HBA-MPM, MPA H.B. 2409 76(R)BILL ANALYSIS


Office of House Bill AnalysisH.B. 2409
By: King, Tracy
Transportation
9/16/1999
Enrolled




BACKGROUND AND PURPOSE 

Currently, a person cannot receive the certificate of title to a motor
vehicle unless the vehicle is registered and the person can show proof of
liability insurance. This can cause problems for people who want to buy old
vehicles to restore, or have vehicles for use only on their farm or ranch.
They cannot receive a certificate of title even though the vehicle may
never be driven or only driven on a farm or ranch.  H.B. 2409 requires the
Texas Department of Transportation (TxDOT) from to issue a certificate of
title for an unregistered vehicle that complies with other requirements for
issuance of a certificate unless the vehicle is unregistered because the
registration has been suspended or revoked.  It also prevents TxDOT from
refusing to issue a certificate of title for a motor vehicle for which the
applicant does not provide evidence of financial responsibility. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 501.021(a), Transportation Code, to make a
conforming change. 

SECTION 2.  Amends Section 501.023, Transportation Code, by adding
Subsection (c), as follows: 

(c)  Provides that the owner or lessee of a commerical motor vehicle
operating under the International Registration Plan or other agreement
described by Section 502.054 (Agreements With Other Jurisdictions;
Offense), Transportation Code, who is applying for a certificate of title
for registration purposes only must be made to the Texas Department of
Transportation (TxDOT) directly.  Requires the applicant to pay the fee
imposed by that section to TxDOT and TxDOT to send the fee to the
appropriate county assessor-collector for distribution in a manner provided
by Section 501.138 (Collection and Disposition of Fees), Transportation
Code. 

SECTION 3.  Amends Section 501.0234(a), Transportation Code, to make
conforming changes. 

SECTION 4.   Amends Subchapter B, Chapter 501, Transportation Code, by
adding Section 501.0275, to require TxDOT to issue a certificate of title
for a vehicle that complies with other requirements for issuance of a
certificate, except the vehicle is unregistered because the registration
has been suspended or revoked, and the applicant does not provide evidence
of financial responsibility that complies with Section 502.153 (Evidence of
Financial Responsibility).  Provides that an applicant for a certificate of
title under this section must surrender any license plates issued for the
motor vehicle and any registration insignia for validation of those plates
to TxDOT. 

SECTION 5.  Amends Section 520.022(a), Transportation Code, to make a
conforming change. 

SECTION 6.  Amends Sections 520.031(a) and (b), Transportation Code, to
make a conforming change. 

 SECTION 7.  Amends Section 548.052, Transportation Code, to include a
vehicle for which a certificate of title has been issued but that is not
required to be registered among those vehicles which are not subject to
inspection. 

SECTION 8.  Amends Section 548.256(a), Transportation Code, to provide that
the owner of a vehicle that is brought into this state by a person other
than the manufacturer or importer must have the vehicle inspected and have
certain information contained on a verification form prescribed and
provided by the Department of Public Safety before the vehicle may be
registered, rather than issued a title under Section 501.030 (Motor
Vehicles Brought Into State), Transportation Code. 

SECTION 9.  Amends Section 548.256, Transportation Code, as follows:

Sec. 548.256.  New title:  VERIFICATION FORM REQUIRED TO REGISTER VEHICLE.

SECTION 10.  Effective date: September 1, 1999.

SECTION 11.  Emergency clause.