Texas 2019 - 86th Regular

Texas House Bill HB1087 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	~~86R20825~~ JAM-F
	1	+	86R5399 JAM-F
2	2		By: Kuempel H.B. No. 1087
3		-	Substitute the following for H.B. No. 1087:
4		-	By: Landgraf C.S.H.B. No. 1087
5	3
6	4
7	5		A BILL TO BE ENTITLED
8	6		AN ACT
9	7		relating to an exception to the titling requirement for certain
10	8		vehicles; creating a criminal offense.
11	9		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	10		SECTION 1. Subchapter E, Chapter 501, Transportation Code,
13	11		is amended by adding Section 501.098 to read as follows:
14	12		Sec. 501.098. EXCEPTION TO TITLE REQUIREMENT FOR CERTAIN
15		-	VEHICLES. (a) Notwithstanding any other law, a metal recycler or
16		-	used automotive parts recycler may purchase a motor vehicle without
17		-	obtaining a title to the vehicle if:
18		-	(1) the vehicle is at least 12 years old and is
19		-	purchased solely for parts, dismantling, or scrap and:
20		-	(A) the vehicle is not subject to a recorded
21		-	security interest or lien; or
22		-	(B) the vehicle is subject only to recorded
23		-	security interests or liens:
24		-	(i) for which a release of each recorded
25		-	security interest or lien on the vehicle is provided; or
26		-	(ii) that were recorded on the certificate
27		-	of title more than four years before the date of purchase under this
28		-	section;
29		-	(2) the recycler does not dismantle, crush, or shred
30		-	the vehicle before the close of business on the second business day
31		-	after the date of purchase; and
32		-	(3) except as provided by Subsection (k), the recycler
33		-	complies with Subsections (b) and (c).
34		-	(b) A metal recycler or used automotive parts recycler who
35		-	purchases a motor vehicle under this section shall obtain the
36		-	following information:
	13	+	VEHICLES. (a) Notwithstanding any other law, a metal recycler,
	14	+	salvage vehicle dealer, or used automotive parts recycler may
	15	+	purchase a motor vehicle without obtaining a title to the vehicle
	16	+	if:
	17	+	(1) the vehicle is at least 10 years old and is
	18	+	purchased solely for parts, dismantling, or scrap;
	19	+	(2) the recycler or dealer does not dismantle, crush,
	20	+	or shred the vehicle before the second business day after the date
	21	+	of purchase; and
	22	+	(3) except as provided by Subsection (l), the recycler
	23	+	or dealer complies with Subsections (b) and (c).
	24	+	(b) A metal recycler, salvage vehicle dealer, or used
	25	+	automotive parts recycler who purchases a motor vehicle under this
	26	+	section shall obtain the following information:
37	27		(1) the name, address, and National Motor Vehicle
38		-	Title Information System identification number of the recycler;
	28	+	Title Information System identification number of the recycler or
	29	+	dealer;
39	30		(2) the name, initials, or other identification of the
40	31		individual recording the information required by this subsection;
41	32		(3) the date of the transaction;
42	33		(4) a description of the vehicle, including the make
43	34		and model to the extent practicable;
44		-	(5) the vehicle identification number of the vehicle;
	35	+	(5) the vehicle identification number of the vehicle
	36	+	to the extent practicable;
45	37		(6) the license plate number of any vehicle
46	38		transporting the vehicle being sold;
47	39		(7) the amount of consideration given for the vehicle;
48	40		(8) a written statement signed by the seller or an
49	41		agent acting on behalf of the seller:
50	42		(A) certifying that the seller or agent has the
51	43		lawful right to sell the vehicle;
52		-	(B) certifying that the vehicle ~~complies with any~~
53		-	security interest or lien ~~requirements under Subsection (a)(1)~~; ~~and~~
	44	+	(B) certifying that the vehicle is not subject to
	45	+	any security interest or lien;
54	46		(C) acknowledging that a person who falsifies
55	47		information contained in the written statement is subject to
56	48		criminal penalties and restitution for losses incurred as a result
57	49		of the sale of the vehicle based on falsified information contained
58		-	in the statement;
	50	+	in the statement; and
	51	+	(D) certifying that the vehicle:
	52	+	(i) will not be titled again; and
	53	+	(ii) will be dismantled or destroyed;
59	54		(9) the name and address of the seller, and the
60	55		seller's agent if applicable;
61	56		(10) a photocopy or electronic scan of:
62	57		(A) a valid driver's license of the seller or the
63	58		seller's agent; or
64	59		(B) any other photographic identification card
65	60		of the seller or the seller's agent issued by any state or federal
66	61		agency; and
67		-	(11) proof demonstrating that the recycler has
68		-	reported the vehicle to the department as provided by Subsection
69		-	(c).
