Legislative Analysis
REMOVE REFERENCES TO DRIVER RESPONSIBILITY FEES Phone: (517) 373-8080
http://www.house.mi.gov/hfa
Senate Bills 706 (H-1) and 799 (S-1) as reported Analysis available at
Sponsor: Sen. Veronica Klinefelt http://www.legislature.mi.gov
House Committee: Transportation, Mobility and Infrastructure
Senate Committee: Transportation and Infrastructure
Complete to 6-13-24
(Enacted as Public Acts 113 and 114 of 2024)
SUMMARY:
Senate Bill 706 would amend the Michigan Vehicle Code to do all of the following:
• Remove a requirement that the secretary of state (SOS) include in an individual’s
driving record whether the individual failed to pay a driver responsibility fee (DRF).
• Remove a requirement that the SOS include in the driving record an individual’s
conviction for an offense described in former section 319e of the code. 1
• Allow the SOS to reinstate the driver’s license of an individual whose privileges were
suspended for failure to pay DRFs without requiring them to pay the license
reinstatement fee.
• Delete all of section 732a of the code, which established DRFs, except for those
provisions that relate to the creation and administration of the Fire Protection Fund,
and remove references to section 732a in other sections of the code.
• Repeal sections 732b and 732d of the code, which pertain to workforce training
programs and educational outreach in relation to DRFs.
MCL 257.204a et seq.
Senate Bill 799 would amend the Enhanced Driver License and Enhanced Official State
Personal Identification Card Act to remove the assessment of DRFs from a list of “licensing
sanctions” under the Michigan Vehicle Code that the holder of an enhanced driver license
under the act is subject to.
The bill cannot take effect unless Senate Bill 706 is also enacted.
MCL 28.304
Each bill would take effect 90 days after its enactment.
FISCAL IMPACT:
Senate Bill 706 would result in an insignificant reduction in revenue to four state departments
as described below.
Payments of reinstatement fees from driver license suspensions related to failure of paying
DRFs have tapered consistently since 2019, following the elimination of DRFs, and now
account for a minimal amount of revenue collected by the SOS.
1
This section, repealed in 2020, required the SOS to suspend an individual’s license for certain drug-related offenses.
House Fiscal Agency Page 1 of 2
 The SOS collected a total of $3.2 million in reinstatement fee revenue in FY 2022-23. Revenue
from each $125 reinstatement fee is distributed to four separate departments and funds as
shown in the table below.
Department Amount Fund Description
SOS, State $50 Reinstatement Fees Supports various operations within the SOS
Transportation $35 Economic Funds highway, road, and street projects that
(MDOT) Development Fund support economic growth
Judiciary $30 Drunk Driving Fund Funds the drunk driving case-flow program which
assists trial courts with timely disposition of drunk
driving offense cases
State Police (MSP) $10 Drunk Driving Supports the purchase and maintenance of breath-
Prevention and alcohol testing equipment and training to law
Training Fund enforcement officers on using the equipment
Senate Bill 799 would have no fiscal impact on the state or local units of government.
POSITIONS:
The following entities indicated support for the bills (6-4-24):
• Department of State
• Michigan Catholic Conference
• Michigan League for Public Policy
Legislative Analyst: E. Best
Fiscal Analyst: Michael Cnossen
■ This analysis was prepared by nonpartisan House Fiscal Agency staff for use by House members in their
deliberations and does not constitute an official statement of legislative intent.
House Fiscal Agency SBs 706 and 799 as reported from House committee Page 2 of 2


Statutes affected:
Substitute (S-1): 28.304
Senate Introduced Bill: 28.304
As Passed by the Senate: 28.304
As Passed by the House: 28.304
Public Act: 28.304
Senate Enrolled Bill: 28.304