VEHICLE REG.; DRIVING LICENSE; MODIFY                                       S.B. 507 (S-1)-509:

                                                                                                    SUMMARY OF BILL

                                                                                                  ON THIRD READING

 

 

 

 

 

 

 

 

 

Senate Bill 507 (Substitute S-1 as reported by the Committee of the Whole)

Senate Bills 508 and 509 (as reported by the Committee of the Whole)

Sponsor:  Senator Kevin Daley (S.B. 507)

               Senator Ruth Johnson (S.B. 508)

               Senator Curtis S. VanderWall (S.B. 509)

Committee:  Committee of the Whole

 


CONTENT

 

Senate Bill 507 (S-1) would amend the Michigan Vehicle Code to do the following:

 

 --    Require the Secretary of State (SOS) to provide a written report within 30 days after the bill's effective date to the Senate Majority Leader, the Speaker of the House of Representatives, and the chairpersons of the Senate and House of Representatives Appropriations Committees detailing its plan to reopen all SOS branches to the general public for in-person services, without the requirement of an appointment.

 --    Specify that a registration issued to a motor vehicle, recreational vehicle, trailer, semitrailer, or pole trailer, when driven or moved on a street or highway, that expired on or after March 1, 2020, would be valid until September 30, 2021.

 --    Specify that a registration issued to any vehicle described above that was used for commercial purposes and expired March 1, 2020, would be valid until September 30, 2021.

 --    Specify that a commercial vehicle, trailer, or semitrailer issued a registration under an international registration plan that expired on or after March 1, 2020, would be valid until September 30, 2021.

 --    Provide that an operator's or chauffeur's license that expired on or after March 1, 2020, would be valid until September 30, 2021.

 --    Provide that a temporary instruction permit, an original operator's license with a graduated licensing provision, a temporary driver education certificate, a commercial learner's permit, and a motorcycle instruction permit that expired on or after March 1, 2020, would be valid until September 30, 2021.

 --    Waive from July 1, 2020, to August 31, 2021, requirements to satisfy Federal regulations and present medical certification for a commercial learner's permit, a vehicle group designation, or a vehicle indorsement under the Waiver in Response to the COVID-19 National Emergency or any extension of that waiver issued after August 31, 2021.

 --    Prohibit the SOS from assessing a late renewal fee for an expired registration until the SOS resumed providing adequate in-person services.

 

Senate Bill 508 would amend the Enhanced Driver License and Enhanced Official State Personal Identification Card Act to do the following:

 

 --    Specify that an enhanced driver license or enhanced official State personal identification (ID) card that expired on or after March 1, 2020 would be considered valid until September 30, 2021.

 --    Require the SOS to process an application as a renewal of an existing enhanced driver license or enhanced official State personal ID card if it received an application to renew an enhanced driver license or enhanced official State personal ID card that expired on or after March 1, 2020 before September 30, 2021.

 --    Prohibit the SOS from assessing a late renewal fee for an enhanced driver license or enhanced official State personal ID card that expired on or after March 1, 2020 and was renewed before September 30, 2021.

 --    Prohibit the SOS from assessing a late renewal fee under the Act until the SOS resumed providing adequate in-person services.

 

Senate Bill 509 would amend Public Act 222 of 1976, which governs the form, issuance, and use, of an official State personal ID card, to do the following:

 

 --    Specify that an ID card expiring on or after March 1, 2020, would be considered valid until September 30, 2021.

 --    Specify that if the SOS received an application to renew an ID card that expired on or after March 1, 2020, before September 30, 2021, the SOS would have to process the application as a renewal of an existing ID card.

 --    Prohibit the SOS from assessing a late renewal fee for an official State personal ID card that expired on or after March 1, 2020, and was renewed before September 30, 2021.

 

The bills are tie-barred, and each bill specifies that its provisions are intended to be retroactive and would apply retroactively from April 1, 2021.

 

MCL 257.1a et al. (S.B. 507)                                      Legislative Analyst:  Tyler VanHuyse

       28.304 & 28.306 (S.B. 508)

       28.292 (S.B. 509)

 

FISCAL IMPACT

 

Senate Bill 507 (S-1) likely would not have a significant fiscal impact on the Department of State, as the fees from renewals of registrations, certificates, endorsements, and driver licenses eventually would be collected by the Department, albeit at a later date than normal.

 

Regarding late fees, the Department could see a decrease in revenue as the Department of State would not be allowed to assess a late fee at renewal for a registration, certificate, endorsement, or license or registration that expired between March 1, 2020, and September 30, 2021, if the Secretary of State does not provide adequate in-person services as prescribed. On average the Department of State collects an estimated $965,000 per month in late fees for these renewals.

 

Senate Bill 508 and Senate Bill 509 would have a negligible fiscal impact on the Department of State as the bills only would delay the collection of those license renewal fees. The proposal to waive the late fees for a renewal under certain circumstances could slightly decrease late fee revenue. The loss in revenue to the Department of State is indeterminate and would depend on the actual number of late fees that were waived.

 

Date Completed:  6-10-21                                                   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.