| 7 | 5 | | |
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| 8 | 6 | | |
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| 9 | 7 | | A BILL TO BE ENTITLED |
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| 10 | 8 | | AN ACT |
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| 11 | 9 | | relating to motor vehicle titles for salvage vehicles. |
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| 12 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 13 | 11 | | SECTION 1. Section 501.091, Transportation Code, is amended |
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| 14 | 12 | | by adding Subdivision (1-a) to read as follows: |
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| 15 | 13 | | (1-a) "Auction sales receipt" means a document |
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| 16 | 14 | | certifying the sale of a motor vehicle at auction by a law |
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| 17 | 15 | | enforcement agency or public sale for a lien foreclosure. |
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| 18 | 16 | | SECTION 2. Section 501.1003, Transportation Code, is |
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| 19 | 17 | | amended to read as follows: |
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| 20 | 18 | | Sec. 501.1003. SALVAGE VEHICLE DEALER RESPONSIBILITIES. |
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| 21 | 19 | | (a) If a salvage vehicle dealer acquires ownership of a |
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| 22 | 20 | | nonrepairable motor vehicle or salvage motor vehicle for the |
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| 23 | 21 | | purpose of dismantling, scrapping, or destroying the motor vehicle, |
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| 24 | 22 | | the dealer shall, before the 31st day after the date the dealer |
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| 25 | 23 | | acquires the motor vehicle, submit to the department a report |
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| 26 | 24 | | stating that the motor vehicle will be dismantled, scrapped, or |
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| 27 | 25 | | destroyed. The dealer shall: |
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| 28 | 26 | | (1) make the report in a manner prescribed by the |
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| 29 | 27 | | department; and |
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| 30 | 28 | | (2) submit with the report a properly assigned |
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| 31 | 29 | | manufacturer's certificate of origin, [regular certificate of] |
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| 32 | 30 | | title, nonrepairable vehicle title, salvage vehicle title, auction |
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| 33 | 31 | | sales receipt, or comparable out-of-state ownership document for |
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| 34 | 32 | | the motor vehicle. |
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| 35 | 33 | | (b) After receiving the report and title, manufacturer's |
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| 36 | 34 | | certificate of origin, auction sales receipt, or document, the |
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| 37 | 35 | | department shall issue the salvage vehicle dealer a receipt for the |
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| 38 | 36 | | manufacturer's certificate of origin, [regular certificate of] |
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| 39 | 37 | | title, nonrepairable vehicle title, salvage vehicle title, auction |
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| 40 | 38 | | sales receipt, or comparable out-of-state ownership document. |
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| 41 | 39 | | (c) The department shall adopt rules to notify the salvage |
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| 42 | 40 | | vehicle dealer if the vehicle was not issued a printed title, but |
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| 43 | 41 | | has a record of title in the department's titling system. |
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| 44 | 42 | | SECTION 3. This Act takes effect September 1, 2025. |
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