SB-0169, As Passed Senate, November 14, 2013

SUBSTITUTE FOR

SENATE BILL NO. 169

A bill to amend 1949 PA 300, entitled

"Michigan vehicle code,"

by amending the title, a division heading, and sections 35a, 36,

244, and 602b (MCL 257.35a, 257.36, 257.244, and 257.602b), the

title as amended by 2010 PA 10, section 35a as amended by 1980 PA

515, section 244 as amended by 2008 PA 539, and section 602b as

amended by 2013 PA 36, and by adding sections 2b, 663, 665, 666,

and 817.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

TITLE

An act to provide for the registration, titling, sale,

transfer, and regulation of certain vehicles operated upon the

public highways of this state or any other place open to the

general public or generally accessible to motor vehicles and

distressed vehicles; to provide for the licensing of dealers; to

provide for the examination, licensing, and control of operators

and chauffeurs; to provide for the giving of proof of financial

responsibility and security by owners and operators of vehicles; to

provide for the imposition, levy, and collection of specific taxes

on vehicles, and the levy and collection of sales and use taxes,

license fees, and permit fees; to provide for the regulation and

use of streets and highways; to create certain funds; to provide

penalties and sanctions for a violation of this act; to provide for

civil liability of manufacturers, the manufacturers of automated

technology, upfitters, owners, and operators of vehicles and

service of process on residents and nonresidents; to regulate the

introduction and use of certain evidence; to provide for the levy

of certain assessments; to provide for the enforcement of this act;

to provide for the creation of and to prescribe the powers and

duties of certain state and local agencies; to impose liability

upon the state or local agencies; to provide appropriations for

certain purposes; to repeal all other acts or parts of acts

inconsistent with this act or contrary to this act; and to repeal

certain parts of this act on a specific date.

Sec. 2b. (1) "Automated motor vehicle" means a motor vehicle

on which automated technology has been installed, either by a

manufacturer of automated technology or an upfitter that enables

the motor vehicle to be operated without any control or monitoring

by a human operator. Automated motor vehicle does not include a

motor vehicle enabled with 1 or more active safety systems or

operator assistance systems, including, but not limited to, a

system to provide electronic blind spot assistance, crash

avoidance, emergency braking, parking assistance, adaptive cruise

control, lane-keeping assistance, lane departure warning, or

traffic jam and queuing assistance, unless 1 or more of these

technologies alone or in combination with other systems enable the

vehicle on which the technology is installed to operate without any

control or monitoring by an operator.

(2) "Automated technology" means technology installed on a

motor vehicle that has the capability to assist, make decisions

for, or replace an operator.

(3) "Automatic mode" means the mode of operating an automated

motor vehicle when automated technology is engaged to enable the

motor vehicle to operate without any control or monitoring by an

operator.

(4) "Manufacturer of automated technology" means a

manufacturer or subcomponent system producer recognized by the

secretary of state that develops or produces automated technology.

(5) "Upfitter" means a person that modifies a motor vehicle

after it was manufactured by installing automated technology in

that motor vehicle to convert it to an automated vehicle. Upfitter

includes a subcomponent system producer recognized by the secretary

of state that develops or produces automated technology.

Sec. 35a. "Operate" or "operating" means ~~being~~ 1 or more of

the following:

(a) Being in actual physical control of a vehicle. This

subdivision applies regardless of whether or not the person is

licensed under this act as an operator or chauffeur.

(b) Causing an automated motor vehicle to move under its own

power in automatic mode upon a highway or street regardless of

whether the person is physically present in that automated motor

vehicle at that time. This subdivision applies regardless of

whether the person is licensed under this act as an operator or

chauffeur. As used in this subdivision, "causing an automated motor

vehicle to move under its own power in automatic mode" includes

engaging the automated technology of that automated motor vehicle

for that purpose.

Sec. 36. "Operator" means ~~every~~ a person, other than a

chauffeur, who ~~is in actual physical control of~~ does either of the

following:

(a) Operates a motor vehicle upon a highway or street.

(b) Operates an automated motor vehicle upon a highway or

street.

Sec. 244. (1) A manufacturer owning a vehicle of a type

otherwise required to be registered under this act may operate or

move the vehicle upon a street or highway primarily for the

purposes of transporting or testing or in connection with a golf

tournament or a public civic event, if the vehicle displays, in the

manner prescribed in section 225, 1 special plate approved by the

secretary of state.

