1-1  By:  Montford                                          S.B. No. 901
    1-2        (In the Senate - Filed March 11, 1993; March 15, 1993, read
    1-3  first time and referred to Committee on Natural Resources;
    1-4  April 23, 1993, reported favorably by the following vote:  Yeas 6,
    1-5  Nays 0; April 23, 1993, sent to printer.)
    1-6                            COMMITTEE VOTE
    1-7                          Yea     Nay      PNV      Absent 
    1-8        Sims               x                               
    1-9        Truan              x                               
   1-10        Armbrister                                     x   
   1-11        Barrientos                                     x   
   1-12        Bivins                                         x   
   1-13        Brown              x                               
   1-14        Carriker                                       x   
   1-15        Lucio              x                               
   1-16        Montford           x                               
   1-17        Ratliff                                        x   
   1-18        Shelley            x                               
   1-19                         A BILL TO BE ENTITLED
   1-20                                AN ACT
   1-21  relating to the award of a certificate of number and the collection
   1-22  of certain taxes by an authorized agent of the Parks and Wildlife
   1-23  Department.
   1-24        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-25        SECTION 1.  Section 31.003, Parks and Wildlife Code, is
   1-26  amended by adding Subdivision (15) to read as follows:
   1-27              (15)  "Authorized agent" means a dealer who is
   1-28  authorized by the department under Section 31.006 of this code to
   1-29  collect taxes and fees and issue certificates of number.
   1-30        SECTION 2.  Subchapter A, Chapter 31, Parks and Wildlife
   1-31  Code, is amended by adding Section 31.006 to read as follows:
   1-32        Sec. 31.006.  APPOINTMENT OF AUTHORIZED AGENT.  (a)  The
   1-33  department may authorize a dealer who holds a dealer's or
   1-34  manufacturer's number to act as the agent of the department under
   1-35  Subchapter B of this chapter and under Chapter 160, Tax Code, for
   1-36  the issuance of certificates of number and the collection of fees
   1-37  and taxes for boats sold by that dealer.
   1-38        (b)  An authorized agent must follow the rules of the
   1-39  commission and the rules of the comptroller.
   1-40        (c)  An authorized agent shall send the applications required
   1-41  by Sections 31.024 and 31.047 of this code, the fees required by
   1-42  Sections 31.026 and 31.048 of this code, and the tax paid under
   1-43  Chapter 160, Tax Code, to the department not later than 20 days
   1-44  after the date a certificate of number is issued and a fee or tax
   1-45  collected.
   1-46        (d)  An authorized agent shall execute a surety bond in an
   1-47  amount set by the department to insure against loss to the
   1-48  department of fees and taxes.  The bond shall be in favor of the
   1-49  department.
   1-50        (e)  The department may cancel the authorization of an agent
   1-51  on 30 days' written notice of the agent's violation of this
   1-52  chapter, a department rule adopted under this chapter, Chapter 160,
   1-53  Tax Code, or a rule adopted by the comptroller under that chapter.
   1-54        SECTION 3.  Subsections (a), (b), and (e), Section 31.024,
   1-55  Parks and Wildlife Code, are amended to read as follows:
   1-56        (a)  The owner of each motorboat requiring numbering by this
   1-57  state shall file an application for a number with the department,
   1-58  an authorized agent, or a county tax assessor-collector.
   1-59        (b)  The application shall be signed by the owner of the
   1-60  motorboat and shall be accompanied by the fee prescribed in Section
   1-61  31.026 of this code.  If the application is received by a county
   1-62  tax assessor-collector, the application and the portion of the fee
   1-63  not retained by the tax assessor-collector as a collection fee
   1-64  shall be sent to the department.  If the application is received by
   1-65  an authorized agent, the application and the fee shall be sent to
   1-66  the department as required by Section 31.006 of this code.
   1-67        (e)  The department, an authorized agent, or a county tax
   1-68  assessor-collector may not issue a certificate of number unless the
    2-1  tax due on the motorboat under Chapter 160, Tax Code, is paid.
    2-2        SECTION 4.  Section 31.034, Parks and Wildlife Code, is
    2-3  amended to read as follows:
    2-4        Sec. 31.034.  ISSUANCE OF NUMBERS BY <THE> DEPARTMENT OR
    2-5  AUTHORIZED AGENT.  (a)  The department may award a certificate of
    2-6  number.
    2-7        (b)  A certificate of number issued and delivered by an
    2-8  authorized agent in conformity with this chapter and the rules of
    2-9  the commission adopted under this chapter is valid as if awarded by
   2-10  the department directly.
   2-11        SECTION 5.  Section 160.001, Tax Code, is amended to read as
   2-12  follows:
   2-13        Sec. 160.001.  Definitions.  In this section:
   2-14              (1)  "Agent of the department" means an agent
   2-15  authorized under Section 31.006, Parks and Wildlife Code.
   2-16              (2)  "Boat" has the meaning assigned by Section 31.003,
   2-17  Parks and Wildlife Code.
   2-18              (3) <(2)>  "Dealer or manufacturer" means a dealer or
   2-19  manufacturer as defined under Section 31.003, Parks and Wildlife
   2-20  Code, who has applied for and holds a current number under Section
   2-21  31.041, Parks and Wildlife Code.
   2-22              (4) <(3)>  "Department" means the Parks and Wildlife
   2-23  Department.
   2-24              (5) <(4)>  "Outboard motor" has the meaning assigned by
   2-25  Section 31.003, Parks and Wildlife Code.
   2-26              (6) <(5)>  "Retail sale" means a sale of an item other
   2-27  than a sale in which the dealer or manufacturer acquires the item
   2-28  for the exclusive purpose of resale.
