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Legislative Watch

Michigan


4/7/04-Drivers who are insured but fail to provide proof during a traffic stop would get some relief under a bill signed into law by Gov. Jennifer Granholm April 1.
The fix approved by the Legislature and signed by the governor changes the fine included in a package of Michigan driver responsibility laws that took effect Oct. 1. Drivers who produce proof they were insured at the time they were cited could avoid fees and court costs that now are as high as $435 over a two-year period, including $300 in “bad driver” assessments.
The revision changes the law so that drivers who can prove before the court appearance date on their citations that they have insurance would pay only a $25 administrative fee, which was charged even before last year’s legislation. Insured drivers who already have been fined under the new law could get their “bad driver” penalties refunded by appealing in court.
While giving insured drivers a chance to recoup fines, the revised law requires uninsured drivers to pay even more than before. Under the new law, those drivers would pay up to $575, including $400 in “bad driver” fines over two years.
The original driver responsibility law was intended to generate up to $25 million each year from fines on residents who couldn’t provide proof of insurance. But that could be cut significantly if many of the 32,000 people who have been cited since the law took effect six months ago don’t have to pay the “bad driver” fines, even if those who aren’t insured pay more.

3/22/04-The House gave final approval on a measure that would get some relief for Michigan drivers who are insured but fail to provide proof during a traffic stop
The bill, which previously passed the Senate, has been sent to Gov. Jennifer Granholm.
HB4308 would change the Michigan driver responsibility laws that took effect Oct. 1. Drivers who could produce proof they were insured at the time they were cited could avoid fees and court costs that now are as high as $435 over a two-year period, including $300 in “bad driver” assessments.
The legislation changes the law so that drivers who can prove before the court appearance date on their citations that they have insurance would pay only a $25 administrative fee, which was charged even before last year’s legislation. Insured drivers who already have been fined under the new law could get their “bad driver” penalties refunded by appealing in court.
While giving insured drivers a chance to recoup fines, the plan could make uninsured drivers pay even more than before. The revised version would have those drivers pay up to $575, including $400 in “bad driver” fines over two years.
The original driver responsibility law was intended to generate up to $25 million each year from fines on residents who couldn’t provide proof of insurance. But that could be cut significantly if many of the 32,000 people who have been cited since the law took effect five months ago don’t have to pay the “bad driver” fines, even if those who aren’t insured pay more.
For bill status, call (517) 373-0630.

3/17/04-Michigan drivers who are insured but fail to provide proof during a traffic stop would get some relief if a bill that passed the Senate this week becomes law.
The bill would change the Michigan driver responsibility laws that took effect Oct. 1. Drivers who could produce proof they were insured at the time they were cited could avoid fees and court costs that now are as high as $435 over a two-year period, including $300 in “bad driver” assessments.
The legislation changes the law so that drivers who can prove before the court appearance date on their citations that they have insurance would pay only a $25 administrative fee, which was charged even before last year’s legislation. Insured drivers who already have been fined under the new law could get their “bad driver” penalties refunded by appealing in court.
The bill – HB4308 – passed the Senate by a 32-5 vote March 16 and now heads back to the House to consider changes.
While giving insured drivers a chance to recoup fines, the Senate plan could make uninsured drivers pay even more than before. The revised version would have those drivers pay up to $575, including $400 in “bad driver” fines over two years.
The original driver responsibility law was intended to generate up to $25 million each year from fines on residents who couldn’t provide proof of insurance. But that could be cut significantly if many of the 32,000 people who have been cited since the law took effect five months ago don’t have to pay the “bad driver” fines, even if those who aren’t insured pay more.
If the House concurs with Senate amendments, the bill would head to Gov. Jennifer Granholm’s desk.
For bill status, call (517) 373-0630.

3/15/04-State lawmakers are attempting to repeal a new $300 fine on insured drivers who fail to provide proof of insurance during a traffic stop.
In addition, the Senate Appropriations Committee voted March 10 to rebate any such penalty assessed to vehicle owners since the fines took effect Oct. 1.
To recoup a portion of the millions in expected revenue loss, however, the fine for failing to actually have insurance will climb from $300 to $400, payable over two years.
The Michigan Treasury Department mailed fine notices last month to about 32,000 residents who couldn’t provide proof of insurance in the past five months. It is estimated about half of those drivers are actually insured.
The fine is added to the maximum $155 assessment in fines and court costs for failing to provide proof of insurance.
Rep. John Garfield, R-Rochester Hills, introduced a bill to repeal the fine on insured drivers. His bill – HB4308 – passed the House late last year.
The Senate is expected to complete action on the bill this week. Gov. Jennifer Granholm has said she’ll sign it.
The new insurance penalties were part of an overall package of new “bad driver” fines that are a key revenue piece of the 2004 state budget. Of the more than $76 million estimated to be raised from the new fees, about $13 million is projected to come from drivers who have insurance but couldn’t produce proof.
Under the change, a driver could still be cited, but would have 10 days to provide evidence to a local district court that they were insured on the date of the violation. After 10 days, the $400 penalty would be imposed.
Not all penalties on neglectful behavior are being repealed, however.
Drivers who fail to renew their plates after their birthday will still face a $10 fine. Getting stopped by an officer even one day after their license expires will cost a driver $300.
For bill status, call (517) 373-0630.