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By:  Hill                                                         H.B. No. 1808


A BILL TO BE ENTITLED
AN ACT
relating to the regulation of tow trucks and to the authority of a political subdivision of this state to regulate tow trucks; providing penalties. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 643.053, Transportation Code, is amended to read as follows: Sec. 643.053. FILING OF APPLICATION. An application under Section 643.052 must be filed with the department and accompanied by: (1) an application fee of $100 plus a $10 fee for each vehicle requiring registration other than a tow truck or a $25 fee for each tow truck the motor carrier proposes to operate; (2) evidence of insurance or financial responsibility as required by Section 643.103(a); and (3) any insurance filing fee required under Section 643.103(c). SECTION 2. Sections 643.057(a), (b), and (d), Transportation Code, are amended to read as follows: (a) A motor carrier may not operate an additional vehicle requiring registration unless the carrier pays a registration fee of $10 for each additional vehicle other than a tow truck or $25 for each tow truck and shows the department evidence of insurance or financial responsibility for the vehicle in an amount at least equal to the amount set by the department under Section 643.101. (b) A motor carrier is not required to pay the applicable [$10] registration fee under Subsection (a) for a vehicle for which the same fee is required and that replaces a vehicle for which the fee has been paid. (d) The department may not collect more than $10 in equipment registration fees for a vehicle other than a tow truck registered under both this subchapter and Chapter 645 or more than $25 if the vehicle is a tow truck. SECTION 3. Section 643.058(c), Transportation Code, is amended to read as follows: (c) A motor carrier may renew a registration under this subchapter by: (1) supplementing the application with any new information required under Section 643.056; (2) paying a $10 fee for each vehicle requiring registration other than a tow truck or a fee of $25 for each tow truck the carrier operates; and (3) providing the department evidence of continuing insurance or financial responsibility in an amount at least equal to the amount set by the department under Section 643.101. SECTION 4. Section 643.061(b), Transportation Code, is amended to read as follows: (b) A motor carrier applying for registration under this section must pay: (1) a $20 fee for each vehicle registered other than a tow truck or a fee of $50 for each tow truck under Subsection (a)(1); (2) a $10 fee for each vehicle registered other than a tow truck or a fee of $25 for each tow truck under Subsection (a)(2); and (3) application and insurance filing fees the department by rule adopts in an amount not to exceed $100 each. SECTION 5. Section 643.101, Transportation Code, is amended by adding Subsection (d) to read as follows: (d) The owner of a tow truck that is used to perform nonconsent tows, as defined by Section 643.201, shall maintain on-hook cargo insurance in the amount of at least $50,000 per truck. SECTION 6. Subchapter E, Chapter 643, Transportation Code, is amended by adding Sections 643.203, 643.204, 643.205, 643.206, 643.207, and 643.208 to read as follows: Sec. 643.203. REGULATION BY POLITICAL SUBDIVISIONS OF FEES FOR NONCONSENT TOWS. The governing body of a political subdivision may regulate the fees that may be charged or collected in connection with a nonconsent tow originating in the territory of the political subdivision. Sec. 643.204. TOWING FEE STUDIES. (a) The governing body of a political subdivision that regulates nonconsent tow fees shall establish procedures by which a towing company may request that a towing fee study be performed. (b) The governing body of the political subdivision shall establish or amend the allowable fees for nonconsent tows at amounts that represent the fair value of the services of a towing company and are reasonably related to any financial or accounting information provided to the governing body. Sec. 643.205. FEES FOR NONCONSENT TOWS IN OTHER AREAS. In an area in which no political subdivision regulates the fees that may be charged or collected for a nonconsent tow from private property, a towing company may charge and collect a fee for the tow of a motor vehicle from private property in an amount not to exceed an amount equal to 150 percent of the fee that the towing company would have been authorized to charge for a nonconsent tow made at the request of a peace officer of the political subdivision in which the private property is located. Except as provided by this chapter or the Vehicle Storage Facility Act (Chapter 2303, Occupations Code), a fee may not be charged or collected without the prior written consent of the vehicle owner or operator. Sec. 643.206. STORAGE OF TOWED VEHICLES. (a) A towing company that makes a nonconsent tow shall tow the vehicle to a vehicle storage facility that is operated by a person who holds a license to operate the