1-1 By: Harris S.B. No. 964
1-2 (In the Senate - Filed March 7, 1995; March 8, 1995, read
1-3 first time and referred to Committee on Economic Development;
1-4 April 6, 1995, reported adversely, with favorable Committee
1-5 Substitute by the following vote: Yeas 7, Nays 0; April 6, 1995,
1-6 sent to printer.)
1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 964 By: Harris
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to the regulation of driver training; providing a penalty.
1-11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-12 SECTION 1. Section 21.102, Education Code, is amended to
1-13 read as follows:
1-14 Sec. 21.102. Driver Education. (a) The Texas Higher
1-15 Education Coordinating Board <Central Education Agency> shall
1-16 develop a program of organized instruction in driver education and
1-17 traffic safety for public school students. A student who will be
1-18 15 years of age or older before a driver education and traffic
1-19 safety course ends may enroll in the course.
1-20 (b) With the approval of the board <State Board of
1-21 Education>, the commissioner of higher education shall establish
1-22 standards for the certification of professional and
1-23 paraprofessional personnel who conduct the programs in the public
1-24 schools.
1-25 SECTION 2. Subchapter F, Chapter 51, Education Code, is
1-26 amended by adding Section 51.307 to read as follows:
1-27 Sec. 51.307. DRIVER EDUCATION. A driver education course
1-28 for the purpose of preparing students to obtain a driver's license
1-29 may be offered by an institution of higher education, as defined by
1-30 Section 61.003, with the approval of the Texas Higher Education
1-31 Coordinating Board.
1-32 SECTION 3. Section 2, Texas Driver and Traffic Safety
1-33 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
1-34 as added by Chapter 835, Acts of the 72nd Legislature, Regular
1-35 Session, 1991, is amended to read as follows:
1-36 Sec. 2. Purpose and objectives. Traffic crashes in Texas
1-37 annually take the lives of thousands of people and cause billions
1-38 of dollars in economic losses. These alarming facts make safe
1-39 driving a concern for all citizens of the state. Deaths, injuries,
1-40 and property damage must be reduced. The attitudes and skills of
1-41 drivers must be improved through effective driver education and
1-42 training. It is a matter of vital public importance to identify
1-43 and implement all reasonable means to reduce the toll in human
1-44 suffering and property loss that is inflicted by vehicle crashes.
1-45 The purpose of this Act is to improve driver knowledge and skills
1-46 through the licensing and regulation by the Texas Higher Education
1-47 Coordinating Board of driver training schools and driver training
1-48 instructors in Texas. It is additionally intended that state
1-49 agency rules affecting schools that qualify as small businesses be
1-50 established and administered so as to have the least possible
1-51 adverse economic effect on those establishments.
1-52 SECTION 4. Section 3, Texas Driver and Traffic Safety
1-53 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
1-54 is amended by amending Subdivisions (1), (2), (3), (5), (7), (8),
1-55 (11), and (14) and by adding Subdivisions (16), (17), (18), (19),
1-56 (20), (21), and (22) to read as follows:
1-57 (1) "Agency" means the Texas Higher Education
1-58 Coordinating Board <Central Education Agency>, acting directly or
1-59 through its authorized officers and agents.
1-60 (2) "Board" means the members of the Texas Higher
1-61 Education Coordinating Board <State Board of Education>.
1-62 (3) "Commissioner" means the commissioner of higher
1-63 education or a person knowledgeable in the administration of
1-64 regulating driver training schools and designated by the
1-65 commissioner to administer this Act.
1-66 (5) "Driver training" <training school" or "school">
1-67 means driver education provided by a driver education school and
1-68 driving safety training provided by a driving safety school <any
2-1 enterprise that maintains a place of business or solicits business
2-2 in the state, that is operated by an individual, association,
2-3 partnership, or corporation, for the education and training of
2-4 persons, at a primary location or extension, in driver education,
2-5 driving safety, or any instructor development program, and that is
2-6 not specifically exempted by this Act>.
2-7 (7) "School" <"Extension"> means a driver education
2-8 school or driving safety school <an entity that geographically
2-9 extends the educational resources of a driver training school by
2-10 offering a driving safety course in a location other than the main
2-11 business location of the school. An extension may use multiple
2-12 locations to teach a driving safety course if each location is
2-13 approved by the parent school and the agency. A driver education
2-14 course may not be conducted at an extension. An extension of an
2-15 extension is not permitted>.
2-16 (8) "Operator" means a person approved by a driving
2-17 safety course owner or consignee to conduct an approved
2-18 <agency-approved> driving safety course.
2-19 (11) "School employee" means any person, other than an
2-20 owner, who directly or indirectly receives compensation from the
2-21 school for instructional or other services rendered.
2-22 (14) "Uniform certificate of completion" means a
2-23 document that is printed, administered, and supplied by the agency
2-24 to owners or primary consignees for issuance to students who
2-25 successfully complete an approved <agency-approved> driving safety
2-26 course and that meets the requirements of Section 143A, Uniform Act
2-27 Regulating Traffic on Highways (Article 6701d, Vernon's Texas Civil
2-28 Statutes).
2-29 (16) "Approved driving safety course" means a driving
2-30 safety course approved by the board.
2-31 (17) "Course provider" means an enterprise that
2-32 maintains a place of business or solicits business in this state,
2-33 that is operated by an individual, association, partnership, or
2-34 corporation, and that is a driving safety course owner or primary
2-35 consignee.
2-36 (18) "Driver education school" means an enterprise
2-37 that maintains a place of business or solicits business in this
2-38 state, that is operated by an individual, association, partnership,
2-39 or corporation for the education and training of persons at a
2-40 primary or branch location in driver education or driver education
2-41 instructor development, and that is not specifically exempted by
2-42 this Act.
2-43 (19) "Driver education school owner" means a person
2-44 who has been approved by the commissioner to own and operate a
2-45 driver education school.
2-46 (20) "Driving safety course owner" means an enterprise
2-47 that is operated by an individual, association, partnership, or
2-48 corporation that has received an approval for a driving safety
2-49 course from the board.
2-50 (21) "Driving safety school" means an enterprise that
2-51 maintains a place of business or solicits business in this state,
2-52 that is operated by an individual, association, partnership, or
2-53 corporation for the education and training of persons in driving
2-54 safety, and that is not specifically exempted by this Act. A
2-55 driving safety school may use multiple classroom locations to teach
2-56 a driving safety course if each location is approved by the parent
2-57 school and the agency and bears the same name and has the same
2-58 ownership as the parent school.
2-59 (22) "Primary consignee" means any enterprise that is
2-60 operated by an individual, association, partnership, or corporation
2-61 that has been designated by a driving safety course owner to
2-62 conduct business and represent the course owner in this state.
2-63 SECTION 5. Subsection (b), Section 4, Texas Driver and
2-64 Traffic Safety Education Act (Article 4413(29c), Vernon's Texas
2-65 Civil Statutes), is amended to read as follows:
2-66 (b) The agency <board> shall enter into a memorandum of
2-67 understanding with the Texas Rehabilitation Commission and the
2-68 Department of Public Safety for the interagency development of
2-69 curricula and licensing criteria for hospital and rehabilitation
2-70 facilities that teach driver education. The agency shall
3-1 administer comprehensive rules governing driver education courses
3-2 adopted by mutual agreement between the board, the Texas
3-3 Rehabilitation Commission, and the Department of Public Safety.
3-4 The agency <board> shall file the rules with the secretary of
3-5 state.
3-6 SECTION 6. Section 6, Texas Driver and Traffic Safety
3-7 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
3-8 is amended to read as follows:
3-9 Sec. 6. DUTIES OF COMMISSIONER. (a) The commissioner shall
3-10 carry out the policies of this Act, enforce rules adopted by the
3-11 board, and certify those schools and course providers meeting the
3-12 requirements for a driver education school license, driving safety
3-13 <training> school license, or both, or for a course provider
3-14 license.
3-15 (b) The commissioner by rule shall establish the curriculum
3-16 and designate the textbooks that must be used in a driver education
3-17 course. In addition, the <The> commissioner may adopt and enforce
3-18 temporary rules under this Act, but the temporary rules are valid
3-19 only until the next meeting of the board.
3-20 SECTION 7. Subsection (c), Section 7, Texas Driver and
3-21 Traffic Safety Education Act (Article 4413(29c), Vernon's Texas
3-22 Civil Statutes), is amended to read as follows:
3-23 (c) A driver education course is exempt from this Act,
3-24 except Section 9A of this Act, if it is:
3-25 (1) a vocational driver training school operated to
3-26 train or prepare a person for a field of endeavor in a business,
3-27 trade, technical, or industrial occupation;
3-28 (2) a school or training program that offers only
3-29 instruction of purely avocational or recreational subjects as
3-30 determined by the commissioner;
3-31 (3) a course of instruction or study sponsored by an
3-32 employer for the training of its own employees, and no tuition is
3-33 charged to a student;
3-34 (4) a course of study or instruction sponsored by a
3-35 recognized trade, business, or professional organization for the
3-36 instruction of the members of the organization with a closed
3-37 membership; or
3-38 (5) a school that is otherwise regulated and approved
3-39 under any other state law<; or>
3-40 <(6) a course of study conducted by a college or
3-41 university to train unlicensed individuals>.
