HB 1299-FN – AS INTRODUCED
2012 SESSION
03/01
HOUSE BILL 1299-FN
AN ACT relative to permit fee transfer credits.
SPONSORS: Rep. Davenport, Rock 12
This bill specifies that permit fee transfer credits be prorated on a daily basis.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
12-2542
03/01
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Twelve
AN ACT relative to permit fee transfer credits.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Transfer Credits. Amend RSA 261:150, I to read as follows:
I. Upon transfer of ownership of a vehicle the permit shall expire; provided, however, that any owner who has paid a permit fee for registration of a vehicle the ownership of which is transferred or of one which is subsequently totally lost by fire, theft, or accident, during the same registration period, shall be entitled, upon the payment of $5, to credit to the amount of any such permit fee toward other permit fees which may be required of him or her in the same registration period. The difference, if any, between the credit and the amount due on the newly registered vehicle shall be prorated on a daily basis for the remainder of the registration period.
2 Effective Date. This act shall take effect 60 days after its passage.
LBAO
12-2542
Revised 11/01/11
HB 1299-FN - FISCAL NOTE
AN ACT relative to permit fee transfer credits.
FISCAL IMPACT:
The Department of Safety states this bill will increase state highway fund expenditures by $315,000 in FY 2012, and increase local revenue by an indeterminable amount in FY 2012 and each year thereafter. The New Hampshire Municipal Association states this bill will have an indeterminable impact on local revenue in FY 2012 and each year thereafter. There will be no fiscal impact on state or county revenue, or county or local expenditures.
METHODOLOGY:
The Department of Safety states this bill would make a change relative to the credit against permit fees on the transfer of vehicle registration between vehicles of the same owner upon transfer of ownership or loss by fire, theft, or accident. The Department states currently the credit is prorated on a monthly basis over the remainder of the registration period, and the bill would change that to prorate the credit on a daily basis over the remainder of the registration period. As the permit fees are paid to towns, the Department estimates state revenues would not be affected, however the change would require some reprogramming within the state registration computer system and testing of those updates at both the state and municipal agent level. The Department estimates those costs to be incurred as follows:
FY 2012
Programming changes (600 hours x $175 per hour) $105,000
Testing on state system (200 hours x $175 per hour) $35,000
Browser testing – municipal agents (500 hours x $175 per hour) $87,500
Vendor testing – municipal agents (500 hours x $175 per hour) $87,500
Total State Cost FY 2012 $315,000
The Department of Safety also states this bill, by changing the calculation of the credit from prorating monthly to prorating daily and keeping the price charged for the registration at a full month regardless of the day during the month the registration is obtained, will increase local revenue by an indeterminable amount, as registrants would receive a credit based on a portion of the month (prorating daily) while paying registration for the whole month. Because the registration credits are prorated on a monthly basis currently, the New Hampshire Municipal Association states the proposed bill may cause a negligible increase or decrease in local revenues, depending on the day of the month the applicant registers the new vehicle. Both entities do not possess the information to project what the change in local revenue would be, however it would probably not be significant.