Vehicle Disposition Reporting

Frequently Asked Questions

1. Who is eligible to report demolished or dismantled vehicles electronically to DMV?

Virginia salvage licensees, or scrap metal processors in Virginia may opt to electronically report demolished or dismantled vehicles using Virginia DMV’s Vehicle Disposition Reporting process (VDR).

2. Am I required to sign up for the VDR process, or may I continue reporting demolished or dismantled vehicles as I do currently?

The VDR process is optional and there is no requirement that salvage licensees or scrap metal processors participate. However, once you have agreed to report using the VDR process, licensees or scrap metal processors are required to report demolished or dismantled vehicle information using the VDR process exclusively until the agreement is expired or terminated.

3. How much does it cost to sign up for electronic reporting?

There is no application fee, but there is a $65 for each of your employees who will be reporting in the system. The $65 fee covers DMV’s cost for each secure access FOB (token) that provides password access into the VDR process.

4. How do I sign up to report demolished or dismantled vehicles electronically to DMV?

To sign up for VDR, salvage licensees and scrap metal processors will complete the Extranet Transaction Access application (US531E/ER), located on dmvNOW.com. Mail the completed form along with a fee of $65 for each employee who will be using the reporting process to the address below: Use Agreement Services Virginia Department of Motor Vehicles Post Office Box 27412 Richmond, Virginia 23269-0001 A Memorandum of Understanding (MOU) will be mailed to your address. You will review, sign, and mail the agreement back to DMV at the same address above. The MOU contains the terms of the agreement for use of the VDR process to report demolished and scrapped vehicles electronically. Once DMV receives your MOU, your account will be established and logon IDs and secure access FOBs assigned.

5. How do I report demolished or dismantled vehicles electronically?

Follow the steps provided in the Extranet Access User’s Manual and in the Vehicle Disposition Reporting (VDR) Extranet User’s Guide which will be sent once your account is established. Use the secure FOB, assigned username, password, and PIN to logon to the VDR process. A series of simple, on-screen instructions will guide you, or your staff, through the reporting of demolished or dismantled vehicles.

6. Can I report vehicles I have demolished or dismantled that are titled in other states using the VDR process?

Yes. Any motor vehicle, for which you have obtained the valid certificate of title, salvage certificate, or nonrepairable certificate either from Virginia or another state, may be demolished or dismantled then reported in the VDR process.

7. What documents are required for an individual to transfer possession of a vehicle to a Virginia salvage licensee or a scrap metal processor?

The VDR process requires the same documents to transfer possession of a motor vehicle for demolishing or dismantling as are required under the current reporting process. Salvage licensees and scrap metal processors should obtain a valid certificate of title, salvage certificate, or nonrepairable certificate along with the appropriate DMV vehicle disposition tracking form, for each vehicle taken into possession. Ensure the person or authorized agent who is transferring the vehicle assigns the title to you and that you sign as the buyer of the vehicle, as required by law.

8. What if no certificate of title, salvage certificate, or nonrepairable certificate is submitted for a vehicle that is delivered for demolishing or dismantling?

A certificate of title, salvage certificate, or nonrepairable certificate should be in your possession to allow the immediate demolition of a vehicle. In all cases where the required ownership documents are not submitted with the vehicle, the VDR process requires a record search be performed by DMV’s system prior to demolishing or dismantling the vehicle.

9. What other forms must be submitted when a motor vehicle is transferred for demolishing or dismantling?

Motor vehicles acquired from individuals, businesses, or from Virginia local governments require a completed and signed Vehicle Removal Certificate (VSA 40). The VSA 40 is the standard form you will use for most vehicle transfers to demolishers or scrap metal processors, and for reporting the vehicle disposition to DMV. The exception is for Virginia local governments requesting locality reimbursement for inoperable, abandoned vehicles. They must submit the Local Government Reimbursement for Inoperable Vehicle Disposition form (VSA 122). Motor vehicles with model years 2002 or before will also require a Demolisher and Mercury Switch Removal Certification form (VSA 40A) be submitted to report the removal of mercury switches. However, if the mercury switch removal is reported on the VSA 40 or VSA 122, the VSA 40A is not required. In all cases where mercury switch reporting is required, you must verify that the appropriate fields and checkboxes are marked to certify compliance with Va. Code § 46.2-635 and that the document is retained, along with the other associated documents, in a secure location for review upon request by law enforcement.

