A.R.S. tit. 28 ch. 2 — Arizona Revised Statutes Title 28 Chapter 2 — Administration

28-301. Transportation districts A. Except as provided in subsection B, the state is divided into six transportation districts as follows: 1. First district, Maricopa county. 2. Second district, Pima county. 3. Third district, Cochise, Greenlee and Santa Cruz counties. 4. Fourth district, Gila, Graham and Pinal counties. 5. Fifth district, Apache, Coconino and Navajo counties. 6. Sixth district, La Paz, Mohave, Yavapai and Yuma counties. B. If, after January 1, 2009, a county attains a population of five hundred thousand or more persons, a new district shall be formed consisting of only that county. The county shall be removed from the district it was in before the new district was formed. The clerk of the county board of supervisors, with the concurrence of the Arizona commerce authority, shall notify the governor, the state transportation board and the department of transportation of the new district by the end of the calendar year in which the county becomes qualified under this subsection. The governor shall appoint an additional member of the state transportation board for the new district pursuant to this section within sixty days after receiving the notice. 28-302. Transportation board; members; appointments; terms; compensation A. A transportation board is established in the department of transportation. B. The board consists of one member from each transportation district with a population of less than two million two hundred thousand persons according to the most recent United States decennial census and two members from each transportation district with a population of two million two hundred thousand or more persons according to the most recent United States decennial census. C. The governor shall appoint members of the board for terms of six years pursuant to section 38-211 to expire on the third Monday in January of the appropriate year. When appointing members from a transportation district with a population of two million two hundred thousand or more persons according to the most recent United States decennial census, the governor shall take into account geographic balance within the district. D. A person is not qualified to be a member of the board representing a transportation district if the person has not been a resident and taxpayer of this state and the county from which the person is chosen for at least five years immediately before the person's appointment. E. The governor shall not appoint a member to serve two terms in succession. If a transportation district includes more than one county, the governor shall rotate the appointment of members for the district among the counties in the district. F. If a member who represents a transportation district changes the member's residence to another county, the member's office becomes vacant. G. Each member is eligible to receive compensation pursuant to section 38-611. 28-303. Powers and duties of the board; meetings A. The board may meet when necessary at any place in this state. The board shall hold other regular meetings as it determines necessary. The chairman may call special meetings with the concurrence of at least two members. B. The board shall meet for the purpose of organizing on or before the third Monday in January of each year at which time the board shall designate the district member with the shortest period of time remaining to serve a complete term as chairman. The chairman shall preside at all sessions. The board shall designate the district member with the next shortest period of time remaining to serve a complete term as vice-chairman. The vice-chairman shall preside in the absence of the chairman. If the district member with the least time to serve does not choose to serve as chairman, the members shall select a chairman from the remaining board members. C. If the chairman's membership on the board is terminated for any reason, the remaining members of the board shall select another member to serve as chairman until the regular organizational meeting on or before the third Monday in January of each year. 28-304. Powers and duties of the board; transportation facilities A. The board shall: 1. Develop and adopt a statewide transportation policy statement. The policy statement shall be adopted as described in section 28-306. 2. Adopt a long-range statewide transportation plan. The plan shall be adopted as described in section 28-307. 3. Adopt uniform transportation planning practices and performance-based planning processes for use by the department. The practices and processes shall be developed as described in sections 28-502 and 28-503. 4. Adopt transportation system performance measures and factors and data collection standards to be used by the department. The performance measures, factors and standards shall be developed as described in sections 28-504 and 28-505. B. With respect to highways, the board shall: 1. Establish a complete system of state highway routes. 2. Determine which state highway routes or portions of the routes are accepted into the state highway system and which state highway routes to improve. 3. Establish, open, relocate or alter a portion of a state route or state highway. 4. Vacate or abandon a portion of a state route or state highway as prescribed in section 28-7209. 5. Sell board funding obligations to the state treasurer as provided in section 28-7678. C. The board shall: 1. Establish policies to guide the development or modification of the five year transportation facilities construction program that are consistent with the principles of performance-based planning developed pursuant to article 7 of this chapter. The percentage of department discretionary monies allocated to the region in the plan approved pursuant to chapter 17, article 1 of this title shall not increase or decrease unless the board, in cooperation with the regional planning agency, agrees to change the percentage of the discretionary monies. 2. Award all construction contracts for transportation facilities. 3. Monitor the status of these construction projects. D. The board shall determine priority program planning with respect to transportation facilities using the performance-based methods developed pursuant to article 7 of this chapter. E. With respect to transportation facilities other than highways, the board shall establish, open, relocate, alter, vacate or abandon all or portions of the facilities. F. With respect to aeronautics, the board shall perform the functions prescribed in chapter 25 of this title. G. The board shall not spend any monies, adopt any rules or implement any policies or programs to convert signs to the metric system or to require the use of the metric system with respect to designing or preparing plans, specifications, estimates or other documents for any highway project before the conversion or use is required by federal law, except that the board may: 1. Spend monies and require the use of the metric system with respect to designing or preparing plans, specifications, estimates or other documents for a highway project that is awarded before October 1, 1997 and that is exclusively metric from its inception. 2. Prepare for conversion to and use of the metric system not more than six months before the conversion or use is required by federal law. 28-305. Powers and duties of the board; rules The board may prescribe rules for the effective administration of its powers, duties and responsibilities, including rules relating to: 1. Priority programs. 