A BILL TO BE ENTITLED
AN ACT to make various amendments to the boating safety and vessel titling law.
The General Assembly of North Carolina enacts:
SECTION 1.  Article 1 of Chapter 75A of the General Statutes reads as rewritten:
"Article 1.
"Boating Safety Act.
"§ 75A‑1.  Declaration of policy.
It is the policy of this State to promote safety for persons and property in and connected with the use, operation, and equipment of vessels, and to promote uniformity of laws relating thereto.
"§ 75A‑2.  Definitions.
As used in this Chapter, unless the context clearly requires a different meaning:
(1)	"Abandoned vessel" means a vessel that has been relinquished, left, or given up by the lawful owner without the intention to later resume any right or interest in the vessel. The term does not include a vessel that is left by an owner or agent of the owner with any person or business for the purpose of storage, maintenance, or repair and that is not subsequently reclaimed.
(1a)	"Certificate of number" means the certificate and number issued for the purpose of registering a vessel in North Carolina.
(1b)	"Commission" means the North Carolina Wildlife Resources Commission, as established by Article 24 of Chapter 143 of the General Statutes and Part 3 of Article 7 of Chapter 143B of the General Statutes.
(1c)"Motorboat" means any vessel equipped with propulsion machinery of any type, whether or not such machinery is the principal source of propulsion: Provided, that "propulsion machinery" as used in this section shall not include an electric motor when used as the only means of mechanical propulsion of any  vessel.(2)	"Operate" means to navigate or otherwise use or occupy a motorboat or vessel, and shall be applicable to any motorboat or vessel that is afloat.
(3)	"Owner" means a person, other than a lienholder, having the property in or title to a vessel. The term includes a person entitled to the use or possession of a vessel subject to an interest in another person, reserved or created by agreement and securing payment or performance of an obligation, but the term excludes a lessee under a lease not intended as security.
(4)	"Person" means an individual, partnership, firm, corporation, association, or other entity.
(5)	"Vessel" means every description of watercraft or structure, other than a seaplane on the water, used or capable of being used as a means of transportation or habitation on the water.
(6)	"Waters of this State" means any waters within the territorial limits of this State, and the marginal sea adjacent to this State and the high seas when navigated as a part of a journey or ride to or from the shore of this State, but does not include private ponds as defined in G.S. 113‑129.
(7)	"Electric generating facility" means any plant facilities and equipment for the purposes of producing, generating, transmitting, delivering or furnishing electricity for the production of power."§ 75A‑3.  Wildlife Resources Commission to administer Chapter;  Vessel Committee; funds for administration.
(a)	It shall be the duty and responsibility of the  Commission to enforce and administer the provisions of this Chapter.
(b)	The chairman of the  Commission shall designate from among the members of the  Commission three members who shall serve as the  Vessel Committee of the  Commission, and who shall, in their activities with the Commission, place special emphasis on the administration and enforcement of this Chapter.
(c)	The Boating Account is established within the Wildlife Resources Fund created under G.S. 143‑250. All moneys collected pursuant to the numbering and titling provisions of this Chapter shall be credited to this Account. Gasoline excise tax revenue is credited to the Account under G.S. 105‑449.126. Revenue in the Account shall be used by the  Commission, subject to the Executive Budget Act and the Personnel Act, for the administration and enforcement of this Chapter; for activities relating to boating and water safety including education and waterway marking and improvement; and for boating access area acquisition, development, and maintenance. At least three dollars ($3.00) of each one‑year  certificate of number fee and at least nine dollars ($9.00) of each three‑year  certificate of number fee collected under the numbering provisions of G.S. 75A‑5 shall be used for boating access area acquisition, development, and maintenance.
"§ 75A‑4.  Identification numbers required.
Every vessel on the waters of this State shall be numbered, except those vessels exempted from numbering under G.S. 75A‑7. No person shall operate or give permission for the operation of any vessel on such waters unless the vessel is numbered in accordance with this Chapter, or in accordance with applicable federal law, or in accordance with a federally approved numbering system of another state, and unless
(1)	The certificate of number awarded to such vessel is in full force and effect, and
(2)	The identifying number set forth in the certificate of number is displayed on each side of the bow of such vessel.
"§ 75A‑5.  Application for  certificates of number and fees; reciprocity; change of ownership;  conformity with United States regulations;  records; award of certificates; renewal of certificates; transfer of partial interest; destroyed or junked vessels; abandonment; change of address;  duplicate certificates; display.
(a)	Application for Certificates of Number and Fees. – The owner of each vessel requiring numbering by this State shall file an application for number with the  Commission on forms approved by it. The application shall be signed by the owner of the vessel, or his agent, and shall be accompanied by a fee of ten dollars ($10.00) for a one‑year period or by a fee of twenty‑five dollars ($25.00) for a three‑year period; provided, however, there shall be no fee charged for vessels owned and operated by nonprofit rescue squads if they are operated exclusively for rescue purposes, including rescue training. The applicant shall have the option of selecting a one‑year numbering period or a three‑year numbering period. Upon receipt of the application in approved form, the Commission shall have the same entered upon the records of its office and issue to the applicant a certificate of number stating the number awarded to the vessel and the name and address of the owner, and a validation decal indicating the expiration date of the certificate of number. The owner shall paint on or attach to each side of the bow of the vessel the identification number in such manner as may be prescribed by rules of the Commission in order that it may be clearly visible. The number shall be maintained in legible condition. The validation decal shall be displayed on the starboard bow of the vessel immediately following the number. The certificate of number shall be pocket size and shall be available at all times for inspection on the vessel for which issued, whenever such vessel is in operation. Provided, however, any person charged with failing to so carry such certificate of number shall not be convicted if he produces in court a certificate of number theretofore issued to him and valid at the time of his arrest. The application shall be made on forms prescribed and furnished by the Commission and shall contain information as set forth by administrative rules.
(b)	Reciprocity. – The owner of any vessel already covered by a number in full force and effect which has been awarded to it pursuant to then operative federal law or a federally approved numbering system of another state shall record the number prior to operating the vessel on the waters of this State in excess of the 90‑day reciprocity period provided for in G.S. 75A‑7(a)(1). Such recordation shall be in the manner and pursuant to the procedure required for the award of a number under subsection (a) of this section, except that no additional or substitute number shall be issued.
(c)	Change of Ownership. – Should the ownership of a vessel change, a new application form with a fee of ten dollars ($10.00) for a one‑year period or by a fee of twenty‑five dollars ($25.00) for a three‑year period shall be filed with the  Commission and a new certificate bearing the same number shall be awarded to the new owner in the same manner as provided for in an original award of number.  Possession of the certificate shall in cases involving prosecution for violation of any provision of this Chapter be prima facie evidence that the person whose name appears therein is the owner of the vessel referred to therein.