3-42 SECTION 8. Section 9, Texas Driver and Traffic Safety
3-43 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
3-44 is amended to read as follows:
3-45 Sec. 9. Prohibitions. A person may not:
3-46 (1) operate a school that provides a driver education
3-47 course without a driver education <training> school license issued
3-48 by the commissioner;
3-49 (2) operate a school that provides driving safety
3-50 courses without a driving safety school license issued by the
3-51 commissioner;
3-52 (3) operate as a course provider without a course
3-53 provider license issued by the commissioner;
3-54 (4) utilize advertising designed to mislead or deceive
3-55 a prospective student;
3-56 (5) <(3)> fail to notify the commissioner of the
3-57 discontinuance of the operation of any school within three working
3-58 days after cessation of classes and make available accurate records
3-59 as required by this Act;
3-60 (6) issue, <(4)> sell, trade, or transfer a uniform
3-61 certificate of completion or driver education certificate to any
3-62 person or<,> school<, or extension> not authorized to possess it;
3-63 (7) issue, <(5)> sell, trade, or transfer:
3-64 (A) a uniform certificate of completion to a
3-65 person <student> who has not successfully completed an approved
3-66 <agency-approved>, six-hour driving safety course; or
3-67 (B) a driver education certificate to a person
3-68 who has not successfully completed a board-approved driver
3-69 education course;
3-70 (8) <(6)> negotiate any promissory instrument received
4-1 as payment of tuition or other charge before completion of 75
4-2 percent of the course, except that before that time, the instrument
4-3 may be assigned to a purchaser who will be subject to all the
4-4 defenses available against the school named as payee;
4-5 (9) <(7)> conduct any part of an approved
4-6 <agency-approved> driver education or driving safety course without
4-7 an instructor who is physically present in appropriate proximity to
4-8 the student for the type of instruction being given; or
4-9 (10) <(8)> violate any provision of this Act.
4-10 SECTION 9. The Texas Driver and Traffic Safety Education Act
4-11 (Article 4413(29c), Vernon's Texas Civil Statutes) is amended by
4-12 adding Section 9A to read as follows:
4-13 Sec. 9A. DRIVER EDUCATION CERTIFICATES. The agency shall
4-14 print and supply to licensed and exempt driver education schools
4-15 serially numbered driver education certificates to be used for
4-16 certifying completion of an approved driver education course for
4-17 the purposes of Section 7(a), Chapter 173, Acts of the 47th
4-18 Legislature, Regular Session, 1941 (Article 6687b, Vernon's Texas
4-19 Civil Statutes). The agency by rule shall provide for the design
4-20 and distribution of the certificates in a manner that to the
4-21 greatest extent possible prevents the unauthorized reproduction or
4-22 misuse of the certificates. The agency may charge a fee of not
4-23 more than $4 for each certificate.
4-24 SECTION 10. Section 10, formerly Section 2, Texas Driver and
4-25 Traffic Safety Education Act (Article 4413(29c), Vernon's Texas
4-26 Civil Statutes), as amended by Chapters 835 and 867, Acts of the
4-27 72nd Legislature, Regular Session, 1991, is amended to read as
4-28 follows:
4-29 Sec. 10. LICENSE REQUIRED FOR DRIVER TRAINING SCHOOL. A
4-30 person may not operate a driver training school unless a driver
4-31 training school license for the school has been secured.
4-32 <No person, firm, association, partnership, or corporation
4-33 shall operate a commercial driver-training school unless a
4-34 certificate of approval for the commercial driver-training school
4-35 has been secured under the Texas Proprietary School Act (Chapter
4-36 32, Education Code). This section does not apply to training or
4-37 classes conducted by:>
4-38 <(1) colleges, universities, high schools, and junior
4-39 high schools for students as a part of the normal program for such
4-40 institutions; or>
4-41 <(2) an organization with 50,000 or more members that
4-42 qualifies for a tax exemption under Section 501(a), Internal
4-43 Revenue Code of 1986 (26 U.S.C. Section 501), based on being
4-44 listed under Section 501(c)(4), Internal Revenue Code of 1986 (26
4-45 U.S.C. Section 501), and conducts a driving safety course for its
4-46 members and other individuals who are at least 50 years of age that
4-47 is not utilized for the dismissal of certain misdemeanor charges as
4-48 provided by Section 143A, Uniform Act Regulating Traffic on
4-49 Highways (Article 6701d, Vernon's Texas Civil Statutes).>
4-50 SECTION 11. Section 10A, Texas Driver and Traffic Safety
4-51 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
4-52 is amended to read as follows:
4-53 Sec. 10A. BRANCH LOCATIONS. A driver education <training>
4-54 school that teaches a driver education course at one or more branch
4-55 locations other than the main business location of the school must
4-56 obtain a driver education <training> school license for the main
4-57 business location of the school and a driver education <training>
4-58 school license for each branch location. A <An extension or a>
4-59 branch location of a branch location is not permitted.
4-60 SECTION 12. The Texas Driver and Traffic Safety Education
4-61 Act (Article 4413(29c), Vernon's Texas Civil Statutes) is amended
4-62 by adding Section 10B to read as follows:
4-63 Sec. 10B. COURSE AT PUBLIC OR PRIVATE SCHOOL. A licensed
4-64 driver training school may conduct a driver training course at a
4-65 public or private school for students of the public or private
4-66 school as provided by an agreement with the public or private
4-67 school. The course is subject to all requirements of law
4-68 applicable to a course conducted at the main business location of
4-69 the driver training school.
4-70 SECTION 13. Section 11, Texas Driver and Traffic Safety
5-1 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
5-2 is amended to read as follows:
5-3 Sec. 11. LOCATIONS AUTHORIZED FOR INSTRUCTION. Driving
5-4 safety courses complying with Section 143A, Uniform Act Regulating
5-5 Traffic on Highways (Article 6701d, Vernon's Texas Civil Statutes),
5-6 may be taught at a driving safety <an extension or in a driver
5-7 training> school if the entity is approved by the agency. If the
5-8 commissioner determines that an approved driving safety course can
5-9 be taught by an alternative delivery method that does not require
5-10 the students to be present in a classroom and that includes testing
5-11 and security measures that are at least as secure as the measures
5-12 available in a usual classroom, the commissioner may approve the
5-13 alternative method. On approval, the alternative delivery method
5-14 is considered to satisfy the requirements of this Act for a driving
5-15 safety course, and the school may use the alternative delivery
5-16 method. A location at which a person taking the course by the
5-17 alternative method receives supplies or equipment for the course is
5-18 considered a classroom of the school providing the course.
5-19 <Instructor preparation courses may be conducted at a course
5-20 owner's facilities. All other driver training courses must be
5-21 conducted in agency approved schools.>
5-22 SECTION 14. The section heading and Subsections (a) and (b),
5-23 Section 12, Texas Driver and Traffic Safety Education Act (Article
5-24 4413(29c), Vernon's Texas Civil Statutes), are amended to read as
5-25 follows:
5-26 Sec. 12. APPLICATION FOR <DRIVER TRAINING> SCHOOL LICENSE.
5-27 (a) To operate or do business in this state, a school must make
5-28 written application to the commissioner for a driver education or
5-29 driving safety <training> school license. The application must be
5-30 verified, be in the form prescribed by the board, and include all
5-31 information required. A driving safety school <that offers driving
5-32 safety courses> shall obtain approval from the agency for any
5-33 multiple classroom locations <extension>.
5-34 (b) A school may not maintain, advertise, solicit for, or
5-35 conduct any course of instruction in this state before the later
5-36 of:
5-37 (1) the 30th day after the date the school applies
5-38 <submits all required documentation, information, and fees and a
5-39 surety bond> for a driver training school license; or
5-40 (2) the date the school receives a driver training
5-41 school license from the commissioner.
