BILL ANALYSIS
C.S.H.B. 2845
By: Counts
04-12-95
Committee Report (Substituted)
BACKGROUND
Current law, Article 4413(37), Vernon's Texas Civil Statutes does
not adequately clarify the statutory power of The Automobile Theft
Prevention Authority. Over one and a half million vehicles were
stolen across the country in 1992 at a direct cost to consumers of
over $7.5 billion. Auto burglaries for parts and insurance and
title fraud add substantially to the problem making these auto-related crimes one of the largest crime problems faced in the
United States.
In the state of Texas, 125,000 auto thefts were committed in 1993.
The cost to citizens, based on an insurance average of $4,713 per
vehicle exceeds $590 million. Criminal investigations have shown
that some people dealing in stolen parts can make between $30,000
and $300,000 a month. Auto thefts for parts is big business in
this state.
Since the inception of ATPA's funded programs, vehicle theft was
reduced in 1992 and 1993 by a cumulative rate of slightly more than
24%. In addition, vehicle theft statistics from the first half of
1994, indicated another reduction of approximately 11%. These
statistics are impressive given the short time The Automobile Theft
Prevention Authority has been in operation.
PURPOSE
The purpose of this bill is to clarify the powers, functions,
authority, and duties of the Automobile Theft Prevention Authority.
Further, the bill will establish ATPA in the Department of
Transportation, provide for a method of refunding overpayment by
insurance company, and bring ATPA under the Texas Sunset Act. HB
2845 is a cleanup bill to make certain adjustments to the
Legislation that will promote efficiency of operation and make this
Act even more effective against auto theft.
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. However, in Sec. 6. POWERS AND
DUTIES.(c) the authority in coordination with Department of
Transportation delegate authority to the staff as needed. Also,
(e), line 24 gives the authority permission to contract for various
service with other state agencies as needed to carry out its
purposes, powers, and duties.
In Sec. 6A. ATPA is given the authority to refund moneys to an
insurer when they are due a refund. No other rulemaking authority
is provided for in this bill.
SECTION BY SECTION ANALYSIS
SECTION 1: Amends V.T.C.S., Article, 4413(37) AUTOMOBILE THEFT
PREVENTION AUTHORITY as follows:
Sec. 2. Establishes the ATPA in the Department of Transportation.
The authority is not an advisory body to the Department of
Transportation. The Department of Transportation shall, at the
direction of the authority, implement authority decisions.
Sec. 6. (c) Gives ATPA the authority to employ and compensate staff
in coordination with the Department of Transportation, and
authority to delegate to the staff as needed.
(e) Provides authority for ATPA to contract with other state
agencies for goods and services. The authority may enter into
contracts in its own name and on its own behalf.
Sec.6A. ATPA is given the authority to make refunds to an insurer
if an overpayment occurs in payment of fees under Section 10 of
this article. Stipulates that members of the Board who represent
insurance companies recuse themselves when voting on refunds.
Majority vote prevails and is not considered a hearing for due
process. Gives the ATPA the authority to make determination
regarding the sufficiency of payments made by an insurer.
Sec. 7. No change in current law.
Sec. 8. No change in current law.
Sec. 9. No change in current law.
Sec.10. (b) Changes the date the insurers pay fee to the authority
from February 1 to March 1. (e) In the event the authority is
abolished under Section 12 of this Article funds in the authority
would go to comptroller for deposit in the general fund.
Sec.11. (c) Removes language about performance of ATPA if auto
theft rate in the state increases the authority to be abolished and
funds moved to general revenue account.
Sec.12. Brings ATPA under Chapter 35, Government Code Texas Sunset
Act and changes the date the authority is abolished from September
1, 2003 to September 1,1997.
SECTION 2: Emergency Clause and Effective Date as.
COMPARISON OF ORIGINAL TO SUBSTITUTE
The Committee Substitute adds language in SECTION 1. Sec. 2. That
the authority is not an advisory body to the Department of
Transportation. The Department of Transportation shall, at the
direction of the authority, implement authority decisions. The
Committee substitute to H.B. 2845 also adds language in Section 6,
subsection (e) that the authority may enter into contracts in its
own name and on its own behalf. And finally, the Committee
Substitute to H.B. 2845 adds language in Section 6A that would give
ATPA the authority to make determination regarding the sufficiency
of payments made by an insurer.
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. 2845 and recognized
Representative Counts to explain H.B. 2845. Representative Uher
laid out the Committee substitute to H.B. 2845, and without
objection the substitute was adopted. The Chair recognized the
following person who testified but was neutral on H.B. 2845. Bill
Burnett, Texas Department of Transportation. The Chair left H.B.
2845, as substituted, pending before the committee. Pursuant to a
public notice posted on April 7, 1995 at 5:04 p.m., the House
Committee on Transportation met in a public hearing on Wednesday,
April 12, 1995, at 2:00 p.m., or upon adjournment, in Room E1.014
of the Capitol Extension and was called to order at 3:58 p.m. by
the Chair, Representative Clyde Alexander. The Chair laid out H.B.
2845, as substituted, by Counts, which was pending before the
Committee. Representative Edwards moved that the Committee report
H.B. 2845, as substituted, to the full House with the
recommendation that it do pass. The motion prevailed by the
following vote: Ayes (6), Nayes (0), Absent (3), Present not voting
(0).