What's happening
This bill exempts motor vehicle dealers selling fewer than 100 vehicles annually from using the VERIFI system if additional requirements are met.
Why it matters
Could reduce regulatory burden and costs. for small auto dealers (those selling fewer than 100 vehicles annually), potentially making it easier for smaller businesses to operate without investing in the VERIFI system.
Maintains some oversight and consumer protections. by requiring eligible dealers to meet specific additional requirements (from 15 NYCRR 78.9(c)(1)), ensuring not all regulations are waived.
May encourage more entrepreneurship or retention of small dealerships,. especially in rural or low-volume markets where the cost of compliance with VERIFI is disproportionately high.
Requires the DMV commissioner to create clear guidelines. for how the exemption will be implemented, which could affect how consistently and fairly the exemption is applied across the state.
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Who cares
Headline styles
Ease Rules for Small Dealers
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to transportation
- Referred to transportation
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2392
2019-2020 Regular Sessions
IN SENATE
January 24, 2019
Introduced by Sen. RITCHIE -- read twice and ordered printed, and when printed to be committed to the Committee on Transportation
AN ACT to amend the vehicle and traffic law, in relation to expanding the requirements for dealer exemption from the vehicle electronic reassignment and integrated facility inventory system
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The vehicle and traffic law is amended by adding a new section 200-a to read as follows:
§ 200-a. Vehicle electronic reassignment and integrated facility inventory system; exemption. 1. No dealer shall be required to utilize the vehicle electronic reassignment and integrated facility inventory system (VERIFI) if such dealer sells fewer than one hundred vehicles per year and meets the additional exemption requirements described in subparagraphs (ii), (iii) and (iv) of 15 NYCRR 78.9(c)(1).
2. The commissioner shall promulgate rules and regulations necessary to implement the exemption requirements under this section.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD08349-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the vehicle and traffic law, in relation to expanding the requirements for dealer exemption from the vehicle electronic reas- signment and integrated facility inventory system
Purpose
This act will allow smaller car dealers who sell fewer than 100 cars per annum to opt out of the New York State Department of Motor Vehicle's system for electronically tracking automobile dealers' sales of motor vehicles in New York State, the Vehicle Electronic Reassignment and Integrated Facility Inventory (VERIFI).
Summary of provisions
Section 1 Amends the vehicle and traffic law by adding section 200-a providing that no dealer shall be required to use VERIFI if a dealer sells fewer than one hundred vehicles per year and meets the additional exemption requirements, with an additional stipulation that the commis- sioner shall promulgate rules and regulations necessary to implement this amendment
Section 2 States that this act will take place immediately
Justification
Beginning in Mid-September of 2018, the New York State Department of Motor Vehicles implemented the VERIFI program to replace a paper-based system for Certificates of Sale (MV-50) to transfer ownership, record current vehicle mileage and produce a temporary registration. Previous to the implementation of VERIFI, MV-50s were printed on secure and seri- alized paper and bound in groups of 50 into one book costing $250. To receive a new book of MV-50s once their current one was spent, dealers had to return the old book so the DMV could process a replacement order. The DMV estimated that about 35,000 replacements were ordered each year.
The VERIFI program enables dealers to complete vehicle sales via an electronic Certificate of Sale and replace the current paper-based Book of Registry with an electronic inventory system.
Small dealerships, however, are adversely affected by this new system. These smaller businesses operate without the use of computers and the internet, with some operating in areas where highspeed internet is not even an option. VERIFI places an undue economic stress on these smaller dealerships by requiring increased business costs on their internet capabilities, and, in some cases, requires certain standards that cannot physically be met. This bill would allow for smaller dealerships to opt-out of the program, qualifying by the number of vehicles sold per annum.
Legislative history
New Bill.
Fiscal implications
None.
Effective date
The act shall take effect immediately
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.