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Dealer Bulletin 24-4 | 2024 Legislative Changes

Act 165 - An act relating to miscellaneous changes to laws related to the Department of Motor Vehicles, motor vehicles, and vessels: This year’s Miscellaneous Bill (Act 165) contained several motor vehicle laws that are pertinent to dealers. The following information highlights the sections of the Act we feel would be of most interest to our partners.  You can view these Acts in their entirety on the legislative home page of the state website:

Unless otherwise noted, the following sections become effective on July 1, 2024.

Sec. 1-2 [23 VSA § 4] Clarifies the definition of a “Dealer” and “Transporter” so that niche businesses who do not sell enough vehicles to classify as a dealer can still get plates under the classification of transporter.  A transporter may self-certify as such.

Sec. 3 [23 VSA § 4] Changes the definition of “all-surface vehicle” to allow vehicles having 8 (previously 6) tires be classified as an all-surface vehicle.                                                                                              

Sec. 4-9 [23 VSA § 117, 2017(c), 2027(c), 2092, 3810(b)(1), & 3820(c)] Clarifies language involving record keeping for vehicle titling.  All records of titles must be kept in an electronic format for 5 years. This includes all exempted titles, surrendered titles, and salvaged titles. 

Sec. 10-12 [23 VSA § 301, 303(a), 304(c)] Clarifies language to allow for only residents of Vermont to register a vehicle in Vermont.  “Resident” could include any temporary or part-time resident who has a physical connection to Vermont.  The language prevents out-of-state persons or businesses from circumventing home state laws by registering a vehicle in Vermont for mal intended purposes.  Low number plate requirements have changed to include vehicles less than 26,001 lbs.

Sec. 13 [23 VSA § 327] Establishes language for refunds for unused plates.  Defines the amount owed for unused/cancelled registrations according to when they are cancelled.

Sec. 14-16 [23 VSA § 1125, 1222] Creates language that will make tinted windows fail inspection rather than an advisory at time of inspection.  Language requires the administrative rules process in updating the inspection manual (CVR 14-050-022).  Language also includes public outreach so that it is understood what constitutes improper tinting. Effective Date: July 1, 2026

Sec. 26-30 [23 VSA § 2001(15), 2002(a)(1), 2012, 2016, 2021] All vehicle registrations, with ownership changes, will receive a Vermont title regardless of the vehicle model year.  All vehicles currently exempt from obtaining a title remain exempt, and no action is required. If the vehicle is sold to a new owner, a title will be issued to the new owner when registered. Effective Date: July 1, 2024 (section 28 retroactively on January 1, 2024)

*** More to follow on Sec. 26-30 in a future bulletin. ***

Sec. 34 [13 VSA § 2026] Introduces language to regulate the secondary airbag market to ensure secondary airbags meet federal standards.  It defines what a counterfeit airbag is and establishes a protocol for the installation of a secondary market airbag that is not counterfeit. 

Sec. 35 [23 VSA § 466] Requires dealers who sell a used vehicle to disclose the date of last official inspection.  The disclosure must be delivered in writing and contain information as to the date of last inspection, the expiration of that inspection, rights of the buyer in terms of having the car inspected, and a statement regarding the potential difference of the condition of the vehicle being sold from its last inspection.

Sec. 36-39 [23 VSA § 7(b), 115, 304] Amends 23 V.S.A. § 361 create EVSE fee for plug-in hybrids ($44.50) and all-electric ($89.00) starting January 1, 2025.

Date signed by Governor: June 6, 2024

If you have any questions or concerns, please contact your area DMV Inspector or the Enforcement & Safety Office at (802) 828-2067 during normal business hours. 

Inspector Region Map - VN-120-DMV_Inspector_Regions.pdf (