Bill Text: TX HB3254 | 2017-2018 | 85th Legislature | Enrolled
Bill Title: Relating to the regulation of a motor carrier and the enforcement of motor carrier regulations; authorizing the imposition of a fee; creating a criminal offense.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2017-06-12 - Effective on 1/1/18 [HB3254 Detail]
Download: Texas-2017-HB3254-Enrolled.html
H.B. No. 3254 |
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relating to the regulation of a motor carrier and the enforcement of | ||
motor carrier regulations; authorizing the imposition of a fee; | ||
creating a criminal offense. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 171.1011(g-7), Tax Code, is amended to | ||
read as follows: | ||
(g-7) A taxable entity that is a qualified courier and | ||
logistics company shall exclude from its total revenue, to the | ||
extent included under Subsection (c)(1)(A), (c)(2)(A), or (c)(3), | ||
subcontracting payments made by the taxable entity to nonemployee | ||
agents for the performance of delivery services on behalf of the | ||
taxable entity. For purposes of this subsection, "qualified | ||
courier and logistics company" means a taxable entity that: | ||
(1) receives at least 80 percent of the taxable | ||
entity's annual total revenue from its entire business from a | ||
combination of at least two of the following courier and logistics | ||
services: | ||
(A) expedited same-day delivery of an envelope, | ||
package, parcel, roll of architectural drawings, box, or pallet; | ||
(B) temporary storage and delivery of the | ||
property of another entity, including an envelope, package, parcel, | ||
roll of architectural drawings, box, or pallet; and | ||
(C) brokerage of same-day or expedited courier | ||
and logistics services to be completed by a person or entity under a | ||
contract that includes a contractual obligation by the taxable | ||
entity to make payments to the person or entity for those services; | ||
(2) during the period on which margin is based, is | ||
registered as a motor carrier under Chapter 643, Transportation | ||
Code, and if the taxable entity operates on an interstate basis, is | ||
registered as a motor carrier or broker under the motor vehicle | ||
registration system established under 49 U.S.C. Section 14504a or a | ||
similar federal registration program that replaces that system | ||
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(3) maintains an automobile liability insurance | ||
policy covering individuals operating vehicles owned, hired, or | ||
otherwise used in the taxable entity's business, with a combined | ||
single limit for each occurrence of at least $1 million; | ||
(4) maintains at least $25,000 of cargo insurance; | ||
(5) maintains a permanent nonresidential office from | ||
which the courier and logistics services are provided or arranged; | ||
(6) has at least five full-time employees during the | ||
period on which margin is based; | ||
(7) is not doing business as a livery service, floral | ||
delivery service, motor coach service, taxicab service, building | ||
supply delivery service, water supply service, fuel or energy | ||
supply service, restaurant supply service, commercial moving and | ||
storage company, or overnight delivery service; and | ||
(8) is not delivering items that the taxable entity or | ||
an affiliated entity sold. | ||
SECTION 2. Sections 643.054(a-2) and (a-3), Transportation | ||
Code, are amended to read as follows: | ||
(a-2) The department may deny a registration if the | ||
applicant [ |
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otherwise controlled by or affiliated with a person, including [ |
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entity, or shareholder, that [ |
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has determined has: | ||
(1) an unsatisfactory safety rating under 49 C.F.R. | ||
Part 385; or | ||
(2) multiple violations of Chapter 644, a rule adopted | ||
under that chapter, or Subtitle C. | ||
(a-3) The department may deny a registration if the | ||
applicant is owned, [ |
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managed, or otherwise controlled by or affiliated with a person, | ||
including a [ |
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entity, or shareholder, that [ |
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(1) owned, operated, managed, or otherwise controlled | ||
a motor carrier that the Federal Motor Carrier Safety | ||
Administration has placed out of service for unacceptable safety | ||
compliance [ |
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(2) has unpaid administrative penalties assessed | ||
under this chapter or Subtitle E [ |
