88R329 BEE-D
 
  By: West S.B. No. 2567
 
 
A BILL TO BE ENTITLED
AN ACT
relating to the issuance of temporary tags and license plates by a
motor vehicle dealer.
       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
       SECTION 1.  Section 501.022(d), Transportation Code, is
amended to read as follows:
       (d)  Subsection (c) does not apply to a motor vehicle
operated on a public highway in this state with a metal dealer's
license plate or a dealer's [or buyer's] temporary tag attached to
the vehicle as provided by Chapter 503.
       SECTION 2.  Section 501.0236(b), Transportation Code, is
amended to read as follows:
       (b)  A purchaser to whom this section applies may apply for:
             (1)  a title in the manner prescribed by the department
by rule; and
             (2)  [on expiration of the buyer's tag issued to the
purchaser under Section 503.063,] a 30-day permit under Section
502.095.
       SECTION 3.  Section 503.038(a), Transportation Code, is
amended to read as follows:
       (a)  The department may cancel a dealer's general
distinguishing number if the dealer:
             (1)  falsifies or forges a title document, including an
affidavit making application for a certified copy of a title;
             (2)  files a false or forged tax document, including a
sales tax affidavit;
             (3)  fails to take assignment of any basic evidence of
ownership, including a certificate of title or manufacturer's
certificate, for a vehicle the dealer acquires;
             (4)  fails to assign any basic evidence of ownership,
including a certificate of title or manufacturer's certificate, for
a vehicle the dealer sells;
             (5)  uses or permits the use of a metal dealer's license
plate or a dealer's temporary tag on a vehicle that the dealer does
not own or control or that is not in stock and offered for sale;
             (6)  makes a material misrepresentation in an
application or other information filed with the department;
             (7)  fails to maintain the qualifications for a general
distinguishing number;
             (8)  fails to provide to the department within 30 days
after the date of demand by the department satisfactory and
reasonable evidence that the person is regularly and actively
engaged in business as a wholesale or retail dealer;
             (9)  has been licensed for at least 12 months and has
not assigned at least five vehicles during the previous 12-month
period;
             (10)  has failed to demonstrate compliance with
Sections 23.12, 23.121, and 23.122, Tax Code;
             (11)  uses or allows the use of the dealer's general
distinguishing number or the location for which the general
distinguishing number is issued to avoid the requirements of this
chapter;
             (12)  misuses or allows the misuse of:
                   (A)  a temporary tag authorized under this
chapter; or
                   (B)  a license plate or set of license plates
issued under Section 503.063; or
             (13)  [refuses to show on a buyer's temporary tag the
date of sale or other reasonable information required by the
department; or
             [(14)] otherwise violates this chapter or a rule
adopted under this chapter.
       SECTION 4.  Section 503.0626(c), Transportation Code, is
amended to read as follows:
       (c)  Before a dealer's or converter's temporary tag may be
displayed on a vehicle, the dealer or converter must enter into the
database through the Internet information on the vehicle and
information about the dealer or converter as prescribed by the
department. Except as provided by Section 503.0627(f)
[506.0632(f)], the department may not deny access to the database
to any dealer who holds a general distinguishing number issued
under this chapter or who is licensed under Chapter 2301,
Occupations Code, or to any converter licensed under Chapter 2301,
Occupations Code.

Statutes affected:
Introduced: Transportation Code 501.022, Transportation Code 501.0236, Transportation Code 503.063, Transportation Code 503.0626, Transportation Code 503.0631, Transportation Code 503.068 (Transportation Code 501, Transportation Code 503)