Electronic Method of Vehicle-Titling

Government Technology issued an article this week on the South Dakota Division of Motor Vehicles (DMV) and their federal pilot program to test whether a completely electronic method of vehicle-titling is feasible. If successful, the project will ultimately eliminate the traditional paper title and transfer process.

Deb Hillmer, director of the South Dakota DMV, is quoted in the article, "We talk about this as an industry, and one of the biggest concerns you hear is the timing it takes to get a paper title; then signing it and sending it and everything else. So we’re really looking at how we can move that process to an electronic means.” Hillmer added that the project will involve “six or seven” states out of a working group that includes Arizona, California, Delaware, Florida, Iowa, Maryland, Pennsylvania, South Carolina, Texas, Vermont, Virginia and Wisconsin.

The state developed and implemented its own electronic lien and title (ELT) system last October, specifically to move the entire lien process over to a digital format. It took about four months to build and test South Dakota’s ELT system. Hillmer said her team did “quite a bit” of testing to ensure the messages and language going back and forth between the state system, dealers and finance institutions was correct and provided all the details needed for all parties. Development of the technology cost approximately $60,000, which includes programming and staff time.

The federal pilot program runs for approximately nine months and the intent is to implement the system by June 2014.

SOURCE: The information in this article can be attributed to Brian Heaton, Government Technology. For the full article, please visit: http://www.govtech.com/transportation/Are-Paper-Vehicle-Titles-Facing-Extinction.html?elq=430ca97b2db046bebe5f56a693617cc9&elqCampaignId=3785.

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