1.1                          A bill for an act 
  1.2             relating to public safety; modifying vehicle 
  1.3             registration provisions; regulating certain motor 
  1.4             vehicle dealer transactions; allowing certain 
  1.5             transactions with department of public safety to be 
  1.6             conducted electronically; modifying bicycle 
  1.7             registration provisions; modifying, clarifying, and 
  1.8             reorganizing motor carrier fuel tax provisions; 
  1.9             modifying certain license plate display requirements; 
  1.10            modifying commercial driver's license exemption for 
  1.11            snowplow drivers; providing for a driver's license to 
  1.12            be issued to legally emancipated minor; modifying 
  1.13            commercial driver's license disqualification and 
  1.14            violation provisions to conform to federal law; 
  1.15            authorizing rules; making technical and clarifying 
  1.16            changes; amending Minnesota Statutes 2000, sections 
  1.17            168.011, subdivisions 4, 34; 168.013, subdivision 3; 
  1.18            168.09, subdivisions 1, 3; 168.10, subdivision 1c; 
  1.19            168.187, subdivision 26; 168.27, as amended; 168.31, 
  1.20            subdivision 4; 168.33, subdivision 6, by adding a 
  1.21            subdivision; 168A.01, subdivisions 2, 24, by adding a 
  1.22            subdivision; 168A.04, subdivision 5; 168A.05, 
  1.23            subdivision 5a; 168A.09, subdivision 1; 168A.11, 
  1.24            subdivision 2; 168A.12, subdivisions 1, 2; 168A.154; 
  1.25            168A.18; 168A.19, subdivision 2; 168A.20, subdivisions 
  1.26            2, 3, 4; 168A.24, subdivision 1; 168C.02, subdivisions 
  1.27            1, 5; 168C.03; 168C.04, subdivision 1; 168C.05; 
  1.28            168C.06; 168C.07; 168C.08; 168C.09; 168C.11; 168C.12; 
  1.29            168C.13, subdivision 1; 169.26, subdivision 1; 169.28, 
  1.30            subdivision 1; 171.02, subdivisions 1, 5; 171.04, 
  1.31            subdivision 1; 171.05, subdivision 2; 171.055, 
  1.32            subdivision 1; 171.06, subdivisions 1, 3; 171.07, 
  1.33            subdivision 3; 171.13, subdivision 2; 171.165; 
  1.34            296A.23, subdivision 7; Minnesota Statutes 2001 
  1.35            Supplement, sections 168.012, subdivision 1; 169.79, 
  1.36            subdivisions 3, 8, by adding a subdivision; 171.07, 
  1.37            subdivision 1; 221.221, subdivision 2; proposing 
  1.38            coding for new law as Minnesota Statutes, chapter 
  1.39            168D; repealing Minnesota Statutes 2000, sections 
  1.40            171.30, subdivision 3; 296A.27; 296A.28. 
  1.41  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.42                             ARTICLE 1 
  1.43                      PUBLIC SAFETY MISCELLANY 
  2.1      Section 1.  Minnesota Statutes 2000, section 168.011, 
  2.2   subdivision 4, is amended to read: 
  2.3      Subd. 4.  [MOTOR VEHICLE.] (a) "Motor vehicle" means any 
  2.4   self-propelled vehicle designed and originally manufactured to 
  2.5   operate primarily upon public roads and highways, and not 
  2.6   operated exclusively upon railroad tracks and.  It includes any 
  2.7   vehicle propelled or drawn by a self-propelled vehicle and 
  2.8   includes vehicles known as trackless trolleys which that are 
  2.9   propelled by electric power obtained from overhead trolley wires 
  2.10  but not operated upon rails, except.  It does not include 
  2.11  snowmobiles, manufactured homes, and or park trailers.  
  2.12     (b) "Motor vehicle" also includes an all-terrain vehicle, 
  2.13  as defined in section 84.92, subdivision 8, which that (1) has 
  2.14  at least four wheels, (2) is owned and operated by a physically 
  2.15  disabled person, and (3) displays both physically disabled 
  2.16  license plates and a physically disabled certificate issued 
  2.17  under section 169.345, subdivision 3. 
  2.18     (c) Motor vehicle does not include an all-terrain vehicle 
  2.19  as defined in section 84.92, subdivision 8; except (1) an 
  2.20  all-terrain vehicle described in paragraph (b), or (2) an 
  2.21  all-terrain vehicle licensed as a motor vehicle before August 1, 
  2.22  1985, in which case.  The owner may continue to license it an 
  2.23  all-terrain vehicle described in clause (2) as a motor vehicle 
  2.24  until it is conveyed or otherwise transferred to another owner, 
  2.25  is destroyed, or fails to comply with the registration and 
  2.26  licensing requirements of this chapter. 
  2.27     Sec. 2.  Minnesota Statutes 2000, section 168.011, 
  2.28  subdivision 34, is amended to read: 
  2.29     Subd. 34.  [FLEET.] "Fleet" means a combination of 100 50 
  2.30  or more vehicles and trailers owned by a person solely for the 
  2.31  use of that person or employees of the person and registered in 
  2.32  this state under section 168.127.  It does not include vehicles 
  2.33  licensed under section 168.187. 
  2.34     Sec. 3.  Minnesota Statutes 2001 Supplement, section 
  2.35  168.012, subdivision 1, is amended to read: 
  2.36     Subdivision 1.  [VEHICLES EXEMPT FROM TAX, FEES, OR PLATE 
  3.1   DISPLAY.] (a) The following vehicles are exempt from the 
  3.2   provisions of this chapter requiring payment of tax and 
  3.3   registration fees, except as provided in subdivision 1c:  
  3.4      (1) vehicles owned and used solely in the transaction of 
  3.5   official business by the federal government, the state, or any 
  3.6   political subdivision; 
  3.7      (2) vehicles owned and used exclusively by educational 
  3.8   institutions and used solely in the transportation of pupils to 
  3.9   and from those institutions; 
  3.10     (3) vehicles used solely in driver education programs at 
  3.11  nonpublic high schools; 
  3.12     (4) vehicles owned by nonprofit charities and used 
  3.13  exclusively to transport disabled persons for educational 
  3.14  purposes; 
  3.15     (5) vehicles owned and used by honorary consul; 
  3.16     (6) ambulances owned by ambulance services licensed under 
  3.17  section 144E.10, the general appearance of which is 
  3.18  unmistakable; and 
  3.19     (7) (6) vehicles owned by a commercial driving school 
  3.20  licensed under section 171.34, or an employee of a commercial 
  3.21  driving school licensed under section 171.34, and the vehicle is 
  3.22  used exclusively for driver education and training. 
  3.23     (b) Vehicles owned by the federal government, municipal 
  3.24  fire apparatuses including fire-suppression support vehicles, 
  3.25  police patrols, and ambulances, the general appearance of which 
  3.26  is unmistakable, are not required to register or display number 
  3.27  plates.  
  3.28     (c) Unmarked vehicles used in general police work, liquor 
  3.29  investigations, or arson investigations, and passenger 
  3.30  automobiles, pickup trucks, and buses owned or operated by the 
  3.31  department of corrections, must be registered and must display 
  3.32  appropriate license number plates, furnished by the registrar at 
  3.33  cost.  Original and renewal applications for these license 
  3.34  plates authorized for use in general police work and for use by 
  3.35  the department of corrections must be accompanied by a 
  3.36  certification signed by the appropriate chief of police if 
  4.1   issued to a police vehicle, the appropriate sheriff if issued to 
  4.2   a sheriff's vehicle, the commissioner of corrections if issued 
  4.3   to a department of corrections vehicle, or the appropriate 
  4.4   officer in charge if issued to a vehicle of any other law 
  4.5   enforcement agency.  The certification must be on a form 
  4.6   prescribed by the commissioner and state that the vehicle will 
  4.7   be used exclusively for a purpose authorized by this section.  
  4.8      (d) Unmarked vehicles used by the departments of revenue 
  4.9   and labor and industry, fraud unit, in conducting seizures or 
  4.10  criminal investigations must be registered and must display 
  4.11  passenger vehicle classification license number plates, 
  4.12  furnished at cost by the registrar.  Original and renewal 
  4.13  applications for these passenger vehicle license plates must be 
  4.14  accompanied by a certification signed by the commissioner of 
  4.15  revenue or the commissioner of labor and industry.  The 
  4.16  certification must be on a form prescribed by the commissioner 
  4.17  and state that the vehicles will be used exclusively for the 
  4.18  purposes authorized by this section. 
  4.19     (e) Unmarked vehicles used by the division of disease 
  4.20  prevention and control of the department of health must be 
  4.21  registered and must display passenger vehicle classification 
  4.22  license number plates.  These plates must be furnished at cost 
  4.23  by the registrar.  Original and renewal applications for these 
  4.24  passenger vehicle license plates must be accompanied by a 
  4.25  certification signed by the commissioner of health.  The 
  4.26  certification must be on a form prescribed by the commissioner 
  4.27  and state that the vehicles will be used exclusively for the 
  4.28  official duties of the division of disease prevention and 
  4.29  control.  
  4.30     (f) Unmarked vehicles used by staff of the gambling control 
  4.31  board in gambling investigations and reviews must be registered 
  4.32  and must display passenger vehicle classification license number 
  4.33  plates.  These plates must be furnished at cost by the 
  4.34  registrar.  Original and renewal applications for these 
  4.35  passenger vehicle license plates must be accompanied by a 
  4.36  certification signed by the board chair.  The certification must 
  5.1   be on a form prescribed by the commissioner and state that the 
  5.2   vehicles will be used exclusively for the official duties of the 
  5.3   gambling control board.  
  5.4      (g) All other motor vehicles must be registered and display 
  5.5   tax-exempt number plates, furnished by the registrar at cost, 
  5.6   except as provided in subdivision 1c.  All vehicles required to 
  5.7   display tax-exempt number plates must have the name of the state 
  5.8   department or political subdivision, nonpublic high school 
  5.9   operating a driver education program, or licensed commercial 
  5.10  driving school, plainly displayed on both sides of the vehicle; 
  5.11  except that each state hospital and institution for the mentally 
  5.12  ill and mentally retarded may have one vehicle without the 
  5.13  required identification on the sides of the vehicle, and county 
  5.14  social service agencies may have vehicles used for child and 
  5.15  vulnerable adult protective services without the required 
  5.16  identification on the sides of the vehicle.  This identification 
  5.17  must be in a color giving contrast with that of the part of the 
  5.18  vehicle on which it is placed and must endure throughout the 
  5.19  term of the registration.  The identification must not be on a 
  5.20  removable plate or placard and must be kept clean and visible at 
  5.21  all times; except that a removable plate or placard may be 
  5.22  utilized on vehicles leased or loaned to a political subdivision 
  5.23  or to a nonpublic high school driver education program. 
  5.24     Sec. 4.  Minnesota Statutes 2000, section 168.013, 
  5.25  subdivision 3, is amended to read: 
  5.26     Subd. 3.  [APPLICATION; CANCELLATION; EXCESSIVE GROSS 
  5.27  WEIGHT FORBIDDEN.] (a) The applicant for all licenses based on 
  5.28  gross weight shall state the unloaded weight of the motor 
  5.29  vehicle, trailer, or semitrailer and the maximum load the 
  5.30  applicant proposes to carry thereon on it, the sum of 
  5.31  which shall constitute constitutes the gross weight upon which 
  5.32  the license tax shall must be paid, but in no case shall.  
  5.33  However, the declared gross weight upon which the tax is 
  5.34  paid must not be less than 1-1/4 times the declared unloaded 
  5.35  weight of the motor vehicle, trailer, or semitrailer to be 
  5.36  registered, except recreational vehicles taxed under subdivision 
  6.1   1g, school buses taxed under subdivision 18, and tow trucks or 
  6.2   towing vehicles defined in section 169.01, subdivision 52.  The 
  6.3   gross weight of a tow truck or towing vehicle is the actual 
  6.4   weight of the tow truck or towing vehicle fully equipped, but 
  6.5   does not include the weight of a wrecked or disabled vehicle 
  6.6   towed or drawn by the tow truck or towing vehicle. 
  6.7      (b) The gross weight of no a motor vehicle, trailer, or 
  6.8   semitrailer shall must not exceed the gross weight upon which 
  6.9   the license tax has been paid by more than four percent or 1,000 
  6.10  pounds, whichever is greater. 
  6.11     (c) The gross weight of the motor vehicle, trailer, or 
  6.12  semitrailer for which the license tax is paid shall must be 
  6.13  indicated by a distinctive character on the license plate or 
  6.14  plates except as provided in subdivision 12 and the plate or 
  6.15  plates shall must be kept clean and clearly visible at all times.
  6.16     (d) The owner, driver, or user of a motor vehicle, trailer, 
  6.17  or semitrailer, upon conviction for transporting a gross weight 
  6.18  in excess of the gross weight for which it was registered or for 
  6.19  operating a vehicle with an axle weight exceeding the maximum 
  6.20  lawful axle load weight shall be, is guilty of a misdemeanor and 
  6.21  be subject to increased registration or reregistration according 
  6.22  to the following schedule: 
  6.23     (1) The owner, driver or user of a motor vehicle, trailer 
  6.24  or semitrailer Upon conviction for transporting a gross weight 
  6.25  in excess of the gross weight for which it a motor vehicle, 
  6.26  trailer, or semitrailer is registered by more than four percent 
  6.27  or 1,000 pounds, whichever is greater, but less than 25 percent, 
  6.28  or for operating or using a motor vehicle, trailer, or 
  6.29  semitrailer with an axle weight exceeding the maximum lawful 
  6.30  axle load as provided in section 169.825 by more than four 
  6.31  percent or 1,000 pounds, whichever is greater, but less than 25 
  6.32  percent, the owner, driver, or user of the motor vehicle, 
  6.33  trailer, or semitrailer used to commit the violation, in 
  6.34  addition to any penalty imposed for the misdemeanor, shall apply 
  6.35  to the registrar to increase the authorized gross weight to be 
  6.36  carried on the vehicle to a weight equal to or greater than the 
  7.1   gross weight the owner, driver, or user was convicted of 
  7.2   carrying,.  The increase is computed for the balance of the 
  7.3   calendar year on the basis of 1/12 of the annual tax for each 
  7.4   month remaining in the calendar year beginning with the first 
  7.5   day of the month in which the violation occurred.  If the 
  7.6   additional registration tax computed upon that weight, plus the 
  7.7   tax already paid, amounts to more than the regular tax for the 
  7.8   maximum gross weight permitted for the vehicle under section 
  7.9   169.825, that additional amount shall must nevertheless be paid 
  7.10  into the highway fund, but the additional tax thus paid shall 
  7.11  does not authorize or permit any person to operate the vehicle 
  7.12  to be operated with a gross weight in excess of the maximum 
  7.13  legal weight as provided by section 169.825.  Unless the owner 
  7.14  within 30 days after a conviction shall apply applies to 
  7.15  increase the authorized weight and pay pays the additional tax 
  7.16  as provided in this section, the registrar shall revoke the 
  7.17  registration on the vehicle and demand the return of the 
  7.18  registration card and plates issued on that registration. 
  7.19     (2) The owner or driver or user of a motor vehicle, trailer 
  7.20  or semitrailer Upon conviction of an owner, driver, or user of a 
  7.21  motor vehicle, trailer, or semitrailer for transporting a gross 
  7.22  weight in excess of the gross weight for which the motor 
  7.23  vehicle, trailer, or semitrailer was registered by 25 percent or 
  7.24  more, or for operating or using a the vehicle or trailer with an 
  7.25  axle weight exceeding the maximum lawful axle load as provided 
  7.26  in section 169.825 by 25 percent or more, and in addition to any 
  7.27  penalty imposed for the misdemeanor, the registrar shall have 
  7.28  either (i) cancel the reciprocity privileges on the vehicle 
  7.29  involved if the vehicle is being operated under 
  7.30  reciprocity canceled by the registrar, or (ii) if the vehicle is 
  7.31  not being operated under reciprocity, cancel the certificate of 
  7.32  registration on the vehicle operated shall be canceled by the 
  7.33  registrar and the registrar shall demand the return of the 
  7.34  registration certificate and registration plates.  The registrar 
  7.35  may not cancel the registration or reciprocity privileges for 
  7.36  any vehicle found in violation of seasonal load restrictions 
  8.1   imposed under section 169.87 unless the axle weight exceeds the 
  8.2   year-round weight limit for the highway on which the violation 
  8.3   occurred.  The registrar may investigate any allegation of gross 
  8.4   weight violations and demand that the operator show cause why 
  8.5   all future operating privileges in the state should not be 
  8.6   revoked unless the additional tax assessed is paid. 
  8.7      (3) Clause (1) does not apply to the first haul of 
  8.8   unprocessed or raw farm products or unfinished forest products, 
  8.9   when the registered gross weight is not exceeded by more than 
  8.10  ten percent.  For purposes of this clause, "first haul" means (i)
  8.11  the first, continuous transportation of unprocessed or raw farm 
  8.12  products from the place of production or on-farm storage site to 
  8.13  any other location within 50 miles of the place of production or 
  8.14  on-farm storage site, or (ii) the first, continuous 
  8.15  transportation of unfinished forest products from the place of 
  8.16  production to the place of first unloading. 
  8.17     (4) When the registration on a motor vehicle, trailer, or 
  8.18  semitrailer is revoked by the registrar according to provisions 
  8.19  of this section, the vehicle shall must not be operated on the 
  8.20  highways of the state until it is registered or reregistered, as 
  8.21  the case may be, and new plates issued, and the registration fee 
  8.22  shall be is the annual tax for the total gross weight of the 
  8.23  vehicle at the time of violation.  The reregistration pursuant 
  8.24  to this subdivision of any vehicle operating under reciprocity 
  8.25  agreements pursuant to section 168.181 or 168.187 shall must be 
  8.26  at the full annual registration fee without regard to the 
  8.27  percentage of vehicle miles traveled in this state.  
  8.28     Sec. 5.  Minnesota Statutes 2000, section 168.09, 
  8.29  subdivision 1, is amended to read: 
  8.30     Subdivision 1.  [REGISTRATION REQUIRED.] No trailer or 
  8.31  motor vehicle, except as is exempted by section 168.012, shall 
  8.32  use may be used or be operated upon the public streets or 
  8.33  highways of the state in any calendar year until it is 
  8.34  registered, as provided in this section, and the motor vehicle 
  8.35  tax and fees as provided in this chapter are paid, and the 
  8.36  number plates issued for the trailer or motor vehicle are 
  9.1   displayed on the vehicle it.  No trailer or motor vehicle, 
  9.2   except as provided by section 168.012, which shall for any 
  9.3   reason is not be subject to taxation as provided in this 
  9.4   chapter, shall use may be used or be operated upon the public 
  9.5   streets or highways of this state until it is registered, as 
  9.6   provided in this section, and shall display displays number 
  9.7   plates as required by the provisions of this chapter, except 
  9.8   that the purchaser of a new trailer or motor vehicle may operate 
  9.9   that motor vehicle it without plates if the permit authorized by 
  9.10  section 168.091 or 168.092 is displayed. 
  9.11     Sec. 6.  Minnesota Statutes 2000, section 168.09, 
  9.12  subdivision 3, is amended to read: 
  9.13     Subd. 3.  [PRORATABLE VEHICLES; OTHER VEHICLES.] (a) Plates 
  9.14  or other insignia issued for a motor vehicle registered under 
  9.15  the provisions of section 168.187 for a calendar year shall be 
  9.16  displayed on the motor vehicle not later than 12:01 a.m. on 
  9.17  March 2 of the year unless extended by the registrar for the 
  9.18  period of time required for the issuance of the new plates or 
  9.19  insignia.  The commissioner of public safety shall register all 
  9.20  motor vehicles registered under section 168.187 for a period of 
  9.21  14 months for the registration year 1994 to implement the 
  9.22  provisions of this subdivision.  The registration year for 
  9.23  vehicles registered under section 168.187, as provided in this 
  9.24  section shall be, is from March 1 to the last day of February 
  9.25  for 1995 and succeeding years.  
