Bill Text: MI SB0624 | 2017-2018 | 99th Legislature | Engrossed

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Bill Title: Traffic control; driver license; driver responsibility fee; amend eligibility for alternative payment programs, and eliminate new assessments for certain offenses. Amends secs. 732a & 732b of 1949 PA 300 (MCL 257.732a & 257.732b). TIE BAR WITH: SB 0625'17

Spectrum: Partisan Bill (Republican 1-0)

Status: (Engrossed - Dead) 2018-02-15 - Re-referred To Committee On Michigan Competitiveness [SB0624 Detail]

Download: Michigan-2017-SB0624-Engrossed.html

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SB-0624, As Passed Senate, October 19, 2017

 

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

SENATE BILL NO. 624

 

 

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1949 PA 300, entitled

 

"Michigan vehicle code,"

 

by amending sections 732a and 732b (MCL 257.732a and 257.732b),

 

section 732a as amended by 2016 PA 32 and section 732b as added by

 

2014 PA 283.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 732a. (1) An Subject to subsection (10), an individual,

 

whether licensed or not, who accumulates 7 or more points on his or

 

her driving record under sections 320a and 629c within a 2-year

 

period for any violation not listed under subsection (2) shall be

 

assessed a $100.00 driver responsibility fee. For each additional

 

point accumulated above 7 points not listed under subsection (2),

 

an additional fee of $50.00 shall be assessed. The secretary of

 

state shall collect the fees described in this subsection once each

year that the point total on an individual driving record is 7

 

points or more. This subsection is subject to subsection (11).

 

     (2) An individual, whether licensed or not, who violates any

 

of the following sections or another law or local ordinance that

 

substantially corresponds to those sections shall be assessed a

 

driver responsibility fee as follows:

 

     (a) Subject to subsection (11), (10), upon posting an abstract

 

indicating that an individual has been found guilty for a violation

 

of law listed or described in this subdivision, the secretary of

 

state shall assess a $1,000.00 driver responsibility fee each year

 

for 2 consecutive years:

 

     (i) Manslaughter, negligent homicide, or a felony resulting

 

from the operation of a motor vehicle, ORV, or snowmobile.

 

     (ii) Section 601b(2) or (3), 601c(1) or (2), 601d, 626(3) or

 

(4), or 653a(3) or (4).

 

     (iii) Section 625(1), (4), or (5), section 625m, or section

 

81134 of the natural resources and environmental protection act,

 

1994 PA 451, MCL 324.81134, or a law or ordinance substantially

 

corresponding to section 625(1), (4), or (5), section 625m, or

 

section 81134 of the natural resources and environmental protection

 

act, 1994 PA 451, MCL 324.81134.

 

     (iv) Failing to stop and disclose identity at the scene of an

 

accident when required by law.

 

     (v) Fleeing or eluding an officer.

 

     (b) Subject to subsection (11), (10), upon posting an abstract

 

indicating that an individual has been found guilty for a violation

 

of law listed in this subdivision, the secretary of state shall

assess a $500.00 driver responsibility fee each year for 2

 

consecutive years:

 

     (i) Section 625(3), (6), (7), or (8).

 

     (ii) Section 626 or, beginning October 31, 2010, section

 

626(2).

 

     (iii) Section 904.

 

     (iv) Section 3101, 3102(1), or 3103 of the insurance code of

 

1956, 1956 PA 218, MCL 500.3101, 500.3102, and 500.3103.

 

     (c) Through September 30, 2012, upon posting an abstract

 

indicating that an individual has been found guilty for a violation

 

of section 301, the secretary of state shall assess a $150.00

 

driver responsibility fee each year for 2 consecutive years.

 

However, a driver responsibility fee shall not be assessed under

 

this subdivision for a violation committed on or after October 1,

 

2012.

 

     (d) Through September 30, 2012, upon posting an abstract

 

indicating that an individual has been found guilty or determined

 

responsible for a violation listed in section 328, the secretary of

 

state shall assess a $200.00 driver responsibility fee each year

 

for 2 consecutive years. However, a driver responsibility fee shall

 

not be assessed under this subdivision for a violation committed on

 

or after October 1, 2012.