2. Establishing, altering or vacating highways. 3. Construction contracts. 4. Revenue bonds. 5. Local government airport grants. 6. Prohibiting bid rigging. 28-306. Statewide transportation policy statement A. The board shall develop a statewide transportation policy statement as provided in this section. B. The statewide transportation policy statement shall be developed and adopted on or before January 1, 2003 and shall be reviewed and updated on or before January 1 of each odd-numbered year thereafter. C. The statewide transportation policy statement shall include the performance expectations for the statewide transportation system over the next twenty years using the performance measures developed pursuant to section 28-504. The policy statement shall provide guidance to the department in developing a comprehensive and balanced statewide highway system. D. In establishing the long-range policy goals for the statewide transportation system, the board shall ensure that the future transportation system facilitates, rather than directs, future development in this state. E. In establishing the statewide transportation policy statement, the board shall consider, to the greatest extent possible, local, regional and tribal transportation goals. 28-307. Long-range statewide transportation plan; board duties A. The board shall develop a statewide transportation plan as provided in this section and section 28-506. B. The statewide plan shall be adopted on or before December 31, 2006 and shall be reviewed and updated on or before July 1 of each fifth year thereafter. The board shall update the dollar estimates in the statewide plan every two years in conjunction with the certifications required by section 28-335. C. In establishing the statewide plan, the board shall endeavor to ensure that the future transportation system facilitates, rather than directs, future development in this state. To the greatest extent possible, the board shall ensure that the statewide plan reflects the future transportation needs of the various areas of this state as reflected in adopted local and regional land use and general plans. D. In establishing the statewide plan, the board shall consider, to the greatest extent possible, local, regional and tribal transportation plans. 28-331. Department of transportation established A. A department of transportation is established. The department shall provide for an integrated and balanced state transportation system. B. The director is responsible for the administration of the department. C. The transportation board has the policy powers and duties prescribed in sections 28-304, 28-305, 28-7209 and 28-8202 and shall advise the director on other matters as required. 28-332. Department of transportation jurisdiction; duties A. The exclusive control and jurisdiction over state highways, state routes, state-owned airports and all state-owned transportation systems or modes are vested in the department of transportation. B. The department shall: 1. Register motor vehicles and aircraft, license drivers, collect revenues, enforce motor vehicle and aviation statutes and perform related functions. 2. Do multimodal state transportation planning, cooperate and coordinate transportation planning with local governments and establish an annually updated priority program of capital improvements for all transportation modes. 3. Design and construct transportation facilities in accordance with a priority plan and maintain and operate state highways, state-owned airports and state public transportation systems. 4. Investigate new transportation systems and cooperate with and advise local governments concerning the development and operation of public transit systems. 5. Have administrative jurisdiction of transportation safety programs and implement them in accordance with applicable law. 6. Except as provided in section 28-472, subsection F, operate a state motor vehicle fleet for all motor vehicles that are owned, leased or rented by this state. C. In order to carry out the responsibilities enumerated in subsection B of this section, the department is organized into the following divisions: 1. Motor vehicle. 2. Transportation planning. 3. Highways. 4. Aeronautics. 5. Public transit. 6. Administrative services. D. The director may do any of the following: 1. Establish divisions in addition to those prescribed in subsection C of this section. 2. Reorganize the department. 3. Consolidate the department. 28-333. Legal counsel The attorney general is the legal adviser of the department and shall provide legal services as the department requires. Compensation for personnel assigned by the attorney general to perform the services is a charge against appropriations to the department. The attorney general shall prosecute and defend in the name of this state all actions necessary to carry out this title. 28-334. Acceptance and expenditure of federal monies; limitations A. The department may accept and expend grants, donations, aid or other monies received from the federal government or any agency of the federal government for any transportation purpose. B. The department may contract and do all things necessary to secure the full benefits available to this state for transportation purposes under federal law and, in doing so, may cooperate with federal, state and local government agencies, Indian tribes, private and public organizations and private individuals. The department may exchange federal funds with local governments in order to receive local funds and may include additional federal funds in the exchange to offset matching costs required of local governments. C. The department may: 1. Assume the responsibility of the United States department of transportation with respect to highway projects with this state under the national environmental policy act of 1969 (P.L. 91-190; 83 Stat. 852; 42 United States Code sections 4321 through 4347) and with respect to related responsibility for environment review, consultation or other action required under any federal environmental law pertaining to review or approval of a highway project in this state. 2. Assume responsibility under 23 United States Code sections 326 and 327 and enter into one or more agreements, including memoranda of understanding with the United States secretary of transportation related to the state assumption of responsibility for categorical exclusions as provided by 23 United States Code section 326 and the federal surface transportation project delivery program for the delivery of highway projects as provided by 23 United States Code section 327. Sovereign immunity from civil suit in federal court is waived consistent with 23 United States Code sections 326 and 327 and limited to the compliance, discharge or enforcement of a responsibility assumed by the department under this paragraph. D. This chapter does not affect the authority of other agencies or boards of this state or political subdivisions from accepting, receiving or expending grants or other monies from the federal government or any agency of the federal government for transportation purposes pursuant to other provisions of law or charter. 