The proposed bill, if enacted, would amend the current vehicle registration fee structure outlined in section 28-2003 of the Arizona Revised Statutes. Under current law, the registration fee for all motor vehicles is a flat rate of $8. The bill introduces a tiered fee system where vehicles powered exclusively by gasoline or diesel would maintain the $8 fee, while those fueled exclusively by alternative fuels would incur a fee of $85. Additionally, vehicles that use a combination of alternative fuel and gasoline would be charged $40. The bill also stipulates that the fees for alternative fuel vehicles would be adjusted proportionally based on any changes to the motor fuel tax rate.

Furthermore, the bill includes a provision that requires an affirmative vote of at least two-thirds of the members of each house of the legislature for it to take effect, along with immediate effectiveness upon the governor's signature or a subsequent three-fourths vote in case of a veto. This legislative change aims to better reflect the growing use of alternative fuel vehicles and their impact on highway funding, potentially increasing revenues for the Highway User Revenue Fund (HURF) by an estimated $18.4 million starting in FY 2027.

Statutes affected:
Introduced Version: 28-2003