 

     (3) The secretary of state shall send a notice of the driver

 

responsibility assessment, as prescribed under subsection (1) or

 

(2), to the individual by regular mail to the address on the

 

records of the secretary of state. If payment is not received

 

within 30 days after the notice is mailed, the secretary of state

shall send a second notice that indicates that if payment is not

 

received within the next 30 days, the driver's driving privileges

 

will be suspended.

 

     (4) The secretary of state may authorize payment by

 

installment for a period not to exceed 24 months or, alternatively,

 

the individual may engage in community service or workforce

 

training under section 732b.

 

     (5) Except as otherwise provided under this subsection and

 

section 732b, if payment is not received or an installment plan is

 

not established after the time limit required by the second notice

 

prescribed under subsection (3) expires, the secretary of state

 

shall suspend the driving privileges until the assessment and any

 

other fees prescribed under this act are paid. However, if the

 

individual's license to operate a motor vehicle is not otherwise

 

required under this act to be denied, suspended, or revoked, the

 

secretary of state shall reinstate the individual's operator's

 

driving privileges if the individual requests an installment plan

 

under subsection (4) and makes proper payment under that plan. Fees

 

required to be paid for the reinstatement of an individual's

 

operator's driving privileges as described under this subsection

 

shall, at the individual's request, be included in the amount to be

 

paid under the installment plan. If the individual establishes a

 

payment plan as described in this subsection and subsection (4) but

 

the individual fails to make full or timely payments under that

 

plan, or enters into community service or workforce training under

 

section 732b but fails to successfully complete that service, within

 

the 45-day period allowed, or withdraws from community service or

workforce training with or without good cause shown, the secretary

 

of state shall suspend the individual's driving privileges. The

 

secretary of state shall only reinstate a license under this

 

subsection once. Not later than April 1, 2013, the secretary of

 

state shall only reinstate a license under this subsection 3 times.

 

     (6) A fee shall not be assessed under this section for 7

 

points or more on a driving record on October 1, 2003. Points

 

assigned after October 1, 2003 shall be assessed as prescribed

 

under subsections (1) and (2), but subject to subsection (11).

 

     (6) (7) A driver responsibility fee shall be assessed under

 

this section in the same manner for a conviction or determination

 

of responsibility for a violation or an attempted violation of a

 

law of this state, of a local ordinance substantially corresponding

 

to a law of this state, or of a law of another state substantially

 

corresponding to a law of this state.

 

     (7) (8) The fire protection fund is created within the state

 

treasury. The state treasurer may receive money or other assets

 

from any source for deposit into the fund. The state treasurer

 

shall direct the investment of the fund. The state treasurer shall

 

credit to the fund interest and earnings from fund investments.

 

Money in the fund at the close of the fiscal year shall remain in

 

the fund and shall not lapse to the general fund. The department of

 

licensing and regulatory affairs shall expend money from the fund,

 

upon appropriation, only for fire protection grants to cities,

 

villages, and townships with state-owned facilities for fire

 

services, as provided in 1977 PA 289, MCL 141.951 to 141.956.

 

     (8) (9) The secretary of state shall transmit the fees

collected under this section to the state treasurer. The state

 

treasurer shall credit fee money received under this section in

 

each fiscal year as follows:

 

     (a) The first $8,500,000.00 shall be credited to the fire

 

protection fund created in subsection (8).(7).

 

     (b) For fiscal year 2015, after the amount specified in

 

subdivision (a) is credited to the fire protection fund created

 

under subsection (8), the next $1,550,000.00 shall be credited as

 

follows:

 

     (i) $550,000.00 to the department of treasury, distributed as

 

follows:

 

     (A) $500,000.00 for administering the requirements of the

 

department of treasury under section 732b.

 

     (B) $50,000.00 for providing a 1-time-only written notice to

 

individuals under section 732b(2) of the option of entering into

 

community service as an alternative to paying a driver

 

responsibility fee.

 

     (ii) $1,000,000.00 to the department of state for necessary

 

expenses incurred by the department of state in implementing and

 

administering the requirements of sections 625k and 625q of the

 

Michigan vehicle code, 1949 PA 300, MCL 257.625k and 257.625q.

 

Funds appropriated under this subparagraph shall be based upon an

 

established cost allocation methodology that reflects the actual

 

costs incurred or to be incurred by the secretary of state during

 

the fiscal year. However, funds appropriated under this

 

subparagraph shall not exceed $1,000,000.00 during that fiscal

 

year.

