WSR 97-09-038

PROPOSED RULES

DEPARTMENT OF LICENSING

[Filed April 15, 1997, 9:35 a.m.]

Supplemental Notice to WSR 97-06-028.

Preproposal statement of inquiry was filed as WSR 96-22-087.

Title of Rule: Chapter 308-56A WAC, Certificates of title--Motor vehicles, etc.

Purpose: Periodic maintenance of rules pertaining to odometer disclosure.

Statutory Authority for Adoption: RCW 46.01.110.

Statute Being Implemented: RCW 46.12.124.

Summary: The proposed rule making will update existing rules as needed to reflect the latest amendments to state statutes affecting odometer disclosure statements.

Reasons Supporting Proposal: The rules pertaining to odometer disclosure are amended and/or repealed in whole or in part to reflect changes in statutory requirements and procedures.

Name of Agency Personnel Responsible for Drafting: Jack L. Lince, 1125 Washington Street S.E., Olympia, WA, (360) 902-3773; Implementation: Eric Anderson, 1125 Washington Street S.E., Olympia, WA, (360) 902-4045; and Enforcement: Nancy Kelly, 1125 Washington Street S.E., Olympia, WA, (360) 902-3754.

Name of Proponent: Department of Licensing, governmental.

Rule is not necessitated by federal law, federal or state court decision.

Explanation of Rule, its Purpose, and Anticipated Effects: No new rules are being proposed.

Proposal Changes the Following Existing Rules: WAC 308-56A-610, repealing conditions contained in RCW 46.12.124. Clarification of conditions for use of power of attorney; WAC 308-56A-620, clarification of terms used in this chapter and chapters 46.12 and [46].16 RCW; WAC 308-56A-630, repeal this section. Conditions are contained in RCW 46.12.124; WAC 308-56A-640, administrative clarification; WAC 308-56A-650, repeal conditions contained in RCW 45.12.124 [46.12.124]; WAC 308-56A-660, expand instruction for providing an odometer disclosure statement when the vehicle is involuntarily transferred; WAC 308-56A-670, administrative clarification; WAC 308-56A-680, add conditions for acceptance of out of state odometer disclosure statements; and WAC 308-56A-690, administrative clarifications.

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. 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 contents of the proposed rules are explicitly and specifically dictated by statute.

Hearing Location: Highways-Licenses Building, Conference Room 303, 1125 Washington Street S.E., Olympia, WA, on June 3, 1997, at 10:00 a.m.

Assistance for Persons with Disabilities: Contact Jack L. Lince, phone (360) 902-3773, by June 2, 1997, TDD (360) 664-8885.

Submit Written Comments to: Jack L. Lince, Contracts Manager, Title and Registration Services, P.O. Box 2957, Olympia, WA 98507-2957, FAX (360) 664-0831, by June 2, 1997.

Date of Intended Adoption: June 12, 1997.

April 14, 1997

Nancy Kelly, Administrator

Title and Registration Services

AMENDATORY SECTION (Amending Order TL/RG 49, filed 7/31/89, effective 8/31/89)

WAC 308-56A-610 Odometer disclosure statement--General procedures/requirements((, when transferring ownership of a vehicle)). (1) An odometer disclosure statement must be completed, pursuant to RCW 46.12.124, by the transferor of each vehicle and accompany the application for certificate of ((title)) ownership.

(2) A power of attorney designated pursuant to chapter 11.94 RCW may be used with an odometer disclosure statement with the following limitations:

(a) The transferor ((cannot authorize or)) may not give power of attorney to the ((purchaser or the dealer)) transferee of the same vehicle to complete ((the)) a separate odometer disclosure((. The odometer disclosure statement must contain the following information:

(1) The miles shown on the odometer at the time of transfer of ownership;

(2) Date disclosure statement is completed;

(3) One of the following statements:

(a) The mileage reflected is actual to the best of the transferor's knowledge; or

(b) The odometer reading exceeds the mechanical limits of the odometer to the best of the transferor's knowledge; or

(c) The odometer reading is not the actual mileage. If the odometer reading is under 100,000 miles, the only options that can be certified are "actual to the best of the transferors knowledge" or "not the actual mileage." If the odometer reading exceeds 100,000 miles, the options "actual to the best of the transferors knowledge" or "not the actual mileage" cannot be used unless the odometer has six digit capability.

(4) A complete description of the vehicle is required on the odometer disclosure statement to include:

(a) Model year

(b) Make

(c) Series and body type

(d) Vehicle identification number

(e) License plate number and state (if available)

(5) The name and address of the transferor must be printed on the disclosure. The transferor must also sign his/her name on the disclosure.

