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5 | 5 | | 2025 -- S 0931 |
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6 | 6 | | ======== |
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7 | 7 | | LC002654 |
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8 | 8 | | ======== |
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9 | 9 | | S T A T E O F R H O D E I S L A N D |
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10 | 10 | | IN GENERAL ASSEMBLY |
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11 | 11 | | JANUARY SESSION, A.D. 2025 |
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12 | 12 | | ____________ |
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13 | 13 | | |
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14 | 14 | | A N A C T |
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15 | 15 | | RELATING TO MOTOR AN D OTHER VEHICLES -- ELECTRONIC REGISTRATION AND |
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16 | 16 | | TITLING |
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17 | 17 | | Introduced By: Senators Britto, Bissaillon, Ciccone, Gu, DiPalma, and Thompson |
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18 | 18 | | Date Introduced: March 28, 2025 |
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19 | 19 | | Referred To: Senate Special Legislation and Veterans Affairs |
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20 | 20 | | |
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21 | 21 | | |
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22 | 22 | | It is enacted by the General Assembly as follows: |
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23 | 23 | | SECTION 1. Title 31 of the General Laws entitled "MOTOR AND OTHER VEHICLES" 1 |
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24 | 24 | | is hereby amended by adding thereto the following chapter: 2 |
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25 | 25 | | CHAPTER 3.4 3 |
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26 | 26 | | ELECTRONIC REGISTRATION AND TITLING 4 |
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27 | 27 | | 31-3.4-1. Short title. 5 |
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28 | 28 | | This chapter shall be known and may be cited as "Electronic Registration and Titling". 6 |
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29 | 29 | | 31-3.4-2. Implementation. 7 |
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30 | 30 | | (a) On or before July 1, 2026, the division of motor vehicles ("division") shall implement 8 |
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31 | 31 | | electronic lien, electronic titling and electronic registration systems that enable the ability to 9 |
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32 | 32 | | transact through a completely electronic process for: 10 |
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33 | 33 | | (1) All business entities and their service providers applying for automotive titles and 11 |
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34 | 34 | | registrations, for themselves or their customers, 12 |
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35 | 35 | | (2) Electronic submission of liens and lien satisfactions by financial institutions and their 13 |
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36 | 36 | | service providers. 14 |
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37 | 37 | | (b)(1) Any application for registration certificate or certificate of title, as described in § 31-15 |
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38 | 38 | | 3.1-1, may be electronically transmitted to the division. All registration certificates or certificates 16 |
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39 | 39 | | of title, as described in § 31-3.1-1, shall be applied for electronically, unless the applications are 17 |
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40 | 40 | | submitted by a business entity who submits fewer than twenty-five (25) transactions annually. 18 |
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42 | 42 | | |
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43 | 43 | | LC002654 - Page 2 of 5 |
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44 | 44 | | (2) Any lien or security interest as described in § 31-3.1-16.1 may be electronically 1 |
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45 | 45 | | transmitted to the division: 2 |
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46 | 46 | | (i) Notwithstanding any other requirements in this title that a lien on a motor vehicle shall 3 |
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47 | 47 | | be noted on the face of the certificate of the title, if there are one or more liens or encumbrances on 4 |
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48 | 48 | | the motor vehicle, the division shall electronically transmit the lien to the first lienholder and notify 5 |
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49 | 49 | | the first lienholder of any additional liens. 6 |
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50 | 50 | | (ii) Subsequent lien satisfactions shall be electronically transmitted to the division and shall 7 |
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51 | 51 | | include the name and address of the person satisfying the lien. 8 |
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52 | 52 | | (iii) When electronic transmission of liens and lien satisfactions are used, a certificate of 9 |
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53 | 53 | | title need not be issued until the last lien is satisfied and a clear certificate of title is issued to the 10 |
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54 | 54 | | owner of the vehicle. 11 |
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55 | 55 | | (iv) When a vehicle is subject to an electronic lien, the certificate of title for the vehicle 12 |
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56 | 56 | | shall be considered to be physically held by the lienholder for purposes of compliance with state or 13 |
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57 | 57 | | federal odometer disclosure requirements. 14 |
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58 | 58 | | (v) A duly certified copy of the division’s electronic record of the lien shall be admissible 15 |
