HB 1188-1_ Filed 03/04/2010, 18:14
Adopted 3/5/2010
CONFERENCE COMMITTEE REPORT
DIGEST FOR EHB 1188
Citations Affected: IC 9-13-2; IC 9-17-8-8; IC 9-18-26; IC 9-22-3; IC 9-23-2; IC 9-28-5.1;
IC 9-29-5; IC 9-31-3-6; IC 27-8-9-7.
Synopsis: Various motor vehicle matters. Conference committee report for EHB 1188. Various
motor vehicle matters. Requires the secretary of state to adopt rules to establish research and
development license plates for use by manufacturers of vehicle subcomponent systems. Sets a
$20 fee for a research and development license plate. Requires the secretary of state to adopt
interim written guidelines regarding the classification of research and development license
plates. Revises language concerning the responsibility of the secretary of state related to vehicle
dealer services. Exempts certain persons that buy or sell motor vehicles from the requirement of
maintaining a bond satisfactory to the secretary of state by submitting to the secretary of state
evidence that the licensee is a member of a risk retention group regulated by the Indiana
department of insurance. Authorizes the bureau of motor vehicles to negotiate and enter into a
reciprocal agreement with a foreign country to facilitate the exchange of operator's licenses and
requires the bureau of motor vehicles to report annually to the general assembly regarding a
reciprocal agreement. Specifies that all coverage available to a passenger of a motor vehicle
under a motor vehicle owner's insurance policy is exhausted before any other insurance coverage
is available to the passenger. (This conference committee report: (1) adds a provision that
certain: (A) automobile auctioneers; (B) converter manufacturers; (C) dealers; (D)
distributors; (E) distributor branches; (F) distributor representatives; (G) factory
branches; (H) factory representatives; (I) manufacturers; (J) transfer dealers; (K)
wholesale dealers; and (L) automotive mobility dealers; that buy and sell motor vehicles
are exempt from the requirements of maintaining a bond satisfactory to the secretary of
state by submitting to the secretary of state evidence that the licensee is a member of a risk
retention group regulated by the Indiana department of insurance; (2) authorizes the
bureau of motor vehicles to negotiate and enter into a reciprocal agreement with a foreign
country to facilitate the exchange of operator's licenses and requires the bureau of motor
vehicles to report annually to the general assembly regarding a reciprocal agreement; and
(3) specifies that all coverage available to a passenger of a motor vehicle under a motor
vehicle owner's insurance policy is exhausted before any other insurance coverage is
available to the passenger.)
Effective: Upon passage; July 1, 2010.
CONFERENCE COMMITTEE REPORT
MADAM PRESIDENT:
Your Conference Committee appointed to confer with a like committee from the House
upon Engrossed Senate Amendments to Engrossed House Bill No. 1188 respectfully reports
that said two committees have conferred and agreed as follows to wit:
that the House recede from its dissent from all Senate amendments and that
the House now concur in all Senate amendments to the bill and that the bill
be further amended as follows:
Delete everything after the enacting clause and insert the following:
SOURCE: IC 9-13-2-42; (10)CC118803.1.1. -->
SECTION 1. IC 9-13-2-42, AS AMENDED BY P.L.147-2009,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2010]: Sec. 42. (a) "Dealer" means, except as otherwise
provided in this section, a person who sells to the general public,
including a person who sells directly by the Internet or other computer
network, at least twelve (12) vehicles each year for delivery in Indiana.
The term includes a person who sells off-road vehicles. A dealer must
have an established place of business that meets the minimum
standards prescribed by the bureau secretary of state under rules
adopted under IC 4-22-2.
(b) The term does not include the following:
(1) A receiver, trustee, or other person appointed by or acting
under the judgment or order of a court.
(2) A public officer while performing official duties.
(3) A person who is a dealer solely because of activities as a
transfer dealer.
(4) An automotive mobility dealer.
(c) "Dealer", for purposes of IC 9-31, means a person that sells to
the general public for delivery in Indiana at least six (6):
(1) boats; or
(2) trailers:
(A) designed and used exclusively for the transportation of
watercraft; and
(B) sold in general association with the sale of watercraft;
per year.
SOURCE: IC 9-13-2-97.5; (10)CC118803.1.2. -->
SECTION 2. IC 9-13-2-97.5 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
UPON PASSAGE]: Sec. 97.5. "Manufacturer of a vehicle
subcomponent system" means a manufacturer of a vehicle
subcomponent system essential to the operation of a motor vehicle.
The term includes a public or private university that is engaged in
the:
(1) research;
(2) development; or
(3) manufacture;
of a vehicle subcomponent system.
