The Minnesota Senate Transportation Committee on Feb. 10 approved an author's amendment and advanced Senate File 950 to the Commerce Committee, a bill intended to let insurance companies and auto-auction businesses obtain titles for certain total-loss or abandoned vehicles when existing title transfer channels are blocked.

Supporters told the committee the change would align Minnesota with many neighboring states and reduce the operational and storage problems that arise when insurers or yards cannot secure a vehicle's title. Todd Hill, a consultant for Copart, testified that Copart operates three Minnesota locations and “there are times when an insurance carrier has brought a vehicle to one of Copart's locations that's been declared a total loss” but “the insurance company is unable to acquire the title.” He said the bill would create a process for insurance carriers and auction operators to file for title through DVS after giving notice to the vehicle owner.

Hill said a second scenario the bill addresses is vehicles left at auction or salvage facilities after a claim is denied or remains unsettled. “...with low value vehicles, those cars are often left at our location and we're unable to sell the car, to move the car, or transfer the car,” Hill testified. He told the committee he knew of no organized opposition and asked for support.

Senator Jasinski moved to approve the bill and re-refer it to the Commerce Committee; the motion carried on a voice vote after committee members adopted an A1 amendment earlier in the hearing. Committee discussion was limited and focused on the amendment, which the bill's author said came from Driver and Vehicle Services and stakeholders, and on the bill's technical nature.

The committee record shows only voice votes; no roll-call tally was provided in the transcript. The committee chair indicated the measure will be forwarded to Commerce as amended for further consideration.

The bill, as described in testimony, would create a state process to obtain a certificate of title in the two circumstances described: when an insurer cannot secure title after paying a claim, and when a vehicle is abandoned at an auction or salvage location after a claim is denied or unsettled. Committee discussion did not include text of the DVS notice requirements or timeframes; proponents said the amendment brought the bill into the order needed with stakeholder agreement.

The committee took no additional decisions beyond referring the bill; it did not provide a printed vote tally in the hearing transcript.

The committee will send the amended Senate File 950 to the Commerce Committee for the next step in the legislative process.