MVA ANNOUNCES VEHICLE REGISTRATION FEE INCREASES

Tax Incentive to Buy Fuel Efficient Vehicles Expires at Same Time GLEN BURNIE  -- Beginning July 1, 2004 fees for Maryland Vehicle Registrations will increase.  Legislation increasing the fees  (Chapter 9, Laws of 2004 - House Bill 1467) was passed by the General Assembly during the 2004 legislative session.   The annual vehicle registration base fee for passenger cars (shipping weight up to 3,700 lbs.) will increase by $23.50, and for passenger cars (shipping weight over 3.700 lbs.) by an additional $36.00 a year. The increase to the base fee for Maryland Vehicle Registrations is the first in sixteen years.  The last increase to the base fee occurred in 1987.          In support of Governor Robert L Ehrlich's commitment to improve Maryland's transportation and transit network, revenue generated from the fee increase is directed to the Maryland Transportation Trust Fund, which pays for building and maintaining Maryland's transportation infrastructure.  The increase will generate $153 million annually for the Trust Fund.  Governor Ehrlich has directed the funding be used to build needed highway safety and congestion relief projects around the state, as well as improvements to support more efficient transit service. Also effective July 1, the provision rewarding those who purchase fuel-efficient vehicles by waiving the 5% Excise Tax ends.   In 2000, the General Assembly passed the incentive as part of the Maryland Clean Energy Incentive Act.