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F I S C A L I M P A C T R E P O R T

SPONSOR Ashbill

ORIGINAL DATE

LAST UPDATED

2/9/2007

HB

SHORT TITLE School Bus Registration Alternatives

SB 648

ANALYST Schuss

REVENUE (dollars in thousands)

Estimated Revenue

Recurring

or Non-Rec

Fund

Affected

FY07

FY08

FY09

Minimal

Minimal Recurring Motor Vehicle

Division

(Parenthesis ( ) Indicate Revenue Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Public Education Department (PED)

Did Not Respond

Taxation and Revenue Department (TRD)

SUMMARY

Synopsis of Bill

Senate Bill 648 will allow a school district, another public entity or a school bus contractor to

register a school bus on a permanent basis. A school district, another public entity or a school

bus contractor that does not permanently register a school bus may renew the registration of two

or more school buses at a common date of its choosing on an annual basis, the fee for annual reg-

istration is $7. The one-time fee for a school bus initially registered at the time an original cer-

tificate of title is issued is $140. The one-time fee for a school bus registered subsequent to the

issuance of the original title will be $100.

FISCAL IMPLICATIONS

The Motor Vehicle Division (MVD) will collect these registration fees upfront rather than annu-

ally. This will generate positive revenue for MVD initially, but an analysis from TRD will be

Senate Bill 648– Page

2

needed to know more precise fiscal impacts.

PED notes that on average there are 130 school bus replacements per year and with the initial

collection of $140 an estimated $18,200 would be generated for MVD.

SIGNIFICANT ISSUES

PED notes that this bill would mainly benefit private school bus operators. This bill would elimi-

nate multiple visits to MVD field offices to collect minimal annual fees. This would help opera-

tions to pay for Tax, Title, and License (TTL) upfront. Presently, operators have to renew every

year depending upon the month the school bus was originally registered. This requires multiple

visits to the MVD dependent upon how many school buses are owned. A permanent registration

fee would require one visit to the MVD for the life of the school bus.

ADMINISTRATIVE IMPLICATIONS

SB 648 could have an administrative impact on TRD if new registration documents must be cre-

ated to distinguish between permanent and annual status.

BS/mt