  9.26     (b) Except for a motor vehicle registered under section 
  9.27  168.017 or 168.187, plates or other insignia issued for a 
  9.28  self-propelled motor vehicle registered for over 27,000 
  9.29  pounds except a motor vehicle registered under the provision of 
  9.30  sections 168.017 and 168.187 shall be displayed on the vehicle 
  9.31  not later than 12:01 a.m. on March 2 of the year, nor and, 
  9.32  except for recreational equipment, not earlier than 12:01 a.m. 
  9.33  on February 15 of the year, unless otherwise extended by the 
  9.34  registrar for the period of time required for the issuance of 
  9.35  issuing the new plates or insignia. 
  9.36     (c) Except for a motor vehicle registered under section 
 10.1   168.017 or 168.187, plates or other insignia issued for a 
 10.2   self-propelled vehicle registered for 27,000 pounds or less and 
 10.3   all other motor vehicles except those registered under the 
 10.4   provisions of section 168.017 or 168.187 shall be displayed not 
 10.5   later than 12:01 a.m. on March 2 of the year, and, except for 
 10.6   recreational equipment, not earlier than January 1 of the year 
 10.7   unless otherwise extended by the registrar for the period of 
 10.8   time required for the issuance of issuing the new plates or 
 10.9   insignia.  The registration year for all vehicles as provided in 
 10.10  this paragraph and paragraph (b) shall be is from March 1 to the 
 10.11  last day of February for 1979 and succeeding years. 
 10.12     Sec. 7.  Minnesota Statutes 2000, section 168.10, 
 10.13  subdivision 1c, is amended to read: 
 10.14     Subd. 1c.  [COLLECTOR'S VEHICLE, COLLECTOR LICENSE.] (a) 
 10.15  The owner of any motor vehicle, including any truck, that is at 
 10.16  least 20 model years old and, was manufactured after 1935, or 
 10.17  any motor vehicle of a defunct make defined as any car or truck 
 10.18  originally licensed as a separate identifiable make as 
 10.19  designated by the division of motor vehicles, and is owned and 
 10.20  operated solely as a collector's vehicle, shall be listed list 
 10.21  the vehicle for taxation and registration as follows:  
 10.22     (1) execute an affidavit shall be executed stating the name 
 10.23  and address of the person from whom purchased and of the new 
 10.24  owner, the make of the motor vehicle, the year and number of the 
 10.25  model, the manufacturer's identification number, and that the 
 10.26  vehicle is owned and operated solely as a collector's item and 
 10.27  not for general transportation purposes.  The owner must also; 
 10.28  and 
 10.29     (2) prove that the owner also has one or more vehicles with 
 10.30  regular license plates.  
 10.31  If the registrar is satisfied that the affidavit is true and 
 10.32  correct and the owner pays a $25 tax, the registrar shall list 
 10.33  the vehicle for taxation and registration and shall issue a 
 10.34  single number plate. 
 10.35     (b) The number plate issued shall bear the inscription 
 10.36  "Collector," "Minnesota," and the registration number or other 
 11.1   combination of characters authorized under section 168.12, 
 11.2   subdivision 2a, but no date.  The number plate is valid without 
 11.3   renewal as long as the vehicle is in existence.  The registrar 
 11.4   has the power to revoke the plate for failure to comply with 
 11.5   this subdivision. 
 11.6      Sec. 8.  Minnesota Statutes 2000, section 168.27, as 
 11.7   amended by Laws 2001, chapter 151, section 1; and Laws 2001, 
 11.8   First Special Session chapter 8, article 2, sections 35 and 36, 
 11.9   is amended to read: 
 11.10     168.27 [MOTOR VEHICLE DEALERS; VIOLATIONS, PENALTIES.] 
 11.11     Subdivision 1.  [DEFINITIONS.] (a) For the purposes of this 
 11.12  section, the following terms in paragraphs (b) to (o) have the 
 11.13  meanings given them:. 
 11.14     (1) (b) "Leasing motor vehicles" means furnishing a motor 
 11.15  vehicle for a fee under a bailor-bailee relationship where no 
 11.16  incidences of ownership are intended to be transferred other 
 11.17  than the right to use the vehicle for a stated period of time. 
 11.18     (2) (c) "Brokering motor vehicles" means arranging sales or 
 11.19  leases between buyers and sellers, or lessees and lessors, of 
 11.20  motor vehicles and receiving a fee for those services. 
 11.21     (3) (d) "Wholesaling motor vehicles" means selling new or 
 11.22  used motor vehicles to dealers for resale to the public. 
 11.23     (4) (e) "Auctioning motor vehicles" means arranging for and 
 11.24  handling the sale of motor vehicles, not the property of the 
 11.25  auctioneer, to the highest bidder. 
 11.26     (5) (f) "Dealer" includes licensed new motor vehicle 
 11.27  dealers, used motor vehicle dealers, motor vehicle brokers, 
 11.28  wholesalers, auctioneers, lessors of new or used motor vehicles, 
 11.29  scrap metal processors, used vehicle parts dealers, and salvage 
 11.30  pools. 
 11.31     (6) (g) "Commercial building" means a permanent, enclosed 
 11.32  building that is on a permanent foundation and connected to 
 11.33  local sewer and water facilities or otherwise complying with 
 11.34  local sanitary codes, is adapted to commercial use, and conforms 
 11.35  to local government zoning requirements.  "Commercial building" 
 11.36  may include strip office malls or garages if a separate entrance 
 12.1   and a separate address are maintained and the dealership is 
 12.2   clearly identified as a separate business. 
 12.3      (7) (h) "Commercial office space" means office space 
 12.4   occupying all or part of a commercial building. 
 12.5      (8) (i) "Horse trailer" is a trailer designed and used to 
 12.6   carry horses and other livestock, which has not more than three 
 12.7   axles and a maximum gross weight capacity of not more than 
 12.8   24,000 pounds. 
 12.9      (9) (j) "Used motor vehicle" means a motor vehicle for 
 12.10  which title has been transferred from the person who first 
 12.11  acquired it from the manufacturer, distributor, or dealer.  A 
 12.12  new motor vehicle will not be considered a used motor vehicle 
 12.13  until it has been placed in actual operation and not held for 
 12.14  resale by an owner who has been granted a certificate of title 
 12.15  on the motor vehicle and has registered the motor vehicle in 
 12.16  accordance with this chapter and chapters 168A and 297B, or the 
 12.17  laws of the residence of the owner.  
 12.18     (10) (k) "New motor vehicle" means a motor vehicle other 
 12.19  than described in paragraph (9) (j).  
 12.20     (11) (l) "Junked vehicle" means a vehicle that is declared 
 12.21  unrepairable under section 168A.151. 
 12.22     (12) (m) "Motor vehicle" has the meaning given it in 
 12.23  section 168.011, subdivision 4, and also includes a park trailer 
 12.24  as defined in section 168.011, subdivision 8. 
 12.25     (13) (n) "Motor vehicle broker" means a person who arranges 
 12.26  the sale of a motor vehicle between a buyer and a seller, or the 
 12.27  lease of a motor vehicle between a lessee and a lessor, for 
 12.28  which service the broker receives a fee. 
 12.29     (o) "Registration year" means the 12-month period for which 
 12.30  a dealer license is issued. 
 12.31     Subd. 1a.  [DEALER LICENSE CATEGORIES.] (a) No person shall 
 12.32  engage in the business of selling new motor vehicles or shall 
 12.33  offer to sell, solicit, deliver, or advertise the sale of new 
 12.34  motor vehicles without first acquiring a new motor vehicle 
 12.35  dealer license. 
 12.36     (b) No person shall engage in the business of selling used 
 13.1   motor vehicles or shall offer to sell, solicit, deliver, or 
 13.2   advertise the sale of used motor vehicles without first 
 13.3   acquiring a used motor vehicle dealer license. 
 13.4      (c) No person shall engage in the business of buying or 
 13.5   otherwise acquiring vehicles other than hulks; or offering to 
 13.6   buy or otherwise acquire, or soliciting or advertising the 
 13.7   buying or acquiring of, vehicles other than hulks for processing 
 13.8   and selling the metal for remelting without first acquiring a 
 13.9   scrap metal processor license. 
 13.10     For purposes of this paragraph, a "hulk" is a motor vehicle 
 13.11  that is incapable, under its own power, of moving and is 
 13.12  incapable of transporting persons or property and has had 
 13.13  valuable used parts removed.  Its sole value is its metallic 
 13.14  content. 
 13.15     (d) No person shall be primarily engaged in the business of 
 13.16  buying or otherwise acquiring vehicles for the purpose of 
 13.17  dismantling the vehicles and selling used parts and the 
 13.18  remaining scrap metals without first acquiring a used vehicle 
 13.19  parts dealer license. 
 13.20     (e) No person shall engage in the business of storing and 
 13.21  displaying, offering to store or display, or soliciting or 
 13.22  advertising the storing or displaying, for sale, of damaged or 
 13.23  junked vehicles as an agent or escrow agent of an insurance 
 13.24  company without first acquiring a vehicle salvage pool license. 
 13.25     (f) No person shall engage in the business of leasing motor 
 13.26  vehicles or shall offer to lease, solicit or advertise to lease 
 13.27  motor vehicles without first acquiring a motor vehicle lessor 
 13.28  license. 
 13.29     (g) No person shall engage in the business of wholesaling 
 13.30  motor vehicles to dealers for resale or shall offer to sell, 
 13.31  solicit or advertise the sale of motor vehicles to dealers for 
 13.32  resale without first acquiring a motor vehicle wholesaler 
 13.33  license. 
 13.34     (h) No person shall engage in the business of auctioning 
 13.35  motor vehicles for more than one owner at an auction or shall 
 13.36  offer to sell, solicit or advertise the sale of motor vehicles 
 14.1   at auction without first acquiring a motor vehicle auctioneer 
 14.2   license. 
 14.3      (i) No person shall engage in the business of brokering 
 14.4   motor vehicles without first acquiring a motor vehicle broker's 
 14.5   license. 
 14.6      Subd. 2.  [NEW MOTOR VEHICLE DEALER.] (a) No person shall 
 14.7   engage in the business of selling new motor vehicles or shall 
 14.8   offer to sell, solicit, deliver, or advertise the sale of new 
 14.9   motor vehicles without first acquiring a new motor vehicle 
 14.10  dealer license.  A new motor vehicle dealer licensee shall be 
 14.11  entitled thereunder to may sell, broker, wholesale, or auction 
 14.12  and to solicit and advertise the sale, broker, wholesale, or 
 14.13  auction of new motor vehicles covered by the franchise and any 
 14.14  used motor vehicles or to lease and to solicit and advertise the 
 14.15  lease of new motor vehicles and any used motor vehicles and such.
 14.16  New motor vehicle dealer sales or leases may be either for 
 14.17  consumer use at retail or for resale to a dealer.  A new motor 
 14.18  vehicle dealer may engage in the business of buying or otherwise 
 14.19  acquiring vehicles for dismantling the vehicles and selling used 
 14.20  parts and remaining scrap materials under chapter 168A, except 
 14.21  that a new motor vehicle dealer may not purchase a junked 
 14.22  vehicle from a salvage pool, insurance company, or its agent 
 14.23  unless the dealer is also licensed as a used vehicle parts 
 14.24  dealer.  Nothing herein shall be construed to require in this 
 14.25  subdivision requires an applicant for a dealer license who 
 14.26  proposes to deal in:  (1) new and unused motor vehicle bodies; 
 14.27  or (2) type A, B, or C motor homes as defined in section 
 14.28  168.011, subdivision 25, to have a bona fide contract or 
 14.29  franchise in effect with either the first-stage manufacturer of 
 14.30  the motor home or the manufacturer or distributor of any motor 
 14.31  vehicle chassis upon which the new and unused motor vehicle body 
 14.32  is mounted.  The modification or conversion of a new van-type 
 14.33  vehicle into a multipurpose passenger vehicle which is not a 
 14.34  motor home does not constitute dealing in new or unused motor 
 14.35  vehicle bodies, and a person engaged in the business of selling 
 14.36  these van-type vehicles must have a bona fide contract or 
 15.1   franchise with the appropriate manufacturer under subdivision 
 15.2   10.  A van converter or modifier who owns these modified or 
 15.3   converted van-type vehicles may sell them at wholesale to new 
 15.4   motor vehicle dealers having a bona fide contract or franchise 
 15.5   with the first-stage manufacturer of the vehicles. 
 15.6      (b) The requirements pertaining to franchises do not apply 
 15.7   to persons who remodel or convert motor vehicles for medical 
 15.8   purposes.  For purposes of this subdivision, "medical purpose" 
 15.9   means certification by a licensed physician that remodeling or 
 15.10  conversion of a motor vehicle is necessary to enable a disabled 
 15.11  person to use the vehicle. 
 15.12     (c) A new motor vehicle dealer shall not deliver a 
 15.13  manufacturer's or importer's certificate of origin for a 
 15.14  passenger automobile, pickup truck, or van requiring a 
 15.15  certificate of title pursuant according to chapter 168A to any 
 15.16  person in conjunction with the sale of a vehicle except to the 
 15.17  department, another new motor vehicle dealer licensed to sell 
 15.18  the same line or make, or a person whose primary business is 
 15.19  picking up and delivering motor vehicle title documents. 
 15.20     (d) If a new motor vehicle dealer agrees to sell or lease a 
 15.21  new motor vehicle using the services of a motor vehicle broker, 
 15.22  the new motor vehicle dealer may not refuse to deliver 
 15.23  possession of the vehicle to the buyer or lessee.  This 
 15.24  paragraph does not require delivery unless all arrangements have 
 15.25  been properly completed for payment, insurance required by law, 
 15.26  titling, transfer, and registration of the new vehicle and any 
 15.27  trade-in vehicle.  Delivery may take place at or away from the 
 15.28  dealership. 
 15.29     Subd. 3.  [USED MOTOR VEHICLE DEALER.] No person shall 
 15.30  engage in the business of selling or arranging the sale of used 
 15.31  motor vehicles or shall offer to sell, solicit, arrange, or 
 15.32  advertise the sale of used motor vehicles without first 
 15.33  acquiring a used motor vehicle dealer license.  A used motor 
 15.34  vehicle dealer licensee shall be entitled thereunder to may 
 15.35  sell, lease, broker, wholesale or auction and to solicit and 
 15.36  advertise the sale, lease, broker, wholesale or auction of any 
 16.1   used motor vehicles for consumer use at retail or for resale to 
 16.2   a dealer.  A used motor vehicle dealer may engage in the 
 16.3   business of buying or otherwise acquiring vehicles for 
 16.4   dismantling the vehicles and selling used parts and remaining 
 16.5   scrap materials under chapter 168A, except that a used motor 
 16.6   vehicle dealer may not acquire a junked vehicle from a salvage 
 16.7   pool, insurance company, or its agent, unless the dealer is also 
 16.8   licensed as a used vehicle parts dealer. 
 16.9      Subd. 3a.  [SCRAP METAL PROCESSOR.] (a) A person must have 
 16.10  a scrap metal processor license to engage in the business of: 
 16.11     (1) buying or otherwise acquiring vehicles other than 
 16.12  hulks; or 
 16.13     (2) offering to buy or otherwise acquire, or soliciting or 
 16.14  advertising the buying or acquiring of, vehicles other than 
 16.15  hulks for processing and selling the metal for remelting.  For 
 16.16  purposes of this subdivision, a "hulk" is a motor vehicle that 
 16.17  is incapable, under its own power, of moving and is incapable of 
 16.18  transporting persons or property and has had any valuable used 
 16.19  parts removed.  Its sole value is its metallic content. 
 16.20     (b) A scrap metal processor licensee is entitled to may buy 
 16.21  or otherwise acquire vehicles and to solicit and advertise the 
 16.22  buying or acquiring of vehicles for processing and selling the 
 16.23  metal for remelting.  A scrap metal processor licensee may not 
 16.24  acquire a junked vehicle for the purpose of dismantling and 
 16.25  selling used vehicle parts and remaining scrap materials unless 
 16.26  the scrap metal processor is also licensed as a used vehicle 
 16.27  parts dealer. 
 16.28     Subd. 3b.  [USED VEHICLE PARTS DEALER.] A person must have 
 16.29  a used vehicle parts dealer's license to be primarily engaged in 
 16.30  the business of buying or otherwise acquiring vehicles for the 
 16.31  purpose of dismantling the vehicles and selling used parts and 
 16.32  the remaining scrap metals. 
 16.33     Subd. 3c.  [VEHICLE SALVAGE POOL.] A person must have a 
 16.34  vehicle salvage pool license to engage in the business of:  
 16.35  storing and displaying, offering to store or display, or 
 16.36  soliciting or advertising the storing or displaying, for sale, 
 17.1   of damaged or junked vehicles as an agent or escrow agent of an 
 17.2   insurance company.  A vehicle salvage pool licensee is entitled 
 17.3   to may store and display and to may solicit and advertise the 
 17.4   storing and displaying, for sale, of damaged or junked vehicles 
 17.5   as an agent or escrow agent of an insurance company.  A vehicle 
 17.6   salvage pool licensee shall not sell junked vehicles to any 
 17.7   party other than a licensed used parts dealer. 
 17.8      Subd. 4.  [MOTOR VEHICLE LESSOR.] No person shall engage in 
 17.9   the business of leasing motor vehicles or shall offer to lease, 
 17.10  solicit or advertise to lease motor vehicles without first 
 17.11  acquiring a motor vehicle lessor license.  A motor vehicle 
 17.12  lessor licensee shall be entitled thereunder to may lease or 
 17.13  rent either by the hour, day or longer period for a fee and to 
 17.14  may solicit and advertise the lease or rental of motor 
 17.15  vehicles.  A motor vehicle lessor having leased motor vehicles, 
 17.16  may sell the vehicles upon their return to the lessor after 
 17.17  termination or expiration of the lease without obtaining a used 
 17.18  motor vehicle dealer license. 
 17.19     Subd. 4a.  [LIMITED USED VEHICLE LICENSE.] A limited used 
 17.20  vehicle license shall be provided to a nonprofit charitable 
 17.21  organization that qualifies for tax exemption under section 
 17.22  501(c)(3) of the Internal Revenue Code whose primary business in 
 17.23  the transfer of vehicles is to raise funds for the corporation, 
 17.24  who acquire vehicles for sale through donation, and use a 
 17.25  licensed motor vehicle auctioneer to sell vehicles to retail 
 17.26  customers.  This license does not apply to educational 
 17.27  institutions whose primary purpose is to train students in the 
 17.28  repair, maintenance, and sale of motor vehicles.  A limited used 
 17.29  vehicle license allows the organization to accept assignment of 
 17.30  vehicles without the requirement to transfer title as provided 
 17.31  in section 168A.10 until sold to a retail customer.  Limited 
 17.32  used vehicle license holders are not entitled to dealer plates, 
 17.33  and shall report all vehicles held for resale to the department 
 17.34  of public safety in a manner and time prescribed by the 
 17.35  department. 
 17.36     Subd. 5a.  [CONSIGNMENT SALES.] No person may solicit, 
 18.1   accept, offer for sale, or sell motor vehicles for consignment 
 18.2   sale unless licensed as a new or used motor vehicle dealer, a 
 18.3   motor vehicle wholesaler, or a motor vehicle auctioneer.  This 
 18.4   requirement does not apply to a licensed auctioneer selling 
 18.5   motor vehicles at an auction if, in the ordinary course of the 
 18.6   auctioneer's business, the sale of motor vehicles is incidental 
 18.7   to the sale of other real or personal property.  Incidental 
 18.8   means up to a total of ten but no more than ten percent of the 
 18.9   items in the posted auction bill are motor vehicles.  
 18.10     Subd. 6.  [MOTOR VEHICLE WHOLESALER.] No person shall 
 18.11  engage in the business of wholesaling motor vehicles to dealers 
 18.12  for resale or shall offer to sell, solicit or advertise the sale 
 18.13  of motor vehicles to dealers for resale without first acquiring 
 18.14  a motor vehicle wholesaler license.  A motor vehicle wholesaler 
 18.15  licensee shall be entitled thereunder to may sell, solicit or 
 18.16  advertise the sale of motor vehicles at wholesale for resale; 
 18.17  provided that a wholesaler may sell, solicit, or advertise the 
 18.18  sale of new motor vehicles only to dealers duly licensed to sell 
 18.19  the same make of motor vehicles. 
