Bill Text: TX HB3577 | 2023-2024 | 88th Legislature | Comm Sub
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the issuance of title to a salvage pool operator for certain motor vehicles.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Engrossed - Dead) 2023-05-02 - Referred to Transportation [HB3577 Detail]
Download: Texas-2023-HB3577-Comm_Sub.html
Bill Title: Relating to the issuance of title to a salvage pool operator for certain motor vehicles.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Engrossed - Dead) 2023-05-02 - Referred to Transportation [HB3577 Detail]
Download: Texas-2023-HB3577-Comm_Sub.html
88R20079 JAM-D | |||
By: Thompson of Brazoria | H.B. No. 3577 | ||
Substitute the following for H.B. No. 3577: | |||
By: Canales | C.S.H.B. No. 3577 |
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relating to the issuance of title to a salvage pool operator for | ||
certain motor vehicles. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. The heading to Section 501.0935, Transportation | ||
Code, is amended to read as follows: | ||
Sec. 501.0935. ISSUANCE OF TITLE TO SALVAGE POOL OPERATOR; | ||
INSURANCE COMPANIES. | ||
SECTION 2. Subchapter E, Chapter 501, Transportation Code, | ||
is amended by adding Section 501.094 to read as follows: | ||
Sec. 501.094. ISSUANCE OF TITLE TO SALVAGE POOL OPERATOR; | ||
NONPROFIT ORGANIZATIONS. (a) In this section: | ||
(1) "Nonprofit organization" means an organization | ||
exempt from federal income taxation under Section 501(c)(3), | ||
Internal Revenue Code of 1986, as amended. | ||
(2) "Salvage pool operator" has the meaning assigned | ||
by Section 2302.001, Occupations Code. | ||
(b) This section applies only to a salvage pool operator | ||
who, on request of a nonprofit organization, takes possession of a | ||
motor vehicle that was donated to the nonprofit and the nonprofit: | ||
(1) does not possess title to the motor vehicle; and | ||
(2) does not otherwise take ownership of the motor | ||
vehicle. | ||
(c) A nonprofit organization described by Subsection (b) | ||
shall notify the salvage pool operator of the disposition of the | ||
motor vehicle and must include in the notice the name and address | ||
of: | ||
(1) the person who donated the motor vehicle; | ||
(2) the previous owner of the motor vehicle; and | ||
(3) any lienholder, if known. | ||
(d) Before the 15th day after receiving notice under | ||
Subsection (c), a salvage pool operator shall notify the owner of | ||
the motor vehicle and any lienholder that: | ||
(1) the owner or lienholder must remove the motor | ||
vehicle from the salvage pool operator's possession at the location | ||
specified in the notice to the owner and any lienholder not later | ||
than the 60th day after the date the notice is mailed; and | ||
(2) if the motor vehicle is not removed within the time | ||
specified in the notice, the salvage pool operator will sell the | ||
motor vehicle and retain the proceeds of the sale. | ||
(e) A salvage pool operator shall provide subsequent notice | ||
described by Subsection (d) to the owner of the motor vehicle and | ||
any lienholder not later than the 30th and 45th day after receiving | ||
notice under Subsection (c) if the motor vehicle was not removed | ||
after the preceding notice. | ||
(f) The notice required of a salvage pool operator under | ||
this section must be sent by registered or certified mail, return | ||
receipt requested. | ||
(g) If a motor vehicle is not removed from a salvage pool | ||
operator's possession before the 61st day after the date notice is | ||
mailed to the motor vehicle's owner and any lienholder under | ||
Subsection (d), the salvage pool operator may obtain from the | ||
department: | ||
(1) a salvage vehicle title for a salvage motor | ||
vehicle; or | ||
(2) a nonrepairable vehicle title for a nonrepairable | ||
motor vehicle. | ||
(h) An application for a title under Subsection (g) must: | ||
(1) be submitted to the department on a form | ||
prescribed by the department; and | ||
(2) include evidence that the notice was mailed as | ||
required by Subsections (d) and (e), as applicable, to the motor | ||
vehicle owner and any lienholder. | ||
(i) A title issued under this section must be issued in the | ||
name of the salvage pool operator. | ||
(j) The department shall issue the appropriate title to a | ||
person authorized to apply for the title under this section if the | ||
department determines that the application is complete and complies | ||
with applicable law. | ||
(k) On receipt of a title under this section for a motor | ||
vehicle described by Subsection (b), the salvage pool operator may | ||
sell the motor vehicle and retain the proceeds of the sale. | ||
SECTION 3. This Act takes effect September 1, 2023. |