*EH1167.1*
February 16, 2022
ENGROSSED
HOUSE BILL No. 1167
_____
DIGEST OF HB 1167 (Updated February 15, 2022 10:41 am - DI 143)
Citations Affected: IC 6-1.1; IC 8-2.1; IC 9-14; IC 9-14.1; IC 9-17;
IC 9-18.5; IC 9-21; IC 9-22; IC 9-24; IC 9-30; IC 9-32.
Synopsis: Bureau of motor vehicles. Allows an advanced practice
registered nurse to sign certain health documents concerning driving
privileges. Requires the bureau of motor vehicles (bureau) to establish
and maintain an audit working group. Provides that meetings of the
audit working group are not subject to open door laws. Provides that
the bureau, rather than the state board of accounts, is required to
conduct an audit of each license branch. Amends certain dates
regarding the statewide electronic lien and title system (system).
Removes system provisions concerning qualified service provider
payments, participation notification, and annual fees. Provides that the
bureau and participating qualified service providers or lienholders may
charge certain system fees. Amends dates concerning the voluntary or
required use of the system. Requires the bureau to distribute at least
one time each month the fees collected and deposited from certain
(Continued next page)
Effective: Upon passage; July 1, 2022.
Pressel, Saunders
(SENATE SPONSORS — CRIDER, GARTEN)
January 6, 2022, read first time and referred to Committee on Roads and Transportation.
January 13, 2022, amended, reported — Do Pass.
January 24, 2022, read second time, amended, ordered engrossed.
January 25, 2022, engrossed. Read third time, passed. Yeas 81, nays 9.
SENATE ACTION
February 2, 2022, read first time and referred to Committee on Homeland Security and
Transportation.
February 15, 2022, amended, reported favorably — Do Pass; reassigned to Committee on
Appropriations.
EH 1167—LS 7095/DI 139 Digest Continued
special group recognition license plates. Repeals the law providing for
the Earlham College trust license plate. Provides that interference with
highway traffic is considered unreasonable if the interference occurs
for more than 10 consecutive minutes except for: (1) machinery or
equipment used in highway construction or maintenance by the Indiana
department of transportation, counties, or municipalities; and (2)
firefighting apparatus owned or operated by a political subdivision or
a volunteer fire department. Provides that a public agency or towing
service that obtains the name and address of the owner of or lienholder
on a vehicle shall, not later than three business days after obtaining the
name and address, notify the owner of the vehicle and any lienholder
on the vehicle, as indicated by the certificate of title or as discovered
by a search of the National Motor Vehicle Title Information System or
an equivalent and commonly available data base. Requires the bureau
to process an electronic application for a certificate of authority not
more than five business days after the submission of the application if
the application meets certain requirements. Provides that an individual
is not required to be a citizen of the United States as shown in the
records of the bureau to apply for a replacement driver's license or
learner's permit by electronic service. Provides that a suspension for
failure to satisfy a judgment imposed before December 31, 2021
terminates on December 31, 2024. Removes the requirement that the
bureau collect an administrative penalty if a dealer fails to apply for a
certificate of title for a motor vehicle that is purchased or acquired in
a state that does not have a certificate of title law. Provides that a
manufacturer or distributor may not sell or offer to sell, directly or
indirectly, a new motor vehicle to the general public in Indiana except
through a new motor vehicle dealer holding a franchise for the line
make covering the new motor vehicle. Provides that the sales of new
motor vehicles by a manufacturer or franchisor to the federal
government, a charitable organization, an employee of the
manufacturer or distributor, or a manufacturer or distributor under
certain conditions. Makes technical corrections.
EH 1167—LS 7095/DI 139EH 1167—LS 7095/DI 139 February 16, 2022
Second Regular Session of the 122nd General Assembly (2022)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in this style type, and deletions will appear in this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in this style type. Also, the
word NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
between statutes enacted by the 2021 Regular Session of the General Assembly.
ENGROSSED
HOUSE BILL No. 1167
A BILL FOR AN ACT to amend the Indiana Code concerning
motor vehicles.
Be it enacted by the General Assembly of the State of Indiana:
1 SECTION 1. IC 6-1.1-7-10, AS AMENDED BY P.L.235-2017,
2 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3 JULY 1, 2022]: Sec. 10. (a) This section does not apply to a mobile
4 home that is offered for sale at auction under IC 9-22-1.5, IC 9-22-1.7,
5 or IC 6-1.1-23.5 for the transfer resulting from the auction.
6 (b) As used in this section, "official seal" has the meaning set
7 forth in IC 33-42-0.5-21.
8 (b) (c) A mobile home may not be moved from one (1) location to
9 another unless the owner or the owner's agent obtains a permit to move
10 the mobile home from the county treasurer.
11 (c) (d) The bureau of motor vehicles may not:
12 (1) transfer the title to a mobile home; or
13 (2) change names in any manner on the title to a mobile home;
14 unless the owner or the owner's agent holds a valid permit to transfer
15 the title that was issued by the county treasurer and includes the county
16 treasurer's embossed official seal.
17 (d) (e) A county treasurer shall issue a permit which is required to
EH 1167—LS 7095/DI 139 2
1 either move, or transfer the title to, a mobile home if the taxes, special
2 assessments, interest, penalties, judgments, and costs that are due and
3 payable on the mobile home have been paid and the person requesting
4 the permit has a state issued title, a court order, or a bureau of motor
5 vehicles affidavit of sale or disposal. The county treasurer shall issue
6 the permit not later than two (2) business days (excluding weekends
7 and holidays) after the date the completed permit application is
8 received by the county treasurer. The permit shall state the date it is
9 issued.
10 (e) (f) After issuing a permit to move a mobile home under
11 subsection (d), (e), a county treasurer shall notify the township assessor
12 of the township to which the mobile home will be moved, or the county
13 assessor if there is no township assessor for the township, that the
14 permit to move the mobile home has been issued.
15 (f) (g) A permit to move, or transfer title to, a mobile home that is
16 issued under this section expires ninety (90) days after the date the
17 permit is issued. The permit is invalid after the permit expires. If the
18 owner wishes to move, or transfer title to, the mobile home after the
19 permit has expired, the owner or the owner's agent must obtain a new
20 permit under this section.
21 (g) (h) A county treasurer is not liable for the county treasurer's
22 good faith efforts to collect taxes that are due and payable for a mobile
23 home. Good faith efforts include the refusal to issue a permit under
24 subsection (d) (e) until all property taxes that are due and payable for
25 a mobile home are paid to the county treasurer.
26 SECTION 2. IC 6-1.1-7-10.4, AS AMENDED BY P.L.198-2016,
27 SECTION 19, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
28 JULY 1, 2022]: Sec. 10.4. (a) This section does not apply to a mobile
29 home that is offered for sale at auction under IC 9-22-1.5 or
30 IC 9-22-1.7 for the transfer resulting from the auction.
31 (b) The owner of a mobile home who sells the mobile home to
32 another person shall provide the purchaser with the permit required by
33 section 10(c) 10(d) of this chapter before the sale is consummated.
34 SECTION 3. IC 8-2.1-24-18, AS AMENDED BY P.L.198-2016,
35 SECTION 62, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
36 JULY 1, 2022]: Sec. 18. (a) 49 CFR Parts 40, 375, 380, 382 through
37 387, 390 through 393, and 395 through 398 are incorporated into
38 Indiana law by reference, and, except as provided in subsections (d),
39 (e), (f), (g), and (j), must be complied with by an interstate and
40 intrastate motor carrier of persons or property throughout Indiana.
41 Intrastate motor carriers subject to compliance reviews under 49 CFR
42 385 shall be selected according to criteria determined by the
EH 1167—LS 7095/DI 139 3
1 superintendent which must include but are not limited to factors such
2 as previous history of violations found in roadside compliance checks
3 and other recorded violations. However, the provisions of 49 CFR 395
4 that regulate the hours of service of drivers, including requirements for
5 the maintenance of logs, do not apply to a driver of a truck that is
6 registered by the bureau of motor vehicles and used as a farm truck
7 under IC 9-18 (before its expiration) or IC 9-18.1-7 or a vehicle
8 operated in intrastate construction or construction related service, or
9 the restoration of public utility services interrupted by an emergency.
10 Except as provided in subsection (i) and (j):
11 (1) intrastate motor carriers not operating under authority issued
12 by the United States Department of Transportation shall comply
13 with the requirements of 49 CFR 390.21(b)(3) by registering with
14 the department of state revenue as an intrastate motor carrier and
15 displaying the certification number issued by the department of
16 state revenue preceded by the letters "IN"; and
17 (2) all other requirements of 49 CFR 390.21 apply equally to
18 interstate and intrastate motor carriers.
19 (b) 49 CFR 107 subpart (F) and subpart (G), 171 through 173, 177
20 through 178, and 180, are incorporated into Indiana law by reference,
21 and every:
22 (1) private carrier;
23 (2) common carrier;
24 (3) contract carrier;
25 (4) motor carrier of property, intrastate;
26 (5) hazardous material shipper; and
27 (6) carrier otherwise exempt under section 3 of this chapter;
28 must comply with the federal regulations incorporated under this
29 subsection, whether engaged in interstate or intrastate commerce.
30 (c) Notwithstanding subsection (b), nonspecification bulk and
31 nonbulk packaging, including cargo tank motor vehicles, may be used
32 only if all the following conditions exist:
33 (1) The maximum capacity of the vehicle is less than three
34 thousand five hundred (3,500) gallons.
35 (2) The shipment of goods is limited to intrastate commerce.
36 (3) The vehicle is used only for the purpose of transporting fuel
37 oil, kerosene, diesel fuel, gasoline, gasohol, or any combination
38 of these substances.
39 Maintenance, inspection, and marking requirements of 49 CFR 173.8
40 and Part 180 are applicable. In accordance with federal hazardous
41 materials regulations, new or additional nonspecification cargo tank
42 motor vehicles may not be placed in service under this subsection.
EH 1167—LS 7095/DI 139 4
1 (d) For the purpose of enforcing this section, only:
2 (1) a state police officer or state police motor carrier inspector
3 who:
4 (A) has successfully completed a course of instruction
5 approved by the United States Department of Transportation;
6 and
7 (B) maintains an acceptable competency level as established
8 by the state police department; or
9 (2) an employee of a law enforcement agency who:
10 (A) before January 1, 1991, has successfully completed a
11 course of instruction approved by the United States
12 Department of Transportation; and
13 (B) maintains an acceptable competency level as established
14 by the state police department;
15 on the enforcement of 49 CFR, may, upon demand, inspect the books,
16 accounts, papers, records, memoranda, equipment, and premises of any
17 carrier, including a carrier exempt under section 3 of this chapter.
18 (e) A person hired before September 1, 1985, who operates a motor
19 vehicle intrastate incidentally to the person's normal employment duties
20 and who is not employed to operate a motor vehicle for hire is exempt
21 from 49 CFR 391 as incorporated by this section.
22 (f) Notwithstanding any provision of 49 CFR 391 to the contrary, a
23 person at least eighteen (18) years of age and less than twenty-one (21)
24 years of age may be employed as a driver to operate a commercial
25 motor vehicle intrastate. However, a person employed under this
26 subsection is not exempt from any other provision of 49 CFR 391.
