Bill Text: IA SF495 | 2015-2016 | 86th General Assembly | Introduced
Bill Title: A bill for an act relating to certificates of title and fees for new registration of motor vehicles. (Formerly SF 354 and SF 423.)
Sponsorship: Committee Bill
Status: (Introduced - Dead) 2016-01-27 - Subcommittee, Danielson, Brase, and Feenstra. S.J. 124. [SF495 Detail]
Download: Iowa-2015-SF495-Introduced.html
Senate File 495 - Introduced SENATE FILE BY COMMITTEE ON WAYS AND MEANS (SUCCESSOR TO SF 423) (SUCCESSOR TO SF 354) A BILL FOR 1 An Act relating to certificates of title and fees for new 2 registration of motor vehicles. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 2420SZ (2) 86 ns/nh PAG LIN 1 1 Section 1. Section 321.24, subsection 1, Code 2015, is 1 2 amended to read as follows: 1 3 1. Upon receipt of the application for title and payment of 1 4 the required fees for a motor vehicle, trailer, or semitrailer, 1 5 the county treasurer or the department shall, when satisfied 1 6 as to the application's genuineness and regularity, and, in 1 7 the case of a mobile home or manufactured home, that taxes 1 8 are not owing under chapter 423 or 435, issue a certificate 1 9 of title and, except for a mobile home or manufactured home, 1 10 a registration receipt, and shall file the application, the 1 11 manufacturer's or importer's certificate, the certificate of 1 12 title, or other evidence of ownership, as prescribed by the 1 13 department. The registration receipt shall be delivered to the 1 14 owner and shall contain upon its face the date issued, the name 1 15 and address of the owner, the registration number assigned to 1 16 the vehicle, the amount of the fee paid, the type of fuel used, 1 17 a description of the vehicle as determined by the department, 1 18 and a form for notice of transfer of the vehicle. The name 1 19 and address of any lessee of the vehicle shall not be printed 1 20 on the registration receipt or certificate of title. Up to 1 21 three owners may be listed on the registration receipt and 1 22 certificate of title. The certificate of title shall contain 1 23 a provision stating the following: "NOTICE: Pursuant to the 1 24 Iowa Code, under=reporting the purchase price of a vehicle may 1 25 be punishable by a prison sentence, a fine, or both." 1 26 Sec. 2. Section 321.105A, subsection 2, paragraph c, 1 27 subparagraph (17), Code 2015, is amended by striking the 1 28 subparagraph and inserting in lieu thereof the following: 1 29 (17) Vehicles titled under a salvage certificate of 1 30 title. However, when such a vehicle has been repaired and 1 31 a regular certificate of title is applied for, the fee for 1 32 new registration is due. If the regular certificate of title 1 33 is applied for by the owner of the vehicle who owned the 1 34 vehicle at the time the vehicle was repaired, the fee for new 1 35 registration shall be equal to five percent of the purchase 2 1 price of the vehicle. If the regular certificate of title 2 2 is applied for by the owner of the vehicle who purchased the 2 3 vehicle from another person after the vehicle was repaired, 2 4 whether it was the first or a subsequent purchase of the 2 5 vehicle after the vehicle was repaired, and the owner of the 2 6 vehicle is not licensed as a motor vehicle dealer, the fee for 2 7 new registration shall be equal to three and one=fourth percent 2 8 of the purchase price of the vehicle. 2 9 EXPLANATION 2 10 The inclusion of this explanation does not constitute agreement with 2 11 the explanation's substance by the members of the general assembly. 2 12 This bill provides that certificates of title for motor 2 13 vehicles shall contain a provision stating "NOTICE: Pursuant to 2 14 the Iowa Code, under=reporting the purchase price of a vehicle 2 15 may be punishable by a prison sentence, a fine, or both." 2 16 Current law provides that a vehicle titled under a 2 17 salvage certificate of title is exempt from the fee for new 2 18 registration until the vehicle is repaired and a regular 2 19 certificate of title is applied for. If the owner of the 2 20 vehicle is a licensed recycler, but not licensed as a vehicle 2 21 dealer, the fee for new registration is 5 percent of the fair 2 22 market value of the vehicle, with deductions allowed for the 2 23 cost of parts, supplies, and equipment for which sales tax 2 24 was paid and which were used to rebuild the vehicle. If the 2 25 owner is a person who is not licensed as a recycler or vehicle 2 26 dealer, the fee for new registration is 5 percent of the fair 2 27 market value of the vehicle, with deductions allowed for the 2 28 cost of parts, frames, chassis, auto bodies, or supplies that 2 29 were purchased to rebuild the vehicle and for which sales tax 2 30 was paid. 2 31 The bill strikes these provisions but continues to provide 2 32 that a vehicle titled under a salvage certificate of title is 2 33 exempt from the fee for new registration until the vehicle is 2 34 repaired and a regular certificate of title is applied for. 2 35 The bill provides that if the regular certificate of title 3 1 is applied for by the owner who repaired the vehicle, the fee 3 2 for new registration is 5 percent of the purchase price of the 3 3 vehicle. If the regular certificate of title is applied for 3 4 by an owner who purchased the vehicle after the vehicle was 3 5 repaired, whether it was the first or a subsequent purchase of 3 6 the vehicle after the vehicle was repaired, and the owner of 3 7 the vehicle is not licensed as a motor vehicle dealer, the fee 3 8 for new registration is 3.25 percent of the purchase price of 3 9 the vehicle. LSB 2420SZ (2) 86 ns/nh
