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Bill would boost Illinois DOC fee to $150

November 17, 2010

Illinois legislators are considering raising to $150 the base documentary fee that dealers could charge on the sale of new and used vehicles beginning Jan. 1, 2008.

The base DOC fee was $40 when it was established in 1992. Annual adjustments tied to the Consumer Price Index have increased to $58.48 the maximum DOC fee that can be charged this year. The fee is assessed to complete and store necessary paperwork and provide copies to purchasers.

But the array of federal and state regulations with which dealers must comply when selling vehicles has escalated more than the CPI. Dealers in at least 30 states are permitted to charge $400 to $900 in DOC fees.

Since 2001, for instance, new federal regulations with which dealers must comply include the Privacy Act and the related Safeguards Rule, to curb identity theft; the Patriot Act, to combat terrorism; and the Federal Trade Commission’s National Do-Not-Call or -Fax Registries, which regulate telemarketing.

Illinois House Bill 1657 was introduced Feb. 22 by Rep. Daniel J. Burke (D-Chicago), and it passed its first reading on the House floor that day. The House Financial Institutions Committee voted 12-7 to approve the measure March 6, returning it to the House floor for a second reading. The March 6 vote followed party lines, gaining the support of committee Democrats but not Republicans.

Legislation must pass three readings on the floor of each chamber of the General Assembly before being delivered to the governor.

Dealers are encouraged to contact their state representatives and senators to enlist support for the bill. Lobbyists for the CATA and the Illinois Automobile Dealers Association, likewise, are pressing legislators for their support of HB 1657.