RELATES TO:
KRS 190.010(29),
(30),
190.032
NECESSITY, FUNCTION, AND CONFORMITY:
KRS
190.032 requires the Motor Vehicle Commission
to establish requirements for initial application for and renewal of a license
to be a nonprofit motor vehicle dealer and directs the commission to establish
relevant requirements that shall include standards for disability or
disadvantaging conditions concerning the clients served by nonprofit motor
vehicle dealers. This administrative regulation establishes requirements and
standards for nonprofit motor vehicle dealer requirements and licensing.
Section 1. In addition to
KRS
190.010(29) and the
application requirements established in
605 KAR 1:030,
Sections 1 and 3, a nonprofit motor vehicle dealer applicant shall certify that
it is an organization exempt from taxation pursuant to
26 U.S.C.
Section
501(c)(3) of the
Internal Revenue Code and that it has made all required filings with the
Internal Revenue Service.
Section
2. In addition to
KRS
190.010(30), an applicant
shall demonstrate to the commission that the applicant's sales program serves
only clients meeting two (2) or more of the following disability or
disadvantaging conditions:
(1) The client's
household income is at or below the current federal Poverty Guidelines as
established by the United States Department of Health and Human
Services;
(2) The client has been
designated as physically disabled by any state or federal agency;
(3) The client has an actual need for a motor
vehicle in order to meet work, educational, or medical needs and the client
cannot obtain a reliable vehicle without the dealer's assistance;
(4) The client has received state or federal
funding specifically designed to allow the purchase of a vehicle for personal
or household use; or
(5) The client
has experienced the loss of a functioning vehicle as a result of an event
certified as a natural disaster by any applicable state or federal
agency.
Section 3. Upon
the submission of its initial application and each renewal application
thereafter, the applicant or licensee shall submit the current IRS Form 990
filed by the organization. If the applicant or licensee files a short form
version of IRS Form 990, the commission may require the applicant or licensee
to submit additional information which would be contained on IRS Form 990 if
the commission has reasonable cause to doubt the financial responsibility of
the applicant to comply with the provisions of KRS Chapter 190.
Section 4. A nonprofit motor vehicle dealer
that is not also licensed as either a new motor vehicle dealer or a used motor
vehicle dealer shall not sell any vehicles except as allowed by
KRS
190.032(3).