HB5662 97TH GENERAL ASSEMBLY

LRB097 17638 HEP 65936 b

97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB5662

Introduced 2/16/2012, by Rep. Joseph M. Lyons

SYNOPSIS AS INTRODUCED:

See Index

Amends the Illinois Vehicle Code. Provides that the Secretary of State shall adopt and implement the Tate Revenue Increase Plate Plan, or "TRIPP". Provides that in implementing TRIPP, the Secretary shall comply with requirements of the Illinois Procurement Code concerning sole source procurements. Provides that all currently issued license plates shall be classified as the personal property of the license plate holder, assigned a value of $1,000, and assessed an optional annual license fee to TRIPP in the amount of $120. Provides that a license plate owner who consents to the license fee is eligible for a weekly lottery cash prize and may sell his or her license plate by way of an Internet auction site established for that purpose and available on the State's Internet home page. Provides that certain persons may purchase additional entries into the lottery. Provides that a 25% privilege tax shall be assessed on the sale of a license plate and that the sale price of a plate auctioned under the new provisions shall become the new assessed value of the license plate. Provides certain exemptions from plate transfer fees and other sales requirements. Provides that disputes regarding TRIPP shall be adjudicated by an arbitrator appointed by the Secretary of State. Provides that 15% of all revenue generated by TRIPP shall be used as a license fee, and that no later than 30 days after the effective date of the amendatory Act, the Comptroller shall order transferred and the Treasurer shall transfer to the TRIPP licensor a license fee deposit equal to 10% of the first year's anticipated license fee payment, as calculated by a specified formula. Provides that the Secretary of State shall adopt rules to implement the new provisions. Effective January 1, 2013.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning transportation.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Illinois Vehicle Code is amended by changing Section 3-421 and by adding Section 3-405.1a as follows:

(625 ILCS 5/3-405.1a new)

Sec. 3-405.1a. The Tate Revenue Increase Plate Plan.

(a) The Secretary of State shall adopt and implement the Tate Revenue Increase Plate Plan, or "TRIPP". In implementing TRIPP, the Secretary shall comply with Section 20-25 of the Illinois Procurement Code.

(b) All currently issued license plates shall be classified as the personal property of the person to whom the Secretary of State issued the license plate. Each license plate shall pay a TRIPP license fee of $120, unless exempted under subsection (c) of this Section.

(c) A license plate owner may exempt his or her license plate from TRIPP by completing a waiver application in a form and manner prescribed by the Secretary.

(d) A license plate owner who does not exempt his or her plate from TRIPP shall be eligible for a weekly lottery cash prize. A TRIPP subscriber in good standing may purchase additional entries into the lottery.

(e) A license plate owner who has been involved in the lottery program for at least 12 months may sell his or her license plate by way of an Internet auction site established for that purpose. A link to the TRIPP auction site shall be prominently displayed upon the State's Internet home page.

(f) Privilege tax shall be assessed on the sale of a license plate under this Section at a rate of 25% of the sale price of the plate.

(g) The sale price of a plate auctioned under this Section shall become the new assessed value of the license plate.

(h) A person who transfers a license plate to an immediate family member shall be exempt from TRIPP fees, provided that:

(1) there is no money or consideration paid for the plate;

(2) the person is in possession of a currently registered vehicle displaying a legally registered license plate; and

(3) the person is in possession of a valid driver's license.

For purposes of this Section, "immediate family member" means the father, mother, sister, brother, or child of a person eligible for TRIPP.

(i) All transfers under this Section shall be accompanied by a signed statement that:

(1) the trade is for a certain sum of money, or no money if the trade is between family members;

(2) the trade is done freely and without coercion;

(3) the value paid, if any, is a true representation of the value of the plate; and

(4) the signor understands that falsification of the written statement may result in forfeiture of the license plate.

(j) Disputes regarding the assessed value of a license plate or eligibility for TRIPP shall be adjudicated by an arbitrator appointed by the Secretary of State.

(k) Fifteen percent of all revenue generated by TRIPP shall be used as a license fee.

(l) No later than 30 days after the effective date of this amendatory Act of the 97th General Assembly, the Comptroller shall order transferred and the Treasurer shall transfer to the TRIPP licensor a license fee deposit equal to 10% of the first year's anticipated TRIPP license fee payment. This amount shall be calculated by: (i) multiplying the number of registered vehicles in this State by 12; then (ii) multiplying that number by 0.15; and then (iii) multiplying that number by 0.10.

(m) The Secretary of State shall adopt rules to implement this Section.

(625 ILCS 5/3-421) (from Ch. 95 1/2, par. 3-421)

Sec. 3-421. Right of reassignment. (a) Except as provided in Section 3-405.1a, every Every natural person shall have the right of reassignment of the license number issued to him during the current registration plate term, for the ensuing registration plate term, provided his application for reassignment is received in the Office of the Secretary of State on or before September 30 of the final year of the registration plate term as to a vehicle registered on a calendar year, and on or before March 31 as to a vehicle registered on a fiscal year. The right of reassignment shall apply to every natural person under the staggered registration system provided the application for reassignment is received in the Office of the Secretary of State by the 1st day of the month immediately preceding the applicant's month of expiration.

In addition, except as provided in Section 3-405.1a, every natural person shall have the right of reassignment of the license number issued to him for a two-year registration, for the ensuing two-year period. Where the two-year period is for two calendar years, the application for reassignment must be received by the Secretary of State on or before September 30th of the year preceding commencement of the two-year period. Where the two-year period is for two fiscal years commencing on July 1, the application for reassignment must be received by the Secretary of State on or before April 30th immediately preceding commencement of the two-year period.

(b) Notwithstanding the above provision, the Secretary of State shall, subject to the existing right of reassignment, have the authority to designate new specific combinations of numerical, alpha-numerical, and numerical-alpha licenses for vehicles registered on a calendar year or on a fiscal year, whether the license be issued for one or more years. The new combinations so specified shall not be subject to the right of reassignment, and no right of reassignment thereto may at any future time be acquired.

(Source: P.A. 80-230; 80-1185.)

Section 99. Effective date. This Act takes effect January 1, 2013.