1.1 	A bill for an act
1.2 	relating to motor vehicles; imposing surcharge on
1.3 	motor vehicle purchase; removing obsolete language;
1.4 	amending Minnesota Statutes 2004, sections 297B.02, by
1.5 	adding a subdivision; 297B.09, subdivision 1.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. Minnesota Statutes 2004, section 297B.02, is
1.8 	amended by adding a subdivision to read:
1.9 		Subd. 1a.Surcharge. (a) A surcharge is imposed on the
1.10 	purchase price of any motor vehicle taxed as a passenger
1.11 	automobile under section 168.013, as follows:
1.12 	(1) $125 for a motor vehicle purchased during its first
1.13 	year of vehicle life; and 
1.14 	(2) $75 for a motor vehicle purchased during a second or
1.15 	later year of vehicle life.
1.16 	(b) The proceeds of the surcharge collected under this
1.17 	subdivision must be deposited in the highway user tax
1.18 	distribution fund.
1.19 	(c) The surcharge imposed under this subdivision does not
1.20 	apply to vehicles exempted from the provisions of this chapter
1.21 	under section 297B.03.

1.22 	Sec. 2. Minnesota Statutes 2004, section 297B.09,
1.23 	subdivision 1, is amended to read:
1.24 		Subdivision 1.Deposit of revenues.  (a) Except as
1.25 	otherwise provided in section 297B.02, subdivision 1a,money
2.1 	collected and received under this chapter must be deposited as
2.2 	provided in this subdivision.
2.3 	(b) ~~From July 1, 2002, to June 30, 2003, 32 percent of the~~
2.4 	~~money collected and received must be deposited in the highway~~
2.5 	~~user tax distribution fund, 20.5 percent must be deposited in~~
2.6 	~~the metropolitan area transit fund under section 16A.88, and~~
2.7 	~~1.25 percent must be deposited in the greater Minnesota transit~~
2.8 	~~fund under section 16A.88.  The remaining money must be~~
2.9 	~~deposited in the general fund.~~
2.10 	~~(c)~~ From July 1, 2003, to June 30, 2007, 30 percent of the
2.11 	money collected and received must be deposited in the highway
2.12 	user tax distribution fund, 21.5 percent must be deposited in
2.13 	the metropolitan area transit fund under section 16A.88, 1.43
2.14 	percent must be deposited in the greater Minnesota transit fund
2.15 	under section 16A.88, 0.65 percent must be deposited in the
2.16 	county state-aid highway fund, and 0.17 percent must be
2.17 	deposited in the municipal state-aid street fund.  The remaining
2.18 	money must be deposited in the general fund.
2.19 	~~(d)~~ (c) On and after July 1, 2007, 32 percent of the money
2.20 	collected and received must be deposited in the highway user tax
2.21 	distribution fund, 20.5 percent must be deposited in the
2.22 	metropolitan area transit fund under section 16A.88, and 1.25
2.23 	percent must be deposited in the greater Minnesota transit fund
2.24 	under section 16A.88.  The remaining money must be deposited in
2.25 	the general fund.
2.26 	
EFFECTIVE DATE. This section is effective July 1, 2005,
2.27 	for purchases made on or after that date.