HLS 21RS-682 ORIGINAL 2021 Regular Session HOUSE BILL NO. 536 BY REPRESENTATIVE PHELPS Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana. MTR VEHICLE/VIOLATIONS: Provides relative to sanctions for a lapse in required liability security 1 AN ACT 2To amend and reenact R.S. 32:863(A)(3)(a), relative to sanctions applicable to violations of 3 required liability security; to modify the lapse period applicable to sanctions for 4 lapse of required liability security; to provide for rule promulgation; to provide for 5 an effective date; and to provide for related matters. 6Be it enacted by the Legislature of Louisiana: 7 Section 1. R.S. 32:863(A)(3)(a) is hereby amended and reenacted to read as follows: 8 ยง863. Sanctions for false declaration; reinstatement fees; revocation of registration; 9 review 10 A. 11 * * * 12 (3)(a) Sanctions for a violation of Paragraph (1) of this Subsection shall be 13 imposed until proof of required liability security is provided to the secretary and all 14 reinstatement fees are paid. Sanctions for a violation of Paragraph (2) of this 15 Subsection shall be imposed for a period of not less than twelve months nor more 16 than eighteen months. However, in no event shall these sanctions be removed until 17 such time as proof of the required security is provided to the secretary along with all 18 appropriate fees required by law, including a reinstatement fee of one hundred 19 dollars per violation of Paragraph (1) of this Subsection if the vehicle was not 20 covered by the required security for a period of one eleven to thirty days, two Page 1 of 3 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 21RS-682 ORIGINAL HB NO. 536 1 hundred fifty dollars if the vehicle was not covered by required security for a period 2 of thirty-one to ninety days, and five hundred dollars if the vehicle was not covered 3 by required security for a period in excess of ninety days. No reinstatement fee shall 4 be imposed by the secretary if the vehicle was not covered by required security for 5 a period of ten days or less and the insured surrenders the vehicle's license plate to 6 the secretary within ten days. The reinstatement fees for violations of Paragraph (2) 7 of this Subsection shall be as follows: two hundred fifty dollars for a first violation, 8 five hundred dollars for a second violation, and one thousand dollars for a third or 9 subsequent violation. The reinstatement fee shall not be owed for an alleged 10 violation of Paragraph (2) of this Subsection when proof of the required security is 11 provided to the secretary within sixty days of the date of the notice. If at the time of 12 reinstatement, a person has multiple violations and is within sixty days of the notice, 13 the total amount of fees to be paid shall not exceed eight hundred fifty dollars, for 14 violations of Paragraph (1) of this Subsection, one thousand seventy-five dollars for 15 violations of Paragraph (2) of this Subsection. At no time shall the total amount of 16 fees, including administrative fees, exceed two hundred fifty dollars for persons 17 sixty-five years or older. After sixty days of the date of the notice, all fees shall be 18 considered final delinquent debt and therefore owed, and the eight hundred fifty 19 dollar limit for persons under sixty-five years shall no longer apply. 20 * * * 21 Section 2. The Department of Public Safety and Corrections shall adopt and 22promulgate, in accordance with the Administrative Procedure Act, any rules and regulations 23that may be necessary to bring existing administrative rules into conformity with the 24provisions of this Act. 25 Section 3. This Act shall become effective upon signature by the governor or, if not 26signed by the governor, upon expiration of the time for bills to become law without signature 27by the governor, as provided in Article III, Section 18 of the Constitution of Louisiana. If 28vetoed by the governor and subsequently approved by the legislature, this Act shall become 29effective on the day following such approval. Page 2 of 3 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 21RS-682 ORIGINAL HB NO. 536 DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)] HB 536 Original 2021 Regular Session Phelps Abstract: Changes the number of days that trigger the imposition of sanctions for lapse of required vehicle insurance liability. Present law requires the secretary, upon a determination that a vehicle is not covered by security as required by present law or the owner or lessee has allowed the required security to lapse, to revoke the registration of the vehicle, impound the vehicle, and cancel the vehicle's license plate. Present law requires sanctions for a violation of present law be imposed for a period ranging from 12 to 18 months until proof of required liability security is provided to the secretary and all reinstatement fees are paid. Present law requires a reinstatement fee of $100 per violation if the vehicle was not covered by the required security for a period of 1-30 days, $250 per violation if the vehicle was not covered by the required security for a period of 31-90 days, and $500 per violation if the vehicle was not covered by the required security for a period in excess of 90 days. Proposed law changes the number of days that trigger the $100 per violation penalty if the vehicle was not covered by the required security from 1-30 days to 11-30 days. Proposed law requires the Dept. of Public Safety and Corrections to adopt and promulgate rules and regulations, in accordance with the Administrative Procedure Act, to bring any existing administrative rules into conformity with the provisions of proposed law. Effective upon signature of governor or lapse of time for gubernatorial action. (Amends R.S. 32:863(A)(3)(a)) Page 3 of 3 CODING: Words in struck through type are deletions from existing law; words underscored are additions.