REGISTRATION PLATE: DIGITAL PRINTING S.B. 374:
SUMMARY OF BILL
REPORTED FROM COMMITTEE
Senate Bill 374 (as reported without amendment)
Sponsor: Senator Wayne Schmidt
CONTENT
The bill would amend the Michigan Vehicle Code to require the Department of State, by January 1, 2018, to use a digital printing method to create all standard design registration plates.
"Digital printing method" would mean a method of creating a registration plate using a retroflective sheeting material that is printed using UV-curable ink-jet technology to achieve the highest quality and speed of printing.
MCL 257.224 Legislative Analyst: Stephen Jackson
FISCAL IMPACT
The bill would have a significant fiscal impact on the Department of State. The Department estimates the total costs to implement the proposed requirement at $4.8 million. The figure is based on an average of 2.5 million new or reissued license plates annually.
The bill would create an estimated initial cost of $1.8 million to purchase the new hardware that would be needed to produce license plates using a digital printing method. Additionally, the bill would raise the per-plate manufacturing cost by 66%, according to the Department. (Current costs are an estimated $1.80 per plate versus an estimated cost of $3.00 per plate under the proposed legislation.) This would increase the production costs for the Department by an estimated $3.0 million annually.
The bill would have no fiscal impact on local government.
Date Completed: 5-25-17 Fiscal Analyst: Joe Carrasco
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.