WSR 98-08-049
PROPOSED RULES
DEPARTMENT OF LICENSING
[Filed March 26, 1998, 11:18 a.m.]
Original Notice.
Preproposal statement of inquiry was filed as WSR 98-03-024
Title of Rule: Chapter 308-56A WAC, Certificate of title--Motor vehicles
Purpose: To clarify the requirements for application for vehicle ownership; and to meet the criteria set forth in Governor Locke's Executive Order 97-02
Statutory Authority for Adoption: RCW 46.01.110, 46.12.101
Summary: Repeal WAC 308-56A-005 Title required, 308-56A-080 Refusal by department to release title, and 308-56A-085 Error in title issued by department; and clarify WAC 308-56A-010 Title purpose only, 308-56A-015 No title issued, 308-56A-020 Application for title required, 308-56A-021 Assessment of penalty fee for late application for title, 308-56A-022 Conditions under which penalty fees are not assessed, 308-56A-023 Conditions under which penalty fees may be waived, and 308-56A-090 Disclosure of individual vehicle owner names and addresses
Reasons Supporting Proposal: Meet criteria supporting Governor Locke's Executive Order 97-02
Name of Agency Personnel Responsible for Drafting: Patrick Zlateff, 1125 Washington Street South East, Olympia, (360) 902-3718; Implementation: Nancy Kelly, 1125 Washington Street South East, Olympia, (360) 902-3754; and Enforcement: Eric Anderson, 1125 Washington Street South East, Olympia, (360) 902-4045
Rule is not necessitated by federal law, federal or state court decision.
Explanation of Rule, its Purpose, and Anticipated Effects: Chapter 308-56A WAC sections provide the requirements to obtain a certificate of ownership, when a certificate of ownership is not required, penalty dates, and disclosure of names and addresses.
The anticipated effects will be a clarification and a better understanding by the public of the above mentioned requirements
Proposal Changes the Following Existing Rules: Clarify sections needed and repeal those no longer required
No small business economic impact statement has been prepared under chapter 19.85 RCW. A small business economic impact statement is not required pursuant to RCW 19.85.030 (1)(a). The proposed rule making does not impose more than a minor cost on businesses in an industry.
Section 201, chapter 403, Laws of 1995, does not apply to this rule adoption. The content of the proposed rules are explicitly and specifically dictated by statute.
Hearing Location: Highways-Licenses Building, Conference Room 301, 1125 Washington Street South East, Olympia, WA 98507, on May 7, 1998, at 10:00
Assistance for Persons with Disabilities: Contact Pat Zlateff by May 5, 1998, TDD (360) 664-8885, or (360) 902-3718
Submit Written Comments to: Patrick Zlateff, Rules Coordinator, Title and Registration Services, P.O. Box 2957, Olympia, WA 98507-2957, FAX (360) 664-0831, by May 5, 1998
Date of Intended Adoption: May 21, 1998
March 26, 1998
Nancy S. Kelly, Administrator
Title and Registration Services
OTS-2088.2
AMENDATORY SECTION (Amending WSR 92-15-024, filed 7/6/92, effective 8/6/92)
WAC 308-56A-010 Title purpose only. ((Certificates of
title may be issued without certificates of registration
including but not limited to the following vehicles:)) The
department may issue a certificate of ownership for a vehicle
without a certificate of registration for:
(1) Vehicles required to display valid vehicle number license plates prior to operating on the public highway pursuant to chapter 46.16 RCW;
(2) Farm tractors or farm equipment;
(3) Off-road vehicles (ORV) whether or not required to obtain an ORV use permit;
(4) Golf carts and dune buggies whether or not equipped for legal highway use;
(5) Off highway equipment that may be moved upon public highways by special permits.
[Statutory Authority: RCW 46.01.110. 92-15-024, § 308-56A-010, filed 7/6/92, effective 8/6/92; Order MV 208, § 308-56A-010, filed 7/31/74.]
AMENDATORY SECTION (Amending Order MV 208, filed 7/31/74)
WAC 308-56A-015 No title issued. ((Vehicles may be
registered without issuing a Washington certificate of title.
Such registration will be accepted when:
(1) An out-of-state secured party will not release an out-of-state title;
(2) A nonresident is required to register his/her vehicle in
this state but is also required to maintain his/her home state
title and registration.)) The department may register vehicles
without issuing Washington certificates of ownership when:
(1) A secured party will not surrender an out-of-state certificate of ownership; or
(2) Registration is required in Washington state and title and registration are required by another state.
[Order MV 208, § 308-56A-015, filed 7/31/74.]
AMENDATORY SECTION (Amending Order MV 208, filed 7/31/74)
WAC 308-56A-020 Application for title required. ((An
application for certificate of title is required:
(1) Whenever the ownership of a vehicle changes;
(2) When there is a legal change of name of the registered
or legal owner of a vehicle;
(3) When there is a change of name of a business entity
owning a vehicle; provided that, an application is not required
for each vehicle when a financial institution which is the legal
owner of a number of vehicles merges with or is sold to another
institution and continues to do business in the name of the
surviving institution, if the department is notified in writing
of the merger or sale.
