Text: HSB00540                          Text: HSB00542
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Bills and Amendments: General Index     Bill History: General Index



House Study Bill 541

Bill Text

PAG LIN
  1  1    Section 1.  Section 321.15, Code 2003, is amended to read
  1  2 as follows:
  1  3    321.15  PUBLICATION OF LAW.
  1  4    The department shall issue, in pamphlet or electronic form,
  1  5 such parts of this chapter in pamphlet form, together with
  1  6 such rules, instructions, and explanatory matter as may seem
  1  7 advisable.  Copies of such pamphlet Such information shall be
  1  8 given as wide distribution distributed as determined by the
  1  9 department shall determine and a supply shall be furnished to
  1 10 each county treasurer.
  1 11    Sec. 2.  Section 321.20, Code Supplement 2003, is amended
  1 12 to read as follows:
  1 13    321.20  APPLICATION FOR REGISTRATION AND CERTIFICATE OF
  1 14 TITLE.
  1 15    Except as provided in this chapter, an owner of a vehicle
  1 16 subject to registration shall make application to the county
  1 17 treasurer, of the county of the owner's residence, or if a
  1 18 nonresident, to the county treasurer of the county where the
  1 19 primary users of the vehicle are located, or if a lessor of
  1 20 the vehicle pursuant to chapter 321F which vehicle has a gross
  1 21 vehicle weight of less than ten thousand pounds, to the county
  1 22 treasurer of the county of the lessee's residence, for the
  1 23 registration and issuance of a certificate of title for the
  1 24 vehicle upon the appropriate form furnished by the department.
  1 25 However, upon the transfer of ownership, the owner of a
  1 26 vehicle subject to the proportional registration provisions of
  1 27 chapter 326 shall make application for registration and
  1 28 issuance of a certificate of title to either the department or
  1 29 the appropriate county treasurer.  The application shall be
  1 30 accompanied by a fee of ten dollars, and shall bear the
  1 31 owner's signature written with pen and ink.  A nonresident
  1 32 owner of two or more vehicles subject to registration may make
  1 33 application for registration and issuance of a certificate of
  1 34 title for all vehicles subject to registration to the county
  1 35 treasurer of the county where the primary user of any of the
  2  1 vehicles is located.  The owner of a mobile home or of a
  2  2 manufactured home shall make application for a certificate of
  2  3 title under this section.  The application shall contain:
  2  4    1.  The full legal name; social security number or, if the
  2  5 owner does not have a social security number but has a
  2  6 passport, the passport number; Iowa driver's license number,
  2  7 whether the license was issued by this state, another state,
  2  8 another country, or is an international driver's license or
  2  9 Iowa nonoperator's identification card number; date of birth;
  2 10 bona fide residence; and mailing address of the owner and of
  2 11 the lessee if the vehicle is being leased.  If the owner or
  2 12 lessee is a firm, association, or corporation, the application
  2 13 shall contain the bona fide business address and federal
  2 14 employer identification number of the owner or lessee.  Up to
  2 15 three owners' names may be listed on the application.
  2 16 Information relating to the lessee of a vehicle shall not be
  2 17 required on an application for registration and a certificate
  2 18 of title for a vehicle with a gross vehicle weight rating of
  2 19 ten thousand pounds or more.
  2 20    2.  A description of the vehicle including, insofar as the
  2 21 specified data may exist with respect to a given vehicle, the
  2 22 make, model, type of body, the number of cylinders, the type
  2 23 of motor fuel used, the serial number of the vehicle,
  2 24 manufacturer's vehicle identification number, the engine or
  2 25 other assigned number, of the vehicle and whether new or used
  2 26 and, if a new vehicle, the date of sale by the manufacturer or
  2 27 dealer to the person intending to operate such the vehicle.
  2 28 If the vehicle is a new low-speed vehicle, the manufacturer's
  2 29 or importer's certificate required to accompany the
  2 30 application under subsection 4 shall certify that the vehicle
  2 31 was manufactured in compliance with the national highway and
  2 32 traffic safety administration standards for low-speed vehicles
  2 33 in 49 C.F.R.  } 571.500.
  2 34    3.  Such further information as may reasonably be required
  2 35 by the department.
  3  1    4.  A statement of the applicant's title and of all liens
  3  2 or encumbrances upon said the vehicle and the names and bona
  3  3 fide addresses of all persons having any interest therein in
  3  4 the vehicle and the nature of every such interest.  When such
  3  5 the application refers to a new vehicle, it shall be
  3  6 accompanied by a manufacturer's or importer's certificate duly
  3  7 assigned as provided in section 321.45.
  3  8    5.  The amount of tax to be paid under section 423.7.
  3  9    6.  If the vehicle is owned by a nonresident but is subject
  3 10 to issuance of an Iowa certificate of title or registration,
  3 11 the application shall also contain the full legal name; social
  3 12 security number, or, if the primary user does not have a
  3 13 social security number but has a passport, the passport
  3 14 number;, Iowa driver's license number, whether the license was
  3 15 issued by this state, another state, another country, or is an
  3 16 international driver's license; or Iowa nonoperator's
  3 17 identification card number, date of birth;, bona fide
  3 18 residence;, and mailing address of the primary user of the
  3 19 vehicle.  If the primary user is a firm, association, or
  3 20 corporation, the application shall contain the bona fide
  3 21 business address and federal employer identification number of
  3 22 the primary user.  The primary user's name and address shall
  3 23 not be printed on the registration receipt or the certificate
  3 24 of title.
