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A BILL TO BE ENTITLED
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AN ACT
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relating to the establishment and determination of financial |
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responsibility for a motor vehicle; providing a penalty. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 601.052(a), Transportation Code, is |
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amended to read as follows: |
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(a) Section 601.051 does not apply to: |
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(1) the operation of a motor vehicle that: |
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(A) is a former military vehicle or is at least 25 |
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years old; |
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(B) is used only for exhibitions, club |
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activities, parades, and other functions of public interest and not |
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for regular transportation; and |
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(C) for which the owner files with the Texas |
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Department of Insurance [department] an affidavit, signed by the |
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owner, stating that the vehicle is a collector's item and used only |
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as described by Paragraph (B); |
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(2) the operation of a golf cart not required to be |
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registered under Section 502.284; or |
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(3) a volunteer fire department for the operation of a |
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motor vehicle the title of which is held in the name of a volunteer |
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fire department. |
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SECTION 2. Section 601.053, Transportation Code, is amended |
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by amending Subsection (b) and adding Subsection (c) to read as |
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follows: |
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(b) Except as provided by Subsection (c), an [An] operator |
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who does not exhibit evidence of financial responsibility under |
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Subsection (a) is presumed to have operated the vehicle in |
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violation of Section 601.051. |
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(c) Subsection (b) does not apply if the peace officer |
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determines through use of the verification program established |
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under Subchapter N that financial responsibility has been |
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established for the vehicle. |
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SECTION 3. Sections 601.121(a), (d), and (e), |
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Transportation Code, are amended to read as follows: |
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(a) A person may establish financial responsibility by |
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filing with the Texas Department of Insurance [department] a bond: |
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(1) with at least two individual sureties, each of |
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whom owns real property in this state that is not exempt from |
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execution under the constitution or laws of this state; |
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(2) conditioned for payment in the amounts and under |
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the same circumstances as required under a motor vehicle liability |
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insurance policy; |
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(3) that is not cancelable before the sixth day after |
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the date that [the] department receives written notice of the |
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cancellation; |
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(4) accompanied by the fee required by Subsection (e); |
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and |
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(5) approved by that [the] department. |
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(d) On filing of a bond, the Texas Department of Insurance |
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[department] shall issue to the person who filed the bond a |
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certificate of compliance with this section. |
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(e) The Texas Department of Insurance [department] shall |
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file notice of the bond in the office of the county clerk of the |
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county in which the real property is located. The notice must |
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include a description of the property described in the bond. The |
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county clerk or the county clerk's deputy, on receipt of the notice, |
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shall acknowledge the notice and record it in the lien records. The |
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recording of the notice is notice in accordance with statutes |
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governing the recordation of a lien on real property. |
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SECTION 4. Section 601.122(c), Transportation Code, is |
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amended to read as follows: |
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(c) The comptroller may not accept the deposit and the Texas |
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Department of Insurance [department] may not accept the certificate |
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unless the deposit or certificate is accompanied by evidence that |
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an unsatisfied judgment of any character against the person making |
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the deposit does not exist in the county in which the person making |
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the deposit resides. |
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SECTION 5. Section 601.123(c), Transportation Code, is |
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amended to read as follows: |
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(c) On receipt of the deposit, the county judge shall issue |
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to the person making the deposit a certificate stating that a |
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deposit complying with this section has been made. The certificate |
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must be acknowledged by the sheriff of that county and filed with |
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the Texas Department of Insurance [department]. |
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SECTION 6. Sections 601.124(a), (b), and (d), |
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Transportation Code, are amended to read as follows: |
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(a) A person in whose name more than 25 motor vehicles are |
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registered may qualify as a self-insurer by obtaining a certificate |
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of self-insurance issued by the Texas Department of Insurance |
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[department] as provided by this section. |
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(b) The Texas Department of Insurance [department] may |
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issue a certificate of self-insurance to a person if: |
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(1) the person applies for the certificate; and |
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(2) that [the] department is satisfied that the person |
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has and will continue to have the ability to pay judgments obtained |
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against the person. |
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(d) The Texas Department of Insurance [department] for |
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cause may cancel a certificate of self-insurance after a hearing. |
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The self-insurer must receive at least five days' notice of the |
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hearing. Cause includes failure to pay a judgment before the 31st |
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day after the date the judgment becomes final. |
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SECTION 7. Subchapter N, Chapter 601, Transportation Code, |
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as added by Chapter 892 (S.B. 1670), Acts of the 79th Legislature, |
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Regular Session, 2005, is amended by adding Sections 601.455 and |
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601.456 to read as follows: |
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Sec. 601.455. EVIDENCE OF FINANCIAL RESPONSIBILITY |
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PROVIDED BY ALTERNATE METHOD. (a) This section applies to a person |
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that: |
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(1) establishes financial responsibility under |
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Section 601.121, 601.122, or 601.123; or |
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(2) qualifies as a self-insurer under Section 601.124. |
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(b) A person subject to this section shall provide the agent |
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selected under Section 601.453 with information regarding the |
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financial responsibility established by the person or the person's |
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qualification as a self-insurer as necessary for the agent to carry |
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out this subchapter, subject to the agent's contract with the |
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implementing agencies and rules adopted under this subchapter. |
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Sec. 601.456. CONFIDENTIALITY OF INFORMATION; PENALTY. (a) |
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Except as otherwise provided by this subchapter or another law of |
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this state, information obtained by the agent under this subchapter |
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is confidential. The agent may use the information only as |
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authorized under this subchapter and is prohibited from using the |
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information for a commercial purpose. |
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(b) A person commits an offense if the person knowingly |
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discloses or uses information obtained under this subchapter for a |
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purpose that is not authorized under this subchapter or another law |
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of this state. |
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(c) An offense under this section is a Class B misdemeanor. |
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SECTION 8. This Act takes effect September 1, 2009. |