H.R. 7797: Toll Evasion Prevention and Plate Visibility Act of 2026

This legislation, titled the Toll Evasion Prevention and Plate Visibility Act of 2026, seeks to improve the readability of vehicle license plates and prevent toll evasion. Here are the key components of the bill:

License Plate Readability

• Prohibition on Sales: The bill makes it illegal to sell or offer for sale items that impair the readability of license plates. This includes:
  • Goods specifically designed to make license plates unreadable.
  • Fraudulent or counterfeit license plates that misrepresent vehicle registration information.
  • Unauthorized year-of-manufacture plates intended for use in a specific state.
  • Legitimate license plates sold without state authorization.
• Enforcement: The Federal Trade Commission (FTC) will enforce this part of the bill. Violations will be treated as unfair or deceptive acts under existing federal law, allowing the FTC to impose penalties, as deemed appropriate.
• Applicability: The prohibition applies to sales made 90 days after the bill is enacted.
• Regulatory Authority: The FTC is authorized to create regulations to implement this prohibition.

Guidance on License Plate Readability

• The Federal Highway Administration (FHWA) is required to produce guidance on license plate readability within 90 days of the bill's enactment. This guidance will:
  • Include best practices for license plate design to facilitate technology that captures plate information.
  • Provide information on frames and covers that may obstruct readability.
• This guidance will be advisory and will not mandate changes to existing state license plate designs or specifications.

Grant Program

• The bill establishes a grant program through the FHWA aimed at helping identify vehicles that frequently evade tolls. Specifics of the program include:
  • Eligibility for grants extends to states, local governments, law enforcement agencies, multi-jurisdictional task forces, and owners of toll facilities.
  • Eligible projects for grants include:
    • Development and implementation of technology systems to identify toll-evading vehicles.
    • Training programs for law enforcement on detecting violations related to plate readability.
    • Data sharing systems to improve coordination among enforcement entities.
    • Other activities aimed at enhancing the enforcement of license plate readability laws.
• A total of $10 million is authorized for appropriation for each fiscal year from 2027 through 2030 to fund these initiatives.

Summary

The bill seeks to create enhanced standards for license plate visibility and readability to reduce toll evasion. It also places restrictions on certain products that could impair this visibility and sets up a framework for grants to support technologies in enforcement. Moreover, the FTC is given authority to regulate and enforce these provisions at a federal level while allowing states to maintain their own regulations.

Relevant Companies

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