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Committee deadlocks on Republican plan to roll back vehicle 'tab' fees using general‑fund offsets

House Transportation Finance and Policy Committee · March 25, 2026

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Summary

Representative Anderson’s H.F. 3562 would restore an older vehicle depreciation schedule to lower registration fees; proponents cited examples of $800–$1,000 bills and urged relief, while opponents said the author's general‑fund offset would create a roughly $732 million hole and risk cutting education and transportation funding. A roll call tied 7–7 and the motion did not prevail.

Representative Anderson opened debate on H.F. 3562, a bill to restore the prior vehicle depreciation schedule and reduce registration ("tab") fees. Anderson framed the measure as relief for Minnesotans who are facing "sticker shock" from recent increases when they renew tabs.

"This brings it back to that and it brings down the costs on these fees," Representative Anderson said, describing constituent bills of $812 and more than $1,000 as examples of the problem.

Opponents said the author's amendment that funds the rollback from the general fund would create a large budget shortfall. Representative Tabke described the plan as "disingenuous" and warned that passing the general‑fund approach would force cuts to education, home‑health and other priorities. Representative Cagle and others noted that transportation has large unmet maintenance needs and warned about shifting long‑term funding out of dedicated accounts.

After extended debate and a requested roll call, the vote resulted in seven ayes and seven nays; the motion did not prevail and H.F. 3562 failed to advance from the committee.

Why it matters: The tab schedule determines vehicle registration fees for millions of Minnesotans; the hearing juxtaposed immediate household affordability concerns against long‑term transportation funding and budget tradeoffs.

Next steps: Because the committee vote was tied, the bill did not advance; lawmakers signaled that Ways and Means and the forecast office would be the appropriate forum to resolve funding questions if the proposal resurfaces.