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Enrolled Bill Summary

Enrolled Bill Summary

Legislative Session: 83(R)

House Bill 2202

House Author: Pickett et al.

Effective: See below

Senate Sponsor: Williams


            House Bill 2202 amends the Transportation Code to establish the Texas Department of Motor Vehicles (TxDMV) fund as a special fund in the treasury outside the general revenue fund and the state highway fund consisting of legislative appropriations; money allocated to pay fund accounting costs and fund liabilities; gifts, grants, and donations; deposits required by law; earned interest; and other TxDMV revenue. The bill also transfers and deposits into the fund $59 million of existing TxDMV fee revenue collected under the automated registration and titling system since November 1, 1999. The bill limits TxDMV's use of money in the fund to support of its operational, administrative, and enforcement functions and payment of the fund's accounting costs and liabilities, including fringe benefits and unemployment and workers' compensation.

House Bill 2202 requires the TxDMV board by rule to prescribe the classification types of businesses that are authorized to perform certain TxDMV functions, their duties and obligations, bonding requirements for a business to perform those functions, and the fees an authorized business may charge or retain and authorizes TxDMV's executive director to authorize a business entity to perform a TxDMV function in accordance with those rules. The bill repeals provisions relating to the appointment of full- and limited-service deputy county assessor-collectors and instead requires the TxDMV board by rule to prescribe the classification types of deputies performing titling and registration duties, the deputies' duties and obligations, bonding requirements that may be imposed by a county assessor-collector for a deputy to perform titling and registration duties, and the fees a deputy may charge or retain and authorizes a county assessor-collector, with county commissioners court approval, to deputize an individual or business entity to perform titling and registration services in accordance with those rules.

            House Bill 2202 authorizes TxDMV to establish one or more escrow accounts in the TxDMV fund, rather than the state highway fund, for the prepayment of fees for 72-hour or 144-hour permits, oversize or overweight vehicle permits, or motor carrier registration.

            House Bill 2202 authorizes TxDMV to collect a transaction and processing fee, in addition to other registration fees for the issuance of license plates or other registration devices, in an amount set by the TxDMV board that is sufficient to cover the expenses incurred by TxDMV, a county tax assessor-collector or deputy assessor-collector, or a private contractor in collecting those registration fees and authorizes the county tax assessor-collector, private contractor, or deputy assessor-collector to retain a portion of the added fee, with the remainder being deposited to the credit of the TxDMV fund. The bill prohibits TxDMV, if such a fee is collected, from collecting certain other processing and transaction fees. Effective on the effective date of the board's rules regarding the new registration processing and handling fee, the bill removes provisions authorizing or requiring a county assessor-collector or a private contractor, as applicable, to collect certain set charges or fees for services relating to registering a vehicle by mail, using an electronic off-premises location, or issuing a registration receipt and instead authorizes the county assessor-collector or private contractor to retain an amount set by the TxDMV board.

            House Bill 2202 specifies that the portion of all other vehicle registration fees collected by a county assessor-collector that are not credited to the county road and bridge fund but sent to TxDMV are sent to TxDMV for deposit to the credit of the state highway fund. The bill repeals a provision setting out the disposition of an optional county road and bridge fee.

            House Bill 2202 specifies that the fee collected for the automated registration and titling system is to be adopted by TxDMV board rule, establishes a range of not less than 50 cents and not more than $1 for the fee amount, requires the fee's deposit into a TxDMV fund subaccount, and expands the authorized uses of the fee revenue to include providing for or enhancing necessary infrastructure for permitting and for licensing and enforcement purposes as well as for registration and titling services.

            House Bill 2202 requires the portions of the revenue from certain fees collected from applicants for permits for oversize or overweight vehicles that previously were deposited to the credit of the state highway fund to be reallocated so that 90 percent of those amounts is deposited to the credit of the state highway find and 10 percent to the credit of the TxDMV fund. The bill specifies that the fee associated with the issuance of prorated credit for a destroyed or permanently inoperable vehicle for which a permit for excess axle or gross weight was issued is a fee adopted by the board instead of TxDMV. The bill requires the application fee for a heavy equipment permit to be established by TxDMV in consultation with the Texas Transportation Commission instead of by the commission.

            House Bill 2202 amends the Family Code, Occupations Code, and Transportation Code to require certain fees, civil penalties, and money, as applicable, to be deposited to the credit of the TxDMV fund, including some amounts that previously were deposited to the credit of the state highway fund.

            House Bill 2202 amends the Finance Code to make conforming changes. Except as otherwise provided, the bill takes effect September 1, 2013.