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A BILL TO BE ENTITLED
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AN ACT
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relating to licensing and regulation of automotive shops, |
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automotive technicians, and automotive service writers, advisors, |
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and estimators; providing penalties. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle A, Title 14, Occupations Code, is |
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amended by adding Chapter 2308 to read as follows: |
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CHAPTER 2308. AUTOMOTIVE SHOPS, TECHNICIANS, AND AUTOMOTIVE |
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SERVICE WRITERS, ADVISORS, AND ESTIMATORS |
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SUBCHAPTER A. GENERAL PROVISIONS |
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Sec. 2308.001. DEFINITIONS. In this chapter: |
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(1) "Advisory board" means the automobile service and |
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repair advisory board. |
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(2) "Automobile" means a passenger automobile or light |
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truck. |
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(3) "Automobile service and repair" means replacing |
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parts, changing fluids, diagnosing problems, painting, or |
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modifying the frame or body of an automobile. |
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(4) "Automotive service writing, advising, and |
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estimating" means evaluating the services and repairs needed to |
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maintain or repair an automobile, estimating the cost of the |
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services and repairs, and writing an order for the services and |
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repairs. |
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(5) "Commission" means the Texas Commission of |
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Licensing and Regulation. |
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(6) "Department" means the Texas Department of |
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Licensing and Regulation. |
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(7) "Executive director" means the executive director |
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of the department. |
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[Sections 2308.002-2308.050 reserved for expansion] |
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SUBCHAPTER B. EXEMPTIONS |
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Sec. 2308.051. SERVICE AND REPAIR WITHOUT COMPENSATION. |
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This chapter does not apply to a person who performs automobile |
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service and repair and who does not receive or expect to receive |
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compensation for the person's labor or from the provision of parts |
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or materials. |
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Sec. 2308.052. EDUCATIONAL FACILITIES. This chapter does |
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not apply to a person who performs automobile service and repair at |
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an educational facility on automobiles owned by the facility. |
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Sec. 2308.053. AUTOMOBILE FLEET OWNERS. This chapter does |
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not apply to an automobile fleet owner or to a person who is |
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employed by an automobile fleet owner who performs automobile |
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service and repair on fleet automobiles. |
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Sec. 2308.054. FRANCHISED DEALERS. This chapter does not |
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apply to a franchised dealer, as defined by Section 2301.002, or to |
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a person employed by a franchised dealer, if the franchised dealer |
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performs automobile service and repair only on automobiles |
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manufactured or distributed under the dealer's franchise. |
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Sec. 2308.055. AGRICULTURAL VEHICLES. This chapter does |
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not apply to a person who performs automobile service and repair on |
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automobiles used primarily for the production, harvest, or |
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transportation of livestock or crops. |
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[Sections 2308.056-2308.100 reserved for expansion] |
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SUBCHAPTER C. POWERS AND DUTIES |
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Sec. 2308.101. GENERAL POWERS AND DUTIES. (a) The |
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executive director shall prescribe the design of an original and a |
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renewal license. |
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(b) The commission shall maintain a record of the |
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commission's proceedings under this chapter. |
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(c) The executive director may authorize disbursements |
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necessary to implement this chapter, including disbursements for |
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office expenses, equipment costs, and other necessary facilities. |
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(d) The commission by rule shall prescribe the term of a |
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license or certificate issued under this chapter. A license or |
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certificate issued under this chapter expires at the end of the |
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term. |
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(e) The executive director by rule shall approve continuing |
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education courses, course content, and course providers. |
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Sec. 2308.102. AMOUNT OF CERTAIN FEES. The commission may |
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base an automotive shop's license fee on the amount of work |
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performed by the shop. |
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Sec. 2308.103. INSURANCE REQUIREMENTS. (a) The executive |
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director shall set insurance requirements for automotive shops |
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licensed under this chapter. |
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(b) The executive director may waive the insurance |
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requirement for an automotive shop that does not engage in |
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automobile service and repair for the public. |
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[Sections 2308.104-2308.150 reserved for expansion] |
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SUBCHAPTER D. CONSUMER INTEREST INFORMATION AND COMPLAINTS |
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Sec. 2308.151. CONSUMER INTEREST INFORMATION. The |
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executive director shall make the information under Section 51.251 |
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available to the public in the form of a pamphlet to be distributed |
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at each licensed automotive shop. |
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Sec. 2308.152. COMPLAINT INFORMATION. (a) The executive |
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director shall provide to the public information about each |
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unresolved complaint under this chapter. |
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(b) The executive director shall provide to the public a |
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list of licensed automotive shops that have no current unresolved |
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complaints. |
