House of Representatives Staff Analysis: PCS for HB 387 License Plate Fees (2020)

Summary

A Florida House of Representatives staff analysis of the PCS for HB 387, License Plate Fees, sponsored by the Transportation & Infrastructure Subcommittee and dated 1/16/2020. The analysis states that the bill is tied to HB 1135 and would amend s. 320.08056, F.S., so that an annual use fee of $25 is charged for any specialty license plate required to be developed unless another amount is specified. It also describes an annual use fee of $50 for the Auburn University, University of Georgia, and University of Alabama specialty license plates. The analysis reports a negative but insignificant fiscal impact on DHSMV from programming costs. It notes that because the bill authorizes a new state fee, Article VII, s. 19 of the Florida Constitution requires approval by two-thirds of the membership of each house.

Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used

Full text

                                    HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #:     PCS for HB 387 License Plate Fees
SPONSOR(S): Transportation & Infrastructure Subcommittee
TIED BILLS: HB 1135      IDEN./SIM. BILLS:

    REFERENCE                                                          ACTION                 ANALYST              STAFF DIRECTOR or
                                                                                                                   BUDGET/POLICY CHIEF

    Orig. Comm.: Transportation & Infrastructure                                              Johnson              Vickers
       Subcommittee

                                                         SUMMARY ANALYSIS
There are over 120 specialty license plates available to any owner or lessee of a motor vehicle who is willing to
pay the additional annual use fee for such plate. The collected fees are distributed by the Department of
Highway Safety and Motor Vehicles (DHSMV) to statutorily designated organizations in support of a particular
cause or charity.

HB 1135 (2020), which this bill is linked to, creates various specialty license plates and provides for the design
of each plate and the use of the annual use fees associated with each plate.

This bill provides that unless the amount of the annual use fee is otherwise specified for a particular specialty
license plate, the annual use fee of $25 will be charged for any specialty license plate that is required to be
developed. The bill also establishes an annual use fee of $50 for the Auburn University, the University of
Georgia, and the University of Alabama specialty license plates.

The bill will have a negative, but insignificant, fiscal impact on DHSMV associated with programming costs.
These costs can be absorbed within existing resources.

This bill authorizes a new state fee, requiring a two-thirds vote of the membership of the House. See
Section III.A.2. of the analysis.




This document does not reflect the intent or official position of the bill sponsor or House of Representatives .
STORAGE NAME: pcs0387.TIS
DATE: 1/16/2020
                                                        FULL ANALYSIS

                                                 I. SUBSTANTIVE ANALYSIS

    A. EFFECT OF PROPOSED CHANGES:
         Present Situation

         Legislation Imposing or Raising State Fees or Taxes
         The Florida Constitution provides that no state tax or fee may be imposed, authorized, or raised by the
         Legislature except through legislation approved by two-thirds of the membership of each house of the
         Legislature.1 For purposes of this requirement, a “fee” is any charge or payment required by law,
         including any fee or charge for services and fees or costs for licenses and to “raise” a fee or tax means
         to:2
               Increase or authorize an increase in the rate of a state tax or fee imposed on a percentage or
                 per mill basis;
               Increase or authorize an increase in the amount of a state tax or fee imposed on a flat or fixed
                 amount basis; or
               Decrease or eliminate a state tax or fee exemption or credit.

         A bill that imposes, authorizes, or raises any state fee or tax may only contain the fee or tax
         provision(s) and may not contain any other subject.3

         The constitutional provision does not authorize any state tax or fee to be imposed if it is otherwise
         prohibited by the constitution and does not apply to any tax or fee authorized or imposed by a county,
         municipality, school board, or special district.4

         Specialty License Plates
         The first Florida specialty license plates were enacted in 1986 and included the creation of the
         Challenger plate and 10 Florida collegiate plates. Today, there are over 120 specialty license plates
         available to any owner or lessee of a motor vehicle who is willing to pay the additional use fee for the
         privilege, typically $25 annually.5 The collected fees are distributed by the Department of Highway
         Safety and Motor Vehicles (DHSMV) to statutorily designated organizations in support of a particular
         cause or charity. A vehicle registered under the International Registration Plan, a commercial truck
         required to display two license plates, or a truck tractor are not eligible for specialty license plates.6

