SF 292 (LSB 1853XS (2) 90)

SENATE FILE 292

BY  WESTRICH

A BILL FOR

An Act relating to writing fees required for certain all-terrain vehicle, snowmobile, and water vessel transactions completed by a county recorder.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 321G.27, subsection 1, paragraphs a, b, and c, Code 2023, are amended by striking the paragraphs.
    Sec. 2.  Section 321G.27, subsection 1, Code 2023, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  0d.  The county recorder shall collect a writing fee of one dollar and twenty-five cents for each privilege under this chapter.
    Sec. 3.  Section 321G.29, subsection 3, Code 2023, is amended to read as follows:
   3.  An owner of a snowmobile shall apply to the county recorder for issuance of a certificate of title within thirty days after acquisition. The application shall be on forms the department prescribes and accompanied by the required fee specified in section 321G.30 and the writing fee specified in section 321G.27. The application shall include a certification signed in writing containing substantially the representation that statements made are true and correct to the best of the applicant’s knowledge, information, and belief, under penalty of perjury. The application shall contain the date of sale and gross price of the snowmobile or the fair market value if no sale immediately preceded the transfer and any additional information the department requires. If the application is made for a snowmobile last previously registered or titled in another state or foreign country, the application shall contain this information and any other information the department requires.
    Sec. 4.  Section 321G.31, Code 2023, is amended to read as follows:
   321G.31  Transfer or repossession by operation of law.
   1.  If ownership of a snowmobile is transferred by operation of law, such as by inheritance, order in bankruptcy, insolvency, replevin, or execution sale, the transferee, within thirty days after acquiring the right to possession of the snowmobile, shall mail or deliver to the county recorder of the transferee’s county of residence satisfactory proof of ownership as the county recorder requires, together with an application for a new certificate of title, and the required fee, plus the writing fee specified in section 321G.27. However, if the transferee is the surviving spouse of the deceased owner, the county recorder shall waive the required fee fees.
   2.  If a lienholder repossesses a snowmobile by operation of law and holds it for resale, the lienholder shall secure a new certificate of title and shall pay the required fee, plus the writing fee specified in section 321G.27.
    Sec. 5.  Section 321G.32, subsection 1, Code 2023, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  c.  The application shall be accompanied by the writing fee specified in section 321G.27.
    Sec. 6.  Section 321I.29, subsection 1, paragraphs a, b, and c, Code 2023, are amended by striking the paragraphs.
    Sec. 7.  Section 321I.29, subsection 1, Code 2023, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  0d.  The county recorder shall collect a writing fee of one dollar and twenty-five cents for each privilege under this chapter.
    Sec. 8.  Section 321I.31, subsection 3, Code 2023, is amended to read as follows:
   3.  An owner of an all-terrain vehicle shall apply to the county recorder for issuance of a certificate of title within thirty days after acquisition. The application shall be on forms the department prescribes and accompanied by the required fee specified in section 321I.32 and the writing fee specified in section 321I.29. The application shall include a certification signed in writing containing substantially the representation that statements made are true and correct to the best of the applicant’s knowledge, information, and belief, under penalty of perjury. The application shall contain the date of sale and gross price of the all-terrain vehicle or the fair market value if no sale immediately preceded the transfer and any additional information the department requires. If the application is made for an all-terrain vehicle last previously registered or titled in another state or foreign country, the application shall contain this information and any other information the department requires.
    Sec. 9.  Section 321I.33, Code 2023, is amended to read as follows:
   321I.33  Transfer or repossession by operation of law.
   1.  If ownership of an all-terrain vehicle is transferred by operation of law, such as by inheritance, order in bankruptcy, insolvency, replevin, or execution sale, the transferee, within thirty days after acquiring the right to possession of the all-terrain vehicle, shall mail or deliver to the county recorder of the transferee’s county of residence satisfactory proof of ownership as the county recorder requires, together with an application for a new certificate of title, and the required fee, plus the writing fee specified in section 321I.29. However, if the transferee is the surviving spouse of the deceased owner, the county recorder shall waive the required fee fees.
