Florida Gov. Rick Scott Proposes Cuts to Auto Registration Fees

Dec 12, 2013 11:11 AM EST | Jordan Ecarma

Florida Gov. Rick Scott is proposing $401 million in cuts for auto fees next year, undoing a fee hike that was implemented four years ago.

Scott's proposal to cut vehicle registration fees would save more than $25 for most motorists and could help the governor win a touch re-election battle, The Associated Press reported.

Florida auto fees were increased in 2009 to help to balance the state budget and signed into law by then-Gov. Charlie Crist. A Republican at the time, Crist has since switched to the Democrat Party and is running against Scott.

The Scott administration hopes to cut $500 million in taxes and fees next year, contending that a project budget surplus for 2014 can cover the reduced auto fees.

The state's main tax collections will likely grow by 3.8 percent during the current fiscal year and then increase another 4.9 percent by mid-2015, according to the AP report.

If the projections are correct, the tax collections will total $27.5 billion, giving lawmakers a budget surplus of $1 billion.

Scott has long pushed for tax cuts, seeking to save taxpayers $4 billion in a two-year period soon after his 2011 inauguration.

His opponent approves the proposed cut to auto registration fees, saying the increase was never intended to be permanent.

In a written response to Scott's proposal on auto registration fees, Crist said, "It's about time! When these fees were passed by Rick Scott's colleagues and signed into law they were never meant to be permanent. I'm surprised it's taken this long for Governor Scott to realize that it's time to roll these fees back--better late than never."

The Florida senate is already examining a bill regarding lower auto registration fees, but the legislation won't save taxpayers quite as much as Scott is hoping for.

SB 156 proposes cutting average auto fees by $12 a year, which would cost the state about $233 million.

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