Part 1.
TEXAS DEPARTMENT OF TRANSPORTATION
Chapter 15.
TRANSPORTATION PLANNING AND PROGRAMMING
Subchapter E. FEDERAL, STATE, AND LOCAL PARTICIPATION
43 TAC §§15.51, 15.52, 15.55
The Texas Department of Transportation (department) proposes
amendments to §15.51, Definitions, §15.52, Agreements, and §15.55,
Construction Cost Participation, concerning federal, state, and local participation
in highway improvement projects.
EXPLANATION OF PROPOSED AMENDMENTS
The proposed amendments to §15.51 provide for modifications to the
definition of "highway improvement project" to correlate with the language
used in §15.52 by substituting the term "appurtenances" for "necessary
structures."
The inclusion of the use of state funds has been added to the definition
of "On-State Highway System Safety Program" in compliance with the General
Appropriations Act, Rider Number 58, 77th Legislature, 2001, which requires
the establishment of a new state funded highway safety improvement program.
To ensure a more accurate accounting of costs, the definition of "right
of way costs" is supplemented with the phrase "other direct expenses when
specified in the agreement" to allow for the inclusion of all direct costs,
as identified in the department's cost accounting system for the acquisition
of land or an interest in land necessary for the development of a highway
improvement project, in the calculations. These costs will be specified in
the agreement between the department and local governments.
The term "statewide mobility corridor" is added to allow the Texas Transportation
Commission (commission) to designate projects as serving multiple regions
or the entire state.
Section 15.52(3) is amended to update a cross-reference.
Modifications to §15.52(8), Responsibilities of the Parties, clarify
that the local government need only request approval for outsourcing preliminary
project engineering and design for which reimbursement is requested. Approval
is not necessary if the local government does not seek reimbursement from
the state. To streamline the project process, the department no longer requires
specific approval of the award and selection of outsourced professional services,
but only for the outsourcing itself.
The amendments to paragraph (8) require the local government to obtain
department approval if the local government's employees will be performing
work on any facility not maintained by the department. This replaces the requirement
for approval of work performed on a "metropolitan highway" since that term
is no longer used to designate roadways. These amendments also clarify what
is meant by items incidental to the roadway by adding a list of examples.
The distinction of work incidental to roadways for which the department has
maintenance responsibility was removed because, in almost all cases, the department
is responsible for maintenance since the work is connected with a state highway.
The amendments expand the authority for local management of projects on the
state highway system that are funded with at least 50% of the costs not coming
from federal or state highway funding. These are projects that would not be
pursued by the department, but for the additional funding from the local area.
The amendments specify that approval for local management only applies to
roadway construction projects, not all projects.
In addition, the local government would be responsible for any cost overruns
on off-system bridge projects for which local management is proposed in order
to clarify local participation responsibilities as required in this paragraph
and in compliance with §15.55. For these projects, the local government
does not have an initial matching cost. When a local government requests to
manage this type project, the state does not have control of the overruns,
but currently is responsible for them. Requiring the local government to be
responsible for overruns will encourage good management. The proposed amendments
also require the local entity to be responsible for any increased cost to
the department for a highway improvement project from locally mandated requirements
or regulations that are more restrictive than state or federal requirements
and regulations. This makes the local government responsible for additional
project costs caused by the local government.
Amendments to §15.55(c) modify Appendix A to allow for 100% state
funding on certain on-state highway system safety projects, and further allows
that these safety projects may include traffic signal work regardless of the
population of the urbanized area. A new category, Designated Statewide Mobility
Corridors, is added to specify the funding requirements for corridors designated
by the commission that provide for or substantially affect significant multi-regional,
intrastate, or interstate travel needs. Since those corridors benefit the
State of Texas, no local funding will be required.
FISCAL NOTE
James Bass, Director, Finance Division, has determined that for each of
the first five years the amendments are in effect, there will be no fiscal
implications for state governments as a result of enforcing or administering
the amendments. Any potential increase to local governments would be solely
within the local government's control, because such an increase in cost would
be due to cost overruns under the control and management of the local government
or additional costs caused by the local government's requirements or regulations.
There are no anticipated economic costs for persons required to comply with
the amendments as proposed.
Kenneth Bohuslav, P.E., Director, Design Division, has certified that there
will be no significant impact on local economies or overall employment as
a result of enforcing or administering the amendments.
PUBLIC BENEFIT
Mr. Bohuslav has also determined that for each year of the first five years
the section is in effect, the public benefit anticipated as a result of enforcing
or administering the amendments will be to expedite and streamline highway
improvement projects. There will be no adverse economic effect on small businesses.
SUBMITTAL OF COMMENTS
Written comments on the proposed amendments may be submitted to Kenneth
Bohuslav, P.E., Director, Design Division, 125 East 11th Street, Austin, Texas
78701-2483. The deadline for receipt of comments is 5:00 p.m. on August 12,
2002.
STATUTORY AUTHORITY
The amendments are proposed for adoption under Transportation Code, §201.101,
which provides the commission with the authority to establish rules for the
conduct of the work of the department.
No statutes, articles, or codes are affected by the proposed amendments.
§15.51.Definitions.
The following words and terms, when used in this subchapter, shall
have the following meanings, unless the context clearly indicates otherwise.
(1)
Commission--The Texas Transportation Commission.
(2)
Congestion Mitigation and Air Quality Improvement Program
(CMAQ)--A federal program, established and administered in accordance with
23 United States Code §104 and federal regulations, which provides federal
funds for a project in a non-attainment area that contributes to the attainment
of a natural ambient air quality standard or will have certified benefits
to air quality.
(3)
Construction cost--All direct and indirect costs identified
by the department's cost accounting system to a highway improvement project,
other than for right of way acquisition, preliminary engineering, and construction
engineering.
(4)
Construction engineering cost/expenses--Engineering or
project administration costs and expenses incurred, including indirect costs
and expenses identified by the department's cost accounting system, on a highway
improvement project after contract award.
(5)
Department--The Texas Department of Transportation.
(6)
District office--One of the 25 geographical areas, managed
by a district engineer, in which the department conducts its primary work
activities.
(7)
Economically disadvantaged county--As determined from data
provided to the department by the Texas Comptroller of Public Accounts at
the beginning of each fiscal year, a county that has, in comparison to other
counties in the state:
(A)
below average per capita taxable property value;
(B)
below average per capita income; and
(C)
above average unemployment.
(8)
Eligible utilities--Costs of utility adjustments, required
by a highway improvement project, that are eligible, in accordance with federal
and state law, for reimbursement by the department.
(9)
Executive director--The executive director of the department,
or a designee not below the level of deputy executive director or assistant
executive director.
(10)
Farm and Ranch to Market (FM/RM) System Route--A road
on the system of roads designated by the commission under Transportation Code, §201.104.
(11)
Federal funds--Financial assistance provided by the federal
government for highway improvement projects.
(12)
Highway improvement project--A project which provides
for the design, construction, improvement, or enhancement of a public road,
including bridges, culverts, or other
appurtenances
[
(13)
Incremental payments--A local government's payment of
its funding share in a manner other than the standard payment provision provided
in §15.52(6)(A) of this title (relating to Agreements), including an
initial payment made in accordance with that section, followed by payment
of the remaining amount at a time established in the funding agreement, or
periodic payments made in accordance with the schedule established in the
funding agreement.
(14)
Local government--Any county, city, other political subdivision
of this state, or special district that has the authority to finance a highway
improvement project.
(15)
Local participation--Minimum financial assistance provided
by a local government to participate in costs associated with highway improvement
projects.
(16)
Matching funds/participation ratio--Those portions of
funds required or chargeable for the contribution toward a highway improvement
project's cost by a local government.
(17)
Metropolitan highway--A local road or street which compliments
the state highway system, as designated by the commission.
(18)
Metropolitan planning organization (MPO)--An organization
designated in certain urbanized areas to carry out the transportation planning
process as required by 23 United States Code §134.
(19)
National Highway System (NHS)--A part of the National
Intermodal Transportation System consisting of the National System of Interstate
and Defense Highways and those principal arterial roads which are essential
for interstate and regional commerce and travel, national defense, intermodal
transfer facilities, and international commerce and border crossings as designated
by the United States Congress by criteria set forth in federal law.
(20)
National System of Interstate and Defense Highways (Interstate
Highway System)--A system of roads and bridges that constitute a part of the
National Highway System designated by the United States Congress as essential
for interstate and regional commerce and travel, national defense, intermodal
transfer facilities, and international commerce and border crossings.
(21)
Off-State Highway System Bridge Program--A federally mandated
program by which federal funds are made available to replace or rehabilitate
bridges under the jurisdiction of a local government and not on the state
highway system, administered in accordance with criteria set forth under federal
law and regulations and state law, safety standards, design standards, and
construction standards.
(22)
Off-state highway system routes--Those routes not designated
on the state highway system which are the responsibility of local governments.
(23)
Off-State Highway System Safety Program--A federally mandated
program by which federal funds are made available for safety improvements
to facilities under the jurisdiction of a local government and not on the
state highway system, administered in accordance with criteria set forth under
federal law and regulations and state law, safety standards, design standards,
and construction standards.
(24)
On-State Highway System Bridge Program--A federally mandated
program by which federal funds are made available to replace or rehabilitate
bridges on the state highway system in accordance with criteria set forth
under federal law and regulations and state law, safety standards, design
standards, and construction standards.
(25)
On-State Highway System Safety Program--A federally mandated
program by which federal
or state
funds are made available for
safety improvements on the state highway system in accordance with criteria
set forth under federal law and regulations and state law, safety standards,
design standards, and construction standards.
(26)
Phase 1 Trunk System Corridor--Corridors of the Texas
Trunk System prioritized for project development by the commission.
(27)
Preliminary engineering cost/expenses--Costs and expenses
incurred, including indirect costs and expenses identified by the department's
cost accounting system, on a highway improvement project before contract award.
(28)
Principal Arterial Street System (PASS) Program--A commission
approved program to improve urban arterial streets designated on the state
highway system to relieve major traffic corridors and enhance total system
operations in urban areas over 200,000 in population.
(29)
Reconstruction--The primary activities involving the rebuilding
of a segment of highway along the existing route as well as those associated
with the acquisition of rights of way where necessary to upgrade to current
standards.
(30)
Rehabilitation--The primary activities to restore, or
re-establish in good condition, a segment of highway (not including the construction
of additional travel lanes, other than high occupancy vehicle lanes or auxiliary
lanes).
(31)
Reservoir agency--A public or private agency that has
the authority to construct, maintain, or operate a reservoir facility.
(32)
Right of way costs--All direct and indirect costs identified
by the department's cost accounting system for the acquisition of land or
an interest in land necessary for the development of a highway improvement
project (including access rights to abutting properties, [
(33)
Right of way procurement--That process identified with
the acquisition of real property, access rights, mineral rights, and easements
permitted in accordance with state law for the construction of approved highway
improvement projects.
(34)
State funds--Money received by the department, other than
federal funds or local participation, to be expended for highway improvement
projects.
(35)
State highway system--The system of highways in the state
included in a comprehensive plan prepared by the department's executive director
under the direction and with the approval of the commission in accordance
with Transportation Code, §201.103.
(36)
State highway system routes--Those state numbered routes
designated as a part of the state highway system.
(37)
State Park Road Program--A program by which state funds
are utilized to construct roads within or adjacent to public facilities administered
by the Texas Parks and Wildlife Department.
(38)
Statewide Mobility Corridor--A transportation
corridor or network designated by the commission that provides for or substantially
affects significant multi-regional, intrastate, or interstate travel needs.
(39)
[
(40)
[
(41)
[
(42)
[
(43)
[
(44)
[
(45)
[
(46)
[
§15.52.Agreements.
When a local government or reservoir agency is responsible for providing
financial assistance for a highway improvement project, the department and
the local government or reservoir agency shall enter into an agreement before
any work is performed. The agreement will include, but not be limited to,
the following provisions of this section.
(1)
Right of entry. If the local government or reservoir agency
is the owner of the project site, it shall permit the department or its authorized
representative access to occupy the site to perform all activities required
to execute the work.
(2)
Right of way and/or utility relocation/adjustments. The
local government will provide all necessary right of way and utility relocation/adjustments,
whether publicly or privately owned, in accordance with §15.55 of this
subchapter (relating to Construction Cost Participation). When specified,
the reservoir agency will provide all necessary right of way and utility/relocation
adjustments, whether publicly or privately owned. Existing utilities will
be relocated and/or adjusted with respect to location and type of installation
in accordance with the requirements of the department as specified in §21.21
of this title (relating to State Participation in Relocation, Adjustment,
and/or Removal) and §21.31 et seq. of this title (relating to Utility
Accommodation).
(3)
Funding arrangement. The agreement will specify the type
of funding share arrangement agreed upon by the department and the local government.
The funding share arrangement shall include any adjustments required by §15.55
of this subchapter. The funding arrangement agreed upon by the department
and the reservoir agency will be as specified under
§15.54(e)
[
(A)
Standard. The local government is responsible for all,
or a specified percentage as shown in Appendix A of §15.55 of this title
(relating to Construction Cost Participation), of the direct costs incurred
by the department for preliminary engineering, construction engineering, construction,
and right of way as well as the direct cost for any work included which is
ineligible for federal or state participation. When specified, the reservoir
agency is responsible for all of the direct costs incurred by the department
for preliminary engineering, construction engineering, construction, and right
of way as well as the direct cost for any work included which is ineligible
for federal or state participation.
(B)
Alternate. A fixed price funding arrangement may be used
if requested by the local government and approved by the executive director.
(i)
Definition. Under this arrangement, a local government
is responsible for a firm fixed price which is a lump sum price not subject
to adjustment except:
(I)
in the event of changed site conditions;
(II)
if work requested by the local government is ineligible
for federal participation; or
(III)
as mutually agreed upon by the department and the local
government.
(ii)
Conditions. The department may enter into a firm fixed
price agreement only:
(I)
for projects that include state participation, as shown
in Appendix A of §15.55 of this subchapter; and
(II)
if the fixed price is based on the estimated cost of the
work for which the funds are received.
(iii)
Approval. In approving a request for an alternate funding
arrangement, the executive director will consider:
(I)
requests by the local government to include work which
is ineligible for federal or state participation;
(II)
need for expeditious project completion;
(III)
type of work proposed and the ability to accurately estimate
its cost; and
(IV)
any other considerations relating to the benefit of the
state, the traveling public, and the operations of the department.
(C)
Off-State
[
(4)
Interest. The department will not pay interest on funds
provided by the local government or the reservoir agency. Funds provided by
the local government or the reservoir agency will be deposited into, and retained
in, the state treasury.
(5)
Amendments. In the case of significantly changed site conditions
or other mutually agreed upon changes in the scope of work authorized in the
agreement, the department and the local government or reservoir agency will
amend the funding agreement, setting forth the reason for the change and establishing
the revised participation to be provided by the local government or reservoir
agency.
(6)
Payment provision. The agreement will establish the conditions
for payment by the local government or reservoir agency, including, but not
limited to, the method of payment and the time of payment.
(A)
Standard. Following execution of the agreement, the local
government or reservoir agency will pay, as a minimum, its funding share for
the estimated cost of preliminary engineering for the project. Prior to the
department's scheduled date for contract letting, the local government or
reservoir agency will remit to the department an amount equal to the remainder
of the local government's or reservoir agency's funding share for the project.
(i)
When the standard funding arrangement is used, after the
project is completed the final cost will be determined by the department,
based on its standard accounting procedures. If it is found that the amount
received is insufficient to pay the local government's or reservoir agency's
funding share, then the department shall notify the local government or reservoir
agency which shall transmit the required amount to the department. If it is
found that the amount received is in excess of the local government's or reservoir
agency's funding share, the excess funds paid by the local government or reservoir
agency shall be returned.
(ii)
When a fixed price funding arrangement is used, the lump
sum price is not subject to adjustment except as provided for in paragraph
(3)(B) of this section.
(iii)
For projects funded in the
Off-State
[
(B)
Alternate. Incremental payments may be made if requested
by the local government and approved by the executive director. When the standard
funding arrangement is used, after the project is completed, the final cost
will be determined by the department based on its standard accounting procedures.
If it is found that the amount received is insufficient to pay the local government's
funding share, then the department shall notify the local government which
shall transmit the required amount to the department. If it is found that
the amount received is in excess of the local government's funding share,
the excess funds paid by the local government shall be returned. When a fixed
price funding arrangement is used, the lump sum price is not subject to adjustment
except as provided for in paragraph (3)(B) of this section. For projects funded
in the
Off-State
[
(i)
Conditions. The department may approve incremental payments
only if:
(I)
the incremental payments sought are based on the estimated
cost for the work for which the funds are received and payment is made in
accordance with the schedule established in the funding agreement; and
(II)
the local government does not have a delinquent obligation
to the department, as defined in §5.10 of this title (relating to Collection
of Debts).
(ii)
Approval. In approving a request for incremental payments,
the executive director will consider:
(I)
inability of the local government to pay its total funding
share prior to the department's scheduled date for contract letting, based
upon population level, bonded indebtedness, tax base, and tax rate;
(II)
past payment performance;
(III)
need for expeditious project completion;
(IV)
whether the project is located in a local government that
consists of all or a portion of an economically disadvantaged county; and
(V)
any other considerations relating to the benefit of the
state, the public, and the operations of the department.
(7)
Termination. If the local government or reservoir agency
withdraws from the project after the agreement is executed, it shall be responsible
for all direct and indirect project costs incurred by the department for the
items of work in which the local government or reservoir agency is participating.
(8)
Responsibilities of the parties.
(A)
Agreement. The agreement shall identify the responsibilities
of each party, including, but not limited to, preparing or providing construction
plans, construction performance, advertising for bids, awarding a construction
contract, and construction supervision.
(B)
Local performance and management of highway improvement
projects.
(i)
Request. If requested by a local government and approved
by the department, an agreement with the governing body of a local government
may provide for:
(I)
the performance by employees under the direct control of
the local government of a highway improvement project, other than a project
to improve freeway mainlanes on the state highway system; or
(II)
outsourcing
[
(ii)
Approval authority. The executive director may authorize
a local government to perform an act described in clause (i) of this subparagraph.
The executive director may delegate the authority to approve:
(I)
the performance by employees of the local government of
work on
any facility
[
(II)
the performance by employees of the local government of
projects or activities appurtenant to a state highway, including drainage
facilities, surveying, traffic counts, driveway construction, landscaping,
[
(iii)
Conditions. A local government may perform an act described
in clause (i) of this subparagraph only if:
(I)
the local government commits in the agreement to comply
with all federal, state, and department requirements, standards, and specifications,
and agrees to forfeit any claim to federal and/or state reimbursement if they
fail to comply;
(II)
the project is authorized by the commission in the current
Unified Transportation Program or by a specific minute order;
(III)
a project on the state highway system performed or managed
by a local government is operationally beneficial to the state;
(IV)
a
roadway construction
project
requested
by the local government that is to be
on the state highway system, for
which
local management is proposed,
[
(V)
the local government agrees to pay any
cost overruns in addition to its local participation on an off-state highway
system bridge program project for which local management is proposed; and
(VI)
[
(iv)
Approval. In approving a request, the executive director
or designee will consider:
(I)
previous experience of the local government in performing
the type of work proposed;
(II)
the capability of the local government to perform the
type of work proposed or to award and manage a contract for that work in a
timely manner, consistent with federal, state, and department regulations,
standards, and specifications;
(III)
need for expeditious project completion;
(IV)
department resources available to perform or manage the
highway improvement project in an efficient and timely manner;
(V)
cost effectiveness of local performance of the work as
compared to awarding the highway improvement project through the competitive
bidding process; and
(VI)
any other considerations relating to the benefit of the
state, the traveling public, and the operations of the department.
