July 1, 2010, Introduced by Senators CROPSEY and BARCIA and referred to the Committee on Economic Development and Regulatory Reform.
A bill to amend 1949 PA 300, entitled
"Michigan vehicle code,"
by amending sections 328 and 907 (MCL 257.328 and 257.907), section
328 as amended by 2004 PA 52 and section 907 as amended by 2008 PA
463, and by adding sections 520a and 520b.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
328. (1) The Before October 1, 2009, upon the request of
a police officer, the owner of a motor vehicle who operates or
permits the operation of the motor vehicle upon the highways of
this state or the operator of the motor vehicle shall produce,
pursuant
to subsection (2), upon the request of a police officer,
evidence that the motor vehicle is insured under chapter 31 of the
insurance code of 1956, 1956 PA 218, MCL 500.3101 to 500.3179.
Beginning on and after October 1, 2009, the owner of a motor
vehicle who operates or permits the operation of the motor vehicle
upon the highways of this state and who personally, or through e-
registration, the mail, or an agent, fails to provide to an
employee of the department evidence that the motor vehicle is
insured as required under chapter 31 of the insurance code of 1956,
1956 PA 218, MCL 500.3101 to 500.3179, is responsible for a civil
infraction. Subject to section 907(16), an owner or operator of a
motor vehicle who fails to produce evidence of insurance under this
subsection when requested to produce that evidence or who fails to
have motor vehicle insurance for the vehicle as required under
chapter 31 of the insurance code of 1956, 1956 PA 218, MCL 500.3101
to 500.3179, is responsible for a civil infraction.
(2)
A Before October 1, 2009, a certificate of
insurance,
issued by an insurance company, that certifies that the security
that meets the requirements of sections 3101 and 3102 of the
insurance code of 1956, 1956 PA 218, MCL 500.3101 and 500.3102, is
in force shall be accepted as prima facie evidence that insurance
is in force for the motor vehicle described in the certificate of
insurance until the expiration date shown on the certificate. The
certificate, in addition to describing the motor vehicles for which
insurance is in effect, shall state the name of each person named
on the policy, policy declaration, or a declaration certificate
whose operation of the vehicle would cause the liability coverage
of that insurance to become void. Beginning on and after October 1,
2009, a police officer or other authorized individual who seeks to
verify that a motor vehicle is insured shall access the NLETS-
authorized paperless insurance verification system developed under
section 520a. The NLETS-authorized paperless insurance verification
system developed under section 520a shall automatically provide an
automated verification of each query to indicate whether or not
motor vehicle insurance is in effect at the time the query is made.
(3) If, before the appearance date on the citation, the person
submits proof to the court that the motor vehicle had insurance
meeting
the requirements of sections 3101 and 3102 chapter 31 of
the
insurance code of 1956, 1956 PA 218, MCL 500.3101 and 500.3102
to 500.3179, at the time the violation of subsection (1) occurred,
all of the following apply:
(a) The court shall not assess a fine or costs.
(b) The court shall not cause an abstract of the court record
to be forwarded to the secretary of state.
(c) The court may assess a fee of not more than $25.00, which
shall be paid to the court funding unit.
(4) If an owner or operator of a motor vehicle is determined
to be responsible for a violation of subsection (1), the court in
which the civil infraction determination is entered may require the
person to surrender his or her operator's or chauffeur's license
unless proof that the vehicle has insurance meeting the
requirements
of sections 3101 and 3102 chapter
31 of the insurance
code
of 1956, 1956 PA 218, MCL 500.3101 and 500.3102 to 500.3179,
is submitted to the court. If the court requires the license to be
surrendered, the court shall order the secretary of state to
suspend the person's license. The court shall immediately destroy
the license and shall forward to the secretary of state an abstract
of the court record as required by section 732. Upon receipt of the
abstract, the secretary of state shall suspend the person's license
beginning with the date on which a person is determined to be
responsible for the civil infraction for a period of 30 days or
until
proof of insurance meeting the requirements of sections 3101
and
3102 chapter 31 of the insurance code of 1956, 1956 PA 218, MCL
500.3101
and 500.3102 to 500.3179, is submitted to the secretary of
state, whichever occurs later. A person who submits proof of
insurance or for whom proof of insurance is automatically provided
by the NLETS-authorized paperless insurance verification system
developed under section 520a to the secretary of state under this
subsection shall pay a service fee of $25.00 to the secretary of
state. The person shall not be required to be examined as set forth
in section 320c and shall not be required to pay a replacement
license fee.
