Motor Vehicle Registration Services Amendments, the official text

Motor Vehicle Registration Services Amendments
2026 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Chris H. Wilson
House Sponsor: Bridger Bolinder

LONG TITLE
General Description:
This bill amends vehicle registration fees to provide funding for Motor Vehicle Division services in counties of the third through sixth class.
Highlighted Provisions:
This bill: provides funding for counties that provide Motor Vehicle Division services on behalf of the division;
modifies vehicle registration fees;
creates the Vehicle Registration Services Restricted Account;
increases the required contribution for the historical black license plate from $25 to $50;
allocates special group license plate revenue from the historical black license plate; and
makes technical and conforming changes.

Money Appropriated in this Bill: This bill appropriates $2,200,000 in operating and capital budgets for fiscal year 2027, including: $1,300,000 from General Fund; and $900,000 from various sources as detailed in this bill. Other Special Clauses: This bill provides a special effective date. Utah Code Sections Affected: AMENDS:
41-1a-1201 Effective 01/01/27 Repealed 07/01/29, as last amended by Laws of Utah 2025, Chapter 279
41-1a-1206 Effective 01/01/27, as last amended by Laws of Utah 2025, Chapters 215, 279
41-1a-1603 Effective 01/01/27, as last amended by Laws of Utah 2025, Chapter 247

ENACTS:
41-1a-124 Effective 01/01/27, Utah Code Annotated 1953

Be it enacted by the Legislature of the state of Utah:
Section 1. Section 41-1a-124 is enacted to read:
41-1a-124 Effective 01/01/27. Vehicle Registration Services Restricted Account.
(1) There is created in the General Fund a restricted account known as the "Vehicle Registration Services Restricted Account."
(2) The restricted account shall consist of deposits into the account from the fee described in Subsection 41-1a-1201(11).
(3) The commission shall use the restricted account to provide: (a) $500,000 in one-time funding to establish division services in a county that, in 2024: (i) provided motor vehicle registration services in the county on behalf of the division; and
(ii) registered the highest number of vehicles among counties that provided motor vehicle registration services on behalf of the division; and

(b) funding to counties of the third through sixth class that provide vehicle registration services on behalf of the division.

(4) A county described in Subsection (3)(b) is eligible each fiscal year for up to: (a) $3 per vehicle registered in the previous calendar year for a county of the third class;
(b) $3.50 per vehicle registered in the previous calendar year for a county of the fourth class;
(c) $4 per vehicle registered in the previous calendar year for a county of the fifth class; or
(d) $5 per vehicle registered in the previous calendar year for a county of the sixth class.

(5) The distribution described in Subsection (3)(a) will not begin until: (a) the fiscal year 2027;
(b) the restricted account has accrued at least $500,000; and
(c) the commission has identified and secured office space.

(6) The distribution described in Subsection (3)(b) shall begin in fiscal year 2027.
(7) The commission shall provide funding in the order listed in Subsection (3).
(8) If there are insufficient funds for each county described in Subsection (3) to receive the amount described in Subsection (4), the commission shall reduce each county's funding proportionally.

Section 2. Section 41-1a-1201 is amended to read:
41-1a-1201 Effective 01/01/27 Repealed 07/01/29. Disposition of fees.
(1) All fees received and collected under this part shall be transmitted daily to the state treasurer.
(2) Except as provided in Subsections (3), (5), (6), (7), (8), [and](9), and (11), and Sections 41-1a-1205, 41-1a-1220, 41-1a-1221, 41-1a-1222, 41-1a-1223, and 41-1a-1603, all fees collected under this part shall be deposited into the Transportation Fund.
(3) Funds generated under Subsections 41-1a-1211(1)(b)(ii), (6)(b)(ii), (7), and (9), and Section 41-1a-1212 shall be deposited into the License Plate Restricted Account created in Section 41-1a-122.
(4) (a) Except as provided in Subsections (3) and (4)(b) and Section 41-1a-1205, the expenses of the commission in enforcing and administering this part shall be provided for by legislative appropriation from the revenues of the Transportation Fund.
(b) Three dollars of the registration fees imposed under Subsections 41-1a-1206(2)(a) and (b) for each vehicle registered for a six-month registration period under Section 41-1a-215.5 may be used by the commission to cover the costs incurred in enforcing and administering this part.
(c) Fifty cents of the registration fee imposed under Subsection 41-1a-1206(1)(i) for each vintage vehicle that has a model year of 1983 or newer may be used by the commission to cover the costs incurred in enforcing and administering this part.

