FIRSTREGULARSESSION
HOUSECOMMITTEESUBSTITUTEFOR
HOUSEBILLNO.40
103RDGENERALASSEMBLY
0234H.02C JOSEPHENGLER,ChiefClerk
ANACT
Torepealsection301.227,RSMo,andtoenactinlieuthereofonenewsectionrelatingto
inoperablemotorvehicles.
BeitenactedbytheGeneralAssemblyofthestateofMissouri,asfollows:
SectionA.Section301.227,RSMo,isrepealedandonenewsectionenactedinlieu
2thereof,tobeknownassection301.227,toreadasfollows:
301.227.1.Wheneveravehicleissoldforsalvage,dismantlingorrebuilding,the
2purchasershallforwardtothedirectorofrevenuewithintendaysthecertificateofownership
3orsalvagecertificateoftitleandtheproperapplicationandfeeofeightdollarsandfiftycents,
4andthedirectorshallissueanegotiablesalvagecertificateoftitletothepurchaserofthe
5salvagedvehicle.Onvehiclespurchasedduringayearthatisnomorethansixyearsafterthe
6manufacturer'smodelyeardesignationforsuchvehicle,itshallbemandatorythatthe
7purchaserapplyforasalvagetitle.Onvehiclespurchasedduringayearthatismorethansix
8yearsafterthemanufacturer'smodelyeardesignationforsuchvehicle,thenapplicationfora
9salvagetitleshallbeoptionalonthepartofthepurchaser.Wheneveravehicleissoldfor
10destructionandasalvagecertificateoftitle,junkingcertificate,orcertificateofownership
11exists,theseller,iflicensedundersections301.217to301.221,shallforwardthecertificateto
12thedirectorofrevenuewithintendays,withthenotationofthedatesoldfordestructionand
13thenameofthepurchaserclearlyshownonthefaceofthecertificate.
14 2.Wheneveravehicleisclassifiedasjunk,asdefinedinsection301.010,the
15purchasermayforwardtothedirectorofrevenueaproperlycompletedapplicationfora
16junkingcertificateaswellasthesalvagecertificateoftitleorcertificateofownershipandthe
17directorshallissueanegotiablejunkingcertificatetothepurchaserofthevehicle.The
18directormayalsoissueajunkingcertificatetoapossessorofavehiclemanufacturedtwenty-
EXPLANATION—Matterenclosedinbold-facedbrackets[thus] intheabovebillisnotenactedandis
intendedtobeomittedfromthelaw.Matterinbold-facetypeintheabovebillisproposedlanguage. 19sixyearsormorepriortothecurrentmodelyearwhohasabillofsaleforsaidvehiclebut
20doesnotpossessacertificateofownership,providednoclaimofthefthasbeenmadeonthe
21vehicleandthehighwaypatrolhasbyletterstatedthevehicleisnotlistedasstolenafter
22checkingtheregistrationnumberthroughitsnationwidecomputersystem.Suchjunking
23certificatemaybegrantedwithinthirtydaysofthesubmissionofarequest.Ajunking
24certificateshallauthorizetheholdertopossess,transport,or,byassignment,transfer
25ownershipinsuchparts,scrap,orjunk.
26 3.Foranyvehicleissuedajunkingcertificateorsuchsimilardocumentor
27classificationpursuanttothelawsofanotherstate,regardlessofwhethersuchdesignationhas
28beensubsequentlychangedbylawinanyotherstate,thedepartmentshallonlyissuea
29junkingcertificate,andasalvagecertificateoftitleororiginalcertificateofownershipshall
30notthereafterbeissuedforsuchvehicle.Notwithstandingtheprovisionsofthissubsection,if
31thevehiclehasnotpreviouslybeenclassifiedasajunkvehicle,theapplicantmakingthe
32originaljunkingcertificationapplicationshall,withinninetydays,beallowedtorescindhis
33applicationforajunkingcertificatebysurrenderingthejunkingcertificateandapplyfora
34salvagecertificateoftitleinhisname.Thesellerofavehicleforwhichajunkingcertificate
35hasbeenappliedfororissuedshalldisclosesuchfactinwritingtoanyprospectivebuyers
36beforesaleofsuchvehicle;otherwisethesaleshallbevoidableattheoptionofthebuyer.
37 4.Noscrapmetaloperatorshallacquireorpurchaseamotorvehicleorpartsthereof
38without,atthetimeofsuchacquisition,receivingtheoriginalcertificateofownershipor
39salvagecertificateoftitleorjunkingcertificatefromthesellerofthevehicleorparts,unless
40thesellerisalicenseeundersections301.219to301.221.
41 5.Alltitlesandcertificatesrequiredtobereceivedbyscrapmetaloperatorsfrom
42nonlicenseesshallbeforwardedbytheoperatortothedirectorofrevenuewithintendaysof
43thereceiptofthevehicleorparts.
44 6.Thescrapmetaloperatorshallkeeparecord,forthreeyears,oftheseller'sname
45andaddress,thesalvagebusinesslicensenumberofthelicensee,dateofpurchase,andany
46vehicleorpartsidentificationnumbersopenforinspectionasprovidedinsection301.225.
