Assigned to PS FOR COMMITTEE ARIZONA STATE SENATE Fifty-Seventh Legislature, First Regular Session FACT SHEET FOR S.B. 1624 youth charity specialty plates Purpose Establishes a youth charity special plate and the Youth Charity Special Plate Fund (Fund). Background The Arizona Department of Transportation (ADOT) Motor Vehicle Division provides one license plate to every motor vehicle owner for each vehicle registered (A.R.S. § 28-2351). ADOT must issue or renew special plates in lieu of regular license plates under specified conditions and procedures (A.R.S. § 28-2403). The fee for obtaining or renewing a special plate is $25 (A.R.S. § 28-2402). Of the $25 fee, $8 is an administration fee that ADOT deposits in the State Highway Fund (SHF) and $17 is a donation. All license plates, including special plates, that are designed or redesigned on or after September 24, 2022, must have: 1) the state name, Arizona, in capital letters in sans serif font and three-fourths of an inch in height; and 2) a background color that contrasts significantly with the color of the letters, numbers and state name (A.R.S. § 28-2351). There is no anticipated fiscal impact to the state General Fund associated with this legislation. Provisions 1. Requires ADOT to issue a youth charity special plate if, by December 31, 2025, a person pays the $32,000 implementation fee. 2. Requires the person that pays the $32,000 implementation fee to design the youth charity special plate. 3. Subjects the design and color of the youth charity special plate to the approval of ADOT. 4. Allows the Director of ADOT (Director) to combine a request for a youth charity special plate with a request for a personalized special plate. 5. Specifies that a combined request must be submitted in a form prescribed by the Director and is subject to the fees for both the youth charity special plate and the personalized special plate. 6. Specifies that, of the $25 fee required to obtain or renew a youth charity special plate, $8 is an administration fee and $17 is an annual donation. 7. Establishes the Fund which is to be administered by the Director. FACT SHEET S.B. 1624 Page 2 8. Requires ADOT to deposit all special plate administration fees in the SHF and transmit the youth charity special plate donations to the Fund. 9. Requires the first $32,000 in the Fund to be reimbursed to the entity that paid the implementation fee. 10. Requires the Director to annually allocate Fund monies to an entity that is a 501(c)(3) organization that must: a) be headquartered in Arizona; b) have a mission to improve the lives of youth in Arizona by them overcome adversity and reach their full potential as productive, caring and responsible citizens; and c) provide grants to programs and nonprofit organizations. 11. Caps, at 10 percent, the annual amount of Fund monies that may be used to administer the Fund. 12. Requires the State Treasurer, on notice from the Director, to invest and divest Fund monies and credit monies earned to the Fund. 13. Specifies that the Fund monies are continuously appropriated. 14. Makes technical and conforming changes. 15. Becomes effective on the general effective date. Prepared by Senate Research February 17, 2025 KJA/slp