(2) A producer of a vehicle subcomponent system essential to

the operation of the vehicle or the safety of an occupant may

operate or move a motor vehicle upon a street or highway solely to

transport or test the subcomponent system if the motor vehicle

displays, in the manner prescribed in section 225, 1 special plate

approved by the secretary of state. To be eligible for the special

plate, the subcomponent system producer must be either a recognized

subcomponent system producer or must be a subcomponent system

producer under contract with a vehicle manufacturer.

(3) Subject to section 665, a manufacturer of automated

technology may operate or otherwise move a motor vehicle or an

automated motor vehicle upon a street or highway solely to

transport or test automated technology if the motor vehicle or

automated motor vehicle displays, in the manner prescribed in

section 225, a special plate approved by the secretary of state.

(4) ~~(3)~~ A dealer owning a vehicle of a type otherwise required

to be registered under this act may operate or move the vehicle

upon a street or highway without registering the vehicle if the

vehicle displays, in the manner prescribed in section 225, 1

special plate issued to the owner by the secretary of state. As

used in this subsection, "dealer" includes an employee, servant, or

agent of the dealer.

(5) ~~(4)~~ Solely to deliver the vehicle, a transporter may

operate or move a vehicle of a type otherwise required to be

registered under this act upon a street or highway if the vehicle

displays, in the manner prescribed in section 225, a special plate

issued to the transporter under this chapter.

(6) ~~(5)~~ A licensee shall not use a special plate described in

this section on service cars or wreckers operated as an adjunct of

a licensee's business. A manufacturer, transporter, or dealer

making or permitting any unauthorized use of a special plate under

this chapter forfeits the right to use special plates and the

secretary of state, after notice and a hearing, may suspend or

cancel the right to use special plates and require that the special

plates be surrendered to or repossessed by the state.

(7) ~~(6)~~ A transporter shall furnish a sufficient surety bond

or policy of insurance as protection for public liability and

property damage as may be required by the secretary of state.

(8) ~~(7)~~ The secretary of state shall determine the number of

plates a manufacturer, dealer, or transporter reasonably needs in

his or her business.

(9) ~~(8)~~ If a vehicle that is required to be registered under

this act is leased or sold, the vendee or lessee is permitted to

operate the vehicle upon a street or highway for not more than 72

hours after taking possession if the vehicle has a dealer plate

attached as provided in this section. The application for

registration shall be made in the name of the vendee or lessee

before the vehicle is used. The dealer and the vendee or lessee are

jointly responsible for the return of the dealer plate to the

dealer within 72 hours, and the failure of the vendee or lessee to

return or the vendor or lessor to use due diligence to procure the

dealer plate is a misdemeanor, and in addition the license of the

dealer may be revoked. While using a dealer's plate, a vendee or

lessee shall have in his or her possession proof that clearly

indicates the date of sale or lease of the motor vehicle.

(10) ~~(9)~~ A vehicle owned by a dealer and bearing the dealer's

plate may be driven upon a street or highway for demonstration

purposes by a prospective buyer or lessee for a period of 72 hours.

(11) ~~(10)~~ The secretary of state may issue a registration

plate upon application and payment of the proper fee to an

individual, partnership, corporation, or association that in the

ordinary course of business has occasion to legally pick up or

deliver a commercial motor vehicle being driven to a facility to

undergo aftermarket modification, or to repair or service a

vehicle, or to persons defined as watercraft dealers under part 801

of the natural resources and environmental protection act, 1994 PA

451, MCL 324.80101 to 324.80199, or to the owner of a marina for

the purpose of delivering a vessel or trailer to a purchaser, to

transport a vessel between a body of water and a place of storage,

to transport a vessel or trailer to and from a boat show or

exposition, to repair, service, or store a vessel or trailer, or to

return a vessel or trailer to the customer after repair, service,

or storage. A registration plate issued under this subsection shall

be used to move the vehicle or trailer.

Sec. 602b. (1) Except as otherwise provided in this section, a

person shall not read, manually type, or send a text message on a

wireless 2-way communication device that is located in the person's

hand or in the person's lap, including a wireless telephone used in

cellular telephone service or personal communication service, while

operating a motor vehicle that is moving on a highway or street in

this state. As used in this subsection, a wireless 2-way

communication device does not include a global positioning or

navigation system that is affixed to the motor vehicle. Beginning

October 28, 2013, this subsection does not apply to a person

operating a commercial vehicle.

(2) Except as otherwise provided in this section, a person

shall not read, manually type, or send a text message on a wireless

2-way communication device that is located in the person's hand or

in the person's lap, including a wireless telephone used in

cellular telephone service or personal communication service, while

operating a commercial motor vehicle or a school bus on a highway

or street in this state. As used in this subsection, a wireless 2-

way communication device does not include a global positioning or

navigation system that is affixed to the commercial motor vehicle

or school bus. This subsection applies beginning October 28, 2013.