(d)	Conformity With United States Regulations. – In the event that an agency of the United States government shall have in force an over‑all system of identification numbering for vessels within the United States, the numbering system employed pursuant to this Chapter by the  Commission shall be in conformity therewith.
						
(f)	Records. – All records of the  Commission made or kept pursuant to this section shall be public records.
(g)	Award of Certificates. – Each certificate of number awarded pursuant to this Chapter, unless sooner terminated or discontinued in accordance with the provisions of this Chapter, shall continue in full force and effect to and including the last day of the same month during which the same was awarded after the lapse of one year in the case of a one‑year certificate or three years in the case of a three‑year certificate.  No person shall willfully remove a validation decal from any vessel during the continuance of its validity or alter, counterfeit, or otherwise tamper with a validation decal attached to any vessel for the purpose of changing or obscuring the indicated date of expiration of the certificate of number of such vessel.
(h)	Renewal of Certificates. – Each certificate of number awarded pursuant to this Chapter must be renewed on or before the first day of the month next succeeding that during which the same expires; otherwise, such certificate shall lapse and be void until such time as it may thereafter be renewed. Application for renewal shall be submitted on a form approved by the  Commission and shall be accompanied by a fee of ten dollars ($10.00) for a one‑year period or by a fee of twenty‑five dollars ($25.00) for a three‑year period; provided, there shall be no fee required for a period of one year for renewal of certificates of number  that have been previously issued to commercial fishing vessels as defined in G.S. 75A‑5.1, upon compliance with all of the requirements of that section.
(i)	Transfer of Partial Interest. – The owner shall furnish the Commission notice of the transfer of  any part of his interest other than the creation of a security interest in a vessel numbered in this State pursuant to subsections (a) and (b) of this section  within 15 days thereof. Such transfer shall not affect the owner's right to operate such vessel, nor shall such transfer  terminate the certificate of number.
(i1)	Destroyed or Junked Vessels. – The owner of any destroyed or junked vessel shall furnish the Commission notice of the destruction or junking of that vessel within 15 days of its occurrence. Destruction or junking terminates the certificate of number and renders the hull identification number invalid for that vessel.
(i2)	Abandonment. – A person may acquire ownership of an abandoned vessel by providing proof to the Commission that the vessel has actually been abandoned by the lawful owner. The Commission shall establish rules by which a person seeking to acquire ownership may demonstrate that the vessel is actually abandoned. At a minimum, those rules shall provide for a reasonable attempt to locate the lawful owner and, if the owner is located, notice by the claimant of an intention to claim ownership of the vessel.
(j)	Change of Address. – Whenever any person, after applying for or obtaining the certificate of number of a vessel, moves from the address shown in the application or upon the certificate of number, that person shall, within 30 days, notify the Commission of the change of address, in a form acceptable to the Commission. A fee of five dollars ($5.00) shall be imposed upon any person who fails to comply with this section within the time prescribed. No certificate of number shall be renewed or reissued for any vessel that has an address change until notice of the change of address is received by the Commission and the fee, if applicable, is paid.(j2)	Duplicate Certificates. – The Commission shall issue a duplicate certificate of number for a vessel upon application by the person entitled to hold the certificate, if the Commission is satisfied that the original certificate of number has been lost, stolen, mutilated, or destroyed, or has become illegible. There shall be a fee of five dollars ($5.00) imposed for each duplicate certificate.
(k)	Display. – No number other than the identifying number  set forth in the certificate of number or granted reciprocity pursuant to this Chapter shall be painted, attached, or otherwise displayed on either side of the bow of such vessel, except the validation decal required by subsection (a) of this section.
												
"§ 75A‑5.1.  Commercial fishing vessels; renewal of number.
(a)	The owner of any commercial fishing vessel that is registered under the provisions of G.S. 113‑168.6 may renew the certificate of number of the vessel for a one‑year period free of charge when the owner has complied with all of the conditions of this section.
(b)	As used in this section, "commercial fishing vessel" is a vessel used in a commercial fishing operation, as defined in G.S. 113‑168.
(c)	In order to be entitled to renewal of certificate of number under the provisions of this section, the owner of the vessel shall submit, and the Commission shall require:
(1)	The regular application for renewal of the certificate of number of the vessel, as provided by G.S. 75A‑5; and
(2)	 Proof, satisfactory to the Commission, that the vessel owner possesses a valid commercial fishing vessel registration.
	(d)	Any person who shall willfully give false information upon the application or the statement required by this section or who shall falsify any  certificate of number fee receipt required by this section shall be guilty of a Class 1 misdemeanor.
"§ 75A‑5.2.  Vessel agents.
(a)	In order to facilitate the convenience of the public, the efficiency of administration, the need to keep statistics and records affecting the conservation of wildlife resources, boating, water safety, and other matters within the jurisdiction of the Commission, and to facilitate the issuance of vessel transactions, the Commission may issue vessel transactions in any particular category through:
(1)	Vessel agents.
(2)	The Wildlife Resources Commission's headquarters.(3)	Employees of the Wildlife Resources Commission.(4)	Two or more of those sources simultaneously.
The Commission may by rule provide for the appointment of persons as vessel agents to issue vessel transactions that it is authorized to issue by this Subchapter or by other provisions of the law.
When there are substantial reasons for differing treatment, the Commission may issue a type of vessel transaction by one method in one locality and by another method in another locality.
(b)	As compensation for services rendered to the Commission and to the general public, vessel agents shall receive the following specified commission from the statutory fee for each listed transaction:
(1)	Renewal of certificate of number –  $1.25.
(2)	Transfer of ownership and certificate of number –  $3.00.
(3)	Issuance of new certificate of number –  $3.00.
(4)	Issuance of duplicate certificate of title –  $0.50.
(5)	Issuance or transfer of certificate of title –  $3.00.
It is a Class 1 misdemeanor for vessel agents to charge or accept any additional fee, remuneration, or other item of value for such services.
(c)	When certificates of number are to be issued by vessel agents as provided by subsection (a) of this section, the Commission may establish administrative rules that prescribe:
(1)	The qualifications of agents;
(2)	The duties of agents;
(3)	Methods and procedures to ensure accountability and security for proceeds and unissued certificates of number;
(4)	Methods and procedures, including submission of the kinds and amounts of evidence deemed sufficient to relieve an agent of responsibility for losses due to occurrences beyond the agent's control; and
(5)	Any other reasonable requirement or condition deemed necessary and desirable to expedite and control the issuance of certificates of number by agents.
