This bill proposes significant changes to the state's vehicle inspection requirements by eliminating the mandate for physical safety inspections and on-board diagnostic tests for private passenger vehicles. It also seeks to repeal the Motor Vehicle Air Pollution Abatement Fund, which previously supported initiatives aimed at reducing vehicle emissions. Key deletions from current law include the removal of provisions requiring current inspection stickers, the inspection process for unsafe vehicles prior to sale, and various statutes governing vehicle inspections and emissions control. The bill is set to take effect on January 1, 2026.

The fiscal implications of this bill are substantial, with an estimated decrease in state revenue of $3,412,500 annually due to the removal of inspection sticker fees. Local municipalities are also expected to experience revenue declines, projected at $173,250 in FY 2027 and $346,500 in FY 2028 and beyond, affecting their share of highway fund revenues. Additionally, the repeal of the Motor Vehicle Air Pollution Abatement Fund raises concerns about the future management of its remaining balance, which was reported at $691,596 as of June 30, 2024, alongside average annual expenditures of approximately $272,000 over the past four years.

Statutes affected:
Introduced: 125-S:2, 266:18-d, 266:59-a, 266:60, 266:13, 266:115, 358-F:2, 358-F:4