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A BILL TO BE ENTITLED
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AN ACT
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relating to the administration of the financial responsibility |
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verification program. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 502.357(b), Transportation Code, is |
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amended to read as follows: |
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(b) Fees collected under this section shall be deposited to |
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the credit of the state highway fund except that the comptroller |
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shall provide for a portion of the fees to be deposited first to the |
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credit of a special fund in the state treasury outside the general |
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revenue fund to be known as the TexasSure Fund in a total amount |
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that is necessary to cover the total amount appropriated to the |
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[Texas] Department of Public Safety [Insurance] from that fund and |
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for the remaining fees to be deposited to the state highway fund. |
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Subject to appropriations, the money deposited to the credit of the |
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state highway fund under this section may be used by the Department |
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of Public Safety to: |
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(1) support the Department of Public Safety's |
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reengineering of the driver's license system to provide for the |
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issuance by the Department of Public Safety of a driver's license or |
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personal identification certificate, to include use of image |
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comparison technology; |
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(2) establish and maintain a system to support the |
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driver responsibility program under Chapter 708; and |
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(3) make lease payments to the master lease purchase |
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program for the financing of the driver's license reengineering |
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project. |
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SECTION 2. Section 601.452(a), Transportation Code, is |
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amended to read as follows: |
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(a) The department [Texas Department of Insurance] in |
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consultation with the other implementing agencies shall establish a |
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program for verification of whether owners of motor vehicles have |
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established financial responsibility. The program established |
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must be: |
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(1) the program most likely to: |
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(A) reduce the number of uninsured motorists in |
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this state; |
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(B) operate reliably; |
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(C) be cost-effective; |
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(D) sufficiently protect the privacy of the motor |
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vehicle owners; |
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(E) sufficiently safeguard the security and |
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integrity of information provided by insurance companies; |
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(F) identify and employ a method of compliance |
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that improves public convenience; and |
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(G) provide information that is accurate and |
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current; and |
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(2) capable of being audited by an independent |
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auditor. |
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SECTION 3. Section 601.453(a), Transportation Code, is |
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amended to read as follows: |
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(a) The department [Texas Department of Insurance] in |
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consultation with the other implementing agencies, under a |
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competitive bidding procedure, shall select an agent to develop, |
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implement, operate, and maintain the program. |
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SECTION 4. Subchapter N, Chapter 601, Transportation Code, |
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is amended by adding Section 601.455 to read as follows: |
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Sec. 601.455. ENFORCEMENT. The commissioner of insurance |
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may, after notice and opportunity for hearing, take any action |
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authorized under Chapters 82, 83, and 84, Insurance Code, or any |
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other applicable law, against an insurance company that provides |
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motor vehicle liability insurance policies in this state if the |
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commissioner of insurance determines that the insurance company is |
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in violation of or has failed to comply with Section 601.454 or |
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rules adopted under this subchapter. |
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SECTION 5. Not later than January 1, 2020, the following are |
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transferred from the Texas Department of Insurance to the |
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Department of Public Safety of the State of Texas: |
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(1) the powers, duties, functions, and activities of |
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the Texas Department of Insurance relating to the establishment and |
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operation of the financial responsibility verification program |
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under Subchapter N, Chapter 601, Transportation Code; |
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(2) any obligations and contracts of the Texas |
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Department of Insurance that are directly related to implementing a |
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power, duty, function, or activity transferred under this section; |
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and |
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(3) all property and records in the custody of the |
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Texas Department of Insurance that are related to a power, duty, |
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function, or activity transferred under this section and all funds |
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appropriated by the legislature for that power, duty, function, or |
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activity. |
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SECTION 6. The Texas Department of Insurance and the |
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Department of Public Safety of the State of Texas shall enter into a |
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memorandum of understanding that establishes a plan for the |
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identification and transfer of the records, property, and unspent |
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appropriations of the Texas Department of Insurance that are used |
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for purposes of the department's powers and duties directly related |
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to the establishment and operation of the financial responsibility |
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verification program under Subchapter N, Chapter 601, |
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Transportation Code. |
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SECTION 7. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2019. |