Indiana House Bill HB1167 Amended / Bill

                    *EH1167.2*
February 25, 2022
ENGROSSED
HOUSE BILL No. 1167
_____
DIGEST OF HB 167 (Updated February 24, 2022 12:53 pm - DI 120)
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 
(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.
February 24, 2022, amended, reported favorably — Do Pass.
EH 1167—LS 7095/DI 139 Digest Continued
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, but sunsets the provisions on July 1, 2025.
mends 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 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 139 February 25, 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.
EH 1167—LS 7095/DI 139 2
1 (d) (e) A county treasurer shall issue a permit which is required to
2 either move, or transfer the title to, a mobile home if the taxes, special
3 assessments, interest, penalties, judgments, and costs that are due and
4 payable on the mobile home have been paid and the person requesting
5 the permit has a state issued title, a court order, or a bureau of motor
6 vehicles affidavit of sale or disposal. The county treasurer shall issue
7 the permit not later than two (2) business days (excluding weekends
8 and holidays) after the date the completed permit application is
9 received by the county treasurer. The permit shall state the date it is
10 issued.
11 (e) (f) After issuing a permit to move a mobile home under
12 subsection (d), (e), a county treasurer shall notify the township assessor
13 of the township to which the mobile home will be moved, or the county
14 assessor if there is no township assessor for the township, that the
15 permit to move the mobile home has been issued.
16 (f) (g) A permit to move, or transfer title to, a mobile home that is
17 issued under this section expires ninety (90) days after the date the
18 permit is issued. The permit is invalid after the permit expires. If the
19 owner wishes to move, or transfer title to, the mobile home after the
20 permit has expired, the owner or the owner's agent must obtain a new
21 permit under this section.
22 (g) (h) A county treasurer is not liable for the county treasurer's
23 good faith efforts to collect taxes that are due and payable for a mobile
24 home. Good faith efforts include the refusal to issue a permit under
25 subsection (d) (e) until all property taxes that are due and payable for
26 a mobile home are paid to the county treasurer.
27 SECTION 2. IC 6-1.1-7-10.4, AS AMENDED BY P.L.198-2016,
28 SECTION 19, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
29 JULY 1, 2022]: Sec. 10.4. (a) This section does not apply to a mobile
30 home that is offered for sale at auction under IC 9-22-1.5 or
31 IC 9-22-1.7 for the transfer resulting from the auction.
32 (b) The owner of a mobile home who sells the mobile home to
33 another person shall provide the purchaser with the permit required by
34 section 10(c) 10(d) of this chapter before the sale is consummated.
35 SECTION 3. IC 8-2.1-24-18, AS AMENDED BY P.L.198-2016,
36 SECTION 62, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
37 JULY 1, 2022]: Sec. 18. (a) 49 CFR Parts 40, 375, 380, 382 through
38 387, 390 through 393, and 395 through 398 are incorporated into
39 Indiana law by reference, and, except as provided in subsections (d),
40 (e), (f), (g), and (j), must be complied with by an interstate and
41 intrastate motor carrier of persons or property throughout Indiana.
42 Intrastate motor carriers subject to compliance reviews under 49 CFR
EH 1167—LS 7095/DI 139 3
1 385 shall be selected according to criteria determined by the
2 superintendent which must include but are not limited to factors such
3 as previous history of violations found in roadside compliance checks
4 and other recorded violations. However, the provisions of 49 CFR 395
5 that regulate the hours of service of drivers, including requirements for
6 the maintenance of logs, do not apply to a driver of a truck that is
7 registered by the bureau of motor vehicles and used as a farm truck
8 under IC 9-18 (before its expiration) or IC 9-18.1-7 or a vehicle
9 operated in intrastate construction or construction related service, or
10 the restoration of public utility services interrupted by an emergency.
11 Except as provided in subsection (i) and (j):
12 (1) intrastate motor carriers not operating under authority issued
13 by the United States Department of Transportation shall comply
14 with the requirements of 49 CFR 390.21(b)(3) by registering with
15 the department of state revenue as an intrastate motor carrier and
16 displaying the certification number issued by the department of
17 state revenue preceded by the letters "IN"; and
18 (2) all other requirements of 49 CFR 390.21 apply equally to
19 interstate and intrastate motor carriers.
20 (b) 49 CFR 107 subpart (F) and subpart (G), 171 through 173, 177
21 through 178, and 180, are incorporated into Indiana law by reference,
22 and every:
23 (1) private carrier;
24 (2) common carrier;
25 (3) contract carrier;
26 (4) motor carrier of property, intrastate;
27 (5) hazardous material shipper; and
28 (6) carrier otherwise exempt under section 3 of this chapter;
29 must comply with the federal regulations incorporated under this
30 subsection, whether engaged in interstate or intrastate commerce.
31 (c) Notwithstanding subsection (b), nonspecification bulk and
32 nonbulk packaging, including cargo tank motor vehicles, may be used
33 only if all the following conditions exist:
34 (1) The maximum capacity of the vehicle is less than three
35 thousand five hundred (3,500) gallons.
36 (2) The shipment of goods is limited to intrastate commerce.
37 (3) The vehicle is used only for the purpose of transporting fuel
38 oil, kerosene, diesel fuel, gasoline, gasohol, or any combination
39 of these substances.
40 Maintenance, inspection, and marking requirements of 49 CFR 173.8
41 and Part 180 are applicable. In accordance with federal hazardous
42 materials regulations, new or additional nonspecification cargo tank
EH 1167—LS 7095/DI 139 4
1 motor vehicles may not be placed in service under this subsection.
2 (d) For the purpose of enforcing this section, only:
3 (1) a state police officer or state police motor carrier inspector
4 who:
5 (A) has successfully completed a course of instruction
6 approved by the United States Department of Transportation;
7 and
8 (B) maintains an acceptable competency level as established
9 by the state police department; or
10 (2) an employee of a law enforcement agency who:
11 (A) before January 1, 1991, has successfully completed a
12 course of instruction approved by the United States
13 Department of Transportation; and
14 (B) maintains an acceptable competency level as established
15 by the state police department;
16 on the enforcement of 49 CFR, may, upon demand, inspect the books,
17 accounts, papers, records, memoranda, equipment, and premises of any
18 carrier, including a carrier exempt under section 3 of this chapter.
19 (e) A person hired before September 1, 1985, who operates a motor
20 vehicle intrastate incidentally to the person's normal employment duties
21 and who is not employed to operate a motor vehicle for hire is exempt
22 from 49 CFR 391 as incorporated by this section.
23 (f) Notwithstanding any provision of 49 CFR 391 to the contrary, a
24 person at least eighteen (18) years of age and less than twenty-one (21)
25 years of age may be employed as a driver to operate a commercial
26 motor vehicle intrastate. However, a person employed under this
27 subsection is not exempt from any other provision of 49 CFR 391.