(5) If an owner or operator of a motor vehicle is determined
to be responsible for a violation of subsection (1), the court in
which the civil infraction determination is entered shall notify
the secretary of state of the vehicle registration number and the
year and make of the motor vehicle being operated at the time of
the violation. This notification shall be made on the abstract or
on a form approved by the supreme court administrator. Upon
receipt, the secretary of state shall immediately enter this
information in the records of the department. The secretary of
state shall not renew, transfer, or replace the registration plate
of the vehicle involved in the violation or allow the purchase of a
new registration plate for the vehicle involved in the violation
until the owner meets the requirements of section 227a or unless
the vehicle involved in the violation is transferred or sold to a
person other than the owner's spouse, mother, father, sister,
brother, or child.
(6) An owner or operator of a motor vehicle who knowingly
produces false evidence under this section is guilty of a
misdemeanor, punishable by imprisonment for not more than 1 year,
or a fine of not more than $1,000.00, or both.
(7)
Points shall not be entered on a driver's record pursuant
to
under section 320a for a violation of this section.
(8)
This section does not apply applies
to the owner or
operator
of a motor vehicle that is registered in a this state
and
also a state other than this state or a foreign country or province
as those vehicles are subject to the laws of this state.
(9) As used in this section, "e-registration" means
registration through electronic means.
Sec. 520a. (1) As used in this section:
(a) "NLETS" means the national law enforcement
telecommunications system or other system capable of providing
paperless verification of insurance coverage as described in this
section.
(b) "Unparsed data" means data that are not electronically
sorted by jurisdiction.
(2) Before October 1, 2009, the department of state police
shall establish and implement and maintain an NLETS-authorized
paperless verification system for motor vehicle insurance coverage.
The paperless verification system shall be designed with the goal
of identifying motor vehicles that are being operated on highways
in this state without the required insurance coverage and shall
have all of the following characteristics:
(a) Provide quick, accurate, and current access to motor
vehicle insurance coverage information to persons and agencies
charged with enforcement of motor vehicle insurance requirements,
including, but not limited to, all of the following processes:
(i) The daily gathering of unparsed data concerning motor
vehicle insurance coverage by insurance companies providing motor
vehicle insurance coverage in this state.
(ii) The daily transmittal of data concerning motor vehicle
insurance coverage from companies described in subparagraph (i) to
NLETS in the manner determined by the department of state police
and in a manner that is commonly and currently accommodated by
insurers for other jurisdictions, such data to be electronically
transmitted to servers identified by NLETS.
(iii) The department of state police's method of confirming
transmittal of data elements required to confirm active insurance
status for registration from the data elements described in
subparagraph (ii) to the department of state.
(b) Protect the privacy of motor vehicle owners by ensuring
that names or addresses cannot be maintained or used to obtain
access to insurance status, except as otherwise required to comply
with section 328 and this section.
(c) Protect the security and integrity of information gathered
and transmitted by insurers under subdivision (a) by meeting all
security standards of both the state and NLETS.
(d) Allow the director of the department of state police to
automatically create and mail a citation for a violation of section
328 to the owner of a motor vehicle in other states, foreign
countries, or foreign provinces by means of the NLETS connection to
national law enforcement data.
(3) The secretary of state shall provide to NLETS all existing
data submitted to the secretary of state under section 3103a(2) of
the insurance code of 1956, 1956 PA 218, MCL 500.3103a, in an
electronic form as specified by NLETS not more than 30 days after
NLETS notifies the secretary of state through the department of
state police that it is prepared to receive that data and before
October 1, 2009.
(4) Before entering into a contract with a paperless
verification system provider to implement this section, the
department of state police shall issue a request for proposals.
Sec. 520b. (1) The insurance verification fund is created
within the state treasury.
(2) The state treasurer may receive money or other assets from
any source for deposit into the fund. The state treasurer shall
direct the investment of the fund. The state treasurer shall credit
to the fund interest and earnings from fund investments.
(3) Money in the fund at the close of the fiscal year shall
remain in the fund and shall not lapse to the general fund.
