As more and more business is done online the state has also made it easier for people to do basic tasks, like renewing their vehicle registration, over the internet. However, the state is not reimbursing local Department of Motor Vehicle offices for internet services - a recent development that is problematic for county budgets and not in keeping with the spirit of the longstanding revenue sharing agreements between the state and counties.
In an effort to help county governments retain funding Assemblywoman Addie J. Russell, D-Theresa, has introduced legislation that will fairly compensate counties for online transactions with the state DMV.
“Convenience is a worthwhile goal; I don’t think anyone wants to make it more difficult to renew your registration,” Russell said. “But we need to make sure we’re not hurting our local DMV offices, which provide many important services, in the process.”
Last year more than 5.5 million transactions were completed on the DMV website*.
Under the current law, counties receive 12.7 percent of the processing fees from local DMV transactions. Online use, however, is not counted and goes straight into the state coffers.
Russell’s bill (A.8386) would direct the DMV to reimburse county governments for online transactions at the same rate as in-person transactions according to the county residence of the applicant.
New York State Association of Counties President Anthony Picente, Oneida County Executive, said, “All of our counties have stepped up to the challenge of providing quality local services while at the same time cutting costs. However, without further state assistance we face significant fiscal stress and program cuts. We applaud Assemblymember Russell for understanding that the state and the counties must work together to find solutions that can continue to lower property taxes all while keeping the high level of services our residents deserve.”
“There’s no reason why the state can’t work with county governments while providing a better user experience,” Russell said. “My bill will ensure counties are not stripped of a desperately needed revenue stream.”
*http://www.governor.ny.gov/news/governor-cuomo-announces-new-yorkers-have-scheduled-700000-dmv-online-reservations-2013