H.F. 241 Section 1. Section 462A.5, Code 2011, is amended to read as 1 follows: 2 462A.5 Registration and identification number. 3 1. The owner of each vessel required to be numbered by this 4 state shall register it every three years with the commission 5 through the county recorder of the county in which the owner 6 resides, or, if the owner is a nonresident, the owner shall 7 register it in the county in which such vessel is principally 8 used. The commission shall develop and maintain an electronic 9 system for the registration of vessels pursuant to this 10 chapter . The commission shall establish forms and procedures 11 as necessary for the registration of all vessels. 12 2. The owner of the vessel shall file an application for 13 registration with the appropriate county recorder on forms 14 provided by the commission. The application shall be completed 15 and signed by the owner of the vessel and shall be accompanied 16 by the appropriate fee, and the writing fee specified in 17 section 462A.53 . 18 a. Upon applying for registration, the owner shall display 19 a bill of sale, receipt, or other satisfactory proof of 20 ownership as provided by the rules of the commission to the 21 county recorder. If the county recorder is not satisfied as to 22 the ownership of the vessel or that there are no undisclosed 23 security interests in the vessel, the county recorder may 24 register the vessel but shall, as a condition of issuing a 25 registration certificate, require the applicant to follow the 26 procedure provided in section 462A.5A . 27 b. Upon receipt of the application in approved form 28 accompanied by the required fees, the county recorder shall 29 enter it upon the records of the recorder’s office and shall 30 issue to the applicant a pocket-size registration certificate. 31 The certificate shall be executed in triplicate, one copy to 32 be delivered to the owner, one copy to the commission, and one 33 copy to be retained on file by the county recorder. 34 c. The registration certificate shall bear the number 35 -1- LSB 2251YH (2) 84 av/nh 1/ 6

H.F. 241 awarded to the vessel, the passenger capacity of the vessel, 1 and the name and address of the owner. 2 3. In the use of all vessels required to be numbered by 3 this state, except nonpowered sailboats , nonpowered canoes, 4 and commercial vessels, the registration certificate shall be 5 carried either in the vessel or on the person of the operator 6 of the vessel when in use. In the use of nonpowered sailboats , 7 nonpowered canoes, or commercial vessels, the registration 8 certificate may be kept on shore in accordance with rules 9 adopted by the commission. The operator shall exhibit the 10 certificate to a peace officer upon request or, when involved 11 in an occurrence of any nature with another vessel or other 12 personal property, to the owner or operator of the other vessel 13 or personal property. 14 4. A vessel that has an expired registration certificate 15 from another state may be registered in this state upon proper 16 application, payment of all applicable registration and writing 17 fees, and payment of a penalty of five dollars. 18 5. On all vessels required to be numbered by this state, 19 except nonpowered sailboats , the owner shall cause the 20 identification number to be painted on or attached to each side 21 of the bow of the vessel in such size and manner as may be 22 prescribed by the rules of the commission. On nonpowered boats 23 sailboats the number may be placed at alternate locations as 24 prescribed by the rules of the commission. All numbers shall 25 be maintained in a legible condition at all times. 26 6. No number, other than the number awarded to a vessel 27 under the provisions of this chapter or granted reciprocity 28 pursuant to this chapter , shall be painted, attached , or 29 otherwise displayed on either side of the bow of such vessel. 30 7. The owner of each vessel required to be numbered by this 31 state must display and maintain, in a legible manner and in a 32 prominent spot on the exterior of such vessel, other than the 33 bow, the passenger capacity of the vessel which must conform 34 with the passenger capacity designated on the registration 35 -2- LSB 2251YH (2) 84 av/nh 2/ 6

H.F. 241 certificate. 1 2. 8. When an agency of the United States government shall 2 have has in force an overall system of identification numbering 3 for vessels, the numbering system prescribed by the commission 4 pursuant to this chapter , shall be in conformity therewith with 5 the federal system of identification numbering . 6 3. 9. The registration fees for vessels subject to this 7 chapter are as follows: 8 a. For vessels of any length without motor or sail, twelve 9 dollars. 10 b. a. For motorboats or sailboats less than sixteen feet in 11 length, twenty-two dollars and fifty cents. 12 c. b. For motorboats or sailboats sixteen feet or more, but 13 less than twenty-six feet in length, thirty-six dollars. 14 d. c. For motorboats or sailboats twenty-six feet or more, 15 but less than forty feet in length, seventy-five dollars. 16 e. d. For motorboats or sailboats forty feet in length or 17 more, one hundred fifty dollars. 18 f. e. For all personal watercraft, forty-five dollars. 19 10. Every registration certificate and number issued 20 becomes delinquent at midnight April 30 of the last calendar 21 year of the registration period unless terminated or 22 discontinued in accordance with this chapter . After January 1, 23 2007, an unregistered vessel and a renewal of registration may 24 be registered for the three-year registration period beginning 25 May 1 of that year. 26 a. When unregistered vessels are registered after May 1 of 27 the second year of the three-year registration period, such 28 unregistered vessels may be registered for the remainder of the 29 current registration period at two-thirds of the appropriate 30 registration fee. 31 b. When unregistered vessels are registered after May 1 32 of the third year of the three-year registration period, such 33 unregistered vessels may be registered for the remainder of the 34 current registration period at one-third of the appropriate 35 -3- LSB 2251YH (2) 84 av/nh 3/ 6

