HB 912
Department of Legislative Services
Maryland General Assembly
2021 Session
FISCAL AND POLICY NOTE
First Reader
House Bill 912 (Delegate Lisanti)
Environment and Transportation
Maryland Transportation Authority – Video Tolls – Collection
This emergency bill extends by three years (from May 31, 2021, to May 31, 2024) the
termination date of Chapter 547 of 2018, which (1) expressly authorizes the Maryland
Transportation Authority (MDTA) to recall a delinquent account from the Central
Collection Unit (CCU) if specified conditions are met and (2) prohibits CCU from
collecting any debt that is recalled by MDTA.
Fiscal Summary
State Effect: The effects on nonbudgeted revenues, special fund revenues and
expenditures, and general fund revenues continue through most of FY 2024 due to the
extension of the termination date, as discussed below.
Local Effect: The bill does not materially affect local government operations or finances.
Small Business Effect: Minimal.
Analysis
Bill Summary/Current Law:
Toll Violations and Chapter 547 of 2018
A motor vehicle incurs a video toll when the vehicle passes through an MDTA toll facility
(such as the Chesapeake Bay Bridge or Intercounty Connector) but does not pay the toll
using cash or an E-ZPass. MDTA is required to send the registered owner of a motor
vehicle that has incurred a video toll a notice of toll due. The owner then has 30 days to
pay the toll amount. An owner who fails to pay the amount due is subject to a civil citation
and civil penalty. The civil penalty amount is set by regulation and is currently $25.
(MDTA reduced the civil penalty amount from $50 to $25 effective July 1, 2020.)
A person who receives an MDTA citation for failure to pay a toll (a toll violation) must
either pay the toll and penalty in the allotted timeframe or elect to go to court. If a person
fails to elect to stand trial or pay the prescribed video toll and civil penalty, is adjudicated
to be liable after trial, or fails to appear at a trial after having elected to stand trial, MDTA
may (1) collect the video toll and the civil penalty by any means of collection as provided
by law and (2) notify the Motor Vehicle Administration. MDTA may waive any portion of
a video toll due or civil penalty assessed for a toll violation until the debt is referred to
CCU.
Chapter 547 of 2018 expressly authorizes MDTA to recall a delinquent account from CCU
if (1) the account exceeds $300 in unpaid video tolls and associated civil penalties; (2) the
video tolls in question were assessed within a 30-day period; and (3) mitigating factors
exist with respect to the tolls and penalties, as determined by MDTA. Prior to the enactment
of Chapter 547, MDTA could only recall an account from CCU if there was an error with
the toll violation that was MDTA’s fault. Pursuant to current law, Chapter 547 is set to
terminate May 31, 2021; the bill extends the termination date to May 31, 2024.
Department of Budget and Management – Central Collection Unit
Under current law, generally, CCU is responsible for collecting any delinquent accounts or
debts owed to the State. CCU is authorized to use any actions available to it under State
law to collect debts or claims. CCU is authorized to charge an administrative fee of up to
20% of the outstanding principal and interest on the debt referred to it for collection; the
current fee is 17%. Debt payments are credited to the agency that refers the debt. The
administrative fees are credited to the Central Collection Fund to pay for CCU’s operating
expenses, except that any balance in excess of 15% of the unit’s actual operating expenses
reverts to the general fund. CCU uses a variety of methods and resources to facilitate the
collection of delinquent accounts, including automated and manual efforts, as well as a
private collection agency.
State Fiscal Effect: The effects on nonbudgeted revenues, special fund revenues and
expenditures, and general fund revenues that have resulted from the implementation of
Chapter 547 continue through most of fiscal 2024 due to the extension of the termination
date. A precise estimate of the effects of Chapter 547 – which continue under the bill –
cannot be reliably estimated, as the effects depend on (1) how many future accounts involve
or will involve mitigating factors that make them eligible for recall and (2) how much of
the debt that is recalled and collected or waived under Chapter 547 would have been
collected by CCU in the absence of the Act. However, the general effects – which continue
under the bill – are summarized below.
 MDTA nonbudgeted revenues decrease to the extent that MDTA recalls and waives
some or all of a customer’s outstanding tolls and penalties from CCU but increase
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to the extent that doing so allows the collection of toll and penalty revenues that
would not have otherwise been collected. It is unclear whether the overall effect is
a net increase or decrease in revenues.
 CCU special fund revenues decrease to the extent that debt is recalled by MDTA and,
therefore, not collected by CCU. Special fund expenditures decrease correspondingly
as CCU spends less time and fewer of its resources attempting to collect the recalled
debt.
 General fund revenues also decrease (likely minimally) to the extent that debt is
recalled and collected by MDTA instead of CCU, because CCU reverts a portion of
the 17% fee it collects on outstanding debt back to the general fund. For the debt
that is recalled and collected by MDTA, this general fund revenue is lost.
For context, MDTA advises that during the first 13 months that Chapter 547 was in effect
(1 month in fiscal 2018 and all of fiscal 2019), MDTA recalled from CCU about
$6.5 million in outstanding toll violation debt. Of that total, approximately $1.0 million
was collected, approximately $5.4 million was waived, and approximately $90,000 is still
outstanding. Data for fiscal 2020 is not instructive because MDTA temporarily stopped
collections of toll violations due to the COVID-19 pandemic.
Additional Information
Prior Introductions: None.
Designated Cross File: None.
Information Source(s): Maryland Department of Transportation; Judiciary
(Administrative Office of the Courts); Department of Legislative Services
Fiscal Note History: First Reader - February 16, 2021
rh/lgc
Analysis by: Richard L. Duncan Direct Inquiries to:
(410) 946-5510
(301) 970-5510
HB 912/ Page 3

Statutes affected:
Text - First - Maryland Transportation Authority – Video Tolls – Collection: 3-302 State Finance and Procurement, 21-1414 Transportation, 2-024 Transportation