Committee adopts second substitute to require branded titles, NMVIS checks for out-of-state vehicles

Representative Tesher presented a second substitute to House Bill 228 to address title "washing" where vehicles damaged in other states receive clean titles when retitled in Utah. The substitute lists specific branded-title categories (flood, fire, hail, stolen/recovered, rebuilt/restored, gray-market) and requires the DMV to perform a title search in the National Motor Vehicle Title Information System when issuing a Utah title for an out-of-state vehicle.

Tesher told the committee the substitute preserves the existing safety-inspection process for rebuilt vehicles but requires that a Utah-issued title reflect any prior total-loss branding that should have been recorded elsewhere. He said the change protects consumers by providing clearer historical information on a vehicle's prior significant damage.

The committee adopted the second substitute by motion and then voted to give HB 228 (second substitute) a favorable recommendation by voice vote. No public testimony was recorded on the floor for this bill during the committee hearing.

What happens next: HB 228 (second substitute) will be scheduled for floor consideration. The substitute aims to close a paperwork loophole and add transparency for used-vehicle buyers.