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SB1376 - 572R - S Ver
Senate Engrossed
special plate; civic
leadership development
State of Arizona
Senate
Fifty-seventh Legislature
Second Regular Session
2026
SENATE BILL 1376
AN
ACT
Amending sections 28-2351 and 28-2403,
Arizona Revised Statutes; Amending Title 28, Chapter 7, Article 12, Arizona
Revised Statutes, by adding section 28-2470.40; Amending sections 28-6501,
28-6991 and 28-6993, Arizona Revised Statutes; Relating to special
plates.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it
enacted by the Legislature of the State of Arizona:
Section 1. Section 28-2351, Arizona Revised
Statutes, is amended to read:
START_STATUTE
28-2351.
License
plate provided; design
A. Notwithstanding
any other law, the department shall provide to every owner one license plate
for each vehicle registered. At the request of the owner and on
payment of a fee in an amount prescribed by the director by rule, the
department shall provide one additional license plate for a vehicle for which a
special plate is requested pursuant to this chapter.
B. The
license plate shall display the number assigned to the vehicle and to the owner
of the vehicle and the name of this state, which may be
abbreviated. The director shall coat the license plate with a
reflective material that is consistent with the determination of the department
regarding the color and design of license plates and special
plates. The director shall design the license plate and the letters
and numerals on the license plate to be of sufficient size to be plainly
readable during daylight from a distance of one hundred feet. In
addition to the standard license plate issued for a trailer before August 12,
2005, the director shall issue a license plate for trailers that has a design
that is similar to the standard size license plate for trailers but that is the
same size as the license plate for motorcycles. The trailer owner
shall notify the department which size license plate the owner wants for the
trailer.
C. In
addition to the requirements prescribed in subsection B of this section, for
all license plates, including all special plates, that are designed or
redesigned on or after September 24, 2022:
1. The
background color of the license plate shall contrast significantly with the
color of the letters and numerals on the license plate and with the name of
this state on the license plate.
2. The
name of this state shall appear on the license plate in capital letters in sans
serif font and be three-fourths of an inch in height.
D. Notwithstanding
any other law, the department shall not contract with a nongovernmental entity
to purchase or secure reflective material for the plates issued by the
department unless the department has made a reasonable effort to secure qualified
bids or proposals from as many individual responsible respondents as possible.
E. The
department shall determine the color and design of the license plate subject to
the requirements prescribed by subsections B and C of this
section. All plates issued by the department, except the plates that
are issued pursuant to sections 28-2404, 28-2412, 28-2413, 28-2414,
28-2416, 28-2416.01, 28-2417 through
28-2470.39
28-2470.40
, 28-2472, 28-2473, 28-2474,
28-2475, 28-2476 and 28-4533 and article 14 of this chapter,
shall be the same color as and similar in design to the license plate as determined
by the department.
F. A
passenger motor vehicle that is rented without a driver shall receive the same
type of license plate as is issued for a private passenger motor vehicle.
END_STATUTE
Sec. 2. Section 28-2403, Arizona Revised
Statutes, is amended to read:
START_STATUTE
28-2403.
Special plates; transfers; violation; classification
A. Except as otherwise provided in this article, the
department shall issue or renew special plates in lieu of the regular license
plates pursuant to the following conditions and procedures and only if the
requirements prescribed by this article for the requested special plates are
met:
1. Except as provided in sections 28-2416 and
28-2416.01, a person who is the registered owner of a vehicle registered
with the department or who applies for an original or renewal registration of a
vehicle may submit to the department a completed application form as prescribed
by the department with the fee prescribed by section 28-2402 for special
plates in addition to the registration fee prescribed by section 28-2003.
2. Except for plates issued pursuant to sections 28-2404,
28-2412, 28-2413, 28-2414, 28-2416, 28-2416.01,
28-2417 through
28-2470.39
28-2470.40
,
28-2472, 28-2473, 28-2474, 28-2475 and 28-2476
and article 14 of this chapter, the special plates shall be the same color as
and similar to the design of the regular license plates that is determined by
the department.
