Committee hears bill to extend temporary vehicle registration from 40 to 60 days

Sen. Becky Beard (Senate District 38) told the House Transportation Committee she is sponsoring Senate Bill 28 to extend the grace period for vehicle titling and the expiration of temporary registration permits from 40 days to 60 days to give dealers and county treasurer offices more time to process paperwork.

The change, Beard said, is intended to "provide them with more time" so counties can notify customers and issue 60‑day stickers instead of the current 40‑day stickers. "This bill is about customer service," she said in closing, noting counties have long lines and that the extension would provide needed flexibility while the state implements an online system.

Supporters described frequent paperwork delays and urged a do‑pass. Bruce Knudsen, executive vice president of the Montana Auto Dealers Association, said the measure "will help everybody" — dealers, counties, and buyers — and called the bill "probably the easiest bill I've ever been involved with." Rebecca Myers, representing the Montana County Treasurers Association, emphasized that dealers currently have 30 days to submit signed paperwork and purchasers have up to 45 days to register; she said the extra time will reduce pressure on county motor-vehicle offices and improve constituent service.

Informational testimony from Motor Vehicle Division Administrator Laurie Bakri explained how the process normally works: dealerships submit paperwork to MVD, counties mail notice to purchasers, and county treasurers finalize titles and plates. Bakri confirmed the MVD supports moving the period from 40 to 60 days and said the 90‑day extension option would remain for unusual circumstances. "So there's a $10 late fee, if you do not get your title within the 40 days," Bakri said, adding that counties assess the fee and that many fees were waived during COVID.

Members pressed proponents on fiscal and implementation details. Sen. Beard noted a fiscal‑note assumption that late‑fee revenue could fall by about $127,000 but said late fees should not be treated as a revenue source. Representative Cochran questioned a roughly $20,000 fiscal estimate tied to changing the system timeline; Bakri said that estimate covers development, testing and redevelopment work needed to change every relevant timeframe in the state's new CARS electronic titling and registration system, which will roll out vehicle functionality in mid‑March.

No vote was taken on SB 28 during the hearing. The committee closed the public hearing and will consider executive action and any amendments at a later date.

What’s next: The committee concluded the hearing; senators and staff said they will circulate fiscal details and proposed amendments before the next committee action.