SB96ENGROSSED
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SB96
EBWV229-2
By Senator Carnley
RFD: Banking and Insurance
First Read: 05-Feb-25
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First Read: 05-Feb-25
A BILL
TO BE ENTITLED
AN ACT
Relating to salvage vehicle certificates of title; to
amend Section 32-8-87, Code of Alabama 1975; to provide that
Alabama vehicle owners may apply for a salvage certificate of
title if their vehicle is declared a loss in any state; and to
make nonsubstantive, technical revisions to update the
existing code language to current style.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. Section 32-8-87 of the Code of Alabama 1975,
is amended to read as follows:
"ยง32-8-87
(a)(1) Each owner of a motor vehicle and each person
individual mentioned as owner in the last certificate of title
who scraps, dismantles, destroys, or changes the motor vehicle
in such a manner that it is not the same motor vehicle
described in the certificate of origin or certificate of title
shall as soon as practicable cause the certificate of origin
or certificate of title, if any, and any other documents or
information required by the department to be mailed or
delivered to the department for processing.
(2) The department shall, with the consent of any
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(2) The department shall, with the consent of any
holder of liens noted on the surrendered certificate, shall
enter a cancellation upon its records. Upon cancellation of a
certificate of origin or certificate of title in the manner
prescribed by this section, the department shall cancel all
certificates of origin or certificates of title in that chain
of title. A certificate of title for the vehicle shall not
again be issued except upon application containing the
information the department requires, accompanied by a
certificate of inspection in the form and content as specified
in this section.
(3) No motor vehicle for which a salvage or junk
certificate has been issued by this state or any other state
shall be driven or operated on the highways or other public
places of this state. A vehicle which is in this state and for
which a salvage certificate has been issued, and the vehicle
is being restored to its operating condition which existed
prior to the event which caused the salvage certificate of
title to issue, may be moved to and from repair points as
necessary by the rebuilder to complete the restoration or may
be moved as permitted by the Department of Revenue department
for inspection or for any other purpose. A valid Alabama
dealer license plate shall be displayed on the vehicle during
its movement. A person An individual who violates this
subsection subdivision shall, upon conviction, be guilty of a
Class A misdemeanor and shall be punishable as required by
law.
(b)(1) When the frame or engine is removed from a motor
vehicle and not immediately replaced by another frame or
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vehicle and not immediately replaced by another frame or
engine, or when an insurance company has paid money or made
other monetary settlement as compensation for a total loss of
any motor vehicle, the motor vehicle shall be considered to be
salvage.
The owner of every motor vehicle in which the total
loss or salvage has occurred and which has a current title
issued in this state or the vehicle is located in this state
at the time of title application or branding or both, or the
owner is an Alabama resident in this state, shall , within 72
hours after the total loss or salvage occurs, shall make
application for a salvage certificate of title and forward to
the department the certificate of origin or certificate of
title to the motor vehicle , whereupon and the department shall
process the certificate of origin or certificate of title in a
manner prescribed by law or regulation rule.
An insurance company which that pays money or makes
other monetary settlement as compensation for total loss of a
motor vehicle shall at the time of payment or monetary
settlement obtain the vehicle's properly assigned certificate
of origin or certificate of title and, as soon as practicable
after receiving it, shall forward it along with their
application for a salvage certificate, to the department for
processing.
In the event the payment or monetary settlement was
made because of the theft of the vehicle, which shall be
considered a total loss as defined in this section, the
insurance company shall forward the vehicle's properly
assigned certificate of origin or certificate of title as
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assigned certificate of origin or certificate of title as
provided herein, to the department as soon as practicable
after the vehicle is recovered.
(2) When a stolen motor vehicle has been reported to
the department in compliance with this section and is later
recovered, and for which a salvage certificate has been
issued, the owner recorded on the salvage certificate shall
assign that certificate to the purchaser. A person An
individual who violates this subsection shall, upon
conviction, be guilty of a Class A misdemeanor and shall be
punishable as required by law .
(c) If an insurance company acquires a motor vehicle in
settlement of an insurance claim and holds the vehicle for
resale and procures the certificate of origin or certificate
of title from the owner or lienholder within 15 days after
delivery of the vehicle to the insurance company, and if the
vehicle was not a total loss as defined by this section
subsection (d), the insurance company need not send the
certificate of origin or certificate of title to the
department but, upon transferring the vehicle to another
person individual, other than by the creation of a security
interest, the insurance company shall complete an affidavit of
acquisition and disposition of the motor vehicle on a form
prescribed by the department and deliver the certificate of
origin or certificate of title, affidavit, and any other
documents required by the department to the transferee at the
time of delivery of the motor vehicle.
(d)(1) For the purposes of this section, a total loss
shall occur when an insurance company or any other person
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shall occur when an insurance company or any other person
individual pays or makes other monetary settlement to a person
an individual when a vehicle is damaged and the damage to the
vehicle is greater than or equal to 75 percent of the fair
retail value of the vehicle prior to damage as set forth in a
current edition of a nationally recognized compilation of
retail values, including automated data bases databases.
The compensation for total loss as defined in this
subsection shall not include payments by an insurer or other
person individual for medical care, bodily injury, vehicle
rental, or for anything other than the amount paid for the
actual damage to the motor vehicle. A vehicle that has
sustained minor damage as a result of theft or vandalism shall
not be considered a total loss.
Any person individual acquiring ownership of a damaged
motor vehicle that meets the definition of total loss for
which a salvage title has not been issued shall apply for a
salvage title, other than a scrap metal processor acquiring
such the vehicle for purposes of recycling into metallic scrap
for remelting purposes only. This application shall be made
before the vehicle is further transferred, but in any event,
within 30 days after ownership is acquired.
(e) It shall be unlawful for the owner of any junkyard,
salvage yard, or automotive dismantler and parts recycler or
his or her agents or employees to have in their possession any
motor vehicle which that is junk or salvage or a total loss
when the manufacturer's vehicle identification number plate or
plates, authorized replacement vehicle identification number
plate or plates, or serial plate or plates have been removed,
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plate or plates, or serial plate or plates have been removed,
unless previously required to be removed by a statute or law
of this state or another jurisdiction. A person An individual
who violates this subsection shall, upon conviction, be guilty
of a Class A misdemeanor and shall be punishable as required
by law.
(f) It shall be unlawful for a person, firm, or
corporation an individual to possess, sell or exchange, offer
to sell or exchange, or to give away any certificate of
origin, certificate of title, salvage certificate of title,
manufacturer's identification number plate or plates,
authorized replacement vehicle identification number plate or
plates, serial plate or plates, or motor vehicle license plate
or plates of any motor vehicle which that has been scrapped,
dismantled, or sold as junk or salvage or as a total loss
contrary to in violation of this section, subsection. An
individual who violates this subsection shall and every
officer, agent, or employee of a person, firm, or corporation,
and every person who shall authorize, direct, aid in or
consent to the possession, sale or exchange, or offer to sell,
exchange, or give away such certificate of origin, certificate
of title, salvage certificate of title, manufacturer's vehicle
identification number plate or plates, authorized replacement
vehicle identification number plate or plates, serial plate or
plates, or motor vehicle license plate or plates contrary to
this section, shall, upon conviction, be guilty of a Class A
misdemeanor and shall be punishable as required by law .
(g) The department is authorized may to issue a salvage
certificate of title for a fee of fifteen dollars ($15), on a
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certificate of title for a fee of fifteen dollars ($15), on a
form prescribed by the department which shall provide for
assignments of this the salvage certificate of title. The
salvage certificate of title is to shall replace a certificate
of origin or certificate of title required to be surrendered
by this section. The department shall prescribe necessary
forms and procedures to comply with this subsection.
(h) It shall be unlawful for a person an individual to
sign as assignor or for a person an individual to have in his
or her possession a salvage certificate of title which that
has been signed by the owner as assignor without the name of
the assignee and other information called for on the form
prescribed by the department. A person An individual who
violates this subsection, upon conviction, shall be guilty of
a Class A misdemeanor and shall be punishable as required by
law.
(i) Every owner of a salvage or junk motor vehicle who
sells or transfers the vehicle to any person individual shall
provide at the time of the sale or transfer a properly
executed assignment and warranty of title to the transferee in
the space provided therefor on the salvage certificate of
title or junk certificate of title or as the department
prescribes. A person An individual who willfully violates this
subsection shall, upon conviction, be guilty of a Class A
misdemeanor and shall be punishable as required by law .
(j)(1) The department may issue a certificate of title
to any motor vehicle for which a salvage certificate has been
issued by this or any other state, and the vehicle has, in
this state, been completely restored to its operating
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this state, been completely restored to its operating
condition which existed prior to the event which caused the
salvage certificate of title to issue, provided that all
requirements of this section have been met.
(2) The department may issue a certificate of title for
any motor vehicle for which a salvage certificate of title has
been issued by this or any other state or when the department
has evidence that a salvage title should have been issued by
this or any other state, and the vehicle has been completely
restored outside of this state to its operating condition
which existed prior to the event which caused the salvage
certificate of title to be issued, provided the department is
satisfied that the vehicle was rebuilt in the other state in
accordance with that state's salvage rebuilding laws.
(3) Any motor vehicle for which a certificate of title
has been issued by any state with the notation of junk, parts
car, parts only, nonrebuildable, or when a certificate of
destruction or bill of sale has been issued for transfer of
the vehicle with similar language shall be considered to be a
junk vehicle and shall not be titled in this state.
(4) Notwithstanding any other provision of this
subsection In addition, no certificate of title may be issued
for any vehicle where the frame or the majority of the major
component parts were obtained from a junk vehicle as
previously defined .
(k) Every owner of a salvage motor vehicle designated a
1975 year model and all models subsequent thereto which is in
this state and which has been restored in this state to its
operating condition which existed prior to the event which
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operating condition which existed prior to the event which
caused the salvage certificate of title to issue shall make
application to the department for an inspection of the vehicle
in the form and content as determined by the department. Each
application for inspection of a salvage vehicle which has been
so restored shall be accompanied by all of the following:
(1) The outstanding salvage certificate or out-of-state
title previously issued for the salvage vehicle.
(2) Notarized bills of sale evidencing acquisition of
all major component parts ,(listing the manufacturer's vehicle
identification number of the vehicle from which the parts were
removed, if parts contain or should contain the manufacturer's
vehicle identification number ) used to restore the vehicle and
bills of sale evidencing acquisition of all minor component
parts. Notarization shall not be required on bills of sale for
minor component parts; provided , that a notarized bill of sale
which lists the manufacturer's vehicle identification number
of the vehicle from which the parts were removed, if parts
contain or should contain the manufacturer's vehicle
identification number, shall be required for a transmission.
(3) Evidence that the owner is a licensed motor vehicle
rebuilder, as defined in Section 40-12-390, unless otherwise
exempt from the licensing requirement by Chapter 12 of Title
40. Notwithstanding the foregoing, where an owner acquires an
Alabama salvage certificate of title to his or her own vehicle
from his or her insurance company in settlement of a claim, a
prior registration or other documentation that shows that the
owner owned the vehicle prior to the salvage title being
issued may be submitted in lieu of a rebuilder's license.
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issued may be submitted in lieu of a rebuilder's license.
(4) The owner shall also provide a A written
affirmation which states by the owner stating all of the
following:
a. The actions taken to restore the vehicle to its
operating condition which existed prior to the event which
caused the salvage certificate to issue.
b. That the owner personally inspected the completed
vehicle and it complies with all safety requirements set forth
by the State of Alabama and any regulations promulgated
adopted thereunder.
c. That the identification numbers of the restored
vehicle and its parts have not, to the knowledge of the owner,
been removed, destroyed, falsified, altered, or defaced.
d. That the salvage certificate document or
out-of-state title certificate attached to the application has
not to the knowledge of the owner been forged, falsified,
altered, or counterfeited.
e. That all information contained on the application
and its attachments is true and correct to the knowledge of
the owner.
f. The An acknowledgment that the owner, as specified
in subsection (r), shall be required to post a bond in
accordance with Section 32-8-36 in the event that the owner
cannot provide any information required in this subsection (k)
or any other information specified by the department.
(l) The application fee for each inspection of a
restored vehicle shall be seventy-five dollars ($75), payable
to the department in a manner as prescribed by the department,
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to the department in a manner as prescribed by the department,
which and shall accompany the application.
(1) All application fees and title fees received by the
department pursuant to this subsection shall be applied toward
the personnel and maintenance costs of the vehicle inspection
program and the vehicle inspection program shall be conducted
by the office of investigations and inspections of the
department. Upon receipt of the application for inspection,
application fee of seventy-five dollars ($75), its supporting
documents, and title fee of fifteen dollars ($15), payable to
the department in a manner as prescribed by the department,
the department shall require an inspection to be made of the
title and the vehicle by qualified agents or law enforcement
officers of the department.
(2) The inspection and certification shall include an
examination of the vehicle and its parts to determine that the
identification numbers of the vehicle or its parts have not
been removed, falsified, altered, defaced, destroyed, or
tampered with; that the vehicle information contained in the
application for certificate of title and supporting documents
is true and correct; and that there are no indications that
the vehicle or any of its parts are stolen. The certification
shall not attest to the roadworthiness or safety condition of
the vehicle.
(m) Component parts are defined as:
(1) PASSENGER VEHICLES.
a. Major components:
1. Motor or engine.
2. Trunk floor pan or rear section and roof.
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2. Trunk floor pan or rear section and roof.
3. Frame or any portion thereof ,(except frame horn ),
or, in the case of a unitized body, the supporting structure
which serves as the frame, except when it is a part of the
trunk floor pan, or rear section and roof.
4. Cowl, firewall, or any portion thereof.
5. Roof assembly.
b. Minor components:
1. Each door allowing entrance to or egress from the
passenger compartment.
2. Hood.
3. Each front fender or each rear fender when used with
a rear section and roof.
4. Deck lid, tailgate, or hatchback ,(whichever is
present).
5. Each quarter panel.
6. Each bumper.
7. T-tops, moon roof, or whichever is present.
8. Transmission or trans-axle.
(2) TRUCK, TRUCK TYPE, OR BUS TYPE VEHICLE.
a. Major components:
1. Motor or engine.
2. Transmission or trans-axle.
3. Frame or any portion thereof ,(except frame horn ),
or, in the case of a unitized body, the supporting structure
which serves as the frame.
4. Cab.
5. Cowl or firewall or any portion thereof.
6. Roof assembly.
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6. Roof assembly.
7. Cargo compartment floor panel or passenger
compartment floor pan.
b. Minor components:
1. Each door.
2. Hood.
3. Grill, except on one ton or smaller trucks.
4. Each bumper.
5. Each front fender.
6. Roof panel and rear cab panel.
7. Each rear fender or side panel.
8. Pickup box.
9. Body or bed.
(3) MOTORCYCLE: COMPONENT PARTS.
a. Engine or motor.
b. Transmission or trans-axle.
c. Frame.
d. Front fork.
e. Crankcase.
(n) A salvage vehicle which that has been restored in
this state to its operating condition which existed prior to
the event which caused the salvage certificate of title to
issue shall be issued a certificate of title which shall
contain the word "rebuilt."
(o)(1) Each salvage vehicle restored or rebuilt in this
state which is required to be inspected by the department
pursuant to subsection (l) and for which a certificate of
title may be issued pursuant to subsection (n) shall be issued
a decal, plate, or other emblem as prescribed by the
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a decal, plate, or other emblem as prescribed by the
department to reflect that the vehicle is rebuilt. The decal,
plate, or other emblem shall be attached to the vehicle in a
place and in a manner prescribed by the department.
(2) A person An individual who willfully removes,
mutilates, tampers with, obliterates, or destroys a decal,
plate, or other emblem issued and attached to a salvage
vehicle pursuant to this subsection is guilty of a Class A
misdemeanor punishable as provided by law .
(p) Each person individual who sells, exchanges,
delivers, or otherwise transfers any interest in any vehicle
for which a title bearing the designation salvage or rebuilt
has been issued shall disclose in writing the existence of
this title to the prospective purchaser, recipient in
exchange, recipient by donation, or recipient by other act of
transfer. The disclosure, which shall be made at the time of
or prior to the completion of the sale, exchange, donation, or
other act of transfer, shall contain the following information
in no smaller than 10 point type: "This vehicle's title
contains the designation salvage or rebuilt."
(q)(1) Any motor vehicle for which an insurance company
has paid a total loss due, in part, to being damaged by water
shall be deemed a flood vehicle. The motor vehicle's
certificate of title and every subsequent certificate of title
shall contain the designation "flood vehicle."
(2) Each person individual who sells, exchanges,
donates, delivers, or otherwise transfers any interest for
which a certificate of title bearing the designation flood
vehicle has been issued shall disclose in writing the
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vehicle has been issued shall disclose in writing the
existence of this designation to the prospective purchaser,
recipient in exchange, recipient by donation, or recipient by
other act of transfer. The disclosure shall be made at the
time of or prior to the completion of the sale, exchange,
donation, delivery, or other act of transfer and shall contain
the following information in no smaller than 10 point type:
"The certificate of title of this motor vehicle contains the
designation flood vehicle. "
(r) If an owner acquires a salvage vehicle for which a
previous insurer or owner did not properly obtain a salvage
title from this or any other state or the vehicle was rebuilt
by a rebuilder who is no longer licensed as a rebuilder, the
current owner may proceed as provided in subsection (k) and
apply for an inspection of the vehicle. In any case where the
department has determined that an insurer or prior owner did
not properly obtain a salvage certificate of title, a prior
registration or other documentation that shows that the owner
owned the vehicle prior to the notification by the department
may be submitted in lieu of a rebuilder's license.
(s)(1)a. A licensed automotive dismantler and parts
recycler as defined in Section 40-12-410, secondary metals
recycler as defined in Section 13A-8-30, who acquires a motor
vehicle for the purpose of dismantling it or recycling it into
metallic scrap for melting purposes , or any person individual
who crushes a motor vehicle acquired from anyone other than a
licensed automotive dismantler and parts recycler or a
secondary metal recycler, except as provided in subdivision
(2), shall surrender any certificate of title received to the
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(2), shall surrender any certificate of title received to the
department for cancellation in a manner as prescribed by the
department. A notice of cancellation shall be submitted and a
receipt of the notice shall be obtained from the department
prior to crushing the vehicle or dismantling the vehicle or
recycling it into metallic scrap for remelting purposes. A
licensed automotive dismantler and parts recycler or secondary
metals recycler shall file the notice electronically and the
department, at the time of filing, shall provide the filer
with an electronic notice of receipt. The licensed automotive
dismantler and parts recycler or secondary metals recycler
shall maintain the properly assigned original certificate of
title when the notice is filed electronically. The department
shall verify through its records that the title is the current
title of the motor vehicle and that the vehicle is not
reported as stolen prior to issuing the receipt.
b. Each licensed automotive dismantler and parts
recycler, secondary metals recycler, and any other person
individual who crushes a motor vehicle shall maintain records
of every motor vehicle crushed or acquired for the purpose of
dismantling it or recycling it into metallic scrap for
remelting purposes. The records shall be maintained by these
parties for a period of not less than five years and shall
include the vehicle identification number, name and address of
the seller, copy of the seller's state issued driver's driver
license or identification card, the date of sale, and a copy
of the certificate of title surrendered to the department. In
the event that a person an individual crushes a vehicle or
vehicles on behalf of the owner but does not acquire the
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vehicles on behalf of the owner but does not acquire the
vehicle or vehicles, that person individual shall maintain a
record of the vehicle identification number, and the name and
address of the entity for whom the vehicles were crushed, as
well as a copy of the person's individual's state issued
driver's driver license or identification card, or state
issued tax ID number if the entity is not a natural person.
For purposes of this chapter, a crushed motor vehicle as
defined in Section 40-12-116 shall not be deemed a motor
vehicle or vehicle ,; provided, however, that any person
individual who is responsible for transforming a motor vehicle
into a crushed motor vehicle is responsible for complying with
this section.
(2) Notwithstanding any other provision of this title
to the contrary, if the owner or authorized agent of the owner
of a motor vehicle has not obtained a title in his or her name
for the motor vehicle to be transferred, he or she may sign a
sworn statement that, in addition to the foregoing conditions,
the vehicle is worth one thousand dollars ($1,000) or less and
is at least 12 model years old. The statement described in
this subsection may be used only to transfer such a motor
vehicle to a licensed automotive dismantler and parts recycler
as defined at in Section 40-12-410 or secondary metals
recycler as defined at in Section 13A-8-30 and shall be used
in lieu of a certificate of title when the motor vehicle is
being dismantled or recycled into metallic scrap. The
department, in consultation with the above industries, shall
promulgate adopt a form for the statement which shall include,
but not be limited to, all of the following information:
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but not be limited to, all of the following information:
a. A statement that the motor vehicle shall never be
titled again and that it must be dismantled or scrapped.
b. A description of the motor vehicle including the
year, make, model, and vehicle identification number.
c. The license plate number and state of issue of any
vehicle transporting the motor vehicle being sold.
d. The name, address, and driver's driver license
number of the seller.
e. A certification by the seller that the seller is
lawfully in possession of the vehicle and the seller is the
current owner of the vehicle and the seller never obtained a
title to the motor vehicle in his or her name.
f. A certification that the motor vehicle meets all of
the following requirements:
1. Is worth one thousand dollars ($1,000) or less.
2. Is at least 12 model years old.
3. Is not subject to any recorded security interest or
lien.
g. An acknowledgment, made under penalties of perjury,
that the seller realizes this information will be filed with
the department and that it is a Class C felony to knowingly
falsify any information on this statement.
h. The seller's signature and the date of the
transaction.
i. The name and address of the business acquiring the
vehicle.
j. The unique registration number provided by the
Administrator of the National Motor Vehicle Title Information
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Administrator of the National Motor Vehicle Title Information
System known as the NMVTIS ID Number.
k. A certification by the business, made under
penalties of perjury, that one thousand dollars ($1,000) or
less was paid to acquire the vehicle.
l. The business agent's signature and date along with a
printed name and title if the agent is signing on behalf of a
corporation.
m. The unique tracking number provided by a Department
of Revenue system that indicates that the automotive
dismantler and parts recycler or secondary metals recycler has
utilized that system to verify that the vehicle is not
currently reported as stolen and that there is no recorded
lien or notice of a lien on file or that the department has no
record of the vehicle. A licensed automotive dismantler and
parts recycler or secondary metals recycler shall file the
notice electronically, and the department shall provide the
filer with an electronic notice of receipt. This statement
shall be invalid without this tracking number and without the
purchaser's NMVTIS ID Number.
n. An acknowledgement acknowledgment by the automotive
dismantler and parts recycler or secondary metals recycler
that the motor vehicle will not be crushed or shredded for a
period of 48 hours not including Saturday and Sunday after the
initial filing with the department of the notice required in
this subsection and receipt of such the notice.
(3) The automotive dismantler and parts recycler or
secondary metals recycler shall electronically deliver the
statement required under this subsection to the department
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statement required under this subsection to the department
within 72 hours of the completion of the transaction,
requesting that the department cancel the certificate of title
and registration. A transmission of the identical information,
in the identical format as prescribed by the Alabama
Department of Revenue department, shall be sent by the
automotive dismantler and parts recycler or secondary metals
recycler to the sheriff of the county, or the chief of police
if located in a municipality, if requested by the sheriff or
chief of police. The transmittal shall be completed and a
receipt of the notice, generated at the time of the
transmittal, shall be obtained from the department before
dismantling the vehicle or recycling it into metallic scrap
for remelting purposes. In addition, the automotive dismantler
and parts recycler or secondary metals recycler shall maintain
the original signed documents required by this subsection for
a period of not less than five years. An automotive dismantler
and parts recycler or secondary metals recycler who has
complied with the requirements of this section shall be immune
from, and held harmless from, any claims related to liens
which were not recorded or a notice of lien was not recorded,
or stolen vehicles not reported, at the time that the vehicle
was purchased and the inquiry made and documented with the
unique tracking number issued by the department.
(4) Any person individual who knowingly and willfully
violates this subsection, or any person individual who
falsifies the statement required under this subsection, or any
person individual who knowingly and willfully sells a vehicle
upon which there is an unsatisfied lien, shall be guilty of a
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upon which there is an unsatisfied lien, shall be guilty of a
Class C felony. In addition to any punishment rendered, each
person individual convicted shall be subject to the laws
regarding restitution.
(5) Any motor vehicle used to transport another motor
vehicle or crushed motor vehicle illegally sold under this
section may be seized by law enforcement and is subject to
forfeiture ordered by the court; provided, however, that no
motor vehicle used by any person individual in the transaction
of a sale of such motor vehicle shall be subject to forfeiture
unless the owner or other person individual in charge of the
motor vehicle is a consenting or knowing party to the
commission of a crime, and a forfeiture of the motor vehicle
is subject to the rights of any lienholder who holds a
perfected security interest in the motor vehicle so long as
the lienholder had no knowledge of or consented to the act.
Whenever property is forfeited under this subsection by order
of the court, it shall be sold and the proceeds distributed,
pro rata after payment of all property expenses relating to
the forfeiture and sale, including any court ordered
restitution to the owner of the vehicle, satisfaction of any
liens associated with the vehicle sold in violation of this
section, and any losses incurred by the automotive dismantler
and parts recycler or secondary metals recycler to the general
fund of the state or any county or municipality whose
department, office, or agency contributed to the investigation
of the acts resulting in forfeiture, based upon the
contribution, including expenses, of the department, office,
or agency, as determined by the court.
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or agency, as determined by the court.
(t) The Department of Revenue department shall provide
a system for a real-time online verification of motor vehicle
titles, liens, and stolen vehicle status that can be accessed
by an automotive dismantler and parts recycler or a secondary
metals recycler. The system shall be capable of transmitting
the information from the statement required pursuant to
subsection (s) either online or by bulk electronic
transmission and shall provide a unique tracking number on a
receipt at the time of the submission that indicates that the
automotive dismantler and parts recycler or a secondary metals
recycler has used the system and that at the time of the
inquiry, the vehicle was not reported as stolen and that there
were no recorded liens or notices of liens on file associated
with the vehicle, or that the department has no record of the
vehicle. The charge assessed for the transmittal of the
statement required by subsection (s) to the automotive
dismantler and parts recycler or secondary metals recycler
shall be five dollars ($5) per submittal. In lieu of a per
submittal charge, an automotive dismantler and parts recycler
or a secondary metals recycler may pay an annual fee of five
hundred dollars ($500) for all submittals and inquiries made
during that fiscal year. The fee shall be paid on a fiscal
year basis, beginning October 1 of each fiscal year. Every
automotive dismantler and parts recycler, secondary metals
recycler, or person individual or company licensed pursuant to
Section 40-12-116, shall pay the annual fee for each location
or license. Any fees collected under this section shall be
retained by the department for use solely by the Motor Vehicle
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retained by the department for use solely by the Motor Vehicle
Division of the department for training and technological and
processing improvements."
Section 2. This act shall become effective on October
1, 2025.
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1, 2025.
Senate
Read for the first time and referred
to the Senate committee on Banking
and Insurance
................05-Feb-25
Read for the second time and placed
on the calendar:
1 amendment
................20-Feb-25
Read for the third time and passed
as amended
Yeas 31
Nays 0
Abstains 0
................04-Mar-25
Patrick Harris,
Secretary.
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