3. Except as provided in section 28-2416, the
department shall issue special plates only to the owner or lessee of a vehicle
that is currently registered, including any vehicle that has a declared gross
weight, as defined in section 28-5431, of twenty-six thousand
pounds or less.
4. Except as provided in sections 28-2416 and
28-2416.01, the department shall charge the fee prescribed by section 28-2402
for each annual renewal of special plates in addition to the registration fee
prescribed by section 28-2003.
B. Except as provided in sections 28-2416 and
28-2416.01, on notification to the department and on payment of the
transfer fee prescribed by section 28-2402, a person who is issued
special plates may transfer the special plates to another vehicle the person
owns or leases. Persons who are issued special plates for hearing impaired
persons pursuant to section 28-2408 and international symbol of access
special plates pursuant to section 28-2409 are exempt from the transfer
fee. If a person who is issued special plates sells, trades or
otherwise releases ownership of the vehicle on which the plates have been
displayed, the person shall immediately report the transfer of the plates to
the department or the person shall surrender the plates to the department as
prescribed by the director. It is unlawful for a person to whom the
plates have been issued to knowingly allow them to be displayed on a vehicle
except the vehicle authorized by the department.
C. The special plates shall be affixed to the
vehicle for which registration is sought in lieu of the regular license plates.
D. A person is guilty of a class 3 misdemeanor who:
1. Violates subsection B of this section.
2. Fraudulently gives false or fictitious
information in the application for or renewal of special plates or placards
issued pursuant to this article.
3. Conceals a material fact or otherwise commits
fraud in the application for or renewal of special plates or placards issued
pursuant to this article.
END_STATUTE
Sec. 3. Title 28, chapter 7, article 12,
Arizona Revised Statutes, is amended by adding section 28-2470.40, to read:
START_STATUTE
28-2470.40.
Civic leadership development special plates; fund
A. IF, BY DECEMBER 31, 2026, A PERSON
PAYS $32,000 TO THE DEPARTMENT FOR THE IMPLEMENTATION OF THIS SECTION, THE
DEPARTMENT SHALL ISSUE civic leadership development SPECIAL
PLATES. THE PERSON THAT PROVIDES THE $32,000 SHALL DESIGN THE civic
leadership development SPECIAL PLATES. THE DESIGN AND COLOR OF THE
civic leadership development SPECIAL PLATES ARE SUBJECT TO APPROVAL OF THE
DEPARTMENT. THE DIRECTOR MAY ALLOW A REQUEST FOR civic leadership
development SPECIAL PLATES TO BE COMBINED WITH A REQUEST FOR PERSONALIZED
SPECIAL PLATES. IF THE DIRECTOR ALLOWS SUCH A COMBINATION, THE
REQUEST SHALL BE IN A FORM PRESCRIBED BY THE DIRECTOR AND IS SUBJECT TO THE
FEES FOR THE PERSONALIZED SPECIAL PLATES IN ADDITION TO THE FEES REQUIRED FOR
THE civic leadership development SPECIAL PLATES.
B. OF THE $25 FEE REQUIRED BY SECTION
28-2402 FOR THE ORIGINAL SPECIAL PLATES AND FOR THE RENEWAL OF THE
SPECIAL PLATES, $8 IS A SPECIAL PLATE ADMINISTRATION FEE AND $17 IS AN ANNUAL
DONATION.
C. THE DEPARTMENT SHALL DEPOSIT,
PURSUANT TO SECTIONS 35-146 AND 35-147, ALL SPECIAL PLATE
ADMINISTRATION FEES IN THE STATE HIGHWAY FUND ESTABLISHED BY SECTION 28-6991
AND SHALL TRANSMIT ALL DONATIONS COLLECTED PURSUANT TO THIS SECTION TO THE
civic leadership development SPECIAL PLATE FUND ESTABLISHED BY THIS SECTION.
