By Bonnen                                             H.B. No. 2772
         76R5872 DLF-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to liability for certain motor vehicle accidents and the
 1-3     motor vehicle insurance requirement for that liability.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subchapter F, Chapter 601, Transportation Code,
 1-6     is amended to read as follows:
 1-7            SUBCHAPTER F.  LIABILITY FOR MOTOR VEHICLE [SECURITY
 1-8                             FOLLOWING] ACCIDENT
 1-9           Sec. 601.151.  DEFINITIONS.  In this subchapter:
1-10                 (1)  "Exemplary damages" has the meaning assigned by
1-11     Section 41.001, Civil Practice and Remedies Code.
1-12                 (2)  "Noneconomic damages" means damages other than
1-13     compensatory damages for pecuniary loss.  The term includes damages
1-14     for physical pain and mental anguish, loss of consortium,
1-15     disfigurement, physical impairment, or loss of companionship and
1-16     society.  The term does not include exemplary damages.
1-17           Sec. 601.152.  LIABILITY FOR INJURY TO CERTAIN OPERATORS.
1-18     (a)  A person may not obtain noneconomic damages or exemplary
1-19     damages in a civil action for bodily injury, death, or damage to or
1-20     destruction of property arising out of a motor vehicle accident if:
1-21                 (1)  the person was:
1-22                       (A)  operating a motor vehicle, at the time of
1-23     the accident, while intoxicated in violation of Section 49.04,
1-24     Penal Code, or another law of this state relating to the operation
 2-1     of a motor vehicle while intoxicated; and
 2-2                       (B)  convicted of an offense described by
 2-3     Paragraph (A); or
 2-4                 (2)  the person was knowingly operating the motor
 2-5     vehicle, at the time of the accident, without having in effect for
 2-6     the motor vehicle financial responsibility established as described
 2-7     by Section 601.051.
 2-8           (b)  Subsection (a) does not apply to a person described by
 2-9     Subsection (a)(2) if the person was injured by another person who
2-10     was:
2-11                 (1)  operating a motor vehicle, at the time of the
2-12     accident, while intoxicated in violation of Section 49.04, Penal
2-13     Code, or another law of this state relating to the operation of a
2-14     motor vehicle while intoxicated; and
2-15                 (2)  convicted of an offense described by Subdivision
2-16     (1).
2-17           (c)  Except as provided by Subsection (d), Subsection (a)
2-18     applies to a claim for damages made by a person whose right to
2-19     recovery derives from an injury to another person whose right to
2-20     recovery would be barred under Subsection (a), including a claim
2-21     for wrongful death or for loss of consortium or companionship.
2-22           (d)  This section does not prohibit the recovery of exemplary
2-23     damages for a wilful act or omission or gross neglect in a wrongful
2-24     death action brought by or on behalf of a surviving spouse or heirs
2-25     of the decedent's body under a statute enacted pursuant to Section
2-26     26, Article XVI, Texas Constitution.  A claim for exemplary damages
2-27     described by this subsection is governed by Chapter 41, Civil
 3-1     Practice and Remedies Code.
 3-2           (e)  This section does not prohibit a person described by
 3-3     Subsection (a) from acting in a representative capacity to bring
 3-4     suit on behalf of another person injured in the accident, as next
 3-5     friend or otherwise.  [APPLICABILITY OF SUBCHAPTER.  (a)  This
 3-6     subchapter applies only to a motor vehicle accident in this state
 3-7     that results in bodily injury or death or in damage to the property
 3-8     of one person of at least $1,000.]
 3-9           [(b)  This subchapter does not apply to:]
3-10                 [(1)  an owner or operator who has in effect at the
3-11     time of the accident a motor vehicle liability insurance policy
3-12     that covers the motor vehicle involved in the accident;]
3-13                 [(2)  an operator who is not the owner of the motor
3-14     vehicle, if a motor vehicle liability insurance policy or bond for
3-15     the operation of a motor vehicle the person does not own is in
3-16     effect at the time of the accident;]
3-17                 [(3)  an owner or operator whose liability for damages
3-18     resulting from the accident, in the judgment of the department, is
3-19     covered by another liability insurance policy or bond;]
3-20                 [(4)  an owner or operator, if there was not bodily
3-21     injury to or damage of the property of a person other than the
3-22     owner or operator;]
3-23                 [(5)  the owner or operator of a motor vehicle that at
3-24     the time of the accident was legally parked or legally stopped at a
3-25     traffic signal;]
3-26                 [(6)  the owner of a motor vehicle that at the time of
3-27     the accident was being operated without the owner's express or
 4-1     implied permission or was parked by a person who had been operating
 4-2     the vehicle without that permission; or]
 4-3                 [(7)  a person qualifying as a self-insurer under
 4-4     Section 601.124 or a person operating a motor vehicle for a
 4-5     self-insurer.]
 4-6           [Sec. 601.152.  SUSPENSION OF DRIVER'S LICENSE AND VEHICLE
 4-7     REGISTRATION OR PRIVILEGE.  (a)  Subject to Section 601.153, the
 4-8     department shall suspend the driver's license and vehicle
 4-9     registrations of the owner and operator of a motor vehicle if:]
4-10                 [(1)  the vehicle is involved in any manner in an
4-11     accident; and]
4-12                 [(2)  the department finds that there is a reasonable
4-13     probability that a judgment will be rendered against the person as
4-14     a result of the accident.]
4-15           [(b)  If the owner or operator is a nonresident, the
4-16     department shall suspend the person's nonresident operating
4-17     privilege and the privilege of use of any motor vehicle owned by
4-18     the nonresident.]
4-19           [Sec. 601.153.  DEPOSIT OF SECURITY; EVIDENCE OF FINANCIAL
4-20     RESPONSIBILITY.  (a)  The department may not suspend a driver's
4-21     license, vehicle registration, or nonresident's privilege under
4-22     this subchapter if the owner or operator:]
4-23                 [(1)  deposits with the department security in an
4-24     amount determined to be sufficient under Section 601.154 or 601.157
4-25     as appropriate; and]
4-26                 [(2)  files evidence of financial responsibility as
4-27     required by this chapter.]
 5-1           [(b)  If the owner or operator chooses to establish financial
 5-2     responsibility under Subsection (a)(2) by filing evidence of motor
 5-3     vehicle liability insurance, the owner or operator must file a
 5-4     certificate of insurance for a policy that has a policy period of
 5-5     at least six months and for which the premium for the entire policy
 5-6     period is paid in full.]
 5-7           [(c)  Notwithstanding Section 601.085, coverage for a motor
 5-8     vehicle under a motor vehicle liability policy for which a person
 5-9     files with the department a certificate of insurance under
5-10     Subsection (b) may not be canceled unless:]
5-11                 [(1)  the person no longer owns the motor vehicle;]
5-12                 [(2)  the person dies;]
5-13                 [(3)  the person has a permanent incapacity that
5-14     renders the person unable to drive the motor vehicle; or]
5-15                 [(4)  the person surrenders to the department the
5-16     person's driver's license and the vehicle registration for the
5-17     motor vehicle.]
5-18           [Sec. 601.154.  DEPARTMENT DETERMINATION OF PROBABILITY OF
5-19     LIABILITY.  (a)  Subject to Subsection (d), if the department finds
5-20     that there is a reasonable probability that a judgment will be
5-21     rendered against an owner or operator as a result of an accident,
5-22     the department shall determine the amount of security sufficient to
5-23     satisfy any judgment for damages resulting from the accident that
5-24     may be recovered from the owner or operator.]
5-25           [(b)  The department may not require security in an amount:]
5-26                 [(1)  less than $1,000; or]
5-27                 [(2)  more than the limits prescribed by Section
 6-1     601.072.]
 6-2           [(c)  In determining whether there is a reasonable
 6-3     probability that a judgment will be rendered against the person as
 6-4     a result of an accident and the amount of security that is
 6-5     sufficient under Subsection (a), the department may consider:]
 6-6                 [(1)  a report of an investigating officer;]
 6-7                 [(2)  an accident report of a party involved; and]
 6-8                 [(3)  an affidavit of a person who has knowledge of the
 6-9     facts.]