     (c) For fiscal year 2016, after the amount specified in

 

subdivision (a) is credited to the fire protection fund created

 

under subsection (8), the next $1,500,000.00 shall be credited as

 

follows:

 

     (i) $500,000.00 to the department of treasury for

 

administering the requirements of the department of treasury under

 

section 732b.

 

     (ii) $1,000,000.00 to the department of state for necessary

 

expenses incurred by the department of state in implementing and

 

administering the requirements of sections 625k and 625q of the

 

Michigan vehicle code, 1949 PA 300, MCL 257.625k and 257.625q.

 

Funds appropriated under this subparagraph shall be based upon an

 

established cost allocation methodology that reflects the actual

 

costs incurred or to be incurred by the secretary of state during

 

the fiscal year. However, funds appropriated under this

 

subparagraph shall not exceed $1,000,000.00 during that fiscal

 

year.

 

     (b) (d) For fiscal year 2017 and for each fiscal year

 

thereafter, after the amount specified in subdivision (a) is

 

credited to the fire protection fund created under subsection (8),

 

(7), the next $1,000,000.00 shall be credited to the department of

 

state for necessary expenses incurred by the department of state in

 

implementing and administering the requirements of sections 625k

 

and 625q. of the Michigan vehicle code, 1949 PA 300, MCL 257.625k

 

and 257.625q. Funds appropriated under this subdivision shall be

 

based upon an established cost allocation methodology that reflects

 

the actual costs incurred or to be incurred by the secretary of

state during the fiscal year. However, funds appropriated under

 

this subdivision shall not exceed $1,000,000.00 during any fiscal

 

year.

 

     (c) (e) Any amount collected after crediting the amounts under

 

subdivisions (a) through (d) and (b) shall be credited to the

 

general fund.

 

     (9) (10) The collection of assessments under this section is

 

subject to section 304.

 

     (10) (11) A driver responsibility fee shall be assessed and

 

collected under this section as follows:

 

     (a) For an individual who accumulates 7 or more points on his

 

or her driving record beginning on the following dates, a fee

 

assessed under subsection (1) shall be reduced as follows:

 

     (i) Beginning October 1, 2015, the assessment shall be 75% of

 

the fee calculated under subsection (1).

 

     (ii) Beginning October 1, 2016, the assessment shall be 50% of

 

the fee calculated under subsection (1).

 

     (iii) Beginning October 1, 2018, the assessment shall be 25%

 

of the fee calculated under subsection (1).

 

     (iv) Beginning October 1, 2019, no fee shall be assessed under

 

subsection (1).

 

     (b) A fee assessed under subsection (2)(a) or (b) shall be

 

reduced as follows:

 

     (i) For a violation that occurs on or after October 1, 2015,

 

100% of the fee shall be assessed for the first year and 50% for

 

the second year.

 

     (ii) For a violation that occurs on or after October 1, 2016,

100% of the fee shall be assessed for the first year and no fee

 

shall be assessed for the second year.

 

     (iii) For a violation that occurs on or after October 1, 2018,

 

50% of the fee shall be assessed for the first year and no fee

 

shall be assessed for the second year.

 

     (iv) For Except as provided in subdivision (c), for a

 

violation that occurs on or after October 1, 2019, no fee shall be

 

assessed under subsection (2)(a) or (b).

 

     (c) Beginning on the effective date of the amendatory act that

 

added this section, no fee shall be assessed under subsection

 

(2)(b)(iii) or (iv).

 

     (11) (12) It is the intent of the legislature that beginning

 

with the fiscal year ending September 30, 2018, and each fiscal

 

year after that, $8,500,000.00 shall be appropriated to the fire

 

protection fund created under subsection (8).(7).

 

     Sec. 732b. (1) If an individual was assessed a driver

 

responsibility fee under section 732a(2)(c) 732a(1) or (2)(b)(iii)

 

or (iv), (c), or (d), the individual may engage in 10 hours of

 

community service or 10 hours of participation in a workforce

 

training payment program created under section 732c as an

 

alternative to paying that fee or any unpaid portion of that fee.

 

Community service under this subsection shall be completed within

 

45 days after the application to engage in community service is

 

filed with the department of treasury under subsection (3).