  3 25    Notwithstanding contrary provisions of this chapter or
  3 26 chapter 326 regarding titling and registration by means other
  3 27 than electronic means, the department may develop and
  3 28 implement a program to test the feasibility of allow for
  3 29 electronic applications, titling, registering, and electronic
  3 30 funds transfer for vehicles traveling in interstate commerce
  3 31 subject to registration in order to improve the efficiency and
  3 32 timeliness of the processes and to reduce costs for all
  3 33 parties involved.
  3 34    The department shall adopt rules on the method for
  3 35 providing signatures for applications made by electronic
  4  1 means.
  4  2    Sec. 3.  Section 321.20A, subsection 1, Code 2003, is
  4  3 amended to read as follows:
  4  4    1.  Notwithstanding other provisions of this chapter, the
  4  5 owner of a commercial vehicle subject to the proportional
  4  6 registration provisions of chapter 326 may make application to
  4  7 the department or the appropriate county treasurer for a
  4  8 certificate of title.  The application for certificate of
  4  9 title shall be made within thirty days of purchase or transfer
  4 10 and shall be accompanied by a ten dollar title fee and the
  4 11 appropriate use tax.  The department or the county treasurer
  4 12 shall deliver the certificate of title to the owner if there
  4 13 is no security interest or encumbrance appears on the
  4 14 certificate or to the person holding the first security
  4 15 interest or encumbrance shown on the certificate of title.  If
  4 16 there is a security interest, the title, when issued, shall be
  4 17 delivered to the first secured party.  Delivery may be made
  4 18 using electronic means.
  4 19    Sec. 4.  Section 321.24, subsections 3, 7, 8, and 11, Code
  4 20 Supplement 2003, are amended to read as follows:
  4 21    3.  The certificate of title shall contain upon its face
  4 22 the identical information required upon the face of the
  4 23 registration receipt.  In addition, the certificate of title
  4 24 shall contain a statement of the owner's title, the title
  4 25 number assigned to the owner or owners of the vehicle, the
  4 26 amount of tax paid pursuant to section 423.7, the name and
  4 27 address of the previous owner, and a statement of all security
  4 28 interests and encumbrances as shown in the application, upon
  4 29 the vehicle described, including the nature of the security
  4 30 interest, date of notation delivery, and name and address of
  4 31 the secured party.
  4 32    7.  The certificate shall bear the seal contain the name of
  4 33 the county treasurer or of the department, and, if the
  4 34 certificate of title is printed, the signature of the county
  4 35 treasurer, the deputy county treasurer, or the department
  5  1 director or deputy designee.  The certificate of title shall
  5  2 contain upon the reverse side a form for assignment of title
  5  3 or interest and warranty by the owner, for reassignments by a
  5  4 dealer licensed in this state or in another state if the state
  5  5 in which the dealer is licensed permits Iowa licensed dealers
  5  6 to similarly reassign certificates of title.  Attached to the
  5  7 certificate of title shall be an application for a new
  5  8 certificate of title by the transferee as provided in this
  5  9 chapter.  However, titles for mobile homes or manufactured
  5 10 homes shall not be reassigned by licensed dealers.  All
  5 11 certificates of title shall be typewritten or printed by other
  5 12 mechanical means.  Notwithstanding section 321.1, subsection
  5 13 17, as used in this paragraph "dealer" means every person
  5 14 engaged in the business of buying, selling, or exchanging
  5 15 vehicles of a type required to be registered under this
  5 16 chapter.
  5 17    8.  The original certificate of title shall be delivered to
  5 18 the owner if there is no security interest or encumbrance
  5 19 appears on the certificate.  Otherwise the certificate of
  5 20 title shall be delivered by the county treasurer or the
  5 21 department to the person holding the first security interest
  5 22 or encumbrance as shown in the certificate.  Delivery may be
  5 23 made using electronic means.
  5 24    11.  If the county treasurer or department is not satisfied
  5 25 as to the ownership of the vehicle or that there are no
  5 26 undisclosed security interests in it, or a junking certificate
  5 27 has been issued for the vehicle but a certificate of title
  5 28 will not be reissued under section 321.52, subsection 3, and
  5 29 the vehicle qualifies as an antique vehicle under section
  5 30 321.115, subsection 1, the county treasurer or department may
  5 31 register the vehicle but shall, as a condition of issuing a
  5 32 certificate of title and registration receipt, require the
  5 33 applicant to file with the department a bond in the form
  5 34 prescribed by the department and executed by the applicant,
  5 35 and either accompanied by the deposit of cash with the
  6  1 department or also executed by a person authorized to conduct
  6  2 a surety business in this state.  The bond shall be in an
  6  3 amount equal to one and one-half times the current value of
  6  4 the vehicle as determined by the department and conditioned to
  6  5 indemnify any prior owner and secured party and any subsequent
  6  6 purchaser of the vehicle or person acquiring any security
  6  7 interest in it, and their respective successors in interest,
  6  8 against any expense, loss, or damage, including reasonable
  6  9 attorney's fees, by reason of the issuance of the certificate
  6 10 of title of the vehicle or on account of any defect in or
  6 11 undisclosed security interest upon the right, title and
  6 12 interest of the applicant in and to the vehicle.  Any such
  6 13 interested person has a right of action to recover on the bond
  6 14 for any breach of its conditions, but the aggregate liability
  6 15 of the surety to all persons shall not exceed the amount of
  6 16 the bond.  The bond, and any deposit accompanying it, shall be
  6 17 returned at the end of three years or prior thereto if the
  6 18 vehicle is no longer registered in this state and the
  6 19 currently valid certificate of title is surrendered to the
  6 20 department, unless the department has been notified of the
  6 21 pendency of an action to recover on the bond.  The department
  6 22 may authorize issuance of a certificate of title as provided
  6 23 in this subsection for a vehicle with an unreleased security
  6 24 interest upon presentation of satisfactory evidence that the
  6 25 security interest has been extinguished and the holder of the
  6 26 security interest cannot be located to release the security
  6 27 interest as provided in section 321.50.
