RELATING TO MOTOR VEHICLES.

2024 Regular Session Introduced by Stanley Chang and 8 co-sponsors

SB 2111 sets a five-year limit on collecting delinquent motor vehicle taxes, easing ownership transfers and clarifying guidelines for vehicle owners and counties.

Reported from TCA (Stand. Com. Rep. No. 2598) with recommendation of passage on Second Reading, as amended (SD 1) and referral to JDC/WAM.

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Overview

Bill Number: SB 2111
Introduced On: January 16, 2024
Current Status: Reported from TCA with recommendation of passage on Second Reading, as amended (SD 1), and referred to JDC/WAM.
Subject: Counties, Delinquent Motor Vehicle Taxes and Penalties, Five-Year Limit, Ownership Transfer

SB 2111 aims to address issues related to delinquent motor vehicle taxes and penalties, specifically focusing on the transfer of ownership of vehicles in relation to these debts.

Purpose and Intent

The primary intent of SB 2111 is to establish a clear framework for handling delinquent motor vehicle taxes and associated penalties at the county level. The bill seeks to implement a five-year limit on the collection of these taxes, thereby providing a more structured approach to the transfer of vehicle ownership when outstanding debts exist.

Key Provisions

Five-Year Limit on Delinquent Taxes: The bill proposes a five-year limit for counties to collect delinquent motor vehicle taxes and penalties. After this period, the debts may be considered uncollectible, facilitating smoother ownership transfers.

Ownership Transfer Regulations: The legislation outlines the conditions under which vehicle ownership can be transferred despite the presence of delinquent taxes. This aims to prevent the hindrance of vehicle sales or transfers due to outstanding tax obligations.

Amendments: The bill has been amended (SD 1) during its progression through the legislative process, although specific details of these amendments are not provided in the summary.

Impact

Counties: Local governments will need to adjust their tax collection practices in accordance with the new five-year limit, potentially impacting revenue from motor vehicle taxes.

Vehicle Owners: Individuals looking to transfer ownership of their vehicles will benefit from clearer guidelines and reduced barriers related to delinquent taxes.

Potential Taxpayers: The bill may encourage timely payment of motor vehicle taxes, knowing that debts will not linger indefinitely.

Legislative Timeline

January 16, 2024: Bill introduced and pending introduction.

January 17, 2024: Passed First Reading.

January 18, 2024: Referred to TCA/PSM, JDC/WAM.

February 9, 2024: Re-Referred to TCA, JDC/WAM; public hearing scheduled for February 13, 2024.

February 13, 2024: TCA committee recommended passage with amendments.

February 16, 2024: Report adopted; passed Second Reading, as amended (SD 1), and referred to JDC/WAM.

Conclusion

SB 2111 is a significant legislative measure aimed at reforming the management of delinquent motor vehicle taxes and facilitating ownership transfers. By establishing a five-year limit on tax collection, the bill seeks to create a more efficient and fair process for vehicle owners and local governments alike.

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