Bill Text: IA SF354 | 2015-2016 | 86th General Assembly | Introduced

Iowa Senate Bill 354 (Prior Session Legislation)

Introduced

Bill Title: A bill for an act relating to the fee for new registration for repaired salvage vehicles. (See SF 423 and SF 495.)

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2015-03-03 - Subcommittee, Brase, Bowman, and Smith. S.J. 429. [SF354 Detail]

Download: Iowa-2015-SF354-Introduced.html

Senate File 354 - Introduced




                                 SENATE FILE       
                                 BY  SCHOENJAHN

                                      A BILL FOR

  1 An Act relating to the fee for new registration for repaired
  2    salvage vehicles.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
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PAG LIN



  1  1    Section 1.  Section 321.105A, subsection 2, paragraph c,
  1  2 subparagraph (17), Code 2015, is amended by striking the
  1  3 subparagraph and inserting in lieu thereof the following:
  1  4    (17)  Vehicles titled under a salvage certificate of
  1  5 title. However, when such a vehicle has been repaired and
  1  6 a regular certificate of title is applied for, the fee for
  1  7 new registration is due. If the owner of the vehicle is
  1  8 not licensed as a motor vehicle dealer, the fee for new
  1  9 registration shall be equal to two percent of the value of
  1 10 the vehicle as determined by the department, with deductions
  1 11 allowed for the cost of parts, supplies, and equipment for
  1 12 which sales tax was paid and which were used to rebuild
  1 13 the vehicle. The department shall adopt rules to determine
  1 14 how such deductions shall be documented. The fee for new
  1 15 registration pursuant to this subparagraph (17) shall be
  1 16 automatically reduced in the following amounts, as applicable:
  1 17    (a)  If the motor vehicle is seven model years old or older,
  1 18 but newer than nine model years old, one=fourth of one percent
  1 19 of the value of the vehicle as determined by the department.
  1 20    (b)  If the motor vehicle is nine model years old or older,
  1 21 but newer than twelve model years old, three=fourths of one
  1 22 percent of the value of the vehicle as determined by the
  1 23 department.
  1 24    (c)  If the motor vehicle is twelve model years old or
  1 25 older, one and one=half percent of the value of the vehicle as
  1 26 determined by the department.
  1 27                           EXPLANATION
  1 28 The inclusion of this explanation does not constitute agreement with
  1 29 the explanation's substance by the members of the general assembly.
  1 30    Current law provides that a vehicle titled under a
  1 31 salvage certificate of title is exempt from the fee for new
  1 32 registration until the vehicle is repaired and a regular
  1 33 certificate of title is applied for. If the owner of the
  1 34 vehicle is a licensed recycler, but not licensed as a vehicle
  1 35 dealer, the fee for new registration applies based on the fair
  2  1 market value of the vehicle, with deduction allowed for the
  2  2 cost of parts, supplies, and equipment for which sales tax
  2  3 was paid and which were used to rebuild the vehicle. If the
  2  4 owner is a person who is not licensed as a recycler or vehicle
  2  5 dealer, the fee for new registration applies based on the fair
  2  6 market value of the vehicle, with deduction allowed for the
  2  7 cost of parts, frames, chassis, auto bodies, or supplies that
  2  8 were purchased to rebuild the vehicle and for which sales tax
  2  9 was paid.
  2 10    The bill strikes these provisions but continues to provide
  2 11 that a vehicle titled under a salvage certificate of title is
  2 12 exempt from the fee for new registration until the vehicle is
  2 13 repaired and a regular certificate of title is applied for.
  2 14    The bill provides that if the owner of the vehicle is
  2 15 not licensed as a motor vehicle dealer, the fee for new
  2 16 registration shall be equal to 2 percent of the value of
  2 17 the vehicle as determined by the department, with deductions
  2 18 allowed for the cost of parts, supplies, and equipment for
  2 19 which sales tax was paid and which were used to rebuild
  2 20 the vehicle. The bill provides that the department of
  2 21 transportation shall adopt rules to determine how such
  2 22 deductions shall be documented.
  2 23    The bill provides that the fee for new registration shall be
  2 24 automatically reduced in certain circumstances. If the motor
  2 25 vehicle is seven model years old or older, but newer than nine
  2 26 model years old, the fee for new registration is reduced 0.25
  2 27 percent of the value of the vehicle. If the motor vehicle is
  2 28 nine model years old or older, but newer than 12 model years
  2 29 old, the fee for new registration is reduced 0.75 percent of
  2 30 the value of the vehicle. If the motor vehicle is 12 model
  2 31 years old or older, the fee for new registration is reduced 1.5
  2 32 percent of the value of the vehicle.
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