How would ending annual vehicle inspections affect state budget?

CONCORD — A bill passed through the Statehouse, under review by state senators, would end the longstanding requirement for annual vehicle inspections in New Hampshire. 

House Bill 649 would remove the requirement for physical safety inspections and onboard diagnostics tests for passenger vehicles, and would also eliminate the funding for the Motor Vehicle Air Pollution Abatement Fund.

Introduced at the beginning of the 2025 legislative session, Rep. Juliet Harvey-Bolia (R-Tilton) is among the bill’s six co-sponsors. She did not return requests for comment.

The New Hampshire House of Representatives voted 212 to 143 in favor of the bill in March, and it’s now under discussion among state senators, who heard testimony in committee on Tuesday. They’ll hear more testimony next week.

State Sen. Tim Lang (R-District 2), himself a former police officer, said Friday he hopes to see amendments made to the bill to refocus on the aspects of inspections specifically affecting the safety of a vehicle. Without such an amendment, he said he's not sure if he would vote in favor of the bill. 

"Put it back toward what it was intended for, as a safety inspection," he said.

According to a fiscal note attached to the bill as introduced, its implementation could result in a loss of revenue to the state of more than $3.4 million by 2028, which would, in turn, reduce the amounts available to municipalities in highway fund block grants by several hundred thousand dollars over the next three years. 

In 2023, there were 1.1 million vehicles registered, according to Department of Safety figures cited in their methodology. Inspection stickers cost $3.25, and the revenue is split between three accounts: $2.75 to the highway fund; $0.25 to the general fund; and $0.25 to the Motor Vehicle Air Pollution Abatement Fund.

Mechanics' perspectives differ

“I don’t think it would be a good idea,” Ginny Sanborn of Sanborn’s Auto Repair said Friday afternoon.

Without vehicle inspections, people could have cars sitting dormant for a long time, accumulating rust, and causing other structural problems.

Mechanics at Sanborn's shop say salt is a major contributor to rust, not just of the frame, but also of car components, and takes a particular toll on the suspension system. Gas and brake lines also see damage because of salt, which is used to melt the Lakes Region’s icy winter roadways. 

Sanborn said Friday that around 90% of people who come into their shop express disapproval regarding the potential for the safety inspection law to be taken off of the books.

“Most of the customers, too,” she said.

Across the country, there are 14 states which require periodic vehicle safety inspections, either every year or every other year. Some states require inspections upon sale of a vehicle, like Alabama and Maryland, and 16 states require periodic emissions inspections. 

In New Hampshire, vehicle safety inspections are required annually.

In a letter written to representatives in the Statehouse, Neil Trindade of Neil’s Laconia Garage wrote that the caricature of the “crooked mechanic” is inaccurate, and the vehicle inspection system creates more problems than it solves.

“If any one shop were to remove oneself from the inspection process it would go out of business. Why? Because all of it’s [sic] customers would be forced to go elsewhere for this scam process,” reads his letter, in part. “If the program were to be completely abolished, then no technician or shop would have to suffer from the ending of it or the mourn the loss of the imaginary pot-of-gold so many of you enjoy using as your scapegoat when vilifying the hardworking and underappreciated Auto Technician.”

Trindade continues to describe the way that caricature may contribute to a shortage of qualified vehicle technicians in New Hampshire. 

“The trashing of the Technician is, in my professional opinion, helping to foster the shortage of new technicians that is driving up the cost of labor for everyone.

“It is conceivable to me that without real support and respect for this trade the costs that some folks perceive as greed will soon be much, much worse when the only shop in town is the dealer. Ironically, this may be one reason [New Hampshire Automobile Dealers Association], the lobbyists and the big dealers don’t want to see this program go.” 

According to The Josiah Bartlett Center for Public Policy, Granite Staters likely spend between $41.5 and $69.2 million each year in fees — not including repairs needed to pass inspection — while associated evidence that state-mandated vehicle inspections reduce traffic fatalities is scant, at best. According to the National Highway Traffic Safety Administration, vehicles themselves are the critical factor in just 2% of vehicle accidents. A 2008 report commissioned by North Carolina to study its own state vehicle inspection found no evidence supporting the efficacy of the program despite residents there paying $141 million each year to comply with state law.