28-335. Comprehensive financial management system A. The department shall establish a comprehensive financial management system. B. The comprehensive financial management system shall include separate certifications of future estimated revenues and future estimated system costs as reflected in the long-range statewide transportation plan developed and updated pursuant to sections 28-307 and 28-506. All transportation revenues, including federal, state, regional and local revenues, shall be included in the certifications. All transportation costs shall be included in the certification of anticipated costs, including optimal long-term system preservation costs and system maintenance and administration costs as well as system expansion costs. In developing the data collection and reporting methodologies, until January 1, 2006, the department shall provide for the use of estimates of the items required in this section if the department or a regional or local transportation agency is unable to obtain reliable information pertaining to the items required. C. The department shall complete the certifications on or before December 31, 2004 and on or before July 1 of each even-numbered year thereafter. D. All state, regional and local transportation agencies shall assist the department in preparing the certifications. Tribal governments are encouraged to assist the department in preparing the certifications. E. If the department is unable to obtain reliable information concerning the revenues or costs of components of the transportation system, it may develop and use estimates of those amounts in order to comply with this section. 28-336. REAL ID act; implementation prohibited This state shall not participate in the implementation of the REAL ID act of 2005 (P.L. 109-13, division B; 119 Stat. 302). The department shall not implement the REAL ID act of 2005 and shall report to the governor and the legislature any attempt by agencies or agents of the United States department of homeland security to secure the implementation of the REAL ID act of 2005 through the operations of the United States department of homeland security. 28-337. High occupancy vehicle lane; lane degradation; priority use A. In accordance with 23 United States Code section 166, the department shall develop procedures to monitor the impact that single occupancy vehicles authorized under sections 28-2416 and 28-2416.01 have on the operation of the high occupancy vehicle lanes. B. If a high occupancy vehicle lane becomes degraded due to the authorization of single occupancy vehicles authorized under sections 28-2416 and 28-2416.01, use of the lane is restricted to the following vehicles in the following priority: 1. Passenger vehicles with two or more occupants, including the driver. 2. Public transit buses. 3. Buses with two or more occupants, including the driver. 4. Motorcycles. 5. Alternative fuel vehicles. 6. Low emission and energy efficient vehicles as defined in section 28-601. 7. Blood transport vehicles as defined in section 28-737. C. The department shall limit the use of the high occupancy vehicle lanes to vehicles in the priority order prescribed in subsection B of this section and shall maintain those restrictions while the lane or portion of the lane remains degraded. D. For the purposes of this section, a high occupancy vehicle lane is degraded if vehicles operating on the facility, or portions of the facility, are failing to maintain a speed of forty-five miles per hour or greater ninety percent of the time over a consecutive one hundred eighty-day period during morning and evening weekday peak hour periods. 28-338. Enhanced driver license prohibition This state shall not participate in the implementation of an enhanced driver license program to satisfy the requirements of the federal western hemisphere travel initiative or the REAL ID act of 2005 (P.L. 109-13, division B; 119 Stat. 302). The department shall not implement an enhanced driver license program and shall report to the governor and the legislature any attempt by agencies or agents of the United States department of homeland security to secure the implementation of an enhanced driver license program through the operations of the United States department of homeland security. 28-339. State match advantage for rural transportation fund; allocation of monies; definitions A. The state match advantage for rural transportation fund is established. The department shall administer the fund. Monies in the fund are continuously appropriated. The fund consists of the following: 1. Monies appropriated by the legislature. 2. Any nonfederal gifts, grants, donations or other amounts received from any public or private source for transportation projects. 3. Monies allocated pursuant to section 28-6534. B. On notice from the department, the state treasurer shall invest and divest monies in the fund as provided by section 35-313, and monies earned from investment shall be credited to the fund. C. The department may establish any subaccount in the fund that the department determines is necessary to carry out the purposes of this section. D. The department may not approve any expenditures from the fund unless the expenditure is made in accordance with this section. E. Monies in the fund shall be used only for the following: 1. To reimburse up to fifty percent of the costs associated with developing and submitting an application for a federal grant. 2. To provide a match or reimbursement of a match for a federal grant. 3. To fund or reimburse design and other engineering services expenditures that meet federal standards for projects eligible for a federal grant. Applicants awarded funding for design and other engineering services shall submit an application for a federal grant within two years after the award or the award lapses and the applicant must repay any expended monies to the fund. The applicant shall submit repayment within thirty days after receiving an invoice from the department. F. Except as provided in subsection G of this section, the department shall suballocate monies in the fund to the following five categories: 1. Twenty percent to projects located in counties with a population of one hundred thousand persons or more for uses described in subsection E, paragraphs 2 and 3 of this section. 2. Twenty percent to projects located in counties with a population of less than one hundred thousand persons for uses described in subsection E of this section. 3. Twenty percent to projects located in municipalities with a population of ten thousand persons or more for uses described in subsection E, paragraphs 2 and 3 of this section. 4. Twenty percent to projects located in municipalities with a population of less than ten thousand persons for uses described in subsection E of this section. 