WeVote
Log In

Bill

WeVote Research Nonpartisan
Bill Summary · SB 867

SB 867 — Motor Vehicle Service and Repair Act (Auxiliary Facilities; Fee & Exam Fund Changes)

Status: Referred to second reading. Introduced Jan 22, 2025. (Senate substitute S‑2 passed Senate; effective date provided in reports: July 1, 2025.)

Main purpose

Allow the owner of a registered motor vehicle repair facility to operate one nearby auxiliary facility under the same registration and registration number as the primary facility, and revise registration, fee, inspection, and mechanic‑certification examination funding rules.

Key provisions

  • Auxiliary facility authorization

    • Owners may apply to the Secretary of State (SOS) to have one auxiliary facility share the primary facility’s registration/number.
    • Application must include written verification from the municipal governing body or zoning authority that the auxiliary facility complies with local requirements.
    • SOS must review the primary facility’s compliance history and may deny or revoke auxiliary approval if the primary has:
    • Two or more unresolved violations for customer parts retention; or
    • Two or more unresolved violations for failing to maintain records; or
    • An unresolved violation for hindering/obstructing an inspection.
    • Auxiliary facility requirements:
    • Located within one mile of the primary facility.
    • Functions as an extension (mirrors hours, vehicle types, repairs).
    • All in‑person customer interactions (drop‑off/pickup, payment, invoices, documentation) occur at the primary facility.
    • Performs only repairs approved/initiated by the primary facility.
    • Exemptions: auxiliary facilities need not display a separate registration certificate/signage, maintain distinct customer forms/contracts, consumer information sign, or parts return sign.
    • Records for the auxiliary must be stored at the primary facility.
    • Certified specialty/master mechanics working at an auxiliary facility are not required to display certificates there.
    • Auxiliary facilities are subject to SOS and law‑enforcement inspections, including unannounced inspections during normal business hours.

  • Registration and ownership information

    • For applications on/after July 1, 2025, applicants must provide the location of the established place of business plus municipal/zoning verification.
    • Registration must disclose the auxiliary facility (if applicable).
    • The threshold for listing principal occupation/business history increases to owners with ≥25% ownership (from 10%).
    • If the applicant’s reported gross revenue range is ≤ $300,000, SOS may require proof of gross revenue.

  • Fees and mechanic exam

    • Registration fees become nonrefundable.
    • New simplified registration fee tiers (annual gross revenue → fee):
    • Under $50,000 → $100
    • $50,001–$100,000 → $200
    • $100,001–$200,000 → $300
    • $200,001–$300,000 → $400
    • Over $300,000 → $500
    • Owners with revenue > $300,000 may elect multi‑year renewals (1–4 years); fee = annual fee × years.
    • Certification examination fee increased (committee reports indicate $18 total): $12 of the fee deposited into a newly created Mechanic Certification Examination Fund; remaining portion retained in the General Fund.
    • Mechanic Fund use: develop/update and administer the certification exam; fund is special/nonlapsing and administered by SOS upon appropriation.

Who is affected

  • Motor vehicle repair facility owners and operators (including dealerships opening nearby auxiliary spaces)
  • Certified mechanics (display and exam funding rules)
  • Customers (centralized customer interactions at primary facility; consumer protections maintained via inspection/record retention)
  • Department of State / SOS (administration, inspections, revenue administration)
  • Local municipal/zoning authorities (verification required)

Fiscal/administrative impact (estimates from nonpartisan committee reports)

  • Mechanic Certification Examination Fund estimated to receive roughly $500,000 annually (based on ~41,600 exams/year).
  • Revised registration fee schedule estimated to increase General Fund revenue (committee estimates note an additional ~$160,000 annually and broader revenue implications; figures vary by report).
  • SOS would administer the new fund and program changes; auxiliary approvals add application review duties.

Procedural/timeline notes

  • Substitute (S‑2) version was reported and passed in the Senate; several committee reports and fiscal analyses accompany the bill.
  • Reported effective date in analyses: July 1, 2025.
  • Current status in provided information: referred to second reading.

Note: Multiple committee analyses and substitute versions exist; the summary above reflects the provisions in the S‑2 substitute and committee reports as reported by Senate and House fiscal staff.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.