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Rep. Lower’s plan drives down vehicle registration costs
RELEASE|May 1, 2019

Fees would be based on vehicle age, not original sticker price

State Rep. Jim Lower today introduced a plan to save drivers money by lowering the cost of car registration fees.

Lower explained that under Michigan’s current system, vehicle registration is based on the original sticker price of the vehicle. The age and depreciation of the vehicle is not taken into account.

“You could be driving a 12-year-old Cadillac but still be paying incredibly high registration fees because the original cost of the car was over $40,000,” Lower said. “That doesn’t make sense.”

Lower’s solution creates a four-tier, flat-rate fee for registration based on the age of the vehicle. The flat-rate system simplifies the registration process, taking the guess work out of cost determination.

The tiers would be set up as follows:

  • Five-years old or newer: $160
  • Six- to 10-years old: $140
  • 11- to 15-years old: $115
  • 16 years or older: $82

The representative also noted that the bill is designed to be revenue neutral for the state.

“Registration based off a car’s list price is unfair and does not take into account depreciation of the vehicle,” Lower said. “This is a practical, common-sense solution that will ultimately save people money.”

House Bill 4537 was referred to the House Transportation Committee for consideration.

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Michigan House Republicans
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