Texas 2021 - 87th Regular

Texas House Bill HB3927 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	H.B. No. 3927
	1	+	By: Hefner (Senate Sponsor - Nichols) H.B. No. 3927
	2	+	(In the Senate - Received from the House May 10, 2021;
	3	+	May 12, 2021, read first time and referred to Committee on
	4	+	Transportation; May 19, 2021, reported adversely, with favorable
	5	+	Committee Substitute by the following vote: Yeas 8, Nays 0;
	6	+	May 19, 2021, sent to printer.)
	7	+	Click here to see the committee vote
	8	+	COMMITTEE SUBSTITUTE FOR H.B. No. 3927 By: Nichols
2	9
3	10
	11	+	A BILL TO BE ENTITLED
4	12		AN ACT
5	13		relating to certain temporary motor vehicle tags.
6	14		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
7	15		SECTION 1. Sections 503.0626(a) and (c), Transportation
8	16		Code, are amended to read as follows:
9	17		(a) The department shall develop, manage, and maintain a
10	18		secure, real-time database of information on vehicles to which
11	19		dealers and converters have affixed temporary tags. [The database
12	20		shall be managed by the vehicle titles and registration division of
13	21		the department.]
14	22		(c) Before a dealer's or converter's temporary tag may be
15	23		displayed on a vehicle, the dealer or converter must enter into the
16	24		database through the Internet information on the vehicle and
17	25		information about the dealer or converter as prescribed by the
18		-	department. Except as provided by Section 506.0632(f), the [The]
	26	+	department. Except as provided by Section 506.0632(g), the [The]
19	27		department may not deny access to the database to any dealer who
20	28		holds a general distinguishing number issued under this chapter or
21	29		who is licensed under Chapter 2301, Occupations Code, or to any
22	30		converter licensed under Chapter 2301, Occupations Code.
23	31		SECTION 2. Section 503.063, Transportation Code, is amended
24		-	by adding ~~Subsections~~ (i~~) and (j~~) to read as follows:
	32	+	by adding Subsection (i) to read as follows:
25	33		(i) A vehicle may be issued and display a buyer's tag
26	34		without satisfying the inspection requirements of Chapter 548 if:
27	35		(1) the buyer of the vehicle is not a resident of this
28	36		state; and
29	37		(2) the vehicle:
30	38		(A) at the time of purchase, is not located or
31	39		required to be titled or registered in this state;
32	40		(B) will be titled and registered in accordance
33	41		with the laws of the buyer's state of residence; and
34	42		(C) will be inspected in accordance with the laws
35	43		of the buyer's state of residence, if the laws of that state require
36	44		inspection.
37		-	(j) A vehicle may be issued and display a buyer's tag
38		-	without satisfying the inspection requirements of Chapter 548 if
39		-	the vehicle is purchased at public auction in this state and is:
40		-	(1) an antique vehicle as defined by Section
41		-	683.077(b); or
42		-	(2) a special interest vehicle as defined by Section
43		-	683.077(b) that:
44		-	(A) is at least 12 years of age; and
45		-	(B) has been the subject of a retail sale.
46	45		SECTION 3. Sections 503.0631(a) and (c), Transportation
47	46		Code, are amended to read as follows:
48	47		(a) The department shall develop, manage, and maintain a
49	48		secure, real-time database of information on persons to whom
50	49		temporary buyer's tags are issued that may be used by a law
51	50		enforcement agency in the same manner that the agency uses vehicle
52	51		registration information. [The database shall be managed by the
53	52		vehicle titles and registration division of the department.]
54	53		(c) Except as provided by Subsection (d), before a buyer's
55	54		temporary tag may be displayed on a vehicle, a dealer must enter
56	55		into the database through the Internet information about the buyer
57	56		of the vehicle for which the tag was issued as prescribed by the
58	57		department and generate a vehicle-specific number for the tag as
59	58		required by Section 503.063(e). Except as provided by Section
60		-	506.0632(f), the [The] department may not deny access to the
	59	+	506.0632(g), the [The] department may not deny access to the
61	60		database to any dealer who holds a general distinguishing number
62	61		issued under this chapter or who is licensed under Chapter 2301,
63	62		Occupations Code.
64	63		SECTION 4. Subchapter C, Chapter 503, Transportation Code,
65	64		is amended by adding Section 503.0632 to read as follows:
66	65		Sec. 503.0632. DEPARTMENT REGULATION OF TEMPORARY TAGS AND
67	66		ACCESS TO TEMPORARY TAG DATABASES. (a) The department by rule may
68	67		establish the maximum number of temporary tags that a dealer or
69	68		converter may obtain in a calendar year under Section 503.062,
70	69		503.0625, or 503.063.
