Bill Text: TX HB3737 | 2019-2020 | 86th Legislature | Engrossed
Bill Title: Relating to the administration of the financial responsibility verification program.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Engrossed - Dead) 2019-05-15 - Left pending in committee [HB3737 Detail]
Download: Texas-2019-HB3737-Engrossed.html
86R19772 AAF-F | ||
By: Lucio III | H.B. No. 3737 |
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relating to the administration of the financial responsibility | ||
verification program. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Sections 502.357(b), (c), and (d), | ||
Transportation Code, are amended to read as follows: | ||
(b) Fees collected under this section shall be deposited to | ||
the credit of the state highway fund except that the comptroller | ||
shall provide for a portion of the fees to be deposited first to the | ||
credit of a special fund in the state treasury outside the general | ||
revenue fund to be known as the TexasSure Fund in a total amount | ||
that is necessary to cover the total amount appropriated to the | ||
department [ |
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the remaining fees to be deposited to the state highway fund. | ||
Subject to appropriations, the money deposited to the credit of the | ||
state highway fund under this section may be used by the Department | ||
of Public Safety to: | ||
(1) support the Department of Public Safety's | ||
reengineering of the driver's license system to provide for the | ||
issuance by the Department of Public Safety of a driver's license or | ||
personal identification certificate, to include use of image | ||
comparison technology; | ||
(2) establish and maintain a system to support the | ||
driver responsibility program under Chapter 708; and | ||
(3) make lease payments to the master lease purchase | ||
program for the financing of the driver's license reengineering | ||
project. | ||
(c) Subject to appropriation, fees collected under this | ||
section may be used by the Department of Public Safety, [ |
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and the department to carry out Subchapter N, Chapter 601. | ||
(d) The Department of Public Safety, [ |
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department shall jointly adopt rules and develop forms necessary to | ||
administer this section. | ||
SECTION 2. Section 601.451, Transportation Code, is amended | ||
to read as follows: | ||
Sec. 601.451. DEFINITION. In this subchapter, | ||
"implementing agencies" means: | ||
(1) the department; | ||
(2) the Texas Department of Motor Vehicles; and | ||
(3) [ |
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SECTION 3. Section 601.452(a), Transportation Code, is | ||
amended to read as follows: | ||
(a) The Texas Department of Motor Vehicles [ |
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consultation with the other implementing agencies shall establish a | ||
program for verification of whether owners of motor vehicles have | ||
established financial responsibility. The program established must | ||
be: | ||
(1) the program most likely to: | ||
(A) reduce the number of uninsured motorists in | ||
this state; | ||
(B) operate reliably; | ||
(C) be cost-effective; | ||
(D) sufficiently protect the privacy of the motor | ||
vehicle owners; | ||
(E) sufficiently safeguard the security and | ||
integrity of information provided by insurance companies; | ||
(F) identify and employ a method of compliance | ||
that improves public convenience; and | ||
(G) provide information that is accurate and | ||
current; and | ||
(2) capable of being audited by an independent | ||
auditor. | ||
SECTION 4. Section 601.453(a), Transportation Code, is | ||
amended to read as follows: | ||
(a) The Texas Department of Motor Vehicles [ |
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consultation with the other implementing agencies, under a | ||
competitive bidding procedure, shall select an agent to develop, | ||
implement, operate, and maintain the program. | ||
SECTION 5. Subchapter N, Chapter 601, Transportation Code, | ||
is amended by adding Section 601.455 to read as follows: | ||
Sec. 601.455. ENFORCEMENT. The commissioner of insurance | ||
may, after notice and opportunity for hearing, take any action | ||
authorized under Chapters 82, 83, and 84, Insurance Code, or any | ||
other applicable law, against an insurance company that provides | ||
motor vehicle liability insurance policies in this state if the | ||
commissioner of insurance determines that the insurance company is | ||
in violation of or has failed to comply with Section 601.454 or | ||
rules adopted under this subchapter. | ||
SECTION 6. Not later than January 1, 2020, the following are | ||
transferred from the Texas Department of Insurance to the Texas | ||
Department of Motor Vehicles: | ||
(1) the powers, duties, functions, and activities of | ||
the Texas Department of Insurance relating to the establishment and | ||
operation of the financial responsibility verification program | ||
under Subchapter N, Chapter 601, Transportation Code; | ||
(2) any obligations and contracts of the Texas | ||
Department of Insurance that are directly related to implementing a | ||
power, duty, function, or activity transferred under this section; | ||
and | ||
(3) all property and records in the custody of the | ||
Texas Department of Insurance that are related to a power, duty, | ||
function, or activity transferred under this section and all funds | ||
appropriated by the legislature for that power, duty, function, or | ||
activity. | ||
SECTION 7. Not later than the 60th day after the effective | ||
date of this Act, the Texas Department of Insurance and the Texas | ||
Department of Motor Vehicles shall enter into a memorandum of | ||
understanding that establishes a plan for the identification and | ||
transfer of the records, property, and unspent appropriations of | ||
the Texas Department of Insurance that are used for purposes of the | ||
department's powers and duties directly related to the | ||
establishment and operation of the financial responsibility | ||
verification program under Subchapter N, Chapter 601, | ||
Transportation Code. | ||
SECTION 8. This Act takes effect immediately if it receives | ||
a vote of two-thirds of all the members elected to each house, as | ||
provided by Section 39, Article III, Texas Constitution. If this | ||
Act does not receive the vote necessary for immediate effect, this | ||
Act takes effect September 1, 2019. |