27 (g) Notwithstanding subsection (a) or (b), the following provisions
28 of 49 CFR do not apply to private carriers of property operated only in
29 intrastate commerce or any carriers of property operated only in
30 intrastate commerce while employed in construction or construction
31 related service:
32 (1) Subpart 391.41(b)(3) as it applies to physical qualifications of
33 a driver who has been diagnosed as an insulin dependent diabetic,
34 if the driver has applied for and been granted an intrastate
35 medical waiver by the bureau of motor vehicles pursuant to this
36 subsection. The same standards and the following procedures
37 shall apply for this waiver whether or not the driver is required to
38 hold a commercial driver's license. An application for the waiver
39 shall be submitted by the driver and completed and signed by a
40 certified endocrinologist, or the driver's treating physician, or the
41 driver's treating advanced practice registered nurse attesting
42 that the driver:
EH 1167—LS 7095/DI 139 5
1 (A) is not otherwise physically disqualified under Subpart
2 391.41 to operate a motor vehicle, whether or not any
3 additional disqualifying condition results from the diabetic
4 condition, and is not likely to suffer any diminution in driving
5 ability due to the driver's diabetic condition;
6 (B) is free of severe hypoglycemia or hypoglycemia
7 unawareness and has had less than one (1) documented,
8 symptomatic hypoglycemic reaction per month;
9 (C) has demonstrated the ability and willingness to properly
10 monitor and manage the driver's diabetic condition;
11 (D) has agreed to and, to the endocrinologist's, or treating
12 physician's, or treating advanced practice registered
13 nurse's knowledge, has carried a source of rapidly absorbable
14 glucose at all times while driving a motor vehicle, has self
15 monitored blood glucose levels one (1) hour before driving
16 and at least once every four (4) hours while driving or on duty
17 before driving using a portable glucose monitoring device
18 equipped with a computerized memory; and
19 (E) has submitted the blood glucose logs from the monitoring
20 device to the endocrinologist, or treating physician, or
21 treating advanced practice registered nurse at the time of
22 the annual medical examination.
23 A copy of the blood glucose logs shall be filed along with the
24 annual statement from the endocrinologist, or treating physician,
25 or treating advanced practice registered nurse with the bureau
26 of motor vehicles for review by the driver licensing medical
27 advisory board established under IC 9-14-11. A copy of the
28 annual statement shall also be provided to the driver's employer
29 for retention in the driver's qualification file, and a copy shall be
30 retained and held by the driver while driving for presentation to
31 an authorized federal, state, or local law enforcement official.
32 Notwithstanding the requirements of this subdivision, the
33 endocrinologist, the treating physician, the treating advanced
34 practice registered nurse, the advisory board of the bureau of
35 motor vehicles, or the bureau of motor vehicles may, where
36 medical indications warrant, establish a short period for the
37 medical examinations required under this subdivision.
38 (2) Subpart 396.9 as it applies to inspection of vehicles carrying
39 or loaded with a perishable product. However, this exemption
40 does not prohibit a law enforcement officer from stopping these
41 vehicles for an obvious violation that poses an imminent threat of
42 an accident or incident. The exemption is not intended to include
EH 1167—LS 7095/DI 139 6
1 refrigerated vehicles loaded with perishables when the
2 refrigeration unit is working.
3 (3) Subpart 396.11 as it applies to driver vehicle inspection
4 reports.
5 (4) Subpart 396.13 as it applies to driver inspection.
6 (h) For purposes of 49 CFR 395.1(k)(2), "planting and harvesting
7 season" refers to the period between January 1 and December 31 of
8 each year. The intrastate commerce exception set forth in 49 CFR
9 395.1(k), as it applies to the transportation of agricultural commodities
10 and farm supplies, is restricted to single vehicles and cargo tank motor
11 vehicles with a capacity of not more than five thousand four hundred
12 (5,400) gallons.
13 (i) The requirements of 49 CFR 390.21 do not apply to an intrastate
14 motor carrier or a guest operator not engaged in interstate commerce
15 and operating a motor vehicle as a farm vehicle in connection with
16 agricultural pursuits usual and normal to the user's farming operation
17 or for personal purposes unless the vehicle is operated either part time
18 or incidentally in the conduct of a commercial enterprise.
19 (j) This section does not apply to private carriers that operate using
20 only the type of motor vehicles specified in IC 8-2.1-24-3(6).
21 (k) The superintendent of state police may adopt rules under
22 IC 4-22-2 governing the parts and subparts of 49 CFR incorporated by
23 reference under this section.
24 SECTION 4. IC 9-14-10-1, AS AMENDED BY P.L.257-2017,
25 SECTION 26, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
26 JULY 1, 2022]: Sec. 1. The commission board shall do the following:
27 (1) Recommend legislation needed to operate the license
28 branches.
29 (2) Recommend rules needed to operate the license branches.
30 (3) Review budget proposals for the commission and the license
31 branches operated under IC 9-14.1, including the budget required
32 by IC 9-14.1-5-4 and IC 9-14.1-5-5.
33 (4) Establish the determination criteria and determine the number
34 and location of license branches to be operated under IC 9-14.1.
35 (5) Establish and adopt minimum standards for the operation and
36 maintenance of each physical or virtual location at which services
37 are provided by a full service provider or partial services provider
38 under IC 9-14.1.
39 (6) Administer the commission fund established under
40 IC 9-14-14-1.
41 (7) Establish and maintain an audit working group composed
42 of two (2) board members of the commission, excluding the
EH 1167—LS 7095/DI 139 7
1 commissioner, who are selected by and may be dismissed by
2 the commissioner. A meeting of the audit working group is
3 not subject to IC 5-14-1.5.
4 (8) Approve an internal audit charter and an audit plan at
5 least one (1) time each year.
6 SECTION 5. IC 9-14.1-5-1, AS ADDED BY P.L.198-2016,
7 SECTION 195, IS AMENDED TO READ AS FOLLOWS
8 [EFFECTIVE JULY 1, 2022]: Sec. 1. (a) The state board of accounts
9 bureau shall conduct an audit each account of each license branch
10 operated under this article.
11 (b) Each audit must be
12 (1) completed not more than ninety (90) days after
13 commencement of the audit; and
14 (2) filed with the legislative services agency in an electronic
15 format under IC 5-14-6 not more than thirty (30) days after
16 completion of the audit. conducted as determined by an annual
17 risk assessment and an audit plan.
18 (c) An audit prepared under this section is a public record.
19 (d) Notwithstanding the audit performed under subsection (a),
20 the state board of accounts may examine an account of a license
21 branch operated under this article.
22 SECTION 6. IC 9-17-5-6, AS ADDED BY P.L.81-2021, SECTION
23 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON
24 PASSAGE]: Sec. 6. (a) As used in this section, "qualified service
25 provider" means a person able to provide electronic lien or electronic
26 title services in coordination with vehicle lienholders and state
27 departments of motor vehicles.
28 (b) As used in this section, "qualified vendor" refers to a person with
29 whom the bureau contracts to:
30 (1) develop;
31 (2) implement; and
32 (3) provide ongoing support with respect to;
33 a statewide electronic lien and title system under this section.
34 (c) As used in this section, "statewide electronic lien and title
35 system" or "system" means a statewide electronic lien and title system
36 implemented by the bureau under this section to process:
37 (1) vehicle titles;
38 (2) certificate of title data in which a lien is notated; and
39 (3) the notification, maintenance, and release of security interests
40 in vehicles;
41 through electronic means instead of paper documents.
42 (d) Not later than the dates set forth in subsection (h), the bureau
EH 1167—LS 7095/DI 139 8
1 shall implement a statewide electronic lien and title system for the
2 following purposes:
3 (1) To facilitate and promote commerce and governmental
4 transactions by validating and authorizing the use of electronic
5 records.
6 (2) To modernize the law and eliminate barriers to electronic
7 commerce and governmental transactions resulting from
8 uncertainties related to handwritten and other written materials.
9 (3) To promote uniformity of the law among the states relating to
10 the use of electronic and similar technological means of effecting
11 and performing commercial and governmental transactions.
12 (4) To promote public confidence in the validity, integrity, and
13 reliability of electronic commerce and governmental transactions.
14 (5) To promote the development of the legal and business
15 infrastructure necessary to implement electronic commerce and
16 governmental transactions.
17 (e) The bureau may:
18 (1) contract with one (1) or more qualified vendors to develop and
19 implement a statewide electronic lien and title system; or
20 (2) develop and make available to qualified service providers a
21 well defined set of information services that will enable secure
22 access to the data and internal application components necessary
23 to facilitate the creation of a statewide electronic lien and title
24 system.
25 (f) If the bureau elects under subsection (e)(1) to contract with one
26 (1) or more qualified vendors to develop and implement a statewide
27 electronic lien and title system, the following apply:
28 (1) The bureau shall issue a competitive request for proposals to
29 assess the qualifications of any vendor seeking to develop,
30 implement, and provide ongoing support for the system. The
31 bureau may reserve the right to receive input concerning
32 specifications for the establishment and operation of the system
33 from parties that do not respond to the bureau's request for
34 proposals.
35 (2) A contract entered into between the bureau and a qualified
36 vendor may not provide for any costs or charges payable by the
37 bureau to the qualified vendor. The qualified vendor shall
38 reimburse the bureau for any reasonable and documented costs
39 incurred by the bureau and directly associated with the
40 development, implementation, or ongoing support of the system.
41 (3) Upon implementing a statewide electronic lien and title
42 system under this section, the qualified vendor may charge
EH 1167—LS 7095/DI 139 9
1 participating lienholders or their agents a fee for each lien
2 notification transaction provided through the system, in order to
3 recover the qualified vendor's costs associated with the
4 development, implementation, and ongoing administration of the
5 system. A lien notification fee under this subdivision must be
6 consistent with market pricing and may not exceed three dollars
7 and fifty cents ($3.50). The qualified vendor may not charge
8 lienholders or their agents any additional fee for lien releases,
9 assignments, or transfers. The qualified vendor may not charge a
10 fee under this subdivision to a state agency or its agents for lien
11 notification, lien release, lien assignment, or lien transfer. To
12 recover their costs associated with the lien, participating
13 lienholders or their agents may charge:
14 (A) the borrower in a vehicle loan; or
15 (B) the lessee in a vehicle lease;
16 an amount equal to any lien notification fee imposed by the
17 qualified vendor under this subdivision, plus a fee in an amount
18 not to exceed three dollars ($3) for each electronic transaction in
19 which a lien is notated.
20 (4) A qualified vendor may also serve as a qualified service
21 provider to motor vehicle lienholders if the following conditions
22 are met:
23 (A) The contract between the bureau and the qualified vendor
24 must include provisions specifically prohibiting the qualified
25 vendor from using information concerning vehicle titles for
26 any commercial, marketing, business, or other purpose not
27 specifically contemplated by this chapter.
28 (B) The contract between the bureau and the qualified vendor
29 must include an acknowledgment by the qualified vendor that
30 the qualified vendor is required to enter into agreements to
31 exchange electronic lien data with any:
32 (i) qualified service providers that offer electronic lien or
33 title services in Indiana and that have been approved by the
34 bureau for participation in the system; and
35 (ii) qualified service providers that are not qualified vendors.
36 (C) The bureau must periodically monitor the fees charged by
37 a qualified vendor that also:
38 (i) serves as a qualified service provider to lienholders; or
39 (ii) provides services as a qualified vendor to other qualified
40 service providers;
41 to ensure that the qualified vendor is not engaging in predatory
42 pricing.
EH 1167—LS 7095/DI 139 10
1 (g) If the bureau elects under subsection (e)(2) to develop an
2 interface to provide qualified service providers secure access to data to
3 facilitate the creation of a statewide electronic lien and title system, the
4 following apply:
5 (1) The bureau shall establish:
6 (A) the total cost to develop the statewide electronic lien and
7 title system by July 1, 2021; 2022;
8 (B) qualifications for third party service providers offering
9 electronic lien services; and
10 (C) a qualification process to:
11 (i) evaluate electronic lien and title system technologies
12 developed by third party service providers; and
13 (ii) determine whether such technologies comply with
14 defined security and platform standards.
