Posted: May 2nd, 2016

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To comply with the state’s 2011 Clean Air Act, the auto inspection program must be modified. The DMV has estimated that it will cost $7.2 million to equip the state vehicle testing centers with the necessary equipment for the new, stricter test. None of this cost will be part of the operating budget for the DMV.

During the coming year, the DMV expects to issue more licenses per month early in the year, as drivers try to avoid the extra cost and documentation requirements associated with the new higher security licenses. The DMV expects to issue 923,456 licenses using the old technology spread evenly throughout the first four months of the year, and 843,023 licenses using the new digitized technology spread evenly throughout the last eight months of the year.

There are expected to be 342,587 vision tests, 847,129 written driving tests, and 429,222 road tests in total for the year. These tests are expected to occur in the same proportion as the number of licenses issued each month. It is expected that there will be 962,135 vehicle registrations and 1,106,455 annual vehicle inspections, and these will occur evenly throughout the year. Note that the vehicle inspection number includes re-inspections for vehicles that fail their initial inspection.

The sources of revenue for the DMV are as follows:

– auto license fees: $25 for the old style license and $30 for the new improved digitized license with all security features;
– vehicle registration fees: $53 per vehicle registered, on average;
– vehicle inspection fees: $35 for failing the inspection–otherwise no fee. It is expected that 15 percent of the total number of vehicle registrations will result in inspection failures and re-inspections;
– state appropriation-for any balance not funded by fees; and
– transportation tmst fund-for capital acquisitions.

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