6-10           [(d)  The department shall make the determination required by
6-11     Subsection (a) only if the department has not received, before the
6-12     21st day after the date the department receives a report of a motor
6-13     vehicle accident, satisfactory evidence that the owner or operator
6-14     has:]
6-15                 [(1)  been released from liability;]
6-16                 [(2)  been finally adjudicated not to be liable; or]
6-17                 [(3)  executed an acknowledged written agreement
6-18     providing for the payment of an agreed amount in installments for
6-19     all claims for injuries or damages resulting from the accident.]
6-20           [Sec. 601.155.  NOTICE OF DETERMINATION.  (a)  The department
6-21     shall notify the affected person of a determination made under
6-22     Section 601.154.]
6-23           [(b)  The notice must state that:]
6-24                 [(1)  the person's driver's license and vehicle
6-25     registration or the person's nonresident's operating privilege will
6-26     be suspended unless the person, not later than the 20th day after
6-27     the date the notice was personally served or mailed, establishes
 7-1     that:]
 7-2                       [(A)  this subchapter does not apply to the
 7-3     person, and the person has previously provided this information to
 7-4     the department; or]
 7-5                       [(B)  there is no reasonable probability that a
 7-6     judgment will be rendered against the person as a result of the
 7-7     accident; and]
 7-8                 [(2)  the person is entitled to a hearing under this
 7-9     subchapter if a written request for a hearing is delivered or
7-10     mailed to the department not later than the 20th day after the date
7-11     the notice was personally served or mailed.]
7-12           [(c)  Notice under this section that is mailed must be mailed
7-13     to the person's last known address, as shown by the department's
7-14     records.]
7-15           [(d)  For purposes of this section, notice is presumed to be
7-16     received if the notice was mailed to the person's last known
7-17     address, as shown by the department's records.]
7-18           [Sec. 601.156.  SETTING OF HEARING.  (a)  A hearing under
7-19     this subchapter shall be heard by a judge of a municipal court or
7-20     the justice of the peace of the precinct in which the person
7-21     requesting the hearing resides.  A party is not entitled to a jury.]
7-22           [(b)  The court shall set a date for the hearing.  The
7-23     hearing must be held at the earliest practical time after notice is
7-24     given to the person requesting the hearing.]
7-25           [(c)  The department shall summon the person requesting the
7-26     hearing to appear at the hearing.  Notice under this subsection
7-27     shall be delivered through personal service or mailed by certified
 8-1     mail, return receipt requested, to the person's last known address,
 8-2     as shown by the department's records.  The notice must include
 8-3     written charges issued by the department.]
 8-4           [Sec. 601.157.  HEARING PROCEDURES.  (a)  The judge may
 8-5     administer oaths and issue subpoenas for the attendance of
 8-6     witnesses and the production of relevant books and papers.]
 8-7           [(b)  The judge at the hearing shall determine:]
 8-8                 [(1)  whether there is a reasonable probability that a
 8-9     judgment will be rendered against the person requesting the hearing
8-10     as a result of the accident; and]
8-11                 [(2)  if there is a reasonable probability that a
8-12     judgment will be rendered, the amount of security sufficient to
8-13     satisfy any judgment for damages resulting from the accident.]
8-14           [(c)  The amount of security under Subsection (b)(2) may not
8-15     be less than the amount specified as a minimum by Section 601.154.]
8-16           [(d)  The judge shall report the judge's determination to the
8-17     department.]
8-18           [(e)  The judge may receive a fee to be paid from the general
8-19     revenue fund of the county for holding a hearing under this
8-20     subchapter.  The fee must be approved by the commissioners court of
8-21     the county and may not be more than $5 for each hearing.]
8-22           [Sec. 601.158.  APPEAL.  (a)  If, after a hearing under this
8-23     subchapter, the judge determines that there is a reasonable
8-24     probability that a judgment will be rendered against the person
8-25     requesting the hearing as a result of the accident, the person may
8-26     appeal the determination.]
8-27           [(b)  An appeal under this section is by trial de novo to the
 9-1     county court of the county in which the hearing was held.]
 9-2           [Sec. 601.159.  PROCEDURES FOR SUSPENSION OF DRIVER'S LICENSE
 9-3     AND VEHICLE REGISTRATION OR PRIVILEGE.  The department shall
 9-4     suspend the driver's license and each vehicle registration of an
 9-5     owner or operator or the nonresident's operating privilege of an
 9-6     owner or operator unless:]
 9-7                 [(1)  if a hearing is not requested, the person, not
 9-8     later than the 20th day after the date the notice under Section
 9-9     601.155 was personally served or mailed:]
9-10                       [(A)  delivers or mails to the department a
9-11     written request for a hearing;]
9-12                       [(B)  shows that this subchapter does not apply
9-13     to the person; or]
9-14                       [(C)  complies with Section 601.153; or]
9-15                 [(2)  the person complies with Section 601.153 not
9-16     later than the 20th day after:]
9-17                       [(A)  the date of the expiration of the period in
9-18     which an appeal may be brought, if the determination at a hearing
9-19     is rendered against the owner or operator and the owner or operator
9-20     does not appeal; or]
9-21                       [(B)  the date of a decision against the person
9-22     following the appeal.]
9-23           [Sec. 601.160.  SUSPENSION STAYED PENDING HEARING OR APPEAL.
9-24     The department may not suspend a driver's license, vehicle
9-25     registration, or nonresident's operating privilege pending the
9-26     outcome of a hearing and any appeal under this subchapter.]
9-27           [Sec. 601.161.  NOTICE OF SUSPENSION.  Not later than the
 10-1    11th day before the effective date of a suspension under Section
 10-2    601.159, the department shall send notice of the suspension to each
 10-3    affected owner or operator.  The notice must state the amount
 10-4    required as security under Section 601.153 and the necessity for
 10-5    the owner or operator to file evidence of financial responsibility
 10-6    with the department.]
 10-7          [Sec. 601.162.  DURATION OF SUSPENSION.  (a)  The suspension
 10-8    of a driver's license, vehicle registration, or nonresident's
 10-9    operating privilege under this subchapter remains in effect, the
10-10    license, registration, or privilege may not be renewed, and a
10-11    license or vehicle registration may not be issued to the holder of
10-12    the suspended license, registration, or privilege, until:]
10-13                [(1)  the date the person, or a person acting on the
10-14    person's behalf, deposits security and files evidence of financial
10-15    responsibility under Section 601.153;]
10-16                [(2)  the second anniversary of the date of the
10-17    accident, if evidence satisfactory to the department is filed with
10-18    the department that, during the two-year period, an action for
10-19    damages arising out of the accident has not been instituted; or]
10-20                [(3)  the date evidence satisfactory to the department
10-21    is filed with the department of:]
10-22                      [(A)  a release from liability for claims arising
10-23    out of the accident;]
10-24                      [(B)  a final adjudication that the person is not
10-25    liable for claims arising out of the accident; or]
10-26                      [(C)  an installment agreement described by
10-27    Section 601.154(d)(3).]
 11-1          [(b)  If a suspension is terminated under Subsection
 11-2    (a)(3)(C), on notice of a default in the payment of an installment
 11-3    under the agreement, the department shall promptly suspend the
 11-4    driver's license and vehicle registration or nonresident's
 11-5    operating privilege of the person defaulting.  A suspension under
 11-6    this subsection continues until:]
 11-7                [(1)  the person deposits and maintains security in
 11-8    accordance with Section 601.153 in an amount determined by the
 11-9    department at the time of suspension under this subsection and
11-10    files evidence of financial responsibility in accordance with
11-11    Section 601.153; or]
11-12                [(2)  the second anniversary of the date security was
11-13    deposited under Subdivision (1) if, during that period, an action
11-14    on the agreement has not been instituted in a court in this state.]
11-15          [Sec. 601.163.  FORM OF SECURITY.  (a)  The security required
11-16    under this subchapter shall be made:]
11-17                [(1)  by cash deposit;]
11-18                [(2)  through a bond that complies with Section
11-19    601.168; or]
11-20                [(3)  in another form as required by the department.]
