BILL ANALYSIS Senate Research Center S.B. 419 81R2976 SLB-D By: Carona Transportation & Homeland Security 3/30/2009 As Filed 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. As proposed, S.B. 419 requires that the evidence of financial responsibility cover the six-month period immediately following the date the defendant applies for release of the impounded vehicle. 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 that the evidence of financial responsibility cover the six-month period, rather than the two-year period, immediately following the date the defendant applies for release of the impounded vehicle. SECTION 2. Effective date: September 1, 2009. BILL ANALYSIS Senate Research Center S.B. 419 81R2976 SLB-D By: Carona Transportation & Homeland Security 3/30/2009 As Filed 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. As proposed, S.B. 419 requires that the evidence of financial responsibility cover the six-month period immediately following the date the defendant applies for release of the impounded vehicle. 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 that the evidence of financial responsibility cover the six-month period, rather than the two-year period, immediately following the date the defendant applies for release of the impounded vehicle. SECTION 2. Effective date: September 1, 2009.