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A00497 Summary:

BILL NOA00497
 
SAME ASSAME AS S03251
 
SPONSORMagnarelli
 
COSPNSRSimon, Levenberg
 
MLTSPNSR
 
Amd §§2101, 2107, 2109, 2112, 2117 & 2119, V & T L
 
Provides for the electronic transmission of vehicle certificate of titles.
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A00497 Actions:

BILL NOA00497
 
01/08/2025referred to transportation
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A00497 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A497
 
SPONSOR: Magnarelli
  TITLE OF BILL: An act to amend the vehicle and traffic law, in relation to providing for the electronic transmission of certain documents   PURPOSE OR GENERAL IDEA OF BILL: To allow for the electronic transmission of vehicle titles from the Department of Motor Vehicles to the vehicle owner.   SUMMARY OF SPECIFIC PROVISIONS: Section 1 amends Vehicle and Traffic Law Article 46 Section 2101 to include electronic transmission. Section 2 amends Vehicle and Traffic Law Article 46 Section 2107 to allow for the delivery of vehicle titles to lienholders. Section 3 amends Vehicle and Traffic Law Article 46 Section 2109 to allow for the delivery of titles to vehicle owners. Section 4 amends Vehicle and Traffic Law Article 46 Section 2112 to allow for the delivery of titles when title is lost or stolen. Section 5 amends Vehicle and Traffic Law Article 46 Section 2117 to allow for the delivery of titles to transferees of ownership. Section 6 amends Vehicle and Traffic Law Article 46 Section 2119 to allow for the delivery of titles to transferees of liens. Section 7 establishes the effective date.   JUSTIFICATION: As more industries utilize digital methods of operation, it is critical that New York State keep up with public and commercial demand and streamline services that only it can provide. Currently, when DMV deliv- ers original documents to New Yorkers, such as vehicle titles, it must provide a physical document. This legislation streamlines the process and acknowledges that secure items can be safely transferred solely through digital means. By allowing for the digital delivery of a vehicle title, certain aspects of business in New York State can be completed nearly instantaneously, such as replacing a lost title, transferring a lien, or transferring the title to a new vehicle owner. This will save the state money by increas- ing efficiencies, and provide for a more convenient process for resi- dents and businesses.   PRIOR LEGISLATIVE HISTORY: 2023-2024: A.6413   FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: Increased revenues to the State in an amount to be determined due to increased efficiencies in processing.   EFFECTIVE DATE: This act shall take effect immediately.
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A00497 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                           497
 
                               2025-2026 Regular Sessions
 
                   IN ASSEMBLY
 
                                       (Prefiled)
 
                                     January 8, 2025
                                       ___________
 
        Introduced  by  M.  of  A. MAGNARELLI, SIMON, LEVENBERG -- read once and
          referred to the Committee on Transportation
 
        AN ACT to amend the vehicle and traffic law, in  relation  to  providing
          for the electronic transmission of certain documents

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Subdivision (f) of section 2101 of the vehicle and  traffic
     2  law, as added by chapter 1134 of the laws of 1971, is amended to read as
     3  follows:
     4    (f)  To  "mail"  means  to  deposit in the United States mail properly
     5  addressed and with postage prepaid, or electronically transmitted.
     6    § 2. Subdivision (c) of section 2107 of the vehicle and  traffic  law,
     7  as  added  by  chapter  521  of  the laws of 1972, is amended to read as
     8  follows:
     9    (c) When the commissioner issues a certificate of title for a  vehicle
    10  as a result of an original application for a title or as a result of the
    11  filing  of  a security interest, [he] such commissioner shall also issue
    12  and mail or have electronically transmitted to the lienholder  or  lien-
    13  holders  named  in  the  original  application, or to the lienholder who
    14  filed the subsequent security interest a notice of recorded lien.
    15    § 3. Section 2109 of the vehicle and traffic law, as added by  section
    16  1134 of the laws of 1971, is amended to read as follows:
    17    § 2109. Delivery.  The  certificate  of title shall be mailed or elec-
    18  tronically transmitted to the owner.
    19    § 4. Subdivision (a) of section 2112 of the vehicle and  traffic  law,
    20  as  amended  by  chapter  175 of the laws of 1982, is amended to read as
    21  follows:
    22    (a) If a certificate of title is lost, stolen, mutilated or  destroyed
    23  or  becomes  illegible,  the  owner or legal representative of the owner
    24  named in the certificate, as shown by the records of  the  commissioner,

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD01126-01-5

        A. 497                              2
 
     1  shall  promptly  make  application  for  and may obtain a duplicate upon
     2  furnishing information satisfactory  to  the  commissioner.  Unless  the
     3  original  certificate  of  title is surrendered to the commissioner, the
     4  duplicate  certificate  of  title  shall  contain  the legend "This is a
     5  duplicate certificate and may be subject to the rights of a person under
     6  the original certificate." It shall be mailed or  electronically  trans-
     7  mitted to the owner.
     8    § 5. Subdivisions (a) and (b) of section 2117 of the vehicle and traf-
     9  fic  law,  as  added by chapter 1134 of the laws of 1971, are amended to
    10  read as follows:
    11    (a) The commissioner, upon receipt of a properly assigned  certificate
    12  of  title,  with  an  application  for  a  new certificate of title, the
    13  required fee and any other documents required by law,  shall  check  the
    14  identifying  number  of  the  vehicle against the appropriate records of
    15  vehicles required to be maintained, issue a new certificate of title  in
    16  the  name  of  the  transferee as owner and mail it or have it electron-
    17  ically transmitted to the owner.
    18    (b) The commissioner, upon receipt of an application for a new certif-
    19  icate of title by a transferee other than by  voluntary  transfer,  with
    20  proof of the transfer, the required fee and any other documents required
    21  by  law,  shall  check the identifying number of the vehicle against the
    22  appropriate records of vehicles required to be maintained, issue  a  new
    23  certificate  of title in the name of the transferee as owner and mail it
    24  or have it electronically transmitted to the owner. If  the  outstanding
    25  certificate  of  title  is  not delivered to the commissioner, [he] such
    26  commissioner shall demand it from the holder thereof.
    27    § 6. Subdivisions (b) and (c) of section 2119 of the vehicle and traf-
    28  fic law, as added by chapter 1134 of the laws of 1971,  are  amended  to
    29  read as follows:
    30    (b)  The  lienholder  shall, immediately after the owner complies with
    31  subdivision (a), cause the certificate, application and the required fee
    32  to be mailed, electronically transmitted or delivered to the commission-
    33  er.
    34    (c) Upon receipt of the certificate  of  title,  application  and  the
    35  required  fee, the commissioner shall either endorse on the certificate,
    36  or issue a new certificate containing, the name and address of  the  new
    37  lienholder,  and  mail or electronically transmit the certificate to the
    38  owner.
    39    § 7. This act shall take effect immediately.
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