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SECTION 3. Section 643.056, Transportation Code, is amended | ||
by adding Subsection (c) to read as follows: | ||
(c) The department may deny a supplement to a motor | ||
carrier's application for registration if the motor carrier is | ||
owned, operated, managed, or otherwise controlled by or affiliated | ||
with a person, including a family member, corporate officer, | ||
entity, or shareholder, that has unpaid administrative penalties | ||
assessed under this chapter or Subtitle E. | ||
SECTION 4. Section 643.058, Transportation Code, is amended | ||
by adding Subsections (d) and (e) to read as follows: | ||
(d) A motor carrier may not renew a registration that has | ||
been expired for more than 180 days. The motor carrier may obtain a | ||
new registration by complying with the requirements and procedures | ||
for obtaining an original registration under this chapter. | ||
(e) The department may deny a motor carrier's application to | ||
renew a registration if the motor carrier is owned, operated, | ||
managed, or otherwise controlled by or affiliated with a person, | ||
including a family member, corporate officer, entity, or | ||
shareholder, that: | ||
(1) the Department of Public Safety has determined | ||
has: | ||
(A) an unsatisfactory safety rating under 49 | ||
C.F.R. Part 385; or | ||
(B) multiple violations of Chapter 644, a rule | ||
adopted under that chapter, or Subtitle C; | ||
(2) owned, operated, managed, or otherwise controlled | ||
a motor carrier that the Federal Motor Carrier Safety | ||
Administration has placed out of service for unacceptable safety | ||
compliance; or | ||
(3) has unpaid administrative penalties assessed | ||
under this chapter or Subtitle E. | ||
SECTION 5. Subchapter B, Chapter 643, Transportation Code, | ||
is amended by adding Section 643.0585 to read as follows: | ||
Sec. 643.0585. REREGISTRATION. (a) If a motor carrier's | ||
registration has been revoked, the motor carrier may apply to the | ||
department for reregistration not later than the 180th day after | ||
the date the registration was revoked. | ||
(b) An application for reregistration must be submitted on a | ||
form prescribed by the department and accompanied by: | ||
(1) a $10 fee for each vehicle requiring registration; | ||
(2) evidence of insurance or financial responsibility | ||
as required by Section 643.103(a); and | ||
(3) any insurance filing fee required under Section | ||
643.103(c). | ||
(c) The department may deny a motor carrier's application | ||
for reregistration if the motor carrier is owned, operated, | ||
managed, or otherwise controlled by or affiliated with a person, | ||
including a family member, corporate officer, entity, or | ||
shareholder, that: | ||
(1) the Department of Public Safety has determined | ||
has: | ||
(A) an unsatisfactory safety rating under 49 | ||
C.F.R. Part 385; or | ||
(B) multiple violations of Chapter 644, a rule | ||
adopted under that chapter, or Subtitle C; | ||
(2) owned, operated, managed, or otherwise controlled | ||
a motor carrier that the Federal Motor Carrier Safety | ||
Administration has placed out of service for unacceptable safety | ||
compliance; or | ||
(3) has unpaid administrative penalties assessed | ||
under this chapter or Subtitle E. | ||
SECTION 6. Section 643.153(d), Transportation Code, is | ||
amended to read as follows: | ||
(d) A motor carrier that is required to register under | ||
Subchapter B and that transports household goods shall file a | ||
tariff with the department that establishes maximum charges for all | ||
transportation services [ |
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motor carrier may comply with this requirement by filing, in a | ||
manner determined by the department, a copy of the carrier's tariff | ||
governing interstate transportation services [ |
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filed under this subsection available for public inspection [ |
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SECTION 7. Section 643.252(a), Transportation Code, is | ||
amended to read as follows: | ||
(a) The department may suspend, revoke, or deny a | ||
registration issued under this chapter or place on probation a | ||
motor carrier whose registration is suspended if a motor carrier: | ||
(1) fails to maintain insurance or evidence of | ||
financial responsibility as required by Section 643.101(a), (b), or | ||
(c)[ |
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(2) fails to keep evidence of insurance in the cab of | ||
each vehicle as required by Section 643.103(b); | ||
(3) fails to register a vehicle requiring | ||
registration; | ||
(4) violates any other provision of this chapter or | ||
Chapter 621, 622, or 623; | ||
