From 1986-2000, New York license plates were rather iconic in their simplicity. Featuring a white background with a red trim and Lady Liberty in the center, the state license plates screamed New York. In 2000, the state announced plans to shift to the new blue-based license plates with Niagara Falls in one corner and Manhattan’s skyline in the other. Due to both registration enforcement and the desires to represent upstate New York, the license plates had to change.
Now, just eight years after the new plates debuted, it is time once again for New Yorkers to purchase new license plates for the DMV. The new design, shown above, returns New York to its yellow and blue license plates roots, but few are happy with the requirement to spend $25 on new license plates.
According to the DMV, the current license plates were guaranteed for only five years. After half a decade, the license plates, according to state officials, begin to lose their reflectivity and show the effects of wear and tear. Meanwhile, new law enforcement technologies have come into play that rely on shiny license plates. “License plates are a fundamental tool of law enforcement that has been enhanced in recent years through a variety of technologies that improve their readability, especially under low light conditions,” State Police Superintendent Harry J. Corbitt said. “The State Police has worked cooperatively with DMV to ensure that the new plates will continue to serve the law enforcement community effectively.”
Or something like that. The real answer is, of course, one of economics. By requiring and charging for new license plates, the state can generate revenue at a time when it has none. In fact, David J. Swarts, Commissioner of Motor Vehicles and Chair of the Governor’s Traffic Safety admitted as much. “The bold colors of the new license plate reflect New York’s force and its resilience,” he said. “These new plates, in the official colors of the State of New York, will help maintain highway safety, reduce the number of unregistered and uninsured vehicles on our roads, and generate $129 million in General Fund revenue over two years, which will help address the State’s financial crisis.”
As numerous New Yorkers have been speaking out against the new license plates over the last two days, we turn then to this plan’s relationship to the MTA. On its surface, the state’s need to fill its General Fund coffers has nothing to do with the Metropolitan Transportation Authority. Yet, the funding plan should.
When the state levied payroll taxes and automobile registration fees on MTA counties, it did so because the MTA needed money and these counties benefit from a healthy mass transit network. Politicians and small business owners complained, and in fact, efforts to repeal the taxes are ongoing today. However, whether business owners know this or not, these counties stand to lose more economically from reduced transit service. In other words, residents outside of the city enjoy significant externalities due to the presence of public transit options whether they use Metro-North, the LIRR or New York City Transit offerings or not.
With the license plates, the state is making a pure and simple money grab. If the outrage over these new license plates isn’t at least as large as the Putnam and Dutchess County protests against the MTA, then it is not a stretch to say that the residents and politicians from these areas simply do not understand economics of access and the interplay between urban and suburban areas.