88R10755 BEE-D
By: Miles S.B. No. 1448
A BILL TO BE ENTITLED
AN ACT
relating to the location for which a wholesale motor vehicle dealer
general distinguishing number may be issued.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 503.027, Transportation Code, is amended
by adding Subsection (c) to read as follows:
(c) A rule adopted by the board relating to a dealer
location, including the classification of a location as an
established and permanent place of business, may not:
(1) require that the dealer display an interior or
exterior sign at a location that is a residential location
described by Section 503.032(b)(2); or
(2) prohibit a wholesale motor vehicle dealer from
being located in the same building as a retail dealer, except that a
rule may prohibit a wholesale motor vehicle dealer from being
located in the same office space as a retail dealer.
SECTION 2. Sections 503.032(a) and (b), Transportation
Code, are amended to read as follows:
(a) An applicant for a dealer general distinguishing number
or wholesale motor vehicle auction general distinguishing number
must demonstrate that the location for which the applicant requests
the number is an established and permanent place of business.
Except as provided by Subsection (b), a [A] location is considered
to be an established and permanent place of business if the
applicant:
(1) owns the real property on which the business is
situated or has a written lease for the property that has a term of
not less than the term of the general distinguishing number;
(2) maintains on the location:
(A) a permanent furnished office that is equipped
as required by the department for the sale of the vehicles of the
type specified in the application; and
(B) a conspicuous sign with letters at least six
inches high showing the name of the applicant's business; and
(3) has sufficient space on the location to display at
least five vehicles of the type specified in the application.
(b) A location for which a wholesale motor vehicle dealer is
applying [An applicant] for a general distinguishing number is
considered to be an established and permanent place of business if
the location:
(1) satisfies the requirements of Subsection (a),
except that the location [as a wholesale motor vehicle dealer] is
not required to have [maintain] display space as described by [in
accordance with] Subsection (a)(3); or
(2) is a residential location equipped with:
(A) Internet access; and
(B) a working telephone number listed in the
business name or assumed name under which the dealer conducts
business.
SECTION 3. Section 503.032, Transportation Code, as amended
by this Act, applies only to an application for an initial or
renewal wholesale motor vehicle dealer general distinguishing
number submitted on or after the effective date of this Act. An
application for an initial or renewal wholesale motor vehicle
dealer general distinguishing number submitted before the
effective date of this Act is governed by the law in effect on the
date the application was submitted, and the former law is continued
in effect for that purpose.
SECTION 4. This Act takes effect September 1, 2023.