  6 28    Sec. 5.  Section 321.31, subsection 2, unnumbered paragraph
  6 29 1, Code Supplement 2003, is amended to read as follows:
  6 30    Each county treasurer's office shall maintain a county
  6 31 records system for vehicle registration and certificate of
  6 32 title documents.  The records system shall consist of
  6 33 information from the certificate of title, including the
  6 34 notation date of delivery and cancellation of security
  6 35 interests, and information from the registration receipt.  The
  7  1 information shall be maintained in a manner approved by the
  7  2 department.
  7  3    Sec. 6.  Section 321.34, subsection 11, paragraph d, Code
  7  4 Supplement 2003, is amended to read as follows:
  7  5    d.  Upon receipt of the special registration plates, the
  7  6 applicant shall surrender the current registration receipt and
  7  7 plates to the county treasurer.  The county treasurer shall
  7  8 validate the special registration plates in the same manner as
  7  9 regular registration plates are validated under this section.
  7 10 The annual special natural resources fee for letter number
  7 11 designated plates is ten dollars which shall be paid in
  7 12 addition to the regular annual registration fee.  The annual
  7 13 fee for personalized natural resources plates is five dollars
  7 14 which shall be paid in addition to the annual special natural
  7 15 resources fee and the regular annual registration fee.  The
  7 16 annual special natural resources fee shall be credited as
  7 17 provided under paragraph "c".
  7 18    Sec. 7.  Section 321.34, subsection 11A, paragraph d, Code
  7 19 Supplement 2003, is amended to read as follows:
  7 20    d.  Upon receipt of the special registration plates, the
  7 21 applicant shall surrender the current registration receipt and
  7 22 plates to the county treasurer.  The county treasurer shall
  7 23 validate the special registration plates in the same manner as
  7 24 regular registration plates are validated under this section.
  7 25 The annual special love our kids fee for letter number
  7 26 designated plates is ten dollars, which shall be paid in
  7 27 addition to the regular annual registration fee.  The annual
  7 28 fee for personalized love our kids plates is five dollars,
  7 29 which shall be paid in addition to the annual special love our
  7 30 kids fee and the regular annual registration fee.  The annual
  7 31 love our kids fee shall be credited as provided under
  7 32 paragraph "c".
  7 33    Sec. 8.  Section 321.34, subsection 11B, paragraph d, Code
  7 34 Supplement 2003, is amended to read as follows:
  7 35    d.  Upon receipt of the special registration plates, the
  8  1 applicant shall surrender the current registration receipt and
  8  2 plates to the county treasurer.  The county treasurer shall
  8  3 validate the special registration plates in the same manner as
  8  4 regular registration plates are validated under this section.
  8  5 The annual special motorcycle rider education fee for letter
  8  6 number designated plates is ten dollars, which shall be paid
  8  7 in addition to the regular annual registration fee.  The
  8  8 annual fee for personalized motorcycle rider education plates
  8  9 is five dollars, which shall be paid in addition to the annual
  8 10 special motorcycle rider education fee and the regular annual
  8 11 registration fee.  The annual motorcycle rider education fee
  8 12 shall be credited as provided under paragraph "c".
  8 13    Sec. 9.  Section 321.34, subsection 23, paragraph d, Code
  8 14 Supplement 2003, is amended to read as follows:
  8 15    d.  Upon receipt of the special registration plates, the
  8 16 applicant shall surrender the current registration receipt and
  8 17 plates to the county treasurer.  The county treasurer shall
  8 18 validate the special registration plates in the same manner as
  8 19 regular registration plates are validated under this section.
  8 20 The annual special breast cancer awareness fee for letter
  8 21 number designated plates is ten dollars, which shall be paid
  8 22 in addition to the regular annual registration fee.  The
  8 23 annual special fee for personalized breast cancer awareness
  8 24 plates is five dollars, which shall be paid in addition to the
  8 25 annual special breast cancer awareness fee and the regular
  8 26 annual registration fee.  The annual special breast cancer
  8 27 awareness fee shall be credited and transferred as provided
  8 28 under paragraph "c".
  8 29    Sec. 10.  Section 321.42, subsection 2, paragraph b, Code
  8 30 2003, is amended to read as follows:
  8 31    b.  After five days, the department or county treasurer
  8 32 shall issue a replacement copy to using the applicant at the
  8 33 applicant's most recent bona fide address,; however, the five-
  8 34 day waiting period does not apply to an applicant who has
  8 35 surrendered the original certificate of title to the
  9  1 department or county treasurer.  The replacement copy shall be
  9  2 clearly marked "replacement" and shall include notation of
  9  3 security interests and liens or encumbrances.  When a
  9  4 replacement copy has been issued, the previous certificate is
  9  5 void.  The department or county treasurer is not authorized to
  9  6 refund fees collected for a replacement title under this
  9  7 section or section 321.52A.
