neighborhood electric vehicles; VLT; exemption
HB 2367 clarifies that certain low-speed neighborhood electric vehicles (NEVs) meeting federal safety standards (49 CFR §571.500) and designed for 20 mph or less are excluded from Arizona's standard vehicle classification for registration. This specifically exempts these vehicles from the typical vehicle license tax rules that apply to other alternative-fuel vehicles, meaning owners won't pay the standard $4-$5 annual tax. The bill directly affects owners of qualifying NEVs, such as neighborhood electric shuttles or low-speed electric vehicles without a VIN. It updates Arizona law to define these vehicles separately, ensuring they aren't subject to standard vehicle registration requirements.
Bill status
failed
3 of 5 stages cleared
Introduction
Jan 2026
Committee Review
Feb 2026
House Passage
Feb 2026
Senate Passage
Governor
Introduced Jan 15, 2026
Last action Mar 17, 2026
Maddy AI version diff · 1 comparison
What changed between versions
Introduced Version
→
House Engrossed Version (02/26/2026)
·
2 edits
·
Feb 26, 2026
MINOR
The bill was renumbered and reclassified from an 'Introduced Version' to a 'House Engrossed Version' for the 2026 session, indicating it has passed initial committee review. The substantive policy text regarding vehicle tax rates, definitions, and exemptions remains unchanged, though minor formatting corrections were made to the definitions section.
Scope change
The bill's scope and applicability remain unchanged; it continues to govern the classification and taxation of neighborhood electric vehicles and alternative fuel vehicles in Arizona.
TECHNICAL
The bill header was updated to reflect the 'House Engrossed Version' dated 02/26/2026, signifying legislative progress, while the core statutory text was retained without substantive policy alterations.
Minor formatting corrections were applied to the definitions section, specifically adjusting capitalization and punctuation in the list of excluded vehicle types.
Floor votes · House Feb 26, 2026
How they voted
40–13
Passed · 7 other
Total votes 60
Feb 26, 2026
D
Democratic27
48% Nay
R
Republican33
93% Yea
Vote distribution
All Yea
All Nay
Mixed
No data
Full legislative history
Actions timeline
Total actions
10
Key actions
3
Committee
1
Feb 26, 2026
Lower · Passed
PASSED
lower
Feb 25, 2026
Lower · Passed
DP
lower
Feb 4, 2026
Lower · Passed
DP
lower
1 primary · 0 co-sponsors
Sponsors
Role
Legislator
Party
State
District
P
Rachel Keshel
RRepublican
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