IA HF54

Amends Iowa Code Section 322.3 to create a new exception allowing manufacturers of battery electric vehicles (BEVs) to obtain motor vehicle dealer licenses to sell their own vehicles directly to consumers

Currently, Iowa law prohibits motor vehicle manufacturers from being licensed as dealers, owning an interest in dealerships, or controlling dealerships, with only limited exceptions

The exception applies only to battery electric vehicles, defined as vehicles with electrical drivetrains, no internal combustion engine, propelled exclusively by electric motors using rechargeable battery storage

Selling motor vehicles without a DOT-issued dealer license constitutes a simple misdemeanor punishable by a fine of $250 to $1,500 or up to 30 days imprisonment

Under existing DOT rules, selling more than six motor vehicles at retail within a 12-month period presumes the person is engaged in the business of selling vehicles and requires licensing