By Harris                                        S.B. No. 255

      75R1633 BEM-F                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the regulation of driver's training courses.

 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-4           SECTION 1.  Section 3(18), Texas Driver and Traffic Safety

 1-5     Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),

 1-6     is amended to read as follows:

 1-7                 (18)  "Driver education school" means an enterprise

 1-8     that maintains a place of business or solicits business in this

 1-9     state, that is operated by an individual, association, public

1-10     school district, partnership, or corporation for the education and

1-11     training of persons at a primary or branch location in driver

1-12     education or driver education instructor development, and that is

1-13     not specifically exempted by this Act.

1-14           SECTION 2.  Section 4, Texas Driver and Traffic Safety

1-15     Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),

1-16     is amended by adding Subsection (c) to read as follows:

1-17           (c)  The agency may employ personnel as necessary to

1-18     administer this Act.  The agency is exempt from the limitations

1-19     created under Chapter 654, Government Code, and any other law

1-20     providing for a limitation on the number of employees employed by

1-21     the agency to the extent necessary to administer this Act.

1-22           SECTION 3.  Section 9A, Texas Driver and Traffic Safety

1-23     Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),

1-24     is amended to read as follows:

 2-1           Sec. 9A.  DRIVER EDUCATION CERTIFICATES.   (a)  The agency

 2-2     shall print and supply to licensed and exempt driver education

 2-3     schools serially numbered driver education certificates to be used

 2-4     for certifying completion of an approved driver education course

 2-5     for the purposes of Section 521.204, Transportation Code [7(a),

 2-6     Chapter 173, Acts of the 47th Legislature, Regular Session, 1941

 2-7     (Article 6687b, Vernon's Texas Civil Statutes)].  The agency by

 2-8     rule shall provide for the design and distribution of the

 2-9     certificates in a manner that to the greatest extent possible

2-10     prevents the unauthorized reproduction or misuse of the

2-11     certificates.  The agency may charge a fee of not more than $4 for

2-12     each certificate.

2-13           (b)  The agency shall establish a database that contains

2-14     information pertinent to driver education certificates that shall

2-15     be available electronically to the Department of Public Safety.

2-16     The information must include for each driver education certificate

2-17     issued:

2-18                 (1)  the control number and date of issuance of the

2-19     certificate;

2-20                 (2)  the name and identification number of the driver

2-21     education school;

2-22                 (3)  the name and Texas Education Agency license number

2-23     of the driver education teacher; and

2-24                 (4)  the name, date of birth, sex, and social security

2-25     number of the student to whom the certificate is issued.

2-26           (c)  Each driver education school shall submit electronically

2-27     to the agency, at the time and in the manner determined by the

 3-1     agency, the information required by Subsection (b) of this section.

 3-2           SECTION 4.  Section 12(a), Texas Driver and Traffic Safety

 3-3     Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),

 3-4     is amended to read as follows:

 3-5           (a)  To operate or do business in this state, a public school

 3-6     district, private school, driver education school, or driving

 3-7     safety school must make written application to  the commissioner

 3-8     for a driver education or driving safety school license.  The

 3-9     application must be verified, be in the form prescribed by the

3-10     board, and include all information required.  A driving safety

3-11     school shall obtain approval from the agency for any multiple

3-12     classroom locations.

3-13           SECTION 5.  Sections 13(b)(1) and (g)(1), Texas Driver and

3-14     Traffic Safety Education Act (Article 4413(29c), Vernon's Texas

3-15     Civil Statutes), are amended to read as follows:

3-16           (b)(1)  License, application, and registration fees shall be

3-17     collected by the commissioner and deposited with the state

3-18     treasurer.  Fees shall be sufficient to cover administrative costs

3-19     and may not be subject to refund.  Fees shall be as follows:

3-20                       (A)(i)  the initial fee for a driver education

3-21     school license is $1,000 plus $850 for each branch location, except

3-22     that a public school district applying for a driver education

3-23     school license is not required to pay the initial fee;

