HOUSE FILE 2122

BY  HEIN and PETTENGILL

A BILL FOR

An Act relating to motor home dealer and manufacturer licensing and the business hours of recreational vehicle dealers, making a penalty applicable, and including effective and applicability date provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 307.27, subsection 2, Code Supplement 2011, is amended to read as follows:
   2.  Administer and supervise the licensing of motor vehicle
 
or motor home manufacturers, distributors, and dealers pursuant to chapter
 
chapters 322
 
and 322C.
    Sec. 2.  Section 321.1, subsection 42, paragraphs b and c, Code Supplement 2011, are amended to read as follows:
   b.  “Used motor vehicle” or “secondhand motor vehicle” or “used car” means a motor vehicle of a type subject to registration under the laws of this state which has been sold “at retail” as defined in chapter
 
chapters 322
 
and 322C and previously registered in this or any other state.
   c.  “New motor vehicle or new car” means a motor vehicle subject to registration which has not been sold “at retail” as defined in chapter
 
chapters 322
 
and 322C.
    Sec. 3.  Section 321.20B, subsection 8, Code 2011, is amended to read as follows:
   8.  This section does not apply to a motor vehicle owned by a motor vehicle
 
or motor home dealer or wholesaler licensed pursuant to chapter 322
 
or 322C.
    Sec. 4.  Section 321.23, subsection 3, Code 2011, is amended to read as follows:
   3.  In the event an applicant for registration of a foreign vehicle for which a certificate of title has been issued is able to furnish evidence of being the registered owner of the vehicle to the county treasurer of the owner’s residence, although unable to surrender such certificate of title, the county treasurer may issue a registration receipt and plates upon receipt of the required annual registration fee and the fee for new registration but shall not issue a certificate of title thereto. Upon surrender of the certificate of title from the foreign state, the county treasurer shall issue a certificate of title to the owner, or person entitled thereto, of such vehicle as provided in this chapter. The owner of a vehicle registered under this subsection shall not be required to obtain a certificate of title in this state and may transfer ownership of the vehicle to a motor vehicle
 
or motor home dealer licensed under chapter 322
 
or 322C if, at the time of the transfer, the certificate of title is held by a secured party and the dealer has forwarded to the secured party the sum necessary to discharge the security interest pursuant to section 321.48, subsection 1.
    Sec. 5.  Section 321.52, subsection 4, paragraph a, Code 2011, is amended to read as follows:
   a.  A vehicle rebuilder or a person engaged in the business of buying, selling, or exchanging vehicles of a type required to be registered in this state, upon acquisition of a wrecked or salvage vehicle, shall surrender the certificate of title or manufacturer’s or importer’s statement of origin properly assigned, together with an application for a salvage certificate of title, to the county treasurer of the county of residence of the purchaser or transferee within thirty days after the date of assignment of the certificate of title for the wrecked or salvage motor vehicle. This subsection applies only to vehicles with a fair market value of five hundred dollars or more, based on the value before the vehicle became wrecked or salvage. Upon payment of a fee of ten dollars, the county treasurer shall issue a salvage certificate of title which shall bear the word “SALVAGE” stamped or printed on the face of the title in a manner prescribed by the department. A salvage certificate of title may be assigned to an educational institution, a new motor vehicle dealer licensed under chapter 322,
 
a new motor home dealer licensed under chapter 322C, a person engaged in the business of purchasing bodies, parts of bodies, frames or component parts of vehicles for sale as scrap metal, a salvage pool, or an authorized vehicle recycler licensed under chapter 321H. An authorized vehicle recycler licensed under chapter 321H or, a a new motor vehicle dealer licensed under chapter 322, or a new motor home dealer licensed under chapter 322C, may assign or reassign an Iowa salvage certificate of title or a salvage certificate of title from another state to any person, and the provisions of section 321.24, subsection 5, requiring issuance of an Iowa salvage certificate of title shall not apply. A vehicle on which ownership has transferred to an insurer of the vehicle as a result of a settlement with the owner of the vehicle arising out of damage to, or unrecovered theft of, the vehicle shall be deemed to be a wrecked or salvage vehicle and the insurer shall comply with this subsection to obtain a salvage certificate of title within thirty days after the date of assignment of the certificate of title of the vehicle.
    Sec. 6.  Section 321.57, subsections 5 and 6, Code 2011, are amended to read as follows:
   5.  A dealer licensed as a wholesaler for a new motor vehicle model under chapter 322
 
or a dealer licensed as a wholesaler for a new motor home model under chapter 322C may operate a new motor vehicle
 
or new motor home of that model, owned by the wholesaler, upon the highway when there is displayed on the vehicle a special plate issued to the wholesaler as provided in sections 321.58 through 321.62 and when operated solely for the purposes of demonstration, show, or exhibition.
   6.  A manufacturer licensed under chapter 322
 
or 322C that manufactures ambulances, rescue vehicles, or fire vehicles may operate or move a new ambulance, rescue vehicle, or fire vehicle manufactured and owned by the manufacturer solely for purposes of transporting, demonstrating, showing, or exhibiting the vehicle when there is displayed on the vehicle a special plate issued to the manufacturer as provided in sections 321.58 through 321.62.
    Sec. 7.  Section 321.58, Code 2011, is amended to read as follows:
   321.58  Application.
   All dealers, transporters, and new motor vehicle
 
or new motor home wholesalers licensed under chapter 322
 
or 322C, upon payment of a fee of seventy dollars for a two-year period or part thereof, may make application to the department upon the appropriate form for a certificate containing a general distinguishing number and for one or more special plates as appropriate to various types of vehicles subject to registration. The applicant shall also submit proof of the applicant’s status as a bona fide transporter, new motor vehicle wholesaler, or new motor home wholesaler licensed under chapter 322
 
or 322C, or dealer, as reasonably required by the department. Dealers in new vehicles shall furnish satisfactory evidence of a valid franchise with the manufacturer of the vehicles authorizing the dealership.
    Sec. 8.  Section 321.69, subsections 6, 8, and 11, Code 2011, are amended to read as follows:
   6.  Authorized vehicle recyclers licensed under chapter 321H, and motor vehicle dealers licensed under chapter 322, and motor home dealers licensed under chapter 322C shall maintain copies of all damage disclosure statements where the recycler or dealer is either the transferor or the transferee for five years following the date of the statement. The copies shall be made available to the department or the attorney general upon request.
   8.  A person, authorized vehicle recycler licensed under chapter 321H, or motor vehicle dealer licensed under chapter 322, or motor home dealer licensed under chapter 322C shall not be liable to a subsequent owner, driver, or passenger of a vehicle because a prior owner or lessee gave a false or inaccurate damage disclosure statement or failed to disclose that the vehicle had previously been damaged and repaired or had been titled on a salvage, rebuilt, or flood certificate of title unless the person, recycler, or dealer knew or reasonably should have known that the prior owner or lessee gave a false or inaccurate damage disclosure statement or failed to disclose that the vehicle had been damaged and repaired or had been titled on a salvage, rebuilt, or flood certificate of title.
   11.  A person who knowingly makes a false damage disclosure statement or fails to make a damage disclosure statement required by this section commits a fraudulent practice. Failure of a person, authorized vehicle recycler licensed under chapter 321H, or motor vehicle dealer licensed under chapter 322, or motor home dealer licensed under chapter 322C to comply with any duty imposed by this section constitutes a violation of section 714.16, subsection 2, paragraph “a”.
    Sec. 9.  Section 321.69A, subsection 1, paragraph a, unnumbered paragraph 1, Code Supplement 2011, is amended to read as follows:
   A person licensed as a new motor vehicle
 
