IndianaHB 1390First Regular Session 124th General Assembly (2025)HouseWALLET

Bureau of motor vehicles.

Sponsored By: Jim Pressel (Republican)

Signed by Governor

Summary

Provides the records of the bureau of motor vehicles (bureau), for purposes of showing the last registered owner of a vehicle when obtaining a certificate of title for a repossessed vehicle, mean records related to certificate of titles or registrations. Allows the bureau to issue an electronic certificate of registration. Requires a toll operator to invoice a user not later than one year after a toll is incurred. Allows the bureau to issue a temporary registration permit at the bureau's discretion if a person meets certain requirements. Allows the bureau to offer alternative designs or color scheme versions of license plates. Requires a customer who selects both an alternative design or color scheme and a personalized license plate message for a license plate to pay two separate fees. Amends the requirements for a special group recognition license plate. Allows an insurance company to submit a signed or unsigned certificate of title for the issuance of a certificate of salvage title. Provides that a slow moving vehicle emblem and the emblem's position of mounting must substantially adhere to certain recommendations. Repeals provisions concerning the Indiana criminal justice institute's rulemaking authority concerning slow moving vehicle emblems. Provides that a commercial driver's license (CDL) may include an intrastate passenger transport endorsement if the applicant is at least 18 years of age. Provides maximum prices that public and private institutions and other entities may charge for conducting skills exams. Provides that a learner's permit, driver's license, identification card, and photo exempt identification card expire upon the bureau receiving notice of the death of the holder or upon issuance of a subsequent physical credential. Effective January 1, 2028, requires the bureau to maintain a secure online insurance verification system to verify proof of a driver's financial responsibility. Establishes the real time insurance verification advisory board. Allows a law enforcement officer to include in a written accident report whether a driver's medical impairment may have contributed to an accident. Removes the population requirement for a county to enter into an interlocal cooperation agreement with an adjacent county to allow a public transportation corporation to provide expanded service beyond the boundary of the county in which it is located. Prohibits a person from advertising: (1) a product containing marijuana; or (2) a controlled substance listed in schedule I; by any medium. Adds to the definition of a "consumer transaction" for purposes of deceptive consumer sales. Requires a towing company to release property to a consumer if the consumer pays a percentage of the towing invoice, obtains a bond for the remaining amount of the invoice, and provides a copy of a complaint filed with the attorney general. Requires a city, county, or town to credit the proceeds from the sale of an abandoned vehicle or parts against the costs of removal, storage, and disposal of the vehicle. Establishes rates a towing company may charge for fees for emergency towing or private property towing. Allows a county to mow or maintain any grass or vegetation in a right-of-way that is owned by the state and located in the county if the county obtains a permit from the office of the Indiana department of transportation district in which the county is located.

roads and transportationthe senatehomeland security and transportationappropriations

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Bill Overview

Analyzed Economic Effects

29 provisions identified: 15 benefits, 5 costs, 9 mixed.

License pathway for teens with disabilities

Beginning July 1, 2025, applicants with disabilities can qualify for a driver's license at age 16 years and 90 days. They must hold a valid learner's permit for at least 180 days and pass required tests. They must complete driver rehabilitation training with a bureau-recognized certified specialist. They must also submit proof of 50 supervised driving hours, including at least 10 at night.

Younger drivers gain commercial endorsement options

Beginning July 1, 2025, commercial driver's license applicants age 18 or older may qualify for two specified endorsements. These cover hazardous materials and passenger transport within Indiana. Other endorsements covered by this rule still require applicants to be at least 21.

Counties gain cross-border public transit options

Beginning July 1, 2025, neighboring counties can agree to let a public transportation corporation serve beyond its home county. The law removes the former population-range restriction. Expanded service must still follow applicable state conditions. The law allows expansion but does not require new routes or provide a funding amount.

Less paperwork for salvage vehicle titles

Beginning July 1, 2025, owners or lienholders can electronically sign title assignments after an insurer makes and pays an agreed settlement. These assignments no longer need notarization. Salvage-title applicants must surrender titles or other ownership papers only when they possess them. Accepted ownership proof can include paper or electronic signatures, with or without notarization, and can accompany signed or unsigned titles. The motor vehicle bureau can also accept a signed title as other ownership proof.

