2015 Annual Business Meeting August Indianapolis, Indiana 2016 Annual Business Meeting BREAKOUT C What's in a Status? CANCELLED

2015 Annual Business Meeting August Indianapolis, Indiana 2016 Annual Business Meeting Mark BellKentucky Transportation Cabinet Deborah RoederIowa Department of Transportation The Panel

2015 Annual Business Meeting August Indianapolis, Indiana 2016 Annual Business Meeting All meanings, we know, depend on the key of interpretation. - George Eliot

2015 Annual Business Meeting August Indianapolis, Indiana 2016 Annual Business Meeting IFTA Suspension/Revocation Terminology

August Annual Business Meeting Indianapolis, Indiana R130 PURPOSE It is the purpose of this Agreement to promote and encourage the fullest and most efficient possible use of the highway system by making uniform the administration of motor fuels use taxation laws with respect to motor vehicles operated in multiple member jurisdictions..100 To effect this purpose, the Agreement implements three core provisions that, as between states of the United States, constitute an interstate compact approved by Congress in the Intermodal Surface Transportation Efficiency Act of 1991 (ISTEA). These core provisions, incorporated by ISTEA, are:

August Annual Business Meeting Indianapolis, Indiana R130 PURPOSE.005 The base jurisdiction concept, which allows a licensee to report and to pay motor fuel use taxes to a base jurisdiction for distribution to other member jurisdictions in which the licensee traveled and incurred motor fuel use tax liability..010 Retention of each jurisdiction’s sovereign authority to determine tax rates, exemptions and exercise other substantive tax authority.

August Annual Business Meeting Indianapolis, Indiana R410 LICENSE CANCELLATION.100 A base jurisdiction may, at the request of a licensee or on its own initiative, cancel a license if the licensee has complied with all applicable provisions of this Agreement, including the satisfaction of all motor fuel use tax obligations for the license period. The base jurisdiction shall instruct its licensees that, upon cancellation, the original IFTA license, all license copies, and all decals shall be destroyed..200 Licenses shall be canceled in accordance with the administrative procedure laws of the base jurisdiction..300 The base jurisdiction shall notify all member jurisdictions quarterly of all canceled accounts.

August Annual Business Meeting Indianapolis, Indiana R420 LICENSE SUSPENSION AND REVOCATION.100 Failure to comply with all applicable provisions of this Agreement shall be grounds for suspension or revocation of the license issued under this Agreement..200 Licenses shall be suspended or revoked in accordance with the administrative procedure laws of the base jurisdiction..300 The base jurisdiction shall notify all member jurisdictions within 10 days of all suspensions and revocations

August Annual Business Meeting Indianapolis, Indiana R215 Cancellation means the termination of a license by the licensing jurisdiction pursuant to Section R410. R257 Revocation means withdrawal of license and privileges by the licensing jurisdiction. R260 Suspension means temporary removal of privileges granted to the licensee by the licensing jurisdiction.

August Annual Business Meeting Indianapolis, Indiana Jurisdictions Submitting Revocations

August Annual Business Meeting Indianapolis, Indiana License Revocation Many jurisdictions do not revoke any licenses due to verbiage in their jurisdictional statutes. Likewise, many jurisdictions will only revoke a license after a very lengthy legal process. Instead, they will suspend the licensee, and that suspension may last for years.

August Annual Business Meeting Indianapolis, Indiana License Revocation While these suspensions will forbid operations in the base jurisdiction, all other jurisdictions receive no notification because the record does not show up in the “IFTA Revoked File.” Long-term suspensions (30-45 days) should be subject to roadside enforcement by other jurisdictions at some point.

August Annual Business Meeting Indianapolis, Indiana License Revocation We propose an “IFTA Suspended File” using for licenses that have been suspended for an extended period of time (30-45 days). This will allow a jurisdiction to act on revoked licenses and long-term suspended licenses.

August Annual Business Meeting Indianapolis, Indiana License Revocation This approach will enhance enforcement and unbind jurisdictions currently unable to enforce their own statutes. The new approach would only apply to long-term suspensions, and not to short-term suspensions due to late filings.

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August Annual Business Meeting Indianapolis, Indiana Delinquent Warning Closed/Ceased Active-Current Reinstated Non-Renewal Not Renewed Inactive On Hold OOB – out of business Reinstated Approved Inactive Delinquent Q4

August Annual Business Meeting Indianapolis, Indiana Q5  Delinquent delinquent - licensees who did not file or pay in full their taxes after 30 days of the due date are set to delinquent and the correspondence is sent to licensees. Example 1st qtr. delinquencies are run May 31 st  Reinstated set when the licensee resolves issues with quarterly tax filings  Active – Active Account WARNING – letter sent out immediately after quarterly return filed with balance owing of more than $20.00  Active – License in good standing

August Annual Business Meeting Indianapolis, Indiana  Closed/Ceased One of three reasons will cause Closed/Ceased status: 1. Cancelled (per Compliance Dept.) – Cancelled due to revocation but the account is now clean so the REVOKED status is removed 2. Non-Renewal – for not renewing 3. Zero Miles or All Base Jurisdiction miles – No longer qualify for IFTA because they no longer travel in two or more jurisdictions  Closed Carrier requested the account to be cancelled  Inactive – Licensee is no longer operating For a registration that was not renewed Jurisdiction closed the account

August Annual Business Meeting Indianapolis, Indiana  On Hold NSF payment returned Flagged: Delinquent or deficient accounts aged greater than 30 but less than 60 days Warning: A USDOT out of service flag has been established through the CVISN/SAFER interface  Non-Renewal license was not renewed for a variety of reasons. OOB - out of business not permitted - license was canceled usually after a show cause hearing  Reinstated is used for a carrier who had been revoked and all issues were resolved.  Reactivated is for an inactive registrant that renewed or filed a new registration application.  Approved – status provided upon initial registration

August Annual Business Meeting Indianapolis, Indiana  Active License Pending is before license is issued.  Delinquent is an active account with a balance  Inactive Delinquent is inactive with a balance where the license was not revoked or suspended.  OOB – out of business

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August Annual Business Meeting Indianapolis, Indiana There are 3 license status definitions that currently exist, in addition to active  Are we all interpreting those statuses the same?  Are those statuses relevant to the environment that we are operating in now?  Should we be enforcing the statuses at roadside if we are not the base jurisdiction?

August Annual Business Meeting Indianapolis, Indiana The data used for roadside important must be recent, must be correct, and must be available  Can the roadside law enforcement officer easily access the data?  How often do you upload demographic data into the Clearinghouse?  Have you contacted the Clearinghouse Advisory Committee to assist you in determining if your data is uploaded in the correct format?

2015 Annual Business Meeting August Indianapolis, Indiana 2016 Annual Business Meeting QUESTIONS