House Bill No. 213

Introduced By _______________________________________________________________________________

A Bill for an Act entitled: "An Act allowing for a 2-year registration for boats, snowmobiles, off-highway vehicles, and certain motor vehicles; amending sections 23-2-512, 23-2-518, 23-2-616, 23-2-618, 23-2-803, 23-2-817, 61-3-303, 61-3-311, 61-3-312, 61-3-509, 61-3-524, 61-3-525, and 61-3-526, MCA; and providing a delayed effective date."

Be it enacted by the Legislature of the State of Montana:

Section 1.  Section 23-2-512, MCA, is amended to read:

"23-2-512.   Identification number. (1) The owner of each motorboat, sailboat, or personal watercraft requiring numbering by this state shall file an application for number in the office of the county treasurer where of the county in which the motorboat, sailboat, or personal watercraft is owned, on forms prepared and furnished by the department of justice. The application must be signed by the owner of the motorboat, sailboat, or personal watercraft and be accompanied by a fee of $2.50. Any alteration, change, or false statement contained in the application will render renders the certificate of number void. Upon receipt of the application in approved form, the county treasurer shall issue to the applicant a certificate of number prepared and furnished by the department of justice, stating the number assigned to the motorboat, sailboat, or personal watercraft and the name and address of the owner.

(2)  The Subject to subsection (5)(b), the applicant, upon the filing of the application, shall pay to the county treasurer the fee in lieu of tax required for a motorboat 10 feet in length or longer, a sailboat 12 feet in length or longer, or a personal watercraft for the current year of certification before the application for certification or recertification may be accepted by the county treasurer.

(3)  Should If the ownership of a motorboat, sailboat, or personal watercraft change changes, a new application form with the certification fee must be filed within a reasonable time with the county treasurer and a new certificate of number assigned in the same manner as provided for in an original assignment of number.

(4)  If an agency of the United States government has in force a comprehensive system of identification numbering for motorboats in the United States, the numbering system employed pursuant to this part by the department of justice must be in conformity.

(5) (a) Every Except as provided in subsection (5)(b), each certificate of number and the license decals assigned under this part continues continue in effect for a period not to exceed 1 year unless terminated or discontinued in accordance with the provisions of this part.

(b) An owner of a motorboat, sailboat, or personal watercraft may apply for a certificate of number for a period not to exceed 2 years. The application must be accompanied by the application fee required in subsection (1) and the fee in lieu of tax required by 23-2-516 for each year of the 2-year period before the application may be accepted by the county treasurer.

(c) Certificates of number and license decals must show the date of expiration and may be renewed by the owner in the same manner provided for in the initial securing of the certificate.

(6) (a) Certificates Except as provided in subsection (6)(b), certificates of number expire on December 31 of each year and may not be in effect unless renewed under this part.

(b) If a motorboat, sailboat, or personal watercraft is registered for a 2-year period, the certificate of number expires on December 31 of the second year and is not in effect unless renewed under this part.

(7)  In event of transfer of ownership, the purchaser shall furnish the county treasurer notice within a reasonable time of the acquisition of all or any part of the purchaser's interest, other than the creation of a security interest, in a motorboat, sailboat, or personal watercraft numbered in this state or of the loss, theft, destruction, or abandonment of the motorboat, sailboat, or personal watercraft. The transfer, loss, theft, destruction, or abandonment terminates the certificate of number for the motorboat, sailboat, or personal watercraft. Recovery from theft or transfer of a part interest that does not affect the owner's right to operate the motorboat, sailboat, or personal watercraft does not terminate the certificate of number.

(8)  A holder of a certificate of number shall notify the county treasurer within reasonable time if the holder's address no longer conforms to the address appearing on the certificate and shall furnish the county treasurer with the new address. The department of justice may provide by rule for the surrender of the certificate bearing the former address and its replacement with a certificate bearing the new address or the alteration of an outstanding certificate to show the new address of the holder.