28 (g) Notwithstanding subsection (a) or (b), the following provisions
29 of 49 CFR do not apply to private carriers of property operated only in
30 intrastate commerce or any carriers of property operated only in
31 intrastate commerce while employed in construction or construction
32 related service:
33 (1) Subpart 391.41(b)(3) as it applies to physical qualifications of
34 a driver who has been diagnosed as an insulin dependent diabetic,
35 if the driver has applied for and been granted an intrastate
36 medical waiver by the bureau of motor vehicles pursuant to this
37 subsection. The same standards and the following procedures
38 shall apply for this waiver whether or not the driver is required to
39 hold a commercial driver's license. An application for the waiver
40 shall be submitted by the driver and completed and signed by a
41 certified endocrinologist, or the driver's treating physician, or the
42 driver's treating advanced practice registered nurse attesting
EH 1167—LS 7095/DI 139 5
1 that the driver:
2 (A) is not otherwise physically disqualified under Subpart
3 391.41 to operate a motor vehicle, whether or not any
4 additional disqualifying condition results from the diabetic
5 condition, and is not likely to suffer any diminution in driving
6 ability due to the driver's diabetic condition;
7 (B) is free of severe hypoglycemia or hypoglycemia
8 unawareness and has had less than one (1) documented,
9 symptomatic hypoglycemic reaction per month;
10 (C) has demonstrated the ability and willingness to properly
11 monitor and manage the driver's diabetic condition;
12 (D) has agreed to and, to the endocrinologist's, or treating
13 physician's, or treating advanced practice registered
14 nurse's knowledge, has carried a source of rapidly absorbable
15 glucose at all times while driving a motor vehicle, has self
16 monitored blood glucose levels one (1) hour before driving
17 and at least once every four (4) hours while driving or on duty
18 before driving using a portable glucose monitoring device
19 equipped with a computerized memory; and
20 (E) has submitted the blood glucose logs from the monitoring
21 device to the endocrinologist, or treating physician, or
22 treating advanced practice registered nurse at the time of
23 the annual medical examination.
24 A copy of the blood glucose logs shall be filed along with the
25 annual statement from the endocrinologist, or treating physician,
26 or treating advanced practice registered nurse with the bureau
27 of motor vehicles for review by the driver licensing medical
28 advisory board established under IC 9-14-11. A copy of the
29 annual statement shall also be provided to the driver's employer
30 for retention in the driver's qualification file, and a copy shall be
31 retained and held by the driver while driving for presentation to
32 an authorized federal, state, or local law enforcement official.
33 Notwithstanding the requirements of this subdivision, the
34 endocrinologist, the treating physician, the treating advanced
35 practice registered nurse, the advisory board of the bureau of
36 motor vehicles, or the bureau of motor vehicles may, where
37 medical indications warrant, establish a short period for the
38 medical examinations required under this subdivision.
39 (2) Subpart 396.9 as it applies to inspection of vehicles carrying
40 or loaded with a perishable product. However, this exemption
41 does not prohibit a law enforcement officer from stopping these
42 vehicles for an obvious violation that poses an imminent threat of
EH 1167—LS 7095/DI 139 6
1 an accident or incident. The exemption is not intended to include
2 refrigerated vehicles loaded with perishables when the
3 refrigeration unit is working.
4 (3) Subpart 396.11 as it applies to driver vehicle inspection
5 reports.
6 (4) Subpart 396.13 as it applies to driver inspection.
7 (h) For purposes of 49 CFR 395.1(k)(2), "planting and harvesting
8 season" refers to the period between January 1 and December 31 of
9 each year. The intrastate commerce exception set forth in 49 CFR
10 395.1(k), as it applies to the transportation of agricultural commodities
11 and farm supplies, is restricted to single vehicles and cargo tank motor
12 vehicles with a capacity of not more than five thousand four hundred
13 (5,400) gallons.
14 (i) The requirements of 49 CFR 390.21 do not apply to an intrastate
15 motor carrier or a guest operator not engaged in interstate commerce
16 and operating a motor vehicle as a farm vehicle in connection with
17 agricultural pursuits usual and normal to the user's farming operation
18 or for personal purposes unless the vehicle is operated either part time
19 or incidentally in the conduct of a commercial enterprise.
20 (j) This section does not apply to private carriers that operate using
21 only the type of motor vehicles specified in IC 8-2.1-24-3(6).
22 (k) The superintendent of state police may adopt rules under
23 IC 4-22-2 governing the parts and subparts of 49 CFR incorporated by
24 reference under this section.
25 SECTION 4. IC 9-14-10-1, AS AMENDED BY P.L.257-2017,
26 SECTION 26, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
27 JULY 1, 2022]: Sec. 1. The commission board shall do the following:
28 (1) Recommend legislation needed to operate the license
29 branches.
30 (2) Recommend rules needed to operate the license branches.
31 (3) Review budget proposals for the commission and the license
32 branches operated under IC 9-14.1, including the budget required
33 by IC 9-14.1-5-4 and IC 9-14.1-5-5.
34 (4) Establish the determination criteria and determine the number
35 and location of license branches to be operated under IC 9-14.1.
36 (5) Establish and adopt minimum standards for the operation and
37 maintenance of each physical or virtual location at which services
38 are provided by a full service provider or partial services provider
39 under IC 9-14.1.
40 (6) Administer the commission fund established under
41 IC 9-14-14-1.
42 (7) Establish and maintain an audit working group composed
EH 1167—LS 7095/DI 139 7
1 of two (2) board members of the commission, excluding the
2 commissioner, who are selected by and may be dismissed by
3 the commissioner. A meeting of the audit working group is
4 not subject to IC 5-14-1.5.
5 (8) Approve an internal audit charter and an audit plan at
6 least one (1) time each year.
7 SECTION 5. IC 9-14.1-5-1, AS ADDED BY P.L.198-2016,
8 SECTION 195, IS AMENDED TO READ AS FOLLOWS
9 [EFFECTIVE JULY 1, 2022]: Sec. 1. (a) The state board of accounts
10 bureau shall conduct an audit each account of each license branch
11 operated under this article.
12 (b) Each audit must be
13 (1) completed not more than ninety (90) days after
14 commencement of the audit; and
15 (2) filed with the legislative services agency in an electronic
16 format under IC 5-14-6 not more than thirty (30) days after
17 completion of the audit. conducted as determined by an annual
18 risk assessment and an audit plan.
19 (c) An audit prepared under this section is a public record.
20 (d) Notwithstanding the audit performed under subsection (a),
21 the state board of accounts may examine an account of a license
22 branch operated under this article.
23 SECTION 6. IC 9-17-5-6, AS ADDED BY P.L.81-2021, SECTION
24 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON
25 PASSAGE]: Sec. 6. (a) As used in this section, "qualified service
26 provider" means a person able to provide electronic lien or electronic
27 title services in coordination with vehicle lienholders and state
28 departments of motor vehicles.
29 (b) As used in this section, "qualified vendor" refers to a person with
30 whom the bureau contracts to:
31 (1) develop;
32 (2) implement; and
33 (3) provide ongoing support with respect to;
34 a statewide electronic lien and title system under this section.
35 (c) As used in this section, "statewide electronic lien and title
36 system" or "system" means a statewide electronic lien and title system
37 implemented by the bureau under this section to process:
38 (1) vehicle titles;
39 (2) certificate of title data in which a lien is notated; and
40 (3) the notification, maintenance, and release of security interests
41 in vehicles;
42 through electronic means instead of paper documents.
EH 1167—LS 7095/DI 139 8
1 (d) Not later than the dates set forth in subsection (h), the bureau
2 shall implement a statewide electronic lien and title system for the
3 following purposes:
4 (1) To facilitate and promote commerce and governmental
5 transactions by validating and authorizing the use of electronic
6 records.
7 (2) To modernize the law and eliminate barriers to electronic
8 commerce and governmental transactions resulting from
9 uncertainties related to handwritten and other written materials.
10 (3) To promote uniformity of the law among the states relating to
11 the use of electronic and similar technological means of effecting
12 and performing commercial and governmental transactions.
13 (4) To promote public confidence in the validity, integrity, and
14 reliability of electronic commerce and governmental transactions.
15 (5) To promote the development of the legal and business
16 infrastructure necessary to implement electronic commerce and
17 governmental transactions.
18 (e) The bureau may:
19 (1) contract with one (1) or more qualified vendors to develop and
20 implement a statewide electronic lien and title system; or
21 (2) develop and make available to qualified service providers a
22 well defined set of information services that will enable secure
23 access to the data and internal application components necessary
24 to facilitate the creation of a statewide electronic lien and title
25 system.
