Oklahoma 2024 2024 Regular Session

Oklahoma House Bill HB1390 Enrolled / Bill

Filed 05/16/2023

                    An Act 
ENROLLED HOUSE 
BILL NO. 1390 	By: Bashore and Alonso-Sandoval 
of the House 
 
   and 
 
  Hall of the Senate 
 
 
 
 
 
 
An Act relating to motor vehicles; amending 47 O.S. 
2021, Sections 1137.1, as amended by Secti on 170, 
Chapter 282, O.S.L. 2022 , and 1137.3, as amended by 
Section 172, Chapter 282, O.S.L. 2022 (47 O.S. Supp. 
2022, Sections 1137.1 and 1137.3), which relate to 
motor vehicle registration and licensing after 
purchase; extending e xpiration date of temporary 
license plate; and providing an effective date. 
 
 
 
 
 
 
SUBJECT: Motor vehicles 
 
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: 
 
SECTION 1.     AMENDATORY     47 O.S. 2021, Section 1137.1, as 
amended by Section 170, Chapter 28 2, O.S.L. 2022 (47 O.S. Supp. 
2022, Section 1137.1), is amended to read as follows: 
 
Section 1137.1  A.  Except for vehicles, travel trailers or 
commercial trailers which display a current Oklahoma license tag, 
upon the purchase or transfer of ownership of a used motor vehicle, 
travel trailer or commercial trailer, including an out-of-state 
purchase or transfer of the same, to a licensed used motor vehicle 
dealer, wholesale used motor vehicle dealer, used travel trai ler 
dealer or used commercial trailer dealer, subsequently referred to 
in this section as "dealer", the dealer shall affix a used dealer's 
plate visible from the rear of the vehicle, travel trailer or 
commercial trailer.  Such license plate shall expire on December 31  ENR. H. B. NO. 1390 	Page 2 
of each year.  When the vehicle, travel trailer or commercial 
trailer is parked on the dealer's licensed place of business, it 
shall not be required to have a license plate of any kind affixed.  
A dealer shall obtain from Service Oklahoma at a cost of Ten Dollars 
($10.00) a dealer license plate for demonstrating, transporting or 
any other normal business of a dealer including use by an individual 
holding a valid salesperson's license issued by the Oklahoma Used 
Motor Vehicle and Parts Commission.  Any dealer who operates a 
wrecker or towing service licensed pursuant to Sections 951 through 
957 of this title shall register each wrecker vehicle and display a 
wrecker license plate on each vehicle as required by Section 1 134.3 
of this title. A dealer may obtain as many additional license 
plates as may be desired upon the payment of Ten Dollars ($10.00) 
for each additional license plate. Use of the used dealer license 
plate by a licensed dealer for other than the purposes as set forth 
herein shall constitute grounds for revocation of the dealer's 
license.  Service Oklahoma shall design the official used dealer 
license plate to include the used dealer's license number issued to 
him or her each year by Service Oklahoma or the Used Motor Vehicle 
and Parts Commission. 
 
B.  Upon the purchase or transfer of ownership of an out-of-
state used motor vehicle, travel trailer or commercial trailer to a 
licensed dealer, the dealer shall make ap plication for an Oklahoma 
certificate of title pursuant to the Oklahoma Vehicle License and 
Registration Act, Section 1101 et seq. of this title.  Upon receipt 
of the Oklahoma certificate of title, the dealer shall follow the 
procedure as set forth in subs ection A of this section.  Provided, 
nothing in this title shall be construed as requiring a dealer to 
register a used motor vehicle, travel trailer or commercial trailer 
purchased in another state which will not be operated or sold in 
this state. 
 
C.  Upon sale or transfer of ownership of the used motor vehicle 
or travel trailer, the dealer shall place upon the reassignment 
portion of the certificate of title a tax stamp issued by the county 
treasurer of the county in which the dealer has his or her primar y 
place of business. The tax stamp shall be issued upon payment of a 
fee of Three Dollars and fifty cents ($3.50) and shall be in lieu of 
the dealer's ad valorem tax on the inventories of used motor 
vehicles or travel trailers but shall not relieve any ot her property 
of the dealer from ad valorem taxation. 
 
