Senate Bill No. 212–Committee on Transportation

 

(On Behalf of the Department of Motor Vehicles)

 

February 26, 2003

____________

 

Referred to Committee on Transportation

 

SUMMARY—Revises provisions governing salvage vehicles. (BDR 43‑585)

 

FISCAL NOTE:  Effect on Local Government: No.

                           Effect on the State: No.

 

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to salvage vehicles; revising the definition of “total loss vehicle”; revising provisions relating to ownership documents and salvage title required for the sale of total loss vehicles; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1  Section 1. NRS 487.045 is hereby amended to read as follows:

1-2  487.045  As used in NRS 487.045 to 487.200, inclusive, “total

1-3  loss vehicle” means a vehicle:

1-4  1.  Of a type which is subject to registration; and

1-5  2.  Which has been wrecked, destroyed or otherwise damaged

1-6  to such an extent that the owner[,] of the vehicle, a leasing

1-7  company[,] or financial institution having a security interest in the

1-8  vehicle, or [the] an insurance company that [insured the vehicle

1-9  considers it] satisfied an action or a claim concerning the vehicle

1-10  determines that the vehicle is uneconomical to repair . [the

1-11  vehicle; and

1-12      3.  Because of that wreckage, destruction or other damage,

1-13  which is not repaired by or for the person who owned the vehicle at

1-14  the time of the event resulting in the damage.]

 

2-1  Sec. 2.  NRS 487.110 is hereby amended to read as follows:

2-2  487.110  1.  Except as otherwise provided in subsection 2,

2-3  [whenever] if a vehicle subject to registration is sold as salvage:

2-4  (a) As a result of a total loss insurance settlement, the insurance

2-5  company or its authorized agent shall forward the endorsed

2-6  [ownership] certificate of ownership or other evidence of title and a

2-7  completed application for a salvage title to the state agency within

2-8  30 days after receipt thereof; or

2-9  (b) Because the owner determines that the vehicle is a total loss

2-10  vehicle, the owner shall forward the [ownership] certificate of

2-11  ownership or other evidence of title and a completed application

2-12  for a salvage title to the state agency within 120 days after the

2-13  vehicle is damaged.

2-14      2.  The insurance company or its authorized agent may sell a

2-15  vehicle for which a total loss settlement has been made with the

2-16  properly endorsed [ownership] certificate of ownership or other

2-17  evidence of title if the total loss settlement resulted from the theft of

2-18  the vehicle and the vehicle, when recovered, was not damaged to the

2-19  extent that it was required to be rebuilt. An owner who has

2-20  determined that a vehicle is a total loss vehicle may sell the vehicle

2-21  with the properly endorsed [ownership certificate or other evidence

2-22  of] salvage title obtained in accordance with subsection 1 to a

2-23  salvage pool, automobile auction, rebuilder, automobile wrecker , or

2-24  a new or used motor vehicle dealer.

2-25      3.  [Upon the sale of the salvage vehicle, the insurance

2-26  company, salvage pool, automobile auction, leasing company or

2-27  financial institution which sells the salvage vehicle shall issue a bill

2-28  of sale of salvage to the purchaser on a form to be prescribed and

2-29  supplied by the state agency. The state agency shall accept the bill

2-30  of sale of salvage in lieu of the ownership certificate or other

2-31  evidence of title when accompanied by an appropriate application or

2-32  other documents and fees.

2-33      4.] When the salvage vehicle is rebuilt and to be restored to

2-34  operation, the vehicle may not be licensed for operation or the

2-35  ownership thereof transferred until there is submitted to the state

2-36  agency , together with the [prescribed bill of sale of] salvage title,

2-37  an appropriate application, other documents and fees required, and a

2-38  certificate of inspection signed by an employee of the state agency

2-39  attesting to its mechanical fitness and safety.

2-40      [5.] 4.  When a total loss insurance settlement between the

2-41  insurance company and [its insured] any person, including, without

2-42  limitation, the insured, a business, a financial institution or a

2-43  lienholder, results in the retention of the salvage vehicle by [the

2-44  insured,] that person, the insurance company or its authorized agent

2-45  shall, within 30 days after the date of settlement, notify the state

3-1  agency of the retention [by its insured] of the salvage vehicle upon a

3-2  form to be supplied by the state agency.

3-3  Sec. 3.  NRS 487.120 is hereby amended to read as follows:

3-4  487.120  1.  An application for a salvage title must be

3-5  accompanied by a properly endorsed certificate of ownership and

3-6  registration last issued for the vehicle.