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59 | 59 | | in any civil, criminal or administrative proceeding in this state as evidence of the existence of the 16 |
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60 | 60 | | lien. 17 |
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61 | 61 | | (c) On and after July 1, 2027, all business entities shall participate pursuant to the 18 |
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62 | 62 | | provisions of subsection (b) of this section unless otherwise exempt pursuant to the provisions of 19 |
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63 | 63 | | this chapter or the rules and regulations promulgated by the division. 20 |
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64 | 64 | | 31-3.4-3. Secure digital vehicle titles. 21 |
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65 | 65 | | (a) On or before July 1, 2026, the division shall implement a system that offers vehicle title 22 |
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66 | 66 | | holders a fully paperless, secure digital vehicle title as opposed to a secure paper vehicle title. 23 |
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67 | 67 | | (b) Once implemented, the secure digital title and the secure digital title system shall: 24 |
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68 | 68 | | (1) Include all functions related to title re-assignments. 25 |
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69 | 69 | | (2) Meet or exceed applicable security requirements as set forth in regulations promulgated 26 |
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70 | 70 | | by the division. 27 |
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71 | 71 | | (3) Provide title holders with online, real-time access to motor vehicle titles and status of 28 |
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72 | 72 | | titles in process. 29 |
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73 | 73 | | (c) A secure digital vehicle title produced under this statute shall be regarded as an official 30 |
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74 | 74 | | vehicle title from the State of Rhode Island and be fully transactable within the State of Rhode 31 |
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75 | 75 | | Island and all other U.S. jurisdictions. 32 |
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76 | 76 | | (d) A duly certified copy of the division's secure digital vehicle title shall be admissible in 33 |
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77 | 77 | | any civil, criminal, or administrative proceeding in this state as evidence of the existence of the 34 |
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78 | 78 | | |
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79 | 79 | | |
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80 | 80 | | LC002654 - Page 3 of 5 |
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81 | 81 | | title. 1 |
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82 | 82 | | 31-3.4-4. Fees. 2 |
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83 | 83 | | (a) Notwithstanding any general law to the contrary, the division may authorize a per-3 |
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84 | 84 | | transaction fee to be assessed for the use of electronic lien, electronic titling, electronic registration 4 |
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85 | 85 | | and secure digital vehicle titling systems as described in this chapter. 5 |
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86 | 86 | | (b) The per-transaction fee: 6 |
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87 | 87 | | (1) Shall be consistent with market pricing for costs associated with the development and 7 |
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88 | 88 | | ongoing management, maintenance and enhancement of the systems outlined in this chapter. 8 |
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89 | 89 | | (2) Shall integrate with current division payment service provider(s) 9 |
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90 | 90 | | 31-3.4-5. Rules and regulations. 10 |
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91 | 91 | | The administrator of the division of motor vehicles shall promulgate rules and regulations 11 |
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92 | 92 | | to implement the provisions of this chapter. 12 |
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93 | 93 | | SECTION 2. Section 31-23.2-6 of the General Laws in Chapter 31-23.2 entitled 13 |
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94 | 94 | | "Tampering with Odometers" is hereby amended to read as follows: 14 |
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95 | 95 | | 31-23.2-6. Transfer of vehicle. 15 |
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96 | 96 | | (a) Any sales agreement for the transfer of a motor vehicle between persons as defined in 16 |
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97 | 97 | | this chapter shall contain the words “both buyer and seller have examined the title certificate of this 17 |
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98 | 98 | | motor vehicle and it correctly reflects the mileage as it appears on the odometer” which shall be 18 |
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99 | 99 | | placed conspicuously and prominently on the agreement. 19 |
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100 | 100 | | (b) It shall be unlawful for any person to transfer ownership of a motor vehicle previously 20 |
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101 | 101 | | registered in this state or a motor vehicle used by a dealer as a demonstrator unless the person: 21 |
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102 | 102 | | (1) Enters on a written or electronic form prescribed by the department of revenue, as 22 |
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103 | 103 | | prescribed by state law, the mileage the motor vehicle has been operated. The form shall be signed 23 |
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104 | 104 | | by both the seller and buyer and contain a statement that both parties have viewed the odometer of 24 |
