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A BILL TO BE ENTITLED
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AN ACT
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relating to the transfer of a used motor vehicle. | 
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       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
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       SECTION 1.  Sections 520.023(a) and (c), Transportation  | 
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Code, are amended to read as follows: | 
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       (a)  On receipt of a written notice of transfer from the  | 
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transferor of a motor vehicle, the department shall indicate the  | 
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transfer on the motor vehicle records maintained by the department.   | 
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As an alternative to a written notice of transfer, the department  | 
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shall establish procedures that permit the transferor of a motor  | 
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vehicle to electronically submit a notice of transfer to the  | 
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department through the department's Internet website.  A notice of  | 
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transfer provided through the department's Internet website is not  | 
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required to bear the signature of the transferor or include the date  | 
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of signing. | 
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       (c)  This subsection applies only if the department receives  | 
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notice under Subsection (a) before the 30th day after the date the  | 
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transferor delivered possession of the vehicle to the transferee. | 
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After the date of the transfer of the vehicle shown on the records  | 
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of the department, the transferee of the vehicle shown on the  | 
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records is rebuttably presumed to be: | 
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             (1)  the owner of the vehicle;  and | 
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             (2)  subject to civil and criminal liability arising  | 
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out of the use, operation, or abandonment of the vehicle, to the  | 
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extent that ownership of the vehicle subjects the owner of the  | 
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vehicle to criminal or civil liability under another provision of  | 
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law. | 
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       SECTION 2.  Section 520.031, Transportation Code, is amended  | 
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by adding Subsection (d) to read as follows: | 
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       (d)  Notwithstanding Subsection (a), if the transferee is a  | 
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member of the armed forces of the United States, a member of the  | 
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Texas National Guard or of the National Guard of another state  | 
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serving on active duty under an order of the president of the United  | 
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States, or a member of a reserve component of the armed forces of  | 
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the United States serving on active duty under an order of the  | 
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president of the United States, the documents described by  | 
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Subsection (a) must be filed with the county assessor-collector not  | 
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later than the 60th working day after the date of their receipt by  | 
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the transferee. | 
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       SECTION 3.  Section 520.032, Transportation Code, is amended  | 
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by amending Subsection (b) and adding Subsections (b-1) and (d) to  | 
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read as follows: | 
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       (b)  If the transferee does not file the application during  | 
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the period provided by Section 520.031, the transferee is liable  | 
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for a [$10] late fee to be paid to the county assessor-collector  | 
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when the application is filed.  If the transferee holds a general  | 
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distinguishing number issued under Chapter 503 of this code or  | 
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Chapter 2301, Occupations Code, the amount of the late fee is $10.   | 
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If the transferee does not hold a general distinguishing number,  | 
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subject to Subsection (b-1) the amount of the late fee is $25. | 
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       (b-1)  If the application is filed after the 31st working day  | 
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after the date the transferee received the documents under Section  | 
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520.022, the late fee imposed under Subsection (b) accrues an  | 
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additional penalty in the amount of $25 for each subsequent 30-day  | 
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period, or portion of a 30-day period, in which the application is  | 
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not filed. | 
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       (d)  Subsections (b) and (b-1) do not apply if the motor  | 
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vehicle is eligible to be issued: | 
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             (1)  classic vehicle license plates under Section  | 
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504.501; or | 
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             (2)  antique vehicle license plates under Section  | 
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504.502. | 
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       SECTION 4.  Section 520.033, Transportation Code, is amended  | 
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by amending Subsection (a) and adding Subsection (c) to read as  | 
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follows: | 
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       (a)  The county assessor-collector may retain as commission  | 
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for services provided under this subchapter half of each transfer  | 
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fee collected, [and] half of each late fee, and half of each  | 
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additional penalty collected under Section 520.032. | 
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       (c)  Of each late fee collected from a person who does not  | 
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hold a general distinguishing number that the department receives  | 
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under Subsection (b), $10 may be used only to fund a statewide  | 
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public awareness campaign designed to inform and educate the public  | 
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about the provisions of this chapter. | 
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       SECTION 5.  The change in law made by this Act applies only  | 
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to the transfer of a used motor vehicle that occurs on or after the  | 
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effective date of this Act.  The transfer of a used motor vehicle  | 
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that occurs before the effective date of this Act is governed by the  | 
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law in effect at the time of the transfer, and the former law is  | 
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continued in effect for that purpose. | 
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       SECTION 6.  This Act takes effect January 1, 2008. | 
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