HOUSE BILL No. 4769 June 10, 1999, Introduced by Reps. Rick Johnson, Caul, Garcia, Ehardt, Woodward, Daniels, Jelinek, Mead, Howell, Allen, Richardville, Julian, DeRossett, Rivet, Mans, DeVuyst, Vear and Green and referred to the Committee on Transportation. A bill to amend 1949 PA 300, entitled "Michigan vehicle code," by amending section 801 (MCL 257.801), as amended by 1998 PA 384. THE PEOPLE OF THE STATE OF MICHIGAN ENACT: 1 Sec. 801. (1) The secretary of state shall collect the fol- 2 lowing taxes at the time of registering a vehicle, which shall 3 exempt the vehicle from all other state and local taxation, 4 except the fees and taxes provided by law to be paid by certain 5 carriers operating motor vehicles and trailers under the motor 6 carrier act, 1933 PA 254, MCL 475.1 to 479.43; the taxes imposed 7 by the motor carrier fuel tax act, 1980 PA 119, MCL 207.211 to 8 207.234;a fee or fees imposed pursuant to the local road9improvements and operations revenue act, 1987 PA 237, MCL 247.52110to 247.525;and except as otherwise provided by this act: 03065'99 TJS 2 1 (a) For a motor vehicle, including a motor home, except as 2 otherwise provided, and a pickup truck or van, which pickup truck 3 or van weighs not more than 5,000 pounds and is not taxed under 4 subdivision (p), except as otherwise provided, according to the 5 following schedule of empty weights: 6 Empty weights Fee 7 0 to 3,000 pounds...................... $ 29.00 8 3,001 to 3,500 pounds.................. 32.00 9 3,501 to 4,000 pounds.................. 37.00 10 4,001 to 4,500 pounds.................. 43.00 11 4,501 to 5,000 pounds.................. 47.00 12 5,001 to 5,500 pounds.................. 52.00 13 5,50l to 6,000 pounds.................. 57.00 14 6,001 to 6,500 pounds.................. 62.00 15 6,501 to 7,000 pounds.................. 67.00 16 7,001 to 7,500 pounds.................. 71.00 17 7,501 to 8,000 pounds.................. 77.00 18 8,001 to 8,500 pounds.................. 81.00 19 8,501 to 9,000 pounds.................. 86.00 20 9,001 to 9,500 pounds.................. 91.00 21 9,501 to 10,000 pounds................. 95.00 22 over 10,000 pounds...........$ 0.90 per 100 pounds 23 of empty weight 24 On October 1, 1983, and October 1, 1984, the tax assessed 25 under this subdivision shall be annually revised for the 26 registrations expiring on the appropriate October 1 or after that 03065'99 3 1 date by multiplying the tax assessed in the preceding fiscal year 2 times the personal income of Michigan for the preceding calendar 3 year divided by the personal income of Michigan for the calendar 4 year which preceded that calendar year. In performing the calcu- 5 lations under this subdivision, the secretary of state shall use 6 the spring preliminary report of the United States department of 7 commerce or its successor agency. A van which is owned by a 8 person who uses a wheelchair or by a person who transports a res- 9 ident of his or her household who uses a wheelchair and for which 10 registration plates are issued pursuant to section 803d shall be 11 assessed at the rate of 50% of the tax provided for in this 12 subdivision. 13 (b) For a trailer coach attached to a motor vehicle 76 cents 14 per 100 pounds of empty weight of the trailer coach. A trailer 15 coach not under 1959 PA 243, MCL 125.1035 to 125.1043, and while 16 located on land otherwise assessable as real property under the 17 general property tax act, 1893 PA 206, MCL 211.1 to 211.157, if 18 the trailer coach is used as a place of habitation, and whether 19 or not permanently affixed to the soil, shall not be exempt from 20 real property taxes. 21 (c) For a road tractor, truck, or truck tractor owned by a 22 farmer and used exclusively in connection with the farmer's farm- 23 ing operations, or used for the transportation of the farmer and 24 the farmer's family, and not used for hire, 74 cents per 100 25 pounds of empty weight of the road tractor, truck, or truck 26 tractor. If the road tractor, truck, or truck tractor owned by a 27 farmer is also used for a nonfarming operation, the farmer shall 03065'99 4 1 be subject to the highest registration tax applicable to the 2 nonfarm use of the vehicle but shall not be subject to more than 3 1 tax rate under this act. 4 (d) For a road