TWT H.B. 1790 75(R)BILL ANALYSIS TRANSPORTATION H.B. 1790 By: Alexander 3-26-97 Committee Report (Substituted) BACKGROUND During the 74th Texas Legislature, much of the law governing the regulation and licensing of motor vehicle dealers and the titling and registration of motor vehicles was recodified into the Transportation Code from the Vernon's Texas Civil Statutes. Chapter 502 specifically relates to registration. Chapter 503 provides the mechanisms applicable to dealer licensing. PURPOSE H.B. 1790 makes technical changes, both substantive and non-substantive, to Transportation Code provisions relating to the regulation of new and used motor vehicle dealers. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Sec. 503.026, Transportation Code, to clarify that a dealer does not issue metal plates. SECTION 2. Amends Sec. 503.029(c), Transportation Code, by changing the statutory deadline for filing an application to renew a general distinguishing number to conform the renewal procedure to changes made by the 74th Legislature in the general distinguishing number expiration date. SECTION 3. Amends Sec. 503.035, Transportation Code, by deleting any reference to the issuance of a general distinguishing number which is not issued with a drive-a-way in-transit license. SECTION 4. Amends Sec. 503.038(a), Transportation Code, by changing the focus of the violation from the "filing" of forged documents to the actual forging or falsifying of the documents. Adds Subsection (10) to further clarify that the department may cancel a dealer's general distinguishing number if they fail to demonstrate compliance with sections of the Texas Tax Code dealing with inventories. SECTION 5. Amends Subchapter C, Chapter 503, Transportation Code, by adding Sec. 503.0615, which grants the TXDOT the authority to issue personalized prestige dealer's license plates. Sets forth same application and fee requirements as with other personalized plates. SECTION 6. Amends Sec. 503.062(d), Transportation Code, by making statutory the long-standing tradition of the department not getting into the license tag distribution business. SECTION 7. Amends Sec. 503.063(e), Transportation Code, by making statutory the long-standing practice of the department not being in the business of issuing Buyer's Temporary Cardboard tags. SECTION 8. Amends Sec. 503.066(c), Transportation Code, by providing a non-substantive amendment to change the statutory deadline for filing an application to renew a dealer's or manufacturer's plate to conform the renewal procedure to changes made by the 74th Legislature in the dealer/manufacturer plate expiration date. SECTION 9. Amends Sec. 503.093(a), Transportation Code, by removing the Subsection (a)(1) language that would provide for the enforcement of the law as to all licensees under Subchapter B. SECTION 10. Amends Sec. 6.01(a), Texas Motor Vehicle Commission Code (Article 4413(36), Vernon's Texas Civil Statutes), by granting the commission the authority to levy civil penalties for violations of the code, including changes made by Section 4 of the substitute. SECTION 11. (a) Conforms Sec. 503.038(a), Transportation Code, to Sec. 3, Chapter 430, Acts of the 74th Texas Legislature, Regular Session, 1995. (b) Repeals Sec. 3, Chapter 430, Acts of the 74th Texas Legislature, Regular Session, 1995. (c) This Act prevails over another Act of the 75th Texas Legislature, Regular Session, 1997. SECTION 12. Effective Date - September 1, 1997. SECTION 13. Emergency Clause. COMPARISON OF ORIGINAL TO SUBSTITUTE SECTION 1. Moves Section 2 of the original to Section 1 of the substitute. SECTION 2. Moves Section 3 of the original to Section 2 of the substitute. SECTION 3. Moves Section 4 of the original to Section 3 of the substitute. SECTION 4. Moves Section 5 of the original to Section 4 of the substitute. Adds Subsection (10) to further clarify that the department may cancel a dealer's general distinguishing number if they fail to demonstrate compliance with certain sections of the Texas Tax Code. SECTION 5. The substitutes spells out in greater detail that TXDOT has the authority to issue personalized prestige dealer license plates. The original contained authority in Section 1 and cited a different statute. SECTION 6. Substitute used different language than the original, but accomplished same intent. SECTION 7. Substitute used different language than the original, but accomplished same intent. SECTION 8 and 9. No changes. SECTION 10. Original contained a definition of "Person", which was deleted because definition already exists in statute. SECTION 11. Substitute is entirely new. Original did not contain conforming section. SECTION 12. Substitute moves effective date from effective upon passage in Section 11 in original and changes it to Sept. 1, 1997. SECTION 13. Substitute moves emergency clause from Section 11 in original.