BILL ANALYSIS C.S.H.B. 1619 By: Uher 04-26-95 Committee Report (Substituted) BACKGROUND Under current law, (Vernon's Texas Civil Statutes, Article 6687-1) a motor vehicle lienholder pays to have the lien added to the Texas Department of Transportation (TxDot) records. Upon demand of the owner, the lienholder discharges the retired lien and forwards the title to the owner. However, the TxDot records continue to reflect the lien until a release of lien fee is paid by the owner. Unfortunately, many owners are unaware of this responsibility and never carry out the transfer. PURPOSE HB 1619 transfers, from the owner to the lienholder, the requirement of releasing a lien to the Texas Department of Transportation. Accuracy in the TxDoT records for motor vehicle liens will be more precise due to this requirement. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1: Amends Certificate of Title Act, 6687-1, Section 47, by deleting the requirement that an owner must demand the discharge of a lien; requires the lienholder to execute the discharge of the lien and apply for a new certificate of title; authorizes the TxDot to issue a new certificate of title upon meeting certain requirements. SECTION 2: Emergency Clause and Effective Date as upon passage. COMPARISON OF ORIGINAL TO SUBSTITUTE C.S.H.B. 1619 changes Section 1 of the original bill by deleting the requirement that an owner must demand the discharge of a lien; requires the lienholder to execute the discharge of the lien and apply for a new certificate of title; authorizes the TxDot to issue a new certificate of title upon meeting certain requirements. C.S.H.B. 1619 also adds Subsection (b) which indicates that TxDOT must issue the new title upon receipt of the application for new title, under the requirements of Subsection (a). The original H.B. 1619 does not include this Subsection. SUMMARY OF COMMITTEE ACTION Pursuant to a public notice posted on March 30, 1995 at 6:02 p.m., the House Committee on Transportation met in a public hearing on Wednesday, April 5, 1995 at 2:00 p.m. or upon adjournment, in room E1.014 of the Capitol Extension and was called to order at 6:30 p.m. by the Chair, Representative Clyde Alexander after the House recessed. The Chair laid out H.B. 1619 and recognized Representative Uher to explain H.B. 1619. Representative Uher laid out the Committee substitute to H.B. 1619, and without objection the substitute was adopted. The Chair recognized the following persons who testified in support of H.B. 1619: Joyce Barrow, Tax Assessor/Collector Hunt County. Larry Cernosek, Texas Towing and Storage Association. There were no witnesses testifying in opposition to H.B. 1619. The Chair left H.B. 1619, as substituted, pending before the committee. Pursuant to a public notice posted on April 21, 1995, at 4:04 p.m., the House Committee on Transportation met in a public hearing on Wednesday, April 26, 1995, at 2:00 p.m., or upon adjournment, in Room E1.014 of the Capitol Extension and was called to order at 6:13 p.m. by the Chair, Representative Clyde Alexander. The Chair laid out H.B. 1619, as substituted on April 5, 1995, which was pending before the Committee. Representative Bosse moved that the Committee report H.B. 1619, as substituted, to the full House with the recommendation that it do pass. The motion prevailed by the following vote: Ayes (8), Nayes (0), Absent (1), Present not voting (0).