House
File
482
-
Introduced
HOUSE
FILE
482
BY
KAUFMANN
A
BILL
FOR
An
Act
relating
to
vehicle
recyclers,
including
the
transfer
of
1
motor
vehicles
to
vehicle
recyclers
and
compliance
with
the
2
national
motor
vehicle
title
information
system,
and
making
3
penalties
applicable.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
TLSB
2328YH
(3)
86
ns/nh
H.F.
482
Section
1.
Section
321.45,
subsection
2,
paragraph
a,
Code
1
2015,
is
amended
by
adding
the
following
new
subparagraph:
2
NEW
SUBPARAGRAPH
.
(5)
The
vehicle
is
disposed
of
pursuant
3
to
section
321.52,
subsection
2,
paragraph
“b”
.
4
Sec.
2.
Section
321.46,
subsection
1,
Code
2015,
is
amended
5
to
read
as
follows:
6
1.
The
transferee
shall,
within
thirty
calendar
days
after
7
purchase
or
transfer,
apply
for
and
obtain
from
the
county
8
treasurer
of
the
person’s
residence,
or
if
a
nonresident,
the
9
county
treasurer
of
the
county
where
the
primary
users
of
the
10
vehicle
are
located
or
the
county
where
all
other
vehicles
11
owned
by
the
nonresident
are
registered,
or
in
the
case
of
a
12
mobile
home
or
manufactured
home,
the
county
treasurer
of
the
13
county
where
the
mobile
home
or
manufactured
home
is
located,
14
or
if
a
firm,
association,
or
corporation
with
vehicles
in
15
multiple
counties,
the
transferee
may
apply
for
and
obtain
16
from
the
county
treasurer
of
the
county
where
the
primary
17
user
of
the
vehicle
is
located,
a
new
registration
and
a
new
18
certificate
of
title
for
the
vehicle
except
as
provided
in
19
section
321.25
,
321.48
,
or
322G.12
,
or
when
the
transferee
20
obtains
the
vehicle
pursuant
to
section
321.52,
subsection
21
2,
paragraph
“b”
.
The
transferee
shall
present
with
the
22
application
the
certificate
of
title
endorsed
and
assigned
by
23
the
previous
owner
and
shall
indicate
the
name
of
the
county
24
in
which
the
vehicle
was
last
registered
and
the
registration
25
expiration
date.
26
Sec.
3.
Section
321.52,
subsection
2,
Code
2015,
is
amended
27
to
read
as
follows:
28
2.
a.
The
purchaser
or
transferee
of
a
motor
vehicle
29
subject
to
registration
for
which
a
certificate
of
title
is
30
issued
which
is
sold
for
scrap
or
junk
shall
surrender
the
31
certificate
of
title,
properly
endorsed
and
signed
by
the
32
previous
owner,
to
the
county
treasurer
of
the
county
of
33
residence
of
the
transferee,
and
shall
apply
for
a
junking
34
certificate
from
the
county
treasurer,
within
thirty
days
after
35
-1-
LSB
2328YH
(3)
86
ns/nh
1/
7
H.F.
482
assignment
of
the
certificate
of
title
,
except
when
the
vehicle
1
is
disposed
of
pursuant
to
paragraph
“b”
.
The
county
treasurer
2
shall
issue
to
such
person
without
fee
a
junking
certificate.
3
A
junking
certificate
shall
authorize
the
holder
to
possess,
4
transport,
or
transfer
by
endorsement
the
ownership
of
the
5
junked
vehicle.
A
certificate
of
title
shall
not
again
be
6
issued
for
the
vehicle
subsequent
to
the
issuance
of
a
junking
7
certificate
except
as
provided
in
subsection
3
.
The
county
8
treasurer
shall
cancel
the
record
of
the
vehicle.
The
junking
9
certificate
shall
be
printed
on
the
registration
receipt
form
10
and
shall
be
imprinted
with
the
words
“junking
certificate”,
11
as
prescribed
by
the
department.
A
space
for
transfer
by
12
endorsement
shall
be
on
the
junking
certificate.
A
separate
13
form
for
the
notation
of
the
transfer
of
component
parts
shall
14
be
attached
to
the
junking
certificate
when
the
certificate
is
15
issued.
16
b.
