LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6594 NOTE PREPARED: Feb 1, 2024
BILL NUMBER: HB 1162 BILL AMENDED: Jan 30, 2024
SUBJECT: Bureau of Motor Vehicles.
FIRST AUTHOR: Rep. Pressel BILL STATUS: 2
nd
Reading - 1
st
House
FIRST SPONSOR:
FUNDS AFFECTED: GENERAL IMPACT: State
XDEDICATED
FEDERAL
Summary of Legislation: This bill has the following provisions:
It makes a technical correction regarding the calculation of a county's allocation from the Motor Vehicle
Highway Account (MVHA).
It provides that a commercial driver's license (CDL) and a commercial learner's permit may be issued as a
mobile credential.
It repeals language allowing the Bureau of Motor Vehicles (BMV) to issue a driver's license or identification
card to a person granted parole.
It allows an individual who is at least 18 years of age and holds a valid commercial driver's license to be
issued a hazardous materials endorsement.
It amends provisions regarding proof of a veteran's discharge from the armed forces or its reserves or the
National Guard.
It changes the number of commercial vehicles that must be owned for the State Department of Revenue to
issue a license plate for each commercial vehicle from 25 to five.
It amends provisions requiring the BMV to provide notice to allow the Bureau to provide notice
electronically when the individual has indicated a preference for receiving electronic notices from the
Bureau.
HB 1162 1 It provides that a driver's license or identification card expires upon the BMV receiving notice of the death
of the holder.
It allows an individual to electronically apply for the individual's driver's license or learner's permit to be
converted into an identification card.
The bill also deletes provisions allowing the BMV to suspend or revoke the registration of an individual
convicted of certain crimes.
Effective Date: July 1, 2024; January 1, 2025.
Explanation of State Expenditures: Electronic Notices and Services - The bill allows individuals to receive
electronic notices from the BMV. To the extent individuals opt to receive electronic notifications instead of
physical notifications in the mail, BMV Commission Fund expenditures would decrease. Total decreases in
BMV expenditures are indeterminable; however, the agency expends a total of $106,000 each year on
notifications that could be impacted by the bill.
Allowing individuals to convert a driver’s or learner’s permit to ID card through electronic service could
decrease license branch workload. Decreases in workload are expected to be minimal.
Fleet Vehicle Registration - The bill would allow the Department of Revenue (DOR) to register fleet vehicles
for individuals who wish to register five or more vehicles at a time instead of a minimum of 25 vehicles. This
change could increase DOR workload to process additional fleet vehicle registrations. The increase in
workload is expected to be accomplished within existing resource and funding levels.
Registration Suspensions - The bill would remove the requirement that the BMV suspend registrations for
vehicles of owners who are convicted of certain crimes. Decreases in BMV workload are expected to be
minimal.
Additional Information - The following provisions of the bill are expected to have no fiscal impact:
(1) Expanding eligibility for mobile credentials to commercial driver’s licenses.
(2) Allowing electronic records to verify veteran status.
(3) Adding language specifying an employee of the BMV or BMV Commission conducting a skills
examination may accompany an individual logging practice driving time.
(4) Specifying BMV-issued credentials expire upon the agency receiving notice of the death of the holder.
(5) Specifying minimum age requirements for hazardous material endorsements.
Explanation of State Revenues: The bill makes a technical correction to the valid period of off-road vehicle
registrations, which codifies existing practice. The bill also specifies the BMV can make changes to the
expiration period of these registrations to align these vehicles with the agency’s current schedule of
expiration dates. These changes are expected to have no fiscal impact.
Explanation of Local Expenditures:
Explanation of Local Revenues:
HB 1162 2 State Agencies Affected: BMV; DOR.
Local Agencies Affected:
Information Sources: Cody Eckert, BMV.
Fiscal Analyst: Bill Brumbach, 317-232-9559.
HB 1162 3