Req. No. 1117 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 STATE OF OKLAHOMA 1st Session of the 59th Legislature (2023) SENATE BILL 1064 By: Rosino AS INTRODUCED An Act relating to vehicle inspections; amending 47 O.S. 2021, Section 110 5, as last amended by Section 110, Chapter 282, O.S.L. 2022 (4 7 O.S. Supp. 2022, Section 1105), which relates to definitions ; modifying certain prohibition; removing certain inspection requirement; requiring certain inspection guideline; modifying certain inspection requirement; authorizing certain inspections; requiring certain fee; authorizing certain inspection authority suspension and revocation; and providing an effective date. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 47 O.S. 2021, Section 1 105, as last amended by Section 110, Chapter 282, O.S.L. 2022 (47 O.S. Supp. 2022, Section 1105), is amended to read as follows: Section 1105. A. As used in the Oklahoma Vehicle License and Registration Act: 1. “Salvage vehicle” means any vehicle which is within the last ten (10) model years and which has been damaged by collision or other occurrence to the extent that the cost of repairing the vehicle for safe operation on the highway exceeds sixty perce nt Req. No. 1117 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 (60%) of its fair ma rket value, as defined by Section 1111 of this title, immediately prior to the damage. For purposes of this section, actual repair costs shall only include labor and parts for actual damage to the suspension, motor, transmission, fr ame or unibody and designated structural components; 2. “Rebuilt vehicle” means any salvage vehicle which has been rebuilt and inspected for the purpose of registration and title; 3. “Flood-damaged vehicle” means a salvage or rebuilt vehicle which was damaged by flooding or a vehicle which was submerged at a level to or above the dashboa rd of the vehicle and on which an amount of loss was paid by the insurer; 4. “Unrecovered-theft vehicle” means a vehicle which has been stolen and not yet recovered; 5. “Recovered-theft vehicle” means a vehicle, including a salvage or rebuilt vehicle, wh ich was recovered from a theft; and 6. “Junked vehicle” means any vehicle which is incapable of operation or use on the highway, has no resale value except as a source of parts or scrap and has an eighty percent (80%) loss in fair market value. B. The owner of every vehicle in this state shall possess a certificate of title as proof of ownership of such vehicle, except those vehicles registered pursuant to Section 1120 of this title and trailers registered pursuant to Section 1133 of this title, previously titled by anyone in another state and engaged in Req. No. 1117 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 interstate commerce, and except as provided in subsection M of this section. Except for owners that possess an agricult ural exemption permit pursuant to Section 1358.1 of Title 68 of the Oklahoma Statutes, the owner of an all -terrain vehicle or a motorcycle used exclusively off roads or highways in this state which is purchased or the ownership of which is transferred on o r after July 1, 2005, and the owner of a utility vehicle used exclusively off roads a nd highways in this state which is purchased or the ownership of which is transferred on or after July 1, 2008, shall possess a certificate of title as proof of ownership. Any person possessing an agricultural exemption permit and owning an all -terrain vehicle or a motorcycle used exclusively off roads or highways in this state which is purchased or the ownership of which is transferred on or after July 1, 2008, shall poss ess a certificate of ti tle as proof of ownership. Upon receipt of proper application information by such owner, Service Oklahoma shall issue an original or transfer certificate of title. Until July 1, 2008, any security interest in an all-terrain vehicle that attached and was perfected before July 1, 2005, and that has not otherwise term inated shall remain perfected, and shall take priority over any subsequently perfected security interest in the same all -terrain vehicle, notwithstanding that a certificate of title may have bee n issued with respect to the same all-terrain vehicle on or af ter July 1, 2005, and that a lien Req. No. 1117 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 may have been recorded on said certificate of title. There shall be eight types of certificates of title: 1. Original title for any mot or vehicle which is not a remanufactured, salvage, unrecovered-theft, rebuilt, rebodi ed or junked vehicle; 2. Salvage title for any motor vehicle which is a salvage vehicle or is specified as a salvage vehicle or the equivalent thereof on a certificate of title from another sta te; 3. Rebuilt title for any motor vehicle which is a rebuilt