70		-	(c) A metal recycler or used automotive parts recycler who
71		-	purchases a motor vehicle under this section shall submit to the
72		-	department, in the manner prescribed by the department, and the
73		-	National Motor Vehicle Title Information System information
74		-	necessary to satisfy any applicable requirement for reporting
75		-	information to the National Motor Vehicle Title Information System
76		-	in accordance with rules adopted under 28 C.F.R. Section 25.56 not
77		-	later than 24 hours, not counting weekends or official state
78		-	holidays, after the close of business on the day the vehicle was
79		-	received. The department may report information received under this
80		-	subsection to the National Motor Vehicle Title Information System
81		-	on behalf of the recycler. A recycler is not required to report
82		-	information to the National Motor Vehicle Title Information System
83		-	if the department reports the information on behalf of the recycler
84		-	under this subsection.
85		-	(d) Not later than 48 hours after receiving information from
86		-	a recycler under Subsection (c) about a motor vehicle, the
87		-	department shall notify the recycler whether the vehicle has been
88		-	reported stolen.
89		-	(e) If the department notifies a recycler under Subsection
90		-	(d) that a motor vehicle has been reported stolen, the recycler
91		-	shall notify the appropriate local law enforcement agency of the
92		-	current location of the vehicle and provide to the agency
93		-	identifying information of the person who sold the vehicle.
94		-	(f) On receipt of information under Subsection (c)
95		-	regarding a motor vehicle purchased under this section, the
96		-	department shall:
97		-	(1) add a notation to the motor vehicle record of the
98		-	vehicle indicating that the vehicle has been dismantled, scrapped,
99		-	or destroyed; and
100		-	(2) cancel the title of the vehicle.
	62	+	(11) proof demonstrating that the recycler or dealer
	63	+	has reported the vehicle to the department as provided by
	64	+	Subsection (c).
	65	+	(c) A metal recycler, salvage vehicle dealer, or used
	66	+	automotive parts recycler who purchases a motor vehicle under this
	67	+	section shall submit to the department information necessary to
	68	+	satisfy any applicable requirement for reporting information to the
	69	+	National Motor Vehicle Title Information System in accordance with
	70	+	rules adopted under 28 C.F.R. Section 25.56 not later than 48 hours,
	71	+	not counting weekends or official state holidays, after the close
	72	+	of business on the day the vehicle was received. The department
	73	+	shall report information received under this subsection to the
	74	+	National Motor Vehicle Title Information System on behalf of the
	75	+	recycler or dealer.
	76	+	(d) Not later than 24 hours after receiving information from
	77	+	a recycler or dealer under Subsection (c) about a motor vehicle, the
	78	+	department shall notify the recycler or dealer whether the vehicle
	79	+	has been reported stolen.
	80	+	(e) If the department notifies a recycler or dealer under
	81	+	Subsection (d) that a motor vehicle has been reported stolen, the
	82	+	recycler or dealer shall notify the appropriate local law
	83	+	enforcement agency of the current location of the vehicle and
	84	+	provide to the agency identifying information of the person who
	85	+	sold the vehicle.
	86	+	(f) The department shall cancel the title of a motor vehicle
	87	+	purchased under this section.
101	88		(g) A person who purchases a motor vehicle under this
102	89		section that is later determined by the department or another
103	90		governmental entity to have been reported stolen is not criminally
104	91		or civilly liable unless the person had knowledge that the vehicle
105	92		was a stolen vehicle or failed to comply with the requirements of
106	93		Subsection (b) or (c).
107		-	(h) A court shall order a person who sells a motor vehicle
	94	+	(h) If the department has not received information from a
	95	+	federal, state, or local department or independent source that a
	96	+	motor vehicle purchased under this section has been reported stolen
	97	+	before the time the department is required to notify a recycler or
	98	+	dealer of whether the vehicle has been reported stolen under
	99	+	Subsection (d), the department shall continue to check with the
	100	+	National Crime Information Center for a period of 30 days. If the
	101	+	vehicle is not reported stolen, any person damaged by the purchase
	102	+	may not bring a cause of action against the department.
