SACRAMENTO, Calif. -

A proposal introduced by a California state legislator is meant to require all franchise dealers and some independent stores to utilize an electronic vehicle registration system. It's intended to shave the time needed to get new license plates on vehicles.

The method of recouping dealer cost for implementation is drawing fire from consumer groups because the proposal allows for the raising of documentation fees.

"The drive behind this was to get plates on cars faster. We will be glad to participate, but we have to have some way to pay for it," explained Peter Welch, president of the California New Car Dealers Association, in a story published by the Los Angeles Times.

Welch went on to note in the report that dealer expenses would include posting a $50,000 bond and maintaining a secure supply of license plates and tags on hand. He added dealership employees who handle the plates and stickers must be fingerprinted and trained on how to tap into this electronic vehicle registration system.

California is one of 14 states that cap doc fees. However if the proposal makes its way through the state legislature, the story indicated those fees would move up to $75 from $55 for new- and used-vehicle purchases and from $45 for vehicle leases. 

Writer Jerry Hirsch of the Times calculated that as many as half of franchise dealers already use the electronic system voluntarily and can charge an additional $29 fee on a new-vehicle transaction.

If the proposal is implemented, franchise dealers would have to move to electronic registration on used-vehicle transactions, too. These dealers would also be able to charge higher fees.

State Sen. Alex Padilla (D-Pacoima) is orchestrating the proposal. He's stressing how crucial it is to cut the three months that's typically needed to get new license plates on vehicles.

"The electronic vehicle registration proposal is supported by local governments and law enforcement so they can better enforce traffic laws," Taryn Kinney, Padilla's press deputy told the Times.

Hirsch also speculated in his story that California dealers could gather in as much as $80 million a year because of the raised fees. That figure is what makes consumer groups uneasy.

Heightening the concern is speculation that this proposal is being promoted as a so-called trailer bill to the California budget. The Times explained that status would allow the proposal to become law without going through a legislative subcommittee and a public hearing.

Norma Garcia, a senior attorney with Consumers Union, the nonprofit publisher of Consumer Reports, voiced her displeasure to the newspaper.

"This adds up to tens of millions of consumer dollars each year, solely for the benefit of auto dealers, and is being considered without the benefit of a single policy hearing at which the public can express its concern," Garcia explained.

Welch responded by stating the California legislature has yet to release any language for the bill, and the lack of a written proposal has created confusion.