vehicle; 4. Junked title for any motor vehicle which is a junked vehicle or is specified as a junked vehicle or the equivalent thereof on a certificate of title from ano ther state; 5. Classic title for any motor vehicle, except a junked vehicle, which is twenty-five (25) model years or older; 6. Remanufactured title for any vehicle which is a remanufactured vehicle; 7. Unrecovered-theft title for any motor vehicle whic h has been stolen and not recovered; and 8. Rebodied title for any motor vehicle whi ch is a rebodied vehicle. Application for a certificate of title, whether the initial certificate of title or a duplicate, may be made to Service Oklahoma or any licensed operator. When applica tion is made with a licensed Req. No. 1117 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 operator, the application informa tion shall be transmitted either electronically or by mail to Service Oklahoma by the licensed operator. If the application information is transmitted electronically, the licensed operator shal l forward the required application along with evidence of owne rship, where required, by mail. Where the transmission of application information cannot be performed electronically, Service Oklahoma is authorized to provide postage paid envelopes to license d operators for the purpose of mailing the application along w ith evidence of ownership, where required. Service Oklahoma shall upon receipt of proper application information issue an Oklahoma certificate of title. The certificates may be mailed to the a pplicant. Upon issuance of a certificate of title, Service Ok lahoma shall provide the appropriate licensed operator with confirmation of such issuance. C. 1. The application for certificate of title shall be upon a blank form furnished by Service Oklaho ma, containing: a. a full description of the vehicle, b. the manufacturer’s serial or other identification number, c. the motor number and the date on which first sold by the manufacturer or dealer to the owner, d. any distinguishing marks, e. a statement of the applicant’s source of title, f. any security interest u pon the vehicle, and Req. No. 1117 Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 g. such other information as Service Oklahoma may require. 2. The application for a certificate of title for a vehicle which is within the last seven (7) model years shall require a declaration as to whether the vehicle has been damag ed by collision or other occurrence and whether the vehicle has been recovered from theft and the extent of the damage to the vehicle. The declaration shall be made by the owner of a vehicle if : a. the vehicle has been damaged or stolen, b. the owner did or did not receive any payment for the loss from an insurer, or c. the vehicle is titled or registered in a state that does not classify the vehicle or brand the title because of damage to or lo ss of the vehicle similar to the classifications or brands uti lized by this state. The declaration shall be based upon the best information and knowledge of the owner and shall be in addition to the requirements specified in paragraph 1 of this subsection. Service Oklahoma shall not issue a certificate of title for a vehicle which is subject to the provisions of this paragraph without the required declaration, completed and signed by the owner of the vehicle. Upon rece ipt of an application without the pro perly completed declaration, Service Oklahoma shall return the application to the applicant with notice that the title may not be issued without the required declaration. Req. No. 1117 Page 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Nothing in this paragraph shall prohibit Servic e Oklahoma from recognizing the type of or brand on a title or other ownership document issued by a nother state or the inspection conducted in another state and issuing the appropriate certificate of title for the vehicle. 3. The certificate of title shal l have the following security features: a. intaglio printing or security thread, with or without watermark, b. latent images, c. fluorescent inks, d. micro print, e. void background, and f. color coding. 4. Each title issued pursuant to the provisions of the Oklahoma Vehicle License and Regi stration Act shall be color coded as determined by Service Okl ahoma. 