Bill Summary for S 488 (2019-2020)

Summary date: 

Jun 15 2020

Bill Information:

View NCGA Bill Details2019-2020 Session
Senate Bill 488 (Public) Filed Tuesday, April 2, 2019
AN ACT TO MAKE CHANGES TO VARIOUS DIVISION OF MOTOR VEHICLES PROCESSES.
Intro. by B. Jackson, Wells, Chaudhuri.

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Bill summary

House committee substitute to the 2nd edition makes the following changes. Deletes the content of the previous edition and replaces it with the following.

Section 1

Authorizes the Division of Motor Vehicles (DMV) to enter into agreements to use commission contractors who are under contract with the DMV for the issuance of plate and certificates to process certificates of title and renewals of vehicle registrations. Sets out requirements for the compensation rate. Specifies that DMV may only enter into these agreements with commission contractors that use the State courier service for delivery. Sets out additional requirements concerning providing supplies and guidance to the contractor, and the contractor's mailing of registration plates and stickers. Expires December 31, 2020.

Section 2

Amends GS 20-79.1 to allow DMV to enter into agreements to use commission contractors who are under contract with the DMV for the issuance of plates and certificates to distribute temporary registration plates to dealers. Sets out requirements for the compensation rate. Sets out additional requirements concerning providing supplies and guidance to the contractor. Requires DMV to, insofar as practicable, identify at least six commission contractors to enter into agreements with to make temporary registration plates more available to dealers across all of the state's geographic regions. 

Section 3

Allows an application for a notation of a security interest submitted to the DMV that is signed by a debtor to be signed by the debtor electronically without notarization if the application is submitted by a licensed or regulated lender in this state with a lienholder identification number. Provides that an application for a notation of a security interest submitted to the DMV that is signed by the secured party instead of the debtor does not require documentary evidence of the applicant's security interest in that vehicle signed by the debtor if the application is submitted by a licensed or regulated lender in this state with a lien holder identification number. Excludes application for a notation of a security interest for manufactured homes. Makes DMV immune from liability for any cause of action arising from a notation of security interest fraudulently or erroneously placed on a certificate of title for applications submitted to the DMV under this section. Provides that any entity offering an electronic signature process for applications submitted under this section assumes all responsibility and liability for the signature's accuracy. Holds DMV harmless from any liability to a claim arising from applications submitted with an inaccurate electronic signature under this section. Applies to applications for notation of security interests submitted to the DMV on or after the date that the act becomes law and before December 1, 2020.

Section 4

Amends GS 20-79.1 to require the DMV to provide methods for submitting applications and payments for temporary dealer registration plates or markers physically or electronically. Allows electronic applications to include a method for the dealer to sign electronically. Makes additional conforming and technical changes. Effective October 1, 2020, and applies to dealer applications for temporary registration plates or markers submitted on or after that date.

Section 5

Amends GS 20-288 to prohibit DMV from requiring an applicant to submit fingerprints to be used in a criminal history record check of an applicant for a license or license renewal.

Amends GS 93-8.1 by adding that nothing in the statute or GS 93B-1 authorizes an occupational licensing board or a State agency licensing board to require an applicant to consent to a criminal history record check or use of fingerprints or other identifying information required by the State or National Repositories of Criminal Histories as a condition of granting or renewing a license. 

Effective July 1, 2020, and applies to applications for licensure or renewal received on or after that date.

Section 6

Amends GS 20-295 by requiring that when an application for a motor vehicle dealer license renewal has been timely submitted for the license has expired, that the license remain valid for up to 30 days after expiration until the DMV grants or denies the application. Requires the DMV to to insure that its databases reflect that the license continues to be valid during that period. Makes conforming changes, including amending the statute's caption. Effective October 1, 2020, and applies to licenses that expire on or after that date. 

Amends the act's titles.

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