D.  Upon sale of a used motor vehicle or travel trailer to 
another licensed dealer, the selling dealer shall place the tax  ENR. H. B. NO. 1390 	Page 3 
stamp required in subsection C of this section upon the certificate 
of title.  The used dealer license plate or wholesale dealer license 
plate shall be removed by the selling dealer.  The purchasing dealer 
shall, at time of purchase, place his or her dealer license plate on 
the used motor vehicle, travel trailer or commercial trailer as 
provided in subsection A of this section; provided, for vehicles, 
travel trailers or commercial trailers purchased by a licensed used 
dealer at an auction, in lieu of such placement of the dealer 
license plate, the auction may provide temporary documen tation as 
approved by the Director of the Motor Vehicle Division of Service 
Oklahoma for the purpose of transporting such vehicle to the 
purchaser's point of destination.  Such temporary documentation 
shall be valid for two (2) days following the date of sale. 
 
E.  The purchaser of every used motor vehicle, travel trailer or 
commercial trailer, except as otherwise provided by law, shall 
obtain registration and title for the vehicle or trailer within 
thirty (30) days two (2) months from the date of purchase of same.  
It shall be the responsibility of the selling dealer to place a 
temporary license plate, in size similar to the permanent Oklahoma 
license plate but of a weatherproof plastic-impregnated substance 
approved by the Used Motor Vehicle and Parts Commission, upon a used 
motor vehicle, travel trailer or commercial trailer when a 
transaction is completed for the sale of said vehicle.  The 
temporary license plate under this subsection shall be placed at the 
location provided for the permanent motor vehicle license plate.  
The temporary license plate shall show the license number which is 
issued to the dealer each year by Service Oklahoma or the Used Motor 
Vehicle and Parts Commission, the date the used motor vehicle, 
travel trailer or commercial trailer was purchased and the company 
name of the selling dealer.  The Used Motor Vehicle and Parts 
Commission is hereby directed to develop the temporary license plate 
design to incorporate these requirements in a manner that will 
permit law enforcement personnel to readily identify the dealer 
license number and date of the vehicle purchase.  The Used Motor 
Vehicle and Parts Commission is hereby authorized to develop 
additional requirements and parameters as deemed appropriate to 
discourage or prevent illegal duplication and use of the temporary 
license plate.  Such temporary license plate shall be valid for a 
period of thirty (30) days two (2) months from the date of purchase.  
Use of the temporary license by a dealer for other than the purposes 
set forth herein shall constitute grounds for revocation of the 
dealer's license to conduct business.  Purchasers of a commercial 
trailer shall affix the temporary license plate to the rear of the 
commercial trailer. The purchaser shall display the temporary  ENR. H. B. NO. 1390 	Page 4 
license plate for a period not to exceed thirty (30) days two (2) 
months or until registration and title are obtained as provided in 
this section. 
 
The provisions of this subsection on temporary licenses shall 
apply to nonresidents who purchase a used motor vehicle, travel 
trailer or commercial trailer within this state that is to be 
licensed in another state.  The nonresident purchaser shall be 
allowed to operate the vehicle or trailer within the state with a 
temporary license plate for a period not to exceed thirty (30) days 
two (2) months from date of purchase.  Any nonresident purchaser 
found to be operating a used motor vehicle, travel trailer or 
commercial trailer within this state after thirty (30) days two (2) 
months shall be subject to the registration fees of this state upon 
the same terms and conditions applying to residents of this state. 
 
F.  It shall be unlawful for any dealer to procure the 
registration and licensing of any used motor vehicle, travel trailer 
or commercial trailer sold by the dealer or to act as the agent for 
the purchaser in the procurement of the registration and licensing 
of the purchaser's used vehicle, travel trailer or commercial 
trailer.  A license of any dealer violating the provision of this 
section may be revoked. 
 
G.  Dealers following the procedure set forth herein shall not 
be required to register vehicles, travel trailers or commercial 
trailers to which this section applies, nor will the registration 
fee otherwise required be assessed. Provided, dealers shall not 
purchase or trade for a used motor vehicle, travel trailer or 
commercial trailer on which the registration therefor has been 
expired for a period exceeding thirty (30) days two (2) months 
without obtaining current registration therefor. 
 