tractor, truck, or truck tractor owned by a 5 wood harvester and used exclusively in connection with the wood 6 harvesting operations OR A TRUCK USED EXCLUSIVELY TO HAUL MILK 7 FROM THE FARM TO THE MILK PROCESSING PLANT, 74 cents per 100 8 pounds of empty weight of the road tractor, truck, or truck 9 tractor. A registration secured by payment of the fee as pre- 10 scribed in this subdivision shall continue in full force and 11 effect until the regular expiration date of the registration. As 12 used in this subdivision, "wood harvester" includes the person or 13 persons hauling and transporting raw materials only from the 14 forest to the mill site. "Wood harvesting operations" does not 15 include the transportation of processed lumber. 16 (e) For a hearse or ambulance used exclusively by a licensed 17 funeral director in the general conduct of the licensee's funeral 18 business, including a hearse or ambulance whose owner is engaged 19 in the business of leasing or renting the hearse or ambulance to 20 others, $1.17 per 100 pounds of the empty weight of the hearse or 21 ambulance. 22 (f) For a motor vehicle owned and operated by this state, a 23 state institution, a municipality, a privately incorporated, non- 24 profit volunteer fire department, or a nonpublic, nonprofit col- 25 lege or university, $5.00 per set; and for each motor vehicle 26 operating under municipal franchise, weighing less than 2,500 27 pounds, 65 cents per 100 pounds of the empty weight of the motor 03065'99 5 1 vehicle, weighing from 2,500 to 4,000 pounds, 80 cents per 100 2 pounds of the empty weight of the motor vehicle, weighing 4,001 3 to 6,000 pounds, $1.00 per 100 pounds of the empty weight of the 4 motor vehicle, and weighing over 6,000 pounds, $1.25 per 100 5 pounds of the empty weight of the motor vehicle. 6 (g) For a bus including a station wagon, carryall, or simi- 7 larly constructed vehicle owned and operated by a nonprofit 8 parents' transportation corporation used for school purposes, 9 parochial school or society, church Sunday school, or any other 10 grammar school, or by a nonprofit youth organization or nonprofit 11 rehabilitation facility; or a motor vehicle owned and operated by 12 a senior citizen center, $10.00 per set, if the bus, station 13 wagon, carryall, or similarly constructed vehicle or motor vehi- 14 cle is designated by proper signs showing the organization oper- 15 ating the vehicle. 16 (h) For a vehicle owned by a nonprofit organization and used 17 to transport equipment for providing dialysis treatment to chil- 18 dren at camp; for a vehicle owned by the civil air patrol, as 19 organized under sections 1 to 8 of chapter 527, 60 Stat. 346, 36 20 U.S.C. 201 to 208, $10.00 per plate, if the vehicle is designated 21 by a proper sign showing the civil air patrol's name; for a vehi- 22 cle owned and operated by a nonprofit veterans center; for a 23 vehicle owned and operated by a nonprofit recycling center or a 24 federally recognized nonprofit conservation organization until 25 December 31, 2000; for a motor vehicle having a truck chassis and 26 a locomotive or ship's body which is owned by a nonprofit 27 veterans organization and used exclusively in parades and civic 03065'99 6 1 events; or for an emergency support vehicle used exclusively for 2 emergencies and owned and operated by a federally recognized non- 3 profit charitable organization, $10.00 per plate. 4 (i) For each truck owned and operated free of charge by a 5 bona fide ecclesiastical or charitable corporation, or red cross, 6 girl scout, or boy scout organization, 65 cents per 100 pounds of 7 the empty weight of the truck. 8 (j) For each truck, weighing 8,000 pounds or less, and not 9 used to tow a vehicle, for each privately owned truck used to tow 10 a trailer for recreational purposes only and not involved in a 11 profit making venture, and for each vehicle designed and used to 12 tow a mobile home or a trailer coach, except as provided in sub- 13 division (b), $38.00 or an amount computed according to the fol- 14 lowing schedule of empty weights, whichever is greater: 15 Empty weights Per 100 pounds 16 0 to 2,500 pounds...................... $ 1.40 17 2,501 to 4,000 pounds.................. 1.76 18 4,001 to 6,000 pounds.................. 