The bill amends Iowa's laws concerning the custody and disposal of abandoned vehicles, primarily by adjusting notification and reclamation timelines. It reduces the notice period for registered owners and lienholders from twenty days to ten days after a vehicle is taken into custody. Conversely, it extends the reclamation period for owners and claimants to retrieve their vehicles or personal property from ten days to twenty days. New provisions allow private entities to charge fees for towing, preservation, and storage during the first twenty-four hours, with no additional fees accruing until proper notice is given. If a private entity fails to send the required notice, they forfeit the right to claim payment for any associated fees.

Additionally, the bill modifies the distribution of proceeds from the sale of abandoned vehicles, allowing private entities or police authorities to recover only their incurred costs, excluding bookkeeping and administrative expenses. It changes the holding period for proceeds from 90 days to 30 days for lienholders and an additional 60 days for vehicle owners. The bill also mandates that remaining proceeds be deposited into the statutory allocations fund (SAF) rather than the road use tax fund. New notification requirements are established, requiring the selling entity to inform the original vehicle owner and lienholders of the remaining proceeds within ten days of the sale. If proper notice is given and the parties do not reclaim the vehicle within the specified period, they forfeit their rights to the vehicle and its contents. The bill also enhances consumer protection by allowing individuals to seek damages for violations related to abandoned vehicle handling.

Statutes affected:
Introduced: 321.89, 321.90, 321.105