Modifies or enacts provisions relating to Department of Revenue fee offices
SB 3 revises Missouri law governing Department of Revenue fee offices, which are private or public entities authorized to process motor vehicle title, registration, and certain licensing transactions on behalf of the state. The bill increases several statutory service fees that fee offices may charge for transactions such as vehicle and trailer registrations, title applications and transfers, driver and nondriver licenses, lien processing, and notary/electronic transmission services. It also distinguishes among annual, biennial, three-year, and permanent trailer registrations, setting specific fee amounts for each.
The bill also changes how fee office contracts are awarded and managed. It requires competitive bidding for contracts and gives priority consideration to certain tax-exempt organizations and political subdivisions, especially those that reinvest most net proceeds into Missouri charities. It bars contracts with entities affiliated with current Department of Revenue employees or recent former employees, and prohibits overlap with motor vehicle title service agents. The director of revenue is also authorized to extend certain competitively awarded contracts for up to five years, subject to performance review, and the state auditor is given express authority to audit fee office records as a condition of contract award.
SB 3 would amend section 136.055, RSMo, replacing the existing fee-office framework with updated fee amounts and contract rules. It affects motorists, applicants for driver and nondriver licenses, trailer owners, title applicants, and entities operating fee offices, while also affecting Department of Revenue contracting practices and oversight. The bill preserves the ability of contract fee offices to retain collected fees, clarifies that fees collected by state-operated offices are state revenue, and reinforces audit and conflict-of-interest requirements.
The bill appears to have received generally favorable legislative support, as reflected by passage in both chambers with substantial margins, though not unanimously. The Senate passed the bill 22-11 on third reading, and the House later passed it 131-18 on third reading. The vote totals suggest broad agreement on updating fee office operations and oversight, while still leaving a meaningful minority opposed.
The main points of contention likely involve the fee increases, the structure of contract awards, and the preferential treatment given to certain nonprofit and governmental entities. Some lawmakers may have objected to higher charges for routine motor vehicle and licensing transactions, while others may have been concerned about the competitive bidding priorities, restrictions on affiliations with Department of Revenue employees, and the limits on who may operate fee offices. The audit provisions and contract-extension authority may also have drawn scrutiny over administrative control and contracting discretion.