5. The certificate of title shall be of such size and design and color as Service Oklahoma may direct pursuant to the provisions of this section. Th e title shall be on colored paper or other material as designated by Service Oklahoma and be of suc h intensity or hue as will allow easy identification as to whether the title is an original title, a salvage title, a rebuilt title, remanufactured title, rebodied title or a junked title. The type of title shall be Req. No. 1117 Page 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 identified on the front of the certific ate of title. The original title, rebuilt title, remanufactured title, an unrecovered -theft title, rebodied title or classic title shall be identified by th e word “Original”, “Rebuilt”, “Remanufactured”, “Unrecovered Theft”, “Rebodied” or “Classic” printed in the upper right quadrant of the certificate of title, in the space which is currently captioned “type of title”. A rebodied title shall also identify o n the front of the title the year, ma ke and model of the originally manufactured vehicle which has been rebodied and display a notation that reads as follows: “This vehicle has been assembled with new major components licensed by the original manufacturer. ” D. 1. To obtain an original certi ficate of title for a vehicle that is being registered for the first time in this state which has not been previously registered in any other state, the applicant shall be required to deliver, as evidence of ownership, a manufacturer’s certificate of origi n properly assigned by the manufacturer, distributor, or deale r licensed in this or any other state shown thereon to be the last transferee to the applicant upon a form to be prescribed and approved by Service Oklahoma. A manufacturer’s certificate of ori gin shall contain: a. the manufacturer’s serial or other ident ification number, b. date on which first sold by the manufacturer to the dealer, Req. No. 1117 Page 9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 c. any distinguishing marks including model and the year same was made, d. a statement of any security interests upon the vehicle, and e. such other information as Service Okl ahoma may require. 2. The manufacturer ’s certificate of origin shall have the following security features: a. intaglio printing or security thread, with or without watermark, b. latent images, c. fluorescent inks, d. micro print, and e. void background. E. In the absence of a dealer ’s or manufacturer’s number, Service Oklahoma may assign such identifying number to the veh icle, which shall be permanently stamped, burned or pressed or attached into the vehicle, and a certificate of title shall be delivered to the applicant upon payment of all fees and taxes, and the remaining copies shall be permanently filed and indexed by Service Oklahoma. Service Oklahoma shall assign an identifying number to any rebuilt vehicle if the vehicle identification number displ ayed on the rebuilt vehicle does not accurately describe the vehicle as rebuilt. The licensed operator, at the time of inspection of the rebuilt Req. No. 1117 Page 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 vehicle pursuant to Secti on 1111 of this title, shall identify the make, model, and year for the body to accur ately describe the rebuilt vehicle. At the time of the inspection, an appropriate identifying number shall be permanent ly stamped, burned, pressed, or attached on the rebuilt vehicle. The assi gned identifying number shall be recorded on the certificate o f title for the rebuilt vehicle. The dealer ’s or manufacturer’s vehicle identification number on the rebuilt vehicle sh all be preserved in the computer files of Service Oklahoma for at least fi ve (5) years. F. When registering for the first time in this state a vehicle which was not originally manufactured for sale in the United States, to obtain a certificate of title, S ervice Oklahoma shall require the applicant to deliver: 1. As evidence of ownership, if the vehicle has not previously been titled in the United States, the documents constituting valid proof of ownership in the country in which the vehicle was originally purchased, together with a notarized translation o f any such documents; and 2. As evidence of compliance with federal law, copies of t he bond release letters for the vehicle issued by the United States Environmental Protection Agency and the United State s Department of Transportation, together with a rec eipt issued by the Inte rnal Revenue Service indicating that the applicable federal ga s guzzler tax has been paid. Req. No. 1117 Page 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Service Oklahoma shall not issue a certificate of title for a vehicle which is subject to t he provisions of this paragraph without the required documentation from ag encies of the United States and evidence of ownership. Upon r eceipt of an application without the required documentation, Service Oklahoma shall return the application to the applic ant with notice that the certificate of title may not be issued without th e required documentation. Nothing in this paragraph shall pro hibit Service Oklahoma from issuing certificates of title for antique or classic vehicles not driven upon the public streets, roads, or highways, for mini -trucks registered pursuant to Section 1 151.3 of this