or new motor home dealer pursuant to chapter 322
 
or 322C, shall not be required to disclose to a prospective or actual buyer or lessee of a new motor vehicle repairs of damage to or adjustments on or replacements of parts with new parts on the motor vehicle if all of the following are true:
    Sec. 10.  Section 321.69A, subsection 2, Code Supplement 2011, is amended to read as follows:
   2.  A person licensed as a new motor vehicle
 
or new motor home dealer pursuant to chapter 322
 
or 322C, shall disclose in writing, at or before the time of sale or lease, to the buyer or lessee of a new motor vehicle that the vehicle has been subject to any repairs of damage to or adjustments on or replacements of parts with new parts if the actual cost of any labor or parts charged to or performed by the dealer for any such repairs, adjustments, or parts exceeds four percent of the dealer’s adjusted cost. The written disclosure shall include the signature of the buyer or lessee and be in a form and in a format approved by the attorney general by rule. A dealer shall retain a copy of each written disclosure issued pursuant to this section for five years from the date of issuance.
    Sec. 11.  Section 321.71, subsection 9, Code 2011, is amended to read as follows:
   9.  An Iowa licensed motor vehicle
 
or motor home dealer shall not have in possession as inventory for sale a used motor vehicle acquired by the dealer after the tenth model year prior to the current registration year, for which the dealer does not possess an odometer statement by the transferor which is in compliance with federal law and regulations unless a certificate of title has been issued for the vehicle in the name of the dealer. Transfer of a new motor vehicle with an ownership document which is a manufacturer’s statement of origin requires an odometer statement only when transferred at retail.
    Sec. 12.  Section 321.95, subsection 1, Code 2011, is amended to read as follows:
   1.  Peace officers shall have the authority to inspect any vehicle or component part in possession of a vehicle rebuilder, vehicle salvager, used vehicle parts dealer, or any person licensed under chapter 322
 
or 322C, or found upon the public highway or in any public garage, enclosure, or property in which vehicles or component parts are kept for sale, storage, hire, or repair and for that purpose may enter any such public garage, enclosure, or property. Every vehicle rebuilder, vehicle salvager, used vehicle parts dealer, or any person licensed under chapter 322
 
or 322C, or a person having used engines or transmissions which are component parts for sale shall keep an accurate and complete record of all vehicles demolished and of such component parts purchased or received for resale as component parts in the course of business. These records shall contain the name and address of the person from whom each such vehicle or component part was purchased or received and the date when the purchase or receipt occurred or the junking certificate if required for the vehicle. These records shall be open for inspection by any peace officer at any time during normal business hours. Records required by this section shall be kept for at least three years after the transaction which they record.
    Sec. 13.  Section 321.105A, subsection 2, paragraph a, subparagraphs (1) and (3), Code Supplement 2011, are amended to read as follows:
   (1)  Exempted from the purchase price of any vehicle subject to registration is the amount of any cash rebate which is provided by a motor vehicle
 
or motor home manufacturer to the purchaser of the vehicle subject to registration so long as the rebate is applied to the purchase price of the vehicle.
   (3)  Exempted from the purchase price of a replacement motor vehicle owned by a motor vehicle
 
or motor home dealer licensed under chapter 322
 
or 322C which is being registered by that dealer and is not otherwise exempt from the fee for new registration is the fair market value of a replaced motor vehicle if all of the following conditions are met:
   (a)  The motor vehicle being registered is being placed in service as a replacement motor vehicle for a motor vehicle registered by the motor vehicle
 
or motor home dealer.
   (b)  The motor vehicle being registered is taken from the motor vehicle
 
or motor home dealer’s inventory.
   (c)  Use tax or the fee for new registration on the motor vehicle being replaced was paid by the motor vehicle
 
or motor home dealer when that motor vehicle was registered.
   (d)  The replaced motor vehicle is returned to the motor vehicle
 
or motor home dealer’s inventory for sale.
   (e)  The application for registration and title of the motor vehicle being registered is filed with the county treasurer within two weeks of the date the replaced motor vehicle is returned to the motor vehicle
 
or motor home dealer’s inventory.
   (f)  The motor vehicle being registered is placed in the same or substantially similar service as the replaced motor vehicle.
    Sec. 14.  Section 321.105A, subsection 2, paragraph c, subparagraphs (6) and (14), Code Supplement 2011, are amended to read as follows:
   (6)  Vehicles subject to registration in any state when purchased for rental or registered and titled by a motor vehicle
 
or motor home dealer licensed pursuant to chapter 322
 
or 322C for rental use, and held for rental for a period of one hundred twenty days or more and actually rented for periods of sixty days or less by a person regularly engaged in the business of renting vehicles including but not limited to motor vehicle dealers licensed pursuant to chapter 322 who rent automobiles to users, if the rental of the vehicles is subject to taxation under chapter 423C.
   (14)  Vehicles purchased by a licensed motor vehicle
 
or motor home dealer for resale.
    Sec. 15.  Section 321.115, subsection 2, Code 2011, is amended to read as follows:
   2.  The sale of a motor vehicle twenty years old or older which is primarily of value as a collector’s item and not as transportation is not subject to chapter 322
 
or 322C, and any person may sell such a vehicle at retail without a license as required under chapter 322
 
or 322C.
    Sec. 16.  Section 321.124, subsection 2, Code 2011, is amended to read as follows:
   2.  Class A motor homes and class C motor homes are exempt from the provisions of section 322.5, subsection 2
 
322C.4A, except that a motor vehicle dealer showing class A motor homes and class C motor homes shall apply for a temporary permit upon forms and for such time as provided in section 322.5, subsection 2
 
