Iowa 2025-2026 Regular Session

Iowa Senate Bill SF151

Introduced
1/29/25  

Caption

A bill for an act relating to motor vehicle special registration plate decals created by a nonprofit veterans’ organization or associated with military service, and providing fees.(Formerly SF 36; See SF 637.)

Summary

SF 151 revises Iowa law governing special motor vehicle registration plates with space for organization decals, focusing on veterans-related emblems. The bill changes the existing framework so that the Department of Transportation, rather than a nonprofit veterans organization, will design and issue separate decals for combat infantryman badge, combat action badge, combat action ribbon, air force combat action medal, and combat medical badge plates. It also removes the prior minimum-order structure tied to producing those plates and replaces it with a decal-based system for eligible applicants. The bill also expands which nonprofit organizations may seek approval to issue organization decals by adding organizations exempt under section 501(c)(19) of the Internal Revenue Code, which generally covers veterans organizations and related auxiliaries or trusts. Eligible veterans who apply and provide proof of award would receive two decals for a $10 fee, with the fee deposited into the road use tax fund and then transferred monthly to the veterans license fee fund. The bill preserves the ability of surviving spouses to continue using the special plates/decals under specified conditions and requires the department to make reasonable efforts to contact prior applicants who paid the former startup fee, offering refunds or conversion to the new decal system. In practical terms, the bill amends sections 35A.11 and 321.34 of the Iowa Code and changes how these veterans recognition plates are administered, funded, and displayed. It shifts the program from a special-plate production model with a 250-order threshold to a more accessible decal issuance model, while maintaining the veterans license fee fund as the destination for related revenues. It also creates a transition process for applicants who had already paid the earlier startup fee before July 1, 2025. The general sentiment appears strongly supportive and noncontroversial. The Senate Veterans Affairs report approved the bill unanimously, 12-0, and the available record shows no recorded opposition or committee debate. The bill’s purpose is framed as a technical and administrative improvement that better accommodates veterans and aligns the plate program with existing decal-based registration plate rules. The main point of potential concern is administrative transition rather than policy disagreement: the Department of Transportation must identify prior applicants, offer refunds or conversion options, and implement the new decal system. Another possible issue is the change in eligibility rules for nonprofit decal organizations, since the bill broadens approval to include 501(c)(19) veterans organizations, but the bill text and available discussion do not show any organized opposition to that change.

Impact

SF 151 amends Iowa Code sections 35A.11 and 321.34 to replace a special registration plate production model with a decal-based system for certain veterans awards and to expand nonprofit eligibility for organization decals to include 501(c)(19) veterans groups. It also changes fee handling, directing decal fees into the road use tax fund and then transferring the amount to the veterans license fee fund, while preserving surviving-spouse continuation rights and requiring DOT outreach and refund options for prior applicants.

Sentiment

The bill appears to have been received positively and without controversy. The only recorded vote in the Senate Veterans Affairs report was unanimous, 12 yeas and 0 nays, and there is no transcript evidence of opposition. The measure is presented as a practical update to make veterans recognition plates easier to obtain and administer.

Contention

There is little visible policy contention in the available record. The only notable issues are operational: how the Department of Transportation will transition existing applicants to the new decal system, process refunds, and notify eligible applicants. A secondary issue is the expansion of eligible nonprofit organizations to 501(c)(19) veterans organizations, but no opposition to that change is reflected in the bill history provided.

Companion Bills

IA SF36

Similar To A bill for an act relating to motor vehicle special registration plate decals created by a nonprofit veterans’ organization or associated with military service, and providing fees.(See SF 151, SF 637.)

IA SF637

Similar To A bill for an act relating to motor vehicle special registration plate decals created by a nonprofit veterans’ organization or associated with military service, and providing fees.(Formerly SF 151, SF 36.)

Similar Bills

No similar bills found.