47 7.Notwithstandinganyotherprovisionofthissection,amotorvehicledealeras
48definedinsection301.550andlicensedundertheprovisionsofsections301.550to301.572
49maynegotiateonereassignmentofasalvagecertificateoftitleonthebackthereof.
50 8.Notwithstandingtheprovisionsofsubsection1ofthissection,aninsurance
51companywhichsettlesaclaimforastolenvehiclemayapplyforandshallbeissueda
52negotiablesalvagecertificateoftitlewithoutthepaymentofanyfeeuponproperapplication
53withinthirtydaysaftersettlementoftheclaimforsuchstolenvehicle.However,ifthe
54insurancecompanyuponrecoveryofastolenvehicledeterminesthatthestolenvehiclehas
55notsustaineddamagetotheextentthatthevehiclewouldhaveotherwisebeendeclareda
HCSHB40 2 56salvagevehiclepursuanttosection301.010,thentheinsurancecompanymayhavethe
57vehicleinspectedbytheMissouristatehighwaypatrol,orotherlawenforcementagency
58authorizedbythedirectorofrevenue,inaccordancewiththeinspectionprovisionsof
59subsection9ofsection301.190.Uponreceiptoftitleapplication,applicablefee,the
60completedinspection,andthereturnofanypreviouslyissuednegotiablesalvagecertificate,
61thedirectorshallissueanoriginaltitlewithnosalvageorpriorsalvagedesignation.Uponthe
62issuanceofanoriginaltitlethedirectorshallremoveanyindicationofthenegotiablesalvage
63titlepreviouslyissuedtotheinsurancecompanyfromthedepartment'selectronicrecords.
64 9.Notwithstandingsubsection4ofthissectionoranyotherprovisionofthelawto
65thecontrary,ifamotorvehicleisinoperableandisatleast[ten]twentymodelyearsold,or,if
66inthepossessionofaninsurerpursuanttoatotallosssettlementorentityselling
67vehiclesatinsurancesalvageauctions,atleasttenmodelyearsold,orthepartsarefroma
68motorvehiclethatisinoperableandisatleast[ten]twentymodelyearsold,or,ifinthe
69possessionofaninsurerpursuanttoatotallosssettlementorentitysellingvehiclesat
70insurancesalvageauctions,atleasttenmodelyearsold,ascrapmetaloperatormay
71purchaseoracquiresuchmotorvehicleorpartswithoutreceivingtheoriginalcertificateof
72ownership,salvagecertificateoftitle,orjunkingcertificatefromthesellerofthevehicleor
73parts,providedthescrapmetaloperatorverifieswiththedepartmentofrevenue,viathe
74department'sonlinerecordaccess,thatthemotorvehicleisnotsubjecttoanyrecorded
75securityinterestorlienandthescrapmetaloperatorcomplieswiththerequirementsofthis
76subsection.Inlieuofforwardingcertificatesoftitleorownershipforsuchmotorvehiclesas
77requiredbysubsection5ofthissection,thescrapmetaloperatorshallforwardacopyofthe
78seller'sstateidentificationcardalongwithabillofsaletothedepartmentofrevenue.Thebill
79ofsaleformshallbedesignedbythedirectorandsuchformshallinclude,butnotbelimited
80to,acertificationthatthemotorvehicleisatleast[ten]twentymodelyearsold,or,ifinthe
81possessionofaninsurerpursuanttoatotallosssettlementorentitysellingvehiclesat
82insurancesalvageauctions,atleasttenmodelyearsold,isinoperable,isnotsubjecttoany
83recordedsecurityinterestorlien,andacertificationbythesellerthatthesellerhasthelegal
84authoritytosellorotherwisetransfertheseller'sinterestinthemotorvehicleorparts.Upon
85receiptoftheinformationrequiredbythissubsection,thedepartmentofrevenueshallcancel
86anycertificateoftitleorownershipandregistrationforthemotorvehicle.Ifthemotor
87vehicleisinoperableandatleasttwentymodelyearsold,thenthescrapmetaloperatorshall
88notberequiredtoverifywiththedepartmentofrevenuewhetherthemotorvehicleissubject
89toanyrecordedsecurityinterestsorliens.Asusedinthissubsection,theterm"inoperable"
90meansamotorvehiclethatisinarusted,wrecked,discarded,wornout,extensivelydamaged,
91dismantled,andmechanicallyinoperativeconditionandthevehicle'shighestandbestuseis
92forscrappurposes.Thedirectorofthedepartmentofrevenueisdirectedtopromulgaterules
HCSHB40 3 93andregulationstoimplementandadministertheprovisionsofthissection,includingbutnot
94limitedto,thedevelopmentofauniformbillofsale.Anyruleorportionofarule,asthat
95termisdefinedinsection536.010,thatiscreatedundertheauthoritydelegatedinthissection
96shallbecomeeffectiveonlyifitcomplieswithandissubjecttoalloftheprovisionsof
97chapter536and,ifapplicable,section536.028.Thissectionandchapter536are
98nonseverableandifanyofthepowersvestedwiththegeneralassemblypursuanttochapter
99536toreview,todelaytheeffectivedate,ortodisapproveandannularulearesubsequently
100heldunconstitutional,thenthegrantofrulemakingauthorityandanyruleproposedor
101adoptedafterAugust28,2012,shallbeinvalidandvoid.
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HCSHB40 4