1-1 By: Shapleigh, Truan, Lucio S.B. No. 1351 1-2 (In the Senate - Filed March 13, 1997; March 18, 1997, read 1-3 first time and referred to Committee on International Relations, 1-4 Trade, and Technology; April 25, 1997, reported adversely, with 1-5 favorable Committee Substitute by the following vote: Yeas 7, Nays 1-6 0; April 25, 1997, sent to printer.) 1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 1351 By: Shapleigh 1-8 AN ACT 1-9 relating to the regulation of foreign involvement in commercial 1-10 motor transportation. 1-11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-12 SECTION 1. Chapter 1, Title 116, Revised Statutes, is 1-13 amended by adding Article 6675c-2 to read as follows: 1-14 Art. 6675c-2. FOREIGN COMMERCIAL MOTOR TRANSPORTATION 1-15 Sec. 1. DEFINITIONS. In this article: 1-16 (1) "Border" means the border between this state and 1-17 the United Mexican States. 1-18 (2) "Commercial motor vehicle" includes a foreign 1-19 commercial motor vehicle. 1-20 (3) "Border commercial zone" means a commercial zone 1-21 established under 49 C.F.R. Part 372, Subpart B, any portion of 1-22 which is contiguous to the border in this state. 1-23 (4) "Foreign commercial motor vehicle" means a 1-24 commercial motor vehicle, as defined by 49 C.F.R. Section 390.5, 1-25 that is owned or controlled by a person or entity that is domiciled 1-26 in or a citizen of a country other than the United States. 1-27 (5) "Motor carrier" includes a foreign motor carrier 1-28 and a foreign motor private carrier, as defined in 49 U.S.C. 1-29 Sections 13102(6) and (7). 1-30 Sec. 2. RULES. In addition to rules required by this 1-31 article, the Texas Department of Transportation, the Department of 1-32 Public Safety, and the Texas Department of Insurance may adopt 1-33 other rules to carry out this article. 1-34 Sec. 3. REFERENCE TO FEDERAL STATUTE OR REGULATION. A 1-35 reference in this article to a federal statute or regulation 1-36 includes any subsequent amendment or redesignation of the statute 1-37 or regulation. 1-38 Sec. 4. BORDER COMMERCIAL ZONE EXCLUSIVE; BOUNDARIES. 1-39 (a) A law or agreement of less than statewide application that is 1-40 adopted by an agency or political subdivision of this state and 1-41 that regulates motor carriers or commercial motor vehicles or the 1-42 operation of those carriers or vehicles in the transportation of 1-43 cargo across the border or within an area adjacent to the border by 1-44 foreign commercial motor vehicles has no effect unless the law or 1-45 agreement applies uniformly to an entire border commercial zone and 1-46 only in a border commercial zone. This section supersedes that 1-47 portion of any paired city, paired state, or similar understanding 1-48 governing foreign commercial motor vehicles or motor carriers 1-49 entered into under Section 502.054, Transportation Code, or any 1-50 other law. 1-51 (b) The boundaries of a border commercial zone may be 1-52 modified or established only as provided by federal law. 1-53 Sec. 5. REGISTRATION EXEMPTION IN BORDER COMMERCIAL ZONE. 1-54 (a) A foreign commercial motor vehicle is exempt from Chapter 502, 1-55 Transportation Code, and any other law of this state requiring the 1-56 vehicle to be registered in this state, including a law providing 1-57 for a temporary registration permit, if: 1-58 (1) the vehicle is engaged solely in transportation of 1-59 cargo across the border into or from a border commercial zone; 1-60 (2) for each load of cargo transported the vehicle 1-61 remains in this state: 1-62 (A) not more than 24 hours; or 1-63 (B) not more than 48 hours, if: 1-64 (i) the vehicle is unable to leave this 2-1 state within 24 hours because of circumstances beyond the control 2-2 of the motor carrier operating the vehicle; and 2-3 (ii) all financial responsibility 2-4 requirements applying to the vehicle are satisfied; 2-5 (3) the vehicle is registered and licensed as required 2-6 by the law of another state or country as evidenced by a valid 2-7 metal license plate attached to the front or rear of the exterior 2-8 of the vehicle; and 2-9 (4) the country in which the person that owns or 2-10 controls the vehicle is domiciled or is a citizen provides a 2-11 reciprocal exemption for commercial motor vehicles owned or 2-12 controlled by residents of this state. 2-13 (b) A foreign commercial motor vehicle operating under the 2-14 exemption provided by this section and the vehicle's driver may be 2-15 considered unregistered if the vehicle is operated in this state 2-16 outside a border commercial zone or in violation of United States 2-17 law. 2-18 Sec. 6. FINANCIAL RESPONSIBILITY. The Texas Department of 2-19 Transportation shall adopt rules that conform with 49 C.F.R. Part 2-20 387 requiring motor carriers operating foreign commercial motor 2-21 vehicles in this state to maintain financial responsibility. This 2-22 article prevails over any other requirement of state law relating 2-23 to financial responsibility for operation of those vehicles in this 2-24 state. 2-25 Sec. 7. DOMESTIC TRANSPORTATION. A foreign motor carrier or 2-26 foreign motor private carrier may not transport persons or cargo in 2-27 intrastate commerce in this state unless the carrier is authorized 2-28 to conduct operations in interstate and foreign commerce 2-29 domestically between points in the United States under federal law 2-30 or international agreement. 2-31 SECTION 2. Article 6675d, Revised Statutes, is amended by 2-32 adding Section 16 to read as follows: 2-33 Sec. 16. APPLICATION TO FOREIGN COMMERCIAL MOTOR VEHICLES. 2-34 Except as otherwise provided by law, this article also applies to 2-35 all foreign commercial motor vehicles, as defined by Section 1, 2-36 Article 6675c-2, Revised Statutes. 2-37 SECTION 3. This Act takes effect September 1, 1997. 2-38 SECTION 4. The importance of this legislation and the 2-39 crowded condition of the calendars in both houses create an 2-40 emergency and an imperative public necessity that the 2-41 constitutional rule requiring bills to be read on three several 2-42 days in each house be suspended, and this rule is hereby suspended. 2-43 * * * * *