House File 2011 - Introduced



                                       HOUSE FILE       
                                       BY  LYKAM


    Passed House,  Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act providing for reassignment of a salvage certificate of
  2    title for a motor vehicle.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 5078YH 81
  5 dea/je/5

PAG LIN



  1  1    Section 1.  Section 321.52, subsection 4, paragraph a, Code
  1  2 Supplement 2005, is amended to read as follows:
  1  3    a.  A vehicle rebuilder or a person engaged in the business
  1  4 of buying, selling, or exchanging vehicles of a type required
  1  5 to be registered in this state, upon acquisition of a wrecked
  1  6 or salvage vehicle, shall surrender the certificate of title
  1  7 or manufacturer's or importer's statement of origin properly
  1  8 assigned, together with an application for a salvage
  1  9 certificate of title, to the county treasurer of the county of
  1 10 residence of the purchaser or transferee within thirty days
  1 11 after the date of assignment of the certificate of title for
  1 12 the wrecked or salvage motor vehicle.  This subsection applies
  1 13 only to vehicles with a fair market value of five hundred
  1 14 dollars or more, based on the value before the vehicle became
  1 15 wrecked or salvage.  Upon payment of a fee of two dollars, the
  1 16 county treasurer shall issue a salvage certificate of title
  1 17 which shall bear the word "SALVAGE" stamped or printed on the
  1 18 face of the title in a manner prescribed by the department.  A
  1 19 salvage certificate of title may be assigned to an educational
  1 20 institution, a new motor vehicle dealer licensed under chapter
  1 21 322, a person engaged in the business of purchasing bodies,
  1 22 parts of bodies, frames or component parts of vehicles for
  1 23 sale as scrap metal, a salvage pool, or an authorized vehicle
  1 24 recycler licensed under chapter 321H.  An authorized vehicle
  1 25 recycler licensed under chapter 321H or a new motor vehicle
  1 26 dealer licensed under chapter 322 may assign or reassign a
  1 27 salvage certificate of title to any person.  A vehicle on
  1 28 which ownership has transferred to an insurer of the vehicle
  1 29 as a result of a settlement with the owner of the vehicle
  1 30 arising out of damage to, or unrecovered theft of, the vehicle
  1 31 shall be deemed to be a wrecked or salvage vehicle and the
  1 32 insurer shall comply with this subsection to obtain a salvage
  1 33 certificate of title within thirty days after the date of
  1 34 assignment of the certificate of title of the vehicle.
  1 35                           EXPLANATION
  2  1    Under current law, a motor vehicle dealer or recycler who
  2  2 accepts assignment of title for a wrecked or salvage motor
  2  3 vehicle must apply to the county treasurer and pay a $2 fee
  2  4 for issuance of a new salvage certificate of title prior to
  2  5 transferring ownership of the vehicle to another party.  This
  2  6 bill would permit the dealer or recycler to reassign the
  2  7 salvage title to another dealer or recycler, or to any other
  2  8 person, without first obtaining a new salvage certificate of
  2  9 title.
  2 10 LSB 5078YH 81
  2 11 dea:nh/je/5