(9)  (a) The number assigned must be painted on or attached to each outboard side of the forward half of the motorboat, sailboat, or personal watercraft or, if there are no sides, at a corresponding location on both outboard sides of the foredeck of the motorboat, sailboat, or personal watercraft. The number assigned must read from left to right in Arabic numerals and block characters of good proportion at least 3 inches tall, excluding border or trim, of a color that contrasts with the color of the background and be so maintained as to be clearly visible and legible. The number may not be placed on the obscured underside of the flared bow where it cannot be easily seen from another vessel or ashore. Numerals, letters, or devices other than those used in connection with the identifying number issued may not be placed in the proximity of the identifying number. Numerals, letters, or devices that might interfere with the ready identification of the motorboat, sailboat, or personal watercraft by its identifying number may not be carried in a manner that interferes with the motorboat's, sailboat's, or personal watercraft's identification. A number other than the number and license decal assigned to a motorboat, sailboat, or personal watercraft or granted reciprocity under this part may not be painted, attached, or otherwise displayed on either side of the forward half of the motorboat, sailboat, or personal watercraft.

(b)  The certificate of number must be pocket size and available to federal, state, or local law enforcement officers at all reasonable times for inspection on the motorboat, sailboat, or personal watercraft whenever the motorboat, sailboat, or personal watercraft is on waters of this state.

(c)  Boat liveries are not required to have the certificate of number on board each motorboat, sailboat, or personal watercraft, but a rental agreement must be carried on board livery motorboats, sailboats, or personal watercraft in place of the certificate of number.

(10) (a) Except as provided in subsection (10)(b), fees, other than the fee in lieu of tax, collected under this section must be transmitted to the state treasurer, who shall deposit the fees in the motorboat or sailboat certificate identification account of the state special revenue fund. These fees must be used only for the administration and enforcement of this part, as amended.

(b)  Of the fee collected under the provisions of subsection (1), 20% must be deposited by the state treasurer in an account in the state special revenue fund to the credit of the department to be used to acquire and maintain marine sewage pumpout equipment and other boat facilities.

(11) An owner of a motorboat, sailboat, or personal watercraft must shall within a reasonable time notify the department of justice, giving the motorboat's, sailboat's, or personal watercraft's identifying number and the owner's name when the motorboat, sailboat, or personal watercraft is transferred, lost, destroyed, abandoned, or frauded or within 60 days after change of state of principal use or if a motorboat becomes documented as a vessel of the United States."

Section 2.  Section 23-2-518, MCA, is amended to read:

"23-2-518.   (Temporary) Disposition of fees in lieu of tax. (1) (a) Except for fees allocated under subsection subsections (1)(b) and (2), the county treasurer shall distribute all fees in lieu of tax collected on motorboats 10 feet in length or longer, sailboats 12 feet in length or longer, personal watercraft, motorized canoes, motorized rubber rafts, and motorized pontoons pursuant to 23-2-516 and 23-2-517 in the relative proportions required by the levies for state, county, school district, and municipal purposes in the same manner as personal property taxes are distributed.

(b) The county treasurer shall credit all fees in lieu of tax collected on a motor boat, sailboat, or personal watercraft for a 2-year registration period, as provided in 23-2-512(5)(b), to the suspense account provided for in 61-3-509(3).

(2)  The county treasurer shall allocate 20% of all fees in lieu of tax collected under this section to the motorboat account in the state special revenue fund for use by the department as provided in 23-2-533. (Terminates June 30, 2002--sec. 9, Ch. 476, L. 1995.)

23-2-518.   (Effective July 1, 2002) Disposition of fees in lieu of tax. The (1) Except as provided in subsection (2), the county treasurer shall distribute all fees in lieu of tax collected on motorboats 10 feet in length or longer, sailboats 12 feet in length or longer, personal watercraft, motorized canoes, motorized rubber rafts, and motorized pontoons, pursuant to 23-2-516 and 23-2-517, in the relative proportions required by the levies for state, county, school district, and municipal purposes in the same manner as personal property taxes are distributed.

