1-1                                   AN ACT
 1-2     relating to the issuance of a certificate of title for and the
 1-3     transfer of a motor vehicle that is not registered in this state.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 501.021(a), Transportation Code, is
 1-6     amended to read as follows:
 1-7           (a)  A motor vehicle certificate of title is an instrument
 1-8     issued by the department that includes:
 1-9                 (1)  the name and address of the purchaser and seller
1-10     at the first sale or the transferee and transferor at a subsequent
1-11     sale;
1-12                 (2)  the make of the motor vehicle;
1-13                 (3)  the body type of the vehicle;
1-14                 (4)  the manufacturer's permanent vehicle
1-15     identification number of the vehicle or the vehicle's motor number
1-16     if the vehicle was manufactured before the date that stamping a
1-17     permanent identification number on a motor vehicle was universally
1-18     adopted;
1-19                 (5)  the serial number for the vehicle;
1-20                 (6)  the number on the vehicle's current Texas license
1-21     plates, if any;
1-22                 (7)  a statement:
1-23                       (A)  that no lien on the vehicle is recorded; or
1-24                       (B)  of the name and address of each lienholder
 2-1     and the date of each lien on the vehicle, listed in the
 2-2     chronological order in which the lien was recorded;
 2-3                 (8)  a space for the signature of the owner of the
 2-4     vehicle;
 2-5                 (9)  a statement indicating rights of survivorship
 2-6     under Section 501.031;
 2-7                 (10)  if the vehicle has an odometer, the odometer
 2-8     reading indicated by the application for the certificate of title;
 2-9     and
2-10                 (11)  any other information required by the department.
2-11           SECTION 2.  Section 501.023, Transportation Code, is amended
2-12     by adding Subsection (c) to read as follows:
2-13           (c)  The owner or a lessee of a commercial motor vehicle
2-14     operating under the International Registration Plan or other
2-15     agreement described by Section 502.054 that is applying for a
2-16     certificate of title for purposes of registration only must be made
2-17     directly to the department.  Notwithstanding Section 501.138(a), an
2-18     applicant for registration under this subsection shall pay the
2-19     department the fee imposed by that section.  The department shall
2-20     send the fee to the appropriate county assessor-collector for
2-21     distribution in the manner provided by Section 501.138.
2-22           SECTION 3.  Section 501.0234(a), Transportation Code, is
2-23     amended to read as follows:
2-24           (a)  A person who sells at the first or a subsequent sale a
2-25     motor vehicle and who holds a general distinguishing number issued
2-26     under Chapter 503 or the Texas Motor Vehicle Commission Code
2-27     (Article 4413(36), Vernon's Texas Civil Statutes) shall:
 3-1                 (1)  in the time and manner provided by law, apply, in
 3-2     the name of the purchaser of the vehicle, for the registration of
 3-3     the vehicle, if the vehicle is to be registered, and a certificate
 3-4     of title for the vehicle and file with the appropriate designated
 3-5     agent each document necessary to transfer title to or [and]
 3-6     register the vehicle; and at the same time
 3-7                 (2)  remit any required motor vehicle sales tax.
 3-8           SECTION 4.  Subchapter B, Chapter 501, Transportation Code,
 3-9     is amended by adding Section 501.0275 to read as follows:
3-10           Sec. 501.0275.  ISSUANCE OF TITLE FOR UNREGISTERED VEHICLE.
3-11     (a)  The department shall issue a certificate of title for a motor
3-12     vehicle that complies with the other requirements for issuance of a
3-13     certificate of title under this chapter except that:
3-14                 (1)  the vehicle is not registered for a reason other
3-15     than a reason provided by Section 501.051(6); and
3-16                 (2)  the applicant does not provide evidence of
3-17     financial responsibility that complies with Section 502.153.
3-18           (b)  On application for a certificate of title under this
3-19     section, the applicant must surrender any license plates issued for
3-20     the motor vehicle and any registration insignia for validation of
3-21     those plates to the department.
3-22           SECTION 5.  Section 520.022(a), Transportation Code, is
3-23     amended to read as follows:
3-24           (a)  A person, whether acting for that person or another, who
3-25     sells, trades, or otherwise transfers a used motor vehicle shall
3-26     deliver to the transferee at the time of delivery of the vehicle:
3-27                 (1)  the license receipt issued by the department for
 4-1     registration of the vehicle, if the vehicle was required to be
 4-2     registered at the time of the delivery; and
 4-3                 (2)  a properly assigned certificate of title or other
 4-4     evidence of title as required under Chapter 501.
 4-5           SECTION 6.  Sections 520.031(a) and (b), Transportation Code,
 4-6     are amended to read as follows:
 4-7           (a)  Not later than the 20th working day after the date of
 4-8     receiving the documents under Section 520.022, the transferee of
 4-9     the used motor vehicle shall file with the county
4-10     assessor-collector each document received under that section [the
4-11     license receipt and the certificate of title or other evidence of
4-12     title].
4-13           (b)  The filing under Subsection (a) is an application for
4-14     transfer of title as required under Chapter 501 and, if the license
4-15     receipt is filed, an application for transfer of the registration
4-16     of the motor vehicle.
4-17           SECTION 7.  Section 548.052, Transportation Code, is amended
4-18     to read as follows:
4-19           Sec. 548.052.  VEHICLES NOT SUBJECT TO INSPECTION.  This
4-20     chapter does not apply to:
4-21                 (1)  a trailer, semitrailer, pole trailer, or mobile
4-22     home moving under or bearing a current factory-delivery license
4-23     plate or current in-transit license plate;
4-24                 (2)  a vehicle moving under or bearing a paper dealer
4-25     in-transit tag, machinery license, disaster license, parade
4-26     license, prorate tab, one-trip permit, antique license, temporary
4-27     24-hour permit, or permit license;
 5-1                 (3)  a trailer, semitrailer, pole trailer, or mobile
 5-2     home having an actual gross weight or registered gross weight of
 5-3     4,500 pounds or less;
 5-4                 (4)  farm machinery, road-building equipment, a farm
 5-5     trailer, or a vehicle required to display a slow-moving-vehicle
 5-6     emblem under Section 547.703; [or]
 5-7                 (5)  a former military vehicle, as defined by Section
 5-8     502.275(o); or
 5-9                 (6)  a vehicle for which a certificate of title has
5-10     been issued but that is not required to be registered.
5-11           SECTION 8.  Section 548.256(a), Transportation Code, is
5-12     amended to read as follows:
5-13           (a)  Before a vehicle that is brought into this state by a
5-14     person other than a manufacturer or importer may be registered [may
5-15     be issued a title under Section 501.030], the owner must have the
5-16     vehicle inspected and have the inspection station record the
5-17     following information on a verification form prescribed and
5-18     provided by the department:
5-19                 (1)  the vehicle identification number;
5-20                 (2)  the number appearing on the odometer of the
5-21     vehicle at the time of the inspection, if the vehicle has an
5-22     odometer; and
5-23                 (3)  other information the department requires.
5-24           SECTION 9.  The section heading to Section 548.256,
5-25     Transportation Code, is amended to read as follows:
5-26           Sec. 548.256.  VERIFICATION FORM REQUIRED TO REGISTER [AND
5-27     TITLE] VEHICLE.
 6-1           SECTION 10.  This Act takes effect September 1, 1999.
 6-2           SECTION 11.  The importance of this legislation and the
 6-3     crowded condition of the calendars in both houses create an
 6-4     emergency and an imperative public necessity that the
 6-5     constitutional rule requiring bills to be read on three several
 6-6     days in each house be suspended, and this rule is hereby suspended.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 2409 was passed by the House on May
         4, 1999, by a non-record vote; that the House refused to concur in
         Senate amendments to H.B. No. 2409 on May 22, 1999, and requested
         the appointment of a conference committee to consider the
         differences between the two houses; and that the House adopted the
         conference committee report on H.B. No. 2409 on May 30, 1999, by a
         non-record vote.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 2409 was passed by the Senate, with
         amendments, on May 20, 1999, by a viva-voce vote; at the request of
         the House, the Senate appointed a conference committee to consider
         the differences between the two houses; and that the Senate adopted
         the conference committee report on H.B. No. 2409 on May 30, 1999,
         by a viva-voce vote.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  _____________________
                            Date
                    _____________________
                          Governor