5. Except as provided in subsection L of this section, twenty percent to the department for uses described in subsection E, paragraphs 2 and 3 of this section. G. A project located in a county with a population of more than one million persons is not eligible for funding pursuant to subsection F, paragraph 1 of this section. A project located in a municipality that is partially or entirely located in an urbanized area of a county with a population of more than one million persons is not eligible for funding pursuant to subsection F, paragraph 3 or 4 of this section. The department may not use monies pursuant to subsection F, paragraph 5 of this section for projects that are located in an urbanized area of a county with a population of more than one million persons. H. An entity that is eligible to receive a federal grant shall submit an application to the department to be eligible for an award from the fund. The entity must first obtain the approval of the applicable metropolitan planning organization or council of governments before submitting an application to the department. The department may establish an application deadline and require additional documentation to ensure that an applicant is eligible for the federal grant. The board may also determine the extent to which an applicant has the technical and financial capacity to successfully complete the project. I. On receipt of an application, the department shall determine if the requirements of the notice of funding opportunity or the federal statutes establishing the federal grant are met and if the approval required under subsection H of this section is granted. If the department determines that the application meets the requirements and is complete, the department shall forward the application to the departmental committee established pursuant to section 28-6951 for a recommendation. If a recommendation is made, the department shall notify the chairperson of the board that the application is ready for consideration and action by the board. J. Once notified pursuant to subsection I of this section, the chairperson of the board shall place the application on an agenda for action within forty-five days after original receipt of the notification. The board may give preference to applicants that can demonstrate any of the following: 1. The percentage of matching monies provided by the applicant. 2. The extent that the applicant will partner with other entities to deliver the project. 3. Other factors as deemed appropriate by the board for the applicable federal grant. K. The board may approve, deny, modify or request more information on the application. If the board approves an award, the department shall execute an agreement with the applicant regarding reimbursement and expenditures pursuant to subsection E of this section. L. On the department's request, the board shall approve the use of monies as described in subsection F, paragraph 5 of this section. The department may annually use up to five percent of the monies earned in the previous fiscal year under subsection B of this section to administer the fund. M. If an applicant receives an award pursuant to subsection E, paragraph 2 of this section but is not able to secure the federal grant, the department shall make the award monies available for other applications. N. Beginning January 1 and July 1 of each year, the board may redistribute the unawarded monies in the fund to ensure each category under subsection F of this section receives a share of the monies based on the percentages prescribed in subsection F of this section. The department shall post the amount available for each category on the department's website within thirty days after the approval of the redistribution by the board. O. Notwithstanding subsection J of this section and based on available funding, the board may direct the department to close applications for any category and return any unawarded applications to the applicants. P. The board shall rescind an award if an applicant receives funding from another source for the same project and purpose in an amount equal to or greater than the award made under this section. The applicant shall repay any monies expended from the fund within one year after the date of the rescission resolution approved by the board. Q. For the purposes of this section: 1. "Federal grant" means a federal discretionary grant program administered by any federal agency for surface transportation purposes. 2. "Urbanized area" means an urbanized area as defined in the most recent decennial census certified by the United States census bureau. 28-361. Director; appointment; compensation A. The governor shall appoint the director pursuant to section 38-211 from a list of qualified candidates submitted by the transportation board. The director serves at the pleasure of the governor. B. The department of administration in consultation with the governor's office shall prepare a job description for the position of director and shall recruit candidates for the position. The board shall receive and review applications for the position of director and shall forward the names of all qualified applicants to the governor. The governor may ask for additional names and recommendations at any time. C. The director is eligible to receive compensation pursuant to section 38-611. 28-362. Deputy director of the department The director may appoint a deputy director of the department with the approval of the governor. The deputy director serves at the pleasure of the director. The deputy director is directly responsible for the duties delegated to the deputy director by the director. 28-363. Duties of the director; administration A. The director shall: 1. Supervise and administer the overall activities of the department and its divisions and employees. 2. Appoint assistant directors for each of the divisions. 3. Provide for the assembly and distribution of information to the public concerning department activities. 4. Delegate functions, duties or powers as the director deems necessary to carry out the efficient operation of the department. 5. Exercise complete and exclusive operational control and jurisdiction over the use of state highways and routes. 6. Coordinate the design, right-of-way purchase and construction of controlled access highways that are either state routes or state highways and related grade separations of controlled access highways. 7. Coordinate the design, right-of-way purchase, construction, standard and reduced clearance grade separation, extension and widening of arterial streets and highways under chapters 17 and 18 of this title. 8. Assist regional transportation planning agencies, councils of government, tribal governments, counties, cities and towns in the development of their regional and local transportation plans to ensure that the streets, highways and other regionally significant modes of transportation within each county form an integrated and efficient regional system. 9. Designate the necessary agencies for enforcing the provisions of the laws the director administers or enforces. 10. Exercise other duties or powers as the director deems necessary to carry out the efficient operation of the department. 11. Cooperate with the Arizona-Mexico commission in the governor's office and with researchers at universities in this state to collect data and conduct projects in the United States and Mexico on issues that are within the scope of the department's duties and that relate to quality of life, trade and economic development in this state in a manner that will help the Arizona-Mexico commission to assess and enhance the economic competitiveness of this state and of the Arizona-Mexico region. 12. Develop a plan to increase use of bypass routes by vehicles on days of poor visibility in the Phoenix metropolitan area. B. The assistant directors appointed pursuant to subsection A of this section are subject to title 41, chapter 4, article 4. C. The director shall not spend any monies, adopt any rules or implement any policies or programs to convert signs to the metric system or to require the use of the metric system with respect to designing or preparing plans, specifications, estimates or other documents for any highway project before the conversion or use is required by federal law, except that the director may: 1. Spend monies and require the use of the metric system with respect to designing or preparing plans, specifications, estimates or other documents for a highway project that is awarded before October 1, 1997 and that is exclusively metric from its inception. 