2.20 19 6,001 to 8,000 pounds.................. 2.72 20 8,001 to 10,000 pounds................. 3.25 21 10,001 to 15,000 pounds................ 3.77 22 15,001 pounds and over................. 4.39 23 If the tax required under subdivision (q) for a vehicle of 24 the same model year with the same list price as the vehicle for 25 which registration is sought under this subdivision is more than 26 the tax provided under the preceding provisions of this 03065'99 7 1 subdivision for an identical vehicle, the tax required under this 2 subdivision shall not be less than the tax required under subdi- 3 vision (q) for a vehicle of the same model year with the same 4 list price. 5 (k) For each truck weighing 8,000 pounds or less towing a 6 trailer or any other combination of vehicles and for each truck 7 weighing 8,001 pounds or more, road tractor or truck tractor, 8 except as provided in subdivision (j) according to the following 9 schedule of elected gross weights: 10 Elected gross weight Fee 11 0 to 24,000 pounds................... $ 491.00 12 24,001 to 26,000 pounds.............. 558.00 13 26,001 to 28,000 pounds.............. 558.00 14 28,001 to 32,000 pounds.............. 649.00 15 32,001 to 36,000 pounds.............. 744.00 16 36,001 to 42,000 pounds.............. 874.00 17 42,001 to 48,000 pounds.............. 1,005.00 18 48,001 to 54,000 pounds.............. 1,135.00 19 54,001 to 60,000 pounds.............. 1,268.00 20 60,001 to 66,000 pounds.............. 1,398.00 21 66,001 to 72,000 pounds.............. 1,529.00 22 72,001 to 80,000 pounds.............. 1,660.00 23 80,001 to 90,000 pounds.............. 1,793.00 24 90,001 to 100,000 pounds............. 2,002.00 25 100,001 to 115,000 pounds............ 2,223.00 03065'99 8 1 115,001 to 130,000 pounds............ 2,448.00 2 130,001 to 145,000 pounds............ 2,670.00 3 145,001 to 160,000 pounds............ 2,894.00 4 over 160,000 pounds.................. 3,117.00 5 For each commercial vehicle registered pursuant to this sub- 6 division $15.00 shall be deposited in a truck safety fund to be 7 expended for the purposes prescribed in section 25 of 1951 PA 51, 8 MCL 247.675. 9 If a truck or road tractor without trailer is leased from an 10 individual owner-operator, the lessee, whether a person, firm, or 11 corporation, shall pay to the owner-operator 60% of the fee pre- 12 scribed in this subdivision for the truck tractor or road tractor 13 at the rate of 1/12 for each month of the lease or arrangement in 14 addition to the compensation the owner-operator is entitled to 15 for the rental of his or her equipment. 16 (l) For each pole trailer, semitrailer, or trailer, accord- 17 ing to the following schedule of rates: 18 Empty weights Fee 19 0 to 500 pounds........................ $ 17.00 20 501 to 1,500 pounds.................... 24.00 21 1,501 pounds and over.................. 39.00 22 (m) For each commercial vehicle used for the transportation 23 of passengers for hire except for a vehicle for which a payment 24 is madepursuant toUNDER 1960 PA 2, MCL 257.971 to 257.972, 25 according to the following schedule of empty weights: 03065'99 9 1 Empty weights Per 100 pounds 2 0 to 4,000 pounds...................... $ 1.76 3 4,001 to 6,000 pounds.................. 2.20 4 6,001 to 10,000 pounds................. 2.72 5 10,001 pounds and over................. 3.25 6 (n) For each motorcycle................... $ 23.00 7OnAFTER October 1, 1983,and October 1, 1984,the tax 8 assessed under this subdivision shall be annually revised for the 9 registrations expiring on the appropriate October 1 or after that 10 date by multiplying the tax assessed in the preceding fiscal year 11 times the personal income of Michigan for the preceding calendar 12 year divided by the personal income of Michigan for the calendar 13 year which preceded that calendar year. In performing the calcu- 14 lations under this subdivision, the secretary of state shall use 15 the spring preliminary report of the United States department of 16 commerce or its successor agency. 