By: Brown S.B. No. 787
2001S0533/1
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to certain regulations regarding the sale and operation of
1-3 certain vehicles.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subsection (b), Section 501.0234, Transportation
1-6 Code, is amended to read as follows:
1-7 (b) This section does not apply to a vehicle:
1-8 (1) that has been declared a total loss by an
1-9 insurance company in the settlement or adjustment of a claim; [or]
1-10 (2) for which the certificate of title has been
1-11 surrendered in exchange for:
1-12 (A) a salvage certificate of title issued under
1-13 this chapter;
1-14 (B) a nonrepairable motor vehicle certificate of
1-15 title issued under this chapter;
1-16 (C) a certificate of authority issued under
1-17 Subchapter D, Chapter 683; or
1-18 (D) an ownership document issued by another
1-19 state that is comparable to a document described by Paragraphs
1-20 (A)-(C);or
1-21 (3) with a gross weight in excess of 11,000 pounds.
1-22 SECTION 2. Section 501.074, Transportation Code, is amended
1-23 by adding Subsection (d) to read as follows:
1-24 (d) To the extent of a conflict between this section and
1-25 another law, this section controls.
2-1 SECTION 3. Sections 503.001, 503.002, and 503.003,
2-2 Transportation Code, are amended to read as follows:
2-3 Sec. 503.001. DEFINITIONS. In this chapter:
2-4 (1) "Board" means the Motor Vehicle Board of the Texas
2-5 Department of Transportation.
2-6 (2) "Commission" means the Texas Transportation
2-7 Commission.
2-8 (3) "Converter" has the meaning assigned by the Texas
2-9 Motor Vehicle Commission Code (Article 4413(36), Vernon's Texas
2-10 Civil Statutes).
2-11 (4) [(2)] "Dealer" means a person who regularly and
2-12 actively buys, sells, or exchanges vehicles at an established and
2-13 permanent location. The term includes a franchised motor vehicle
2-14 dealer, an independent motor vehicle dealer, and a wholesale motor
2-15 vehicle dealer.
2-16 (5) [(3)] "Department" means the Texas Department of
2-17 Transportation.
2-18 (6) [(4)] "Drive-a-way operator" means a person who
2-19 transports and delivers a vehicle in this state from the
2-20 manufacturer or another point of origin to a location in this state
2-21 using the vehicle's own power or using the full-mount method, the
2-22 saddle-mount method, the tow-bar method, or a combination of those
2-23 methods.
2-24 (7) [(5)] "Franchise" has the meaning assigned by the
2-25 Texas Motor Vehicle Commission Code (Article 4413(36), Vernon's
2-26 Texas Civil Statutes).
3-1 (8) [(6)] "Franchised motor vehicle dealer" means a
3-2 person engaged in the business of buying, selling, or exchanging
3-3 new motor vehicles at an established and permanent place of
3-4 business under a franchise in effect with a motor vehicle
3-5 manufacturer or distributor.
3-6 (9) [(7)] "Independent motor vehicle dealer" means a
3-7 dealer other than a franchised motor vehicle dealer or a wholesale
3-8 motor vehicle dealer.
3-9 (10) [(8)] "Manufacturer" means a person who
3-10 manufactures, distributes, or assembles new vehicles.
3-11 (11) [(9)] "Motorcycle" has the meaning assigned by
3-12 Section 502.001.
3-13 (12) [(10)] "Motor vehicle" has the meaning assigned
3-14 by Section 502.001.
3-15 (13) [(11)] "Semitrailer" has the meaning assigned by
3-16 Section 502.001.
3-17 (14) [(12)] "Trailer" has the meaning assigned by
3-18 Section 502.001.
3-19 (15) [(13)] "Vehicle" means a motor vehicle,
3-20 motorcycle, house trailer, trailer, or semitrailer.
3-21 (16) [(14)] "Wholesale motor vehicle auction" means
3-22 the offering of a motor vehicle for sale to the highest bidder
3-23 during a transaction that is one of a series of regular periodic
3-24 transactions that occur at a permanent location.
3-25 (17) [(15)] "Wholesale motor vehicle dealer" means a
3-26 dealer who sells motor vehicles only to a person who is:
4-1 (A) the holder of a dealer's general
4-2 distinguishing number; or
4-3 (B) a foreign dealer authorized by a law of this
4-4 state or interstate reciprocity agreement to purchase a vehicle in
4-5 this state without remitting the motor vehicle sales tax.
4-6 Sec. 503.002. RULES. The board [commission] may adopt rules
4-7 for the administration of this chapter.
4-8 Sec. 503.003. DISPLAY OR SALE OF NONMOTORIZED VEHICLE OR
4-9 TRAILER. This chapter does not prohibit the display or sale of a
4-10 nonmotorized vehicle or trailer at a regularly scheduled vehicle or
4-11 boat show involving [with] multiple dealers conducted [vendors] in
4-12 accordance with board [commission] rules.
4-13 SECTION 4. Section 503.006, Transportation Code, is amended
4-14 to read as follows:
4-15 Sec. 503.006. NOTICE OF CHANGE OF ADDRESS. A dealer or
4-16 manufacturer who has been issued dealer's, converter's, or
4-17 manufacturer's license plates shall notify the department of a
4-18 change to the dealer's, converter's, or manufacturer's address not
4-19 later than the 10th day after the date the change occurs.
4-20 SECTION 5. Subsection (b), Section 503.027, Transportation
4-21 Code, is amended to read as follows:
4-22 (b) If a person is not otherwise prohibited from doing
4-23 business as a dealer at more than one location in the territory of
4-24 a municipality, a person may buy, sell, or exchange a vehicle of
4-25 the type for which the person holds a dealer general distinguishing
4-26 number from more than one location in the territory of the
5-1 municipality without obtaining an additional dealer general
5-2 distinguishing number. Each location must comply with the
5-3 requirements prescribed by this chapter and board [commission]
5-4 rules relating to an established and permanent place of business.
5-5 SECTION 6. Subsection (g), Section 503.033, Transportation
5-6 Code, is amended to read as follows:
5-7 (g) This section does not apply to a person licensed as a
5-8 franchised motor vehicle dealer by the board [department's Motor
5-9 Vehicle Board].
5-10 SECTION 7. Subsection (c), Section 503.034, Transportation
5-11 Code, is amended to read as follows:
5-12 (c) A dealer's general distinguishing number expires on
5-13 March 31 of each year, unless provided otherwise by law or rule of
5-14 the board [department's Motor Vehicle Board].
5-15 SECTION 8. Section 503.066, Transportation Code, is amended
5-16 by deleting Subsection (d) and by amending and redesignating
5-17 existing Subsection (e) as Subsection (d) to read as follows:
5-18 (d) [License plates shall be mailed to qualified applicants
5-19 during February and March.]
5-20 [(e)] A license plate issued under this section expires on
5-21 March 31 of the year after the year of issuance, unless provided
5-22 otherwise by law or rule of the board [department's Motor Vehicle
5-23 Board].
5-24 SECTION 9. Subsection (a), Section 503.069, Transportation
5-25 Code, is amended to read as follows:
5-26 (a) A license plate, other than an in-transit license plate,
6-1 or a temporary cardboard tag issued under this chapter shall be
6-2 displayed in accordance with board [commission] rules.
6-3 SECTION 10. This Act takes effect immediately if it receives
6-4 a vote of two-thirds of all the members elected to each house, as
6-5 provided by Section 39, Article III, Texas Constitution. If this
6-6 Act does not receive the vote necessary for immediate effect, this
6-7 Act takes effect September 1, 2001.