(3) Except as otherwise provided in this section, a person

shall not use a hand-held mobile telephone to conduct a voice

communication while operating a commercial motor vehicle or a

school bus on a highway, including while temporarily stationary due

to traffic, a traffic control device, or other momentary delays.

This subsection does not apply if the operator of the commercial

vehicle or school bus has moved the vehicle to the side of, or off,

a highway and has stopped in a location where the vehicle can

safely remain stationary. As used in this subsection, "mobile

telephone" does not include a 2-way radio service or citizens band

radio service. This subsection applies beginning October 28, 2013.

As used in this subsection, "use a hand-held mobile telephone"

means 1 or more of the following:

(a) Using at least 1 hand to hold a mobile telephone to

conduct a voice communication.

(b) Dialing or answering a mobile telephone by pressing more

than a single button.

a driver to maneuver so that he or she is no longer in a seated

driving position, restrained by a seat belt that is installed as

required by 49 CFR 393.93 and adjusted in accordance with the

vehicle manufacturer's instructions.

(4) Subsections (1), (2), and (3) do not apply to an

individual who is using a device described in subsection (1) or (3)

to do any of the following:

(a) Report a traffic accident, medical emergency, or serious

road hazard.

(b) Report a situation in which the person believes his or her

personal safety is in jeopardy.

of a criminal act against the individual or another person.

(d) Carry out official duties as a police officer, law

enforcement official, member of a paid or volunteer fire

department, or operator of an emergency vehicle.

(e) Operate or program the operation of an automated motor

vehicle while testing the automated motor vehicle in compliance

with section 665, if that automated motor vehicle displays a

special plate issued under section 224(3) in the manner required

under section 225.

(5) An individual who violates this section is responsible for

a civil infraction and shall be ordered to pay a civil fine as

follows:

(a) For a first violation, $100.00.

(b) For a second or subsequent violation, $200.00.

(6) This section supersedes all local ordinances regulating

the use of a communications device while operating a motor vehicle

in motion on a highway or street, except that a unit of local

government may adopt an ordinance or enforce an existing ordinance

substantially corresponding to this section.

~~STREET CARS AND SAFETY ZONES~~ AUTOMATED VEHICLES

Sec. 663. Except as otherwise provided in section 665, a

person shall not operate an automated motor vehicle upon a highway

or street in automatic mode.

Sec. 665. (1) Before beginning research or testing of an

automated motor vehicle or any automated technology installed in a

motor vehicle under this section, the manufacturer of automated

technology performing that research or testing shall submit proof

satisfactory to the secretary of state that the vehicle is insured

under chapter 31 of the insurance code of 1956, 1956 PA 218, MCL

500.3101 to 500.3179.

(2) A manufacturer of automated technology shall ensure that

all of the following circumstances exist when researching or

testing the operation of an automated motor vehicle or any

automated technology installed in a motor vehicle upon a highway or

street:

(a) The vehicle is operated only by an employee, contractor,

or other person designated or otherwise authorized by that

manufacturer of automated technology.

(b) An individual is present in the vehicle while it is being

operated on a highway or street of this state and that individual

has the ability to monitor the vehicle's performance and, if

necessary, immediately take control of the vehicle's movements.

and the individual who is present in the vehicle for purposes of

subdivision (b) are licensed to operate a motor vehicle in the

United States.

(3) No later than February 1, 2016, the state transportation

department in consultation with the secretary of state and experts

from various sizes of automobile manufacturing and automated

technology manufacturing industries shall submit a report to the

senate standing committees on transportation and economic

development and to the house of representatives standing committees

on transportation and commerce recommending any additional

legislative or regulatory action that may be necessary for the

continued safe testing of automated motor vehicles and automated

technology installed in motor vehicles.

Sec. 666. (1) A person who violates this division is

responsible for a civil infraction and may be fined as provided in

section 907.

(2) This division does not prohibit a person from being

charged with, convicted of or being found responsible for, ordered

to pay a fine or costs, or punished for any other violation of law

arising out of the same transaction as the violation of this

division.

Sec. 817. A manufacturer of automated technology is immune

from civil liability for damages that arise out of any modification

made by another person to a motor vehicle or an automated motor

vehicle, or to any automated technology, as provided in section

2949b of the revised judicature act of 1961, 1961 PA 236, MCL