Senate Study Bill 1171 - Introduced SENATE FILE _____ BY (PROPOSED COMMITTEE ON TRANSPORTATION BILL BY CHAIRPERSON KLIMESH) A BILL FOR An Act relating to the issuance and suspension of motor vehicle 1 registrations and certificates of title. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 2198XC (2) 90 th/ns

S.F. _____ Section 1. Section 321.30, subsection 1, paragraph d, Code 1 2023, is amended to read as follows: 2 d. That the registration of the vehicle stands suspended 3 or revoked , or the person applying for registration is 4 prohibited from registering a motor vehicle, for any reason 5 as provided in the motor vehicle laws of this state , except 6 that the department and the county treasurer shall not refuse 7 registration and issuance of a certificate of title or transfer 8 of title as provided in section 321A.5 or 321A.17, or in 9 accordance with rules adopted by the department . 10 Sec. 2. Section 321A.5, Code 2023, is amended by adding the 11 following new subsection: 12 NEW SUBSECTION . 5. Notwithstanding any provision of this 13 section to the contrary, the department and a county treasurer 14 shall not refuse registration and issuance or transfer of a 15 certificate of title to a person required by this section to 16 deposit security, but the registration, once issued, shall be 17 immediately suspended and the suspension shall remain in effect 18 unless and until the owner deposits security in accordance with 19 this section. 20 Sec. 3. Section 321A.17, Code 2023, is amended by adding the 21 following new subsection: 22 NEW SUBSECTION . 10. Notwithstanding any provision of this 23 section to the contrary, the department and a county treasurer 24 shall not refuse registration and issuance or transfer of 25 a certificate of title to a person required to give and 26 thereafter maintain proof of financial responsibility under 27 this section, but the registration, once issued, shall be 28 immediately suspended and the suspension shall remain in effect 29 unless and until the person gives and thereafter maintains 30 proof of financial responsibility as required by this section. 31 EXPLANATION 32 The inclusion of this explanation does not constitute agreement with 33 the explanation’s substance by the members of the general assembly. 34 Under current law, the department of transportation (DOT) 35 -1- LSB 2198XC (2) 90 th/ns 1/ 2

S.F. _____ or a county treasurer is required to refuse registration and 1 issuance of a certificate of title or transfer of title for a 2 motor vehicle if, among other reasons, the registration of the 3 vehicle stands suspended or revoked for any reason as provided 4 in the motor vehicle laws of this state. 5 The DOT is required to suspend a vehicle registration for 6 a variety of reasons. Among other circumstances, under Code 7 section 321A.5, the DOT must suspend a registration within 8 60 days after receiving a report of a motor vehicle accident 9 within this state which resulted in bodily injury to, death 10 of, or damage to the property in the amount of $1,500 or more 11 of, any one person. Under Code section 321A.17, the DOT 12 is required to suspend the registration of a person who is 13 convicted for a violation of Code chapter 321J (operating while 14 intoxicated), whose driver’s license was suspended or revoked, 15 or who forfeits bail after operating while intoxicated. The 16 registration remains suspended until the person gives and 17 maintains proof of financial responsibility. The proof of 18 financial responsibility must include one of a list of options, 19 including form SR-22, pursuant to the DOT’s administrative 20 rules. 21 In such circumstances, this bill requires the DOT and 22 a county treasurer to issue a registration for a vehicle 23 and, if registration is issued, requires the DOT or a county 24 treasurer to immediately suspend the registration, unless 25 the person deposits security in accordance with Code section 26 321A.5 or gives and thereafter maintains proof of financial 27 responsibility in accordance with Code section 321A.17, as 28 applicable. 29 A person who operates any motor vehicle upon the highways 30 if the certificate of title has been canceled, or while 31 the registration is suspended or revoked, commits a simple 32 misdemeanor punishable by a scheduled fine of $135. 33 -2- LSB 2198XC (2) 90 th/ns 2/ 2