(4) The department of state police shall be the administrator
of the fund for auditing purposes.
(5) The department of state police shall expend money from the
fund, upon appropriation, only to establish, implement, and
maintain the NLETS-authorized paperless verification system
described in section 520a.
Sec. 907. (1) A violation of this act, or a local ordinance
substantially corresponding to a provision of this act, that is
designated a civil infraction shall not be considered a lesser
included offense of a criminal offense.
(2) If a person is determined pursuant to sections 741 to 750
to be responsible or responsible "with explanation" for a civil
infraction under this act or a local ordinance substantially
corresponding to a provision of this act, the judge or district
court magistrate may order the person to pay a civil fine of not
more than $100.00 and costs as provided in subsection (4). However,
beginning on and after October 31, 2010, if the civil infraction
was a moving violation that resulted in an at-fault collision with
another vehicle, a person, or any other object, the civil fine
ordered under this section shall be increased by $25.00 but the
total civil fine shall not exceed $100.00. However, for a violation
of section 674(1)(s) or a local ordinance substantially
corresponding to section 674(1)(s), the person shall be ordered to
pay costs as provided in subsection (4) and a civil fine of not
less than $100.00 or more than $250.00. For a violation of section
328, the civil fine ordered under this subsection shall be not more
than $50.00. For a violation of section 710d, the civil fine
ordered under this subsection shall not exceed $10.00. For a
violation of section 710e, the civil fine and court costs ordered
under this subsection shall be $25.00. For a violation of section
682 or a local ordinance substantially corresponding to section
682, the person shall be ordered to pay costs as provided in
subsection (4) and a civil fine of not less than $100.00 or more
than $500.00. For a violation of section 240, the civil fine
ordered under this subsection shall be $15.00. For a violation of
section 252a(1), the civil fine ordered under this subsection shall
be $50.00. For a violation of section 676a(3), the civil fine
ordered under this section shall be not more than $10.00. For a
violation of section 319f(1), the civil fine ordered under this
section shall be not less than $1,100.00 or more than $2,750.00.
For a violation of section 319g(1)(a), the civil fine ordered under
this section shall be not more than $10,000.00. For a violation of
section
319g(1)(b) 319g(1)(g), the civil fine ordered under this
section shall be not less than $2,750.00 or more than $11,000.00.
Permission may be granted for payment of a civil fine and costs to
be made within a specified period of time or in specified
installments, but unless permission is included in the order or
judgment, the civil fine and costs shall be payable immediately.
(3) Except as provided in this subsection, if a person is
determined to be responsible or responsible "with explanation" for
a civil infraction under this act or a local ordinance
substantially corresponding to a provision of this act while
driving a commercial motor vehicle, he or she shall be ordered to
pay costs as provided in subsection (4) and a civil fine of not
more
than $250.00. If a person is determined to be responsible or
responsible
"with explanation" for a civil infraction under section
319g
or a local ordinance substantially corresponding to section
319g,
that person shall be ordered to pay costs as provided in
subsection
(4) and a civil fine of not more than $10,000.00.
(4) If a civil fine is ordered under subsection (2) or (3),
the judge or district court magistrate shall summarily tax and
determine the costs of the action, which are not limited to the
costs taxable in ordinary civil actions, and may include all
expenses, direct and indirect, to which the plaintiff has been put
in connection with the civil infraction, up to the entry of
judgment. Costs shall not be ordered in excess of $100.00. A civil
fine ordered under subsection (2) or (3) shall not be waived unless
costs ordered under this subsection are waived. Except as otherwise
provided by law, costs are payable to the general fund of the
plaintiff.
(5) In addition to a civil fine and costs ordered under
subsection (2) or (3) and subsection (4) and the justice system
assessment ordered under subsection (14), the judge or district
court magistrate may order the person to attend and complete a
program of treatment, education, or rehabilitation.
(6) A district court magistrate shall impose the sanctions
permitted under subsections (2), (3), and (5) only to the extent
expressly authorized by the chief judge or only judge of the
district court district.
(7) Each district of the district court and each municipal
court may establish a schedule of civil fines, costs, and
assessments to be imposed for civil infractions that occur within
the respective district or city. If a schedule is established, it
shall be prominently posted and readily available for public
inspection. A schedule need not include all violations that are
designated by law or ordinance as civil infractions. A schedule may
exclude cases on the basis of a defendant's prior record of civil
infractions or traffic offenses, or a combination of civil
infractions and traffic offenses.