D. THE civic leadership development
SPECIAL PLATE FUND IS ESTABLISHED CONSISTING OF MONIES DEPOSITED PURSUANT TO
THIS SECTION. THE DIRECTOR SHALL ADMINISTER THE FUND. THE
FIRST $32,000 IN THE FUND SHALL BE REIMBURSED TO THE PERSON THAT PAID THE
IMPLEMENTATION FEE TO THE DEPARTMENT PURSUANT TO SUBSECTION A OF THIS
SECTION. NOT MORE THAN TEN PERCENT OF THE MONIES DEPOSITED IN THE
FUND ANNUALLY SHALL BE USED FOR THE COST OF ADMINISTERING THE
FUND. MONIES IN THE FUND ARE CONTINUOUSLY APPROPRIATED.
E. THE DIRECTOR SHALL ANNUALLY
ALLOCATE MONIES FROM THE FUND TO AN ENTITY THAT IS QUALIFIED UNDER SECTION 501(
c
)(3) OF THE UNITED STATES INTERNAL REVENUE CODE FOR FEDERAL INCOME TAX
PURPOSES. THE ENTITY MUST:
1. Have been founded in 2015.
2. Provide leadership development and
civic education for high school and college STUDENTS in this state.
3. Assist young adults with voter
education.
4. Promote traditional values of this
state, including family values, fiscal responsibility and respect for life,
liberty and justice.
F. ON NOTICE FROM THE DIRECTOR, THE
STATE TREASURER SHALL INVEST AND DIVEST MONIES IN THE FUND AS PROVIDED BY
SECTION 35-313, AND MONIES EARNED FROM INVESTMENT SHALL BE CREDITED TO
THE FUND.
END_STATUTE
Sec. 4. Section 28-6501, Arizona Revised
Statutes, is amended to read:
START_STATUTE
28-6501.
Definition
of highway user revenues
In
this article, unless the context otherwise requires or except as otherwise
provided by statute, "highway user revenues" means all monies
received in this state from licenses, taxes, penalties, interest and fees
authorized by the following:
1. Chapters
2, 7, 8 and 15 of this title, except for:
(a) The
special plate administration fees prescribed in sections 28-2404, 28-2407,
28-2412 through
28-2470.39
28-2470.40
and 28-2514.
(b) The
donations prescribed in sections 28-2404, 28-2407, 28-2412
through 28-2415, 28-2417 through
28-2470.39
28-2470.40
, 28-2473, 28-2474,
28-2475 and 28-2476.
2. Section
28-1177.
3. Chapters
10 and 11 of this title.
4. Chapter
16, articles 1, 2 and 4 of this title, except as provided in sections 28-5926
and 28-5927.
END_STATUTE
Sec. 5. Section 28-6991, Arizona Revised
Statutes, is amended to read:
START_STATUTE
28-6991.
State highway fund; sources
The state highway fund is established that consists of:
1. Monies distributed from the Arizona highway user
revenue fund pursuant to chapter 18 of this title.
2. Monies appropriated by the legislature.
3. Monies received from donations for the
construction, improvement or maintenance of state highways or
bridges. These monies shall be credited to a special account and
shall be spent only for the purpose indicated by the donor.
4. Monies received from counties or cities under
cooperative agreements, including proceeds from bond issues. The
state treasurer shall deposit these monies to the credit of the fund in a
special account on delivery to the treasurer of a concise written agreement
between the department and the county or city stating the purposes for which
the monies are surrendered by the county or city, and these monies shall be
spent only as stated in the agreement.
5. Monies received from the United States under an
act of Congress to provide aid for the construction of rural post roads, but
monies received on projects for which the monies necessary to be provided by
this state are wholly derived from sources mentioned in paragraphs 2 and 3 of
this section shall be allotted by the department and deposited by the state
treasurer in the special account within the fund established for each
project. On completion of the project, on the satisfaction and
discharge in full of all obligations of any kind created and on request of the
department, the treasurer shall transfer the unexpended balance in the special
account for the project into the state highway fund, and the unexpended balance
and any further federal aid thereafter received on account of the project may
be spent under the general provisions of this title.