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105 | 105 | | the motor vehicle. The form as completed shall then be attached to the instrument evidencing 25 |
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106 | 106 | | transfer of ownership; or 26 |
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107 | 107 | | (2) Enters upon the form “not actual mileage” in the event that the odometer mileage is 27 |
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108 | 108 | | known to the person to be less than the motor vehicle has actually traveled; or 28 |
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109 | 109 | | (3) Enters the total cumulative mileage on the form in the event that it is known that the 29 |
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110 | 110 | | mileage indicated on the odometer is beyond its designated mechanical limits; 30 |
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111 | 111 | | (4) Enters the same information as set forth in subdivisions subsections (1) through (3) of 31 |
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112 | 112 | | this subsection section on the owner’s title certificate; and 32 |
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113 | 113 | | (5) The owner of a motor vehicle shall supply its mileage upon the annual renewal 33 |
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114 | 114 | | registration form supplied by the division of motor vehicles. 34 |
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116 | 116 | | |
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117 | 117 | | LC002654 - Page 4 of 5 |
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118 | 118 | | (c) It shall be a violation of this chapter for any person to give a false statement to a 1 |
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119 | 119 | | transferee under the provisions of this section; provided, however, that no person shall be in 2 |
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120 | 120 | | violation of this chapter where a vehicle has been resold in reliance on the required statement of 3 |
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121 | 121 | | the prior owner made pursuant to this section. 4 |
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122 | 122 | | (d) No motor vehicle, previously registered in another state, shall be registered for use in 5 |
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123 | 123 | | this state unless the application for a certificate of title in Rhode Island is accompanied by the prior 6 |
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124 | 124 | | owner’s certificate of title and a form as set forth in subdivision subsection (b)(1) of this section. 7 |
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125 | 125 | | (e) The certificate of title of the motor vehicle issued to the new owner by the state of 8 |
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126 | 126 | | Rhode Island shall: 9 |
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127 | 127 | | (1) Be provided electronically, or printed using a process determined by the director to be 10 |
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128 | 128 | | the most efficient and effective means of avoiding unauthorized duplication; 11 |
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129 | 129 | | (2) Indicate on its face the mileage required to be disclosed by the transferor under 12 |
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130 | 130 | | subsections (b)(1) and (d) of this section; and 13 |
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131 | 131 | | (3) Contains a space for the transferee to disclose the mileage at the time of any future 14 |
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132 | 132 | | transfer and to sign and date the disclosure. 15 |
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133 | 133 | | (f) No registration card may be issued in this state for any motor vehicle unless: 16 |
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134 | 134 | | (1) The application for the registration card contains the prior owner’s most recent 17 |
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135 | 135 | | registration card and the prior owner’s title; and 18 |
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136 | 136 | | (2) The new registration card contains such information as provided on the application. 19 |
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137 | 137 | | (g) Pursuant to the provisions of § 42-127.1-7, any form required pursuant to the provisions 20 |
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138 | 138 | | of this section may be signed electronically and shall not require notarization. 21 |
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139 | 139 | | SECTION 3. This act shall take effect on July 1, 2026. 22 |
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141 | 141 | | LC002654 |
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144 | 144 | | |
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145 | 145 | | LC002654 - Page 5 of 5 |
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146 | 146 | | EXPLANATION |
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147 | 147 | | BY THE LEGISLATIVE COUNCIL |
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148 | 148 | | OF |
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149 | 149 | | A N A C T |
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150 | 150 | | RELATING TO MOTOR AN D OTHER VEHICLES -- ELECTRONIC REGISTRATION AND |
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151 | 151 | | TITLING |
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152 | 152 | | *** |
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153 | 153 | | This act would establish a system of electronic registration and titling of motor vehicles. 1 |
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154 | 154 | | Rules and regulations to implement the provisions of this chapter would be promulgated by the 2 |
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155 | 155 | | administrator of the division of motor vehicles. 3 |
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156 | 156 | | This act would take effect on July 1, 2026. 4 |
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158 | 158 | | LC002654 |
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