(8) The state court administrator shall annually publish and
distribute to each district and court a recommended range of civil
fines and costs for first-time civil infractions. This
recommendation is not binding upon the courts having jurisdiction
over civil infractions but is intended to act as a normative guide
for judges and district court magistrates and a basis for public
evaluation of disparities in the imposition of civil fines and
costs throughout the state.
(9) If a person has received a civil infraction citation for
defective safety equipment on a vehicle under section 683, the
court shall waive a civil fine, costs, and assessments upon receipt
of certification by a law enforcement agency that repair of the
defective equipment was made before the appearance date on the
citation.
(10) A default in the payment of a civil fine or costs ordered
under subsection (2), (3), or (4) or a justice system assessment
ordered under subsection (14), or an installment of the fine,
costs, or assessment, may be collected by a means authorized for
the enforcement of a judgment under chapter 40 of the revised
judicature act of 1961, 1961 PA 236, MCL 600.4001 to 600.4065, or
under chapter 60 of the revised judicature act of 1961, 1961 PA
236, MCL 600.6001 to 600.6098.
(11) If a person fails to comply with an order or judgment
issued pursuant to this section within the time prescribed by the
court, the driver's license of that person shall be suspended
pursuant to section 321a until full compliance with that order or
judgment occurs. In addition to this suspension, the court may also
proceed under section 908.
(12) The court shall waive any civil fine, cost, or assessment
against a person who received a civil infraction citation for a
violation of section 710d if the person, before the appearance date
on the citation, supplies the court with evidence of acquisition,
purchase, or rental of a child seating system meeting the
requirements of section 710d.
(13) Until October 1, 2003, in addition to any civil fines and
costs ordered to be paid under this section, the judge or district
court magistrate shall levy an assessment of $5.00 for each civil
infraction determination, except for a parking violation or a
violation for which the total fine and costs imposed are $10.00 or
less. An assessment paid before October 1, 2003 shall be
transmitted by the clerk of the court to the state treasurer to be
deposited into the Michigan justice training fund. An assessment
ordered before October 1, 2003 but collected on or after October 1,
2003 shall be transmitted by the clerk of the court to the state
treasurer for deposit in the justice system fund created in section
181 of the revised judicature act of 1961, 1961 PA 236, MCL
600.181. An assessment levied under this subsection is not a civil
fine for purposes of section 909.
(14) Effective October 1, 2003, in addition to any civil fines
or costs ordered to be paid under this section, the judge or
district court magistrate shall order the defendant to pay a
justice system assessment of $40.00 for each civil infraction
determination, except for a parking violation or a violation for
which the total fine and costs imposed are $10.00 or less. Upon
payment of the assessment, the clerk of the court shall transmit
the assessment collected to the state treasury to be deposited into
the justice system fund created in section 181 of the revised
judicature act of 1961, 1961 PA 236, MCL 600.181. An assessment
levied under this subsection is not a civil fine for purposes of
section 909.
(15) If a person has received a citation for a violation of
section 223, the court shall waive any civil fine, costs, and
assessment, upon receipt of certification by a law enforcement
agency that the person, before the appearance date on the citation,
produced a valid registration certificate that was valid on the
date the violation of section 223 occurred.
(16) If a person has received a citation for a violation of
section 328(1) for failing to produce or, beginning on and after
October 1, 2009, to provide a certificate of insurance pursuant to
section 328(2), the court may waive the fee described in section
328(3)(c) and shall waive any fine, costs, and any other fee or
assessment otherwise authorized under this act upon receipt of
verification by the court that the person, before the appearance
date on the citation, produced or provided valid proof of insurance
that was in effect at the time the violation of section 328(1)
occurred. Insurance obtained subsequent to the time of the
violation does not make the person eligible for a waiver under this
subsection.
(17) As used in this section, "moving violation" means an act
or omission prohibited under this act or a local ordinance
substantially corresponding to this act that involves the operation
of a motor vehicle and for which a fine may be assessed.
Enacting section 1. This amendatory act does not take effect
unless Senate Bill No. 1414
of the 95th Legislature is enacted into law.