A.     Michigan's Public Act 165 of 2003 set new fees to be collected by the Secretary of State from people the bill's sponsor characterized as habitually bad drivers.  These fees are separate from ( in addition to) fines and costs assessed by the Court, and are levied for the two consecutive years that the points from the infraction remain on your license.

Below is a synopsis of the new law, followed by the actual law as copied from the State's website.

The Law In Brief:

If you have seven or more points on your drivers license you will be assessed a $100 fee.  For each point over 7 you will be assessed another $50.  These fees are assessed for each year that the points are on your license.

If you are found guilty of any of the following infractions the Secretary of State will assess a $1,000 fee each year for the two years that the points are on your license:

• Manslaughter, negligent homicide, or a felony resulting from the operation of a motor vehicle, ORV, or snowmobile.
• If you kill or injure someone working in a road construction zone.
• If you kill or injure someone operating "animal husbandry" equipment in the roadway.
• If you fail to use due care when passing an emergency vehicle, or fail to move over a lane, and subsequently injure or kill a policeman, firefighter or E.M.T.
• If you cause death or serious injury to someone while you're driving drunk.
• If you operate a commercial vehicle while intoxicated.
• If you operate an ORV while intoxicated.
• If you fail to stop and identify yourself if you've been involved in an accident, when required by law.
• If you're convicted of fleeing and eluding a police officer.

If you are found guilty of any of the following infractions the Secretary of State will assess a $500 each year for the two years that the points are on your license:

• If you drive while impaired by consumption of alcohol or controlled substances.
• If, while under 21 years of age, you drive with any blood alcohol level above zero.
• If you drive while impaired or intoxicated with any passenger less than 16 years old.
• If you're convicted of reckless driving.
• If you're convicted of driving while your license is suspended, revoked or denied.
• If you're convicted of driving without insurance on your motor vehicle, including motorcycles.

If you are found guilty of any of the following infractions the Secretary of State will assess a $150 each year for the two years that the points are on your license:

• If you're convicted of driving without a license.
• If you fail to produce a certificate of insurance for your vehicle at the request of a police officer.  (Amended March, 2004 to not penalize the motorist if they prove to the court that the vehicle was covered by insurance at the time the ticket was written.)

257.732a Driver responsibility fee; assessment; notice; payment by installment; failure to pay fee; fire protection fund; creation; disposition of funds; transmission of funds to state treasurer; appropriation.

Sec. 732a.

(1) An individual, whether licensed or not, who accumulates 7 or more points on his or her driving record pursuant to section 320a within a 2-year period for any violation not listed under subsection (2) shall be assessed a $100.00 driver responsibility fee. For each additional point accumulated above 7 points not listed under subsection (2), an additional fee of $50.00 shall be assessed. The secretary of state shall collect the fees described in this subsection once each year that the point total on an individual driving record is 7 points or more.

(2) An individual, whether licensed or not, who violates any of the following sections or another law or local ordinance that substantially corresponds to those sections shall be assessed a driver responsibility fee as follows:

(a) Upon posting of an abstract that an individual has been found guilty for a violation listed in this subdivision, the secretary of state shall assess a $1,000.00 driver responsibility fee each year for 2 consecutive years for any of the following offenses:

(i) Manslaughter, negligent homicide, or a felony resulting from the operation of a motor vehicle, ORV, or snowmobile.

(ii) A violation of section 601b(2) or (3), 601c(1) or (2), or 653a(3) or (4).

(iii) A violation of section 625(1), (4), or (5), section 625m, or section 81134 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.81134, or a law or ordinance substantially corresponding to section 625(1), (4), or (5), section 625m, or section 81134 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.81134.

(iv) Failing to stop and disclose identity at the scene of an accident when required by law.

(v) Fleeing or eluding an officer.

(b) Upon posting of an abstract that an individual has been found guilty for a violation listed in this subdivision, the secretary of state shall assess a $500.00 driver responsibility fee each year for 2 consecutive years for any of the following offenses:

(i) Section 625(3), (6), (7), or (8).

(ii) Section 626.

(iii) Section 904.

(iv) Section 3101 or 3103 of the insurance code of 1956, 1956 PA 218, MCL 500.3101 and 500.3103.

(c) Upon posting of an abstract that an individual has been found guilty for a violation listed in this subdivision, the secretary of state shall assess a $150.00 driver responsibility fee each year for 2 consecutive years for any of the following offenses:

(i) Section 301.

(ii) Section 328.

(3) The secretary of state shall send a notice of the driver responsibility assessment, as prescribed under subsection (1) or (2), to the individual by regular mail to the address on the records of the secretary of state. If payment is not received within 30 days after the notice is mailed, the secretary of state shall send a second notice that indicates that if payment is not received within the next 30 days, the driver's driving privileges will be suspended.

(4) The secretary of state may authorize payment by installment for an amount of $500.00 or more for a period not to exceed 12 months.

(5) If payment is not received or an installment plan is not established after the time limit required by the second notice prescribed under subsection (3) expires, the secretary of state shall suspend the driving privileges until the assessment and any other fees prescribed under this act are paid.

(6) A fee shall not be assessed under this section for 7 points or more on a driving record on the effective date of the amendatory act that added this section. Points assigned after that date shall be assessed as prescribed under subsections (1) and (2).

(7) The fire protection fund is created within the state treasury. The state treasurer may receive money or other assets from any source for deposit into the fund. The state treasurer shall direct the investment of the fund. The state treasurer shall credit to the fund interest and earnings from fund investments. Money in the fund at the close of the fiscal year shall remain in the fund and shall not lapse to the general fund. The department of consumer and industry services shall expend money from the fund, upon appropriation, only for fire protection grants to cities, villages, and townships with state owned facilities for fire services, as provided in 1977 PA 289, MCL 141.951 to 141.956.

(8) The secretary of state shall transmit the fees collected under this section to the state treasurer. The state treasurer shall credit fee money received under this section in each fiscal year as follows:

(a) The first $65,000,000.00 shall be credited to the general fund.

(b) If more than $65,000,000.00 is collected under this section, the next amount collected in excess of $65,000,000.00 up to $68,500,000.00 shall be credited to the fire protection fund created in this section.

(c) If more than $100,000,000.00 is collected under this section, the next amount collected in excess of $100,000,000.00 up to $105,000,000.00 shall be credited to the fire protection fund created in this section.

(d) Any amount collected after crediting the amounts under subdivisions (a), (b), and (c) shall be credited to the general fund.

(9) For fiscal year 2003-2004, $3,500,000.00 is appropriated from the fire protection fund described in subsection (7) to the department of consumer and industry services for the purposes described under subsection (7).

History: Add. 2003, Act 165, Eff. Oct. 1, 2003 .

© 2003 Legislative Council, State of Michigan