11-21          [(b)  A person depositing security shall specify in writing
11-22    the person on whose behalf the deposit is made.  A single deposit
11-23    of security is applicable only on behalf of persons required to
11-24    provide security because of the same accident and the same motor
11-25    vehicle.]
11-26          [(c)  The person depositing the security may amend in writing
11-27    the specification of the person on whose behalf the deposit is made
 12-1    to include an additional person.  This amendment may be made at any
 12-2    time the deposit is in the custody of the department or the
 12-3    comptroller.]
 12-4          [Sec. 601.164.  REDUCTION IN SECURITY.  (a)  The department
 12-5    may reduce the amount of security ordered in a case within six
 12-6    months after the date of the accident if, in the department's
 12-7    judgment, the amount is excessive.]
 12-8          [(b)  The amount of security originally deposited that
 12-9    exceeds the reduced amount shall be returned promptly to the
12-10    depositor or the depositor's personal representative.]
12-11          [Sec. 601.165.  CUSTODY OF CASH SECURITY.  The department
12-12    shall place cash deposited in compliance with this subchapter in
12-13    the custody of the comptroller.]
12-14          [Sec. 601.166.  PAYMENT OF CASH SECURITY.  (a)  Cash security
12-15    may be applied only to the payment of:]
12-16                [(1)  a judgment rendered against the person on whose
12-17    behalf the deposit is made for damages arising out of the accident;
12-18    or]
12-19                [(2)  a settlement, agreed to by the depositor, of a
12-20    claim arising out of the accident.]
12-21          [(b)  For payment under Subsection (a), the action under
12-22    which the judgment was rendered must have been instituted before
12-23    the second anniversary of the later of:]
12-24                [(1)  the date of the accident; or]
12-25                [(2)  the date of the deposit, in the case of a deposit
12-26    of security under Section 601.162(b).]
12-27          [Sec. 601.167.  RETURN OF CASH SECURITY.  Cash security or
 13-1    any balance of the security shall be returned to the depositor or
 13-2    the depositor's personal representative when:]
 13-3                [(1)  evidence satisfactory to the department is filed
 13-4    with the department that there has been:]
 13-5                      [(A)  a release of liability;]
 13-6                      [(B)  a final adjudication that the person on
 13-7    whose behalf the deposit is made is not liable; or]
 13-8                      [(C)  an agreement as described by Section
 13-9    601.154(d)(3);]
13-10                [(2)  reasonable evidence is provided to the department
13-11    after the second anniversary of the date of the accident that no
13-12    action arising out of the accident is pending and no judgment
13-13    rendered in such an action is unpaid; or]
13-14                [(3)  in the case of a deposit of security under
13-15    Section 601.162(b), reasonable evidence is provided to the
13-16    department after the second anniversary of the date of the deposit
13-17    that no action arising out of the accident is pending and no unpaid
13-18    judgment rendered in such an action is unpaid.]
13-19          [Sec. 601.168.  INSURANCE POLICY OR BOND; LIMITS.  (a)  A
13-20    bond or motor vehicle liability insurance policy under this
13-21    subchapter must:]
13-22                [(1)  be issued by a surety company or insurance
13-23    company:]
13-24                      [(A)  authorized to write motor vehicle liability
13-25    insurance in this state; or]
13-26                      [(B)  that complies with Subsection (b); and]
13-27                [(2)  cover the amounts, excluding interest and costs,
 14-1    required to establish financial responsibility under Section
 14-2    601.072.]
 14-3          [(b)  A bond or motor vehicle liability insurance policy
 14-4    issued by a surety company or insurance company that is not
 14-5    authorized to do business in this state is effective under this
 14-6    subchapter only if:]
 14-7                [(1)  the bond or policy is issued for a motor vehicle
 14-8    that:]
 14-9                      [(A)  is not registered in this state; or]
14-10                      [(B)  was not registered in this state on the
14-11    effective date of the most recent renewal of the policy; and]
14-12                [(2)  the surety company or insurance company executes
14-13    a power of attorney authorizing the department to accept on the
14-14    company's behalf service of notice or process in an action arising
14-15    out of the accident on the bond or policy.]
14-16          [(c)  The bond must be filed with and approved by the
14-17    department.]
14-18          [Sec. 601.169.  REASONABLE PROBABILITY NOT ADMISSIBLE IN
14-19    CIVIL SUIT.  A determination under Section 601.154 or 601.157 that
14-20    there is a reasonable probability that a judgment will be rendered
14-21    against a person as a result of an accident may not be introduced
14-22    in evidence in a suit for damages arising from that accident.]
14-23          [Sec. 601.170.  DEPARTMENT ACTING ON ERRONEOUS INFORMATION.
14-24    If the department is given erroneous information relating to a
14-25    matter covered by Section 601.151(b)(1) or (b)(2) or to a person's
14-26    status as an employee of the United States acting within the scope
14-27    of the person's employment, the department shall take appropriate
 15-1    action as provided by this subchapter not later than the 60th day
 15-2    after the date the department receives correct information.]
 15-3          SECTION 2.  Subchapters A, B, and C, Chapter 601,
 15-4    Transportation Code, are amended to read as follows:
 15-5                     SUBCHAPTER A.  GENERAL PROVISIONS
 15-6          Sec. 601.001.  [SHORT TITLE. This chapter may be cited as the
 15-7    Texas Motor Vehicle Safety Responsibility Act.]
 15-8          [Sec. 601.002.]  DEFINITIONS.  In this chapter:
 15-9                (1)  "Department" means the Department of Public
15-10    Safety.
15-11                (2)  ["Driver's license" has the meaning assigned by
15-12    Section 521.001.]
15-13                [(3)]  "Financial responsibility" means the ability to
15-14    respond in damages for liability for an accident that:
15-15                      (A)  occurs after the effective date of the
15-16    document evidencing the establishment of the financial
15-17    responsibility; and
15-18                      (B)  arises out of the ownership, maintenance, or
15-19    use of a motor vehicle.
15-20                (3) [(4)]  "Highway" means the entire width between
15-21    property lines of a road, street, or way in this state that is not
15-22    privately owned or controlled and:
15-23                      (A)  some part of which is open to the public for
15-24    vehicular traffic; and
15-25                      (B)  over which the state has legislative
15-26    jurisdiction under its police power.
15-27                (4) [(5)]  "Motor vehicle" means a self-propelled
 16-1    vehicle designed for use on a highway, a trailer or semitrailer
 16-2    designed for use with a self-propelled vehicle, or a vehicle
 16-3    propelled by electric power from overhead wires and not operated on
 16-4    rails.  The term does not include:
 16-5                      (A)  a traction engine;
 16-6                      (B)  a road roller or grader;
 16-7                      (C)  a tractor crane;
 16-8                      (D)  a power shovel;
 16-9                      (E)  a well driller; or
16-10                      (F)  an implement of husbandry.
16-11                [(6)  "Nonresident" means a person who is not a
16-12    resident of this state.]
16-13                [(7)  "Nonresident's operating privilege" means the
16-14    privilege conferred on a nonresident by the laws of this state
16-15    relating to the operation of a motor vehicle in this state by the
16-16    nonresident or the use in this state of a motor vehicle owned by
16-17    the nonresident.]
16-18          [Sec. 601.003.  JUDGMENT; SATISFIED JUDGMENT.  (a)  For
16-19    purposes of this chapter, judgment refers only to a final judgment
16-20    that is no longer appealable or has been finally affirmed on appeal
16-21    and that was rendered by a court of any state, a province of
16-22    Canada, or the United States on a cause of action:]
16-23                [(1)  for damages for bodily injury, death, or damage
16-24    to or destruction of property arising out of the ownership,
16-25    maintenance, or use of a motor vehicle; or]
16-26                [(2)  on an agreement of settlement for damages for
16-27    bodily injury, death, or damage to or destruction of property
 17-1    arising out of the ownership, maintenance, or use of a motor
 17-2    vehicle.]
