76R11118 DRH-F                           
         By King of Uvalde                                     H.B. No. 2409
         Substitute the following for H.B. No. 2409:
         By Hawley                                         C.S.H.B. No. 2409
                                A BILL TO BE ENTITLED
 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 501.0234(a), Transportation Code, is
2-12     amended to read as follows:
2-13           (a)  A person who sells at the first or a subsequent sale a
2-14     motor vehicle and who holds a general distinguishing number issued
2-15     under Chapter 503 or the Texas Motor Vehicle Commission Code
2-16     (Article 4413(36), Vernon's Texas Civil Statutes) shall:
2-17                 (1)  in the time and manner provided by law, apply, in
2-18     the name of the purchaser of the vehicle, for the registration of
2-19     the vehicle, if the vehicle is to be registered, and a certificate
2-20     of title for the vehicle and file with the appropriate designated
2-21     agent each document necessary to transfer title to or [and]
2-22     register the vehicle; and at the same time
2-23                 (2)  remit any required motor vehicle sales tax.
2-24           SECTION 3.  Subchapter B, Chapter 501, Transportation Code,
2-25     is amended by adding Section 501.0275 to read as follows:
2-26           Sec. 501.0275.  ISSUANCE OF TITLE FOR UNREGISTERED VEHICLE.
2-27     (a)  The department shall issue a certificate of title for a motor
 3-1     vehicle that complies with the other requirements for issuance of a
 3-2     certificate of title under this chapter except that:
 3-3                 (1)  the vehicle is not registered for a reason other
 3-4     than a reason provided by Section 501.051(6); and
 3-5                 (2)  the applicant does not provide evidence of
 3-6     financial responsibility that complies with Section 502.153.
 3-7           (b)  On application for a certificate of title under this
 3-8     section, the applicant must surrender any license plates issued for
 3-9     the motor vehicle and any registration insignia for validation of
3-10     those plates to the department.
3-11           SECTION 4.  Section 520.022(a), Transportation Code, is
3-12     amended to read as follows:
3-13           (a)  A person, whether acting for that person or another, who
3-14     sells, trades, or otherwise transfers a used motor vehicle shall
3-15     deliver to the transferee at the time of delivery of the vehicle:
3-16                 (1)  the license receipt issued by the department for
3-17     registration of the vehicle, if the vehicle was required to be
3-18     registered at the time of the delivery; and
3-19                 (2)  a properly assigned certificate of title or other
3-20     evidence of title as required under Chapter 501.
3-21           SECTION 5.  Sections 520.031(a) and (b), Transportation Code,
3-22     are amended to read as follows:
3-23           (a)  Not later than the 20th working day after the date of
3-24     receiving the documents under Section 520.022, the transferee of
3-25     the used motor vehicle shall file with the county
3-26     assessor-collector each document received under that section [the
3-27     license receipt and the certificate of title or other evidence of
 4-1     title].
 4-2           (b)  The filing under Subsection (a) is an application for
 4-3     transfer of title as required under Chapter 501 and, if the license
 4-4     receipt is filed, an application for transfer of the registration
 4-5     of the motor vehicle.
 4-6           SECTION 6.  This Act takes effect September 1, 1999.
 4-7           SECTION 7.  The importance of this legislation and the
 4-8     crowded condition of the calendars in both houses create an
 4-9     emergency and an imperative public necessity that the
4-10     constitutional rule requiring bills to be read on three several
4-11     days in each house be suspended, and this rule is hereby suspended.