Date: 08/05/2014

Final
Department of Revenue Report

TRANSPORTATION LEGISLATION REVIEW COMMITTEE

Votes: View--> Action Taken:
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09:30 AM -- Department of Revenue Report

Senator Todd, Chair, called the committee to order. She talked about the plan for the upcoming meeting on September 9 and the site visit to Denver Union Station and Denver International Airport scheduled for September 10. She invited the panelists to the table.


09:38 AM

Mr. Michael Dixon, Senior Director, Division of Motor Vehicles (DMV), Colorado Department of Revenue (DOR), and Mr. Tony Anderson, Operations Director of Titles and Registration, DMV, DOR, introduced themselves. Director Dixon began the presentation and provided a handout to the committee members (Attachment A). He gave an overview of the DMV and discussed the department's organizational chart. He said that roughly 1,100 county employees at 106 offices in the state provide DMV services including issuance of driver's licenses and license plates, titling, and driving tests, among other things. Director Dixon talked about the department's strategic plan and goal of improving customer service to reduce office wait times to an average of 15 minutes per person. He talked about process improvements and the ability for customers to set an appointment prior to coming to the office. Senator Todd commented that she has not received constituent complaints about the DMV lately. Representative Coram commented on the complaints he has received in his district. Director Dixon responded that challenges still exist but that the division is in the process of filling more position vacancies to help with the customer service demands. Senator Jones asked if the 15 minute average for wait times is from the point a customer takes a ticket, or from the point the customer is called to the counter. Director Dixon responded that it is an average wait time of 15 minutes once the customer is at the counter. Representative Kraft-Tharp commented on her recent experience renewing her driver's license. Representative Mitsch Bush asked about online driver's license renewal restrictions.

14TLRC0805AttachA.pdf14TLRC0805AttachA.pdf

09:46 AM

Director Dixon continued the presentation. He responded to a comment from Senator Todd about cash-only DMV offices, and said that as of April 2014, credit cards are accepted at 35 office locations in the state. He talked about the other process improvements that are underway, including expanding appointment waitlists, tracking wait times, allowing online renewals for two consecutive renewal periods, and technology improvements. He said that legislation passed during the 2014 session allows for the replacement of the antiquated Drivers Licensing System (DLS) and Colorado State Titling and Registration System (CSTARS) systems. Committee discussion about process improvements ensued. Senator Jahn asked about the wait time for drive tests. Director Dixon responded that drive test appointments can be made 90 days in advance and that 150 additional openings occur each day. He talked about the third party driving test option, which allows applicants to perform the driving test with an approved training organization for a fee, instead of through the DMV.


09:59 AM

Representative Coram asked about driving tests for non-citizens who are receiving a driver's license for the first time in Colorado and commented that he has heard that about 250,000 people will be applying for driver's licenses under Senate Bill 13-251. Director Dixon talked about Senate Bill 13-251 and the resources made available by the legislature for implementing the law. He said that the fiscal note for the bill estimated that about 40,000 non-citizens would apply for a driver's license in the first year and that the intent was for the program to fund itself. He stated that the provisions of the bill went into effect on August 1, 2014, and that at least 7 other states have implemented the same provisions. He said the bill provides a 3-year driver's license to qualified individuals who are unable to demonstrate lawful presence in the United States and that the cost for the driver's license is $50.50. Senator Todd asked how the new program and trends are monitored. Director Dixon responded that the department will be monitoring and reviewing the change on a monthly basis. He continued to discuss other changes within the department that have been brought about through legislation, including, giving the department fee setting authority, the department's new website set to launch in October 2014, and other customer service enhancements. Committee discussion about the look of the new non-citizen driver's licenses ensued. Director Dixon talked about the Colorado Drives Project, which is a multi-year project replacing outdated systems and creating electronic lien and title processing. He said that the new system will allow financial institutions and dealerships to complete tasks electronically. Representative Tyler asked about dedicated exceptions processing offices. Director Dixon discussed the exceptions processing procedure. He talked about contracting with a new vendor to create a new identification card and driver's license design with enhanced security features and improved durability. Director Dixon provided an update on services provided to veterans, including the Vets 2 Trucks program which helps veterans secure a commercial driver's license (CDL) and save money in the process. He said that the program began in May 2013 and that it has supported 151 people to date. Senator Rivera asked about the reciprocity of CDLs with other states. Director Dixon responded that the CDL program is a national program and that laws are common across all states. He said that if Colorado was found to be out of compliance with the CDL rules, the state would lose federal dollars.


10:17 AM

Director Dixon briefly discussed temporary license plate tags and said that the department has been working closely with E-470, the Colorado Department of Transportation (CDOT), the Department of Public Safety (DPS), and the Department of Corrections (DOC) to evaluate a solution for the temporary tags. He said that the major issues with the current tags are the readability of the tags, and that the data on the temporary tag is not actually tied to the vehicle. He said that the working group is still assessing the options to arrive at a viable solution.


10:22 AM


Mr. Anderson began his portion of the presentation and provided a handout to the committee members (Attachment B). He provided an overview of the current license plate designs available to Colorado drivers. He talked about legislation passed during the 2014 session impacting license plates and gave a brief overview of House Bill 14-1029, concerning disabled parking; House Bill 14-1089, which created two new plates to replace the current 10th Mountain Division license plate; House Bill 14-1284, which requires legislator license plates to be registered to the legislator's vehicle; House Bill 14-1367, concerning classifying autocycles as passenger motor vehicles; Senate Bill 14-030, which waives the issuance fee for one set of the Distinguished Flying Cross license plates for qualified applicants; Senate Bill 14-036, concerning the creation of an Emergency Medical Services special license plate; Senate Bill 14-041, creating the USS Colorado special license plate; Senate Bill 14-132, which removes the requirement that the fallen soldier be deployed to a combat zone; and Senate Bill 14-194, which was the DMV modernization bill and removed the annual sweep of the License Plate Cash Fund (LPCF). He talked about print-on-demand for license plates and the money it will save the department in inventory. Committee discussion about the print-on-demand process ensued.

14TLRC0805AttachB.pdf14TLRC0805AttachB.pdf

10:38 AM

Mr. Anderson walked the committee through the different types of special license plates and the requirements for issuance of the plates. He said that Colorado has 138 different license plate types and responded to committee questions about the plate types and issuance requirements. Representative Scott talked about placing a cap on the number of license plate designs and asked how to use legislator license plates on two vehicles, for instance, on his 4x4 in the winter and his non-4x4 in the summer. Mr. Anderson said that legislators would not be able to use the plate on more than one vehicle because the law requires the plate to be registered to a specific vehicle, rather than to the legislator. Mr. Anderson suggested that legislators can transfer the plate to another vehicle, but that this process would be necessary each time the plate was used on a different vehicle. Senator Rivera asked if there is a fee for each transfer transaction. Mr. Anderson responded in the affirmative.


10:53 AM

The presenters concluded their presentation and the committee took a brief recess.