Administrative Rules and Programming to implement HB 1548 and HB 3842

Please review and distribute as appropriate.

The Registration and Title System (RTS) Release 9.5, scheduled for deployment December 16th, will include programming changes to implement House Bill (HB) 1548 and HB 3842, enacted by the 86th Legislature. The Texas Department of Motor Vehicles (TxDMV) Board must adopt administrative rules to implement these legislative items. Rule changes were proposed at the August 2019 TxDMV Board Meeting, and the rules were scheduled for adoption in December 2019. However, the adoption of the rules was postponed to allow additional time for further public comment. Due to this, the rules are expected to be scheduled for adoption at an early 2020 TxDMV Board meeting. The programming implemented with RTS Release 9.5, as outlined below, should not be used at this time. The department will provide further communication to notify you when RTS can be used to process these transactions.

HB 3842 authorizes the department by administrative rule to establish titling requirements and waive fees paid to a dealer by the purchaser when an out of business dealer failed to apply for title on the purchaser’s behalf as required by Transportation Code, §501.0234. HB 3842 also allows for waiving the fees for the issuance of one 30-Day permit. RTS Release 9.5 facilitates waiving fees paid to a dealer during a title application and for issuance of one 30-Day permit by adding a “Dealer Closure” checkbox in RTS. As noted above, there will be no change to the process for handling transactions when a dealer has gone out of business until rules have been adopted. You should not select this checkbox at this time. A Registration and Title Bulletin (RTB) will be distributed providing further guidance on HB 3842 closer to the effective date of the rules.

HB 1548 resulted in several changes for off-highway vehicles and golf carts. HB 1548 allows an off-highway vehicle to be operated on roads when the vehicle displays an Off-Highway Vehicle license plate. Off-highway vehicles are defined as an all-terrain vehicle (ATV), recreational off-highway vehicle (ROV), utility vehicle (UTV), or sand rail. HB 1548 also requires a golf cart operated on roads to display a Golf Cart license plate.

RTS Release 9.5 includes the functionality to issue plates to off-highway vehicles, but do not issue plates to these vehicles as the rules for HB 1548 must be adopted and in effect before the plates can be issued. The department will notify you when the rules authorizing issuance of Off-Highway Vehicle license plates to off-highway vehicles are effective. Also, an RTB providing detailed guidance on HB 1548 will be distributed closer to the effective date of the rules. An initial order of the new Off-Highway Vehicle and redesigned Golf Cart license plates will be shipped to your county before the effective date of the rule.

Your office should continue to operate as it does today regarding the issuance of Golf Cart license plates. Counties that currently issue Golf Cart plates with inventory on hand should continue to issue the same plates. Counties that currently do not issue Golf Cart plates should delay issuance until you receive your initial order of the redesigned Golf Cart license plate.

Thank you,

Jeremiah Kuntz, Director
Vehicle Titles and Registration Division

JK:TT:TM

If you have any questions concerning this communication, please contact your local TxDMV Regional Service Center.

 

Source: Tax Assessor-Collectors
Administrative Rules and Programming to implement HB 1548 and HB 3842

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