 18.20     Subd. 7.  [MOTOR VEHICLE AUCTIONEER.] No person shall 
 18.21  engage in the business of auctioning motor vehicles for more 
 18.22  than one owner at an auction or shall offer to sell, solicit or 
 18.23  advertise the sale of motor vehicles at auction without first 
 18.24  acquiring a motor vehicle auctioneer license.  A motor vehicle 
 18.25  auctioneer licensee shall be entitled thereunder to may sell, 
 18.26  solicit and advertise the sale of used motor vehicles belonging 
 18.27  to others at auction. 
 18.28     Subd. 7a.  [MOTOR VEHICLE BROKER.] (a) No person shall 
 18.29  engage in the business of brokering motor vehicles without first 
 18.30  acquiring a motor vehicle broker's license.  A motor vehicle 
 18.31  broker shall provide each buyer or lessee with a written 
 18.32  disclosure stating whether the motor vehicle broker receives a 
 18.33  fee from the dealers with whom the broker does business.  The 
 18.34  new or used motor vehicle dealer shall be is the seller of 
 18.35  record in all such transactions.  The motor vehicle dealer may 
 18.36  pay the motor vehicle broker a fee for brokering services 
 19.1   rendered.  A motor vehicle broker may: 
 19.2      (1) advertise and solicit the brokering of new motor 
 19.3   vehicles.  A motor vehicle broker shall not advertise or make 
 19.4   any representations which state, imply, or suggest that the 
 19.5   motor vehicle broker itself sells vehicles, is authorized to 
 19.6   sell vehicles, or obtains vehicles directly from the motor 
 19.7   vehicle manufacturer.  All advertising or other solicitations by 
 19.8   a motor vehicle broker shall disclose that sales of new motor 
 19.9   vehicles are arranged through franchised motor vehicle dealers; 
 19.10     (2) negotiate or quote the sale price or lease terms of 
 19.11  motor vehicles; 
 19.12     (3) prepare and deliver documents necessary to the 
 19.13  transaction; 
 19.14     (4) accept a down payment not to exceed $500, but otherwise 
 19.15  may not accept payment in full or in part for a motor vehicle 
 19.16  unless the payment is in the form of a negotiable instrument 
 19.17  payable to the vehicle dealer; 
 19.18     (5) accompany a motor vehicle purchaser or lessee at the 
 19.19  time of delivery by the selling dealer of a new motor vehicle; 
 19.20  and 
 19.21     (6) be present when warranties and safety features are 
 19.22  described by the selling dealer in conjunction with the delivery 
 19.23  of a new motor vehicle. 
 19.24     (b) A motor vehicle broker shall not: 
 19.25     (1) engage in the business of selling new or used motor 
 19.26  vehicles as described in subdivisions 2 and 3; 
 19.27     (2) execute contracts or official documents for the sale or 
 19.28  lease of a new motor vehicle; 
 19.29     (3) describe a new vehicle's warranties or safety features 
 19.30  in conjunction with the delivery of a new motor vehicle; 
 19.31     (4) display motor vehicles available for sale or lease; or 
 19.32     (5) perform any dealer preparation of new motor vehicles. 
 19.33  All dealer preparation shall be performed only by a licensed new 
 19.34  motor vehicle dealer. 
 19.35     (c) This subdivision does not apply to licensed motor 
 19.36  vehicle lessors and shall not be construed to restrict licensed 
 20.1   motor vehicle lessors from brokering motor vehicle leases or 
 20.2   otherwise engaging in the leasing of motor vehicles in 
 20.3   accordance with subdivisions 1 and 4. 
 20.4      Subd. 8.  [EXEMPTIONS.] (a) Salespeople and other employees 
 20.5   of licensed dealers under this section are not required to 
 20.6   obtain individual licenses. 
 20.7      (b) Isolated or occasional sales or leases of new or used 
 20.8   motor vehicles are exempt from this section.  A person who makes 
 20.9   only isolated or occasional sales or leases is not required to 
 20.10  be licensed under this section, is not considered to be in the 
 20.11  business of selling or leasing motor vehicles, and does not 
 20.12  qualify to receive dealer plates under subdivision 16.  
 20.13  "Isolated or occasional sales or leases" means:  (1) the sale or 
 20.14  lease of a motor vehicle with an actual cash value of $1,000 or 
 20.15  less made by a charitable organization; (2) the sale, purchase, 
 20.16  or lease of not more than five motor vehicles in a 12-month 
 20.17  period, other than pioneer or classic motor vehicles as defined 
 20.18  in section 168.10, subdivisions 1a and 1b, or (3) sales by a 
 20.19  licensed auctioneer selling motor vehicles at an auction if, in 
 20.20  the ordinary course of the auctioneer's business, the sale of 
 20.21  motor vehicles is incidental to the sale of other real or 
 20.22  personal property.  For purposes of this subdivision, charitable 
 20.23  organization means a nonprofit charitable organization that 
 20.24  qualifies for tax exemption under section 501(c)(3) of the 
 20.25  Internal Revenue Code. 
 20.26     (c) A person whose sales of new and used motor vehicles 
 20.27  consist solely of sales to political subdivisions and their 
 20.28  agencies of vehicles used solely as firefighting equipment is 
 20.29  not required to obtain a license under this section.  The person 
 20.30  may apply for and receive in-transit plates under subdivision 17 
 20.31  in the same manner as licensed motor vehicle dealers for the 
 20.32  purpose of allowing firefighting equipment to be transported 
 20.33  from the dealer's source of supply or other place of storage to 
 20.34  the dealer's place of business, to another place of storage, or 
 20.35  directly to the purchaser. 
 20.36     Subd. 9.  [APPLICATION.] Application for such license and 
 21.1   renewal thereof shall All license applications under this 
 21.2   section and all license renewals must be made to the registrar 
 21.3   of motor vehicles, shall be in writing, and duly verified by 
 21.4   oath.  The applicant shall submit such information as the 
 21.5   registrar may require to administer this section, on blanks 
 21.6   provided by the registrar for such purpose in a manner and 
 21.7   format prescribed by the registrar. 
 21.8      Subd. 10.  [PLACE OF BUSINESS.] (a) All licensees under 
 21.9   this section shall have an established place of business which 
 21.10  shall include as a minimum: 
 21.11     (1) For a new motor vehicle dealer, the following: 
 21.12     (i) a commercial building owned or under lease by the 
 21.13  licensee.  The lease shall must be for a minimum term of one 
 21.14  year.  The building shall must contain office space where the 
 21.15  books, records, and files necessary to conduct the business are 
 21.16  kept and maintained with personnel available during normal 
 21.17  business hours.  Dealership business hours must be conspicuously 
 21.18  posted on the place of doing business and readily viewable by 
 21.19  the public; 
 21.20     (ii) a bona fide contract or franchise (1) in effect with a 
 21.21  manufacturer or distributor of the new motor vehicles the dealer 
 21.22  proposes to sell, broker, wholesale, or auction, or (2) in 
 21.23  effect with the first-stage manufacturer or distributor of new 
 21.24  motor vehicles purchased from a van converter or modifier which 
 21.25  the dealer proposes to sell, broker, wholesale, or auction, or 
 21.26  (3) in effect with the final stage manufacturer of the new type 
 21.27  A, B, or C motor homes which the dealer proposes to sell, 
 21.28  broker, wholesale, or auction; 
 21.29     (iii) a facility for the repair and servicing of motor 
 21.30  vehicles and the storage of parts and accessories, not to exceed 
 21.31  ten miles distance from the principal place of business.  Such 
 21.32  The service may be provided through contract with bona fide 
 21.33  operators actually engaged in such the services; 
 21.34     (iv) an area either indoors or outdoors to display motor 
 21.35  vehicles which that is owned or under lease by the licensee; and 
 21.36     (v) a sign readily viewable by the public that 
 22.1   clearly identifying identifies the dealership by name which is 
 22.2   readily viewable by the public. 
 22.3      (2) For a used motor vehicle dealer, the following: 
 22.4      (i) a commercial building owned or under lease by the 
 22.5   licensee.  The lease shall must be for a minimum term of one 
 22.6   year.  The building shall must contain office space where the 
 22.7   books, records, and files necessary to conduct the business are 
 22.8   kept and maintained with personnel available during normal 
 22.9   business hours or automatic telephone answering service during 
 22.10  normal business hours.  Dealership business hours must be 
 22.11  conspicuously posted on the place of doing business and readily 
 22.12  viewable by the public; 
 22.13     (ii) an area either indoors or outdoors to display motor 
 22.14  vehicles which is owned or under lease by the licensee; and 
 22.15     (iii) a sign readily viewable by the public that 
 22.16  clearly identifying identifies the dealership by name which is 
 22.17  readily viewable by the public. 
 22.18     (3) For a motor vehicle lessor, the following:  a 
 22.19  commercial office space where the books, records, and files 
 22.20  necessary to conduct the business are kept and maintained with 
 22.21  personnel available during normal business hours or an automatic 
 22.22  telephone answering service during normal business hours.  
 22.23  Business hours must be conspicuously posted on the place of 
 22.24  doing business and readily viewable by the public.  The office 
 22.25  space must be owned or under lease for a minimum term of one 
 22.26  year by the licensee. 
 22.27     (4) For a motor vehicle wholesaler, the following:  a 
 22.28  commercial office space where the books, records, and files 
 22.29  necessary to conduct the business are kept and maintained with 
 22.30  personnel available during normal business hours or an automatic 
 22.31  telephone answering service during normal business hours.  The 
 22.32  office space must be owned or under lease for a minimum term of 
 22.33  one year by the licensee. 
 22.34     (5) For a motor vehicle auctioneer, the following:  a 
 22.35  permanent enclosed commercial building, within or without the 
 22.36  state, on a permanent foundation, owned or under lease by the 
 23.1   licensee.  The lease shall must be for a minimum term of one 
 23.2   year.  The building shall must contain office space where the 
 23.3   books, records, and files necessary to conduct the business are 
 23.4   kept and maintained with personnel available during normal 
 23.5   business hours or an automatic telephone answering service 
 23.6   during normal business hours.  
 23.7      (6) For a motor vehicle broker, the following:  a 
 23.8   commercial office space where books, records, and files 
 23.9   necessary to conduct business are kept and maintained with 
 23.10  personnel available during normal business hours, or an 
 23.11  automatic telephone answering service available during normal 
 23.12  business hours.  A sign, clearly identifying the motor vehicle 
 23.13  broker by name and listing the broker's business hours, must be 
 23.14  posted in a location and manner readily viewable by a member of 
 23.15  the public visiting the office space.  The office space must be 
 23.16  owned or under lease for a minimum term of one year by the 
 23.17  licensee. 
 23.18     (b) If a new or used motor vehicle dealer maintains more 
 23.19  than one place of doing business in a county, the separate 
 23.20  places shall must be listed on the application.  If additional 
 23.21  places of business are maintained outside of one county, 
 23.22  separate licenses shall must be obtained for each county. 
 23.23     (c) If a motor vehicle lessor, wholesaler, auctioneer, or 
 23.24  motor vehicle broker maintains more than one permanent place of 
 23.25  doing business, either in one or more counties, the separate 
 23.26  places shall must be listed in the application, but only one 
 23.27  license shall be is required.  If a lessor proposes to sell 
 23.28  previously leased or rented vehicles or if a broker proposes to 
 23.29  establish an office at a location outside the seven-county 
 23.30  metropolitan area, as defined in section 473.121, subdivision 2, 
 23.31  other than cities of the first class, the lessor or broker must 
 23.32  obtain a license for each nonmetropolitan area county in which 
 23.33  the lessor's sales are to take place or where the broker 
 23.34  proposes to locate an office. 
 23.35     (d) If a motor vehicle dealer, lessor, wholesaler, or motor 
 23.36  vehicle broker does not have direct access to a public road or 
 24.1   street, any privately owned roadway providing access to a public 
 24.2   road or street must be clearly identified and adequately 
 24.3   maintained. 
 24.4      (e) A new or used motor vehicle dealer may establish a 
 24.5   temporary place of business outside the county where it 
 24.6   maintains its licensed location to sell horse trailers 
 24.7   exclusively without obtaining an additional license.  
 24.8      (f) A new or used motor vehicle dealer may establish a 
 24.9   temporary place of business outside the county where it 
 24.10  maintains its licensed location to sell recreational equipment 
 24.11  exclusively without obtaining an additional license if: 
 24.12     (1) the dealer establishes a temporary place of business 
 24.13  for the sale of recreational equipment not more than four times 
 24.14  during any calendar year; 
 24.15     (2) each temporary place of business other than an official 
 24.16  county fair or the Minnesota state fair within the seven-county 
 24.17  metropolitan area, as defined in section 473.121, subdivision 2, 
 24.18  is established jointly with at least four other recreational 
 24.19  equipment dealers; 
 24.20     (3) each temporary place of business other than an official 
 24.21  county fair outside the seven-county metropolitan area, as 
 24.22  defined in section 473.121, subdivision 2, is established 
 24.23  jointly with at least one other recreational equipment dealer; 
 24.24     (4) each establishment of a temporary place of business for 
 24.25  the sale of recreational equipment is for no more than 12 
 24.26  consecutive days; and 
 24.27     (5) the dealer notifies the registrar of motor vehicles of 
 24.28  each temporary place of business for the sale of recreational 
 24.29  equipment. 
 24.30     Subd. 11.  [LICENSES; FEE.] Application for license or 
 24.31  notification of a change of location of a license must include a 
 24.32  street address, not a post office box, and is subject to the 
 24.33  registrar's approval.  Upon the filing of an application for a 
 24.34  license and the proper fee, the registrar is authorized, unless 
 24.35  the application on its face appears to be invalid, to grant a 
 24.36  90-day temporary license and.  During said the 90-day 
 25.1   period following issuance of temporary license, the registrar 
 25.2   shall investigate the fitness of the applicant, inspect the site 
 25.3   and make such other investigation as is necessary to insure 
 25.4   compliance with the licensing law.  The registrar may extend the 
 25.5   temporary license 30 days.  At the end of the period of 
 25.6   investigation the license shall must either be granted or 
 25.7   denied.  The license must be denied if within the previous ten 
 25.8   years the applicant was enjoined due to a violation of section 
 25.9   325F.69 or convicted of violating section 325E.14, 325E.15, 
 25.10  325E.16, or 325F.69, or convicted under section 609.53 of 
 25.11  receiving or selling stolen vehicles, or convicted of violating 
 25.12  United States Code, title 15, sections 1981 to 1991, as amended 
 25.13  through December 31, 1984, or pleaded guilty, entered a plea of 
 25.14  nolo contendere or no contest, or has been found guilty in a 
 25.15  court of competent jurisdiction of any charge of failure to pay 
 25.16  state or federal income or sales taxes or felony charge of 
 25.17  forgery, embezzlement, obtaining money under false pretenses, 
 25.18  theft by swindle, extortion, conspiracy to defraud, or bribery.  
 25.19  The license must also be denied if within the previous year the 
 25.20  applicant has been denied a license.  A license must also be 
 25.21  denied if the applicant has had a dealer license revoked within 
 25.22  the previous ten years.  If the application is approved, the 
 25.23  registrar shall license the applicant as a motor vehicle dealer 
 25.24  for the remainder of the calendar year, one year from the date 
 25.25  the temporary license is granted and issue a certificate of 
 25.26  license therefor as the registrar may provide upon which shall 
 25.27  be placed that must include a distinguishing number of 
 25.28  identification of such the dealer.  The license must be 
 25.29  displayed in a prominent place in the licensed location.  Each 
 25.30  initial application for a license shall must be accompanied by a 
 25.31  fee of $50 in addition to the annual fee.  The annual fee shall 
 25.32  be $100.  All initial fees and annual fees shall must be paid 
 25.33  into the state treasury and credited to the general fund.  If 
 25.34  the initial application is received by the registrar after July 
 25.35  1 of any year, the first annual fee shall be reduced by one-half.
 25.36     Subd. 12.  [GROUNDS FOR SUSPENSION AND REVOCATION.] (a) A 
 26.1   license may be suspended or revoked by the registrar of motor 
 26.2   vehicles upon proof satisfactory to the registrar of any of the 
 26.3   following: 
 26.4      (1) violations of any of the provisions of this chapter or 
 26.5   chapter 168A, 297B, 325E, or 325F; 
 26.6      (2) violation of or refusal to comply with the requests and 
 26.7   order of the registrar; 
 26.8      (3) failure to make or provide to the registrar all 
 26.9   listings, notices, and reports required by the registrar; 
 26.10     (4) failure to pay to the registrar all taxes, fees, and 
 26.11  arrears due from and by such dealer; 
 26.12     (5) failure to duly apply for renewal of license provided 
 26.13  for herein in this section; 
 26.14     (6) revocation of previous license, of which the records of 
 26.15  the registrar relating thereto shall be to the revocation are 
 26.16  prima facie evidence of such the previous revocation; 
 26.17     (7) failure of continued occupancy of an established place 
 26.18  of business; 
 26.19     (8) sale of a new and unused current model motor vehicle 
 26.20  other than the make of motor vehicle described in the franchise 
 26.21  or contract filed with the original application or renewal 
 26.22  thereof, without permission from the registrar; 
 26.23     (9) sale of a new and unused current model motor vehicle to 
 26.24  anyone except for consumer use, or to a dealer duly licensed to 
 26.25  sell the same make of motor vehicle; 
 26.26     (10) material misstatement or misrepresentation in 
 26.27  application for license or renewal thereof; 
 26.28     (11) having advertised, printed, displayed, published, 
 26.29  distributed, broadcast or televised or caused or permitted to be 
 26.30  advertised, printed, displayed, published, distributed, 
 26.31  broadcast or televised in any manner whatsoever, or having made 
 26.32  orally any statement or representation with regard to the sale, 
 26.33  lease or financing of motor vehicles which that is false, 
 26.34  deceptive or misleading; 
 26.35     (12) having been convicted of violating section 325F.69, or 
 26.36  having been enjoined due to a violation of section 325F.69; 
 27.1      (13) having been convicted of violating the Minnesota 
 27.2   Odometer Law, section 325E.14, 325E.15, or 325E.16, or the 
 27.3   federal odometer law, United States Code, title 15, sections 
 27.4   1981 to 1991, as amended through December 31, 1984; 
 27.5      (14) having been convicted of violating the sale of motor 
 27.6   vehicles on Sunday law, section 168.275; 
 27.7      (15) having been convicted under section 609.53 of 
 27.8   receiving or selling stolen vehicles; or 
 27.9      (16) having pleaded guilty, entered a plea of nolo 
 27.10  contendere or no contest, or having been found guilty in a court 
 27.11  of competent jurisdiction of any charge of failure to pay state 
 27.12  or federal income or sales taxes or felony charge of forgery, 
 27.13  embezzlement, obtaining money under false pretenses, theft by 
 27.14  swindle, extortion, conspiracy to defraud, or bribery.  
 27.15     (b) With respect to paragraph (a), clauses (12), (13), 
 27.16  (15), and (16), the registrar may suspend or revoke a license 
 27.17  immediately upon receiving certification of conviction or 
 27.18  permanent injunction.  A hearing is required under subdivision 
 27.19  13 within 30 days following a summary suspension or revocation 
 27.20  under this paragraph, if a hearing is requested by the licensee. 
 27.21     Subd. 12a.  [GROUNDS FOR CANCELLATION; NOTICE REQUIRED.] 
 27.22  (a) A license may be canceled by the registrar after notice to 
 27.23  the dealer, upon satisfactory proof that the dealer (1) has 
 27.24  failed to provide or maintain the required surety bond, (2) has 
 27.25  failed to provide or maintain the insurance required under 
 27.26  chapter 65B, or (3) is no longer operating at the dealer's 
 27.27  licensed location. 
 27.28     (b) Surety companies and insurers providing required 
 27.29  coverages shall promptly notify the registrar upon canceling any 
 27.30  surety bond or required insurance.  The registrar shall notify 
 27.31  the dealer of the reason or reasons for cancellation before the 
 27.32  cancellation occurs. 
