Report: NJ's MVC missed out on $12M in savings - Los Angeles News | FOX 11 LA KTTV

Report: NJ's MVC missed out on $12M in savings

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TRENTON, N.J. (AP) - A new state auditor's report finds New Jersey's Motor Vehicle Commission has missed out on $12.6 million in savings since mandatory safety inspections were discontinued two years ago.

The report issued Monday notes the MVC anticipated cutting $3.24 from the $21.60 it paid Parsons Environment & Infrastructure Group for each inspection. But the rate was only reduced by 67 cents when the contract was renegotiated in March 2011.

MVC Chief Administrator Ray Martinez disputed the audit's findings, saying the elimination of mandatory safety inspections didn't necessarily mean a reduction in the contract price.

The report also says the commission could save $2 million by mandating that drivers who twice fail emissions inspections would have to go to a private facility and pay for it themselves.

Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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