15 (2) Not later than February July 1, 2022, the bureau shall publish
16 on the bureau's Internet web site the qualifications established by
17 the bureau under subdivision (1). A third party service provider
18 that seeks to become qualified by the bureau under this subsection
19 must demonstrate the service provider's qualifications, in the form
20 and manner specified by the bureau, not later than thirty (30) days
21 after the date of the bureau's publication under this subdivision.
22 After the elapse of the thirty (30) day period during which third
23 party service providers may respond to the bureau's publication
24 under this subdivision, the bureau shall notify each responding
25 third party service provider as to:
26 (A) the total cost to develop the system, as determined by
27 the bureau under subdivision (1); and
28 (B) whether the third party service provider has met the
29 qualifications established by the bureau under subdivision (1)
30 and is approved to participate in the statewide electronic lien
31 and title system.
32 (3) Not later than thirty (30) days after receiving a notice of
33 approval from the bureau under subdivision (2), each qualified
34 service provider shall remit to the bureau a payment in an amount
35 equal to the total development costs of the system divided by the
36 total number of qualified service providers participating in the
37 system. notify the bureau of the qualified service provider's
38 intention to participate in the statewide electronic lien and
39 title system.
40 (4) If a third party service provider that did not:
41 (A) submit proof of its qualifications under subdivision (2); or
42 (B) pay initial development costs under subdivision (3);
EH 1167—LS 7095/DI 139 11
1 later wishes to participate in the system, the third party service
2 provider may apply to the bureau to participate in the system. The
3 bureau shall allow the third party service provider to participate
4 in the system if the third party service provider meets the
5 qualifications established by the bureau under subdivision (1) and
6 pays to the department the third party service provider's
7 proportional share of the system development costs.
8 (5) Each qualified service provider shall remit to the bureau, on
9 a date prescribed by the bureau, an annual fee established by the
10 bureau and not to exceed three thousand dollars ($3,000), to be
11 used for the operation and maintenance of the system.
12 (4) Upon implementing a statewide electronic lien and title
13 system under this section, the bureau may charge
14 participating service providers or their agents a fee for each
15 lien transaction provided through the system in order to
16 recover the bureau's costs associated with the development,
17 implementation, and ongoing administration of the system. A
18 fee under this subdivision must be consistent with market
19 pricing and may not exceed three dollars and twenty-five
20 cents ($3.25). A fee collected under this subdivision shall be
21 deposited in the commission fund. Fees collected by the
22 bureau for the implementation of a statewide electronic lien
23 and title system are limited to those contained in this
24 subdivision. This subdivision expires July 1, 2025.
25 (6) (5) A contract entered into between the bureau and a qualified
26 service provider may not provide for any costs or charges payable
27 by the bureau to the qualified service provider.
28 (7) (6) Upon the implementation of a statewide electronic lien and
29 title system under this section, a qualified service provider may
30 charge participating lienholders or their agents transaction fees
31 consistent with market pricing in addition to the fees described
32 in subdivision 4. A fee under this subdivision may not be charged
33 to a state agency or its agents for lien notification, lien release,
34 lien assignment, or lien transfer. To recover their costs
35 associated with a lien, participating lienholders or their agents
36 may charge:
37 (A) the borrower in a vehicle loan; or
38 (B) the lessee in a vehicle lease;
39 an amount equal to any fee imposed by a qualified service
40 provider under this subdivision, plus a fee in an amount not
41 to exceed three dollars ($3) for each electronic transaction in
42 which a lien is notated.
EH 1167—LS 7095/DI 139 12
1 (8) (7) The contract between the bureau and a qualified service
2 provider must include provisions specifically prohibiting the
3 qualified service provider from using information concerning
4 vehicle titles for any commercial, marketing, business, or other
5 purpose not specifically contemplated by this chapter.
6 (h) Subject to subsection (i), the bureau shall implement, and allow
7 or require the use of, a statewide electronic lien and title system under
8 this section as follows:
9 (1) A statewide electronic lien system that is capable of
10 processing:
11 (A) certificate of title data in which a lien is notated; and
12 (B) the notification, maintenance, and release of security
13 interests in vehicles;
14 through electronic means must be made available for voluntary
15 use by vehicle lienholders not later than February July 1, 2022.
16 (2) Subject to subsection (j)(5), the bureau shall require that the
17 statewide electronic lien system made available under subdivision
18 (1) be used for processing:
19 (A) certificate of title data in which a lien is notated; and
20 (B) the notification, maintenance, and release of security
21 interests in vehicles;
22 after June 30, 2022. 2023.
23 (3) A statewide electronic title system capable of processing
24 vehicle titles through electronic means must be made available for
25 voluntary use by vehicle dealers, lienholders, and owners not later
26 than July 1, 2022. 2025.
27 (4) The bureau shall require that the statewide electronic title
28 system made available under subdivision (3) be used for
29 processing vehicle titles after June 30, 2023. 2026.
30 (i) Subsection (h) does not prohibit the bureau or any:
31 (1) qualified vendor with whom the bureau contracts under
32 subsection (f); or
33 (2) qualified service provider with whom the bureau contracts
34 under subsection (g);
35 from implementing, making available, or requiring the use of a
36 statewide electronic lien system described in subsection (h)(1) at the
37 same time as, or in conjunction with, a statewide electronic title system
38 described in subsection (h)(3), or from implementing, making
39 available, or requiring the use of a statewide electronic lien system
40 described in subsection (h)(1) or a statewide electronic title system
41 described in subsection (h)(3) before the applicable dates otherwise set
42 forth in subsection (h).
EH 1167—LS 7095/DI 139 13
1 (j) The following apply to the use of a statewide electronic lien
2 system described in subsection (h)(1):
3 (1) Notwithstanding section 5(b) of this chapter, if there are one
4 (1) or more liens or encumbrances on a motor vehicle, the bureau
5 may electronically transmit the lien to the first lienholder and
6 notify the first lienholder of any additional liens. Subsequent lien
7 satisfactions may be electronically transmitted to the bureau and
8 must include the name and address of the person satisfying the
9 lien.
10 (2) Whenever the electronic transmission of lien notifications and
11 lien satisfactions is used, a certificate of title need not be issued
12 until the last lien is satisfied and a clear certificate of title can be
13 issued to the owner of the motor vehicle. The bureau may print or
14 issue electronically the clear certificate of title to the owner or
15 subsequent assignee of the motor vehicle.
16 (3) If a motor vehicle is subject to an electronic lien, the
17 certificate of title for the motor vehicle is considered to be
18 physically held by the lienholder for purposes of compliance with
19 state or federal odometer disclosure requirements.
20 (4) A certified copy of the bureau's electronic record of a lien is
21 admissible in any civil, criminal, or administrative proceeding in
22 Indiana as evidence of the existence of the lien. If a certificate of
23 title is maintained electronically in a statewide electronic title
24 system described in subsection (h)(3), a certified copy of the
25 bureau's electronic record of the certificate of title is admissible
26 in any civil, criminal, or administrative proceeding in Indiana as
27 evidence of the existence and contents of the certificate of title.
28 (5) All individuals and lienholders who conduct at least twelve
29 (12) lien transactions annually must use the statewide electronic
30 lien and title system implemented under this section to record
31 information concerning the perfection and release of a security
32 interest in a vehicle.
33 (6) An electronic notice or release of a lien made through the
34 statewide electronic lien and title system implemented under this
35 section has the same force and effect as a notice or release of a
36 lien made on a paper document.
37 (7) The bureau may convert an existing paper lien to an electronic
38 lien upon request of the primary lienholder. The bureau, or a third
39 party contracting with the bureau under this section, is authorized
40 to collect a fee not to exceed three dollars ($3) for each
41 conversion performed under this subdivision. A fee under this
42 subdivision may not be charged to a state agency or its agents.
EH 1167—LS 7095/DI 139 14
1 (8) Notwithstanding section 5 of this chapter, any requirement
2 that a security interest or other information appear on a certificate
3 of title is satisfied by the inclusion of that information in an
4 electronic file maintained in an electronic title system.
5 (k) Nothing in this section precludes the bureau from collecting a
6 title fee for the preparation and issuance of a title.
7 (l) The bureau may adopt rules under IC 4-22-2 to implement this
8 section, including emergency rules in the manner provided by
9 IC 4-22-2-37.1. Notwithstanding IC 4-22-2-37.1(g), an emergency rule
10 adopted by the bureau under this subsection and in the manner
11 provided by IC 4-22-2-37.1 expires on the date on which a rule that
12 supersedes the emergency rule is adopted by the bureau under
13 IC 4-22-2-24 through IC 4-22-2-36.
14 SECTION 7. IC 9-18.5-2-1, AS AMENDED BY P.L.29-2021,
15 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
16 JULY 1, 2022]: Sec. 1. (a) A person may apply to the bureau for a
17 personalized license plate to display on the person's vehicle.
18 (b) The following license plates may be designed as a personalized
19 license plate under this chapter:
20 (1) IC 9-18.5-4 (prisoner of war license plates).
21 (2) IC 9-18.5-5 (disabled Hoosier veteran license plates).
22 (3) IC 9-18.5-6 (Purple Heart license plates).
23 (4) IC 9-18.5-7 (National Guard license plates).
24 (5) IC 9-18.5-8 (license plates for persons with disabilities).
25 (6) IC 9-18.5-9 (amateur radio operator license plates).
26 (7) IC 9-18.5-10 (civic event license plates).
27 (8) IC 9-18.5-11 (In God We Trust license plates).
28 (9) IC 9-18.5-12 (special group recognition license plates).
29 (10) IC 9-18.5-13 (environmental license plates).
30 (11) IC 9-18.5-14 (kids first trust license plates).
31 (12) IC 9-18.5-15 (education license plates).
32 (13) IC 9-18.5-16 (Indiana FFA trust license plates).
33 (14) IC 9-18.5-17 (Indiana firefighter license plates).
34 (15) IC 9-18.5-18 (Indiana boy scouts trust license plates).
35 (16) IC 9-18.5-19 (D.A.R.E. Indiana trust license plates).
36 (17) IC 9-18.5-20 (Indiana arts trust license plates).
37 (18) IC 9-18.5-21 (Indiana health trust license plates).
38 (19) IC 9-18.5-22 (Indiana Native American trust license plates).
39 (20) IC 9-18.5-24 (Pearl Harbor survivor license plates).
40 (21) IC 9-18.5-25 (Indiana state educational institution trust
41 license plates).
42 (22) IC 9-18.5-26 (Lewis and Clark expedition license plates).
EH 1167—LS 7095/DI 139 15
1 (23) IC 9-18.5-27 (Riley Children's Foundation license plates).
2 (24) IC 9-18.5-28 (National Football League franchised
3 professional football team license plates).
4 (25) IC 9-18.5-29 (Hoosier veteran license plates).
5 (26) IC 9-18.5-30 (support our troops license plates).
6 (27) IC 9-18.5-31 (Abraham Lincoln's boyhood home license
7 plates).
8 (28) IC 9-18.5-32 (Earlham College Trust license plates).
9 (29) (28) IC 9-18.5-33 (Indiana Gold Star family member license
10 plates).
11 (30) (29) IC 9-18.5-35 (Armed Forces Expeditionary Medal
12 license plates).
13 (31) (30) A license plate issued under IC 9-18 (before its
14 expiration) or IC 9-18.1.
