1.1 A bill for an act 1.2 relating to transportation; driver and vehicle services; establishing a full-service 1.3 provider account; modifying fee distributions; amending Minnesota Statutes 2024, 1.4 sections 168.33, subdivision 7; 171.06, subdivision 2; 299A.705, by adding a 1.5 subdivision. 1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.7 Section 1. Minnesota Statutes 2024, section 168.33, subdivision 7, is amended to read: 1.8 Subd. 7.Filing fees; allocations.(a) In addition to all other statutory fees and taxes: 1.9 (1) an $8 filing fee is imposed on every vehicle registration renewal, excluding pro rate 1.10transactions; and 1.11 (2) a $12 filing fee is imposed on every other type of vehicle transaction, including motor 1.12carrier fuel licenses under sections 168D.05 and 168D.06, and pro rate transactions. 1.13 (b) Notwithstanding paragraph (a): 1.14 (1) a filing fee may not be charged for a document returned for a refund or for a correction 1.15of an error made by the Department of Public Safety, a dealer, or a deputy registrar; and 1.16 (2) no filing fee or other fee may be charged for the permanent surrender of a title for a 1.17vehicle. 1.18 (c) The filing fee must be shown as a separate item on all registration renewal notices 1.19sent out by the commissioner. 1.20 (d) The statutory fees and taxes, the filing fees imposed under paragraph (a), and the 1.21surcharge imposed under paragraph (f) may be paid by credit card or debit card. The deputy 1.22registrar may collect a surcharge on the payment made under this paragraph not greater than 1Section 1. REVISOR KRB/LJ 25-0210101/14/25 State of Minnesota This Document can be made available in alternative formats upon request HOUSE OF REPRESENTATIVES H. F. No. 2605 NINETY-FOURTH SESSION Authored by Olson03/20/2025 The bill was read for the first time and referred to the Committee on Transportation Finance and Policy 2.1the cost of processing a credit card or debit card transaction, in accordance with emergency 2.2rules established by the commissioner of public safety. The surcharge authorized by this 2.3paragraph must be used to pay the cost of processing credit and debit card transactions. 2.4 (e) The fees collected under paragraph (a) by the department must be allocated as follows: 2.5 (1) of the fees collected under paragraph (a), clause (1): 2.6 (i) $6.50 must be deposited in the driver and vehicle services operating account under 2.7section 299A.705, subdivision 1; and 2.8 (ii) $1.50 must be deposited in the driver and vehicle services technology account under 2.9section 299A.705, subdivision 3; and 2.10 (2) of the fees collected under paragraph (a), clause (2): 2.11 (i) $3.50 must be deposited in the general fund; 2.12 (ii) $7 must be deposited in the driver and vehicle services operating account under 2.13section 299A.705, subdivision 1; and 2.14 (iii) $1.50 must be deposited in the driver and vehicle services technology account under 2.15section 299A.705, subdivision 3. 2.16 (f) In addition to all other statutory fees and taxes, a deputy registrar must assess a $1 2.17surcharge on every transaction for which filing fees are collected under this subdivision. 2.18The surcharge authorized by this paragraph must be (1) deposited in the treasury of the 2.19place for which the deputy registrar is appointed, or (2) if the deputy registrar is not a public 2.20official, retained by the deputy registrar. For purposes of this paragraph, a deputy registrar 2.21does not include the commissioner. 2.22 (g) The fees collected under this subdivision by the department for mail or online 2.23transactions must be allocated as follows: 2.24 (1) of the fees collected under paragraph (a), clause (1): 2.25 (i) $3.25 must be deposited in the driver and vehicle services operating account under 2.26section 299A.705, subdivision 1; 2.27 (ii) $0.75 must be deposited in the driver and vehicle services technology account under 2.28section 299A.705, subdivision 3; and 2.29 (iii) $4.00 must be deposited in the full-service provider account under section 299A.705, 2.30subdivision 5; and 2.31 (2) of the fees collected under paragraph (a), clause (2): 2Section 1. REVISOR KRB/LJ 25-0210101/14/25 3.1 (i) $3.50 must be deposited in the general fund; 3.2 (ii) $3.50 must be deposited in the driver and vehicle services operating account under 3.3section 299A.705, subdivision 1; 3.4 (iii) $0.75 must be deposited in the driver and vehicle services technology account under 3.5section 299A.705, subdivision 3; and 3.6 (iv) $4.25 must be deposited in the full-service provider account under section 299A.705, 3.7subdivision 5. 3.8 (h) In addition to all other statutory fees and taxes, a $5.00 surcharge is imposed on 3.9every vehicle registration renewal, excluding pro rate transactions, that is submitted by mail. 3.10Of the $5.00 surcharge, $2.50 must be deposited in the driver and vehicle services operating 3.11account and $2.50 must be deposited in the full-service provider account. 