SOURCE: IC 9-17-8-8; (10)CC118803.1.3. -->
SECTION 3. IC 9-17-8-8, AS AMENDED BY P.L.147-2009,
SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2010]: Sec. 8. (a) Before obtaining a manufacturer's, a
converter manufacturer's, an automotive mobility dealer's, or a dealer's
license from the bureau, secretary of state, a person must agree to
allow a police officer or an authorized representative of the bureau
secretary of state to inspect:
(1) certificates of origin, certificates of title, assignments of
certificates of origin and certificates of title, or other proof of
ownership or evidence of right of possession as determined by the
secretary of state; and
(2) motor vehicles, semitrailers, or recreational vehicles that are
held for resale by the manufacturer, converter manufacturer,
automotive mobility dealer, or dealer;
in the manufacturer's, converter manufacturer's, automotive mobility
dealer's, or dealer's place of business during reasonable business hours.
(b) A certificate of title, a certificate of origin, and any other proof
of ownership described under subsection (a):
(1) must be readily available for inspection by or delivery to the
proper persons; and
(2) may not be removed from Indiana.
SOURCE: IC 9-18-26-2.5; (10)CC118803.1.4. -->
SECTION 4. IC 9-18-26-2.5 IS ADDED TO THE INDIANA CODE
AS A
NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
UPON PASSAGE]:
Sec. 2.5. (a) The secretary of state shall:
(1) issue a research and development license plate under this
chapter to a manufacturer of a vehicle subcomponent system;
and
(2) adopt rules under IC 4-22-2 to prescribe the general
conditions for the:
(A) application;
(B) issuance; and
(C) use;
of research and development license plates for manufacturers
of vehicle component systems.
(b) The fee for a research and development license plate for a
manufacturer of a vehicle subcomponent system is the fee under
IC 9-29-5-14.5.
(c) A research and development license plate for a manufacturer
of a vehicle subcomponent system shall be displayed in accordance
with IC 9-18-2-26.
SOURCE: IC 9-18-26-8; (10)CC118803.1.5. -->
SECTION 5. IC 9-18-26-8 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2010]: Sec. 8. Dealer-new,
dealer-used, and manufacturer license plates may be used without
restriction by a designee of a dealer or a designee of a manufacturer
under rules adopted by the bureau. secretary of state. The rules must
provide the following:
(1) The dealer or manufacturer is to be assessed and pay the
motor vehicle excise tax under IC 6-6-5 attributable to that part of
the total year that the designee operates the motor vehicle.
(2) The dealer or manufacturer shall report to the bureau
secretary of state the date of assignment to a designee, the
designee's name and address, and the date of termination of the
assignment within ten (10) days of the assignment or termination.
(3) The tax calculated in subdivision (1) shall be paid within
thirty (30) days of the termination of the assignment to the
designee or at the time the dealer or manufacturer purchases
license plates under this chapter.
SOURCE: IC 9-18-26-12; (10)CC118803.1.6. -->
SECTION 6. IC 9-18-26-12, AS AMENDED BY P.L.106-2008,
SECTION 11, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
UPON PASSAGE]: Sec. 12. A person who knowingly violates a rule
adopted by the secretary of state regarding the classification and use of
a dealer plate or the use of a research and development license plate
commits a Class A infraction.
SOURCE: IC 9-22-3-7; (10)CC118803.1.7. -->
SECTION 7. IC 9-22-3-7 IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2010]: Sec. 7. A business that is registered with
the department secretary of state as a dealer under IC 9-23 may
reassign a certificate of salvage title one (1) time without applying to
the bureau for the issuance of a new certificate of salvage title.
SOURCE: IC 9-22-3-20; (10)CC118803.1.8. -->
SECTION 8. IC 9-22-3-20 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2010]: Sec. 20. Unless otherwise
specified or required, the records required under section 19 of this
chapter shall be retained for a period of five (5) years from the date the
vehicle or major component part was acquired, in the form prescribed
by the bureau. secretary of state.
SOURCE: IC 9-22-3-21; (10)CC118803.1.9. -->
SECTION 9. IC 9-22-3-21 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2010]: Sec. 21. The records
required under section 19 of this chapter must be available to and
produced at the request of a police officer or an authorized agent of the
bureau secretary of state under this chapter.
SOURCE: IC 9-22-3-24; (10)CC118803.1.10. -->
SECTION 10. IC 9-22-3-24 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2010]: Sec. 24. The
bureau,
secretary of state, a police officer, or an agent of the
bureau secretary
of state or a police officer may enter upon the premises of a disposal
facility, insurance company, or other business dealing in salvage
vehicles during normal business hours to inspect a motor vehicle,
semitrailer, recreational vehicle, major component part, records,
certificate of title, and other ownership documents to determine
compliance with this chapter.