  9  8    Sec. 11.  Section 321.45, subsection 2, paragraph a, Code
  9  9 Supplement 2003, is amended to read as follows:
  9 10    a.  The perfection of a lien or security interest by
  9 11 notation on the certificate of title as provided in section
  9 12 321.50, or
  9 13    Sec. 12.  Section 321.46, subsection 1, Code 2003, is
  9 14 amended to read as follows:
  9 15    1.  The transferee shall, within thirty calendar days after
  9 16 purchase or transfer, apply for and obtain from the county
  9 17 treasurer of the person's residence, or, if a nonresident, the
  9 18 county treasurer of the county where the primary users of the
  9 19 vehicle are located or the county where all other vehicles
  9 20 owned by the nonresident are registered, a new registration
  9 21 and a new certificate of title for the vehicle except as
  9 22 provided in section 321.25, 321.48, or 322G.12.  The
  9 23 transferee shall present with the application the certificate
  9 24 of title endorsed and assigned by the previous owner and shall
  9 25 indicate the name of the county in which the vehicle was last
  9 26 registered and the registration expiration date.  Unless the
  9 27 transferee is a manufacturer obtaining a new certificate of
  9 28 title pursuant to section 322G.12, the transferee shall be
  9 29 required to list a driver's license number.
  9 30    Sec. 13.  Section 321.46, subsection 3, paragraph f, Code
  9 31 2003, is amended by striking the paragraph.
  9 32    Sec. 14.  Section 321.50, subsections 1 through 4, Code
  9 33 Supplement 2003, are amended the read as follows:
  9 34    1.  A security interest in a vehicle subject to
  9 35 registration under the laws of this state or a mobile home or
 10  1 manufactured home, except trailers whose empty weight is two
 10  2 thousand pounds or less, and except new or used vehicles held
 10  3 by a dealer or manufacturer as inventory for sale, is
 10  4 perfected by the delivery to the county treasurer of the
 10  5 county where the certificate of title was issued or, in the
 10  6 case of a new certificate, to the county treasurer where the
 10  7 certificate will be issued, of an application for certificate
 10  8 of title which lists the security interest, or an application
 10  9 for notation of security interest signed by the owner, or by
 10 10 one owner of a vehicle owned jointly by more than one person,
 10 11 or signed through electronic means as determined by the
 10 12 department, or a certificate of title from another
 10 13 jurisdiction which shows the security interest, and payment of
 10 14 a fee of five dollars for each security interest shown.  The
 10 15 department shall require the federal employer identification
 10 16 number of a secured party who is a firm, association, or
 10 17 corporation or, if a natural person, the social security
 10 18 number.  Upon delivery of the application and payment of the
 10 19 fee, the county treasurer shall note the date of delivery on
 10 20 the application.  The date of delivery shall be the date of
 10 21 perfection of the security interest in the vehicle, regardless
 10 22 of the date the security interest is noted on the certificate
 10 23 of title.  Up to three security interests may be perfected
 10 24 against a vehicle and shown on an Iowa certificate of title.
 10 25 If the owner or secured party is in possession of the
 10 26 certificate of title, it must also be delivered at this time
 10 27 in order to perfect the security interest.  If a vehicle is
 10 28 subject to a security interest when brought into this state,
 10 29 the validity of the security interest and the date of
 10 30 perfection is determined by section 554.9303.  Delivery as
 10 31 provided in this subsection is an indication constitutes
 10 32 perfection of a security interest on a certificate of title
 10 33 for purposes of this chapter and chapter 554.
 10 34    2.  Upon receipt of the application and the required fee,
 10 35 if the certificate of title was not delivered to the county
 11  1 treasurer along with the application, the county treasurer
 11  2 shall notify the holder of the certificate of title to deliver
 11  3 to the county treasurer, within five days from the receipt of
 11  4 notice, the certificate of title to permit notation of the
 11  5 security interest.  If the holder of the certificate of title
 11  6 shall fail fails to deliver it within the said five days, the
 11  7 holder shall be liable to anyone harmed by the holder's
 11  8 failure.
 11  9    3.  Upon receipt of the application, the certificate of
 11 10 title, if any, and the required fee, the county treasurer
 11 11 shall note such the security interest, and the date thereof,
 11 12 of delivery of the security interest on the certificate over
 11 13 the signature of such officer or deputy and the seal of office
 11 14 of title.  The county treasurer shall also note such the
 11 15 security interest and the date thereof of delivery of the
 11 16 security interest in the county records system.  Upon receipt
 11 17 of a certificate of title issued by a foreign jurisdiction, on
 11 18 which a security interest has been noted, the county treasurer
 11 19 shall note the security interest and the date the security
 11 20 interest was noted on the foreign certificate of title, if
 11 21 available, or if not, the date of issuance of the foreign
 11 22 certificate of title, on the face of the new certificate of
 11 23 title.  The county treasurer shall also note the security
 11 24 interest and the date that was noted on the certificate of
 11 25 title in the county records system.  The county treasurer
 11 26 shall then mail deliver the certificate of title to the first
 11 27 secured party as shown thereon.
 11 28    3A.  Notwithstanding any provision of this section to the
 11 29 contrary, if a security interest has been delivered by
 11 30 electronic means, the county treasurer or department shall not
 11 31 print a certificate of title until all security interests have
 11 32 been released, but shall provide the first security interest
 11 33 holder with an electronic record of the certificate of title.
 11 34 When a vehicle is subject to an electronic lien, the
 11 35 certificate of title for the vehicle shall be considered to be
 12  1 physically held by the lienholder for purposes of compliance
 12  2 with odometer disclosure requirements under section 321.71.