15 SECTION 8. IC 9-18.5-12-13, AS AMENDED BY P.L.178-2019,
16 SECTION 43, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
17 JULY 1, 2022]: Sec. 13. (a) In order to continue participation in the
18 special group recognition license plate program, a special group must:
19 (1) sell at least five hundred (500) special group recognition
20 license plates of the special group in the first two (2) years in
21 which the license plate is offered for sale; and
22 (2) maintain the sale or renewal of at least five hundred (500)
23 special group recognition license plates during each subsequent
24 year after the initial two (2) year period of sale.
25 (b) If the special group fails to sell or renew special group
26 recognition license plates in the manner provided in subsection (a), the
27 bureau shall place the issuance of the special group recognition license
28 plates for the special group on probation for the subsequent year. If, in
29 that subsequent year on probation, the special group fails to sell or
30 renew at least five hundred (500) special group recognition license
31 plates, the bureau shall terminate the participation of the special group
32 in the special group recognition license plate program. If the special
33 group sells or renews at least five hundred (500) special group
34 recognition license plates in the year on probation, the participation of
35 the special group in the special group recognition license plate program
36 is continued. A special group shall be afforded only one (1)
37 probationary period under this subsection.
38 (c) The bureau may terminate the participation of a special group in
39 the special group recognition license plate program if the special
40 group:
41 (1) ceases operations; or
42 (2) fails to use the annual fee collected by the bureau in a manner
EH 1167—LS 7095/DI 139 16
1 consistent with the statement submitted by the special group
2 under section 3(a)(9) of this chapter.
3 (d) A special group that desires to participate in the special group
4 recognition license plate program after termination by the bureau under
5 this section:
6 (1) must follow the procedure set forth in section 3 of this
7 chapter; and
8 (2) may not reapply to participate in the special group
9 recognition license plate program for at least two (2) years
10 after termination.
11 (e) Upon termination under this section of a special group's
12 participation in the special group recognition license plate program, the
13 bureau shall distribute any money remaining in the trust fund
14 established under section 14 of this chapter for the special group to the
15 state general fund.
16 SECTION 9. IC 9-18.5-16-4, AS ADDED BY P.L.198-2016,
17 SECTION 327, IS AMENDED TO READ AS FOLLOWS
18 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The Indiana FFA trust fund
19 is established.
20 (b) The treasurer of state shall invest the money in the Indiana FFA
21 trust fund not currently needed to meet the obligations of the Indiana
22 FFA trust fund in the same manner as other public trust funds are
23 invested. Interest that accrues from these investments shall be
24 deposited in the Indiana FFA trust fund.
25 (c) The bureau shall administer the Indiana FFA trust fund.
26 Expenses of administering the Indiana FFA trust fund shall be paid
27 from money in the Indiana FFA trust fund.
28 (d) On June 30 of each year, The bureau shall distribute at least one
29 (1) time each month the money from the fund to the FFA Foundation
30 that is located within Indiana.
31 (e) Money in the fund at the end of a state fiscal year does not revert
32 to the state general fund.
33 SECTION 10. IC 9-18.5-18-4, AS ADDED BY P.L.198-2016,
34 SECTION 327, IS AMENDED TO READ AS FOLLOWS
35 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The Indiana boy scouts trust
36 fund is established.
37 (b) The treasurer of state shall invest the money in the fund not
38 currently needed to meet the obligations of the fund in the same
39 manner as other public trust funds are invested. Interest that accrues
40 from these investments shall be deposited in the fund.
41 (c) The bureau shall administer the fund. Expenses of administering
42 the fund shall be paid from money in the fund.
EH 1167—LS 7095/DI 139 17
1 (d) On June 30 of each year, The bureau shall distribute at least one
2 (1) time each month the money from the fund to the organization
3 established under section 5 of this chapter.
4 (e) Money in the fund at the end of a state fiscal year does not revert
5 to the state general fund.
6 SECTION 11. IC 9-18.5-19-4, AS ADDED BY P.L.198-2016,
7 SECTION 327, IS AMENDED TO READ AS FOLLOWS
8 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The D.A.R.E. Indiana trust
9 fund is established.
10 (b) The treasurer of state shall invest the money in the fund not
11 currently needed to meet the obligations of the fund in the same
12 manner as other public trust funds are invested. Interest that accrues
13 from these investments shall be deposited in the fund.
14 (c) The bureau shall administer the fund. Expenses of administering
15 the fund shall be paid from money in the fund.
16 (d) On June 30 of each year, The bureau shall distribute at least one
17 (1) time each month the money from the fund to D.A.R.E. Indiana,
18 Inc.
19 (e) Money in the fund at the end of a state fiscal year does not revert
20 to the state general fund.
21 SECTION 12. IC 9-18.5-20-3, AS ADDED BY P.L.198-2016,
22 SECTION 327, IS AMENDED TO READ AS FOLLOWS
23 [EFFECTIVE JULY 1, 2022]: Sec. 3. (a) The fees for an Indiana arts
24 trust license plate are as follows:
25 (1) An annual supplemental fee of fifteen dollars ($15) under
26 IC 9-18.5-12-16.
27 (2) An annual fee of not more than twenty-five dollars ($25) as
28 provided in IC 9-18.5-12-14(d)(2) or IC 9-18.5-12-15(b).
29 (b) The annual fee referred to in subsection (a)(2) must be collected
30 by the bureau and deposited in the Indiana arts commission trust fund
31 established under IC 4-23-2.5-4.
32 (c) The bureau shall distribute at least one (1) time each month
33 the money from the Indiana arts commission trust fund collected
34 under subsection (b).
35 SECTION 13. IC 9-18.5-21-4, AS ADDED BY P.L.198-2016,
36 SECTION 327, IS AMENDED TO READ AS FOLLOWS
37 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The Indiana health trust fund
38 is established.
39 (b) The treasurer of state shall invest the money in the Indiana
40 health trust fund not currently needed to meet the obligations of the
41 Indiana health trust fund in the same manner as other public trust funds
42 are invested. Interest that accrues from these investments shall be
EH 1167—LS 7095/DI 139 18
1 deposited in the Indiana health trust fund.
2 (c) The bureau shall administer the Indiana health trust fund.
3 Expenses of administering the Indiana health trust fund shall be paid
4 from money in the Indiana health trust fund.
5 (d) On June 30 of each year, The bureau shall distribute at least one
6 (1) time each month the money from the fund to the organization
7 established under section 5 of this chapter.
8 (e) Money in the fund at the end of a state fiscal year does not revert
9 to the state general fund.
10 SECTION 14. IC 9-18.5-22-4, AS ADDED BY P.L.198-2016,
11 SECTION 327, IS AMENDED TO READ AS FOLLOWS
12 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The Indiana Native American
13 trust fund is established.
14 (b) The treasurer of state shall invest the money in the Indiana
15 Native American trust fund not currently needed to meet the
16 obligations of the Indiana Native American trust fund in the same
17 manner as other public trust funds are invested. Interest that accrues
18 from these investments shall be deposited in the Indiana Native
19 American trust fund.
20 (c) The bureau shall administer the Indiana Native American trust
21 fund. Expenses of administering the Indiana Native American trust
22 fund shall be paid from money in the Indiana Native American trust
23 fund.
24 (d) On June 30 of each year, The bureau shall distribute at least one
25 (1) time each month the money from the fund to the Native American
26 Indian affairs commission established under IC 4-23-32.
27 (e) Money in the fund at the end of a state fiscal year does not revert
28 to the state general fund.
29 (f) The Native American Indian affairs commission may use money
30 received under this section for any lawful purpose of the Native
31 American Indian affairs commission.
32 SECTION 15. IC 9-18.5-23-3, AS AMENDED BY P.L.57-2020,
33 SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
34 JULY 1, 2022]: Sec. 3. (a) The fees for a first responder license plate
35 are as follows:
36 (1) An annual supplemental fee of fifteen dollars ($15) under
37 IC 9-18.5-12-16.
38 (2) An annual fee of not more than twenty-five dollars ($25) as
39 provided in IC 9-18.5-12-14(d)(2) or IC 9-18.5-12-15(b).
40 (b) The annual fee referred to in subsection (a)(2) shall be collected
41 by the bureau and deposited in the fund established under
42 IC 10-15-3-1.
EH 1167—LS 7095/DI 139 19
1 (c) The bureau shall distribute at least one (1) time each month
2 the money from the fund collected under subsection (b).
3 SECTION 16. IC 9-18.5-26-4, AS ADDED BY P.L.198-2016,
4 SECTION 327, IS AMENDED TO READ AS FOLLOWS
5 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The Lewis and Clark
6 expedition fund is established.
7 (b) The treasurer of state shall invest the money in the fund not
8 currently needed to meet the obligations of the fund in the same
9 manner as other public funds are invested. Interest that accrues from
10 these investments shall be deposited in the fund. Money in the fund is
11 continuously appropriated for the purposes of this section.
12 (c) The bureau shall administer the fund. Expenses of administering
13 the fund shall be paid from money in the fund.
14 (d) The bureau shall monthly distribute at least one (1) time each
15 month the money from the fund to the Lewis and Clark expedition
16 commission established by IC 14-20-15.
17 (e) Money in the fund at the end of a state fiscal year does not revert
18 to the state general fund.
19 SECTION 17. IC 9-18.5-28-4, AS ADDED BY P.L.198-2016,
20 SECTION 327, IS AMENDED TO READ AS FOLLOWS
21 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The fees for a National
22 Football League franchised football team license plate are as follows:
23 (1) An annual supplemental fee of ten dollars ($10). The fee shall
24 be distributed as follows:
25 (A) Five dollars ($5) to the commission fund.
26 (B) Five dollars ($5) to the motor vehicle highway account.
27 (2) An annual fee of twenty dollars ($20) for deposit in the capital
28 projects fund established by section 5 of this chapter.
29 (b) The bureau shall distribute at least one (1) time each month
30 the money from the capital projects fund collected under
31 subsection (a).
32 SECTION 18. IC 9-18.5-29-3, AS ADDED BY P.L.198-2016,
33 SECTION 327, IS AMENDED TO READ AS FOLLOWS
34 [EFFECTIVE JULY 1, 2022]: Sec. 3. (a) An individual who registers
35 a vehicle under this title may apply for and receive a Hoosier veteran
36 license plate for one (1) or more vehicles upon doing the following:
37 (1) Completing an application for a Hoosier veteran license plate.
38 (2) Presenting one (1) of the following to the bureau:
39 (A) A United States Uniformed Services Retiree Identification
40 Card.
41 (B) A DD 214 or DD 215 record.
42 (C) United States military discharge papers.
EH 1167—LS 7095/DI 139 20
1 (D) A current armed forces identification card.
2 (E) A credential issued to the individual that contains an
3 indication of veteran status under IC 9-24-11-5.5.
4 (3) Paying a fee in an amount of fifteen dollars ($15).
5 (b) The bureau shall distribute at least one (1) time each month the
6 fee described in subsection (a)(3) to the director of veterans' affairs for
7 deposit in the military family relief fund established under
8 IC 10-17-12-8.
9 SECTION 19. IC 9-18.5-30-2, AS ADDED BY P.L.198-2016,
10 SECTION 327, IS AMENDED TO READ AS FOLLOWS
11 [EFFECTIVE JULY 1, 2022]: Sec. 2. A person may receive a support
12 our troops license plate under this chapter upon doing the following:
13 (1) Completing an application for a support our troops license
14 plate.
15 (2) Paying an annual fee of twenty dollars ($20).