(4) When a proprietorship or partnership forms a corporation
whether or not a business name is changed;
(5) When a proprietorship or partnership purchases a
corporation which will no longer be operated as a corporation
whether or not the business name is changed;
(6) Whenever there is no outstanding secured obligation and
no commitment to make advances and incur obligations or otherwise
give value;
(7) Whenever a vehicle has been reported destroyed by an
insurance company and the owner wishes to operate it on the
public highways;
(8) Whenever a vehicle has been assembled;
(9) Whenever a glider kit has been installed;
(10) Whenever a replacement engine has been installed in a
motorcycle;
(11) Whenever there has been a structural change in the
vehicle;
(12) Whenever the vehicle identification number has changed;
(13) Whenever a former nonresident owner of a vehicle
requiring a certificate of title becomes a Washington resident as
defined in chapter 308-92 WAC as now or hereafter amended;
(14) Whenever a second legal owner is to be added to the
certificate of title. The application shall show the address of
only the first named legal owner;
(15) Whenever the engine of a vehicle has been changed or
modified to accept a fuel other than that shown on the
outstanding title.)) An application for certificate of ownership
is required when:
(1) A person purchases a new vehicle;
(2) There is a change of ownership due to:
(a) Sale;
(b) Gift;
(c) Inheritance;
(d) Trade;
(e) Addition or deletion of a registered owner;
(f) Proprietorship or partnership forming a corporation, whether or not the business name is changing; or
(g) Proprietorship or partnership purchasing a corporation which will no longer be operated as a corporation, whether or not the business name is changed.
(3) There is a name change of:
(a) The registered owner;
(b) The lienholder; or
(c) A business entity as shown on the current certificate of ownership.
(4) There is no change in the registered owner of the vehicle but the title needs to be reissued because:
(a) A lien has been satisfied and the lienholder's name needs to be removed;
(b) A lienholder's name needs to be added. If a secondary lienholder is being added, the address of only the primary lienholder will be recorded;
(c) There is a change in lienholders;
(d) The vehicle is assembled or has had a glider kit installed;
(e) The vehicle is a motorcycle and the engine has been replaced;
(f) There has been a structural change in the vehicle, other than changing the bed of a truck; or
(g) The vehicle identification number needs to be corrected. (5) The vehicle has been reported destroyed by an insurance company. Title procedures are in chapter 308-58 WAC.
(6) The vehicle has been reported destroyed by the owner, or a wrecker and is subsequently sold and licensed.
[Order MV 208, § 308-56A-020, filed 7/31/74.]
AMENDATORY SECTION (Amending Order TL/RG/36, filed 10/9/87)
WAC 308-56A-021 Assessment ((of)) criteria for penalty fee
((for late application for title)). ((When ownership of a
Washington titled vehicle changes, the purchaser or transferee
must complete and submit to the department or to a vehicle
licensing agent an application for certificate of title and
license registration within fifteen days after the date of
delivery of the vehicle. Penalty fees will be assessed for late
application under the following circumstances:
(1) Documents submitted for application for new title
indicate more than 15 days have elapsed since date of delivery of
the vehicle;
(2) Someone other than the first purchaser shown is making
application (unless verification is provided that he/she acquired
the vehicle less than 16 days prior to application for title;
(3) The date of delivery is declared to be 15 days prior to
date of application. An affidavit of delivery is required when:
(a) Conflicting dates appear on supporting documents;
(b) Dates on title or supporting documents have been
altered;
(c) No evidence of the date of delivery is present; or,
(d) An undated title is presented;
(4) Partial ownership has changed more than fifteen days
previously.
When a divorce settlement or other legal action affecting
ownership of the vehicle takes place after the date that the
title is signed off, the date of the final legal action may be
used as the date from which penalty fees are computed.)) Penalty
fees are assessed beginning on the 16th day from the date of sale
as shown on the certificate of ownership, except when:
(1) There is a court order awarding ownership in the vehicle, the department uses the effective date of the court order;
(2) The vehicle was delivered after the date indicated on the supporting documents;
(3) There are conflicting dates on supporting documents; (4) There is no date on the certificate of ownership or other supporting documents; or
(5) The date on the certificate of ownership has been altered.
Subsection (2) through (5) of this section require the applicant to sign an affidavit attesting to the actual date of delivery.
[Statutory Authority: RCW 46.01.110 and 46.12.101 as amended by 1987 c 127 § 1. 87-21-012 (Order TL/RG/36), § 308-56A-021, filed 10/9/87.]
