81R117 JD-D
 
  By: Berman H.B. No. 259
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the impoundment of motor vehicle license plates and the
  suspension of the vehicle registration for failure to maintain
  financial responsibility.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  The heading to Subchapter I, Chapter 601,
  Transportation Code, is amended to read as follows:
  SUBCHAPTER I. FAILURE TO MAINTAIN EVIDENCE OF FINANCIAL
  RESPONSIBILITY; IMPOUNDMENT OF MOTOR VEHICLE OR LICENSE PLATES
         SECTION 2.  Subchapter I, Chapter 601, Transportation Code,
  is amended by adding Sections 601.268 and 601.269 to read as
  follows:
         Sec. 601.268.  IMPOUNDMENT OF LICENSE PLATES BY PEACE
  OFFICER. (a) If a person required by Section 601.053 to provide to
  a peace officer evidence of financial responsibility for a motor
  vehicle fails to provide that evidence, the officer shall:
               (1)  remove each license plate that is attached to the
  vehicle, require the operator of or a passenger in the vehicle to
  remove each license plate, or require the vehicle to be driven or
  towed, at the operator's expense, to a location where each license
  plate may be safely removed from the vehicle;
               (2)  issue the person:
                     (A)  written notice, which shall be included on
  the form required by Paragraph (B), that registration of the
  vehicle from which the license plate was removed will be suspended
  by the Texas Department of Transportation if the owner or operator
  of the vehicle does not:
                           (i)  recover the removed license plate
  before the 11th calendar day after the date the license plate was
  removed; or
                           (ii)  after the 11th calendar day after the
  date the license plate was removed but not later than the 60th day
  after the date of removal, apply for replacement license plates;
                     (B)  a written explanation, on a form designed by
  the department, as to how:
                           (i)  within 10 calendar days after the date
  of impoundment, the owner or operator of the vehicle may recover a
  removed license plate from the law enforcement agency that employs
  the peace officer; or
                           (ii)  on or after the 11th calendar day after
  the date of impoundment but not later than the 60th day after the
  date of impoundment, the owner of the vehicle may apply for
  replacement license plates through the appropriate county
  assessor-collector; and
                     (C)  a temporary license plate designed by the
  Texas Department of Transportation that:
                           (i)  when attached to the rear of the
  vehicle, authorizes the operation of the vehicle for a period that
  expires on the 10th calendar day after its date of issuance; and
                           (ii)  shows on its face the expiration date
  of the temporary license plate; and
               (3)  provide for the secure impoundment of each removed
  plate for the vehicle at the offices of the law enforcement agency
  that employs the peace officer.
         (b)  Before the 11th day after the date of impoundment, the
  law enforcement agency that impounds a license plate under
  Subsection (a) shall release the plate to the owner or operator of
  the vehicle from which the plate was removed if the owner or
  operator:
               (1)  provides to the law enforcement agency evidence
  consistent with:
                     (A)  Section 601.053, showing that on the date the
  plate was removed, the motor vehicle was in compliance with Section
  601.051;
                     (B)  Section 601.052, showing that on that date
  the vehicle was exempt from the requirements of Section 601.051; or
                     (C)  Section 601.053, showing that financial
  responsibility for the vehicle has been obtained and is valid, at a
  minimum, for the 180-day period that begins on the date that release
  of the impounded license plate is applied for; and
               (2)  pays the applicable administrative fee to the law
  enforcement agency in the amount established by department rule.
         (c)  If on or after the 11th calendar day after the date of
  impoundment but not later than the 60th day after the date of
  impoundment, the owner or operator of the vehicle provides proof
  described by Subsection (b) to the law enforcement agency that
  impounded the license plates under Subsection (a), that law
  enforcement agency, shall, in the manner specified by the Texas
  Department of Transportation, authorize the owner of the vehicle
  from which the plates were removed to apply for replacement license
  plates through the appropriate county assessor-collector.