5-42 SECTION 15. Section 13, Texas Driver and Traffic Safety
5-43 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
5-44 is amended by amending Subsections (a), (b), (d), (e), (f), (g),
5-45 and (h) and by adding Subsections (a-1) and (a-2) to read as
5-46 follows:
5-47 (a) The commissioner shall approve the application of a
5-48 driver education school when the school is found, on investigation
5-49 at the premises of the school, to meet the following criteria:
5-50 (1) the courses, curriculum, and instruction are of
5-51 such quality, content, and length as may reasonably and adequately
5-52 achieve the stated objective for which the courses, curriculum, and
5-53 instruction are offered;
5-54 (2) there are in the school, and in the provision for
5-55 behind-the-wheel instruction, adequate space, equipment,
5-56 instructional material, and instructors to provide training of good
5-57 quality;
5-58 (3) educational and experience qualifications of
5-59 directors, instructors, and administrators are adequate;
5-60 (4) a copy of the schedule of tuition, fees, refund
5-61 policy, and other charges, regulations pertaining to absence,
5-62 grading policy, and rules of operation and conduct, and the name,
5-63 mailing address, and telephone number of the agency for the purpose
5-64 of directing complaints to the agency is furnished to each student
5-65 before enrollment;
5-66 (5) on completion of training, each student is given a
5-67 certificate by the school indicating the course name and
5-68 satisfactory completion;
5-69 (6) adequate records as prescribed by the commissioner
5-70 are kept to show attendance and progress or grades, and
6-1 satisfactory standards relating to attendance, progress, and
6-2 conduct are enforced;
6-3 (7) the school complies with all county, municipal,
6-4 state, and federal regulations, including fire, building, and
6-5 sanitation codes and assumed name registration;
6-6 (8) the school is financially sound and capable of
6-7 fulfilling its commitments for training;
6-8 (9) the school's administrators, directors, owners,
6-9 and instructors are of good reputation and character;
6-10 (10) the school has, maintains, and publishes as part
6-11 of its student enrollment contract the proper policy for the refund
6-12 of the unused portion of tuition, fees, and other charges if a
6-13 student enrolled by the school fails to take the course or
6-14 withdraws or is discontinued from the school at any time before
6-15 completion;
6-16 (11) the school does not use erroneous or misleading
6-17 advertising, either by actual statement, omission, or intimation,
6-18 as determined by the board;
6-19 (12) the school does not use a name like or similar to
6-20 the name of another existing school or tax-supported educational
6-21 establishment in this state, unless specifically approved in
6-22 writing by the commissioner;
6-23 (13) the school submits to the agency for approval the
6-24 applicable course hour lengths and curriculum content for each
6-25 course offered by the school;
6-26 (14) the school does not owe a civil penalty under
6-27 this Act; and
6-28 (15) additional criteria as may be required by the
6-29 agency <board>.
6-30 (a-1) The commissioner shall approve the application of a
6-31 driving safety school if on investigation the agency finds that:
6-32 (1) the school presents the driving safety course,
6-33 curriculum, and instruction in a quality, content, and length that
6-34 reasonably and adequately achieve the stated objective for which
6-35 the course, curriculum, and instruction are developed by the
6-36 course provider;
6-37 (2) the school has adequate space, equipment,
6-38 instructional material, and instructors to provide training of good
6-39 quality;
6-40 (3) the school's instructors and administrators have
6-41 adequate educational and experience qualifications;
6-42 (4) the school keeps and maintains adequate records as
6-43 prescribed by the commissioner to show attendance and progress of
6-44 grades and that satisfactory standards relating to attendance,
6-45 progress, and conduct are enforced;
6-46 (5) the school complies with all county, municipal,
6-47 state, and federal law, including fire, building, and sanitation
6-48 codes and assumed name registration;
6-49 (6) the school's administrators, owners, and
6-50 instructors are of good reputation and character;
6-51 (7) the school does not use erroneous or misleading
6-52 advertising, either by actual statement, omission, or intimation,
6-53 as determined by the board;
6-54 (8) the school does not use a name like or similar to
6-55 the name of another existing school or tax-supported educational
6-56 establishment in this state unless specifically approved in writing
6-57 by the commissioner;
6-58 (9) the school has, maintains, and uses the approved
6-59 contract and policies developed by the course provider;
6-60 (10) the school does not owe a civil penalty under
6-61 this Act;
6-62 (11) the school will not provide a driving safety
6-63 course to any person for a cost less than $25; and
6-64 (12) the school meets additional criteria required by
6-65 the board.
6-66 (a-2) The commissioner shall approve the application of a
6-67 person to be a course provider if on investigation the agency finds
6-68 that:
6-69 (1) the course provider has an approved course;
6-70 (2) the course provider can show evidence that there
7-1 is at least one licensed driving safety school that is willing to
7-2 offer the course;
7-3 (3) the course provider has adequate educational and
7-4 experience qualifications;
7-5 (4) the course provider will develop and provide to
7-6 driving safety schools that offer the approved course a refund
7-7 policy, regulations pertaining to absence, grading policy, rules of
7-8 operation, and conduct, and the name, mailing address, and
7-9 telephone number of the agency for the purpose of directing
7-10 complaints to the agency and that copies of these will be furnished
7-11 to each student by the schools before enrollment;
7-12 (5) not later than the 15th working day after the date
7-13 of completion of the course by a person, the course provider mails
7-14 a uniform certificate of completion to the person indicating the
7-15 course name and successful completion;
7-16 (6) the course provider keeps and maintains adequate
7-17 records as prescribed by the commissioner to show attendance and
7-18 progress or grades and that satisfactory standards relating to
7-19 attendance, progress, and conduct are enforced;
7-20 (7) the course provider complies with all county,
7-21 municipal, state, and federal law, including assumed name
7-22 registration and other applicable requirements;
7-23 (8) the course provider is financially sound and
7-24 capable of fulfilling its commitments for training;
7-25 (9) the course provider is of good reputation and
7-26 character;
7-27 (10) the course provider has, maintains, and publishes
7-28 as a part of its student enrollment contract the proper policy for
7-29 the refund of the unused portion of tuition, fees, and other
7-30 charges if a person enrolled by the school fails to take the course
7-31 or withdraws or is discontinued from the school at any time before
7-32 completion;
7-33 (11) the course provider does not use erroneous or
7-34 misleading advertising, either by actual statement, omission, or
7-35 intimation, as determined by the board;
7-36 (12) the course provider does not use a name like or
7-37 similar to the name of another existing school or tax-supported
7-38 educational establishment in this state unless specifically
7-39 approved in writing by the commissioner;
7-40 (13) the course provider does not owe a civil penalty
7-41 under this Act; and
7-42 (14) the course provider meets additional criteria
7-43 required by the board.
7-44 (b)(1) License, application, and registration fees shall be
7-45 collected by the commissioner and deposited with the state
7-46 treasurer. Fees shall be sufficient to cover administrative costs
7-47 and may not be subject to refund. Fees shall be as follows <Each
7-48 fee shall be set by the commissioner and approved by the board in
7-49 an amount not to exceed 150 percent of the following>:
7-50 (A)(i) the initial fee for a driver education
7-51 <training> school license is $1,000 <$1,700> plus $850 for each
7-52 branch location;
7-53 (ii) the initial fee for a driving safety
7-54 school license is an appropriate amount established by the board
7-55 not to exceed $200; and
7-56 (iii) the initial fee for a course
7-57 provider license is an appropriate amount established by the board
7-58 not to exceed $2,000, except that this fee may be waived by the
7-59 agency if revenue received by the agency from the course provider
7-60 is sufficient to fund the cost of licensing the course provider;
7-61 (B) the <(i)> annual renewal fee for a course
7-62 provider, driving safety school, driver education school, and
7-63 branch school is an appropriate amount established by the board not
7-64 to exceed $200, but <fees as specified in this subsection> may be
7-65 waived by the agency if revenue generated by the issuance <sale> of
7-66 uniform certificates of completion and driver education
7-67 certificates is sufficient to fund the cost of administering this
7-68 Act and Section 143A, Uniform Act Regulating Traffic on Highways
7-69 (Article 6701d, Vernon's Texas Civil Statutes); <and>
7-70 <(ii) the annual renewal fee for a school
8-1 license shall be determined by the board in an amount sufficient to
8-2 fund the cost of administering this Act and Section 143A, Uniform
8-3 Act Regulating Traffic on Highways (Article 6701d, Vernon's Texas
8-4 Civil Statutes);>
8-5 (C) the fee for a change of address of a driver
8-6 education school is $180 and of a driving safety school or course
8-7 provider is $50;
8-8 (D) the fee for a change of name of:
8-9 (i) a driver education school or course
8-10 provider or an owner of a driver education school or course
8-11 provider is $100; and
8-12 (ii) a driving safety school or owner of a
8-13 driving safety school is $50;
8-14 (E) the application fee for each additional
8-15 driver education or driving safety course at a school is $25;
8-16 (F) the application fee for each director is
8-17 $30, and for each assistant director, or administrative staff
8-18 member is $15;
8-19 (G) each application for approval of a driving
8-20 safety course that has not been evaluated by the board shall be
8-21 accompanied by a nonrefundable fee of $9,000 <the fee for each
8-22 extension is $35>;
8-23 (H) each application for an original driver
8-24 education or driving safety <training> instructor's license shall
8-25 be accompanied by a processing fee of $50 and an annual license fee
8-26 of $25, except that the commissioner may not collect the processing
8-27 fee from an applicant for a driver education instructor license who
8-28 is currently teaching a driver education course in a public school
8-29 in this state; and
8-30 (I) the fee for a duplicate license, which may
8-31 be issued if the original is lost or destroyed and an affidavit of
8-32 that fact is filed with the agency, shall be set by the board <in
8-33 an amount sufficient to cover the costs of issuing the duplicate
8-34 license>.
8-35 (2) A driver education instructor who teaches driver
8-36 education courses in a county having a population of 50,000 or
8-37 less, according to the most recent federal census, and who has no
8-38 more than 200 students annually, shall be regulated by the agency
8-39 as a school. An instructor described by this subdivision shall
8-40 submit a school application or renewal form plus all required
8-41 documentation and information to the agency. The commissioner may
8-42 waive initial school fees, annual school renewal fees, or
8-43 director's or administrative staff member's fees. An instructor
8-44 described by this subdivision is not exempt from licensing
8-45 requirements or fees.
8-46 (3) The commissioner shall periodically review and
8-47 recommend adjustments in the level of fees to the board and
8-48 legislature.