3-7  2.  If the applicant for a salvage title is unable to furnish the

3-8  certificates of ownership and registration last issued for the vehicle ,

3-9  [or a bill of sale of salvage,] the state agency may accept the

3-10  application, examine the circumstances of the case , and require the

3-11  filing of suitable affidavits or other information or documents. If

3-12  satisfied that the applicant is entitled to a salvage title, the state

3-13  agency may issue the salvage title.

3-14      [2.] 3.  No duplicate certificate of ownership or registration

3-15  may be issued when a salvage title is applied for, and no fees are

3-16  required for the affidavits of any stolen, lost or damaged certificate,

3-17  or duplicates thereof, unless the vehicle is subsequently registered.

3-18      Sec. 4.  NRS 487.185 is hereby amended to read as follows:

3-19      487.185  1.  A person shall not remove a total loss vehicle

3-20  from this state for the purpose of selling that vehicle unless the

3-21  [ownership] certificate of ownership or other evidence of title and a

3-22  completed application for a salvage title has been forwarded to the

3-23  state agency pursuant to paragraph (b) of subsection 1 of

3-24  NRS 487.110.

3-25      2.  A person who violates the provisions of this section:

3-26      (a) If the value of the vehicle removed from this state is less than

3-27  $250, is guilty of a misdemeanor.

3-28      (b) If the value of the vehicle removed from this state is $250 or

3-29  more, is guilty of a gross misdemeanor.

3-30      Sec. 5.  NRS 487.480 is hereby amended to read as follows:

3-31      487.480  1.  Before an operator of a salvage pool sells any

3-32  vehicle subject to registration pursuant to the laws of this state, he

3-33  must have in his possession the certificate of ownership or a [bill of

3-34  sale of] salvage title for that vehicle. [He] The operator shall, within

3-35  10 days after completion of the transaction, forward the certificate

3-36  of ownership or [bill of sale of] salvage title to the Department. The

3-37  Department shall not issue a certificate of registration or certificate

3-38  of ownership for a vehicle with the same identification number if the

3-39  vehicle was manufactured in the 5 years preceding the date on

3-40  which the operator forwards the certificates to the Department,

3-41  unless the Department authorizes the restoration of the vehicle

3-42  pursuant to subsection 2 of NRS 482.553.

3-43      2.  Upon sale of the vehicle, the operator of the salvage pool

3-44  shall provide a [bill of sale of] salvage title for the vehicle to the

3-45  licensed automobile wrecker, dealer of new or used motor vehicles ,

4-1  or rebuilder . [on a form prescribed and supplied by the Department.

4-2  The Department shall accept the bill of sale of salvage in lieu of the

4-3  certificate of ownership or other evidence of title from the:

4-4  (a) Automobile wrecker, if the bill of sale of salvage is

4-5  accompanied by an appropriate application for a salvage title; or

4-6  (b) Dealer of new or used motor vehicles or rebuilder when he

4-7  licenses the vehicle for operation or transfers ownership of it, if the

4-8  bill of sale of salvage is accompanied by an appropriate application,

4-9  all other required documents and fees, and a certificate of inspection

4-10  signed by an employee of the Department attesting to the

4-11  mechanical fitness and safety of the vehicle.]

4-12      3.  The Department may issue to:

4-13      (a) The licensed automobile wrecker;

4-14      (b) A licensed operator of a salvage pool;

4-15      (c) A dealer of new or used motor vehicles who is licensed in

4-16  another state or foreign country and is registered with a salvage

4-17  pool; [or]

4-18      (d) An automobile wrecker or dismantler who is licensed in

4-19  another state or foreign country and is registered with a salvage pool

4-20  [,] ; or

4-21      (e) A person who declares his vehicle to be a total loss vehicle

4-22  and who has complied with paragraph (b) of subsection 1 of

4-23  NRS 487.110,

4-24  a salvage title that contains a brief description of the vehicle,

4-25  including, insofar as data may exist with respect to the vehicle, the

4-26  make, type, serial number and motor number, or any other number

4-27  of the vehicle. Except as otherwise provided in this subsection, the

4-28  Department shall charge and collect a fee of $10 for the issuance of

4-29  a salvage title pursuant to this subsection. The Department shall not

4-30  charge such a fee for the issuance of a salvage title to an automobile

4-31  wrecker licensed in this state. Fees collected by the Department

4-32  pursuant to this subsection must be deposited with the State

4-33  Treasurer to the credit of the Account for Regulation of Salvage

4-34  Pools, Automobile Wreckers, Body Shops and Garages. Possession

4-35  of a salvage title does not entitle a person to dismantle, scrap,

4-36  process or wreck any vehicle in this state unless the person holds a

4-37  license issued pursuant to NRS 487.050.

4-38      Sec. 6.  This act becomes effective upon passage and approval.

 

4-39  H