title, or for medium- speed electric vehicles. G. When registering in this state a vehicle which was titled in another state and which title contains the name of a secu red party on the face of the other state certificat e of title, or such sta te certificate is being held by the secured party in that stat e or any other state, Service Oklahoma or the licensed operator shall complete a lien entry form as prescribed by Servic e Oklahoma. The owner of such vehicle shall file a n affidavit with Servic e Oklahoma or the licensed operator stating that title to the vehicle is being held by a secured party, has not been issued pursuant to the laws of the state where titled, and that t here is an existing lien or encumbrance on the vehi cle. The current name and address of the secured party or lienholder shall also be s tated in the affidavit. Req. No. 1117 Page 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 The form of the affidavit shall be prescribed by Service Oklahoma and contain any other informa tion deemed necessary by Service Oklahoma. A statement of the lien or enc umbrance shall be included on the Oklahoma certificate of titl e and the lien or encumbrance shall be deemed continuously perfected as though it had been perfected pursuant to Section 1110 of this title. For completing the lien entry form and recording the security interest on the certificate of title, Service Oklaho ma or the licensed operator shall collect a fee of Three Dollars ($3.00) which shall be in addition to other fees provid ed by the Oklahoma Vehicle License and Registration Act. The fee, if coll ected by the licensed operator pursuant to this subsection, sh all be retained by the licensed operator. H. The charge for each certificate of title issued, except for junked titles as defined in paragraph 4 of subsection B of this section, shall be Eleven Dollars ($11.00), which charge shall be in addition to any other fees or taxes imposed by law for such vehicle. One Dollar ($1.00) of each such charge shall be deposited in the Oklahoma Tax Commission Reimbursement Fund through Dec ember 31, 2022, and beginning January 1, 2023, it shall be deposited in the Service Oklahoma Reimbursement Fund. However, the charge shall not apply to any vehicle which is to be registered in this state pursuant to the provisions of Section 1120 or 1133 of this title and which was registered in another state at least sixty (60) days prio r Req. No. 1117 Page 13 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 to the time it is required to be registered in this state. When an insurer requests a salvage or junk title in the na me of the insurer resulting from the settlement of a total loss claim and upon presentation of appropriate proof of loss documentation a s required by Service Oklahoma, such transfer may be processed as one title transaction, without first requiring issuanc e of a replacement certificate of title in the name of the vehicle owner. The fee shall be Twenty-two Dollars ($22.00). Two Dollars ($ 2.00) of this fee shall be deposited in the Oklahoma Tax Commission Reimbursement Fund. I. The vehicle identification n umber of a junked vehicle shall be preserved in the computer files of Serv ice Oklahoma for a period of not less than five (5) years. Th e charge of junked titles as defined in paragraph 4 of subsection B of this section shall be Four Dollars ($4.00). The fee remitted to the Tax Commission shall be deposited in the Oklahoma Tax Commission Reimbursement Fund through December 31, 2022, and b eginning January 1, 2023, this fee shall be deposited in the Service Oklahoma Reimbursement Fund. J. If a vehicle is so ld to a resident of another state destroyed, dismantled, or ceases to be u sed as a vehicle, the owner shall immediately notify Service O klahoma. Absent evidence to the contrary, failure to notify Service Oklahoma shall be prima facie evidence that the veh icle has been in continuous operation in this state. Req. No. 1117 Page 14 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 K. If a vehicle is s tolen, the owner shall immediately notify the appropriate law enforcement agency. Immediately after receiving such notification, the law enforcement agency shall notify Service Oklahoma. L. Except for all-terrain vehicles, utility vehicles and motorcycles used exclusively for off-road use, no title for an out - of-state vehicle, except any commercial truck or truck -tractor registered pursuant to Section 1120 of this title which is eng aged in interstate commerce or any trailer or semit railer registered pursuant to Section 1133 of this title which is engaged in interstate commerce, shall be issued without an inspection of such vehicle and payment of a fee of Four Dollars ($4.00) for such inspection; provided, Service Oklahoma may enter i nto reciprocal agreements with