BILL ANALYSIS

Senate Research Center	H.B. 1105
87R16046 JRR-F	By: Paddie; Canales (Paxton)
	Transportation
	5/10/2021
	Engrossed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

Currently, personal vehicle owners are only permitted to have a physical license plate issued under Chapter 504, Transportation Code. Significant costs are incurred by the state relating to the personal vehicle registration process. Some reports estimate that the state could save time, money, and effort by reducing and eliminating various parts of this process and implementing new approaches. During the 86th Legislative Session, the legislature allowed for commercial vehicles to be equipped with a digital license plate to replace the rear physical license plate on motor vehicles.

As proposed, H.B. 1105 seeks to expand the opportunity to personal vehicle owners allowing consumers to choose technologies that provide more transportation options and functionality than traditional license plates, reduce the cost of administrating registrations, and increase state revenue.

H.B. 1105 amends current law relating to the vehicles authorized to be equipped with a digital license plate.

RULEMAKING AUTHORITY

Rulemaking authority previously granted to the Board of the Texas Department of Motor Vehicles is modified in SECTION 1 (Section 504.154, Transportation Code) of this bill.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 504.154(a), Transportation Code, to require the board of the Texas Department of Motor Vehicles by rule to allow a vehicle registered under Chapter 502 (Registration of Vehicles), rather than a vehicle described by Subsection (b) (relating to authorizing a vehicle to be equipped with a digital license plate only if the vehicle meets certain criteria), to be equipped with a digital license plate that is placed on the rear of the vehicle in lieu of a physical license plate issued under Chapter 504 (License Plates).

SECTION 2. Repealer: Section 504.154(b) (relating to authorizing a vehicle to be equipped with a digital license plate only if the vehicle meets certain criteria), Transportation Code.

SECTION 3. Effective date: upon passage or September 1, 2021.