Local options for longer residential parking

Beginning July 1, 2025, a consolidated city can adopt a different removal wait for certain abandoned vehicles. The local wait must be at least 72 hours and no more than 14 days. The ordinance must aim to let residents park vehicles registered to their home on the street outside it. The different wait applies only when the city adopts an ordinance.

Clearer towing bills and vehicle release rights

Towing companies must make detailed, itemized bills available within one business day after completing a tow or receiving needed billing information. They must keep bills and receipts for two years and provide copies within 48 hours of an authorized written request. Beginning July 1, 2025, police must regularly review towing-list rates and exclude companies charging unreasonable fees. Properly identified owners or lienholders must receive their vehicles during regular office hours after paying all towing, storage, and allowed fees. Release follows required procedures and does not apply when a police hold or pending lawsuit prevents it.

Consumer protections now cover emergency towing

Beginning July 1, 2025, consumer sales protections cover emergency towing transactions involving personal and commercial vehicles. Emergency towing includes towing and storage after a public-road crash or an emergency requiring removal for public safety. Coverage applies with or without the owner's consent. Towing companies and storage facilities must give local police or the attorney general requested invoices and supporting records. Those records include payroll documents and third-party invoices included in the bill.

Drivers must receive timely toll bills

Beginning July 1, 2025, toll-road authorities must bill drivers within one year after they incur a toll. Operators of covered public-private toll-road projects must also bill user fees within one year after the operator incurs the toll. These deadlines limit delayed billing; they do not lower toll amounts.

Driving skills tests get fee caps

Beginning July 1, 2025, skills tests under the testing program have maximum fees. Indiana Department of Transportation employees and school bus drivers pay no more than $150 per exam. Other applicants pay at most $200 for the first exam, $150 for the second, and $100 for later exams.

Limits on towing and storage charges

Beginning July 1, 2025, towing, cleanup, and storage fees must be reasonable, and storage charges must follow state limits. State police-requested emergency tows follow filed, agreed rates; local police-requested tows follow local rates when available. Otherwise, state police district rates and applicable district agreement caps apply. Private-property tows follow an agreement's rates, or applicable local rates when no agreement exists. Companies cannot exceed applicable contract fees for ordered tows or their agreement rate for another company's emergency towing.

Seven days before covered residential towing

Beginning July 1, 2025, covered police towing contracts must allow up to seven days before towing from outside a resident's home. This applies in a county containing a consolidated city. The vehicle must be parked on the street outside the residence and registered to that address.

Real-time checks for drivers' insurance coverage

Beginning January 1, 2028, the motor vehicle bureau must maintain a secure online system for real-time insurance checks. Insurers must allow access through the system. The bureau and police must use it when legally required to check a driver's financial responsibility. If the system cannot determine compliance, the bureau must use another method allowed by law. Proof can also be filed or verified through the system.

Police towing lists get stronger oversight

Beginning July 1, 2025, police agencies must use written emergency towing policies or contracts. Policies established and contracts signed, changed, or renewed after June 30, 2025, must list rates, fees, equipment, and service standards. They must ban unlisted charges and allow suspension or removal of companies that violate their terms. Agencies can go outside their towing rotation when needed emergency equipment or capacity requires it. State police can audit a company's trucks and equipment before adding it to their rotation.

Updated road rules for work vehicles

Beginning July 1, 2025, certain construction vehicle combinations are exempt from the 60-foot limit for two coupled vehicles. The exemption requires a towbar connection and a trailer used to haul heavy equipment. Required slow-moving vehicle emblems must be mounted about 2 to 10 feet above the road, replacing 3 to 5 feet. Emblems must also substantially follow the specified agricultural engineering, national standards, and automotive engineering recommendations.