(d)	In accordance with the administrative rules developed pursuant to this section, the Executive Director may:
(1)	Select and appoint agents in the areas most convenient to the boating public and limit the number of agents in any one area if necessary for efficiency of operation;
(2)	Require prompt and accurate reporting and remittance of public funds or documents by agents;
(3)	Conduct periodic and special audits of accounts;
(4)	Suspend or terminate the authorization of any agent found to be noncompliant with the administrative rules of the Commission or when State funds or property are reasonably believed to be in jeopardy; and
(5)	Demand the immediate surrender of all equipment, forms, supplies, records, State funds, and property issued by the Commission, in the event of the termination of an agent.
(e)	A person who is denied the authority to act as an agent for the issuance of certificates of number and validation decals or whose authority to do so is revoked may not commence a contested case under G.S. 150B‑23. If any check or account draft of any agent for the issuance of certificates of number is returned by the banking facility upon which it is drawn for lack of funds, the agent shall be liable to the Commission for a penalty of five percent (5%) of the amount of the check or draft, but in no event shall the penalty be less than five dollars ($5.00) or more than two hundred dollars ($200.00). Agents shall be assessed a penalty of twenty‑five percent (25%) of their issuing fee on all remittances to the Commission after the fifteenth day of the month immediately following the month of sale.
(f)	The Wildlife Resources Commission may make rules in implementing the authority granted in subsection (c) of this section, but it need not set out in its rules details as to forms, records, and accounting procedures, and other reasonable requirements that may be administratively promulgated by employees of the Wildlife Resources Commission in implementing the purposes of this Article in order for those administrative requirements to be deemed validly required. It is a Class 1 misdemeanor for a vessel agent to:
(1)	Withhold or misappropriate funds from the sale of vessel transactions;
(2)	Falsify records of vessel transactions;
(3)	Willfully and knowingly assist or allow a person to obtain a certificate of number or certificate of title for which the person is ineligible;
(4)	Willfully issue a backdated certificate of number or certificate of title;
(5)	Willfully include false information or omit material information on vessel transactions as to:
a.	A person's entitlement to a particular certificate of number or certificate of title; or
b.	The applicability or term of a particular certificate of number."§ 75A‑6.  Classification; rules.
(a)	 Vessels subject to the provisions of this Chapter shall be divided into  five categories as follows:
(1)	Class A. Less than 16 feet in length.
(2)	Class 1. Sixteen feet or over and less than 26 feet in length.
(3)	Class 2. Twenty‑six feet or over and less than 40 feet in length.
(4)	Class 3. Forty feet or  over and not more than 65 feet in length.
(5)	Motor vessels more than 65 feet in length.
(b)	through (e)  Repealed by Session Laws 1993, c. 361, s. 2.
					(k)	Repealed by Session Laws 1993, c. 361, s. 2.
(l)	No person shall operate or give permission for the operation of a vessel which is not equipped as required by this section or modification thereof.
(m)	 The Commission is hereby granted the authority to adopt such regulations as are necessary to conform with the Federal Boat Safety Act of 1971 and the federal regulations adopted pursuant thereto.
(n)	All  vessels propelled by machinery of 10 hp or less, which are operated on the public waters of this State, shall carry at least one life preserver, or life belt, or ring buoy, or other device of the sort prescribed by the regulations of the  Commission for each person on board, and from one‑half hour after sunset to one‑half hour before sunrise shall carry a white light in the stern or shall have on board a hand flashlight in good working condition, which light shall be ready at hand and shall be temporarily displayed in sufficient time to prevent collision.
(o)	The Commission for Health Services shall adopt rules establishing standards for the approval of sewage treatment devices and holding tanks for marine toilets installed in  vessels operating on the inland fishing waters of the State as designated by the  Commission and the inland lake waters of the State. No vessel operating on the inland fishing waters of the State as designated by the  Commission and the inland lake waters of this State that is equipped with a marine toilet shall be registered by the  Commission unless such vessel is provided with a sewage treatment device or holding tank approved by the Commission for Health Services. All vessels operating on the inland fishing waters of the State as designated by the  Commission and the inland lake waters of the State that are equipped with a marine toilet shall be required to provide a sewage treatment device or holding tank approved by the Commission for Health Services. The protectors of the  Commission shall inspect vessels on the inland fishing waters of the State as designated by the   Commission and the inland lake waters to determine if approved treatment devices or holding tanks are properly installed and if they are operating in a satisfactory manner. A vessel registered, documented or otherwise licensed in another state and equipped with a marine toilet not prohibited in such state may be operated on the inland fishing waters of the State as designated by the  Commission, without regard to the provisions of this subsection while making an interstate trip.
"§ 75A‑6.1.  Navigation rules.
(a)	Every vessel operated on the waters of this State that is required to obtain an identification number pursuant to this  Chapter, has a valid marine document issued by the federal Bureau of Customs or any federal agency successor to it, or pursuant to a federally approved numbering system of another state shall comply with the navigation rules, including requirements for navigational lights, sound‑signaling devices, and other equipment, contained in the Inland Navigational Rules Act of 1980, codified as amended at 33 U.S.C. §§ 2001‑2038, 2071‑2073 (1993) and rules adopted pursuant thereto, see 33 C.F.R. Part 84 (1992).
(b)	The  Commission is responsible for the enforcement of the rules specified in subsection (a) of this section. The rules specified in subsection (a) of this section are also enforceable by all peace officers with general subject matter jurisdiction.
(c)	Violation of the navigation rules specified in subsection (a) of this section shall constitute a Class 3 misdemeanor and is punishable only by a fine not to exceed one hundred dollars ($100.00).
"§ 75A‑7.  Exemption from numbering requirements.
(a)	A vessel shall not be required to be numbered under this Chapter if it is:
(1)	A vessel which is required to be awarded a number pursuant to federal law or a federally approved numbering system of another state, and for which a number has been so awarded: Provided, that any such  vessel shall not have been within this State for a period in excess of 90 consecutive days.
(2)	A vessel from a country other than the United States temporarily using the waters of this State.
(3)	A vessel whose owner is the United States, a state or a subdivision thereof.
(4)	A ship's lifeboat.
(5)	A vessel which has a valid marine document issued by the Bureau of Customs of the United States government or any federal agency successor thereto.
(6)	A sailboat of not more than 14 feet on the load water line (LWL).
(7)	A vessel with no means of propulsion other than drifting or manual paddling, poling, or rowing.
(b)	The  Commission is hereby empowered to permit the voluntary numbering of vessels owned by the United States, a state or a subdivision thereof.
