By: Fraser, et al. S.B. No. 1742

(Rodriguez, Harper-Brown)

Substitute the following for S.B. No. 1742: No.

A BILL TO BE ENTITLED

AN ACT

relating to the operation of certain motor vehicles, including establishing a motor vehicle mileage fee pilot program.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 224.153, Transportation Code, is amended by adding Subsection (e) to read as follows:

(e) A motor vehicle displaying the "plug-in electric vehicle" insignia authorized by Section 502.186 in an easily readable location on the back of the vehicle may use a high occupancy vehicle lane regardless of the number of occupants in the vehicle unless the use would violate federal transit or highway funding restrictions. This subsection expires January 1, 2013.

SECTION 2. Subchapter D, Chapter 502, Transportation Code, is amended by adding Section 502.186 to read as follows:

Sec. 502.186. "PLUG-IN ELECTRIC VEHICLE" INSIGNIA FOR CERTAIN MOTOR VEHICLES. (a) At the time of registration or reregistration of a motor vehicle, the department shall issue a specially designed "plug-in electric vehicle" insignia for a motor vehicle that:

(1) is made by a manufacturer primarily for use on public highways;

(2) has not been modified from original manufacturer specifications;

(3) is rated at not more than 8,500 pounds unloaded gross vehicle weight;

(4) is acquired for use or lease by a consumer and not for resale;

(5) has a speed capability of at least 65 miles per hour;

(6) is propelled to a significant extent by an electric motor that draws electricity from a battery that:

(A) has a capacity of not less than four kilowatt hours; and

(B) is capable of being recharged from an external source of electricity; and

(7) is not a recreational vehicle, as defined by Section 522.004(b), that draws power from a battery or a hybrid engine solely for purposes other than propulsion.

(b) The department shall issue a "plug-in electric vehicle" insignia under this section to a person who:

(1) applies to the department on a form provided by the department; and

(2) submits proof that:

(A) the motor vehicle being registered is a vehicle described by Subsection (a); and

(B) the person is a participant in the motor vehicle mileage fee pilot program.

(c) The department may charge an annual fee for the issuance of a "plug-in electric vehicle" insignia under this section. The fee may not exceed $20 per motor vehicle.

(d) This section expires January 1, 2013.

SECTION 3. (a) In this section:

(1) "Department" means the Texas Department of Motor Vehicles.

(2) "Electric motor vehicle" means a motor vehicle that uses electricity as its only source of motor power.

(3) "Plug-in hybrid electric motor vehicle" means a motor vehicle that draws propulsion energy from both gasoline or conventional diesel fuel and batteries that can be charged from an external electrical outlet.

(b) The department, in consultation with the Texas Department of Transportation, Department of Public Safety, and comptroller of public accounts, by rule shall:

(1) establish the administrative framework needed to implement a system for assessing a motor vehicle mileage fee; and

(2) implement a pilot program to gather data regarding the feasibility of implementing a motor vehicle mileage fee using the established mileage fee framework.

(c) The pilot program must provide for optional participation of persons who own electric motor vehicles or plug-in hybrid electric motor vehicles that are registered in counties located within non-attainment areas. A person who participates in the pilot program shall be issued a "plug-in electric vehicle" insignia as provided by Section 502.186, Transportation Code. A person participating in the pilot program may not be charged a fee for participating in the pilot program.

(d) The department must establish the administrative framework needed to implement a system for assessing a motor vehicle mileage fee not later than January 1, 2012. The pilot program must begin not later than January 1, 2012, and must end not later than July 15, 2012.

(e) A person who participates in the pilot program must have the mileage of the person's vehicle determined by an odometer reading that will occur in a manner specified by the department.

(f) In evaluating the feasibility of implementing a motor vehicle mileage fee, the department shall consider, to the extent possible:

(1) economic efficiency;

(2) long-term revenue generation;

(3) long-term revenue stability;

(4) charging fairness; and

(5) privacy concerns.

(g) Not later than October 1, 2012, the department shall submit a report to the legislature that includes recommendations regarding the feasibility of assessing a motor vehicle mileage fee in this state or another fee to replace the gas tax.

(h) This section expires December 31, 2012.

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, 2011.