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House bill would allow vehicle ownership transfers using unsworn affidavit, remove notary requirement
Summary
A bill before the Montana House Transportation Committee would let owners transfer vehicle titles with an unsworn affidavit instead of a notarized signature; proponents said it eases rural transactions and dovetails with planned electronic titling, while officials urged safeguards against fraud.
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Representative Ken Walsh introduced House Bill 165 on behalf of himself, saying the measure would let owners transfer motor-vehicle titles, trailers, campers and watercraft using an affidavit executed under the unsworn-declarations statute rather than requiring notarization.
The change “reduces red tape” for buyers and sellers, Walsh said, particularly in rural areas and outside normal business hours when notary access is scarce. Proponents including vehicle dealers, banks and credit unions told the committee the affidavit approach is already used in many other states and will help Montana move to electronic titling.
Supporters who testified included Bruce Knudsen of the Montana Auto Dealers Association; Craig Lowe of Bank of the Rockies; Todd Devlin, a Prairie County commissioner; representatives of Montana bankers and credit unions; Duane Williams of the Montana Trucking Association; and Jordan Blair, a community-bank loan officer and notary. Michael Walker, bureau chief in the Motor Vehicle Division, said Montana’s new electronic-titling system and access to national title databases will give staff real-time tools to detect fraud and that notarization is not required under national motor-vehicle administration guidance.
Committee members asked whether removing a notary weakens consumer protection in individual, informal sales. Walker said the Motor Vehicle Division plans “verified sessions” in the new system that can authenticate the parties and supply verification codes to reduce fraud risk. Julie Lake of the Secretary of State’s office answered procedural questions about notaries and confirmed notaries maintain logbooks but the office does not collect counts of notarizations.
Committee members also asked about criminal penalties for false affidavits signed under penalty of perjury. Representative Walsh cited the statute referenced in the hearing and said perjury carries penalties the statute lists; witnesses said they would provide precise citations on request.
The bill hearing closed without a committee vote recorded in the transcript. Advocates urged the committee for a do-pass recommendation to facilitate electronic titling and reduce burdens on rural Montanans; MVD and the Secretary of State described operational safeguards they expect to use.
Ending: The committee closed the hearing on House Bill 165 after questions and testimony and indicated staff would follow up with clarifying statutory citations and details about the planned electronic verification features.