(c)	Those vessels owned by the United States, a state or a subdivision thereof and those owned by nonprofit rescue squads may be  assigned a certificate of number bearing no expiration date but which shall be stamped with the word "permanent" and shall not be renewable so long as the vessel remains the property of the governmental entity or nonprofit rescue squad. If the ownership of any such  vessel is transferred from one governmental entity to another or to a nonprofit rescue squad or if a  vessel owned by a nonprofit rescue squad is transferred to another nonprofit rescue squad or governmental entity, a new permanent  certificate, displaying the same certificate of number, shall be issued without charge to the successor entity. When any such  vessel is sold to a private owner or is otherwise transferred to private ownership, the applicable certificate of number shall be deemed to have expired immediately prior to such transfer. Prior to further use on the waters of this State, the new owner shall obtain  a certificate of number pursuant to the provisions of this Chapter. The provisions of this subsection applicable to  vessels owned by nonprofit rescue squads apply only to those operated exclusively for rescue purposes, including rescue training.
"§ 75A‑8.   Vessel liveries.
It shall be unlawful for the owner of a  vessel livery to rent a vessel to any person unless the provisions of this Chapter have been complied with. It shall be the duty of owners of  vessel liveries to equip all vessels rented as required by this Chapter.'
"§ 75A‑9.  Muffling devices.
The exhaust of every internal combustion engine used on any motorboat shall be effectively muffled by equipment so constructed and used to muffle the noise of the exhaust in a reasonable manner. The use of cutouts is prohibited, except for motorboats competing in a regatta or boat race approved as provided in G.S. 75A‑14, and for such motorboats while on trial runs, during a period not to exceed 48 hours immediately preceding such regatta or race and for such motorboats while competing in official trials for speed records during a period not to exceed 48 hours immediately following such regatta or race.
"§ 75A‑9.1.  Muffling devices – Motorboats.
Every internal combustion engine with an open‑air exhaust which is used on any motorboat and which has a capacity of operating at more than 4000 revolutions per minute shall have effective muffling equipment installed on each exhaust manifold stack except for motorboats competing in a regatta or boat race approved as provided in G.S. 75A‑14, and for such motorboats while on trial runs, during a period not to exceed 48 hours immediately preceding such regatta or race and for such motorboats while competing in official trials for speed records during a period not to exceed 48 hours immediately following such regatta or race. This Article shall not apply to licensed commercial fishing  vessels.
"§ 75A‑10.  Operating  vessel or manipulating water skis, etc., in reckless manner; operating, etc., while intoxicated, etc.; depositing or discharging litter, etc.
(a)	No person shall operate any motorboat or vessel, or manipulate any water skis, surfboard, or similar device on the waters of this State in a reckless or negligent manner so as to endanger the life, limb, or property of any person.
(b)	No person shall manipulate any water skis, surfboard, nonmotorized vessel, or similar device on the waters of this State while under the influence of an impairing substance.
(b1)	No person shall operate any  vessel while underway on the waters of this State:
(1)	While under the influence of an impairing substance, or
(2)	After having consumed sufficient alcohol that he has, at any relevant time after the boating, an alcohol concentration of 0.08 or more.
The fact that a person charged with violating this subsection is or has been legally entitled to use alcohol or a drug is not a defense to a charge under this subsection or subsection (b) above.
The relevant definitions contained in G.S. 20‑4.01 shall apply to this subsection and subsection (b) above.
(c)	No person shall place, throw, deposit, or discharge or cause to be placed, thrown, deposited, or discharged on the waters of this State or into the inland lake waters of this State, any litter, raw sewage, bottles, cans, papers, or other liquid or solid materials which render the waters unsightly, noxious, or otherwise unwholesome so as to be detrimental to the public health or welfare or to the enjoyment and safety of the water for recreational purposes.
(d)	No person shall place, throw, deposit, or discharge or cause to be placed, thrown, deposited, or discharged on the waters of this State or into the inland lake waters of this State any medical waste as defined by G.S. 130A‑290 which renders the waters unsightly, noxious, or otherwise unwholesome so as to be detrimental to the public health or welfare or to the enjoyment and safety of the water for recreational purposes.
"§ 75A‑10.1.  Family purpose doctrine applicable.
The family purpose doctrine, as applicable in this State to tort cases arising from the operation of motor vehicles, shall apply to tort cases arising from the operation of motorboats and vessels as those terms are defined in this Chapter.
"§ 75A‑10.2.  Proof of ownership of  vessel.
(a)	In all actions to recover damages for injury to the person or to property or for the death of a person, arising out of an accident or collision involving  vessels as said terms are described in G.S. 75A‑2, proof of ownership of such  vessel at the time of such accident or collision shall be prima facie evidence that said  vessel was being operated and used with the authority, consent and knowledge of the owner in the very transaction out of which said injury or cause of action arose.
(b)	Proof of the certificate of number stating the number awarded to the  vessel in the name of any person, firm or corporation as required by this Chapter, or proof of the licensing, registration, or documentation of  the vessel as required by other state or federal law in the name of any person, firm or corporation, shall for the purpose of any such action, be prima facie evidence of ownership and that said  vessel was then being operated by and under the control of a person for whose conduct the owner was legally responsible, for the owner's benefit, and within the course and scope of his employment.
"§ 75A‑11.  Duty of operator involved in collision, accident or other casualty.
(a)	It shall be the duty of the operator of a vessel involved in a collision, accident, or other casualty, so far as he can do so without serious danger to his own vessel, crew, and passengers (if any), to render persons affected by the collision, accident, or other casualty such assistance as may be practicable and as may be necessary in order to save them from or minimize any danger caused by the collision, accident, or other casualty, and also to give his name, address and identification of his vessel in writing to any person injured and to the owner of any property damaged in the collision, accident, or other casualty.
(b)	In the case of collision, accident, or other  occurrence involving a vessel,  if the collision, accident, or other  occurrence results in  death, disappearance indicating death or injury, or injury to a person or damage to  vessels and other property of two thousand dollars ($2,000) or more, or if there is complete loss of any vessel, the operator of the vessel shall file with the  Commission a full description of the collision, accident, or other occurrence, including such information as  the agency may, by regulation, require. In cases of death, disappearance, or injury, the report shall be filed within 48 hours. In cases of vessel or property damage, or complete loss of any vessel, the report shall be filed within 10 days. When the operator of the vessel cannot submit the report, the owner of the vessel shall submit the report. Such report shall not be admissible as evidence.
(c)	When, as a result of an occurrence that involves a vessel or its equipment, a person dies or disappears from a vessel, the operator of the vessel shall, without delay, by the quickest means available, notify the nearest law enforcement agency of:
(1)	The date, time, and exact location of the occurrence;
(2)	The name of each person who died or disappeared;
(3)	The certificate of number and name of the vessel; and
(4)	The name and address of the vessel owner or owners and the vessel operator.
