DIVISION OF MOTOR VEHICLES
To: Tax Collectors and License Plate Agents
From: Carl A. Ford, Director
Subject: Changes Concerning the Initial Registration Fee
Advisory Date: 09/24/04 Implementation Date: Next FRVIS Release
Advisory Number: R04-07
Effective with the October release of FRVIS 2000, there are several changes concerning the collection, processing and exemption of the $100 Initial Registration Fee. These changes include additional exemption codes for processing a transaction on FRVIS 2000, a new requirement for submitting the exemption transaction documents to the department, and procedural changes for processing exemptions when there is a customer stop present. These changes are being implemented to enforce the collection of the fees, prevent the same license plate from being used repeatedly as proof of having paid the $100 Initial Registration Fee, and to provide better tracking of the exemptions when they legitimately apply.
In addition to the revisions of DMV Procedure RS-30, the following will provide information concerning each of the changes related to the Initial Registration Fee:
New Military Exemption Code:
Exemption code "M" has been established as a MILITARY exemption for the exemption of the Initial Registration Fee. If the person is a member of the United States Armed Forces, or the spouse or dependant child of a military member, who is stationed outside of Florida or who is not a resident of Florida, but is stationed in Florida, then that person can also claim an exemption. The member or dependent will need to complete form HSMV 82002 (Rev. 10/04) and show a current military identification card, Leave Earning Statement (LES) papers and military orders to use this exemption. When this exempt code is used, comments must be entered in the Initial Fee Exemption Comments section of the Comments screen. Such comments will be printed on the Initial Exempt Detail report to assist supervisors in monitoring these exemptions.
Prior Registration Exemption Code:
Exemption code "P" has been created as a PRIOR REGISTRATION exemption of the Initial Registration Fee when a prior license plate is being used to exempt the $100 Initial Registration Fee. When this code is used, the previous license plate number must be entered in the Prior Registration field on FRVIS. The entered license plate will be stored on the Registration History transaction in the Initial Exempt Plate Number field.
If the license plate entered in the Prior Registration LP field exists on a different registration or has already been used to exempt the Initial Registration Fee, the FRVIS system will return an error. License plates that appear in registration history in the Previous LP field or the Initial Exempt Plate Number field, do not qualify to exempt the Initial Registration Fee.
If you have sufficient documentation that the license plate number you entered in the Prior Registration LP field is erroneously being disallowed, you may contact the Help Desk for assistance. After investigating the records, it may be possible for the Help Desk to create an override that will allow the license plate number to be used to exempt the Initial Registration Fee.
New Initial Fee Status Code:
To assist in determining whether the $100 Initial Registration Fee was ever collected or exempted. a new code "Initial Fee Status" has been added to the motor vehicle registration record. The values will be "Paid," "Exempt," or null (blank).
When the Initial Registration Fee is collected, the status will be updated as "Paid" to indicate the Initial Registration Fee has been paid. When the Initial Registration Fee is exempted for any reason other than "Prior Registration," the status will be updated on the registration record as "Exempt." When the Initial Registration Fee exemption of "Prior Registration" is used, the Initial Fee Status field will be updated as "Paid." If the fee is not due on a registration transaction, the Initial Fee Status field will not be updated. For example, the Initial Registration Fee is not due on an Original Registration for a lease car or class code 41 truck, so the Initial Fee Status field will remain null (blank) on that registration.
The Initial Registration Fee status has been updated on existing records (whenever it was possible to determine from history that the fee had been paid or exempted); but there are numerous records where this was not possible.
Eventually, this status field will reduce the number of Prior Registration exemptions that are required. When a motor vehicle registration is being transferred, if the Initial Fee Status field has already been marked as Paid or Exempt, the Initial Registration Fee will not be charged. Therefore, when a registration with Initial Fee Status of Paid is transferred from a private automobile in class 001 to a lease vehicle in class 009, no Initial Registration Fee will be charged and the Initial Fee Status field will remain Paid. Later if the customer transfers this same registration from a leased automobile to a privately owned automobile, the Initial Registration Fee will not be charged, so there is no need to enter information on the FRVIS System to exempt the fee.
Additionally, license plates previously used to exempt the Initial Registration Fee, as well as license plates that have been replaced, can no longer be recreated using the Recreate Registration transaction. To save time and determine if a license plate is eligible to be re-created, you may enter the license plate number in the Previous LP field on the Registration History screen. You will also need to enter the license plate number in the Initial Exempt Plate Number field on the Registration History screen. After tabbing out of this field, if any records are returned with this license plate in the Previous Plate or Initial Exempt Plate Number fields, you will not be allowed to recreate the license plate.
Once again, if you have documentation to indicate the FRVIS System is erroneously preventing a license plate from being recreated, please call the Help Desk for assistance.
New Document Filing Requirement:
When a person is claiming an exemption of the $100 Initial Registration Fee that requires an exemption code, the form HSMV 82002 (Rev. 10/04), Initial Registration Fee Exemption Affidavit, must be completed as part of the transaction. The Initial Exempt Detail Report along with the supporting documentation used to justify the exemption should be forwarded to the Department with your daily transaction summary reports. This report will be verified by the Quality Review Unit to insure the exemptions are justified.
Existing Customer Stop:
When a customer stop exists, a motor vehicle registration cannot be renewed or extended. Therefore, if a customer stop exists and the current license plate cannot be transferred to a replacement vehicle because it is expired or within the month of expiration, the $100 Initial Registration Fee must be collected. However, if the customer stop is cleared within 90 days, and the previous license plate has been transferred to the replacement vehicle and the original license plate is surrendered, the $100 Initial Registration Fee can be refunded in compliance with section 320.072 (3), Florida Statutes. This requirement applies whether the replacement vehicle is purchased from a dealership or through a casual sale.
Any revision date for form HSMV 82002, Initial Registration Fee Exemption Affidavit, prior to 10/04 is obsolete.
If you have any questions or need further assistance, please contact your Help Desk Representative.