LANSING, Mich. – Gov. Rick Snyder signed legislation Thursday that eliminates driver responsibility fees in October of this year rather than the original date of October 2019.
The legislation also includes a new program to assist individuals who have entered into payment plans, as well as provide for possible license reinstatement.
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The driver responsibility fee program was instituted in 2003 by the Michigan Legislature and former Governor Jennifer Granholm to assess fees for driving offenses of varying levels of severity.
“I have long opposed these fees and worked with the Legislature since taking office to phase them out,” Snyder said. “I’m pleased we found a solution that eliminates them without creating new state debt and helps remove barriers to work for more Michiganders.”
HBs 5040, 5043, 5044 and 5079, sponsored by state Reps. Lee Chatfield, Roger Hauck, Joseph Bellino, and Daire Rendon, will amend the same section of the Vehicle Code to make the following changes:
- Specify that after Sept. 30, 2018, Department of Treasury can no longer collect outstanding fees. In addition, it specifies that drivers are no longer liable for any fees that remain outstanding and can have their license reinstated.
- End responsibility for the balance of fees for drivers who had entered into an installment agreement to pay their fees on or before Feb. 1, 2018, and make drivers eligible to have their license reinstated if they were otherwise in compliance with the act.
- Accelerate the existing phase-out so that no new assessments would be issued beginning Oct. 1, 2018.
- Make an individual enrolled in a workforce training payment program eligible to have their license reinstated and fees waived upon completion of the program.
- Eliminate the separate reinstatement fee of $125 charged by the Secretary of State to reinstate a license that was suspended due to unpaid DRFs from the date the bill is signed (March 1, 2018) until December 31, 2018.
- Designate $250,000 to the Department of Treasury for purpose to implement and administer changes to the act and the workforce training program.