26 (f) If the bureau elects under subsection (e)(1) to contract with one
27 (1) or more qualified vendors to develop and implement a statewide
28 electronic lien and title system, the following apply:
29 (1) The bureau shall issue a competitive request for proposals to
30 assess the qualifications of any vendor seeking to develop,
31 implement, and provide ongoing support for the system. The
32 bureau may reserve the right to receive input concerning
33 specifications for the establishment and operation of the system
34 from parties that do not respond to the bureau's request for
35 proposals.
36 (2) A contract entered into between the bureau and a qualified
37 vendor may not provide for any costs or charges payable by the
38 bureau to the qualified vendor. The qualified vendor shall
39 reimburse the bureau for any reasonable and documented costs
40 incurred by the bureau and directly associated with the
41 development, implementation, or ongoing support of the system.
42 (3) Upon implementing a statewide electronic lien and title
EH 1167—LS 7095/DI 139 9
1 system under this section, the qualified vendor may charge
2 participating lienholders or their agents a fee for each lien
3 notification transaction provided through the system, in order to
4 recover the qualified vendor's costs associated with the
5 development, implementation, and ongoing administration of the
6 system. A lien notification fee under this subdivision must be
7 consistent with market pricing and may not exceed three dollars
8 and fifty cents ($3.50). The qualified vendor may not charge
9 lienholders or their agents any additional fee for lien releases,
10 assignments, or transfers. The qualified vendor may not charge a
11 fee under this subdivision to a state agency or its agents for lien
12 notification, lien release, lien assignment, or lien transfer. To
13 recover their costs associated with the lien, participating
14 lienholders or their agents may charge:
15 (A) the borrower in a vehicle loan; or
16 (B) the lessee in a vehicle lease;
17 an amount equal to any lien notification fee imposed by the
18 qualified vendor under this subdivision, plus a fee in an amount
19 not to exceed three dollars ($3) for each electronic transaction in
20 which a lien is notated.
21 (4) A qualified vendor may also serve as a qualified service
22 provider to motor vehicle lienholders if the following conditions
23 are met:
24 (A) The contract between the bureau and the qualified vendor
25 must include provisions specifically prohibiting the qualified
26 vendor from using information concerning vehicle titles for
27 any commercial, marketing, business, or other purpose not
28 specifically contemplated by this chapter.
29 (B) The contract between the bureau and the qualified vendor
30 must include an acknowledgment by the qualified vendor that
31 the qualified vendor is required to enter into agreements to
32 exchange electronic lien data with any:
33 (i) qualified service providers that offer electronic lien or
34 title services in Indiana and that have been approved by the
35 bureau for participation in the system; and
36 (ii) qualified service providers that are not qualified vendors.
37 (C) The bureau must periodically monitor the fees charged by
38 a qualified vendor that also:
39 (i) serves as a qualified service provider to lienholders; or
40 (ii) provides services as a qualified vendor to other qualified
41 service providers;
42 to ensure that the qualified vendor is not engaging in predatory
EH 1167—LS 7095/DI 139 10
1 pricing.
2 (g) If the bureau elects under subsection (e)(2) to develop an
3 interface to provide qualified service providers secure access to data to
4 facilitate the creation of a statewide electronic lien and title system, the
5 following apply:
6 (1) The bureau shall establish:
7 (A) the total cost to develop the statewide electronic lien and
8 title system by July 1, 2021; 2022;
9 (B) qualifications for third party service providers offering
10 electronic lien services; and
11 (C) a qualification process to:
12 (i) evaluate electronic lien and title system technologies
13 developed by third party service providers; and
14 (ii) determine whether such technologies comply with
15 defined security and platform standards.
16 (2) Not later than February July 1, 2022, the bureau shall publish
17 on the bureau's Internet web site the qualifications established by
18 the bureau under subdivision (1). A third party service provider
19 that seeks to become qualified by the bureau under this subsection
20 must demonstrate the service provider's qualifications, in the form
21 and manner specified by the bureau, not later than thirty (30) days
22 after the date of the bureau's publication under this subdivision.
23 After the elapse of the thirty (30) day period during which third
24 party service providers may respond to the bureau's publication
25 under this subdivision, the bureau shall notify each responding
26 third party service provider as to:
27 (A) the total cost to develop the system, as determined by
28 the bureau under subdivision (1); and
29 (B) whether the third party service provider has met the
30 qualifications established by the bureau under subdivision (1)
31 and is approved to participate in the statewide electronic lien
32 and title system.
33 (3) Not later than thirty (30) days after receiving a notice of
34 approval from the bureau under subdivision (2), each qualified
35 service provider shall remit to the bureau a payment in an amount
36 equal to the total development costs of the system divided by the
37 total number of qualified service providers participating in the
38 system. notify the bureau of the qualified service provider's
39 intention to participate in the statewide electronic lien and
40 title system.
41 (4) If a third party service provider that did not:
42 (A) submit proof of its qualifications under subdivision (2); or
EH 1167—LS 7095/DI 139 11
1 (B) pay initial development costs under subdivision (3);
2 later wishes to participate in the system, the third party service
3 provider may apply to the bureau to participate in the system. The
4 bureau shall allow the third party service provider to participate
5 in the system if the third party service provider meets the
6 qualifications established by the bureau under subdivision (1) and
7 pays to the department the third party service provider's
8 proportional share of the system development costs.
9 (5) Each qualified service provider shall remit to the bureau, on
10 a date prescribed by the bureau, an annual fee established by the
11 bureau and not to exceed three thousand dollars ($3,000), to be
12 used for the operation and maintenance of the system.
13 (4) Upon implementing a statewide electronic lien and title
14 system under this section, the bureau may charge
15 participating service providers or their agents a fee for each
16 lien transaction provided through the system in order to
17 recover the bureau's costs associated with the development,
18 implementation, and ongoing administration of the system. A
19 fee under this subdivision must be consistent with market
20 pricing and may not exceed three dollars and twenty-five
21 cents ($3.25). A fee collected under this subdivision shall be
22 deposited in the commission fund. Fees collected by the
23 bureau for the implementation of a statewide electronic lien
24 and title system are limited to those contained in this
25 subdivision. This subdivision expires July 1, 2025.
26 (6) (5) A contract entered into between the bureau and a qualified
27 service provider may not provide for any costs or charges payable
28 by the bureau to the qualified service provider.
29 (7) (6) Upon the implementation of a statewide electronic lien and
30 title system under this section, a qualified service provider may
31 charge participating lienholders or their agents transaction fees
32 consistent with market pricing in addition to the fees described
33 in subdivision (4). A fee under this subdivision may not be
34 charged to a state agency or its agents for lien notification, lien
35 release, lien assignment, or lien transfer. To recover their costs
36 associated with a lien, participating lienholders or their agents
37 may charge:
38 (A) the borrower in a vehicle loan; or
39 (B) the lessee in a vehicle lease;
40 an amount equal to any fee imposed by a qualified service
41 provider under this subdivision, plus a fee in an amount not
42 to exceed three dollars ($3) for each electronic transaction in
EH 1167—LS 7095/DI 139 12
1 which a lien is notated. This subdivision expires July 1, 2025.
2 (8) (7) The contract between the bureau and a qualified service
3 provider must include provisions specifically prohibiting the
4 qualified service provider from using information concerning
5 vehicle titles for any commercial, marketing, business, or other
6 purpose not specifically contemplated by this chapter.
7 (h) Subject to subsection (i), the bureau shall implement, and allow
8 or require the use of, a statewide electronic lien and title system under
9 this section as follows:
10 (1) A statewide electronic lien system that is capable of
11 processing:
12 (A) certificate of title data in which a lien is notated; and
13 (B) the notification, maintenance, and release of security
14 interests in vehicles;
15 through electronic means must be made available for voluntary
16 use by vehicle lienholders not later than February July 1, 2022.
17 (2) Subject to subsection (j)(5), the bureau shall require that the
18 statewide electronic lien system made available under subdivision
19 (1) be used for processing:
20 (A) certificate of title data in which a lien is notated; and
21 (B) the notification, maintenance, and release of security
22 interests in vehicles;
23 after June 30, 2022. 2023.