8-49 (4) The fee for an investigation of <at> a school or
8-50 course provider to resolve a complaint filed against the school or
8-51 course provider shall be set by the commissioner and approved by
8-52 the board. The complaint investigation fee may be charged only if:
8-53 (A) the complaint could not have been resolved
8-54 solely by telephone or written correspondence;
8-55 (B) a representative of the agency visited the
8-56 school or course provider as a part of the complaint resolution
8-57 process; and
8-58 (C) the school or course provider is found to be
8-59 at fault.
8-60 (5) The agency shall print and supply to licensed
8-61 course providers serially numbered uniform certificates of course
8-62 completion <to owners or primary consignees of courses approved
8-63 under this Act>. The agency may charge a fee of not more than $4
8-64 <$1> for each certificate. A course provider <An owner or
8-65 consignee> may not charge an operator a fee in excess of the fee
8-66 paid to the agency for a certificate. The course provider shall
8-67 charge and retain a user fee of not less than $3 a student for the
8-68 use of course materials, oversight, and administration of the
8-69 course.
8-70 (6) <The commissioner, with approval of the board, may
9-1 increase any fee authorized under this subsection at a rate that
9-2 does not exceed the increase in the Consumer Price Index for All
9-3 Urban Consumers published by the Department of Labor. Fees under
9-4 this subsection do not have to be increased annually.>
9-5 <(7)> Fees collected under this subsection shall be
9-6 deposited in the state treasury in a special account in the General
9-7 Revenue Fund. Money in the account may be appropriated only for
9-8 payment of monetary awards for information concerning abuse of the
9-9 driver education or uniform certificates of completion that leads
9-10 to the conviction or removal of an approval, license, or
9-11 authorization and for the administration of this Act and Section
9-12 143A, Uniform Act Regulating Traffic on Highways (Article 6701d,
9-13 Vernon's Texas Civil Statutes). This dedication is exempt from the
9-14 application of Sections 403.094 and 403.095, Government Code.
9-15 (7) Duplicate uniform certificates of completion shall
9-16 be issued by the agency. An appropriate fee for issuing duplicate
9-17 certificates shall be determined by board rule.
9-18 (d)(1) The commissioner, on review of an application for a
9-19 driver education school, driving safety school, or course provider
9-20 <training school> license that is submitted in accordance with this
9-21 Act and that meets the requirements of this Act, shall issue a
9-22 <driver training school> license to the applicant. Each <A driver
9-23 training school> license shall be in a form determined
9-24 <recommended> by the commissioner and approved by the board and
9-25 shall show in a clear and conspicuous manner at least the
9-26 following:
9-27 (A) the date of issuance, effective date, and
9-28 term of approval;
9-29 (B) the name and address of the school or course
9-30 provider;
9-31 (C) the authority for approval and conditions of
9-32 approval;
9-33 (D) the signature of the commissioner; and
9-34 (E) any other fair and reasonable
9-35 representations that are consistent with this Act and considered
9-36 necessary by the commissioner.
9-37 (2) The term for which a driver education school,
9-38 driving safety school, or course provider <training school> license
9-39 is issued may not exceed one year.
9-40 (3)(A) A driver education school, driving safety
9-41 school, or course provider <training school> license issued to an
9-42 owner of the applicant school or course provider is nontransferable
9-43 and is the property of the state. In the event of a change in
9-44 ownership of the school or course provider, a new owner shall, at
9-45 least 30 days before the date of the change in ownership, apply for
9-46 a new driver education school, driving safety school, or course
9-47 provider <training school> license. Instead of the fees required
9-48 by Subsection (b) of this section, the fee for a new driver
9-49 education school or course provider license required under this
9-50 subdivision is $500, plus $200 for each branch location, if the
9-51 purchasing entity is substantially similar to the transferring
9-52 entity and there is no significant change in the management or
9-53 control of the driver education school or course provider.
9-54 (B) The commissioner is not required to
9-55 reinspect a school or a branch location after a change of its
9-56 ownership.
9-57 (4) At least 30 days before the expiration of a driver
9-58 education school, driving safety school, or course provider
9-59 <training school> license, the school or course provider shall
9-60 forward to the commissioner an application for renewal. The
9-61 commissioner may reexamine a driver education school's <the school>
9-62 premises. The commissioner <and> shall renew or cancel the
9-63 <school's> driver education school, driving safety school, or
9-64 course provider <training school> license. If a school or course
9-65 provider fails to file a complete application for renewal at least
9-66 30 days before the expiration date of the driver education school,
9-67 driving safety school, or course provider <training school>
9-68 license, the school or course provider shall pay as a condition of
9-69 renewal and in addition to any annual renewal fee a late renewal
9-70 fee in an amount established by board rule of at least $100,
10-1 subject to Subsection (b) of this section.
10-2 (5) The commissioner shall visit a school or course
10-3 provider and reexamine the school or course provider for compliance
10-4 with the criteria adopted under this Act.
10-5 (e)(1) If the commissioner determines the applicant for a
10-6 driver education school, driving safety school, or course provider
10-7 <training school> license to be unacceptable, the commissioner
10-8 shall state the reasons for denial, in writing, to the applicant.
10-9 (2) Any applicant whose driver education school,
10-10 driving safety school, or course provider <training school> license
10-11 is denied has the right of appeal under Section 17 <18> of this
10-12 Act.
10-13 (f)(1) The commissioner may revoke a driver education
10-14 school, driving safety school, or course provider <training school>
10-15 license or may place reasonable conditions on the continued
10-16 approval represented by the license. On revocation or imposition
10-17 of conditions on a driver education school, driving safety school,
10-18 or course provider <training school> license, the commissioner
10-19 shall notify the licensee, in writing, of the impending action and
10-20 state the grounds for the proposed action. The commissioner may
10-21 reexamine a school or course provider two or more times during any
10-22 year in which a notice relating to the school or course provider
10-23 has been issued or conditions have been imposed on the school under
10-24 this subsection.
10-25 (2) A driver education school, driving safety school,
10-26 or course provider <training school> license may be revoked or be
10-27 made conditional if the commissioner has reasonable cause to
10-28 believe that the school or course provider is guilty of a violation
10-29 of this Act or any rule adopted under this Act.
10-30 (g)(1) Before a driver education <training> school license
10-31 may be issued under this Act, a bond shall be provided by the
10-32 school for the period for which the license is to be issued, and
10-33 the obligation of the bond shall be that neither a provision of
10-34 this Act nor any rule adopted under this Act shall be violated by
10-35 the school or any of its officers, agents, or employees. A driver
10-36 education <training> school <that teaches driver education> shall
10-37 submit a bond in the amount of $10,000 for its primary driver
10-38 education <training> school and $5,000 for each branch location of
10-39 the school. <All other schools shall submit a bond in the amount
10-40 of $5,000.> A bond must be a corporate surety bond issued by a
10-41 company authorized to do business in the state, be payable to the
10-42 state, and be used only for payment of a refund due to a student or
10-43 potential student. The bond shall be filed with the commissioner
10-44 and shall be in such form as shall be approved by the commissioner.
10-45 Posting of these bond amounts shall satisfy the requirements for
10-46 financial stability for driver education schools under this Act.
10-47 (2) A driving safety school is not required to post a
10-48 surety bond.
10-49 (3) Before a course provider license may be issued
10-50 under this Act, a bond shall be provided by the course provider for
10-51 the period for which the license is to be issued, and the
10-52 obligation of the bond shall be that no provision of this Act or
10-53 the Uniform Act Regulating Traffic on Highways (Article 6701d,
10-54 Vernon's Texas Civil Statutes) and no rule adopted under this Act
10-55 may be violated by the course provider or any of its officers,
10-56 agents, or employees. A course provider shall submit the bond in
10-57 the amount of $25,000. The bond must be a corporate surety bond
10-58 issued by a company authorized to do business in this state,
10-59 payable to the state, and used:
10-60 (A) for payment of a refund due to any student
10-61 of the course provider's approved course;
10-62 (B) to cover the payment of any unpaid fees,
10-63 penalties, and fines assessed by the agency; and
10-64 (C) to recover the cost of any uniform
10-65 certificates of completion demanded by the agency to be returned or
10-66 any cost associated with the certificates.
10-67 (4) Instead of the bond required by Subdivision (1) of
10-68 this subsection, the school may provide another form of security
10-69 that is:
10-70 (A) approved by the commissioner; and
11-1 (B) in the amount required for a comparable bond
11-2 under Subdivision (1) or (3) of this subsection.
11-3 (h)(1) As a condition for the granting of a driver education
11-4 <training> school or course provider license, a school or course
11-5 provider must maintain a cancellation and settlement policy that
11-6 provides a full refund of all money paid by a student if:
11-7 (A) the student cancels the enrollment agreement
11-8 or contract before midnight of the third day, excluding Saturdays,
11-9 Sundays, and legal holidays, after the date the enrollment contract
11-10 is signed by the prospective student, unless the student has
11-11 successfully completed the course or received a failing grade on
11-12 the course examination <and accepted a certificate of completion
11-13 during that period>; or
11-14 (B) the enrollment of the student was procured
11-15 as a result of any misrepresentation in advertising, promotional
11-16 materials of the school or course provider, or representation made
11-17 by an owner or employee of the school or course provider.