other states for such inspections to be performed at locations outside the boundaries of this state for vehicles which: 1. Are offered for sale at auction; 2. Have been solely used as vehicles for rent under the ownership of a licensed motor vehi cle dealer or a person engaged in the business of renting moto r vehicles; or 3. Have not been registered in this or any other state for more than one (1) year. The inspection shall include a comparison of the vehicle identification number on the vehicle w ith the number recorded on the ownership records and the recor ding of the actual odometer reading Req. No. 1117 Page 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 on the vehicle. The four -dollar fee shall be collected by the licensed operator or Service Oklahoma when the title is issued. The licensed operator shall re tain Two Dollars ($2.00). The remaining Two Dollars ($2.00) s hall be deposited in the Oklahoma Tax Commission Reimbursement Fund through December 31, 2022, and beginning January 1, 2023, this fee shall be deposited in the Service Oklahoma Reimbursement Fu nd. Service Oklahoma may allow the inspection to be performed at a location out-of-state by another state ’s department of motor vehicles or state police. M. No title for any out -of-state vehicle offered for sale at salvage pools, salvage disposal sales, o r an auction, or by a dealer or a licensed automotive dismantl er and parts recycler, shall be issued without unless an inspection has been conducted to compare the vehicle identification number on the vehicle with the number recorded on the ownership recor d and to record the actual odometer reading on the vehicle by a person employed thereby or a licensed operator. Upon request of the seller, person or entity conducting an auction, dealer or licensed dismantler, the inspection shall be conducted at the locatio n or place of business of the sale, auction, dealer, or the dismantler. The inspection shall be conducted by any licensed operator or a duly authorized employee thereof; provided, if If the vehicle identification number on the v ehicle offered for sale or at salvage pools, salvage disposal sales or a cl assic or Req. No. 1117 Page 16 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 antique auction does not match the number recorded on the ownership record, the an inspection may shall be conducted at the location of or place of business of such sale or auction by any state, county or city law enforcement officer or an agent of the National Insurance Crime Bureau at the location of or pl ace of business of such sale or auction or as specified by the state, county, or city law enforcement officer or agent of the National Insurance Crime Bureau . Service Oklahoma may enter into reciprocal agreements with other states for authorize such inspections to be performed at locations outside the boundaries of this state for vehicles which: 1. Are offered for sale a t auction; 2. Have been solely used as vehicles f or rent under the ownership of a licensed motor vehicle dealer or a person engaged in the business of renting motor vehicles; or 3. Have not been registered in this or any other state for more than one (1) year. The inspection shall be certified upon form s prescribed by Service Oklahoma. The name and other identification of the authorized person conducting the inspection shall be legibly printed or typed on the form. Prior to any inspection by any employe e of a licensed operator, the licensed operator sh all notify Service Oklaho ma of the name and any other identification information reques ted by Service Oklahoma of the authorized person. A signature specimen of the authorized person shall be submitted to Service Oklahoma by the Req. No. 1117 Page 17 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 employing licensed operato r. If the authorization to inspect vehicles is withdrawn or the employer -employee relationship is terminated, the licensed operator, immediately, shall notify Service Oklahoma and return any remaining insp ection forms to Service Oklahoma. The fee for the inspection performed by a licensed operator shall be Four Dollars ($4.00). The licens ed operator shall retain Three Dollars ($3.00) of the fee. The fee for an inspection performed by employees of salvage pools, salvage disposal sales, auctions, dealers, or licensed automotive dismantler and parts recyclers shall be One Dollar ($1.00) and shall not be retained but remitted to the state. Fees received by a licensed operator or an authorized employee thereo f shall be handled and accounted f or in the manner as prescribed by law for any other fees paid to or received by a licensed op erator. Out-of-state vehicles brought into this state by a person licensed in another state to sell new or used vehicles to be sold within this state at a motor v