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Committee approves bill aimed at curbing temporary motor-vehicle tag fraud

2487029 · March 4, 2025
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Summary

House Bill 783, which sponsors say will reduce temporary tags, increase dealer accountability and give the Motor Vehicle Commission discretion over penalties, was reported favorably by the committee after law-enforcement and dealer representatives testified.

The Kentucky House Transportation Committee on March 1 reported House Bill 783 with a committee substitute, moving forward legislation sponsors describe as a measure to reduce fraud involving temporary motor-vehicle tags.

Representative Kevin Jackson, sponsor of HB 783, said county law enforcement and clerks brought concerns to his attention about bad actors reusing temporary tags and failing to keep accurate records. Jackson said the bill is the product of negotiations among sheriffs, county clerks, the Kentucky Automobile Dealers Association and the Motor Vehicle Commission.

Jackson said the legislation will result in fewer temporary tags being issued, increase accountability requirements for dealers and salespeople, improve recordkeeping options and give the Motor Vehicle Commission discretion to impose penalties that distinguish between honest mistakes and repeat offenders. Sheriff Brett Hightower of Warren County testified in support, saying the measure protects vulnerable consumers who may be taken advantage of by a small percentage of dealers.

Representatives of the Kentucky Automobile Dealers Association, including Tom Underwood and Jason Wilson, were present to discuss the bill; committee members adopted a committee substitute and reported HB 783 with favorable expression.

The committee did not discuss a fiscal estimate on the record during this session. The measure will go to the House floor; committee members indicated the substitute should carry forward.