House of Representatives

SB 1250

watercraft; towing companies; notice

Sponsors: Senator Aguirre, Representatives Avelar, Cooley: Senator Petersen

 

X

Committee on Transportation

 

Caucus and COW

 

Third Read

This bill as introduced contains a PROP 108 clause.

 

As Passed the House

 

SB 1250 permits a towing company in possession of a watercraft to obtain information from the Game and Fish Department regarding a watercraft registration record in order to allow the company to notify the owner of the towing company’s intent to sell the watercraft.  The bill also establishes procedures for the Department and towing companies to follow regarding the disposition of an abandoned watercraft.

 

History

Arizona Administrative Code (ACC) establishes procedures for abandoned or unreleased watercraft registration.  The ACC states that after an application has been submitted by a towing company for registration of an abandoned or unreleased watercraft, the Department is required to attempt to send written notice of the towing company’s application to obtain ownership of the watercraft to the registered owner of the watercraft. Within 45 days from the submittal of the application to register the watercraft by the towing company, the Department is required to report to the towing company one of the following:

1.      The registered owner provided written release of ownership of the watercraft, allowing the towing company to register the watercraft.

2.      The registered owner declined to release interest in the watercraft, and therefore the Department is prohibited from registering the watercraft to the towing company unless the company can prove ownership by other legal remedy.

3.      The Department was unable to contact the registered owner of the watercraft.

 

In order to register a watercraft if the Department fails to contact the registered owner, the towing company is required to advertise, twice, two weeks apart, in a newspaper of statewide general circulation in the state and any other state the watercraft is traceable to. The notice shall state that the Department shall register the watercraft to the towing company if no other person can prove ownership.  Thirty days after the second newspaper advertisement the towing company is required to submit proof of publication to the Department and then may apply for registration of the watercraft.

 

Currently, the Department is prohibited from divulging watercraft registration information to a towing company that is in possession of a watercraft for the purposes of contacting the owner unless the name of the owner and specific watercraft information can be produced by the tower.

Arizona statutes do not currently contain procedures for towing companies to follow in cases of abandoned watercraft.

 

Provisions

 
Initial Tow Requirements

 

·        Permits the Department to divulge information from a watercraft registration record to a towing company in possession of a watercraft in order to allow the towing company to notify the registered owner and any lienholders, if known, of record of the company’s intent to sell the watercraft.

·        Requires towing company towing a watercraft to provide written notification to the owner and lienholder of the watercraft’s location.

·        Requires towing company in possession of a watercraft not removed from the towing company’s premises within ten days of receipt of notice to submit a report of the watercraft to the Director of the Arizona Game and Fish Department and pay all required fees.

 
Abandoned Watercraft/Notice of Transfer

 

·        Requires the Director, on receipt of an abandoned watercraft report to determine the names and addresses of the owner, lienholder, or any person who may have interest in the watercraft by searching the Department records or determining if the watercraft is registered in another state.

·        Requires the Director upon determining the names and addresses of the owner and lienholder to notify interested parties by mail within five business days if the watercraft has a record in the state and within thirty days if there is no record of it in the state.

·        Specifies that the notice issued by the Director contain the following:

1.      A complete description of the watercraft.

2.      A notice to transfer ownership if within thirty days the watercraft is unclaimed.

3.      The watercraft’s hull identification number.

4.      The state issued registration number assigned to the watercraft

5.      The place from which and date the watercraft was towed.

6.      The storage location of the watercraft.

 

·        States that if the names and addresses of the owner and interested parties cannot be determined the department shall publish a notice of the intent of the director to transfer ownership of the towed watercraft in a publication of general circulation in the county in which the watercraft was towed.

·        Requires the towing company that filed the report of the unclaimed watercraft to notify the director within 24 hours if the watercraft is released to the owner.

 

 

Unclaimed Watercraft/ Transfer of Ownership

 

·        States that if a watercraft remains unclaimed thirty days from the date indicated in the notification the director shall make an inquiry to determine if the watercraft is stolen.

·        Allows the director to transfer ownership to the towing company if it is determined that the watercraft is not stolen.

·        Requires towing company to complete and sign an application of ownership containing a certified statement that asserts that no person presented proof of ownership or proof of interest in the watercraft possessed by the towing company and entered into an agreement for the release or return of the watercraft.

·        Exempts the state, its agencies and employees from liability for relying in good faith on the contents of the reports and affidavits.

·        Exempts the towing company from liability for obtaining a transfer of ownership of a watercraft in the company’s possession if the company complies with the provisions of the article.

 

Miscellaneous

 

·        Permits the Department to adopt rules to carry out the requirements of the article and to establish by rule a fee for processing an abandoned watercraft report.

·        Contains a prop 108 clause.

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·        45th Legislature                 

·        Second Regular Session      3          April 6, 2002

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