89R799 JCG-F

By: Lopez of Cameron H.B. No. 1120

A BILL TO BE ENTITLED

AN ACT

relating to the purchase or acquisition by metal recycling entities of catalytic converters removed from a motor vehicle; imposing an administrative penalty.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 1956.0321(c), Occupations Code, is amended to read as follows:

(c) A metal recycling entity may not purchase a catalytic converter unless the entity:

(1) determines that the catalytic converter is consistent with the manufacturer's specifications for a catalytic converter from the vehicle for which the seller provided information under Subsection (a)(1); and

(2) enters the vehicle identification number provided by the seller under Subsection (a)(1) into the National Highway Traffic Safety Administration's VIN Decoder, or successor database, and verifies that the vehicle year, make, and model retrieved from the database with respect to that vehicle identification number are the same as the vehicle year, make, and model provided by the seller.

SECTION 2. Subchapter C-1, Chapter 1956, Occupations Code, is amended by adding Section 1956.1235 to read as follows:

Sec. 1956.1235. SELLER'S DUTY TO PROVIDE CERTAIN INFORMATION; PURCHASER'S DUTY TO VERIFY. (a) In a transaction to which this subchapter applies, the seller shall provide to the metal recycling entity the year, make, model, and vehicle identification number for the vehicle from which the catalytic converter was removed.

(b) The metal recycling entity may not purchase or otherwise acquire the catalytic converter unless the entity enters the vehicle identification number provided by the seller under Subsection (a) into the National Highway Traffic Safety Administration's VIN Decoder, or successor database, and verifies that the vehicle year, make, and model retrieved from the database with respect to that vehicle identification number are the same as the vehicle year, make, and model provided by the seller.

SECTION 3. Section 1956.124(b), Occupations Code, is amended to read as follows:

(b) A record meets the requirements of Subsection (a) if it contains:

(1) the year, make, model, and vehicle identification number for the vehicle from which each purchased or otherwise acquired catalytic converter was removed [a description made in accordance with the custom of the trade for the volume of catalytic converters purchased or otherwise acquired];

(2) the business name of the person from whom each [the] catalytic converter was [converters were] purchased or otherwise acquired; and

(3) the date of the transaction.

SECTION 4. Section 1956.128(a), Occupations Code, is amended to read as follows:

(a) The commission may impose an administrative penalty under Subchapter R, Chapter 411, Government Code, on a metal recycling entity that:

(1) violates Section 1956.123 due to the entity's failure to exercise due diligence in purchasing or acquiring a catalytic converter removed from a motor vehicle; [or]

(2) violates Section 1956.1235; or

(3) violates Section 1956.124.

SECTION 5. Section 1956.124, Occupations Code, as amended by this Act, applies only to an offense committed on or after the effective date of this Act. An offense committed before the effective date of this Act is governed by the law in effect on the date the offense was committed, and the former law is continued in effect for that purpose. For purposes of this section, an offense was committed before the effective date of this Act if any element of the offense occurred before that date.

SECTION 6. Section 1956.128, Occupations Code, as amended by this Act, applies only to conduct that occurs on or after the effective date of this Act. Conduct that occurs before the effective date of this Act is governed by the law in effect on the date the conduct occurred, and the former law is continued in effect for that purpose.

SECTION 7. This Act takes effect September 1, 2025.