SB 577 — DMV Proposed Legislative Changes.-AB

FILED SENATE GENERAL ASSEMBLY OF NORTH CAROLINA AprSESSION 4, 2023 S.B.S 1 SENATE BILL 577 Short Title:

577 SESSION 2023 PRINCIPAL CLERK S D SENATE BILL DRS45262-SUf-4 Short Title:

Rules and Operations of the Senate April 5, 2023 A BILL TO BE ENTITLED AN ACT TO MAKE VARIOUS CHANGES TO LAWS RELATED TO MOTOR VEHICLES, AS RECOMMENDED BY THE DIVISION OF MOTOR VEHICLES OF THE DEPARTMENT OF TRANSPORTATION.

– A supplemental digital version of a valid drivers license that (i) is approved bybythe the Commissioner, (ii) is issued by the Division of Motor Vehicles, (iii) is comprised of the same data elements as are found on a valid drivers license, and (iv) is capable of, and limited to, being linked to and displayed by a mobile device owned by the person to whom the valid drivers license is issued.

A mobile drivers license is the legal equivalent of a valid license." SECTION 1.(c) The Division of Motor Vehicles of the North Carolina Department of Transportation shall study and provide a plan for implementing mobile drivers licenses and mobilespecialidentificationcards.Thestudyandplanshalladdress(i)anticipateddriverslicense and special identification cards issuance and renewal process changes, (ii) anticipated changes to staffing needs for the Division for implementation of mobile drivers licenses and mobile special identification cards, (iii) estimated one-time and annual costs to the Division or any other State agency resulting from implementation, (iv) evaluation of whether implementation of mobile drivers licenses or mobile special identification cards will be undertaken by the Division or contracted to a third-party vendor and relevant contractual issues associated with either option, (v)changes in revenuefortheDivision oranyotherStateagency,(vi)securityoranyotherStateagency, and(vi)securityand confidentiality of drivers license information, (vii) concerns of State and local law enforcement agencies within North Carolina, including examining means by which to prevent unintended violations of an *DRS45262-SUf-4**S577-v-1* General Assembly Of North Carolina Session 2023 individual's constitutional rights, (viii) an estimated time line for implementation, including steps required to facilitate mobile drivers licenses and mobile identification cards, and (ix) any other issue the Division deems relevant to the study.

The Division maymaynot not disclose an applicant's social securitysecuritynumber number except as allowed under federal law.

Page 2 DRS45262-SUf-4Senate Bill 577-First Edition General Assembly Of North Carolina Session 2023 2 CLARIFY ISSUANCE OF PERMANENT LICENSE PLATES TO EMS/RESCUE ENTITIES SECTION 5.

An entity seeking a permanent plate pursuant to this subdivision shall also establish that the entityentity(i) (i) is listed intheEmergencyMedicalServices(EMS)System PlaninthecountyinwhichPlaninthecountyin which the entity provides services, (ii) maintains an active provider number issued by the North Carolina Office of EMS, and (iii) actively provides first responder services to a county, city, or town in the State.

A person who receives a transporter plate must have proof of financial responsibility that meets the requirements ofArticle9Aofthis Chapter.Thepersonto whom atransporterplate maymaybeissued beissued and the circumstances in which the vehicle bearing the plate may be operated are as follows:

… DRS45262-SUf-4Senate Bill 577-First Edition Page 3 General Assembly Of North Carolina Session 2023 (5) To a dealer or a business that contracts with a dealer and has a business privilege license to take a motor vehicle either to or from a motor vehicle auction where the vehicle will be or was offered for sale.

(2a) A vehicle sold directlydirectlyby by the manufacturer to anyanyagency agency of the United States in conformity with contractual specifications.

The Division shall differentiate special registration plates bearing the same Page 4 DRS45262-SUf-4Senate Bill 577-First Edition General Assembly Of North Carolina Session 2023 numerical designation by adding a hyphen and a letter of the alphabet beginning with the letter "A"." 4 EXPAND AUTHORITY OF DIVISION OFFICERS SECTION 10.

