(1) In addition to the duties
and powers of the board under section 44-20-104, the board may:
(a) Promulgate, amend, and repeal rules reasonably necessary to implement
this part 4, including, without limitation, the administration, enforcement, issuance,
and denial of licenses to wholesalers, powersports vehicle dealers, powersports
vehicle salespersons, and used powersports vehicle dealers;
(b) Delegate to the board's executive secretary, employed pursuant to
section 44-20-405 (1)(b), the authority to execute all actions within the power of the
board, carry out the directives of the board, and make recommendations to the
board on all matters within the authority of the board;
(c) Issue through the department a temporary license to an applicant
seeking a license issued by the board, which temporary license shall permit the
applicant to operate for not more than one hundred twenty days, during which time
the board may complete its investigation and determination of all facts relative to
the qualifications of the applicant for the license;
(d) (I) Issue through the department and, for reasonable cause shown or upon
satisfactory proof of the unfitness of the applicant under this part 4, refuse to issue
to any applicant any license the board is authorized to issue by this part 4;
(II) Permit the director to issue licenses pursuant to rules adopted by the
board under subsection (1)(a) of this section;
(e) (I) After due notice and a hearing:
(A) Review the findings of an administrative law judge or hearing officer from
a hearing conducted pursuant to this part 4; or
(B) Revoke and suspend or order the director to issue or to reinstate, on such
terms and conditions and for such period of time as the board deems fair and just,
any license issued pursuant to this part 4;
(II) Issue a letter of admonition for a minor violation of this part 4 that does
not become a part of the licensee's record with the board;
(III) Issue a letter of reprimand and a notice of the right to request formal
disciplinary proceedings, in writing within twenty days, to a licensee for a violation
of this part 4, which letter is a part of the licensee's record with the board for a
period of two years after issuance and may be considered in aggravation of any
subsequent violation by the licensee; except that the letter shall be vacated and a
formal disciplinary proceeding shall be instituted upon a written request within
twenty days after the letter is issued;
(f) (I) Investigate, with the assistance of the director, on its own motion or
upon a written and signed complaint from any person, a suspected or alleged
violation by a wholesaler, powersports vehicle dealer, used powersports vehicle
dealer, or powersports vehicle salesperson of this part 4 or a rule promulgated by
the board;
(II) Issue subpoenas or delegate the authority to issue subpoenas to the
director;
(III) Require the director to investigate complaints transmitted by the board
pursuant to section 44-20-405 (3)(b) and (3)(c);
(IV) Seek to resolve disputes before beginning an investigation or hearing
through its own action or by direction of the director;
(V) If the board determines that there is probable cause to believe a violation
of this article 20 has occurred after an investigation by the director, order an
administrative hearing be held pursuant to section 24-4-105;
(g) Summarily issue cease-and-desist orders, followed by notice and a
hearing in accordance with section 44-20-421, on such terms and conditions and for
such time as the board deems fair and just to:
(I) A person who is licensed by the board pursuant to this part 4; or
(II) A person engaging in activity that requires a license under this part 4
when performed in Colorado but the person does not operate at a physical location
in Colorado or employ residents of Colorado;
(h) (I) Prescribe the forms to be used for applications for persons licensed
under this part 4;
(II) Require of an applicant, as a requisite to the issuance of a license,
information concerning the applicant's fitness to be licensed under this part 4 as
the board considers necessary;
(i) Adopt a seal with the words motor vehicle dealer board and such other
devices as the board may desire engraved thereon by which it shall authenticate
the acts of its office;
(j) Require that a powersports vehicle dealer's or used powersports vehicle
dealer's principal place of business and such other sites or locations operated by
the dealer have signs or devices giving notice of the dealer's name, the location and
address of the dealer's principal place of business, and the type and number of
licenses held by the dealer, as the board considers necessary to notify any person
doing business with the dealer to identify the dealer, and for this purpose to
promulgate rules determining the size, shape, lettering, and location of the signs or
devices;
(k) Cause to be conducted written examinations, as prescribed by the board,
to test the competency of all first-time applicants for a wholesaler's license,
powersports vehicle dealer's license, used powersports vehicle dealer's license, or
powersports vehicle salesperson's license;
(l) Promulgate rules requiring off-highway vehicles sold by persons licensed
under this part 4 to comply with ANSI/SVIA-1-2001 or a successor standard
promulgated by the American national standards institute or its successor
organization if the rules do not conflict with the ANSI standards or set standards
more stringent than those set by ANSI;
(m) (I) Prescribe forms to be used as a part of a contract for the sale of a
powersports vehicle by a powersports vehicle dealer or powersports vehicle
salesperson, other than a retail installment sales contract subject to the provisions
of the Uniform Consumer Credit Code, articles 1 to 9 of title 5, that shall include
the following information in addition to any other disclosures or information
required by state or federal law:
(A) In twelve-point, bold-faced type, or at least three points larger than the
smallest type appearing in the contract, an instruction that the form is a legal
instrument and that, if the purchaser of the powersports vehicle does not
understand the form, the purchaser should seek legal assistance;
(B) In the type and size specified in subsection (1)(m)(I)(A) of this section, an
instruction that only those terms in written form embody the contract for sale of a
powersports vehicle and that any conflicting oral representations made to the
purchaser are void;
(C) In the type and size specified in subsection (1)(m)(I)(A) of this section, a
notice that fraud or misrepresentation in the sale of a powersports vehicle is
punishable under the laws of this state;
(D) In the type and size specified in subsection (1)(m)(I)(A) of this section, if
the contract for the sale of a powersports vehicle requires a single, lump sum
payment of the purchase price, a clear disclosure to the purchaser of this fact or, if
the contract is contingent upon the approval of credit financing for the purchaser
arranged by or through the powersports vehicle dealer, a statement that the
purchaser shall agree to purchase the powersports vehicle that is the subject of the
sale from the powersports vehicle dealer at not greater than a certain annual
percentage rate of financing that shall be agreed upon by the parties and entered
in writing on the contract;
(E) Except as otherwise provided under this part 4, if the purchase price of
the powersports vehicle is not paid to the powersports vehicle dealer in full at the
time of consummation of the sale and the vehicle dealer delivers and the purchaser
takes possession of the vehicle at such time, a statement in bold-faced type that, if
financing cannot be arranged in accordance with the contract and the sale is not
consummated, the purchaser shall agree to pay a daily rate for use of the vehicle
until financing of the purchase price of the vehicle is arranged for the obligor by or
through the authorized powersports vehicle dealer or until the purchase price is
paid in full by or through the obligor, which daily rate shall be agreed upon in
writing on the contract.