 27.33     Subd. 13.  [SUSPENSION AND REVOCATION; HEARING.] (a) The 
 27.34  registrar of motor vehicles, upon the registrar's own motion or 
 27.35  upon the complaint of another, shall prepare and cause to be 
 27.36  served upon the licensee complained of, a written notice or 
 28.1   complaint setting forth, in substance, the violations charged, a 
 28.2   statement of the deficiencies which exist and any corrective 
 28.3   action deemed appropriate.  Said The notice shall must include a 
 28.4   statement that in the event corrective action is deemed 
 28.5   appropriate and corrective action is not taken, the dealer's 
 28.6   license may be suspended or revoked.  The notice shall must 
 28.7   require the licensee to appear at the time and place 
 28.8   fixed therein in the notice before the registrar, and show cause 
 28.9   why the license should not be suspended or revoked. 
 28.10     (b) The registrar shall, at the time and place fixed in the 
 28.11  notice, proceed to hear and determine the matter on its merits.  
 28.12  All hearings shall must be conducted in accordance with the 
 28.13  provisions of according to chapter 14, except that the 
 28.14  provisions of section 14.50, shall do not apply.  The registrar 
 28.15  is authorized to may subpoena witnesses and administer oaths.  
 28.16  If the registrar shall find finds the existence of any of the 
 28.17  causes for suspension or revocation as set forth in subdivision 
 28.18  12 and determine determines that corrective action has not been 
 28.19  taken or that corrective action will not prevent repetition of 
 28.20  the violations charged or that the public interest will not be 
 28.21  served by corrective action and the licensee's license should be 
 28.22  suspended or revoked, the registrar shall issue a written order 
 28.23  setting out the decision, and.  A copy of such the order shall 
 28.24  must be served upon such the licensee in the manner provided by 
 28.25  law for the service of summons in a civil action.  On finding 
 28.26  that the dealer has violated any of the provisions of this 
 28.27  section but that the nature of said the violation or the 
 28.28  circumstances thereof are such that a suspension of the license 
 28.29  would be adequate, the registrar may, instead of revoking the 
 28.30  license suspend it for a period not exceeding 90 days.  On 
 28.31  finding that the violation does not justify a suspension only, 
 28.32  the registrar shall revoke the license.  Upon a suspension or 
 28.33  revocation, if it be of the license of a new or used motor 
 28.34  vehicle dealer, said the licensee shall immediately return to 
 28.35  the registrar all number plates, including any "in-transit" 
 28.36  plates and temporary permits, in its possession and its dealer's 
 29.1   license certificate. 
 29.2      Subd. 14.  [APPEAL.] Any party or person aggrieved by such 
 29.3   an order of suspension, revocation or imposition of a penalty 
 29.4   may seek judicial review pursuant to the provisions of according 
 29.5   to chapter 14. 
 29.6      Subd. 15.  [ENFORCEMENT.] The registrar is hereby 
 29.7   authorized to shall enforce this section and is directed to may 
 29.8   appoint under the registrar's hand not less than at least seven 
 29.9   persons amongst of the registrar's several employees, as 
 29.10  inspectors and investigators and who when so appointed, shall.  
 29.11  The inspectors and investigators have full authority to enforce 
 29.12  this section throughout the state.  The registrar, the 
 29.13  registrar's inspectors or investigators, when traveling or 
 29.14  otherwise pursuing their duties outside the office of the 
 29.15  registrar, shall be paid for their actual expenses incurred out 
 29.16  of the same funds as other employees of the registrar of motor 
 29.17  vehicles.  The inspectors shall assist licensees in compliance 
 29.18  with laws governing licensees and administered hereunder. 
 29.19     Subd. 16.  [DEALER PLATES:  DISTINGUISHING NUMBER, FEE, 
 29.20  TAX, USE.] (a) The registrar shall issue to every motor vehicle 
 29.21  dealer, upon a request from the motor vehicle dealer licensed as 
 29.22  provided in subdivision 2 or 3, one or more plates displaying a 
 29.23  general distinguishing number.  This subdivision does not apply 
 29.24  to a scrap metal processor, a used vehicle parts dealer, or a 
 29.25  vehicle salvage pool.  The fee for each of the first four plates 
 29.26  is $75 per calendar registration year, of which $60 must be paid 
 29.27  to the registrar and the remaining $15 is payable as sales tax 
 29.28  on motor vehicles under section 297B.035.  For each additional 
 29.29  plate, the dealer shall pay the registrar a fee of $25 and a 
 29.30  sales tax on motor vehicles of $15 per calendar registration 
 29.31  year.  The registrar shall deposit the tax in the state treasury 
 29.32  and it shall to be credited as provided in section 297B.09.  
 29.33  Motor vehicles, new or used, owned by the motor vehicle 
 29.34  dealership and bearing the number plate, except vehicles leased 
 29.35  to the user who is not an employee of the dealer during the term 
 29.36  of the lease, held for hire, or customarily used by the dealer 
 30.1   as a tow truck, service truck, or parts vehicle, may be driven 
 30.2   upon the streets and highways of this state: 
 30.3      (1) by the motor vehicle dealer or dealer's spouse, or any 
 30.4   full-time employee of the motor vehicle dealer for either 
 30.5   private or business purposes; 
 30.6      (2) by a part-time employee when the use is directly 
 30.7   related to a particular business transaction of the dealer; 
 30.8      (3) for demonstration purposes by any prospective buyer 
 30.9   thereof for a period of 48 hours or in the case of a truck, 
 30.10  truck-tractor, or semitrailer, for a period of seven days; or 
 30.11     (4) in a promotional event that lasts no longer than four 
 30.12  days in which at least three motor vehicles are involved. 
 30.13     (b) A new or used motor vehicle sold by the motor vehicle 
 30.14  dealer and bearing the motor vehicle dealer's number plate may 
 30.15  be driven upon the public streets and highways for a period of 
 30.16  72 hours by the buyer for either of the following purposes:  (1) 
 30.17  removing the vehicle from this state for registration in another 
 30.18  state, or (2) permitting the buyer to use the motor vehicle 
 30.19  before the buyer receives number plates pursuant to 
 30.20  registration.  Use of a motor vehicle by the buyer under the 
 30.21  provisions of clause (2) of the preceding sentence before the 
 30.22  buyer receives number plates pursuant to registration 
 30.23  constitutes a use of the public streets or highways for the 
 30.24  purpose of the time requirements for registration of motor 
 30.25  vehicles. 
 30.26     Subd. 17.  [IN-TRANSIT PLATES; FEE.] Every licensed dealer 
 30.27  in motor vehicles may make application upon a blank provided by 
 30.28  the registrar for that purpose for dealer in-transit license 
 30.29  plates for use upon all new or used motor vehicles being 
 30.30  transported from the dealer's source of supply, or other place 
 30.31  of storage, to the dealer's place of business, or to another 
 30.32  place of storage, or from one dealer to another.  The registrar 
 30.33  shall then issue to the dealer the number of plates as the 
 30.34  dealer may request, upon the payment by the dealer to the 
 30.35  registrar of the sum of $5 per plate per calendar registration 
 30.36  year.  The registrar may issue in-transit plates, upon the 
 31.1   payment of the sum of $5 to the registrar, to dealers duly 
 31.2   licensed in other states or provinces upon information furnished 
 31.3   in the manner as the registrar may prescribe, and which 
 31.4   satisfies the registrar that persons or companies applying 
 31.5   therefor for the plates are duly licensed dealers under the laws 
 31.6   of the states or provinces. 
 31.7      Subd. 18.  [TESTIMONIAL POWERS.] The registrar shall have, 
 31.8   and is hereby granted full authority to may issue subpoenas 
 31.9   requiring the attendance of witnesses before the registrar, 
 31.10  production of books, papers, and other documents, articles, or 
 31.11  instruments, and compel the disclosure by such witnesses of all 
 31.12  facts known to them relative to the matter under investigation, 
 31.13  and shall have full authority to may administer oaths and to 
 31.14  take testimony.  All parties disobeying the orders of subpoenas 
 31.15  of the registrar shall be are guilty of contempt, as in 
 31.16  proceedings in district courts of the state and may be punished 
 31.17  in like manner. 
 31.18     Subd. 19.  [VIOLATIONS.] Any person, copartnership, or 
 31.19  corporation, domestic or foreign, and any officer, or director, 
 31.20  or employee of a corporation, domestic or foreign, who shall 
 31.21  violate or neglect, fail or refuse to comply with any of the 
 31.22  provisions of this section shall be violates this section is 
 31.23  guilty of a misdemeanor. 
 31.24     Subd. 19a.  [INJUNCTION.] The commissioner or a county 
 31.25  attorney may institute a civil action in the name of the state 
 31.26  in district court for an injunction prohibiting a violation of 
 31.27  this section and for civil penalties not to exceed $1,000 for 
 31.28  each violation of subdivision 2, 3, 4, 5a, 6, 7, or 7a.  The 
 31.29  court, upon proper proof that the defendant has engaged in a 
 31.30  practice prohibited by this section, may enjoin the future 
 31.31  commission of that practice and award civil penalties for 
 31.32  violations of subdivision 2, 3, 4, 5a, 6, 7, or 7a.  It is not a 
 31.33  defense to an action that the state may have adequate remedies 
 31.34  at law.  Service of process must be as in any other civil suit, 
 31.35  except that where a defendant in the action is a natural person 
 31.36  or firm residing outside the state, or is a foreign corporation, 
 32.1   service of process may also be made by personal service outside 
 32.2   the state; in the manner provided by section 5.25; or as the 
 32.3   court may direct.  Process is valid if it satisfies the 
 32.4   requirements of due process of law, whether or not the defendant 
 32.5   is doing business in Minnesota regularly or habitually.  Nothing 
 32.6   in this subdivision limits the rights or remedies otherwise 
 32.7   available to persons under common law or other statutes of this 
 32.8   state. 
 32.9      Subd. 20.  [APPLICATION TO SALE OF OTHER VEHICLES.] (a) 
 32.10  This section does not apply: 
 32.11     (1) to any person, copartnership, or corporation engaged in 
 32.12  the business of selling vehicles designed to operate exclusively 
 32.13  over snow, motor scooters, motorized wheelchairs, utility 
 32.14  trailers, farm wagons, farm trailers, or farm tractors or other 
 32.15  farm implements, whether self-propelled or not and even though a 
 32.16  vehicle listed in this clause may be equipped with a trailer 
 32.17  hitch; or 
 32.18     (2) to any person licensed as a real estate broker or 
 32.19  salesperson pursuant to chapter 82, who engages in the business 
 32.20  of selling, who offers to sell, or who solicits or advertises 
 32.21  the sale of manufactured homes affixed to land. 
 32.22     (b) However, this section does apply to a person, 
 32.23  copartnership, or corporation described in paragraph (a) who is 
 32.24  also engaged in the business of selling other motor vehicles or 
 32.25  manufactured homes within the provisions of this section. 
 32.26     (c) As used in this subdivision, "utility trailer" means a 
 32.27  motorless vehicle, other than a boat trailer or snowmobile 
 32.28  trailer, equipped with one or two wheels, having a gross vehicle 
 32.29  weight of 4,000 pounds or less, and used for carrying property 
 32.30  on its own structure while being drawn by a motor vehicle. 
 32.31     Subd. 22.  [DEALER LICENSE FOR TRAILERS, MOTORIZED 
 32.32  BICYCLES; PLATES, FEES; EXEMPTIONS.] Any person, copartnership, 
 32.33  or corporation having a permanent enclosed commercial building 
 32.34  or structure either owned in fee or leased and engaged in the 
 32.35  business, either exclusively or in addition to any other 
 32.36  occupation, of selling motorized bicycles, boat trailers, horse 
 33.1   trailers, or snowmobile trailers, may apply to the registrar for 
 33.2   a dealer's license.  Upon payment of a $10 fee the registrar 
 33.3   shall license the applicant as a dealer for the remainder of the 
 33.4   calendar year in which the application was received.  Thereafter 
 33.5   The license may be renewed on or before the second day of 
 33.6   January of each succeeding year by payment of a fee of $10.  The 
 33.7   registrar shall issue to each dealer, upon request of the 
 33.8   dealer, dealer plates as provided in subdivision 16 upon payment 
 33.9   of $5 for each plate, and the plates may be used in the same 
 33.10  manner and for the same purposes as is provided in subdivision 
 33.11  16.  Except for motorized bicycle dealers, the registrar shall 
 33.12  also issue to the dealer, upon request of the dealer, 
 33.13  "in-transit" plates as provided in subdivision 17 upon payment 
 33.14  of a fee of $5 for each plate.  This subdivision shall does not 
 33.15  be construed to abrogate any of the provisions of this 
 33.16  section as the same relates relating to the duties, 
 33.17  responsibilities, and requirements of persons, copartnerships, 
 33.18  or corporations engaged in the business, either exclusively or 
 33.19  in addition to other occupations, of selling motor vehicles or 
 33.20  manufactured homes, except that a seller of boat trailers, 
 33.21  utility trailers, or snowmobile trailers who is licensed under 
 33.22  this subdivision is not required to have a contract or franchise 
 33.23  with a manufacturer or distributor of new boat trailers, utility 
 33.24  trailers, or new snowmobile trailers the seller proposes to 
 33.25  sell, broker, wholesale, or auction.  This section shall does 
 33.26  not be construed to require a manufacturer of snowmobile 
 33.27  trailers whose manufacturing facility is located outside of the 
 33.28  metropolitan area as defined in section 473.121 to have a 
 33.29  dealer's license to transport the snowmobile trailers to dealers 
 33.30  or retail outlets in the state. 
 33.31     Subd. 23.  [REGISTRAR MAY FILE CHARGES.] The registrar or 
 33.32  the registrar's appointed inspectors may file charges with the 
 33.33  county attorney against any licensee who violates any of the 
 33.34  provisions of this section, including but not limited to, the 
 33.35  grounds for suspension or revocation set out in subdivision 12.  
 33.36  Any violation of this section is a misdemeanor. 
 34.1      Subd. 24.  [BONDS.] All persons licensed hereunder 
 34.2   according to this section shall keep in full force and effect a 
 34.3   bond with a corporate surety to be approved by the registrar of 
 34.4   motor vehicles in the following amounts as herein provided; in 
 34.5   the case of boat trailer, snowmobile trailer, horse trailer or 
 34.6   motorized bicycle dealers in the amount of $5,000; and as to all 
 34.7   other persons in the amount of $50,000.  The bond shall must be 
 34.8   conditioned on the faithful performance by the licensee of the 
 34.9   obligations imposed by the laws of this state, including the 
 34.10  conduct required of a licensee by this section and other 
 34.11  sections governing the sale or transfer of motor vehicles, and 
 34.12  the payment of all taxes, license fees, and penalties.  The bond 
 34.13  shall must be for the benefit of the state of Minnesota and any 
 34.14  transferor, seller, or purchaser of a motor vehicle for any 
 34.15  monetary loss caused by failure of the licensee to meet the 
 34.16  obligations enumerated above.  Proceedings on the forfeiture of 
 34.17  the bonds shall must be commenced in the district court of the 
 34.18  county wherein the business of the licensed person was carried 
 34.19  on, or if in more than one county, the county in which the 
 34.20  offense occurred.  This subdivision does not apply to a used 
 34.21  vehicle parts dealer or a scrap metal processor. 
 34.22     Subd. 25.  [PREEMPTION OF LOCAL ORDINANCES.] It is the 
 34.23  intent and purpose of this section to establish Subdivision 24 
 34.24  establishes a uniform statewide system of bonding motor vehicle 
 34.25  dealers and the provisions of.  This section shall supersede and 
 34.26  preempt subdivision supersedes and preempts all bonding 
 34.27  requirements imposed by any local government unit. 
 34.28     Subd. 26.  [ADVERTISING DISCLOSURE.] All advertising by a 
 34.29  motor vehicle dealer must disclose that the vehicle is being 
 34.30  offered for sale by a dealer through use of the dealership name, 
 34.31  the term "dealer," or the abbreviation "DLR."  The advertisement 
 34.32  must also include the dealer's license number. 
 34.33     Subd. 27.  [RULES.] The registrar may adopt rules under 
 34.34  chapter 14 to govern the issuance and regulation of dealer 
 34.35  licenses and dealer plates. 
 34.36     Sec. 9.  Minnesota Statutes 2000, section 168.31, 
 35.1   subdivision 4, is amended to read: 
 35.2      Subd. 4.  [INSTALLMENTS.] If the tax for a vehicle assessed 
 35.3   under section 168.013, subdivision 1c, 1d, 1e, or 1g, amounts to 
 35.4   more than $400, the owner may pay the tax by installments.  The 
 35.5   owner shall tender with the application for registration 
 35.6   one-third of the annual tax due or $400, whichever is greater, 
 35.7   plus any penalties or arrears, plus a fee of $10.  Instead of 
 35.8   this fee, the applicant may furnish a bond, bank letter of 
 35.9   credit, or certificate of deposit approved by the registrar of 
 35.10  motor vehicles, for the total of the tax still due.  The amount 
 35.11  of the bond, letter of credit, or certificate of deposit may 
 35.12  include any penalties assessed.  The bond, letter of credit, or 
 35.13  certificate of deposit must be for the benefit of the state for 
 35.14  monetary loss caused by failure of the vehicle owner to pay 
 35.15  delinquent license fees and penalties.  The remainder of the tax 
 35.16  due must be paid in two equal installments; the due date of the 
 35.17  first installment is the first day of the fifth month of the 
 35.18  registration period for which the tax is assessed and the second 
 35.19  installment is due on the first day of the ninth month of the 
 35.20  registration period for which the tax is assessed.  When the 
 35.21  applicant elects to pay the administrative fee, the registrar 
 35.22  shall issue to the applicant distinctive validation 
 35.23  stickers indicating the expiration date of a registration.  When 
 35.24  the applicant elects to furnish a bond, bank letter, or letter 
 35.25  of deposit, the registrar shall issue regular validation 
 35.26  stickers for the registration year.  If an owner of a vehicle 
 35.27  fails to pay an installment on or before its due date, the 
 35.28  vehicle must not be used on the public streets or highways in 
 35.29  this state until the installment or installments of the tax 
 35.30  remaining due on the vehicle have been paid in full for the 
 35.31  licensed year together with a penalty at the rate of $1 per day 
 35.32  for the remainder of the month in which the balance of the tax 
 35.33  becomes due and $4 a month for each succeeding month or fraction 
 35.34  of a month during which the balance of the tax remains unpaid.  
 35.35  Upon the payment of the balance of the tax and the penalties, 
 35.36  the registrar shall issue a registration certificate to the 
 36.1   owner of the vehicle in the manner provided by law.  The 
 36.2   registrar shall deny installment payment privileges provided in 
 36.3   this subdivision in the subsequent year to any owner on any or 
 36.4   all vehicles of the owner who during the current year fails to 
 36.5   pay any installment due within one month after the due date. 
 36.6      Sec. 10.  Minnesota Statutes 2000, section 168.33, 
 36.7   subdivision 6, is amended to read: 
 36.8      Subd. 6.  [APPLICATION FORMS FURNISHED.] The registrar 
 36.9   shall furnish, from time to time, to those deputy registrars not 
 36.10  equipped with electronic transmission technology, forms for 
 36.11  listing and for applications for registration, as provided 
 36.12  herein, and shall, before January first in each year, furnish to 
 36.13  those deputy registrars, and to such others as the registrar 
 36.14  shall deem advisable, charts or lists setting forth the tax to 
 36.15  which each motor vehicle is subject provide, in a manner and 
 36.16  format prescribed by the registrar, necessary forms and 
 36.17  information to deputy registrars.  The registrar and deputy 
 36.18  registrars shall immediately destroy all number plates 
 36.19  surrendered and shall cancel all certificates so surrendered. 
 36.20     Sec. 11.  Minnesota Statutes 2000, section 168.33, is 
 36.21  amended by adding a subdivision to read: 
 36.22     Subd. 9.  [RULES.] The commissioner of public safety may 
 36.23  adopt rules for administering and enforcing this section. 
 36.24     Sec. 12.  Minnesota Statutes 2000, section 168A.01, 
 36.25  subdivision 2, is amended to read: 
 36.26     Subd. 2.  [DEALER.] "Dealer" has the meaning given it in 
 36.27  section 168.27, subdivision 1. 
 36.28     Sec. 13.  Minnesota Statutes 2000, section 168A.01, is 
 36.29  amended by adding a subdivision to read: 
 36.30     Subd. 2a.  [DELIVER.] "Deliver" means to transmit 
 36.31  electronically or by other means approved by the registrar. 