322C.4A, and the department may issue the temporary permit upon payment of the fee provided therein.
    Sec. 17.  Section 321.157, subsection 1, Code 2011, is amended to read as follows:
   1.  A manufacturer or importer of a motor vehicle sold or offered for sale in this state, either by the manufacturer, importer, distributor, dealer, or any other person, shall file in the office of the department a sworn statement showing the various models manufactured by the manufacturer, importer, distributor, dealer, or other person, and the retail list price and weight of each model concurrently with a public announcement of such prices or concurrently with notification of such prices to dealers licensed to sell such motor vehicles
 
or motor homes under chapter 322
 
or 322C, whichever comes first. The manufacturer, importer, distributor, dealer, or other person shall also make the same report on subsequent new models manufactured.
    Sec. 18.  Section 321A.39, subsection 1, unnumbered paragraph 1, Code 2011, is amended to read as follows:
   Whenever any dealer licensed under chapter 322
 
or 322C sells a motor vehicle at retail and the transaction does not include the sale of liability insurance coverage which will protect the purchaser under the Iowa motor vehicle financial and safety responsibility Act the purchase order or invoice evidencing the transaction shall contain a statement in the following form:
    Sec. 19.  Section 321F.9, Code 2011, is amended to read as follows:
   321F.9  Option to purchase —— dealer’s license.
   Any person engaged in business in this state shall not enter into any agreement for the use of a motor vehicle under the terms of which that person grants to another an option to purchase the motor vehicle without first having obtained a motor vehicle
 
or motor home dealer’s license under the provisions of chapter 322
 
or 322C, and all sales of motor vehicles under such options shall be subject to sales or use taxes imposed under the provisions of chapter 423. Nothing contained in this section shall require such person to have a place of business as provided by section 322.6, subsection 1, paragraph “h”
 
or chapter 322C.
    Sec. 20.  Section 321H.3, unnumbered paragraph 1, Code 2011, is amended to read as follows:
   Except for educational institutions; persons licensed as new vehicle
 
or new motor home dealers under chapter 322
 
or 322C; persons engaged in a hobby not for profit; persons engaged in the business of purchasing bodies, parts of bodies, frames, or component parts of vehicles only for sale as scrap metal; or persons licensed under the provisions of this chapter as authorized vehicle recyclers, a person in this state shall not engage in the business of any of the following:
    Sec. 21.  Section 322.2, subsections 11 and 12, Code 2011, are amended to read as follows:
   11.  “Manufacturer” means any person engaged in the business of fabricating or assembling motor vehicles. It does not include a person who converts, modifies, or alters a completed motor vehicle manufactured by another person. It includes a person who uses a completed motor vehicle manufactured by another person to construct a class “B” motor home as defined in section 321.124.
   12.  “Motor vehicle” means any self-propelled vehicle subject to registration under chapter 321
 
except a motor home as defined in section 322C.2.
    Sec. 22.  Section 322.2, Code 2011, is amended by adding the following new subsection:
   NEW SUBSECTION.  14A.  “Recreational vehicle” means a motor home as defined in section 321.1, subsection 36C, or a travel trailer as defined in section 322C.2, subsection 10.
    Sec. 23.  Section 322.3, subsection 14, paragraph d, Code 2011, is amended by striking the paragraph.
    Sec. 24.  Section 322.36, Code 2011, is amended to read as follows:
   322.36  Motorcycle
 
and recreational vehicle dealer business hours.
   1.  A person in the business of selling motorcycles under chapter 322D is not required to maintain regular business hours at the dealer’s principal place of business or other place of business.
   2.
  a.  A person in the business of selling recreational vehicles under chapter 322C is not required to maintain regular business hours at the dealer’s principal place of business or other place of business unless the person sells motor vehicles at the same place of business.
   b.  A person in the business of selling recreational vehicles under chapter 322C shall post the dealer’s contact information and a business telephone number in a conspicuous location in the dealer’s place of business. The person shall maintain a business telephone number which is answered by a person employed by the dealer or by a recorded message which provides the business’s contact information.
    Sec. 25.  Section 322A.2, subsection 2, Code 2011, is amended to read as follows:
   2.  A franchiser may terminate a franchise for a particular line-make if the franchiser discontinues that line-make and a franchiser may terminate a franchise if the franchisee’s license as a motor vehicle
 
or motor home dealer is revoked pursuant to the provisions of chapter 322
 
or 322C.
    Sec. 26.  Section 322A.12, subsection 1, Code 2011, is amended to read as follows:
   1.  Notwithstanding the terms, provisions, or conditions of an agreement or franchise, subject to the provisions of section 322A.11, subsection 2, in the event of the sale or transfer of ownership of a franchisee’s dealership by sale or transfer of the business or by stock transfer or in the event of a change in the executive management of a franchisee’s dealership, the franchiser shall give effect to the change in the franchise unless the transfer of the franchisee’s license under chapter 322
 
or 322C is denied or the new owner is unable to obtain a license under that chapter.
    Sec. 27.  Section 322A.14, Code 2011, is amended to read as follows:
   322A.14  License to dealer denied.
   In the event that a franchiser enters into or attempts to enter into a franchise, whether upon termination or refusal to continue another franchise or upon the establishment of an additional motor vehicle dealership in a community where the same line-make is then represented, without first complying with the provisions of this chapter, no license under chapter 322
 
or 322C shall be issued to that franchisee or proposed franchisee to engage in the business of selling motor vehicles manufactured or distributed by that franchiser.
    Sec. 28.  Section 322C.2, subsections 1, 3, 5, and 8, Code 2011, are amended to read as follows:
   1.  To sell “at retail” means to sell a travel trailer
 
or motor home to a person who will devote it to a consumer use.
   3.  “Distributor”
 
or “wholesaler” means a person who
 
in whole or in part sells or distributes travel trailers to travel trailer dealers, or a person who in whole or in part sells or distributes motor homes to motor home dealers, either directly or through a representative employed by a distributor.
   5.  “Manufacturer” means a person engaged in the business of fabricating or assembling travel trailers
 
or motor homes of a type required to be registered.

It includes a person who uses a completed motor vehicle manufactured by another person to construct a class “B” motor home as defined in section 321.124.
   8.  “Place of business” means a designated location where facilities are maintained for displaying, reconditioning and repairing either new or used travel trailers
 
