Funding for Colorado DRIVES Account
HB1102 changes how certain motor-vehicle-related fees are allocated in order to provide additional funding for the Colorado DRIVES vehicle services account, which supports the state’s driver, vehicle, and identification systems. The bill redirects a portion of late vehicle registration fees and personalized plate/special registration fees into the DRIVES account, rather than sending all of those revenues to the highway users tax fund. It also authorizes the Department of Revenue to create a new fee for missed or late-canceled appointments for driver’s license, identification card, and related services, with the proceeds credited to the DRIVES account.
The bill phases in these changes on different dates. Beginning July 1, 2026, fees from special registrations for personalized plates are redirected to the DRIVES account, while a $2 county share remains in place for certain registrations. Beginning August 12, 2026, the department may charge a no-show/late-cancellation fee for appointments, subject to rules and exceptions. Beginning July 1, 2027, $2 of each late vehicle registration fee is redirected to the DRIVES account, with the remainder still going to the highway users tax fund. The bill also contains a contingent effective-date provision tied to another bill, HB26-1289, meaning parts of HB1102 only take effect if that separate legislation becomes law.
HB1102 amends several provisions in Title 42 of the Colorado Revised Statutes governing vehicle registration, driver licensing, special registrations, and the DRIVES account. It changes the crediting of certain fees from the highway users tax fund to the Colorado DRIVES vehicle services account, expands the account’s revenue sources, and authorizes the Department of Revenue to adopt rules and collect a new administrative fee for missed appointments and late cancellations. The bill also preserves existing county general fund distributions for certain special registration fees and leaves the remaining late-registration revenue in the highway users tax fund.
The available vote history suggests the bill had majority support in both chambers, but not unanimous support. It passed House Finance 7-4 and House third reading 38-22, indicating a meaningful level of opposition in the House. In the Senate Finance Committee, it advanced 5-3, again showing support but with some resistance. The committee amendment votes were unanimous, which suggests agreement on technical or policy refinements even where the overall bill remained somewhat divisive.
The main points of contention appear to be the redirection of fee revenue away from the highway users tax fund and the creation of a new fee for missed or late-canceled appointments. Opponents may view the bill as diverting money that would otherwise support transportation-related purposes, while supporters likely see it as necessary to fund the DRIVES system and improve service delivery. The appointment fee could also be controversial because it imposes a charge on individuals who miss or cancel appointments, though the bill narrows that fee by requiring a prior no-show/cancellation within the previous 12 months and by directing the department to exempt circumstances such as weather, office closures, military service, medical hardship, and IT failures.