1-1     By:  Chisum (Senate Sponsor - Shapiro)                H.B. No. 3071
 1-2           (In the Senate - Received from the House May 7, 2001;
 1-3     May 7, 2001, read first time and referred to Committee on State
 1-4     Affairs; May 11, 2001, reported favorably by the following vote:
 1-5     Yeas 8, Nays 0; May 11, 2001, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to matters regarding the regulation of motor vehicle
 1-9     inspection stations and inspectors.
1-10           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11           SECTION 1. Subchapter G, Chapter 548, Transportation Code, is
1-12     amended by adding Section 548.4035 to read as follows:
1-13           Sec. 548.4035.  ENTRY ONTO PREMISES. (a)  A member, employee,
1-14     or agent of the department may enter an inspection station during
1-15     normal business hours to conduct an investigation, inspection, or
1-16     audit of the inspection station or an inspector to determine
1-17     whether the inspection station or inspector is in compliance with:
1-18                 (1)  this chapter;
1-19                 (2)  department rules under this chapter; or
1-20                 (3)  Chapter 382, Health and Safety Code.
1-21           (b)  A member, employee, or agent of the department who
1-22     enters an inspection station for a purpose described by Subsection
1-23     (a):
1-24                 (1)  shall notify the manager or person in charge of
1-25     the inspection station of the presence of the member, employee, or
1-26     agent;
1-27                 (2)  shall present the manager or person in charge of
1-28     the inspection station with proper credentials identifying the
1-29     member, employee, or agent as a member, employee, or agent of the
1-30     department; and
1-31                 (3)  is entitled to have access to emissions testing
1-32     equipment, inspection records, and any required inspection station
1-33     certificate or inspector certificate.
1-34           (c)  A member, employee, or agent of the department who
1-35     enters an inspection station to conduct an investigation,
1-36     inspection, or audit under Subsection (a) must observe the
1-37     inspection station's rules relating to safety, security, and fire
1-38     protection.
1-39           (d)  Subsection (b) does not prohibit the department from
1-40     conducting an undercover investigation or a covert audit of an
1-41     inspection station.
1-42           SECTION 2. Section 548.405, Transportation Code, is amended
1-43     by adding Subsections (e), (f), (g), (h), and (i) to read as
1-44     follows:
1-45           (e)  An immediate family member of an inspector or owner of
1-46     an inspection station whose certificate is suspended or revoked may
1-47     not be granted a certificate under this subchapter if the location
1-48     of the family member's place of business is the same as that of the
1-49     inspector or owner whose certificate is suspended or revoked unless
1-50     the family member proves that the inspector or owner whose
1-51     certificate is suspended or revoked has no involvement with the
1-52     family member's place of business.
1-53           (f)  Subsection (a) applies to:
1-54                 (1)  each member of a partnership or association issued
1-55     a certificate under this subchapter;
1-56                 (2)  each director or officer of a corporation issued a
1-57     certificate under this subchapter; and
1-58                 (3)  a shareholder who receives compensation from the
1-59     day-to-day operation of the corporation in the form of a salary.
1-60           (g)  The department may not suspend, revoke, or deny all
1-61     certificates of a person who holds more than one inspection station
1-62     certificate based on a suspension, revocation, or denial of one of
1-63     that person's inspection station certificates without proof of
1-64     culpability related to a prior action under this subsection.
 2-1           (h)  The department shall develop, by September 1, 2002, a
 2-2     penalty schedule consisting of warnings, re-education, suspensions,
 2-3     and revocations based on the severity and frequency of offenses
 2-4     committed under Chapter 548, Transportation Code, and rules adopted
 2-5     by the department under this chapter.
 2-6           (i)  The department shall develop, by September 1, 2002, a
 2-7     penalty schedule consisting of suspensions and revocations based on
 2-8     the severity and frequency of offenses committed in the emissions
 2-9     testing of motor vehicles under Chapter 382.037, Health and Safety
2-10     Code, and Chapter 548, Subchapter F, Transportation Code.
2-11           SECTION 3. Section 548.408, Transportation Code, is amended
2-12     by amending Subsections (a), (c), and (f) and adding Subsection (g)
2-13     to read as follows:
2-14           (a)  A person dissatisfied with the final decision [action]
2-15     of the director may appeal the decision [action] by filing a
2-16     petition as provided by Subchapter G, Chapter 2001, Government Code
2-17     [in district court in the county where the person resides or in
2-18     Travis County.  The petition must be filed not later than the 30th
2-19     day after the date the action is taken].
2-20           (c)  The court in which the appeal is filed shall:
2-21                 (1)  set the matter for hearing after 10 days' written
2-22     notice to the director and the attorney representing the director;
2-23     and
2-24                 (2)  determine whether an enforcement action of the
2-25     director shall be suspended pending hearing and enter an order for
2-26     the suspension.
2-27           (f)  A stay under this section may not be effective for more
2-28     than 90 days after the date the petition for appeal is filed.  On
2-29     the expiration of the stay, the director's enforcement action shall
2-30     be reinstated or imposed.  The department or court may not extend
2-31     the stay or grant an additional stay.
2-32           (g)  Judicial review of the final decision of the director is
2-33     under the substantial evidence rule.
2-34           SECTION 4.  Subchapter G, Chapter 548, Transportation Code,
2-35     is amended by adding Section 548.409 to read as follows:
2-36           Sec. 548.409.  COMPLAINTS. (a)  The department shall adopt
2-37     rules regarding the efficient handling and investigation of
2-38     complaints by citizens, applicants, inspectors, and inspection
2-39     stations against an employee or agent of the department who may
2-40     investigate the compliance of an inspection station or inspector
2-41     regarding Subchapter F or rules adopted under Subchapter F or this
2-42     subchapter.
2-43           (b)  The rules must provide for a fair, expeditious, and
2-44     equitable investigation and resolution to complaints received by
2-45     the department.
2-46           SECTION 5. The change in law made by this Act applies only to
2-47     an offense committed on or after the effective date of this Act.
2-48     For the purposes of this section, an offense is committed before
2-49     the effective date of this Act if any element of the offense occurs
2-50     before that date.
2-51           SECTION 6. This Act takes effect September 1, 2001.
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