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Minutes for SB90 - Committee on Transportation
Short Title
Increasing certain registration and title fees on vehicles for services provided by county treasurers and the division of vehicles, decreasing certain fees related to administrative costs and modifying the disposition of such fees and eliminating the division of vehicles modernization surcharge.
Minutes Content for Thu, Feb 16, 2023
The Chair opened the hearing on SB90.
Mr. Siebers briefed the Committee on the bill (Attachment 1). He explained that the bill changes various fees related to the registration and titling of vehicles. He listed the categories of fees (e.g., title name changes, trailers, farm trucks, antique vehicles) affected and noted elimination of the vehicle modernization surcharge; in place of these reductions, a uniform service fee of $10 is created.
The Chairman yielded the meeting to Vice-Chair Kloos.
Larry Mah, Shawnee County Treasurer, testified as a proponent for the bill (Attachment 2). He noted that an identical bill passed the House 114-6 last year but died in the Senate; he commented that the fee structure for vehicle title work has not been changed since 2013, and he cited the increasing costs for title work primarily due to wage increases. He stated that the bill increases revenue for the county while reducing the fees paid by the taxpayer. Responding to a question, he replied that the bill adds $8 million to the state revenues; $250,000 is Shawnee County's portion. The bill eliminates twelve fees and inserts one fee.
Shilo Heger, Riley County Treasurer, spoke in support of the bill (Attachment 3). Referring to a 2018 working group that created a simplified fee structure, she said the bill reflects this work: it eliminates 12 fees and adds a flat $10 fee; these changes provide a 24% savings for each county and reduce a customer's fee.
Lee Ann Phelps, Vehicle Services Manager, Division of Vehicles, Kansas Department of Revenue. spoke in favor of the bill (Attachment 4). She explained that years ago the Division of Vehicles provided a significant portion of the equipment and supplies for a county's title work, support which they no longer offer. This bill will supplement the increased needs for funding county title work.
Michael White, Executive Director, Kansas Contractors Association, presented neutral testimony regarding the bill (Attachment 5). He commented on one provision of the bill that eliminates the surcharge originally assessed for vehicle modernization; however, when the modernization was completed, the surcharge was not eliminated, but was incorporated into the vehicle operating fund as an offset to the ordinary transfers from state highway fund to the Division of Vehicles. Eliminating the surcharge increases the transfer amount from the state highway fund, which will have a deleterious effect on the $9.9-billion IKE Transportation Program. He recommended deleting the surcharge language on page 28, lines 20-22.
Written-only testimony as neutral was provided by Scott Heidner, Executive Director, American Council of Engineering Companies of Kansas (Attachment 6).
Written-only testimony in support of the bill was provided by the following:
- Christine Smith, President, Kansas County Treasurers Association, Wallace County (Attachment 7);
- Joe Grisolano, County Treasurer, Crawford County (Attachment 8);
- Jay Hall, Deputy Director/General Counsel, Kansas Association of Counties (Attachment 9);
- Brandi Baily, County Treasurer, Sedgwick County (Attachment 10);
- Shane Krull, County Administrator, Miami County (Attachment 11);
- Thomas G. Franzen, County Treasurer, Johnson County (Attachment 12);
- Adam T. Rains, County Treasurer, Douglas County (Attachment 13);
- Larry Townsend, et al, Wallace County Board of Commissioners (Attachment 14); and
- Kathryn G. Focke, et al,Riley County Board of Commissioners (Attachment 15).
Vice-Chair Kloos closed the hearing on SB90.
Vice-Chair Kloos adjourned the meeting at 8:57 a.m. The next meeting is scheduled for Tuesday, February 21, 2023.