         Organizations in receipt of specialty license plate revenue must adhere to certain accountability
         requirements found in statute. These requirements include an annual attestation document affirming,
         under penalty of perjury, that funds received have been spent in accordance with applicable statutes.7
         The annual use fees collected by an organization and any interest earned from the fees may be
         expended only for use in this state unless the annual use fee is derived from the sale of specified
         United States Armed Forces and veterans-related specialty plates.8

         HB 1135 (2020), which this bill is linked to, creates 17 specialty license plates and provides for their
         design and the use of their annual use fees.




1
  Fla. Const. art. VII, s. 19(a)-(b). The amendment appeared on the 2018 ballot as Amendment 5.
2
  Fla. Const. art. VII, s. 19(d).
3
  Fla. Const. art. VII, s. 19(e).
4
  Fla. Const. art. VII s. 19(c).
5
  The annual use fees for specific specialty license plates are provided in s. 320.08056(4), F.S.
6
  Section 320.08056(2), F.S.
7
  Section 320.08062, F. S.
8
  Section 320.08056(10)(a), F.S.
STORAGE NAME: pcs0387.TIS                                                                                      PAGE: 2
DATE: 1/16/2020
        Proposed Changes

        The bill amends s. 320.08056, F.S., providing that unless the amount of an annual use fee is otherwise
        specified for a particular specialty license plate, then an annual use fee of $25 for any specialty license
        plate that is required to be developed pursuant to s. 320.08058, F.S., will be charged.

        The bill also establishes an annual use fee of $50 for the Auburn University, University of Georgia, and
        the University of Alabama specialty license plates.

   B. SECTION DIRECTORY:
       Section 1 amends s. 320.08056, F.S., relating to specialty license plates.

       Section 2 provides that this act takes effect on the same date that HB 1135 or similar legislation takes
       effect, if such legislation is adopted in the same legislative session or an extension thereof and
       becomes a law.

                            II. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT

   A. FISCAL IMPACT ON STATE GOVERNMENT:

       1. Revenues:
           None.

       2. Expenditures:
           The bill will have a negative, but insignificant, fiscal impact on DHSMV associated with
           programming costs. These costs can be absorbed within existing resources.

   B. FISCAL IMPACT ON LOCAL GOVERNMENTS:

       1. Revenues:
           None.

       2. Expenditures:
           None.

   C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:
       Recipient organizations may see an increase in revenues associated with the sale of specialty license
       plates.
   D. FISCAL COMMENTS:
        None.

                                                 III. COMMENTS

   A. CONSTITUTIONAL ISSUES:

       1. Applicability of Municipality/County Mandates Provision:
          Not applicable. The bill does not appear to affect county or municipal governments.

       2. Other:
          Article VII, s. 19 of the Florida Constitution requires the imposition, authorization, or raising of a state
          tax or fee be contained in a separate bill that contains no other subject and be approved by two-
          thirds of the membership of each house of the Legislature. As such, the bill appears to implicate Art.

STORAGE NAME: pcs0387.TIS                                                                                      PAGE: 3
DATE: 1/16/2020
          VII, s. 19 of the Florida Constitution because the bill authorizes a $25 fee for specialty license plates
          and a $50 fee for specialty license plates for out-of-state universities.

   B. RULE-MAKING AUTHORITY:
        None.

   C. DRAFTING ISSUES OR OTHER COMMENTS:
        None.


                            IV. AMENDMENTS/ COMMITTEE SUBSTITUTE CHANGES
None.




STORAGE NAME: pcs0387.TIS                                                                                    PAGE: 4
DATE: 1/16/2020


File and source

File

2020_3014_transportation-infrastructure-subcommittee_proposed-committee-bill-analyses_fn-pcs0387-tis.pdf

Size

143,711 bytes

SHA-256

1f478815e087a9df1513151d6b94c94d64b3547c65ab9521d5d7aaf6cd887c66

Our copy

2020_3014_transportation-infrastructure-subcommittee_proposed-committee-bill-analyses_fn-pcs0387-tis.pdf

Original

www.flhouse.gov