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21LSO-0104
2021
STATE OF WYOMING
21LSO-0104
Numbered
2.0
HOUSE BILL NO. HB0037
Road usage charge.
Sponsored by: Joint Transportation, Highways & Military Affairs Interim Committee
A BILL
for
AN ACT relating to highways; establishing a road usage charge; establishing a road usage charge program; creating road usage charge account managers; providing for contracting by the department of transportation with private entities to administer the program; providing for the distribution of funds; creating penalties; providing for regional or national expansion of the program; providing for a fuel tax sunset; requiring reporting and recommendations; requiring rulemaking; and providing for effective dates.
Be It Enacted by the Legislature of the State of Wyoming:
Section 1
.
W.S.
24
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8
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201 through 24
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8
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209 are created to read:
CHAPTER 8
HIGHWAY FUNDING
ARTICLE 2
ROAD USAGE CHARGE
24
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8
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201.
Definitions.
(a)
As used in this article:
(i)
"Commercial account manager" means a private entity the department selects to manage payer mileage reporting information, to collect road usage charge payments and to manage road usage charge accounts on behalf of the payer;
(ii)
"Department" means the Wyoming department of transportation;
(iii)
"Highway" means as defined in W.S. 31
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1
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101(a)(viii);
(iv)
"Payer" means a vehicle's registered owner or lessee who is responsible for payment of the road usage charge;
(v)
"Road usage charge" means the per mile tax or flat tax charged to a payer for individual vehicle use on a Wyoming highway;
(vi)
"State account manager" means an entity designated by the department to oversee administration and enforcement of the road usage charge program, to collect road usage charge payments and to manage road usage charge accounts on behalf of the state;
(vii)
"Vehicle categories" mean the types of vehicles to which the road usage charge applies as follows:
(A)
"Category 1" means federal highway administration class 1 vehicles (motorcycles) and multipurpose vehicles (all terrain and off
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road recreational vehicles);
(B)
"Category 2" means passenger cars;
(C)
"Category 3" means pickup trucks, vans, sports utility vehicles and crossovers (including gasoline and diesel powered);
(D)
"Category 4" means federal highway administration class 4 (buses) through class 7 (single unit four (4) or more axle trucks);
(E)
"Category 5" means federal highway administration class 8 through class 10 (single trailer trucks);
(F)
"Category 6" means federal highway administration class 11 through class 13 (seven (7) or more axle multi
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trailer trucks).
(viii)
"Vehicle mileage metering system" means any mechanism, based in technology or manual, that measures the number of miles a vehicle is driven.
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8
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202.
Administration; rulemaking.
(a)
There is created the road usage charge program. The administration of this program is vested in the department, which shall prescribe the reporting format and forms for the reporting of mileage and assessing, invoicing and collection of road usage charges and the credit for fuel taxes. The department shall promulgate rules consistent with the provisions of this article as provided by the Wyoming Administrative Procedure Act as necessary to enforce this article.
(b)
The department shall designate a state account manager to oversee administration and enforcement of the road usage charge program. This entity may be established within the department using internal department resources or, if more economically feasible, may be a nongovernmental entity contracted to perform in that capacity. The state account manager shall collect road usage charge payments and manage road usage charge accounts on behalf of the state and shall transmit collected funds to the state treasurer for deposit to the credit of the state highway fund. The department shall distribute the funds according to W.S. 24
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8
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205(c).
(c)
The department shall contract with one (1) or more private sector entities to serve as commercial account managers to manage customer mileage reporting information. Payment of the road usage charge is the payer's responsibility, but a payer may contract with a commercial account manager if the payer chooses to use a technology based vehicle mileage metering system. A commercial account manager shall collect road usage charge payments and manage road usage charge accounts on behalf of the road usage charge payer and shall transmit collected funds, less any agreed upon administrative costs, to the state treasurer for deposit to the credit of the state highway fund. The department shall distribute the funds according to W.S. 24
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8
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205(c). A commercial account manager may also provide value added services to payers and may collect data from road usage charge payers with their express consent. Commercial account managers may also compete for road usage charge payers through the use of technology and value added services.
(d)
The department shall by rule establish standards, administrative policies and requirements to ensure that:
(i)
Duties between the state account manager and commercial account manager are defined;
(ii)
The state account manager shall not administer any account that reports mileage using a technology based vehicle mileage metering system. All technology based accounts shall be administered by a commercial account manager;
(iii)
Department authorized commercial account managers:
(A)
Accurately report per mile data collected from payers;
(B)
Use a vehicle mileage metering system to ensure safe, accurate and reliable road usage charge data reporting, transaction processing, account management and financial reporting;
(C)
Use methods for safeguarding and protecting the personally identifiable information of each payer;
(D)
Convey privacy policies to payers and obtain payers' express consent to share any personally identifiable information;
(E)
Receive the contractually agreed upon administrative costs as specified in subsection (c) of this section provided that the commercial account manager shall not directly charge payers any additional fee;
(F)
Comply with Wyoming financial auditing and reporting standards, including generally acceptable accounting principles;
(G)
Employ additional reporting, accuracy and privacy practices as the department deems necessary.