 12  3    4.  a.  When a security interest is discharged, the holder
 12  4 shall note a cancellation of same the security interest on the
 12  5 face of the certificate of title over the holder's signature,
 12  6 and deliver the certificate of title to the county treasurer
 12  7 where the title was issued.  In the case of a security
 12  8 interest that has been delivered by electronic means, the
 12  9 holder shall notify the department or the county treasurer, in
 12 10 a manner prescribed by the department, of the release of the
 12 11 security interest.  The county treasurer shall immediately
 12 12 note the cancellation of the security interest on the face of
 12 13 the certificate of title, if applicable, and in the county
 12 14 records system.  The county treasurer shall on the same day
 12 15 deliver the certificate of title, if applicable, to the then
 12 16 first secured party or, if there is no such person, to the
 12 17 person as directed by the owner, in writing, on a form
 12 18 prescribed by the department or, if there is no person
 12 19 designated, then to the owner.  The cancellation of the
 12 20 security interest shall be noted on the certificate of title
 12 21 by the county treasurer without charge.  The holder of a
 12 22 security interest discharged by payment who fails to release
 12 23 the security interest within fifteen days after being
 12 24 requested in writing to do so shall forfeit to the person
 12 25 making the payment the sum of twenty-five dollars.
 12 26    b.  If a lien has been released by the lienholder but has
 12 27 not been sent to the county of record for clearance of the
 12 28 lien, any county may note the release on the face of the title
 12 29 and shall notify the county of record that the lien has been
 12 30 released as of the specified date, and shall make entry upon
 12 31 the computer system.  Notification to the county of record
 12 32 shall be made by an automated statewide system, or by sending
 12 33 a photocopy of the released title to the county of record.
 12 34    c.  When a security interest is discharged, the lienholder
 12 35 shall note the cancellation of the security interest on the
 13  1 face of the title and, if applicable, may note the
 13  2 cancellation of the security interest on a form prescribed by
 13  3 the department and deliver a copy of the form in lieu of the
 13  4 title to the department or to the treasurer of the county in
 13  5 which the title was issued.  The form may be delivered by
 13  6 electronic means.  The department or county treasurer shall
 13  7 note the release of the security interest upon the statewide
 13  8 computer system and the county's records.  A copy of the form,
 13  9 if used, shall be attached to the title by the lienholder, if
 13 10 the title is held by the lienholder, and shall be evidence of
 13 11 the release of the security interest.  The If the title is
 13 12 held by the lienholder, the lienholder shall deliver the title
 13 13 to the first lienholder, or if there is no such person, to the
 13 14 person as designated by the owner, or if there is no such
 13 15 person designated, to the owner.  If a certificate of title
 13 16 has not been issued, upon release of a security interest, the
 13 17 lienholder shall notify the department or the county
 13 18 treasurer, in a manner prescribed by the department, of the
 13 19 release of the security interest.
 13 20    Sec. 15.  Section 321.50, subsection 6, unnumbered
 13 21 paragraph 2, Code Supplement 2003, is amended to read as
 13 22 follows:
 13 23    This subsection is repealed effective July 1, 2004 January
 13 24 1, 2005.
 13 25    Sec. 16.  Section 321.50, subsection 7, Code Supplement
 13 26 2003, is amended to read as follows:
 13 27    7.  Upon request of any person, the county treasurer shall
 13 28 issue a certificate showing certify whether there are, on the
 13 29 date and hour stated therein, any security interests noted on
 13 30 a particular vehicle's certificate of title, or liens against
 13 31 a vehicle and the name and address of each secured party whose
 13 32 security interest is noted thereon.  The uniform fee for a
 13 33 written certificate certification shall be two dollars if the
 13 34 request for the certificate certification is on a form
 13 35 conforming to standards prescribed by the secretary of state;
 14  1 otherwise, three dollars.  Upon request and payment of the
 14  2 appropriate fee, the county treasurer shall furnish a
 14  3 certified copy of any security interest notations interests
 14  4 for a uniform fee of one dollar per page.
 14  5    Sec. 17.  Section 321.74, Code 2003, is amended to read as
 14  6 follows:
 14  7    321.74  ACTION BY DEPARTMENT.
 14  8    The department, upon receiving a report of a stolen or
 14  9 embezzled vehicle as hereinbefore provided in section 321.72
 14 10 or 321.73 or through the national motor vehicle title
 14 11 information system, shall file and appropriately index the
 14 12 same and shall immediately suspend the registration of the
 14 13 vehicle so reported and shall not transfer the certificate of
 14 14 title or registration of the same vehicle until such time as
 14 15 it the department is notified in writing that such the vehicle
 14 16 has been recovered.
 14 17    Sec. 18.  Section 321.101, subsection 2, Code 2003, is
 14 18 amended to read as follows:
 14 19    2.  The department shall cancel a certificate of title that
 14 20 appears to have been improperly issued or fraudulently
 14 21 obtained or, in the case of a mobile home or manufactured
 14 22 home, if taxes were owing under chapter 435 at the time the
 14 23 certificate was issued and have not been paid.  However,
 14 24 before the certificate to a mobile home or manufactured home
 14 25 for which taxes were owing can be canceled, notice and
 14 26 opportunity to pay the taxes must be given to the person to
 14 27 whom the certificate was issued.  Upon cancellation of any a
 14 28 certificate of title, the department shall notify the county
 14 29 treasurer who issued it, who shall enter the cancellation upon
 14 30 the records.  The department shall also notify the person to
 14 31 whom the certificate of title was issued, as well as any
 14 32 lienholders appearing on the certificate of title each
 14 33 lienholder who has a perfected lien, of the cancellation and
 14 34 shall demand the surrender of the certificate of title, but
 14 35 the cancellation shall not affect the validity of any lien
 15  1 noted on the certificate of title perfected lien.