24 (3) A statewide electronic title system capable of processing
25 vehicle titles through electronic means must be made available for
26 voluntary use by vehicle dealers, lienholders, and owners not later
27 than July 1, 2022. 2025.
28 (4) The bureau shall require that the statewide electronic title
29 system made available under subdivision (3) be used for
30 processing vehicle titles after June 30, 2023. 2026.
31 (i) Subsection (h) does not prohibit the bureau or any:
32 (1) qualified vendor with whom the bureau contracts under
33 subsection (f); or
34 (2) qualified service provider with whom the bureau contracts
35 under subsection (g);
36 from implementing, making available, or requiring the use of a
37 statewide electronic lien system described in subsection (h)(1) at the
38 same time as, or in conjunction with, a statewide electronic title system
39 described in subsection (h)(3), or from implementing, making
40 available, or requiring the use of a statewide electronic lien system
41 described in subsection (h)(1) or a statewide electronic title system
42 described in subsection (h)(3) before the applicable dates otherwise set
EH 1167—LS 7095/DI 139 13
1 forth in subsection (h).
2 (j) The following apply to the use of a statewide electronic lien
3 system described in subsection (h)(1):
4 (1) Notwithstanding section 5(b) of this chapter, if there are one
5 (1) or more liens or encumbrances on a motor vehicle, the bureau
6 may electronically transmit the lien to the first lienholder and
7 notify the first lienholder of any additional liens. Subsequent lien
8 satisfactions may be electronically transmitted to the bureau and
9 must include the name and address of the person satisfying the
10 lien.
11 (2) Whenever the electronic transmission of lien notifications and
12 lien satisfactions is used, a certificate of title need not be issued
13 until the last lien is satisfied and a clear certificate of title can be
14 issued to the owner of the motor vehicle. The bureau may print or
15 issue electronically the clear certificate of title to the owner or
16 subsequent assignee of the motor vehicle.
17 (3) If a motor vehicle is subject to an electronic lien, the
18 certificate of title for the motor vehicle is considered to be
19 physically held by the lienholder for purposes of compliance with
20 state or federal odometer disclosure requirements.
21 (4) A certified copy of the bureau's electronic record of a lien is
22 admissible in any civil, criminal, or administrative proceeding in
23 Indiana as evidence of the existence of the lien. If a certificate of
24 title is maintained electronically in a statewide electronic title
25 system described in subsection (h)(3), a certified copy of the
26 bureau's electronic record of the certificate of title is admissible
27 in any civil, criminal, or administrative proceeding in Indiana as
28 evidence of the existence and contents of the certificate of title.
29 (5) All individuals and lienholders who conduct at least twelve
30 (12) lien transactions annually must use the statewide electronic
31 lien and title system implemented under this section to record
32 information concerning the perfection and release of a security
33 interest in a vehicle.
34 (6) An electronic notice or release of a lien made through the
35 statewide electronic lien and title system implemented under this
36 section has the same force and effect as a notice or release of a
37 lien made on a paper document.
38 (7) The bureau may convert an existing paper lien to an electronic
39 lien upon request of the primary lienholder. The bureau, or a third
40 party contracting with the bureau under this section, is authorized
41 to collect a fee not to exceed three dollars ($3) for each
42 conversion performed under this subdivision. A fee under this
EH 1167—LS 7095/DI 139 14
1 subdivision may not be charged to a state agency or its agents.
2 (8) Notwithstanding section 5 of this chapter, any requirement
3 that a security interest or other information appear on a certificate
4 of title is satisfied by the inclusion of that information in an
5 electronic file maintained in an electronic title system.
6 (k) Nothing in this section precludes the bureau from collecting a
7 title fee for the preparation and issuance of a title.
8 (l) The bureau may adopt rules under IC 4-22-2 to implement this
9 section, including emergency rules in the manner provided by
10 IC 4-22-2-37.1. Notwithstanding IC 4-22-2-37.1(g), an emergency rule
11 adopted by the bureau under this subsection and in the manner
12 provided by IC 4-22-2-37.1 expires on the date on which a rule that
13 supersedes the emergency rule is adopted by the bureau under
14 IC 4-22-2-24 through IC 4-22-2-36.
15 SECTION 7. IC 9-18.5-2-1, AS AMENDED BY P.L.29-2021,
16 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
17 JULY 1, 2022]: Sec. 1. (a) A person may apply to the bureau for a
18 personalized license plate to display on the person's vehicle.
19 (b) The following license plates may be designed as a personalized
20 license plate under this chapter:
21 (1) IC 9-18.5-4 (prisoner of war license plates).
22 (2) IC 9-18.5-5 (disabled Hoosier veteran license plates).
23 (3) IC 9-18.5-6 (Purple Heart license plates).
24 (4) IC 9-18.5-7 (National Guard license plates).
25 (5) IC 9-18.5-8 (license plates for persons with disabilities).
26 (6) IC 9-18.5-9 (amateur radio operator license plates).
27 (7) IC 9-18.5-10 (civic event license plates).
28 (8) IC 9-18.5-11 (In God We Trust license plates).
29 (9) IC 9-18.5-12 (special group recognition license plates).
30 (10) IC 9-18.5-13 (environmental license plates).
31 (11) IC 9-18.5-14 (kids first trust license plates).
32 (12) IC 9-18.5-15 (education license plates).
33 (13) IC 9-18.5-16 (Indiana FFA trust license plates).
34 (14) IC 9-18.5-17 (Indiana firefighter license plates).
35 (15) IC 9-18.5-18 (Indiana boy scouts trust license plates).
36 (16) IC 9-18.5-19 (D.A.R.E. Indiana trust license plates).
37 (17) IC 9-18.5-20 (Indiana arts trust license plates).
38 (18) IC 9-18.5-21 (Indiana health trust license plates).
39 (19) IC 9-18.5-22 (Indiana Native American trust license plates).
40 (20) IC 9-18.5-24 (Pearl Harbor survivor license plates).
41 (21) IC 9-18.5-25 (Indiana state educational institution trust
42 license plates).
EH 1167—LS 7095/DI 139 15
1 (22) IC 9-18.5-26 (Lewis and Clark expedition license plates).
2 (23) IC 9-18.5-27 (Riley Children's Foundation license plates).
3 (24) IC 9-18.5-28 (National Football League franchised
4 professional football team license plates).
5 (25) IC 9-18.5-29 (Hoosier veteran license plates).
6 (26) IC 9-18.5-30 (support our troops license plates).
7 (27) IC 9-18.5-31 (Abraham Lincoln's boyhood home license
8 plates).
9 (28) IC 9-18.5-32 (Earlham College Trust license plates).
10 (29) (28) IC 9-18.5-33 (Indiana Gold Star family member license
11 plates).
12 (30) (29) IC 9-18.5-35 (Armed Forces Expeditionary Medal
13 license plates).
14 (31) (30) A license plate issued under IC 9-18 (before its
15 expiration) or IC 9-18.1.
16 SECTION 8. IC 9-18.5-12-13, AS AMENDED BY P.L.178-2019,
17 SECTION 43, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
18 JULY 1, 2022]: Sec. 13. (a) In order to continue participation in the
19 special group recognition license plate program, a special group must:
20 (1) sell at least five hundred (500) special group recognition
21 license plates of the special group in the first two (2) years in
22 which the license plate is offered for sale; and
23 (2) maintain the sale or renewal of at least five hundred (500)
24 special group recognition license plates during each subsequent
25 year after the initial two (2) year period of sale.