H.  A nonprofit charitable organization which is exempt from 
taxation pursuant to the provisions of the Internal Revenue Code, 26 
U.S.C., Section 501(c)(3), and which accepts donations of used motor 
vehicles previously titled in Oklahoma to be subsequently 
transferred to another owner, upon the qualifying organization 
providing sufficient documentation of its tax-exempt status, may 
obtain from Service Oklahoma charitable nonprofit organization 
license plates for demonstrating, transporting or test-driving 
donated vehicles, provided that no organization shall possess or use 
at any one time more than eight such plates.  Service Oklahoma shall 
design distinctive license plates for that purpose.  The cost for  ENR. H. B. NO. 1390 	Page 5 
said plates shall be the same as provided in subsection A of this 
section for dealer plates. 
 
I.  The transfer of ownership from the vehicle donor to the 
qualifying nonprofit organization described in subsection H of this 
section shall be made without the payment of motor vehicle excise 
tax levied pursuant to Section 2103 of Title 68 of the Oklahoma 
Statutes. 
 
SECTION 2.     AMENDATORY     47 O.S. 2021, Section 11 37.3, as 
amended by Section 172, Chap ter 282, O.S.L. 2022 (47 O.S. Supp. 
2022, Section 1137.3), is amended to read as follows: 
 
Section 1137.3 The purchaser of every new motor vehicle, travel 
trailer or commercial trailer shall register or license the same 
within thirty (30) days two (2) months from the date of purchase.  
It shall be the responsibility of the selling dealer to place a 
temporary license plate, in size similar to the permanent Oklahoma 
license plate but of a weatherproof plastic-impregnated substance 
approved by the Oklahoma Motor Vehicle Commission, upon a new motor 
vehicle, travel trailer or commercial trailer when a transaction is 
completed for the sale of said vehicle or trailer.  Except for cab 
and chassis trucks, the temporary license plate under this section 
shall be placed at the location provided for the permanent motor 
vehicle license plate. The purchaser of a new cab and chassis truck 
may place the temporary license plate under this section in the rear 
window.  Said temporary license plate shall show the dealer's 
license number which is issued to him or her each year by Service 
Oklahoma, the date the new motor vehicle, travel trailer or 
commercial trailer was purchased and the company name of the selling 
dealer.  The Oklahoma Motor Vehicle Commission is hereby directed to 
develop a temporary license plate design to incorporate these 
requirements in a manner that will permit law enforcement personnel 
to readily identify the dealer license number and date of the 
vehicle purchase.  The Motor Vehicle Commission is further 
authorized to develop additional requirements and parameters 
designed to discourage or prevent illegal duplication and use of the 
temporary license plate.  On or before thirty (30) days two (2) 
months from the date of purchase of a new motor vehicle, travel 
trailer or commercial trailer, said temporary license plate shall be 
removed and replaced with a permanent, current Oklahoma license 
plate.  Use of said temporary license plate by a licensed dealer for 
other than the purpose of normally doing business shall constitute 
grounds for revocation of the dealer's license. 
  ENR. H. B. NO. 1390 	Page 6 
It shall be unlawful for any licensed dealer of new motor 
vehicles, travel trailers or commercial trailers to procure the 
registration and licensing of any new motor vehicle, travel trailer 
or commercial trailer sold by such licensed dealer or to act as the 
agent for such purchaser in the procurement of said registration and 
licensing.  The license of any licensed dealer of new motor 
vehicles, travel trailers or commercial trailers violating the 
provisions of this section shall be revoked. 
 
SECTION 3. This act shall become effective November 1, 2023. 
  ENR. H. B. NO. 1390 	Page 7 
Passed the House of Representatives the 15th day of May, 2023. 
 
 
 
  
 	Presiding Officer of the House 
 	of Representatives 
 
 
Passed the Senate the 25th day of April, 2023. 
 
 
 
  
 	Presiding Officer of the Senate 
 
 
OFFICE OF THE GOVERNOR 
Received by the Office of the Governor this ____________________ 
day of ___________________, 20_______, at _______ o'clock _______ M. 
By: _________________________________ 
Approved by the Governor of the State of Oklahoma this _____ ____ 
day of ___________________, 20_______, at _______ o'clock _______ M. 
 
 
 	_________________________________ 
 	Governor of the State of Oklahoma 
 
OFFICE OF THE SECRETARY OF STA TE 
Received by the Office of the Secretary of State this __________ 
day of ___________________, 20_______, at _______ o'clock _______ M. 
By: _________________________________