3-24                             (ii)  the initial fee for a driving safety

3-25     school license is an appropriate amount established by the board

3-26     not to exceed $200;  and

3-27                             (iii)  the initial fee for a course

 4-1     provider license is an appropriate amount established by the board

 4-2     not to exceed $2,000, except that this fee may be waived by the

 4-3     agency if revenue received by the agency from the course provider

 4-4     is sufficient to fund the cost of licensing the course provider;

 4-5                       (B)  the annual renewal fee for a course

 4-6     provider, driving safety school, driver education school, and

 4-7     branch school is an appropriate amount established by the board not

 4-8     to exceed $200, but may be waived by the agency if revenue

 4-9     generated by the issuance of uniform certificates of completion and

4-10     driver education certificates is sufficient to fund the cost of

4-11     administering this Act and Subchapter B, Chapter 543,

4-12     Transportation Code [Section 143A, Uniform Act Regulating Traffic

4-13     on Highways (Article 6701d, Vernon's Texas Civil Statutes)];

4-14                       (C)  the fee for a change of address of a driver

4-15     education school is $180 and of a driving safety school or course

4-16     provider is $50;

4-17                       (D)  the fee for a change of name of:

4-18                             (i)  a driver education school or course

4-19     provider or an owner of a driver education school or course

4-20     provider is $100;  and

4-21                             (ii)  a driving safety school or owner of a

4-22     driving safety school is $50;

4-23                       (E)  the application fee for each additional

4-24     driver education or driving safety course at a school is $25;

4-25                       (F)  the application fee for each director is

4-26     $30, and for each assistant director, or administrative staff

4-27     member is $15;

 5-1                       (G)  each application for approval of a driving

 5-2     safety course that has not been evaluated by the board shall be

 5-3     accompanied by a nonrefundable fee of $9,000;

 5-4                       (H)  each application for an original driver

 5-5     education or driving safety instructor's license shall be

 5-6     accompanied by a processing fee of $50 and an annual license fee of

 5-7     $25, except that the commissioner may not collect the processing

 5-8     fee from an applicant for a driver education instructor license who

 5-9     is currently teaching a driver education course in a public school

5-10     in this state;  and

5-11                       (I)  the fee for a duplicate license, which may

5-12     be issued if the original is lost or destroyed and an affidavit of

5-13     that fact is filed with the agency, shall be set by the board.            

5-14           (g)(1)  Before a driver education school license may be

5-15     issued under this Act, a bond shall be provided by the school for

5-16     the period for which the license is to be issued, and the

5-17     obligation of the bond shall be that neither a provision of this

5-18     Act nor any rule adopted under this Act shall be violated by the

5-19     school or any of its officers, agents, or employees.  A driver

5-20     education school shall submit a bond in the amount of $10,000 for

5-21     its primary driver education school and $5,000 for each branch

5-22     location of the school.  A bond must be a corporate surety bond

5-23     issued by a company authorized to do business in the state, be

5-24     payable to the state, and be used only for payment of a refund due

5-25     to a student or potential student.  The bond shall be filed with

5-26     the commissioner and shall be in such form as shall be approved by

5-27     the commissioner.  Posting of these bond amounts shall satisfy the

 6-1     requirements for financial stability for driver education schools

 6-2     under this Act.  A public school district that teaches driver

 6-3     education is not required to provide a bond under this subsection.