2. Prepare for conversion to and use of the metric system not more than six months before the conversion or use is required by federal law. 28-364. Powers of the director A. The director may provide technical transportation planning expertise to local governments when requested, coordinate local government transportation planning with regional and state transportation planning and guide local transportation planning to ensure compliance with federal requirements. The planning authority granted by this subsection does not preempt planning responsibilities and decisions of local governments. B. If the governor declares a state of emergency, the director may contract and do all things necessary to provide emergency transportation services for the residents in the affected areas whether the emergency transportation is by street, rail or air. C. On a determination that it is in this state's best interest, the director may authorize payment for necessary relocation costs in advance of work being performed if an existing facility owned by the United States must be relocated or adjusted due to construction, modification or improvement of a state highway. The director shall base each advance payment on an estimate of cost of the proposed relocation or adjustment prepared by the federal government and acceptable to the director and shall base the final compensation on the actual agreed cost. D. The director of the department of transportation in consultation with the director of the department of public safety shall develop procedures to exchange information for any purpose related to sections 28-1324, 28-1325, 28-1326, 28-1462 and 28-3318. E. The director may establish a system or process that does all of the following: 1. Allows for mailing notices of service or other legal documents or records of the department electronically or digitally to a person who consents to receiving these notices, documents or records through a secure electronic or digital system. 2. Enables a person to establish a financial account in the department's database. The account shall be accessible by the person or the person's authorized representative to review statements of all transactions associated with the person's account and to make prepayments or payments for authorized transactions with the department. Notwithstanding any other law, monies in financial accounts established pursuant to this section that remain unexpended for a period of five years or more revert to the Arizona highway user revenue fund and shall be distributed pursuant to section 28-6538. 3. Allows a person to comply with the photograph update and proof of vision test requirements prescribed by section 28-3173 through electronic or digital means that meet the department's standards. 4. Enables the department to accept certificate of title brands from other states or jurisdictions and to record these brands on the appropriate vehicle records. F. The director, in consultation with the Arizona medical board or the state board of optometry, may do all of the following: 1. Establish medical and vision standards for driver license applicants and examinations. 2. Establish courses of training, training facilities and qualifications and methods of training for driver license examining personnel. 3. Establish procedures for the certification of driver license examining personnel and driver license instructors personnel. 4. Direct research in the field of licensing drivers. The director may accept public or private grants for the research. 5. Conduct research in the field of examination or reexamination of licensing individual drivers with medical or vision problems. 6. Set minimum vision standards for the operation of a motor vehicle in this state. G. The director may implement electronic or digital versions of driver licenses, nonoperating identification licenses, vehicle registration cards, license plates or other official records of the department. 28-365. Disposition of fees Except as otherwise provided by statute, the director shall immediately deposit, pursuant to sections 35-146 and 35-147, fees collected under this title in the Arizona highway user revenue fund. 28-366. Director; rules The director shall adopt rules pursuant to title 41, chapter 6 as the director deems necessary for: 1. Collection of taxes and license fees. 2. Public safety and convenience. 3. Enforcement of the provisions of the laws the director administers or enforces. 4. The use of state highways and routes to prevent the abuse and unauthorized use of state highways and routes. 28-367. Public transit The director shall: 1. Receive, allocate, control and disperse all monies designated for state public transit programs by federal or state law. 2. Pass on projects for construction in cooperation with the United States. 3. Negotiate and enter into contracts on behalf of this state with the United States for the cooperative construction and maintenance of federal aid public transit systems in this state. 4. Enter into agreements on behalf of this state with counties, cities, towns, public transit districts or any other political subdivisions for the improvement or maintenance of public transit systems or for the joint improvement or maintenance of public transit systems. 5. Enter into contracts for the construction of state public transit systems. 28-368. Property acquisition; definition A. The director may acquire in the name of this state by gift, grant, purchase, lease-purchase, condemnation or any other lawful manner real property or buildings that are necessary, useful or convenient for the use of the department. The director shall not acquire land or buildings by purchase or condemnation without prior approval of the joint committee on capital review established by section 41-1251 and without an appropriation of monies by the legislature for the acquisition. B. The director may enter into certificate of participation financing arrangements to provide financing or refinancing for real property or buildings that are necessary, useful or convenient for the use of the department. C. A lease-purchase agreement relating to land or buildings under this section shall provide that: 1. The obligation of this state to make a payment under the agreement is a current expense of the department, is payable exclusively from appropriated monies and is not a general obligation indebtedness of this state or the department. 2. If the legislature fails to appropriate monies or the department fails to allocate the monies for any periodic payment or renewal term of the agreement, the agreement terminates at the end of the current term and this state and the department are relieved of any subsequent obligation under the agreement. 