(2) The county treasurer shall credit all fees in lieu of tax collected on a motorboat, sailboat, or personal watercraft for a 2-year registration period, as provided in 23-2-512(5)(b), to the suspense account provided for in 61-3-509(3)."

Section 3.  Section 23-2-616, MCA, is amended to read:

"23-2-616.   Registration and decals -- application and issuance -- use of certain fees. (1) Except for a snowmobile registered under 23-2-621, a snowmobile may not be operated on public lands by any person in Montana unless it has been registered and there is displayed in a conspicuous place on both sides of the cowl a decal as visual proof that the fee in lieu of property tax has been paid on it for the current year and the immediately previous year as required by 15-16-202.

(2)  Application for registration must be made to the county treasurer upon forms to be furnished by the department of justice for this purpose, which may be obtained at the county treasurer's office in the county where the owner resides. The application shall must contain the following information:

(a)  the name and address of the owner;

(b)  the certificate of ownership number;

(c)  the make of the snowmobile;

(d)  the model name of the snowmobile;

(e)  the year of manufacture;

(f)  a statement evidencing payment of the fee in lieu of property tax as required by 15-16-202; and

(g)  other information as that the department of justice may require.

(3)  The application must be accompanied by a decal fee of $5, a registration fee of 50 cents, and, if the snowmobile has previously been registered, by the registration certificate for the most recent year in which the snowmobile was registered. The treasurer shall sign the application and issue a registration receipt that must contain information considered necessary by the department of justice and a listing of fees paid. The owner shall retain possession of the registration receipt until it is surrendered to the county treasurer for reregistration or to a purchaser or subsequent owner pursuant to a transfer of ownership.

(4)  The county treasurer shall forward the signed application to the department of justice and shall issue to the applicant a decal in the style and design prescribed by the department of justice and of a different color than the preceding year, numbered in sequence.

(5)  The county treasurer may not accept any application under this section until the applicant has paid the decal and registration fees and the fee in lieu of property tax on the snowmobile for the current year and the immediately previous year as required by 15-16-202. In the case of a 2-year registration as provided in 23-2-168(2), the decal and registration fees and the fee in lieu of property tax must be paid for each year of the 2-year period.

(6)  All money collected from payment of the decal fees and all interest accruing from use of this money must be forwarded to the state treasurer and placed in the state special revenue fund to the credit of the department, with $2.50 designated for use in enforcing the purposes of 23-2-601 through 23-2-644 and $2.50 designated for use in the development, maintenance, and operation of snowmobile facilities. All money collected from payment of the registration fee must be forwarded to the state treasurer and deposited in the general fund.

(7) (a) The Except as provided in subsection (7)(b), the county treasurer shall credit all fees in lieu of tax collected on snowmobiles to the county motor vehicle suspense fund provided for in 61-3-509(1).

(b) The county treasurer shall credit all fees in lieu of tax collected on snowmobiles registered for a 2-year period, as provided in 23-2-618(2), to the suspense account provided for in 61-3-509(3)."

Section 4.  Section 23-2-618, MCA, is amended to read:

"23-2-618.   Application for registration and decals to be made annually -- grace periods -- exception. Application (1) Except as provided in subsection (2), application must be made annually to the county treasurer for registration and the issuance of a decal indicating that the fee in lieu of property tax has been paid for the current year. All registrations and decals expire on June 30 of each year.

(2) An owner of a snowmobile may apply for or renew a registration for a period not to exceed 2 years. The application must be accompanied by the fees provided for in 23-2-616(3) and the fee in lieu of tax provided for in 23-2-615.1 for each year of the 2-year period. A registration and decal issued under this subsection expire on June 30 of the second year."

