78R6302 E

By:  Hill                                                         H.B. No. 1808


A BILL TO BE ENTITLED
AN ACT
relating to the regulation of tow trucks by political subdivisions of this state; providing a penalty. 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 the motor carrier proposes to operate, or in the case of a tow truck, a fee of $25 for each tow truck registered; (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. Section 643.057, Transportation Code, is amended to read as follows: Sec. 643.057. ADDITIONAL VEHICLES AND FEES. (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 and in the case of a tow truck a $25 fee 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 $10 registration fee for a vehicle that replaces a vehicle for which the fee has been paid or the $25 registration fee for a tow truck that replaces a tow truck. (c) A registered motor carrier may not transport household goods or a hazardous material unless the carrier shows the department evidence of insurance or financial responsibility in an amount at least equal to the amount set by the department under Section 643.101 for a vehicle carrying household goods or a hazardous material. (d) The department may not collect more than $10 in equipment registration fees for a vehicle registered under both this subchapter and Chapter 645 or $25 for each tow truck. SECTION 3. Section 643.058, Transportation Code, is amended to read as follows: Sec. 643.058. RENEWAL OF REGISTRATION. (a) Except as provided in Section 643.061, a registration issued under this subchapter is valid for one year. The department may adopt a system under which registrations expire at different times during the year. (b) At least 30 days before the date on which a motor carrier's registration expires, the department shall notify the carrier of the impending expiration. The notice must be in writing and sent to the motor carrier's last known address according to the records of the department. (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 or in the case of a tow truck a fee of $25 requiring registration 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 643.101, Transportation Code, is amended to read as follows: Sec. 643.101. AMOUNT REQUIRED. (a) A motor carrier required to register under Subchapter B shall maintain liability insurance in an amount set by the department for each vehicle requiring registration the carrier operates. (b) The department by rule may set the amount of liability insurance required at an amount that does not exceed the amount required for a motor carrier under a federal regulation adopted under 49 U.S.C. Section 13906(a)(1). In setting the amount the department shall consider: (1) the class and size of the vehicle; and (2) the persons or cargo being transported. (c) A motor carrier required to register under Subchapter B that transports household goods shall maintain cargo insurance in the amount required for a motor carrier transporting household goods under federal law. (d) A tow truck as described under Section 643.001(7) which performs nonconsent tows shall maintain on-hook cargo insurance in the amount of $50,000. SECTION 5. Section 643.201, Transportation Code, is amended to read as follows: Sec. 643.201. TOW TRUCK REGULATION BY POLITICAL SUBDIVISIONS. (a) In addition to the registration requirements of Subchapter B, a political subdivision of this state may regulate the operation of a tow truck to the extent allowed by federal law. (b) A political subdivision may not require the registration of a tow truck that performs consent tows in the political subdivision unless the owner of the tow truck has a place of business in the territory of the political subdivision. (c) A political subdivision may require the registration of a tow truck that performs a nonconsent tow in the political subdivision, regardless of whether the owner of the tow truck has a place of business in the territory of the political subdivision. (d) A political subdivision may not require a person who holds a driver's license or commercial driver's license to obtain a license or permit for operating a tow truck unless the person performs nonconsent tows in the territory of the political subdivision. A fee charged for a license or permit may not exceed $15. (e) In this section: (1) "Commercial driver's license" has the meaning assigned by Section 522.003. (2) "Consent tow" means any tow of a motor vehicle initiated by the owner or operator of the vehicle or by a person who has possession, custody, or control of the vehicle. The term does not include a tow of a motor vehicle initiated by a peace officer investigating a traffic accident or a traffic incident that involves the vehicle. (3) "Driver's license" has the meaning assigned by Section 521.001. (4) "Nonconsent tow" means any tow of a motor vehicle that is not a consent tow. (f) Fees for nonconsent tows: (1) A political subdivision may regulate the fee for any nonconsent tow of a motor vehicle. If the political subdivision does not regulate the fee for a nonconsent tow of a motor vehicle from private property, the towing company may charge a fee for towing and removal of the motor vehicle. Said fee shall not exceed one and one-half times that fee which would have been charged for a nonconsent tow made at the request of a law enforcement agency in the political subdivision in which the private property is located. (2) Any nonconsent towed motor vehicle shall be delivered to a vehicle storage facility licensed pursuant to the Vehicle Storage Facility Act (Article 6687-9a, Revised Statutes). Upon delivery of the motor vehicle to the vehicle storage facility, all storage and notification fees for nonconsent tows shall be regulated by the Vehicle Storage Facility Act (Article 6687-9a, Revised Statutes). Except as provided by this Act or the Vehicle Storage Facility Act (Article 6687-9a, Revised Statutes), no fees may be charged without prior written consent of the vehicle owner or operator. (3) All towing and storage fees shall be posted at the licensed vehicle storage facility in which the motor vehicle has been delivered and shall be posted in view of the person who claims the vehicle. The towing company shall before the 31st day of January of each calendar year submit the nonconsent towing fees to the department. If such fees are regulated by the political subdivision and the political subdivision makes a rate change, the towing company shall submit such changes in the towing fees to the department within 30 days of the date of the change in fees. (4) A political subdivision that regulates nonconsent tow rates shall establish procedures by which towing companies may request a rate study based upon accounting and financial information and shall determine a fair value for such services, reasonably related to any financial or accounting information that may be provided. SECTION 6. Section 643.253, Transportation Code, is amended to read as follows: Sec. 643.253. CRIMINAL PENALTY. (a) A person commits an offense if the person fails to: (1) register as required by Subchapter B or Section 643.153(c); (2) maintain insurance or evidence of financial responsibility as required by Subchapter C or Section 643.153; or (3) keep a cab card in the cab of a vehicle as required by Section 643.059. (b) A person commits an offense if the person solicits the transportation of household goods for compensation and is not registered as required by Subchapter B or Section 643.153. (c) An offense under this section is a Class C misdemeanor. (d) A person commits an offense if the person violates Section 643.201 or any other rule or regulation for tow trucks. (1) An offense under this subsection is a Class C misdemeanor punishable by a fine of not less than $200 and not more than $1,000. (2) Any fee not authorized under Section 643.201 shall be a violation of this section. (3) Each nonconsent tow is considered a separate violation. (4) Any fees charged but not posted in accordance with this section may be deemed a violation. (5) Any peace officer may write a ticket for a violation of this section or the department may suspend or revoke a permit for a violation. SECTION 7. Section 685.009, Transportation Code, is amended to read as follows: Sec. 685.009. HEARING. (a) A hearing under this chapter shall be held before the seventh working day after the date the court receives the request for the hearing. (b) The court shall notify the person who requested the hearing and the person or law enforcement agency that authorized the removal of the vehicle of the date, time, and place of the hearing. (c) The issues [sole issue] in a hearing under this chapter are [is] whether probable cause existed for the removal and placement of the vehicle and if the towing charges exceed the amount established in Section ___ of this code. (d) The court shall make written findings of fact and a conclusion of law. (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) any towing amounts charged to a vehicle owner or operator that are in excess of the limits set in Section ___ of this code. SECTION 8. This Act takes effect September 1, 2003.