PRINTER'S NO. 2376

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

2064

Session of

2021

INTRODUCED BY SCHLEGEL CULVER, TOOHIL, JAMES, HERSHEY AND

WHEELAND, NOVEMBER 9, 2021

REFERRED TO COMMITTEE ON TRANSPORTATION, NOVEMBER 9, 2021

metal processor and for penalty; and, in enforcement, further

providing for impoundment for nonpayment of fines and

vehicles or combinations with a gross vehicle weight rating

of 17,001 pounds or more and for impoundment for nonpayment

of fines and vehicles or combinations with a gross vehicle

weight rating of 17,000 pounds or less and providing for

lienholder or lessor notice of impoundment and recovery of

liened or leased vehicle.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

used in this title shall have, unless the context clearly

indicates otherwise, the meanings given to them in this section:

* * *

"Lienholder or lessor abstract notice." A written or

electronic notice on a form developed by the department that

contains all of the following:

identification number and registration plate number of the

vehicle, if known.

right to reclaim the vehicle and its contents, within 30 days

after the notice was mailed, at the place where the vehicle

is being held by the salvor or appropriate towing and storage

agent.

lessor to reclaim the vehicle and its contents is deemed

consent by the owner to the destruction, sale or other

disposition of the vehicle and its contents and of all

lienholders or lessors to dissolution of their liens.

necessary, the post office box.

lienholder or lessor, as applicable.

Section 2. Section 1161(b) of Title 75 is amended and the

section is amended by adding a subsection to read:

§ 1161. Certificate of salvage required.

* * *

(b) Application for certificate of salvage.--An owner who

transfers a vehicle to be destroyed or dismantled, salvaged or

recycled shall assign the certificate of title to the person to

whom the vehicle is transferred. Except as provided in section

1163, the transferee shall immediately present the assigned

certificate of title to the department or an authorized agent of

1162(a) before making an application to the department or an

authorized agent of the department for a vehicle to be

transferred as a salvage vehicle or a nonrepairable vehicle. If

the transferee is classified as a scrap metal processor and

registered with the Statewide registry of scrap metal processors

and recycling facilities in accordance with the act of October

9, 2008 (P.L.1408, No.113), known as the Scrap Material Theft

Prevention Act, the scrap metal processor shall satisfy the

requirements under section 1163(b.1) before notifying the

department that a vehicle has been processed to the extent the

defined in section 1702 to which title to a vehicle is assigned

ownership of vehicle). If an owner retains possession of a

vehicle which is damaged to the extent that it qualifies for

vehicle replacement payment, the owner shall apply for a

certificate of salvage immediately. In this case, an insurer

shall not pay vehicle replacement value until the owner produces

evidence to the insurer that the certificate of salvage has been

issued. A self-insurer as defined in section 1702 shall apply

for a certificate of salvage when a vehicle is damaged to the

extent that the cost of repairs would exceed the replacement

value of the vehicle as certified by a licensed motor vehicle

agent of the department, by electronic means if available, to

affirm that the ownership of a vehicle is not being transferred

as a salvage vehicle or a nonrepairable vehicle if a certificate

of title is encumbered with an existing lien or lease.

* * *

Section 3. Section 1162 of Title 75 is amended to read:

§ 1162. Transfer to vehicle salvage dealer.

(a) General rule.--Any owner who transfers a vehicle or a

salvage vehicle to a vehicle salvage dealer, as defined in

section 1337(c)(2) (relating to use of "Miscellaneous Motor

Vehicle Business" registration plates), shall assign the

certificate of title or salvage certificate to the vehicle

salvage dealer. Before an owner of a vehicle may assign a

certificate of title to a vehicle salvage dealer for the purpose

possesses a certificate of salvage for the vehicle or the

vehicle has been previously designated by the department as a

nonrepairable vehicle. If the motor vehicle title and vehicle

registration record affirms to the vehicle salvage dealer that

the owner of the vehicle has an existing lien encumbered on the

certificate of title, the vehicle salvage dealer shall notify

the existing lienholder or lessor listed on the motor vehicle

title and vehicle registration record in accordance with section

6309.3 (relating to l ienholder or lessor notice of impoundment

and recovery of liened or leased vehicle ) before submitting an

application for a certificate of salvage or nonrepairable

certificate to the department or an authorized agent of the

department. A vehicle salvage dealer shall not be required to

satisfy the requirements under section 6309.3 if the motor

vehicle title and vehicle registration record states that the

owner of the vehicle does not have an existing lien encumbered

on the certificate of title. A certificate of title or salvage

certificate for a vehicle transferred to a vehicle salvage

verification by a corporate officer.

vehicle dealer shall immediately send to the department or an

authorized agent of the department either of the following:

prescribed by the department indicating that the vehicle is

to be designated as a nonrepairable vehicle. A copy of the

form shall be retained for record in accordance with section

6308(d) (relating to investigation by police officers). The

vehicle shall not be rebuilt, retitled or issued a

certificate of any kind.