         (d)  If an impounded license plate is not recovered by the
  owner or operator of the vehicle under Subsection (b) before the
  11th calendar day after the date the plate was removed from the
  vehicle, the impounding law enforcement agency shall destroy the
  license plate and notify the department or the analogous authority
  in the jurisdiction that issued the plate, in the manner specified
  by the department, that the law enforcement agency impounded and
  subsequently destroyed the plate under this section.
         (e)  Not later than the 10th business day after receipt of
  notice under Subsection (d), the department shall notify the Texas
  Department of Transportation that the license plate described in
  the notice was impounded and subsequently destroyed by the law
  enforcement agency under this section.  The Texas Department of
  Transportation shall note on the applicable vehicle registration
  record that a suspension of the vehicle registration under this
  section is pending.
         (f)  If before the 61st day after the date of impoundment of
  the license plates the Texas Department of Transportation has not
  received evidence described by Subsection (b)(1), the Texas
  Department of Transportation shall:
               (1)  suspend the registration of the vehicle for which
  the license plate was issued; and
               (2)  mail the owner of the vehicle, at the owner's last
  known address as shown by the vehicle registration records of that
  department, notice of the suspension of the vehicle's registration.
         (g)  The department shall set separate fees to be imposed on
  the owner or operator of a license plate released under Subsection
  (b)(1)(A) or (B) or on the owner or operator of a license plate
  released under Subsection (b)(1)(C).  The fees must be reasonable
  and may not exceed the amount that the department determines is
  sufficient for a law enforcement agency in this state to recover the
  actual cost of enforcing this section, provided that the amount of
  the fee to be imposed in connection with a license plate released
  under Subsection (b)(1)(A) or (B) may not exceed 50 percent of the
  fee to be imposed in connection with a license plate released under
  Subsection (b)(1)(C).
         Sec. 601.269.  REINSTATEMENT OF SUSPENDED REGISTRATION.  (a)  
  A vehicle registration suspended under Section 601.268(f) may not
  be reinstated and a new registration issued to the owner of the
  vehicle until the owner of the vehicle:
               (1)  provides to the Texas Department of Transportation
  through the county assessor-collector of the county in which the
  owner resides, evidence of compliance as described by Section
  601.268(b)(1); and
               (2)  pays to that county assessor-collector:
                     (A)  a $100 reinstatement fee; and
                     (B)  the fee required by Section 502.184 for the
  issuance of a replacement vehicle registration.
         (b)  Of each $100 reinstatement fee, the county
  assessor-collector may retain $10 and shall send $90 to the
  comptroller for deposit to the credit of the state highway fund.
         SECTION 3.  Section 601.374, Transportation Code, is amended
  by adding Subsection (d) to read as follows:
         (d)  This section does not apply to a vehicle registration
  suspended under Section 601.268.
         SECTION 4.  Section 601.376, Transportation Code, is amended
  by adding Subsection (d) to read as follows:
         (d)  This section does not apply to a vehicle registration
  suspended under Section 601.268.
         SECTION 5.  (a)  The Texas Department of Transportation
  shall:
               (1)  not later than November 30, 2009, adopt rules
  necessary for that department to implement and administer Section
  601.268, Transportation Code, as added by this Act; and
               (2)  not later than December 31, 2009, provide to each
  law enforcement agency in this state that employs a peace officer
  who enforces Section 601.053, Transportation Code, a sufficient
  number of the temporary license plates described by Section
  601.268(a)(2)(C) of that code, as added by this Act.
         (b)  The Texas Department of Public Safety shall:
               (1)  not later than November 30, 2009, adopt rules
  necessary for that department to implement and administer Section
  601.268, Transportation Code, as added by this Act; and
               (2)  not later than December 31, 2009, provide to each
  law enforcement agency in this state that employs a peace officer
  who enforces Section 601.053, Transportation Code, a sufficient
  number of the written forms described by Section 601.268(a)(2) of
  that code, as added by this Act.
         SECTION 6.  (a)  Sections 1-4 of this Act take effect January
  1, 2010.
         (b)  Section 5 and this section of this Act take effect
  September 1, 2009.