H.B. No. 1018




AN ACT
relating to the amount of liability insurance required to be maintained on certain school buses owned by a motor carrier. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 643.101(b), Transportation Code, is amended to read as follows: (b) Except as provided by Section 643.1015, the [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. SECTION 2. Subchapter C, Chapter 643, Transportation Code, is amended by adding Section 643.1015 to read as follows: Sec. 643.1015. AMOUNT REQUIRED FOR CERTAIN SCHOOL BUSES. (a) This section applies only to a school bus that: (1) is owned by a motor carrier required to be registered under Subchapter B; (2) is in compliance with the requirements of Chapter 548; and (3) is operated exclusively within the boundaries of a municipality by a person who: (A) holds a driver's license or commercial driver's license of the appropriate class required for the operation of the school bus; and (B) meets the requirements of Section 521.022. (b) The owner of a school bus shall maintain liability insurance in the amount of at least $500,000 combined single limit. (c) In this section, "school bus" means a motor vehicle that is operated by a motor carrier and used to transport preprimary, primary, or secondary school students on a route between the students' residences and a public, private, or parochial school or day-care facility. SECTION 3. Section 643.103(a), Transportation Code, is amended to read as follows: (a) A motor carrier that is required to register under Subchapter B must file with the department evidence of insurance in the amounts required by Section 643.101 or 643.1015, or evidence of financial responsibility as described by Section 643.102, in a form prescribed by the department. The form must be filed: (1) at the time of the initial registration; (2) at the time of a subsequent registration if the motor carrier was required to be continuously registered under Subchapter B and the carrier failed to maintain continuous registration; (3) at the time a motor carrier changes insurers; and (4) at the time a motor carrier changes ownership, as determined by rules adopted by the department. SECTION 4. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2005. ______________________________ ______________________________ President of the Senate Speaker of the House I certify that H.B. No. 1018 was passed by the House on April 22, 2005, by the following vote: Yeas 143, Nays 0, 2 present, not voting; and that the House concurred in Senate amendments to H.B. No. 1018 on May 16, 2005, by the following vote: Yeas 138, Nays 0, 2 present, not voting. ______________________________ Chief Clerk of the House I certify that H.B. No. 1018 was passed by the Senate, with amendments, on May 12, 2005, by the following vote: Yeas 31, Nays 0. ______________________________ Secretary of the Senate APPROVED: __________________ Date __________________ Governor