   2-29              (7) <(6)>  "Sale" includes:
   2-30                    (A)  an installment and credit sale;
   2-31                    (B)  an exchange of property for property or
   2-32  money;
   2-33                    (C)  an exchange in which property is transferred
   2-34  but the seller retains title as security for payment of the
   2-35  purchase price; and
   2-36                    (D)  any other closed transaction that
   2-37  constitutes a sale.
   2-38              (8) <(7)>  "Tax assessor-collector" means a county tax
   2-39  assessor-collector.
   2-40              (9) <(8)>  "Taxable boat or motor" means:
   2-41                    (A)  a boat other than a canoe, kayak, rowboat,
   2-42  raft, punt, or other vessel designed to be propelled by paddle,
   2-43  oar, or pole; or
   2-44                    (B)  an outboard motor.
   2-45              (10) <(9)>  "Use" does not include the storage,
   2-46  display, or holding of an item exclusively for sale.
   2-47        SECTION 6.  Subsection (b), Section 160.003, Tax Code, is
   2-48  amended to read as follows:
   2-49        (b)  The comptroller shall furnish a copy of the rules to
   2-50  each tax assessor-collector, each agent of the department, and the
   2-51  department.  Each tax assessor-collector and each agent of the
   2-52  department shall consistently apply the rules authorized by this
   2-53  section.
   2-54        SECTION 7.  Subsections (a), (b), and (c), Section 160.041,
   2-55  Tax Code, are amended to read as follows:
   2-56        (a)  The department, each agent of the department, and each
   2-57  tax assessor-collector shall collect the taxes imposed by this
   2-58  chapter.  The department, agent of the department, or tax
   2-59  assessor-collector of the county in which an application for a
   2-60  Texas certificate of number or certificate of title for a taxable
   2-61  boat or motor is made shall collect the taxes imposed by this
   2-62  chapter on that boat or motor.
   2-63        (b)  The department, agent of the department, or the tax
   2-64  assessor-collector may not accept an application for a Texas
   2-65  certificate of number or certificate of title for a taxable boat or
   2-66  motor from a person unless the tax, if any, is paid.
   2-67        (c)  The tax imposed by Section 160.021 is due on the 20th
   2-68  working day after the date that the taxable boat or motor is
   2-69  delivered to the purchaser.  The purchaser shall pay the tax to the
   2-70  department, to an agent of the department, or to a tax
    3-1  assessor-collector on or before the due date.
    3-2        SECTION 8.  Subsections (a), (e), and (f), Section 160.042,
    3-3  Tax Code, are amended to read as follows:
    3-4        (a)  A person obligated to pay a tax imposed by this chapter
    3-5  on a transaction shall file the affidavit as provided by this
    3-6  section with the department, agent of the department, or tax
    3-7  assessor-collector on payment of a tax imposed by this chapter.
    3-8        (e)  The department, agent of the department, or the tax
    3-9  assessor-collector shall examine each affidavit for the purpose of
   3-10  determining the truth and accuracy of the information it contains.
   3-11  If the department, agent of the department, the tax
   3-12  assessor-collector, or the comptroller has reason to question the
   3-13  truth of the information in an affidavit, or if any material fact
   3-14  fails to meet the rules adopted by the comptroller, the department,
   3-15  agent of the department, the tax assessor-collector, or the
   3-16  comptroller may require any party to the affidavit to furnish
   3-17  substantiation of information in the affidavit before accepting an
   3-18  application for a Texas certificate of number or certificate of
   3-19  title.
   3-20        (f)  The department, agent of the department, and the tax
   3-21  assessor-collector shall keep a copy of each affidavit and any
   3-22  substantiating materials until it is called for by the comptroller
   3-23  for auditing.
   3-24        SECTION 9.  Subsection (b), Section 160.044, Tax Code, is
   3-25  amended to read as follows:
   3-26        (b)  The department, agent of the department, or tax
   3-27  assessor-collector collecting a tax imposed by this chapter shall:
   3-28              (1)  issue the original receipt to the person paying
   3-29  the tax; and
   3-30              (2)  retain one duplicate copy of the receipt as a
   3-31  permanent record of the transaction according to the rules of the
   3-32  comptroller.
   3-33        SECTION 10.  This Act takes effect September 1, 1993.
   3-34        SECTION 11.  The importance of this legislation and the
   3-35  crowded condition of the calendars in both houses create an
   3-36  emergency and an imperative public necessity that the
   3-37  constitutional rule requiring bills to be read on three several
   3-38  days in each house be suspended, and this rule is hereby suspended.
   3-39                               * * * * *
   3-40                                                         Austin,
   3-41  Texas
   3-42                                                         April 23, 1993
   3-43  Hon. Bob Bullock
   3-44  President of the Senate
   3-45  Sir:
   3-46  We, your Committee on Natural Resources to which was referred S.B.
   3-47  No. 901, have had the same under consideration, and I am instructed
   3-48  to report it back to the Senate with the recommendation that it do
   3-49  pass and be printed.
   3-50                                                         Sims,
   3-51  Chairman
   3-52                               * * * * *
   3-53                               WITNESSES
   3-54                                                  FOR   AGAINST  ON
   3-55  ___________________________________________________________________
   3-56  Name:  Jayna Burgdorf                                          x
   3-57  Representing:  Tx Parks & Wildlife
   3-58  City:  Austin
   3-59  -------------------------------------------------------------------
   3-60  Name:  Howard Kidwell                                          x
   3-61  Representing:  Tx Parks & Wildlife
   3-62  City:  Austin
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   3-64                                                  FOR   AGAINST  ON
   3-65  ___________________________________________________________________
   3-66  Name:  Lee Couch                                 x
   3-67  Representing:  Boating Trades Asso. of Tx
   3-68  City:  Austin
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