PennDOT recently conducted, and is continuing, extensive audits of their Online Service Providers and their agents.

Title clerks should review processes to ensure that work is complete and submitted within required timeframes for scanning.

When a dealers/Agent is notified of missing work, the dealer/agent must provide all missing scans to avoid suspension. This includes paid inquiry, in-transit, registration renewals, lien maintenance transactions, and all other transactions completed in the online system.

PAA has been advised that these audits will continue and is working closely with Dealertrack to assist dealers who utilize their system and provide materials to PAA for scanning.

If a letter is received indicating you have missing work, immediately find the paperwork associated with the WID and the deal that was processed and immediately send it (overnight recommended) to be scanned.

The work must be scanned and in PennDOT’s system within 30 days from the date of your letter to avoid processing interruption.

Paperwork must be sent to the scanning partner (i.e. PAA) of the Integrator (i.e. Dealertrack) that was being used at the time the transaction was processed.

As part of your agent agreement, you must keep paperwork either digitally or on site in paper format for three years. If you receive a letter, you must find the paperwork associated with the WID or WIDs and send the hard copies via overnight mail to be scanned. PennDOT is expecting agents to have a copy of the paperwork.

It is imperative for dealerships to review the Agent Service Agreement (PennDOT Contract) to ensure compliance, as penalties for noncompliance often result in suspension of the dealership’s ability to issue and/or transfer license plates.

Dealers should be aware that even if they didn’t receive a letter from PennDOT recently that does not mean that they will not be subject to a future monthly PennDOT audit.

Required Timeframes for Submission

PennDOT’s audits of online providers focuses on ensuring that all paperwork is transmitted to PennDOT according to their timelines. In order to meet the PennDOT deadline, Dealertrack customers should submit documents to be scanned at PAA as follows:

For dealers:

- transaction paperwork for titling transactions (class A) must be submitted by the 16th calendar day from date of sale;

- transaction paperwork for all other transactions (class B, such as in-transit tags and renewals) must be submitted within 4 calendar days after processing.

For tag & title agents, transaction paperwork must be submitted within 4 calendar days after processing.

Review agent and online provider contracts for specific requirements.

When a deal is processed online by a dealer/agent, the processing agent is required to have the deal completed in its entirety before processing.

A deal is considered 100% complete when the following items are done:

You must have the MCO or title in hand and all assignments completed before processing the transaction online.

MV-1 or MV-4ST must be completed in full, if transaction is not processed same day as purchase date.

Copy of the front and back of driver license(s) or photo ID(s) are present. Secure Power of Attorney (SPOA) or POA should be attached if applicable.

All other applicable PennDOT forms are completed in full for that deal, including Drivers License Verifications (if that system is currently active).

Not having the deal 100% complete before submission, could result in an audit or suspension.

Common Audit Findings

In addition, recent audits have highlighted recurring issues that PennDOT agents should beware when processing work, either online or manual.

1.       Files are not properly organized.

2.       Temporary registration permits (window permits) are not properly retained.

3.       Yellow copies of the application or applicant summary are retained without copies of supporting documents.

4.       Incomplete paperwork.

5.       Employee training/affidavits not completed.

6.       Unauthorized personnel at locations completing paperwork.

7.       Acceptance of a non-PA driver’s license or ID, fraudulent ID or no ID being used to complete PennDOT paperwork.

8.       Vehicle identification number (VIN) verifications not being performed.

9.       Paperwork not submitted in required timeframes.

10.   Online inquiry authorizations not being completed - MV-753.

11.   Online Applicant and/or Amended Summary is not signed.

12.   DLDV not performed or printout not included.