BILL ANALYSIS

C.S.H.B. 3029

By: Fletcher

Insurance

Committee Report (Substituted)

BACKGROUND AND PURPOSE

Interested parties note that new technologies and systems are being developed, evaluated, and implemented in other states that could be evaluated for use in Texas to address growing concerns over the increasing number of uninsured motorists on Texas roadways. C.S.H.B. 3029 seeks to provide new options and enhancements to the Texas financial responsibility verification program by providing for the Texas Department of Insurance to evaluate and implement systems and technologies for the program.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

C.S.H.B. 3029 amends the Transportation Code to require the Texas Department of Insurance (TDI) to evaluate systems and technologies to enhance the performance of the financial responsibility verification program in order to reduce the number of uninsured motorists in Texas and authorizes TDI to implement those systems or technologies. The bill authorizes TDI, under a competitive bidding procedure, to select and contract with an agent, in addition to any other agent selected under statutory provisions relating to the financial responsibility verification program, to develop, implement, operate, maintain, or upgrade any system or technology that is a component of the program or any additional system or technology to be implemented. 

EFFECTIVE DATE

September 1, 2013.

COMPARISON OF ORIGINAL AND SUBSTITUTE

While C.S.H.B. 3029 may differ from the original in minor or nonsubstantive ways, the following comparison is organized and highlighted in a manner that indicates the substantial differences between the introduced and committee substitute versions of the bill.

INTRODUCED	HOUSE COMMITTEE SUBSTITUTE
SECTION 1.  Chapter 601, Transportation Code, is amended by adding Subchapter O to read as follows: SUBCHAPTER O. ENHANCED REPORTING SYSTEMS AND SUPPORT FOR PUBLIC SAFETY Sec. 601.400.  DEFINITION.  In this subchapter "Department"  and "implementing agency" means the Texas Department of  Insurance. Sec. 601.401.  IMPLEMENTATION OF PROGRAMS; RULES. (a) The  Texas Department of Insurance shall evaluate and implement  additional programs to both improve the performance of  Department's systems and operations designed to further reduce  the Uninsured Vehicle Rate of vehicles registered in Texas. Sec. 601.454  AGENT RENEWAL.  (a) The implementing agency,  under a competitive bidding procedure, may select an agent, or  agents to develop, implement, operate, maintain and upgrade one  or more programs.	SECTION 1.  Subchapter N, Chapter 601, Transportation Code, is amended by adding Section 601.455 to read as follows: Sec. 601.455.  PROGRAM ENHANCEMENT. (a) The Texas Department of Insurance shall evaluate systems and technologies to enhance the performance of the financial responsibility verification program established under this subchapter in order to reduce the number of uninsured motorists in this state and may implement those systems or technologies, subject to Subsection (b). (b)  The Texas Department of Insurance may, under a competitive bidding procedure, select and contract with an agent, in addition to any agent selected under Section 601.453, to develop, implement, operate, maintain, or upgrade any system or technology that is a component of the financial responsibility verification program or any additional system or technology to be implemented under Subsection (a).
SECTION 2.  This Act takes effect September 1, 2013.	SECTION 2. Same as introduced version.