HB179 Summary

• Clarifies definitions of "new vehicle" and "used vehicle" in Alabama motor vehicle title law, with new vehicles defined as those never subject to first sale by a new car dealer and including dealer inventory and returned customer vehicles.

• Establishes a $15 fee for each motor vehicle title transaction (applications, replacements, corrections, security interests) with designated agents retaining $1.50 commission per transaction; sets $5 fee for motor vehicle records provided electronically with 50% distributed to State General Fund.

• Requires physical inspection of most motor vehicles by license plate issuing officials before registration, with exceptions for utility trailers, 1975+ model year dealer-owned vehicles, and certain special registrations.

• Standardizes surety bond values for title issuance when ownership is questionable, authorizing the department to establish uniform bond amounts equal to one and one-half times vehicle value.

• Authorizes the Department of Revenue to establish alternative methods for releasing security interests when a lienholder is no longer in business and allows the department to prescribe payment methods for fees and record privacy procedures.