 15  2    Sec. 19.  Section 321.109, subsection 1, unnumbered
 15  3 paragraph 1, Code 2003, is amended to read as follows:
 15  4    The annual fee for all motor vehicles including vehicles
 15  5 designated by manufacturers as station wagons, and 1993 and
 15  6 subsequent model years for multipurpose vehicles, except motor
 15  7 trucks, motor homes, ambulances, hearses, motorcycles, motor
 15  8 bicycles, and 1992 and older model years for multipurpose
 15  9 vehicles, shall be equal to one percent of the value as fixed
 15 10 by the department plus forty cents for each one hundred pounds
 15 11 or fraction thereof of weight of vehicle, as fixed by the
 15 12 department.  The weight of a motor vehicle, fixed by the
 15 13 department for registration purposes, shall include the weight
 15 14 of a battery, heater, bumpers, spare tire, and wheel.
 15 15 Provided, however, that for any new vehicle purchased in this
 15 16 state by a nonresident for removal to the nonresident's state
 15 17 of residence the purchaser may make application to the county
 15 18 treasurer in the county of purchase for a transit plate for
 15 19 which a fee of ten dollars shall be paid.  And provided,
 15 20 however, that for any used vehicle held by a registered dealer
 15 21 and not currently registered in this state, or for any vehicle
 15 22 held by an individual and currently registered in this state,
 15 23 when purchased in this state by a nonresident for removal to
 15 24 the nonresident's state of residence, the purchaser may make
 15 25 application to the county treasurer in the county of purchase
 15 26 for a transit plate for which a fee of three dollars shall be
 15 27 paid.  The county treasurer shall issue a nontransferable
 15 28 certificate of registration for which no refund shall be
 15 29 allowed; and the transit plates shall be void thirty days
 15 30 after issuance.  Such purchaser may apply for a certificate of
 15 31 title by surrendering the manufacturer's or importer's
 15 32 certificate or certificate of title, duly assigned as provided
 15 33 in this chapter.  In this event, the treasurer in the county
 15 34 of purchase shall, when satisfied with the genuineness and
 15 35 regularity of the application, and upon payment of a fee of
 16  1 ten dollars, issue a certificate of title in the name and
 16  2 address of the nonresident purchaser delivering the same to
 16  3 the person entitled to the title as provided in this chapter.
 16  4 The application requirements of section 321.20 apply to a
 16  5 title issued as provided in this subsection, except that a
 16  6 natural person who applies for a certificate of title shall
 16  7 provide either the person's social security number, passport
 16  8 number, or driver's license number, whether the license was
 16  9 issued by this state, another state, or another country.  The
 16 10 provisions of this subsection relating to multipurpose
 16 11 vehicles are effective January 1, 1993, for all 1993 and
 16 12 subsequent model years.  The annual registration fee for
 16 13 multipurpose vehicles that are 1992 model years and older
 16 14 shall be in accordance with section 321.124.
 16 15    Sec. 20.  Section 321.126, subsection 6, paragraph b, Code
 16 16 2003, is amended by striking the paragraph.
 16 17    Sec. 21.  Section 321.131, Code 2003, is amended to read as
 16 18 follows:
 16 19    321.131  LIEN OF FEE.
 16 20    All registration or other fees provided for in this chapter
 16 21 shall be and continue constitute a lien against the vehicle
 16 22 for which said the fees are payable unless otherwise provided
 16 23 in this section until such time as they are paid as provided
 16 24 by law, with any accrued penalties.  The county treasurer may
 16 25 perfect a security interest in a vehicle for the amount of
 16 26 such fees by noting the lien upon the certificate of title for
 16 27 the vehicle as provided in section 321.50.  If the lien is not
 16 28 perfected as provided in this section, the lien shall not be
 16 29 valid against a bona fide purchaser of the vehicle without
 16 30 actual notice to the purchaser.
 16 31    Sec. 22.  Section 321.134, Code 2003, is amended by adding
 16 32 the following new subsection:
 16 33    NEW SUBSECTION.  5.  The department shall waive the
 16 34 penalties imposed by this section for an owner who is in the
 16 35 military service of the United States and who has been
 17  1 relocated in a time of war on or after September 11, 2001.
 17  2 The department shall adopt rules to implement this subsection,
 17  3 including, if necessary, procedures for refunding penalties
 17  4 collected prior to the effective date of this Act.
 17  5    Sec. 23.  Section 321.149, Code Supplement 2003, is amended
 17  6 to read as follows:
 17  7    321.149  BLANKS SUPPLIES.
 17  8    The department shall not later than November 15 of each
 17  9 year prepare and furnish to the treasurer of each county all
 17 10 blank books, blank forms, and all supplies required for the
 17 11 administration of this chapter, including applications for
 17 12 registration and transfer of vehicles, quintuple receipts, and
 17 13 original remittance sheets to be used in remitting fees to the
 17 14 department, in such form as the department may prescribe.
 17 15 Contracts for the blank books, blank forms, and supplies shall
 17 16 be awarded by the director of the department of administrative
 17 17 services to persons, firms, partnerships, or corporations
 17 18 engaged in the business of printing in Iowa unless, or through
 17 19 them, the persons, firms, partnerships, or corporations cannot
 17 20 provide the required printing set forth in this section.  In
 17 21 lieu of purchasing under competitive bids, the director of the
 17 22 department of administrative services shall have authority to
 17 23 arrange with the director of the department of corrections to
 17 24 furnish the supplies as can be made in the state institutions.
 17 25    Sec. 24.  Section 321.152, subsection 4, Code 2003, is
 17 26 amended to read as follows:
 17 27    4.  Sixty percent of all fees collected for notation
 17 28 perfection of security interests.