Section 5.  Section 23-2-803, MCA, is amended to read:

"23-2-803.   Fee in lieu of tax on off-highway vehicles -- exception -- disposition of fees. (1) There is a fee in lieu of tax on off-highway vehicles, other than off-highway vehicles constituting the inventory of a dealership licensed under 23-2-818, to be paid to the county treasurer of the county in which the owner of the off-highway vehicle resides.

(a)  The fee for an off-highway vehicle less than 3 years old is $19. In all other cases, the fee is $9.

(b)  The age of an off-highway vehicle is determined by subtracting the manufacturer's designated model year from the current calendar year.

(2)  (a) Except as provided in subsection subsections (2)(b) and (2)(c), the county treasurer shall distribute all fees in lieu of tax collected on off-highway vehicles pursuant to this section in the relative proportions required by the levies for state, county, school district, and municipal purposes in the same manner as personal property taxes are distributed.

(b) Except as provided in subsection (2)(c), the county treasurer shall credit all fees in lieu of tax collected on an off-highway vehicle registered for a 2-year period, as provided in 23-2-817(5), to the suspense account provided for in 61-3-509(3).

(c) The county treasurer shall remit $1 of the fee in lieu of tax collected on an off-highway vehicle or $2 of the fee if the off-highway vehicle is registered for a 2-year period to the department of agriculture for deposit in the noxious weed management trust fund provided for in 80-7-811."

Section 6.  Section 23-2-817, MCA, is amended to read:

"23-2-817.   Registration fee -- application and issuance -- disposition. (1) Each off-highway vehicle is subject to an annual a registration fee of $2.

(2)  The county treasurer shall collect the annual fee when the fee in lieu of tax is collected.

(3)  Application for registration must be made to the county treasurer of the county in which the owner resides, on a form furnished by the department of justice for that purpose. The application must contain:

(a)  the name and home mailing address of the owner;

(b)  the certificate of ownership number;

(c)  the name of the manufacturer of the off-highway vehicle;

(d)  the model number or name;

(e)  the year of manufacture;

(f)  a statement evidencing payment of the fee in lieu of property tax; and

(g)  such other information as that the department of justice may require.

(4)  If the off-highway vehicle was previously registered, the application must be accompanied by the registration certificate for the most recent year in which it was registered. Upon payment of the registration fee, the county treasurer shall sign the application and issue a registration receipt, which must contain that contains the information considered necessary by the department of justice and a listing of the fees paid. The owner shall retain possession of the registration receipt until it is surrendered to the county treasurer for reregistration or to a purchaser or subsequent owner pursuant to a transfer of ownership.

(5) An owner of an off-highway vehicle may apply for or renew a registration for a period not to exceed 2 years. The application must be accompanied by the fees provided for in this section and the fee in lieu of tax provided for in 23-2-803 for each year of the 2-year period.

(5)(6)  All registration fees collected must be forwarded to the department of justice and deposited in the general fund."

Section 7.  Section 61-3-303, MCA, is amended to read:

"61-3-303.   Application for registration. (1) Each owner of a motor vehicle operated or driven upon the public highways of this state shall for each motor vehicle owned, except as otherwise provided in this section, file or cause to be filed in the office of the county treasurer where of the county in which the owner permanently resides at the time of making the application or, if the vehicle is owned by a corporation or used primarily for commercial purposes, in the taxing jurisdiction of the county where in which the vehicle is permanently assigned, an application for registration or reregistration upon a blank form to be prepared and furnished by the department. The application must contain:

(a)  the name and address of the owner, giving county, school district, and town or city within whose corporate limits the motor vehicle is taxable, if taxable, or within whose corporate limits the owner's residence is located if the motor vehicle is not taxable;

(b)  the name and address of the holder of any security interest in the motor vehicle;

(c)  a description of the motor vehicle, including make, year model, engine or serial number, manufacturer's model or letter, gross weight, declared weight on all trucks for which the rated capacity is 1 ton or less, and type of body and, if a truck, rated capacity;

(d)  the declared weight on all trailers operating intrastate, except travel trailers or trailers and semitrailers registered as provided in 61-3-711 through 61-3-733; and

(e)  other information that the department may require.

