LEGISLATIVE FISCAL ESTIMATE

SENATE, No. 2292

STATE OF NEW JERSEY

221st LEGISLATURE

 

DATED: JUNE 7, 2024

 

 

SUMMARY

 

Synopsis:

Requires low-speed electric bicycles and low-speed electric scooters to be registered with MVC and to be insured. 

Type of Impact:

Annual State expenditure and revenue increases. 

Agencies Affected:

New Jersey Motor Vehicle Commission. 

 

 

Office of Legislative Services Estimate

Fiscal Impact

Annual

 

State Expenditure Increase

Indeterminate

 

State Revenue Increase

Indeterminate

 

 

 

 

·         The Office of Legislative Services (OLS) estimates that the bill will result in an indeterminate annual cost increase for the New Jersey Motor Vehicle Commission associated with issuing registration certificates for low-speed electric bicycles and low-speed electric scooters.  The OLS anticipates that current commission staff could incorporate this registration process into the existing technological framework. 

 

·         Additionally, the OLS estimates that the bill will result in indeterminate, likely modest annual State revenue increases from fee collections for low-speed electric bicycle and low-speed electric scooter registrations.  The OLS is unable to quantify the number of people in the State that own low-speed electric bicycles and low-speed electric scooters.

 

 

BILL DESCRIPTION

 

      This bill requires low-speed electric bicycles and low-speed electric scooters that are principally garaged in the State to be registered with the commission and to be insured.  The bill sets standard coverage limits for low-speed electric bicycles and low-speed electric scooters.  The bill prohibits the operation of a low-speed electric bicycle or low-speed electric scooter unless the low-speed electric bicycle or low-speed electric scooter is registered by the owner. 

      The bill authorizes the commission to grant a registration certificate to the owner of a low-speed electric bicycle or low-speed electric scooter provided that the application for registration has been properly submitted, the registration fee has been paid, and the low-speed electric bicycle or low-speed electric scooter is of a type approved by the commission.  The bill provides that the registration will expire on the last day of the 11th calendar month following the calendar month in which the certificate was issued.  The bill establishes a fee of $8 for the initial registration and each subsequent renewal. 

 

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

      None received.

 

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS estimates that the bill will result in an indeterminate annual cost increase for the New Jersey Motor Vehicle Commission associated with issuing registration certificates for low-speed electric bicycles and low-speed electric scooters.  Additionally, the OLS estimates that the bill will result in indeterminate, likely modest annual State revenue increases from fee collections for low-speed electric bicycle and low-speed electric scooter registrations. 

      Under the bill, the commission is required to issue registration certificates to the owners of low-speed electric bicycles and low-speed electric scooters and maintain a record of all registration certificates issued.  The OLS anticipates that current commission staff could incorporate this registration process into the existing technological framework, which may reduce the implementation costs.  Additionally, the commission is required to mail application forms and renewals of registrations to the last known address of the owner of the low-speed electric bicycle or low-speed electric scooter.  Accordingly, the OLS notes that the commission would incur ongoing, likely modest administrative costs to meet the requirements of the bill. 

      The OLS anticipates an annual State revenue increase attributable to the $8 fee collections for the initial registration of low-speed electric bicycles and low-speed electric scooters and for each renewal.  The OLS is unable to quantify the number of low-speed electric bicycles and low-speed electric scooters that are owned and principally garaged in the State.  By way of example, if 500 low-speed electric bicycle and low-speed electric-scooter owners register their vehicle with the commission in any given fiscal year, there would be a State revenue increase of approximately $4,000.  If more or fewer of such registrations are issued in a given fiscal year, this fiscal impact would change accordingly. 

 

Section:

Authorities, Utilities, Transportation and Communications

Analyst:

Michael D. Walker

Assistant Fiscal Analyst

Approved:

Thomas Koenig

Legislative Budget and Finance Officer

 

This legislative fiscal estimate has been produced by the Office of Legislative Services due to the failure of the Executive Branch to respond to our request for a fiscal note.

 

This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).