(II) The information required by subsection (1)(m)(I) of this section shall be
read and initialed by both parties at the time of the sale of a powersports vehicle.
(III) The use of the contract form required by subsection (1)(m)(I) of this
section shall be mandatory for the sale of a powersports vehicle.
(n) After final action is taken on a hearing held before an administrative law
judge or a hearing officer designated by the board from within the board's
membership, review the findings of law and fact and the fairness of any fine
imposed and uphold the fine, impose an administrative fine upon its own initiative
that shall not exceed ten thousand dollars for each separate offense by any
licensee, or vacate the fine imposed by the judge or hearing officer; except that, for
powersports vehicle dealers who sell primarily vehicles that weigh under one
thousand five hundred pounds, the fine for each separate offense shall not exceed
one thousand dollars; and
(o) Impose a fine of up to one thousand dollars per day per violation for any
person found, after notice and hearing pursuant to section 24-4-105, to have
violated the provisions of section 44-20-423 (2).
(2) The board shall:
(a) Order an investigation of all written and signed complaints;
(b) Require an application for a powersports vehicle dealer's license or used
powersports vehicle dealer's license to contain, in addition to such information as
the board may require, a statement of the following facts:
(I) The name and residence address of the applicant and any trade name
under which the applicant intends to conduct business;
(II) If the applicant is a partnership, the name and residence address of each
member, whether a limited or general partner, and the name under which the
partnership business is to be conducted;
(III) If the applicant is a corporation, the name of the corporation and the
name and address of each of its principal officers and directors;
(IV) A complete description, including the municipality, street, and number, if
any, of the principal place of business, and any other additional places of business
as shall be operated and maintained by the applicant;
(V) If the application is for a powersports vehicle dealer's license, the names
of the new powersports vehicles that the applicant has been enfranchised to sell or
exchange and the name and address of the powersports manufacturer or
distributor who has enfranchised the applicant; and
(VI) The name and address of any person who will act as a salesperson under
the authority of the license, if issued.
(3) The findings of the board under subsection (1) of this section shall be
final.
(4) (a) For the purposes of subsections (1)(e) and (1)(g) of this section, the
address for the notice to be given under section 24-4-105 is the last-known address
for the person as indicated in the state motor vehicle records; the last-known
address for the owner of the real property upon which powersports vehicles are
displayed in violation of section 44-20-423 (2), as indicated in the records of the
county assessor's office; or any address for service of process in accordance with
rule 4 of the Colorado rules of civil procedure.
(b) A person who fails to pay a fine ordered by the board for a violation of
section 44-20-423 (2) under subsection (1)(o) of this section shall be subject to
enforcement proceedings, by the board through the attorney general, in the county
or district court pursuant to the Colorado rules of civil procedure. Fines collected
under this subsection (4) shall be disposed of pursuant to section 44-20-430.
(5) (a) If a hearing is conducted by an administrative law judge, the maximum
fine that may be imposed is ten thousand dollars for each separate offense by any
person licensed by the board pursuant to this part 4; except that, for a powersports
vehicle dealer who sells primarily vehicles that weigh under one thousand five
hundred pounds, the fine for each separate offense may not exceed one thousand
dollars.
(b) (I) If a licensing hearing is conducted by a hearing officer, the sanctions
that may be recommended by the hearing officer are limited to the denial or grant
of an unrestricted license or a restricted license under such terms as the hearing
officer deems appropriate.
(II) If a disciplinary hearing is conducted by a hearing officer, the hearing
officer may only recommend a probationary period of no more than twelve months,
a fine of no more than five hundred dollars, or both such probationary period and
fine for each separate violation committed by a person licensed by the board.
(6) (a) The board has jurisdiction over activity that:
(I) Requires a license under this part 4 when performed in Colorado; and
(II) Involves a resident of Colorado.
(b) When performing an activity described in subsection (6)(a) of this section,
a person is subject to this part 4 and the rules promulgated by the board under this
part 4; except that the person need not obtain a license under this part 4 if the
person engages in activity that requires a license under this part 4 when performed
in Colorado but the person does not operate at a physical location in Colorado or
employ residents of Colorado.