11-18 (2) As <Unless only driving safety courses are
11-19 proposed to be provided, as> a condition for granting a driver
11-20 education <training> school license, a school shall maintain a
11-21 policy for the refund of the unused portion of driver education
11-22 tuition, fees, and other charges if a student, after expiration of
11-23 the cancellation period described by Subdivision (1) of this
11-24 subsection, fails to enter the course, withdraws, or is
11-25 discontinued from the course at any time before completion, and the
11-26 policy must provide that:
11-27 (A) refunds are based on the period of
11-28 enrollment computed on the basis of course time expressed in clock
11-29 hours;
11-30 (B) the effective date of the termination for
11-31 refund purposes is the earliest of the following:
11-32 (i) the last day of attendance, if the
11-33 student's enrollment is terminated by the school;
11-34 (ii) the date of receipt of written notice
11-35 from the student; or
11-36 (iii) the 10th school day following the
11-37 last day of attendance;
11-38 (C) if tuition is collected in advance of
11-39 entrance and if, after expiration of the cancellation period
11-40 described by Subdivision (1) of this subsection, a student does not
11-41 enter the school, terminates enrollment, or withdraws, the school
11-42 may retain up to $50 as administrative expenses and, from the
11-43 remainder, shall refund that portion of the classroom tuition and
11-44 fees and behind-the-wheel tuition and fees for services not
11-45 previously received by the student;
11-46 (D) refunds of items of extra expense to the
11-47 student, including instructional supplies, books, laboratory fees,
11-48 service charges, rentals, deposits, and all other such ancillary
11-49 miscellaneous charges, will be made within 30 days after the
11-50 effective date of enrollment termination, if these items are
11-51 separately stated and shown in the data furnished the student
11-52 before enrollment and the student returns any school property in
11-53 the student's possession to the school; and
11-54 (E) refunds will be completed within 30 days
11-55 after the effective date of enrollment termination.
11-56 (3) If the course of instruction is discontinued by
11-57 the school or course provider, preventing a student from completing
11-58 the course, all tuition and fees paid are then due and refundable.
11-59 (4) If a refund is not made within the period required
11-60 by this subsection, the school or course provider shall pay
11-61 interest on the refund for the interval beginning with the first
11-62 day following the expiration of the refund period and ending with
11-63 the day immediately preceding the date the refund is made. The
11-64 commissioner annually shall establish the rate of interest at a
11-65 rate sufficient to provide a deterrent to the retention of student
11-66 funds. The agency may except a school or course provider from the
11-67 payment of the interest if the school or course provider makes a
11-68 good-faith effort to refund tuition but is unable to locate the
11-69 student to whom the refund is owed. The school or course provider
11-70 shall provide on request of the agency documentation of the effort
12-1 to locate a student.
12-2 SECTION 16. The Texas Driver and Traffic Safety Education
12-3 Act (Article 4413(29c), Vernon's Texas Civil Statutes) is amended
12-4 by adding Sections 13A and 13B to read as follows:
12-5 Sec. 13A. INSURANCE. (a) A driver education school shall
12-6 maintain insurance issued by an insurance company authorized to do
12-7 business in this state in at least the following amounts:
12-8 (1) motor vehicle liability insurance in the amount of
12-9 $300,000 for each occurrence;
12-10 (2) personal injury protection in the amount of
12-11 $10,000 for each person in each occurrence;
12-12 (3) uninsured or underinsured motorist insurance in
12-13 the amount of $100,000 for each occurrence; and
12-14 (4) workers' compensation insurance in the amount of
12-15 $500,000 for each occurrence.
12-16 (b) The school shall provide the agency certificates of
12-17 insurance evidencing the coverage required under Subsection (a) of
12-18 this section. The certificates must indicate the existence of
12-19 coverage and policy limits and shall provide for notification to
12-20 the agency by the insurance company or its authorized agent before
12-21 a policy is canceled. A certificate for motor vehicle or fleet
12-22 coverage must also indicate automatic coverage for additions or
12-23 replacements.
12-24 Sec. 13B. COURSE PROVIDER RESPONSIBILITIES. (a) An issued
12-25 uniform certificate of completion shall be mailed to the student
12-26 not later than the 15th working day after the date of completion of
12-27 an approved driving safety course only by the course provider or
12-28 authorized personnel at the course provider's facilities.
12-29 (b) Data identified by the agency pertaining to issued
12-30 uniform certificates of completion shall be submitted
12-31 electronically by each course provider to the agency in a manner
12-32 determined by the agency.
12-33 (c) The agency shall investigate options to develop and
12-34 implement procedures to provide information pertaining to driving
12-35 safety courses by electronic transmission to the state municipal
12-36 and justice courts.
12-37 (d) A course provider shall conduct driving safety
12-38 instructor development courses for its approved driving safety
12-39 course.
12-40 (e) The board may adopt additional rules to ensure integrity
12-41 of the course and enhance program quality.
12-42 (f) A course provider license entitles a provider to
12-43 purchase uniform certificates of completion for only one approved
12-44 driving safety course.
12-45 SECTION 17. Section 15, formerly Section 5, Texas Driver and
12-46 Traffic Safety Education Act (Article 4413(29c), Vernon's Texas
12-47 Civil Statutes), as amended by Chapters 835 and 867, Acts of the
12-48 72nd Legislature, Regular Session, 1991, is amended to read as
12-49 follows:
12-50 Sec. 15. License required for <driver training> instructor.
12-51 (a) A person may not teach or give driving safety <driver>
12-52 training, either as an individual or in a driving safety <driver
12-53 training> school, or any phase of driving safety <driver training
12-54 or> education, unless a driving safety instructor license <as an
12-55 instructor> has been secured from the agency, except that<:>
12-56 <(1) a driver education instructor teaching in a
12-57 public secondary school supported by taxation from either a local
12-58 or state source is exempt from this section;>
12-59 <(2) a driver education instructor in a college or
12-60 university regulated by the Texas Higher Education Coordinating
12-61 Board is exempt; and>
12-62 <(3)> an instructor of <in> a driving safety course
12-63 <program> that does not provide a uniform certificate of completion
12-64 to its graduates is exempt from this section. A person may not
12-65 teach or give driver education, either as an individual or in a
12-66 driver education school, or any phase of driver education unless a
12-67 driver education instructor license has been secured from the
12-68 agency.
12-69 (b) A license issued to a driver education or driving safety
12-70 <training> instructor expires not more than <automatically> 12
13-1 months after the date of issue, unless sooner suspended or revoked.
13-2 License renewal applications must include evidence of completion of
13-3 continuing education and shall be postmarked at least 30 days
13-4 before the date of expiration or a late renewal fee of $25 will be
13-5 imposed. The continuing education must be in courses approved by
13-6 the commissioner and be for a certain number of hours determined by
13-7 the commissioner.
13-8 (c) A driver education <training> instructor license shall
13-9 be carried by the instructor at all times while instructing driver
13-10 education courses. A driving safety instructor license shall be
13-11 carried by the instructor at all times while instructing driving
13-12 safety courses. Each license shall be signed by the commissioner
13-13 and issued under the seal of the board <agency>.
13-14 <No person shall teach or give driver-training for hire or
13-15 for tuition, either as an individual or in a commercial
13-16 driver-training school, or any phase of driver-training or
13-17 education, unless a license as a driver-training instructor or
13-18 supervisory driver-training instructor has been secured from the
13-19 Department, provided that instructors in classes conducted by an
13-20 entity exempt under Section 2 of this Act shall be exempt.>
13-21 SECTION 18. The Texas Driver and Traffic Safety Education
13-22 Act (Article 4413(29c), Vernon's Texas Civil Statutes) is amended
13-23 by adding Section 15A to read as follows:
13-24 Sec. 15A. DRIVER EDUCATION INSTRUCTOR TRAINING. (a) With
13-25 approval of the board, the commissioner shall establish standards
13-26 for certification of professional and paraprofessional personnel
13-27 who conduct driver education programs in driver education schools.
13-28 (b) A driver education instructor license may not be issued
13-29 authorizing a person to teach or give driver education in-car
13-30 training unless the person has successfully completed six semester
13-31 hours of driver and traffic safety education or a program of study
13-32 in driver education approved by the board from an approved driver
13-33 education school. A person holding a driver education instructor
13-34 license authorizing in-car training may be approved to assist
13-35 classroom instructors in the classroom phase of driver education if
13-36 the person successfully completes the additional three semester
13-37 hours of training required for a classroom instructor or a program
13-38 of study in driver education approved by the board.
13-39 (c) A driver education instructor license may not be issued
13-40 authorizing a person to teach or give classroom driver education
13-41 training unless the person:
13-42 (1) has completed nine semester hours of driver and
13-43 traffic safety education or a program of study in driver education
13-44 approved by the board from an approved driver education school; and
13-45 (2) holds a teaching certificate and any additional
13-46 certification required to teach driver education.