 

     (2) An individual may engage in community service or workforce

 

training under subsection (1) by obtaining a community service or

 

workforce training form from the secretary of state or the

department of treasury. The department of treasury shall mail to

 

each individual who is required to pay a driver responsibility fee

 

under section 732a(2)(c) 732a(1) or (2)(b)(iii) or (iv), (c), or

 

(d) a 1-time-only written notice of the option of completing

 

community service or workforce training as an alternative to paying

 

that driver responsibility fee. The notice shall include a

 

statement that community service or workforce training forms for

 

that purpose can be obtained from the department of state or from

 

the department of treasury. The notice shall be sent to the last

 

known address of the individual as shown in the records of the

 

department of treasury. The secretary of state shall make community

 

service and workforce training forms available to the public at all

 

branch offices and on the department's website for purposes of this

 

section and shall provide community service and workforce training

 

forms to the department of treasury for purposes of this section.

 

     (3) If an individual chooses to engage in community service or

 

workforce training under this section, the individual shall

 

complete the community service or workforce training form obtained

 

under subsection (2) and return the form to the department of

 

treasury in the manner prescribed by the department of treasury. by

 

December 31, 2015. Upon receiving a properly completed community

 

service or workforce training form under this subsection, the

 

department of treasury shall inform the department of state that

 

the individual intends to complete community service or workforce

 

training under this section as an alternative to paying a driver

 

responsibility fee or any portion of a driver responsibility fee.

 

If the secretary of state is notified by the department of treasury

that the individual has elected to complete community service or

 

workforce training under this section as an alternative to paying

 

the fee, that fee shall be held in abeyance. for a period of 45

 

days. If the individual's license is suspended for failing to pay

 

the driver responsibility fee or portion of the driver

 

responsibility fee, the department of state shall, upon payment of

 

the reinstatement fee, reinstate the individual's driver license.

 

     (4) An individual who engages in community service or

 

workforce training under this section shall be allowed only 1

 

opportunity to complete the community service or workforce training

 

alternative for each driver responsibility fee owed. However, the

 

department of treasury may allow an individual to withdraw from

 

that community service before the expiration of the 45-day period

 

for completing that community service or workforce training for

 

good cause shown. If the individual is allowed to withdraw from

 

community service or workforce training for good cause shown, that

 

opportunity for completing community service or workforce training

 

shall not be considered in the number of opportunities to perform

 

community service or workforce training under this subsection, but

 

the individual is subject to the suspension of his or her driving

 

privileges under section 732a(5).

 

     (5) Upon completing community service or workforce training

 

under this section, the individual may request the person with whom

 

he or she engaged in community service or workforce training under

 

this section to verify on the community service or workforce

 

training form in the manner designated by the secretary of state

 

that he or she successfully completed that community service or

workforce training. Upon verification, the individual may return

 

the community service or workforce training form to the department

 

of treasury for purposes of this section. Any person who falsely

 

verifies community service or workforce training under this

 

subsection and any individual who falsely requests the verification

 

of community service workforce training under this section or who

 

returns a community service form to the department of treasury

 

under this subsection knowing that his or her community service or

 

workforce training is falsely verified is responsible for a state

 

civil infraction and may be fined not more than $200.00.

 

     (6) The department of treasury shall waive the driver

 

responsibility fee or any portion of the driver responsibility fee

 

otherwise required to be paid under section 732a(2)(c) 732a(1) or

 

(2)(b)(iii) or (iv), (c), or (d) upon receiving verification that

 

the individual successfully completed the community service or

 

workforce training requirements of this section. The department of

 

treasury shall notify the department of state when it has waived

 

the fee under this section or, if the fee is not waived under this

 

section, that the 45-day period has expired and the fee has not

 

been waived. If the secretary of state is notified by the

 

department of treasury that the fee has not been waived, the

 

department of state shall enter that information into the records

 

of the department and shall suspend the individual's driver license

 

and proceed as provided by law for the individual's failure to pay

 

the driver responsibility fee or to complete community service or

 

workforce training under this section.

 

     (7) As used in this section, "community service" means

engaging in a useful and productive activity without compensation

 

for a person other than a family member, including, but not limited

 

to, an entity organized under section 501(c)(3) of the internal

 

revenue code, 26 USC 501, and community service offered through the

 

Michigan community service commission.

 

     Enacting section 1. This amendatory act takes effect 90 days

 

after the date it is enacted into law.

 

     Enacting section 2. This amendatory act does not take effect

 

unless Senate Bill No. 625 of the 99th Legislature is enacted into

 

law.