Senate File 358 - Enrolled PAG LIN 1 1 SENATE FILE 358 1 2 1 3 AN ACT 1 4 ESTABLISHING PRELICENSING AND CONTINUING EDUCATION 1 5 REQUIREMENTS FOR USED MOTOR VEHICLE DEALERS. 1 6 1 7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 1 8 1 9 Section 1. Section 322.4, Code 2007, is amended by adding 1 10 the following new subsection: 1 11 NEW SUBSECTION. 8A. If the applicant is applying for a 1 12 used motor vehicle dealer license, certification that the 1 13 applicant has met the educational requirements for licensure 1 14 under section 322.7A. The certification may be transmitted to 1 15 the department by the education provider in electronic format. 1 16 Sec. 2. Section 322.7, subsection 4, Code 2007, is amended 1 17 to read as follows: 1 18 4. The motor vehicle dealer license provided for in this 1 19 chapter shall be renewed upon application in the form and 1 20 content prescribed by the department and upon payment of the 1 21 required fee. A used motor vehicle dealer license shall not 1 22 be renewed for an applicant who is subject to continuing 1 23 education requirements until the licensee certifies completion 1 24 of the educational requirements for license renewal under 1 25 section 322.7A. The certification may be transmitted to the 1 26 department by the education provider in electronic format. A 1 27 licensee shall have the month of expiration and the month 1 28 after the month of expiration to renew the license. A person 1 29 who fails to renew a license by the end of this time period 1 30 and desires to hold a license shall file a new license 1 31 application and pay the required fee. 1 32 Sec. 3. NEW SECTION. 322.7A USED MOTOR VEHICLE DEALER 1 33 EDUCATION PROGRAM. 1 34 1. An applicant for a license as a used motor vehicle 1 35 dealer shall complete a minimum of eight hours of prelicensing 2 1 education program courses pursuant to this section prior to 2 2 submitting an application to the department. 2 3 2. A person seeking renewal of a used motor vehicle dealer 2 4 license shall complete a minimum of five hours of continuing 2 5 education program courses over a two=year period pursuant to 2 6 this section prior to submitting an application for license 2 7 renewal. However, an applicant for renewal of a used motor 2 8 vehicle dealer license who has met the prelicensing education 2 9 requirement under subsection 1 within the preceding twelve 2 10 months is exempt from the continuing education requirement for 2 11 license renewal. 2 12 3. To meet the requirements of this section, at least one 2 13 individual who is associated with the used motor vehicle 2 14 dealer as an owner, principal, corporate officer, director, or 2 15 member or partner of a limited liability company or limited 2 16 liability partnership shall complete the education program 2 17 courses. 2 18 4. The Iowa independent automobile dealers association, in 2 19 consultation with the state department of transportation, the 2 20 department of education, the attorney general, and the Iowa 2 21 association of community college trustees, shall develop the 2 22 prelicensing and continuing education course curricula for the 2 23 used motor vehicle dealer education program, which shall 2 24 include but not be limited to examination of federal and state 2 25 laws applicable to the motor vehicle industry and federal and 2 26 state regulations pertaining to used motor vehicle dealers. 2 27 The education program courses shall be provided by community 2 28 colleges as defined in section 260C.2 or by the Iowa 2 29 independent automobile dealers association in conjunction with 2 30 a community college. The department of education shall adopt 2 31 rules establishing reasonable fees to be charged for the 2 32 prelicensing education courses and the continuing education 2 33 courses. 2 34 5. A community college shall issue a certificate to each 2 35 person who successfully completes the prelicensing education 3 1 program or a continuing education program under this section. 3 2 The current certificate of completion, or a copy of the 3 3 certificate, shall be posted conspicuously in the principal 3 4 office of the licensee. 3 5 6. The provisions of this section apply to all used motor 3 6 vehicle dealers, including but not limited to individuals, 3 7 corporations, and partnerships, except for the following: 3 8 a. Motor vehicle rental companies having a national 3 9 franchise. 3 10 b. National motor vehicle auction companies. 3 11 c. Wholesale dealer=only auction companies. 3 12 d. Used car dealerships owned by a franchise motor vehicle 3 13 dealer. 3 14 e. Banks, credit unions, and savings and loan 3 15 associations. 3 16 7. Each community college providing used motor vehicle 3 17 dealer education program courses shall transmit a report on 3 18 the program annually by December 31 to the director of 3 19 transportation, the director of the department of education, 3 20 the attorney general, and the president of the Iowa 3 21 association of community college trustees. 3 22 Sec. 4. USED MOTOR VEHICLE DEALER EDUCATION PROGRAM == 3 23 NOTICE. The department of transportation shall provide 3 24 reasonable notice to current used motor vehicle dealer 3 25 licensees of the need to meet continuing education 3 26 requirements as a condition for future license renewal. 3 27 3 28 3 29 3 30 JOHN P. KIBBIE 3 31 President of the Senate 3 32 3 33 3 34 3 35 PATRICK J. MURPHY 4 1 Speaker of the House 4 2 4 3 I hereby certify that this bill originated in the Senate and 4 4 is known as Senate File 358, Eighty=second General Assembly. 4 5 4 6 4 7 4 8 MICHAEL E. MARSHALL 4 9 Secretary of the Senate 4 10 Approved , 2007 4 11 4 12 4 13 4 14 CHESTER J. CULVER 4 15 Governor