The Texas Department of Motor Vehicles (department) proposes amendments to Subchapter A, §217.3, Motor Vehicle Titles, and Subchapter B, §217.22, Motor Vehicle Registration, both relating to Vehicle Titles and Registration.

EXPLANATION OF PROPOSED AMENDMENTS

The proposed amendments are necessary to comply with the requirements of House Bill 2357, 82nd Legislature, Regular Session, 2011, which created Transportation Code, §520.004 requiring the department to establish standards for uniformity and service quality for the titling and registration of vehicles by the counties.

In response, the department formed a Standards Committee in conjunction with County Tax Assessor-Collectors (TACs). These rules implement the consensus of that committee as well as clarification of existing rule.

Section 217.3(g) clarifies that a TAC must hold county hearings for an interested person who has been refused a title, has a title revoked, or has a title suspended in accordance with Transportation Code, §501.052. Such a hearing may be appealed to a court with jurisdiction.

Section 217.3(j) is added to require new county employees to complete five department introductory online title modules within the first six months of hire and an additional five modules of the county TAC's choice within the first year of hire. A new county TAC is required to complete the online county TAC training within the first year of election or appointment. The department may allow a county to substitute its own training.

Section 217.3(k) is added to provide consistency in charging fees. The department and the county will charge the fees provided by statute or by rule.

Section 217.3(l) is added to clarify the charges related to mechanics' liens. A county is required by Property Code, §70.006 to send out notice of liens, and may charge a $25 fee. This subsection provides that the $25 is to be charged once per vehicle. If the mechanic needs to return with additional documentation in order for the county to process the notice, a second $25 will not be charged. The new subsection also clarifies that there is no charge for issuance of a title receipt or a duplicate title receipt at the time of application.

In accordance with the Transportation Code, §502.045, §217.22(d)(5) is clarified to explain that if a person has been arrested or cited for operation of a vehicle without registration then the full annual registration fee will be collected without change to the registration month. The remaining changes to the subsection combine information for ease of reference, but do not change the substance.

Section 217.22(f) is added to provide proof of eligibility for farm plates. An application for farm plates must be accompanied by a copy of the applicant's Texas Agriculture or Timber Registration card issued by the Texas Comptroller of Public Accounts. The card must be current, be legible, contain a registration number, and be in the name of the person or dba in which the vehicle will be registered.

Section 217.22(n) is added to require new county employees to complete five department introductory online title modules within the first six months of hire and an additional five modules of the county TAC's choice within the first year of hire. A new county TAC is required to complete the online county TAC training within the first year of election or appointment. The department may allow a county to substitute its own training.

Section 217.22(o) is added to provide consistency in charging fees. The department and the county will charge the fees provided by statute or by rule. The section clarifies that the $2 fee for a duplicate registration receipt will be charged only if the receipt is printed for the customer.

FISCAL NOTE

Linda Flores, Chief Financial Officer, has determined that for each year of the first five years the amendments as proposed are in effect, there will be no fiscal implications for state or local governments as a result of enforcing or administering the amendments.

Randy Elliston, Director, Vehicle Titles and Registration Division, has certified that there will be no significant impact on local economies or overall employment as a result of enforcing or administering the amendments.

PUBLIC BENEFIT AND COST

Mr. Elliston has determined that for each year of the first five years the amendments are in effect, the public benefit anticipated as a result of enforcing or administering the amendments is to standardize procedures related to vehicle titling and registration.

There are no anticipated economic costs for persons required to comply with the amendments. There will be no adverse economic effect on small businesses or individuals.

SUBMITTAL OF COMMENTS

Written comments on the amendments may be submitted to Jennifer Soldano, Interim General Counsel, Texas Department of Motor Vehicles, 4000 Jackson Avenue, Building 1, Austin, Texas 78731. The deadline for receipt of comments is 5:00 p.m. on December 27, 2012.

STATUTORY AUTHORITY

The amendments are proposed under Transportation Code, §1002.001, which provides the Board of the Texas Department of Motor Vehicles with the authority to establish rules for the conduct of the work of the department, and Transportation Code, §§501.0041, 502.0021, and 520.003, which provide the Board of the Texas Department of Motor Vehicles with the authority to establish rules for each respective chapter of the Transportation Code; more specifically, Transportation Code, §520.004, which authorizes the department to establish standards for uniformity and service quality for the registering and titling of motor vehicles.

CROSS REFERENCE TO STATUTE

Property Code, §70.006, and Transportation Code, §§501.024, 501.052, 501.132, 502.045, and 502.058.