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Sec. 2308.153. CONSUMER INFORMATION HOTLINE. In |
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coordination with the telephone information system under Section |
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51.452, the department shall operate a telephone hotline to provide |
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information to consumers about the licensing and complaint |
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procedures under this chapter. |
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[Sections 2308.154-2308.200 reserved for expansion] |
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SUBCHAPTER E. AUTOMOBILE SERVICE AND REPAIR ADVISORY BOARD |
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Sec. 2308.201. ADVISORY BOARD MEMBERSHIP. The automobile |
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service and repair advisory board consists of 12 members appointed |
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by the commission. Four members of the board are representatives of |
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the public and eight are representatives of the automobile service |
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and repair industry. |
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Sec. 2308.202. ADVISORY BOARD DUTIES. (a) The advisory |
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board shall advise the commission in administering and enforcing |
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this chapter. |
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(b) The commission shall give the advisory board the |
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opportunity to review and comment on each proposed rule or |
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amendment to an existing rule under this chapter before adopting |
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the rule or amendment. |
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Sec. 2308.203. TERMS; VACANCY. (a) Advisory board members |
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serve staggered six-year terms. The terms of four elected members |
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expire on February 1 of each odd-numbered year. |
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(b) If a vacancy occurs during a member's term, the |
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presiding officer of the commission, with the commission's |
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approval, shall fill the vacancy for the remainder of the unexpired |
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term with a person who represents the same interests as the |
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predecessor. |
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Sec. 2308.204. PRESIDING OFFICER. The members of the |
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advisory board shall elect one member to serve as presiding officer |
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for a two-year term. |
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Sec. 2308.205. COMPENSATION; REIMBURSEMENT. An advisory |
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board member serves without compensation but is entitled to |
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reimbursement for actual and necessary expenses incurred in |
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performing functions as an advisory board member, subject to any |
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applicable limitation on reimbursement provided by the General |
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Appropriations Act. |
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Sec. 2308.206. MEETINGS. (a) The advisory board shall meet |
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at least every six months and may meet at other times at the call of |
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the presiding officer. |
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(b) The advisory board shall meet in this state at a place |
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designated by the board. |
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Sec. 2308.207. APPLICABILITY OF OTHER LAW. Chapter 2110, |
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Government Code, does not apply to the advisory board. |
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[Sections 2308.208-2308.250 reserved for expansion] |
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SUBCHAPTER F. AUTOMOTIVE SHOP LICENSE REQUIREMENTS |
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Sec. 2308.251. LICENSE REQUIRED. (a) Except as provided by |
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Subsection (b), a person may not operate a business that performs or |
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offers to perform automobile service and repair unless the person |
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holds an automotive shop license issued under this subchapter. |
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(b) A person that submits an application under Section |
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2308.253 may perform automobile service and repair for 90 days |
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after the date the person submits the application. If the executive |
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director denies the initial application for a license under this |
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subchapter, the person may engage in the business of automobile |
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service and repair for 90 days after the date the executive director |
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denies the initial application. |
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Sec. 2308.252. ELIGIBILITY REQUIREMENTS. (a) Each |
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applicant for an automotive shop license must have: |
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(1) a current garagekeeper's insurance policy and a |
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current liability insurance policy in amounts required by |
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commission rule; |
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(2) all occupational and business permits required by |
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the state and by each political subdivision having jurisdiction |
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over the shop; |
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(3) a sales tax permit for the shop issued by the |
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comptroller; |
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(4) a business checking account for the shop; |
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(5) a licensed automotive technician as an owner or |
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full-time manager of the shop; |
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(6) an Employer Identification Number issued by the |
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Internal Revenue Service; |
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(7) an invoice form for use in the shop that meets the |
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requirements of this chapter; and |
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(8) an estimate form for use in the shop that meets the |
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requirements of this chapter. |
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(b) In addition to the requirements in Subsection (a), an |
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applicant that will perform collision repairs must have: |
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(1) a paint spray booth that meets applicable air |
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quality standards; |
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(2) a frame pulling machine; and |
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(3) a frame dimension measurement system that includes |
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current frame dimension specifications. |
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(c) The commission by rule may adopt additional |
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requirements for an applicant for an automotive shop license. |
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Sec. 2308.253. APPLICATION; FEE. (a) An applicant for an |
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automotive shop license must submit a verified application on a |
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form prescribed by the executive director. |
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(b) The application must be accompanied by: |
