Resolution calling upon the New York State Legislature to pass, and the Governor to sign, legislation increasing penalties on drivers who improperly register vehicles in another state.

Res. No. 418

Resolution calling upon the New York State Legislature to pass, and the Governor to sign, legislation increasing penalties on drivers who improperly register vehicles in another state.

By Council Members Holden, Gjonaj, Ulrich and Yeger

                     Whereas, Drivers are required to register their vehicles with the New York State Department of Motor Vehicles within 30 days of moving into the state; and

                     Whereas, Many residents of New York choose to illegally register their vehicle in other states, often in an attempt to take advantage of lower insurance rates; and

                     Whereas, A 2011 State Senate report found that nearly 25 percent of all vehicle crashes in New York involving cars with Pennsylvania license plates occurred in Brooklyn, which suggests that many of those vehicles belonged to New Yorkers, not visitors; and

                     Whereas, A 2017 Crain’s report, citing the same State Senate study, reported that New York residents who drive cars registered out of state cost the city $73 million in unpaid parking tickets, deprive the state of $1 million annually in fees for license plates, titles, and vehicle registrations, as well as up to $93 million in sales tax revenue, and cost insurers $19 million each year in underpriced premiums; and

                     Whereas, New York residents who improperly avoid taxes, fees, and insurance costs by registering their vehicles in other states unfairly shift that burden to fellow New Yorkers who follow the rules; and

                     Whereas, Various bills that would enhance enforcement of improper out-of-state registration and increase associated penalties have been introduced in the State Legislature in recent years, including legislation that would make listing a false address on a car insurance or vehicle registration form a felony and legislation that would grant the Superintendent of Financial Services the authority to investigate such fraudulent acts; now, therefore, be it

                     Resolved, That the Council of the City of New York calls upon the New York State Legislature to pass, and the Governor to sign, legislation increasing penalties on drivers who improperly register vehicles in another state.

JM

LS# 6707

6/1/2018