 36.32     Sec. 14.  Minnesota Statutes 2000, section 168A.01, 
 36.33  subdivision 24, is amended to read: 
 36.34     Subd. 24.  [VEHICLE.] (a) "Vehicle" means every device in, 
 36.35  upon, or by which any person or property is or may be 
 36.36  transported or drawn upon a highway, excepting. 
 37.1      (b) The term does not include: 
 37.2      (1) devices moved by human power or used exclusively upon 
 37.3   stationary rails or tracks, but including; or 
 37.4      (2) vehicles not originally constructed primarily for use 
 37.5   on public roads and highways. 
 37.6      (c) The term does include motorized bicycles as defined in 
 37.7   section 168.011, subdivision 27. 
 37.8      Sec. 15.  Minnesota Statutes 2000, section 168A.04, 
 37.9   subdivision 5, is amended to read: 
 37.10     Subd. 5.  [SPECIALLY CONSTRUCTED OR RECONSTRUCTED VEHICLE.] 
 37.11  Except as provided in subdivision 6, if the application refers 
 37.12  to a specially constructed vehicle or a reconstructed vehicle, 
 37.13  the application shall so state and shall contain or be 
 37.14  accompanied by: 
 37.15     (1) any information and documents the department reasonably 
 37.16  requires to establish the ownership of the vehicle and the 
 37.17  existence or nonexistence and priority of security interests in 
 37.18  it; 
 37.19     (2) the certificate of a person authorized by the 
 37.20  department that the identifying number of the vehicle has been 
 37.21  inspected and found to conform to the description given in the 
 37.22  application, or any other proof of the identity of the vehicle 
 37.23  the department reasonably requires.; and 
 37.24     (3) at the time of application, a written certification to 
 37.25  the department that the vehicle to be titled meets the 
 37.26  requirements of chapter 169 for vehicles in its class regarding 
 37.27  safety and acceptability to operate on public roads and highways.
 37.28     Sec. 16.  Minnesota Statutes 2000, section 168A.05, 
 37.29  subdivision 5a, is amended to read: 
 37.30     Subd. 5a.  [POLLUTION CONTROL EQUIPMENT DISCLOSURE.] The 
 37.31  certificate of title shall contain a form for disclosure by the 
 37.32  transferor of the condition of the vehicle's pollution control 
 37.33  equipment as required by section 325E.0951.  The disclosure form 
 37.34  must be in a format as prescribed by the registrar. 
 37.35     Sec. 17.  Minnesota Statutes 2000, section 168A.09, 
 37.36  subdivision 1, is amended to read: 
 38.1      Subdivision 1.  [APPLICATION; FORM OF DUPLICATE.] In the 
 38.2   event a certificate of title is lost, stolen, mutilated, or 
 38.3   destroyed or becomes illegible, the owner or legal 
 38.4   representative of the owner named in the certificate may make 
 38.5   application to the department or deputy registrar for a 
 38.6   duplicate on in a form format prescribed by the department.  The 
 38.7   department shall issue a duplicate certificate of title if 
 38.8   satisfied that the applicant is entitled thereto.  The duplicate 
 38.9   certificate of title shall be plainly marked as a duplicate and 
 38.10  mailed or delivered to the owner.  The department shall indicate 
 38.11  in its records that a duplicate has been issued.  As a condition 
 38.12  to issuing a duplicate certificate of title, the department may 
 38.13  require a bond from the applicant in the manner and form format 
 38.14  prescribed in section 168A.07, subdivision 1, clause (2).  The 
 38.15  duplicate certificate of title shall contain the legend:  "This 
 38.16  duplicate certificate of title may be subject to the rights of a 
 38.17  person under the original certificate."  
 38.18     Sec. 18.  Minnesota Statutes 2000, section 168A.11, 
 38.19  subdivision 2, is amended to read: 
 38.20     Subd. 2.  [PURCHASE RECEIPT.] A dealer, on buying a vehicle 
 38.21  for which the seller does not present a certificate of title, 
 38.22  shall at the time of taking delivery of the vehicle execute in 
 38.23  triplicate a purchase receipt for the vehicle in a form format 
 38.24  designated by the department, and deliver one a copy to the 
 38.25  seller.  When a vehicle purchased by a dealer has not been 
 38.26  resold after 21 days, the dealer shall mail, transmit, or 
 38.27  deliver one copy of the receipt to the department.  In a format 
 38.28  and at a time prescribed by the registrar, the dealer shall 
 38.29  notify the registrar that the vehicle is being held for resale 
 38.30  by the dealer. 
 38.31     Sec. 19.  Minnesota Statutes 2000, section 168A.12, 
 38.32  subdivision 1, is amended to read: 
 38.33     Subdivision 1.  [LAST CERTIFICATE TO DEPARTMENT; 
 38.34  APPLICATION.] If the interest of an owner in a vehicle passes to 
 38.35  another other than by voluntary transfer, the transferee shall, 
 38.36  except as provided in subdivision 2, promptly mail or deliver to 
 39.1   the department the last certificate of title, if available, 
 39.2   proof of the transfer, and an application for a new certificate 
 39.3   in the form format the department prescribes.  
 39.4      Sec. 20.  Minnesota Statutes 2000, section 168A.12, 
 39.5   subdivision 2, is amended to read: 
 39.6      Subd. 2.  [OWNER'S INTEREST TERMINATED OR VEHICLE SOLD BY 
 39.7   SECURED PARTY.] If the interest of the owner is terminated or 
 39.8   the vehicle is sold under a security agreement by a secured 
 39.9   party named in the certificate of title, the transferee shall 
 39.10  promptly mail or deliver to the department the last certificate 
 39.11  of title, if available, an application for a new certificate in 
 39.12  the form format the department prescribes, and an affidavit made 
 39.13  by or on behalf of the secured party that the interest of the 
 39.14  owner was lawfully terminated or the vehicle sold pursuant to 
 39.15  the terms of the security agreement.  If the secured party 
 39.16  succeeds to the interest of the owner and holds the vehicle for 
 39.17  resale, the secured party need not secure a new certificate of 
 39.18  title provided that a notice thereof in form a format designated 
 39.19  by the department is mailed or delivered by the secured party to 
 39.20  the department in duplicate within 48 hours, but upon transfer 
 39.21  to another person the secured party shall promptly execute 
 39.22  assignment and warranty of title and mail or deliver to the 
 39.23  transferee or the department the certificate, if available, the 
 39.24  affidavit, and other documents required to be sent to the 
 39.25  department by the transferee.  
 39.26     Sec. 21.  Minnesota Statutes 2000, section 168A.154, is 
 39.27  amended to read: 
 39.28     168A.154 [SALVAGE VEHICLE TAKEN OUT OF STATE.] 
 39.29     A dealer who sells a salvage vehicle to a buyer who intends 
 39.30  to remove the vehicle from the state shall report the sale 
 39.31  within ten days to the department on in a form format prescribed 
 39.32  by the department. 
 39.33     Sec. 22.  Minnesota Statutes 2000, section 168A.18, is 
 39.34  amended to read: 
 39.35     168A.18 [DUTIES OF PARTIES RELATING TO SECURITY INTEREST.] 
 39.36     If an owner creates a security interest in a vehicle: 
 40.1      (1) The owner shall immediately execute the application in 
 40.2   the space provided therefor on the certificate of title, or on 
 40.3   in a separate form format the department prescribes, to name the 
 40.4   secured party on the certificate, showing the name and address 
 40.5   of the secured party, and cause the certificate, application, 
 40.6   and the required fees and taxes to be delivered to the secured 
 40.7   party. 
 40.8      (2) The secured party shall immediately cause the 
 40.9   certificate, application, and the required fees and taxes to be 
 40.10  mailed or delivered to the department.  
 40.11     (3) A second or subordinate secured party does not affect 
 40.12  the rights of the first secured party under a security agreement.
 40.13     (4) Upon receipt of the certificate of title, application, 
 40.14  and the required fees and taxes, the department shall issue a 
 40.15  new certificate containing the name and address of the new 
 40.16  secured party, and mail or deliver the certificate to the 
 40.17  owner.  The secured party or parties shall be issued a 
 40.18  notification notified that the security interest has been 
 40.19  recorded. 
 40.20     Sec. 23.  Minnesota Statutes 2000, section 168A.19, 
 40.21  subdivision 2, is amended to read: 
 40.22     Subd. 2.  [ASSIGNEE NAMED AS SECURED PARTY.] The assignee 
 40.23  may, but need not to perfect the assignment, have the 
 40.24  certificate of title endorsed or issued with the assignee named 
 40.25  as secured party, upon delivering to the department the 
 40.26  certificate and an assignment by the secured party named in the 
 40.27  certificate in the form format the department prescribes 
 40.28  together with the required fee.  
 40.29     Sec. 24.  Minnesota Statutes 2000, section 168A.20, 
 40.30  subdivision 2, is amended to read: 
 40.31     Subd. 2.  [CERTIFICATE WITH PRIOR SECURED PARTY; RELEASE.] 
 40.32  Upon the satisfaction of a security interest in a vehicle for 
 40.33  which the certificate of title is in the possession of a prior 
 40.34  secured party, the secured party whose security interest is 
 40.35  satisfied shall within 15 days, or seven days if satisfied by a 
 40.36  dealer licensed under section 168.27, subdivision 2, 3, or 4, 
 41.1   execute a release in the form format the department prescribes 
 41.2   and deliver the release to the owner or any person who delivers 
 41.3   to the secured party an authorization from the owner to receive 
 41.4   it.  The secured party in possession of the certificate of title 
 41.5   shall either deliver the certificate to the owner, or the person 
 41.6   authorized by the owner, for delivery to the department, or upon 
 41.7   receipt of the release, mail or deliver it with the certificate 
 41.8   to the department, which shall release the subordinate secured 
 41.9   party's rights on the certificate or issue a new certificate. 
 41.10     Sec. 25.  Minnesota Statutes 2000, section 168A.20, 
 41.11  subdivision 3, is amended to read: 
 41.12     Subd. 3.  [CERTIFICATE WITH OWNER.] Upon the satisfaction 
 41.13  of a security interest in a vehicle for which the certificate of 
 41.14  title is in the possession of the owner, the secured party shall 
 41.15  within 15 days, or seven days if satisfied by a dealer licensed 
 41.16  under section 168.27, subdivision 2, 3, or 4, execute a release 
 41.17  of security interest on in the form format prescribed by the 
 41.18  department and mail or deliver the notification with release to 
 41.19  the owner or any person who delivers to the secured party an 
 41.20  authorization from the owner to receive the release.  The 
 41.21  secured party shall notify the registrar of the satisfaction of 
 41.22  lien in a manner prescribed by the department. 
 41.23     Sec. 26.  Minnesota Statutes 2000, section 168A.20, 
 41.24  subdivision 4, is amended to read: 
 41.25     Subd. 4.  [SATISFACTION OF LIEN FOR CHILD SUPPORT; 
 41.26  RELEASE.] If the secured party is a public authority or a child 
 41.27  support or maintenance obligee with a lien under section 
 41.28  168A.05, subdivision 8, upon either the satisfaction of a 
 41.29  security interest in a vehicle for which the certificate of 
 41.30  title is in the possession of the owner, or the execution by the 
 41.31  owner of a written payment agreement determined to be acceptable 
 41.32  by the court, a child support magistrate, the public authority, 
 41.33  or the obligee, within 15 days, or seven days if satisfied by a 
 41.34  dealer licensed under section 168.27, subdivision 2, 3, or 4, 
 41.35  the secured party shall execute a release of security interest 
 41.36  on in the form format prescribed by the department and mail or 
 42.1   deliver the notification with release to the owner or any person 
 42.2   who delivers to the secured party an authorization from the 
 42.3   owner to receive the release. 
 42.4      Sec. 27.  Minnesota Statutes 2000, section 168A.24, 
 42.5   subdivision 1, is amended to read: 
 42.6      Subdivision 1.  [FORMS.] The department shall prescribe and 
 42.7   provide suitable forms of applications, certificates of title, 
 42.8   notices of security interests, and all other notices and forms 
 42.9   necessary to carry out the provisions of sections 168A.01 to 
 42.10  168A.31 and shall determine the format in which the forms will 
 42.11  appear. 
 42.12     Sec. 28.  Minnesota Statutes 2000, section 168C.02, 
 42.13  subdivision 1, is amended to read: 
 42.14     Subdivision 1.  [SCOPE.] For purposes of Laws 1976, this 
 42.15  chapter 199, the terms defined in this section shall have the 
 42.16  meanings given them. 
 42.17     Sec. 29.  Minnesota Statutes 2000, section 168C.02, 
 42.18  subdivision 5, is amended to read: 
 42.19     Subd. 5.  [LICENSE PLATE.] "License plate" means a tag, 
 42.20  plate, seal, sticker, or other device which that can be securely 
 42.21  attached to a bicycle and that is issued upon registration of 
 42.22  the bicycle. 
 42.23     Sec. 30.  Minnesota Statutes 2000, section 168C.03, is 
 42.24  amended to read: 
 42.25     168C.03 [REGISTRATION APPLICATION.] 
 42.26     On or after March 1, 1977 any owner of a bicycle may apply 
 42.27  for registration of the bicycle to the commissioner, to any 
 42.28  deputy registrar of motor vehicles acting pursuant to section 
 42.29  168.33, or to any deputy registrar of bicycles appointed by the 
 42.30  commissioner pursuant to section 168C.11.  Applications shall 
 42.31  contain the name and address of the owner, the signature of the 
 42.32  owner, the name and address of the person from whom purchased, 
 42.33  the date of purchase, the date of registration, the make, serial 
 42.34  number, and any additional information as the commissioner may 
 42.35  require.  Applications shall be on a three-part form provided by 
 42.36  the commissioner.  The original shall be retained by or 
 43.1   immediately forwarded to the commissioner, the second copy shall 
 43.2   be retained by the purchaser and the third copy shall be 
 43.3   retained for one year by the deputy registrar, if any, who 
 43.4   received the application must be in a format prescribed by the 
 43.5   commissioner and contain information required by the 
 43.6   commissioner to license a bicycle.  The commissioner shall 
 43.7   designate a number to be stamped or otherwise permanently 
 43.8   affixed on the frames of bicycles on which no serial number can 
 43.9   be found, or on which the number is illegible or insufficient 
 43.10  for identification purposes. 
 43.11     Sec. 31.  Minnesota Statutes 2000, section 168C.04, 
 43.12  subdivision 1, is amended to read: 
 43.13     Subdivision 1.  [THREE-YEAR REGISTRATION FEE; PROCEDURES.] 
 43.14  The registration fee for bicycles shall be is $9 after July 1, 
 43.15  1991.  These fees shall must be paid at the time of registration.
 43.16  The fees, and any donations in excess of the fees, must be 
 43.17  deposited in a bicycle transportation account in the special 
 43.18  revenue fund.  Proof of purchase ownership is required for 
 43.19  registration.  Bicycles lacking proof of purchase ownership may 
 43.20  be registered if there is no evidence that the bicycle is 
 43.21  stolen.  However, the registration record must be marked to 
 43.22  indicate that no proof of purchase was provided.  The 
 43.23  registration is valid for three calendar years.  A person 
 43.24  registering a bicycle may add an additional amount to the 
 43.25  registration fee, and all amounts so added must be deposited in 
 43.26  the same manner as registration fees.  A person registering a 
 43.27  bicycle must, at the time of registration, be informed that a 
 43.28  registrant may add an additional amount to the fee and that all 
 43.29  such additional amounts will be used for the purposes specified 
 43.30  in subdivision 2. 
 43.31     Sec. 32.  Minnesota Statutes 2000, section 168C.05, is 
 43.32  amended to read: 
 43.33     168C.05 [REPORT OF TRANSFER.] 
 43.34     Every person who sells or transfers ownership of any 
 43.35  bicycle registered pursuant to Laws 1976, this chapter 199 shall 
 43.36  report the sale or transfer to the commissioner, indicating the 
 44.1   name and address of the person to whom the bicycle was sold or 
 44.2   transferred.  The report shall be made within 14 days of the 
 44.3   sale or transfer.  The report of sale must include the 
 44.4   information required by the commissioner and be in the format 
 44.5   prescribed by the commissioner. 
 44.6      Sec. 33.  Minnesota Statutes 2000, section 168C.06, is 
 44.7   amended to read: 
 44.8      168C.06 [NOTIFICATION OF CHANGE OF ADDRESS.] 
 44.9      Upon moving or change of address, the owner of a bicycle 
 44.10  registered pursuant to Laws 1976, this chapter 199 shall notify 
 44.11  the commissioner in writing the format and manner prescribed by 
 44.12  the commissioner of the new address within 14 days. 
 44.13     Sec. 34.  Minnesota Statutes 2000, section 168C.07, is 
 44.14  amended to read: 
 44.15     168C.07 [LICENSE PLATES.] 
 44.16     The commissioner shall provide to the registrant a suitable 
 44.17  registration card having that has the registration number 
 44.18  stamped thereon on the card and indicating that indicates the 
 44.19  date of registration, the make and serial number of the bicycle, 
 44.20  the owner's name and address, and any additional information as 
 44.21  the commissioner may require.  The commissioner shall retain 
 44.22  information concerning each registration shall be retained by 
 44.23  the commissioner.  The commissioner shall issue a license plate, 
 44.24  which shall must be securely attached to the bicycle covered by 
 44.25  the registration.  Upon a satisfactory showing that the license 
 44.26  plate or registration card has been lost or destroyed, the 
 44.27  commissioner shall issue a replacement license plate or 
 44.28  registration card upon payment of a fee of $1.  All fees so 
 44.29  collected shall must be deposited to the general fund. 
 44.30     Sec. 35.  Minnesota Statutes 2000, section 168C.08, is 
 44.31  amended to read: 
 44.32     168C.08 [ALTERING SERIAL NUMBER; PENALTY.] 
 44.33     No A person shall not willfully remove, destroy, mutilate 
 44.34  or otherwise alter the serial number or equivalent number of any 
 44.35  bicycle designated by the commissioner pursuant to section 
 44.36  168C.03.  No A person shall not willfully remove, destroy, 
 45.1   mutilate, or otherwise alter any license plate during the time 
 45.2   in which the license plate is operative.  Any person who 
 45.3   violates the provisions of this section is guilty of a 
 45.4   misdemeanor. 
 45.5      Sec. 36.  Minnesota Statutes 2000, section 168C.09, is 
 45.6   amended to read: 
 45.7      168C.09 [THEFT; PENALTY.] 
 45.8      Subdivision 1.  [REPORTS; ENTRY INTO CRIME INFORMATION 
 45.9   CENTER.] The local law enforcement agency shall report the theft 
 45.10  of all bicycles registered pursuant to Laws 1976, this chapter 
 45.11  199 to the department of public safety within five days.  
 45.12  Reports of the stolen bicycles shall must be entered in the 
 45.13  Minnesota crime information center of the department of public 
 45.14  safety.  When the stolen bicycle has been recovered by a local 
 45.15  law enforcement agency, the agency shall report the recovery to 
 45.16  the department of public safety within five days of the recovery 
 45.17  in the format and manner prescribed by the commissioner. 
 45.18     Subd. 2.  [RECORDS.] The commissioner shall maintain a 
 45.19  record of all bicycles registered pursuant to Laws 1976, this 
 45.20  chapter 199 in the state in an automated system.  The records 
 45.21  shall must be available to all authorized law enforcement 
 45.22  agencies through the Minnesota crime information center. 
 45.23     Subd. 3.  [VIOLATION AND PENALTY.] Any person who knowingly 
 45.24  sells or offers for sale a bicycle registered under Laws 
 45.25  1976, this chapter 199 which that is not owned by that person or 
 45.26  a family member is guilty of theft and subject to punishment 
 45.27  under section 609.52, subdivision 3. 
 45.28     Sec. 37.  Minnesota Statutes 2000, section 168C.11, is 
 45.29  amended to read: 
 45.30     168C.11 [DEPUTY REGISTRARS OF BICYCLES.] 