3. The attorney general and the joint committee on capital review shall review and approve the agreement before the lease-purchase agreement takes effect. D. The attorney general shall review the agreement for compliance with the constitution and laws of this state. If in the attorney general's opinion the agreement is in compliance, the attorney general shall append the attorney general's certification to the agreement and return it to the department. On request by the director, the attorney general may give other opinions relating to the agreement. E. The joint committee on capital review shall review and approve a lease-purchase agreement under this section before the agreement takes effect. F. The department may covenant to use its best efforts to budget, obtain, allocate and maintain sufficient appropriated monies to make payments under a lease-purchase agreement. The agreement shall acknowledge that appropriating state monies is a legislative act and is beyond the control of the department or of any other party to the agreement. G. For the purposes of this section, "certificate of participation financing" means an installment purchase or lease-purchase agreement that is subject to appropriations and that is structured to allow investors to receive a portion of the principal and interest payments made by the department as required by the agreement. 28-369. Law enforcement powers; ports of entry; violation; classification A. The director and officers, agents and employees of the department or local or state law enforcement agencies the director designates are peace officers. The director may designate: 1. Regular peace officers with like authority of other peace officers of this state or cities and towns of this state. 2. Specialty peace officers whose powers are limited to the enforcement of motor vehicle laws and rules. B. The director and designated officers, agents and employees may exercise the powers prescribed in subsection A of this section throughout this state. C. A regular peace officer designated pursuant to subsection A, paragraph 1 of this section: 1. Shall meet the minimum qualifications established for peace officers pursuant to section 41-1822. 2. Except as provided in title 38, chapter 5, article 4, is not eligible to participate in the public safety personnel retirement system. D. A peace officer who is designated by the department pursuant to subsection A of this section: 1. Has the primary duties of protecting this state's transportation infrastructure and promoting road safety through the enforcement of state and federal commercial motor carrier laws and rules and of conducting vehicle inspections and investigations of fraud, abuse and misconduct pursuant to state law. 2. May not enforce a violation of chapter 3, articles 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15 and 16 of this title if the violation is committed by the operator of a noncommercial motor vehicle unless the peace officer determines that a failure to enforce the violation could result in a substantial risk of imminent death or serious physical injury. E. This section does not preempt the authority and jurisdiction of established agencies and political subdivisions of this state. F. A mobile port of entry may be operated only within twenty-five road miles of a fixed port of entry in this state unless state or municipal law enforcement agencies request assistance for commercial motor vehicle enforcement to streamline operations or combine enforcement resources for compliance, education or training or to ensure safe, secure and efficient commercial transportation across this state. G. A peace officer as defined in section 41-1701 or a peace officer designated pursuant to subsection A of this section may require a vehicle that is subject to the fee in section 28-5433 or the requirements of sections 28-2321, 28-2322, 28-2323 and 28-2324 to stop at a port of entry in this state for the purpose of enforcing a motor vehicle law prescribed in this title. A person who fails to stop as required by this subsection is guilty of a class 1 misdemeanor. 28-370. Oaths and acknowledgments; power of attorney; definitions A. The director and officers, agents and employees of the department who the director designates may administer oaths and acknowledge signatures, without requiring the payment of a fee, in any matter connected with the administration of a law the enforcement of which is vested in the director. B. Notwithstanding title 14, chapter 5, article 5: 1. The director or an officer, agent or employee of the department who is designated by the director may witness a power of attorney to be used solely in the performance of vehicle title and registration activities. 2. For the purposes of executing a power of attorney in the performance of vehicle title and registration activities, the power of attorney is not required to be: (a) Notarized if it is witnessed by the director or an officer, agent or employee of the department who is designated by the director. (b) Notarized if it is involving a total loss vehicle settlement and an insurance company that is licensed pursuant to title 20 or an agent submits it electronically to the department in a manner approved by the director. The power of attorney may be signed electronically and printed on hard copy by using a commercial product that validates a person's identity by using the national institute of standards and technology's identity assurance level 2 or higher authorization without biometrics. A notation directly associated with the electronic signature at or near the signature line on the form shall indicate that the electronic signature was obtained using the national institute of standards and technology's identity assurance level 2 or higher authentication process. (c) Witnessed if it is notarized. C. For the purposes of this section: 1. "Agent" includes a motor vehicle dealer or a third party authorized pursuant to this title. 2. "Sign electronically" means to attach to or logically associate with an electronic record an electronic sound, symbol or process that is used by a person to execute or adopt the electronic record with the intent to sign the electronic record without the requirement of a physical touch. 28-371. Surety bond A. The director may authorize a person who is required to pay a fee to the department pursuant to section 28-2003, 28-2094, 28-2352, 28-2402, 28-2481, 28-3002, 28-4302, 28-4533, 28-4540, 28-4542, 28-4544 or 28-4802, article 5 of this chapter or chapter 15, article 2 of this title to file with the director a bond on a form approved by the director with a surety company authorized by the corporation commission to transact business in this state as a surety. The person is the principal obligor, and this state is the obligee on the bond. The bond shall be conditioned on the payment by the person to the department of all fees together with any interest and penalties imposed by the department pursuant to this title. The director may accept cash deposits instead of a surety bond to guarantee fee payments. B. The director shall determine the total amount of the bond required of a person, but the amount shall not exceed approximately three times the highest monthly fee estimated by the director to become due by the person. The director may increase or decrease the amount of the bond at any time. 28-372. Returned checks; dishonored electronic payments; fees A. The director may assess: 1. The fee specified in section 44-6852 for a check, draft or order that has been dishonored because of insufficient monies, payments stopped or closed accounts. 2. Collection costs. 