SSHB683 4468 4940
HOUSE SUMMARY OF SENATE AMENDMENTS
HB 683 2024 Regular Session Owen
MTR VEHICLE/OFFICE: Requires the office of motor vehicles to process reinstatements
in person at all field locations
Synopsis of Senate Amendments
1.Makes technical changes.
Digest of Bill as Finally Passed by Senate
Present law requires the office of motor vehicles (OMV) to refer a final delinquent debt for
which a debtor has not entered into an installment agreement for payment to the office of
debt recovery (ODR) as provided in present law. Specifies final delinquent debt referrals
must include data and information in the required format necessary to institute collection
procedures. Requires all delinquent debts be authenticated by the OMV prior to being
referred to the office of debt recovery. Specifies that once the delinquent debt becomes final,
and prior to referral to the office of debt recovery, the OMV must notify the debtor in writing
that failure to pay the debt in full within 60 days will subject the debt to the maximum
amount owed together with the additional fee collected by the office of debt recovery
provided for in present law. Requires notice to inform the debtor that he may qualify to pay
sums due by installment agreement, if eligible, and include instructions on how to inquire
with the OMV to determine eligibility and terms.
Proposed law modifies present law by removing the mandate that the OMV refer debt to the
ODR and instead specifies that the OMV must notify the debtor in writing regarding the
failure to pay the debt.
Proposed law authorizes the OMV, through the commissioner, to compromise and settle all
debt whether such debt is delinquent debt, final debt, or a debt that has been referred to the
ODR as a final delinquent debt to avoid litigation and further collection expenses of the state
upon satisfactory showing of substantial compliance with the law and determination that no
fee or lesser fee is due.
Present law defines "delinquent debt" as a debt that is 60 days or more past due.
Proposed law modifies present law by increasing the past due amount from 60 days or more
past due to 180 days.
Present law defines "final debt" as the amount due is no longer negotiable and that the debtor
has no further right of administrative and judicial review.
Proposed law removes from present law the specification that the amount due is no longer
negotiable.
Proposed law retains present law but gives the OMV the option to refer a final delinquent
debt for which a debtor has not entered into an installment agreement for debt recovery to
the ODR, within the Dept. of Revenue.
Proposed law requires a debtor to provide a valid electronic mail address to the office of
motor vehicles to receive all notices and updates. Specifies it is the debtor's obligation to
maintain a valid electronic mail address during the entire term of any installment agreement
confected pursuant to proposed law. Requires the debtor to promptly update the installment
agreement system with any new or changed electronic mail address.
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Present law establishes installment agreement payment schedule requires a debtor to provide
fixed and equal monthly payments in the following amounts, with the first payment due upon
the execution of the agreement:
(1)If the debtor owes $250, the debtor shall pay six equal monthly installments.
(2)If the debtor owes from $251 to $750, the debtor shall pay 12 equal monthly
installments.
(3)If the debtor owes from $751 to $1,000, the debtor shall pay 24 equal monthly
installments.
(4)If the debtor owes from $1,501 to $2,500, the debtor shall pay 36 equal monthly
installments.
(5)If the debtor owes from $2,501 to $4,999, the debtor shall pay 48 equal monthly
installments.
(6)If the debtor owes $5,000 or more, the debtor shall pay up to 60 monthly installment
payments. However, the commissioner of the OMV may grant longer payment terms
for amounts of $5,000 or more owed based on proof of income indicating a debtor's
financial limitations to pay within 60 months.
Proposed law removes the execution process in present law and gives the commissioner of
the OMV discretion to consider factors such as the debtor's income, financial obligations, as
well as any other factors that affect the debtor's ability to pay the outstanding debt when the
commissioner is determining the number of payments and the amount of each payment in the
debtor's installment agreement.
Present law provides for the termination of installment agreement upon failure to make
payment. Specifies that if any installment payment is not made on or before the date fixed
for the payment, the entire unpaid amount pursuant to the installment agreement is to be paid
by the debtor within a 60-day period from the date of notice and demand from the
commissioner of the office of motor vehicles. Further specifies that the notice is to advise
the debtor that his driver's license will be suspended upon the expiration of the 60 day period
if the payments due pursuant to the installment agreement are not made current within that
60-day period or the agreement is not reinstated by the commissioner of the office of motor
vehicles within that 60-day period. Specifies that this notice is known as "Notice of
Installment Agreement Termination and Demand".
Proposed law modifies present law by clarifying that the debtor must also fail to make a
missed payment before present law is triggered.
Present law requires Notice of Installment Agreement Termination and Demand satisfy all
notice requirements of R.S. 32:8 and R.S. 47:1676. Specifies in the event an installment
agreement includes payment of delinquent or final debt as defined by R.S. 32:8, such notice
must include all information required by R.S. 32:8. Further specifies the event that an
installment agreement includes payment of delinquent or final debt as defined by R.S.