16 The bureau shall distribute at least one (1) time each month the fee
17 described in subdivision (2) to the director of veterans' affairs for
18 deposit in the military family relief fund established under
19 IC 10-17-12-8.
20 SECTION 20. IC 9-18.5-31-7, AS ADDED BY P.L.198-2016,
21 SECTION 327, IS AMENDED TO READ AS FOLLOWS
22 [EFFECTIVE JULY 1, 2022]: Sec. 7. (a) The Indiana State Museum
23 Foundation trust fund is established.
24 (b) The treasurer of state shall invest the money in the Indiana State
25 Museum Foundation trust fund not currently needed to meet the
26 obligations of the Indiana State Museum Foundation trust fund in the
27 same manner as other public funds are invested. Interest that accrues
28 from these investments shall be deposited in the Indiana State Museum
29 Foundation trust fund. Money in the Indiana State Museum Foundation
30 trust fund is continuously appropriated for the purposes of this section.
31 (c) The bureau shall administer the Indiana State Museum
32 Foundation trust fund. Expenses of administering the Indiana State
33 Museum Foundation trust fund shall be paid from money in the fund.
34 (d) On June 30 of each year, The bureau shall distribute at least one
35 (1) time each month the money from the Indiana State Museum
36 Foundation trust fund to the Indiana State Museum Foundation, Inc. for
37 use concerning the Lincoln collection.
38 (e) Money in the Indiana State Museum Foundation trust fund at the
39 end of a state fiscal year does not revert to the state general fund.
40 SECTION 21. IC 9-18.5-32 IS REPEALED [EFFECTIVE JULY 1,
41 2022]. (Earlham College Trust License Plates).
42 SECTION 22. IC 9-21-8-47, AS AMENDED BY P.L.210-2005,
EH 1167—LS 7095/DI 139 21
1 SECTION 35, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
2 JULY 1, 2022]: Sec. 47. (a) The following vehicles must be moved or
3 operated so as to avoid any material damage to the highway or
4 unreasonable interference with other highway traffic:
5 (1) Machinery or equipment used in highway construction or
6 maintenance by the Indiana department of transportation,
7 counties, or municipalities.
8 (2) Farm drainage machinery.
9 (3) Implements of agriculture.
10 (4) Firefighting apparatus owned or operated by a political
11 subdivision or a volunteer fire department (as defined in
12 IC 36-8-12-2).
13 (5) Farm vehicles loaded with farm products.
14 (b) For purposes of this section, interference with other highway
15 traffic is considered unreasonable if the interference occurs for
16 more than ten (10) consecutive minutes. This subsection does not
17 apply to a vehicle in subsection (a)(1) or (a)(4).
18 SECTION 23. IC 9-22-1-19, AS AMENDED BY P.L.281-2019,
19 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
20 JULY 1, 2022]: Sec. 19. (a) Within three (3) business days after
21 removal of a vehicle to a storage yard or towing service under section
22 13, 14, 16, or 31 of this chapter or IC 9-22-6, the public agency or
23 towing service shall conduct a search of the National Motor Vehicle
24 Title Information System or an equivalent and commonly available data
25 base to attempt to obtain the last state of record of the vehicle in order
26 to attempt to ascertain the name and address of the person who owns
27 or holds a lien on the vehicle.
28 (b) A public agency or towing service that obtains the name and
29 address of the owner of or lienholder on a vehicle shall, not later than
30 three (3) business days after obtaining the name and address, notify the
31 person who owns or holds a lien on the vehicle owner of the vehicle
32 and any lienholder on the vehicle, as indicated by the certificate of
33 title or discovered by a search under subsection (a), of the
34 following:
35 (1) The name, address, and telephone number of the public
36 agency or towing service.
37 (2) That storage charges are being accrued and the vehicle is
38 subject to sale if the vehicle is not claimed and the charges are not
39 paid.
40 (3) The earliest possible date and location of the public sale or
41 auction.
42 The notice must be made by certified mail or a certificate of mailing or
EH 1167—LS 7095/DI 139 22
1 by means of an electronic service approved by the bureau.
2 Notwithstanding section 4 of this chapter, a public agency or towing
3 service that fails to notify the owner of or lienholder on the vehicle as
4 set forth in this subsection may not collect additional storage costs
5 incurred after the date of receipt of the name and address obtained.
6 SECTION 24. IC 9-22-5-3, AS AMENDED BY P.L.198-2016,
7 SECTION 408, IS AMENDED TO READ AS FOLLOWS
8 [EFFECTIVE JULY 1, 2022]: Sec. 3. (a) The application required
9 under section 2 of this chapter shall be made in a manner prescribed by
10 the bureau and filed with the bureau.
11 (b) The application required by section 2 of this chapter must
12 include the following:
13 (1) The name and address of the applicant.
14 (2) The year, make, model, and vehicle identification number of
15 the vehicle, if ascertainable, together with any other identifying
16 features.
17 (3) A concise statement of the facts surrounding the abandonment
18 of the vehicle, that the title of the vehicle is faulty, lost, or
19 destroyed, or the reasons for disposal of the vehicle.
20 (4) An affidavit executed by the applicant stating that the facts
21 alleged in the application are true and that no material fact has
22 been withheld.
23 (c) The bureau shall issue a certificate of authority if:
24 (1) the bureau determines that the application satisfies the
25 requirements of this chapter; and
26 (2) the applicant pays a fee of four dollars ($4) for each certificate
27 of authority.
28 The fee under subdivision (2) shall be deposited in the motor vehicle
29 highway account.
30 (d) The bureau shall process an electronic application for a
31 certificate of authority not more than five (5) business days after
32 the submission of the application if the application meets the
33 requirements under section 2 of this chapter or under this section.
34 (d) (e) A certificate of authority issued under this chapter must
35 contain the following information:
36 (1) The name and address of the person that filed the application
37 required under section 2 of this chapter.
38 (2) The year, make, model, and vehicle identification number, if
39 ascertainable, together with any other identifying features of the
40 vehicle that has been authorized to be sold for scrap metal.
41 SECTION 25. IC 9-22-6-2, AS AMENDED BY P.L.157-2017,
42 SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
EH 1167—LS 7095/DI 139 23
1 JULY 1, 2022]: Sec. 2. (a) A person that performs labor, furnishes
2 materials or storage, or does repair work on a vehicle at the request of
3 the owner of the vehicle has a mechanic's lien on the vehicle for the
4 reasonable value of the charges for the labor, materials, storage, or
5 repairs.
6 (b) A person that provides towing services for a vehicle at the
7 request of the owner of the vehicle has a mechanic's lien on the vehicle
8 for the reasonable value of the charges for the towing services and
9 other related costs.
10 (c) A person that has a mechanic's lien on a vehicle under
11 subsection (a) or (b) may advertise the vehicle for sale if the person
12 followed the procedures described in IC 9-22-1-19 and if:
13 (1) the charges made under subsection (a) or (b) are not paid; and
14 (2) the vehicle is not claimed;
15 within thirty (30) days after the date on which the vehicle is left in or
16 comes into the possession of the person for repairs, storage, towing, or
17 the furnishing of materials. The vehicle may not be sold until the later
18 of fifteen (15) days after the date the advertisement required by
19 subsection (d) has been placed or fifteen (15) days after notice required
20 by subsection (e) has been sent.
21 (d) Before a vehicle may be sold under subsection (c) or under
22 IC 9-22-1-21.5, an advertisement must be placed in a newspaper that
23 is printed in English and of general circulation in the city or town in
24 which the lienholder's place of business is located. If the lienholder is
25 located outside the corporate limits of a city or a town, the
26 advertisement must be placed in a newspaper of general circulation in
27 the county in which the place of business of the lienholder is located.
28 The advertisement must contain at least the following information:
29 (1) A description of the vehicle, including make, year, and
30 manufacturer's identification number.
31 (2) The amount of the unpaid charges.
32 (3) The time, place, and date of the sale.
33 (e) In addition to the advertisement required under subsection (d),
34 the person that holds the mechanic's lien under this section or under
35 IC 9-22-1-21.5(c) must notify the owner of the vehicle and any other
36 person that holds a lien of record, as indicated on the certificate of title
of the vehicle or discovered as a result of the search 37 described in
38 IC 9-22-1-19, by certified mail, return receipt requested, at the last
39 known address of the owner or person, as applicable, that the vehicle
40 will be sold at public auction on a specified date to satisfy the
41 mechanic's lien imposed by this section. If the person who holds the
42 mechanic's lien has proof that the notice was mailed to the owner of the
EH 1167—LS 7095/DI 139 24
1 vehicle and any person who holds a lien of record in accordance
2 with this subsection, actual receipt of the notice by the owner of the
3 vehicle is not required. Actual receipt of the notice by any other person
4 that holds a lien of record is required unless a properly addressed
5 notice is refused by the addressee or is otherwise returned to the sender
6 as undeliverable.
7 (f) A person that holds a mechanic's lien of record on a vehicle
8 subject to sale under this section or under IC 9-22-1-21.5 may pay the
9 storage, repair, towing, or service charges due. If the person that holds
10 the mechanic's lien of record elects to pay the charges due, the person
11 is entitled to possession of the vehicle and becomes the holder of the
12 mechanic's lien imposed by this section.
13 (g) If the person that owns a vehicle or the lienholder of a vehicle
14 subject to sale under this section or under IC 9-22-1-21.5 does not
15 claim the vehicle and satisfy the mechanic's lien on the vehicle, the
16 vehicle may be sold at public sale or public auction to the highest and
17 best bidder. A person that holds a mechanic's lien under this section
18 may purchase a vehicle subject to sale under this section.
19 (h) A person that holds a mechanic's lien under this section or under
20 IC 9-22-1-21.5 may deduct and retain the amount of the mechanic's
21 lien, the sale disposal costs, and the cost of the advertisement required
22 under subsection (d) from the purchase price received for a vehicle sold
23 under this section. After deducting from the purchase price the amount
24 of the mechanic's lien, the sale disposal costs, and the cost of the
25 advertisement, the person shall pay the surplus of the purchase price to
26 the person that holds the first lien of record, as indicated on the
27 certificate of title, of the vehicle. If there is no lien of record, the person
28 shall pay the surplus of the purchase price to the owner of the vehicle,
29 if the owner's address or whereabouts are known. If the address or
30 whereabouts are not known and there is no lien of record, the surplus
31 of the purchase price shall be sent to:
32 (1) the abandoned vehicle fund of the city, county, or town from
33 which the vehicle was towed, for vehicles subject to IC 9-22-1; or
34 (2) the clerk of courts, for all other vehicles, in the jurisdiction in
35 which the business of the person that holds the mechanic's lien is
36 located, for the use and benefit of the owner of the vehicle.
37 (i) The person that holds the first lien of record may deduct and
38 retain the amount of the lien of record from the surplus purchase price
39 transferred to the person under subsection (h). After deducting the
40 amount of the lien of record from the surplus purchase price transferred
41 to the person under subsection (h), the person that holds the first lien
42 of record shall pay any remaining surplus to the owner of the vehicle,
EH 1167—LS 7095/DI 139 25
1 if the owner's address or whereabouts are known. If the address or
2 whereabouts of the owner of the vehicle are not known, the surplus of
3 the purchase price shall be sent to:
4 (1) the abandoned vehicle fund of the city, county, or town from
5 which the vehicle was towed, for vehicles subject to IC 9-22-1; or
6 (2) the clerk of the courts for all other vehicles, in the jurisdiction
7 in which the business of the person that holds the mechanic's lien
8 is located, for the use and benefit of the owner of the vehicle.
9 (j) A person that holds a mechanic's lien under this section shall
10 execute and deliver to the purchaser of a vehicle under this section or
11 under IC 9-22-1-21.5 a sales certificate in the form designated by the
12 bureau, setting forth the following information:
13 (1) The facts of the sale.
