MI SB0331

Defines "dealer" as any person or motor vehicle repair facility engaged in repeated transactions buying or receiving used motor vehicle parts from non-licensees, excluding scrap metal processors and automotive recyclers.

Requires dealers to maintain permanent duplicate transaction records in ink on prescribed forms, including vehicle identification number, part description, customer identification with thumbprint, price paid, and payment method.

Restricts payment for used motor vehicle tires, tire wheels, rims, and continuous tire tread to checks, money orders, bank drafts, or electronic transfers to a financial institution, with mailed payments required for physical payment instruments.

Allows local police and Michigan state police to inspect dealer transaction records during business hours; requires dealers to retain records for at least 1 year and transmit them to local police before closing or relocating.

Establishes penalties of up to 1 year imprisonment or $1,000 fine for first violations, and up to 2 years imprisonment or $5,000 fine for subsequent violations of record-keeping and payment requirements.