LRB-2418/1
ARG:kjf:ch
2005 - 2006 LEGISLATURE
January 3, 2006 - Introduced by Representatives Towns, Vruwink, Ainsworth,
Owens, Gronemus, Van Roy, Ott, Lamb
and Davis, cosponsored by Senators
Kedzie and Breske. Referred to Committee on Transportation.
AB909,1,3 1An Act to amend 218.50 (1), 218.50 (6), 218.51 (2), 218.52 (1) (b) and 218.52 (2);
2and to create 218.50 (4m) and 218.52 (1) (am) of the statutes; relating to: the
3purchase of motor vehicles from motor vehicle salvage pools.
Analysis by the Legislative Reference Bureau
Under current law, a person may not purchase or bid upon a motor vehicle from
a motor vehicle salvage pool unless the person holds a valid buyer identification
(BID) card issued by the Department of Transportation (DOT), the person displays
the BID card to the salvage pool, and the person includes the BID card number on
any bid submitted to the salvage pool. The motor vehicle salvage pool may not accept
a bid or complete the sales transaction unless the bidder satisfies these requirements
and the salvage pool verifies that the BID card number displayed on the bidder's BID
card matches the number included on each sheet of the bid. A "motor vehicle salvage
pool" is defined as a person engaged primarily in the business of selling or
distributing damaged motor vehicles at wholesale (generally, auctioning salvage
vehicles to dealers only).
Also under current law, a motor vehicle salvage dealer's license entitles the
license holder to conduct the business of a motor vehicle salvage dealer and, with
certain exceptions, no person may conduct the business of a motor vehicle salvage
dealer unless licensed to do so by DOT. A "motor vehicle salvage dealer" is defined
as a person who purchases and resells motor vehicles for wrecking, processing,
scrapping, recycling, or dismantling purposes or who carries on or conducts the
business of wrecking, processing, scrapping, or dismantling motor vehicles or selling

parts of motor vehicles so processed. DOT issues motor vehicle salvage dealers'
licenses to persons who meet certain requirements, and license holders are also
subject to certain requirements, particularly when acquiring motor vehicles for
wrecking.
This bill requires that, in addition to all current BID card requirements, in
order for a person to purchase or bid upon a junk vehicle or vehicle titled as a savage
vehicle from a motor vehicle salvage pool, the person must hold a valid motor vehicle
salvage dealer's license, display the salvage dealer's license to the salvage pool, and
include the salvage dealer number on any bid submitted to the salvage pool. The
motor vehicle salvage pool may not accept a bid or complete the sales transaction for
such a vehicle unless the bidder satisfies these requirements and the salvage pool
verifies that the salvage dealer number displayed on the bidder's salvage dealer's
license matches the number included on each sheet of the bid.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB909, s. 1 1Section 1. 218.50 (1) of the statutes is amended to read:
AB909,2,102 218.50 (1) "Buyer identification card" means a card issued by the department
3authorizing that, by itself or in combination with a motor vehicle salvage dealer's
4license, authorizes
the cardholder to bid on and purchase motor vehicles being held
5and offered for sale by a motor vehicle salvage pool and containing that contains the
6full name, business and residence address and a brief description of the cardholder,
7the buyer identification number assigned to the cardholder by the department,
8either a facsimile of the cardholder's signature or a space upon which the cardholder
9shall write his or her name immediately upon receipt of the card and such other
10information as the department specifies.
AB909, s. 2 11Section 2. 218.50 (4m) of the statutes is created to read:
AB909,2,1212 218.50 (4m) "Junk vehicle" has the meaning given in s. 340.01 (25j).
AB909, s. 3 13Section 3. 218.50 (6) of the statutes is amended to read:
AB909,3,4
1218.50 (6) "Qualified applicant" means a motor vehicle dealer, wholesaler, or
2salvage dealer licensed under this chapter, a motor vehicle dealer, wholesaler, or
3salvage dealer licensed in another jurisdiction, or an employee of a motor vehicle
4dealer, wholesaler, or salvage dealer under this subsection.
AB909, s. 4 5Section 4. 218.51 (2) of the statutes is amended to read:
AB909,3,86 218.51 (2) A Subject to s. 218.52 (1), a buyer identification card entitles a
7cardholder to purchase or submit bids for the purchase of a motor vehicle from a
8motor vehicle salvage pool during the buyer identification card period.
AB909, s. 5 9Section 5. 218.52 (1) (am) of the statutes is created to read:
AB909,3,1210 218.52 (1) (am) If the motor vehicle is a junk vehicle or is titled as a salvage
11vehicle under s. 342.065, the person holds a valid motor vehicle salvage dealer
12license.
AB909, s. 6 13Section 6. 218.52 (1) (b) of the statutes is amended to read:
AB909,3,1914 218.52 (1) (b) The person displays his or her valid buyer identification card and,
15if required under par. (am), valid motor vehicle salvage dealer's license
to the salvage
16pool and includes his or her buyer identification number and, if applicable, salvage
17dealer license number
on each sheet of any bid submitted to a motor vehicle salvage
18pool for the purchase of a motor vehicle or other document evidencing the purchase
19of a motor vehicle from a motor vehicle salvage pool.
AB909, s. 7 20Section 7. 218.52 (2) of the statutes is amended to read:
AB909,4,621 218.52 (2) No motor vehicle salvage pool may accept a bid for the purchase of
22a motor vehicle or complete the sales transaction unless the person who submits the
23bid or offers to purchase a motor vehicle from the motor vehicle salvage pool satisfies
24the conditions under sub. (1) (b) and the motor vehicle salvage pool verifies that the
25buyer identification number displayed on the person's buyer identification card and

1included on each sheet of that person's bid or other document evidencing the
2purchase of a motor vehicle are identical and, if a motor vehicle salvage dealer license
3is required under sub. (1) (am), that the motor vehicle salvage dealer license number
4displayed on the person's salvage dealer's license and included on each sheet of that
5person's bid or other document evidencing the purchase of a motor vehicle are
6identical
.
AB909, s. 8 7Section 8. Initial applicability.
AB909,4,98 (1) This act first applies to purchases of or bids upon vehicles occurring on the
9effective date of this subsection.
AB909,4,1010 (End)
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