14 (2) The vehicle identification number.
15 (3) The certificate of title if available.
16 (4) A certification from the newspaper showing that the
17 advertisement was made as required under subsection (d).
18 (5) Any other information that the bureau requires.
19 Whenever the bureau receives from the purchaser an application for
20 certificate of title accompanied by these items, the bureau shall issue
21 a certificate of title for the vehicle under IC 9-17.
22 (k) A person that violates this section commits a Class A infraction.
23 SECTION 26. IC 9-24-2-3, AS AMENDED BY P.L.198-2016,
24 SECTION 424, IS AMENDED TO READ AS FOLLOWS
25 [EFFECTIVE JULY 1, 2022]: Sec. 3. (a) The bureau may not issue a
26 driver's license or learner's permit or grant driving privileges to the
27 following individuals:
28 (1) An individual whose driving privileges have been suspended,
29 during the period for which the driving privileges are suspended,
30 or to an individual whose driver's license has been revoked, until
31 the time the bureau is authorized under Indiana law to issue the
32 individual a new driver's license.
33 (2) An individual whose learner's permit has been suspended or
34 revoked until the time the bureau is authorized under Indiana law
35 to issue the individual a new learner's permit.
36 (3) An individual who, in the opinion of the bureau, is afflicted
37 with or suffering from a physical or mental disability or disease
38 that prevents the individual from exercising reasonable and
39 ordinary control over a motor vehicle while operating the motor
40 vehicle on a highway.
41 (4) An individual who is unable to understand highway warnings
42 or direction signs written in the English language.
EH 1167—LS 7095/DI 139 26
1 (5) An individual who is required under this article to take an
2 examination unless:
3 (A) the individual successfully passes the examination; or
4 (B) the bureau waives the examination requirement.
5 (6) An individual who is required under IC 9-25 or any other
6 statute to deposit or provide proof of financial responsibility and
7 who has not deposited or provided that proof.
8 (7) An individual when the bureau has good cause to believe that
9 the operation of a motor vehicle on a highway by the individual
10 would be inimical to public safety or welfare.
11 (8) An individual who is the subject of an order issued by:
12 (A) a court under IC 31-16-12-7 (or IC 31-1-11.5-13,
13 IC 31-6-6.1-16, or IC 31-14-12-4 before their repeal); or
14 (B) the Title IV-D agency;
15 ordering that a driver's license or permit not be issued to the
16 individual.
17 (9) An individual who has not presented valid documentary
18 evidence to the bureau of the individual's legal status in the
19 United States, as required by IC 9-24-9-2.5.
20 (10) An individual who does not otherwise satisfy the
21 requirements of this article.
22 (b) An individual subject to epileptic seizures may not be denied a
23 driver's license or permit under this section if the individual presents
24 a statement from a licensed physician or an advanced practice
25 registered nurse, on a form prescribed by the bureau, that the
26 individual is under medication and is free from seizures while under
27 medication.
28 SECTION 27. IC 9-24-14-3.5, AS AMENDED BY P.L.111-2021,
29 SECTION 67, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
30 JULY 1, 2022]: Sec. 3.5. (a) If a valid computerized image or digital
31 photograph of an individual exists within the records of the
32 bureau, an individual may apply for a replacement driver's license or
33 learner's permit by electronic service. subject to the following
34 conditions:
35 (1) A valid computerized image or digital photograph of the
36 individual must exist within the records of the bureau.
37 (2) The individual must be a citizen of the United States, as
38 shown in the records of the bureau.
39 (b) An individual applying for a replacement of a driver's license or
40 a learner's permit must apply in person at a license branch if the
41 individual is not entitled to apply by mail or by electronic service under
42 subsection (a).
EH 1167—LS 7095/DI 139 27
1 SECTION 28. IC 9-30-3-8.5, AS ADDED BY P.L.86-2021,
2 SECTION 14, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3 JULY 1, 2022]: Sec. 8.5. (a) Upon receipt by the bureau of a notice of
4 suspension for failure to satisfy a judgment under section 8 of this
5 chapter, the bureau shall send a request for proof of future financial
6 responsibility to the person.
7 (b) During the three (3) years following a suspension under section
8 8 of this chapter, the person's driving privileges remain suspended
9 unless the person:
10 (1) satisfies the judgment; or
11 (2) provides proof of future financial responsibility under IC 9-25.
12 (c) Upon receipt of proof of future financial responsibility, the
13 bureau shall stay a suspension under section 8 of this chapter.
14 (d) If at any time during the three (3) years following a suspension
15 under section 8 of this chapter, a person:
16 (1) has provided proof of future financial responsibility under
17 IC 9-25; and
18 (2) fails to maintain proof of future financial responsibility;
19 the bureau shall suspend the person's driving privileges until the person
20 provides proof of future financial responsibility under IC 9-25 or the
21 suspension is terminated by the bureau.
22 (e) The bureau shall waive reinstatement fees for a suspension under
23 section 8 of this chapter if the person:
24 (1) satisfies the judgment; or
25 (2) maintains proof of financial responsibility for three (3) years.
26 (f) For a suspension for failure to satisfy a judgment under
27 section 8 of this chapter imposed before December 31, 2021, the
28 suspension terminates on December 31, 2024.
29 SECTION 29. IC 9-32-5-6, AS AMENDED BY P.L.198-2016,
30 SECTION 625, IS AMENDED TO READ AS FOLLOWS
31 [EFFECTIVE JULY 1, 2022]: Sec. 6. (a) If a dealer purchases or
32 acquires ownership of a motor vehicle in a state that does not have a
33 certificate of title law, the dealer shall apply for an Indiana certificate
34 of title for the motor vehicle not more than forty-five (45) days after the
35 date of purchase or the date ownership of the motor vehicle was
36 acquired.
37 (b) The bureau shall collect an administrative penalty as provided
38 in IC 9-17-2-14.7 if a dealer fails to apply for a certificate of title for a
39 motor vehicle as described in subsection (a).
40 SECTION 30. IC 9-32-11-20, AS AMENDED BY P.L.245-2019,
41 SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
42 JULY 1, 2022]: Sec. 20. (a) This section does not apply to:
EH 1167—LS 7095/DI 139 28
1 (1) a manufacturer of a trailer or semitrailer; or
2 (2) a manufacturer that produces fewer than one thousand (1,000)
3 units per year.
4 (b) Except as provided in subsection (d) or under
5 IC 9-32-13-23(a)(3), a manufacturer or distributor may not sell or
6 offer to sell, directly or indirectly, a new motor vehicle to the
7 general public in Indiana except through a new motor vehicle
8 dealer holding a franchise for the line make covering the new
9 motor vehicle. This subsection does not apply to the sales of new
10 motor vehicles by a manufacturer or franchisor to:
11 (1) the federal government;
12 (2) a charitable organization; or
13 (3) an employee of the manufacturer or distributor.
14 (b) (c) Except as provided in subsection (c), (d), a manufacturer or
15 distributor may not engage in sales directly to the general public in
16 Indiana.
17 (c) (d) A manufacturer or distributor may engage in sales directly
18 to the general public in Indiana only if:
19 (1) the manufacturer or distributor was granted an initial license
20 to sell new motor vehicles before July 1, 2015; and
21 (2) the manufacturer or distributor establishes at least one (1)
22 physical location in Indiana that is a warranty repair service
23 center before January 1, 2018.
24 (d) (e) A manufacturer or distributor described in subsection (c) (d)
25 must stop engaging in sales directly to the general public in Indiana if
26 the manufacturer or distributor sells, transfers, or conveys a majority
27 interest in the manufacturer or distributor to another person that is
28 required to be licensed under this chapter.
29 (e) For purposes of this subsection, "subscription program" means
30 a subscription service that, for a recurring fee and for a limited period
31 of time, allows a participating person exclusive use of a motor vehicle
32 owned by an entity that controls or contracts with the subscription
33 service. The term does not include leases, short term motor vehicle
34 rentals, or services that allow short term sharing of a motor vehicle.
35 Subscription programs are prohibited in Indiana. This subsection
36 expires on May 1, 2020.
37 SECTION 31. An emergency is declared for this act.
EH 1167—LS 7095/DI 139 29
COMMITTEE REPORT
Mr. Speaker: Your Committee on Roads and Transportation, to
which was referred House Bill 1167, has had the same under
consideration and begs leave to report the same back to the House with
the recommendation that said bill be amended as follows:
Page 14, between lines 7 and 8, begin a new paragraph and insert:
"SECTION 21. IC 9-21-8-47, AS AMENDED BY P.L.210-2005,
SECTION 35, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 47. (a) The following vehicles must be moved or
operated so as to avoid any material damage to the highway or
unreasonable interference with other highway traffic:
(1) Machinery or equipment used in highway construction or
maintenance by the Indiana department of transportation,
counties, or municipalities.
(2) Farm drainage machinery.
(3) Implements of agriculture.
(4) Firefighting apparatus owned or operated by a political
subdivision or a volunteer fire department (as defined in
IC 36-8-12-2).
(5) Farm vehicles loaded with farm products.
(b) For purposes of this section, interference with other highway
traffic is considered unreasonable if the interference occurs for
more than ten (10) consecutive minutes.".
Page 16, after line 26, begin a new paragraph and insert:
"SECTION 25. IC 9-32-11-20, AS AMENDED BY P.L.245-2019,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 20. (a) This section does not apply to:
(1) a manufacturer of a trailer or semitrailer; or
(2) a manufacturer that produces fewer than one thousand (1,000)
units per year.
(b) Except as provided in subsection (d), a manufacturer or
distributor may not sell or offer to sell, directly or indirectly, a new
motor vehicle to the general public in Indiana except through a
new motor vehicle dealer holding a franchise for the line make
covering the new motor vehicle. This subsection does not apply to
the sales of new motor vehicles by a manufacturer or franchisor to:
(1) the federal government;
(2) a charitable organization;
(3) an employee of the manufacturer or distributor; or
(4) a manufacturer or distributor under IC 9-32-13-23(a)(3).
(b) (c) Except as provided in subsection (c), (d), a manufacturer or
distributor may not engage in sales directly to the general public in
EH 1167—LS 7095/DI 139 30
Indiana.
(c) (d) A manufacturer or distributor may engage in sales directly
to the general public in Indiana only if:
(1) the manufacturer or distributor was granted an initial license
to sell new motor vehicles before July 1, 2015; and
(2) the manufacturer or distributor establishes at least one (1)
physical location in Indiana that is a warranty repair service
center before January 1, 2018.
(d) (e) A manufacturer or distributor described in subsection (c) (d)
must stop engaging in sales directly to the general public in Indiana if
the manufacturer or distributor sells, transfers, or conveys a majority
interest in the manufacturer or distributor to another person that is
required to be licensed under this chapter.
(e) For purposes of this subsection, "subscription program" means
a subscription service that, for a recurring fee and for a limited period
of time, allows a participating person exclusive use of a motor vehicle
owned by an entity that controls or contracts with the subscription
service. The term does not include leases, short term motor vehicle
rentals, or services that allow short term sharing of a motor vehicle.
Subscription programs are prohibited in Indiana. This subsection
expires on May 1, 2020.".
Renumber all SECTIONS consecutively.
and when so amended that said bill do pass.
(Reference is to HB 1167 as introduced.)
PRESSEL
Committee Vote: yeas 11, nays 0.
_____
HOUSE MOTION
Mr. Speaker: I move that House Bill 1167 be amended to read as
follows:
Page 14, line 24, after "minutes." insert "This subsection does not
apply to a vehicle in subsection (a)(1) or (a)(4).".
