ASSEMBLY APPROPRIATIONS COMMITTEE

STATEMENT TO

[First Reprint]

ASSEMBLY, No. 4442

STATE OF NEW JERSEY

DATED:  AUGUST 24, 2020

      The Assembly Appropriations Committee reports favorably Assembly Bill No. 4442 (1R).

      This bill allows a person who has passed the road test for driver licensure to operate a motor vehicle in this State in the same manner and to the same extent as the holder of a probationary driver’s license of the same age as the person.  This includes the ability to acquire automobile insurance in the same manner as the holder of a probationary driver’s license.  The authorization to operate a motor vehicle is to be valid for 60 days following passage of the road test.  For applicants who passed the road test before the effective date of the bill, the person is authorized for 60 days from the effective date of the bill to operate a motor vehicle.  After that time period, the person will be required to visit a New Jersey Motor Vehicle Commission agency to receive a driver’s license in order to lawfully operate a motor vehicle.

FISCAL IMPACT:

      The Office of Legislative Services finds that this bill will not impact the magnitude of revenues collected by the Motor Vehicle Commission (MVC); however it will impact the timing of collections, potentially shifting revenue that would have been collected in FY 2021 to FY 2022 depending upon the length of the COVID-19 public health emergency.  The revenues impacted will be the $6 fee paid by new drivers for probationary licenses, which will be collected up to 60 days later than would have otherwise been collected. With the current backlog in certain MVC transactions, there may be other operational cost impacts in the form of employee overtime or other actions intended to reduce that backlog.