or motor homes.
    Sec. 29.  Section 322C.2, Code 2011, is amended by adding the following new subsections:
   NEW SUBSECTION.  4A.  The “holder” of a retail installment contract means the retail seller of the motor home under or subject to the contract or, if the contract is purchased by a sales finance company or other assignee, the sales finance company or other assignee.
   NEW SUBSECTION.  5A.  “Motor home” means the same as defined in section 321.1, subsection 36C, paragraph “d”.
   NEW SUBSECTION.  5B.  “New motor home” means a motor home that has not been sold at retail.
   NEW SUBSECTION.  8A.  “Retail buyer” or “buyer” means a person who buys a motor home from a retail seller.
   NEW SUBSECTION.  8B.  “Retail installment contract” means an agreement entered into in this state, pursuant to which the title to, the property in or a lien upon the motor home, which is the subject matter of a retail installment transaction, is retained or taken by a retail seller from a retail buyer as security, in whole or in part, for the buyer’s obligation. The term includes a chattel mortgage, a conditional sales contract, and a contract for the bailment or leasing of a motor home by which the bailee or lessee contracts to pay as compensation for its use a sum substantially equivalent to or in excess of its value and by which it is agreed that the bailee or lessee is bound to become, or has the option of becoming, the owner of the motor home upon full compliance with the provisions of the contract.
   NEW SUBSECTION.  8C.  “Retail installment transaction” means any sale evidenced by a retail installment contract between a retail buyer and a retail seller wherein the retail buyer buys a motor home from a retail seller at a time price payable in one or more installments.
   NEW SUBSECTION.  8D.  “Retail seller” or “seller” means a person who sells a motor home to a retail buyer.
   NEW SUBSECTION.  8E.  “Sales finance company” means a person engaged, in whole or in part, in the business of purchasing retail installment contracts from one or more retail sellers. The term also includes a retail seller engaged, in whole or in part, in the business of creating and holding retail installment contracts. The term does not include the pledgee of an aggregate number of such contracts to secure a bona fide loan thereon.
   NEW SUBSECTION.  10A.  “Used motor home” means a motor home which has been sold at retail and previously registered in this or any other state.
    Sec. 30.  Section 322C.3, Code Supplement 2011, is amended to read as follows:
   322C.3  Prohibited acts —— exception.
   1.
  a.  A person shall not engage in this state in the business of selling at retail new travel trailers of any make, or represent or advertise that the person is engaged or intends to engage in such business in this state, unless the person is authorized by a contract in writing between that person and the manufacturer or distributor of that make of new travel trailers to sell the trailers in this state, and unless the department has issued to the person a license as a travel trailer dealer for the same make of travel trailer.
   b.  A person shall not engage in this state in the business of selling at retail new motor homes of any make, or represent or advertise that the person is engaged or intends to engage in such business in this state, unless the person is authorized by a contract in writing between that person and the manufacturer or distributor of that make of new motor homes to sell the motor homes in this state, and unless the department has issued to the person a license as a motor home dealer for the same make of motor homes.
   2.
  a.  A person, other than a licensed travel trailer dealer in new travel trailers, shall not engage in the business of selling at retail used travel trailers or represent or advertise that the person is engaged or intends to engage in such business in this state unless the department has issued to the person a license as a used travel trailer dealer.
   b.  A person, other than a licensed motor home dealer in new motor homes, shall not engage in the business of selling at retail used motor homes or represent or advertise that the person is engaged or intends to engage in such business in this state unless the department has issued to the person a license as a used motor home dealer.
   3.  A person is not required to obtain a license as a travel trailer
 
or motor home dealer if the person is disposing of a travel trailer
 
or motor home acquired or repossessed, so long as the person is exercising a power or right granted by a lien, title-retention instrument, or security agreement given as security for a loan or a purchase money obligation.
   4.
  a.  A travel trailer dealer shall not enter into a contract, agreement, or understanding, expressed or implied, with a manufacturer or distributor that the dealer will sell, assign, or transfer an agreement or contract arising from the retail installment sale of a travel trailer only to a designated person or class of persons. Any such condition, agreement, or understanding between a manufacturer or distributor and a travel trailer dealer is against the public policy of this state and is unlawful and void.
   b.  A motor home dealer shall not enter into a contract, agreement, or understanding, expressed or implied, with a manufacturer or distributor that the dealer will sell, assign, or transfer an agreement or contract arising from the retail installment sale of a motor home only to a designated person or class of persons. Any such condition, agreement, or understanding between a manufacturer or distributor and a motor home dealer is against the public policy of this state and is unlawful and void.
   5.
  a.  A manufacturer or distributor of travel trailers or an agent or representative of the manufacturer or distributor, shall not refuse to renew a contract for a term of less than five years, and shall not terminate or threaten to terminate a contract, agreement or understanding for the sale of new travel trailers to a travel trailer dealer in this state without just, reasonable and lawful cause or because the travel trailer dealer failed to sell, assign or transfer a contract or agreement arising from the retail sale of a travel trailer to only a person or a class of persons designated by the manufacturer or distributor.
   b.  A manufacturer or distributor of motor homes or an agent or representative of the manufacturer or distributor shall not terminate, threaten to terminate, or fail to renew a contract, agreement, or understanding for the sale of new motor homes to a motor home dealer in this state without just, reasonable, and lawful cause or because the motor home dealer failed to sell, assign, or transfer any retail installment contract arising from the retail sale of a motor home or any one or more of them to a person or a class of persons designated by the manufacturer or distributor.
   6.  A travel trailer
 
or motor home dealer shall not make and enter into a security agreement, retail installment contract, or other contract unless the agreement or contract meets the following requirements:
   a.  The security agreement, retail installment contract, or
 
other contract is in writing, is signed by both the buyer and the seller, and is complete as to all essential provisions prior to the signing of the agreement, retail installment contract, or
 
other contract by the buyer except that, if delivery of the travel trailer
 
or motor home is not made at the time of the execution of the agreement or contract, the identifying numbers of the travel trailer
 
or motor home or similar information and the due date of the first installment may be inserted in the agreement or contract after its execution.
   b.  The agreement, retail installment contract, or
 
other contract complies with the Iowa consumer credit code, chapter 537, where applicable.
   7.
  a.  A manufacturer or distributor of travel trailers or an agent or representative of a manufacturer or distributor shall not coerce or attempt to coerce a travel trailer dealer to accept delivery of a travel trailer or travel trailer parts or accessories, or any other commodity which has not been ordered by the dealer.
   b.  A manufacturer or distributor of motor homes or an agent or representative of a manufacturer or distributor of motor homes shall not coerce or attempt to coerce a motor home dealer to accept delivery of a motor home or motor home parts or accessories, or any other commodity which has not been ordered by the dealer.
   8.  Except under subsection 9 of this section
 
or section 322C.4A, a person licensed under section 322C.4 shall not, either directly or through an agent, salesperson or employee, engage or represent or advertise that the person is engaged or intends to engage in this state, in the business of buying or selling new or used travel trailers
 
or motor homes on Sunday.
   9.  A travel trailer dealer may display new travel trailers at fairs, shows, and exhibitions on any day of the week as provided in this subsection. Travel trailer dealers, in addition to selling travel trailers at their principal place of business and lots, may, upon receipt of a temporary permit approved by the department, display and offer new travel trailers for sale and negotiate sales of new travel trailers at fairs, shows, and exhibitions. Application for temporary permits shall be made upon forms provided by the department and shall be accompanied by a ten dollar permit fee. Temporary permits shall be issued for a period not to exceed fourteen days. The department may issue multiple consecutive temporary permits.
   10.  A person who has been convicted of a fraudulent practice, has been convicted of three or more violations of section 321.92, subsection 2, or section 321.99, or has been convicted of any other indictable offense in connection with selling or other activity relating to vehicles, in this state or any other state, shall not for a period of five years from the date of conviction be an owner, salesperson, employee, officer of a corporation, or representative of a licensed travel trailer
 
or motor home dealer or represent themselves as an owner, salesperson, employee, officer of a corporation, or representative of a licensed travel trailer
 