	103	+	(i) A court shall order a person who sells a motor vehicle
108	104		under this section to make restitution, including attorney's fees,
109		-	to the owner or lienholder of the vehicle, or to a metal recycler or
110		-	used automotive parts recycler, for any damage or loss caused by an
111		-	offense committed by the seller related to the vehicle.
112		-	(i) The records required to be maintained under this section
	105	+	to the owner or lienholder of the vehicle, or to a metal recycler,
	106	+	salvage vehicle dealer, or used automotive parts recycler, for any
	107	+	damage or loss caused by an offense committed by the seller related
	108	+	to the vehicle.
	109	+	(j) The records required to be maintained under this section
113	110		must be open to inspection by a representative of the department or
114	111		a law enforcement officer during reasonable business hours.
115		-	(j) A contract with a United States Department of Justice
116		-	approved third-party data consolidator, pursuant to 28 C.F.R. Part
117		-	25, may be used to satisfy:
118		-	(1) the responsibilities of the department under this
119		-	section; and
120		-	(2) the reporting responsibilities of a recycler under
121		-	Subsection (c).
122		-	(k) A metal recycler may purchase from a used automotive
123		-	parts recycler a vehicle under this section without complying with
124		-	Subsections (b) and (c) if:
	112	+	(k) The department may satisfy its responsibilities under
	113	+	this section through a contract with a United States Department of
	114	+	Justice approved third-party data consolidator, pursuant to 28
	115	+	C.F.R. Part 25.
	116	+	(l) A metal recycler, salvage vehicle dealer, or used
	117	+	automotive parts recycler may purchase a vehicle under this section
	118	+	without complying with Subsections (b) and (c) if:
125	119		(1) the vehicle has been flattened, crushed, baled, or
126	120		logged such that the vehicle is less than 50 percent of its original
127		-	volume;
	121	+	volume and is no longer the vehicle described by the certificate of
	122	+	title;
128	123		(2) the vehicle is purchased for purposes of scrap
129	124		metal only; and
130	125		(3) the seller or an agent acting on behalf of the
131	126		seller of the vehicle certifies to the purchaser that all vehicles
132	127		included in the sale were reported to the department or the National
133	128		Motor Vehicle Title Information System.
134		-	(l) This section preempts all requirements that are
	129	+	(m) This section preempts all requirements that are
135	130		inconsistent with specific provisions of this section relating to
136	131		the purchase and dismantling, crushing, or shredding of a motor
137	132		vehicle without obtaining the title to the vehicle.
138	133		SECTION 2. Section 501.109, Transportation Code, is amended
139	134		by adding Subsections (c-1) and (i) and amending Subsections (d)
140	135		and (e) to read as follows:
141	136		(c-1) A person commits an offense if the person knowingly:
142		-	(1) fails to ~~obtain or falsifies~~ information required
143		-	~~under Section~~ 501.098(c);
	137	+	(1) fails to submit information required under Section
	138	+	501.098(c);
144	139		(2) falsifies the information required under Section
145	140		501.098(b);
146	141		(3) falsifies the statement required under Section
147	142		501.098(b)(8);
148	143		(4) sells a vehicle under Section 501.098 that is the
149		-	subject of a security interest or lien other than a security
150		-	interest or lien described by Section 501.098(a)(1)(B); or
	144	+	subject of a security interest or lien; or
151	145		(5) otherwise violates Section 501.098.
152	146		(d) Except as provided by Subsection (e), an offense under
153	147		Subsection (a), (b), [or] (c), or (c-1) is a Class C misdemeanor.
154	148		(e) If it is shown on the trial of an offense under
155	149		Subsection (a), (b), [or] (c), or (c-1) that the defendant has been
156	150		previously convicted of:
157	151		(1) one offense under Subsection (a), (b), [or] (c),
158	152		or (c-1), the offense is a Class B misdemeanor; or
159	153		(2) two or more offenses under Subsection (a), (b),
160	154		[or] (c), or (c-1), the offense is a state jail felony.
161	155		(i) Money generated from penalties collected for offenses
162	156		under Subsection (c-1) may be used only for enforcement,
163	157		investigation, prosecution, and training activities related to
164	158		motor vehicle related offenses.
165	159		SECTION 3. This Act takes effect September 1, 2019.