LEGISLATIVE FISCAL ESTIMATE
SENATE, No. 930
STATE OF NEW JERSEY
220th LEGISLATURE
DATED: JULY 17, 2023
SUMMARY
Synopsis: Exempts certain motor vehicles that are owned by certain nutrition
programs and certain nonprofit organizations that offer social services
from motor vehicle registration fees.
Type of Impact: Annual State revenue decrease.
Agencies Affected: New Jersey Motor Vehicle Commission.
Office of Legislative Services Estimate
Fiscal Impact Annual
State Revenue Decrease Indeterminate
The Office of Legislative Services (OLS) concludes that the bill would result in an
indeterminate decrease in annual revenues for the New Jersey Motor Vehicle Commission by
increasing the number of motor vehicles that are exempt from registration fees.
Under the bill, the owners of the following categories of motor vehicles would be exempt from
the payment of registration fees, provided that the vehicles are not used for pleasure or hire:
(1) vehicles owned by local nutrition programs for seniors that are members of Meals on
Wheels America; and (2) vehicles owned by nonprofit organizations with a primary purpose
of providing social services to State residents.
Due to information constraints, the OLS is unable to determine how many motor vehicles
would qualify for this exemption. Consequently, the OLS is unable to quantify the fiscal
impact of this bill.
BILL DESCRIPTION
The bill provides an exemption from motor vehicle registration fees for motor vehicles not
used for pleasure or for hire that are owned by a local nutrition program for seniors that is a Meals
Office of Legislative Services Legislative Budget and Finance Office
State House Annex Phone (609) 847-3105
P.O. Box 068 Fax (609) 777-2442
Trenton, New Jersey 08625 www.njleg.state.nj.us
FE to S930
2
on Wheels America member and those that are owned by certain nonprofit organizations that offer
social services to New Jersey residents.
FISCAL ANALYSIS
EXECUTIVE BRANCH
None received.
OFFICE OF LEGISLATIVE SERVICES
The OLS concludes that the bill would result in an indeterminate decrease in annual Motor
Vehicle Commission revenues by increasing the number of motor vehicles that are exempt from
registration fees. Due to information constraints, the OLS is unable to determine how many motor
vehicles would qualify for this exemption. Consequently, the OLS is unable to quantify the fiscal
impact of this bill.
Under the bill, the owners of the following categories of motor vehicles would be exempt from
the payment of registration fees, provided that the vehicles are not used for pleasure or hire: (1)
vehicles owned by local nutrition programs for seniors that are members of Meals on Wheels
America; and (2) vehicles owned by nonprofit organizations with a primary purpose of providing
social services to State residents (e.g., addiction services and services for persons with mental or
behavioral health needs). In general, motor vehicle registration fees vary from $46.50 to $84 per
year depending on the model and weight of the vehicle.
According to the New Jersey Center for Nonprofits, approximately 40,000 nonprofit
organizations are registered in New Jersey. Of this total, it is unclear what number of nonprofit
organizations would qualify for the exemption, and how many motor vehicles are owned by such
organizations. However, for purposes of illustration, if one-third of these organizations qualified
for the exemption, and each of these organizations owned five qualifying motor vehicles, the bill
could result in an annual decrease in revenues of roughly $3.1 million to $5.6 million.
Section: Authorities, Utilities, Transportation and Communications
Analyst: Michael D. Walker
Assistant Fiscal Analyst
Approved: Thomas Koenig
Legislative Budget and Finance Officer
This legislative fiscal estimate has been produced by the Office of Legislative Services due to the
failure of the Executive Branch to respond to our request for a fiscal note.
This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).