Bill
Bill > HF357
IA HF357
A bill for an act relating to the acquisition of certain vehicles by a vehicle recycler, and making penalties applicable.
summary
Introduced
02/12/2025
02/12/2025
In Committee
02/12/2025
02/12/2025
Crossed Over
Passed
Dead
Introduced Session
91st General Assembly
Bill Summary
Under current law, the purchaser or transferee of a motor vehicle sold for scrap or junk is required to surrender the certificate of title, properly endorsed and signed by the previous owner, to a county treasurer, and apply for a junking certificate from the county treasurer, within 30 days after assignment of the certificate of title. However, a vehicle owner may dispose of the vehicle to a vehicle recycler licensed under Code chapter 321H (vehicle recyclers) for scrap or junk without presenting a certificate of title or a junking certificate if the vehicle is 12 model years old or older and is acquired by the vehicle recycler for reasonable consideration equaling less than $1,000. This bill prohibits a licensed vehicle recycler from acquiring such a vehicle unless the recycler verifies that there is not a lienholder who has a security interest in the vehicle. By operation of law, a violation of the bill is a simple misdemeanor punishable by a scheduled fine of $135.
AI Summary
This bill modifies existing law regarding vehicle recyclers and the disposal of older vehicles. Currently, vehicle owners can sell vehicles that are 12 model years or older to licensed vehicle recyclers for scrap or junk without presenting a title or junking certificate, as long as the sale price is less than $1,000. The bill adds a new requirement that before acquiring such a vehicle, the recycler must first verify that no lienholder (a party with a legal financial claim on the vehicle) has a security interest in the vehicle. This verification step is designed to prevent the unauthorized disposal of vehicles that may still have outstanding financial obligations. If a vehicle recycler fails to perform this verification, they would be committing a simple misdemeanor, which carries a standard fine of $135. The bill aims to add an extra layer of protection for vehicle owners and lienholders by ensuring that vehicles are not scrapped without proper confirmation of ownership and financial status.
Committee Categories
Transportation and Infrastructure
Sponsors (1)
Last Action
Introduced, referred to Transportation. H.J. 305. (on 02/12/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.legis.iowa.gov/legislation/BillBook?ga=91&ba=HF357 |
| BillText | https://www.legis.iowa.gov/docs/publications/LGI/91/attachments/HF357.html |
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