(a) Only one registered owner is required to complete the odometer disclosure statement.

(b) When the registered owner is a business, both the business name and a company representative's name must be reflected on the odometer disclosure statement.

(6) The name and address of the transferee must be printed on the disclosure. The transferee must also sign his/her name on the odometer disclosure statement to acknowledge the transferor's information. If the transferee represents a company, both the company name and the agent name must be reflected on the odometer disclosure statement.

(7) Such notice is required by the Federal Truth in Mileage Act of 1986; and

(8) Failure to complete such odometer disclosure statement or providing false information may result in fines and/or imprisonment));

(b) The transferee of a vehicle may not give a power of attorney to the transferor of the same vehicle to complete a separate odometer disclosure;

(c) The transferee may give a power of attorney to a disinterested third party to complete the separate odometer disclosure; or

(d) The power of attorney may not be used to complete an odometer power of attorney.

(3) An odometer disclosure/title extension statement may be used with a secure certificate of ownership or when the secure certificate of ownership is lost or is being held by a lienholder.

[Statutory Authority: RCW 46.12.030 and 46.01.110. 89-16-074 (Order TL/RG 49), 308-56A-610, filed 7/31/89, effective 8/31/89.]

AMENDATORY SECTION (Amending Order TL/RG 49, filed 7/31/89, effective 8/31/89)

WAC 308-56A-620 Definitions. (((1) Transferee.)) Terms used in chapters 46.12 and 46.16 RCW and this chapter shall have the following meanings except where otherwise defined, and unless where used the context thereof clearly indicates to the contrary:

(1) "Transferee" means ((any)) a person to whom a motor vehicle is transferred, by purchase, gift, or any means other than by creation of a security interest, and any person who, as agent, signs ((and [an])) an odometer disclosure statement for the transferee.

(2) ((Transferor.)) "Transferor" means ((any)) a person who transfers ((his)) ownership in a motor vehicle by sale, gift, or any means other than by creation of a security interest and any person who, as agent, signs an odometer disclosure statement for the transferor.

(3) "Involuntary divestiture((.))" means a change in vehicle ownership without the registered owner's involvement.

[Statutory Authority: RCW 46.12.030 and 46.01.110. 89-16-074 (Order TL/RG 49), 308-56A-620, filed 7/31/89, effective 8/31/89.]

AMENDATORY SECTION (Amending Order TL/RG 49, filed 7/31/89, effective 8/31/89)

WAC 308-56A-640 Odometer disclosure statement--Vehicle dealer transactions. (1) Vehicle dealers ((are required to)) must obtain odometer disclosure statements from the ((selling owner)) transferor of the vehicle. A second odometer disclosure statement must be completed by the vehicle dealer as transferor at the time of wholesale or retail sale ((whether at wholesale or retail)).

(2) Vehicle dealers ((are required to)) must maintain records of((, and complete)) completed odometer disclosure statements on((,)) dealer to dealer vehicle reassignments. ((However))

(3) If the certificate of ownership is unsecure, only the ((prior owner's)) transferor odometer disclosure statement must accompany the application for ((title)) certificate of ownership at the time of retail sale.

(4) Odometer disclosure statement records ((are to)) must be kept by the vehicle dealer for five years.

[Statutory Authority: RCW 46.12.030 and 46.01.110. 89-16-074 (Order TL/RG 49), 308-56A-640, filed 7/31/89, effective 8/31/89.]

AMENDATORY SECTION (Amending Order TL/RG 49, filed 7/31/89, effective 8/31/89)

WAC 308-56A-650 Odometer disclosure statement--Leased vehicles. ((Anytime a lessee is reflected on the certificate of ownership,)) (1) The lessor of a leased vehicle must notify the lessee in writing that the lessee is required to provide to the lessor a written odometer disclosure statement ((regarding the mileage to the lessor)) at the termination of the lease. The ((lessee)) notice may be given ((by the lessor at)) any time after execution of the lease contract and prior to the ((final)) termination of the lease or transfer of ownership.

(2) In addition to the requirements provided in RCW 46.12.124, the odometer disclosure statement must contain the following information:

(((1))) (a) The printed name of the ((person making the disclosure;

(2) The current odometer reading;

(3) The date of the statement;

(4))) lessee completing the odometer disclosure statement. Only one lessee is required to complete and sign the disclosure statement;

(b) The lessee's name and current address;

(((5))) (c) The lessor's name and current address; and

(((6) A complete description of the vehicle is required on the odometer disclosure to include:

(a) Model year

(b) Make

(c) Series and body type

(d) Vehicle identification number

(e) License plate number and state (if available)

(7) The date that the lessor notified the lessee of disclosure requirements;

(8) The date that the completed disclosure statement was received by the lessor;

(9))) (d) The signature of the lessor((;

(10) The signature of the lessee;

(11) One of the following statements:

(a) The mileage reflected is actual to the best of the lessee's knowledge; or

(b) The odometer reading exceeds the mechanical limits of the odometer to the best of the lessee's knowledge; or

(c) The odometer reading is not the actual mileage.