(5) knowingly provides false information on any form | ||
filed with the department under this chapter or Chapter 621, 622, or | ||
623; [ |
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(6) violates a rule or order adopted under this | ||
chapter or Chapter 621, 622, or 623; or | ||
(7) is owned, operated, managed, or otherwise | ||
controlled by or affiliated with a person, including a family | ||
member, corporate officer, entity, or shareholder: | ||
(A) whose registration has previously been | ||
revoked or denied; or | ||
(B) that has unpaid administrative penalties | ||
assessed under this chapter or Subtitle E. | ||
SECTION 8. Sections 643.2525(c), (e), (k), and (l), | ||
Transportation Code, are amended to read as follows: | ||
(c) If not later than the 26th day after the date the notice | ||
is mailed the department receives a written request for a hearing, | ||
the department shall set a hearing and provide the carrier [ |
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notice of the hearing and the opportunity to present evidence at the | ||
hearing [ |
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administrative law judge of the State Office of Administrative | ||
Hearings. | ||
(e) If a hearing set under Subsection (c) is held and | ||
evidence is presented at the hearing, the [ |
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judge shall make findings of fact and conclusions of law and | ||
promptly issue to the director a proposal for a decision as to the | ||
occurrence of the violation and the administrative penalties or | ||
sanctions. | ||
(k) If the motor carrier is required to pay a penalty or cost | ||
under Subsection (f), failure to pay the penalty or cost before the | ||
61st day after the date the requirement becomes final is a violation | ||
of this chapter and may result in an additional penalty, revocation | ||
or suspension of a motor carrier registration, or denial [ |
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(l) A motor carrier that is required to pay a penalty, cost, | ||
fee, or expense under this section or Section 643.251 is not | ||
eligible for a registration, reregistration, [ |
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registration renewal [ |
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all required amounts have been paid to the department. | ||
SECTION 9. The heading to Section 643.2526, Transportation | ||
Code, is amended to read as follows: | ||
Sec. 643.2526. APPEAL OF DENIAL OF REGISTRATION, RENEWAL, | ||
OR REREGISTRATION [ |
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SECTION 10. Section 643.2526(a), Transportation Code, is | ||
amended to read as follows: | ||
(a) Notwithstanding any other law, a denial of an | ||
application for registration, renewal of registration, or | ||
reregistration [ |
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is not required to be preceded by notice and an opportunity for | ||
hearing. | ||
SECTION 11. Section 644.151, Transportation Code, is | ||
amended by amending Subsections (a) and (b) and adding Subsection | ||
(b-1) to read as follows: | ||
(a) A person commits an offense if the person: | ||
(1) violates a rule adopted under this chapter; [ |
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(2) does not permit an inspection authorized under | ||
Section 644.104; or | ||
(3) knowingly operates a commercial motor vehicle in | ||
violation of an out-of-service order issued under 49 C.F.R. Section | ||
385.13(d)(1) or owns, leases, or assigns a person to drive a | ||
commercial motor vehicle that is knowingly operated in violation of | ||
an out-of-service order issued under 49 C.F.R. Section | ||
385.13(d)(1). | ||
(b) An offense under Subsection (a)(1) or (2) [ |
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is a Class C misdemeanor. | ||
(b-1) An offense under Subsection (a)(3) is a Class A | ||
misdemeanor, except that the offense is: | ||
(1) a state jail felony if it is shown on the trial of | ||
the offense that at the time of the offense the commercial motor | ||
vehicle was involved in a motor vehicle accident that resulted in | ||
bodily injury; or | ||
(2) a felony of the second degree if it is shown on the | ||
trial of the offense that at the time of the offense the commercial | ||
motor vehicle was involved in a motor vehicle | ||
accident that | ||
resulted in the death of a person. | ||
SECTION 12. The heading to Chapter 645, Transportation | ||
Code, is amended to read as follows: | ||
CHAPTER 645. UNIFIED CARRIER [ |
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SECTION 13. Section 645.001, Transportation Code, is | ||
amended to read as follows: | ||
Sec. 645.001. FEDERAL UNIFIED [ |
