Aid to ailing deputy registrars dealing with MNLARS woes could be on the way

For a year-and-a-half, Minnesota’s new driver’s license and vehicle registration system has been a source of frustration for motorists across the state.

The system, known as MNLARS, has been far more than just an irritation to the operators of deputy registrars across the state who handle many of the transactions made more difficult by the technical glitches. To them, it has been a threat to their businesses and their livelihoods, forcing registrars to dip into retirement savings or take out loans to keep their local offices running. 

“How have we survived?” Kristy Beaucage, the general manager of a deputy registrar’s office in South St. Paul, said of the more than 170 businesses like hers around that state that process things like driver’s license renewals, vehicle registrations and transfer titles. “We’ve been using our personal savings. We haven’t paid ourselves for months.”

Help could be on the way, even if the details remain fuzzy.

Rep. Rick Hansen (DFL-South St. Paul) sponsors HF635 that proposes to appropriate $11.7 million in one-time General Fund funds to Minnesota Management and Budget to aid deputy registrars hurt by the troubled MNLARS rollout. It would also appropriate an additional $11.7 million from the General Fund to the Department of Public Safety for continuing work on MNLARS.

“All of us — on both sides of the aisle — agree there needs to be some type of reimbursement to deputy registrars,” Hansen said. “I think what we need to figure out with the executive branch is, what is that number?”

Both appropriations would be for Fiscal Year 2019. The bill was held over Tuesday by the House Transportation Finance and Policy Division. Hansen and Rep. Frank Hornstein (DFL-Mpls), the division chair, said more details on the level of funding would need to be worked out before moving the proposal forward.

Hornstein said the bill could move forward later in session as part of a package of MNLARS measures. There is no Senate companion.

Former Gov. Mark Dayton vetoed $9 million in aid earmarked for the besieged local DMV offices last May, saying he supported reimbursing deputy registrars but not without a commitment to continue funding fixes to MNLARS.

Jim Hirst, representing the Minnesota Deputy Registrars Association, told lawmakers he is “shocked” that no registrars’ offices have gone under as a result of MNLARS’ botched debut. He warned, however, that might not hold true if aid isn’t on the way soon.

“At this point, no office has closed.” Hirst said. “But I don’t think we can go another session without relief.”