or motor home dealer.
   11.  A manufacturer, distributor, or importer of motor homes or agent or representative of such manufacturer, distributor, or importer shall not require a motor home dealer to submit to arbitration to resolve a controversy before the controversy arises. The parties may enter into a voluntary agreement to arbitrate a controversy after it arises. Such an agreement shall require that the arbitrator apply Iowa law in resolving the controversy. Either party may appeal a decision of an arbitrator to the district court on the grounds that the arbitrator failed to apply Iowa law.
   12.
  a.  A manufacturer, distributor, or importer of motor homes or agent or representative of such manufacturer, distributor, or importer shall not reduce the amount of compensation for, or disallow a claim for, any of the following if twelve months or more have passed since the claim was submitted to the manufacturer, distributor, or importer or agent or representative thereof:
   (1)  Warranty parts, repairs, or service supplied by a motor home dealer.
   (2)  Sales or leasing incentives provided to a motor home dealer or to a customer of a motor home dealer including but not limited to rebates and discounted interest rates.
   b.  The twelve-month limitation shall not apply if a court of competent jurisdiction in this state finds the claim was fraudulent.
   13.  A manufacturer, distributor, or importer of motor homes or an agent or representative of a manufacturer, distributor, or importer shall not reduce the amount of compensation for, or disallow a claim for, warranty parts, repairs, or service supplied by a motor home dealer on the grounds that the dealer failed to submit a claim fewer than sixty days after the motor home dealer completed the work underlying the claim for warranty parts, repairs, or service.
    Sec. 31.  Section 322C.4, Code 2011, is amended to read as follows:
   322C.4  Dealer’s license application and fees.
   1.  Upon application and payment of a fee, a person may be licensed as a travel trailer
 
or motor home dealer. The license fee is seventy dollars for a two-year period or part thereof. The person shall pay an additional fee of twenty dollars for a two-year period or part thereof for each travel trailer
 
or motor home lot in addition to the principal place of business unless the lot is adjacent to the principal place of business. For purposes of this subsection, “adjacent” means that the principal place of business and each additional lot are adjoining parcels of property. The applicant shall file in the office of the department a verified application for license as a travel trailer
 
or motor home dealer in the form the department prescribes, which shall include the following:
   a.  The name of the applicant and the applicant’s principal place of business.
   b.  The name of the applicant’s business and whether the applicant is an individual, partnership, corporation or other legal entity.
   (1)  If the applicant is a partnership the name under which the partnership intends to engage in business and the name and post office address of each partner.
   (2)  If the applicant is a corporation, the state of incorporation and the name and post office address of each officer and director.
   c.  The make or makes of new travel trailers
 
or motor homes, if any, which the applicant will offer for sale at retail in this state.
   d.  The location of each place of business within this state to be used by the applicant for the conduct of the business.
   e.  If the applicant is a party to a contract, agreement, or understanding with a manufacturer or distributor of travel trailers
 
or motor homes or is about to become a party to a contract, agreement, or understanding, the applicant shall state the name of each manufacturer and distributor and the make or makes of new travel trailers
 
or motor homes, if any, which are the subject matter of the contract, agreement, or understanding.
   f.  Other information concerning the business of the applicant the department reasonably requires for administration of this chapter.
   g.  Proof that the applicant for a license as a motor home dealer has financial liability coverage as defined in section 321.1, except that such coverage shall be in limits of not less than one hundred thousand dollars because of bodily injury to or death of one person in any one accident and, subject to the limit for one person, three hundred thousand dollars because of bodily injury to or death of two or more persons in any one accident, and fifty thousand dollars because of injury to or destruction of property of others in any one accident.
   h.  If the applicant is applying for a used motor home dealer license, certification that the applicant has met the educational requirements for licensure under section 322C.6A. The certification may be transmitted to the department by the education provider in electronic format.
   2.  The license shall be granted or refused within thirty days after application. A license is valid for a two-year period and expires, unless revoked or suspended by the department, on December 31 of even-numbered years. A licensee shall have the month of expiration and the month after the month of expiration to renew the license.

A used motor home dealer license shall not be renewed for an applicant who is subject to continuing education requirements until the licensee certifies completion of the educational requirements for license renewal under section 322C.6A. The certification may be transmitted to the department by the education provider in electronic format. A person who fails to renew a license by the end of this time period and desires to hold a license shall file a new license application and pay the required fee. A separate license shall be obtained for each county in which an applicant does business as a travel trailer
 
or motor home dealer.
   3.  A licensee shall file with the department a supplemental statement when there is a change in an item of information required under paragraphs “a” to “e”
 
“h” of subsection 1, within fifteen days after the change. Upon filing a supplemental statement, the licensee shall surrender its license to the department together with a thirty-five-dollar fee. The department shall issue a new license modified to reflect the changes on the supplemental statement.
   4.  Before the issuance of a travel trailer dealer’s license, the applicant shall furnish a surety bond executed by the applicant as principal and executed by a corporate surety company, licensed and qualified to do business within this state, which bond shall run to the state of Iowa, be in the amount of twenty-five thousand dollars and be conditioned upon the faithful compliance by the applicant as a dealer with all statutes of this state regulating or applicable to a travel trailer dealer, and shall indemnify any person dealing or transacting business with the dealer from loss or damage caused by the failure of the dealer to comply with the provisions of chapter 321 and this chapter, including the furnishing of a proper and valid certificate of title to a travel trailer, and that the bond shall be filed with the department prior to the issuance of the license. A person licensed under
 
subsection 5 or chapter 322, with the same name and location or locations, is not subject to the provisions of this subsection.
   5.  Before the issuance of a motor home dealer’s license to be a dealer engaged in the sale of motor homes for which a certificate of title is required under chapter 321, the applicant shall furnish a surety bond executed by the applicant as principal and executed by a corporate surety company, licensed and qualified to do business within this state, which bond shall run to the state of Iowa, be in the amount of fifty thousand dollars and be conditioned upon the faithful compliance by the applicant as a dealer with all of the statutes of this state regulating or applicable to the business of a dealer in motor homes, and indemnifying any person who buys a motor home from the dealer from any loss or damage occasioned by the failure of the dealer to comply with any of the provisions of chapter 321 and this chapter, including but not limited to the furnishing of a proper and valid certificate of title to the motor home involved in a transaction. The bond shall also indemnify any motor home purchaser from any loss or damage caused by the failure of the dealer to comply with the odometer requirements in section 321.71, regardless of whether the motor home was purchased directly from the dealer. The bond shall be filed with the department prior to the issuance of a license. The aggregate liability of the surety, however, shall not exceed the amount of the bond. A person licensed under chapter 322, with the same name and location or locations, is not subject to the provisions of this subsection.
    Sec. 32.  NEW SECTION.  322C.4A  Temporary permits.
   1.  A motor home dealer may do any of the following:
   a.  Display new motor homes at fairs, vehicle shows, and vehicle exhibitions, upon application for and receipt of a temporary permit issued by the department.
   b.  Display, offer for sale, and negotiate sales of new motor homes at fair events, as defined in chapter 174, vehicle shows, and vehicle exhibitions, upon application for and receipt of a temporary permit issued by the department. Such activities may only be conducted at fair events, vehicle shows, and vehicle exhibitions that are held in the county of the motor home dealer’s principal place of business. A sale of a motor home by a motor home dealer shall not be completed and an agreement for the sale of a motor home shall not be signed at a fair event, vehicle show, or vehicle exhibition. All such sales shall be consummated at the motor home dealer’s principal place of business.
   2.  An application for a temporary permit under this subsection shall be made upon a form provided by the department and shall be accompanied by a ten dollar permit fee. The department may issue a temporary permit for a period not to exceed fourteen days. The department may issue multiple consecutive temporary permits.
    Sec. 33.  Section 322C.5, Code 2011, is amended to read as follows:
   322C.5  Display of license.
   1.  A license issued under section 322C.4 shall specify the location of the principal place of business and the location of each additional place of business, if any, for which the license is issued, and the license shall be conspicuously displayed at the principal place of business except during periods when the license is surrendered for modification.
   2.  A license issued under section 322C.9 for manufacturers and distributors of motor homes shall specify the location of the office and must be conspicuously displayed at such location. In case such location be changed, the department shall endorse the change of location on the license without charge if it be within the same municipality. A change of location to another municipality shall require a new license.
    Sec. 34.  Section 322C.6, unnumbered paragraph 1, Code 2011, is amended to read as follows:
   A license
 