13-47 (d) A driver education instructor who has completed the
13-48 educational requirements for a classroom driver education
13-49 instructor under Subsection (c)(1) of this section may be approved
13-50 to teach instructor training classes after successfully completing
13-51 a supervising instructor development program consisting of at least
13-52 six additional semester hours or a program of study in driver
13-53 education approved by the board that includes administering driver
13-54 education programs and supervising and administering traffic safety
13-55 education.
13-56 (e) A driver education school may submit for agency approval
13-57 a curriculum for an instructor development program for driver
13-58 education instructors. The program must be taught by a person who
13-59 has successfully completed a supervising instructor development
13-60 program under Subsection (d) of this section and must satisfy the
13-61 requirements of this section for the particular program or type of
13-62 training to be provided.
13-63 SECTION 19. Section 16, Texas Driver and Traffic Safety
13-64 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
13-65 is amended to read as follows:
13-66 Sec. 16. Denial, suspension, revocation grounds. (a) The
13-67 agency may deny, suspend, or revoke the license of any instructor
13-68 on any one or more of the following grounds:
13-69 (1) when the agency is satisfied that the applicant or
13-70 licensee fails to meet the requirements to receive or hold a
14-1 license under this Act;
14-2 (2) when the applicant or licensee permits fraud or
14-3 engages in fraudulent practices with reference to the application
14-4 to the agency, induces or countenances fraud or fraudulent
14-5 practices on the part of any applicant for a driver's license or
14-6 permit, or permits or engages in any other fraudulent practice in
14-7 any action between the applicant or licensee and the public; or
14-8 (3) when the applicant or licensee fails to comply
14-9 with the rules of the agency regarding the instruction of drivers
14-10 in this state or fails to comply with any section of this Act.
14-11 (b) Not later than the 10th day after the date of a decision
14-12 under this section the agency shall notify the applicant or license
14-13 holder by certified mail of the decision.
14-14 SECTION 20. Section 17, Texas Driver and Traffic Safety
14-15 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
14-16 is amended to read as follows:
14-17 Sec. 17. HEARING. (a) A person aggrieved by the denial,
14-18 suspension, or revocation of a license may appeal the decision and
14-19 request a hearing before the commissioner. The request must be
14-20 submitted not later than the 15th day after the date of receipt of
14-21 notice of a decision made under Section 16 of this Act. On receipt
14-22 of a request for a hearing, the commissioner shall set a time and
14-23 place for the hearing and send notice to the person of the time and
14-24 place. A hearing shall be held within 30 days after the date of
14-25 receipt of the request. At the hearing, an applicant or licensee
14-26 may appear in person or by counsel and present evidence. Any
14-27 interested person may appear and present oral or documentary
14-28 evidence. <When there is cause to deny an application or to
14-29 suspend or revoke any license, the agency, not less than 15 days
14-30 before the date denial, suspension, or revocation action is taken,
14-31 shall notify the person in writing, in person, or by certified mail
14-32 at the last address supplied to the agency by the person, of the
14-33 impending denial, suspension, or revocation, the reasons therefor,
14-34 and of the person's right to an administrative hearing for the
14-35 purpose of determining whether or not the evidence is sufficient to
14-36 warrant the denial, suspension, or revocation action proposed to be
14-37 taken by the agency. If, within 20 days after the date of personal
14-38 service of notice or the date notice was deposited in the United
14-39 States mail, the person has not made a written request to the
14-40 agency for an administrative hearing, the agency is authorized to
14-41 deny, suspend, or revoke the license without a hearing. On receipt
14-42 by the agency of a written request of the person within the 20-day
14-43 period, an opportunity for an administrative hearing shall be
14-44 afforded. In no case shall the hearing be held less than 10 days
14-45 after the date written notification thereof, including a copy of
14-46 the charges, shall have been given the person by personal service
14-47 or by certified mail sent to the last address supplied to the
14-48 agency by the applicant or licensee.>
14-49 (b) Except as provided by Subsection (c), the commissioner
14-50 <The agency> shall conduct the administrative hearing and is
14-51 authorized to administer oaths and issue subpoenas for the
14-52 attendance of witnesses and the production of relevant books,
14-53 papers, and documents. On the basis of the evidence submitted at
14-54 the hearing, the commissioner <agency> shall take whatever action
14-55 the commissioner <it> deems necessary in denying the application or
14-56 suspending or revoking the license. Not later than the 10th day
14-57 after the date of the hearing the commissioner shall notify the
14-58 applicant or license holder by certified mail of the commissioner's
14-59 decision on the appeal.
14-60 (c) The agency may contract with another entity for the
14-61 conducting of a hearing required under this Act.
14-62 SECTION 21. Section 18, Texas Driver and Traffic Safety
14-63 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
14-64 is amended to read as follows:
14-65 Sec. 18. JUDICIAL REVIEW <APPEAL>. (a) <An applicant
14-66 aggrieved by the denial of any license by the commissioner has the
14-67 right to appeal the decision of the commissioner and request a
14-68 hearing before the commissioner within 15 days after the date of
14-69 receipt of notice. On receipt of a request for a hearing, the
14-70 commissioner shall set a time and place for the hearing and send
15-1 notice to the school of the time and place. A hearing shall be
15-2 held within 30 days after the date of receipt of the request. At
15-3 the hearing, an applicant may appear in person or by counsel and
15-4 present evidence in support of the granting of the license. Any
15-5 interested person may appear and present oral or documentary
15-6 evidence to the commissioner concerning the issuance of a driver
15-7 training school license to the applicant. Within 10 days after the
15-8 date of the hearing, the commissioner shall notify the applicant of
15-9 the commissioner's affirmance or revocation of the denial of any
15-10 license.>
15-11 <(b)> The commissioner's decision on the appeal may be
15-12 appealed to a district court in Travis County.
15-13 (b) <(c)> Unless stayed by the court on showing of good
15-14 cause, the commissioner's decision may not be superseded during
15-15 appeal.
15-16 (c) <(d)> On filing of the lawsuit, citation shall be served
15-17 on the commissioner, who shall cause to be made a complete record
15-18 of all proceedings had before the commissioner and certify a copy
15-19 of the proceedings to the court. Trial before the court shall be
15-20 on the basis of the record made before the commissioner, and the
15-21 court shall make its decision based on the record. The
15-22 commissioner's decision shall be affirmed by the court if the court
15-23 finds substantial evidence in the record to justify the decision,
15-24 unless the court finds the denial of the license to be:
15-25 (1) arbitrary and capricious;
15-26 (2) in violation of the constitution or laws of the
15-27 United States or this state; or
15-28 (3) in violation of rules adopted by the board under
15-29 this Act.
15-30 (d) <(e)> A decision of the trial court is subject to appeal
15-31 in the same manner as is any civil lawsuit.
15-32 (e) <(f)> An appeal concerning suspension or revocation of
15-33 any license shall be prosecuted in the same manner and under the
15-34 same provisions as provided by this Act for appeals from denial of
15-35 licenses.
15-36 SECTION 22. Section 25, Texas Driver and Traffic Safety
15-37 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
15-38 is amended to read as follows:
15-39 Sec. 25. Sanctions. (a) If the agency believes that a
15-40 driver education school or instructor has violated this Act or a
15-41 rule adopted under this Act, the agency may, without notice:
15-42 (1) order a peer review <of the school>; <or>
15-43 (2) suspend the enrollment <admission> of students in
15-44 <to> the school or the offering of instruction by the instructor;
15-45 or
15-46 (3) suspend the right to purchase driver education
15-47 certificates of completion.
15-48 (b) If the agency believes that a course provider, driving
15-49 safety school, or driving safety instructor has violated this Act
15-50 or the Uniform Act Regulating Traffic on Highways (Article 6701d,
15-51 Vernon's Texas Civil Statutes) or a rule adopted under one of those
15-52 Acts, the agency may, without notice:
15-53 (1) order a peer review of the course provider,
15-54 driving safety school, or driving safety instructor;
15-55 (2) suspend the enrollment of students in the school
15-56 or the offering of instruction by the instructor; or
15-57 (3) suspend the right to purchase uniform certificates
15-58 of completion.
15-59 (c) <(b)> A peer review ordered under this section shall be
15-60 conducted by a peer review team composed of knowledgeable persons
15-61 selected by the agency. The team shall provide the agency with an
15-62 objective assessment of the content of the school's or course
15-63 provider's curriculum and its application. The costs of providing
15-64 a peer review team shall be paid by the school or course provider,
15-65 as appropriate.
15-66 SECTION 23. Section 27, Texas Driver and Traffic Safety
15-67 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
15-68 is amended to read as follows:
15-69 Sec. 27. Penalties. Any person who violates any provision
15-70 of this Act commits an offense <shall be guilty of a misdemeanor>
16-1 and, except as otherwise provided by law, upon conviction thereof
16-2 shall be punished by a fine of not less than $100 nor more than
16-3 $20,000 <$1,000>, or by imprisonment in the county jail for a term
16-4 of not to exceed six months, or both.
16-5 SECTION 24. The Texas Driver and Traffic Safety Education
16-6 Act (Article 4413(29c), Vernon's Texas Civil Statutes) is amended
16-7 by adding Section 27A to read as follows:
16-8 Sec. 27A. UNAUTHORIZED TRANSFER OF CERTIFICATE. (a) A
16-9 person who knowingly sells, trades, issues, or otherwise transfers,
16-10 or possesses with intent to sell, trade, issue, or otherwise
16-11 transfer, a uniform certificate of completion or driver education
16-12 certificate to an individual, firm, or corporation not authorized
16-13 to possess it commits an offense.
