Special Revenue

Sources of Revenue:

Special Fund

Legislation creates:

Neither Program nor Fund

Fiscal Note Summary

Effect this measure will have on costs and revenues of state government.

    The purpose of this bill is to improve the collection of fines and fees from persons who fail to respond to a municipal court summons or who fails to pay assessed fines and fees.
    Fines and fees collected from this bill would be distributed to various municipal and state agencies.
    The Division of Motor Vehicles is notified by the court system of those individuals who fail to appear for a summons or who fail to pay fines, costs, and forfeitures. The Division notifies the individual that unless they make contact with the court and pay the required fees that their driver's license will be suspended.
    This bill will require that ninety (90) days after the individual has been notified and had their driver's license suspended, that if the individual has not appeared in court or paid their fine, the court notifies the State Tax Commissioner. The Tax Commissioner will take the appropriate steps to withhold all future state income tax payments until the court fine is paid.
    The courts may elect to have the Division of Motor Vehicles issue second notices to those who were convicted or failed to appear after January 1, 1993.
    The Division mails notification letters to individuals who are noncompliant in court appearances or the payment of fines. These individuals are given two (2) weeks to prove they have satisfied the court summons and should not be suspended.
    As a result of these letters, the Division suspended 54,150 driver's licenses in fiscal year 2004.
    The Division estimates that 9,000 letters per year are ignored and the individual does nothing to satisfy the courts.
    The Division's records indicate that approximately 223,000 citation files remain open. The Division estimates that only 60% or 133,000 of these individuals could be contacted.
    To process the 133,000 open files and the approximate 9,000 additional files per year, the Division would need three additional employees.
    The estimated total cost to process the 133,000 backlog of open files plus the 9,000 additional files per year is $751,490.
    This bill also increases the driver's license reinstatement fee to $50.00. During fiscal year 2004, the Division reinstated 35,800 driver's license. Revenue generated by this bill will be $1,253,000. This does not include possible additional revenue that would be generated by processing the existing back log.

Fiscal Note Detail

Effect of Proposal Fiscal Year
Fiscal Year
(Upon Full
1. Estmated Total Cost 751,490 751,490 751,490
Personal Services 93,600 93,600 93,600
Current Expenses 648,140 648,140 48,250
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 9,750 0 0
2. Estimated Total Revenues 1,253,000 1,253,000 1,253,000

Explanation of above estimates (including long-range effect):

    Estimated Cost
     Clerical Employees (3) $63,000
     Benefits $30,600
    Current Expenses
     Programming cost for addition notification
     to all letters $500
     Postage certified 4.42 x 142,000 $627,640
     Telephone $10,000
     Envelopes, paper for letters $5,000
     Computer processing time $5,000
     Total Current Expense $648,140
     Computers (3) $3,000
     Printer $750
     Cubicles $6,000
     Total Equipment $9,750
    Total first year cost to process 9,000
     noncompliant individuals $751,490
     Current reinstatement fee $15.00
     Proposed Fee $50.00
     Increase in Fee $35.00
     Number of Reinstatements in FY 2004 35,800
     Increase in Revenue $1,253,000



    Person submitting Fiscal Note: Richard M. Johnston
    Email Address: