SRC-DBM H.B. 1376 76(R)   BILL ANALYSIS


Senate Research Center   H.B. 1376
76R5045  WP-FBy: Bosse (Carona)
Economic Development
5/2/1999
Engrossed


DIGEST 

Currently, the law does not address owner and lienholder notification for
out-of-state vehicles or vehicles with no registration record that have
been towed to a vehicle storage facility (VSF).  For out-of-state
notifications the operator of a VSF must send notice in a timely manner in
order to collect a daily storage fee.  Since this information must be
received from another state, and there is no uniform requirement to share
information across state lines, some states may refuse to give the operator
of a VSF any information.  H.B. 1376 would provide notice to an owner of a
vehicle towed to a vehicle storage facility. 

PURPOSE

As proposed, H.B. 1376 requires notice to be provided to an owner of a
vehicle towed to a vehicle storage facility. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 13, Article 6687-9a, V.T.C.S. (Vehicle Storage
Facility Act), to require an operator of a vehicle storage facility who
receives a vehicle that is registered in this state and has been towed to
the facility for storage, to send a written notice, not later than the
fifth day but not before 24 hours after the date the operator receives the
vehicle, to the registered owner and the primary lienholder of the vehicle.
Requires the operator of a vehicle storage facility who receives a vehicle
that is registered outside this state or the United States to send a
written notice to the vehicle's last registered owner and all recorded
lienholders not later than the 14th day but not before 24 hours after the
date the operator receives the vehicle.  Provides that it is a defense to
an action initiated by the Texas Department of Transportation (department)
for a violation of this section that the facility has attempted in writing
to obtain information from the governmental entity in which the vehicle is
registered but was unsuccessful. Sets forth the conditions under which
notice by publication in a newspaper of general circulation in the area
from where the vehicle was towed may be used.  Provides that notice by
publication under Subsection (e) of this section is not required if a
notice given under Subsection (a) or (b) of this section is returned
because of certain reasons.  Requires notice by publication to contain all
of the information required by this section.  Authorizes a publication to
contain a list of more than one vehicle, watercraft, or outboard motor.
Provides that notice under Subsection (a) or (b) of this section is
considered to have been given on the date indicated on the postmark and is
considered to be timely filed if the postmark shows that it was mailed
within the period provided by Subsection (a) or (b) of this section, as
applicable, or if publication was made as authorized by Subsection (e) of
this section.  Authorizes the operator of a storage facility to charge the
owner of the vehicle a reasonable fee for giving the notice required by
this section.  Requires an operator of a vehicle storage facility to send a
second notice to the registered owner and primary lienholder, if a vehicle
for which notice was given, rather than sent, under this section, rather
than Subsection (a) of this section, has not, before the 31st day, rather
than 61st day, after the date of notice was mailed or published, been
claimed by a person permitted to claim the vehicle.  Sets forth the
required information to be included in a second notice, including the
information required under Subsection (d), rather than Subsection (b), of
this section.  Deletes text authorizing an operator of the storage facility
to charge the owner of the vehicle a reasonable fee for sending the notice
required by this subsection.  Deletes text providing that a notice is
considered to be timely filed if the postmark shows that it was mailed
within the five day period provided by Subsection (a) of this section.
Makes conforming changes. 
 
SECTION 2.  Amends Section 14B(a), Article 6687-9a, V.T.C.S., to authorize
an operator of a vehicle storage facility to dispose of a vehicle for which
notice was given, rather than sent, under Section (j) of this article,
rather than Section (d) of this article. 

SECTION 3.  Amends Section 14b(d), Article 6687-9a, V.T.C.S. make
conforming changes. 

SECTION 4.Effective date: September 1, 1999.
  Makes application of this Act prospective.

SECTION 5.Emergency clause.