BILL ANALYSIS Senate Research Center C.S.S.B. 1759 By: Watson Transportation & Homeland Security 4/7/2009 Committee Report (Substituted) AUTHOR'S / SPONSOR'S STATEMENT OF INTENT Currently, registrations for every vehicle must be completed on an annual basis on the anniversary date of the last sticker purchase. A company with a fleet of 12,000 vehicles in Texas must complete registration renewals on a monthly basis throughout the calendar year in volumes of approximately 500 to 1,600 vehicles per month. C.S.S.B. 1759 requires the Texas Department of Transportation to develop and implement a system of registration to allow an owner of a commercial vehicle fleet to register a vehicle in the commercial fleet for an extended registration period of not less than one year or more than eight years. RULEMAKING AUTHORITY Rulemaking authority is expressly granted to the Texas Department of Transportation in SECTION 2 (Section 502.0023, Transportation Code) of this bill. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 502.001, Transportation Code, by adding Subdivision (1-a), to define "commercial fleet." SECTION 2. Amends Subchapter A, Chapter 502, Transportation Code, by adding Section 502.0023, as follows: Sec. 502.0023. EXTENDED REGISTRATION OF COMMERCIAL FLEET MOTOR VEHICLES. (a) Requires the Texas Department of Transportation (TxDOT), notwithstanding Section 502.158(c) (Registration Year), to develop and implement a system of registration to allow an owner of a commercial fleet to register the motor vehicles in the commercial fleet for an extended registration period of not less than one year or more than eight years. Authorizes the owner to select the number of years for registration under this section within that range and register the commercial fleet for that period. Provides that payment for all registration fees for the entire registration period selected is due at the time of registration. (b) Requires an owner registering a commercial fleet under this section, in addition to the registration fees prescribed by Subchapter D (Registration Procedures and Fees), to pay an annual commercial fleet registration fee of $10 per motor vehicle in the fleet and a one-time license plate manufacturing fee of $1.50 for each fleet motor vehicle license plate. (c) Authorizes a license plate issued under this section, on request of the owner, to include the name or logo of the business entity that owns the vehicle; requires a license plate issued under this section to include the expiration date of the registration period; and provides that a license plate issued under this section does not require an annual registration insignia to be valid. (d) Requires TxDOT, if a motor vehicle registered under this section has a gross weight in excess of 10,000 pounds, to also issue a registration card for the vehicle that is valid for the selected registration period. (e) Requires TxDOT to adopt rules to implement this section, including rules on suspension from the commercial fleet program for failure to comply with this section or rules adopted under this section. SECTION 3. Amends Section 501.0234(b), Transportation Code, to provide that this section does not apply to a certain motor vehicle, including a motor vehicle purchased by a commercial fleet buyer who utilizes the dealer title application process developed to provide a method to submit title transactions to counties that have approved the persons as Full Service Deputies under Section 502.114 (Full-Service Deputies). SECTION 4. Requires TxDOT to adopt rules and establish the system required under Section 502.0023, Transportation Code, as added by this Act, not later than September 1, 2010. SECTION 5. Effective date: September 1, 2009. BILL ANALYSIS Senate Research Center C.S.S.B. 1759 By: Watson Transportation & Homeland Security 4/7/2009 Committee Report (Substituted) AUTHOR'S / SPONSOR'S STATEMENT OF INTENT Currently, registrations for every vehicle must be completed on an annual basis on the anniversary date of the last sticker purchase. A company with a fleet of 12,000 vehicles in Texas must complete registration renewals on a monthly basis throughout the calendar year in volumes of approximately 500 to 1,600 vehicles per month. C.S.S.B. 1759 requires the Texas Department of Transportation to develop and implement a system of registration to allow an owner of a commercial vehicle fleet to register a vehicle in the commercial fleet for an extended registration period of not less than one year or more than eight years. RULEMAKING AUTHORITY Rulemaking authority is expressly granted to the Texas Department of Transportation in SECTION 2 (Section 502.0023, Transportation Code) of this bill. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 502.001, Transportation Code, by adding Subdivision (1-a), to define "commercial fleet." SECTION 2. Amends Subchapter A, Chapter 502, Transportation Code, by adding Section 502.0023, as follows: Sec. 502.0023. EXTENDED REGISTRATION OF COMMERCIAL FLEET MOTOR VEHICLES. (a) Requires the Texas Department of Transportation (TxDOT), notwithstanding Section 502.158(c) (Registration Year), to develop and implement a system of registration to allow an owner of a commercial fleet to register the motor vehicles in the commercial fleet for an extended registration period of not less than one year or more than eight years. Authorizes the owner to select the number of years for registration under this section within that range and register the commercial fleet for that period. Provides that payment for all registration fees for the entire registration period selected is due at the time of registration. (b) Requires an owner registering a commercial fleet under this section, in addition to the registration fees prescribed by Subchapter D (Registration Procedures and Fees), to pay an annual commercial fleet registration fee of $10 per motor vehicle in the fleet and a one-time license plate manufacturing fee of $1.50 for each fleet motor vehicle license plate. (c) Authorizes a license plate issued under this section, on request of the owner, to include the name or logo of the business entity that owns the vehicle; requires a license plate issued under this section to include the expiration date of the registration period; and provides that a license plate issued under this section does not require an annual registration insignia to be valid. (d) Requires TxDOT, if a motor vehicle registered under this section has a gross weight in excess of 10,000 pounds, to also issue a registration card for the vehicle that is valid for the selected registration period. (e) Requires TxDOT to adopt rules to implement this section, including rules on suspension from the commercial fleet program for failure to comply with this section or rules adopted under this section. SECTION 3. Amends Section 501.0234(b), Transportation Code, to provide that this section does not apply to a certain motor vehicle, including a motor vehicle purchased by a commercial fleet buyer who utilizes the dealer title application process developed to provide a method to submit title transactions to counties that have approved the persons as Full Service Deputies under Section 502.114 (Full-Service Deputies). SECTION 4. Requires TxDOT to adopt rules and establish the system required under Section 502.0023, Transportation Code, as added by this Act, not later than September 1, 2010. SECTION 5. Effective date: September 1, 2009.