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(1) evidence that the applicant meets the eligibility |
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requirements under Section 2308.252; |
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(2) a copy of the certificate of formation, articles |
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of incorporation, assumed name certificate, or other applicable |
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documentation establishing the applicant's business entity; and |
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(3) the application fee. |
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[Sections 2308.254-2308.300 reserved for expansion] |
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SUBCHAPTER G. AUTOMOTIVE TECHNICIAN CERTIFICATION REQUIREMENTS |
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Sec. 2308.301. AUTOMOTIVE TECHNICIAN CERTIFICATE REQUIRED. |
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An individual may not perform or offer to perform automobile |
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service and repair unless the individual holds an apprentice, |
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journeyman, or master automotive technician certificate issued |
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under this subchapter. |
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Sec. 2308.302. AUTOMOTIVE TECHNICIAN CERTIFICATE AREAS. |
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(a) The executive director shall issue automotive technician |
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certificates in the following repair areas: |
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(1) engine; |
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(2) automatic transmission and transaxle; |
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(3) manual drive train and axles; |
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(4) suspension and steering; |
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(5) brakes; |
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(6) electrical and electronic systems; |
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(7) heating and air conditioning; |
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(8) engine performance; and |
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(9) paint and collision. |
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(b) The commission by rule shall define the services that a |
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holder of a certificate in each area listed in Subsection (a) is |
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authorized to perform. |
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Sec. 2308.303. ELIGIBILITY REQUIREMENTS. The commission by |
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rule shall establish eligibility requirements for an automotive |
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technician certificate in each area. The commission may accept a |
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certification issued by a national organization, including the |
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National Institute for Automotive Service Excellence and the |
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Inter-Industry Conference on Auto Collision Repair, as |
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satisfaction of all or part of the eligibility requirements for an |
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area. |
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Sec. 2308.304. APPLICATION; FEE. (a) An applicant for an |
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automotive technician certificate must submit a verified |
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application on a form prescribed by the executive director. |
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(b) The application must be accompanied by the application |
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fee. |
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Sec. 2308.305. ISSUANCE OF CERTIFICATE. (a) The executive |
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director shall issue an apprentice certificate in an area listed in |
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Section 2308.302(a) to an applicant who pays the certification fee, |
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meets the eligibility requirements for the area, and has less than |
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two years of continuous, full-time employment related to the area. |
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(b) The executive director shall issue a journeyman's |
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certificate in an area listed in Section 2308.302(a) to an |
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applicant who pays the certification fee, meets the eligibility |
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requirements for the area, and has at least two years of continuous, |
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full-time employment related to the area. |
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(c) The executive director shall issue a master automotive |
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technician certificate to an applicant who pays the certification |
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fee, has at least five years of continuous, full-time experience in |
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automobile service and repair, and meets the requirements for a |
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certificate in each of the following repair areas: |
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(1) engine; |
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(2) automatic transmission and transaxle; |
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(3) manual drive train and axles; |
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(4) suspension and steering; |
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(5) brakes; |
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(6) electrical and electronic systems; |
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(7) heating and air conditioning; and |
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(8) engine performance. |
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(d) The executive director shall issue a master collision |
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repair technician certificate to an applicant who pays the |
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certification fee, has at least five years of continuous, full-time |
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experience in automobile collision repair, and meets additional |
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requirements established by commission rule. |
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Sec. 2308.306. CONTINUING EDUCATION. A certificate holder |
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must complete 30 hours of continuing education each year to renew |
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all certificates the individual holds. |
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[Sections 2308.307-2308.350 reserved for expansion] |
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SUBCHAPTER H. AUTOMOTIVE SERVICE WRITER, ADVISOR, AND ESTIMATOR |
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CERTIFICATION REQUIREMENTS |
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Sec. 2308.351. AUTOMOTIVE SERVICE WRITER, ADVISOR, AND |
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ESTIMATOR CERTIFICATION REQUIRED. (a) Except as provided by |
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Subsection (b), an individual may not provide or offer to provide |
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automotive service writing, advising, and estimating unless the |
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individual holds an automotive service writer, advisor, and |
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estimator certificate issued under this subchapter. |
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(b) This subchapter does not apply to a person employed by |
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an automotive shop that employs fewer than three employees. |
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Sec. 2308.352. ELIGIBILITY REQUIREMENTS. The commission by |
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rule shall establish eligibility requirements for an automotive |
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service writer, advisor, and estimator certificate. The commission |
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may accept a certification issued by a national organization, |
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including the National Institute for Automotive Service Excellence |
