You asked what changes are occurring to the motor vehicles emission inspection program resulting from actions of the governor and legislature following the revelations of improprieties in the conduct of emissions, and in particular, safety inspections that came to light in 2000.

SUMMARY

As a result of the controversy following the arrest of several employees of the safety and emissions testing contractor for bribery and fraud in 2000, the governor terminated the separate safety inspection contract with Envirotest, but it remained as the state's emissions testing entity. As of January 2, 2001, the responsibility for safety inspections being performed by the contractor moved to the Department of Motor Vehicles.

In June 2000, the governor and Envirotest agreed to several emissions program modifications at the contractor's expense including hiring additional DMV inspectors to monitor test station activities, hiring an independent contractor to do continuing performance evaluations and covert audits of inspection operations, installing video equipment in all emissions testing lanes, hiring an inspector to review tapes of questionable cases, expediting installation of new fraud detection computer software, and requiring a supervisor to approve any attempts by failed vehicles for reinspection on the same day.

Over the last two years, the legislature has made several statutory modifications in anticipation of the expiration of the current emissions inspection contract on June 30, 2002 and initiation of a new program on July 1. DMV now has considerable latitude to develop the new system using one or more independent contractors, authorized motor vehicle dealers or repairers, or combinations of these entities. DMV has not yet determined what form the new system will take but has issued a Request for Proposals. Before it enters into any contracts with independent contractors to provide testing services, it must submit the contract to the Transportation Committee for review and comment. It must either incorporate the committee's recommendations or provide written explanation why they are not in the state's best interests.

While the form of the new system is yet to be determined, changes to the law make it likely that any new program will include a four-model year exemption for new vehicles, beginning with the 2000-2003 model years, and the capacity in the new program to do less intrusive "on-board diagnostic" testing for 1996 and newer vehicles.

PROGRAM CHANGES THROUGH 2000

The controversy over the performance of Envirotest, the state's emissions and safety inspection contractor, arose following a series of incidents involving the arrest of several Envirotest employees for, among other things, soliciting and receiving bribes to pass vehicles that failed inspections. The majority of allegations involved safety inspections, but several also involved emissions tests.

In June 2000, the state hired an independent auditor to conduct a review of the performance of both Envirotest and the DMV. On June 28, 2000, the governor announced an agreement with Envirotest under which an additional 16 DMV inspectors would be hired at the contractor's expense to supervise activities at the testing stations. This increased the total number of inspectors assigned to emissions stations to 33.

Additionally, Envirotest agreed to pay up to $ 250,000 towards the state's hiring of a private contractor to conduct continuing performance evaluations and covert audits of inspection operations. Envirotest also agreed to install video monitoring equipment in all emissions inspection lanes, hire an inspector to review tapes of questionable cases, and finish installing new fraud detection computer software. Finally, the contractor instituted a policy to require a supervisor sign-off for any reinspection of a vehicle that fails an emissions test and attempts to be retested on the same business day.

Also on June 28, 2000, the legislature's Transportation Committee announced it would hold special oversight hearings in July to examine the history of the program and its current problems. At these hearings, the committee questioned Envirotest executives and former and current DMV officials.

Subsequently, the governor terminated Envirotest as the state's safety inspection contractor. But it remains under contract to perform emissions inspections through June 30, 2002. Safety inspections ceased at Envirotest facilities on December 2, 2000. Beginning January 2, 2001, all safety inspections required by law were being performed by state inspectors at designated DMV facilities.

LEGISLATIVE CHANGES IN 2000 AND 2001

The General Assembly passed several laws during the last two sessions that established many new requirements and provided DMV with significant discretion in designing the emissions inspection program that will succeed the current one as of July 1, 2002.

PA 00-180

PA 00-180 required DMV to incorporate into the emissions program regulations by October 1, 2002 an inspection exemption for vehicles four model years old or newer as long as this was not found to violate certain federal requirements. It also changed the law to make it possible for DMV to introduce on-board diagnostic (OBD) testing into the program as an alternative to testing tailpipe emissions. Since the 1996 model year, all motor vehicles have been equipped with OBD capabilities. OBD-equipped vehicles have special computers, sensors, and software that monitor the condition and performance of the vehicle's emissions control equipment and notify the driver through dashboard instrumentation when the equipment may need servicing. Properly trained and equipped repair technicians can download information from the OBD system that evaluates the emissions system and replaces the process of sampling exhaust leaving the tailpipe in order to determine if the vehicle meets the emissions standards.

PA 00-180 also required DMV to submit a report on the future of the emissions program to the Transportation Committee by January 31, 2001. It had to identify any proposed changes to the standards, methods, and inspection system. The act prohibited DMV from amending the current contract or entering into a new contract unless it submits the contract to the Transportation Committee for its review and comment. The Committee has 45 days to review any proposed contract and make recommendations concerning (1) efficiency and effectiveness of service delivery (2) service economy, (3) environmental impact, and (4) contractor qualifications, including performance capacity and accountability. DMV must either incorporate the committee's recommendations or provide a written explanation of why they are not in the state's best interests to adopt.

PA 00-169

One change made by this act that relates to your question involves eliminating the statutory requirement that any contracts DMV enters into with one or more independent contractors for the emissions program be for a minimum of five years. It provides the DMV with the flexibility to negotiate contracts for lesser time periods if this better serves the state's interests.

PA 01-09, June Special Session

This act made several changes to the authorizing statutes for the emissions program that, in effect, allow the DMV to design the new program as either a centralized program using one or more independent contractors, a more decentralized program using licensed motor vehicle dealers and repairers authorized to conduct inspections, or a hybrid program that makes use of both. It gives the motor vehicle commissioner the discretion to provide for OBD testing for 1996 model year and newer vehicles.

Specifically, it allows the commissioner to appoint any licensed dealer or repairer to conduct emissions inspections if it meets the qualifications, requirements, and conditions DMV establishes. But the act also allows any independent contractor the commissioner may select to run a system of official inspection stations, in addition to conducting testing at its own facilities, to (1) contract directly with a dealer approved to conduct emissions tests to provide the testing services at the dealer's location and (2) operate inspection stations at suitable locations owned or operated by others, including retail business establishments, with adequate facilities to accommodate and perform inspections.

PA 01-09 also allows the commissioner to enter into personal service agreements with any qualified person or business to provide the management and oversight of the independent-contractor run inspection facilities and to create and maintain the necessary electronic data capture and reporting systems for all inspection facilities, including the authorized dealers and repairers. The commissioner may also make agreements with one or more nonprofit associations or organizations representing the interests of Connecticut dealers or repairers to assist in specific aspects of implementing dealer- or repairer-based testing.

The act also moves up the date by which DMV's program regulations must include the four-year exemption for new vehicles. The regulations must now incorporate the exemption by July 1, 2002 instead of October 1, 2002. (The July 1 date coincides with the expiration of the current contract and initiation of the new program. ) The act also specifies that the four-year exemption becomes effective with the 2000 through 2003 models and requires the commissioner to charge a $ 40 fee for any newly registered motor vehicle and for the registration of any vehicle eligible for the four-year exemption that has not previously been registered in Connecticut.

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