 17 29    Sec. 25.  Section 321.153, unnumbered paragraph 1, Code
 17 30 2003, is amended to read as follows:
 17 31    The county treasurer on the tenth day of each month shall
 17 32 certify under county seal to the department, on forms
 17 33 furnished by it, a full and complete statement of all fees and
 17 34 penalties received by the county treasurer during the
 17 35 preceding calendar month and shall remit all moneys not
 18  1 retained for deposit under section 321.152 to the treasurer of
 18  2 state.
 18  3    Sec. 26.  Section 321.160, Code 2003, is amended to read as
 18  4 follows:
 18  5    321.160  DEPARTMENT TO PREPARE MAINTAIN STATEMENT.
 18  6    The department shall prepare, annually, maintain a
 18  7 statement showing all the different makes and models of motor
 18  8 vehicles previously registered in the department, and all the
 18  9 different makes and models of motor vehicles, statements of
 18 10 which have been filed in the office by the manufacturers as
 18 11 heretofore provided in section 321.157, together with the
 18 12 retail list price and weight of the same vehicles.
 18 13    Copies of the statement shall be furnished to each county
 18 14 treasurer and additional copies may be sold by the department
 18 15 to other persons, at a price to be set by the department,
 18 16 covering the approximate cost of same the copies and service
 18 17 involved.  Copies of the statement required by this section
 18 18 may be provided electronically.  All funds received shall be
 18 19 forwarded by the department to the treasurer of state.
 18 20    Sec. 27.  Section 321J.1A, subsection 2, Code 2003, is
 18 21 amended to read as follows:
 18 22    2.  The department shall publish pamphlets containing the
 18 23 criminal and administrative penalties for drunk driving, and
 18 24 related laws, rules, instructions, and explanatory matter.
 18 25 This information may be included in pamphlets publications
 18 26 containing information related to other motor vehicle laws,
 18 27 published issued pursuant to section 321.15.  Copies of such
 18 28 the pamphlets shall be given wide distribution, and a supply
 18 29 shall be made available to each county treasurer.
 18 30    Sec. 28.  Section 322.13, subsection 1, Code 2003, is
 18 31 amended to read as follows:
 18 32    1.  The department shall have full authority to prescribe
 18 33 reasonable rules for the administration and enforcement of
 18 34 this chapter, in addition hereto and not inconsistent
 18 35 herewith.  All rules shall be filed and entered by the
 19  1 department in its office in an indexed, permanent book or
 19  2 record, with the effective date thereof suitably indicated,
 19  3 and such book or record shall be a public document.  Whenever
 19  4 The department may provide notice of a new rule or regulation
 19  5 is adopted by the department, a copy of the same shall be
 19  6 mailed by it to each licensee hereunder by a posting on the
 19  7 department's internet website.
 19  8    Sec. 29.  Section 322.13, subsection 1, Code 2003, is
 19  9 amended to read as follows:
 19 10    1.  The department shall have full authority to prescribe
 19 11 reasonable rules for the administration and enforcement of
 19 12 this chapter, in addition hereto and not inconsistent
 19 13 herewith.  All rules shall be filed and entered by the
 19 14 department in its office in an indexed, permanent book or
 19 15 record, with the effective date thereof suitably indicated,
 19 16 and such book or record shall be a public document.  Whenever
 19 17 The department may provide notice of a new rule or regulation
 19 18 is adopted by the department, a copy of the same shall be
 19 19 mailed by it to each licensee hereunder by a posting on the
 19 20 department's internet website.
 19 21    Sec. 30.  Section 326.15, Code 2003, is amended by striking
 19 22 the section and inserting in lieu thereof the following:
 19 23    326.15  REFUNDS OF REGISTRATION FEES.
 19 24    Refunds of registration fees paid for motor vehicles under
 19 25 this chapter shall be in accordance with section 321.126.  In
 19 26 addition, if a motor vehicle is removed from an apportioned
 19 27 fleet, the owner in whose name the motor vehicle was
 19 28 registered shall return the registration plate to the
 19 29 department and make a claim for refund.  A refund shall not be
 19 30 allowed without documentation of the subsequent registration
 19 31 of the motor vehicle.
 19 32    A qualified fleet owner may certify to the department that
 19 33 the registration plate has been destroyed in lieu of
 19 34 surrendering the plate.  The department shall adopt rules to
 19 35 define a qualified fleet owner.
 20  1    Sec. 31.  2003 Iowa Acts, chapter 8, sections 9, 10, and
 20  2 12, are repealed.
 20  3    Sec. 32.  2003 Iowa Acts, chapter 8, section 29, subsection
 20  4 3, is repealed.
 20  5    Sec. 33.  EFFECTIVE DATES.
 20  6    1.  Except as provided in subsections 2 through 4, this Act
 20  7 takes effect January 1, 2005.
 20  8    2.  The sections of this Act amending section 321.46,
 20  9 subsection 3, paragraph "f"; section 321.126, subsection 6,
 20 10 paragraph "b"; and section 326.15, being deemed of immediate
 20 11 importance, take effect upon enactment.
 20 12    3.  The section of this Act enacting section 321.134,
 20 13 subsection 5, being deemed of immediate importance, takes
 20 14 effect upon enactment.
 20 15    4.  The sections of this Act amending 2003 Iowa Acts,
 20 16 chapter 8, being deemed of immediate importance, take effect
 20 17 upon enactment.  
 20 18                           EXPLANATION
 20 19    This bill makes technical and substantive changes to Code
 20 20 provisions related to registration and titling of motor
 20 21 vehicles as well as to provisions governing miscellaneous
 20 22 administrative duties of the state department of
 20 23 transportation.
