BILL ANALYSIS

H.B. 3429

By: Harris

Transportation

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Concerns have been raised regarding vehicle inspection requirements for vehicles issued a buyer's temporary tag, particularly when companies like Vroom and Carvana issue these tags to all of the vehicles they sell in Texas, including those that will not be operated on Texas roads. There have been calls to bring state law in line with current marketplace practices to prevent further confusion in the industry. H.B. 3429 seeks to address this issue by authorizing a vehicle to be issued and display a buyer's tag without satisfying vehicle inspection requirements under certain conditions.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

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

H.B. 3429 amends the Transportation Code to authorize a vehicle to be issued and display a buyer's tag without satisfying vehicle inspection requirements if the following conditions are met:

· the buyer of the vehicle is not a Texas resident;

· at the time of purchase, the vehicle is not located or required to be titled or registered in Texas; and

· the vehicle will be titled, registered, and inspected in accordance with the laws of the buyer's state of residence, as applicable.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2021.