S.F. 230 Section 1. Section 321.52, subsection 4, paragraph e, Code 1 2021, is amended to read as follows: 2 e. For purposes of this subsection , “wrecked or salvage 3 vehicle” means a damaged motor vehicle subject to registration 4 for which the cost of repair exceeds fifty seventy percent 5 of the fair market value of the vehicle, as determined in 6 accordance with rules adopted by the department, before it the 7 vehicle became damaged. 8 Sec. 2. Section 321H.2, subsection 12, Code 2021, is amended 9 to read as follows: 10 12. “Wrecked or salvage vehicle” means a damaged vehicle for 11 which the cost of repair exceeds fifty seventy percent of the 12 fair market value of the vehicle before it the vehicle became 13 damaged. 14 EXPLANATION 15 The inclusion of this explanation does not constitute agreement with 16 the explanation’s substance by the members of the general assembly. 17 Under current law, a wrecked or salvage vehicle is a damaged 18 vehicle for which the cost of repair exceeds 50 percent of the 19 fair market value of the vehicle before the vehicle became 20 damaged. This bill increases the cost of repair threshold to 21 70 percent of the fair market value of the vehicle. 22 By operation of law, the bill affects the definition of 23 “salvage pool” under Code chapter 321, the circumstances 24 under which a salvage certificate of title is required under 25 Code section 321.52, the circumstances under which a damage 26 disclosure statement under Code section 321.69 is required 27 to indicate damage to a vehicle on the vehicle’s certificate 28 of title, and the prohibited actions relating to vehicle 29 rebuilding and restoration under Code section 321H.3. 30 -1- LSB 1685SV (1) 89 th/ns 1/ 1