Page 15, line 7, reset in roman "or a certificate of mailing".
Page 15, between lines 12 and 13, begin a new paragraph and insert:
"SECTION 23. IC 9-22-5-3, AS AMENDED BY P.L.198-2016,
SECTION 408, IS AMENDED TO READ AS FOLLOWS
EH 1167—LS 7095/DI 139 31
[EFFECTIVE JULY 1, 2022]: Sec. 3. (a) The application required
under section 2 of this chapter shall be made in a manner prescribed by
the bureau and filed with the bureau.
(b) The application required by section 2 of this chapter must
include the following:
(1) The name and address of the applicant.
(2) The year, make, model, and vehicle identification number of
the vehicle, if ascertainable, together with any other identifying
features.
(3) A concise statement of the facts surrounding the abandonment
of the vehicle, that the title of the vehicle is faulty, lost, or
destroyed, or the reasons for disposal of the vehicle.
(4) An affidavit executed by the applicant stating that the facts
alleged in the application are true and that no material fact has
been withheld.
(c) The bureau shall issue a certificate of authority if:
(1) the bureau determines that the application satisfies the
requirements of this chapter; and
(2) the applicant pays a fee of four dollars ($4) for each certificate
of authority.
The fee under subdivision (2) shall be deposited in the motor vehicle
highway account.
(d) The bureau shall process an electronic application for a
certificate of authority not more than five (5) business days after
the submission of the application if the application meets the
requirements under section 2 of this chapter or under this section.
(d) (e) A certificate of authority issued under this chapter must
contain the following information:
(1) The name and address of the person that filed the application
required under section 2 of this chapter.
(2) The year, make, model, and vehicle identification number, if
ascertainable, together with any other identifying features of the
vehicle that has been authorized to be sold for scrap metal.".
Page 16, between lines 32 and 33, begin a new paragraph and insert:
"SECTION 26. IC 9-30-3-8.5, AS ADDED BY P.L.86-2021,
SECTION 14, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 8.5. (a) Upon receipt by the bureau of a notice of
suspension for failure to satisfy a judgment under section 8 of this
chapter, the bureau shall send a request for proof of future financial
responsibility to the person.
(b) During the three (3) years following a suspension under section
8 of this chapter, the person's driving privileges remain suspended
EH 1167—LS 7095/DI 139 32
unless the person:
(1) satisfies the judgment; or
(2) provides proof of future financial responsibility under IC 9-25.
(c) Upon receipt of proof of future financial responsibility, the
bureau shall stay a suspension under section 8 of this chapter.
(d) If at any time during the three (3) years following a suspension
under section 8 of this chapter, a person:
(1) has provided proof of future financial responsibility under
IC 9-25; and
(2) fails to maintain proof of future financial responsibility;
the bureau shall suspend the person's driving privileges until the person
provides proof of future financial responsibility under IC 9-25 or the
suspension is terminated by the bureau.
(e) The bureau shall waive reinstatement fees for a suspension under
section 8 of this chapter if the person:
(1) satisfies the judgment; or
(2) maintains proof of financial responsibility for three (3) years.
(f) For a suspension for failure to satisfy a judgment under
section 8 of this chapter imposed before December 31, 2021, the
suspension terminates on December 31, 2024.".
Page 17, line 8, after "(d)" insert "or under IC 9-32-13-23(a)(3)".
Page 17, line 15, after "organization;" insert "or".
Page 17, line 16, delete "distributor; or" and insert "distributor.".
Page 17, delete line 17.
Renumber all SECTIONS consecutively.
(Reference is to HB 1167 as printed January 13, 2022.)
PRESSEL
_____
HOUSE MOTION
Mr. Speaker: I move that House Bill 1167 be amended to read as
follows:
Page 15, line 7, reset in roman "or a certificate of mailing".
Page 15, between lines 12 and 13, begin a new paragraph and insert:
"SECTION 23. IC 9-22-6-2, AS AMENDED BY P.L.157-2017,
SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 2. (a) A person that performs labor, furnishes
materials or storage, or does repair work on a vehicle at the request of
EH 1167—LS 7095/DI 139 33
the owner of the vehicle has a mechanic's lien on the vehicle for the
reasonable value of the charges for the labor, materials, storage, or
repairs.
(b) A person that provides towing services for a vehicle at the
request of the owner of the vehicle has a mechanic's lien on the vehicle
for the reasonable value of the charges for the towing services and
other related costs.
(c) A person that has a mechanic's lien on a vehicle under
subsection (a) or (b) may advertise the vehicle for sale if the person
followed the procedures described in IC 9-22-1-19 and if:
(1) the charges made under subsection (a) or (b) are not paid; and
(2) the vehicle is not claimed;
within thirty (30) days after the date on which the vehicle is left in or
comes into the possession of the person for repairs, storage, towing, or
the furnishing of materials. The vehicle may not be sold until the later
of fifteen (15) days after the date the advertisement required by
subsection (d) has been placed or fifteen (15) days after notice required
by subsection (e) has been sent.
(d) Before a vehicle may be sold under subsection (c) or under
IC 9-22-1-21.5, an advertisement must be placed in a newspaper that
is printed in English and of general circulation in the city or town in
which the lienholder's place of business is located. If the lienholder is
located outside the corporate limits of a city or a town, the
advertisement must be placed in a newspaper of general circulation in
the county in which the place of business of the lienholder is located.
The advertisement must contain at least the following information:
(1) A description of the vehicle, including make, year, and
manufacturer's identification number.
(2) The amount of the unpaid charges.
(3) The time, place, and date of the sale.
(e) In addition to the advertisement required under subsection (d),
the person that holds the mechanic's lien under this section or under
IC 9-22-1-21.5(c) must notify the owner of the vehicle and any other
person that holds a lien of record, as indicated on the certificate of title
of the vehicle or discovered as a result of the search described in
IC 9-22-1-19, by certified mail, return receipt requested, at the last
known address of the owner or person, as applicable, that the vehicle
will be sold at public auction on a specified date to satisfy the
mechanic's lien imposed by this section. If the person who holds the
mechanic's lien has proof that the notice was mailed to the owner of the
vehicle and any person who holds a lien of record in accordance
with this subsection, actual receipt of the notice by the owner of the
EH 1167—LS 7095/DI 139 34
vehicle is not required. Actual receipt of the notice by any other person
that holds a lien of record is required unless a properly addressed
notice is refused by the addressee or is otherwise returned to the sender
as undeliverable.
(f) A person that holds a mechanic's lien of record on a vehicle
subject to sale under this section or under IC 9-22-1-21.5 may pay the
storage, repair, towing, or service charges due. If the person that holds
the mechanic's lien of record elects to pay the charges due, the person
is entitled to possession of the vehicle and becomes the holder of the
mechanic's lien imposed by this section.
(g) If the person that owns a vehicle or the lienholder of a vehicle
subject to sale under this section or under IC 9-22-1-21.5 does not
claim the vehicle and satisfy the mechanic's lien on the vehicle, the
vehicle may be sold at public sale or public auction to the highest and
best bidder. A person that holds a mechanic's lien under this section
may purchase a vehicle subject to sale under this section.
(h) A person that holds a mechanic's lien under this section or under
IC 9-22-1-21.5 may deduct and retain the amount of the mechanic's
lien, the sale disposal costs, and the cost of the advertisement required
under subsection (d) from the purchase price received for a vehicle sold
under this section. After deducting from the purchase price the amount
of the mechanic's lien, the sale disposal costs, and the cost of the
advertisement, the person shall pay the surplus of the purchase price to
the person that holds the first lien of record, as indicated on the
certificate of title, of the vehicle. If there is no lien of record, the person
shall pay the surplus of the purchase price to the owner of the vehicle,
if the owner's address or whereabouts are known. If the address or
whereabouts are not known and there is no lien of record, the surplus
of the purchase price shall be sent to:
(1) the abandoned vehicle fund of the city, county, or town from
which the vehicle was towed, for vehicles subject to IC 9-22-1; or
(2) the clerk of courts, for all other vehicles, in the jurisdiction in
which the business of the person that holds the mechanic's lien is
located, for the use and benefit of the owner of the vehicle.
(i) The person that holds the first lien of record may deduct and
retain the amount of the lien of record from the surplus purchase price
transferred to the person under subsection (h). After deducting the
amount of the lien of record from the surplus purchase price transferred
to the person under subsection (h), the person that holds the first lien
of record shall pay any remaining surplus to the owner of the vehicle,
if the owner's address or whereabouts are known. If the address or
whereabouts of the owner of the vehicle are not known, the surplus of
EH 1167—LS 7095/DI 139 35
the purchase price shall be sent to:
(1) the abandoned vehicle fund of the city, county, or town from
which the vehicle was towed, for vehicles subject to IC 9-22-1; or
(2) the clerk of the courts for all other vehicles, in the jurisdiction
in which the business of the person that holds the mechanic's lien
is located, for the use and benefit of the owner of the vehicle.
(j) A person that holds a mechanic's lien under this section shall
execute and deliver to the purchaser of a vehicle under this section or
under IC 9-22-1-21.5 a sales certificate in the form designated by the
bureau, setting forth the following information:
(1) The facts of the sale.
(2) The vehicle identification number.
(3) The certificate of title if available.
(4) A certification from the newspaper showing that the
advertisement was made as required under subsection (d).
(5) Any other information that the bureau requires.
Whenever the bureau receives from the purchaser an application for
certificate of title accompanied by these items, the bureau shall issue
a certificate of title for the vehicle under IC 9-17.
(k) A person that violates this section commits a Class A
infraction.".
Renumber all SECTIONS consecutively.
(Reference is to HB 1167 as printed January 13, 2022.)
AUSTIN
_____
COMMITTEE REPORT
Madam President: The Senate Committee on Homeland Security
and Transportation, to which was referred House Bill No. 1167, has
had the same under consideration and begs leave to report the same
back to the Senate with the recommendation that said bill be
AMENDED as follows:
Page 7, between lines 21 and 22, begin a new paragraph and insert:
"SECTION 6. IC 9-17-5-6, AS ADDED BY P.L.81-2021, SECTION
1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON
PASSAGE]: Sec. 6. (a) As used in this section, "qualified service
provider" means a person able to provide electronic lien or electronic
title services in coordination with vehicle lienholders and state
EH 1167—LS 7095/DI 139 36
departments of motor vehicles.
(b) As used in this section, "qualified vendor" refers to a person with
whom the bureau contracts to:
(1) develop;
(2) implement; and
(3) provide ongoing support with respect to;
a statewide electronic lien and title system under this section.
(c) As used in this section, "statewide electronic lien and title
system" or "system" means a statewide electronic lien and title system
implemented by the bureau under this section to process:
(1) vehicle titles;
(2) certificate of title data in which a lien is notated; and
(3) the notification, maintenance, and release of security interests
in vehicles;
through electronic means instead of paper documents.
(d) Not later than the dates set forth in subsection (h), the bureau
shall implement a statewide electronic lien and title system for the
following purposes:
(1) To facilitate and promote commerce and governmental
transactions by validating and authorizing the use of electronic
records.
(2) To modernize the law and eliminate barriers to electronic
commerce and governmental transactions resulting from
uncertainties related to handwritten and other written materials.
(3) To promote uniformity of the law among the states relating to
the use of electronic and similar technological means of effecting
and performing commercial and governmental transactions.
(4) To promote public confidence in the validity, integrity, and
reliability of electronic commerce and governmental transactions.
(5) To promote the development of the legal and business
infrastructure necessary to implement electronic commerce and
governmental transactions.
