December 12, 2008
Gov.-elect Nixon Says Competitive Bids, New Technology Will Boost License Office Transparency, Save Money and Time for Taxpayers
Gov.-elect Nixon Announces Overhaul of License Office System: Ending Political Patronage, Moving Renewals Online
JEFFERSON CITY, Mo. – Gov.-elect Jay Nixon today announced his plans to end Missouri’s patronage system for motor vehicle and driver’s license offices, and use technology to overhaul the system and make it more efficient and responsive to taxpayers.
Under Gov.-elect Nixon’s administration, the state will take two steps to reform the license office system. First, the Missouri Department of Revenue will request competitive bids on every contracted license office in Missouri, and all license offices will undergo a transition as new contracts are awarded, inventory is conducted and staff members are trained. Second, Gov.-elect Nixon also will increase efficiency by moving as much of the license-renewal process as possible online.
“The era of license office patronage in Missouri is over,” Gov.-elect Nixon said. “When I take office, we will put every contracted license office in the state up for bid, and we will award new contracts to those who will offer the most efficient and effective service for the people of Missouri. In addition, by moving as much of the renewal process online as possible, we will streamline the license system and save money for Missourians. Other states have had tremendous success with online license renewals, but Missouri hasn’t taken advantage of all the opportunities the Internet affords. Beginning in January, we will end archaic political patronage and bring Missouri’s license offices into the 21st century.”
Gov.-elect Nixon said his administration would take the following steps to end the patronage system for license offices and improve service for Missourians:
Timeline: Within 24 hours of Gov.-elect Nixon’s inauguration, the Department of Revenue will begin the process of issuing Requests for Proposals (RFPs) on license offices throughout the state. The Department’s objective will be to issue RFPs and award contracts for about six license offices a week and to avoid any significant disruption of service for Missourians.
Contracts will be awarded on a point scale: The decision to award contracts to a particular bidder will be determined by the bidder’s score on the following point scale.
- Points will be awarded for efficient operations and customer service;
- Points will be awarded for personnel qualifications, financial stability and past performance/experience;
- Points will be awarded for commitment to remain open to the public beyond normal business hours;
- Points will be awarded for being a civic organization or not-for-profit;
- And points will be awarded for MBE/WBE participation;
- Additional points will be given to bidders that agree to send a small percentage of their office’s gross income to the Missouri Department of Revenue for managing the license office system. This will serve as an incentive for bidders to help the state offset costs.
Using technology to make government more efficient: Gov.-elect Nixon’s ultimate goal is to move as much of this business as possible online. Bringing the license-renewal process online will save money and time for Missourians and reduce overhead expenses for the state. Over the coming months, Gov.-elect Nixon’s administration will announce more detailed plans for enhancing these online services.
Other states are effectively using the Internet to process license plates and renewals. The state of Arizona completes 45% of eligible transactions online and Virginia completes 28.8% of eligible transactions online. However, the state of Missouri currently only completes 0.5% of eligible transactions through the Internet.
Transition period: All license offices will undergo a transition process. As the Department awards new contracts, all offices may close for a brief period to conduct inventories and train new staff. Again, the Department will award new contracts on a timeline to ensure continuity of service for Missourians.