 17-3          [(b)  For purposes of this chapter, a judgment is considered
 17-4    to be satisfied as to the appropriate part of the judgment set out
 17-5    by this subsection if:]
 17-6                [(1)  the total amount credited on one or more
 17-7    judgments for bodily injury to or death of one person resulting
 17-8    from one accident equals or exceeds the amount required under
 17-9    Section 601.072(a)(1) to establish financial responsibility;]
17-10                [(2)  the total amount credited on one or more
17-11    judgments for bodily injury to or death of two or more persons
17-12    resulting from one accident equals or exceeds the amount required
17-13    under Section 601.072(a)(2) to establish financial responsibility;
17-14    or]
17-15                [(3)  the total amount credited on one or more
17-16    judgments for damage to or destruction of property of another
17-17    resulting from one accident equals or exceeds the amount required
17-18    under Section 601.072(a)(3) to establish financial responsibility.]
17-19          [(c)  In determining whether a judgment is satisfied under
17-20    Subsection (b), a payment made in settlement of a claim for damages
17-21    for bodily injury, death, or damage to or destruction of property
17-22    is considered to be an amount credited on a judgment.]
17-23          [(d)  For purposes of this section:]
17-24                [(1)  damages for bodily injury or death include
17-25    damages for care and loss of services; and]
17-26                [(2)  damages for damage to or destruction of property
17-27    include damages for loss of use.]
 18-1          Sec. 601.004.  ACCIDENT REPORT.  (a)  The operator of a motor
 18-2    vehicle that is involved in an accident in this state shall report
 18-3    the accident to the department not later than the 10th day after
 18-4    the date of the accident if:
 18-5                (1)  the accident is not investigated by a law
 18-6    enforcement officer; and
 18-7                (2)  at least one person, including the operator,
 18-8    sustained:
 18-9                      (A)  bodily injury or death; or
18-10                      (B)  property damage to an apparent extent of at
18-11    least $500.
18-12          (b)  If the operator is physically incapable of making the
18-13    report, the owner of the motor vehicle shall make the report not
18-14    later than the 10th day after the date the owner learns of the
18-15    accident.
18-16          (c)  The report must be made in writing in the form
18-17    prescribed by the department [and must contain information as
18-18    necessary to enable the department to determine if the requirements
18-19    for the deposit of security under Subchapter F do not apply because
18-20    of the existence of insurance or an exception specified in this
18-21    chapter].  The operator or owner shall provide additional
18-22    information as required by the department.
18-23          (d)  A written report of an accident made to the department
18-24    under Section 550.061 or 550.062 complies with this section if that
18-25    report contains the information required by this section.
18-26          [Sec. 601.005.  EVIDENCE IN CIVIL SUIT.  On the filing of a
18-27    report under Section 601.004, a person at a trial for damages may
 19-1    not refer to or offer as evidence of the negligence or due care of
 19-2    a party:]
 19-3                [(1)  an action taken by the department under this
 19-4    chapter;]
 19-5                [(2)  the findings on which that action is based; or]
 19-6                [(3)  the security or evidence of financial
 19-7    responsibility filed under this chapter.]
 19-8          [Sec. 601.006.  APPLICABILITY TO CERTAIN OWNERS AND
 19-9    OPERATORS.  If an owner or operator of a motor vehicle involved in
19-10    an accident in this state does not have a driver's license or
19-11    vehicle registration or is a nonresident, the person may not be
19-12    issued a driver's license or registration until the person has
19-13    complied with this chapter to the same extent that would be
19-14    necessary if, at the time of the accident, the person had a
19-15    driver's license or registration.]
19-16          Sec. 601.005 [601.007].  APPLICABILITY OF CHAPTER TO
19-17    GOVERNMENT VEHICLES.  (a)  This chapter does not apply to a
19-18    government vehicle.
19-19          (b)  The provisions of this chapter, other than Section
19-20    601.004, do not apply to an officer, agent, or employee of the
19-21    United States, this state, or a political subdivision of this state
19-22    while operating a government vehicle in the course of that person's
19-23    employment.
19-24          (c)  [The provisions of this chapter, other than Sections
19-25    601.004 and 601.054, do not apply to a motor vehicle that is
19-26    subject to Chapter 643.]
19-27          [(d)] In this section, "government vehicle" means a motor
 20-1    vehicle owned by the United States, this state, or a political
 20-2    subdivision of this state.
 20-3          [Sec. 601.008.  VIOLATION OF CHAPTER; OFFENSE.  (a)  A person
 20-4    commits an offense if the person violates a provision of this
 20-5    chapter for which a penalty is not otherwise provided.]
 20-6          [(b)  An offense under this section is a misdemeanor
 20-7    punishable by:]
 20-8                [(1)  a fine not to exceed $500;]
 20-9                [(2)  confinement in county jail for a term not to
20-10    exceed 90 days; or]
20-11                [(3)  both the fine and the confinement.]
20-12          [Sec. 601.009.  REPORT FROM OTHER STATE OR CANADA.  (a)  On
20-13    receipt of a certification by the department that the operating
20-14    privilege of a resident of this state has been suspended or revoked
20-15    in another state or a province of Canada under a financial
20-16    responsibility law, the department shall contact the official who
20-17    issued the certification to request information relating to the
20-18    specific nature of the resident's failure to comply.]
20-19          [(b)  Except as provided by Subsection (c), the department
20-20    shall suspend the resident's driver's license and vehicle
20-21    registrations if the evidence shows that the resident's operating
20-22    privilege was suspended in the other state or the province for
20-23    violation of a financial responsibility law under circumstances
20-24    that would require the department to suspend a nonresident's
20-25    operating privilege had the accident occurred in this state.]
20-26          [(c)  The department may not suspend the resident's driver's
20-27    license and registration if the alleged failure to comply is based
 21-1    on the failure of the resident's insurance company or surety
 21-2    company to:]
 21-3                [(1)  obtain authorization to write motor vehicle
 21-4    liability insurance in the other state or the province; or]
 21-5                [(2)  execute a power of attorney directing the
 21-6    appropriate official in the other state or the province to accept
 21-7    on the company's behalf service of notice or process in an action
 21-8    under the policy arising out of an accident.]
 21-9          [(d)  Suspension of a driver's license and vehicle
21-10    registrations under this section continues until the resident
21-11    furnishes evidence of compliance with the financial responsibility
21-12    law of the other state or the province.]
21-13          [(e)  In this section, "financial responsibility law" means a
21-14    law authorizing suspension or revocation of an operating privilege
21-15    for failure to:]
21-16                [(1)  deposit security for the payment of a judgment;]
21-17                [(2)  satisfy a judgment; or]
21-18                [(3)  file evidence of financial responsibility.]
21-19               SUBCHAPTER B. [ADMINISTRATION BY] DEPARTMENT
21-20                         CERTIFICATION OF RECORDS
21-21          [Sec. 601.021.  DEPARTMENT POWERS AND DUTIES; RULES.  The
21-22    department shall:]
21-23                [(1)  administer and enforce this chapter; and]
21-24                [(2)  provide for hearings on the request of a person
21-25    aggrieved by an act of the department under this chapter.]
21-26          Sec. 601.022.  DEPARTMENT TO PROVIDE OPERATING RECORD.  (a)
21-27    The department, on request and receipt of the required fee, shall
 22-1    provide any person a certified abstract of the record of conviction
 22-2    of a person subject to this chapter for violation of a law relating
 22-3    to the operation of a motor vehicle or the record of any injury or
 22-4    damage caused by the person's operation of a motor vehicle if the
 22-5    requestor is eligible to receive the information under Chapter 730.
 22-6          (b)  If a record described by Subsection (a) does not exist,
 22-7    the department shall certify that fact.
 22-8          (c)  A request for a certified abstract under this section
 22-9    must be accompanied by a $20 fee for each abstract.
22-10          [Sec. 601.023.  PAYMENT OF STATUTORY FEES.  The department
22-11    may pay:]
22-12                [(1)  a statutory fee required by the Texas Department
22-13    of Transportation for a certified abstract or in connection with
22-14    suspension of a vehicle registration; or]
22-15                [(2)  a statutory fee payable to the comptroller for
22-16    issuance of a certificate of deposit required by Section 601.122.]
