Bill > A3003

Introduced Session

This bill requires the New Jersey Motor Vehicle Commission (MVC) to complete a study within 60 days of the bill's enactment to determine whether it has the resources and capability to establish and implement, within 12 months of the bill's enactment, an electronic lien and title system to process and administer, in a cost-effective manner, the notification, recording, and release of security interests and titling information by the lienholders of motor vehicles in lieu of the current paper-based system. If the MVC determines it has the resources and capability to establish and implement the system, it is to establish and implement the system within 12 months of the bill's enactment. If the MVC determines it does not have the resources and capability to establish and implement the system, the MVC is required to contract with a qualified bidder to establish and implement the system for the State. The contract is to be offered, advertised, and awarded in accordance with the State public contracts law. In addition, the bill specifies that the contract is to:(1) be for a term of not less than seven years;(2) be a no-cost contract, ensuring that the MVC is assessed no charges by the successful bidder for establishing and implementing the electronic lien and titling system and that the successful bidder is obligated to reimburse the MVC for all reasonable costs directly associated with the establishment and implementation of the system; and(3) permit the successful bidder to charge participating lienholders and their agents reasonable fees. Further, the bill requires contract applicants to have a demonstrated history of directly providing both electronic lien services to state motor vehicle departments or agencies and electronic lien software and services to lienholders. The bill mandates that within one year of the date upon which the electronic lien and titling system becomes operational, all lienholders in New Jersey are required to participate in the system, except individuals and those lienholders who are not normally engaged in the business of financing motor vehicles and who are administratively exempted by the Chief Administrator of the MVC.

AI Summary

Committee Categories

Cody Miller (D)*,  Dan Hutchison (D),  Carmen Morales (D), 

Introduced, Referred to Assembly Transportation and Independent Authorities Committee (on 01/09/2024)

Official Document