BILL ANALYSIS

 

 

Senate Research Center	S.B. 1952
	By: Hughes
	Business & Commerce
	4/11/2017
	As Filed

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

Texas is home to a number of �classic car� auctions for antique and special interest vehicles. As these events continue to grow, due in part to national television and video streaming audiences, they have expanded beyond the traditional regional draw of a collector car auction and now regularly include cars from all over the country. These auctions generate travel and tourism dollars as well as vehicle sales tax revenue for Texas.

 

Until 2015, antique and special interest vehicles owned and registered by licensed automobile dealers could only be sold from the dealer location, not at an off-site specialty auto auction. In 2015, the Texas Legislature enacted H.B. 2481 to authorize a Texas dealer to sell, offer to sell, including by consignment, or exchange at a public auction an antique motor vehicle that is at least 25 years of age or a special interest vehicle that is at least 12 years of age or that has already been the subject of a retail sale.

 

S.B. 1952 extends that antique and special interest vehicle auction language to all licensed automobile dealers, including those from other states who wish to participate in Texas car auctions. The bill only impacts �antique� motor vehicles, defined as at least 25 years old, and special interest vehicles 12 years old or older that have already been the subject of a previous retail sale.

 

S.B. 1952 will benefit licensed auto dealers who want to offer vehicles at Texas collector car auctions, benefit Texas car collectors and consumers who wish to participate in Texas car auctions, benefit local communities who host car auction events, and generate travel and tourism and additional motor vehicles sales tax revenue.

 

As proposed, S.B. 1952 amends current law relating to off-site sales by a dealer for antique or special interest vehicles that have been subject to a retail sale.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1. Amends Section 503.024(c), Transportation Code, as follows:

 

(c) Provides that for purposes of Section 503.021 (Dealer General Distinguishing Number), a domiciliary of another state who holds a dealer license and bond, if applicable, issued by the other state is not engaging in business as a dealer by buying, selling, including by consignment, or exchanging at a public auction an antique vehicle that is at least 25 years of age, or a special interest vehicle that is at least 12 years of age, or has been the subject of a retail sale. Makes nonsubstantive changes.

 

SECTION 2. Effective date: September 1, 2017.