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and the Inter-Industry Conference on Auto Collision Repair, as |
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satisfaction of all or part of the eligibility requirements. |
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Sec. 2308.353. APPLICATION; FEE. (a) An applicant for an |
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automotive service writer, advisor, and estimator certificate must |
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submit a verified application on a form prescribed by the executive |
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director. |
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(b) The application must be accompanied by the application |
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fee. |
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Sec. 2308.354. CONTINUING EDUCATION. A certificate holder |
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must complete 12 hours of continuing education each year to renew an |
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automotive service writer, advisor, and estimator certificate. |
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[Sections 2308.355-2308.400 reserved for expansion] |
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SUBCHAPTER I. PRACTICE BY LICENSE HOLDER |
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Sec. 2308.401. CERTIFIED TECHNICIAN REQUIRED. A licensed |
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automotive shop may not provide a service unless the shop employs a |
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full-time automotive technician who holds a certificate that |
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authorizes the technician to perform the service. |
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Sec. 2308.402. DISPLAY OF CERTAIN INFORMATION. (a) Each |
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licensed automotive shop shall display in a place that is visible to |
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customers entering the shop: |
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(1) the shop's sales tax permit; |
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(2) the shop's license certificate; and |
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(3) the telephone number for the consumer information |
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hotline. |
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(b) Each shop shall display the telephone number at which |
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consumers may file a complaint with the department. |
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Sec. 2308.403. AVAILABILITY OF TECHNICIAN CERTIFICATES. |
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Each licensed automotive shop shall maintain a copy of the |
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automotive technician certificate for each technician employed by |
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the shop and shall provide the copies for inspection at the request |
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of a customer or a representative of the department. |
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Sec. 2308.404. ADVERTISING. Each licensed automotive shop |
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shall provide its license number in each advertisement for the |
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shop. |
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Sec. 2308.405. ESTIMATES. (a) Each licensed automotive |
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shop shall provide to each customer a clear written estimate of the |
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charges for repair and diagnostic services authorized by the |
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customer. |
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(b) Each estimate must include the automotive shop's |
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license number. |
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(c) An estimate for a diagnostic service must clearly state |
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whether the fee for the diagnostic service includes returning the |
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automobile to the condition it was in before the diagnostic |
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services were performed. Unless a licensed automotive shop receives |
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specific authorization from the customer, the shop may not charge a |
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fee for tearing down or inspecting an automobile if the fee was not |
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in the estimate provided to the customer. |
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(d) An estimate for a part must clearly state whether the |
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estimated price is for a new, used, rebuilt, or remanufactured |
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part. |
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(e) Each estimate must clearly indicate any service that |
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will be performed by another automotive shop. |
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(f) Each estimate must state whether the parts and labor in |
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the estimate include a warranty. If a warranty is included, the |
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estimate must include a statement of warranty. |
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(g) An estimate may provide the prices of parts and labor in |
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the form of a menu, but the estimate must separately list each type |
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of part and labor operation included in the total estimated price. |
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(h) A licensed automotive shop may not charge a customer a |
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total fee that exceeds by more than 10 percent or $100, whichever is |
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less, the estimated amount, unless the shop first obtains the |
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customer's authorization. |
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(i) An automotive shop may provide an estimate |
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electronically, including by fax or electronic mail. |
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Sec. 2308.406. REPAIR ORDER FORM. (a) Each licensed |
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automotive shop shall develop and use an order form to allow |
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customers to authorize services. The form must include a signature |
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line on which a customer may authorize services at a predetermined |
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price and a separate line on which a customer may authorize services |
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without a prior estimate. The form must provide for recording the |
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date, automobile description, automobile mileage, license plate |
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number, vehicle identification number, and a description of the |
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customer's request or concern about the automobile. |
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(b) An automotive shop shall provide a copy of the completed |
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repair order form to the customer on request. |
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Sec. 2308.407. INVOICE. (a) Each licensed automotive |
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shop shall provide an invoice to each customer. |
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(b) The invoice must include: |
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(1) the name, address, and telephone number of the |
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shop; |
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(2) the shop's license number; |
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(3) a unique invoice number; |
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(4) the date the transaction is completed; |
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(5) a description of the automobile, including the |
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vehicle identification number and the automobile's mileage; |
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(6) the customer's name, address, and telephone |
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number; |
