Relates to the fee for number license plates

Title of bill

An act to amend the vehicle and traffic law, in relation to the fee for number plates

Purpose

To repeals the twenty-five dollar license plate fee mandate scheduled to take effect April 2009. This legislation establishes that a fifteen dollar fee is to be paid to the commissioner when license plates are issued.

Summary of specific provisions

Section 1 of the bill amends the vehicle and traffic law by repealing the twenty-five dollar license plate fee mandate paid to the commissioner whenever a set of reflectorized number plates is issued for any vehicle for which a registration fee is normally charged and reinserting the previous fifteen dollar license plate mandate fee. Section 2 provides the effective date.

Justification

There are currently 12 million registered vehicles in New York State, but the bulk of those vehicles are located in Upstate regions For Upstate residents the use of a car is not a luxury, its necessity. As many New York families struggle with the rising cost of living, increased fees in the form of mandates on necessities make their struggle more strenuous. Due to a wide variety of reasons, residents are leaving New York at an alarming rate. Most residents that have decided to relocate out of New York, site unnecessary fees like the proposed license plate mandate as a significant factor in their decision.

The mandate requires every motorist - regardless of their ability to pay - to replace their vehicle license plates beginning next spring. Additionally, the mandate covers cars, trucks, trailers, motorcycles, and all-terrain vehicles. In total, the 25-percent increase in motor vehicles fees and the license plate mandate will cost the average Upstate family $200 each year.

People depend on their cars to get to work, school, the hospital, the store, or just get around. The proposed license plate mandate comes on the heels of last month's 25-percent increase in driver's license and registration fees. Although, the new license plate mandate will draw an estimated $129 million in revenue for the fiscal year 2010-2011, the increased fee is inconvenient and unnecessary. New York just reissued license plates in 2001 and historically the State reissues new license plates every 10 years or so out of perceived need. This time, however, there are no apparent problems with existing license plates. A full license plate replacement program requires a great amount of time and energy on the part of Department of Motor Vehicles, and is not worth all the hassle or burden on residents if the State is only using it to collect money.

Prior legislative history

New Bill

Fiscal implications

Although the estimated revenue obtained from the license plate mandate is $129 million for the 2010-2011 fiscal year, repealing the license plate fee mandate will provide an approximate $200 dollar annual savings to families in Upstate New York.

Effective date

This act shall take effect on the same date and in the same manner as section 1 of part H of chapter 59 of the laws of 2009, takes effect.