"e-odometer" provisions open the door to paperless auto sales and electronic registration. AGOURA HILLS, Calif., Dec. 7, 2015 /PRNewswire-USNewswire/ -- A key measure contained in the federal Fixing America's Surface Transportation Act (FAST Act) will usher in an era of paperless vehicle sales and pave the way for vehicle-to-government (V2Gov) transactions. Language contained in the 1,300-page transportation bill Congress passed late Thursday and signed into law by President Obama Friday, allows states to move forward with programs to implement electronic odometer disclosures, notices, and related materials as long as those processes provide appropriate authentication and security measures.
This advance will allow for the modernization and expediting of motor vehicle registration nationwide. Existing federal law requires odometer disclosures to be hand-written, slowing the efficiency of all vehicle-related transactions, including sales and registration. While a provision in the 2012 federal transportation bill called on the federal National Highway Traffic Safety Administration to implement new rules to allow for electronic odometer disclosures, the agency has yet to propose those rules. Sen. Steve Daines (R-Montana) authored language contained in the new highway bill that allows states to move forward with their own "e-odometer" programs. "From shopping online to buying houses, the use of electronic signatures has made everyday transactions and once-in-a-lifetime purchases simpler for American families. However, Americans have been prohibited from using this technology to its full potential in vehicle-related transactions," Daines said. "We can't allow federal inaction to impede innovation. This provision gives states the authority to act, since the federal bureaucracy will not, and implement their own electronic odometer disclosure programs." As vehicle-to-vehicle communication becomes more widespread, vehicle-to-government communication is a logical next step, according to John Brueggeman, a former state senator from Montana and executive vice president of the California-based Motor Vehicle Software Corporation (MVSC). "The paper registration process is outdated," Brueggeman said. "We live in a digital economy and this new law will not only allow for a faster and more convenient process for automobile buyers, but it will also increase accuracy and efficiency at state motor vehicle departments across the country." MVSC, a leading national provider of electronic vehicle registration technology and services, led the effort to include the provision in the Highway bill along with the National Auto Dealer Association (NADA) and state auto dealer associations throughout the country. The groups praised Sen. Daines for his leadership in making sure the e-odometer language was included in the final bill. "The e-odometer language included in the transportation bill removes one of the last major impediments to fully electronic consumer vehicle purchase transactions," said Brian Maas, president of the California New Car Dealers Association. "This opens up the field for entrepreneurship and innovation for dealers to move from paper-based transactions to an electronic transaction system. We hope California and other states take advantage of it."