or permit issued under section 322C.4, 322C.4A, or 322C.9 may be denied, revoked, or suspended, after opportunity for a hearing before the department of inspections and appeals in accordance with chapters 10A and 17A, if it is determined that the licensee or applicant has done any of the following:
    Sec. 35.  Section 322C.6, subsection 2, Code 2011, is amended to read as follows:
   2.  Made a material misrepresentation to the department in connection with an application for a license, certificate of title, or registration of a travel trailer, motor home, or other vehicle.
    Sec. 36.  Section 322C.6, Code 2011, is amended by adding the following new subsections:
   NEW SUBSECTION.  8.  Failing upon the sale or transfer of a motor home to deliver to the purchaser or transferee of the motor home sold or transferred, a manufacturer’s or importer’s certificate, or a certificate of title duly assigned as provided in chapter 321.
   NEW SUBSECTION.  9.  Failing upon the purchasing or otherwise acquiring of a motor home to obtain a manufacturer’s or importer’s certificate, or a certificate of title duly assigned as provided in chapter 321.
   NEW SUBSECTION.  10.  Failing upon the purchasing or otherwise acquiring of a motor home to obtain a new certificate of title to such motor home when and where required in chapter 321.
    Sec. 37.  NEW SECTION.  322C.6A  Used motor home dealer education program.
   1.  An applicant for a license as a used motor home dealer shall complete prelicensing education program courses pursuant to section 322.7A prior to submitting an application to the department.
   2.  A person seeking renewal of a used motor home dealer license shall complete continuing education program courses as provided in section 322.7A.
    Sec. 38.  Section 322C.7, Code 2011, is amended to read as follows:
   322C.7  Manufacturer’s or distributor’s license.
   1.  A manufacturer or distributor of travel trailers shall not engage in business in this state without a license pursuant to this chapter.
   2.  A manufacturer of motor homes, except an alien manufacturer represented by an importer, shall not engage in business as a manufacturer in this state or employ, appoint, or maintain distributors or wholesalers or dealers, without a license as provided in this chapter. However, new motor home dealers may wholesale motor homes without an additional license and used motor home dealers may wholesale used motor homes without an additional license.
    Sec. 39.  NEW SECTION.  322C.8  Wholesaler and distributor’s license.
   1.  A person shall not engage in business as a wholesaler of new motor homes in this state without a license as provided in this chapter. Prior to the issuance of such license, the department, at a minimum, and in addition to any other information the department deems necessary to the application, shall require proof that the applicant has financial liability coverage as defined in section 321.1, except that such coverage shall be in limits of not less than one hundred thousand dollars because of bodily injury to or death of one person in any one accident and, subject to the limit for one person, three hundred thousand dollars because of bodily injury to or death of two or more persons in any one accident, and fifty thousand dollars because of injury to or destruction of property of others in any one accident.
   2.  A distributor or wholesaler of new motor homes shall not sell or offer for sale a new motor home at retail unless licensed as a new motor home dealer. A licensed distributor or wholesaler of a new motor home shall not register or title a new motor home held for sale and shall transfer ownership of a new motor home by assigning the manufacturer’s statement of origin for the motor home.
    Sec. 40.  Section 322C.9, Code 2011, is amended to read as follows:
   322C.9  License application and fees.
   1.  Upon application and payment of a seventy dollar fee for a two-year period or part thereof, a person may be licensed as a manufacturer, wholesaler, or distributor of travel trailers
 
or motor homes. The application shall be in the form and shall contain information as the department prescribes. The license shall be granted or refused within thirty days after application. The license expires, unless sooner revoked or suspended by the department, on December 31 of even-numbered years. A licensee shall have the month of expiration and the month after the month of expiration to renew the license. A person who fails to renew a license by the end of this time period and desires to hold a license shall file a new license application and pay the required fee.
   2.  License fees for each two-year period or part thereof are as follows:

   a.  For a motor home manufacturer, seventy dollars.
   b.  For a travel trailer manufacturer or distributor, seventy dollars.
   c.  For a new motor home distributor or wholesaler, forty dollars.
   3.  A license shall not be issued to a person as a distributor or wholesaler for a new motor home model unless the distributor or wholesaler has written authorization from the manufacturer as a distributor or wholesaler of the motor home model.
   4.  Upon payment of the license fee as provided in this section, a person who rebuilds new completed motor homes by fabricating, altering, adding, or replacing essential parts, components, or equipment for the purpose of building an ambulance, rescue vehicle, fire vehicle, or towing or recovery vehicle as defined in chapter 321 may be issued a license as a wholesaler of new motor homes of the make and model rebuilt without written authorization from the manufacturer.
   5.  Notwithstanding any other provision of this chapter, a person licensed as a wholesaler under subsection 4 may be licensed as a used motor home dealer.
    Sec. 41.  NEW SECTION.  322C.13  Copy of contract to buyer.
   A copy of every retail installment contract shall be furnished to the buyer at the time of the execution of the contract. An acknowledgment by the buyer contained in the body of the retail installment contract of the delivery of a copy thereof shall be conclusive proof of delivery in any action or proceeding by or against any assignee of a retail installment contract.
    Sec. 42.  NEW SECTION.  322C.14  Dual-interest insurance.
   If dual-interest insurance on the motor home is purchased by the holder it shall, within thirty days after execution of the retail installment contract, send or cause to be sent to the buyer a policy or policies or certificate of insurance, written by an insurance company authorized to do business in this state, clearly setting forth the amount of the premium, the kind or kinds of insurance and the coverages. The buyer shall have the privilege of purchasing such insurance from an agent or broker of the buyer’s own selection and of selecting an insurance company acceptable to the holder; but in such case the inclusion of the insurance premium in the retail installment contract shall be optional with the seller. If any insurance is canceled, unearned insurance premium refunds received by the holder shall be credited to the final maturing installments of the contract except to the extent applied toward payment for similar insurance protecting the interests of the buyer and the holder or either of them.
    Sec. 43.  NEW SECTION.  322C.15  Motor home retail installment transactions —— finance charges —— amount.
   1.  Notwithstanding the provisions of any other existing law, a retail installment transaction may include a finance charge not in excess of the following rates:
   a.  Class 1. Any new motor home designated by the manufacturer by a year model not earlier than the year in which the sale is made, an amount equivalent to one and three-fourths percent per month simple interest on the declining balance of the amount financed.
   b.  Class 2. Any new motor home not in Class 1 and any used motor home designated by the manufacturer by a year model of the same or not more than two years prior to the year in which the sale is made, an amount equivalent to two percent per month simple interest on the declining balance of the amount financed.
   c.  Class 3. Any used motor home not in Class 2 and designated by the manufacturer by a year model more than two years prior to the year in which the sale is made, an amount equivalent to two and one-fourth percent per month simple interest on the declining balance of the amount financed.
   2.  For purposes of this section, “amount financed” means as defined in section 537.1301. However, notwithstanding section 322C.21, subsection 3, the amount financed may also include additional charges for the following, which shall not be included in the finance charge:
   a.  A service contract as defined in section 516E.1.
   b.  Voluntary debt cancellation coverage, whether insurance or debt waiver, which may be excluded from the finance charge under the federal Truth in Lending Act as defined in section 537.1302.
    Sec. 44.  NEW SECTION.  322C.16  Extension of time.
   Sections 537.2503 and 537.3402 notwithstanding, if the holder of a retail installment contract in connection with the purchase or sale of a motor home, at the request of the buyer, renews the loan or extends the scheduled due date of all or any part of an installment or installments, the holder may restate the amount of installments and the time schedule for paying installments and collect for installments, subject to the renewal or extension, a finance charge on the outstanding declining balance of the amount financed for the period of the extension or renewal. The finance charge on a renewal or extension under this subsection shall not exceed the rate on the original retail installment contract as limited by section 322C.15.
    Sec. 45.  NEW SECTION.  322C.17  Remaining balance on trade vehicle.
   The extension of credit by a retail seller to a retail buyer, pursuant to a retail installment contract, of the amount actually paid or to be paid by the retail seller to discharge a purchase-money security interest, as provided in section 554.9103, on a motor home traded in by the retail buyer shall not subject the retail seller to the provisions of chapter 536 or 536A.
    Sec. 46.  NEW SECTION.  322C.18  Complaints.
   Any retail buyer having reason to believe that the provisions of this chapter relating to the buyer’s installment contract have been violated may file with the department a written complaint setting forth the details of such alleged violation and the department, upon the receipt of such complaint, may inspect the pertinent books, records, letters and contracts of the licensee or other person relating to such specific complaint.
    Sec. 47.  NEW SECTION.  322C.19  Hearings —— subpoenas.
   1.  The department of transportation and the department of inspections and appeals may issue subpoenas to compel the attendance of witnesses and the production of documents, papers, books, records, and other evidence in any matter over which the respective department has jurisdiction, control, or supervision pertaining to this chapter.
   2.  If a person refuses to obey a subpoena, to give testimony, or to produce evidence as required, a judge of the district court of the state of Iowa in and for Polk county may, upon application and proof of the refusal, make an order awarding process of subpoena, or subpoena duces tecum, out of the court, for the witness to appear before the respective department, to give testimony, and to produce evidence as required. Upon filing the order in the office of the clerk of the district court, the clerk shall issue process of subpoena as directed, under the seal of the court, requiring the person to whom it is directed to appear at the time and place designated.
    Sec. 48.  NEW SECTION.  322C.20  Construction and applicability to contracts.
   Nothing in this chapter shall be construed to impair the obligations of a contract or to prevent a licensee hereunder from requiring performance of a written contract entered into with another licensee hereunder, nor shall the requirement of such performance constitute a violation of any of the provisions of this chapter.
    Sec. 49.  NEW SECTION.  322C.21  Applicability of Iowa consumer credit code.
   1.  The provisions of the Iowa consumer credit code, chapter 537, shall apply to a consumer credit sale in which a licensed motor home dealer participates or engages, and any violation of that code shall be a violation of this chapter.
   2.  Article 2, parts 5 and 6, and article 3, sections 537.3203, 537.3206, 537.3209, 537.3304, 537.3305, and 537.3306 shall apply to any credit transaction as defined in section 537.1301, that is a retail installment transaction. For the purpose of applying provisions of the consumer credit code in those transactions, “consumer credit sale” shall include a sale for a business purpose.
   3.  A provision of the Iowa consumer credit code, chapter 537, shall supersede a conflicting provision of this chapter.
    Sec. 50.  Section 322G.1, Code 2011, is amended to read as follows:
   322G.1  Legislative intent.
   The general assembly recognizes that a motor vehicle is a major consumer acquisition and that a defective motor vehicle undoubtedly creates a hardship for the consumer. The general assembly further recognizes that a duly franchised motor vehicle
 
or motor home dealer is an authorized service agent of the manufacturer. It is the intent of the general assembly that a good faith motor vehicle warranty complaint by a consumer be resolved by the manufacturer within a specified period of time. It is further the intent of the general assembly to provide the statutory procedures whereby a consumer may receive a replacement motor vehicle, or a full refund, for a motor vehicle which cannot be brought into conformity with the warranty provided for in this chapter. However, this chapter does not limit the rights or remedies which are otherwise available to a consumer under any other law.
    Sec. 51.  Section 322G.2, subsection 12, Code 2011, is amended to read as follows:
   12.  “Manufacturer” means a person engaged in the business of constructing or assembling new motor vehicles or installing on previously assembled vehicle chassis special bodies or equipment which, when installed, form an integral part of the new motor vehicle, or a person engaged in the business of importing new motor vehicles into the United States for the purpose of selling or distributing the new motor vehicles to new motor vehicle
 
or motor home dealers.
    Sec. 52.  Section 423C.2, subsection 3, Code 2011, is amended to read as follows:
   3.  “Lessor” means a person engaged in the business of renting automobiles to users. “Lessor” includes a motor vehicle
 
or motor home dealer licensed pursuant to chapter 322
 
or 322C who rents automobiles to users. For this purpose, the objective of making a profit is not necessary to make the renting activity a business.
    Sec. 53.  Section 535.2, subsection 2, paragraph b, subparagraph (6), Code Supplement 2011, is amended to read as follows:
   (6)  With respect to any transaction referred to in paragraph “a” of this subsection, this subsection supersedes any interest-rate or finance-charge limitations contained in the Code, including but not limited to this chapter and chapters 321, 322,
 