3. A fee to be determined by the director for each electronic payment that has been dishonored because of insufficient monies, payments stopped or closed accounts. B. The director shall deposit, pursuant to sections 35-146 and 35-147, fees and costs assessed pursuant to subsection A of this section for dishonored checks, drafts, orders or electronic payments in the state highway fund established by section 28-6991. 28-373. Refunds; limitations A. If the director determines that any tax, penalty, fee or interest has been overpaid or collected that was not lawfully due, the director shall state this fact in the director's records. The director shall either credit the overpayment on an amount due from the person or make a refund to the person or the person's successors, administrators, executors or assignees from receipts that are in the possession of the director and that are collected under the same statute. B. Except as provided in this section and except as otherwise provided in this title, application fees, public record fees, permit fees, license fees and fees and taxes paid for vehicle registration are not refundable once paid. C. Notwithstanding subsection B, the director may refund the fees prescribed in subsection B if both of the following conditions exist: 1. The service has not been rendered or the permit has not been used. 2. It has been determined that the director erred in accepting payment or that the director contributed to a misunderstanding on the part of the person making payment by providing inaccurate, misleading or incorrect information. D. Except as otherwise provided by statute, a person shall make a request for a refund to the director within one year of the date of payment on which a claim for refund is made. 28-374. Fees and taxes; alternative payment methods; penalties A. Subject to the limitations of sections 35-142 and 41-2544, the director may enter into agreements for the purpose of accepting payment for fees and taxes imposed under this title by alternative payment methods, including credit cards, debit cards and electronic funds transfers. B. Before the revenues are transferred to the director as provided in sections 28-2005 and 28-6533, the collecting officer shall deduct any fee charged or withheld by a company providing the alternative payment method under an agreement with the director or the director may reimburse the collecting officer pursuant to an agreement. C. For a tax year or reporting period that begins on or after January 1, 1998, the department may require by rule that a person who owed twenty thousand dollars or more for the preceding tax year in taxes imposed by chapter 16, article 1 of this title pay taxes on or before the prescribed payment date in monies that are immediately available to this state on the date of transfer as provided in subsection D of this section. The rule shall be consistent with the cash management policies of the state treasurer. D. A payment in monies that are immediately available shall be made by electronic funds transfer or any other means that is required by the department, that is approved by the state treasurer and that ensures the availability of the monies to this state on the date of payment. E. A person who pays taxes as prescribed in subsection C of this section shall furnish to the department evidence as prescribed by the department that shows that payment was remitted on or before the prescribed payment date. F. A person who fails to make a timely payment in monies that are immediately available is subject to penalties as prescribed in chapter 16 of this title. 28-375. Alternative office hours for motor vehicle division offices Notwithstanding section 1-302 and to meet the needs of the public, the director may establish hours of operation for motor vehicle division offices other than the office hours for state offices provided in section 38-401. 28-376. Employment of personnel; definition A. The director may obtain criminal history record information regarding applicants for employment for the purpose of hiring personnel. Before making a final offer of employment, the director shall require the preferred applicants to submit a full set of fingerprints. The director shall submit the fingerprints to the department of public safety for the purpose of obtaining a state and federal criminal records check pursuant to section 41-1750 and Public Law 92-544. The department of public safety may exchange this fingerprint data with the federal bureau of investigation. The department of transportation shall not disclose information obtained pursuant to this subsection except to members of the department's staff solely for employment purposes. An applicant shall not be disqualified from employment under this subsection except in accordance with section 13-904, subsection E. B. The director may obtain consumer report information regarding applicants for employment for the purpose of hiring personnel. Information obtained may only be used to determine the suitability of the applicant for positions involving fiduciary or financial responsibilities, the issuance of driver licenses or other personal identification documents or access to highly confidential information. Consumer report information may be obtained and used only in accordance with the fair credit reporting act (15 United States Code sections 1681 through 1681x). An applicant shall not be disqualified from employment under this subsection unless the consumer report information relied on for the disqualification has a reasonable relationship to the functions of the position. C. For the purposes of this section, "applicant" means any person who seeks employment as a new hire or any employee of the department who seeks a transfer, a reclassification or a reassignment to a different position. 28-401. Intergovernmental agreements A. The department may contract under title 11, chapter 7, article 3 with a state public agency in this state or any other state if the general welfare of this state will be promoted and protected and if not in conflict with any other law. B. The director shall enter into agreements on behalf of this state with political subdivisions or Indian tribes for the improvement or maintenance of state routes or for the joint improvement or maintenance of state routes. C. The department may enter into an intergovernmental agreement pursuant to title 11, chapter 7, article 3 with a county with a population of more than two million persons for the construction, design, acquisition and attendant acquisition costs of a county highway bridge to provide direct access to commercial, residential and recreational facilities. The agreement shall: 1. Contain the commitment of the county to pay other monies for the purpose of financing the bridge. 2. State the responsibilities of each party with regard to planning, designing, constructing, owning and maintaining the bridge. 3. Provide that payment for the costs of the bridge shall be made from contributions from the parties to the agreement and other contributors before the use of state transaction privilege tax distributions. D. The department may enter into an intergovernmental agreement pursuant to title 11, chapter 7, article 3 with a county with a population of more than two million persons for the design, reconstruction and improvement costs of a county highway approaching and traversing a bridge constructed pursuant to subsection C of this section. The agreement shall: 1. Contain the commitment of the county to pay other monies for the purpose of financing the highway improvements. 