Ministry of Transport created new governmental institution called Road Traffic Safety Department - now directorate (CSDD) - on October 25, 1991. Thus the legislative power was separated from the executive power because until then everything was managed by one of institutions of Ministry of Interior - State Vehicle Inspection.
The first step was creation of legal basis. That was done on August 30, 1994, when Regulation “On Road Traffic” was adopted, but later, on October 21, 1997, the President passed the Law “On Road Traffic”. It stipulated which bodies are responsible for general management of road traffic, issuing of driver’s licenses, registration of vehicles, drafts Traffic Rules, as well as sets rights and obligations of drivers.
Numerous legal acts have been adopted on the basis of Law “On Road Traffic” regulating setup of working areas on the roads and streets, technical supervision of vehicles, registration of vehicles, qualification of drivers, also standards of Latvia for road signs, marking of vehicles, colors and equipment of operational vehicles, road marking, and others.
As Latvia has adhered to 1968 Vienna Convention “On Road Traffic” and 1968 Vienna Convention “On Road Signs and Signals” all above mentioned legal acts are based on the provisions of these Conventions and requirements of the European Union.
Since June 5, 1997, CSDD is non-profit state stock company and in accordance with the Statutes deals with the registration of vehicles, examination of drivers and issuing of driver’s licenses, periodic technical inspection, supervision of roads and maintaining of the State Register of Vehicles and Drivers.
On September 1, 2004, CSDD is state stock company.