The
owner
of
a
motor
vehicle
subject
to
registration
that
17
does
not
have
a
certificate
of
title
or
a
junking
certificate
18
may
dispose
of
the
vehicle
to
a
vehicle
recycler
licensed
under
19
chapter
321H
for
scrap
or
junk
if
the
vehicle
is
twelve
model
20
years
old
or
older
and
is
valued
for
scrap
at
less
than
one
21
thousand
dollars.
22
Sec.
4.
Section
321.52,
subsection
3,
paragraph
a,
Code
23
2015,
is
amended
to
read
as
follows:
24
a.
When
a
vehicle
for
which
a
certificate
of
title
is
issued
25
is
junked
or
dismantled
by
the
owner,
the
owner
shall
detach
26
the
registration
plates
and
surrender
the
plates
to
the
county
27
treasurer,
unless
the
plates
are
properly
assigned
to
another
28
vehicle.
The
owner
shall
also
surrender
the
certificate
of
29
title
to
the
county
treasurer
except
when
the
vehicle
is
30
disposed
of
pursuant
to
subsection
2,
paragraph
“b”
.
31
Sec.
5.
Section
321.67,
Code
2015,
is
amended
to
read
as
32
follows:
33
321.67
Certificate
of
title
must
be
executed.
34
1.
No
person,
except
as
provided
in
sections
321.23
and
35
-2-
LSB
2328YH
(3)
86
ns/nh
2/
7
H.F.
482
321.45
,
and
section
321.52,
subsection
2,
paragraph
“b”
,
shall
1
sell
or
otherwise
dispose
of
a
registered
vehicle
or
a
vehicle
2
subject
to
registration
without
delivering
to
the
purchaser
or
3
transferee
thereof
a
certificate
of
title
with
such
assignment
4
thereon
as
may
be
necessary
to
show
title
in
the
purchaser.
5
2.
No
person
shall
purchase
or
otherwise
acquire
or
bring
6
into
this
state
a
registered
vehicle
or
a
vehicle
subject
to
7
registration
without
obtaining
a
certificate
of
title
thereto
8
except
for
temporary
use
or
as
provided
in
sections
321.23
and
9
321.45
,
and
section
321.52,
subsection
2,
paragraph
“b”
.
10
Sec.
6.
Section
321.104,
subsection
4,
Code
2015,
is
amended
11
to
read
as
follows:
12
4.
To
sell,
offer
for
sale,
or
transfer
a
motor
vehicle,
13
trailer,
or
semitrailer,
except
as
provided
in
section
321.47
14
or
321.48
,
or
section
321.52,
subsection
2,
paragraph
“b”
,
15
without
obtaining
a
certificate
of
title
in
the
name
of
the
16
seller
or
transferor
or
without
delivering
to
the
purchaser
17
or
transferee
a
certificate
of
title
or
a
manufacturer’s
or
18
importer’s
certificate
duly
assigned
to
the
purchaser
or
19
transferee
as
provided
in
this
chapter
.
20
Sec.
7.
Section
321H.2,
Code
2015,
is
amended
by
adding
the
21
following
new
subsection:
22
NEW
SUBSECTION
.
3A.
“National
motor
vehicle
title
23
information
system”
means
the
federally
mandated
motor
vehicle
24
title
history
database
maintained
by
the
United
States
25
department
of
justice
that
links
the
states’
motor
vehicle
26
title
records,
including
the
department’s
title
records,
and
27
that
requires
the
reporting
of
junk
and
salvage
motor
vehicles
28
in
order
to
ensure
that
states,
law
enforcement
agencies,
29
insurers,
and
consumers
have
access
to
information
that
enables
30
the
verification
of
a
vehicle’s
history,
and
the
accuracy
and
31
legality
of
a
motor
vehicle’s
title,
before
a
purchase
or
title
32
transfer
occurs.
33
Sec.
8.
Section
321H.4,
subsection
2,
paragraph
a,
Code
34
2015,
is
amended
to
read
as
follows:
35
-3-
LSB
2328YH
(3)
86
ns/nh
3/
7
H.F.
482
a.
Application
for
a
license
as
an
authorized
vehicle
1
recycler
shall
be
made
to
the
department
on
forms
provided
by
2
the
department.
