use fuel tax rate, which is 18 cents per gallon for light class motor vehicles and 26 cents
per gallon for use class motor vehicles, and post: 1) a sign on each use fuel dispenser that indicates
that the price of the use fuel dispensed from that dispenser includes the applicable federal and state
taxes; 2) both use fuel tax rates, if light class and use class motor vehicles may fuel from the same
dispenser; and 3) any limitations on selling use fuel to light or use class motor vehicles or
prohibitions on light or use class motor vehicles dispensing fuel from a specific fuel dispenser.
The Arizona Department of Transportation (ADOT) must provide use fuel dispenser labels
to vendors (A.R.S. § 28-5605). A vendor includes a person who sells use fuel in Arizona and places
the fuel, or causes the fuel to be placed, into any receptacle on a motor vehicle from which fuel is
supplied for propulsion, including a service station dealer, broker and user who sells use fuel to
others. A use class motor vehicle is a vehicle that uses use fuel on a state highway and is a road
tractor, truck tractor, truck or passenger-carrying vehicle having a declared gross vehicle weight
of more than 26,000 pounds or more than two axles. A light class motor vehicle is a vehicle that
uses use fuel on a state highway and is not a use class motor vehicle (A.R.S. § 28-5601).
The Joint Legislative Budget Committee fiscal note estimates that H.B. 2573 would reduce
state revenues but the extent cannot be determined without input from ADOT (JLBC).
Provisions
1. Subjects a vendor that violates the prescribed requirements for use fuel dispensers to a civil
penalty of $100, rather than $100 each day the violation continues.
2. Requires ADOT to provide use fuel dispenser labels to vendors in bulk.
3. Makes technical changes.
4. Becomes effective on the general effective date.
FACT SHEET
H.B. 2573
Page 2
House Action
TI 1/24/24 DP 9-0-2-0
3
rd
Read 2/6/24 50-5-2-0-3
Prepared by Senate Research
February 29, 2024
KJA/slp