3.12 EFFECTIVE DATE.This section is effective October 1, 2025. 3.13 Sec. 2. Minnesota Statutes 2024, section 171.06, subdivision 2, is amended to read: 3.14 Subd. 2.Fees.(a) The fees for a license and Minnesota identification card are as follows: A-$46.75B-$38.75C-$31.75D-$27.75 3.15REAL ID Compliant or 3.16Noncompliant Classified 3.17Driver's License A-$26.75B-$38.75C-$31.75D-$27.75 3.18REAL ID Compliant or 3.19Noncompliant Classified 3.20Under-21 D.L. A-$61.75B-$53.75C-$46.75D-$42.753.21Enhanced Driver's License $11.25 3.22REAL ID Compliant or 3.23Noncompliant Instruction 3.24Permit $26.25 3.25Enhanced Instruction 3.26Permit $8.50 3.27Commercial Learner's 3.28Permit $14.25 3.29REAL ID Compliant or 3.30Noncompliant Provisional 3.31License $29.25 3.32Enhanced Provisional 3.33License $12.75 3.34Duplicate REAL ID 3.35Compliant or Noncompliant 3.36License or duplicate REAL 3.37ID Compliant or 3.38Noncompliant 3.39identification card 3Sec. 2. REVISOR KRB/LJ 25-0210101/14/25 $27.75 4.1Enhanced Duplicate 4.2License or enhanced 4.3duplicate identification card $17.25 4.4REAL ID Compliant or 4.5Noncompliant Minnesota 4.6identification card or REAL 4.7ID Compliant or 4.8Noncompliant Under-21 4.9Minnesota identification 4.10card, other than duplicate, 4.11except as otherwise 4.12provided in section 171.07, 4.13subdivisions 3 and 3a $32.25 4.14Enhanced Minnesota 4.15identification card 4.16 (b) In addition to each fee required in paragraph (a), the commissioner must collect a 4.17surcharge of $2.25. Surcharges collected under this paragraph must be credited to the driver 4.18and vehicle services technology account under section 299A.705. 4.19 (c) Notwithstanding paragraph (a), an individual who holds a provisional license and 4.20has a driving record free of (1) convictions for a violation of section 169A.20, 169A.33, 4.21169A.35, sections 169A.50 to 169A.53, or section 171.177, (2) convictions for crash-related 4.22moving violations, and (3) convictions for moving violations that are not crash related, has 4.23a $3.50 credit toward the fee for any classified under-21 driver's license. "Moving violation" 4.24has the meaning given it in section 171.04, subdivision 1. 4.25 (d) In addition to the driver's license fee required under paragraph (a), the commissioner 4.26must collect an additional $4 processing fee from each new applicant or individual renewing 4.27a license with a school bus endorsement to cover the costs for processing an applicant's 4.28initial and biennial physical examination certificate. The department must not charge these 4.29applicants any other fee to receive or renew the endorsement. 4.30 (e) In addition to the fee required under paragraph (a), a driver's license agent may charge 4.31and retain a filing fee as provided under section 171.061, subdivision 4. 4.32 (f) In addition to the fee required under paragraph (a), the commissioner must charge a 4.33filing fee at the same amount as a driver's license agent under section 171.061, subdivision 4.344. Revenue collected under this paragraph for in-person transactions must be deposited in 4.35the driver and vehicle services operating account under section 299A.705. Revenue collected 4.36under this paragraph for mail or online transactions must be allocated as follows: 4.37 (1) 50 percent must be deposited in the driver and vehicle services operating account 4.38under section 299A.705, subdivision 1; and 4Sec. 2. REVISOR KRB/LJ 25-0210101/14/25 5.1 (2) 50 percent must be deposited in the full-service provider account under section 5.2299A.705, subdivision 5. 5.3 (g) An application for a Minnesota identification card, instruction permit, provisional 5.4license, or driver's license, including an application for renewal, must contain a provision 5.5that allows the applicant to add to the fee under paragraph (a), a $2 donation for the purposes 5.6of public information and education on anatomical gifts under section 171.075. 5.7 EFFECTIVE DATE.This section is effective October 1, 2025. 5.8 Sec. 3. Minnesota Statutes 2024, section 299A.705, is amended by adding a subdivision 5.9to read: 5.10 Subd. 5.Full-service provider account.(a) The full-service provider account is created 5.11in the special revenue fund, consisting of fees described in sections 168.33, subdivision 7, 5.12and 171.06, subdivision 2, and any other money donated, allotted, transferred, or otherwise 5.13provided to the account. 5.14 (b) Money in the account is annually appropriated to the commissioner of public safety 5.15to distribute to full-service providers, as defined in section 168.002, subdivision 12a. At 5.16least quarterly, the commissioner must distribute the money in the account to each full-service 5.17provider that was in operation during that quarter based proportionally on the total number 5.18of transactions completed by each full-service provider. 5.19 EFFECTIVE DATE.This section is effective October 1, 2025, and the first quarterly 5.20distribution shall be made on or before January 15, 2026. 5Sec. 3. REVISOR KRB/LJ 25-0210101/14/25