BILL ANALYSIS Senate Research Center H.B. 586 By: Naishtat (Carona) Transportation & Homeland Security 5/21/2009 Engrossed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT Section 601.262 (Duration of Impoundment), Transportation Code, currently provides that if a person is convicted of a "no-insurance" offense for a second or subsequent time the court must order the sheriff to impound the defendant's vehicle and the vehicle may not be released from impoundment unless the defendant provides evidence of financial responsibility covering a two-year period immediately following the date the defendant applies for the vehicle's release. Most insurance policies are written to cover a six-month period of time as opposed to a two-year time period. Accordingly, the typical defendant is unable to obtain the necessary insurance to allow for the release of his or her vehicle from impoundment. H.B. 586 amends current law relating to the evidence required for the release of a motor vehicle after the impoundment of the vehicle for failure to maintain evidence of financial responsibility. 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 601.262(c), Transportation Code, to require the court, by order, to permit a defendant to provide evidence of insurability in increments of a period of not less than six months. SECTION 2. Effective date: September 1, 2009.
BILL ANALYSIS
Senate Research Center H.B. 586
By: Naishtat (Carona)
Transportation & Homeland Security
5/21/2009
Engrossed
AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
Section 601.262 (Duration of Impoundment), Transportation Code, currently provides that if a person is convicted of a "no-insurance" offense for a second or subsequent time the court must order the sheriff to impound the defendant's vehicle and the vehicle may not be released from impoundment unless the defendant provides evidence of financial responsibility covering a two-year period immediately following the date the defendant applies for the vehicle's release. Most insurance policies are written to cover a six-month period of time as opposed to a two-year time period. Accordingly, the typical defendant is unable to obtain the necessary insurance to allow for the release of his or her vehicle from impoundment.
H.B. 586 amends current law relating to the evidence required for the release of a motor vehicle after the impoundment of the vehicle for failure to maintain evidence of financial responsibility.
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 601.262(c), Transportation Code, to require the court, by order, to permit a defendant to provide evidence of insurability in increments of a period of not less than six months.
SECTION 2. Effective date: September 1, 2009.