17 Beginning January 1, 1984, the registration tax for each 18 motorcycleshall beWAS increased by $3.00. The $3.00 increase 19shallIS notbeconsidered as part of the tax assessed under 20 this subdivision for the purpose of the annual October 1 revi- 21 sions butshall beIS in addition to the tax assessed as a 22 result of the annual October 1 revisions. Beginning January 1, 23 1984, $3.00 of each motorcycle fee shall be placed in a motorcy- 24 cle safety fund in the state treasury and shall be used only for 25 funding the motorcycle safety education program as provided for 26 under sections 312b and 811a. 03065'99 10 1 (o) For each truck weighing 8,001 pounds or more, road 2 tractor, or truck tractor used exclusively as a moving van or 3 part of a moving van in transporting household furniture and 4 household effects or the equipment or those engaged in conducting 5 carnivals, at the rate of 80% of the schedule of elected gross 6 weights in subdivision (k) as modified by the operation of that 7 subdivision. 8 (p) Until October 1, 1997, for each pickup truck or van, 9 which pickup truck or van weighs not more than 5,000 pounds and 10 is owned by a business, corporation, or person other than an 11 individual, according to the following schedule of empty 12 weights: 13 Empty weights Fee 14 0 to 4,000 pounds...................... $ 39.00 15 4,001 to 4,500 pounds.................. 44.00 16 4,501 to 5,000 pounds.................. 49.00 17 (q) After September 30, 1983, each motor vehicle of the 1984 18 or a subsequent model year as shown on the application required 19 under section 217whichTHAT has not been previously subject to 20 the tax rates of this section andwhichTHAT is of the motor 21 vehicle category otherwise subject to the tax schedule described 22 in subdivision (a) and beginning October 1, 1997 each motor vehi- 23 cle previously subject to the tax schedule described in subdivi- 24 sion (p) according to the following schedule based upon registra- 25 tion periods of 12 months: 03065'99 11 1 (i) Except as otherwise provided in this subdivision, for 2 the first registration, which is not a transfer registration 3 under section 809 and for the first registration after a transfer 4 registration under section 809, according to the following sched- 5 ule based on the vehicle's list price: 6 List Price Tax 7 $0 - $6,000.00............................ $ 30.00 8 More than $6,000.00 - $7,000.00........... $ 33.00 9 More than $7,000.00 - $8,000.00........... $ 38.00 10 More than $8,000.00 - $9,000.00........... $ 43.00 11 More than $9,000.00 - $10,000.00.......... $ 48.00 12 More than $10,000.00 - $11,000.00......... $ 53.00 13 More than $11,000.00 - $12,000.00......... $ 58.00 14 More than $12,000.00 - $13,000.00......... $ 63.00 15 More than $13,000.00 - $14,000.00......... $ 68.00 16 More than $14,000.00 - $15,000.00......... $ 73.00 17 More than $15,000.00 - $16,000.00......... $ 78.00 18 More than $16,000.00 - $17,000.00......... $ 83.00 19 More than $17,000.00 - $18,000.00......... $ 88.00 20 More than $18,000.00 - $19,000.00......... $ 93.00 21 More than $19,000.00 - $20,000.00......... $ 98.00 22 More than $20,000.00 - $21,000.00......... $103.00 23 More than $21,000.00 - $22,000.00......... $108.00 24 More than $22,000.00 - $23,000.00......... $113.00 25 More than $23,000.00 - $24,000.00......... $118.00 03065'99 12 1 More than $24,000.00 - $25,000.00......... $123.00 2 More than $25,000.00 - $26,000.00......... $128.00 3 More than $26,000.00 - $27,000.00......... $133.00 4 More than $27,000.00 - $28,000.00......... $138.00 5 More than $28,000.00 - $29,000.00......... $143.00 6 More than $29,000.00 - $30,000.00......... $148.00 7 More than $30,000.00, the feeshallof $148.00 shall be 8 increased by $5.00 for each $1,000.00 increment or fraction of a 9 $1,000.00 increment over $30,000.00. If a current fee increases 10 or decreases as a result of the 1998 amendatory act that added 11 this sentence, only a vehicle purchased or transferred afterthe12effective date of the 1998 amendatory act that added this13sentenceJANUARY 1, 1999 shall be assessed the increased or 14 decreased fee. 15 (ii) For the second registration, 90% of the tax assessed 16 under subparagraph (i). 17 (iii) For the third registration, 90% of the tax assessed 18 under subparagraph (ii). 19 (iv) For the fourth and subsequent registrations, 90% of the 20 tax assessed under subparagraph (iii). 