322C, 524, 533, 534, 536A, and 537.
    Sec. 54.  Section 537.2201, subsection 1, Code 2011, is amended to read as follows:
   1.  With respect to a consumer credit sale, other than a sale pursuant to open end credit, a creditor may contract for and receive a finance charge not exceeding the maximum charge permitted by the law of this state or the United States for similar creditors. In addition, with respect to a consumer credit sale of goods or services, other than a sale pursuant to open end credit or a sale of a motor vehicle, a creditor may contract for and receive a finance charge not exceeding that permitted in subsections 2 to 6. With respect to a consumer credit sale of a motor vehicle, a creditor may contract for and receive a finance charge as provided in section 322.19
 
or 322C.15, and a finance charge in excess of that provided in section 322.19
 
or 322C.15, is an excess charge in violation of this chapter.
    Sec. 55.  Section 602.8102, Code 2011, is amended by adding the following new subsection:
   NEW SUBSECTION.  55A.  Carry out duties relating to the licensing of motor home dealers as provided in section 322C.19.
    Sec. 56.  TRANSITION PROVISIONS.  The department of transportation shall establish procedures for the implementation of this Act. The procedures shall provide for the transition of the licensure of motor home dealers, manufacturers, wholesalers, and distributors under chapter 322, Code 2011, to licensure under chapter 322C, as amended by this Act.
    Sec. 57.  EFFECTIVE UPON ENACTMENT.  The following provisions of this Act, being deemed of immediate importance, take effect upon enactment:
   1.  The section of this Act enacting section 322.2, subsection 14A.
   2.  The section of this Act amending section 322.36.
    Sec. 58.  APPLICABILITY.
   1.  The provisions of this Act enacting section 322.2, subsection 14A, and amending section 322.36, apply to all persons in the business of selling recreational vehicles, as defined in section 322.2, as amended in this Act.
   2.  Unless otherwise provided, this Act applies to motor home dealers, manufacturers, wholesalers, and distributors applying for initial licensure or renewal of licensure on or after July 1, 2012.
   3.  Unless otherwise provided, this Act applies to all motor home dealers, manufacturers, wholesalers, and distributors on July 1, 2014.
EXPLANATION
   This bill relates to motor home dealer licensing and the business hours of recreational vehicle dealers.
   The bill amends Code section 322.2 by adding a definition for “recreational vehicle” which means a motor home or travel trailer. The bill amends the definition of “motor vehicle” for purposes of Code chapter 322 by excluding “motor home” from the definition. The bill provides that a person who sells recreational vehicles is not required to maintain regular business hours at the principal place of business or another place of business. The bill does require a person selling recreational vehicles to post business contact information and a business telephone number in a conspicuous location in the place of business. The business telephone must be answered by an employee of the dealer or by a recorded message which provides the business’s contact information. 
   The bill requires motor home dealers, manufacturers, wholesalers, and distributors to be licensed under Code chapter 322C, rather than Code chapter 322. Under the bill, the department of transportation may employ employees as is necessary to administer the licensing requirements for motor home dealers, manufacturers, wholesalers, and distributors without the Code chapter 322 limitation that the amount expended in a year cannot exceed the amount generated.
   The bill amends Code chapter 322C.3 to add that the prohibited acts therein apply to motor home dealers, manufacturers, and sales. Code chapters 322 and 322C contain similar prohibitions on a person engaging in the sale of new vehicles or motor homes and used vehicles or motor homes and entering into contracts with manufacturers or distributors for the motor vehicles or motor homes. However, unlike in Code chapter 322, Code chapter 322C does not specifically require the separate licensing of persons employed as salespersons. 
   The bill amends Code section 322C.3 to include provisions regarding a manufacturer or distributor’s retaliatory action, entrance into retail installment agreements, the sale of motor homes on Sunday, fraudulent practices, arbitration, and the amount of compensation. These provisions are substantially similar to provisions in Code section 322.3. 
   Unlike Code section 322.3, the bill does not prohibit a person from selling a motor home from a location other than the person’s place of business and also does not prohibit a manufacturer from having ownership or interest in a dealership.
   The bill amends Code section 322C.3 to provide that a person is not required to obtain a license as a motor home dealer if disposing of a motor home so long as the person is exercising a power or right granted by certain legal instruments or agreements. Code chapter 322 does not contain a similar provision.
   The bill amends Code section 322C.4 regarding application for licensure as a dealer. Unlike in Code chapter 322, an application for licensure, under the provisions of the bill, would not need to include a statement of the applicant’s previous history, a description of the general plan, or a method of doing business.
   The bill amends Code section 322C.4 to require a motor home dealer to furnish a surety bond, proof of financial liability coverage, and certification of the requisite educational requirements as is required under Code chapter 322. Unlike in Code chapter 322, the bill does not provide requirements for the information included in a dealer license once the license is granted. Additionally, under the provisions of the bill, motor home dealer licensees would be required to submit supplemental statements within 15 days and pay a $35 fee. Code chapter 322 did not specify a fee or the number of days within which to submit a supplemental statement for dealer licenses.
   The bill adds provisions to Code chapter 322C regarding temporary permits and display of licenses to mirror provisions in Code chapter 322.
   The bill amends Code section 322C.6, relating to the denial, suspension, or revocation of a dealer or manufacturer license to add similar provisions to those provided in Code section 322.6. Code chapters 322 and 322C contain different criterion for denial, suspension, or revocation of a license. The bill amends Code section 322C.6 to add the following reasons for the department to deny, revoke, or suspend a license that are contained in Code section 322.9: failing to deliver a motor home upon its sale or transfer, failing to obtain a manufacturer’s or importer’s certificate upon the purchase of a motor home, and failing to obtain a new certificate of title.
   The bill amends Code chapter 322C to add Code section 322C.6A regarding continuing education requirements for used motor home dealers, referencing the specific provisions for such education in Code section 322.7A. 
   The bill adds Code section 322C.8 regarding wholesaler and distributor’s licenses. This provision is similar to that provided in Code sections 322.27A and 322.28.
   The bill amends Code section 322C.9, regarding the license and application fees for a manufacturer or distributor to include license and application fees for motor home manufacturers, distributors, and wholesalers. The additions are similar to that provided in Code section 322.29.
   Unlike in Code chapter 322, which has a penalty of a simple misdemeanor and a fine for violation of the chapter, Code section 322C.11 provides that a person who violates the provisions regarding prohibited acts of dealers and a manufacturer or distributor engaging in business in the state without a license is guilty of a serious misdemeanor.
   The bill also adds provisions to Code chapter 322C regarding copy of a contract to a buyer, dual-interest insurance, finance charges, extension of time in a retail installment contract, remaining balance on trade vehicles, complaints, hearings, the construction and applicability to contracts, and the applicability of the Iowa consumer credit code as related to motor home sales, dealers, manufacturers, wholesalers, and distributors. These provisions mirror those contained in Code chapter 322.
   Unlike in Code sections 322.10 and 322.11, the bill does not explicitly provide for judicial review of the department’s actions and injunctions related to motor home dealers, manufacturers, wholesalers, and distributors in Code chapter 322C. Code chapter 322C also does not explicitly contain language allowing the department to adopt rules related to motor home dealers, manufacturers, wholesalers, and distributors.
   The bill also makes conforming amendments regarding the licensing for motor homes.
   The bill requires the department of transportation to establish rules to implement the bill. The bill provides that the provisions of the bill enacting Code section 322.2, subsection 14A, regarding the definition of recreational vehicles, and the section amending Code section 322.36 regarding dealer business hours are effective upon enactment and apply to all persons in the business of selling recreational vehicles, as defined by the bill.
   The bill applies to motor home dealers, manufacturers, wholesalers, and distributors applying for initial or renewal of licensure on or after July 1, 2012, and applies on July 1, 2014, to all motor home dealers, manufacturers, wholesalers, and distributors.