22-17          SUBCHAPTER C.  FINANCIAL RESPONSIBILITY[; REQUIREMENTS]
22-18          Sec. 601.051.  MANNER OF ESTABLISHING [REQUIREMENT OF]
22-19    FINANCIAL RESPONSIBILITY.  (a)  A person may establish [not operate
22-20    a motor vehicle in this state unless] financial responsibility [is
22-21    established] for a motor [that] vehicle through:
22-22                (1)  a motor vehicle liability insurance policy that
22-23    complies with Subchapter D;
22-24                (2)  a surety bond filed under Section 601.121;
22-25                (3)  a deposit under Section 601.122;
22-26                (4)  a deposit under Section 601.123; or
22-27                (5)  self-insurance under Section 601.124.
 23-1          (b)  For a motor vehicle subject to Chapter 643, financial
 23-2    responsibility may be established in the manner provided by Section
 23-3    643.101 or 643.102.
 23-4          [Sec. 601.052.  EXCEPTIONS TO FINANCIAL RESPONSIBILITY
 23-5    REQUIREMENT.  (a)  Section 601.051 does not apply to:]
 23-6                [(1)  the operation of a motor vehicle that:]
 23-7                      [(A)  is a former military vehicle or is at least
 23-8    25 years old;]
 23-9                      [(B)  is used only for exhibitions, club
23-10    activities, parades, and other functions of public interest and not
23-11    for regular transportation; and]
23-12                      [(C)  for which the owner files with the
23-13    department an affidavit, signed by the owner, stating that the
23-14    vehicle is a collector's item and used only as described by
23-15    Paragraph (B);]
23-16                [(2)  the operation of a golf cart not required to be
23-17    registered under Section 502.284; or]
23-18                [(3)  a volunteer fire department for the operation of
23-19    a motor vehicle the title of which is held in the name of a
23-20    volunteer fire department.]
23-21          [(b)  Subsection (a)(3) does not exempt from the requirement
23-22    of Section 601.051 a person who is operating a vehicle described by
23-23    that subsection.]
23-24          [(c)  In this section:]
23-25                [(1)  "Former military vehicle" has the meaning
23-26    assigned by Section 502.275(o).]
23-27                [(2)  "Volunteer fire department" means a company,
 24-1    department, or association that is:]
 24-2                      [(A)  organized in an unincorporated area to
 24-3    answer fire alarms and extinguish fires or to answer fire alarms,
 24-4    extinguish fires, and provide emergency medical services; and]
 24-5                      [(B)  composed of members who:]
 24-6                            [(i)  do not receive compensation; or]
 24-7                            [(ii)  receive only nominal compensation.]
 24-8          [Sec. 601.053.  EVIDENCE OF FINANCIAL RESPONSIBILITY.  (a)
 24-9    As a condition of operating in this state a motor vehicle to which
24-10    Section 601.051 applies, the operator of the vehicle on request
24-11    shall provide to a peace officer, as defined by Article 2.12, Code
24-12    of Criminal Procedure, or a person involved in an accident with the
24-13    operator evidence of financial responsibility by exhibiting:]
24-14                [(1)  a motor vehicle liability insurance policy
24-15    covering the vehicle that satisfies Subchapter D or a photocopy of
24-16    the policy;]
24-17                [(2)  a standard proof of motor vehicle liability
24-18    insurance form prescribed by the Texas Department of Insurance
24-19    under Section 601.081 and issued by a liability insurer for the
24-20    motor vehicle;]
24-21                [(3)  an insurance binder that confirms the operator is
24-22    in compliance with this chapter;]
24-23                [(4)  a surety bond certificate issued under Section
24-24    601.121;]
24-25                [(5)  a certificate of a deposit with the comptroller
24-26    covering the vehicle issued under Section 601.122;]
24-27                [(6)  a copy of a certificate of a deposit with the
 25-1    appropriate county judge covering the vehicle issued under Section
 25-2    601.123; or]
 25-3                [(7)  a certificate of self-insurance covering the
 25-4    vehicle issued under Section 601.124 or a photocopy of the
 25-5    certificate.]
 25-6          [(b)  An operator who does not exhibit evidence of financial
 25-7    responsibility under Subsection (a) is presumed to have operated
 25-8    the vehicle in violation of Section 601.051.]
 25-9          [Sec. 601.054.  OWNER MAY PROVIDE EVIDENCE OF FINANCIAL
25-10    RESPONSIBILITY FOR OTHERS.  (a)  The department shall accept
25-11    evidence of financial responsibility from an owner for another
25-12    person required to establish evidence of financial responsibility
25-13    if the other person is:]
25-14                [(1)  an operator employed by the owner; or]
25-15                [(2)  a member of the owner's immediate family or
25-16    household.]
25-17          [(b)  The evidence of financial responsibility applies to a
25-18    person who becomes subject to Subsection (a)(1) or (2) after the
25-19    effective date of that evidence.]
25-20          [(c)  Evidence of financial responsibility accepted by the
25-21    department under Subsection (a) is a substitute for evidence by the
25-22    other person and permits the other person to operate a motor
25-23    vehicle for which the owner has provided evidence of financial
25-24    responsibility.]
25-25          [(d)  The department shall designate the restrictions imposed
25-26    by this section on the face of the other person's driver's license.]
25-27          [Sec. 601.055.  SUBSTITUTION OF EVIDENCE OF FINANCIAL
 26-1    RESPONSIBILITY.  (a)  If a person who has filed evidence of
 26-2    financial responsibility substitutes other evidence of financial
 26-3    responsibility that complies with this chapter, and the department
 26-4    accepts the other evidence, the department shall:]
 26-5                [(1)  consent to the cancellation of a bond or
 26-6    certificate of insurance filed as evidence of financial
 26-7    responsibility; or]
 26-8                [(2)  direct the comptroller to return money or
 26-9    securities deposited with the comptroller as evidence of financial
26-10    responsibility to the person entitled to the return of the money or
26-11    securities.]
26-12          [(b)  The comptroller shall return money or securities
26-13    deposited with the comptroller in accordance with the direction of
26-14    the department under Subsection (a)(2).]
26-15          [Sec. 601.056.  CANCELLATION, RETURN, OR WAIVER OF EVIDENCE
26-16    OF FINANCIAL RESPONSIBILITY.  (a)  As provided by this section, the
26-17    department, on request, shall:]
26-18                [(1)  consent to the cancellation of a bond or
26-19    certificate of insurance filed as evidence of financial
26-20    responsibility;]
26-21                [(2)  direct the comptroller to return money or
26-22    securities deposited with the comptroller as evidence of financial
26-23    responsibility to the person entitled to the return of the money or
26-24    securities; or]
26-25                [(3)  waive the requirement of filing evidence of
26-26    financial responsibility.]
26-27          [(b)  Evidence of financial responsibility may be canceled,
 27-1    returned, or waived under Subsection (a) if:]
 27-2                [(1)  the department, during the two years preceding
 27-3    the request, has not received a record of a conviction or a
 27-4    forfeiture of bail that would require or permit the suspension or
 27-5    revocation of the driver's license, vehicle registration, or
 27-6    nonresident's operating privilege of the person by or for whom the
 27-7    evidence was provided;]
 27-8                [(2)  the person for whom the evidence of financial
 27-9    responsibility was provided dies or has a permanent incapacity to
27-10    operate a motor vehicle; or]
27-11                [(3)  the person for whom the evidence of financial
27-12    responsibility was provided surrenders the person's license and
27-13    vehicle registration to the department.]
27-14          [(c)  A cancellation, return, or waiver under Subsection
27-15    (b)(1) may be made only after the second anniversary of the date
27-16    the evidence of financial responsibility was required.]
27-17          [(d)  The comptroller shall return the money or securities as
27-18    directed by the department under Subsection (a)(2).]
27-19          [(e)  The department may not act under Subsection (a)(1) or
27-20    (2) if:]
27-21                [(1)  an action for damages on a liability covered by
27-22    the evidence of financial responsibility is pending;]
27-23                [(2)  a judgment for damages on a liability covered by
27-24    the evidence of financial responsibility is not satisfied; or]
27-25                [(3)  the person for whom the bond has been filed or
27-26    for whom money or securities have been deposited has, within the
27-27    two years preceding the request for cancellation or return of the
 28-1    evidence of financial responsibility, been involved as an operator
 28-2    or owner in a motor vehicle accident resulting in bodily injury to,
 28-3    or property damage to the property of, another person.]
