AB296 - Revises various provisions relating to motor vehicles. (BDR 43-231)

- 83rd Session (2025) Assembly Bill No. 296–Assemblymember Watts CHAPTER.......... AN ACT relating to motor vehicles; requiring the Department of Motor Vehicles to contract with a person who makes installment loans to pay the fees and taxes due for the initial or renewal registration of a vehicle; prescribing certain requirements for such installment loans; authorizing the Director of the Department to authorize the use of digital license plates; providing requirements governing the use of digital license plates; revising the applicability of certain provisions governing installment lenders to a lender who contracts with the Department; extending the prospective expiration of the pilot program to gather data about annual vehicle miles traveled by certain vehicles registered in this State; and providing other matters properly relating thereto. Legislative Counsel’s Digest: Existing law authorizes the Department of Motor Vehicles to establish electronic branch offices consisting of an Internet website or software application through which the Department may conduct transactions that have been designated by the Director of the Department as suitable to be conducted through electronic means. (NRS 481.055) If the Department provides the ability to register or renew the registration of a vehicle through such an electronic branch office, section 1 of this bill requires the Department to contract with a person who is licensed in this State to make installment loans to allow the person, through the electronic branch office, to offer installment loans to vehicle owners to pay the applicable fees and taxes that are due for the initial or renewal registration of a vehicle. Section 1: (1) requires the person to furnish to the Department the entire amount of the fees and taxes owed by vehicle owners for the registration and renewal of registration; (2) prohibits such a person from charging interest on an installment loan or charging a fee or combination of fees for the installment loan in excess of 15 percent of the total amount financed; (3) prohibits the making of loans less than $250; and (4) prohibits the person from rolling over or refinancing any installment loan made pursuant to section 1 into any other loan to the vehicle owner. Existing law requires the Department to furnish license plates to every owner whose vehicle is registered and sets forth the manner in which such license plates must be displayed on a vehicle. (NRS 482.265) Section 2 of this bill authorizes the Director to permit the use of digital license plates by a person who otherwise complies with the requirements for registration and licensing. Section 2 requires a digital license plate to: (1) display the license plate code assigned to the vehicle and evidence of valid registration at all times; (2) meet certain requirements for visibility; (3) be displayed on a digital license plate device that has been approved by the Department and purchased from a vendor approved by the Department; and (4) display only information and images required or authorized by the Department. Section 2 requires the Department to adopt regulations relating to the issuance and use of digital license plates, including the personally identifiable information that may be stored on a digital license plate or digital license plate device. Section 2 authorizes the Department to take certain additional actions with respect to digital license plates, including: (1) approving banner messages to appear on the bottom of a digital license plate; (2) restricting the types or classes of vehicles for which a – 2 – - 83rd Session (2025) digital license plate may be used; (3) authorizing the sale or resale of digital license plate devices; and (4) authorizing digital license plates to replicate the appearance of certain special license plates or personalized prestige license plates. Section 2 prohibits the Department from charging a fee for digital license plates that exceeds the fee charged for a conventional plate of the same type. Section 3 of this bill provides that the Department is not required to furnish license plates to a person who applies to use a digital license plate and authorizes the Department to require the return of license plates which were previously issued for the vehicle. Existing law requires the Director to utilize the facility for the production of license plates which is located at the Department of Corrections to produce all license plates required by the Department. (NRS 482.267) Section 4 of this bill creates an exception from this requirement for the use of digital license plates. Section 5 of this bill requires a digital license plate device, which is an electronic device capable of displaying a digital license plate, to be attached to the rear of a motor vehicle. If a digital license plate has been authorized for use, section 5 also excuses the requirement to attach a license plate to the front of the vehicle. Existing law establishes a procedure for the licensing of persons engaged in the business of making and collecting on installment loans. (Chapter 675 of NRS) Section 5.3 of this bill authorizes a person who contracts with the Department to make loans to apply for a license for a place of business located outside this State. Section 5.7 of this bill additionally authorizes such a person to conduct the business of making loans within any office, suite, room or place of business in which any other business is solicited or engaged in. Existing law requires the Department to conduct a pilot program to gather data on the annual vehicle miles traveled by certain vehicles registered in this State. (NRS 482.2175) As part of the pilot program, existing law requires the owners of certain motor vehicles to report the mileage shown on the odometer of the motor vehicle and certain other information required by the Department at the time of initial registration, renewal of registration and transfer of registration, if applicable. (NRS 482.2177) Under existing law, the provisions providing for the pilot program expire by limitation on December 31, 2026. (Section 7 of chapter 498, Statutes of Nevada 2019, at page 3006) Section 6 of this bill extends the prospective expiration of the pilot program until December 31, 2030. EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS: Section 1. NRS 481.055 is hereby amended to read as follows: 481.055 1. The Department shall keep its main office at Carson City, Nevada, in rooms provided by the Buildings and Grounds Section of the State Public Works Division of the Department of Administration. 2. The Department may maintain such branch offices throughout the State as the Director may deem necessary to the efficient operation of the Department and the various divisions thereof in space provided by the Buildings and Grounds Section. Any leases or agreements entered into pursuant to this subsection – 3 – - 83rd Session (2025) must be executed in accordance with the provisions of NRS 331.110. 