House Study Bill 517 - Introduced HOUSE FILE _____ BY (PROPOSED COMMITTEE ON COMMERCE BILL BY CHAIRPERSON COWNIE) A BILL FOR An Act modifying provisions applicable to the recording of 1 a mortgage or deed of trust executed by a transmitting 2 utility. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5497HC (2) 85 rn/sc
H.F. _____ Section 1. Section 554B.3, Code 2014, is amended to read as 1 follows: 2 554B.3 Recording mortgage or deed of trust upon real estate. 3 Any mortgage or deed of trust upon real estate executed 4 by a transmitting utility may provide that property of 5 the transmitting utility, whether owned at the time of the 6 execution of the instrument or subsequently acquired, shall 7 secure the obligations covered by the instrument. Recording 8 Filing the instrument in the office of the recorder of each 9 county in which secretary of state, describing therein the 10 location of such property, or any part thereof, described in 11 the instrument is situated shall give constructive notice to 12 all persons of the lien of the mortgage or deed of trust from 13 the time of recording filing or, in the case of subsequently 14 acquired real estate, from the time of acquisition. 15 EXPLANATION 16 The inclusion of this explanation does not constitute agreement with 17 the explanation’s substance by the members of the general assembly. 18 This bill modifies the manner in which constructive notice 19 of a mortgage or deed of trust executed by a transmitting 20 utility is given. 21 Currently, Code section 554B.3 specifies that a mortgage or 22 deed of trust in connection to real estate which is executed 23 by a transmitting utility shall be recorded in the office of 24 the recorder of each county in which any property securing the 25 obligations covered by the instrument and described in the 26 instrument is situated. The bill alters this provision to 27 state that the mortgage or deed of trust shall be filed in the 28 office of the secretary of state, rather than in each county in 29 which property described in the instrument is situated. 30 -1- LSB 5497HC (2) 85 rn/sc 1/ 1