Clearer title access for repossessing lenders

Beginning July 1, 2025, a lienholder can qualify for title to a repossessed vehicle using the bureau's last-registration records. Those records must identify the person from whom the vehicle was repossessed as its last registered owner. The lienholder must still follow the applicable title requirements and satisfy the bureau that it is entitled to title.

Replacement credentials invalidate older physical cards

Beginning July 1, 2025, physical learner's permits, driver's licenses, and identification cards expire when the bureau issues a subsequent physical credential. Driver's licenses, identification cards, photo-exempt identification cards, and learner's permits also expire when the bureau receives notice of the holder's death. The death-notice rule includes motorcycle and commercial learner's permits.

Towing referral payments require signed contracts

Towing companies and storage facilities need a signed contract with a referral source before offering referral payments. Beginning July 1, 2025, towing companies also cannot provide referral compensation without a prior contract.

Groups need more specialty plate pledges

Beginning July 1, 2025, groups seeking their first special recognition license plate need 1,000 purchase pledges, up from 500. The petition must contain dated signatures from Indiana residents pledging to buy the plate. All signatures must be collected within one calendar year.

Specialty plate groups face sales targets

Specialty plate groups must meet sales or renewal targets to stay in the program. The target is 500 plates for plates issued before January 1, 2026, and 1,000 for plates issued afterward. Groups must reach the applicable target within the first two years and in each later year. A group gets only one probation year and must meet its target during that year to continue.

Marijuana ads face bans and penalties

The law bans ads in any medium for products containing marijuana or Indiana Schedule I controlled substances. Ads under contracts entered into or renewed before the chapter's effective date are exempt. The attorney general can seek court orders stopping violations and recover reasonable investigation and litigation costs. Civil penalties reach $5,000 for a first violation, $10,000 for a second, and $15,000 for each later violation. Collected penalties go to the state general fund.

Electronic registration and temporary permit options

Beginning July 1, 2025, the motor vehicle bureau can deliver registration certificates electronically or provide online access. Drivers must still carry the certificate or a readable copy and show it when an officer asks. The bureau can also issue temporary registration permits at its discretion. Applicants must provide proof of financial responsibility, pay the existing $18 fee, and use the bureau's required application process. Meeting those requirements does not guarantee a permit.

Motorcycle learners get new permit limits

Beginning July 1, 2025, a person can receive no more than three motorcycle learner's permits within five years. This replaces the one-time renewal rule and the one-year wait after an expired renewed permit.

Custom plates have fees and refunds

An optional plate design or color scheme costs $45 once, and a personalized message costs a separate $45 once. Choosing both costs $90. Beginning July 1, 2025, the bureau must refund the full $45 message fee if neither the requested configuration nor a satisfactory alternative is available. The refund does not apply when the applicant cancels the request.

Recover towed property with upfront costs

Beginning July 1, 2025, properly identified owners or lienholders can recover towed property, including trucks, trailers, and cargo, during charge disputes. They must pay 75% of the bill, provide proof of a bond for 25%, and supply an attorney general complaint. The complaint must allege a covered towing-law violation or unreasonable towing or storage charges. The facility must release the property within 24 hours after receiving these items. For unresolved invoice disputes, the owner must file a court complaint within 30 days after providing the release materials. The court sets a reasonable charge and may order payments, refunds, or penalties; the bond covers failure to obey its order.

Stronger access rights for stored vehicles

Beginning July 1, 2025, towing services and storage yards cannot charge owners, lienholders, or insurer representatives for inspection or item pickup. Properly identified owners and lienholders can inspect stored vehicles during regular office hours before paying costs or getting them released. Insurer representatives can inspect vehicles covered by an active policy. A retrieval fee is allowed only as state law permits. Facilities cannot charge storage for a day when they deny release or inspection during regular office hours.

Counties can maintain state roadsides locally

Beginning July 1, 2025, counties can mow or maintain grass and vegetation in state-owned rights-of-way within their boundaries. They must first get a permit from the relevant state transportation district office. Counties cannot seek state reimbursement for this work.