ehicle auction which is limited to dealer-to-dealer transactions shall not be required to be inspected, unless the vehicle is purchased by an Oklahoma dealer. Any person licensed in another state to sell new or used motor vehicles, who offers a motor vehi cle for sale within this state at a motor vehicle auction which is limited to dealer -to- dealer transactions, shall not be within the definition of “owner” in Section 1102 of this title, for purposes of Section 1101 et seq. of this title. If Service Oklahoma or another Ok lahoma agency Req. No. 1117 Page 18 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 issuing a license to a person authorized by this section to per form an inspection determines that a person has not com plied with this section, falsified an inspection form, or does not obtain an inspection if required, by any state, county, or city law enforcement officer or an agent of the National Insurance Crime Bureau, the person’s authority to perform an inspection under this section may be suspended or revoked , or the person’s license to conduct business may be suspended or revoked by the Oklahoma agency issuing such license. N. A licensed motor vehicle dealer, upon payment of a fee of Fifteen Dollars ($15.00), may reassign an out -of-state certificate of title to a used motor vehicle prov ided such dealer obtains the appropriate inspectio n form required by either subsection L or M of this section and attaches the form to the out-of-state certificate of title. Licensed operators shall be allowed to retain Two Dollars and twenty-five cents ($2.25) of the fee plus an additional Two Dollars ($2.00) or Three Dollars ($3.00) as provided in subsections L and M of this section for performance of the inspection. Two Dollars ($2.00) of the fee shall be deposited in the Service Oklahoma Reimbursement Fund. An out-of-state vehicle which has been rebuilt shall be inspected pursuant to the provisions of Sect ion 1111 of this title. Service Oklahoma shall train licensed operators in interpreting vehicle identification numbers to assure that it accurately describes the vehicle and to detect rollback or Req. No. 1117 Page 19 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 alteration of the odometer. Failure of a licensed operator to inspect the vehicle and make the required notations shall be a misdemeanor punishable by a fine of not more than One Thousand Dollars ($1,000.00) for the first offense and Five Thousand Dollars ($5,000.00) for the second offense or subsequent offense, or by imprisonment in the county jail for not more than six (6) months, or by both such fine and imprisonment. O. The ownership of any unrecovered vehicle which has been declared a total loss by an insurer because of theft shall be transferred to the insu rer by an unrecovered-theft vehicle title; provided, the ownership of any such vehicle which has been declared a total loss by an insurer licensed b y the Insurance Department of the State of Oklahom a and maintaining a multi-state motor vehicle salvage processing center in this state shall be transferred to the insurer by a salvage or an unrecovered -theft title without the requirement of a visual inspe ction of the vehicle identification number by the insurer. Upon recovery of the vehicle, the ownership shall be transferred by an original title, salvage title, or junked title, as may be appropriate based upon an estimate of the amount of loss submitted by the insurer. P. When an insurance company make s a total loss settlement on a total loss vehicle and the insurance company or a salvage pool authorized by the insurance company is unable to obtain the properly endorsed certificate of ownership or other evidence of ownership Req. No. 1117 Page 20 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 acceptable to Service Oklaho ma within thirty (30) days following acceptance by the own er of an offer of an amount in settlement of a total loss, that insurance company or salvage pool, on a form provided by Service Oklahoma and signed under penalty of perjury, may request Service Okl ahoma to issue the applicable salvage title for the vehicle. The request shall include information declaring that the requester has made at least two written attempts to obtain the certificate of ownership or other acceptable evidence of title. Q. The owner of any vehicle which is incapable of operation or use on the public roads and has no resale value, except as parts, scrap or junk, may deliver the certificate of title to the vehicle to Service Oklahoma for cancellation. Upon verification that any perfected lien against the vehicle has been released, the certificate of title shall be canceled without any fee, charge, or cost required from the owner. The vehicle identification numbers on the certificates of title shall be preserved in the