Department of Motor Vehicles

Report of Net Assessable Expenses

The Department of Motor Vehicles assesses insurance carriers for the cost of administering the Motor Vehicle Financial Security Act and the Motor Vehicle Safety Responsibility Act. We audited the process used by the Department to determine these costs for the two years ended March 31, 1997 and identified a number of errors. As a result of these errors, the costs were understated by an average of more than $280,000 a year. Department officials corrected the errors and recovered the costs from the insurance carriers. We recommend improvements in Department procedures that would prevent such errors in the future.

For a complete copy of Report 97-S-47 click here.
For a copy of the 90-day response click here.
For a copy of the associated follow-up report click here.