 20 24    Code section 321.15 is amended to provide that pamphlets
 20 25 containing Code provisions and rules, which the state
 20 26 department of transportation is required to furnish to county
 20 27 treasurers, may be distributed electronically.  A
 20 28 corresponding amendment to Code section 321J.1A allows the
 20 29 department to include educational information about drunk
 20 30 driving in electronically distributed publications as well as
 20 31 in printed form.
 20 32    Code section 321.20, which prescribes the requirements for
 20 33 applications for vehicle registration and titling, is amended
 20 34 to allow for acceptance of electronic signatures.  In
 20 35 addition, the requirement that the applicant's social security
 21  1 number or passport number and Iowa or other driver's license
 21  2 number be contained on the application is amended to require
 21  3 either the social security number, Iowa driver's license
 21  4 number, or Iowa nonoperator's identification card number of
 21  5 the owner or lessee, or the Iowa driver's license number or
 21  6 Iowa nonoperator's identification card number of the primary
 21  7 user if the owner is a nonresident.  A related provision in
 21  8 Code section 321.109 is amended to allow a nonresident who
 21  9 purchases a vehicle in this state for removal to another state
 21 10 to list, on the application for title, the purchaser's social
 21 11 security number, passport number, or driver's license number
 21 12 of a license issued in this state, another state, or another
 21 13 country.  Also in Code section 321.20, the department's
 21 14 authorization to develop and implement electronic procedures
 21 15 for commercial vehicle registration and titling is expanded to
 21 16 include all motor vehicles.
 21 17    Code sections 321.20A and 321.24 are amended to allow the
 21 18 department or county treasurer to deliver a certificate of
 21 19 title to the owner or first secured party of a motor vehicle
 21 20 or commercial vehicle by electronic means.  To facilitate
 21 21 electronic procedures, the bill eliminates the requirement
 21 22 that a title application be attached to a certificate of title
 21 23 and the requirement that a certificate of title be typewritten
 21 24 or printed by mechanical means.  The bill also provides that
 21 25 if the holder of a security interest cannot be located, the
 21 26 department may authorize issuance of a certificate of title to
 21 27 an owner who provides evidence that the security interest has
 21 28 been extinguished.
 21 29    Code section 321.34 is amended to eliminate the requirement
 21 30 that an owner of a motor vehicle surrender the current
 21 31 registration receipt when exchanging regular registration
 21 32 plates for certain special plates.
 21 33    Code section 321.42 is amended to specify that fees and
 21 34 surcharges collected for replacement of a certificate of title
 21 35 are not refundable in the event the replacement title is no
 22  1 longer needed.
 22  2    The bill strikes requirements in Code sections 321.46 and
 22  3 321.126 that an applicant for a refund of registration fees
 22  4 must provide a copy of the registration receipt.  Also, the
 22  5 bill strikes a redundant requirement that a transferee list a
 22  6 driver's license number on the application for title.
 22  7    The bill amends provisions in section 321.50 relating to
 22  8 security interests in motor vehicles to allow for electronic
 22  9 procedures and to require that the date of perfection of a
 22 10 security interest is the date the application for the security
 22 11 interest is delivered to the county treasurer.  Related Code
 22 12 provisions that refer to security interests in motor vehicles
 22 13 are amended to reflect these changes.  The bill repeals
 22 14 redundant amendments passed during the 2003 legislative
 22 15 session which were to take effect in July 2004, and the bill
 22 16 delays the repeal of a provision in Code section 321.50 that
 22 17 sets a deadline for a person who takes possession of a
 22 18 certificate of title to deliver the title to a county
 22 19 treasurer for notation of a security interest.  Code section
 22 20 321.50 is also amended to require that an application for a
 22 21 security interest include the federal employer identification
 22 22 number or social security number of the secured party.
 22 23    Code section 321.74 is amended to include reports received
 22 24 through the national motor vehicle title information system in
 22 25 the state's file of stolen or embezzled vehicles and to allow
 22 26 for electronic notification of recovered vehicles.
 22 27    Code section 321.134 is amended to require the department
 22 28 to waive the penalties imposed for late payment of motor
 22 29 vehicle registration fees for an owner who is in the United
 22 30 States military service and is relocated in time of war on or
 22 31 after September 11, 2001.
 22 32    Code section 321.149 is amended to remove the requirement
 22 33 that the documents the department furnishes to county
 22 34 treasurers must be paper documents.
 22 35    Code section 321.153 is amended to allow electronic
 23  1 submission of a county treasurer's monthly statement of fees
 23  2 and penalties to the department.
 23  3    Code section 321.160 is amended to require the department
 23  4 to maintain a current statement of registered vehicle makes
 23  5 and models rather than update it annually.  Also, the bill
 23  6 allows for electronic distribution of the statement.
 23  7    Code section 322.13 is amended to remove the requirement
 23  8 that the department mail copies of each new rule or regulation
 23  9 to licensed motor vehicle manufacturers, distributors, and
 23 10 dealers.  The department may provide notice via its website.
 23 11    Code section 326.15 is amended to allow a qualified fleet
 23 12 owner, to be defined by the department, to certify the
 23 13 destruction of registration plates for motor vehicles subject
 23 14 to proportional registration that are removed from the fleet,
 23 15 rather than return the plates to the department when applying
 23 16 for a refund.
 23 17    Provisions in the bill that relate to electronic titling
 23 18 and registration procedures and perfection of security
 23 19 interests take effect January 1, 2005.  Otherwise, the bill is
 23 20 effective upon enactment.  
 23 21 LSB 5182DP 80
 23 22 dea/cf/24
     

Text: HSB00540                          Text: HSB00542
Text: HSB00500 - HSB00599               Text: HSB Index
Bills and Amendments: General Index     Bill History: General Index

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