(5) (a) The following portions of the registration fees imposed under Section 41-1a-1206 for each vehicle shall be deposited into the Transportation Investment Fund of 2005 created in Section 72-2-124: (i) $30 of the registration fees imposed under Subsections 41-1a-1206(1)(a), (1)(b), (1)(f), (4), and (7);
(ii) $21 of the registration fees imposed under Subsections 41-1a-1206(1)(c)(i) and (1)(c)(ii);
(iii) $2.50 of the registration fee imposed under Subsection 41-1a-1206(1)(e)(ii);
(iv) $23 of the registration fee imposed under Subsection 41-1a-1206(1)(d)(i);
(v) $24.50 of the registration fee imposed under Subsection 41-1a-1206(1)(e)(i);
(vi) $1 of the registration fee imposed under Subsection 41-1a-1206(1)(d)(ii); and
(vii) $17 of the registration fee imposed under Subsection 41-1a-1206(1)(j).

(b) The following portions of the registration fees collected for each vehicle registered for a six-month registration period under Section 41-1a-215.5 shall be deposited into the Transportation Investment Fund of 2005 created in Section 72-2-124: (i) $23.25 of each registration fee collected under Subsection 41-1a-1206(2)(a)(i); and
(ii) $23 of each registration fee collected under Subsection 41-1a-1206(2)(a)(ii).

(6) (a) Ninety-four cents of each registration fee imposed under Subsections 41-1a-1206(1)(a) and (b) for each vehicle shall be deposited into the Department of Public Safety Restricted Account created in Section 53-3-106.
(b) Seventy-one cents of each registration fee imposed under Subsections 41-1a-1206(2)(a) and (b) for each vehicle registered for a six-month registration period under Section 41-1a-215.5 shall be deposited into the Department of Public Safety Restricted Account created in Section 53-3-106.

(7) (a) One dollar of each registration fee imposed under Subsections 41-1a-1206(1)(a) and (b) for each vehicle shall be deposited into the Motor Vehicle Safety Impact Restricted Account created in Section 53-8-214.
(b) One dollar of each registration fee imposed under Subsections 41-1a-1206(2)(a) and (b) for each vehicle registered for a six-month registration period under Section 41-1a-215.5 shall be deposited into the Motor Vehicle Safety Impact Restricted Account created in Section 53-8-214.

(8) Fifty cents of each registration fee imposed under Subsection 41-1a-1206(1)(a) for each motorcycle shall be deposited into the Brain and Spinal Cord Injury Fund created in Section 26B-1-318.
(9) (a) [Beginning] Except as provided in Subsection (11), beginning on January 1, 2024, subject to Subsection (9)(b), $2 of each registration fee imposed under Section 41-1a-1206 shall be deposited into the Rural Transportation Infrastructure Fund created in Section 72-2-133.
(b) Beginning on January 1, 2025, and each January 1 thereafter, the amount described in Subsection (9)(a) shall be annually adjusted by taking the amount deposited the previous year and adding an amount equal to the greater of: (i) an amount calculated by multiplying the amount deposited by the previous year by the actual percentage change during the previous fiscal year in the Consumer Price Index; and
(ii) 0.

(c) The amounts calculated as described in Subsection (9)(b) shall be rounded up to the nearest [1] one cent.

(10) For a vehicle registered for a 24-month period as provided in Section 41-1a-215.5, the deposits under this section are double the amounts due for a 12-month registration of the same vehicle.
(11) The registration fee imposed under Subsections 41-1a-1206(3)(a)(i)(B) and 41-1a-1206(3)(a)(ii)(B) shall be deposited into the Vehicle Registration Services Restricted Account created in Section 41-1a-124.

