Senate Bill 1168 proposes to eliminate the Abandoned Vehicle Administration Fund (Fund) and redirect the funds to the State Highway Fund (SHF). It also seeks to remove the partial reimbursement provision for towing companies that tow abandoned vehicles. Under current law, towing companies are entitled to 20% of the fee collected for towing an abandoned vehicle as partial reimbursement for their costs. The bill would repeal the statutes related to towing company reimbursements, including registration requirements, notification and payment forfeiture, and the distribution of Fund monies.

The bill would require the Arizona Department of Transportation (ADOT) to deposit all fees collected from abandoned vehicles directly into the SHF instead of the Fund. Additionally, all unexpended and unencumbered monies remaining in the Fund would be transferred to the SHF. The Joint Legislative Budget Committee estimates that this bill would result in a transfer of about $0.5 million from the Fund to the SHF and a positive fiscal impact of $1.2 million to the state General Fund and $0.1 million to the SHF beginning in FY 2025. The bill includes technical and conforming changes and would become effective on the general effective date.

Statutes affected:
Introduced Version: 28-337
Senate Engrossed Version: 28-4802, 28-4804, 28-4805, 28-4806, 28-6991, 28-2003, 28-3002, 35-146, 35-147