26 (b) If the special group fails to sell or renew special group
27 recognition license plates in the manner provided in subsection (a), the
28 bureau shall place the issuance of the special group recognition license
29 plates for the special group on probation for the subsequent year. If, in
30 that subsequent year on probation, the special group fails to sell or
31 renew at least five hundred (500) special group recognition license
32 plates, the bureau shall terminate the participation of the special group
33 in the special group recognition license plate program. If the special
34 group sells or renews at least five hundred (500) special group
35 recognition license plates in the year on probation, the participation of
36 the special group in the special group recognition license plate program
37 is continued. A special group shall be afforded only one (1)
38 probationary period under this subsection.
39 (c) The bureau may terminate the participation of a special group in
40 the special group recognition license plate program if the special
41 group:
42 (1) ceases operations; or
EH 1167—LS 7095/DI 139 16
1 (2) fails to use the annual fee collected by the bureau in a manner
2 consistent with the statement submitted by the special group
3 under section 3(a)(9) of this chapter.
4 (d) A special group that desires to participate in the special group
5 recognition license plate program after termination by the bureau under
6 this section:
7 (1) must follow the procedure set forth in section 3 of this
8 chapter; and
9 (2) may not reapply to participate in the special group
10 recognition license plate program for at least two (2) years
11 after termination.
12 (e) Upon termination under this section of a special group's
13 participation in the special group recognition license plate program, the
14 bureau shall distribute any money remaining in the trust fund
15 established under section 14 of this chapter for the special group to the
16 state general fund.
17 SECTION 9. IC 9-18.5-16-4, AS ADDED BY P.L.198-2016,
18 SECTION 327, IS AMENDED TO READ AS FOLLOWS
19 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The Indiana FFA trust fund
20 is established.
21 (b) The treasurer of state shall invest the money in the Indiana FFA
22 trust fund not currently needed to meet the obligations of the Indiana
23 FFA trust fund in the same manner as other public trust funds are
24 invested. Interest that accrues from these investments shall be
25 deposited in the Indiana FFA trust fund.
26 (c) The bureau shall administer the Indiana FFA trust fund.
27 Expenses of administering the Indiana FFA trust fund shall be paid
28 from money in the Indiana FFA trust fund.
29 (d) On June 30 of each year, The bureau shall distribute at least one
30 (1) time each month the money from the fund to the FFA Foundation
31 that is located within Indiana.
32 (e) Money in the fund at the end of a state fiscal year does not revert
33 to the state general fund.
34 SECTION 10. IC 9-18.5-18-4, AS ADDED BY P.L.198-2016,
35 SECTION 327, IS AMENDED TO READ AS FOLLOWS
36 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The Indiana boy scouts trust
37 fund is established.
38 (b) The treasurer of state shall invest the money in the fund not
39 currently needed to meet the obligations of the fund in the same
40 manner as other public trust funds are invested. Interest that accrues
41 from these investments shall be deposited in the fund.
42 (c) The bureau shall administer the fund. Expenses of administering
EH 1167—LS 7095/DI 139 17
1 the fund shall be paid from money in the fund.
2 (d) On June 30 of each year, The bureau shall distribute at least one
3 (1) time each month the money from the fund to the organization
4 established under section 5 of this chapter.
5 (e) Money in the fund at the end of a state fiscal year does not revert
6 to the state general fund.
7 SECTION 11. IC 9-18.5-19-4, AS ADDED BY P.L.198-2016,
8 SECTION 327, IS AMENDED TO READ AS FOLLOWS
9 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The D.A.R.E. Indiana trust
10 fund is established.
11 (b) The treasurer of state shall invest the money in the fund not
12 currently needed to meet the obligations of the fund in the same
13 manner as other public trust funds are invested. Interest that accrues
14 from these investments shall be deposited in the fund.
15 (c) The bureau shall administer the fund. Expenses of administering
16 the fund shall be paid from money in the fund.
17 (d) On June 30 of each year, The bureau shall distribute at least one
18 (1) time each month the money from the fund to D.A.R.E. Indiana,
19 Inc.
20 (e) Money in the fund at the end of a state fiscal year does not revert
21 to the state general fund.
22 SECTION 12. IC 9-18.5-20-3, AS ADDED BY P.L.198-2016,
23 SECTION 327, IS AMENDED TO READ AS FOLLOWS
24 [EFFECTIVE JULY 1, 2022]: Sec. 3. (a) The fees for an Indiana arts
25 trust license plate are as follows:
26 (1) An annual supplemental fee of fifteen dollars ($15) under
27 IC 9-18.5-12-16.
28 (2) An annual fee of not more than twenty-five dollars ($25) as
29 provided in IC 9-18.5-12-14(d)(2) or IC 9-18.5-12-15(b).
30 (b) The annual fee referred to in subsection (a)(2) must be collected
31 by the bureau and deposited in the Indiana arts commission trust fund
32 established under IC 4-23-2.5-4.
33 (c) The bureau shall distribute at least one (1) time each month
34 the money from the Indiana arts commission trust fund collected
35 under subsection (b).
36 SECTION 13. IC 9-18.5-21-4, AS ADDED BY P.L.198-2016,
37 SECTION 327, IS AMENDED TO READ AS FOLLOWS
38 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The Indiana health trust fund
39 is established.
40 (b) The treasurer of state shall invest the money in the Indiana
41 health trust fund not currently needed to meet the obligations of the
42 Indiana health trust fund in the same manner as other public trust funds
EH 1167—LS 7095/DI 139 18
1 are invested. Interest that accrues from these investments shall be
2 deposited in the Indiana health trust fund.
3 (c) The bureau shall administer the Indiana health trust fund.
4 Expenses of administering the Indiana health trust fund shall be paid
5 from money in the Indiana health trust fund.
6 (d) On June 30 of each year, The bureau shall distribute at least one
7 (1) time each month the money from the fund to the organization
8 established under section 5 of this chapter.
9 (e) Money in the fund at the end of a state fiscal year does not revert
10 to the state general fund.
11 SECTION 14. IC 9-18.5-22-4, AS ADDED BY P.L.198-2016,
12 SECTION 327, IS AMENDED TO READ AS FOLLOWS
13 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The Indiana Native American
14 trust fund is established.
15 (b) The treasurer of state shall invest the money in the Indiana
16 Native American trust fund not currently needed to meet the
17 obligations of the Indiana Native American trust fund in the same
18 manner as other public trust funds are invested. Interest that accrues
19 from these investments shall be deposited in the Indiana Native
20 American trust fund.
21 (c) The bureau shall administer the Indiana Native American trust
22 fund. Expenses of administering the Indiana Native American trust
23 fund shall be paid from money in the Indiana Native American trust
24 fund.
25 (d) On June 30 of each year, The bureau shall distribute at least one
26 (1) time each month the money from the fund to the Native American
27 Indian affairs commission established under IC 4-23-32.
28 (e) Money in the fund at the end of a state fiscal year does not revert
29 to the state general fund.
30 (f) The Native American Indian affairs commission may use money
31 received under this section for any lawful purpose of the Native
32 American Indian affairs commission.
33 SECTION 15. IC 9-18.5-23-3, AS AMENDED BY P.L.57-2020,
34 SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
35 JULY 1, 2022]: Sec. 3. (a) The fees for a first responder license plate
36 are as follows:
37 (1) An annual supplemental fee of fifteen dollars ($15) under
38 IC 9-18.5-12-16.
39 (2) An annual fee of not more than twenty-five dollars ($25) as
40 provided in IC 9-18.5-12-14(d)(2) or IC 9-18.5-12-15(b).
41 (b) The annual fee referred to in subsection (a)(2) shall be collected
42 by the bureau and deposited in the fund established under
EH 1167—LS 7095/DI 139 19
1 IC 10-15-3-1.
2 (c) The bureau shall distribute at least one (1) time each month
3 the money from the fund collected under subsection (b).
4 SECTION 16. IC 9-18.5-26-4, AS ADDED BY P.L.198-2016,
5 SECTION 327, IS AMENDED TO READ AS FOLLOWS
6 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The Lewis and Clark
7 expedition fund is established.
