HF 2594

as introduced - 91st Legislature (2019 - 2020) Posted on 03/18/2019 02:41pm

A bill for an act
relating to public safety; authorizing motor vehicle registration tax holiday for one
year; transferring money from budget reserve account to cover revenue lost due
to motor vehicle registration tax holiday and to replace the Minnesota Licensing
and Registration System (MNLARS) software.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1. new text begin MOTOR VEHICLE REGISTRATION TAX HOLIDAY.
new text end

new text begin Subdivision 1. new text end

new text begin New purchases. new text end

new text begin For all new and used vehicles purchased and registered
in the state on or after June 1, 2019, and on or before May 31, 2020, the vehicle registration
tax imposed under Minnesota Statutes, section 168.013, is waived.
new text end

new text begin Subd. 2. new text end

new text begin Registration renewals. new text end

new text begin (a) For all motor vehicle registration renewals due on
or after June 1, 2019, and on or before May 31, 2020, the vehicle registration is automatically
extended for 12 additional months and the tax imposed under Minnesota Statutes, section
168.013, is waived.
new text end

new text begin (b) New license plate tabs shall not be issued for motor vehicle registrations automatically
extended under this subdivision. The existing license plate tabs shall be retained on the
motor vehicle and remain valid for 12 months after the motor vehicle registration is
automatically extended under this subdivision.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2. new text begin BUDGET RESERVE TRANSFERS.
new text end

new text begin (a) $1,000,000,000 in fiscal year 2020 is transferred from the budget reserve account in
the general fund under Minnesota Statutes, section 16A.152, to the entities described in this
section for the purposes described in this section.
new text end

new text begin (b) Of the amount in paragraph (a), $750,000,000 is transferred to the highway user tax
distribution fund to cover the revenue lost due to the motor vehicle registration tax holiday
under section 1.
new text end

new text begin (c) Of the amount in paragraph (a), $33,000,000 is transferred to the commissioner of
transportation for grants to counties to cover lost revenue related to wheelage taxes imposed
under Minnesota Statutes, section 163.051, and collected by state registrars or deputy
registrars due to the motor vehicle registration tax holiday under section 1. A grant to a
county under this paragraph must be in an amount equal to the county's 2018 wheelage tax
revenue.
new text end

new text begin (d) Of the amount in paragraph (a), $100,000,000 is transferred to the town road account
in the county state-aid highway fund under Minnesota Statutes, section 162.081, for
construction and repair of rural township roads.
new text end

new text begin (e) Of the amount in paragraph (a), $117,000,000 is transferred to the commissioner of
public safety to purchase and implement an existing and functionally sufficient driver's
licensing and motor vehicle titling and registration software program from another state to
replace the Minnesota Licensing and Registration System (MNLARS).
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end