Rising prices continue to strain household budgets, and motorists will soon pay more for their vehicle registration.
Beginning Wednesday, July 1, passenger vehicle registration fees will increase by 25 percent to help fund more than $1 billion in transportation projects. Separate registration fees for electric and hybrid vehicles will take effect Jan. 1.
In addition to the registration increase, according to the New Mexico Department of Transportation, weight-distance taxes will rise by 35 percent effective July 1.
The registration fee increase applies to passenger vehicles and does not affect off-highway vehicles, trucks, recreational vehicles, motorcycles or buses. Current annual registration fees for passenger vehicles range from $21 to $56. With the increase, those fees will rise to approximately $26 to $70 per year.
Either of these vehicle registration charges has changed since 2004. As a result of this increase, an estimated $70 billion will go to the State Road Fund, allowing investment in road maintenance. More than half of New Mexico’s roads require maintenance, costing drivers more than $1,000 a year in repairs and wasted fuel.