Section 3. Section 41-1a-1206 is amended to read:
41-1a-1206 Effective 01/01/27. Registration fees -- Fees by gross laden weight.
(1) Except as provided in Subsections (2) and (3), at the time application is made for registration or renewal of registration of a vehicle or combination of vehicles under this chapter, a registration fee shall be paid to the division as follows: (a) $46.00 for each motorcycle;
(b) $44 for each motor vehicle of 14,000 pounds or less gross laden weight, excluding motorcycles;
(c) unless the semitrailer or trailer is exempt from registration under Section 41-1a-202 or is registered under Section 41-1a-301: (i) $31 for each trailer or semitrailer over 750 pounds gross unladen weight; or
(ii) $28.50 for each commercial trailer or commercial semitrailer of 750 pounds or less gross unladen weight;

(d) (i) $53 for each farm truck over 14,000 pounds, but not exceeding 16,000 pounds gross laden weight; plus
(ii) $9 for each 2,000 pounds over 16,000 pounds gross laden weight;

(e) (i) $69.50 for each motor vehicle or combination of motor vehicles, excluding farm trucks, over 14,000 pounds, but not exceeding 16,000 pounds gross laden weight; plus
(ii) $19 for each 2,000 pounds over 16,000 pounds gross laden weight;

(f) (i) $69.50 for each park model recreational vehicle over 14,000 pounds, but not exceeding 16,000 pounds gross laden weight; plus
(ii) $19 for each 2,000 pounds over 16,000 pounds gross laden weight;

(g) $45 for each vintage vehicle that has a model year of 1983 or newer;
(h) in addition to the fee described in Subsection (1)(b): (i) an amount equal to the road usage charge cap described in Section 72-1-213.1 for: (A) each electric motor vehicle; and
(B) Each motor vehicle not described in this Subsection (1)(h) that is fueled exclusively by a source other than motor fuel, diesel fuel, natural gas, or propane;

(ii) $21.75 for each hybrid electric motor vehicle; and
(iii) $56.50 for each plug-in hybrid electric motor vehicle;

(i) in addition to the fee described in Subsection (1)(g), for a vintage vehicle that has a model year of 1983 or newer, 50 cents; and
(j) $28.50 for each roadable aircraft.

(2) (a) At the time application is made for registration or renewal of registration of a vehicle under this chapter for a six-month registration period under Section 41-1a-215.5, a registration fee shall be paid to the division as follows: (i) $34.50 for each motorcycle; and
(ii) $33.50 for each motor vehicle of 14,000 pounds or less gross laden weight, excluding motorcycles.

(b) In addition to the fee described in Subsection (2)(a)(ii), for registration or renewal of registration of a vehicle under this chapter for a six-month registration period under Section 41-1a-215.5 a registration fee shall be paid to the division as follows: (i) an amount equal to the road usage charge cap described in Section 72-1-213.1 for: (A) each electric motor vehicle; and
(B) each motor vehicle not described in this Subsection (2)(b) that is fueled exclusively by a source other than motor fuel, diesel fuel, natural gas, or propane;

(ii) $16.50 for each hybrid electric motor vehicle; and
(iii) $43.50 for each plug-in hybrid electric motor vehicle.

(3) (a) [Beginning on January 1, 2024, at] At the time of registration: (i) in addition to the amounts described in Subsections (1)(a), (1)(b), (1)(c)(i), (1)(c)(ii), (1)(d)(i), (1)(e)(i), (1)(f)(i), (1)(g), (1)(h), (4)(a), and (7), the individual shall also pay an additional: (A) $7 as part of the registration fee; and
(B) $0.50 as part of the registration fee; and

(ii) in addition to the amounts described in Subsection (2)(a), the individual shall also pay an additional: (A) $5 as part of the registration fee[.]; and
(B) $0.25 as part of the registration fee.

