HB 1295-FN - AS INTRODUCED
2016 SESSION
\t16-2313
\t03/01
HOUSE BILL\t1295-FN
AN ACT\teliminating the bureau of certificate of title.
SPONSORS:\tRep. Marple, Merr. 24; Rep. L. Christiansen, Hills. 37; Rep. McClarren, Hills. 29
COMMITTEE:\tTransportation
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ANALYSIS
\tThis bill eliminates the bureau of certificate of title.
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Explanation:\tMatter added to current law appears in bold italics.
\t\tMatter removed from current law appears [in brackets and struckthrough.]
\t\tMatter which is either (a) all new or (b) repealed and reenacted appears in regular type.
\t16-2313
\t03/01
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Sixteen
AN ACT\teliminating the bureau of certificate of title.
Be it Enacted by the Senate and House of Representatives in General Court convened:
\t1 Statement of Intent. The general court finds that the practice of taking the certificate of origin for automobiles is an unnecessary and costly duplication of process and is in violation of the Fifth Amendment to the Constitution for the United States of America.
\t2 Repeal. The following are repealed:
\t\tI. RSA 260:24, establishing the bureau of certificate of title.
\t\tII. RSA 260:25, relative to staff of bureau.
\t3 Staff. Current employees of the bureau of certificate of title in the department of safety may be reassigned or offered transfer to other open positions in other agencies of the state.
\t4 Effective Date. This act shall take effect 60 days after its passage.
\t\t\t\t\t\t\t\t\t\t\t16-2313
\t\t\t\t\t\t\t\t\t\t\t11/4/15
1295-FN - FISCAL NOTE
AN ACT\teliminating the bureau of certificate of title.
FISCAL IMPACT:
The Department of Safety states this bill, as introduced, will decrease state revenues by $10,600,000 in FY 2017 and each year thereafter, decrease state expenditures by $1,976,153 in FY 2017, $3,297,557 in FY 2018, $3,348,196 in FY 2019, and $3,400,101 in FY 2020, decrease local revenues by $646,000 in FY 2017 and $1,272,000 in FY 2018 and each year thereafter, and may have an indeterminable impact on local expenditures in FY 2017 and each year thereafter. There will be no impact on county revenues and expenditures.
METHODOLOGY:
The Department of Safety states this bill would eliminate the Bureau of Certificate of Title within the Division of Motor Vehicles, effective 60 days its passage, however would allow for current employees of the Bureau to be reassigned or offered transfer to other open positions in state government. The Department assumes this bill would become effective in FY 2017 and therefore reduce all certificate of title related revenue. The Department estimates a decrease of $10,600,000 per year in state highway fund revenue, which would also have a decrease to local revenues as to RSA 235:23, 12 percent of total road toll revenue and motor vehicle fees are distributed to cities and towns pursuant to the specified formula in the following year. Additionally, local revenues would decrease in that $2.00 is charged by municipalities for each title processed. Based on FY 2015, this would result in a reduction in local revenues of $646,000 per year (323,000 titles @ $2.00 each). The following is a summary of this bill’s estimated impact on revenue:
| FY 2017 | FY 2018 | FY 2019 | FY 2020 |
Highway Fund Revenue | ($10,600,000) | ($10,600,000) | ($10,600,000) | ($10,600,000) |
Total State Revenue | ($10,600,000) | ($10,600,000) | ($10,600,000) | ($10,600,000) |
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Local Processing Fee Revenue | ($646,000) | ($646,000) | ($646,000) | ($646,000) |
Highway Block Grant | $0 | ($1,272,000) | ($1,272,000) | ($1,272,000) |
Total Local Revenue | ($646,000) | ($1,918,000) | ($1,918,000) | ($1,918,000) |
The Department assumes under this bill there would be no expenditures from the Bureau of Certificate of Title accounting unit in FY 2017 and it would not exist in future years. In FY 2017, the total budgeted appropriation for the Bureau was $1,976,153 and the Department assumes a 2.5% growth in future years. Additionally, there would be a reduction to state highway fund expenditures relative to the decrease in highway block grant to municipalities as discussed above. The following is a summary of this bill’s estimated impact on expenditures:
| FY 2017 | FY 2018 | FY 2019 | FY 2020 |
Bureau of Certificate and Title | ($1,976,153) | ($2,025,557) | ($2,076,196) | ($2,128,101) |
Highway Block Grant |
| ($1,272,000) | ($1,272,000) | ($1,272,000) |
Total State Expenditures | ($1,976,153) | ($3,297,557) | ($3,348,196) | ($3,400,101) |
To the extent this bill would result in titles no longer being processed by municipalities, there may be an indeterminable decrease in local expenditures.