 45.31     Subdivision 1.  [APPOINTMENT.] Subject to the provisions of 
 45.32  subdivision 2, the commissioner shall appoint as deputy 
 45.33  registrars of bicycles any bicycle dealer, or agent or employee 
 45.34  thereof of the dealer, or agent or employee of a nonprofit 
 45.35  organization promoting bicycling or in whose activities 
 45.36  bicycling plays an integral part, or an agent or employee 
 46.1   designated by a municipality that sells bicycles at public 
 46.2   auction who applies for appointment in a manner prescribed by 
 46.3   the commissioner; provided that concurrently there may be no 
 46.4   more than one deputy for each separate place of business of a 
 46.5   bicycle dealer.  Deputy registrars of bicycles shall act as 
 46.6   agents of the commissioner and may accept registrations as 
 46.7   provided in Laws 1976, this chapter 199, except that no deputy 
 46.8   registrar of bicycles shall be required to register bicycles 
 46.9   sold by other bicycle dealers.  The commissioner, deputy 
 46.10  registrars of motor vehicles, and deputy registrars of bicycles 
 46.11  may charge and retain an additional $1 per registration granted 
 46.12  for their services.  In the case of a deputy registrar of motor 
 46.13  vehicles, the $1 shall must be deposited in the treasury of the 
 46.14  place for which the deputy registrar is appointed, or if not a 
 46.15  public official the deputy registrar shall retain the filing 
 46.16  fee.  Other registration fees collected by the commissioner, 
 46.17  deputy registrars of motor vehicles, and deputy registrars of 
 46.18  bicycles shall must be processed, accounted for, and transmitted 
 46.19  to the state treasurer as required by the commissioner. 
 46.20     Subd. 2.  [DENIAL, SUSPENSION OR REVOCATION OF 
 46.21  APPOINTMENT.] The commissioner, without prior notice or hearing, 
 46.22  may issue an order denying, suspending, or revoking any 
 46.23  appointment made or applied for pursuant to this section upon 
 46.24  finding that the applicant or deputy registrar of bicycles has 
 46.25  violated or failed to comply with any provision of Laws 1976, 
 46.26  this chapter 199 or any rule adopted hereunder under the 
 46.27  authority of this chapter.  Upon the entry of such an order, the 
 46.28  commissioner shall promptly serve a copy thereof of the order on 
 46.29  the applicant or deputy registrar of bicycles.  The order shall 
 46.30  must state the reasons for its issuance and, in the case of a 
 46.31  suspension or revocation of appointment, shall must specify that 
 46.32  upon the written request of the deputy registrar of bicycles the 
 46.33  matter will be set for hearing within 15 days after the receipt 
 46.34  of the request,; provided, that with the consent of the deputy 
 46.35  registrar of bicycles a hearing may be held subsequent to the 
 46.36  expiration of the 15-day period specified herein.  If no hearing 
 47.1   is requested, the order will remain remains in effect until it 
 47.2   is modified or vacated by the commissioner.  If a hearing is 
 47.3   requested, the commissioner, after notice and hearing in 
 47.4   accordance with the provisions of chapter 14, shall affirm, 
 47.5   modify, or vacate the order. 
 47.6      Sec. 38.  Minnesota Statutes 2000, section 168C.12, is 
 47.7   amended to read: 
 47.8      168C.12 [ADMINISTRATION; RULES.] 
 47.9      The commissioner shall adopt rules for the implementation 
 47.10  and administration of Laws 1976, this chapter 199 no later than 
 47.11  March 1, 1977.  The commissioner shall begin to accept 
 47.12  registrations and implement Laws 1976, chapter 199 on March 1, 
 47.13  1977.  Nothing herein shall be construed to prevent in this 
 47.14  chapter prevents the commissioner from contracting any service 
 47.15  provided under Laws 1976, this chapter 199 to any private person 
 47.16  or entity or other unit of government. 
 47.17     Sec. 39.  Minnesota Statutes 2000, section 168C.13, 
 47.18  subdivision 1, is amended to read: 
 47.19     Subdivision 1.  [BICYCLE REGISTRATION POWERS OF POLITICAL 
 47.20  SUBDIVISION.] After February 28, 1977, No political subdivision 
 47.21  may license or register bicycles except as a deputy registrar 
 47.22  pursuant to section 168C.11, subdivision 1.  However, any 
 47.23  political subdivision which had such power prior to that had the 
 47.24  power of a deputy registrar before March 1, 1977, may thereafter 
 47.25  require that any or all bicycles used or ridden upon any 
 47.26  highway, street, alley, sidewalk, or other public way, or 
 47.27  property within the boundaries thereof shall of the public way, 
 47.28  must be registered.  Applications for new registrations required 
 47.29  pursuant to this subdivision shall must be made to the 
 47.30  commissioner in the same manner and subject to the same rules, 
 47.31  fees, and penalties as those made voluntarily pursuant to 
 47.32  section 168C.03. 
 47.33     Sec. 40.  Minnesota Statutes 2000, section 169.26, 
 47.34  subdivision 1, is amended to read: 
 47.35     Subdivision 1.  [REQUIREMENTS.] (a) Except as provided in 
 47.36  section 169.28, subdivision 1, when any person driving a vehicle 
 48.1   approaches a railroad grade crossing under any of the 
 48.2   circumstances stated in this paragraph, the driver shall stop 
 48.3   the vehicle not less than ten feet from the nearest railroad 
 48.4   track and shall not proceed until safe to do so.  These 
 48.5   requirements apply when:  
 48.6      (1) a clearly visible electric or mechanical signal device 
 48.7   warns of the immediate approach of a railroad train; or 
 48.8      (2) an approaching railroad train is plainly visible and is 
 48.9   in hazardous proximity.  
 48.10     (b) The fact that a moving train approaching a railroad 
 48.11  grade crossing is visible from the crossing is prima facie 
 48.12  evidence that it is not safe to proceed. 
 48.13     (c) The driver of a vehicle shall stop and remain stopped 
 48.14  and not traverse the grade crossing when a human flagger signals 
 48.15  the approach or passage of a train or when a crossing gate is 
 48.16  lowered warning of the immediate approach or passage of a 
 48.17  railroad train.  No person may drive a vehicle past a flagger at 
 48.18  a railroad crossing until the flagger signals that the way is 
 48.19  clear to proceed or drive a vehicle past a lowered crossing gate.
 48.20     Sec. 41.  Minnesota Statutes 2000, section 169.28, 
 48.21  subdivision 1, is amended to read: 
 48.22     Subdivision 1.  [STOP REQUIRED.] (a) The driver of any 
 48.23  motor vehicle carrying passengers for hire, or of any school bus 
 48.24  whether carrying passengers or not, or of any Head Start bus 
 48.25  whether carrying passengers or not, or of any vehicle carrying 
 48.26  explosive substances or flammable liquids, or liquid gas under 
 48.27  pressure as a cargo or part of a cargo that is required to stop 
 48.28  at railroad grade crossings under Code of Federal Regulations, 
 48.29  title 49, section 392.10, before crossing at grade any track or 
 48.30  tracks of a railroad, shall stop the vehicle not less than ten 
 48.31  15 feet nor more than 50 feet from the nearest rail of the 
 48.32  railroad and while so stopped shall listen and look in both 
 48.33  directions along the track for any approaching train, and for 
 48.34  signals indicating the approach of a train, except as 
 48.35  hereinafter provided, and shall not proceed until safe to do 
 48.36  so.  The driver must not shift gears while crossing the railroad 
 49.1   tracks.  
 49.2      (b) A school bus or Head Start bus shall not be flagged 
 49.3   across railroad grade crossings except at those railroad grade 
 49.4   crossings that the local school administrative officer may 
 49.5   designate. 
 49.6      Sec. 42.  Minnesota Statutes 2001 Supplement, section 
 49.7   169.79, subdivision 3, is amended to read: 
 49.8      Subd. 3.  [MOTORCYCLE REAR DISPLAY OF SINGLE PLATE.] If the 
 49.9   vehicle is a motorcycle, motor scooter, motorized bicycle, 
 49.10  motorcycle sidecar, trailer registered at greater than 3,000 
 49.11  pounds gross vehicle weight (GVW), semitrailer, or vehicle 
 49.12  displaying a dealer plate, then one license plate must be 
 49.13  displayed on the rear of the vehicle.  
 49.14     Sec. 43.  Minnesota Statutes 2001 Supplement, section 
 49.15  169.79, is amended by adding a subdivision to read: 
 49.16     Subd. 3a.  [SMALL TRAILER.] If the vehicle is a trailer 
 49.17  with 3,000 pounds or less GVW with lifetime registration, the 
 49.18  numbered plate or sticker must be adhered to the side of the 
 49.19  trailer frame tongue near the hitch. 
 49.20     Sec. 44.  Minnesota Statutes 2001 Supplement, section 
 49.21  169.79, subdivision 8, is amended to read: 
 49.22     Subd. 8.  [PLATE REGISTRATION STICKERS.] License plates 
 49.23  issued to vehicles registered under section 168.017 must display 
 49.24  the month of expiration in the lower left corner as viewed 
 49.25  facing the plate and the year of expiration in the lower right 
 49.26  corner as viewed facing the plate.  License plates issued to 
 49.27  vehicles registered under section 168.127 must display either 
 49.28  fleet registration validation stickers in the lower right corner 
 49.29  as viewed facing the plates or distinctive license plates, 
 49.30  issued by the registrar, with "FLEET REG" embossed displayed on 
 49.31  the bottom center portion of the plate. 
 49.32     Sec. 45.  Minnesota Statutes 2000, section 171.02, 
 49.33  subdivision 1, is amended to read: 
 49.34     Subdivision 1.  [LICENSE REQUIRED.] No person, Except those 
 49.35  hereinafter when expressly exempted, a person shall not 
 49.36  drive any a motor vehicle upon any a street or highway in this 
 50.1   state unless such the person has a license valid under the 
 50.2   provisions of this chapter for the type or class of vehicle 
 50.3   being driven.  No person The department shall receive not issue 
 50.4   a driver's license to a person unless and until the person's 
 50.5   license from any jurisdiction has been invalidated by the 
 50.6   department.  The department shall provide to the issuing 
 50.7   department of any jurisdiction, information that the licensee is 
 50.8   now licensed in Minnesota.  No A person shall be is not 
 50.9   permitted to have more than one valid driver's license at any 
 50.10  time.  No The department shall not issue to a person to whom a 
 50.11  current Minnesota identification card has been issued may 
 50.12  receive a driver's license, other than an instruction permit or 
 50.13  a limited license, unless the person's Minnesota identification 
 50.14  card has been invalidated by the department. 
 50.15     Sec. 46.  Minnesota Statutes 2000, section 171.02, 
 50.16  subdivision 5, is amended to read: 
 50.17     Subd. 5.  [EXEMPTION FOR CERTAIN BACKUP SNOWPLOW DRIVERS.] 
 50.18  Pursuant to the waiver authorization set forth in Public Law 
 50.19  Number 104-59, section 345 (a)(5), a person who operates a 
 50.20  commercial motor vehicle for the purpose of removing snow or ice 
 50.21  from a roadway by plowing, salting, or sanding is not required 
 50.22  to hold a commercial driver's license if the person: 
 50.23     (1) is an employee of a local unit of government with a 
 50.24  population of 3,000 or less; 
 50.25     (2) is operating within the boundaries of the local unit of 
 50.26  government; 
 50.27     (3) holds a valid class D driver's license authorizing the 
 50.28  operation of class B vehicles; and 
 50.29     (4) except in the event of a lawful strike, is temporarily 
 50.30  replacing the employee who normally operates the vehicle but 
 50.31  either is unable to operate the vehicle or is in need of 
 50.32  additional assistance due to a snow emergency as determined by 
 50.33  the local unit of government. 
 50.34     Sec. 47.  Minnesota Statutes 2000, section 171.04, 
 50.35  subdivision 1, is amended to read: 
 50.36     Subdivision 1.  [PERSONS NOT ELIGIBLE.] The department 
 51.1   shall not issue a driver's license: 
 51.2      (1) to any person under 18 years unless: 
 51.3      (i) the applicant is 16 or 17 years of age and has a 
 51.4   previously issued valid license from another state or country or 
 51.5   the applicant has, for the 12 consecutive months preceding 
 51.6   application, held a provisional license and during that time has 
 51.7   incurred (A) no conviction for a violation of section 169A.20, 
 51.8   169A.33, 169A.35, or sections 169A.50 to 169A.53, (B) no 
 51.9   conviction for a crash-related moving violation, and (C) not 
 51.10  more than one conviction for a moving violation that is not 
 51.11  crash related.  "Moving violation" means a violation of a 
 51.12  traffic regulation but does not include a parking violation, 
 51.13  vehicle equipment violation, or warning citation; 
 51.14     (ii) the application for a license is approved by (A) 
 51.15  either parent when both reside in the same household as the 
 51.16  minor applicant or, if otherwise, then (B) the parent or spouse 
 51.17  of the parent having custody or, in the event there is no court 
 51.18  order for custody, then (C) the parent or spouse of the parent 
 51.19  with whom the minor is living or, if subitems (A) to (C) do not 
 51.20  apply, then (D) the guardian having custody of the minor or, in 
 51.21  the event a person under the age of 18 has no living father, 
 51.22  mother, or guardian, or is married or otherwise legally 
 51.23  emancipated, then (E) the minor's adult spouse, close family 
 51.24  member, or employer; provided, that the approval required by 
 51.25  this item contains a verification of the age of the applicant 
 51.26  and the identity of the parent, guardian, spouse, close family 
 51.27  member, or employer; and 
 51.28     (iii) the applicant presents a certification by the person 
 51.29  who approves the application under item (ii), stating that the 
 51.30  applicant has driven a motor vehicle accompanied by and under 
 51.31  supervision of a licensed driver at least 21 years of age for at 
 51.32  least ten hours during the period of provisional licensure; 
 51.33     (2) to any person who is 18 years of age or younger, unless 
 51.34  the person has applied for, been issued, and possessed the 
 51.35  appropriate instruction permit for a minimum of six months, and, 
 51.36  with respect to a person under 18 years of age, a provisional 
 52.1   license for a minimum of 12 months; 
 52.2      (3) to any person who is 19 years of age or older, unless 
 52.3   that person has applied for, been issued, and possessed the 
 52.4   appropriate instruction permit for a minimum of three months; 
 52.5      (4) to any person whose license has been suspended during 
 52.6   the period of suspension except that a suspended license may be 
 52.7   reinstated during the period of suspension upon the licensee 
 52.8   furnishing proof of financial responsibility in the same manner 
 52.9   as provided in the Minnesota No-Fault Automobile Insurance Act; 
 52.10     (5) to any person whose license has been revoked except 
 52.11  upon furnishing proof of financial responsibility in the same 
 52.12  manner as provided in the Minnesota No-Fault Automobile 
 52.13  Insurance Act and if otherwise qualified; 
 52.14     (6) to any drug-dependent person, as defined in section 
 52.15  254A.02, subdivision 5; 
 52.16     (7) to any person who has been adjudged legally incompetent 
 52.17  by reason of mental illness, mental deficiency, or inebriation, 
 52.18  and has not been restored to capacity, unless the department is 
 52.19  satisfied that the person is competent to operate a motor 
 52.20  vehicle with safety to persons or property; 
 52.21     (8) to any person who is required by this chapter to take a 
 52.22  vision, knowledge, or road examination, unless the person has 
 52.23  successfully passed the examination.  An applicant who fails 
 52.24  four road tests must complete a minimum of six hours of 
 52.25  behind-the-wheel instruction with an approved instructor before 
 52.26  taking the road test again; 
 52.27     (9) to any person who is required under the Minnesota 
 52.28  No-Fault Automobile Insurance Act to deposit proof of financial 
 52.29  responsibility and who has not deposited the proof; 
 52.30     (10) to any person when the commissioner has good cause to 
 52.31  believe that the operation of a motor vehicle on the highways by 
 52.32  the person would be inimical to public safety or welfare; 
 52.33     (11) to any person when, in the opinion of the 
 52.34  commissioner, the person is afflicted with or suffering from a 
 52.35  physical or mental disability or disease that will affect the 
 52.36  person in a manner as to prevent the person from exercising 
 53.1   reasonable and ordinary control over a motor vehicle while 
 53.2   operating it upon the highways; 
 53.3      (12) to a person who is unable to read and understand 
 53.4   official signs regulating, warning, and directing traffic; 
 53.5      (13) to a child for whom a court has ordered denial of 
 53.6   driving privileges under section 260C.201, subdivision 1, or 
 53.7   260B.235, subdivision 5, until the period of denial is 
 53.8   completed; or 
 53.9      (14) to any person whose license has been canceled, during 
 53.10  the period of cancellation. 
 53.11     Sec. 48.  Minnesota Statutes 2000, section 171.05, 
 53.12  subdivision 2, is amended to read: 
 53.13     Subd. 2.  [PERSON LESS THAN 18 YEARS OF AGE.] (a) 
 53.14  Notwithstanding any provision in subdivision 1 to the contrary, 
 53.15  the department may issue an instruction permit to an applicant 
 53.16  who is 15, 16, or 17 years of age and who: 
 53.17     (1) has completed a course of driver education in another 
 53.18  state, has a previously issued valid license from another state, 
 53.19  or is enrolled in either: 
 53.20     (i) a public, private, or commercial driver education 
 53.21  program that is approved by the commissioner of public safety 
 53.22  and that includes classroom and behind-the-wheel training; or 
 53.23     (ii) an approved behind-the-wheel driver education program 
 53.24  when the student is receiving full-time instruction in a home 
 53.25  school within the meaning of sections 120A.22 and 120A.24, the 
 53.26  student is working toward a home-school diploma, the student's 
 53.27  status as a home-school student has been certified by the 
 53.28  superintendent of the school district in which the student 
 53.29  resides, and the student is taking home-classroom driver 
 53.30  training with classroom materials approved by the commissioner 
 53.31  of public safety; 
 53.32     (2) has completed the classroom phase of instruction in the 
 53.33  driver education program; 
 53.34     (3) has passed a test of the applicant's eyesight; 
 53.35     (4) has passed a department-administered test of the 
 53.36  applicant's knowledge of traffic laws; 
 54.1      (5) has completed the required application, which must be 
 54.2   approved by (i) either parent when both reside in the same 
 54.3   household as the minor applicant or, if otherwise, then (ii) the 
 54.4   parent or spouse of the parent having custody or, in the event 
 54.5   there is no court order for custody, then (iii) the parent or 
 54.6   spouse of the parent with whom the minor is living or, if items 
 54.7   (i) to (iii) do not apply, then (iv) the guardian having custody 
 54.8   of the minor or, in the event a person under the age of 18 has 
 54.9   no living father, mother, or guardian, or is married or 
 54.10  otherwise legally emancipated, then (v) the applicant's adult 
 54.11  spouse, close family member, or employer; provided, that the 
 54.12  approval required by this clause contains a verification of the 
 54.13  age of the applicant and the identity of the parent, 
 54.14  guardian, spouse, close family member, or employer; and 
 54.15     (6) has paid the fee required in section 171.06, 
 54.16  subdivision 2. 
 54.17     (b) The instruction permit is valid for one year from the 
 54.18  date of application and may be renewed upon payment of a fee 
 54.19  equal to the fee for issuance of an instruction permit under 
 54.20  section 171.06, subdivision 2. 
 54.21     Sec. 49.  Minnesota Statutes 2000, section 171.055, 
 54.22  subdivision 1, is amended to read: 
 54.23     Subdivision 1.  [REQUIREMENTS FOR PROVISIONAL LICENSE.] (a) 
 54.24  The department may issue a provisional license, which must be 
 54.25  distinctive in appearance from a driver's license, to an 
 54.26  applicant who: 
 54.27     (1) has reached the age of 16 years; 
 54.28     (2) during the six months immediately preceding the 
 54.29  application for the provisional license has possessed an 
 54.30  instruction permit and has incurred (i) no convictions for a 
 54.31  violation of section 169A.20, 169A.33, 169A.35, or sections 
 54.32  169A.50 to 169A.53, (ii) no convictions for a crash-related 
 54.33  moving violation, and (iii) no convictions for a moving 
 54.34  violation that is not crash related; 
 54.35     (3) has successfully completed a course of driver education 
 54.36  in accordance with department rules; 
 55.1      (4) completes the required application, which must be 
 55.2   approved by (i) either parent when both reside in the same 
 55.3   household as the minor applicant or, if otherwise, then (ii) the 
 55.4   parent or spouse of the parent having custody or, in the event 
 55.5   there is no court order for custody, then (iii) the parent or 
 55.6   spouse of the parent with whom the minor is living or, if items 
 55.7   (i) to (iii) do not apply, then (iv) the guardian having custody 
 55.8   of the minor or, in the event a person under the age of 18 has 
 55.9   no living father, mother, or guardian, or is married or 
 55.10  otherwise legally emancipated, then (v) the applicant's adult 
 55.11  spouse, close family member, or employer; provided, that the 
 55.12  approval required by this clause contains a verification of the 
 55.13  age of the applicant and the identity of the parent, 
 55.14  guardian, spouse, close family member, or employer; 
 55.15     (5) presents certification by the person who approves the 
 55.16  application under clause (4) stating that the applicant has 
 55.17  driven a motor vehicle accompanied by and under the supervision 
 55.18  of a licensed driver at least 21 years of age, for no less than 
 55.19  30 hours, at least ten of which were nighttime hours; and 
 55.20     (6) pays the fee required in section 171.06, subdivision 2. 