   2.  If a lienholder repossesses an all-terrain vehicle by operation of law and holds it for resale, the lienholder shall secure a new certificate of title and shall pay the required fee, plus the writing fee specified in section 321I.29.
    Sec. 10.  Section 321I.34, subsection 1, Code 2023, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  c.  The application shall be accompanied by the writing fee specified in section 321I.29.
    Sec. 11.  Section 462A.77, subsection 4, Code 2023, is amended to read as follows:
   4.  Every owner of a vessel subject to titling under this chapter shall apply to the county recorder for issuance of a certificate of title for the vessel within thirty days after acquisition. The application shall be on forms the department prescribes, and accompanied by the required fee specified in section 462A.78 and the writing fee specified in section 462A.53. The application shall be signed and shall include a certification signed in writing containing substantially the representation that statements made are true and correct to the best of the applicant’s knowledge, information, and belief, under penalty of perjury. The application shall contain the date of sale and gross price of the vessel or the fair market value if no sale immediately preceded the transfer, and any additional information the department requires. If the application is made for a vessel last previously registered or titled in another state or foreign country, it shall contain this information and any other information the department requires.
    Sec. 12.  Section 462A.82, subsections 1 and 2, Code 2023, are amended to read as follows:
   1.  If ownership of a vessel is transferred by operation of law, such as by inheritance, order in bankruptcy, insolvency, replevin, execution sale, or in compliance with section 578A.7, the transferee, within thirty days after acquiring the right to possession of the vessel by operation of law, shall mail or deliver to the county recorder satisfactory proof of ownership as the county recorder requires, together with an application for a new certificate of title, and the required fee, plus the writing fee specified in section 462A.53. However, if the transferee is the surviving spouse of the deceased owner, the county recorder shall waive the required fee fees. A title tax is not required on these transactions.
   2.  If a lienholder repossesses a vessel by operation of law and holds it for resale, the lienholder shall secure a new certificate of title and shall pay the required fee, plus the writing fee specified in section 462A.53.
    Sec. 13.  Section 462A.84, subsection 1, Code 2023, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  c.  The application shall be accompanied by the writing fee specified in section 462A.53.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill relates to writing fees required for certain all- terrain vehicle, snowmobile, and water vessel transactions completed by a county recorder.
   WATER VESSELS. Under current law, a county recorder collects a writing fee of $1.25 for “each privilege” under Code chapter 462A (water navigation regulations). A writing fee is paid by the boat owner to the county recorder for handling the transaction. The writing fee is specifically required with applications for registration, including new or duplicate certificates of registration (Code section 462A.5). The writing fee is also specifically required for transfers of ownership of vessels with an expired registration, due when the transferee pays all applicable fees for the current registration period (Code section 462A.43), and with applications for transfer (Code section 462A.44). The writing fee is not specifically mentioned for applications for issuance of a certificate of title (Code section 462A.77), which requires the application to be accompanied by the required fee. The required fee for issuance of a certificate of title, a transfer of title, a duplicate, or a corrected certificate of title is $5 plus a surcharge of $5 (Code section 462A.78). Likewise, the writing fee is not specifically mentioned for perfection of a security interest, for which the application fee is $5 (Code section 462A.84). The bill specifies that applications for a certificate of title or perfection of a security interest are subject to the writing fee.
   SNOWMOBILES AND ALL-TERRAIN VEHICLES. In contrast to water vessels, the writing fee provisions for snowmobiles and all- terrain vehicles explicitly impose the $1.25 writing fee only for registration or renewal, user permits, and duplicate special registration certificates (Code sections 321G.27 and 321I.29). The bill alters these provisions to instead apply to “each privilege” under the respective Code chapter, and specifies that applications for a certificate of title or perfection of a security interest are subject to the writing fee.
   Current law provides that a license agent shall collect a writing fee of $1 for each snowmobile or all-terrain vehicle registration or renewal and for the sale of each user permit. The bill does not amend these provisions.