 28-4          [(f)  In the absence of evidence to the contrary in the
 28-5    records of the department, the department shall accept as
 28-6    sufficient an affidavit of the person requesting action under
 28-7    Subsection (a) stating that:]
 28-8                [(1)  the facts described by Subsection (e) do not
 28-9    exist; or]
28-10                [(2)  the person has been released from the liability
28-11    or has been finally adjudicated as not liable for bodily injury or
28-12    property damage described by Subsection (e)(3).]
28-13          [(g)  A person whose evidence of financial responsibility has
28-14    been canceled or returned under Subsection (b)(3) may not be issued
28-15    a new driver's license or vehicle registration unless the person
28-16    establishes financial responsibility for the remainder of the
28-17    two-year period beginning on the date the evidence of financial
28-18    responsibility was required.]
28-19          [Sec. 601.057.  EVIDENCE THAT DOES NOT FULFILL REQUIREMENTS;
28-20    SUSPENSION.  If evidence filed with the department does not
28-21    continue to fulfill the purpose for which it was required, the
28-22    department shall suspend the driver's license and all vehicle
28-23    registrations or nonresident's operating privilege of the person
28-24    who filed the evidence pending the filing of other evidence of
28-25    financial responsibility.]
28-26          SECTION 3.  Section 601.071, Transportation  Code, is amended
28-27    to read as follows:
 29-1          Sec. 601.071.  MOTOR VEHICLE LIABILITY INSURANCE;
 29-2    REQUIREMENTS.  (a)  For purposes of this chapter, a motor vehicle
 29-3    liability insurance policy must be an owner's or operator's policy
 29-4    that:
 29-5                (1)  except as provided by Subsection (b) [Section
 29-6    601.083], is issued by an insurance company authorized to write
 29-7    motor vehicle liability insurance in this state;
 29-8                (2)  is written to or for the benefit of the person
 29-9    named in the policy as the insured; and
29-10                (3)  meets the requirements of this subchapter.
29-11          (b)  Subsection (a)(1) does not apply to a policy that is
29-12    written to or for the benefit of a person who is not a resident of
29-13    this state.
29-14          SECTION 4.  The heading of Subtitle D, Title 7,
29-15    Transportation Code, is amended to read as follows:
29-16       SUBTITLE D.  FINANCIAL [MOTOR VEHICLE SAFETY] RESPONSIBILITY
29-17          SECTION 5.  The heading of Chapter 601, Transportation Code,
29-18    is amended to read as follows:
29-19      CHAPTER 601.  FINANCIAL [MOTOR VEHICLE SAFETY] RESPONSIBILITY;
29-20                LIABILITY FOR MOTOR VEHICLE ACCIDENTS [ACT]
29-21          SECTION 6.  Section 502.352(c), Transportation Code, is
29-22    amended to read as follows:
29-23          (c)  A person may obtain a permit under this section by:
29-24                (1)  applying to the county assessor-collector, the
29-25    department, or the department's wire service agent, if the
29-26    department has a wire service agent;
29-27                (2)  paying a fee of $25 for a 72-hour permit or $50
 30-1    for a 144-hour permit:
 30-2                      (A)  in cash;
 30-3                      (B)  by postal money order;
 30-4                      (C)  by certified check;
 30-5                      (D)  by wire transfer through the department's
 30-6    wire service agent, if any;
 30-7                      (E)  by an escrow account; or
 30-8                      (F)  where the service is provided, by a credit
 30-9    card issued by:
30-10                            (i)  a financial institution chartered by a
30-11    state or the United States; or
30-12                            (ii)  a nationally recognized credit
30-13    organization approved by the Texas Transportation Commission;
30-14                (3)  paying a discount or service charge for a credit
30-15    card payment or escrow account, in addition to the fee; and
30-16                (4)  furnishing to the county assessor-collector, the
30-17    department, or the department's wire service agent, evidence that
30-18    [of] financial responsibility for the vehicle has been established
30-19    that complies with Subchapter D, Chapter 601, [Sections 502.153(c)
30-20    and 601.168(a) and] is written by an insurance company  or surety
30-21    company authorized to write motor vehicle liability insurance in
30-22    this state.
30-23          SECTION 7.  Section 502.353(d), Transportation Code, is
30-24    amended to read as follows:
30-25          (d)  A person may obtain a permit under this section by:
30-26                (1)  applying to the department;
30-27                (2)  paying a fee in the amount required by Subsection
 31-1    (e) in cash or by postal money order or certified check; and
 31-2                (3)  furnishing evidence that [of] financial
 31-3    responsibility has been established for the motor vehicle that
 31-4    complies with Subchapter D, Chapter 601 [Sections 502.153(c) and
 31-5    601.168(a)], the policies to be written by an insurance company or
 31-6    surety company authorized to write motor vehicle liability
 31-7    insurance in this state.
 31-8          SECTION 8.  Section 502.355(c), Transportation Code, is
 31-9    amended to read as follows:
31-10          (c)  A person may obtain a permit under this section by:
31-11                (1)  applying to the department on a form prescribed by
31-12    the department;
31-13                (2)  paying a fee equal to 1/12 the registration fee
31-14    prescribed by this chapter for the vehicle; and
31-15                (3)  [furnishing satisfactory evidence that the motor
31-16    vehicle is insured under an insurance policy that complies with
31-17    Section 601.072 and that is written by:]
31-18                      [(A)  an insurance company or surety company
31-19    authorized to write motor vehicle liability insurance in this
31-20    state; or]
31-21                      [(B)  with the department's approval, a surplus
31-22    lines insurer that meets the requirements of Article 1.14-2,
31-23    Insurance Code, and rules adopted by the commissioner of insurance
31-24    under that article, if the applicant is unable to obtain insurance
31-25    from an insurer described by Paragraph (A); and]
31-26                [(4)]  furnishing evidence that the vehicle has been
31-27    inspected as required under Chapter 548.
 32-1          SECTION 9.  Section 521.244(c), Transportation Code, is
 32-2    amended to read as follows:
 32-3          (c)  If the judge finds that there is an essential need, the
 32-4    judge also, as part of the order, shall[:]
 32-5                [(1)]  determine the actual need of the petitioner to
 32-6    operate a motor vehicle[; and]
 32-7                [(2)  require the petitioner to provide evidence of
 32-8    financial responsibility in accordance with Chapter 601].
 32-9          SECTION 10.  Section 521.249(b), Transportation Code, is
32-10    amended to read as follows:
32-11          (b)  On receipt of the copy under this section [and after
32-12    compliance with Chapter 601], the department shall issue an
32-13    occupational license to the person.  The license must refer on its
32-14    face to the court order.
32-15          SECTION 11.  Section 521.457(f), Transportation Code, is
32-16    amended to read as follows:
32-17          (f)  If it is shown on the trial of an offense under this
32-18    section that the person has previously been convicted of an offense
32-19    under this section or Section 601.371(a), as it existed before its
32-20    repeal effective January 1, 2000, the offense is a Class A
32-21    misdemeanor.
32-22          SECTION 12.  Section 522.092, Transportation Code, is amended
32-23    to read as follows:
32-24          Sec. 522.092.  SUSPENSION, REVOCATION, CANCELLATION, OR
32-25    DENIAL OF DRIVER'S LICENSE UNDER OTHER LAWS.  A person subject to
32-26    disqualification under this chapter may also have the person's
32-27    driver's license suspended, revoked, canceled, or denied under one
 33-1    or more of the following, if the conduct that is a ground for
 33-2    disqualification is also a ground for the suspension, revocation,
 33-3    cancellation, or denial of a driver's license suspension under:
 33-4                (1)  Chapter 521;
 33-5                (2)  Chapter 524; or
 33-6                (3)  [Chapter 601; or]
 33-7                [(4)]  Chapter 724.
