BILL NUMBER: S2101A

SPONSOR: RITCHIE
 
TITLE OF BILL:  An act to amend the vehicle and traffic law, in
relation to allowing county clerks to retain fees collected for motor
vehicle related services through a department of motor vehicles' website

 
PURPOSE OR GENERAL IDEA OF BILL:  An act to amend the vehicle and
traffic law, in relation to allowing county clerks to retain fees
collected for motor vehicle related services through a department of
motor vehicles' website.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1 amends § 205(3) of the Vehicle and Traffic Law by adding that
the commissioner shall remit on a quarterly basis to each such county
clerk from fees collected for any motor vehicle related service
described in subdivision one of this section that are processed through
the department of motor vehicles' website 12.7 percent of the retention
of gross receipts.

              

Section 2 is the effective date.

 
EXISTING LAW:

Article 2 of the Vehicle and Traffic Law (VTL) governs the Department of
Motor Vehicles and the obligations of the Department's Commissioner.
Section 205 of the VTL designates county clerks as agents of the commis-
sioner and includes provisions of law relating to their authority,
responsibilities, and fees.

Subsection 1 of § 205 of the VTL provide, each county clerk, except the
counties of Rockland, Albany, Westchester, Suffolk, Nassau, Onondaga,
Bronx, Kings, Queens, Richmond, and New York, shall act as the agent of
the commissioner in the registration of motor vehicles, motorcycles, and
when directed by the commissioner, snowmobiles, vessels and all terrain
vehicles, and in the issuance of certificates thereof and number plates
therefor, in receiving documents relating to certificates of titles, and
unless and until the commissioner shall otherwise direct in any county,
in the issuance of non-driver identification cards and drivers' license
upon the certification of inspectors, and motor vehicle enforcement
transactions. Each such agent all remit to the commissioner all fees
collected by him for registrations, licenses, identification cards and
transfers or relating to certificates of titles, except as hereinafter
provided, together with a compete record of such registrations, iden-
tifications cards and licenses issues and transfers made, in accordance
with the procedure prescribed by the commissioner, and with all docu-
ments relating to certificates of titles received and such record there-
of as the commissioner prescribes.

Subsection 3 of § 205 of the VTL provides, each county clerk, except the
counties of Rockland, Albany, Westchester, Suffolk, Nassau, Onondaga,
Bronx, Kings, Queens, Richmond, and New York, shall retain from fees
collected for any motor vehicle related service described in subsection
one of this section processed by such county clerk an amount based on a
percentage of gross receipts collected. The term gross receipts shall
include all fines, fees and penalties collected pursuant to this chapter
by a county clerk acting as agent of the commissioner, but shall not
include any state or local sales or compensating use taxes imposed under
or pursuant to the authority of Articles 28 and 29 of the Tax Law and
collected by such clerk on behalf of the commissioner of Taxation and
Finance. The retention percentage shall be 12.7%.

Subsection 3-a of 3 of § 205 of the VTL relates to the fees retained by
the county collected by the commissioner through "enhanced internet and
electronic partner revenue." Enhanced internet and electronic partner
revenue shall mean the amount of gross receipts of each county and by
designated partners of the department of behalf of the residents for the
current calendar year that exceed the amount of such revenue collected
by the commissioner during the 2011 calendar year. The commissioner
shall certify the amounts to be retained by each county clerk pursuant
to this subdivision.

 
JUSTIFICATION:

The increasing use of the DMV website by residents to renew registra-
tions and complete other services has decreased the amount of fees paid
directly at local DMV offices in counties throughout the state. Nonethe-
less, counties still must support these offices financially. In order to
eliminate this increasingly unfunded mandate, counties should receive
the same 12.7% of gross receipts of services rendered at the DMV website
as they would if residents were using the local DMV office, rather than
a percentage determined by the Commissioner.

This bill directs DMV to remit the 12.7% of processing fees to respec-
tive counties from transactions through the DMV website, according to
the county of residence of the applicant or registrant.

 
LEGISLATIVE HISTORY:

2015-2016: S.6050

 
FISCAL IMPLICATIONS:

To be determined.

 
EFFECTIVE DATE:
This act shall take effect April 1, 2019; provided, however, that effec-
tive immediately, the addition, amendment and/or repeal of any rule or
regulation necessary for the implementation of this act on its effective
date are authorized and directed to be made and completed on or before
such effective date.