(b.1) Required copies.--At the department's discretion, if a

motor vehicle title and vehicle registration record initially

affirmed that a transferred vehicle was encumbered with an

existing lien and the vehicle salvage dealer satisfied the

requirements under section 6309.3, the department may require

the vehicle salvage dealer to include a copy of the motor

vehicle title and vehicle registration record and lienholder or

lessor abstract notice in the application for a certificate of

(c) Vehicles with defective or lost title.--Any person on

complies with the requirements of this section[, except that

the] and the salvor or salvage program obtains a motor vehicle

title and vehicle registration record from the department or an

authorized agent of the department which affirms that no lien on

the vehicle exists. The report to the department that the

vehicle is a salvage vehicle shall be verified by the transferor

of the vehicle instead of the police department. If the motor

vehicle title and vehicle registration record affirms to the

salvor or salvage program that the vehicle has an existing

lienholder or lessor of record, the salvor or salvage program

specified under section 6309.3 if the motor vehicle title and

vehicle registration record states the vehicle does not have an

existing lienholder or lessor of record.

identifiable as a vehicle, its certificate of title, certificate

of salvage or nonrepairable certificate shall be attached to a

form prescribed by the department and immediately sent to the

department[.], except a scrap metal processor registered with

the Statewide registry of scrap metal processors and recycling

facilities in accordance with the act of October 9, 2008

(P.L.1408, No.113), known as the Scrap Material Theft Prevention

Act, shall satisfy the requirements under subsection (b.1)

before notifying the department that a vehicle has been

processed to the extent the vehicle is no longer identifiable as

(b) Vehicles.--Any owner who transfers a vehicle or a

salvage vehicle to a scrap metal processor shall assign the

certificate of title or certificate of salvage to the scrap

metal processor in accordance with this section. Such

certificate of title or certificate of salvage is exempt from

the requirements of notarization and verification by a corporate

officer.

(b.1) Affirmation of vehicle ownership.--Before an owner of

a vehicle may assign a certificate of title to a scrap metal

processor for the purpose of transferring ownership, the scrap

metal processor shall obtain a motor vehicle title and vehicle

registration record from the department or authorized agent of

the department for the vehicle. A scrap metal processor shall

registration record for a vehicle when the owner currently

certificate of title, the scrap metal processor shall notify the

existing lienholder or lessor listed on the motor vehicle title

and vehicle registration record in accordance with section

6309.3 (relating to l ienholder or lessor notice of impoundment

and recovery of liened or leased vehicle ) before notifying the

department of an ownership transfer in accordance with this

section.

(c) Certificate of title.--[Upon] After affirming that the

motor vehicle title and vehicle registration record does not

state that the owner of the vehicle has an existing lien

(e) Recovery of impounded vehicle.--

owner of any vehicle or combination which has been impounded

under this section may obtain possession of the vehicle or

combination by:

(i) furnishing proof of valid registration and

(ii) paying all fines and costs associated with the

(i) furnishing a copy of the lienholder or lessor

(ii) paying all reasonable towing and storage fees

subsection may be sold as an unclaimed vehicle, combination

or load under section 6310 [(relating to disposition of

impounded vehicles, combinations and loads)].

* * *

Section 7. Section 6309.1(d), (e) and (f) of Title 75 are

amended to read:

§ 6309.1. Impoundment for nonpayment of fines; vehicles or

combinations with a gross vehicle weight rating of

17,000 pounds or less.

most expeditious means and by certified mail, return receipt

requested, of the impoundment and location of the vehicle or

combination to the owner of the vehicle or combination [and

any lienholder] and, if applicable, any owner of the load, if

the names and addresses of the owner [and any lienholder] are

known or can be ascertained by investigation. The following

apply:

(i) The appropriate law enforcement officer shall

to disposition of impounded vehicles, combinations and loads)

lessor abstract notice under section 6309.3, a law

enforcement officer under this section shall conduct an

investigation to ascertain the names and addresses of the

owner of the vehicle or combination and, if applicable, any

owner of the load to notify the impoundment of the vehicle or

combination.