SOURCE: IC 9-23-2-2; (10)CC118803.1.11. -->
SECTION 11. IC 9-23-2-2, AS AMENDED BY P.L.147-2009,
SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2010]: Sec. 2. (a) An application for a license under this
chapter must:
(1) be accompanied by the fee required under IC 9-29-8;
(2) be on a form prescribed by the secretary of state;
(3) contain the information the secretary of state considers
necessary to enable the secretary of state to determine fully the
following information:
(A) The qualifications and eligibility of the applicant to
receive the license.
(B) The location of each of the applicant's places of business
in Indiana.
(C) The ability of the applicant to conduct properly the
business for which the application is submitted; and
(4) contain evidence of the a bond required in subsection (e).
(b) An application for a license as a dealer must show whether the
applicant proposes to sell new or used motor vehicles, or both.
(c) An applicant who proposes to use the Internet or other computer
network in aid of its sale of motor vehicles to consumers in Indiana,
which activities may result in the creation of business records outside
Indiana, shall provide the division with the name, address, and
telephone number of the person who has control of those business
records. The secretary of state may not issue a license to a dealer who
transacts business in this manner who does not have an established
place of business in Indiana.
(d) This subsection applies to an application for a license as a dealer
in a city having a population of more than ninety thousand (90,000) but
less than one hundred five thousand (105,000). The application must
include an affidavit from:
(1) the person charged with enforcing a zoning ordinance
described in this subsection; or
(2) the zoning enforcement officer under IC 36-7-4, if one exists;
who has jurisdiction over the real property where the applicant wants
to operate as a dealer. The affidavit must state that the proposed
location is zoned for the operation of a dealer's establishment. The
applicant may file the affidavit at any time after the filing of the
application. However, the secretary of state may not issue a license
until the applicant files the affidavit.
(e) A licensee shall maintain a bond satisfactory to the secretary of
state in the amount of twenty-five thousand dollars ($25,000), which
must:
(1) be in favor of the state; and
(2) secure payment of fines, penalties, costs, and fees assessed by
the secretary of state after notice, opportunity for a hearing, and
opportunity for judicial review, in addition to securing the
payment of damages to a person aggrieved by a violation of this
chapter by the licensee after a judgment has been issued.
(f) Service shall be made in accordance with the Indiana Rules of
Trial Procedure.
(g) Instead of meeting the requirement in subsection (e), a
licensee may submit to the secretary of state evidence that the
licensee is a member of a risk retention group regulated by the
Indiana department of insurance.
SOURCE: IC 9-23-2-11; (10)CC118803.1.12. -->
SECTION 12. IC 9-23-2-11, AS AMENDED BY P.L.184-2007,
SECTION 24, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2010]: Sec. 11. A person who ceases a business activity for
which a license was issued under this chapter shall do the following:
(1) Notify the secretary of state of the date that the business
activity will cease.
(2) Deliver all permanent dealer license plates and interim license
plates issued to the person to the bureau secretary of state within
ten (10) days of the date the business activity will cease.
SOURCE: IC 9-28-5.1; (10)CC118803.1.13. -->
SECTION 13. IC 9-28-5.1 IS ADDED TO THE INDIANA CODE
AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2010]:
Chapter 5.1. International Reciprocity
Sec. 1. To facilitate the exchange of driver's licenses, the bureau
shall negotiate and enter into a reciprocal agreement with a foreign
country. However, the bureau may not negotiate or enter into a
reciprocal agreement with a country that is listed as a state sponsor
of terrorism as determined by the Secretary of State of the United
States.
Sec. 2. A reciprocal agreement entered into under section 1 of
this chapter must authorize the bureau to enter into a written
agreement with a foreign country to waive one (1) or more of the
examination requirements under IC 9-24 for obtaining an
operator's license from this state.
Sec. 3. A written reciprocity agreement entered into under
section 2 of this chapter must require an applicant from the foreign
country for an operator's license to possess:
(1) a valid operator's license or the equivalent from the
foreign country; or
(2) an international driving permit.
Sec. 4. The bureau shall report annually in an electronic format
under IC 5-14-6 regarding reciprocal agreements entered into
under this chapter to the general assembly before February 1 of
each year.
Sec. 5. The bureau shall adopt rules under IC 4-22-2 to carry
out this chapter.
SOURCE: IC 9-29-5-14.5; (10)CC118803.1.14. -->
SECTION 14. IC 9-29-5-14.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE UPON PASSAGE]: Sec. 14.5. The fee for a research
and development license plate for a manufacturer of a vehicle
subcomponent system under IC 9-18-26-2.5(a) is twenty dollars
($20). There is no fee in addition to the regular registration fee for
a research and development license plate for a manufacturer of a
vehicle subcomponent system.