(2)  A person who files an application for registration or reregistration of a motor vehicle, except of a mobile home as defined in 15-1-101(1), shall upon the filing of the application pay to the county treasurer:

(a)  the registration fee, as provided in 61-3-311 and 61-3-321 or 61-3-456; and

(b)  except as provided in 61-3-456 or unless it has been previously paid:

(i)  the personal property taxes assessed against the vehicle for the current year of registration and the immediately previous year; or

(ii) the new motor vehicle sales tax against the vehicle for the current year of registration.

(3)  The application may not be accepted by the county treasurer unless the payments required by subsection (2) accompany the application. The department of revenue may not assess and, except as provided in subsection (4), the county treasurer may not collect taxes or fees for a period other than:

(a)  the current year; and

(b)  the immediately previous year if the vehicle was not registered or operated on the highways of the state, regardless of the period of time since the vehicle was previously registered or operated.

(4) The owner of a motor vehicle subject to a fee in lieu of tax, as provided in 61-3-521 and 61-3-527, may register the motor vehicle for a period not to exceed 2 years. The application for registration or reregistration must be accompanied by the fee in lieu of tax and all other fees required in this chapter for each year of the 2-year period.

(4)(5)  The department of revenue may make full and complete investigation of the tax status of the vehicle. An applicant for registration or reregistration shall submit proof from the tax or other appropriate records of the proper county at the request of the department of revenue."

Section 8.  Section 61-3-311, MCA, is amended to read:

"61-3-311.   Time for making application. Registration (1) Except as provided in 61-3-303(4), registration must be renewed annually, and license fees must be paid annually. Except as provided in 61-3-313 through 61-3-316, 61-3-318, 61-3-526, and 61-3-721, and subsection (2) of this section, all registrations expire on December 31 of the year in which they are issued and application for registration or reregistration must be filed with the county treasurer not later than February 15 of each year.

(2) If a motor vehicle is registered for a 2-year period as provided in 61-3-303(4), the registration expires on December 31 of the second year and application for registration or reregistration must be filed with the county treasurer not later than February 15 of the next year.

(3) If the ownership of a motor vehicle is transferred during the registration year period, the motor vehicle must be reregistered and relicensed as provided by statute."

Section 9.  Section 61-3-312, MCA, is amended to read:

"61-3-312.   Renewal of registration -- exceptions -- grace period. (1) Except as provided in 61-3-311(2), 61-3-314, 61-3-318, 61-3-526, and 61-3-721, a vehicle registration under this chapter expires on December 31 of each year and must be renewed annually upon application and payment of license fees as provided in 61-3-303 and 61-3-321. The renewal takes effect on January 1 of each year. The certificate of registration is valid only during the registration year for which it is issued.

(2)  The Except as provided in subsection (3), the owner of a vehicle registered under the provisions of this section may operate the vehicle between January 1 and February 15 without displaying the registration certificate of the current year if, during the period, the owner displays upon the vehicle the number plates or plate assigned for the previous year.

(3) The owner of a vehicle registered for a 2-year period, as provided in 61-3-303(4), may operate the vehicle between January 1 and February 15 following expiration of the registration without displaying the registration certificate of the current 2-year period if the owner displays upon the vehicle the number plates or plate assigned for the previous 2 years."

Section 10.  Section 61-3-509, MCA, is amended to read:

"61-3-509.   Disposition of taxes. (1) Except as provided in subsection subsections (2) and (3), the county treasurer shall, after deducting the district court fee, credit all taxes on motor vehicles and fees in lieu of tax on motorcycles, motor homes, travel trailers, and campers collected under 61-3-504, 61-3-521, 61-3-527, and 61-3-537 to a motor vehicle suspense fund, and at some time between March 1 and March 10 of each year and every 60 days after that date, the county treasurer shall distribute the money in the motor vehicle suspense fund in the relative proportions required by the levies for state, county, school district, and municipal purposes in the same manner as personal property taxes are distributed.

