Missouri is a step closer to increasing service fees at state license bureau offices. The state House has given initial approval to a proposed $3 increase for learner’s permits, driver’s licenses, lien notices, vehicle registrations, renewals, and title transfers.
Rep. Dave Hinman, R-O’Fallon, is sponsoring House Bill 207 because he said the state is having trouble contracting with private businesses to run these license bureau offices.
“This is a very specific business where all their business expenses continue to increase,” said Hinman. “And the business is not allowed to increase their own fees to cover those expenses. This must be approved here. Many owners are having to go into their own pockets just to maintain their business operations to stay open for our constituents.”
Rep. Bob Bromley, R-Carl Junction, said he is undecided on the bill because he questions the fee amount being increased by 50%.
“It seems like this is just a de ja vu from about three years ago,” said Bromley. “The license fee used to be, I think, $2.50 per transaction. And because businesses were going out of business, we raised that to $6 per transaction, I believe. And this would take that to $9.”
“In the last 26 years, we’ve only seen one increase,” said Hinman. “That was back in 2019 is when we saw that first increase. And the biggest reason for this increase is one, inflation is at a 45-year high. And the other thing is the cost of employment, trying to get people to come in and work at a reasonable rate.”
Rep. Melissa Douglas, d-Kansas City, who opposes bill, said it will burden low-income people.
One more House vote in favor of the proposal would send the legislation to the Missouri Senate for more work.
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