2. State the responsibilities of each party with regard to planning, designing, constructing, owning and maintaining the highway. 3. Provide that payment for the costs shall be made from contributions from the parties to the agreement and other contributors before the use of state transaction privilege tax distributions. 4. Provide for reimbursement to the state general fund of the amount of highway improvement revenues paid to the highway improvement interest fund or redemption fund under section 28-7656, subsection B on the voluntary conveyance of a majority ownership interest in a sports entertainment facility as prescribed by section 42-5032, subsection B. 5. Contain the representation of the county that it has the legally binding assurance of the owner of a sports entertainment facility as defined in section 42-5032, subsection E, that the owner will reimburse the county for any and all expense the county may incur under subsection D, paragraph 4 of this section and section 42-5032, subsection B. 6. Be submitted to the joint legislative budget committee for its review before the execution of the agreement. E. The department may enter into agreements with Indian tribes to provide a method or formula to refund taxes paid on exempt motor fuel purchases or use pursuant to this title. For the purposes of this subsection, "motor fuel" has the same meaning prescribed in section 28-5601. F. The department may enter into an intergovernmental agreement pursuant to title 11, chapter 7, article 3 that obligates the department to indemnify and defend a city, town, county, flood control district, irrigation district or agricultural improvement district or any other political subdivision or governmental agency against claims of liability for injuries, losses or damages incurred in any way as a result of the acts or omissions of the department, including acts, errors, omissions or mistakes of any person for which the department may be liable, and arising out of the construction, operation or maintenance of department projects or facilities or use of department projects or facilities. A city, town, county, flood control district, irrigation district or agricultural improvement district or any other political subdivision or governmental agency may enter into an intergovernmental agreement pursuant to title 11, chapter 7, article 3 that obligates such an entity to indemnify and defend the department against claims of liability for injuries, losses or damages incurred in any way as a result of the acts or omissions of such entity, including acts, errors, omissions or mistakes of any person for which the entity may be liable, and arising out of the construction, operation or maintenance of projects or facilities or use of projects or facilities. Any indemnification pursuant to an intergovernmental agreement must be approved by state risk management in the department of administration. 28-402. Intergovernmental agreements; ports of entry A. The department may enter into intergovernmental agreements with adjoining states pursuant to title 11, chapter 7, article 3 for the purpose of operating facilities at ports of entry into this state. B. The director may negotiate and enter into bilateral agreements with designated representatives of contiguous states to provide for the staffing and operation of jointly occupied ports of entry located within the boundaries of this state or an adjoining state. The agreement may allow employees of either state to collect fees, taxes and penalties imposed by rules or laws of either state for the operation of vehicles on the highways of either state and for the issuance of required permits. C. The director may appoint employees of the adjoining state as law enforcement agents of the department whose powers are strictly limited to the enforcement of tax, weight, size and load, equipment, safety and financial responsibility laws and rules of this state relating to vehicles entering or exiting this state. The director may allow employees of the department to accept similar appointments with the adjoining states. D. The agreement shall provide that this state shall not compensate an employee of the adjoining state appointed pursuant to this section and that the employee is not an employee of this state for purposes of employment rights or benefits. An employee of the adjoining state shall agree that this state shall not compensate the employee and that the employee is not an employee of this state for purposes of employment rights or benefits. E. An employee of this state who accepts an appointment from an adjoining state is not an employee of that state by virtue of the appointment or for purposes of employment rights or benefits. The employee shall not receive compensation from an adjoining state. 28-403. Interstate agreements; commercial vehicle registration The director may enter into agreements with other states on behalf of this state relating to registration of commercial vehicles in the manner provided for in chapter 7, articles 7 and 8 of this title to facilitate the administration of the registration. The registration of fleet vehicles under those articles is subject to the rights, terms and conditions granted or contained in an agreement made pursuant to this section. The director may conclude arrangements or agreements with other states for the exchange of information for audit and enforcement activities in connection with the registration. 28-404. Interstate agreements; fee and tax exemptions The director may enter into agreements with other states on behalf of this state relating to the partial or total exemption from payment of lieu taxes, gross weight fees or use fees, and the partial or total exemption from payment of registration fees of vehicles registered and licensed in a state adjoining this state if the vehicles are used in this state within twenty-five miles of the border and if the owner and vehicles are domiciled in the adjoining state but within twenty-five miles of the border of this state. 28-405. Contract; civil penalty collection A court or political subdivision of this state may contract with the department to collect unpaid civil penalties under terms and conditions prescribed in the contract. 28-406. Interstate agreements; dealer or manufacturer plates The director may enter into agreements with other states on behalf of this state relating to reciprocity in the use of dealer or manufacturer plates on vehicles. The agreements shall permit motor vehicle dealers or manufacturers in another state to use dealer or manufacturer plates issued by that state in this state without registration of the vehicle or payment of taxes in this state. The use of these plates is subject to the same terms and conditions that the other state imposes on the use of the plates in the other state by a motor vehicle dealer or manufacturer doing business in this state without registration of the vehicle or payment of the taxes in the other state. 28-407. Agreements with other jurisdictions; parking privileges A. The director may enter into agreements with other jurisdictions, including foreign jurisdictions, on behalf of this state that extend parking privileges to residents of this state with a permanent disability and that recognize international symbol of access special plates issued by the other jurisdictions. B. This state shall grant the same parking privileges as granted to a resident of this state to a nonresident for a motor ve