TWT H.B. 1418 75(R)BILL ANALYSIS


TRANSPORTATION
H.B. 1418
By: Alexander
4-11-97
Committee Report (Substituted)



BACKGROUND 

The 74th Texas Legislature in 1995 passed Senate Bill 3, which dealt with
the regulation of motor carriers. Sect. 548.001, Transportation Code,
defines a commercial motor vehicle "as a vehicle or combination of
vehicles having a gross weight, registered weight or gross weight rating
of more than 26,000-pounds." Thus, motor carriers transporting household
goods utilizing motor vehicles with a gross weight, registered weight or
gross weight rating less than 26,000-pounds are exempt from registration
requirements. Article 6675c, Revised Civil Statutes, presently provides
annual registration requirements, liability and cargo insurance
requirements and consumer protection requirements for motor carriers
transporting household goods for compensation or hire. Registrations is
with the Texas Department of Transportation (TXDOT). 

PURPOSE

The purpose of this bill is to register all household goods movers,
regardless of the size and gross vehicle weight of the equipment, and to
provide consumer protection to customers.   

RULEMAKING AUTHORITY

It is the committee's opinion that this bill grants additional rulemaking
authority to the TXDOT in Section 1, Sec. 3(e) of Article 6675c, which
requires the TXDOT to create simplified registration procedures to avoid
multiple registrations of a single motor carrier and in Section 2, Sec.
8(f) of Article 6675c which authorizes the TXDOT to adopt rules governing
the operation of the rules advisory committee.  

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Sections 3(a) and (e), Article 6675c, Revised Statutes,
are follows: 

 (a) Requires that a motor carrier may not operate any vehicle
transporting household goods for compensation on a road or highway of this
state without registration with the TXDOT. Would require all for-hire
carriers of household goods, regardless of the weight or rating of the
vehicles being operated, to comply with all of the requirements of Article
6675c. 

 (e) Requires the TXDOT to adopt simplified procedures for the
registration of motor carriers transporting household goods as agents for
other motor carriers. 

SECTION 2. Amends Sections 8(c) and (f), Article 6675c, Revised Statutes,
as follows: 

 (c) Deletes mandates on certain rules. Moves requirement that household
goods movers list a place of business with a street address from Sec. 8(c)
to Subdivision (4) of Sec. 8(c).  Makes rule requirements in Subdivisions
(1)-(4) mandatory rather than permissive.  

 (f) Establishes a rules advisory committee consisting of representatives
of motor carriers transporting household goods, the public and the TXDOT
to examine the rules previously adopted under Section 8(c) and to make
recommendations concerning modernization and streamlining of rules.
Eliminates provisions mandatorily requiring a method of mediation for
consumers now required to be provided by all collective associations of
motor carriers transporting household goods  so the new Rules Advisory
Committee may consider all complaint remedies. 

SECTION 3.  Amends Section 1(1), Article 6675d, Revised Statutes, by
defining "Commercial Motor Vehicle" as 

 (A) a motor vehicle described by Section 548.001(1), Transportation Code
("the vehicle or combination of vehicles has a gross weight, registered
weight or gross weight rating of more than 26,000 pounds"); or 
(B) any vehicle transporting household goods, as defined by federal law,
for compensation. Deletes statutory outdated statutory reference.  

SECTION 4. Effective Date -- September 1, 1997.

SECTION 5. Emergency Clause.



COMPARISON OF ORIGINAL TO SUBSTITUTE

SECTION 2. The original amended Section 8(e), Article 6675c, which would
have given statutory authority to movers to offer cargo insurance, rather
than authority by TXDOT rule as in current law.  
The substitute retains Section 8(e) as it exists in current law. 

The substitute amends Section 8(c), Article 6675c, which was not amended
in the original. Subsection(c) deletes mandates on certain rules and moves
the requirement that household goods movers list a place of business with
a street address from the third sentence in Sec. 8(c) to new Subdivision
(4) of Sec. 8(c).  The rule requirements in Subdivisions (1)-(4) are now
mandatory rather than permissive.  

Section 8(f), Article 6675c, in both the original and substitute creates a
rules advisory committee. The original contained a provision authorizing
the advisory committee to issue recommendations which may vary from the
requirements of Subsection (c) of this section. The substitute removes
this provision.