1.1 	A bill for an act
1.2 	relating to motor vehicles; establishing rental motor vehicle license plates;
1.3 	proposing coding for new law in Minnesota Statutes, chapter 168.
1.4 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.5 	Section 1. [168.1289] RENTAL MOTOR VEHICLE PLATES.
1.6 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
1.7 	the meanings given.
1.8 	(b) "Auto rental company" means a corporation, partnership, individual, or other person 
1.9 	that is engaged primarily in the renting of at least 50 rental motor vehicles at per diem rates.
1.10 	(c) "Rental motor vehicle" means a passenger automobile, noncommercial one-ton pickup 
1.11 	truck, motorcycle, motorized bicycle, or recreational vehicle made available for rental by 
1.12 	an auto rental company.
1.13 		Subd. 2.Issuance of plates. (a) An auto rental company may, but is not required to, 
1.14 	apply for rental motor vehicle plates under this section.
1.15 	(b) Upon proper application, the commissioner must issue rental motor vehicle plates 
1.16 	or a single motorcycle plate to an auto rental company that:
1.17 	(1) is a registered owner of a rental motor vehicle;
1.18 	(2) pays license plate fees under section 168.12, subdivision 5, for each set of plates for 
1.19 	each rental motor vehicle, along with any other fees required by this chapter;
1.20 	(3) pays the registration tax for each rental motor vehicle as required under section 
1.21 	168.013;
2.1 	(4) pays the fees required under this chapter; and
2.2 	(5) complies with section 168.017 and rules governing registration of rental motor 
2.3 	vehicles.
2.4 	(c) Rental motor vehicle plates issued under this section are issued for a seven-year 
2.5 	period and must be replaced as required under section 168.12, subdivision 1, paragraph (f), 
2.6 	clause (2).
2.7 	(d) Each set of rental motor vehicle plates issued under this section is only valid if the 
2.8 	plates are registered to a single rental motor vehicle.
2.9 		Subd. 3.Design. The commissioner must adopt a suitable plate design that includes the 
2.10 	phrase "RENTAL MOTOR VEHICLE."
2.11 		Subd. 4.Plates transfer. (a) On application to the commissioner and payment of a 
2.12 	transfer fee of $5 for each set of plates, rental motor vehicle plates may be transferred to 
2.13 	another qualified rental motor vehicle that is registered to the same auto rental company to 
2.14 	which the rental motor vehicle plates were originally issued.
2.15 	(b) A deputy registrar who collects the $5 transfer fee under paragraph (a) must retain 
2.16 	the fee.
2.17 	(c) Rental motor vehicle plates issued under this section must be removed from the rental 
2.18 	motor vehicle if the vehicle is held for resale under section 168A.11.
2.19 		Subd. 5.Exemptions. (a) Rental motor vehicle plates issued under this section are not 
2.20 	subject to section 168.1293, subdivision 2.
2.21 	(b) Notwithstanding sections 168.09, subdivision 4, and 169.79, subdivision 8, rental 
2.22 	motor vehicle plates issued under this section are not required to display validation stickers 
2.23 	issued pursuant to section 168.12, subdivision 1.

2.24 	EFFECTIVE DATE. This section is effective July 1, 2026, or on the date the Department 
2.25 	of Public Safety Division of Driver and Vehicle Services makes the rental motor vehicle 
2.26 	plates available, whichever is sooner.