United States Department of Transportation
i
A study of the usage of LPAs by the North Carolina Division of Motor Vehicles: final report - phase II.
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2014-09-19
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[PDF-1.84 MB]
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Abstract:This final report was prepared to assist NCDMV in meeting the requirements of S.B. 402, Sec. 34.17, which mandates that NCDOT in collaboration with NCDMV “shall evaluate current contractual models and compensation” for license plate agency (LPA) contractors. An interim report from Phase I of the study was submitted to NCDMV in February 2014. Phase II of the study was authorized to collect and analyze customer transaction and wait time data at a sample of LPAs across North Carolina, as well as comparative operational and transactional data from other states. A summary of the report’s recommendations are: 1. NCDMV should implement a uniform, term-limited, performance-based contract for all LPA offices and follow the transition plan outlined in the Phase I report of this study. 2. Also outlined in the Phase I report, NCDMV should fully utilize and implement technology to improve customer service and customer satisfaction, and incentivize. NC citizens to perform more online transactions. 3. The largest LPAs and state-run offices should maintain extended hours on peak days and mid-month days to accommodate peak loads while maintaining reasonable wait times. 4. LPA transaction compensation rates should be increased by 2.3%, and the Vehicle Property Tax (VPT) transaction compensation rate should be increased to $1.08 per transaction, to adjust for inflation. 5. NCDMV should develop and implement a statewide system to measure wait times, performance and customer satisfaction. Standards need to be developed along with objective methods to enforce them. 6. Given the substantial number of incomplete transactions observed, a detailed and independent study should be conducted to determine both the causes and solutions to this problem. 7. Given inordinate customer service issues observed at LPA offices that serve military personnel, an independent and in-depth study should be conducted to investigate the root causes and solutions to these issues. 8. NCDMV should consider evidence-based models that examine demand data, current LPA locations, and residual capacities to derive the “optimal” number and locations of LPA offices for better utilization of resources across the state. Wherever feasible, this model should prescribe opportunities for co-location with existing DMV offices. 9. NCDMV should conduct a more in-depth study of the operational practices and procedures in Missouri and of additional states such as Florida and Ohio, among others, to identify additional best practices for adoption.
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