71	70		(b) The maximum number of temporary tags that the department
72	71		determines a dealer or converter may obtain under this section must
73	72		be based on the dealer's or converter's anticipated need for
74	73		temporary tags, taking into consideration:
75	74		(1) the dealer's or converter's:
76	75		(A) time in operation;
77	76		(B) sales data; and
78	77		(C) expected growth;
79	78		(2) expected changes in the dealer's or converter's
80	79		market;
81	80		(3) temporary conditions that may affect sales by the
82	81		dealer or converter; and
83	82		(4) any other information the department considers
84	83		relevant.
85	84		(c) At the request of a dealer or converter, the department
86	85		may authorize additional temporary tags of any type for the dealer
87	86		or converter if the dealer or converter demonstrates a need for
88	87		additional temporary tags resulting from business operations,
89	88		including anticipated need.
90	89		(d) The department's denial of a request under Subsection
91	90		(c) may be overturned if a dealer or converter shows by a
92	91		preponderance of the evidence the need for additional temporary
93	92		tags.
94		-	(e) The department shall monitor the number of temporary
95		-	tags obtained by a dealer or converter.
96		-	(f) If the department determines that a dealer or converter
97		-	is fraudulently obtaining temporary tags from the temporary tag
98		-	database, the department may, after giving notice electronically
99		-	and by certified mail to the dealer or converter, deny access to a
100		-	temporary tag database to the dealer or converter. A dealer or
101		-	converter denied access to a temporary tag database under this
102		-	subsection may request a hearing on the denial as provided by
103		-	Subchapter O, Chapter 2301, Occupations Code.
	93	+	(e) The department:
	94	+	(1) shall monitor in real time the number of temporary
	95	+	tags obtained by a dealer or converter; and
	96	+	(2) if a dealer or converter obtains temporary tags in
	97	+	excess of the number established by the department under Subsection
	98	+	(a), shall immediately:
	99	+	(A) review the dealer's or converter's records;
	100	+	and
	101	+	(B) investigate to determine the reason for the
	102	+	excess number of temporary tags obtained, including by consulting
	103	+	with the dealer or converter.
	104	+	(f) If after the review and investigation under Subsection
	105	+	(e)(2) the department determines that a dealer or converter is not
	106	+	compliant with Section 503.038(a)(12), the department shall issue a
	107	+	cease and desist order as provided by Section 2301.802, Occupations
	108	+	Code.
	109	+	(g) If after the review and investigation under Subsection
	110	+	(e)(2) the department determines by clear and convincing evidence
	111	+	that irreparable harm is occurring to the public and to other
	112	+	dealers or converters because a dealer or converter is fraudulently
	113	+	obtaining temporary tags from the temporary tag database, the
	114	+	department may, after giving notice electronically and by certified
	115	+	mail to the dealer or converter, deny access to a temporary tag
	116	+	database to the dealer or converter. A dealer or converter denied
	117	+	access to a temporary tag database under this subsection may
	118	+	request a hearing on the denial as provided by Subchapter O, Chapter
	119	+	2301, Occupations Code.
104	120		SECTION 5. Sections 503.067(b) and (d), Transportation
105	121		Code, are amended to read as follows:
106	122		(b) A person may not operate a vehicle that displays:
107	123		(1) a temporary tag in violation of this chapter or
108	124		Chapter 502; or
109	125		(2) any other [an] unauthorized temporary tag.
110	126		(d) A person may not sell or distribute a temporary tag or an
111	127		item represented to be a temporary tag unless the person is[:
112	128		[(1)] a dealer issuing the tag in connection with the
113	129		sale of a vehicle[; or
114	130		[(2) a printer or distributor engaged in the business
115	131		of selling temporary tags solely for uses authorized under this
116	132		chapter].
117	133		SECTION 6. The changes in law made by this Act apply only to
118	134		an offense committed on or after the effective date of this Act. An
119	135		offense committed before the effective date of this Act is governed
120	136		by the law in effect on the date the offense was committed, and the
121	137		former law is continued in effect for that purpose. For purposes of
122	138		this section, an offense was committed before the effective date of
123	139		this Act if any element of the offense occurred before that date.
124	140		SECTION 7. This Act takes effect September 1, 2021.
125		-	______________________________ ______________________________
126		-	President of the Senate Speaker of the House
127		-	I certify that H.B. No. 3927 was passed by the House on May 7,
128		-	2021, by the following vote: Yeas 128, Nays 12, 1 present, not
129		-	voting; and that the House concurred in Senate amendments to H.B.
130		-	No. 3927 on May 28, 2021, by the following vote: Yeas 125, Nays 16,
131		-	4 present, not voting.
132		-	______________________________
133		-	Chief Clerk of the House
134		-	I certify that H.B. No. 3927 was passed by the Senate, with
135		-	amendments, on May 22, 2021, by the following vote: Yeas 30, Nays
136		-	0.
137		-	______________________________
138		-	Secretary of the Senate
139		-	APPROVED: __________________
140		-	Date
141		-	__________________
142		-	Governor
	141	+	* * * * *