Bill Barvitski sent me this just now:
Everyone please read carefully! This new law takes effect Jan 1, 2009.Please understand you can have a license plate frame holder as long as itdoesn't cover the name Arizona on the top your license plate. If thelicense plate frame holder covers the name Arizona you'll receive from thenice police officer, a $130.00 ticket! This is your responsibility asprivileged Arizona drivers to know new motor vehicle laws, the statedoesn't send out mailings. So if you have a frame holder that covers thename Arizona on your license plate, remove it before Jan 1, 2009, andreplace it with one that doesn't cover the name Arizona.License Plate Holder Law - State law* requires that the state name at thetop of Arizona license plates must be visible. Any license plate holder orcover that prevents the license plate from being clearly legible is inviolation of this new law. * A.R.S. 28-2354(B.)