(1) When they have probable cause to believe that a person has committed a criminal act in their presence and at the time of the violation they are engaged in the enforcement of laws otherwise within their jurisdiction.or that a criminal act had immediately occurred, or is in the process of occurring, on physical propertypropertyowned, owned, operated, ormaintained byeitherthe North Carolina Department of Transportation or the Division, or property operated as a license plate agency for and overseen and regulated by the Division.

(2) When they are asked to provide temporary assistance bybythe the head of a State or local law enforcement agency or his designee and the request is within the scope of the agency's subject matter jurisdiction.

Vehicles Sold In Relevant Maximum Number of Plates 12-Month 24-Month Period Fewer than 1224 3 At least 12 24 but less than 2550 6 At least 25 50 but less than 3774 7 At least 37 74 but less than 4998 8 49 98 or more At least 8, but no more than 5 times the average number of qualifying sales representatives DRS45262-SUf-4Senate Bill 577-First Edition Page 5 General Assembly Of North Carolina Session 2023 employed by the dealer during the relevant 12-month 24-month period.

This subdivision also does not apply to an applicant who holds a license as a new motor vehicle dealer as defined in Page 6 DRS45262-SUf-4Senate Bill 577-First Edition General Assembly Of North Carolina Session 2023 G.S.

The Division shall varyvarythe the expiration dates of all licenses that are granted so that an equal number of licenses expire at the end of each month, quarter, or other period consisting of one or more months to coincide with G.S.

20-111 involving a temporarytemporaryregistration registration plate or marker shall be punished as a Class I felony." SECTION 12.(b) This section becomes effective December 1, 2023, and applies to offenses committed on or after that date.

DRS45262-SUf-4Senate Bill 577-First Edition Page 7 General Assembly Of North Carolina Session 2023 2 PRINT-ON-DEMAND TEMPORARY REGISTRATION PLATES SECTION 13.(a) Article 3 of Chapter 20 of the General Statutes is amended by adding a new section to read:

To establish and operate a central motor fleet and such subsidiary related facilities as the SecretarySecretarymaydeem may deem necessary, and to that end:

… Page 8 DRS45262-SUf-4Senate Bill 577-First Edition General Assembly Of North Carolina Session 2023 (d1) Any headlamp modified or installed on a vehicle after initial manufacture of the vehicle shall comply with Federal Motor Vehicle Safety Standard (FMVSS) 108.

(a) The acceptance by a nonresident of the rights and privileges conferred by the laws now or hereafter in force in this State permitting the operation of motor vehicles, as evidenced by the operation of a motor vehicle by such the nonresident on the public highways of this State, or at any other place in this State, or the operation by such the nonresident of a motor vehicle on the public highways of this State or at any other place in this State, other than as so permitted or regulated, shall be deemed equivalent to the appointment by such the nonresident of the Commissioner of Motor Vehicles, or his the Commissioner's successor in office, to be his the nonresident's true and lawful attorney and the attorney of his the nonresident's executor or Administrator, upon whom may be served all summonses or other lawful process in any action or proceeding against him the nonresident or his the nonresident's executor or administrator, growing out of anyanyaccident accident or collision in which said the nonresident maymaybe be involved bybyreason reason of the operation by him, the nonresident, for him, the nonresident, or under his the nonresident's control or direction, express or implied, of a motor vehicle on such the public highways of this State, or at any other place in this State, and said acceptance or operation shall be a signification of his the nonresident's agreement that any such process against him the nonresident or his the nonresident's executor or administrator shall be of the same legal force and validity as if served on him the nonresident personally, or on his the nonresident's executor or administrator.

Such service, upon compliance with the other provisions ofofthis this section,shall besufficient serviceuponthesaidserviceupon thesaid nonresident.

DRS45262-SUf-4Senate Bill 577-First Edition Page 9 General Assembly Of North Carolina Session 2023 (3) The defendant's return receipt, or the original envelope bearing a notation by the postal authorities that receipt was refused, and an affidavit by the plaintiff that notice of mailing the registered letter and refusal to accept was forthwith sent to the defendant bybyordinarymail, ordinary mail, together with the plaintiff's affidavit of compliance with the provisions of this section, must be appended to the summons or other process and filed with said summons, complaint and other papers in the cause.

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