Parking Authority shall give immediate notice by first class

mail, proof of mailing, of the impoundment and location of

vehicle title and vehicle registration record from the

department or an authorized agent of the department to

certify that there are no existing lienholders or lessors of

record on the certificate of title for the impounded

vehicle. If the motor vehicle title and vehicle registration

record affirms that there is an existing lienholder or lessor

for the impounded vehicle, the Philadelphia Parking Authority

shall send a lienholder or lessor abstract notice to the

title and vehicle registration record in accordance with

under section 6309.3 for the purpose of notifying an existing

lienholder or lessor if the obtained motor vehicle title and

vehicle registration record affirms that there is an existing

lienholder or lessor.

lessor abstract notice under section 6309.3, the Philadelphia

Parking Authority shall ascertain the names and addresses of

the owner of the vehicle or combination and, if applicable,

any owner of the load by using reasonably available State

databases to notify the impoundment of the vehicle or

6309.3(d), the costs of the police officer, constable,

impoundment official, appropriate law enforcement officer or

Philadelphia Parking Authority, reasonable storage costs and all

other reasonable costs incident to seizure and impounding under

subsections (b) and (c) shall be recoverable in addition to

costs of prosecution.

(f) Recovery of impounded vehicle.--

under this section may obtain possession of the vehicle or

recipient of a lienholder or lessor abstract notice may

obtain possession of the vehicle or combination by:

(i) furnishing a copy of the lienholder or lessor

subsection may be sold as an unclaimed vehicle, combination

or load under section 6310 [(relating to disposition of

impounded vehicles, combinations and loads)].

* * *

Section 8. Title 75 is amended by adding a section to read:

§ 6309.3. Lienholder or lessor notice of impoundment and

recovery of liened or leased vehicle.

(a) Affirmation of vehicle ownership.--If a person obtained

a motor vehicle title and vehicle registration record from the

department or an authorized agent of the department that affirms

that a vehicle has an existing lienholder or lessor of record

encumbered on the certificate of title, that person shall send

encumbered on the vehicle.

(b) Lienholder or lessor abstract notice.--A lienholder or

lessor abstract notice shall be provided by a person required to

obtain a motor vehicle title and vehicle registration record

under section 1162 (relating to transfer to vehicle salvage

dealer), 1163 (relating to transfer to scrap metal processor),

6309 (relating to impoundment for nonpayment of fines; vehicles

or combinations with a gross vehicle weight rating of 17,001

pounds or more) or 6309.1 (relating to impoundment for

nonpayment of fines; vehicles or combinations with a gross

vehicle weight rating of 17,000 pounds or less). A lienholder or

lessor abstract notice shall be provided to the existing

lienholder or lessor listed on the motor vehicle title and

vehicle registration record within three days after obtaining a

motor vehicle title and vehicle registration record from the

department or an authorized agent of the department. The notice

shall state a vehicle has an existing lienholder or lessor

encumbered on the certificate of title. A lienholder or lessor

typed on an official document and sent by electronic mail if

the motor vehicle title and vehicle registration record

provide an electronic mail address for the existing

lienholder or lessor listed. If the motor vehicle title and

vehicle registration record do not list an electronic mail

address, the person required to obtain a motor vehicle title

and vehicle registration record shall send the notice as

specified under paragraph (1).

(c) Authorization to recover vehicle.--An existing

lienholder or lessor listed on the motor vehicle title and

lienholder or lessor shall respond to the lienholder or lessor

abstract notice by agreeing to a date with the person sending

the notice for recovery of the vehicle and pay any accrued

reasonable towing and storage fees under subsection (d). For the

purposes of recovering an impounded vehicle as provided in

section 6309.1(e)(1.1) and (f)(1.1), an existing lienholder or

lessor that received a lienholder or lessor abstract notice

shall be responsible to pay all reasonable towing and storage

costs associated with the vehicle being impounded before

fees in accordance with section 3353(c) (relating to

prohibitions in specified places) may be imposed by the person

sending the lienholder or lessor abstract notice to the existing

lienholder or lessor listed on the motor vehicle title and

vehicle registration record. The person sending the lienholder

or lessor abstract notice may not charge a storage fee for any

additional days after the existing lienholder or lessor

responded to the lienholder or lessor abstract notice and agreed

to a date with the person sending the notice to remove the

vehicle from the place the vehicle is being held. If the

to provide an existing lienholder or lessor a lienholder or

lessor abstract notice in accordance with this section commits a

summary offense and shall, upon conviction, be sentenced as

follows:

$2,500.

person who violates this section by failing to provide an

this title, a violation of this section shall be deemed a

violation of the act of December 17, 1968 (P.L.1224, No.387),

known as the Unfair Trade Practices and Consumer Protection

Law. Nothing in this title shall preclude a lienholder or

lessor from exercising any right provided under the Unfair

Trade Practices and Consumer Protection Law, and the

following apply:

(i) The Office of Attorney General shall accept