 55.21     (b) For purposes of this section, "moving violation" has 
 55.22  the meaning given it in section 171.04, subdivision 1. 
 55.23     Sec. 50.  Minnesota Statutes 2000, section 171.06, 
 55.24  subdivision 1, is amended to read: 
 55.25     Subdivision 1.  [FORMS OF APPLICATION.] Every application 
 55.26  for a Minnesota identification card, for an instruction permit, 
 55.27  for a provisional license, or for a driver's license shall must 
 55.28  be made upon in a form furnished format approved by the 
 55.29  department, and every application shall must be accompanied by 
 55.30  the proper fee.  All applications shall be signed in the 
 55.31  presence of the person authorized to accept the applications, or 
 55.32  the signature on the application may be verified by a notary 
 55.33  public. 
 55.34     Sec. 51.  Minnesota Statutes 2000, section 171.06, 
 55.35  subdivision 3, is amended to read: 
 55.36     Subd. 3.  [CONTENTS OF APPLICATION; OTHER INFORMATION.] (a) 
 56.1   An application must: 
 56.2      (1) state the full name, date of birth, sex, and residence 
 56.3   address of the applicant,; 
 56.4      (2) as may be required by the commissioner, contain a 
 56.5   description of the applicant in such manner as the commissioner 
 56.6   may require, and must state whether or not the applicant has 
 56.7   theretofore been licensed as a driver; and, if so, when and by 
 56.8   what state or country and whether any such license has ever been 
 56.9   suspended or revoked, or whether an application has ever been 
 56.10  refused; and, if so, the date of and reason for such suspension, 
 56.11  revocation, or refusal, together with such and any other facts 
 56.12  pertaining to the applicant, the applicant's driving privileges, 
 56.13  and the applicant's ability to operate a motor vehicle with 
 56.14  safety as may be required by the commissioner.  An application; 
 56.15     (3) for a class C, class B, or class A driver's license 
 56.16  also must, state the applicant's social security number.  An 
 56.17  application or, for a class D driver's license must, have a 
 56.18  space for the applicant's social security number and state that 
 56.19  providing the number is optional, or otherwise convey that the 
 56.20  applicant is not required to enter the social security number.  
 56.21  The application form must; 
 56.22     (4) contain a space where the applicant may indicate a 
 56.23  desire to make an anatomical gift according to paragraph (b); 
 56.24  and 
 56.25     (5) contain a notification to the applicant of the 
 56.26  availability of a living will/health care directive designation 
 56.27  on the license under section 171.07, subdivision 7.  
 56.28     (b) If the applicant does not indicate a desire to make an 
 56.29  anatomical gift when the application is made, the applicant must 
 56.30  be offered a donor document in accordance with section 171.07, 
 56.31  subdivision 5.  The application form must contain statements 
 56.32  sufficient to comply with the requirements of the Uniform 
 56.33  Anatomical Gift Act (1987), sections 525.921 to 525.9224, so 
 56.34  that execution of the application or donor document will make 
 56.35  the anatomical gift as provided in section 171.07, subdivision 
 56.36  5, for those indicating a desire to make an anatomical 
 57.1   gift.  The application form must contain a notification to the 
 57.2   applicant of the availability of a living will/health care 
 57.3   directive designation on the license under section 171.07, 
 57.4   subdivision 7.  The application must be in the form prepared by 
 57.5   the commissioner.  The application must be accompanied by 
 57.6   information describing Minnesota laws regarding anatomical gifts 
 57.7   and the need for and benefits of anatomical gifts. 
 57.8      (b) (c) The application form must be accompanied also by 
 57.9   a pamphlet information containing relevant facts relating to:  
 57.10     (1) the effect of alcohol on driving ability; 
 57.11     (2) the effect of mixing alcohol with drugs; 
 57.12     (3) the laws of Minnesota relating to operation of a motor 
 57.13  vehicle while under the influence of alcohol or a controlled 
 57.14  substance; and 
 57.15     (4) the levels of alcohol-related fatalities and accidents 
 57.16  in Minnesota and of arrests for alcohol-related violations. 
 57.17     (c) The application form must also be accompanied by a 
 57.18  pamphlet describing Minnesota laws regarding anatomical gifts 
 57.19  and the need for and benefits of anatomical gifts. 
 57.20     Sec. 52.  Minnesota Statutes 2001 Supplement, section 
 57.21  171.07, subdivision 1, is amended to read: 
 57.22     Subdivision 1.  [LICENSE; CONTENTS.] (a) Upon the payment 
 57.23  of the required fee, the department shall issue to every 
 57.24  qualifying applicant a license designating the type or class of 
 57.25  vehicles the applicant is authorized to drive as applied for.  
 57.26  This license must bear a distinguishing number assigned to the 
 57.27  licensee, the full name, date of birth, residence address and 
 57.28  permanent mailing address if different, a description of the 
 57.29  licensee in such a manner as the commissioner deems necessary, 
 57.30  and a space upon which the licensee shall write the usual 
 57.31  signature and the date of birth of the licensee.  No license is 
 57.32  valid until it has been signed by unless it bears the usual 
 57.33  signature of the licensee.  Except in the case of an instruction 
 57.34  permit, Every license must bear a colored photograph or an 
 57.35  electronically produced image of the licensee. 
 57.36     (b) Every license issued to an applicant under the age of 
 58.1   21 must be of a distinguishing color and plainly marked 
 58.2   "Under-21." 
 58.3      (c) The department shall use such process or processes in 
 58.4   the issuance of licenses issuing a license that 
 58.5   prohibits prohibit, as near nearly as possible, the ability to 
 58.6   alter or reproduce the licenses a license, or prohibit the 
 58.7   ability to superimpose a photograph or electronically produced 
 58.8   image on the licenses a license, without ready detection. 
 58.9      (d) A license issued to an applicant age 65 or over must be 
 58.10  plainly marked "senior" if requested by the applicant. 
 58.11     Sec. 53.  Minnesota Statutes 2000, section 171.07, 
 58.12  subdivision 3, is amended to read: 
 58.13     Subd. 3.  [IDENTIFICATION CARD; FEE.] (a) Upon payment of 
 58.14  the required fee, the department shall issue to every qualifying 
 58.15  applicant therefor a Minnesota identification card.  The 
 58.16  department may not issue a Minnesota identification card to a 
 58.17  person who has a driver's license, other than an instruction 
 58.18  permit or a limited license.  The card must bear a 
 58.19  distinguishing number assigned to the applicant,; a colored 
 58.20  photograph or an electronically produced image, of the 
 58.21  applicant; the applicant's full name, date of birth, and 
 58.22  residence address,; a description of the applicant in the manner 
 58.23  as the commissioner deems necessary,; and a space upon which the 
 58.24  applicant shall write the usual signature and the date of birth 
 58.25  of the applicant with pen and ink. 
 58.26     (b) Each identification card issued to an applicant under 
 58.27  the age of 21 must be of a distinguishing color and plainly 
 58.28  marked "Under-21." 
 58.29     (b) (c) Each Minnesota identification card must be plainly 
 58.30  marked "Minnesota identification card - not a driver's license." 
 58.31     (c) (d) The fee for a Minnesota identification card is 50 
 58.32  cents when issued to:  a person who is mentally retarded, as 
 58.33  defined in section 252A.02, subdivision 2; a physically disabled 
 58.34  person, as defined in section 169.345, subdivision 2; or, a 
 58.35  person with mental illness, as described in section 245.462, 
 58.36  subdivision 20, paragraph (c). 
 59.1      Sec. 54.  Minnesota Statutes 2000, section 171.13, 
 59.2   subdivision 2, is amended to read: 
 59.3      Subd. 2.  [EXAMINATION UPON RENEWAL.] The department shall 
 59.4   issue a driver's license shall be issued upon renewal when the 
 59.5   applicant has passed an examination consisting of a screening of 
 59.6   the applicant's eyesight.  Screening of eyesight required by 
 59.7   this subdivision shall does not be construed as constitute the 
 59.8   practice of optometry as defined in section 148.56.  The 
 59.9   commissioner may adopt rules to administer this subdivision.  
 59.10  The rules may include standards for waiving this examination. 
 59.11     Sec. 55.  Minnesota Statutes 2000, section 171.165, is 
 59.12  amended to read: 
 59.13     171.165 [COMMERCIAL DRIVER'S LICENSE, DISQUALIFICATION.] 
 59.14     Subdivision 1.  [FIRST VIOLATION.] Subject to section 
 59.15  171.166, the commissioner shall disqualify a person from 
 59.16  operating commercial motor vehicles for one year upon receiving 
 59.17  a record of the first conviction of the person for committing a 
 59.18  violation of any of the following in the commission of which 
 59.19  offenses while operating a commercial motor vehicle was used: 
 59.20     (1) section 169A.20 or 169A.31; 
 59.21     (2) section 169.09, subdivision 1 or 2; 
 59.22     (3) a felony, other than a felony described in subdivision 
 59.23  3, paragraph (a), clause (3) (2), item (ii); or 
 59.24     (4) driving with a revoked, suspended, canceled, denied, or 
 59.25  disqualified commercial driver's license; 
 59.26     (5) causing a fatality through the negligent or criminal 
 59.27  operation of a commercial motor vehicle; or 
 59.28     (6) an offense committed in another state that would be 
 59.29  grounds for disqualification under this subdivision or 
 59.30  subdivision 2 if committed in Minnesota. 
 59.31     Subd. 2.  [IMPLIED CONSENT REVOCATION.] The commissioner 
 59.32  shall disqualify a person from operating commercial motor 
 59.33  vehicles for one year from the effective date of a revocation 
 59.34  under section 169A.52 or a statute or ordinance from another 
 59.35  state in conformity with it, if the person was driving, 
 59.36  operating, or in physical control of a commercial motor vehicle 
 60.1   at the time of the incident on which the revocation is based. 
 60.2      Subd. 3.  [GRAVE OR MULTIPLE OFFENSES.] (a) Subject to 
 60.3   section 171.166, the commissioner shall disqualify a person from 
 60.4   operating commercial motor vehicles for: 
 60.5      (1) not less than three years, for a conviction or 
 60.6   revocation set forth in subdivision 1 or 2 committed during the 
 60.7   transportation of hazardous materials; 
 60.8      (2) not less than ten years life, if the person is 
 60.9   convicted for a conviction: 
 60.10     (i) of a second or subsequent time of an disqualifying 
 60.11  offense set forth in subdivision 1 or 2, a statute of another 
 60.12  state or ordinance in conformity with it, or any combination of 
 60.13  those offenses, arising from separate incidents; or 
 60.14     (3) life, if the person is convicted (ii) under chapter 152 
 60.15  of a felony involving the manufacture, sale, or distribution of 
 60.16  a controlled substance, or involving the possession of a 
 60.17  controlled substance with intent to manufacture, sell, or 
 60.18  distribute it, and the person is found to have used a commercial 
 60.19  motor vehicle in the commission of the felony. 
 60.20     (b) A person whose commercial motor vehicle driving 
 60.21  privileges have been disqualified under paragraph (a), clause 
 60.22  (2), item (i), may apply for reinstatement after ten years.  A 
 60.23  person whose commercial motor vehicle driving privileges have 
 60.24  been disqualified under paragraph (a), clause (2), item (ii), 
 60.25  may not apply for reinstatement. 
 60.26     (c) A person whose commercial motor vehicle driving 
 60.27  privileges have been reinstated under paragraph (b) and who 
 60.28  subsequently commits a disqualifying offense set forth in 
 60.29  subdivision 1 or 2, or any combination of those offenses, may 
 60.30  not apply for reinstatement. 
 60.31     Subd. 4.  [SERIOUS TRAFFIC VIOLATION.] On receiving a 
 60.32  record of conviction and subject to section 171.166, the 
 60.33  commissioner shall disqualify a person from operating commercial 
 60.34  motor vehicles for 60 days if the person is convicted of two 
 60.35  serious traffic violations, or 120 days if convicted of three 
 60.36  serious traffic violations.  The violations must involve 
 61.1   separate incidents and must have been committed in a commercial 
 61.2   motor vehicle within a three-year period.  For purposes of this 
 61.3   subdivision, a serious traffic offense violation includes the 
 61.4   following: 
 61.5      (1) following too closely under section 169.18, subdivision 
 61.6   8; 
 61.7      (2) erratic lane change under sections 169.18, subdivisions 
 61.8   3 and 7; and 169.19, subdivision 4; 
 61.9      (3) operating the commercial vehicle at a speed 15 miles 
 61.10  per hour or more above the posted speed limit; 
 61.11     (4) reckless or careless driving under section 169.13; 
 61.12     (5) fleeing a peace officer under section 609.487; and 
 61.13     (6) a violation of a moving traffic statute of Minnesota or 
 61.14  any state, or an ordinance in conformity with a Minnesota 
 61.15  statute, that arose in connection with a fatal accident; 
 61.16     (7) operating a commercial motor vehicle without the proper 
 61.17  class of commercial driver's license or endorsements for the 
 61.18  type of vehicle being operated; and 
 61.19     (8) operating a commercial motor vehicle without a 
 61.20  commercial driver's license in immediate possession, unless the 
 61.21  person provides proof to the court that, on the date of the 
 61.22  citation, the person held a valid commercial driver's license of 
 61.23  the proper class and with the proper endorsements. 
 61.24     Subd. 4a.  [VIOLATION OF OUT-OF-SERVICE ORDER.] (a) The 
 61.25  commissioner shall disqualify a person from operating a 
 61.26  commercial motor vehicle for not less than: 
 61.27     (1) 90 days nor more than one year if the operator is 
 61.28  convicted of a first violation of an out-of-service order; 
 61.29     (2) one year nor more than five years if, during any 
 61.30  ten-year period, the operator is convicted of two violations of 
 61.31  out-of-service orders in separate incidents; and 
 61.32     (3) three years nor more than five years if, during any 
 61.33  ten-year period, the operator is convicted of three or more 
 61.34  violations of out-of-service orders in separate incidents. 
 61.35     (b) The commissioner shall notify the commissioner of 
 61.36  transportation of each disqualification under this subdivision. 
 62.1      Subd. 4b.  [RAILROAD GRADE CROSSING VIOLATION.] (a) The 
 62.2   commissioner shall disqualify a person from operating a 
 62.3   commercial motor vehicle for not less than: 
 62.4      (1) 60 days if the person is convicted of a first railroad 
 62.5   grade crossing violation; 
 62.6      (2) 120 days if, during any three-year period, the person 
 62.7   is convicted of two railroad grade crossing violations arising 
 62.8   from separate incidents; 
 62.9      (3) one year if, during any three-year period, the person 
 62.10  is convicted of three or more railroad grade crossing violations 
 62.11  arising from separate incidents. 
 62.12     (b) For the purposes of the subdivision, "railroad grade 
 62.13  crossing violation" means a violation of section 169.26 or 
 62.14  169.28, Code of Federal Regulations, title 49, section 392.10, 
 62.15  or a statute or ordinance from another state in conformity with 
 62.16  those sections, while operating a commercial motor vehicle. 
 62.17     Subd. 5.  [RULES.] The commissioner shall adopt rules to 
 62.18  administer this section.  The rules must include procedures for 
 62.19  issuing class D licenses to persons who have been disqualified 
 62.20  from operating commercial motor vehicles but whose drivers' 
 62.21  licenses have not otherwise been revoked, suspended, canceled, 
 62.22  or denied. 
 62.23     Subd. 6.  [EXEMPTIONS.] A disqualification shall not be 
 62.24  imposed under this section on a recreational equipment operator, 
 62.25  farmer, or firefighter operating a commercial motor vehicle 
 62.26  within the scope of section 171.02, subdivision 2, paragraph (b).
 62.27     Subd. 7.  [SCOPE.] This section applies to offenses 
 62.28  committed, and revocations imposed for incidents occurring, on 
 62.29  or after January 1, 1990. 
 62.30     Sec. 56.  [INTENT.] 
 62.31     Nothing in section 7, subdivision 1a, paragraphs (a) and (c)
 62.32  through (i), and related repeals elsewhere in that section, is 
 62.33  intended to increase or decrease the scope or extent of any 
 62.34  category of licensing authorized under Minnesota Statutes, 
 62.35  section 168.27. 
 62.36     Sec. 57.  [REPEALER.] 
 63.1      Minnesota Statutes 2000, section 171.30, subdivision 3, is 
 63.2   repealed. 
 63.3                              ARTICLE 2 
 63.4                        MOTOR CARRIER FUEL TAX 
 63.5      Section 1.  [LEGISLATIVE FINDINGS AND POLICY.] 
 63.6      (a) The legislature of the state of Minnesota finds that, 
 63.7   for the benefit of the state, other jurisdictions, and the motor 
 63.8   carrier industry, the state should enter into and endorse an 
 63.9   international agreement pertaining to the registration and fuel 
 63.10  taxation of motor carriers operating in interstate commerce.  
 63.11  The purpose of such agreements and compacts are to ensure proper 
 63.12  funding of the state's highway infrastructure through the 
 63.13  payment and distribution of revenue by and between member 
 63.14  jurisdictions and to simplify the registration and taxation 
 63.15  process for the motor carriers.  
 63.16     (b) With this understanding, the state adopts these core 
 63.17  principles to international registration and taxation agreements:
 63.18     (1) the concept of a single-base jurisdiction for all motor 
 63.19  carriers; 
 63.20     (2) the concept that the definition of a taxpayer will be 
 63.21  uniform among member jurisdictions; 
 63.22     (3) the concept that each member jurisdiction retains its 
 63.23  taxing authority under its specific tax-enabling laws; 
 63.24     (4) the principle of apportioned registration and fuel 
 63.25  taxes; 
 63.26     (5) the principle of one registration plate; 
 63.27     (6) the principle of reciprocal granting of fees and 
 63.28  granting of reciprocity; 
 63.29     (7) the discharge of registrant responsibilities; and 
 63.30     (8) the operation under apportioned registration and fuel 
 63.31  taxes. 
 63.32     Sec. 2.  [168D.01] [DEFINITIONS.] 
 63.33     Subdivision 1.  [SCOPE.] As used in this chapter, the 
 63.34  following terms have the meanings given them in this section. 
 63.35     Subd. 2.  [CANCELLATION.] "Cancellation" means the 
 63.36  voluntary termination of a license and its provisions. 
 64.1      Subd. 3.  [COMMISSIONER.] "Commissioner" means the 
 64.2   commissioner of public safety of the state of Minnesota, acting 
 64.3   directly or through duly authorized agents. 
 64.4      Subd. 4.  [JURISDICTION.] "Jurisdiction" means a state of 
 64.5   the United States, the District of Columbia, a province or 
 64.6   territory of Canada, and any other member jurisdiction of the 
 64.7   International Fuel Tax Agreement (IFTA) compact as approved by 
 64.8   Congress in the Intermodal Surface Transportation Efficiency Act 
 64.9   (ISTEA). 
 64.10     Subd. 5.  [MOTOR CARRIER.] "Motor carrier" means an 
 64.11  individual, corporation, partnership, association, trust, or 
 64.12  other entity, however organized, operating one or more qualified 
 64.13  motor vehicles as a part of its interstate business operations. 
 64.14     Subd. 6.  [MOTOR FUEL.] "Motor fuel" means an agent, 
 64.15  regardless of its composition or properties, used to propel a 
 64.16  qualified motor vehicle. 
