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S1548 1R FISCAL ESTIMATE
LEGISLATIVE FISCAL ESTIMATE
[First Reprint]
SENATE, No. 1548
STATE OF NEW JERSEY
222nd LEGISLATURE
DATED: JUNE 18, 2026
SUMMARY
Synopsis:
Authorizes special Support Our Veterans license plate with
proceeds supporting New Jersey homeless veteran's centers.
Type of Impact:
Potential annual State revenue and expenditure increases.�
Agencies Affected:
New Jersey Motor Vehicle Commission; Department of Veterans
Affairs.�
Office of
Legislative Services Estimate
Fiscal Impact
Year 1�
Thereafter
Potential State Expenditure Increase
$46,423
Indeterminate
Potential State Revenue Increase
$50,000
At least $5,000
�
The Office of Legislative Services (OLS) finds that the bill will
potentially produce annual State revenue and expenditure increases that will
largely offset one another.� The OLS cannot quantify the annual increases
because it is unclear how many applications the New Jersey Motor Vehicle
Commission will receive for the new Support Our Veterans license plate.�
However, the OLS notes that the commission is required to receive a minimum of
500 applications for the new specialty plate to implement the bill.
�
The bill establishes the Support Our Veterans license plate
program in such a manner that the commission may fully recover the expenses
incurred in administering the program.� The commission has identified its
initial cost of designing and establishing a new license plate series as
$46,423, which is largely attributable to computer system changes and an
initial print run of 900 plates.
�
The commission will receive a $50 application fee and a $10
annual renewal fee for the Support Our Veterans license plate.� Initial fee
collections will reimburse the commission for the expenses incurred in
administering the program.� In addition, the commission is required to receive
an initial payment of up to $25,000 and a minimum of 500 license plate
applications, for a total collection of $50,000 to offset initial costs before
license plate production begins.
BILL DESCRIPTION
����� This bill authorizes the commission to issue special Support
Our Veterans license plates, with proceeds supporting New Jersey homeless
veterans� centers, the Veterans Haven North Council and the Veterans Haven
South Council.�
����� In addition to the required motor vehicle registration
fees, there is an application fee of $50 and an annual renewal fee of $10 for
the Support Our Veterans license plates.� After deducting the costs to
implement the license plate program, the additional fees collected will be
deposited into the Support Our Veterans License Plate Fund established by this
bill.�
����� The commission is required to certify annually the
average cost of producing, issuing, renewing, and publicizing the availability
of the specialty license plates.� If the average cost per license plate exceeds
$50 in two consecutive fiscal years, the commission may discontinue the Support
Our Veterans license plate program.� The bill also specifies that the Veterans
Haven North Council and the Veterans Haven South Council will each appoint a
liaison to represent the councils in all communications with the commission
regarding the Support Our Veterans license plates.�
����� The bill prohibits the commission from using State or
other public funds to cover the initial cost of implementing the Support Our
Veterans license plate program.� The bill requires the councils or an
individual or entity designated by the councils to contribute funds, not to
exceed $25,000, to offset the initial costs to produce, issue, and publicize
the license plates and for any computer programming necessary to implement the
program.� The bill also permits the council to receive funds from private
sources to offset the initial costs.�
����� The commission is not required to design, produce,
issue, or publicize the availability of the Support Our Veterans license plates
or make any necessary programming changes until: (1) the councils or an
individual or entity designated by the councils has provided the commission
with the money necessary to offset the initial costs incurred by the commission
in establishing the Support Our Veterans license plate program; and (2) the
liaisons have provided the commission with a minimum of 500 completed
applications for the Support Our Veterans license plates and the accompanying
application fees.�
����� The provisions of the bill will remain inoperative
until the appropriate applications and fees required to offset the initial
costs incurred by the commission are provided by the council�s liaisons.� The
bill expires on the last day of the 12th month after the bill�s enactment if
sufficient applications and fees to offset the initial costs are not received
by that date.�
FISCAL ANALYSIS
EXECUTIVE BRANCH
����� None received.�
OFFICE OF LEGISLATIVE SERVICES
����� The OLS finds that the bill will potentially produce
annual State revenue and expenditure increases that will largely offset one
another.� The OLS cannot quantify the annual increases because it is unclear
how many applications the commission will receive for the new specialty license
plate.�
����� The bill establishes the Support Our Veterans license
plate program in such a manner that the commission may fully recover the
expenses it incurs in administering the program.� If the number of license
plate applications is below 500 in the first 12 months following the effective
date, the bill will expire without the creation of the license plate program.�
Conversely, if the number of applications is equal to or greater than 500, the
commission will be able to recover its costs within the first year of the
creation of the program.�
����� Before the commission begins designing and producing
the license plates, an entity designated by the councils is required to provide
up to $25,000 and pre-register 500 applicants for the license plates.� This
requirement ensures that the commission will be able to recover its initial
costs of producing the license plates.� If enough funds are not provided, the commission
will not be required to produce the license plates.�
����� Upon production of the license plates, the commission
may still discontinue the program if the production cost exceeds $50 per
license plate, which is the initial fee that the commission will collect for
each plate.� This ensures that the commission will not experience any net costs
in the administration of this license plate program.� The current
cost-per-plate to the commission is $6.88, so it is unlikely that the
commission will experience any net cost in the administration of the license
plate program.�
Motor
Vehicle Commission: Computer Programming and Other Costs for New Plate Design
Description of Work
Hours
Total
Scope
of Work Specifications
85
$11,197.41
Development
145
$16,255.45
System
Testing
89.5
$10,033.54
Production
Implementation
24
$2,705.47
Total
Computer Programming Costs
343.5
$40,191.87
Plate
Costs
Sample
Plates (10 plates @3
.
90 each)
$39.00
Initial
Acquisition Plates (900 plates @ $6
.
88 each)
$6,192.00
Total
Specialty License Plate Costs
$46,422.87
����� In response to an FY 2025 OLS Discussion Point, the
commission indicated that it faced an upfront cost of $46,423 to set up a
license plate program, which includes computer changes and an initial print run
of 900 license plates.� The requirements of the bill would provide the
commission with $50,000 through the initial $25,000 payment and the first 500
license plate sales.� Additionally, the first 500 plate sales will generate
$5,000 per year from the $10 annual renewal fee.�
����� The bill prevents the commission from realizing net
revenues in administering the program because the bill requires the commission
to deposit all program fees into a special fund to be appropriated to support
services for the benefit of veterans housed at the Veterans Haven North facility
and the Veterans Haven South facility and duties of the councils once the
commission has subtracted its costs of administering the program.� The
combination of guaranteed fee collection for the commission and the limit on
retaining any fees greater than its costs creates a scenario where there is
likely to be no net fiscal impact to the commission for administering this
license plate program.
Section:
Authorities, Utilities, Transportation and
Communications
Analyst:
Michael D. Walker Jr.
Associate Fiscal Analyst
Approved:
Thomas Koenig
Legislative Budget and Finance Officer
This legislative fiscal estimate has been produced by the
Office of Legislative Services due to the failure of the Executive Branch to
respond to our request for a fiscal note.
This fiscal estimate has been prepared pursuant to P.L.1980,
c.67 (C.52:13B-6 et seq.).