computer file s of Service Oklahoma for at least five (5) years from the date of cancellation of the certificate of title. Service Oklahoma shall prescribe and provide an affidavit form to be completed by the owner of any vehicle for which the certificate of title is c anceled. No title or registration shall subsequently be i ssued for a vehicle for which the certificate of title has been surrendered pursuant to this subsection. Service Oklahoma shall prescribe a form fo r the Req. No. 1117 Page 21 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 transfer of ownership of a vehicle for which the certificate of title has been canceled. R. The owner of a vehicle which is not within the last ten (10) model years, not roadworthy and not capable of repair for operation or use on the roads and high ways, or a vehicle which is being sold to a scrap metal dealer pursuant to Section 11-92 of Title 2 of the Oklahoma Statutes, shall transfer the vehicle only upon a certificate of ownership prescribed by Service Oklahoma, if the certificate of title to the vehicle is lost, has been canceled, or otherwise not available. The prescribed ownership form shall include the names and addresses of the buyer and seller, the driver license number or Social Security number of the seller, the make and model of the vehicle, and the public vehicle identification number. If there is no public vehicle identification number, the vehicle shall be inspected by a law enforcement officer to verify the absence of the number on the vehicle and the prescribed ownership form shall include a signed statement, by such officer, verif ying the absence of the number. The certificate of ownersh ip shall be completed in triplicate. The buyer and seller shall each retain a copy. Within thirty (30) days of the transaction, the seller shall s ubmit one copy to Service Oklahoma or a licensed o perator accompanied with a fee of Four Dollars ($4.00). One Dollar ($1.00) shall be retained by the licensed operator and Three Dollars ($3.00) shall be deposited in Req. No. 1117 Page 22 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 the Oklahoma Tax Commission Reimburseme nt Fund in the State Treasury through December 31, 2022, and beginning January 1, 2023, this fee shall be deposited in the Service Oklahoma Reimbursement Fund. Upon receipt of the certificate, Service Oklahoma shall verify that any perfected lien upon the vehicle has been released. If the lien is not released, Service Oklahoma shall mail notice of the transfer to the lienholder at the lienholder’s last-known address. If a certificate of title has been issued, it shall be canceled and the vehicle identific ation number shall be preserved in the computer of Service Oklahoma for at least five (5) years. The buyer of the vehicle may not be sued and shall not be liable for monetary damages to the lienholder, however, the vehicle shall be subject to a valid repossession by a lienholder. S. Service Oklahoma sha ll notify the chief administrative officer of the agency o r department responsible for issuing motor vehicle certificates of title in each state in the United States of the types of motor vehicle certificat e of title effective in Oklahoma on and after Janu ary 1, 1989. T. When registering for the first time in th is state a remanufactured vehicle which has not been registered in any other state since its remanufacture, before issuing a certificate of title, Service Oklahoma shall require the applicant to del iver a statement of origin from the remanufacturer. Req. No. 1117 Page 23 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 U. If a vehicle is sold to a foreign buyer pursuant to the provisions of the Automotive Dismantlers and Parts Recycler Act, the licensed seller shall sta mp the title with: “EXPORT ONLY. NONTRANSFERABLE IN THE UNITED STATES.” The licensed seller shall supply Service Oklahoma the title number, the vehicle identification number and the foreign buyer ’s bid identification number on a form prescribed by Service Oklahoma. Service Oklahoma shall cancel the title, and the vehicle identification number shall be preser ved in the computer files of Service Oklahoma for a period of not less than five (5) years. V. Service Oklahoma shall not be considered a necessary party to any lawsuit which is instigated for the purpose of determining ownership of a vehicle, wherein Ser vice Oklahoma’s only involvement would be to issue title, and the court shall issue an order dismissing Service Oklahoma from the pending action. I n the event no other party or lienholder can be id entified as to ownership or claim, Service Oklahoma shall accept an affidavit of ownership from the party claiming ownership and issue proper title thereon. SECTION 2. This act shall become effective November 1, 2023. 59-1-1117 JES 1/19/2023 1:18:37 PM