 64.17     Subd. 7.  [OPERATION.] "Operation" means operation of 
 64.18  qualified motor vehicles whether loaded or empty, whether for 
 64.19  compensation or not for compensation, and whether owned by or 
 64.20  leased to the motor carrier who operates them or causes them to 
 64.21  be operated in two or more jurisdictions. 
 64.22     Subd. 8.  [QUALIFIED MOTOR VEHICLE.] (a) "Qualified motor 
 64.23  vehicle" means a motor vehicle that is used, designed, or 
 64.24  maintained to transport persons or property and that: 
 64.25     (1) has two axles and a gross vehicle weight or registered 
 64.26  gross vehicle weight exceeding 26,000 pounds; 
 64.27     (2) has three or more axles regardless of weight; or 
 64.28     (3) is used in combination, when the weight of the 
 64.29  combination exceeds 26,000 pounds gross vehicle or registered 
 64.30  gross vehicle weight.  
 64.31     (b) Qualified motor vehicle does not include a recreational 
 64.32  vehicle or any vehicle exempt from registration under section 
 64.33  168.012, subdivision 1, paragraph (a), clause (1). 
 64.34     Subd. 9.  [REVOCATION.] "Revocation" means the withdrawal 
 64.35  of a license and privileges by the commissioner of public safety.
 64.36     Subd. 10.  [SUSPENSION.] "Suspension" means the temporary 
 65.1   removal of privileges granted to the licensee by the 
 65.2   commissioner of public safety. 
 65.3      Sec. 3.  [168D.02] [FUEL TAX COMPACT.] 
 65.4      Subdivision 1.  [AUTHORITY.] (a) The commissioner of public 
 65.5   safety may enter into an agreement or arrangement with the duly 
 65.6   authorized representative of another jurisdiction or make an 
 65.7   independent declaration granting to motor carriers of qualified 
 65.8   motor vehicles properly registered or licensed in another member 
 65.9   jurisdiction benefits, privileges, and exemptions from paying, 
 65.10  wholly or partially, fuel taxes, fees, or other charges imposed 
 65.11  for operating the vehicles under the laws of Minnesota.  The 
 65.12  agreement, arrangement, or declaration may impose terms and 
 65.13  conditions consistent with federal and state laws and 
 65.14  regulations. 
 65.15     (b) The commissioner of public safety may ratify and 
 65.16  effectuate an international fuel tax agreement or other fuel tax 
 65.17  agreement in accordance with state and federal authorities.  The 
 65.18  commissioner's authority includes collecting fuel taxes due, 
 65.19  issuing fuel licenses, issuing refunds, conducting audits, 
 65.20  assessing penalties and interest, issuing fuel trip permits, 
 65.21  issuing decals, and suspending or denying licensing. 
 65.22     (c) Based on these powers, the commissioner and the state 
 65.23  of Minnesota have entered into a formal agreement with other 
 65.24  states of the United States, the District of Columbia, provinces 
 65.25  and territories of Canada, and any other member jurisdiction of 
 65.26  the International Fuel Tax Agreement (IFTA) compact as approved 
 65.27  by Congress in the Intermodal Surface Transportation Efficiency 
 65.28  Act (ISTEA) to assess and collect fuel tax in a uniform and 
 65.29  consistent manner across jurisdictions. 
 65.30     Subd. 2.  [RECIPROCITY.] (a) As a member of the IFTA 
 65.31  compact, the state of Minnesota recognizes and affirms the 
 65.32  provisions set forth in that agreement. 
 65.33     (b) Under the provisions of this agreement, the state of 
 65.34  Minnesota shall provide an open exchange of information between 
 65.35  member jurisdictions and the IFTA clearinghouse but reserves the 
 65.36  right to stipulate the level of security and privacy of the 
 66.1   information in transmission and storage to protect the privacy 
 66.2   rights of its citizens according to chapters 13 through 13D. 
 66.3      (c) An agreement or arrangement must be in writing and 
 66.4   provide that when a qualified motor vehicle properly licensed 
 66.5   for fuel in the state of Minnesota is operated on highways of 
 66.6   another member jurisdiction, it must receive exemptions, 
 66.7   benefits, and privileges of a similar kind or to a similar 
 66.8   degree as are extended to a qualified motor vehicle properly 
 66.9   licensed for fuel in that member jurisdiction while it is being 
 66.10  operated in the state of Minnesota. 
 66.11     (d) A declaration must be in writing and must contemplate 
 66.12  and provide for mutual benefits, reciprocal privileges, or 
 66.13  equitable treatment of the motor carrier of a qualified motor 
 66.14  vehicle registered for fuel in Minnesota and the other member 
 66.15  jurisdictions.  In the judgment of the commissioner of public 
 66.16  safety, an agreement, arrangement, or declaration must be in the 
 66.17  best interest of Minnesota and its citizens and must be fair and 
 66.18  equitable regarding the benefits that the agreement brings to 
 66.19  the economy of Minnesota. 
 66.20     Sec. 4.  [168D.03] [COMPLIANCE WITH MINNESOTA LAWS.] 
 66.21     Agreements, arrangements, and declarations made under 
 66.22  authority of this chapter must contain a provision specifying 
 66.23  that no fuel license, or exemption issued or accruing under the 
 66.24  license, excuses the motor carrier of a qualified motor vehicle 
 66.25  from compliance with Minnesota laws. 
 66.26     Sec. 5.  [168D.04] [TAXING AUTHORITY.] 
 66.27     Subdivision 1.  [AGREEMENT TERMS.] (a) Under the provisions 
 66.28  of an agreement entered into according to section 168D.02, each 
 66.29  member shall retain its sovereign authority to determine tax 
 66.30  rates and exemptions and to exercise other substantive tax 
 66.31  authority.  
 66.32     (b) In accordance with federal and state law, the agreement 
 66.33  must provide for: 
 66.34     (1) determining the base jurisdiction for users; 
 66.35     (2) users' records requirements; 
 66.36     (3) audit procedures; 
 67.1      (4) exchanging information; 
 67.2      (5) eligibility of persons for tax licensing; 
 67.3      (6) defining qualified motor vehicles; 
 67.4      (7) determining if bonding is required; 
 67.5      (8) specifying reporting requirements and periods, 
 67.6   including defining uniform penalty and interest rates for late 
 67.7   reporting; 
 67.8      (9) determining methods for collecting and forwarding motor 
 67.9   fuel taxes and penalties to another jurisdiction; 
 67.10     (10) display of identification indicating compliance with 
 67.11  the agreement; and 
 67.12     (11) other provisions to facilitate the administration of 
 67.13  the agreement. 
 67.14     (c) Each jurisdiction shall audit the records of persons 
 67.15  based in the jurisdiction to determine if the motor fuel taxes 
 67.16  due each jurisdiction are properly reported and paid. 
 67.17     Subd. 2.  [FUEL ROAD TAX IMPOSED.] (a) Every motor carrier 
 67.18  shall pay a road tax calculated on the amount of motor fuel 
 67.19  consumed in the motor carrier's operations on highways within 
 67.20  Minnesota.  The tax rate is imposed at the rate and conditions 
 67.21  specified in chapter 296A. 
 67.22     (b) The amount of motor fuel consumed in the operations of 
 67.23  a motor carrier on highways within Minnesota is determined by 
 67.24  dividing the miles traveled within Minnesota by the average 
 67.25  miles per gallon. 
 67.26     (c) The average miles per gallon for a motor carrier's 
 67.27  qualified motor vehicles is determined by dividing the total 
 67.28  miles traveled by the total motor fuel consumed. 
 67.29     Sec. 6.  [168D.05] [MOTOR CARRIER FUEL LICENSE.] 
 67.30     (a) A motor carrier registered under section 168.187, 
 67.31  operating a qualified motor vehicle upon the highways of 
 67.32  Minnesota, and not qualifying for exemption under this chapter, 
 67.33  may not operate the vehicle unless and until issued a fuel 
 67.34  license under this chapter or until the motor carrier has 
 67.35  obtained a temporary fuel permit. 
 67.36     (b) A license may be issued to a person qualifying as a 
 68.1   motor carrier who applies and pays to the commissioner the 
 68.2   license fees required by this chapter. 
 68.3      (c) A license is valid for a calendar year unless 
 68.4   surrendered by the motor carrier or canceled, suspended, or 
 68.5   revoked by the commissioner.  All licenses expire on December 31 
 68.6   of each calendar year and may be renewed by applying to the 
 68.7   commissioner and paying the licensing fee. 
 68.8      (d) The motor carrier is required to make legible copies of 
 68.9   the license and one copy must be carried in each qualified motor 
 68.10  vehicle while it is being operated in Minnesota and in all 
 68.11  member jurisdictions. 
 68.12     (e) Each licensee shall acknowledge and agree upon license 
 68.13  application to be bound by the obligations and duties of 
 68.14  licensed motor carriers under the laws, rules, and regulations 
 68.15  adopted by the member jurisdictions to administer the 
 68.16  International Fuel Tax Agreement.  Failure to adhere to these 
 68.17  obligations and duties may result in cancellation, suspension, 
 68.18  or revocation of the license. 
 68.19     Sec. 7.  [168D.06] [FUEL LICENSE FEES.] 
 68.20     License fees paid to the commissioner under the 
 68.21  International Fuel Tax Agreement must be deposited in the 
 68.22  highway user tax distribution fund.  The commissioner shall 
 68.23  charge an annual fuel license fee of $15, and an annual 
 68.24  application filing fee of $13 for quarterly reporting of fuel 
 68.25  tax. 
 68.26     Sec. 8.  [168D.07] [FUEL DECAL FEE.] 
 68.27     The commissioner shall issue a decal or other 
 68.28  identification to indicate compliance with the International 
 68.29  Fuel Tax Agreement.  The commissioner shall establish a charge 
 68.30  to cover the cost of issuing the decal or other identification 
 68.31  according to section 16A.1285, subdivision 4a.  Decal or other 
 68.32  identification charges paid to the commissioner under this 
 68.33  subdivision must be deposited in the highway user tax 
 68.34  distribution fund. 
 68.35     Sec. 9.  [168D.08] [MOTOR CARRIER FUEL TAX RETURNS.] 
 68.36     Every motor carrier subject to the fuel tax shall, on or 
 69.1   before the last day of April, July, October, and January, file 
 69.2   with the commissioner, in the format and manner prescribed, tax 
 69.3   returns of operations during the previous three months. 
 69.4      Sec. 10.  [168D.09] [CREDIT OR REFUND.] 
 69.5      Under this section, the commissioner shall allow a credit 
 69.6   or refund to a motor carrier for taxes paid to any member 
 69.7   jurisdiction that imposes a tax upon motor fuel purchased or 
 69.8   obtained in Minnesota and member jurisdictions and used on the 
 69.9   highways of Minnesota and other member jurisdictions.  Every 
 69.10  motor carrier claiming a refund under this section shall file a 
 69.11  claim in the format and manner prescribed by the commissioner or 
 69.12  take the credit on a subsequent tax return. 
 69.13     Sec. 11.  [168D.10] [MOTOR CARRIER RECORDS.] 
 69.14     Subdivision 1.  [MAINTENANCE.] Every motor carrier shall 
 69.15  maintain records to substantiate information reported on the 
 69.16  required tax returns.  The records must be kept in a format 
 69.17  prescribed by the commissioner. 
 69.18     Subd. 2.  [PRESERVATION.] Records must be preserved for 
 69.19  four years from the tax return due date or filing date, 
 69.20  whichever is later.  Preservation of the records must be in a 
 69.21  manner that ensures their security, integrity, and availability 
 69.22  for inspection by the commissioner or a representative of a 
 69.23  member jurisdiction. 
 69.24     Subd. 3.  [DESTRUCTION.] Destruction of records may not be 
 69.25  completed until the statutory period is met or upon written 
 69.26  consent from the commissioner.  A request for early destruction 
 69.27  of records must be made in writing to the commissioner 
 69.28  identifying the necessity and reasons for the request. 
 69.29     Sec. 12.  [168D.11] [AUDITING AND REPORTING.] 
 69.30     Subdivision 1.  [AUTHORITY AND OBLIGATION.] The 
 69.31  commissioner has the right and obligation to audit the records 
 69.32  of persons based in Minnesota to determine if the motor fuel 
 69.33  taxes due each jurisdiction are properly reported and paid, with 
 69.34  authority to assess proper tax liability with applicable penalty 
 69.35  and interest. 
 69.36     Subd. 2.  [REPORTING TO OTHER JURISDICTIONS.] Minnesota, 
 70.1   along with all other member jurisdictions, shall forward the 
 70.2   findings of any fuel tax audits performed to each jurisdiction 
 70.3   in which the person has taxable use of motor fuels.  The 
 70.4   commissioner may forward to officers of another member 
 70.5   jurisdiction any information in the commissioner's possession 
 70.6   relating to the manufacture, receipt, sale, use, transportation, 
 70.7   or shipment of motor fuels by any person.  The commissioner may 
 70.8   disclose to officers of another member jurisdiction the location 
 70.9   of offices, motor vehicles, and other real and personal property 
 70.10  of users of motor fuels. 
 70.11     Subd. 3.  [COOPERATIVE AUDIT.] (a) The commissioner of 
 70.12  public safety may make arrangements with, and may enter into 
 70.13  agreements with, the appropriate authorities of other Minnesota 
 70.14  state agencies and other member jurisdictions having statutes 
 70.15  similar to this act for the cooperative audit of motor carriers' 
 70.16  reports and returns. 
 70.17     (b) In performing a cooperative audit, in whole or in part, 
 70.18  the officers and employees of the other Minnesota state agencies 
 70.19  or member jurisdictions are considered authorized agents of 
 70.20  Minnesota for audit purposes, and their audits have the same 
 70.21  force and effect as audits conducted by Minnesota auditors. 
 70.22     Sec. 13.  [168D.12] [MOTOR CARRIER TEMPORARY FUEL PERMIT.] 
 70.23     A motor carrier may obtain a trip permit that authorizes an 
 70.24  unlicensed motor carrier to operate a qualified motor vehicle in 
 70.25  Minnesota for five consecutive days beginning and ending on the 
 70.26  dates specified on the face of the permit.  The fee for the 
 70.27  permit is $25.  The permit must be issued in lieu of a license 
 70.28  if in the course of operations a motor carrier operates on 
 70.29  Minnesota highways. 
 70.30     Sec. 14.  [168D.13] [ACTION TO AVOID OR EVADE FUEL TAX.] 
 70.31     Subdivision 1.  [DETERMINATION AND ASSESSMENT.] If the 
 70.32  commissioner ascertains that a motor carrier acts to obstruct or 
 70.33  make ineffectual proceedings to assess or collect the road taxes 
 70.34  due, the commissioner may immediately make an assessment of tax 
 70.35  estimated to be due, whether or not any report is then due by 
 70.36  law. 
 71.1      Subd. 2.  [ASSESSMENT NOTICE AND COLLECTION; 
 71.2   IMPOUNDMENT.] (a) The commissioner may then proceed under this 
 71.3   assessment to collect the tax, or compel security for the taxes 
 71.4   owing, and shall give notice of the commissioner's finding under 
 71.5   subdivision 1 to the motor carrier, together with a demand for 
 71.6   an immediate payment of the tax.  
 71.7      (b) The commissioner is also authorized to impound 
 71.8   qualified motor vehicles of motor carriers in violation of this 
 71.9   subdivision.  The vehicle must be released either upon paying 
 71.10  all taxes, penalties, and interest that may be due or depositing 
 71.11  a bond or security to assure the payment of taxes, penalties, 
 71.12  and interest. 
 71.13     Sec. 15.  [168D.14] [ENFORCEMENT POWERS.] 
 71.14     Subdivision 1.  [COMMISSIONER OF PUBLIC SAFETY.] The 
 71.15  commissioner is authorized and directed to enforce this 
 71.16  chapter.  In addition, the commissioner of public safety is 
 71.17  authorized and directed to use the Minnesota state patrol to 
 71.18  assist in the enforcement of this chapter.  
 71.19     Subd. 2.  [COMMISSIONER OF TRANSPORTATION.] The 
 71.20  commissioner of transportation is authorized and directed to 
 71.21  enforce sections 168D.05 and 168D.12 as provided in section 
 71.22  221.221. 
 71.23     Subd. 3.  [STATE PATROL.] The officers of the Minnesota 
 71.24  state patrol, in addition to all other powers granted to them by 
 71.25  Minnesota Statutes, have the power of making arrests, service of 
 71.26  process, and appearing in court in all matters and things 
 71.27  relating to this chapter and its administration and enforcement. 
 71.28     Sec. 16.  [168D.15] [DELINQUENT FILING OR PAYMENT.] 
 71.29     If a motor carrier licensed under this section is 
 71.30  delinquent in either filing or paying the International Fuel Tax 
 71.31  Agreement (IFTA) report or billing for more than 30 days, or 
 71.32  paying the international registration plan billing under section 
 71.33  168.187 for more than 30 days, the motor carrier, after ten 
 71.34  days' written notice, is subject to suspension of the 
 71.35  apportioned license plates and the IFTA license. 
 71.36     Sec. 17.  [168D.16] [TRANSFERRING FUNDS TO PAY DELINQUENT 
 72.1   FEE.] 
 72.2      If a motor carrier licensed under this chapter is 
 72.3   delinquent in either filing or paying the International Fuel Tax 
 72.4   Agreement (IFTA) report or billing for more than 30 days, or 
 72.5   paying the international registration plan billing under section 
 72.6   168.187 for more than 30 days, the commissioner shall authorize 
 72.7   any credit in either the IFTA account or the international 
 72.8   registration plan account to be used to offset the liability in 
 72.9   either the IFTA account or the international registration plan 
 72.10  account. 
 72.11     Sec. 18.  [168D.17] [EXEMPTIONS.] 
 72.12     This chapter does not apply to recreational equipment as 
 72.13  defined in section 168.011. 
 72.14     Sec. 19.  [168D.18] [RULES.] 
 72.15     The commissioner may adopt rules relating to the 
 72.16  administration and enforcement of this chapter. 
 72.17     Sec. 20.  Minnesota Statutes 2000, section 168.187, 
 72.18  subdivision 26, is amended to read: 
 72.19     Subd. 26.  [DELINQUENT FILING OR PAYMENT.] If a fleet owner 
 72.20  or owner-operator licensed under this section and section 
 72.21  296A.28 chapter 168D is delinquent in either filing or paying 
 72.22  the international fuel tax agreement reports for more than 30 
 72.23  days, or paying the international registration plan billing for 
 72.24  more than 30 days, the fleet owner or owner-operator, after ten 
 72.25  days' written notice, is subject to suspension of the 
 72.26  apportioned license plates and the international fuel tax 
 72.27  agreement license. 
 72.28     Sec. 21.  Minnesota Statutes 2001 Supplement, section 
 72.29  221.221, subdivision 2, is amended to read: 
 72.30     Subd. 2.  [ENFORCEMENT POWERS.] Transportation program 
 72.31  specialists and hazardous material program specialists of the 
 72.32  department, for the purpose of enforcing the provisions of this 
 72.33  chapter, sections 169.781 to 169.783 relating to commercial 
 72.34  vehicle inspections, and section 296A.27, subdivisions 6 and 12, 
 72.35  sections 168D.05 and 168D.12 relating to motor carrier licenses 
 72.36  and trip permits, and the applicable rules, orders, or 
 73.1   directives of the commissioner of transportation and the 
 73.2   commissioner of revenue, issued under this chapter and 
 73.3   chapter 168D or 296A, but for no other purpose, have the powers 
 73.4   conferred by law upon police officers.  The powers include the 
 73.5   authority to conduct inspections at designated highway weigh 
 73.6   stations or under other appropriate circumstances. 
 73.7      Sec. 22.  Minnesota Statutes 2000, section 296A.23, 
 73.8   subdivision 7, is amended to read: 
 73.9      Subd. 7.  [FAILURE TO OBTAIN PROPER PERMIT.] A minimum fine 
 73.10  of $200 shall be imposed on a person who fails to obtain a 
 73.11  license or trip permit required under section 296A.27, 
 73.12  subdivisions 6 and 12 168D.05 or 168D.12. 
 73.13     Sec. 23.  [REPEALER.] 
 73.14     Minnesota Statutes 2000, sections 296A.27 and 296A.28, are 
 73.15  repealed.