Bill Text: IA SF2262 | 2017-2018 | 87th General Assembly | Enrolled

Iowa Senate Bill 2262 (Prior Session Legislation)

Bill Title: A bill for an act relating to final-stage motor vehicle manufacturers. (Formerly SSB 3132.) Effective 7-1-18.

Spectrum: Committee Bill

Status: (Passed) 2018-03-15 - Signed by Governor. S.J. 698. [SF2262 Detail]

Download: Iowa-2017-SF2262-Enrolled.html

Senate File 2262 - Enrolled

SENATE FILE
BY COMMITTEE ON COMMERCE

(SUCCESSOR TO SSB
3132)
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A BILL FOR
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Senate File 2262

AN ACT
RELATING TO FINAL=STAGE MOTOR VEHICLE MANUFACTURERS.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
Section 1. Section 321.1, subsection 37, Code 2018, is
amended to read as follows:
37. "Manufacturer" means every person engaged in the
business of fabricating or assembling vehicles of a type
required to be registered. "Manufacturer" does not include
a person who converts, modifies, or alters a completed
motor vehicle manufactured by another person or a person who
assembles a glider kit vehicle. "Manufacturer" includes a
person who uses a completed motor vehicle manufactured by
another person to construct a class "B" motor home as defined
in section 321.124. "Manufacturer" also includes a final=stage
manufacturer as defined in section 322.2.
Sec. 2. Section 322.2, Code 2018, is amended by adding the
following new subsections:
NEW SUBSECTION. 10A. "Final=stage manufacturer" means
a person who performs such manufacturing operations on an
incomplete motor vehicle that it becomes a completed motor
vehicle.
NEW SUBSECTION. 11A. "Incomplete motor vehicle" means
an assemblage consisting, at a minimum, of frame and chassis
structure, power train, steering system, suspension system,
and braking system to the extent that those systems are to
be part of a completed motor vehicle, that requires further
manufacturing operations, other than the addition of readily
attachable components, such as mirrors or tire and rim
assemblies, or minor finishing operations such as painting, to
become a completed motor vehicle.
NEW SUBSECTION. 11B. "Incomplete motor vehicle manufacturer"
means a person who manufactures an incomplete motor vehicle
by assembling components none of which, taken separately,
constitute a completed motor vehicle.
NEW SUBSECTION. 14A. "Multi=stage manufactured vehicle"
means a motor vehicle built in two or more stages in which
an incomplete motor vehicle, built by one manufacturer, is
completed by another manufacturer who adds cargo carrying
components or other components to the vehicle.
Sec. 3. Section 322.2, subsection 12, Code 2018, is amended
to read as follows:
12. "Manufacturer" means any person engaged in the business
of fabricating or assembling motor vehicles. "Manufacturer"
does not include a person who converts, modifies, or alters a
completed motor vehicle manufactured by another person or a
person who assembles a glider kit vehicle as defined in section
321.1. "Manufacturer" includes a person who uses a completed
motor vehicle manufactured by another person to construct
a class "B" motor home as defined in section 321.124 or a
motorsports recreational vehicle as defined in section 321.1.
"Manufacturer" also includes a final=stage manufacturer.
Sec. 4. Section 322.3, subsection 1, Code 2018, is amended
to read as follows:
1. A person shall not engage in this state in the
business of selling at retail new motor vehicles of any
make or represent or advertise that the person is engaged or
intends to engage in such business in this state unless the
person is authorized to do so by a contract in writing with
the manufacturer or distributor of such make of new motor
vehicles and unless the department has licensed the person
as a motor vehicle dealer in this state in motor vehicles of
such make and has issued to the person a license in writing as
provided in this chapter. Notwithstanding the prohibitions
in this subsection, a final=stage manufacturer of multi=stage
manufactured vehicles that holds a used motor vehicle
dealer license issued pursuant to this chapter may assign an
incomplete motor vehicle's manufacturer's statement of origin
to a retail buyer for purposes of issuance of a certificate of
title by a county treasurer as a new motor vehicle with the
same make as the incomplete motor vehicle without holding a new
motor vehicle dealer license and without paying any associated
motor vehicle registration fees. A licensed dealer in new
motor vehicles may also assign an incomplete motor vehicle's
manufacturer's statement of origin in the same manner as
provided in this subsection.
Sec. 5. Section 322.3, subsection 14, Code 2018, is amended
by adding the following new paragraph:
NEW PARAGRAPH. f. A final=stage manufacturer of multi=stage
manufactured vehicles from being licensed as a used motor
vehicle dealer or from assigning an incomplete motor vehicle's
manufacturer's statement of origin to a retail buyer for
purposes of issuance of a certificate of title by a county
treasurer as a new motor vehicle with the same make as the
incomplete motor vehicle without holding a new motor vehicle
dealer license and without paying any associated motor vehicle
registration fees. This paragraph shall not be construed
to authorize a manufacturer or incomplete motor vehicle
manufacturer to directly sell at retail incomplete or completed
motor vehicles to a retail buyer except as provided in this
subsection.

JACK WHITVER

LINDA UPMEYER

W. CHARLES SMITH

KIM REYNOLDS

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