The
application
shall
be
accompanied
by
a
3
fee
of
seventy
dollars
for
a
two-year
period
or
part
thereof
4
and
proof
of
registration
with
the
national
motor
vehicle
5
title
information
system
.
The
license
shall
be
approved
or
6
disapproved
within
thirty
days
after
application
for
the
7
license.
A
license
expires
on
December
31
of
even-numbered
8
years.
A
licensee
shall
have
the
month
of
expiration
and
the
9
month
after
the
month
of
expiration
to
renew
the
license.
A
10
person
who
fails
to
renew
a
license
by
the
end
of
this
time
11
period
and
desires
to
hold
a
license
shall
file
a
new
license
12
application
and
pay
the
required
fee.
A
separate
license
shall
13
be
obtained
for
each
county
in
which
an
applicant
conducts
14
operations.
15
Sec.
9.
NEW
SECTION
.
321H.4A
National
motor
vehicle
title
16
information
system.
17
1.
A
vehicle
recycler
licensed
under
this
chapter
and
18
subject
to
the
requirements
of
28
C.F.R.
§25.56
shall
register
19
with
the
national
motor
vehicle
title
information
system.
20
2.
a.
Except
as
provided
in
paragraph
“b”
,
for
any
vehicle
21
subject
to
registration
under
chapter
321
purchased
by
a
22
vehicle
recycler
licensed
under
this
chapter
and
subject
to
the
23
requirements
of
28
C.F.R.
§25.56,
the
vehicle
recycler
shall
24
comply
with
the
reporting
requirements
of
28
C.F.R.
§25.56
25
within
forty-eight
hours
of
purchasing
the
vehicle.
Records
of
26
the
vehicle
recycler’s
compliance
shall
be
kept
by
the
vehicle
27
recycler
for
at
least
three
years
after
the
purchase
of
the
28
vehicle,
and
shall
be
open
for
inspection
by
any
peace
officer
29
during
normal
business
hours.
The
department
shall
adopt
rules
30
to
implement
this
section,
including
but
not
limited
to
rules
31
requiring
the
retention
of
records
not
required
by
28
C.F.R.
32
§25.56.
33
b.
Paragraph
“a”
does
not
apply
to
a
vehicle
that
has
34
been
crushed
or
flattened
by
mechanical
means
in
such
a
way
35
-4-
LSB
2328YH
(3)
86
ns/nh
4/
7
H.F.
482
that
it
no
longer
resembles
the
vehicle
described
by
the
1
certificate
of
title
if
the
vehicle
recycler
who
purchased
the
2
vehicle
verifies
that
the
seller
of
the
vehicle
has
met
the
3
requirements
of
paragraph
“a”
.
The
department
shall
adopt
rules
4
relating
to
the
form
of
the
verification,
and
the
manner
in
5
which
the
verification
shall
be
retained.
6
Sec.
10.
Section
321H.5,
Code
2015,
is
amended
to
read
as
7
follows:
8
321H.5
Display
of
license.
9
A
license
issued
under
the
provisions
of
this
chapter
shall
10
specify
the
location
of
the
principal
place
of
business,
the
11
location
of
each
extension
within
the
county
of
the
principal
12
place
of
business
and
the
,
and
the
licensee’s
registration
13
number
for
the
national
motor
vehicle
title
information
system.
14
The
license
shall
be
conspicuously
displayed
at
the
principal
15
place
of
business
except
during
periods
when
the
license
is
16
surrendered
for
modifications.
17
Sec.
11.
Section
321H.6,
unnumbered
paragraph
1,
Code
2015,
18
is
amended
to
read
as
follows:
19
The
license
of
a
person
issued
under
the
provisions
of
20
this
chapter
may
be
denied,
revoked,
or
suspended
,
and
an
21
application
for
a
license
under
this
chapter
may
be
denied,
if
22
the
department
finds
any
of
the
following:
23
Sec.
12.
Section
321H.6,
Code
2015,
is
amended
by
adding
the
24
following
new
subsection:
25
NEW
SUBSECTION
.
7.
The
licensee
has
failed
to
comply
with
26
section
321H.4A
or
28
C.F.R.
§25.56.
27
EXPLANATION
28
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
29
the
explanation’s
substance
by
the
members
of
the
general
assembly.
