HB509 Summary

• Allows vehicle owners to transfer motor vehicles worth $1,000 or less and at least 12 model years old to licensed automotive dismantlers, parts recyclers, or secondary metals recyclers without a title by providing a sworn statement with vehicle ownership, value, and identifying information.

• Requires automotive dismantlers and parts recyclers to electronically submit the owner's statement to the Department of Revenue within 72 hours and maintain records of all vehicles acquired for at least five years, including vehicle identification numbers and seller information.

• Establishes an electronic lien verification system operated by the Department of Revenue that automotive dismantlers and parts recyclers must use before acquiring vehicles to verify the vehicle is not stolen and has no recorded liens, with fees of $5 per submittal or $500 annually.

• Creates criminal penalties of Class C felony for knowingly falsifying statements or selling vehicles with unsatisfied liens; authorizes law enforcement to seize and forfeit vehicles and equipment used in illegal sales.

• Adds Section 32-8-64.2 providing that liens on vehicles 12 or more model years old are automatically satisfied after five years unless renewed, and requires electronic lien releases within 10 days of satisfaction.