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

SPONSOR Taylor

ORIGINAL DATE

LAST UPDATED

2/5/08

HB

SHORT TITLE Permanently Disabled Persons License Plates

SB 511

ANALYST Earnest

REVENUE (dollars in thousands)

Estimated Revenue

Recurring

or Non-Rec

Fund

Affected

FY08

FY09

FY10

(***)

($62.8)

($67.3)

Recurring State Road Fund

(***)

($21.3)

($22.8)

Recurring

Local

Governments

(Section 66-6-

23.1)

(***)

($1.5)

($1.6)

Recurring

Highway

Infrastructure

Fund

(***)

($0.7)

($0.8)

Recurring

Recycling and

Illegal Dumping

Fund

(***)

($0.7)

($0.8)

Recurring

Litter Control

and

Beautification

Fund

(***)

($2.9)

($3.1)

Recurring MVD MFRA

Program

***

$22.2

$5.5

Recurring MVD Operating

Fund

***

$95.9

$29.7

Recurring Disability Fund

Total

$28.1

($61.2)

(Parenthesis ( ) Indicate Revenue Decreases)

Source: TRD

SOURCES OF INFORMATION

LFC Files

Responses Received From

Taxation and Revenue Department (TRD)

Department of Transportation (DOT)

Senate Bill 511 – Page

2

SUMMARY

Synopsis of Bill

Senate Bill 511 amends Section 66-3-16 NMSA 1978 to require issuance of permanent

distinctive license plates for use on motor vehicles and motorcycles owned by persons with

significant mobility limitations. A written application is required, accompanied by a medical

statement from a licensed physician attesting to the person’s permanent significant mobility

limitation. A one-time $100 plate fee is required, with no regular registration fee. Fee revenue is

to be distributed as follows: $20.00 to be retained by TRD to defray the costs of making and

issuing the plate; and $80.00 to be distributed to the disability fund and appropriated to the

Governor’s Commission on Disability.

FISCAL IMPLICATIONS

TRD’s estimate for the revenue impact is based on the current number of disabled plates issued

by MVD, and that 75 percent of these 1,825 persons would qualify and apply for the new

permanent plates. Most of the impact is in FY09, and with one time fee of $100 dollars, the total

revenue impact is positive. Because the plates are permanent, revenue from MVD registration

and other fees declines, resulting in a negative overall impact.

The disability fund, which is appropriated to the Governor’s Commission on Disability, would

receive an infusion of revenue in FY09, and smaller amounts in future years.

The forgone MVD registration fees impact the following funds and distributions:

•

Vehicle Registration Fees distributed to the State Road Fund (74.65%) and Local

Governments (25.35%);

•

$1.50 Tire Recycling Fee distributed to Highway Infrastructure Fund (66.67%) and

Recycling and Illegal Dumping Fund (33.33%);

•

$0.50 Beautification Fee distributed to the Litter Control and Beautification Fund;

•

$2.00 Mandatory Financial Responsibility Fee distributed to the Motor Vehicle Division;

•

$2.00 Administrative Fee distributed to the Motor Vehicle Division (62.5%), the State

Road Fund (28%) and Local Governments (9.5%).

SIGNIFICANT ISSUES

TRD reports that the current statute does not require that a significant mobility limitation be

permanent in order to qualify for the disabled person’s plate. This bill would reserve the disabled

plate exclusively for those individual’s whose significant mobility limitation is permanent.

However, once a disabled plate has been issued, there is no statutory provision or current

procedure for periodic qualification for the plate, so it is already effectively permanent. On that

basis, it may be appropriate to require proof of a permanent significant mobility limitation for

issuance of the disabled plate. Requiring such proof is also consistent with the current

requirement [current Sec. 66-3-16 (C)] for issuance of a permanent disabled person’s parking

placard. Individuals whose significant mobility limitation is not permanent would still be eligible

for the temporary (up to one year) placard provided for in current Sec. 66-3-16 (H).

Senate Bill 511 – Page

3

ADMINISTRATIVE IMPLICATIONS

MVD policy, procedures and forms would need to be updated. After the first year, there would

be some modest administrative savings as permanent disabled plates replace those that currently

require annual registration paperwork and fees. In addition, since the implementation of several

special registration plates over the past few years, the revenue accounting system of the MVD

has run out of revenue codes to manage additional special plate revenues. All new special

registration plate revenue streams must be assigned a revenue code so the plate can be

programmed into the system and the associated funds distributed appropriately. Without any

revenue codes available, no additional special registration plate revenue streams can be

implemented into the existing system.

BE/mt