6. Monies in the custody of an officer or agent of
this state from any source that is to be used for the construction, improvement
or maintenance of state highways or bridges.
7. Monies deposited in the state general fund and
arising from the disposal of state personal property belonging to the
department.
8. Receipts from the sale or disposal of any or all
other property held by the department and purchased with state highway monies.
9. Monies generated pursuant to section 28-410.
10. Monies distributed pursuant to section 28-5808,
subsection B, paragraph 2, subdivision (d).
11. Monies deposited pursuant to sections 28-1143,
28-2353 and 28-3003.
12. Except as provided in section 28-5101, the
following monies:
(a) Monies deposited pursuant to section 28-2206
and section 28-5808, subsection B, paragraph 2, subdivision (e).
(b) $1 of each registration fee and $1 of each title
fee collected pursuant to section 28-2003.
(c) $2 of each late registration penalty collected
by the director pursuant to section 28-2162.
(d) The air quality compliance fee collected
pursuant to section 49-542.
(e) The special plate administration fees collected
pursuant to sections 28-2404, 28-2407, 28-2412 through 28-2416,
28-2416.01, 28-2417 through
28-2470.39
28-2470.40
and 28-2514.
(f) Monies collected pursuant to sections 28-372,
28-2155 and 28-2156 if the director is the registering officer.
13. Monies deposited pursuant to chapter 5, article
5 of this title.
14. Donations received pursuant to section 28-2269.
15. Dealer and registration monies collected
pursuant to section 28-4304.
16. Abandoned vehicle administration monies
deposited pursuant to section 28-4804.
17. Monies deposited pursuant to section 28-710,
subsection D, paragraph 2.
18. Monies deposited
pursuant to section 28-2065.
19. Monies deposited
pursuant to section 28-7311.
20. Monies deposited pursuant to section 28-7059.
21. Monies deposited pursuant to section 28-1105.
22. Monies deposited pursuant to section 28-2448,
subsection D.
23. Monies deposited pursuant to section 28-3415.
24. Monies deposited pursuant to section 28-3002,
subsection A, paragraph 14.
25. Monies deposited pursuant to section 28-7316.
26. Monies deposited pursuant to section 28-4302.
27. Monies deposited pursuant to section 28-3416.
28. Monies deposited pursuant to section 28-4504.
29. Monies deposited pursuant to section 28-2098.
30. Monies deposited pursuant to sections 28-2321,
28-2324, 28-2325, 28-5474, 28-5739, 28-5863 and
28-5864.
END_STATUTE
Sec. 6. Section 28-6993, Arizona Revised
Statutes, is amended to read:
START_STATUTE
28-6993.
State highway fund; authorized uses
A. Except as provided in subsection B of this
section and section 28-6538, the state highway fund shall be used for any
of the following purposes in strict conformity with and subject to the budget
as provided by this section and by sections 28-6997 through 28-7003:
1. To pay salaries, wages, necessary travel expenses
and other expenses of officers and employees of the department and the
incidental office expenses, including telegraph, telephone, postal and express
charges and printing, stationery and advertising expenses.
2. To pay for both:
(a) Equipment, supplies, machines, tools, department
offices and laboratories established by the department.
(b) The construction and repair of buildings or
yards of the department.
3. To pay the cost of both:
(a) Engineering, construction, improvement and
maintenance of state highways and parts of highways forming state routes.
(b) Highways under cooperative agreements with the
United States that are entered into pursuant to this chapter and an act of
Congress providing for the construction of rural post roads.
4. To pay land damages incurred by reason of
establishing, opening, altering, relocating, widening or abandoning portions of
a state route or state highway.
5. To reimburse the department revolving account.
6. To pay premiums on authorized indemnity bonds and
on compensation insurance under the workers' compensation act.
7. To defray lawful expenses and costs required to
administer and carry out the intent, purposes and provisions of this title,
including repayment of obligations entered into pursuant to this title, payment
of interest on obligations entered into pursuant to this title, repayment of
loans and other financial assistance, including repayment of advances and
interest on advances made to the department pursuant to section 28-7677,
and payment of all other obligations and expenses of the board and department
pursuant to chapter 21 of this title.