facility under the Vehicle Storage Facility Act (Chapter 2303, Occupations Code). (b) A storage or notification fee imposed in connection with a motor vehicle towed to a vehicle storage facility is governed by the Vehicle Storage Facility Act (Chapter 2303, Occupations Code). Sec. 643.207. REQUIRED FILING. (a) Before January 31 of each year, a towing company shall file with the department a schedule showing each towing fee that the towing company charges or collects in connection with a nonconsent tow. (b) If a political subdivision begins regulating nonconsent tow fees, the fees shall be reported to the department by the towing company before the 30th day after the regulation goes into effect. (c) Any changes in nonconsent tow fees regulated by a political subdivision shall be reported to the department by the towing company before the 30th day after the effective date of the change. (d) The department shall make towing fee schedules available on the department's Internet website. The department shall make no determination as to the reasonableness of a towing fee schedule. Sec. 643.208. REQUIRED POSTING. All towing and storage fees shall be posted at the licensed vehicle storage facility to which the motor vehicle has been delivered and shall be posted in view of the person who claims the vehicle. SECTION 7. Section 643.252(a), Transportation Code, is amended to read as follows: (a) The department may suspend or revoke a registration issued under this chapter or place on probation a motor carrier whose registration is suspended if a motor carrier: (1) fails to maintain insurance or evidence of financial responsibility as required by Section 643.101(a), (b), [or] (c), or (d) or 643.153(b); (2) fails to keep evidence of insurance in the cab of each vehicle as required by Section 643.103(b); (3) fails to register a vehicle requiring registration; (4) knowingly provides false information on any form filed with the department under this chapter; or (5) violates a rule adopted under Section 643.063. SECTION 8. The heading to Section 643.253, Transportation Code, is amended to read as follows: Sec. 643.253. OFFENSES AND PENALTIES [CRIMINAL PENALTY]. SECTION 9. Section 643.253, Transportation Code, is amended by amending Subsection (c) and adding Subsections (d)-(f) to read as follows: (c) Except as provided by Subsection (e), an [An] offense under this section is a Class C misdemeanor. (d) A person commits an offense if the person: (1) violates an ordinance, resolution, order, rule, or regulation of a political subdivision adopted under Section 643.201 or 643.203, for which the political subdivision does not prescribe the penalty; (2) charges or collects a fee in a political subdivision that regulates the operation of tow trucks under Section 643.201 or 643.203 that is not authorized or is greater than the authorized amount of the fee; (3) charges or collects a fee greater than the amount authorized under Section 643.205; (4) charges or collects a fee in excess of the amount filed with the department under Section 643.207; (5) violates Section 643.206; or (6) violates a rule of the department applicable to a tow truck and towing company. (e) An offense under Subsection (d) is a misdemeanor punishable by a fine of not less than $200 or more than $1,000 per violation. (f) A peace officer may write a ticket for a violation under this section. SECTION 10. Sections 685.009(c) and (e), Transportation Code, are amended to read as follows: (c) The issues [sole issue] in a hearing under this chapter are: (1) [is] whether probable cause existed for the removal and placement of the vehicle; (2) whether a towing charge imposed or collected in connection with the removal or placement of the vehicle was greater than the amount authorized by the political subdivision under Section 643.201 or 643.203; (3) whether a towing charge imposed or collected in connection with the removal or placement of the vehicle was greater than the amount authorized under Section 643.204 or 643.205; or (4) whether a towing charge imposed or collected in connection with the removal or placement of the vehicle was greater than the amount filed with the department under Section 643.207. (e) The court may award: (1) court costs to the prevailing party; [and] (2) the reasonable cost of photographs submitted under Section 685.007(b)(8) to a vehicle owner or operator who is the prevailing party; and (3) an amount equal to the amount that the towing charge exceeded fees regulated by a political subdivision or authorized by this code or by the Vehicle Storage Facility Act (Chapter 2303, Occupations Code). SECTION 11. (a) This Act takes effect September 1, 2003. (b) The change in law made by this Act applies only to an offense committed on or after September 1, 2003. (c) An offense committed before September 1, 2003, is covered by the law in effect when the offense was committed, and the former law is continued in effect for that purpose. For purposes of this section, an offense was committed before September 1, 2003, if any element of the offense was committed before that date.