(b) [(i) Beginning on January 1, 2019, the] The commission shall, on January 1, annually adjust the registration fees described in Subsections (1)(a), (1)(b), (1)(c)(i), (1)(c)(ii), (1)(d)(i), (1)(e)(i), (1)(f)(i), (1)(g), (1)(h)(ii), (1)(h)(iii), (1)(j), (2)(a), (2)(b)(ii), (2)(b)(iii), (3)(a), (4)(a), and (7), by taking the registration fee rate for the previous year and adding an amount equal to the greater of: [(A)] (i) an amount calculated by multiplying the registration fee of the previous year by the actual percentage change during the previous fiscal year in the Consumer Price Index; and
[(B)] (ii) 0.

[(ii) Beginning on January 1, 2024, the commission shall, on January 1, annually adjust the registration fees described in Subsections (1)(h)(ii) and (iii) and (2)(b)(ii) and (iii) by taking the registration fee rate for the previous year and adding an amount equal to the greater of:] [(A) an amount calculated by multiplying the registration fee of the previous year by the actual percentage change during the previous fiscal year in the Consumer Price Index; and]
[(B) 0.]

(c) The amounts calculated as described in Subsection (3)(b) shall be rounded up to the nearest 25 cents.

(4) (a) The initial registration fee for a vintage vehicle that has a model year of 1982 or older is $40.
(b) A vintage vehicle that has a model year of 1982 or older is exempt from the renewal of registration fees under Subsection (1).
(c) A vehicle with a Purple Heart special group license plate issued on or before December 31, 2023, or issued in accordance with Part 16, Sponsored Special Group License Plates, is exempt from the registration fees under Subsection (1).
(d) A camper is exempt from the registration fees under Subsection (1).

(5) If a motor vehicle is operated in combination with a semitrailer or trailer, each motor vehicle shall register for the total gross laden weight of all units of the combination if the total gross laden weight of the combination exceeds 14,000 pounds.
(6) (a) Registration fee categories under this section are based on the gross laden weight declared in the licensee's application for registration.
(b) Gross laden weight shall be computed in units of 2,000 pounds. A fractional part of 2,000 pounds is a full unit.

(7) The owner of a trailer described in Section 41-1a-228 may, as an alternative to registering under Subsection (1)(c), apply for and obtain a special registration and license plate, as provided in Section 41-1a-228, for a fee of $130.
(8) For a vehicle registered for a 24-month period as provided in Section 41-1a-215.5, the fee amounts are double the amounts due for a 12-month registration of the same vehicle.
(9) Except as provided in Section 41-6a-1642, a truck may not be registered as a farm truck unless: (a) the truck meets the definition of a farm truck under Section 41-1a-102; and
(b) (i) the truck has a gross vehicle weight rating of more than 14,000 pounds; or
(ii) the truck has a gross vehicle weight rating of 14,000 pounds or less and the owner submits to the division a certificate of emissions inspection or a waiver in compliance with Section 41-6a-1642.

(10) A violation of Subsection (9) is an infraction that shall be punished by a fine of not less than $200.
(11) A motor vehicle registered as a street-legal all-terrain vehicle is: (a) subject to the registration and other fees described in Section 41-22-9; and
(b) not required to pay an additional registration fee under this section.

(12) Trucks used exclusively to pump cement, bore wells, or perform crane services with a crane lift capacity of five or more tons, are exempt from 50% of the amount of the fees required for those vehicles under this section.

Section 4. Section 41-1a-1603 is amended to read:
41-1a-1603 Effective 01/01/27. Application requirements -- Fees -- Contributions -- Rulemaking.
(1) An applicant for a sponsored special group license plate shall submit to the division: (a) in a form and manner that the division prescribes, a complete application;
(b) payment of the fee for the issuance of the sponsored special group license plate established under Subsection (4)(a)(i);
(c) the required contribution for the sponsored special group license plate, unless the applicant previously paid the required contribution as part of a preorder application described in Subsection (3); and
(d) if the sponsoring organization elects to require verification as described in Section 41-1a-1604, a verification form obtained from the sponsoring organization.

