Bills We Are Watching

from Texas Dealer March 2023

by Texas Independent Auto Dealers Association

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The 88th Legislative Session is well under way. TIADA is busy following bills, meeting with members of the legislature, and making sure dealers’ voices are heard at the Capitol. Below you will find a few key bills we are watching:

HB 914 (Hefner) This bill would clarify that it is a criminal offense to issue a temporary tag fraudulently. TIADA is monitoring this bill. STATUS: TIADA is working to make sure members of the Legislature understand that license holders should not face criminal charges for minor offenses, such as issuing a second temporary tag to a customer when the tax office has not processed the title application. NOTE: Please apply for a 30-day permit, and you should never issue a second temporary tag. However, TIADA believes such a mistake by a dealer should not be criminal.

HB 718 (Goldman) This bill would replace temporary tags with metal plates assigned to a dealer. TIADA is monitoring this bill. STATUS: TIADA is working hard to ensure that members of the legislature are aware that this bill would burden dealers who would have to retrieve tags from customers, as some customers are irresponsible in returning to the dealership after the sale.

HB 1235 (Thompson) This bill would require an insurance company to pay for any diminution of value as a result of the accident. TIADA supports this bill. STATUS: TIADA is working to ensure members of the legislature understand that a crash results in more financial losses then just the cost to repair the vehicle.

HB 1933 (Lujan) This bill would create a process for a dealer to obtain a refund of taxes paid not later than the 30th day after the date of the sale. TIADA supports this bill. STATUS: TIADA is working to

by TIADA Staff

ensure that members of the legislature understand this will help dealers help unhappy customers who have buyer remorse or discover an issue with the vehicle after paperwork was submitted to the tax office.

SB 528 West This bill would allow a metal recycler or used automotive parts recycler to purchase a vehicle for crushing or parting without obtaining title to the vehicle or notifying the lienholder if the vehicle is at least 12 years old. TIADA opposes this bill as introduced. STATUS: TIADA is working with Senator West’s office to try and find a way to resolve his concerns about disposing of junk vehicles while still ensuring lienholders are protected from bad actors.

SB 224 (Alvarado, Whitmire) This bill would criminalize the possession of 2 or more catalytic converters that have been removed from 2 or more different vehicles because law enforcement often stops thieves with catalytic converters in their possessions but are unable to prosecute them due to the inability to trace them back a particular theft. TIADA supports this bill. STATUS: TIADA has worked with Sen. Alvardo to ensure legitimate reasons for having numerous removed catalytic converters are exempted and is working with members of the legislature to ensure everyone is aware of the issues related to catalytic converter theft.

Your best source of up-to-the-minute information on legislative issues that will affect your industry is the Legislative Action Center, found under Advocacy at the TIADA website, www.txiada.org. As always, we welcome the input of our members regarding legislative matters. TIADA’s legislative team will work diligently to keep you abreast of the issues and call on you to act when needed.