(2)  The county treasurer shall deduct as a district court fee 7% of the amount of the 2% tax collected on an automobile or truck having a rated capacity of 1 ton or less. The county treasurer shall credit the fee for district courts to a separate suspense account and shall forward the amount in the account to the state treasurer at the time that the county treasurer distributes the motor vehicle suspense fund. The state treasurer shall credit amounts received under this subsection to the general fund to be used for purposes of state funding of the district court expenses as provided in 3-5-901.

(3) The county treasurer shall credit all fees in lieu of tax on boats, snowmobiles, off-highway vehicles, motor homes, travel trailers, campers, and motorcycles collected under 23-2-516, 23-2-615.1, 23-2-803, 61-3-521, and 61-3-527 for a registration period of 2 years to a separate suspense account. The county treasurer shall distribute one-half of the amount in the account at the same time and in the same manner as the county treasurer distributes the motor vehicle suspense fund."

Section 11.  Section 61-3-524, MCA, is amended to read:

"61-3-524.   Tax-paid decal required on camper -- application for decal -- application fee -- issuance -- disposition of fee. (1) A camper, subject to taxation in Montana, may not be operated by a person on the public highways or streets in this state unless there is displayed in a conspicuous place on the camper a decal as visual proof that the tax has been paid on the camper for the current year.

(2)  Application for the issuance of the decal must be made to the county treasurer in the county of the owner's residence, accompanied by an application fee of $1, upon a. Application may be made for a 2-year period for a fee of $2. The application form to must be furnished by the department of revenue for this purpose, which may be obtained at the county treasurer's office. and which must provide for substantially The application must contain the following information:

(a)  name of owner;

(b)  address;

(c)  name of manufacturer;

(d)  model number;

(e)  make;

(f)  year of manufacture;

(g)  statement evidencing payment of the property tax; and

(h)  such other information as that the department may require.

(3)  (a) The county treasurer shall sign the application and transmit the application to the department of justice.

(b)  Upon receipt of the application in approved form, the county treasurer shall issue to the applicant a numbered decal in the style and design prescribed by the department of revenue and of a different color than the preceding year."

Section 12.  Section 61-3-525, MCA, is amended to read:

"61-3-525.   Annual application Application for decals. (1) Camper decals expire annually on April 30, except that decals issued for campers registered for a 2-year period expire on April 30 of the second year. Application for registration must be made to the county treasurer not later than June 15 to renew the camper decal. If the vehicle to which the camper is customarily attached may be reregistered by mail, application for the camper decals may also be made by mail in the manner provided in 61-3-535.

(2)  The owner of a camper with a decal is entitled to operate the camper between May 1 and June 15 without displaying the decal for the current registration year period if the owner, during that period, displays upon the camper the decal from the previous registration year period."

Section 13.  Section 61-3-526, MCA, is amended to read:

"61-3-526.   Registration of motor homes and travel trailers -- reregistration by mail allowed. (1) All registrations of motor homes and travel trailers expire annually on April 30, except that registrations of motor homes and travel trailers registered for a 2-year period expire on April 30 of the second year. Application for registration or reregistration must be made to the county treasurer not later than June 15. Reregistration may be made by mail in the manner provided in 61-3-535. If the ownership of a motor home or travel trailer is transferred during the registration year period, it must be reregistered and relicensed as provided by statute.

(2)  The owner of a motor home or travel trailer registered under the provisions of this section is entitled to operate such the vehicle between May 1 and June 15 without displaying the registration certificate of the current registration year period if the owner, during that period, displays upon the motor home or travel trailer the number plates, plate, or decal assigned thereto for the previous registration year period."

NEW SECTION. Section 14.  Effective date. [This act] is effective January 1, 1998.

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