SPR 15-509: Online Driver License Renewal System - Synthesis

The Kentucky Department of Vehicle Regulation would like to explore the possibility of developing and implementing online driver license renewal. Specifically, DVR would like more information about the costs of developing the web application and related web services, the impact on existing driver information databases, possible distribution models, equipment and maintenance costs, and estimates of potential cost savings by comparing both macro-level and per-unit costs currently associated with driver license creation, distribution and information technology requirements. DVR would like a comparison of two specific policies. One would be continuing current processes but extending the license plate renewal period to eight-year intervals. The other would be keeping the license renewal period at four-year intervals with the option to renew online every two years. Information about current state law and any changes necessary should also be provided. As of March 2011, 20 states had implemented some form of online renewal for driver licenses and/or personal identification cards. In Virginia, for example, more than 174,000 driver licenses (38.7%) were renewed electronically in 2010. State officials estimated that its switch to online services for registration renewals, driver license renewals, driver records, accident reports and other transactions had saved the state $58.4 million. Kentucky already allows residents to conduct most of these types of transactions online, with the exception of driver licenses, which can only be obtained at Circuit Clerk’s offices, and a few other locations around the state (142 in all).