21 For a vehicle of the 1984 or a subsequent model yearwhich22 THAT has been previously registered by a person other than the 23 person applying for registration or for a vehicle of the 1984 or 24 a subsequent model yearwhichTHAT has been previously regis- 25 tered in another state or country and is registered for the first 26 time in this state, the tax under this subdivision shall be 27 determined by subtracting the model year of the vehicle from the 03065'99 13 1 calendar year for which the registration is sought. If the 2 result is zero or a negative figure, the first registration tax 3 shall be paid. If the result is 1, 2, or 3 or more, then, 4 respectively, the second, third, or subsequent registration tax 5 shall be paid. A van which is owned by a person who uses a 6 wheelchair or by a person who transports a resident of his or her 7 household who uses a wheelchair and for which registration plates 8 are issued pursuant to section 803d shall be assessed at the rate 9 of 50% of the tax provided for in this subdivision. 10 (r) For a wrecker, $200.00. 11 (s) When the secretary of state computes a tax under this 12 section, a computationwhichTHAT does not result in a whole 13 dollar figure shall be rounded to the next lower whole dollar 14 when the computation results in a figure ending in 50 cents or 15 less and shall be rounded to the next higher whole dollar when 16 the computation results in a figure ending in 51 cents or more, 17 unless specific fees are specified, and may accept the 18 manufacturer's shipping weight of the vehicle fully equipped for 19 the use for which the registration application is made. If the 20 weight is not correctly stated or is not satisfactory, the secre- 21 tary of state shall determine the actual weight. Each applica- 22 tion for registration of a vehicle under subdivisions (j) and (m) 23 shall have attached to the application a scale weight receipt of 24 the vehicle fully equipped as of the time the application is 25 made. The scale weight receipt is not necessary if there is 26 presented with the application a registration receipt of the 27 previous yearwhichTHAT shows on its face the weight of the 03065'99 14 1 motor vehicle as registered with the secretary of state and 2whichTHAT is accompanied by a statement of the applicant that 3 there has not been a structural change in the motor vehicle 4whichTHAT has increased the weight and that the previous reg- 5 istered weight is the true weight. 6 (2) A manufacturer is not exempted under this act from 7 paying ad valorem taxes on vehicles in stock or bond, except on 8 the specified number of motor vehicles registered. A dealer is 9 exempt from paying ad valorem taxes on vehicles in stock or 10 bond. 11 (3) The fee for a vehicle with an empty weight over 10,000 12 pounds imposedpursuant toUNDER subsection (1)(a) and the fees 13 imposedpursuant toUNDER subsection (1)(b), (c), (d), (e), 14 (f), (i), (j), (m), (o), and (q) shall each be increased by 15 $5.00. This increase shall be credited to the Michigan transpor- 16 tation fund and used to defray the costs of processing the regis- 17 trations under this section. 18 (4) As used in this section: 19 (a) "Gross proceeds" means gross proceeds as defined in sec- 20 tion 1 of the general sales tax act, 1933 PA 167, MCL 205.51. 21 However, gross proceeds shall include the value of the motor 22 vehicle used as part payment of the purchase price as that value 23 is agreed to by the parties to the sale, as evidenced by the 24 signed agreement executed pursuant to section 251. 25 (b) "List price" means the manufacturer's suggested base 26 list price as published by the secretary of state, or the 27 manufacturer's suggested retail price as shown on the label 03065'99 15 1 required to be affixed to the vehicle under section 3 of the 2 automobile information disclosure act, Public Law 85-506, 3 15 U.S.C. 1232, if the secretary of state has not at the time of 4 the sale of the vehicle published a manufacturer's suggested 5 retail price for that vehicle, or the purchase price of the vehi- 6 cle if the manufacturer's suggested base list price is unavail- 7 able from the sources described in this subdivision. 8 (c) "Purchase price" means the gross proceeds received by 9 the seller in consideration of the sale of the motor vehicle 10 being registered. 03065'99 Final page. 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