47:1676, such notice must include all information required by R.S. 47:1676. Additionally
the notice required by this Paragraph must satisfy the notice requirements of R.S. 32:8 and
R.S. 47:1676.
Proposed law retains present law and clarifies that all notice requirements contained in R.S.
32:8 and R.S. 47:1676 apply.
Present law specifies upon request of the debtor within the 60 day period from the date of the
notice and demand required in present law and approval of the commissioner of the OMV,
the OMV may reinstate the installment agreement after payment of the missed installment.
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Proposed law modifies present law and specifies that the OMV may reinstate the installment
agreement after payment of all missed installments and associated late fees.
Present law specifies if no request for reinstatement of an installment agreement is made
within 60 days of the notice and demand required in present law, or if the commissioner of
the OMV rejects a request to reinstate an installment agreement, the installment agreement
will be terminated and any remaining sums due under the installment agreement will be
delinquent and final debt as defined in present law and will apply to the following:
(1)Sums due which are not debt as defined by present law, the OMV may refer any
unpaid balance due under the installment agreement for collection by the appropriate
office pursuant to present law.
(2)For sums due which are debt as defined by present law, the OMV must refer any
unpaid balance due under the installment agreement to the Dept. of Revenue, ODR,
for collection as provided in present law.
Proposed law retains present law but makes it optional for the OMV to refer any unpaid
balance due under the installment agreement to the Dept. of Revenue, ODR, for collection
as provided in present law.
Present law retains present law.
Present law requires driving privileges and vehicle registration be reinstated when an
installment agreement is executed by the debtor and the OMV. Specifies that all blocks on
the debtor's license record be removed at that time. Further specifies the OMV may include
the applicable fee for reinstatement of driving privileges in the total to be owed pursuant to
an installment agreement entered into pursuant to present law.
Present law establishes Administration of installment agreements. Requires the Dept. of
Public Safety and Corrections, public safety services, to authorize a third party, including but
not limited to the Dept. of Revenue, ODR, to administer installment agreements executed
pursuant to present law. Additionally, such authorized third party may collect payments due
pursuant to installment agreements executed pursuant to present law.
Present law specifies that any such authorized third party be an authorized agent of the Dept.
of Public Safety and Corrections, public safety services, and may collect the following fees
for each transaction completed pursuant to present law:
(1)A fee not to exceed $3.00 for each payment made pursuant to an installment
agreement.
(2)Fees authorized by present law.
(3)Fees authorized pursuant to present law.
Specifies that the provisions of present law do not apply to services provided by the Dept.
of Revenue, ODR, pursuant to present law.
Further specifies that the OMV and the ODR cannot be considered a collection agency as
defined in present law.
Present law further specifies that the OMV and the Dept. of Revenue, ODR, may adopt rules
and regulations in accordance with the Administrative Procedure Act to implement the
provisions of this Section.
Proposed law creates the Reinstatement Relief Program. Specifies that the commissioner of
the office of motor vehicles is authorized to implement a Reinstatement Relief Program for
persons who owe reinstatements fees imposed pursuant to present law for having a lapse in
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insurance coverage.
Proposed law requires the commissioner to determine the amount of reinstatement fees a
person owes. Specifies the person is to promptly pay the amount determined to be owed no
later than 10 calendar days from the date the commissioner sets the amount that is owed.
Additionally, specifies that if the person needs to make payment arrangements, the person
is to execute an installment agreement with the office of motor vehicles. Further provides
that such an installment agreement will only be fore the amount determined to be owed by
the commissioner together with all fees associated with the installment agreement as
provided present law.
Proposed law specifies that if a person executes an installment contract; that person must
maintain eligibility to remain in the Reinstatement Relief Program only if they make all
payments required in the installment agreement. Further specifies, that if a person fails to
make a timely payment and fails to pay the missed payment with the associated late fee
before the next scheduled payment, the person must be removed from the Reinstatement
Relief Program and will not be eligible to reenter the Reinstatement Relief Program.
Proposed law allows the commissioner to request such documentation and information from
the person as is necessary to determine the amount of any payment and the number of any
payment including but not limited to income tax returns and prior bankruptcy filings.
Proposed law establishes that if the person successfully completes the Reinstatement Relief
Program, the OMV must issue documentation to the person indicating the amount of debt
that was paid and the amount of debt that was forgiven.
Proposed law requires the provisions of proposed law retroactively apply to all persons
whose debt on the effective date of the Act, even if the debt has already been referred to the
ODR.
Proposed law specifies any debt referred to the ODR on or before the effective date of this
Act, will be considered delinquent debt if the debt was 60 days or more past due, as provided
in Act No. 414 of the 2015 R.S.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Amends R.S. 32:8(A)(2) and (3) and (B) and 429.4(B) and (E)-(H); Adds R.S. 32:8(D),
429.4(A)(5) and (I) and 863.1.2)
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