SLS 16RS-1036 ORIGINAL 2016 Regular Session SENATE BILL NO. 400 BY SENATOR BARROW MOTOR VEHICLES. Provides debt amnesty program to individuals for excessive debt due the office of motor vehicles. (8/1/16) 1 AN ACT 2 To enact R.S. 32:9, relative to motor vehicles; to require the office of motor vehicles to 3 establish a debt amnesty program; to provide for an amnesty period; to provide the 4 terms and conditions applicable to the program; and to provide for related matters. 5 Be it enacted by the Legislature of Louisiana: 6 Section 1. R.S. 32:9 is hereby enacted to read as follows: 7 ยง9. Amnesty program; office of motor vehicles 8 A. The office of motor vehicles shall develop and implement a debt 9 amnesty program to collect debt for fines, penalties, and fees due to the office 10 of motor vehicles as defined in R.S. 32:8. The office shall publicize the debt 11 amnesty program to maximize the public's awareness of and participation in 12 the program. 13 B. The debt amnesty program shall be effective for a period of at least 14 two months duration in 2016 occurring prior to December 31, 2016. 15 C. The debt amnesty program shall apply to debt due to the Department 16 of Public Safety and Corrections, office of motor vehicles, pursuant to R.S. 17 32:57.1, 863, or 863.1 on the effective date of this Section. Page 1 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 400 SLS 16RS-1036 ORIGINAL 1 D. Debtors with debt in the amount of one thousand dollars or more are 2 eligible to participate in the debt amnesty program. Amnesty debt payments 3 shall be paid in full during the amnesty period. 4 (1) If a debtor has debt of one thousand dollars or more for violation or 5 multiple violations of R.S. 32:57.1, the amnesty debt payment due shall not 6 exceed five hundred dollars. 7 (2) If a debtor has debt of one thousand dollars or more for violation or 8 multiple violations, pays the debt in full during the amnesty period, and 9 provides proof of insurance, the amnesty debt payment due shall not exceed 10 eight hundred fifty dollars for debt incurred pursuant to R.S. 32:863(A)(1) and 11 shall not exceed one thousand seventy-five dollars for debt incurred pursuant 12 to R.S. 32:863(A)(2). 13 (3) If a debtor has debt of one thousand dollars or more for violation or 14 multiple violations of R.S. 32:863.1, pays the debt in full during the amnesty 15 period, and provides proof of insurance, the amnesty debt payment due shall 16 not exceed five hundred dollars. 17 (4) No amnesty payment for debt of a person sixty-five years or older, 18 including administrative fees, shall exceed two hundred fifty dollars. 19 E. Upon receipt of the amnesty payment, the office of motor vehicles 20 shall clear the debtor's record at the office of motor vehicles and reinstate the 21 debtor's driver's license and motor vehicle registration. The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Sharon F. Lyles. DIGEST SB 400 Original 2016 Regular Session Barrow Proposed law requires the office of motor vehicles (OMV) to develop and implement a debt amnesty program for a period of at least two months duration in 2016 that occurs prior to December 31, 2016, and to collect debt for fines, penalties, and fees due the OMV as defined in R.S. 32:8 for violations of R.S. 32:57.1 (failure to honor a promise), R.S. 32:863 (no insurance), and R.S. 32:863.1 (no evidence of insurance). Requires the office to publicize the debt amnesty program to maximize the public's awareness of and participation in the program. Proposed law provides that OMV debtors with debt in the amount of $1,000 or more are Page 2 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 400 SLS 16RS-1036 ORIGINAL eligible to participate in the debt amnesty program. Requires amnesty debt payments to be paid in full during the amnesty period and provides the following maximum schedule of amnesty debt payments. (1)For debt of $1,000 or more for violation or multiple violations of R.S. 32:57.1, the amnesty debt payment due shall not exceed $500. (2)For debt of $1,000 or more for violation or for multiple violations of R.S. 32:863(A)(1), the amnesty debt payment due shall not exceed $850 and shall not exceed $1,075 for debt incurred for violation or for multiple violations of R.S. 32:863(A)(2). Requires the debtor to provide proof of insurance. (3)For debt of $1,000 or more for violation or multiple violations of R.S. 32:863.1, the amnesty debt payment due shall not exceed $500. Requires the debtor to provide proof of insurance. (4)No amnesty debt payment for debt of a person 65 years or older, including administrative fees, shall exceed $250. Proposed law requires the OMV to clear the debtor's record and reinstate his driver's license and motor vehicle registration upon receipt of the amnesty payment. Effective August 1, 2016. (Adds R.S. 32:9) Page 3 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions.