House File 79 - Introduced HOUSE FILE 79 BY JONES A BILL FOR An Act requiring proof of a valid drivers license and 1 financial liability coverage to renew the registration of a 2 vehicle. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1023YH (7) 91 th/ns
H.F. 79 Section 1. Section 321.40, subsection 1, Code 2025, is 1 amended to read as follows: 2 1. Application for renewal for a vehicle registered under 3 this chapter shall be made on or after the first day of the 4 month prior to the month of expiration of registration and 5 up to and including the last day of the month following the 6 month of expiration of registration. The application for 7 renewal shall be submitted to the county treasurer of the 8 county of the owners residence; or if a nonresident, to the 9 county treasurer of the county where the primary users of the 10 vehicle are located; or if a lessor of the vehicle pursuant to 11 chapter 321F which has a gross vehicle weight of less than ten 12 thousand pounds, to the county treasurer of the county of the 13 lessees residence; or if a firm, association, or corporation 14 with vehicles in multiple counties, to the county treasurer of 15 the county where the primary user of the vehicle is located. 16 The registration shall be renewed upon payment of if the 17 applicant presents satisfactory proof that the owner, lessee, 18 or primary user of the vehicle holds a valid drivers license 19 and, unless excluded from the requirements of section 321.20B, 20 that financial liability coverage is in effect for the motor 21 vehicle pursuant to section 321.20B, and pays the appropriate 22 annual registration fee. Application for renewal for a vehicle 23 registered under chapter 326 shall be made on or after the 24 first day of the month prior to the month of expiration of 25 registration and up to and including the last day of the month 26 of expiration of registration. 27 Sec. 2. Section 321.40, Code 2025, is amended by adding the 28 following new subsection: 29 NEW SUBSECTION . 8A. The department or county treasurer 30 shall refuse to renew the registration of a vehicle if the 31 applicant does not present satisfactory proof that the owner, 32 lessee, or primary user of the vehicle holds a valid drivers 33 license or, unless excluded from the requirements of section 34 321.20B, that financial liability coverage is in effect for the 35 -1- LSB 1023YH (7) 91 th/ns 1/ 2
H.F. 79 vehicle pursuant to section 321.20B. 1 EXPLANATION 2 The inclusion of this explanation does not constitute agreement with 3 the explanations substance by the members of the general assembly. 4 Under current law, an annual vehicle registration is 5 required to be renewed upon payment of the appropriate fee. 6 This bill requires the applicant for registration renewal to 7 also present satisfactory proof that the owner, lessee, or 8 primary user of the vehicle holds a valid drivers license 9 and, unless excluded from the requirements of Code section 10 321.20B, that financial liability coverage is in effect for the 11 vehicle. The department of transportation or county treasurer 12 is required to refuse registration renewal if an applicant does 13 not comply with the bill. 14 Financial liability coverage is generally required to be 15 in effect for every motor vehicle driven on Iowa highways. 16 However, the requirement does not apply to vehicles owned by 17 or leased to the United States, Iowa, or another state, or any 18 political subdivision thereof; vehicles subject to Code section 19 325A.6 (motor carrier insurance); certain motor vehicles not 20 subject to registration (Code section 321.18); a lienholder 21 with a security interest in a motor vehicle that does not 22 drive or move the vehicle; and motor vehicles owned by a motor 23 vehicle dealer or wholesaler licensed pursuant to Code chapter 24 322. 25 -2- LSB 1023YH (7) 91 th/ns 2/ 2