The N.C. Division of Motor Vehicles (NCDMV) has announced the selection of Kyndryl for its System Modernization initiative following a competitive Request for Proposal (RFP) that was released in August. The award represents a significant step forward in transforming NCDMV into an exceptional customer service organization, delivering faster, more efficient, and accessible services to North Carolinians.

"North Carolinians deserve a modern, efficient DMV that makes essential services easier and faster," said NCDMV Commissioner Paul Tine in a press release. "I'm excited for the future of our agency with this partnership. This was the best deal for taxpayers, and I'm confident NCMAX will deliver a significantly better experience for both our customers and our dedicated staff."

The RFP was structured as an outcome-based procurement, prioritizing measurable results over rigid technical specifications. It aligned vendor proposals with NCDMV's strategic goals, including reducing customer wait times, expanding online services, improving in-office workflows, increasing staff efficiency, enhancing data and transaction accuracy and accelerating system change implementation.

Fourteen vendors submitted proposals and after a thorough evaluation, NCDMV selected Kyndryl's NCMAX solution which balances proven technology with customization and builds on the “MAX” platform originally developed for the Arizona Motor Vehicle Division and implemented in Wyoming, with a deployment underway in Virginia. States using MAX platforms own the software, host independently, collaborate on development, and share code improvements.

NCMAX will replace a set of five legacy COBOL-based systems that NCDMV has operated on since the early 1990s. The new system will be a unified, cloud-native platform hosted on Microsoft Azure, integrating driver services, vehicle services, motor carrier/IRP, insurance verification, compliance, and financial operations into a single modern system.

The contract totals $84.8 million, including implementation, training, and data migration. A $5 million Microsoft credit reduces North Carolina’s net cost to $79.8 million.

Payments are tied to both operational milestones and achieved outcomes. Kyndryl and NCDMV both share the pain of missed deadlines and the reward of reaching goals.

Key outcomes include:

• Unified customer record with improved accuracy
• Reduced wait times and expanded online services
• Streamlined staff workflows and modern interface
• Higher transaction accuracy and real-time processing
• Advanced reporting, stronger security, and faster changes

Additional deliverables include embedded translation services, a mobile driver license app for proactive customer engagement, target averages of 15-minute wait times and 12-minute driver transactions, 70% of allowable driver transactions and 90% of vehicle transactions available online and six-week staff onboarding.