This bill introduces a new chapter, Chapter 3.4, titled "Electronic Registration and Titling," to Title 31 of the General Laws concerning motor vehicles. It permits the division of motor vehicles to implement electronic systems for lien, titling, and registration processes, enabling business entities and financial institutions to conduct transactions electronically. The bill mandates that applications for registration certificates and titles be submitted electronically, with exceptions for businesses that submit fewer than 25 transactions annually. It outlines procedures for the electronic transmission of liens and lien satisfactions, stating that a certificate of title need not be issued until all liens are satisfied.

Additionally, the division may create a secure digital vehicle title system that is fully paperless and provides title holders with online, real-time access to motor vehicle titles and their status. A secure digital vehicle title produced under this statute will be regarded as an official vehicle title from the State of Rhode Island and will be fully transactable within the state and all other U.S. jurisdictions. The bill also allows for a per-transaction fee for the use of electronic lien, electronic titling, electronic registration, and secure digital vehicle titling systems, which must be consistent with market pricing.

Furthermore, the bill amends existing laws related to vehicle transfers, allowing for the use of written or electronic forms prescribed by the department of revenue, and specifies that mileage information must be accurately recorded. It allows for electronic signatures on required forms, eliminating the need for notarization. The implementation of Chapter 3.4 is set to take effect on July 1, 2026, while the amendments to vehicle transfer laws will take effect upon the implementation of the electronic registration and titling system.

Statutes affected:
5458: 31-23.2-6
5458  SUB A: 31-23.2-6
5458  SUB A as amended: 31-23.2-6