Eliminates the state government’s authority to suspend a driver’s license for nonpayment of fines or penalties or nonappearance in court by repealing GS 20-24.1 and GS 20-24.2. Makes a corresponding change to GS 15A-1116(a), removing language requiring a court to report failure to pay penalties and costs to the Division of Motor Vehicles (DMV).

Enacts GS 20-24.3, which prohibits the DMV from revoking a driver’s license solely for failure to appear or pay costs or fines ordered by a court. Requires the DMV to terminate all suspensions of drivers’ licenses imposed under GS 20-24.1 and GS 20-24.2, waive all fees associated with the suspensions, and reinstate the license with no action on the driver’s part, within three months of the effective date of the new GS 20-24.3. Directs the DMV to provide notice to each person whose suspension is lifted under this provision and post information on the DMV website related to the termination of suspensions.

Requires the DMV to collect data and publish a report by October 1, 2025, showing the number of suspensions terminated, fees waived, and disaggregated data about the race, ethnicity, gender, and zip code of residence of the person with the suspension.

Enacts GS 20-24.4, which requires the Administrative Office of the Courts to collect data and publish a report by March 31, 2025, and each year thereafter, on compliance, collections, and appearance rates in courts that adjudicate motor vehicle offenses. Specifies the minimum data that must be provided in the report, including disaggregated demographic data.

Amends GS 20-28 adding new subsection (a4) making unpaid fines and fees unenforceable if they are based solely on a suspension under GS 20-24.1.

Makes conforming amendments to GS 20-13.2, GS 20-19, GS 20-28.1, GS 20-217, and GS 110-142.2(f).

Makes changes effective October 1, 2025, except that prosecutions for offenses under GS 20-24.1 in effect before the termination under this act are not abated or affected, and statutes remain in effect for these purposes.

Effective July 1, 2025, directs that $250,000 of the recurring funds appropriated to the Administrative Office of the Courts for the 2025-2026 fiscal year be used to implement a text message reminder system for upcoming court appearances.