 6-4           SECTION 6.  Section 521.222, Transportation Code, is amended

 6-5     to conform to Section 27, Chapter 1009, Acts of the 74th

 6-6     Legislature, Regular Session, 1995, and further amended to read as

 6-7     follows:

 6-8           Sec. 521.222.  INSTRUCTION PERMIT.  (a)  The department or a

 6-9     driver education school licensed under the Texas Driver and Traffic

6-10     Safety Education Act (Article 4413(29c), Vernon's Texas Civil

6-11     Statutes) may issue an instruction permit, including a Class A or

6-12     Class B driver's license instruction permit, to a person who:

6-13                 (1)  is 15 years of age or older but under 18 years of

6-14     age;

6-15                 (2)  has satisfactorily completed and passed the

6-16     classroom phase of an approved driver education course, which may

6-17     be a course approved under Section 521.205;

6-18                 (3)  meets the requirements imposed under Section

6-19     521.204(3) [521.204]; and

6-20                 (4)  has passed each examination required under Section

6-21     521.161 other than the driving test.

6-22           (b)  The department may issue an instruction permit to a

6-23     person 18 years of age or older who has successfully passed all

6-24     parts of the driver's examination required under Section 521.161

6-25     other than the driving test.

6-26           (c)  A driver education school may issue an instruction

6-27     permit to a person 18 years of age or older who has successfully

 7-1     passed:

 7-2                 (1)  a six-hour adult classroom driver education course

 7-3     approved by the Texas Education Agency; and

 7-4                 (2)  each part of the driver's examination required by

 7-5     Section 521.161 other than the driving test.

 7-6           (d)  A licensed driver education school may issue, as an

 7-7     instruction permit under Subsection (a), the certificate obtained

 7-8     by the school for the person to whom it is issued from the Texas

 7-9     Education Agency under Section 9A, Texas Driver and Traffic Safety

7-10     Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),

7-11     or a part of that certificate as the Texas Education Agency by rule

7-12     provides.  The certificate or part of the certificate expires as an

7-13     instruction permit on the 91st day after the date the certificate

7-14     is issued as a permit.

7-15           (e)  An instruction permit entitles the holder to operate a

7-16     type of motor vehicle on a highway while:

7-17                 (1)  the permit is in the holder's possession; and

7-18                 (2)  the holder is accompanied by a person occupying

7-19     the seat by the operator who:

7-20                       (A)  holds a license that qualifies the operator

7-21     to operate that type of vehicle;

7-22                       (B)  is 18 years of age or older; and

7-23                       (C)  has at least one year of driving experience.

7-24           (f) [(d)]  An instruction permit is not required to include a

7-25     photograph.

7-26           SECTION 7.  Section 29.902(b), Education Code, is amended to

7-27     read as follows:

 8-1           (b)  The agency shall establish standards consistent with the

 8-2     Texas Driver and Traffic Safety Education Act (Article 4413(29c),

 8-3     Vernon's Texas Civil Statutes), for the certification of

 8-4     professional and paraprofessional personnel who conduct the

 8-5     programs in the public schools.

 8-6           SECTION 8.  (a)  In addition to the substantive changes made

 8-7     by this Act, this Act conforms Section 521.222, Transportation

 8-8     Code, to Section 27, Chapter 1009, Acts of the 74th Legislature,

 8-9     Regular Session, 1995.

8-10           (b)  Section 27, Chapter 1009, Acts of the 74th Legislature,

8-11     Regular Session, 1995, is repealed.

8-12           (c)  To the extent of any conflict, this Act prevails over

8-13     another Act of the 75th Legislature, Regular Session, 1997,

8-14     relating to nonsubstantive additions to and corrections in enacted

8-15     codes.

8-16           SECTION 9.  (a)  This Act takes effect September 1, 1997.

8-17           (b)  The board of trustees of a public school district that

8-18     teaches driver education is not required to apply for a driver

8-19     education school license under Section 12(a), Texas Driver and

8-20     Traffic Safety Education Act (Article 4413(29c), Vernon's Texas

8-21     Civil Statutes), as amended by this Act, until January 1, 1998.

8-22           SECTION 10.  The importance of this legislation and the

8-23     crowded condition of the calendars in both houses create an

8-24     emergency and an imperative public necessity that the

8-25     constitutional rule requiring bills to be read on three several

8-26     days in each house be suspended, and this rule is hereby suspended.