House
Study
Bill
295
-
Introduced
HOUSE
FILE
_____
BY
(PROPOSED
COMMITTEE
ON
LOCAL
GOVERNMENT
BILL
BY
CHAIRPERSON
JONES)
A
BILL
FOR
An
Act
relating
to
the
release
of
liens
on
snowmobiles,
1
all-terrain
vehicles,
and
water
vessels.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
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2426YC
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_____
Section
1.
Section
321G.32,
Code
2025,
is
amended
by
adding
1
the
following
new
subsection:
2
NEW
SUBSECTION
.
4.
If
a
lien
has
been
released
by
the
3
lienholder,
proof
of
such
release
may
be
presented
to
the
4
county
recorder
of
any
county,
and
the
county
recorder
shall
5
note
the
release
on
the
face
of
the
certificate
of
title
and
6
enter
the
release
on
the
statewide
computer
system.
7
Sec.
2.
Section
321I.34,
Code
2025,
is
amended
by
adding
the
8
following
new
subsection:
9
NEW
SUBSECTION
.
4.
If
a
lien
has
been
released
by
the
10
lienholder,
proof
of
such
release
may
be
presented
to
the
11
county
recorder
of
any
county,
and
the
county
recorder
shall
12
note
the
release
on
the
face
of
the
certificate
of
title
and
13
enter
the
release
on
the
statewide
computer
system.
14
Sec.
3.
Section
462A.84,
Code
2025,
is
amended
by
adding
the
15
following
new
subsection:
16
NEW
SUBSECTION
.
4.
If
a
lien
has
been
released
by
the
17
lienholder,
proof
of
such
release
may
be
presented
to
the
18
county
recorder
of
any
county,
and
the
county
recorder
shall
19
note
the
release
on
the
face
of
the
certificate
of
title
and
20
enter
the
release
on
the
statewide
computer
system.
21
EXPLANATION
22
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
23
the
explanation’s
substance
by
the
members
of
the
general
assembly.
24
Under
current
law,
when
a
security
interest
in
a
snowmobile,
25
all-terrain
vehicle,
or
vessel
as
defined
in
Code
section
26
462A.2,
is
discharged,
the
holder
is
required
to
note
the
27
cancellation
of
the
security
interest
on
the
face
of
the
28
certificate
of
title
and
send
the
title
by
first
class
mail
29
to
the
office
of
the
county
recorder
where
the
title
was
30
issued,
or
the
secured
party
must
send
a
notarized
letter
by
31
first
class
mail
to
the
county
recorder
where
the
title
was
32
issued
notifying
the
county
recorder
of
the
cancellation
of
the
33
security
interest.
The
county
recorder
must
note
the
release
34
of
the
security
interest
in
the
county
records
as
evidence
of
35
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_____
the
release
of
the
security
interest.
1
This
bill
authorizes
proof
of
a
release
of
a
lien
on
a
2
snowmobile,
all-terrain
vehicle,
or
vessel
to
be
presented
3
to
the
county
recorder
of
any
county,
and
requires
a
county
4
recorder
to
note
the
release
on
the
face
of
the
certificate
of
5
title
and
enter
the
release
on
the
statewide
computer
system
6
accessible
by
every
county
recorder.
A
similar
provision
7
exists
under
current
law
for
county
treasurers
noting
the
8
release
of
liens
on
motor
vehicles.
9
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