8 (b) The treasurer of state shall invest the money in the fund not
9 currently needed to meet the obligations of the fund in the same
10 manner as other public funds are invested. Interest that accrues from
11 these investments shall be deposited in the fund. Money in the fund is
12 continuously appropriated for the purposes of this section.
13 (c) The bureau shall administer the fund. Expenses of administering
14 the fund shall be paid from money in the fund.
15 (d) The bureau shall monthly distribute at least one (1) time each
16 month the money from the fund to the Lewis and Clark expedition
17 commission established by IC 14-20-15.
18 (e) Money in the fund at the end of a state fiscal year does not revert
19 to the state general fund.
20 SECTION 17. IC 9-18.5-28-4, AS ADDED BY P.L.198-2016,
21 SECTION 327, IS AMENDED TO READ AS FOLLOWS
22 [EFFECTIVE JULY 1, 2022]: Sec. 4. (a) The fees for a National
23 Football League franchised football team license plate are as follows:
24 (1) An annual supplemental fee of ten dollars ($10). The fee shall
25 be distributed as follows:
26 (A) Five dollars ($5) to the commission fund.
27 (B) Five dollars ($5) to the motor vehicle highway account.
28 (2) An annual fee of twenty dollars ($20) for deposit in the capital
29 projects fund established by section 5 of this chapter.
30 (b) The bureau shall distribute at least one (1) time each month
31 the money from the capital projects fund collected under
32 subsection (a).
33 SECTION 18. IC 9-18.5-29-3, AS ADDED BY P.L.198-2016,
34 SECTION 327, IS AMENDED TO READ AS FOLLOWS
35 [EFFECTIVE JULY 1, 2022]: Sec. 3. (a) An individual who registers
36 a vehicle under this title may apply for and receive a Hoosier veteran
37 license plate for one (1) or more vehicles upon doing the following:
38 (1) Completing an application for a Hoosier veteran license plate.
39 (2) Presenting one (1) of the following to the bureau:
40 (A) A United States Uniformed Services Retiree Identification
41 Card.
42 (B) A DD 214 or DD 215 record.
EH 1167—LS 7095/DI 139 20
1 (C) United States military discharge papers.
2 (D) A current armed forces identification card.
3 (E) A credential issued to the individual that contains an
4 indication of veteran status under IC 9-24-11-5.5.
5 (3) Paying a fee in an amount of fifteen dollars ($15).
6 (b) The bureau shall distribute at least one (1) time each month the
7 fee described in subsection (a)(3) to the director of veterans' affairs for
8 deposit in the military family relief fund established under
9 IC 10-17-12-8.
10 SECTION 19. IC 9-18.5-30-2, AS ADDED BY P.L.198-2016,
11 SECTION 327, IS AMENDED TO READ AS FOLLOWS
12 [EFFECTIVE JULY 1, 2022]: Sec. 2. A person may receive a support
13 our troops license plate under this chapter upon doing the following:
14 (1) Completing an application for a support our troops license
15 plate.
16 (2) Paying an annual fee of twenty dollars ($20).
17 The bureau shall distribute at least one (1) time each month the fee
18 described in subdivision (2) to the director of veterans' affairs for
19 deposit in the military family relief fund established under
20 IC 10-17-12-8.
21 SECTION 20. IC 9-18.5-31-7, AS ADDED BY P.L.198-2016,
22 SECTION 327, IS AMENDED TO READ AS FOLLOWS
23 [EFFECTIVE JULY 1, 2022]: Sec. 7. (a) The Indiana State Museum
24 Foundation trust fund is established.
25 (b) The treasurer of state shall invest the money in the Indiana State
26 Museum Foundation trust fund not currently needed to meet the
27 obligations of the Indiana State Museum Foundation trust fund in the
28 same manner as other public funds are invested. Interest that accrues
29 from these investments shall be deposited in the Indiana State Museum
30 Foundation trust fund. Money in the Indiana State Museum Foundation
31 trust fund is continuously appropriated for the purposes of this section.
32 (c) The bureau shall administer the Indiana State Museum
33 Foundation trust fund. Expenses of administering the Indiana State
34 Museum Foundation trust fund shall be paid from money in the fund.
35 (d) On June 30 of each year, The bureau shall distribute at least one
36 (1) time each month the money from the Indiana State Museum
37 Foundation trust fund to the Indiana State Museum Foundation, Inc. for
38 use concerning the Lincoln collection.
39 (e) Money in the Indiana State Museum Foundation trust fund at the
40 end of a state fiscal year does not revert to the state general fund.
41 SECTION 21. IC 9-18.5-32 IS REPEALED [EFFECTIVE JULY 1,
42 2022]. (Earlham College Trust License Plates).
EH 1167—LS 7095/DI 139 21
1 SECTION 22. IC 9-21-8-47, AS AMENDED BY P.L.210-2005,
2 SECTION 35, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3 JULY 1, 2022]: Sec. 47. (a) The following vehicles must be moved or
4 operated so as to avoid any material damage to the highway or
5 unreasonable interference with other highway traffic:
6 (1) Machinery or equipment used in highway construction or
7 maintenance by the Indiana department of transportation,
8 counties, or municipalities.
9 (2) Farm drainage machinery.
10 (3) Implements of agriculture.
11 (4) Firefighting apparatus owned or operated by a political
12 subdivision or a volunteer fire department (as defined in
13 IC 36-8-12-2).
14 (5) Farm vehicles loaded with farm products.
15 (b) For purposes of this section, interference with other highway
16 traffic is considered unreasonable if the interference occurs for
17 more than ten (10) consecutive minutes. This subsection does not
18 apply to a vehicle in subsection (a)(1) or (a)(4).
19 SECTION 23. IC 9-22-1-19, AS AMENDED BY P.L.281-2019,
20 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
21 JULY 1, 2022]: Sec. 19. (a) Within three (3) business days after
22 removal of a vehicle to a storage yard or towing service under section
23 13, 14, 16, or 31 of this chapter or IC 9-22-6, the public agency or
24 towing service shall conduct a search of the National Motor Vehicle
25 Title Information System or an equivalent and commonly available data
26 base to attempt to obtain the last state of record of the vehicle in order
27 to attempt to ascertain the name and address of the person who owns
28 or holds a lien on the vehicle.
29 (b) A public agency or towing service that obtains the name and
30 address of the owner of or lienholder on a vehicle shall, not later than
31 three (3) business days after obtaining the name and address, notify the
32 person who owns or holds a lien on the vehicle owner of the vehicle
33 and any lienholder on the vehicle, as indicated by the certificate of
34 title or discovered by a search under subsection (a), of the
35 following:
36 (1) The name, address, and telephone number of the public
37 agency or towing service.
38 (2) That storage charges are being accrued and the vehicle is
39 subject to sale if the vehicle is not claimed and the charges are not
40 paid.
41 (3) The earliest possible date and location of the public sale or
42 auction.
EH 1167—LS 7095/DI 139 22
1 The notice must be made by certified mail or a certificate of mailing or
2 by means of an electronic service approved by the bureau.
3 Notwithstanding section 4 of this chapter, a public agency or towing
4 service that fails to notify the owner of or lienholder on the vehicle as
5 set forth in this subsection may not collect additional storage costs
6 incurred after the date of receipt of the name and address obtained.
7 SECTION 24. IC 9-22-5-3, AS AMENDED BY P.L.198-2016,
8 SECTION 408, IS AMENDED TO READ AS FOLLOWS
9 [EFFECTIVE JULY 1, 2022]: Sec. 3. (a) The application required
10 under section 2 of this chapter shall be made in a manner prescribed by
11 the bureau and filed with the bureau.
12 (b) The application required by section 2 of this chapter must
13 include the following:
14 (1) The name and address of the applicant.
