AUTO THEFT PREVENTION ASSESSMENT: REVISE
House Bill 6264 and 6265
Sponsor: Rep. Andrew Richner
Committee: Insurance and Financial Services
Complete to 11-6-02
A SUMMARY OF HOUSE BILL 6264 and 6265 AS INTRODUCED 8-13-02
A provision in the Insurance Code requires each auto insurer to annually pay an assessment to the Michigan Automobile Theft Prevention Authority of $1 per car year of insurance written in the preceding calendar year. The money goes into a special fund and is used, among other things, to make grants to law enforcement agencies and community groups for programs aimed at reducing auto thefts. The bills together would instead require the secretary of state to collect a $1 assessment at the time of registering a vehicle. The bills are tie-barred to each other and would take effect January 1, 2003. Specifically, the bills would do the following:
House Bill 6264 would amend the Michigan Vehicle Code (MCL 257.801j) to require the secretary of state to collect a $1 assessment at the time a vehicle was registered. The assessment revenue would have to be transferred to the Automobile Theft Prevention Authority created by the Insurance Code.
House Bill 6265 would amend the Insurance Code (MCL 500.6107) to require that money received from the secretary of state from the car registration assessment, along with all other money received by the Automobile Theft Prevention Authority, be segregated and placed in the Automobile Theft Prevention Fund. The current provision requiring each auto insurer to pay an annual assessment of $1 per car year of insurance written during the preceding year would be eliminated.
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This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.