H.F. 241 registration fee. 1 11. If a timely application for renewal is made, the 2 applicant shall receive the same registration number allocated 3 to the applicant for the previous registration period. If the 4 application for registration for the three-year registration 5 period is not made before May 1 of the last calendar year of the 6 registration period, the applicant shall be charged a penalty 7 of five dollars. 8 4. 12. a. If a person, after registering a vessel, moves 9 from the address shown on the registration certificate, the 10 person shall, within ten days, notify the county recorder in 11 writing of the old and new address. If appropriate, the county 12 recorder shall forward all past records of the vessel to the 13 recorder of the county in which the owner resides. 14 b. If the name of a person, who has registered a vessel, is 15 changed, the person shall, within ten days, notify the county 16 recorder of the former and new name. 17 c. No fee shall be paid to the county recorder for making 18 the changes mentioned in this subsection , unless the owner 19 requests a new registration certificate showing the change, in 20 which case a fee of one dollar plus a writing fee shall be paid 21 to the recorder. 22 13. a. If a registration certificate is lost, mutilated or 23 becomes illegible, the owner shall immediately make application 24 for and obtain a duplicate registration certificate by 25 furnishing information satisfactory to the county recorder. 26 b. A fee of one dollar plus a writing fee shall be paid to 27 the county recorder for a duplicate registration certificate. 28 14. If a vessel, registered under this chapter , is destroyed 29 or abandoned, the destruction or abandonment shall be reported 30 to the county recorder and the registration certificate shall 31 be forwarded to the office of the county recorder within ten 32 days after the destruction or abandonment. 33 5. 15. All records of the commission and the county 34 recorder, other than those declared by law to be confidential 35 -4- LSB 2251YH (2) 84 av/nh 4/ 6

H.F. 241 for the use of the commission and the county recorder, shall be 1 open to public inspection during office hours. 2 6. 16. The owner of each vessel which has a valid marine 3 document issued by the bureau of customs of the United States 4 government or any federal agency successor thereto shall 5 register it every three years with the county recorder in the 6 same manner prescribed for undocumented vessels and shall cause 7 the registration validation decal to be placed on the vessel in 8 the manner prescribed by the rules of the commission. When the 9 vessel bears the identification required in the documentation, 10 it is exempt from the placement of the identification numbers 11 as required on undocumented vessels. The fee for such 12 registration is twenty-five dollars plus a writing fee. 13 7. 17. If the owner of a currently registered vessel places 14 the vessel in storage, the owner shall return the registration 15 certificate to the county recorder with an affidavit stating 16 that the vessel is placed in storage and the effective date of 17 the storage. The county recorder shall notify the commission 18 of each registered vessel placed in storage. When the owner 19 of a stored vessel desires to renew the vessel’s registration, 20 the owner shall apply to the county recorder and pay the 21 registration fees plus a writing fee as provided in subsections 22 1 2 and 3 9 without penalty. No refund of registration fees 23 shall be allowed for a stored vessel. 24 8. 18. The registration certificate shall indicate if the 25 vessel is subject to the requirement of a certificate of title 26 and the county from which the certificate of title is issued. 27 Sec. 2. Section 462A.5A, Code 2011, is amended to read as 28 follows: 29 462A.5A Filing bond as assurance of ownership. 30 An applicant for registration of a vessel for which the 31 county recorder is not satisfied as to the ownership of the 32 vessel as provided in section 462A.5, subsection 1 2 , shall 33 file with the department a bond in the form prescribed by the 34 department and executed by the applicant, and also executed by 35 -5- LSB 2251YH (2) 84 av/nh 5/ 6

H.F. 241 a person authorized to conduct a surety business in this state. 1 The form and amount of the bond shall be established by rule 2 of the department. The bond shall be conditioned to indemnify 3 any prior owner and secured party and any subsequent purchaser 4 of the vessel or person acquiring any security interest in the 5 vessel, and their respective successors in interest, against 6 any expense, loss, or damage, including reasonable attorney 7 fees, by reason of the issuance of the registration certificate 8 of the vessel or on account of any defect in or undisclosed 9 security interest upon the right, title, and interest of the 10 applicant in and to the vessel. Any such interested person 11 has a right of action to recover on the bond for any breach of 12 its conditions, but the aggregate liability of the surety to 13 all persons shall not exceed the amount of the bond. The bond 14 shall be returned at the end of three years or prior thereto 15 if the vessel is no longer registered in this state and the 16 registration certificate is surrendered to the department, 17 unless the department has been notified of the pendency of an 18 action to recover on the bond. 19 Sec. 3. Section 462A.6, subsection 7, Code 2011, is amended 20 by striking the subsection and inserting in lieu thereof the 21 following: 22 7. A vessel of any length without motor or sail. 23 EXPLANATION 24 This bill provides that a vessel of any length without 25 a motor or sail is exempt from the registration and 26 identification numbering requirements of Iowa law. Currently, 27 the only vessels without a motor or sail that are exempt from 28 these requirements are inflatable vessels, seven feet or less 29 in length, and conventional design canoes and kayak-type 30 vessels, 13 feet or less in length. 31 A coordinating change is made to an internal reference in 32 Code section 462A.5A. 33 -6- LSB 2251YH (2) 84 av/nh 6/ 6