Bill > HF894

This bill updates the legal procedures for releasing liens on snowmobiles, all-terrain vehicles (ATVs), and water vessels in Iowa. Specifically, the bill adds a new subsection to three different sections of the Iowa Code (321G.32 for snowmobiles, 321I.34 for ATVs, and 462A.84 for water vessels) that establishes a standardized process for documenting lien releases. Under the new provision, when a lienholder releases a lien, the owner can present proof of that release to any county recorder. The county recorder is then required to both note the lien release on the face of the vehicle's certificate of title and enter the release information into the statewide computer system. This change will make it easier for vehicle owners to demonstrate that a previous financial encumbrance on their vehicle has been removed, potentially simplifying title transfers and providing clearer documentation of ownership status. The bill is set to take effect on July 1, 2025, and applies uniformly across different types of recreational vehicles and watercraft.

Government Affairs

Local Government (House)

https://www.legis.iowa.gov/legislation/BillBook?ga=91&ba=HF894