STATE ID CARD; VETERAN FEE WAIVER                                                            S.B. 404:

                                                                                                    SUMMARY OF BILL

                                                                                      REPORTED FROM COMMITTEE

Senate Bill 404 (as reported without amendment)

Sponsor:  Senator Margaret E. O'Brien

Committee:  Veterans, Military Affairs and Homeland Security

CONTENT

The bill would amend Public Act 222 of 1972, which provides for the issuance of an official State personal identification card, to require the Secretary of State to waive the fee for the ID card for a veteran as defined by Public Act 190 of 1965 (an individual who served in the United States Armed Forces, including the reserve components, and was discharged or released under conditions other than dishonorable).

(Generally, an applicant for a personal ID card must pay a $10 fee for each original or renewal ID card issued. The Secretary of State must waive the fee for certain applicants, including individuals who are 65 years of age or older or blind.)

Before granting a fee waiver under the bill, the Secretary of State would have to require the individual seeking the waiver to provide the same documentation required for a veteran designation on a personal ID card.

MCL 28.292                                                                     Legislative Analyst:  Jeff Mann

FISCAL IMPACT

The bill would have an indeterminate, but negative impact on the amount of fee revenue the Department of State receives from Michigan veterans applying for or renewing a personal identification card.

According to the most recent data provided by the Department, there are an estimated 330,000 military veterans in Michigan under the age of 65. As noted above, current law allows anyone under 65 to request a fee waiver. Since identification cards must be renewed once every four years, it is assumed that an estimated 82,500 veterans under the age of 65 would be eligible for a renewal each year. Assuming that all 82,500 veterans requested a waiver of the $10 fee, the potential loss in revenue would be an estimated $825,000 in any given year. This is the estimated high end of the loss in revenue. The actual loss would be less. A number of veterans have a driver license and therefore do not need a State ID card, and others might already qualify for a fee waiver on different grounds.

The exact loss in revenue is indeterminate and dependent on the actual number of veterans under the age of 65 in the State who would seek a waiver of the original or renewal fee.

The bill would have no fiscal impact on local government.

Date Completed:  5-30-17                                                    Fiscal Analyst:  Joe Carrasco

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.