The Texas Department of Motor Vehicles (department) proposes amendments to Chapter 217, Subchapter A, §217.2, Definitions; §217.3, Motor Vehicle Titles; §217.4, Initial Application for Title; §217.5, Evidence of Motor Vehicle Ownership; §217.7, Replacement of Title; Subchapter B, §217.26, Identification Required; §217.33, Commercial Farm Motor Vehicles, Farm Trailers, and Farm Semitrailers; §217.40, Special Registration Permits; §217.43, Military Specialty License Plates; §217.45, Specialty License Plates, Symbols, Tabs, and Other Devices; §217.46, Commercial Vehicle Registration; §217.54, Registration of Fleet Vehicles; §217.55, Exempt and Alias Vehicle Registration; Subchapter D, §217.88, Sale, Transfer, or Release of Ownership of a Non-repairable or Salvage Motor Vehicle; and Subchapter F, §217.123, Access to Motor Vehicle Records.

EXPLANATION OF PROPOSED AMENDMENTS

Several bills from the 84th Legislature, Regular Session, 2015, amended sections of the Transportation Code. Because of these statutory changes, several rules must be amended to maintain consistency with the amended statutes. Amendments are proposed throughout Chapter 217, Subchapters A, B, D, and F to reflect the statutory changes and to correct statutory citations; delete unnecessary language, including language that repeats statute; and to update and clarify various requirements and procedures.

SECTION BY SECTION ANALYSIS

Amendments are proposed to §217.2, Definitions, to update the definition of "implement of husbandry" to mirror the amendment to the definition in Transportation Code, §541.201(6) by Senate Bill 971, 84th Regular Session. This section is also amended to include a definition for "even trade."

Amendments are proposed to §217.3, Motor Vehicle Titles, to remove an unnecessary sentence that requires a brand on a title indicating that an oversize permit must be obtained.

Amendments are proposed to §217.4, Initial Application for Title, to remove an unnecessary rule citation, update numbering within the rule, and prescribe requirements applicable to "even trade" title transactions. The proposed amendments require both parties to an even trade to apply for title in person at the same time, unless a party provides a power of attorney and medical documentation indicating the party is unable to be physically present.

Amendments are proposed to §217.5, Evidence of Motor Vehicle Ownership; §217.7, Replacement of Title; §217.26, Identification Required; and §217.123, Access to Motor Vehicle Records, to add a concealed handgun license issued by the Texas Department of Public Safety under Government Code, Chapter 411, Subchapter H as an acceptable form of identification to support an application for a title, replacement title, initial registration, or a request for personal information.

Amendments are proposed to §217.33, Commercial Farm Motor Vehicles, Farm Trailers, and Farm Semitrailers, to implement House Bill 75, 84th Regular Session. This bill exempted a farmers' cooperative society incorporated under Chapter 51, Agriculture Code, or a marketing association organized under Chapter 52, Agriculture Code from the requirement to submit proof of the applicant's Texas Agriculture or Timber Exemption Registration issued by the Texas Comptroller of Public Accounts when applying for or renewing the registration of farm plates under this section.

Amendments are proposed to §217.40, Special Registration Permits, to reflect that permits are issued in lieu of registration insignia as legal registration for the movement of motor vehicles not authorized to travel on Texas public highways for lack of registration or for lack of reciprocity with the state or country in which the vehicles are registered. The amendments also delete "Permits" from the section heading.

Amendments are proposed to §217.43, Military Specialty License Plates, to simplify the rule and allow for future amendments to the statutes authorizing military specialty license plates without requiring rule amendments. Amendments to this section are also proposed to implement House Bill 789, 84th Regular Session, which amended Transportation Code, §504.303, to allow a retired member of the United States armed forces to use an identification card issued by any branch of the military under the jurisdiction of the United States Department of Defense or the United States Department of Homeland Security indicating that the member is retired to support an application for a military specialty license plate. Amendments are also proposed to update numbering within the section.

Amendments are proposed to §217.45, Specialty License Plates, Symbols, Tabs, and Other Devices, to implement House Bill 792, 84th Regular Session, which amended Transportation Code, §504.502 by adding "bus" to the type of vehicle eligible for antique plates.

Amendments are proposed to §217.46, Commercial Vehicle Registration, to clarify which vehicles may not be registered in combination and to reflect that tow trucks are issued permits by the Texas Department of Licensing and Regulation under Occupations Code, Chapter 2308, Subchapter C.

Amendments are proposed to §217.54, Registration of Fleet Vehicles, to clarify that for a cancellation of a commercial fleet vehicle registration for non-compliance with the inspection requirements under Transportation Code, Chapter 548, a registrant must pay a $10 fee in addition to the other requirements for reinstatement of the registration.

Amendments are proposed to §217.55, Exempt and Alias Vehicle Registration, to implement House Bill 1360, 84th Regular Session, which added United States Coast Guard Auxiliary Vehicles to the categories of vehicles eligible for an exemption under Transportation Code, §502.453. Amendments are also proposed to clarify the language in the rule.

Amendments are proposed to §217.88, Sale, Transfer, or Release of Ownership of a Non-repairable or Salvage Motor Vehicle, to correct a statutory citation.

Further, nonsubstantive amendments are proposed throughout these sections to correct grammar and punctuation.

FISCAL NOTE

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

Jeremiah Kuntz, Director of the Vehicle Titles and Registration Division, has determined that there will be no anticipated impact on local economies or overall employment as a result of enforcing or administering the amendments.

PUBLIC BENEFIT AND COST

Mr. Kuntz has also determined that for each year of the first five years the proposed amendments are in effect, the public benefit anticipated as a result of enforcing or administering the amended sections will be accuracy, clarity, and consistency in the department's rules. Mr. Kuntz has also determined that for each of the first five years the proposed amendments are in effect, there are no anticipated significant economic costs for persons required to comply with the amendments as proposed.

SMALL AND MICRO-BUSINESS IMPACT ASSESSMENT

Pursuant to Government Code Chapter 2006, the department does not anticipate any adverse economic effect on small businesses or micro-businesses due to the adoption of the amendments.

TAKINGS IMPACT ASSESSMENT

The department has determined that this proposal affects no private real property interests and that this proposal does not restrict or limit an owner's right to property that would otherwise exist in the absence of government action, and so does not constitute a taking or require a takings impact assessment under Government Code, §2007.043.

SUBMITTAL OF COMMENTS

Written comments on the proposed amendments may be submitted to David D. Duncan, General Counsel, Texas Department of Motor Vehicles, 4000 Jackson Avenue, Building 1, Austin, Texas 78731 or by email to rules@txdmv.gov. The deadline for receipt of comments is 5:00 p.m. on May 23, 2016.

STATUTORY AUTHORITY

The amendments are proposed under Transportation Code, §1002.001, which provides the board of the Texas Department of Motor Vehicles (board) the authority to adopt rules necessary and appropriate to implement the powers and the duties of the department under the Transportation Code; Transportation Code, §501.0041, which provides the department may adopt rules to administer Chapter 501, Certificate of Title Act; Transportation Code, §502.0021, which provides the department may adopt rules to administer Chapter 502, Registration of Vehicles; and Transportation Code, §504.0011, which provides the department may adopt rules to implement and administer Chapter 504, License Plates. More specifically, amendments are also proposed under Transportation Code, §501.0235, which provides the department may require an applicant for a title to provide current personal identification as determined by department rule.

CROSS REFERENCE TO STATUTE

Transportation Code, §§501.022, 501.023, 502.095, 502.453, 502.456, and 504.202.