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TITLE 43TRANSPORTATION
PART 10TEXAS DEPARTMENT OF MOTOR VEHICLES
CHAPTER 215MOTOR VEHICLE DISTRIBUTION
SUBCHAPTER EGENERAL DISTINGUISHING NUMBERS
RULE §215.152Obtaining Numbers for Issuance of Temporary Tags

  (2) opening an additional location will receive a maximum allotment of temporary tags based on the greater of the allotment provided to existing locations, including franchised dealers opening additional locations for different line makes, or the amount under subsection (f) of this section;

  (3) purchased as a buy-sell ownership agreement will receive the maximum allotment of temporary tags provided to the location being purchased and not be allocated temporary tags under subsection (f) of this section; and

  (4) inherited by will or laws of descent will receive the maximum allotment of temporary tags provided to the location being inherited and not be allocated temporary tags under subsection (f) of this section.

(h) A new dealer or converter may also provide credible information supporting a request for additional temporary tags to the amount allocated under subsection (f) of this section based on:

  (1) franchised dealer, manufacturer, or distributor sales expectations;

  (2) a change in license required by death or retirement, except as provided in subsection (g) of this section;

  (3) prior year's sales by a dealership moving into the state; or

  (4) other similar change of location or ownership that indicates some continuity in existing operations.

(i) After using 50 percent of the allotted maximum number of temporary tags, a dealer or converter may request an increase in the number of temporary tags by submitting a request in the department's eLICENSING system.

  (1) The dealer or converter must provide information demonstrating the need for additional temporary tags results from business operations, including anticipated needs, as required by §503.0632(c). Information may include documentation of sales and tax reports filed as required by law, information of anticipated need, or other information of the factors listed in §503.0632(b).

  (2) The department shall consider the information presented and may consider information not presented that may weigh for or against granting the request that the department in its sole discretion determines to be relevant in making its determination. Other relevant information may include information of the factors listed in §503.0632(b), the timing of the request, and the applicant's temporary tag activity.

  (3) The department may allocate a lesser or greater number of additional temporary tags than the amount requested by the dealer or converter. Allocation of a lesser or greater number of additional temporary tags is not a denial of the request. Allocation of additional temporary tags under this paragraph does not limit the dealer's or converter's ability to submit additional requests for more temporary tags.

  (4) If a request is denied, a dealer or converter may appeal the denial to the Director of the Motor Vehicle Division whose decision is final.

    (A) The denial will be sent to the license holder by email to the email used by the license holder in the request.

    (B) The appeal must be requested within 10 business days of the denial being sent to the department though the eLICENSING system.

    (C) The appeal may discuss information provided in the request but may not include additional information.

    (D) The Motor Vehicle Division Director will review the submission and any additional statements concerning the information submitted in the original request and render an opinion within 10 business days of receiving the appeal. The Motor Vehicle Division Director may decide to deny the request and issue no additional tags, or award an amount of additional temporary tags that is lesser, equal to, or greater than the request.

    (E) The requesting license holder will be notified as follows:

      (i) If the Motor Vehicle Division director has decided to deny the appeal, the license holder will be contacted by email regarding the decision and options to submit a new request with additional relevant credible supporting documentation or to pursue a claim in district court; or

      (ii) If the Motor Vehicle Division Director has decided to award an amount of additional temporary tags that is lesser, equal to, or greater than the request, the additional temporary tags will be added to the license holders account and the license holder will be contacted by email regarding the decision, informed that the request has not been denied, and options the license holder has to submit a new request.

  (5) Once a denial is final, a dealer or converter may only submit a subsequent request for additional temporary tags during that calendar year if the dealer or converter is able to provide additional information not considered in the prior request.

(j) A change in the allotment under subsection (i) of this section does not create a dealer or converter base for subsequent year calculations.

(k) The department may at any time initiate an enforcement action against a dealer or converter if temporary tag usage suggests that misuse or fraud has occurred as described in Transportation Code §§503.038, 503.0632(f), or 503.067.

(l) Unused dealer or converter tag allotments from a calendar year do not roll over to subsequent years.


Source Note: The provisions of this §215.152 adopted to be effective February 11, 2010, 35 TexReg 883; amended to be effective February 13, 2017, 42 TexReg 571; amended to be effective October 21, 2020, 45 TexReg 7441; amended to be effective February 14, 2022, 47 TexReg 954

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