When the operator of the vessel cannot give notice required by this section, each person on board the vessel shall notify the law enforcement agency or determine that notice has been given. Upon receiving notice under this section, a law enforcement agency shall immediately provide the Commission and the Coast Guard with the information required by this subsection.
"§ 75A‑12.  Furnishing information to agency of United States.
In accordance with any request duly made by an authorized official or agency of the United States, any information compiled or otherwise available to the  Commission pursuant to G.S. 75A‑11(b) shall be transmitted to said official or agency of the United States.
"§ 75A‑13.  Water skis, surfboards, etc.
(a)	No person shall operate a vessel on any water of this State for towing a person or persons on water skis, or a surfboard, or similar device unless there is in such a vessel a person, in addition to the operator, in a position to observe the progress of the person or persons being towed or unless the skiers wear a life preserver or unless the  vessel is equipped with a rear view mirror.
(b)	No person shall operate a vessel on any water of this State towing a person or persons on water skis, a surfboard, or similar device, nor shall any person engage in water skiing, surfboarding, or similar activity at any time between the hours from one hour after sunset to one hour before sunrise.
(c)	The provisions of subsections (a) and (b) of this section do not apply to a performer engaged in a professional exhibition or a person or persons engaged in an activity authorized under G.S. 75A‑14.
(d)	No person shall operate or manipulate any vessel, tow rope, or  other device by which the direction or location of water skis, a surfboard, or similar device may be affected or controlled in such a way as to cause the water skis, surfboard, or similar device, or any person thereon to collide with any object or person.
"§ 75A‑13.1.  Skin and scuba divers.
(a)	No person shall engage in skin diving or scuba diving in the waters of this State which are open to boating, or assist in such diving, without displaying a diver's flag from a mast, buoy, or other structure at the place of diving; and no person shall display such flag except when diving operations are under way or in preparation.
(b)	The diver's flag shall be square, not less than 12 inches on a  side, and shall be of red background with a diagonal white stripe, of  a width equal to one fifth of the flag's height, running from the upper corner adjacent to the mast downward to the opposite outside corner.
(c)	No operator of a vessel under way in the waters of this State shall permit such vessel to approach closer than 50 feet to any structure from which a diver's flag is then being displayed, except where such flag is so positioned as to constitute an unreasonable obstruction to navigation; and no person shall engage in skin diving or scuba diving or display a diver's flag in any locality at which the same will unreasonably obstruct vessels from making legitimate navigational use of the water.
"§ 75A‑13.2:  Repealed by Session Laws 1999‑447, s.  3.
"§ 75A‑13.3.  Personal watercraft.
(a)	No person shall operate a personal watercraft on the waters of this State at any time between sunset and sunrise. For purposes of this section, "personal watercraft" means a small vessel which uses an outboard or propeller‑driven motor, or an inboard motor powering a water jet pump, as its primary source of motive power and which is designed to be operated by a person sitting, standing, or kneeling on, or being towed behind the vessel, rather than in the conventional manner of sitting or standing inside the vessel.
(a1)	No person shall operate a personal watercraft on the waters of this State at greater than no‑wake speed within 100 feet of an anchored or moored vessel, a dock, pier, swim float, marked swimming area, swimmers, surfers, persons engaged in angling, or any manually operated propelled vessel, unless the personal watercraft is operating in a narrow channel. No person shall operate a personal watercraft in a narrow channel at greater than no‑wake speed within 50 feet of an anchored or moored vessel, a dock, pier, swim float, marked swimming area, swimmers, surfers, persons engaged in angling, or any manually operated propelled vessel.
(b)	Except as otherwise provided in this subsection, no person under 16 years of age shall operate a personal watercraft on the waters of this State, and it is unlawful for the owner of a personal watercraft or a person who has temporary or permanent responsibility for a person under the age of 16 to knowingly allow that person to operate a personal watercraft. A person of at least 12 years of age but under 16 years of age may operate a personal watercraft on the waters of this State if:
(1)	The person is accompanied by a person of at least 18 years of age who physically occupies the watercraft; or
(2)	The person (i) possesses on his or her person while operating the watercraft, identification showing proof of age and a boater safety certification card issued by the  Commission or proof of other satisfactory completion of a boating safety education course approved by the National Association of State Boating Law Administrators (NASBLA); and (ii) produces that identification and certification card upon the request of an officer of the  Commission or local law enforcement agency.
(c)	No livery shall lease, hire, or rent a personal watercraft to or for operation by a person under 16 years of age, except as provided in subsection (b) of this section.
(c1)	It shall be unlawful for any person, firm, or corporation to engage in the business of renting personal watercraft to the public for operation by the rentee unless such person, firm, or corporation has secured insurance for his own liability and that of his rentee, in such an amount as is hereinafter provided, from an insurance company duly authorized to sell liability insurance in this State. Each such personal watercraft rented must be covered by a policy of liability insurance insuring the owner and rentee and their agents and employees while in the performance of their duties against loss from any liability imposed by law for damages including damages for care and loss of services because of bodily injury to or death of any person and injury to or destruction of property caused by accident arising out of the operation of such personal watercraft, subject to the following minimum limits: three hundred thousand dollars ($300,000) per occurrence.
(d)	No person shall operate a personal watercraft on the waters of this State, nor shall the owner of a personal watercraft knowingly allow another person to operate that personal watercraft on the waters of this State, unless:
(1)	Each person riding on or being towed behind such vessel is wearing a type I, type II, type III, or type V personal flotation device approved by the United States Coast Guard. Inflatable personal flotation devices do not satisfy this requirement; and
(2)	In the case of a personal watercraft equipped by the manufacturer with a lanyard‑type engine cut‑off switch, the lanyard is securely attached to the person, clothing, or flotation device of the operator at all times while the personal watercraft is being operated in such a manner to turn off the engine if the operator dismounts while the watercraft is in operation.
(d1)	No person shall operate a personal watercraft towing another person on water skis or other devices unless:
(1)	The personal watercraft has on board, in addition to the operator, an observer who shall monitor the progress of the person or persons being towed, or the personal watercraft is equipped with a rearview mirror; and
(2)	The total number of persons operating, observing, and being towed does not exceed the number of passengers identified by the manufacturer as the maximum safe load for the vessel.
(e)	A personal watercraft must at all times be operated in a reasonable and prudent manner. Maneuvers that endanger life, limb, or property shall constitute reckless operation of a vessel as provided in G.S. 75A‑10, and include:
(1)	Unreasonably or unnecessarily weaving through congested vessel traffic;
(2)	Jumping the wake of another vessel within 100 feet of such other vessel or when visibility around such other vessel is obstructed;
(3)	Intentionally approaching another vessel in order to swerve at the last possible moment to avoid collision;
(4)	Repealed by Session Laws 2000‑52, s. 2.