30
This
bill
relates
to
vehicle
recyclers,
including
the
31
transfer
of
motor
vehicles
to
vehicle
recyclers
and
compliance
32
with
the
national
motor
vehicle
title
information
system.
33
The
bill
provides
that
the
owner
of
a
motor
vehicle
that
34
does
not
have
a
certificate
of
title
or
a
junking
certificate
35
-5-
LSB
2328YH
(3)
86
ns/nh
5/
7
H.F.
482
may
dispose
of
the
vehicle
to
a
vehicle
recycler
licensed
1
under
Code
chapter
321H
for
scrap
or
junk
if
the
vehicle
is
12
2
model
years
old
or
older
and
is
valued
for
scrap
at
less
than
3
$1,000.
The
bill
exempts
vehicles
disposed
of
this
way
from
4
certain
title
application,
delivery,
surrender,
and
transfer
5
requirements.
6
The
bill
defines
“national
motor
vehicle
title
information
7
system”
(NMVTIS)
as
the
federally
mandated
motor
vehicle
title
8
history
database
maintained
by
the
United
States
department
of
9
justice
that
links
the
states’
motor
vehicle
title
records,
10
including
the
department
of
transportation’s
title
records,
and
11
that
requires
the
reporting
of
junk
and
salvage
motor
vehicles
12
in
order
to
ensure
that
states,
law
enforcement
agencies,
13
insurers,
and
consumers
have
access
to
information
that
enables
14
the
verification
of
a
vehicle’s
history,
and
the
accuracy
and
15
legality
of
a
motor
vehicle’s
title,
before
a
purchase
or
title
16
transfer
occurs.
17
The
bill
requires
applicants
seeking
to
become
an
authorized
18
vehicle
recycler
to
provide
proof
of
registration
with
the
19
NMVTIS.
In
addition,
the
bill
requires
a
vehicle
recycler
20
license
to
state
the
licensee’s
registration
number
for
the
21
NMVTIS.
22
The
bill
requires
a
licensed
vehicle
recycler
subject
to
23
federal
regulations
relating
to
the
NMVTIS
to
register
with
the
24
NMVTIS,
and
for
any
vehicle
purchased
by
the
vehicle
recycler,
25
to
comply
with
the
federal
reporting
requirements
within
48
26
hours
of
purchasing
the
vehicle.
Records
of
the
vehicle
27
recycler’s
compliance
shall
be
kept
by
the
vehicle
recycler
for
28
at
least
three
years
after
the
purchase
of
the
vehicle,
and
29
shall
be
open
for
inspection
by
any
peace
officer
during
normal
30
business
hours.
The
bill
provides
that
the
department
of
31
transportation
shall
adopt
rules
to
implement
these
provisions,
32
including
but
not
limited
to
rules
requiring
the
retention
of
33
records
not
required
by
federal
regulations
relating
to
the
34
NMVTIS.
These
requirements
do
not
apply
to
a
vehicle
that
35
-6-
LSB
2328YH
(3)
86
ns/nh
6/
7
H.F.
482
has
been
crushed
or
flattened
by
mechanical
means
in
such
a
1
way
that
it
no
longer
resembles
the
vehicle
described
by
the
2
certificate
of
title
if
the
vehicle
recycler
who
purchased
3
the
vehicle
verifies
that
the
seller
of
the
vehicle
has
met
4
the
requirements.
The
bill
provides
that
the
department
of
5
transportation
shall
adopt
rules
relating
to
the
form
of
the
6
verification,
and
the
manner
in
which
the
verification
shall
7
be
retained.
A
violation
of
these
provisions
is
a
serious
8
misdemeanor
punishable
by
a
fine
of
at
least
$315,
but
not
to
9
exceed
$1,875,
and
imprisonment
not
to
exceed
one
year.
10
The
bill
provides
that
an
authorized
vehicle
recycler
11
license,
or
an
application
for
such
a
license,
may
be
denied,
12
revoked,
or
suspended
if
the
department
of
transportation
finds
13
that
the
licensee
has
not
complied
with
the
provisions
of
the
14
bill
or
with
federal
regulations
relating
to
the
NMVTIS.
15
-7-
LSB
2328YH
(3)
86
ns/nh
7/
7