(iv)
State and commercial account managers comply with the most recent federal and state data security standards and protocols.
(e)
All reports and records of the state and commercial account managers shall be open to examination by
the department of audit, except that any personally identifying information of individual payers shall only be used for verifying the accuracy of a mileage reporting system or reported mileage information. Personally identifying information is solely for the use of the department of audit and is not a public record for purposes of W.S.
16
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4
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201 through 16
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4
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205. The department shall develop standards and protocols to remove personally identifiable information to provide for data collection and analysis without disclosing the identity of the payer whose data is being collected.
(f)
Any contract with a commercial account manager shall be let to the responsible certified resident making the lowest bid if the certified resident's bid is not more than five percent (5%) higher than that of the lowest responsible nonresident bidder.
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203.
Road usage charge; rates; applicability.
(a)
There is assessed a road usage charge upon all Wyoming registered vehicles when traveling on Wyoming's highways. Initial road usage charge rates are established
for each vehicle category. Payers may opt to pay a flat fee based on the rate for the payer's vehicle category, multiplied by a maximum number of miles for a time period as prescribed by rule, or payers are responsible for the payment of a per mile road usage charge as follows:
(i)
Category 1
$0.013;
(ii)
Category 2
$0.0215;
(iii)
Category 3
$0.0287;
(iv)
Category 4
$0.065;
(v)
Category 5
$0.1032;
(vi)
Category 6
$0.1435.
(b)
The department may assess a road usage charge at rates established in subsection (a) of this section on nonresidents who apply or use time and mileage permits under this subsection. The department shall develop a procedure for nonresidents to apply for and use the Wyoming
road usage charge program in any form provided to Wyoming resident payers. The department may develop procedures to apply road usage charge rates to out of state vehicles through the use of time and mileage permits at ports of entry.
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8
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204.
Road usage charge indexing.
Every three (3) years, the department may adjust road usage charge rates to account for inflation. Rate adjustments shall be promulgated by rule pursuant to the Wyoming Administrative Procedure Act.
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8
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205.
Collection; distribution.
(a)
The department shall establish a means for the road usage charge to be paid to the state account manager through one (1) or both of the following methods:
(i)
As a flat fee based on the established per mile rate for the eligible vehicle, multiplied by a maximum number of miles for a time period as prescribed by rule;
(ii)
According to the miles recorded and reported from the vehicle mileage metering system based on the established per mile rate for the eligible vehicle.
(b)
The department shall establish procedures prescribing how frequently a payer shall be invoiced and be required to pay road usage charge payments according to the road usage charge payment method the payer selects.
(c)
Any fuel taxes paid in Wyoming, based on the average miles per gallon for the payer's class of vehicle, for the period immediately preceding the invoice period established in subsection (b) of this section shall be credited to the payer and reflected on the payer's invoice.
(d)
Road usage charges collected for categories 1 through 3 and deposited into the state highway fund
according to W.S.
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202(b) and (c) or collected directly by the state account manager according to subsection (a) of this section shall be credited to the proper accounts as specified by the department and in W.S. 39
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111(c)(iv) and (d). Road usage charges collected for categories 4 through 6 and deposited into the state highway fund
according to W.S.
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8
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202(b) and (c) or collected directly by the state account manager according to subsection (a) of this section shall be credited to the proper accounts as specified by the department and in W.S.
39
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17
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211(d).
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8
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206.
Mileage recording and reporting methodologies.
(a)
Vehicle miles traveled may be recorded, assessed and reported by multiple vehicle mileage metering system options, including technology and manual options. Recording, calculation, assessment and reporting shall be conducted through the use of a state or commercial account manager, according to the type of vehicle mileage metering system and account manager a payer chooses.
(b)
The department shall provide the choice of at least one (1) vehicle mileage metering system option that does not require technology and one (1) option that allows payment of a flat fee for a specified number of miles for a time period as prescribed by rule. These
non technology
based options shall be provided by the state account manager.
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8
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207.
Exemptions.
(a)
The following vehicles are exempt from the Wyoming road usage charge program:
(i)
Federally owned or operated vehicles;
(ii)
Tribal vehicles.
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8
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208.
Interest; enforcement; penalties; liens.
(a)
The road usage charge assessed under W.S. 24
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203 shall be collected by the state or commercial account manager, according to the means that the payer has chosen, together with interest of one percent (1%) per month on the road usage charge from the due date until payment.
