In an effort to find ways to generate much-needed revenue for the state, a bill making its way through the New Jersey statehouse would provide amnesty on interest and surcharges for those caught driving without a license or insurance.
Sponsored by Sen. Shirley Turner, D-Mercer, the bill would offer a 60-day grace period to drivers with outstanding motor vehicle surcharges who could pay those surcharges without facing interest or collection costs. Anyone who doesn’t participate in the program would be charged an additional 5 percent penalty.
The Senate has unanimously approved the bill aimed at drivers ticketed for driving without insurance or a valid license, or those with at least six surcharge points for moving violations. The bill has moved to the Assembly for further consideration.
Drivers would pay $150 in surcharges for the first six points and $25 for every additional point.
According to the state Motor Vehicle Commission, the proposed amnesty program could generate $17 million in uncollected funds to the state. Drivers owe the state $538 million in uncollected surcharges.
“There are millions of dollars in uncollected motor vehicle surcharges out there right now, and it’s time New Jersey offer drivers a break in order to collect some of that money,” Turner said in a written statement.
Drivers convicted of driving under the influence would not be eligible to take advantage of the amnesty period.
S2903 is in the Assembly Transportation, Public Works and Independent Authorities Committee.
To view other legislative activities of interest for New Jersey in 2009, click here.
– By Keith Goble, state legislative editor
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