3. The Department may establish an electronic branch office consisting of an Internet website or software application through which, notwithstanding any specific statute to the contrary, a person may submit forms, applications and other documentation and the Department may conduct transactions that have been designated by the Director as suitable to be conducted through electronic means, including, without limitation: (a) The electronic transmission, recording and issuance of certificates of title, certificates of registration and information relating to those certificates. (b) The electronic transmission and recording of applications for driver’s licenses. (c) The recording and electronic transmission between the Department, other states and law enforcement of information relating to citations and crashes, collisions, accidents and other casualties. (d) The acceptance of electronic signatures. (e) The collection and exchange of applications for licenses and other information from persons who are licensed as or seeking to be licensed as: (1) Brokers; (2) Dealers; (3) Distributors; (4) Lessors; (5) Manufacturers; (6) Rebuilders; (7) Salespersons; and (8) Vehicle transporters. (f) The issuance of registration credentials pursuant to NRS 482.217. 4. The Department shall not conduct a transaction through the electronic branch office which state or federal law specifically requires to be conducted in person or accept documentation through the electronic branch office which state or federal law specifically requires to be presented in original form. 5. If the Department provides the ability to register or renew the registration of vehicles through an electronic branch office consisting of an Internet website or software application, the Department shall contract with a person who is licensed pursuant to chapter 675 of NRS to allow the person to offer, through the website or application, installment loans to vehicle owners to pay – 4 – - 83rd Session (2025) the applicable fees and taxes due for the initial or renewal registration of a vehicle, including, without limitation, governmental services taxes, sales and use taxes due pursuant to NRS 482.225, fees for license plates and registration fees. The person with whom the Department contracts pursuant to this subsection: (a) Must furnish to the Department, at the time of the initial or renewal registration of a vehicle, the entire amount of the fees and taxes owed by the vehicle owner to whom an installment loan is provided; (b) Shall not charge the vehicle owner an annual percentage rate with respect to the loan; (c) Shall not charge the vehicle owner any fee or combination of fees for the installment loan in excess of 15 percent of the total amount financed; (d) May only provide a loan pursuant to this subsection if the total amount financed is $250 or more; and (e) Shall not rollover or refinance any installment loan provided pursuant to this subsection into any other loan made to the vehicle owner pursuant to chapter 604A or 675 of NRS. Sec. 2. Chapter 482 of NRS is hereby amended by adding thereto a new section to read as follows: 1. The Director may authorize the use of digital license plates in accordance with this section upon application by a person who otherwise complies with the requirements for registration and licensing pursuant to this chapter. 2. The use of a digital license plate must be voluntary and the Department shall not require any person to use or install a digital license plate or digital license plate device. 3. All digital license plates authorized for use pursuant to this section must: (a) Display the license plate code assigned to the vehicle by the Department and evidence of valid registration at all times, including, without limitation, when the vehicle is in motion, stationary, parked or unoccupied. (b) Be plainly readable by the human eye from a distance of 100 feet during daylight and darkness. (c) Be displayed on a digital license plate device that has been approved by the Department and purchased from a vendor approved by the Department. (d) Display only information and images required or authorized for display by the Department. 4. The Department may: – 5 – - 83rd Session (2025) (a) Approve alternative banner messages to appear on the bottom of a digital license plate. (b) Authorize the sale or resale of digital license plate devices by a device manufacturer or by participating vendors, subject to review and approval by the Department. (c) By regulation, restrict the types or classes of vehicles for which the Department will authorize the use of a digital license plate. 5. The Department may authorize digital license plates to replicate the appearance of a license plate type other than a standard license plate. If the Department authorizes a digital license plate to replicate the appearance of a special license plate, the Department shall charge for the use or renewal of a digital license plate which replicates the appearance of a special license plate the same fees which are charged for the conventional version of the special license plate. Any such fee which is imposed to generate financial support for a particular cause or charitable organization must be deposited and distributed in the same manner as the fee imposed with respect to the conventional version of the special license plate. A digital license plate which replicates the appearance of a special license plate is valid for the same length of time as the conventional version of the special license plate. The Department may cease the use of digital license plates which replicate the appearance of a special license plate which the Department no longer issues in conventional form. If the owner of a vehicle does not renew the digital license plate which replicates the appearance of a special license plate or the Department has ceased the use of the digital license plate which replicates the appearance of a special license plate previously used by the owner of a vehicle, the owner of a vehicle may continue to use a digital license plate which does not replicate the appearance of the special license plate. 6. The Department may authorize a digital license plate to replicate the appearance of a personalized prestige license plate issued pursuant to NRS 482.3667 by displaying a personalized license plate code. The Department shall charge for the use of a digital license plate that replicates the appearance of a personalized prestige license plate the same fees which are charged for the issuance and renewal of a conventional personalized license plate. A digital license plate which replicates the appearance of a personalized prestige license plate is valid for the same length of time as a conventional personalized prestige license plate as provided in NRS 482.3667. Any fees collected – 6 – - 83rd Session (2025) pursuant to this subsection must be deposited with the State Treasurer to the credit of the Motor Vehicle Fund. The provisions of subsections 5, 6 and 7 of NRS 482.3667 apply with equal force to a digital license plate which replicates the appearance of a personalized prestige license plate. 7. The Department shall not charge any fee for the use of a digital license plate or digital license plate device in excess of the fees charged for a conventional license plate of the same type. 8. The Department shall adopt regulations: [Text truncated for display. Full text available on LegiScan.]