(b)
No person shall knowingly:
(i)
Operate, nor shall an owner knowingly permit to be operated, upon any highway any Wyoming registered
vehicle or any other vehicle participating in an applicable road usage program unless a valid, up to date certificate of payment of the road usage charge has been issued for the vehicle or unless the person holds a valid exemption. If a person is found to be in control of a vehicle operated or driven upon any highway for which a road usage charge under subsection (a) of this section is required but for which the road usage charge has not been paid by the date due as shown on the invoice for the road usage charge, the person shall be charged a penalty equal to seventy
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five percent (75%) of the unpaid road usage charge plus interest as provided in subsection (a) of this section;
(ii)
Make a false mileage report or other statement in any application or other document required under this article. Any person convicted of a violation of this paragraph, or convicted for aiding or abetting any person in a violation or noncompliance with this paragraph, is guilty of a misdemeanor punishable by a fine of not more than seven hundred fifty dollars ($750.00), imprisonment for not more than six (6) months, or both.
(c)
Delinquent road usage charges, penalties and interest shall constitute a lien on the vehicles for which payment has not been made. If any road usage charge, penalties or interest remains delinquent for thirty (30) days or more or if any vehicle subject to the lien is about to be removed from the state, the department or its authorized enforcement agent may seize and sell the vehicle subject to all existing liens and security interests held by others, at public auction upon notice to the owner and lienholder of record as provided by Rule 4 of the Wyoming Rules of Civil Procedure, and upon four (4)
weeks notice
of the sale in a newspaper published in the county in which the vehicle is titled and registered. The department may bring suit in any court of competent jurisdiction to collect any delinquent road usage charges, penalties and interest under this article.
(d)
The department shall by rule establish procedures to manage compliance with road usage charge payments. The state account manager, Wyoming highway patrol and all peace officers of any county or municipality shall aid in the enforcement of this article.
(e)
Any person aggrieved by any final administrative decision of the department concerning the assessment of the road usage charge may appeal the decision to the state board of equalization pursuant to the Wyoming Administrative Procedure Act.
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209.
Program expansion.
(a)
The department shall develop plans to integrate Wyoming's road usage charge program into a larger regional or national program if established and if the legislature authorizes participation in the larger program. Plans shall include:
(i)
Collaboration with other state departments of transportation and the federal highway administration necessary to implement appropriate agreed upon rules and regulations;
(ii)
Development of agreements to share vehicle registration and mileage data with safeguards of ensuring payer privacy and not sharing any personally identifying information without consent;
(iii)
Implementation of additional payer privacy protections if required;
(iv)
Other items the department may deem necessary or expedient to carry out the purposes of this article.
Section 2
.
(a)
Beginning March 31, 2022, the road usage charge program shall supplement current fuel tax revenue to reduce the annual funding shortfalls the department, counties and municipalities experience each year to raise and maintain road surfaces and bridges. As revenue from fuel taxes continues to decline based upon increased vehicle fuel mileage and conversion to electric vehicle technology, it is intended that the pay by mile system may eventually replace fuel taxes and be the main funding mechanism to ensure a safe and effective surface transportation system in Wyoming. To achieve a smooth transition from fuel taxes to the road usage charge the department shall:
(i)
Annually provide the joint revenue interim committee, the joint transportation, highways and military affairs interim committee and the joint appropriations committee:
(A)
An annual assessment on the effectiveness of the road usage charge to eliminate revenue shortfalls;
(B)
Changes in rates necessary to cover shortfalls;
(C)
Annual projections indicating reduction in fuel taxes to meet the share of revenue replaced by the road usage charge;
(D)
Recommendations on a fuel tax phase out timeline and updates to that timeline when conditions indicate it will likely change;
(E)
Recommendations for needed statutory changes.
(ii)
Monitor regional and national efforts to implement a road usage charge on a larger scale.
(b)
Until a regional or national road usage charge is established and methods to collect a road usage charge on vehicles registered outside of Wyoming is determined, fuel taxes may be set to approximate road usage per mile charges to ensure that road usage charge registered vehicles do not inappropriately share more of the burden for transportation and highway revenue. The department shall make recommendations for the appropriate fuel tax rates once vehicle road usage charge rates are determined. Fuel tax rates may also be indexed upon further legislative action
to maintain alignment with road usage charge rates until fuel taxes are replaced according to subsection (a) of this section.
Section 3
.
Not later than July 1, 2021, the department of transportation, state treasurer and department of revenue shall promulgate any rules necessary to administer this act.
Section 4
.
(a)
Except as provided in subsection (b) of this section, this act is effective immediately upon completion of all acts necessary for a bill to become law as provided by Article 4, Section 8 of the Wyoming Constitution
.
(b)
Section 1 of this act is effective March 31, 2022.
(END)
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HB0037