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(7) an itemized list of all labor performed, all |
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material used, and each part replaced, including parts and labor |
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covered under the automobile's warranty; |
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(8) a description of each part as new, used, rebuilt, |
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or remanufactured; |
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(9) a list of any repair performed by another shop; |
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(10) a list of any repairs that the shop considers |
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necessary and that the customer declined; |
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(11) the telephone number at which a consumer may file |
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a complaint with the department; and |
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(12) any applicable statement of warranty. |
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[Sections 2308.408-2308.450 reserved for expansion] |
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SUBCHAPTER J. DISCIPLINARY ACTION AND PROCEDURES |
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Sec. 2308.451. DISCIPLINARY ACTION. A person is subject to |
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the denial of an application or disciplinary action under Section |
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51.353 if the person violates this chapter or a rule adopted under |
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this chapter. |
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Sec. 2308.452. ADMINISTRATIVE PROCEDURES. A proceeding for |
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the denial of a license application or disciplinary action and an |
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appeal from that proceeding is governed by Chapter 2001, Government |
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Code. |
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[Sections 2308.453-2308.500 reserved for expansion] |
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SUBCHAPTER K. PENALTIES AND ENFORCEMENT PROVISIONS |
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Sec. 2308.501. EMERGENCY AND CEASE AND DESIST ORDERS. (a) |
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The executive director may issue an emergency order as necessary to |
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enforce this chapter if the executive director determines that an |
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emergency exists requiring immediate action to protect the public |
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health and safety. |
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(b) The executive director may issue the emergency order |
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without notice and hearing or with any notice and hearing the |
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executive director considers practicable under the circumstances. |
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The executive director shall set the time and place for a hearing to |
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affirm, modify, or set aside an emergency order that was issued |
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without a hearing. |
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(c) The executive director may issue a cease and desist |
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order. |
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Sec. 2308.502. CRIMINAL PENALTY. (a) A person commits an |
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offense if the person violates this chapter or a rule adopted under |
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this chapter. |
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(b) An offense under this section is a Class C misdemeanor. |
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Sec. 2308.503. TERMINATION OF UTILITY SERVICE. If the |
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commission determines that an automotive shop is operating without |
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a license required by this chapter, the executive director may |
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authorize a political subdivision to: |
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(1) discontinue utility service provided by the |
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political subdivision to the location where the violation is |
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occurring; or |
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(2) require a public utility operating with a |
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franchise to use the public right-of-way of the political |
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subdivision to discontinue utility service to the location where |
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the violation is occurring. |
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SECTION 2. Not later than November 1, 2007, the Texas |
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Commission of Licensing and Regulation shall appoint initial |
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members of the automotive service and repair advisory board. The |
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commission shall appoint four members to terms expiring February 1, |
|
2009, four members to terms expiring February 1, 2011, and four |
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members to terms expiring February 1, 2013. |
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SECTION 3. Not later than January 1, 2008, the Texas |
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Commission of Licensing and Regulation shall adopt rules, |
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procedures, forms, and fees under Chapter 2308, Occupations Code, |
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as added by this Act. |
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SECTION 4. Regardless of whether the applicant meets the |
|
requirements of Subchapter G, Chapter 2308, Occupations Code, as |
|
added by this Act, the Texas Department of Licensing and Regulation |
|
shall issue a journeyman automotive technician certificate in an |
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area listed in Section 2308.302(a), Occupations Code, as added by |
|
this Act, to an applicant under this section who: |
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(1) applies for a certificate not later than December |
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31, 2008; |
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(2) demonstrates to the satisfaction of the department |
|
that the applicant has at least five years of experience in the |
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area; and |
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(3) pays the application fee set by the Texas |
|
Commission of Licensing and Regulation. |
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SECTION 5. Regardless of whether the applicant meets the |
|
requirements of Subchapter H, Chapter 2308, Occupations Code, as |
|
added by this Act, the Texas Department of Licensing and Regulation |
|
shall issue an automotive service writer, advisor, and estimator |
|
certificate to an applicant under this section who: |
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(1) applies for a certificate not later than December |
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31, 2008; |
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(2) demonstrates to the satisfaction of the department |
|
that the applicant has: |
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(A) at least five years of experience in |
|
automotive service writing, advising, and estimating; or |
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(B) at least 20 hours of automotive service |
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advisor training in the five years preceding the date the person |
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submits an application under this section; and |
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(3) pays the application fee set by the Texas |
|
Commission of Licensing and Regulation. |
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SECTION 6. (a) Except as provided by Subsection (b) of |
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this section, this Act takes effect September 1, 2007. |
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(b) Subchapter I and Sections 2308.251, 2308.301, 2308.351, |
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and 2308.502, Occupations Code, as added by this Act, take effect |
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September 1, 2008. |