SB463 Alabama 2015 Session

Summary

Primary Sponsor

Paul Sanford

Republican

Session

Regular Session 2015

Title

Motor vehicles, salvage pools and salvage disposal, qualifications for sales revised, notice to purchasers required, surety bond requirements revised, Secs. 40-12-414, 40-12-421 am'd.; Sec. 40-12-422 repealed

Summary

SB463 broadens who may buy at salvage pools, changes bond rules for licensees, updates buyer identification card requirements, and repeals a rule about out-of-state salvage dealers.

What This Bill Does

Allows any firm, person, or corporation from another state with a similar salvage license to buy at Alabama salvage pools or salvage disposal sales, not just Alabama licensees and their staff. Requires licensees to post a bond with the Alabama Commissioner of Revenue (the same amount and form as the bond used for motor vehicle dealers), with the department able to approve an alternative bond by rule. Updates the buyer's identification card process by removing some unspecified requirements while maintaining key steps (application to the Department of Revenue, a $10 processing fee, card validity as long as the holder remains licensed, non-transferability, and limits on how many agents/employees may hold cards). Repeals Section 40-12-422, which previously related to salvage dealers licensed in other states.

Who It Affects

• Group 1: Alabama-licensed automotive dismantlers and parts recyclers (and their agents/employees) who buy at salvage pools. They would face new cross-state eligibility, bond requirements, and updated buyer ID card rules.
• Group 2: Firms, persons, or corporations domiciled in other states (with similar salvage licenses) that want to buy at Alabama salvage pools. They would become eligible to purchase, must obtain a buyer's identification card under the new process, and are affected by the repeal of the existing out-of-state salvage dealer provision.

Key Provisions

• Bond requirement changes: (a) deposit cash $10,000 or obtain a continuing bond of $10,000 with a qualified surety; (b) department may permit a different bond under rule to substitute for the required bond.
• Expanded eligibility to purchase: salvage pool/disposal sales opened to any out-of-state firm/person/c corporation with a similar license, beyond Alabama licensees.
• Buyer’s identification card: licensees must obtain a separate card to buy; process includes application, required information, and a $10 fee; card is valid while the holder remains a licensed dismantler/recycler and non-transferable; up to three agents/employees may hold a card; bidding without a valid card remains unlawful; existing cards are revoked and must be re-applied for.
• Repeal and effective date: repeal of Section 40-12-422 (out-of-state salvage dealer provisions) and effective date set for October 1, 2015.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Motor Vehicles