Bill not drafted by TLC or Senate E&E.

      Line and page numbers may not match official copy.

                                                      H.B. No. 1790

 1-1                            A BILL TO BE ENTITLED

 1-2                                   AN ACT

 1-3     relating to the licensing and regulation of certain motor vehicle

 1-4     dealers.

 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-6           SECTION 1.  Section 502.252, Transportation Code, is amended

 1-7     to read as follows:

 1-8           Sec. 502.252.  Certain Specialized Plates Available

 1-9     Personalized.  A person applying for license plates under Section

1-10     502.258, 502.259, 502.260, 502.261, 502.262, 502.263, 502.264,

1-11     502.265, 502.269, 502.270, 502.271, 502.272, 502.273, [or] 502.274,

1-12     or 503.061 may:

1-13                 (1)  have a license plate number assigned by the

1-14     department; or

1-15                 (2)  apply for personalized prestige license plates

1-16     under Section 502.251.

1-17           SECTION 2.  Section 503.026, Transportation Code, is amended

1-18     to read as follows:

1-19           Sec. 503.026.  Requirement for Each Type of Dealer Vehicle.

1-20     A person must obtain a dealer general distinguishing number for

1-21     each type of vehicle [for which] the person intends to sell [issue

1-22     metal dealer's license plates under Subchapter C].

1-23           SECTION 3.  Section 503.029(c), Transportation Code, is

1-24     amended to read as follows:

 2-1           (c)  A renewal application must be:

 2-2                 (1)  submitted not later than 60 days prior to the

 2-3     expiration of the general distinguishing number [January 15]; and

 2-4                 (2)  accompanied by the appropriate fee prescribed by

 2-5     Section 503.007.

 2-6           SECTION 4.  Section 503.035, Transportation Code, is amended

 2-7     to read as follows:

 2-8           Sec. 503.035.  ISSUANCE AND RENEWAL OF DRIVE-A-WAY IN-TRANSIT

 2-9     LICENSE [AND GENERAL DISTINGUISHING NUMBER].  The department shall

2-10     issue to an applicant on the filing of the application and the

2-11     payment of the fee an annual drive-a-way in-transit license and

2-12     in-transit license plates [with the applicant's general

2-13     distinguishing number].

2-14           SECTION 5.  Section 503.038(a), Transportation Code, is

2-15     amended to read as follows:

2-16           (a)  The department may cancel a dealer's general

2-17     distinguishing number or impose a civil penalty as provided by

2-18     Section 6.01, Texas Motor Vehicle Commission Code, if the dealer:

2-19                 (1)  falsifies or forges a [files a false or forged]

2-20     title document, including an affidavit making application for a

2-21     certified copy of a title;

2-22                 (2)  files a false or forged tax document, including a

2-23     sales tax affidavit;

2-24                 (3)  fails to take assignment of any basic evidence of

2-25     ownership, including a certificate of title or manufacturer's

2-26     certificate, for a vehicle the dealer acquires;

2-27                 (4)  fails to assign any basic evidence of ownership,

2-28     including a certificate of title or manufacturer's certificate, for

2-29     a vehicle the dealer sells;

2-30                 (5)  uses or permits the use of a metal dealer's

 3-1     license plate or a dealer's temporary cardboard tag on a vehicle

 3-2     that the dealer does not own or control or that is not in stock and

 3-3     offered for sale;

 3-4                 (6)  makes a material misrepresentation in an

 3-5     application or other information filed with the department;

 3-6                 (7)  fails to maintain the qualifications for a general

 3-7     distinguishing number;

 3-8                 (8)  fails to provide to the department within 30 days

 3-9     after the date of demand by the department satisfactory and

3-10     reasonable evidence that the person is regularly and actively

3-11     engaged in business as a wholesale or retail dealer;

3-12                 (9)  has been licensed for at least 12 months and has

3-13     not assigned at least five vehicles during the previous 12-month

3-14     period;

3-15                 (10)  uses or allows the use of the dealer's general

3-16     distinguishing number or the location for which the general

3-17     distinguishing number is issued to avoid the requirements of this

3-18     chapter;

3-19                 (11)  misuses or allows the misuse of a temporary

3-20     cardboard tag authorized under this chapter;

3-21                 (12)  refuses to show on a buyer's temporary cardboard

3-22     tag the date of sale or other reasonable information required by

3-23     the department; or

3-24                 (13)  otherwise violates this chapter or a rule adopted

3-25     under this chapter.

3-26           SECTION 6.  Section 503.062(d), Transportation Code, is

3-27     amended to read as follows:

3-28           (d)  The department may neither issue a tag nor contract for

3-29     the issuance of a tag, but shall prescribe:

3-30                 (1)  the specifications, form, and color of a dealer

 4-1     temporary cardboard tag; and

 4-2                 (2)  the period for which a tag may be used for or by a

 4-3     charitable organization.

 4-4           SECTION 7.  Section 503.063(e), Transportation Code, is

 4-5     amended to read as follows:

 4-6           (e)  The department may neither issue a tag nor contract for

 4-7     the issuance of a tag, but shall prescribe the specifications,

 4-8     color, and form of a buyer's tag.

 4-9           SECTION 8.  Section 503.066(c), Transportation Code, is

4-10     amended to read as follows:

4-11           (c)  An application must be:

4-12                 (1)  submitted not later than 60 days prior to the

4-13     expiration of the plate; [January 15]; and

4-14                 (2)  accompanied by the appropriate fee prescribed by

4-15     Section 503.008.

4-16           SECTION 9.  Section 503.093(a), Transportation Code, is

4-17     amended to read as follows:

4-18           (a)  The department or any interested person may bring an

4-19     action, including an action for an injunction, to:

4-20                 (1)  enforce a provision of Subchapter B [relating to a

4-21     dealer or a person engaging in the business of conducting a

4-22     wholesale motor vehicle auction]; or

4-23                 (2)  prohibit a person from operating in violation of

4-24     the person's application for a general distinguishing number.

4-25           SECTION 10.  Section 728.001, Transportation Code, is amended

4-26     to read as follows:

4-27           Sec. 728.001.  SALE OF MOTOR VEHICLES ON CONSECUTIVE SATURDAY

4-28     AND SUNDAY.  In this subchapter:

4-29                 (1)  "Employer" means a person who:

4-30                       (A)  owns a facility that sells or offers for

 5-1     sale motor vehicles; or

 5-2                       (B)  has the authority to determine the hours of

 5-3     operation of the facility.

 5-4                 (2)  "Motor vehicle" means a self-propelled vehicle of

 5-5     two or more wheels designed to transport a person or property.

 5-6                 (3)  "Person" means a natural person, firm,

 5-7     partnership, corporation, or other legal entity.

 5-8           SECTION 11.  The importance of this legislation and the

 5-9     crowded condition of the calendars in both houses create an

5-10     emergency and an imperative public necessity that the

5-11     constitutional rule requiring bills to be read on three several

5-12     days in each house be suspended, and this rule is hereby suspended,

5-13     and that this Act take effect and be in force from and after its

5-14     passage, and it is so enacted.