House File 2617 - Enrolled House File 2617 AN ACT RELATING TO ABANDONED VEHICLES. BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: Section 1. Section 321.89, Code 2026, is amended by adding the following new subsection: NEW SUBSECTION . 2A. Cease and release. When a private entity ceases a tow after attaching towing equipment to an abandoned vehicle and releases the vehicle to the registered owner or operator prior to removing the vehicle from the location where the vehicle was abandoned, the private entity shall accept payment by credit card, in addition to other forms of payment, for any fee charged to release the vehicle. Sec. 2. Section 321.89, subsection 3, paragraphs a, e, and f, Code 2026, are amended to read as follows: a. A police authority or private entity that takes into custody an abandoned vehicle shall send notice by certified

House File 2617, p. 2 mail that the vehicle has been taken into custody no more than twenty ten days after taking custody of the vehicle. Notice shall be sent to the last known address of record of the last known registered owner of the vehicle, all lienholders of record, and any other known claimant to the vehicle. e. If the persons receiving notice do not ask for a hearing or exercise their right to reclaim the vehicle or personal property within the ten-day twenty-day reclaiming period, the owner, lienholders, or claimants shall no longer have any right, title, claim, or interest in or to the vehicle or the personal property. f. A court in any case in law or equity shall not recognize any right, title, claim, or interest of the owner, lienholders, or claimants after the expiration of the ten-day twenty-day reclaiming period. Sec. 3. Section 321.89, subsection 3, paragraph b, subparagraph (3), Code 2026, is amended to read as follows: (3) Information for the persons receiving the notice of their right to reclaim the vehicle and personal property contained therein within ten twenty days after the effective date of the notice. Persons may reclaim the vehicle or personal property upon payment of all towing, preservation, and storage charges resulting from placing the vehicle in custody and upon payment of the costs of notice required pursuant to this subsection . Sec. 4. Section 321.89, Code 2026, is amended by adding the following new subsections: NEW SUBSECTION . 3A. Abandoned vehicles in custody. a. A lienholder of record who received notice under subsection 3 may request information regarding the condition of the abandoned vehicle. A private entity with custody of an abandoned vehicle may charge the lienholder of record an inspection fee not to exceed one hundred dollars. If such request is made and when the fee is paid, the private entity with custody of the abandoned vehicle shall satisfy the request by either allowing a representative of the lienholder of record onto the premises to inspect the vehicle, subject to policies established by the private entity to promote safety and security of the premises, or by sending photos

House File 2617, p. 3 that sufficiently depict the condition of the vehicle to the lienholder of record so that the lienholder can reasonably ascertain the condition of the vehicle. b. (1) While a private entity has custody of an abandoned vehicle, a registered owner may reclaim personal property that is not attached to the vehicle on one occasion during the twenty-day vehicle reclamation period. The registered owner shall provide the private entity a written list identifying the personal property to be reclaimed from inside the vehicle, which shall be reclaimed during the normal business hours of the private entity. Reclaiming personal property from within the vehicle does not constitute reclaiming the vehicle. A private entity may determine the manner in which personal property is retrieved from a vehicle subject to safety and security procedures established by the private entity for the area where the vehicle is stored. Retrieval of personal property does not constitute a waiver of the private entity’s lien upon the vehicle or any remaining contents in the private entity’s custody, if applicable. (2) For purposes of this paragraph, “personal property” is limited to items that are readily accessible from the vehicle and that do not require dismantling of any part of the vehicle, including all of the following: (a) Prescription medication for the vehicle owner or for a legal dependent of the vehicle owner. (b) Prosthetic devices, durable medical equipment, and mobility enhancing equipment as defined under 701 IAC 220.7. (c) Child care items. (d) Uniforms or clothing required for the vehicle owner’s employment. (e) Personal identification. (f) Credit cards or debit cards. (g) A cellular telephone. (h) A portable or mobile computer including but not limited to a tablet. (i) Tools of trade which are essential equipment, instruments, or machinery required to perform a specific job, profession, or craft in which the vehicle owner is currently employed.

House File 2617, p. 4 (j) A purse or wallet. (k) Essential documents or records relating to legal, financial, tax, or employment matters. (l) Prescription eyeglasses. (m) Hearing aids. (n) Dentures. (o) Keys not associated with the vehicle in the custody of the private entity. NEW SUBSECTION . 3B. Display of charges. A private entity that takes custody of an abandoned vehicle shall display at the entity’s place of business in a manner that is readily visible to visitors and on the entity’s internet site, if applicable, the daily storage and impound fees the entity will charge. NEW SUBSECTION . 6. Preemption. This section shall be implemented uniformly throughout the state. This section preempts any county or municipal ordinance regarding the towing of an abandoned vehicle. Sec. 5. Section 321.89, subsection 4, Code 2026, is amended to read as follows: 4. Reclamation of abandoned vehicles. A private entity with custody of an abandoned vehicle shall provide an itemized account of all fees assessed to the registered owner when the registered owner reclaims the vehicle. Prior to driving an abandoned vehicle away from the premises, a person who received or who is reclaiming the vehicle on behalf of a person who received notice under subsection 3 the registered owner shall present to the police authority or private entity, as applicable, the person’s valid driver’s license and proof of financial liability coverage as provided in section 321.20B . Sec. 6. Section 321.90, subsection 2, paragraph f, Code 2026, is amended to read as follows: f. The If notice was provided in accordance with section 321.89, subsection 3, and an abandoned motor vehicle was not reclaimed, the owner of an abandoned motor vehicle and all lienholders shall no longer have any right, title, claim, or interest in or to the motor vehicle; and no court in any case

House File 2617, p. 5 in law or equity shall recognize any right, title, claim, or interest of any owner or lienholders after the disposal of the motor vehicle to a demolisher. ______________________________ PAT GRASSLEY Speaker of the House ______________________________ AMY SINCLAIR President of the Senate I hereby certify that this bill originated in the House and is known as House File 2617, Ninety-first General Assembly. ______________________________ MEGHAN NELSON Chief Clerk of the House Approved _______________, 2026 ______________________________ KIM REYNOLDS Governor