(5)	Operating contrary to the "rules of the road" or following too closely to another vessel, including another personal watercraft. For purposes of this subdivision, "following too closely" means proceeding in the same direction and operating at a speed in excess of 10 miles per hour when approaching within 100 feet to the rear or 50 feet to the side of another vessel that is underway unless that vessel is operating in a narrow channel, in which case a personal watercraft may operate at the speed and flow of other vessel traffic.
(f)	The provisions of this section do not apply to a performer engaged in a professional exhibition, a person or persons engaged in an activity authorized under G.S. 75A‑14, or a person attempting to rescue another person who is in danger of losing life or limb.
(f1)	For purposes of this section, "narrow channel" means a segment of the waters of the State 300 feet or less in width.
(g)	Repealed by Session Laws 1999‑447, s. 1.
(h)	Nothing in this section prohibits units of local government, marine commissions, or local lake authorities from regulating personal watercraft pursuant to the provisions of G.S. 160A‑176.2 or any other law authorizing such regulation, provided that the regulations are more restrictive than the provisions of this section or regulate aspects of personal watercraft operation that are not covered by this section. Whenever a unit of local government, marine commission, or local lake authority regulates personal watercraft pursuant to this subsection, it shall conspicuously post signs that are reasonably calculated to provide notice to personal watercraft users of the stricter regulations.
"§ 75A‑14:  Repealed by Session Laws 1999‑248, s.  4.
"§ 75A‑14.1.  Lake Norman No‑Wake Zone.
It is unlawful to operate a vessel at greater than no‑wake speed within 50 yards of a  vessel launching area, bridge, dock, pier, marina,  vessel storage structure, or  vessel service area on the waters of Lake Norman. No‑wake speed is idle speed or slow speed creating no appreciable wake.
"§ 75A‑15.  Rules on water safety; adoption of the Uniform Waterway Marking System.
(a)	In accordance with subsection (b) of this section, the  Commission is empowered to make rules, for the local water in question, as to:
(1)	Operation of vessels, including restrictions concerning speed zones, and type of activity conducted.
(2)	Promotion of boating and water safety generally by occupants of vessels, swimmers, fishermen, and others using the water.
(3)	Placement and maintenance of navigation aids and markers, in conformity with governing provisions of law.
Prior to making any rules, the Commission shall investigate the water recreation and safety needs of the local water in question. In making such investigation, the Commission in its discretion may hold public hearings on the rules proposed and the general needs of the local water in question. After such investigation and application of standards, the Commission may in its discretion pass the rules requested, pass them in an amended form, or refuse to pass them. After passage, the Commission may amend or repeal the rules after first holding a public hearing.
(b)	Any subdivision of this State may, but only after public notice, make formal application to the  Commission for rules on waters within the subdivision's territorial limits as to the matters listed in subsection (a) of this section. The  Commission may, adopt rules applicable to local areas of water defined by the Commission that are found to be heavily used for water recreation purposes by persons from other areas of the State and as to which there is not coordinated local interest in regulation.
The  Commission may adopt rules prohibiting entry of vessels into public swimming areas and establishing speed zones at public  vessel launching ramps, marinas, or  vessel service areas and on other congested water areas where there are demonstrated water safety hazards. Enforcement of such rules shall be dependent upon placement and maintenance of regulatory markers in accordance with the Uniform State Waterway Marking System by such agency or agencies as may be designated by the  Commission.
(c)	The Uniform State Waterway Marking System as approved by the Advisory Panel of State Officials to the Merchant Marine Council, United States Coast Guard, in October 1961 is hereby adopted for use on the waters of North Carolina. The  Commission is authorized to pass rules implementing the marking system and may:
(1)	Modify provisions as necessary to meet the special water recreational and safety needs of this State, provided that such modifications do not depart in any essential manner from the uniform standards being adopted in other states.
(2)	Modify provisions as necessary to conform with amendments to the marking system that may be proposed for adoption by the states.
(3)	Enact supplementary standards regarding design, construction, placement, and maintenance of markers.
(4)	Enact clarifying rules as to matters not covered with precision in the report of the Advisory Panel of State Officials.
(5)	Enact implementing rules as to matters left to State discretion in the report of the Advisory Panel of State Officials.
(6)	Enact rules forbidding or restricting the placement of markers either throughout the State or in certain classes or areas of waters without prior permission having been obtained from the Commission or some agency or official designated by the Commission.
It is unlawful to place or maintain any marker of the sort covered by the marking system in the waters of North Carolina that does not conform to or is in violation of the marking system and the implementing rules of the Commission.
(d)	Rules enacted under the authority of subsections (a) and (b) of this section shall supersede all local rules in conflict or incompatible with such rules. As used in this subsection, "local rules" shall include provisions relating to boating, water safety, or other recreational use of local waters in special local, or private acts, in ordinances or rules of local governing bodies, or in ordinances or rules of local water authorities. Except as may be authorized in subsections (a) and (b) of this section, no local rules may be made respecting the Uniform Waterway Marking System and its implementation or respecting supplemental safety equipment on vessels.
(e)	The  Commission may adopt rules prohibiting entry or use by vessels or swimmers of waters of the State immediately surrounding impoundment structures and powerhouses associated with electric generating facilities that are found to pose a hazard to water safety. This subsection shall not apply to the Person‑Caswell Lake Authority, Carolina Power and Light Company Lake (Hyco).
"§ 75A‑16.  Repealed by Session Laws 1979, c. 830, s. 9, effective July 1, 1980.
"§ 75A‑16.1.  Boating safety course.
(a)	The Commission shall institute and coordinate a statewide course of instruction in boating safety, and in so doing may cooperate with any political subdivision of the State or with any reputable organization having as one of its objectives the promotion of boating safety.
(b)	The Commission shall designate those persons or agencies authorized to give the course of instruction, and this designation shall be valid until revoked by the Commission. Those designated persons or agencies shall submit to the Commission validated listings naming all persons who have successfully completed the course of instruction.
(c)	The Commission may conduct the course in boating safety using Commission personnel or other persons at times or in areas in which competent agencies are unable or unwilling to meet the demand for instruction.
(d)	The Commission shall issue a certificate of competency and safety to each person who successfully completes the course of instruction.
(e)	The Commission shall adopt rules to provide for the course of instruction and the issuance of the certificates consistent with the purposes of this section.
(f)	Any person who presents a fictitious certificate of competency or who attempts to obtain a certificate of competency through fraud is guilty of a Class 2 misdemeanor.
"§ 75A‑17.  Enforcement of Chapter.