(12) The notice must include the following:

(a) Such notice is required by the Federal Truth in Mileage Act of 1986; and

(b) Failure to complete such notice or providing false information may result in fines and/or imprisonment)).

(3) The lessor shall retain each odometer disclosure statement for five years following the date they terminate a lease or transfer ownership of the leased vehicle.

[Statutory Authority: RCW 46.12.030 and 46.01.110. 89-16-074 (Order TL/RG 49), 308-56A-650, filed 7/31/89, effective 8/31/89.]

AMENDATORY SECTION (Amending Order TL/RG 49, filed 7/31/89, effective 8/31/89)

WAC 308-56A-660 Odometer disclosure statement--Involuntary divestiture. ((Where involuntary divestiture occurs an odometer disclosure statement is required.)) (1) If the interest of an owner in a vehicle passes to another, other than by voluntary transfer, the transferee must complete and sign an odometer disclosure statement pursuant to RCW 46.12.124 and this chapter as the transferor.

(2) When an abandoned vehicle is sold at an abandoned vehicle auction, only the transferee needs to complete an odometer disclosure statement.

(3) When an abandoned vehicle does not sell at an abandoned vehicle auction, an odometer disclosure is not required if the vehicle is subsequently sold by the tow truck operator to a hulk hauler, wrecker or scrap processor.

(4) When an abandoned vehicle does not sell at an abandoned vehicle auction, an odometer disclosure statement is required to be completed by the tow truck operator as transferee when the vehicle ownership is transferred to the tow truck operator.

[Statutory Authority: RCW 46.12.030 and 46.01.110. 89-16-074 (Order TL/RG 49), 308-56A-660, filed 7/31/89, effective 8/31/89.]

AMENDATORY SECTION (Amending Order TL/RG 49, filed 7/31/89, effective 8/31/89)

WAC 308-56A-670 Odometer disclosure statement--Dealer auction companies. (1) When ((the)) a vehicle is sold by a vehicle dealer, doing business as an auction company to a nondealer, the dealer auction company must complete the odometer disclosure statement as the transferor.

(2) Vehicle dealer auction companies must retain the following odometer records ((for)), in addition to the records required in WAC 308-56A-640, for five years on each vehicle sold:

(((1))) (a) Name of the most recent owner, other than the auction company;

(((2))) (b) Name of the buyer;

(((3))) (c) Vehicle identification number; and

(((4))) (d) Odometer reading of the vehicle for the date on which the auction company took possession of the vehicle.

[Statutory Authority: RCW 46.12.030 and 46.01.110. 89-16-074 (Order TL/RG 49), 308-56A-670, filed 7/31/89, effective 8/31/89.]

AMENDATORY SECTION (Amending Order TL/RG 49, filed 7/31/89, effective 8/31/89)

WAC 308-56A-680 Odometer disclosure statement--Out-of-state vehicles. ((Any vehicle previously)) Vehicles last titled in another ((state)) vehicle licensing jurisdiction must include an odometer disclosure statement when application is made for a ((Washington)) certificate of ((title)) ownership or registration. A foreign jurisdiction odometer disclosure statement must satisfy the provisions of RCW 46.12.124 or the federal Truth in Mileage Act of 1986. Odometer disclosure statements on out-of-state titles are acceptable, provided the form is issued/approved by the foreign jurisdiction and has the appropriate odometer readings required by the Truth in Mileage Act of 1986.

[Statutory Authority: RCW 46.12.030 and 46.01.110. 89-16-074 (Order TL/RG 49), 308-56A-680, filed 7/31/89, effective 8/31/89.]

AMENDATORY SECTION (Amending Order TL/RG 49, filed 7/31/89, effective 8/31/89)

WAC 308-56A-690 Odometer disclosure statement--Forms. All odometer disclosure statement forms submitted with applications for certificates of ownership must be approved by the department ((of licensing to ensure they are in)) for compliance with the Federal Truth in Mileage Act of 1986.

[Statutory Authority: RCW 46.12.030 and 46.01.110. 89-16-074 (Order TL/RG 49), 308-56A-690, filed 7/31/89, effective 8/31/89.]

REPEALER

The following section of the Washington Administrative Code is repealed:

308-56A-630 Odometer disclosure statement--Exemptions.

© Washington State Code Reviser's Office