Crash impairment reports include officer immunity

Beginning July 1, 2025, officers must note possible medical impairment in investigated crash reports when possible. The report must say whether the officer reasonably believes impairment may have contributed to the crash. Reports remain due to state police within 24 hours after the investigation ends. Officers and agencies are protected from civil or criminal liability for damages tied to identifying or failing to identify that contribution. The law also adds the reporting provision to its civil-liability protection list.

Abandoned vehicle receipts cover costs first

Beginning July 1, 2025, local governments must first credit abandoned-vehicle sale proceeds and specified related receipts against vehicle-handling costs. Those costs include removal, storage, and disposal. Covered receipts include owner or lienholder payments for removal or storage. Any money left must go into the local abandoned vehicle fund.

Temporary board guides insurance verification rollout

The insurance verification advisory board begins July 1, 2025, and its governing chapter expires December 31, 2028. The motor vehicle bureau must provide staff and pay board expenses from its appropriated funds. Members who are not state employees receive no minimum salary per diem. They can receive reimbursement for actual duty-related mileage, travel, and other expenses under approved state procedures. State employee members who are not legislators can also receive duty-related expense reimbursement.

Sponsors & Cosponsors

Sponsor

  • Jim Pressel

    Republican • House

Cosponsors

  • Carey Hamilton

    Democratic • House

  • Dave Heine

    Republican • House

  • Lonnie Randolph

    Democratic • Senate

  • Michael Crider

    Republican • Senate

  • Wendy McNamara

    Republican • House

Roll Call Votes

All Roll Calls

Yes: 240 • No: 39

Senate vote • 4/24/2025

Rules Suspended. Conference Committee Report 1: adopted by the Senate

Yes: 31 • No: 19

House vote • 4/23/2025

Rules Suspended. Conference Committee Report 1: adopted by the House

Yes: 81 • No: 9

Senate vote • 4/8/2025

Third reading: passed

Yes: 38 • No: 11

House vote • 2/13/2025

Third reading: passed

Yes: 90 • No: 0

Actions Timeline

  1. Signed by the Governor

    5/6/2025House
  2. Public Law 227

    5/6/2025House
  3. Signed by the President of the Senate

    4/29/2025Senate
  4. Signed by the President Pro Tempore

    4/24/2025Senate
  5. Signed by the Speaker

    4/24/2025House
  6. Rules Suspended. Conference Committee Report 1: adopted by the Senate; Roll Call 515: yeas 31, nays 19

    4/24/2025Senate
  7. Rules Suspended. Conference Committee Report 1: adopted by the House; Roll Call 537: yeas 81, nays 9

    4/23/2025House
  8. CCR # 1 filed in the House

    4/23/2025House
  9. CCR # 1 filed in the Senate

    4/23/2025Senate
  10. CCR # 1 filed in the Senate

    4/23/2025Senate
  11. House conferees appointed: Pressel and Hamilton

    4/14/2025House
  12. House advisors appointed: Lawson, Heine, Andrade and Moed

    4/14/2025House
  13. Senate conferees appointed: Crider and Ford J.D.

    4/10/2025Senate
  14. Senate advisors appointed: Spencer and Buck

    4/10/2025Senate
  15. Motion to dissent filed

    4/9/2025House
  16. House dissented from Senate amendments

    4/9/2025House
  17. Returned to the House with amendments

    4/9/2025Senate
  18. Third reading: passed; Roll Call 361: yeas 38, nays 11

    4/8/2025Senate
  19. Second reading: ordered engrossed

    4/7/2025Senate
  20. Senator Randolph added as cosponsor

    4/3/2025Senate
  21. Committee report: amend do pass, adopted

    4/3/2025Senate
  22. Committee report: amend do pass adopted; reassigned to Committee on Appropriations

    3/27/2025Senate
  23. First reading: referred to Committee on Homeland Security and Transportation

    2/20/2025Senate
  24. Referred to the Senate

    2/14/2025House
  25. Third reading: passed; Roll Call 157: yeas 90, nays 0

    2/13/2025House

Bill Text

  • Enrolled House Bill (H)

  • House Bill (H)

  • House Bill (S)

  • Introduced House Bill (H)

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