10. Can I demolish the vehicle and report to DMV after the fact?

Yes, in most cases. Motor vehicles that have a valid certificate of title, salvage certificate, or nonrepairable certificate may be demolished and then reported, within five working days of disposition, using DMV’s VDR process. For motor vehicles that are at least 10 years older than the current model year, for which there is no certificate of title, salvage certificate, or nonrepairable certificate, the VDR process requires you to first perform a record search, following the simple, on-screen instructions, before demolishing or dismantling the vehicle. Do not demolish or dismantle the vehicle until you receive a VDR receipt displaying a “RECORD FOUND“status. Once you receive a VDR receipt with a “RECORD FOUND” status from DMV, you may demolish or dismantle the vehicle. Newer motor vehicles with model years that are less than 10 years, for which no title, salvage certificate, or nonrepairable certificate exists must be processed in DMV’s online Abandoned Vehicle Process (AVP) and CANNOT be demolished or dismantled until the AVP process requirements are complied.

11. Why am I being charged to report demolished or dismantled vehicles?

You will not be charged a fee to report any vehicle in the VDR process when you have a valid certificate of title, salvage certificate, or nonrepairable certificate in your possession. Whenever a motor vehicle is transferred to a salvage licensee or scrap metal processor without proper ownership documents, the VDR requires a record search be performed to determine if ownership records exist. A $25 fee is charged for each record search. Once the search is complete, you will receive a receipt that displays either “RECORD FOUND” or “NO RECORD FOUND” status. You may proceed with demolishing or dismantling a vehicle if the receipt displays “RECORD FOUND”. If you receive a receipt that displays “NO RECORD FOUND”, do not demolish or dismantle the vehicle until you are notified by DMV.

12. What if the VDR process record search receipt displays “NO RECORD FOUND”? Can I demolish or dismantle the vehicle?

No. If you receive a receipt for the record search that indicates there was “NO RECORD FOUND”, do not demolish or dismantle the vehicle. DMV will contact you about the status of the vehicle in approximately one business day.

13. I paid the fees to report a demolished or dismantled motor vehicle, yet the receipt shows “NO RECORD FOUND”. Since I am not allowed to proceed with demolishing or dismantling the vehicle, how do I get a refund of my fees?

The fees charged for DMV’s VDR process cover the cost of the record search for existing vehicle records. Fees are not based on the outcome of the search and refunds are not issued when a “NO RECORD FOUND” response is received. VDR process fees are non refundable.

14. Why doesn’t the VDR process let me process a record search when no certificate of title, salvage certificate, or nonrepairable certificate is submitted for late model vehicles?

Any motor vehicle with a model year that is less than 10 years old, for which you have no certificate of title, salvage certificate, or nonrepairable certificate must be processed using DMV’s online AVP process. Compliance with the requirements of the AVP process helps ensure the ownership rights of Virginia residents and lienholders in the event a record exists for the vehicle.

15. I have an active Memorandum of Understanding (MOU) to participate in the VDR process. However, when I login, the system does not let me report my vehicles?

There are several possible reasons that you may not be able to report demolished or dismantled vehicles to DMV’s system. • Expired salvage license • Expired MOU • Disqualifying stop on your record • Customer number not recognized in Virginia DMV’s system For questions or problems with the VDR process email to oldealers@dmv.virginia.gov.

16. When reporting on the VDR process, am I still required to forward to DMV all original certificates of title, salvage certificates, or nonrepairable certificates acquired for the vehicles being demolished or dismantled?

No. By reporting vehicle dispositions electronically using DMV’s VDR process you are no longer required to forward certificates of title, salvage certificates, or nonrepairable certificates, or other documents submitted when the vehicle is transferred for demolishing or dismantling. However, you must retain them in a secure location at your place of business for a period of five years. All documents submitted when acquiring vehicles for demolishing or dismantling are subject to inspection at the request of law enforcement as required in Va. Code § 46.2-1607.