Senator Eichorn, colleagues, pass deputy registrars reimbursement bill

 The Minnesota Senate passed legislation to reimburse deputy registrars whose businesses were battered by problems created by Minnesota’s failed new vehicle licensing and registrations system (MNLARS) on Thursday.  The bill co-authored by Senator Justin Eichorn (R-Grand Rapids) appropriates money to registrars based on the number of transactions they processed. A similar measure was vetoed in last year’s supplemental budget bill.

“Today, we took a major step to help Minnesota’s deputy registrars who were put in a terrible predicament as a result of the disastrous rollout of MNLARS,” said Senator Eichorn. “Minnesota’s hardworking deputy registrars, many of whom are the sole provider of vehicle titles, license plates, and tabs for rural Minnesotans, suffered and in many cases were in grave danger of shutting down altogether.”

“After recently passing legislation that puts MNLARS back on track it is important we also remember our registrars that ended up in this situation by no fault of their own and honor our obligation to make things right.” 

The bill appropriates $13 million to reimburse deputy registrars, broken down as follows:

  • 10% allocated equally among all deputy registrars.
  • 45% allocated proportionally based on the number of transactions by each deputy registrar after the release of MNLARS, from August 1, 2017, through December 31, 2018.
  • 45% allocated proportionally based on the number of transactions by each deputy registrar before the release of MNLARS, from July 1, 2014, through June 30, 2017. 

To receive a reimbursement, deputy registrars must request the reimbursement and then sign an agreement releasing the state from liability concerning MNLARS. The reimbursement request and liability release must be submitted by June 30, 2019. The Commissioner has five days to distribute the funds after receiving the request and the liability release.

Funds that are not dispersed will be returned to the general fund. If a deputy registrar chooses not to sign the liability release form, their share will be returned to the general fund, and the deputy registrar could then continue to pursue a legal course of action.