(2) An applicant who owns a vehicle with the sponsoring organization's sponsored special group license plate shall submit to the division the required contribution to renew the sponsored special group license plate.
(3) (a) An applicant who wishes to obtain a new type of sponsored special group license plate may preorder the new type of sponsored special group license plate by: (i) submitting to the sponsoring organization associated with the new type of sponsored special group license plate a complete preorder form created by the division; and
(ii) making the required contribution to the sponsoring organization.

(b) After the division approves the sponsoring organization's request for the new type of sponsored special group license plate under Section 41-1a-1604, an applicant who submitted a preorder in accordance with Subsection (3)(a) may apply for the sponsored special group license plate in accordance with Subsection (1).

(4) (a) The division shall, in accordance with Section 63J-1-504, establish: (i) the fee to charge an applicant for the division's costs of issuing or renewing a sponsored special group license plate or symbol decal;
(ii) the fee to charge a sponsoring organization for the division's costs of designing and administering a new type of sponsored special group license plate, in accordance with Subsection 41-1a-1604(2)(c); and
(iii) subject to Subsections (4)(b) and (6), in an amount equal to at least $25, the minimum annual contribution amount an applicant is required to make to obtain or renew the sponsoring organization's sponsored special group license plate.

(b) A fee paid in accordance with Subsection (4)(a)(i) shall be deposited into the License Plate Restricted Account created in Section 41-1a-122.
(c) A sponsoring organization may establish a required contribution amount for the sponsoring organization's sponsored special group license plate that is greater than the amount established by the division under Subsection (4)(a)(ii).

(5) An applicant's contribution is a voluntary contribution for funding the sponsoring organization's activities and not a motor vehicle registration fee.
(6) Beginning on [July 1, 2025] January 1, 2027, an applicant's voluntary contribution described in Subsection (4)(a)(iii) for the historical support special group license plate described in Section 41-1a-419 is [$25] $50 which the division shall allocate as follows: [(a) $2 to the Utah State Historical Society as the sponsoring organization; and]
(a) $5.50 into the Cultural and Community Engagement Foundation Fund created in Section 9-1-209;
(b) $23 into the Transportation Investment Fund of 2005, created in Section 72-2-124 [.]; and
(c) $21.50 into the Olympic and Paralympic Venues Grant Fund, created in Section 63G-28-302.

[(7) For a fiscal year beginning on July 1, 2025, only, the division shall transfer into the General Fund $3,500,000 from the Sponsored Special Group License Plate Fund created in Section 41-1a-1610 from funds generated by the historical support special group license plate.]
[(8) The division shall provide notice indicating the allocation of the voluntary contributions described in Subsection (6) for the historical support special group license plate as follows:] [(a) on or before July 1, 2025, on the division website; and]
[(b) beginning on July 1, 2025, and until June 30, 2026, in any email notification of a registrant's pending vehicle registration expiration described in Section 41-1a-203.]

[(9)] (7) An applicant for a historical support special group license plate for a vehicle that is a vintage vehicle is not required to make the voluntary contribution to obtain the historical support special group license plate.
[(10)] (8) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the commission may make rules to establish and administer the sponsored special group license plate program.

Section 5. FY 2027 Appropriations.
The following sums of money are appropriated for the fiscal year beginning July 1, 2026, and ending June 30, 2027. These are additions to amounts previously appropriated for fiscal year 2027. Subsection 5(a). Operating and Capital Budgets Under the terms and conditions of Title 63J, Chapter 1, Budgetary Procedures Act, the Legislature appropriates the following sums of money from the funds or accounts indicated for the use and support of the government of the state of Utah. GENERAL GOVERNMENT UTAH STATE TAX COMMISSION ITEM 1 Utah State Tax Commission - County DMV Services From Vehicle Registration Services Restricted Account 2,233,000 From Vehicle Registration Services Restricted Account, One-time (1,333,000) County DMV Services 900,000 ITEM 2 Utah State Tax Commission - Tax Administration From General Fund 1,300,000 Motor Vehicles 1,300,000

Section 6. Effective Date.
(1) Except as provided in Subsection (2), this bill takes effect January 1, 2027.
(2) The actions affecting Section 5, FY 2027 Appropriations (Effective 07/01/26) take effect on July 1, 2026.

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