A legislative committee on Thursday advanced substitute Senate Bill 293, a narrowed rewrite that retains penalties for offenses involving license plates, revalidation decals, temporary operating permits and certificates of title while adding enforcement tools for the Department of Revenue.
The presenter told the committee the substitute incorporates language from a failed House bill and removes some provisions from the prior draft after concerns were raised. He said the measure increases the dealer bond to $50,000 and raises an administrative fee tied to incomplete or “blank” titling by $7.50 to align it with other penalties in the bill.
The bill also requires that dealers be residents of the state or list a resident agent for service of process, a change members said is designed to give regulators and consumers a local point of contact when out-of-state temporary operating permits are used. The presenter said that provision responds to reported fraud involving out-of-state temporary permits.
On enforcement, the presenter said the bill does not abolish or move the existing dealer board or its appointment authority; instead, it grants the Department of Revenue investigators the authority to inspect dealer records as a condition of licensure so the department can verify vehicle identification numbers, sales and other records the Secretary of State is unable to investigate directly.
Committee members asked whether the measure moved functions from the Secretary of State to the Department of Revenue. The presenter said it does not transfer the board or its appointment process, but it does close an enforcement gap by enabling Department of Revenue investigators to inspect records during licensure investigations.
During discussion the presenter described earlier public confusion about the bill and urged members to note the substitute is a narrowed version of earlier language. He recounted a constituent case in which a consumer who traded in a vehicle continued receiving record and liability fees after the dealer failed to complete the title transfer; the presenter cited that example in explaining the decision to raise the minor titling fee.
A committee member moved to pass the substitute bill; the motion was seconded and the committee approved the measure by voice vote. The transcript records the committee’s approval but does not include a roll-call tally.
The committee adjourned after the vote.