The latest information dealerships need to know about operations during the COVID-19 pandemic is below. Let
know if anyone else at your dealership should be receiving these updates.
Minimum Business Hours
The Department of Transportation has
waived the minimum hours requirement
for dealerships during the public health disaster emergency. The waiver does not mean that dealerships are relieved of their statutory obligation to perform warranty repair work (including safety recalls). The waiver also does not say that the terms of your franchise agreement (including the contractual obligation to the manufacturer to perform warranty and recall work and the obligation to open your doors) are waived. Most manufacturers have been in contact with their dealers about contractual obligations that may be in conflict with government mandates related to the emergency.
Titling & Registration
The requirement to apply for title and registration within 30 days is waived by the state of Iowa, but bankruptcy laws have not been suspended and dealerships continue to have an obligation to funding sources to perfect liens in a timely manner. In order to preserve the lien and avoid a chargeback from the lender, dealerships need to submit title and registration paperwork and payments within 30 days of delivery of the vehicle.
The requirement to obtain permanent license plates within 45 days is waived during the duration of the public health disaster emergency. Dealerships should still issue temp tags and date them for expiration as usual, but the temp tag will not expire during the emergency.
Drivers licenses that were valid when Governor Reynolds proclaimed the public health disaster emergency remain valid. Licenses that expired prior to March 17 remain expired.
DOT Vehicle Services Operations
Iowa DOT Vehicle Services remains open for business conducted by mail, by email, online, and by phone. Vehicle Services is moving to appointment-only service for their front counter, and have a new drop box in their lobby for dealers to drop off application materials.
Earlier today, NADA recorded a webinar about running a dealership during a pandemic.
A recording of that webinar will be available on the NADA website.
The webinar addresses important topics, including the recently enacted federal legislation relating to sick leave, which impacts all businesses with fewer than 500 employees, and guidance on what to do if you have an employee diagnosed with COVID-19, as well as a reminder that it is illegal to identify an employee diagnosed with any illness.
Login credentials are required for NADA members to access the webinar. If you do not have login credentials, you will need your NADA member number. IADA staff can help obtain your dealership's NADA number if you do not know it.
IADA is engaged, as is NADA, on the next round of federal legislation, which will address business continuity and business liquidity.
County Treasurer Closings
Most county treasurers offices are closed for in-person visits but are conducting services by mail, by email, online, and over the phone. County treasurers will be noting the date of postmark as the date of receipt and therefore IADA recommends submission by mail.
IADA Staff Availability
IADA is continuing to operate, but doors are locked to the public and most employees are working remotely. Dealerships that order packages for pick up from the IADA warehouse will receive their orders curbside. The best way to reach an IADA employee during this time is by email or by calling their direct phone number.
A staff directory is located on IADA's website.