Recent Rule & Regulation Changes from the DMV

DMV News

FYI Future Dealers/Pre Licensing Students

  • Auto Broker Endorsement – Retail Only; As of February, DMV has determined that Wholesale dealers can no longer broker sales. Retail Licensed dealers can broker sales to the public with the Auto Broker Endorsement.

 

  • Form OL 902; this form is no longer required in your application packet.

 

  • The DMV no longer provides a manual on how to complete your application.

 

FYI Currently Licensed Dealers 

  • Temporary License Plates (TLP) Attachment Problems and Solutions. (VIN 2019-09)

– Problem:

Some dealers have been improperly attaching TLP’s to vehicles. This is causing the TLP to swing around, making them difficult to read, and causing them to tear and fall off. Other dealers have been using incorrect TLP paper, causing additional TLP failures. These situations have resulted in lost revenue from bridge tolls, as well as traffic citations for the new owners of the vehicles.

Solution 1:

Proper TLP paper material must be used. It can be obtained from one of the authorized TLP providers. Below is the list of DMV approved providers:

Fairfax Imaging: fairfaxsoftware.com

American Driving Records:  caevrreg.com

Automated Vehicle Registration Services: avrs.com/temptags

Dealertrack: go.dealertrack.com/catemptags

Motor Vehicle Software: dmvdesk.com 

– Solution 2: 

TLP must be securely attached to the vehicle. To be securely attached, DMV requires dealers to attach the TLPs to the vehicle using all four perforations in the corners of the TLP paper. If a vehicle does not have four points of attachment, then the dealer must attach the TLPs in a manner that will prevent the TLP from swinging and flapping. 

 

  • Assembly Bill 516 (Effective January 1, 2019); California Assembly Bill (AB) 516 requires dealers to prepare Reports of Sales electronically (on line), and to print Temporary License Plates when vehicles are sold.

 

-DMV will no longer accept the hard copies of the Reports of Sale issued by DMV to dealers prior to 2019.

DMV will also not allow dealer promotional paper plates to be placed on vehicles at the time of sale. Instead, the new Temporary License Plates must be placed on the vehicle. The processing of the Reports of Sale electronically, and the printing of the Temporary License Plates can be done either through the Business Partner Automation Program, or through Fairfax Imaging. Both procedures are described below.

 

-Business Partner Automation Program:

Dealers can process their vehicle licensing and registration paperwork electronically using DMV’s Business Partner Automation Program. This can be done at the moment of sale, avoiding most paperwork, missed time deadlines, and storage of old documents. The following are the four DMV-approved Business Partner providers:

DEALERTRACK Contact: Chris Triana – Phone: 860-235-4725
MOTOR VEHICLE SOFTWARE CORPORATION Contact: Eddy Partida – Phone: 818-706-1949
AUTOMATED VEHICLE REGISTRATION SERVICES Contact: Mark Kithcart – Phone: 707-790-8504
AMERICAN DRIVING RECORDS Contact: Scott Faulds – Phone: 916-288-6616 

-Fairfax Imaging

Fairfax Imaging has been approved by DMV to implement the electronic Report of Sale and Temporary License Plate processes for dealers who are not part of the BPA program discussed above. Fairfax describes their process as follows: 

“The Report of Sale will be printed at the end of each transaction. The registration procedures that dealers currently follow will not change. With this system, dealers will print out the Report of Sale forms using a local computer and printer and process registration of vehicles sold in the same manner as currently processed, by utilizing a First Line Business Provider, through DMV Industry Business Centers (IBCs), a registration service or by mail to the department.” 

This means that instead of DMV providing dealers with hard copies of Report of Sale Forms, dealers will print their own using the Fairfax system. With this system DMV will have the Report of Sale information as soon as the dealer puts inputs it into the Fairfax system. The dealer can then print out the completed Report of Sale, and will still have up to 30 days to send the hard copy application to DMV as they have in the past. Fairfax will also provide dealers the capability to print Temporary License Plates (“TLP”). These paper plates will have the Report or Sale numbers printed on the plates, so the plates match up to the Reports of Sale. The thinking is that these temporary plates will make the vehicles less desirable objects for theft. Fairfax calls their system “Quick Tags.” 

Fairfax conducts training sessions in person or online, and can be contacted at: fairfaximaging.com.