 33-8          SECTION 13.  Section 543.103(b), Transportation Code, is
 33-9    amended to read as follows:
33-10          (b)  Subsection (a) applies only if:
33-11                (1)  the person enters a plea in person or in writing
33-12    of no contest or guilty and, before the answer date on the notice
33-13    to appear:
33-14                      (A)  presents in person to the court an oral or
33-15    written request to take a course; or
33-16                      (B)  sends to the court by certified mail, return
33-17    receipt requested, postmarked on or before the answer date on the
33-18    notice to appear, a written request to take a course;
33-19                (2)  the court enters judgment on the person's plea of
33-20    no contest or guilty at the time the plea is made but defers
33-21    imposition of the judgment for 90 days;
33-22                (3)  the person has a Texas driver's license or permit;
33-23                (4)  the person's driving record as maintained by the
33-24    department does not show successful completion of a driving safety
33-25    course or a motorcycle operator training course, as appropriate,
33-26    under this section within one year before the date of the alleged
33-27    violation;
 34-1                (5)  the person files an affidavit with the court
 34-2    stating that the person is not taking a course under this section
 34-3    and has not completed a course under this section that is not shown
 34-4    on the person's driving record; and
 34-5                (6)  the person is charged with an offense to which
 34-6    this subchapter applies other than speeding 25 miles per hour or
 34-7    more over the posted speed limit[; and]
 34-8                [(7)  the person provides evidence of financial
 34-9    responsibility as required by Chapter 601].
34-10          SECTION 14.  Section 600.002, Transportation Code, is amended
34-11    to read as follows:
34-12          Sec. 600.002.  IDENTIFICATION REQUIRED FOR VEHICLE NEAR
34-13    MEXICAN BORDER.  On demand of a peace officer within 250 feet of
34-14    the Mexican border at a checkpoint authorized by Section 411.0095,
34-15    Government Code, [as added by Chapter 497, Acts of the 73rd
34-16    Legislature, Regular Session, 1993,] the driver of a vehicle shall
34-17    produce a driver's license [and proof of compliance with Chapter
34-18    601].
34-19          SECTION 15.  Section 729.001(a), Transportation Code, is
34-20    amended to read as follows:
34-21          (a)  A person who is younger than 17 years of age commits an
34-22    offense if the person operates a motor vehicle on a public road or
34-23    highway, a street or alley in a municipality, or a public beach in
34-24    violation of any traffic law of this state, including:
34-25                (1)  Chapter 502, other than Section 502.282 or
34-26    502.412;
34-27                (2)  Chapter 521;
 35-1                (3)  Subtitle C, other than an offense under Section
 35-2    550.021, 550.022, or 550.024;
 35-3                (4)  [Chapter 601;]
 35-4                [(5)]  Chapter 621;
 35-5                (5) [(6)]  Chapter 661; and
 35-6                (6) [(7)]  Chapter 681.
 35-7          SECTION 16.  Section 84.004(c), Civil Practice and Remedies
 35-8    Code, is amended to read as follows:
 35-9          (c)  A volunteer of a charitable organization is liable to a
35-10    person for death, damage, or injury to the person or his property
35-11    proximately caused by any act or omission arising from the
35-12    operation or use of any motor-driven equipment, including an
35-13    airplane, to the extent, for a motor vehicle, of the limits of
35-14    liability required to establish financial responsibility under
35-15    Section 601.072 [insurance coverage is required by Chapter 601],
35-16    Transportation Code, and to the extent of any existing insurance
35-17    coverage applicable to the act or omission.
35-18          SECTION 17.  Section 61.096(b), Human Resources Code, is
35-19    amended to read as follows:
35-20          (b)  A volunteer is liable for personal injury, death, or
35-21    property damage proximately caused by an act or omission related to
35-22    the operation or use of any motor-driven equipment to the extent of
35-23    the greater of:
35-24                (1)  the limits of liability required to establish
35-25    financial responsibility [amount of financial responsibility
35-26    required] for the motor-driven equipment, if any, under Section
35-27    601.072 [Chapter 601], Transportation Code; or
 36-1                (2)  the amount of any liability insurance coverage
 36-2    that applies to the act or omission.
 36-3          SECTION 18.  Section 612.001(b), Government Code, is amended
 36-4    to read as follows:
 36-5          (b)  The liability coverage provided under this section must
 36-6    be in amounts not less than the limits of liability required to
 36-7    establish financial responsibility under Section 601.072 [those
 36-8    required by Chapter 601], Transportation Code[, to provide evidence
 36-9    of financial responsibility].
36-10          SECTION 19.  Section 2001.221, Government Code, is amended to
36-11    read as follows:
36-12          Sec. 2001.221.  DRIVER'S LICENSES.  This chapter does not
36-13    apply to a suspension, revocation, cancellation, denial, or
36-14    disqualification of a driver's license or commercial driver's
36-15    license as authorized by:
36-16                (1)  Subchapter N, Chapter 521, Transportation Code,
36-17    except Sections 521.296 and 521.297 of that subchapter, or by
36-18    Subchapter O or P of that chapter;
36-19                (2)  Chapter 522, Transportation Code; or
36-20                (3)  [Chapter 601, Transportation Code; or]
36-21                [(4)]  Section 13, Article 42.12, Code of Criminal
36-22    Procedure.
36-23          SECTION 20.  Section 2002.023, Government Code, is amended to
36-24    read as follows:
36-25          Sec. 2002.023.  EXCEPTIONS.  This subchapter does not apply
36-26    to:
36-27                (1)  a suspension, revocation, cancellation, denial, or
 37-1    disqualification of a driver's license or commercial driver's
 37-2    license as authorized by:
 37-3                      (A)  Subchapter N, Chapter 521, Transportation
 37-4    Code, except Sections 521.296 and 521.297 of that subchapter, or by
 37-5    Subchapter O or P of that chapter;
 37-6                      (B)  Chapter 522, Transportation Code;
 37-7                      (C)  [Chapter 601, Transportation Code;]
 37-8                      [(D)]  Chapter 724, Transportation Code; or
 37-9                      (D) [(E)]  Section 13, Article 42.12, Code of
37-10    Criminal Procedure;
37-11                (2)  matters related solely to the internal personnel
37-12    rules and practices of a state agency;
37-13                (3)  the Texas Workforce Commission, other than to
37-14    matters of unemployment insurance maintained by the commission; or
37-15                (4)  a rule or internal procedure of the Texas
37-16    Department of Criminal Justice or Texas Board of Criminal Justice
37-17    that applies to an inmate or any other person under the custody or
37-18    control of the department or to an action taken under that rule or
37-19    procedure.
37-20          SECTION 21.  Section 142.006(c), Local Government Code, is
37-21    amended to read as follows:
37-22          (c)  The liability coverage provided under this section must
37-23    be in amounts not less than the limits of liability required to
37-24    establish financial responsibility under Section 601.072 [those
37-25    required by Chapter 601], Transportation Code[, to provide proof of
37-26    financial responsibility].
37-27          SECTION 22.  Section 157.042(d), Local Government Code, is
 38-1    amended to read as follows:
 38-2          (d)  Liability coverage required under this section must be
 38-3    in amounts equal to or greater than the limits of liability
 38-4    required to establish financial responsibility under Section
 38-5    601.072 [amounts required by Chapter 601], Transportation Code.
 38-6          SECTION 23.  Section 113.097(d), Natural Resources Code, is
 38-7    amended to read as follows:
 38-8          (d)  Each category "C," "E," "H," or "J" licensee must carry
 38-9    motor vehicle bodily injury and property damage liability coverage
38-10    on each motor vehicle, including trailers and semitrailers, used to
38-11    transport LP-gas.  The commission shall establish by rule a
38-12    reasonable amount of coverage to be maintained, except that
38-13    coverage shall not be less than the amounts required to establish
38-14    [as evidence of] financial responsibility under Section 601.072
38-15    [Chapter 601], Transportation Code.
