By:  Shapleigh, et al.                                S.B. No. 1351

                                A BILL TO BE ENTITLED

                                       AN ACT

 1-1     relating to the regulation of foreign involvement in commercial

 1-2     motor transportation.

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

 1-4           SECTION 1.  Chapter 1, Title 116, Revised Statutes, is

 1-5     amended by adding Article 6675c-2 to read as follows:

 1-6           Art. 6675c-2.  FOREIGN COMMERCIAL MOTOR TRANSPORTATION

 1-7           Sec. 1.  DEFINITIONS.  In this article:

 1-8                 (1)  "Border" means the border between this state and

 1-9     the United Mexican States.

1-10                 (2)  "Commercial motor vehicle" includes a foreign

1-11     commercial motor vehicle.

1-12                 (3)  "Border commercial zone" means a commercial zone

1-13     established under 49 C.F.R. Part 372, Subpart B, any portion of

1-14     which is contiguous to the border in this state.

1-15                 (4)  "Foreign commercial motor vehicle" means a

1-16     commercial motor vehicle, as defined by 49 C.F.R. Section 390.5,

1-17     that is owned or controlled by a person or entity that is domiciled

1-18     in or a citizen of a country other than the United States.

1-19                 (5)  "Motor carrier" includes a foreign motor carrier

1-20     and a foreign motor private carrier, as defined in 49 U.S.C.

1-21     Sections 13102(6) and (7).

1-22           Sec. 2.  RULES.  In addition to rules required by this

1-23     article, the Texas Department of Transportation, the Department of

 2-1     Public Safety, and the Texas Department of Insurance may adopt

 2-2     other rules to carry out this article.

 2-3           Sec. 3.  REFERENCE TO FEDERAL STATUTE OR REGULATION.  A

 2-4     reference in this article to a federal statute or regulation

 2-5     includes any subsequent amendment or redesignation of the statute

 2-6     or regulation.

 2-7           Sec. 4.  BORDER COMMERCIAL ZONE EXCLUSIVE; BOUNDARIES.

 2-8     (a)  A law or agreement of less than statewide application that is

 2-9     adopted by an agency or political subdivision of this state and

2-10     that regulates motor carriers or commercial motor vehicles or the

2-11     operation of those carriers or vehicles in the transportation of

2-12     cargo across the border or within an area adjacent to the border by

2-13     foreign commercial motor vehicles has no effect unless the law or

2-14     agreement applies uniformly to an entire border commercial zone and

2-15     only in a border commercial zone.  This section supersedes that

2-16     portion of any paired city, paired state, or similar understanding

2-17     governing foreign commercial motor vehicles or motor carriers

2-18     entered into under Section 502.054, Transportation Code, or any

2-19     other law.

2-20           (b)  The boundaries of a border commercial zone may be

2-21     modified or established only as provided by federal law.

2-22           Sec. 5.  REGISTRATION EXEMPTION IN BORDER COMMERCIAL ZONE.

2-23     (a)  A foreign commercial motor vehicle is exempt from Chapter 502,

2-24     Transportation Code, and any other law of this state requiring the

2-25     vehicle to be registered in this state, including a law providing

 3-1     for a temporary registration permit, if:

 3-2                 (1)  the vehicle is engaged solely in transportation of

 3-3     cargo across the border into or from a border commercial zone;

 3-4                 (2)  for each load of cargo transported the vehicle

 3-5     remains in this state:

 3-6                       (A)  not more than 24 hours; or

 3-7                       (B)  not more than 48 hours, if:

 3-8                             (i)  the vehicle is unable to leave this

 3-9     state within 24 hours because of circumstances beyond the control

3-10     of the motor carrier operating the vehicle; and

3-11                             (ii)  all financial responsibility

3-12     requirements applying to the vehicle are satisfied;

3-13                 (3)  the vehicle is registered and licensed as required

3-14     by the law of another state or country as evidenced by a valid

3-15     metal license plate attached to the front or rear of the exterior

3-16     of the vehicle; and

3-17                 (4)  the country in which the person that owns or

3-18     controls the vehicle is domiciled or is a citizen provides a

3-19     reciprocal exemption for commercial motor vehicles owned or

3-20     controlled by residents of this state.

3-21           (b)  A foreign commercial motor vehicle operating under the

3-22     exemption provided by this section and the vehicle's driver may be

3-23     considered unregistered if the vehicle is operated in this state

3-24     outside a border commercial zone or in violation of United States

3-25     law.

 4-1           Sec. 6.  FINANCIAL RESPONSIBILITY.  The Texas Department of

 4-2     Transportation shall adopt rules that conform with 49 C.F.R. Part

 4-3     387 requiring motor carriers operating foreign commercial motor

 4-4     vehicles in this state to maintain financial responsibility.  This

 4-5     article prevails over any other requirement of state law relating

 4-6     to financial responsibility for operation of those vehicles in this

 4-7     state.

 4-8           Sec. 7.  DOMESTIC TRANSPORTATION.  A foreign motor carrier or

 4-9     foreign motor private carrier may not transport persons or cargo in

4-10     intrastate commerce in this state unless the carrier is authorized

4-11     to conduct operations in interstate and foreign commerce

4-12     domestically between points in the United States under federal law

4-13     or international agreement.

4-14           SECTION 2.  Article 6675d, Revised Statutes, is amended by

4-15     adding Section 16 to read as follows:

4-16           Sec. 16.  APPLICATION TO FOREIGN COMMERCIAL MOTOR VEHICLES.

4-17     Except as otherwise provided by law, this article also applies to

4-18     all foreign commercial motor vehicles, as defined by Section 1,

4-19     Article 6675c-2, Revised Statutes.

4-20           SECTION 3.  This Act takes effect September 1, 1997.

4-21           SECTION 4.  The importance of this legislation and the

4-22     crowded condition of the calendars in both houses create an

4-23     emergency and an imperative public necessity that the

4-24     constitutional rule requiring bills to be read on three several

4-25     days in each house be suspended, and this rule is hereby suspended.