(a)	Every wildlife protector and every other law‑enforcement officer of this State and its subdivisions shall have the authority to enforce the provisions of this Chapter and in the exercise thereof shall have authority to stop any vessel subject to this Chapter; and, after having identified himself in his official capacity, shall have authority to board and inspect any vessel subject to this Chapter.
(b)	In order to secure broader enforcement of the provisions of this Chapter, the  Commission is authorized to enter into an agreement with the Department of Environment and Natural Resources whereby the enforcement personnel of the Department shall assume responsibility for enforcing the provisions of this Chapter in the territory and area normally policed by such enforcement personnel and whereby the  Commission shall contribute a share of the expense of such personnel according to a ratio of time and effort expended by them in enforcing the provisions of this Chapter, when such ratio has been agreed upon by both of the contracting agencies. Such agreement may be modified from time to time as conditions may warrant.
"§ 75A‑18.  Penalties.
(a)	Except as otherwise provided, any person who violates any provision of this Article or who violates any rule or regulation adopted under authority of this Chapter shall be guilty of a Class 3 misdemeanor and shall only be subject to a fine not to exceed two hundred and fifty dollars ($250.00) for each such violation. The limitation prescribed by the preceding sentence shall not apply in any case where a more severe penalty may be prescribed in any of said sections.
(b)	Any person who violates any provision of G.S. 75A‑10(a), (b), or (b1) shall be guilty of a Class 2 misdemeanor.
(c)	Any person who violates any provision of G.S. 75A‑13.1 shall be guilty of a Class 3 misdemeanor and upon conviction thereof shall only be fined no more than twenty‑five dollars ($25.00).
(c1)	Any  vessel livery that fails to carry liability insurance in violation of G.S. 75A‑13.3(c1) shall be guilty of a Class 2 misdemeanor and shall only be subject to a fine not to exceed one thousand dollars ($1,000).
(d)	A person who:
(1)	Willfully violates G.S. 75A‑10(d) is guilty of a Class 1 misdemeanor.
(2)	Willfully violates G.S. 75A‑10(d) and in so doing releases medical waste that creates a substantial risk of physical injury to any person who is not a participant in the offense is guilty of a Class F felony which may include a fine not to exceed fifty thousand dollars ($50,000) per day of violation.
(e)	A person under 16 years of age who operates a personal watercraft in violation of the provisions of G.S. 75A‑13.3 is guilty of an infraction as provided in G.S. 14‑3.1.
"§ 75A‑19.  Operation of  vessels by manufacturers, dealers, etc.
Notwithstanding any other provisions of this Chapter, the  Commission may promulgate such rules and regulations regarding the operation of vessels by manufacturers, distributors, dealers, and demonstrators as the Commission may deem necessary and proper."
SECTION 2.  Article 3 of Chapter 75A of the General Statutes reads as rewritten:
"Article 4.
" Vessel Titling Act.
"§ 75A‑32.  Short title.
This Article shall be known as the  Vessel Titling Act.
"§ 75A‑33.  Definitions.
		
The definitions set forth in G.S. 75A‑2 also apply to this Article, unless the context clearly requires a different meaning.
"§ 75A‑34.  Who may apply for certificate of title; authority of employees of Commission.
(a)	Any owner of a motorized vessel or sailboat 14 feet or longer or any personal watercraft, as defined in G.S. 75A‑13.3(a), that is being registered for the first time in this State pursuant to G.S. 75A‑5(a), and any new owner of a motorized vessel or sailboat 14 feet or longer or any personal watercraft to whom ownership is being transferred under G.S. 75A‑5(c) shall apply to the Commission for a certificate of  title for that vessel. Any other vessel may be titled in this State at the owner's option. A vessel may not be titled in this State if it is titled in another state, unless the current title is surrendered along with the application for a new North Carolina title. The Commission shall issue a certificate of title upon reasonable evidence of ownership, which may be established by  affidavit, bill of sale, manufacturer's statement of origin, North Carolina title, certificate of number from another state, or other document satisfactory to the Commission. Only one title may be issued for any vessel in this State. A vessel may not be titled in this State if it is documented with the United States Coast Guard. The Commission shall issue a certificate of title upon receiving a completed application, along with the appropriate fee and reasonable evidence of ownership. The manufacturer's statement of origin shall be required for all new vessels being registered and titled for the first time. For vessels being transferred, a pencil tracing of the hull identification number (serial number) shall be provided upon request of the Commission, in order to positively identify the vessel before a certificate will be issued for that vessel.(b)	Employees of the Commission are vested with the power to administer oaths and to take acknowledgements and affidavits incidental to the administration and enforcement of this section. They shall receive no compensation for these services.
"§ 75A‑35.  Form and contents of application.
(a)	Every application for a certificate of title for a vessel shall be made by the owner or his duly authorized attorney‑in‑fact, and shall contain the name, residence, and mailing address of the owner, the county where the vessel is taxed,  and proof of ownership and of all liens or encumbrances upon the  vessel in the order of their  priority. It shall also contain the names and addresses of all persons having any interest in the  vessel.(b)	Every application for a certificate of title for a vessel shall contain a brief description of the vessel to be  titled, including the name of the manufacturer,  certificate of number, hull identification number, length, type, and principal material of construction, model year,  and purchase information. It shall also include the name and address of the previous owner or owners from whom the vessel was obtained. If the vessel has an outboard motor of greater than 25 horsepower, the application shall also contain identification of the motor, including the serial number and manufacturer.The application shall be made on forms prescribed and furnished by the Commission and shall contain other information as may be required by the Commission.
"§ 75A‑36.  Notice by owner of change of address.
Whenever any person, after applying for or obtaining the certificate of title of a  vessel, moves from the address shown in the application or upon the certificate of title, that person shall, within 30 days, notify the  Commission, in a form acceptable to the Commission, of the person's change of address.
A fee of ten dollars ($10.00) shall be imposed upon anyone failing to comply with this section within the time prescribed. A title will not be reissued for any vessel that has an address change until notice of the change of address is received by the Commission and the fee, if applicable, has been paid.
"§ 75A‑37.  Certificate of title as evidence; duration; transfer of title.
(a)	A certificate of title is prima facie evidence of the ownership of a vessel. A certificate of title shall be in force for the life of the  vessel.
(b)	Upon the sale, assignment, or transfer of a  vessel for which a certificate of title has been issued under this Article, the legal holder of the certificate of title shall deliver it to the purchaser or transferee. The assignment on the certificate must be completed showing transfer of ownership to the purchaser or transferee and settlement of all outstanding liens and encumbrances. The new owner shall submit the assigned certificate of title to the Commission, accompanied by evidence satisfactory to the Commission that all outstanding liens have been released, with the application for transfer of title. The application shall contain all the information required by the Commission for the transfer in order to identify the vessel and the new owner. The application shall show any and all new liens and encumbrances on the vessel, in order of priority, incurred by the owner. The nature of the new liens and encumbrances shall also be given, along with the name and address of all secured parties.
