Missouri’s (Hopefully Successful) DMV Makeover

When I hear the term driver's license, I either think of Olivia Rodrigo's breakout song or the prospect of waiting in line for a near century, only to realize I forgot one of the many required documents. Either way, tears are flowing. But there is hope for improvement. Missouri is attempting to transform those tearful DMV visits into a smoother experience, as in mid-November the first phase of a new, "modernized" system was rolled out.

There are a few key features in this first phase:

• Adults 21-49 will be able to renew their licenses online every other renewal period.
• If you lose your driver's license, you can go online and get a new one every other time.
• No need for new drivers to bring a physical copy of a Missouri State Highway Patrol driver test to the DMV.
• New computers, scanners, and customer tablets will be added.
• 175 new workstations at 275 license offices will help reduce wait times.
• 10% of administrative fees will continue to fund technology upgrades until a "modernized, integrated system for vehicle titling and registration, liens on vehicles (dealing with loaned vehicles), driver's licenses, and identification cards" is established.

The second phase, which is slated for July 2026, will focus on reform in the taxing and titling process. After these two phases, only one percent of administrative fees will be remitted to maintain the new system. This funding mechanism has similarities to a user fee, which is a good approach to funding services. However, it is not a true user fee, as it is possible to buy a vehicle without directly benefiting from the new DMV services.

In the first days of the system, there were long delays with an influx of customers and workers getting acquainted with the new system. This is not a great sign, and we should continue to monitor the situation to see if wait times improve.

As of now, the price tag for this new system is $63 million, but the entire system upgrade (both phase 1 and phase 2) as a whole could cost more than $100 million. In Nevada, similar upgrades were slated to cost around $125 million, but may balloon to potentially over $400 million. Hopefully, prices will not skyrocket and the new system will provide an efficient system for Missourians. In the meantime, Missourians should keep an eye on this process to ensure that our government makes wise use of our tax dollars and keeps a tight rein on the project to avoid wasteful spending.