Motor vehicle changes are coming soon to the Star City

    This week we are using the In the City column to pass along timely information about changes in the motor vehicle registration process which are coming later this summer.     So as to put things in the proper context, we should begin by reviewing the recent legislation which brings about the upcoming motor vehicle registration changes. As you may be aware, An Act to Keep Bridges Safe and Roads Passable (LD 2313/ PL 2007, C. 647) was passed by the Maine legislature and became law on April 17, 2008.
    This legislation initiates $160 million in revenue bonds over the next four years for the purpose of making bridge and small span improvements over public roadways in the state. The law calls for debt service on the revenue bonds to be funded by an increase in certain motor vehicle registration fees. Those fees and the proposed increases are identified in the body of the legislation. Under the new law, debt service on the revenue bond is directed to be paid from the specially designated TransCap Trust Fund, which will in turn be capitalized from the incremental revenue generated by the higher motor vehicle fees.
    The Maine Bureau of Motor Vehicles has provided the new fee schedule: Passenger and commercial vehicle registrations under 6,000 lbs., now $25, new $35; vanity license plate, now $15; new $25; and motor vehicle title application, now $23, new $33. We have posted the new fee schedule in the lobby at City Hall for your information as well.
    So how will the new BMV fee schedule be implemented? First, all vehicle registrations processed through Aug. 31, 2008 will use the current fee schedule. This means you can complete an early renewal of a registration under the current fee schedule, as long as you do so prior to Sept. 1, 2008.
    For example, if your vehicle registration expires on Nov. 30, 2008, you can come in and complete an early renewal any time prior to Sept. 1, 2008. If you opt to complete an early renewal, your registration will be processed using the current fees, but the expiration date of your registration will not change. In the case of title applications, the fee increase will be determined based on the date of sale. If the sale occurs on or after Sept. 1, 2008, the new fee schedule will apply. In any event, you should plan ahead your motor vehicle registrations and be sure to mark your calendar with this important date.
    Some motorists will face a combination of increases under the new fee schedule. For example, if you are registering a vehicle that displays a vanity plate, the fee increases for the passenger registration and the vanity license plate will both apply. And a new vehicle registration will involve a title application fee, the higher registration fee, and in some cases a vanity license plate fee as well.
    The municipal portion of the motor vehicle registration fee does not change under this new legislation. The city of Presque Isle is authorized to charge a $4 municipal agent fee on new vehicle registrations, and a $3 municipal agent fee on renewal registrations. Additionally, the excise taxes which are collected at the time of vehicle registration are retained locally. As you can see, the municipal fees will not change under the new law.
    The Bureau of Motor Vehicles will make more information available to the public as the Sept. 1, 2008 effective date approaches. We at City Hall recognize the proposed motor vehicle registration fee increases are coming as we are already facing a challenging economic environment. We are providing this advance notice to allow you more time to prepare for the added financial burden coming from this new legislation.
    If you have any questions about how these changes will affect your vehicle registration, you can call the Tax/Clerk office at 764-2509 from 8:30 a.m. to 5 p.m. daily for assistance. If you would like to find out more about the LD 2313 legislation, you can visit the State of Maine Legislature Web site at http://janus.state.me.us/legis/lawmakerweb/search.asp .
    Deborah Ouellette is tax collector for the city of Presque Isle. She is also acting BMV agent for the city of Presque Isle. She can be reached by telephone at (207) 764-2509 and by e-mail at douellette@presqueisleme.us.