Req. No. 1739 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 STATE OF OKLAHOMA 1st Session of the 58th Legislature (2021) COMMITTEE SUBSTITUTE FOR SENATE BILL 169 By: Coleman COMMITTEE SUBSTITUTE An Act relating to special license plates; am ending 47 O.S. 2011, Section 1135.7, as amended by Sect ion 5, Chapter 69, O.S.L. 2018 (47 O.S. Supp. 2020, Section 1135.7), which relates to the design and issuance of special license plates; authorizing Tax Commission to enter into certain licensing agreements; providing for transfer of funds for certain licensing fees; providing certain exception ; and providing an effective date. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 47 O.S. 2011, Section 1 135.7, as amended by Section 5, Chapter 69, O.S.L. 2018 (47 O.S. Supp. 2020, Section 1135.7), is amended to read as follows: Section 1135.7. A. The Oklahoma Tax Commission or private vendor with whom the Commission has contracted is authorized to design and issue special license plates to any pers on that applies to the Tax Commission or private vendor for the creation of a special license plate and meets the minimum standards and qualifications specified in this section . Req. No. 1739 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 B. If the following standards and guidelines are satisfied, the Tax Commission shall authorize the issu ance of a special license plate to the person making application for the special license plate: 1. The license plate is to: a. show membership in or affiliation with an organization, or b. demonstrate support for an organization, group or cause; 2. The license plate does not advertise or endorse a product, brand, or service that is provided for sale; 3. The license plate does not promote any philosop hy based on prejudice or that is con trary to state civil rights laws; and 4. Two hundred prepaid applicat ions for the special license plate are received by the Tax Commission or private vendor. C. The fee for special license plates shall be determined in accordance with Section 1 of this act 1135.9 of this title. If the special license plate does not provide financial assistanc e the fee shall be no less than Fifteen Dollars ($15.00) per year of renewal and shall be in addition to all other registration fees provided by the Oklahoma Vehicle License and Registra tion Act. Unless otherwise provided in this section, Fifteen Dollars ($15.00) of the fee shall be apportioned as follows: Eight Dollars ($8.00) of the special license plate fee shall be deposited in the Oklahoma Tax Co mmission Req. No. 1739 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Reimbursement Fund to be us ed for the administration of the Oklahoma Vehicle License and Registra tion Act and the remaining amounts of the special license plate fee shall be apportioned as provided in Section 1104 of this title. D. For special license plates that provide financial assistance created pursuant to the provisions of this section, the Tax Commission shall be authorized to enter into a li censing agreement with an organization for any licensing fees that may be required to use the organization’s logo or design. E. The fee for special license plates that provide financial assistance shall be determined in accordance with Section 1 of this act 1135.9 of this title. Provided, the fee shall be no less than Thirty-five Dollars ($35.00) and shall be in addition t o all other registration fees provid ed by the Oklahoma Vehicle License and Registration Act. Thirty -five Dollars ($35.00) per year of renewal of the fee shall be apportioned as follows: 1. a. Twenty Dollars ($20.00) of the fee shall be apportioned to the License Plate Special Program Assistance Revolving Fund created in Section 1135 .8 of this title to be used in the manner detailed in the application for the special license plate ;, except as provided in subparagraph b of this paragraph. b. If the Tax Commission has entered into a licensing agreement with an organization for the use of its Req. No. 1739 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 design or logo pursuant to Chapter 74 of Title 47 of the Oklahoma Statutes, an amount to be determined in the licensing agreement , but not to exceed twenty ($20) dollars per license plate issued , shall be transferred monthly to that organization as p ayment of licensing fees and no fee shall be apportioned to the License Plate Special Program Assistance Revolving Fund. 2. Eight Dollars ($8.00) of the fee shall be depos ited in the Oklahoma Tax Commission Reim bursement Fund to be used for the administration of the Oklahoma Vehicle License and Registration Act; and 3. Any remaining amounts of the fee shall be apportioned as provided in Section 1104 of this title. E. If F. Except as otherwise provided in subse ction D and subparagraph b of paragraph 1 of subsection E of this section, if a person applies for a special license plate that provides financial assistance, the application shall des ignate a state agency to be responsible for expe nding the funds genera ted by the special license plate and the application shall designate a specific public purpose for which the funds are to be used. The application shall include an acknowledgment from t he designated state agency of their agreement with acceptance of the d esignated funds. Req. No. 1739 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 F. G. Special license plates shall not be transferred to any other person but sha ll be removed from the vehicle upon transfer of ownership and retained. The special lice nse plate may then be used on another vehicle bu t only after such other vehicle has been registered for the current year. Special license plates shall be renewed each year by the Tax Commission or a motor license agent, unless authori zed by the Tax Commission to be renewed for a period greater than one (1) year. The Tax Commission shall notify all persons issued special license plates of the renewal procedures prior to the expiration of the special license plate. The notice shall con tain all necessary information and shall contain instructions for the renewal procedure upon presentation to a motor license agent or the Tax Commiss ion. The license plates shall be issued on a staggered system. The Tax Commission is hereby directed to de velop and implement a system whereby motor license agents are permitte d to accept applications for special license plates authorized under this section. The motor license agent shall confi rm the applicant’s eligibility, if applicable, collect and deposit any amount specifically authorized by law, accept and process the nece ssary information directly into such system and generate a receipt accordingly. For performance of these duties, motor license agents shall retain the fee provided in Section 1141.1 of this title for registration of a motor vehicle. The motor license age nt fees for Req. No. 1739 Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 acceptance of applications and renewals shall be paid out of the Oklahoma Tax Commission Reimbursement Fund . G. H. All special plates issued by the Tax Commission prior to the effective date of thi s act November 1, 2005, shall not be subject to the requirements a nd qualifications outlined in this section. H. I. As used in this section, “person” includes an individual, group, organization or not-for-profit corporation that is recognized as such by the Internal Revenue Service. SECTION 2. This act shall become effective November 1 , 2021. 58-1-1739 APW 2/23/2021 2:37:47 PM