Texas 2019 - 86th Regular

Texas House Bill HB3737 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1		86R19772 AAF-F
2	2		By: Lucio III H.B. No. 3737
	3	+	Substitute the following for H.B. No. 3737:
	4	+	By: Lucio III C.S.H.B. No. 3737
3	5
4	6
5	7		A BILL TO BE ENTITLED
6	8		AN ACT
7	9		relating to the administration of the financial responsibility
8	10		verification program.
9	11		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	12		SECTION 1. Sections 502.357(b), (c), and (d),
11	13		Transportation Code, are amended to read as follows:
12	14		(b) Fees collected under this section shall be deposited to
13	15		the credit of the state highway fund except that the comptroller
14	16		shall provide for a portion of the fees to be deposited first to the
15	17		credit of a special fund in the state treasury outside the general
16	18		revenue fund to be known as the TexasSure Fund in a total amount
17	19		that is necessary to cover the total amount appropriated to the
18	20		department [Texas Department of Insurance] from that fund and for
19	21		the remaining fees to be deposited to the state highway fund.
20	22		Subject to appropriations, the money deposited to the credit of the
21	23		state highway fund under this section may be used by the Department
22	24		of Public Safety to:
23	25		(1) support the Department of Public Safety's
24	26		reengineering of the driver's license system to provide for the
25	27		issuance by the Department of Public Safety of a driver's license or
26	28		personal identification certificate, to include use of image
27	29		comparison technology;
28	30		(2) establish and maintain a system to support the
29	31		driver responsibility program under Chapter 708; and
30	32		(3) make lease payments to the master lease purchase
31	33		program for the financing of the driver's license reengineering
32	34		project.
33	35		(c) Subject to appropriation, fees collected under this
34	36		section may be used by the Department of Public Safety, [the Texas
35	37		Department of Insurance,] the Department of Information Resources,
36	38		and the department to carry out Subchapter N, Chapter 601.
37	39		(d) The Department of Public Safety, [the Texas Department
38	40		of Insurance,] the Department of Information Resources, and the
39	41		department shall jointly adopt rules and develop forms necessary to
40	42		administer this section.
41	43		SECTION 2. Section 601.451, Transportation Code, is amended
42	44		to read as follows:
43	45		Sec. 601.451. DEFINITION. In this subchapter,
44	46		"implementing agencies" means:
45	47		(1) the department;
46	48		(2) the Texas Department of Motor Vehicles; and
47	49		(3) [the Texas Department of Insurance; and
48	50		[(4)] the Department of Information Resources.
49	51		SECTION 3. Section 601.452(a), Transportation Code, is
50	52		amended to read as follows:
51	53		(a) The Texas Department of Motor Vehicles [Insurance] in
52	54		consultation with the other implementing agencies shall establish a
53	55		program for verification of whether owners of motor vehicles have
54	56		established financial responsibility. The program established must
55	57		be:
56	58		(1) the program most likely to:
57	59		(A) reduce the number of uninsured motorists in
58	60		this state;
59	61		(B) operate reliably;
60	62		(C) be cost-effective;
61	63		(D) sufficiently protect the privacy of the motor
62	64		vehicle owners;
63	65		(E) sufficiently safeguard the security and
64	66		integrity of information provided by insurance companies;
65	67		(F) identify and employ a method of compliance
66	68		that improves public convenience; and
67	69		(G) provide information that is accurate and
68	70		current; and
69	71		(2) capable of being audited by an independent
70	72		auditor.
71	73		SECTION 4. Section 601.453(a), Transportation Code, is
72	74		amended to read as follows:
73	75		(a) The Texas Department of Motor Vehicles [Insurance] in
74	76		consultation with the other implementing agencies, under a
75	77		competitive bidding procedure, shall select an agent to develop,
76	78		implement, operate, and maintain the program.
77	79		SECTION 5. Subchapter N, Chapter 601, Transportation Code,
78	80		is amended by adding Section 601.455 to read as follows:
79	81		Sec. 601.455. ENFORCEMENT. The commissioner of insurance
80	82		may, after notice and opportunity for hearing, take any action
81	83		authorized under Chapters 82, 83, and 84, Insurance Code, or any
82	84		other applicable law, against an insurance company that provides
83	85		motor vehicle liability insurance policies in this state if the
84	86		commissioner of insurance determines that the insurance company is
85	87		in violation of or has failed to comply with Section 601.454 or
86	88		rules adopted under this subchapter.
87	89		SECTION 6. Not later than January 1, 2020, the following are
88	90		transferred from the Texas Department of Insurance to the Texas
89	91		Department of Motor Vehicles:
90	92		(1) the powers, duties, functions, and activities of
91	93		the Texas Department of Insurance relating to the establishment and
92	94		operation of the financial responsibility verification program
93	95		under Subchapter N, Chapter 601, Transportation Code;
94	96		(2) any obligations and contracts of the Texas
95	97		Department of Insurance that are directly related to implementing a
96	98		power, duty, function, or activity transferred under this section;
97	99		and
98	100		(3) all property and records in the custody of the
99	101		Texas Department of Insurance that are related to a power, duty,
100	102		function, or activity transferred under this section and all funds
101	103		appropriated by the legislature for that power, duty, function, or
102	104		activity.
103	105		SECTION 7. Not later than the 60th day after the effective
104	106		date of this Act, the Texas Department of Insurance and the Texas
105	107		Department of Motor Vehicles shall enter into a memorandum of
106	108		understanding that establishes a plan for the identification and
107	109		transfer of the records, property, and unspent appropriations of
108	110		the Texas Department of Insurance that are used for purposes of the
109	111		department's powers and duties directly related to the
110	112		establishment and operation of the financial responsibility
111	113		verification program under Subchapter N, Chapter 601,
112	114		Transportation Code.
113	115		SECTION 8. This Act takes effect immediately if it receives
114	116		a vote of two-thirds of all the members elected to each house, as
115	117		provided by Section 39, Article III, Texas Constitution. If this
116	118		Act does not receive the vote necessary for immediate effect, this
117	119		Act takes effect September 1, 2019.