16-14 (b) A person who knowingly possesses a uniform certificate
16-15 of completion or driver education certificate and who is not
16-16 authorized to possess the certificate commits an offense.
16-17 (c) A person adjudged guilty of an offense under this
16-18 section shall be punished by imprisonment in the institutional
16-19 division of the Texas Department of Criminal Justice for a term of
16-20 not more than five years.
16-21 SECTION 25. Subsection (a), Section 7, Chapter 173, Acts of
16-22 the 47th Legislature, Regular Session, 1941 (Article 6687b,
16-23 Vernon's Texas Civil Statutes), is amended to read as follows:
16-24 (a) The Department may license a person as a Class C driver
16-25 who is under the age of eighteen (18) years, provided the person:
16-26 (1) is sixteen (16) years of age or older;
16-27 (2) has submitted to the Department a driver education
16-28 certificate provided for by Section 9A, Texas Driver and Traffic
16-29 Safety Education Act (Article 4413(29c), Vernon's Texas Civil
16-30 Statutes), indicating that the person has completed and passed a
16-31 driver education <training> course approved by the Texas Higher
16-32 Education Coordinating Board <Central Education Agency>;
16-33 (3) has obtained a high school diploma or its
16-34 equivalent or is a student enrolled in a public or private school
16-35 who attended school for at least 80 days in the fall or spring
16-36 semester preceding the date of application, or has been enrolled
16-37 for at least 45 days, and is currently enrolled, in a program to
16-38 prepare persons to pass the high school equivalency exam; and
16-39 (4) has passed the examination required by Section 10
16-40 of this Act.
16-41 SECTION 26. Section 10, Chapter 173, Acts of the 47th
16-42 Legislature, Regular Session, 1941 (Article 6687b, Vernon's Texas
16-43 Civil Statutes), is amended by adding Subsection (e) to read as
16-44 follows:
16-45 (e) A driver education school licensed under the Texas
16-46 Driver and Traffic Safety Education Act (Article 4413(29c),
16-47 Vernon's Texas Civil Statutes) may administer the vision, highway
16-48 sign, and traffic law parts of the examination to a student of the
16-49 school. An examination administered under this subsection
16-50 satisfies the examination requirements of this Section as to the
16-51 parts of the test administered.
16-52 SECTION 27. Subsection (c), Section 12, Chapter 173, Acts of
16-53 the 47th Legislature, Regular Session, 1941 (Article 6687b,
16-54 Vernon's Texas Civil Statutes), is amended to read as follows:
16-55 (c) The Department or a driver education school licensed
16-56 under the Texas Driver and Traffic Safety Education Act (Article
16-57 4413(29c), Vernon's Texas Civil Statutes) may issue an instruction
16-58 permit without photograph to any person fifteen (15) years of age
16-59 or older but younger than eighteen (18) years of age who has
16-60 satisfactorily completed and passed the classroom phase of an
16-61 approved driver education course, has obtained a high school
16-62 diploma or its equivalent or is a student enrolled in a public or
16-63 private school who attended school for at least 80 days in the fall
16-64 or spring semester preceding the date of application, or has been
16-65 enrolled for at least 45 days, and is currently enrolled, in a
16-66 program to prepare persons to pass the high school equivalency
16-67 exam, and who has successfully passed all parts of the driver
16-68 examination required in Section 10 of this Act other than the
16-69 driving test. The Department or driver education school may issue
16-70 an instruction permit without photograph to any person eighteen
17-1 (18) years of age or older who has successfully passed all parts of
17-2 the driver examination required in Section 10 of this Act other
17-3 than the driving test. The instruction permit shall entitle the
17-4 applicant while having the permit in his immediate possession to
17-5 drive a type or general class of motor vehicle upon the public
17-6 highways when accompanied by a licensed driver, whose license
17-7 qualifies him to operate that type or general class of vehicle, who
17-8 is at least eighteen (18) years of age, who has at least one (1)
17-9 year of driving experience, and who is occupying a seat by the
17-10 driver. The Department shall provide a driver education school
17-11 appropriate forms for instruction permits authorized to be issued
17-12 by the school. An application to the Department for issuance of an
17-13 instruction permit is not required for a permit issued by a driver
17-14 education school. The school shall collect the applicable fee for
17-15 an instruction permit and forward it to the Department. The
17-16 Department by rule shall provide for administration of the issuance
17-17 of instruction permits by driver education schools. An instruction
17-18 permit may be issued by a driver education school only to a student
17-19 of the school.
17-20 SECTION 28. Section 143A, Uniform Act Regulating Traffic on
17-21 Highways (Article 6701d, Vernon's Texas Civil Statutes), is amended
17-22 by amending Subsections (a) and (d) and by adding Subsections (h),
17-23 (i), (j), (k), and (l) to read as follows:
17-24 (a) When a person is charged with a misdemeanor offense
17-25 under this Act, other than a violation of Section 39, 40, 51, 104,
17-26 or 186 or a serious traffic violation as defined in Section 3(26),
17-27 Texas Commercial Driver's License Act (Article 6687b-2, Revised
17-28 Statutes), committed while operating a motor vehicle, the defendant
17-29 shall be advised by the court of his right to successfully complete
17-30 a driving safety course and the court:
17-31 (1) in its discretion may defer proceedings and allow
17-32 the person 90 days to take a driving safety course approved by the
17-33 Texas Higher Education Coordinating Board and 30 additional days to
17-34 present a uniform certificate of course completion as evidence
17-35 that, subsequent to the alleged act, the person has successfully
17-36 completed a driving safety course approved under the Texas Driver
17-37 and Traffic Safety Education Act (Article 4413(29c), Vernon's Texas
17-38 Civil Statutes); or
17-39 (2) shall defer proceedings and allow the person 90
17-40 days to take a driving safety course approved by the Texas Higher
17-41 Education Coordinating Board and 30 additional days to present a
17-42 uniform certificate of course completion as written evidence that,
17-43 subsequent to the alleged act, the person has successfully
17-44 completed a driving safety course approved under the Texas Driver
17-45 and Traffic Safety Education Act (Article 4413(29c), Vernon's Texas
17-46 Civil Statutes), if:
17-47 (A) the person enters a plea in person or in
17-48 writing of No Contest or Guilty and presents to the court an oral
17-49 request or a written request, in person or by mail postmarked on or
17-50 before the answer date on the citation, to take a course;
17-51 (B) the court enters judgment on the person's
17-52 plea of No Contest or Guilty at the time the plea is made but
17-53 defers imposition of the judgment for 90 days;
17-54 (C) the person has a valid Texas driver's
17-55 license or permit;
17-56 (D) the person's driving record as maintained by
17-57 the Texas Department of Public Safety does not indicate successful
17-58 completion of a driving safety course under this subdivision within
17-59 the one year immediately preceding the date of the alleged offense;
17-60 (E) the person files an affidavit with the court
17-61 stating that the person is not in the process of taking a course
17-62 under this subdivision and has not completed a course under this
17-63 subdivision that is not yet reflected on the person's driving
17-64 record;
17-65 (F) the offense charged is for an offense
17-66 covered by this section other than speeding 25 miles per hour or
17-67 more over the posted speed limit at the place where the alleged
17-68 offense occurred; and
17-69 (G) the person provides proof of financial
17-70 responsibility as required by Section 1A, Texas Motor Vehicle
18-1 Safety-Responsibility Act (Article 6701h, Vernon's Texas Civil
18-2 Statutes).
18-3 (d) The Texas Higher Education Coordinating Board <State
18-4 Board of Education> shall enter into a memorandum of understanding
18-5 with the State Board of Insurance for the interagency development
18-6 of a curriculum for driving safety courses. The Texas Higher
18-7 Education Coordinating Board <Central Education Agency> shall adopt
18-8 and administer comprehensive rules governing driving safety courses
18-9 <adopted by the State Board of Education> and <the board shall>
18-10 place on file such rules with the secretary of state.
18-11 (h) An issued uniform certificate of completion shall be
18-12 mailed to the student not later than the 15th working day after the
18-13 date of completion of an approved driving safety course only by the
18-14 course provider or authorized personnel at the course provider's
18-15 facilities.
18-16 (i) Data identified by the agency pertaining to issued
18-17 uniform certificates of completion must be submitted electronically
18-18 by each course provider to the agency in a manner determined by the
18-19 agency.
18-20 (j) Duplicate uniform certificates of completion shall be
18-21 issued by the agency. An appropriate fee for issuing duplicate
18-22 certificates shall be determined by board rule.
18-23 (k) The agency shall investigate options to develop and
18-24 implement procedures to provide information pertaining to driving
18-25 safety courses by electronic transmission to the state municipal
18-26 and justice courts.
18-27 (l) A driving safety course may not be provided to a student
18-28 for a cost less than $25.