15 (2) The year, make, model, and vehicle identification number of
16 the vehicle, if ascertainable, together with any other identifying
17 features.
18 (3) A concise statement of the facts surrounding the abandonment
19 of the vehicle, that the title of the vehicle is faulty, lost, or
20 destroyed, or the reasons for disposal of the vehicle.
21 (4) An affidavit executed by the applicant stating that the facts
22 alleged in the application are true and that no material fact has
23 been withheld.
24 (c) The bureau shall issue a certificate of authority if:
25 (1) the bureau determines that the application satisfies the
26 requirements of this chapter; and
27 (2) the applicant pays a fee of four dollars ($4) for each certificate
28 of authority.
29 The fee under subdivision (2) shall be deposited in the motor vehicle
30 highway account.
31 (d) The bureau shall process an electronic application for a
32 certificate of authority not more than five (5) business days after
33 the submission of the application if the application meets the
34 requirements under section 2 of this chapter or under this section.
35 (d) (e) A certificate of authority issued under this chapter must
36 contain the following information:
37 (1) The name and address of the person that filed the application
38 required under section 2 of this chapter.
39 (2) The year, make, model, and vehicle identification number, if
40 ascertainable, together with any other identifying features of the
41 vehicle that has been authorized to be sold for scrap metal.
42 SECTION 25. IC 9-22-6-2, AS AMENDED BY P.L.157-2017,
EH 1167—LS 7095/DI 139 23
1 SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
2 JULY 1, 2022]: Sec. 2. (a) A person that performs labor, furnishes
3 materials or storage, or does repair work on a vehicle at the request of
4 the owner of the vehicle has a mechanic's lien on the vehicle for the
5 reasonable value of the charges for the labor, materials, storage, or
6 repairs.
7 (b) A person that provides towing services for a vehicle at the
8 request of the owner of the vehicle has a mechanic's lien on the vehicle
9 for the reasonable value of the charges for the towing services and
10 other related costs.
11 (c) A person that has a mechanic's lien on a vehicle under
12 subsection (a) or (b) may advertise the vehicle for sale if the person
13 followed the procedures described in IC 9-22-1-19 and if:
14 (1) the charges made under subsection (a) or (b) are not paid; and
15 (2) the vehicle is not claimed;
16 within thirty (30) days after the date on which the vehicle is left in or
17 comes into the possession of the person for repairs, storage, towing, or
18 the furnishing of materials. The vehicle may not be sold until the later
19 of fifteen (15) days after the date the advertisement required by
20 subsection (d) has been placed or fifteen (15) days after notice required
21 by subsection (e) has been sent.
22 (d) Before a vehicle may be sold under subsection (c) or under
23 IC 9-22-1-21.5, an advertisement must be placed in a newspaper that
24 is printed in English and of general circulation in the city or town in
25 which the lienholder's place of business is located. If the lienholder is
26 located outside the corporate limits of a city or a town, the
27 advertisement must be placed in a newspaper of general circulation in
28 the county in which the place of business of the lienholder is located.
29 The advertisement must contain at least the following information:
30 (1) A description of the vehicle, including make, year, and
31 manufacturer's identification number.
32 (2) The amount of the unpaid charges.
33 (3) The time, place, and date of the sale.
34 (e) In addition to the advertisement required under subsection (d),
35 the person that holds the mechanic's lien under this section or under
36 IC 9-22-1-21.5(c) must notify the owner of the vehicle and any other
37 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 38	described in
39 IC 9-22-1-19, by certified mail, return receipt requested, at the last
40 known address of the owner or person, as applicable, that the vehicle
41 will be sold at public auction on a specified date to satisfy the
42 mechanic's lien imposed by this section. If the person who holds the
EH 1167—LS 7095/DI 139 24
1 mechanic's lien has proof that the notice was mailed to the owner of the
2 vehicle and any person who holds a lien of record in accordance
3 with this subsection, actual receipt of the notice by the owner of the
4 vehicle is not required. Actual receipt of the notice by any other person
5 that holds a lien of record is required unless a properly addressed
6 notice is refused by the addressee or is otherwise returned to the sender
7 as undeliverable.
8 (f) A person that holds a mechanic's lien of record on a vehicle
9 subject to sale under this section or under IC 9-22-1-21.5 may pay the
10 storage, repair, towing, or service charges due. If the person that holds
11 the mechanic's lien of record elects to pay the charges due, the person
12 is entitled to possession of the vehicle and becomes the holder of the
13 mechanic's lien imposed by this section.
14 (g) If the person that owns a vehicle or the lienholder of a vehicle
15 subject to sale under this section or under IC 9-22-1-21.5 does not
16 claim the vehicle and satisfy the mechanic's lien on the vehicle, the
17 vehicle may be sold at public sale or public auction to the highest and
18 best bidder. A person that holds a mechanic's lien under this section
19 may purchase a vehicle subject to sale under this section.
20 (h) A person that holds a mechanic's lien under this section or under
21 IC 9-22-1-21.5 may deduct and retain the amount of the mechanic's
22 lien, the sale disposal costs, and the cost of the advertisement required
23 under subsection (d) from the purchase price received for a vehicle sold
24 under this section. After deducting from the purchase price the amount
25 of the mechanic's lien, the sale disposal costs, and the cost of the
26 advertisement, the person shall pay the surplus of the purchase price to
27 the person that holds the first lien of record, as indicated on the
28 certificate of title, of the vehicle. If there is no lien of record, the person
29 shall pay the surplus of the purchase price to the owner of the vehicle,
30 if the owner's address or whereabouts are known. If the address or
31 whereabouts are not known and there is no lien of record, the surplus
32 of the purchase price shall be sent to:
33 (1) the abandoned vehicle fund of the city, county, or town from
34 which the vehicle was towed, for vehicles subject to IC 9-22-1; or
35 (2) the clerk of courts, for all other vehicles, in the jurisdiction in
36 which the business of the person that holds the mechanic's lien is
37 located, for the use and benefit of the owner of the vehicle.
38 (i) The person that holds the first lien of record may deduct and
39 retain the amount of the lien of record from the surplus purchase price
40 transferred to the person under subsection (h). After deducting the
41 amount of the lien of record from the surplus purchase price transferred
42 to the person under subsection (h), the person that holds the first lien
EH 1167—LS 7095/DI 139 25
1 of record shall pay any remaining surplus to the owner of the vehicle,
2 if the owner's address or whereabouts are known. If the address or
3 whereabouts of the owner of the vehicle are not known, the surplus of
4 the purchase price shall be sent to:
5 (1) the abandoned vehicle fund of the city, county, or town from
6 which the vehicle was towed, for vehicles subject to IC 9-22-1; or
7 (2) the clerk of the courts for all other vehicles, in the jurisdiction
8 in which the business of the person that holds the mechanic's lien
9 is located, for the use and benefit of the owner of the vehicle.
10 (j) A person that holds a mechanic's lien under this section shall
11 execute and deliver to the purchaser of a vehicle under this section or
12 under IC 9-22-1-21.5 a sales certificate in the form designated by the
13 bureau, setting forth the following information:
14 (1) The facts of the sale.
15 (2) The vehicle identification number.
16 (3) The certificate of title if available.
17 (4) A certification from the newspaper showing that the
18 advertisement was made as required under subsection (d).
19 (5) Any other information that the bureau requires.
20 Whenever the bureau receives from the purchaser an application for
21 certificate of title accompanied by these items, the bureau shall issue
22 a certificate of title for the vehicle under IC 9-17.
23 (k) A person that violates this section commits a Class A infraction.
