Bill Text: NJ A3129 | 2012-2013 | Regular Session | Introduced
Bill Title: Establishes electronic lien and titling system for New Jersey motor vehicles.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2012-06-21 - Introduced, Referred to Assembly Transportation, Public Works and Independent Authorities Committee [A3129 Detail]
Download: New_Jersey-2012-A3129-Introduced.html
Sponsored by:
Assemblyman GILBERT "WHIP" L. WILSON
District 5 (Camden and Gloucester)
SYNOPSIS
Establishes electronic lien and titling system for New Jersey motor vehicles.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning an electronic lien and titling system for New Jersey motor vehicles and supplementing Title 39 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. Within 60 days of the effective date of this act, the Chief Administrator of the New Jersey Motor Vehicle Commission shall complete a study to determine whether or not the commission has the resources and capability to establish and implement within 12 months of the effective date of this act an electronic lien and titling system to process and administer, in a cost-effective manner, the notification, recording, and release of security interests and title information by the lienholders of motor vehicles in lieu of a paper based system used for those purposes.
b. If the chief administrator determines that the commission has the resources and capability to establish and implement an electronic lien and titling system, the commission shall proceed to establish and implement an electronic lien and titling system within 12 months of the effective date of this act.
c. If the chief administrator determines that the commission does not have the resources and capability to establish and implement an electronic lien and titling system, the commission shall contract with a qualified bidder to establish and implement an electronic lien and titling system for the State. A contract entered into pursuant to this subsection shall be offered, advertised, and awarded in the manner prescribed in chapter 34 of Title 52 of the Revised Statutes and consistent with the provisions of sections 2 and 3 of this act.
2. In addition to the requirements set forth in chapter 34 of Title 52 of the Revised Statutes, whenever the chief administrator seeks to contract for the establishment and implementation of an electronic lien and titling system, the specifications and invitations for bids shall include, but not be limited to, provisions providing that the contract:
a. Shall be for a term of not less than seven years;
b. Shall be a no-cost contract, ensuring that: (1) the commission shall be assessed no charges by the successful bidder for establishing and implementing the electronic lien and titling system; and (2) the successful bidder shall be obligated to reimburse the commission for all implementation costs directly associated with the establishment and implementation of the electronic lien and titling system;
c. Authorizes the successful bidder to charge participating lienholders and their agents reasonable fees for implementing and administering an electronic lien and titling system; and
d. Shall specify a date upon which the electronic lien and titling system shall be operational.
3. In addition to the provisions of chapter 34 of Title 52 of the Revised Statutes concerning the qualifications of bidders, an applicant seeking to enter into a contract with the State to establish and implement an electronic lien and titling system shall meet the following requirements:
a. Have a minimum of 10 years' experience in directly providing both electronic lien services to state motor vehicle departments or agencies and Internet-enabled electronic lien software and services to lienholders;
b. Provide or have previously provided, as a sole supplier, electronic lien services to a state motor vehicle department or agency under a contract awarded in a competitive bidding process;
c. Have a dedicated data processing backup site that is located more than 500 miles from the applicant's primary data processing production site; and
d. Have both motor vehicle department or agency and lienholder help desk and support backup sites which are located more than 500 miles from the applicant's primary help desk and support production sites.
4. Within one year of the date upon which an electronic lien and titling system established pursuant to this act becomes operational, all lienholders, except individuals and those lienholders who are not normally engaged in the business of financing motor vehicles and are administratively exempted by the chief administrator, shall participate in the electronic lien and titling system.
5. The chief administrator shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations to effectuate the purposes of this act, including, but not necessarily limited to, regulations designating the class or classes of lienholders that are exempt from the provisions of the act requiring participation by all lienholders within one year.
6. This act shall take effect immediately.
STATEMENT
This bill establishes an electronic lien and titling system for New Jersey motor vehicles, replacing the State's current paper based system for those vehicles.
Under the bill, the New Jersey Motor Vehicle Commission ("the commission") is required to complete a study to determine whether it has the resources and capability to establish and implement, within one year of the bill's enactment, an electronic lien and titling system to process and administer, in a cost-effective manner, the notification, recording, and release of security interests and titling information by the lienholders of motor vehicles in lieu of the current paper based system.
If the commission determines it does have the resources and capability to implement such a system, it is to proceed immediately to establish such a system within 12 months. If the commission concludes that it does not have the resources and capability to implement such a system, it is to contract with a qualified bidder to establish and implement such a system for the State.
The contract is to be offered, advertised, and awarded subject to the State public contracts law (chapter 34 of Title 52 of the Revised Statutes). In addition, the bill specifies that the contract shall:
(1) be for a term of not less than seven years;
(2) be a no-cost contract, ensuring that the motor vehicle commission is assessed no charges by the successful bidder for establishing and implementing the electronic lien and titling system and that the successful bidder is obligated to reimburse the commission for all costs directly associated with the establishment and implementation of the system;
(3) include an authorization permitting the successful bidder to charge participating lienholders and their agents reasonable fees; and
(4) specify a date upon which the electronic lien and titling system is to be in operation.
The bill also specifies requirements for applicants seeking to enter into a contract with the State. In addition to the qualifications set forth in the State public contracts law, the bill requires applicants to: (1) have a minimum of 10 years experience in directly providing both electronic lien services to state motor vehicle departments or agencies and Internet-enabled electronic lien software and services to lienholders; (2) provide or have previously provided, as a sole supplier, electronic lien services to a state motor vehicle department or agency under a contract awarded in a competitive bidding process; (3) have a dedicated data processing backup site that is located more than 500 miles from the applicant's primary data processing production site; and (4) have both motor vehicle department or agency and lienholder help desk and support backup sites which are located more than 500 miles from the applicant's primary help desk and support production sites.
Finally, the bill mandates that within one year of the date upon which the electronic lien and titling system becomes operational, all lienholders in New Jersey, except individuals and those lienholders who are not normally engaged in the business of financing motor vehicles and are administratively exempted by the chief administrator, must participate in the system.