SOURCE: IC 9-29-5-43; (10)CC118803.1.15. -->
SECTION 15. IC 9-29-5-43, AS AMENDED BY P.L.106-2008,
SECTION 33, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2010]: Sec. 43. (a) Except as otherwise provided by this
chapter, subsection (b), subsection (c), and IC 9-29-1-2, registration
fees collected under this chapter shall be paid into the state general
fund for credit to the motor vehicle highway account.
(b) Fees collected under this chapter for license plates issued under
IC 9-18-26 by the secretary of state shall be deposited as follows:
(1) Thirty percent (30%) to the dealer compliance account
established by IC 9-23-2-18.
(2) Seventy percent (70%) to the motor vehicle highway account.
(c) Notwithstanding subsection (b), fees collected under this
chapter for interim license plates issued under IC 9-18-26-10 by the
secretary of state shall be deposited as follows:
(1) Ninety percent (90%) to the dealer compliance account
established by IC 9-23-2-18.
(2) Ten percent (10%) to the motor vehicle highway account.
SOURCE: IC 9-31-3-6; (10)CC118803.1.16. -->
SECTION 16. IC 9-31-3-6, AS AMENDED BY P.L.106-2008,
SECTION 39, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2010]: Sec. 6. (a) The secretary of state shall furnish
temporary permits and registration forms to a registered dealer upon
request.
(b) A plate or card described in subsection (a) must display the
following information:
(1) The dealer's license number.
(2) The date of purchase, plainly stamped or stenciled on the plate
or card.
(c) A temporary permit may not be used or displayed unless the
plate or card is furnished by the bureau. secretary of state.
(d) A dealer who authorizes the use of a temporary permit under this
section does not assume responsibility or incur liability for injury to a
person or property during the period the temporary permit is in effect.
SOURCE: IC 27-8-9-7; (10)CC118803.1.17. -->
SECTION 17. IC 27-8-9-7, AS AMENDED BY P.L.74-2009,
SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2010]: Sec. 7. (a) This section does not apply to cases covered
by section 10 or 11 of this chapter.
(b) In any case arising from a permittee's use of a motor vehicle for
which the owner of the vehicle has motor vehicle insurance coverage,
the owner's motor vehicle insurance coverage is considered primary if
both of the following apply:
(1) The vehicle, at the time damage occurred, was operated with
the permission of the owner of the motor vehicle.
(2) The use was within the scope of the permission granted.
(c) The permittee may not recover under any other motor vehicle
insurance coverage available to the permittee until the limit of all
coverage provided by the owner's policy is first exhausted.
(d) In a case arising from an owner's use of a motor vehicle for
which the owner of the vehicle has motor vehicle insurance coverage,
the owner's motor vehicle insurance policy is considered primary for
any claim made by a passenger in the motor vehicle.
(e) A passenger in a motor vehicle at the time a case described in
subsection (b) or (d) arises may not recover under any other motor
vehicle insurance coverage available to the passenger until the limit of
all coverage
provided by available to the passenger under the owner's
motor vehicle insurance policy is first exhausted.
SOURCE: ; (10)CC118803.1.18. -->
SECTION 18. [EFFECTIVE UPON PASSAGE] (a)
Notwithstanding IC 9-18-26-2.5(a)(2), as added by this act, and
IC 9-13-2-42(a) and IC 9-18-26-8, both as amended by this act, the
secretary of state shall carry out the duties imposed upon the
secretary of state under IC 9-18-26-2.5(a)(2), as added by this act,
and IC 9-13-2-42(a) and IC 9-18-26-8, both as amended by this act,
under interim written guidelines approved by the secretary of
state.
(b) This SECTION expires on the earlier of the following:
(1) The date rules are adopted under IC 9-18-26-2.5(a)(2), as
added by this act, and IC 9-13-2-42(a) and IC 9-18-26-8, both
as amended by this act.
(2) December 31, 2011.
SOURCE: ; (10)CC118803.1.19. -->
SECTION 19. [EFFECTIVE UPON PASSAGE] (a)
Notwithstanding IC 9-28-5.1-5, as added by this act, the bureau of
motor vehicles shall carry out the duties imposed upon the bureau
of motor vehicles under IC 9-28-5.1-5, as added by this act, under
interim written guidelines approved by the commissioner of the
bureau of motor vehicles.
(b) This SECTION expires on the earlier of the following:
(1) The date rules are adopted under IC 9-28-5.1-5, as added
by this act.
(2) December 31, 2011.
SOURCE: ; (10)CC118803.1.20. -->
SECTION 20.
An emergency is declared for this act.
(Reference is to EHB 1188 as printed February 17, 2010.)
Conference Committee Report
on
Engrossed House
Bill 1188
Text Box
S
igned by:
____________________________ ____________________________
Representative Austin Senator Wyss
Chairperson
____________________________ ____________________________
Representative Neese Senator Rogers
House Conferees Senate Conferees