The proposed bill, SB1168, aims to eliminate the Abandoned Vehicle Administration Fund and redirect its resources to the State Highway Fund. Under current law, fees collected from abandoned vehicles are partially allocated to this fund, which provides reimbursements to towing companies. The new bill would remove these reimbursements entirely, transferring all unspent funds from the Abandoned Vehicle Administration Fund to the State Highway Fund and requiring that all future fees collected for abandoned vehicles be deposited directly into the State Highway Fund.

Additionally, the bill repeals several statutes related to the administration of the abandoned vehicle program, including those governing the registration and reimbursement of towing companies. This change is expected to result in a significant fiscal impact, with an estimated $1.2 million benefit to the state General Fund and a smaller amount to the State Highway Fund starting in FY 2025. Overall, the bill simplifies the funding structure for abandoned vehicle management by consolidating resources into the State Highway Fund and eliminating the reimbursement process for towing companies.

Statutes affected:
Introduced Version: 28-337
Senate Engrossed Version: 28-4802, 28-4804, 28-4805, 28-4806, 28-6991, 28-2003, 28-3002, 35-146, 35-147