AMENDATORY SECTION (Amending Order TL/RG/36, filed 10/9/87)
WAC 308-56A-022 Conditions under which penalty fees are not assessed. Penalty fees are not assessed for late application for title under the following conditions:
(1) The vehicle is not motorized;
(2) The vehicle is sold by a Washington dealer (dealer report of sale box on the application is completed);
(((2))) (3) A ((prior)) Washington record cannot be found;
(((3))) (4) Department of licensing records indicate the
vehicle ((was totaled by an insurance company or reported)) has
been destroyed ((by a wrecking yard));
(((4))) (5) The vehicle is being titled as home made or
assembled for the first time;
(((5))) (6) The vehicle is acquired ((by inheritance or
community property from the owner of record)) as a result of:
(a) Inheritance or community property;
(b) Divorce settlement;
(c) Other legal action affecting ownership of the vehicle; or
(d) Partial ownership change.
[Statutory Authority: RCW 46.01.110 and 46.12.101 as amended by 1987 c 127 § 1. 87-21-012 (Order TL/RG/36), § 308-56A-022, filed 10/9/87.]
AMENDATORY SECTION (Amending Order TL/RG/36, filed 10/9/87)
WAC 308-56A-023 Conditions under which penalty fees may be
waived. ((Penalty fees for late application for certificate of
title and license registration may be waived when the department
is presented with proof satisfactory to the department that the
delay in submitting the application was due to reasons beyond the
control of the purchaser, including one or more of the following
circumstances:
(1) A request by the department of licensing for additional
required supporting documents;
(2) Extended hospitalization or illness of the purchaser;
(3) Failure of a legal owner to release his/her/their
interest;
(4) Department, auditor, agent, or subagent error;
(5) Incarceration of the purchaser by a judiciary system;
(6) A seller's report of sale filed by purchaser thinking it
transferred title;
(7) Other reasons which the director may determine are
valid.)) (1) In addition to penalty waivers identified in RCW
46.12.101, the department may waive the penalty fee for late
application for certificate of ownership when:
(a) The purchaser is incarcerated by a judiciary system;
(b) The purchaser files a seller's report of sale thinking they have filed an application to transfer certificate of ownership;
(c) The director determines other reasons are valid; or
(d) A purchaser fails to transfer ownership prior to selling it and the applicant can prove he/she has purchased the vehicle within fifteen days of making application.
(2) If the date of sale does not represent the date of delivery, and the customer declares that the date of delivery is within fifteen days prior to date of application for one of the following reasons, the department may waive the penalty fee with a signed affidavit:
(a) Conflicting dates appear on supporting documents;
(b) Dates on title or supporting documents have been altered;
(c) No evidence of the date of delivery is present; or
(d) An undated title is presented.
[Statutory Authority: RCW 46.01.110 and 46.12.101 as amended by 1987 c 127 § 1. 87-21-012 (Order TL/RG/36), § 308-56A-023, filed 10/9/87.]
AMENDATORY SECTION (Amending WSR 96-03-047, filed 1/11/96, effective 2/11/96)
WAC 308-56A-090 Disclosure of individual vehicle owner
names and addresses. (((1))) Any business entity requesting the
name or address of a vehicle owner pursuant to RCW 46.12.380
shall ((complete)) submit a completed form provided by the
department and furnish verification of its identity as a business
entity. For purposes of this section, acceptable verification
includes:
(((a) A copy of the requesting entity's unexpired Washington
master business license; or
(b) For businesses not authorized to do business in this
state, a copy of its unexpired business license issued by the
out-of-state jurisdiction where the business entity is authorized
to do business.
(2) A business entity requesting names or addresses of
individual vehicle owners on a continuing basis may execute an
agreement with the department giving their full business name and
the purpose for requesting the information. If the purpose for
the information is not contrary to RCW 46.12.380, the information
may be provided without separate written requests for disclosure
of owner's name or address on each vehicle of interest.)) (1)
Licensed Washington businesses shall provide a copy of their
current Washington master business license; or
(2) Businesses not required to be licensed in this state shall provide their Federal Employer Identification Number on their official letterhead with a notarized signature of the owner or their authorized representative; or
(3) Out-of-state businesses not licensed in Washington shall provide:
(a) A copy of their current business license issued by the out-of-state jurisdiction where the business entity is authorized to do business; or
(b) Their Federal Employer Identification Number on their official letterhead with a notarized signature of the owner or their authorized representative.
(4) In addition to the requirements in subsections (1), (2) and (3) of this section:
(a) An attorney shall also provide a copy of their bar card; and
(b) A private investigator shall also provide a copy of their private investigator's license.
(5) A business entity which has entered into a written agreement with the department need not provide a separate written request for each inquiry.
[Statutory Authority: RCW 42.17.250(1), 46.01.110, 46.12.151 and 46.12.380. 96-03-047, § 308-56A-090, filed 1/11/96, effective 2/11/96. Statutory Authority: RCW 46.01.110 and 88.02.070. 91-03-088, § 308-56A-090, filed 1/18/91, effective 2/18/91.]
REPEALER
The following sections of the Washington Administrative Code are repealed:
WAC 308-56A-005 Title required.
WAC 308-56A-080 Refusal by department to release title.
WAC 308-56A-085 Error in title issued by department.