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REGISTRATION; DEFINITION. (a) In this chapter, "unified carrier | ||
registration plan and agreement" means the federal unified carrier | ||
registration plan and agreement provided by 49 U.S.C. Section | ||
14504a. | ||
(b) The Texas Department of Motor Vehicles may, to the | ||
fullest extent practicable, participate in [ |
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and agreement [ |
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SECTION 14. Section 645.002(b), Transportation Code, is | ||
amended to read as follows: | ||
(b) The department may adopt rules regarding the method of | ||
payment of a fee required under the unified carrier registration | ||
plan and agreement [ |
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(1) authorize the use of an escrow account described | ||
by Subsection (c), an electronic funds transfer, or a valid credit | ||
card issued by a financial institution chartered by a state or the | ||
United States or by a nationally recognized credit organization | ||
approved by the department; and | ||
(2) require the payment of a discount or service | ||
charge for a credit card payment in addition to the fee. | ||
SECTION 15. Section 645.003, Transportation Code, is | ||
amended to read as follows: | ||
Sec. 645.003. ENFORCEMENT RULES. (a) The department may | ||
[ |
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providing for administrative penalties [ |
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failure to register or submit information and documents under [ |
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[ |
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the unified carrier registration plan and agreement [ |
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(b) The notice, hearing, and other procedural requirements | ||
of Section 643.2525 apply to the imposition of an administrative | ||
penalty under this section as if the action were being taken under | ||
that section. | ||
(c) The amount of an administrative penalty imposed under | ||
this section is calculated in the same manner as the amount of an | ||
administrative penalty imposed under Section 643.251. | ||
SECTION 16. Sections 645.004(a) and (c), Transportation | ||
Code, are amended to read as follows: | ||
(a) A person commits an offense if the person fails to: | ||
(1) [ |
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[ |
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carrier registration plan and agreement; or | ||
(2) submit information and documents as required by | ||
the unified carrier registration plan and agreement [ |
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(c) Each day a violation [ |
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offense under this section. | ||
SECTION 17. Sections 643.001(7-a), 643.064(a), and | ||
645.002(a), Transportation Code, are repealed. | ||
SECTION 18. (a) The changes in law made by this Act apply | ||
only to an offense or violation committed on or after the effective | ||
date of this Act. An offense or violation committed before the | ||
effective date of this Act is governed by the law in effect on the | ||
date the offense or violation was committed, and the former law is | ||
continued in effect for that purpose. For purposes of this section, | ||
an offense or violation was committed before the effective date of | ||
this Act if any element of the offense or violation occurred before | ||
that date. | ||
(b) The change in law made by this Act relating to an | ||
application filed under Chapter 643, Transportation Code, applies | ||
only to an application filed under that chapter on or after the | ||
effective date of this Act. An application filed before that date | ||
is governed by the law in effect on the date the application was | ||
filed, and the former law is continued in effect for that purpose. | ||
SECTION 19. This Act takes effect January 1, 2018. | ||
______________________________ | ______________________________ | |
President of the Senate | Speaker of the House | |
I certify that H.B. No. 3254 was passed by the House on May 9, | ||
2017, by the following vote: Yeas 138, Nays 7, 2 present, not | ||
voting; and that the House concurred in Senate amendments to H.B. | ||
No. 3254 on May 26, 2017, by the following vote: Yeas 124, Nays 20, | ||
2 present, not voting. | ||
______________________________ | ||
Chief Clerk of the House | ||
I certify that H.B. No. 3254 was passed by the Senate, with | ||
amendments, on May 24, 2017, by the following vote: Yeas 31, Nays | ||
0. | ||
______________________________ | ||
Secretary of the Senate | ||
APPROVED: __________________ | ||
Date | ||
__________________ | ||
Governor |