8. To pay lawful bills and charges incurred by the
state engineer.
9. To acquire, construct or improve entry roads to
state parks or roads within state parks.
10. To acquire, construct or improve entry roads to
state prisons.
11. To pay the cost of relocating a utility facility
pursuant to section 28-7156.
12. For the purposes provided in subsections C, D
and E of this section and sections 28-1143, 28-2353 and 28-3003.
13. To pay the cost of issuing an Arizona centennial
special plate pursuant to section 28-2448.
14. To pay for all of the following:
(a) The enforcement by the department of public
safety and the department of transportation of vehicle safety requirements
within twenty-five miles of the border between this state and Mexico.
(b) Costs related to procuring electronic equipment,
automated systems or improvements to existing electronic equipment or automated
systems for relieving vehicle congestion at ports of entry on the border
between this state and Mexico.
(c) Constructing, maintaining and upgrading
transportation facilities, including roads, streets and highways, approved by
the board within twenty-five miles of the border between this state and
Mexico.
(d) As approved by the board, constructing and
maintaining transportation facilities in the CANAMEX high priority corridor as
defined in section 332 of the national highway system designation act of 1995
(P.L. 104-59; 109 Stat. 568).
(e) Activities of the department that include
collecting transportation and trade data in the United States and Mexico for
the purposes of constructing transportation facilities, improving public
safety, improving truck processing time and relieving congestion at ports of
entry on the border between this state and Mexico. The department
may enter into an agreement with the Arizona-Mexico commission and
provide funding to the commission for the purposes of this subdivision.
(f) A commitment or investment necessary for the
department or another agency of this state to obtain federal monies that are
designated for expenditure pursuant to this section.
B. For each fiscal year, the department of
transportation shall allocate and transfer monies in the state highway fund to
the department of public safety for funding a portion of highway patrol costs
in eight installments in each of the first eight months of a fiscal year that
do not exceed $10,000,000.
C. Subject to legislative appropriation, the
department may use the monies in the state highway fund as prescribed in
section 28-6991, paragraph 12 to carry out the duties imposed by
this title for registration or titling of vehicles, to operate joint title,
registration and driver licensing offices, to cover the administrative costs of
issuing the air quality compliance sticker, modifying the year validating tab
and issuing the windshield sticker and to cover expenses and costs in issuing
special plates pursuant to sections 28-2404, 28-2407, 28-2412
through
28-2470.39
28-2470.40
and 28-2514.
D. The department shall use monies deposited in the
state highway fund pursuant to chapter 5, article 5 of this title only as
prescribed by that article.
E. Monies deposited in the state highway fund
pursuant to section 28-2269 shall be used only as prescribed by that
section.
F. Monies deposited in the state highway fund
pursuant to section 28-710, subsection D, paragraph 2 shall only be used
for state highway work zone traffic control devices.
G. The department may exchange monies distributed to
the state highway fund pursuant to section 28-6538, subsection A,
paragraph 1 for local government surface transportation program federal monies
suballocated to councils of government and metropolitan planning organizations
if the local government scheduled to receive the federal monies concurs. An
exchange of state highway fund monies pursuant to this subsection shall be in
an amount that is at least equal to ninety percent of the federal obligation authority
that exists in the project for which the exchange is proposed.
H. The department shall use monies deposited in the
state highway fund pursuant to section 28-1105, subsection A, paragraph
2, subdivision (a) only for a transportation facility that is located within
twenty drivable miles of the international port of entry and shall spend the
monies proportionally based on the amount of total monies collected pursuant to
section 28-1105, subsection A, paragraph 2, subdivision (a).� For the
purposes of this subsection, "transportation facility" means a
highway or a state route or a county, city or town road that is used by a
commercial vehicle or a commercial vehicle combination for which an axle fee is
paid pursuant to section 28-5474.
END_STATUTE