24 SECTION 26. IC 9-24-2-3, AS AMENDED BY P.L.198-2016,
25 SECTION 424, IS AMENDED TO READ AS FOLLOWS
26 [EFFECTIVE JULY 1, 2022]: Sec. 3. (a) The bureau may not issue a
27 driver's license or learner's permit or grant driving privileges to the
28 following individuals:
29 (1) An individual whose driving privileges have been suspended,
30 during the period for which the driving privileges are suspended,
31 or to an individual whose driver's license has been revoked, until
32 the time the bureau is authorized under Indiana law to issue the
33 individual a new driver's license.
34 (2) An individual whose learner's permit has been suspended or
35 revoked until the time the bureau is authorized under Indiana law
36 to issue the individual a new learner's permit.
37 (3) An individual who, in the opinion of the bureau, is afflicted
38 with or suffering from a physical or mental disability or disease
39 that prevents the individual from exercising reasonable and
40 ordinary control over a motor vehicle while operating the motor
41 vehicle on a highway.
42 (4) An individual who is unable to understand highway warnings
EH 1167—LS 7095/DI 139 26
1 or direction signs written in the English language.
2 (5) An individual who is required under this article to take an
3 examination unless:
4 (A) the individual successfully passes the examination; or
5 (B) the bureau waives the examination requirement.
6 (6) An individual who is required under IC 9-25 or any other
7 statute to deposit or provide proof of financial responsibility and
8 who has not deposited or provided that proof.
9 (7) An individual when the bureau has good cause to believe that
10 the operation of a motor vehicle on a highway by the individual
11 would be inimical to public safety or welfare.
12 (8) An individual who is the subject of an order issued by:
13 (A) a court under IC 31-16-12-7 (or IC 31-1-11.5-13,
14 IC 31-6-6.1-16, or IC 31-14-12-4 before their repeal); or
15 (B) the Title IV-D agency;
16 ordering that a driver's license or permit not be issued to the
17 individual.
18 (9) An individual who has not presented valid documentary
19 evidence to the bureau of the individual's legal status in the
20 United States, as required by IC 9-24-9-2.5.
21 (10) An individual who does not otherwise satisfy the
22 requirements of this article.
23 (b) An individual subject to epileptic seizures may not be denied a
24 driver's license or permit under this section if the individual presents
25 a statement from a licensed physician or an advanced practice
26 registered nurse, on a form prescribed by the bureau, that the
27 individual is under medication and is free from seizures while under
28 medication.
29 SECTION 27. IC 9-24-14-3.5, AS AMENDED BY P.L.111-2021,
30 SECTION 67, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
31 JULY 1, 2022]: Sec. 3.5. (a) If a valid computerized image or digital
32 photograph of an individual exists within the records of the
33 bureau, an individual may apply for a replacement driver's license or
34 learner's permit by electronic service. subject to the following
35 conditions:
36 (1) A valid computerized image or digital photograph of the
37 individual must exist within the records of the bureau.
38 (2) The individual must be a citizen of the United States, as
39 shown in the records of the bureau.
40 (b) An individual applying for a replacement of a driver's license or
41 a learner's permit must apply in person at a license branch if the
42 individual is not entitled to apply by mail or by electronic service under
EH 1167—LS 7095/DI 139 27
1 subsection (a).
2 SECTION 28. IC 9-30-3-8.5, AS ADDED BY P.L.86-2021,
3 SECTION 14, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
4 JULY 1, 2022]: Sec. 8.5. (a) Upon receipt by the bureau of a notice of
5 suspension for failure to satisfy a judgment under section 8 of this
6 chapter, the bureau shall send a request for proof of future financial
7 responsibility to the person.
8 (b) During the three (3) years following a suspension under section
9 8 of this chapter, the person's driving privileges remain suspended
10 unless the person:
11 (1) satisfies the judgment; or
12 (2) provides proof of future financial responsibility under IC 9-25.
13 (c) Upon receipt of proof of future financial responsibility, the
14 bureau shall stay a suspension under section 8 of this chapter.
15 (d) If at any time during the three (3) years following a suspension
16 under section 8 of this chapter, a person:
17 (1) has provided proof of future financial responsibility under
18 IC 9-25; and
19 (2) fails to maintain proof of future financial responsibility;
20 the bureau shall suspend the person's driving privileges until the person
21 provides proof of future financial responsibility under IC 9-25 or the
22 suspension is terminated by the bureau.
23 (e) The bureau shall waive reinstatement fees for a suspension under
24 section 8 of this chapter if the person:
25 (1) satisfies the judgment; or
26 (2) maintains proof of financial responsibility for three (3) years.
27 (f) For a suspension for failure to satisfy a judgment under
28 section 8 of this chapter imposed before December 31, 2021, the
29 suspension terminates on December 31, 2024.
30 SECTION 29. IC 9-32-5-6, AS AMENDED BY P.L.198-2016,
31 SECTION 625, IS AMENDED TO READ AS FOLLOWS
32 [EFFECTIVE JULY 1, 2022]: Sec. 6. (a) If a dealer purchases or
33 acquires ownership of a motor vehicle in a state that does not have a
34 certificate of title law, the dealer shall apply for an Indiana certificate
35 of title for the motor vehicle not more than forty-five (45) days after the
36 date of purchase or the date ownership of the motor vehicle was
37 acquired.
38 (b) The bureau shall collect an administrative penalty as provided
39 in IC 9-17-2-14.7 if a dealer fails to apply for a certificate of title for a
40 motor vehicle as described in subsection (a).
41 SECTION 30. IC 9-32-11-20, AS AMENDED BY P.L.245-2019,
42 SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
EH 1167—LS 7095/DI 139 28
1 JULY 1, 2022]: Sec. 20. (a) This section does not apply to:
2 (1) a manufacturer of a trailer or semitrailer; or
3 (2) a manufacturer that produces fewer than one thousand (1,000)
4 units per year.
5 (b) Except as provided in subsection (d) or under
6 IC 9-32-13-23(a)(3), a manufacturer or distributor may not sell or
7 offer to sell, directly or indirectly, a new motor vehicle to the
8 general public in Indiana except through a new motor vehicle
9 dealer holding a franchise for the line make covering the new
10 motor vehicle. This subsection does not apply to the sales of new
11 motor vehicles by a manufacturer or franchisor to:
12 (1) the federal government;
13 (2) a charitable organization; or
14 (3) an employee of the manufacturer or distributor.
15 (b) (c) Except as provided in subsection (c), (d), a manufacturer or
16 distributor may not engage in sales directly to the general public in
17 Indiana.
18 (c) (d) A manufacturer or distributor may engage in sales directly
19 to the general public in Indiana only if:
20 (1) the manufacturer or distributor was granted an initial license
21 to sell new motor vehicles before July 1, 2015; and
22 (2) the manufacturer or distributor establishes at least one (1)
23 physical location in Indiana that is a warranty repair service
24 center before January 1, 2018.
25 (d) (e) A manufacturer or distributor described in subsection (c) (d)
26 must stop engaging in sales directly to the general public in Indiana if
27 the manufacturer or distributor sells, transfers, or conveys a majority
28 interest in the manufacturer or distributor to another person that is
29 required to be licensed under this chapter.
30 (e) For purposes of this subsection, "subscription program" means
31 a subscription service that, for a recurring fee and for a limited period
32 of time, allows a participating person exclusive use of a motor vehicle
33 owned by an entity that controls or contracts with the subscription
34 service. The term does not include leases, short term motor vehicle
35 rentals, or services that allow short term sharing of a motor vehicle.
36 Subscription programs are prohibited in Indiana. This subsection
37 expires on May 1, 2020.
38 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 43
COMMITTEE REPORT
Madam President: The Senate Committee on Appropriations, 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 11, line 32, delete "4." and insert "(4).".
Page 11, line 42, after "notated." insert "This subdivision expires
July 1, 2025.".
and when so amended that said bill do pass.
(Reference is to EHB 1167 as printed February 16, 2022.)
MISHLER, Chairperson
Committee Vote: Yeas 12, Nays 0.
EH 1167—LS 7095/DI 139