18-29 SECTION 29. Subsections (f) and (g), Section 143A, as added
18-30 by Chapters 156 and 813, Acts of the 71st Legislature, Regular
18-31 Session, 1989, Uniform Act Regulating Traffic on Highways (Article
18-32 6701d, Vernon's Texas Civil Statutes), are amended to read as
18-33 follows:
18-34 (f) The agency by rule shall provide for the design and
18-35 distribution of the uniform certificate of course completion in a
18-36 manner that to the greatest extent possible prevents the
18-37 unauthorized production or misuse of the certificate <shall be
18-38 printed on copy-resistant paper in not fewer than two self-copying
18-39 parts to provide a control copy of the certificate that shall be
18-40 retained by the course provider under rules adopted by the State
18-41 Board of Education>. Each certificate <may not be more than 8 1/2
18-42 inches by 3 1/2 inches in size and> shall include an identifying
18-43 number by which the Texas Higher Education Coordinating Board
18-44 <Central Education Agency>, the court, or the department may verify
18-45 its authenticity with the course provider. The certificate shall
18-46 be in a form promulgated by the Texas Higher Education Coordinating
18-47 Board <Central Education Agency>.
18-48 (g) The Texas Higher Education Coordinating Board <Central
18-49 Education Agency> shall print and supply the serially numbered
18-50 uniform certificates to licensed course providers <owners or
18-51 primary consignees> of courses approved under the Texas Driver and
18-52 Traffic Safety Education Act (Article 4413(29c), Vernon's Texas
18-53 Civil Statutes). The Texas Higher Education Coordinating Board
18-54 <Central Education Agency> may charge a fee not to exceed $4 <of
18-55 $1> for each certificate. A course provider <An owner or
18-56 consignee> may not charge an operator a fee in excess of the fee
18-57 paid to the board <agency> for a certificate. The board <agency>
18-58 shall deposit the fees with the state treasurer to be used only for
18-59 the expense of supplying the certificates, payments of monetary
18-60 awards for information concerning abuse of the certificates that
18-61 leads to the conviction or removal of an approval, license, or
18-62 authorization, and administering the Texas Driver and Traffic
18-63 Safety Education Act (Article 4413(29c), Vernon's Texas Civil
18-64 Statutes). The course provider shall charge and retain a user fee
18-65 of not less than $3 a student for the use of course materials,
18-66 oversight, and administration of the course.
18-67 SECTION 30. Subdivisions (2) and (3), Article 45.54, Code of
18-68 Criminal Procedure, are amended to read as follows:
18-69 (2) During the deferral period, the justice shall require
18-70 the defendant to successfully complete a <Central Education
19-1 Agency-approved> driving safety course approved by the Texas Higher
19-2 Education Coordinating Board, if the offense alleged is an offense
19-3 involving the operation of a motor vehicle, other than a commercial
19-4 motor vehicle, as defined in Subdivision (6), Section 3, Texas
19-5 Commercial Driver's License Act (Article 6687b-2, Revised
19-6 Statutes), and the defendant:
19-7 (A) has not completed an approved driving safety
19-8 course within the preceding 12 months; or
19-9 (B) is a first-time offender who elects deferred
19-10 adjudication.
19-11 (3) During said deferral period, the justice may require the
19-12 defendant to:
19-13 (a) post a bond in the amount of the fine assessed to
19-14 secure payment of the fine;
19-15 (b) pay restitution to the victim of the offense in an
19-16 amount not to exceed the fine assessed;
19-17 (c) submit to professional counseling;
19-18 (d) comply with any other reasonable condition; and
19-19 (e) require the defendant to successfully complete a
19-20 Texas Higher Education Coordinating Board <Central Education
19-21 Agency> approved driving safety course, if:
19-22 (1) the offense alleged is an offense involving
19-23 the operation of a motor vehicle, other than a commercial motor
19-24 vehicle, as defined in Subdivision (6), Section 3, Texas Commercial
19-25 Driver's License Act (Article 6687b-2, Revised Statutes); and
19-26 (2) the defendant has <not> completed an
19-27 approved driving safety course within the preceding 12 months.
19-28 SECTION 31. (a) This Act takes effect September 1, 1995,
19-29 and on that date:
19-30 (1) a rule of the State Board of Education regarding
19-31 regulation of driver training schools is continued in effect as a
19-32 rule of the Texas Higher Education Coordinating Board until
19-33 superseded by rule of the Texas Higher Education Coordinating
19-34 Board;
19-35 (2) a proposed rule of the State Board of Education
19-36 regarding the regulation of driver training schools is considered
19-37 to have been proposed by the Texas Higher Education Coordinating
19-38 Board, and the Texas Higher Education Coordinating Board shall
19-39 continue the rulemaking process;
19-40 (3) a certificate, license, approval, exemption,
19-41 registration, or notice of adverse action in effect and issued by
19-42 the Central Education Agency is continued in effect as a
19-43 certificate, license, approval, exemption, registration, or notice
19-44 of adverse action issued by the Texas Higher Education Coordinating
19-45 Board until expiration, suspension, or revocation or until it is
19-46 superseded by later action of the Texas Higher Education
19-47 Coordinating Board;
19-48 (4) a complaint or investigation pending before the
19-49 Central Education Agency is transferred without change in status to
19-50 the Texas Higher Education Coordinating Board;
19-51 (5) a contested case pending before the Central
19-52 Education Agency remains the responsibility of the Central
19-53 Education Agency until the case is administratively final, at which
19-54 time the responsibility is transferred to the Texas Higher
19-55 Education Coordinating Board; a subsequent court proceeding on the
19-56 matter is treated as if the administrative action had been taken by
19-57 the Texas Higher Education Coordinating Board; and in a pending
19-58 court case the Texas Higher Education Coordinating Board is
19-59 substituted as a party in the place of the Central Education
19-60 Agency;
19-61 (6) a certificate of completion of a driving safety
19-62 course authorized by law and issued by the Central Education Agency
19-63 is considered issued by the Texas Higher Education Coordinating
19-64 Board;
19-65 (7) the following are transferred to the Texas Higher
19-66 Education Coordinating Board for purposes of the Texas Driver and
19-67 Traffic Safety Education Act (Article 4413(29c), Vernon's Texas
19-68 Civil Statutes):
19-69 (A) an obligation, including a payroll
19-70 obligation, right, or contract of the Central Education Agency
20-1 arising from implementation of that Act; and
20-2 (B) equipment, furniture, and other property and
20-3 personnel, including legal counsel, assigned to administration of
20-4 that Act;
20-5 (8) any unspent money, including surplus funds from
20-6 prior years, student refund protection funds, and proceeds from
20-7 bond claims, appropriated to the Central Education Agency for the
20-8 purposes of the Texas Driver and Traffic Safety Education Act
20-9 (Article 4413(29c), Vernon's Texas Civil Statutes) is transferred
20-10 to the Texas Higher Education Coordinating Board for use in
20-11 administering that Act;
20-12 (9) a reference in law to the Central Education Agency
20-13 in relation to regulation of driver training schools means the
20-14 Texas Higher Education Coordinating Board, and a reference in law
20-15 to a driving safety course approved by the Central Education Agency
20-16 means a course approved by the Texas Higher Education Coordinating
20-17 Board; and
20-18 (10) persons issued a certificate, license, approval,
20-19 or notice of good standing by the Central Education Agency and a
20-20 certification of completion indicating successful completion of a
20-21 Central Education Agency-approved course are considered to maintain
20-22 the same status that applied immediately before the effective date
20-23 of this Act.
20-24 (b) A person who on the effective date of this Act has an
20-25 application for a certificate, license, approval, exemption, or
20-26 registration on file with the Central Education Agency shall be
20-27 treated by the Texas Higher Education Coordinating Board as if the
20-28 application had been filed with the Texas Higher Education
20-29 Coordinating Board.
20-30 (c) Not later than two months after the effective date of
20-31 this Act, the Central Education Agency shall prepare an inventory
20-32 of items covered by Subdivisions (7) and (8) of Subsection (a) of
20-33 this section for review and approval by the Texas Higher Education
20-34 Coordinating Board.
20-35 (d) To administer hearings in pending cases, the Central
20-36 Education Agency may hire hearings officers or use the State Office
20-37 of Administrative Hearings. The Central Education Agency shall
20-38 reach a final disposition of each pending case on or before
20-39 September 1, 1996.
20-40 (e) The Texas Higher Education Coordinating Board shall
20-41 adopt necessary rules under the Texas Driver and Traffic Safety
20-42 Education Act (Article 4413(29c), Vernon's Texas Civil Statutes)
20-43 and begin issuing certificates of completion for approved driving
20-44 safety courses on or before September 1, 1996.
20-45 (f) A change in law made by this Act applies only to an
20-46 offense committed on or after September 1, 1995. For the purposes
20-47 of this subsection, an offense is committed before September 1,
20-48 1995, if any element of the offense occurs before that date.
20-49 (g) An offense committed before September 1, 1995, is
20-50 covered by the law in effect when the offense was committed, and
20-51 the former law is continued in effect for that purpose.
20-52 SECTION 32. The importance of this legislation and the
20-53 crowded condition of the calendars in both houses create an
20-54 emergency and an imperative public necessity that the
20-55 constitutional rule requiring bills to be read on three several
20-56 days in each house be suspended, and this rule is hereby suspended.
20-57 * * * * *