(e) The bureau may:
(1) contract with one (1) or more qualified vendors to develop and
implement a statewide electronic lien and title system; or
(2) develop and make available to qualified service providers a
well defined set of information services that will enable secure
access to the data and internal application components necessary
to facilitate the creation of a statewide electronic lien and title
system.
(f) If the bureau elects under subsection (e)(1) to contract with one
(1) or more qualified vendors to develop and implement a statewide
EH 1167—LS 7095/DI 139 37
electronic lien and title system, the following apply:
(1) The bureau shall issue a competitive request for proposals to
assess the qualifications of any vendor seeking to develop,
implement, and provide ongoing support for the system. The
bureau may reserve the right to receive input concerning
specifications for the establishment and operation of the system
from parties that do not respond to the bureau's request for
proposals.
(2) A contract entered into between the bureau and a qualified
vendor may not provide for any costs or charges payable by the
bureau to the qualified vendor. The qualified vendor shall
reimburse the bureau for any reasonable and documented costs
incurred by the bureau and directly associated with the
development, implementation, or ongoing support of the system.
(3) Upon implementing a statewide electronic lien and title
system under this section, the qualified vendor may charge
participating lienholders or their agents a fee for each lien
notification transaction provided through the system, in order to
recover the qualified vendor's costs associated with the
development, implementation, and ongoing administration of the
system. A lien notification fee under this subdivision must be
consistent with market pricing and may not exceed three dollars
and fifty cents ($3.50). The qualified vendor may not charge
lienholders or their agents any additional fee for lien releases,
assignments, or transfers. The qualified vendor may not charge a
fee under this subdivision to a state agency or its agents for lien
notification, lien release, lien assignment, or lien transfer. To
recover their costs associated with the lien, participating
lienholders or their agents may charge:
(A) the borrower in a vehicle loan; or
(B) the lessee in a vehicle lease;
an amount equal to any lien notification fee imposed by the
qualified vendor under this subdivision, plus a fee in an amount
not to exceed three dollars ($3) for each electronic transaction in
which a lien is notated.
(4) A qualified vendor may also serve as a qualified service
provider to motor vehicle lienholders if the following conditions
are met:
(A) The contract between the bureau and the qualified vendor
must include provisions specifically prohibiting the qualified
vendor from using information concerning vehicle titles for
any commercial, marketing, business, or other purpose not
EH 1167—LS 7095/DI 139 38
specifically contemplated by this chapter.
(B) The contract between the bureau and the qualified vendor
must include an acknowledgment by the qualified vendor that
the qualified vendor is required to enter into agreements to
exchange electronic lien data with any:
(i) qualified service providers that offer electronic lien or
title services in Indiana and that have been approved by the
bureau for participation in the system; and
(ii) qualified service providers that are not qualified vendors.
(C) The bureau must periodically monitor the fees charged by
a qualified vendor that also:
(i) serves as a qualified service provider to lienholders; or
(ii) provides services as a qualified vendor to other qualified
service providers;
to ensure that the qualified vendor is not engaging in predatory
pricing.
(g) If the bureau elects under subsection (e)(2) to develop an
interface to provide qualified service providers secure access to data to
facilitate the creation of a statewide electronic lien and title system, the
following apply:
(1) The bureau shall establish:
(A) the total cost to develop the statewide electronic lien and
title system by July 1, 2021; 2022;
(B) qualifications for third party service providers offering
electronic lien services; and
(C) a qualification process to:
(i) evaluate electronic lien and title system technologies
developed by third party service providers; and
(ii) determine whether such technologies comply with
defined security and platform standards.
(2) Not later than February July 1, 2022, the bureau shall publish
on the bureau's Internet web site the qualifications established by
the bureau under subdivision (1). A third party service provider
that seeks to become qualified by the bureau under this subsection
must demonstrate the service provider's qualifications, in the form
and manner specified by the bureau, not later than thirty (30) days
after the date of the bureau's publication under this subdivision.
After the elapse of the thirty (30) day period during which third
party service providers may respond to the bureau's publication
under this subdivision, the bureau shall notify each responding
third party service provider as to:
(A) the total cost to develop the system, as determined by
EH 1167—LS 7095/DI 139 39
the bureau under subdivision (1); and
(B) whether the third party service provider has met the
qualifications established by the bureau under subdivision (1)
and is approved to participate in the statewide electronic lien
and title system.
(3) Not later than thirty (30) days after receiving a notice of
approval from the bureau under subdivision (2), each qualified
service provider shall remit to the bureau a payment in an amount
equal to the total development costs of the system divided by the
total number of qualified service providers participating in the
system. notify the bureau of the qualified service provider's
intention to participate in the statewide electronic lien and
title system.
(4) If a third party service provider that did not:
(A) submit proof of its qualifications under subdivision (2); or
(B) pay initial development costs under subdivision (3);
later wishes to participate in the system, the third party service
provider may apply to the bureau to participate in the system. The
bureau shall allow the third party service provider to participate
in the system if the third party service provider meets the
qualifications established by the bureau under subdivision (1) and
pays to the department the third party service provider's
proportional share of the system development costs.
(5) Each qualified service provider shall remit to the bureau, on
a date prescribed by the bureau, an annual fee established by the
bureau and not to exceed three thousand dollars ($3,000), to be
used for the operation and maintenance of the system.
(4) Upon implementing a statewide electronic lien and title
system under this section, the bureau may charge
participating service providers or their agents a fee for each
lien transaction provided through the system in order to
recover the bureau's costs associated with the development,
implementation, and ongoing administration of the system. A
fee under this subdivision must be consistent with market
pricing and may not exceed three dollars and twenty-five
cents ($3.25). A fee collected under this subdivision shall be
deposited in the commission fund. Fees collected by the
bureau for the implementation of a statewide electronic lien
and title system are limited to those contained in this
subdivision. This subdivision expires July 1, 2025.
(6) (5) A contract entered into between the bureau and a qualified
service provider may not provide for any costs or charges payable
EH 1167—LS 7095/DI 139 40
by the bureau to the qualified service provider.
(7) (6) Upon the implementation of a statewide electronic lien and
title system under this section, a qualified service provider may
charge participating lienholders or their agents transaction fees
consistent with market pricing in addition to the fees described
in subdivision 4. A fee under this subdivision may not be charged
to a state agency or its agents for lien notification, lien release,
lien assignment, or lien transfer. To recover their costs
associated with a lien, participating lienholders or their agents
may charge:
(A) the borrower in a vehicle loan; or
(B) the lessee in a vehicle lease;
an amount equal to any fee imposed by a qualified service
provider under this subdivision, plus a fee in an amount not
to exceed three dollars ($3) for each electronic transaction in
which a lien is notated.
(8) (7) The contract between the bureau and a qualified service
provider must include provisions specifically prohibiting the
qualified service provider from using information concerning
vehicle titles for any commercial, marketing, business, or other
purpose not specifically contemplated by this chapter.
(h) Subject to subsection (i), the bureau shall implement, and allow
or require the use of, a statewide electronic lien and title system under
this section as follows:
(1) A statewide electronic lien system that is capable of
processing:
(A) certificate of title data in which a lien is notated; and
(B) the notification, maintenance, and release of security
interests in vehicles;
through electronic means must be made available for voluntary
use by vehicle lienholders not later than February July 1, 2022.
(2) Subject to subsection (j)(5), the bureau shall require that the
statewide electronic lien system made available under subdivision
(1) be used for processing:
(A) certificate of title data in which a lien is notated; and
(B) the notification, maintenance, and release of security
interests in vehicles;
after June 30, 2022. 2023.
(3) A statewide electronic title system capable of processing
vehicle titles through electronic means must be made available for
voluntary use by vehicle dealers, lienholders, and owners not later
than July 1, 2022. 2025.
EH 1167—LS 7095/DI 139 41
(4) The bureau shall require that the statewide electronic title
system made available under subdivision (3) be used for
processing vehicle titles after June 30, 2023. 2026.
(i) Subsection (h) does not prohibit the bureau or any:
(1) qualified vendor with whom the bureau contracts under
subsection (f); or
(2) qualified service provider with whom the bureau contracts
under subsection (g);
from implementing, making available, or requiring the use of a
statewide electronic lien system described in subsection (h)(1) at the
same time as, or in conjunction with, a statewide electronic title system
described in subsection (h)(3), or from implementing, making
available, or requiring the use of a statewide electronic lien system
described in subsection (h)(1) or a statewide electronic title system
described in subsection (h)(3) before the applicable dates otherwise set
forth in subsection (h).
(j) The following apply to the use of a statewide electronic lien
system described in subsection (h)(1):
(1) Notwithstanding section 5(b) of this chapter, if there are one
(1) or more liens or encumbrances on a motor vehicle, the bureau
may electronically transmit the lien to the first lienholder and
notify the first lienholder of any additional liens. Subsequent lien
satisfactions may be electronically transmitted to the bureau and
must include the name and address of the person satisfying the
lien.
(2) Whenever the electronic transmission of lien notifications and
lien satisfactions is used, a certificate of title need not be issued
until the last lien is satisfied and a clear certificate of title can be
issued to the owner of the motor vehicle. The bureau may print or
issue electronically the clear certificate of title to the owner or
subsequent assignee of the motor vehicle.
(3) If a motor vehicle is subject to an electronic lien, the
certificate of title for the motor vehicle is considered to be
physically held by the lienholder for purposes of compliance with
state or federal odometer disclosure requirements.
(4) A certified copy of the bureau's electronic record of a lien is
admissible in any civil, criminal, or administrative proceeding in
Indiana as evidence of the existence of the lien. If a certificate of
title is maintained electronically in a statewide electronic title
system described in subsection (h)(3), a certified copy of the
bureau's electronic record of the certificate of title is admissible
in any civil, criminal, or administrative proceeding in Indiana as
EH 1167—LS 7095/DI 139 42
evidence of the existence and contents of the certificate of title.
(5) All individuals and lienholders who conduct at least twelve
(12) lien transactions annually must use the statewide electronic
lien and title system implemented under this section to record
information concerning the perfection and release of a security
interest in a vehicle.
(6) An electronic notice or release of a lien made through the
statewide electronic lien and title system implemented under this
section has the same force and effect as a notice or release of a
lien made on a paper document.
(7) The bureau may convert an existing paper lien to an electronic
lien upon request of the primary lienholder. The bureau, or a third
party contracting with the bureau under this section, is authorized
to collect a fee not to exceed three dollars ($3) for each
conversion performed under this subdivision. A fee under this
subdivision may not be charged to a state agency or its agents.
(8) Notwithstanding section 5 of this chapter, any requirement
that a security interest or other information appear on a certificate
of title is satisfied by the inclusion of that information in an
electronic file maintained in an electronic title system.
(k) Nothing in this section precludes the bureau from collecting a
title fee for the preparation and issuance of a title.
(l) The bureau may adopt rules under IC 4-22-2 to implement this
section, including emergency rules in the manner provided by
IC 4-22-2-37.1. Notwithstanding IC 4-22-2-37.1(g), an emergency rule
adopted by the bureau under this subsection and in the manner
provided by IC 4-22-2-37.1 expires on the date on which a rule that
supersedes the emergency rule is adopted by the bureau under
IC 4-22-2-24 through IC 4-22-2-36.".
Page 22, after line 2, begin a new paragraph and insert:
"SECTION 31. An emergency is declared for this act.".
Renumber all SECTIONS consecutively.
and when so amended that said bill do pass and be reassigned to the
Senate Committee on Appropriations.
(Reference is to HB 1167 as reprinted January 25, 2022.)
CRIDER, Chairperson
Committee Vote: Yeas 9, Nays 0.
EH 1167—LS 7095/DI 139