"§ 75A‑38.  Commission's records; fees.
(a)	The Commission shall maintain a record of any title it issues.
(b)	The Commission shall charge a fee of twenty dollars ($20.00)  to issue   new and transfer certificates of title. A fee of ten dollars ($10.00) will be charged for each  duplicate title it issues and for the recording of a supplemental lien.
"§ 75A‑39.  Duplicate certificate of title.
The Commission may issue a duplicate certificate of title plainly marked "duplicate" across its face upon application by the person entitled to hold the certificate if the Commission is satisfied that the original certificate has been lost, stolen, mutilated, destroyed, or has become illegible. Mutilated or illegible certificates shall be returned to the Commission with the application for a duplicate. If a duplicate certificate of title has been issued and the lost or stolen original is recovered, the original shall be promptly surrendered to the  Commission. A duplicate certificate of title, not bearing the word "duplicate" across its face, will be issued for anyone having an address change or name change so long as the original title is surrendered and the appropriate fees paid as provided in G.S. 75A‑38(b). If the original certificate of title is not surrendered to the Commission, the duplicate title will be plainly marked "duplicate" across its face.
"§ 75A‑40.  Certificate to show security interests.
The Commission, after receiving an application for a certificate of title  for a vessel, shall, upon issuing the certificate of title to the owner, show upon the face of the certificate of title all security interests in the order of their priority as shown in the application.
"§ 75A‑41.  Security interests subsequently created.
Except for security interests in watercraft that are inventory held for sale, security interests created in  vessels by the voluntary act of the owner after the original issue of title to the owner must be shown on the certificate of title. In such cases, the owner shall file an application with the Commission on a  form furnished for that purpose, setting forth  all security interests and other information as the Commission requires. The Commission, if satisfied that it is proper that the same be  recorded, shall upon surrender of the certificate of title covering the vessel, issue a new certificate of title showing  any security interests in the order of the priority according to the date of the filing of the application. For the purpose of recording the subsequent security interest, the Commission may require any secured party to deliver the certificate of title to the Commission. The newly issued certificate shall be sent or delivered to the secured party  of first priority listed on the certificate of title.
"§ 75A‑42.  Certificate as notice of security interest.
A certificate of title, when issued by the Commission showing a security interest, shall be deemed adequate notice to the State, creditors, and purchasers that a security interest in the  vessel exists. No other recording or filing of the creation or reservation of a security interest in the county or city wherein the purchaser or debtor resides or elsewhere is  necessary and shall not be required. Vessels, other than those that are inventory held for sale, for which a certificate of title is currently in  effect, shall be exempt from the provisions of G.S. 25‑9‑309, 25‑9‑310, 25‑9‑312, 25‑9‑320, 25‑9‑322, 25‑9‑323, 25‑9‑324, 25‑9‑331, 25‑9‑404, 25‑9‑405, 25‑9‑406, and 25‑9‑501 to 25‑9‑526 for so long as the certificate of title remains in effect.
"§ 75A‑43.  Security interest may be filed within 30 days after purchase.
If application for the recordation of a security interest to be placed upon a  vessel is filed in the principal office of the Commission within 30 days from the date of the applicant's purchase of the  vessel, it shall be valid to all persons, including the State, as if the recordation had been done on the day the security interest was acquired.
"§ 75A‑44.  Priority of security interests shown on certificates.
Except for security interests in vessels that are inventory held for sale, security interests shown upon the certificates of title issued by the Commission pursuant to applications for certificates shall have priority over any other liens or security interests against the watercraft however created and recorded, except for a mechanics lien for repairs, provided that the mechanic furnishes the holder of any recorded lien who may request it with an itemized sworn statement of the work done and materials supplied for which the lien is claimed.
"§ 75A‑45.  Legal holder of certificate of title subject to security interest.
The certificate of title of a  vessel shall be delivered to the person holding the security interest having first priority upon the  vessel and retained by that person until the entire amount of the security interest is fully paid by the owner of the vessel. The certificate of title shall then be delivered to the secured party next in order of priority and so on, or, if none, then to the owner of the  vessel.
"§ 75A‑46.  Release of security interest shown on certificate of title.
An owner, upon securing the release of any security interest upon a  vessel shown upon the certificate of title issued for the  vessel, may exhibit the documents evidencing the release, signed by the person or persons making the release, and the certificate of title to the Commission. When it is impossible to secure the release from the secured party, the owner may exhibit to the Commission any available evidence showing that the debt secured has been satisfied, together with a statement by the owner under oath that the debt has been paid. When the Commission is satisfied  and has determined that the secured debt has been satisfied in full, the Commission shall issue to the owner either a new certificate of title in proper form or an endorsement or rider showing the release of the security interest which the Commission shall attach to the outstanding certificate of title.
"§ 75A‑47.  Surrender of certificate required when security interest paid.
It is unlawful and constitutes a Class 1 misdemeanor for a secured party who holds a certificate of title as provided in this Article to refuse or fail to surrender the certificate of title to the person legally entitled to it within 10 days after his security interest has been paid and satisfied.
"§ 75A‑48.  Levy of execution, etc.
A levy made by virtue of an execution or other proper court order, upon a  vessel for which a certificate of title has been issued by the Commission, shall constitute a lien, subsequent to security interests previously recorded by the Commission and subsequent to security interests in inventory held for sale and perfected as otherwise permitted by law, if and when the officer making the levy reports to the Commission at its principal office, on forms provided by the Commission, that the levy has been made and that the  vessel levied upon has been seized by and is in the custody of the officer. Should the lien thereafter be satisfied or should the  vessel levied upon and seized thereafter be released by the officer, he shall immediately report that fact to the Commission at its principal office.  After a levy and seizure by an officer and before the officer reports the levy and seizure to the Commission, any person who fraudulently assigns or  causes the certificate of title to be assigned or transferred, or causes a security interest to be shown upon  the certificate of title, is guilty of a Class 1 misdemeanor.
"§ 75A‑49.  Registration prima facie evidence of ownership; rebuttal.
 A valid certificate of number issued under the provisions of this Chapter, or any similar document issued under the jurisdiction of any other state or country, shall be prima facie evidence of ownership of a vessel and entitlement to a certificate of title under the provisions of this Article, but ownership established by such documents shall be subject to rebuttal."
SECTION 3.  This act becomes effective January 1, 2005, and applies to acts occurring on or after that date.