38-16          SECTION 24.  Article 5.01-1, Insurance Code, is amended to
38-17    read as follows:
38-18          Art. 5.01-1.  PREMIUM RATING PLANS.  A rating plan respecting
38-19    the writing of motor vehicle insurance, other than insurance
38-20    written under Article 21.81 of this code [pursuant to Section 35 of
38-21    the Texas Motor Vehicle Safety-Responsibility Act (Article 6701h,
38-22    Vernon's Texas Civil Statutes)], may not assign any rate
38-23    consequence to a charge or conviction, or otherwise cause premiums
38-24    for motor vehicle insurance to be increased because of a charge or
38-25    conviction for a violation of Subtitle C, Title 7, Transportation
38-26    Code [the Uniform Act Regulating Traffic on Highways, as amended
38-27    (Article 6701d, Vernon's Texas Civil Statutes)].
 39-1          SECTION 25.  Subsection (1), Article 5.06-1, Insurance Code,
 39-2    is amended to read as follows:
 39-3          (1)  No automobile liability insurance, [(]including
 39-4    insurance issued pursuant to an Assigned Risk Plan established
 39-5    under authority of Article 21.81 of this code [Section 35 of the
 39-6    Texas Motor Vehicle Safety-Responsibility Act)], covering liability
 39-7    arising out of the ownership, maintenance, or use of any motor
 39-8    vehicle shall be delivered or issued for delivery in this state
 39-9    unless coverage is provided therein or supplemental thereto, in at
39-10    least the limits described by Section 601.072, Transportation Code,
39-11    [in the Texas Motor Vehicle Safety-Responsibility Act,] under
39-12    provisions and subject to limits prescribed by the commissioner
39-13    [Board], for the protection of persons insured thereunder who are
39-14    legally entitled to recover damages from owners or operators of
39-15    uninsured or underinsured motor vehicles because of bodily injury,
39-16    sickness, or disease, including death, or property damage resulting
39-17    therefrom.  The coverages required under this Article shall not be
39-18    applicable where any insured named in the policy shall reject the
39-19    coverage in writing; provided that unless the named insured
39-20    thereafter requests such coverage in writing, such coverage need
39-21    not be provided in or supplemental to a renewal policy where the
39-22    named insured has rejected the coverage in connection with a policy
39-23    previously issued to him by the same insurer or by an affiliated
39-24    insurer.
39-25          SECTION 26.  Article 5.06-2(1), Insurance Code, is amended to
39-26    read as follows:
39-27          (1)  Definitions.  As used in this Act:
 40-1                (a)  "Garage Insurance" means motor vehicle or
 40-2    automobile insurance as defined in Article 5.01 hereof issued to a
 40-3    named insured engaged in the business of selling, servicing or
 40-4    repairing motor vehicles as now or hereafter defined by rules,
 40-5    regulations or orders of the commissioner.  [State Board of
 40-6    Insurance;]
 40-7                (b)  "Garage Customer" means any person or organization
 40-8    other than the named insured, or an employee, director, officer,
 40-9    stockholder, partner, or agent of the named insured;  or a resident
40-10    of the same household as the named insured, such employee,
40-11    director, officer, stockholder, partner, or agent. [;]
40-12                (c)  "Financial Responsibility Limits" means the
40-13    minimum limits specified by Section 601.072, Transportation Code
40-14    [the Texas Motor Vehicle Safety-Responsibility Act].
40-15          SECTION 27.  Article 5.06-3(a), Insurance Code, is amended to
40-16    read as follows:
40-17          (a)  No automobile liability insurance policy, including
40-18    insurance issued pursuant to an assigned risk plan established
40-19    under Article 21.81 of this code [authority of Section 35 of the
40-20    Texas Motor Vehicle Safety-Responsibility Act], covering liability
40-21    arising out of the ownership, maintenance, or use of any motor
40-22    vehicle shall be delivered or issued for delivery in this state
40-23    unless personal injury protection coverage is provided therein or
40-24    supplemental thereto.  The coverage required by this article shall
40-25    not be applicable if any insured named in the policy shall reject
40-26    the coverage in writing; provided, unless the named insured
40-27    thereafter requests such coverage in writing, such coverage need
 41-1    not be provided in or supplemental to a renewal policy if the named
 41-2    insured has rejected the coverage in connection with a policy
 41-3    previously issued to him by the same insurer or by an affiliated
 41-4    insurer.
 41-5          SECTION 28.  Section 1(3), Article 21.81, Insurance Code, is
 41-6    amended to read as follows:
 41-7                (3)  "Insurance" means a motor vehicle liability [an]
 41-8    insurance policy that may be used to establish financial
 41-9    responsibility under Chapter 601, Transportation Code [meets the
41-10    requirements of the Texas Motor Vehicle Safety-Responsibility Act
41-11    (Article 6701h, Vernon's Texas Civil Statutes)].
41-12          SECTION 29.  Section 4(a), Article 21.81, Insurance Code, is
41-13    amended to read as follows:
41-14          (a)  The association shall provide a means by which insurance
41-15    may be assigned to an authorized insurance company for a person who
41-16    is eligible for insurance under this article [required by the Texas
41-17    Motor Vehicle Safety-Responsibility Act (Article 6701h, Vernon's
41-18    Texas Civil Statutes) to show proof of financial responsibility for
41-19    the future].
41-20          SECTION 30.  Section 3(d), Article 21.81, Insurance Code, is
41-21    amended to read as follows:
41-22          (d)  If the commissioner at any time believes that any part
41-23    of the plan of operation is not in keeping with the purposes of
41-24    Chapter 601, Transportation Code [the Texas Motor Vehicle
41-25    Safety-Responsibility Act (Article 6701h, Vernon's Texas Civil
41-26    Statutes)], the commissioner shall notify the governing committee
41-27    in writing so that the governing committee may take corrective
 42-1    action.
 42-2          SECTION 31.  The following laws are repealed:
 42-3                (1)  Sections 502.153, 521.143, 548.105, 601.081,
 42-4    601.082, 601.083, 601.084, 601.085, 601.086, 601.087, and 601.088,
 42-5    Transportation Code; and
 42-6                (2)  Subchapters G, H, I, J, K, L, and M, Chapter 601,
 42-7    Transportation Code.
 42-8          SECTION 32.  Subchapter F, Chapter 601, Transportation Code,
 42-9    as amended by this Act, applies only to a cause of action that
42-10    accrues on or after the effective date of this Act.  A cause of
42-11    action that accrues before the effective date of this Act is
42-12    governed by the law as it existed immediately before the effective
42-13    date of this Act, and that law is continued in effect for this
42-14    purpose.
42-15          SECTION 33.  (a)  The change in law made by this Act applies
42-16    only to the punishment for an offense committed on or after the
42-17    effective date of this Act.  For purposes of this section, an
42-18    offense is committed before the effective date of this Act if any
42-19    element of the offense occurs before the effective date.
42-20          (b)  An offense committed before the effective date of this
42-21    Act is covered by the law in effect when the offense was committed,
42-22    and the former law is continued in effect for this purpose.
42-23          SECTION 34.  The change in law made by this Act to Section
42-24    84.004(c), Civil Practice and Remedies Code, and Section 61.096(b),
42-25    Human Resources Code, applies only to a cause of action that
42-26    accrues on or after the effective date of this Act.  A cause of
42-27    action that accrued before the effective date of this Act is
 43-1    governed by the law as it existed immediately before the effective
 43-2    date of this Act, and that law is continued in effect for this
 43-3    purpose.
 43-4          SECTION 35.  The change in law made by this Act to Section
 43-5    113.097(d), Natural Resources Code, applies only to the issuance of
 43-6    a license on or after the effective date of this Act.
 43-7          SECTION 36.  The change in law made by Sections 24-30 of this
 43-8    Act applies only to an insurance policy that is delivered, issued
 43-9    for delivery, or renewed on or after the effective date of this
43-10    Act.  A policy that is delivered, issued for delivery, or renewed
43-11    before the effective date of this Act is governed by the law as it
43-12    existed immediately before that date, and that law is continued in
43-13    effect for this purpose.
43-14          SECTION 37.  This Act takes effect January 1, 2000.
43-15          SECTION 38.  The importance of this legislation and the
43-16    crowded condition of the calendars in both houses create an
43-17    emergency and an imperative public necessity that the
43-18    constitutional rule requiring bills to be read on three several
43-19    days in each house be suspended, and this rule is hereby suspended.