Bill Text: NJ A585 | 2016-2017 | Regular Session | Introduced


Bill Title: Permits MVC to issue registration plates to certain mechanics who rehabilitate and sell used motor vehicles.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2016-01-27 - Introduced, Referred to Assembly Transportation and Independent Authorities Committee [A585 Detail]

Download: New_Jersey-2016-A585-Introduced.html

ASSEMBLY, No. 585

STATE OF NEW JERSEY

217th LEGISLATURE

 

PRE-FILED FOR INTRODUCTION IN THE 2016 SESSION

 


 

Sponsored by:

Assemblywoman  AMY H. HANDLIN

District 13 (Monmouth)

 

 

 

 

SYNOPSIS

     Permits MVC to issue registration plates to certain mechanics who rehabilitate and sell used motor vehicles.

 

CURRENT VERSION OF TEXT

     Introduced Pending Technical Review by Legislative Counsel.

  


An Act concerning registration plates for mechanics and supplementing Title 39 of the Revised Statutes.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    a.  As used in this act:

     "Board" means the board established by section 12 of P.L.2003, c.13 (C.39:2A-12).

     "Used motor vehicle" shall have the meaning ascribed for that term by R.S.39:10-2.

     b.    Notwithstanding the provisions of R.S.39:10-19 or any other law, rule, or regulation to the contrary, the chief administrator may, upon application in any form the chief administrator prescribes, license a person primarily engaged in the business of servicing, repairing, and maintaining motor vehicles to engage in the business of buying, selling, or dealing in used motor vehicles in this State. Each applicant for a license shall at the time the license is issued have established and maintained a place of business consisting of a permanent building not less than 1,000 square feet in floor space located in the State of New Jersey to be used principally for the servicing and repairing of motor vehicles with the equipment installed therein as shall be requisite to maintain the vehicles in or restore the vehicles to a condition as complies with the laws of this State and with any rules and regulations of the board governing the equipment, use, and operation of motor vehicles within the State. 

     c.     A person who has been convicted of a crime, arising out of fraud or misrepresentation in the sale, leasing, or financing of a motor vehicle, shall not be eligible to receive a license under this section.  For the purposes of this section, each applicant for a license shall submit to the chief administrator the applicant's name, address, fingerprints, and written consent for a criminal history record background check to be performed.  The chief administrator is hereby authorized to exchange fingerprint data with, and receive criminal history record information from, the State Bureau of Identification in the Division of State Police and the Federal Bureau of Investigation consistent with applicable State and federal law, rules, and regulations for the purpose of facilitating determinations concerning licensure eligibility.  The applicant shall bear the cost for the criminal history record background check, including all costs of administering and processing the check.  The Division of State Police shall promptly notify the chief administrator in the event that a current holder of a license, or a prospective applicant therefor, who was the subject of a criminal history record background check pursuant to this section, is arrested for a crime or offense in this State after the date the background check was performed.

     d.    A person primarily engaged in the business of servicing, repairing, and maintaining motor vehicles who is licensed by the chief administrator to engage in the business of buying, selling, or dealing in used motor vehicles in this State shall be subject to the provisions of P.L.1995, c.373 (C.56:8-67 et seq.) and to the rules and regulations promulgated pursuant thereto.

 

     2.    a.  A person licensed by the chief administrator pursuant to section 1 of P.L.      , c.     (C.        ) (pending before the Legislature as this bill) may obtain general registration and registration plates of the style and kind provided for in this section.  The registration plates may be placed on any used motor vehicle owned by the person while the vehicle is not individually registered and not in use as a rented or leased vehicle.

     b.    Registration plates issued pursuant to this section shall be a single plate and shall bear the letter "M" and a number corresponding to the number on the certificate of registration.  The single registration plate shall be displayed in accordance with the provisions of R.S.39:3-33.

     c.     The annual fee for the issuance of a certificate of general registration, one duplicate thereof, and two "M" plates bearing a number corresponding to the number on the certificate of registration shall be $500.  The chief administrator shall issue a third general registration and "M" registration plate for an additional annual fee of $250.

     d.    The chief administrator may, as a condition for the issuance of general registration and registration plates, require security in an amount deemed sufficient by the chief administrator to secure the prompt return of the plates to the commission when the use and possession of the plates by any person or entity previously entitled to the plates pursuant to this section is no longer necessary or proper in the determination of the chief administrator.  Any security amount held by the commission as security for any returned plates shall be refunded to the person or entity to whom or which the plates were issued.

 

     3.    a.  A person to whom "M" registration plates have been issued pursuant to section 2 of P.L.      , c.     (C.        ) (pending before the Legislature as this bill) shall not sell or attempt to sell any used motor vehicle in this State unless the motor vehicle successfully passes inspection for emissions and emission-related items including, but not limited to, emission control equipment and on-board diagnostics required by the chief administrator; and the mechanism, brakes, and equipment of the motor vehicle are in a proper and safe condition and complying with the laws of this State.  In the event that a vehicle sold by a person to whom "M" registration plates have been issued fails to meet the standards for issuance for a certificate of approval pursuant to R.S.39:8-2 and R.S.39:8-3, the mechanic shall make, or cause to be made, all the necessary repairs, without charge, or return the full purchase price to the purchaser; provided that the defect or defects are not the result of the purchaser's own act.

     b.    A person who has been issued "M" registration plates shall not sell any vehicle for more than $5,000.

 

     4.    The Chief Administrator of the Motor Vehicle Commission shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations necessary to effectuate the purposes of this act including, but not limited to, regulations establishing necessary liability coverage for holders of "M" registration plates.

 

     5.    This act shall take effect on the first day of the 13th month next following the date of enactment, but the chief administrator may take such anticipatory action in advance of that date as may be necessary for the timely implementation of this act.

 

 

STATEMENT

 

     This bill establishes temporary "M" registration plates for mechanics that service, maintain, and repair used cars for sale in the State.  To be eligible to purchase "M" plates from the Motor Vehicle Commission (commission) a mechanic is required to be licensed by the commission to buy, sell, or deal in used motor vehicles.  Licensure would require that a mechanic submit to a criminal background check and maintain a place of business consisting of a permanent building of not less than 1,000 square feet.  A person previously convicted of fraud or misrepresentation in the sale, lease, or financing of motor vehicles would not be eligible for licensure by the commission.

     The "M" registration plates would be available to mechanics licensed to buy, sell, or deal in used motor vehicles for a cost of $500 per year for two plates.  A third plate could be purchased for an additional $250 per year.  The registration plates could be placed on any used motor vehicle owned by such person while the vehicle is not individually registered and not in use as a rented or leased vehicle.

            Vehicles sold by mechanics with "M" plates would be subject to the State's used vehicle lemon law provisions.  In addition, the bill would require than any vehicle sold by a mechanic with "M" plates successfully pass inspection for emissions and emission-related items and that the mechanism, brakes, and equipment be in proper and safe condition complying with the laws of the State.  In the event that a vehicle failed to pass inspection, the mechanic would make, or cause to be made, all the necessary repairs, without charge, or return the full purchase price to the purchaser; provided that the defect or defects are not the result of the purchaser's own act.

     Under the bill, a person who has been issued "M" registration plates could not sell any vehicle for more than $5,000.

     Finally, the bill provides that the commission is to establish a minimum amount of liability coverage to be required of mechanics who purchase "M" registration plates.

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