(9)
Acknowledgment. The local government or reservoir agency
must acknowledge in the agreement that while not an agent, servant, nor employee
of the state, it is responsible for its own acts and deeds and for those of
its agents or employees during the performance of the work authorized in the
contract.
(10)
Local regulations. If any existing, future
or proposed local ordinance, commissioners court order, rule, policy, or other
directive, including, but not limited to, outdoor advertising or storm water
drainage facility requirements, that is more restrictive than state or federal
regulations, or any other locally proposed change, including, but not limited
to, plats or re-plats, results in any increased cost to the department for
a highway improvement project, the local government or reservoir agency must
commit in the agreement to being responsible for all increased costs associated
with the ordinance, order, policy, directive or change.
§15.55.Construction Cost Participation.
(a)
Required cost participation. The commission may require,
request, or accept from a local government matching or other funds, rights-of-way,
utility adjustments, additional participation, planning, documents, or any
other local incentives.
(b)
Economically
disadvantaged counties
[
(1)
Request for adjustment. The city council, county commissioners
court, district board, or similar governing body of a local government that
consists of all or a portion of an economically disadvantaged county shall
submit a request for adjustment to the local district office of the department.
The request will include, at a minimum:
(A)
the proposed project scope;
(B)
the estimated total project cost;
(C)
a breakdown of the anticipated total cost by category (e.g.,
right-of-way, utility adjustment, plan preparation, construction);
(D)
the proposed participation rate;
(E)
the nature of any in-kind resources to be provided by the
local government;
(F)
the rationale for adjusting the minimum local matching
funds requirement; and
(G)
any other information considered necessary to support a
request.
(2)
Evaluation. In evaluating a request for an adjustment to
the local matching funds requirement, and a local government's effort and
ability to meet the requirement, the commission will consider a local government's:
(A)
population level;
(B)
bonded indebtedness;
(C)
tax base;
(D)
tax rate;
(E)
extent of in-kind resources available; and
(F)
economic development sales tax.
(c)
Participation ratios. The following Appendix A to this
section establishes federal, state, and local cost participation ratios for
highway improvement projects, subject to the availability of funds to the
department.
Figure: 43 TAC §15.55(c)
(d)
Off-state
[
(1)
Definitions. The following words and terms, when used in
this subsection, shall have the following meanings, unless the context clearly
indicates otherwise.
(A)
Bridge--For an equivalent-match project, a bridge or other
mainlane cross-drainage structure, including low water crossings (with or
without conduit).
(B)
Deficient bridge--A bridge having a structural load capacity
or other safety condition that is inadequate.
(C)
District engineer--The chief executive officer in each
designated district office of the department.
(D)
Equivalent-match project--A project in which the local
government will improve the structural load capacity or other safety condition
of
off-state
[
(E)
Participation-waived project--An
off-state
[
(F)
Safety work--Work performed as part of an equivalent-match
project that improves the safety of the project. This work may include, but
is not limited to, providing improved structural load capacity, improved hydraulic
capacity, increased roadway width, adequate bridge rail, and adequate approach
guardrail.
(2)
Waiver. The district engineer may waive the requirement
for a local government to provide the original 10% estimate of direct costs
for preliminary engineering, construction engineering, and construction funds
on the participation-waived project(s) if the local governmental body commits
by written resolution or ordinance, as described in paragraph (4) of this
subsection, to spend an equivalent amount of funds for structural improvement
or other safety work on another bridge or bridges on the equivalent-match
project(s) within its jurisdiction or the jurisdiction of a geographically
adjacent or overlapping governmental unit. An equivalent amount includes,
but is not limited to, expenditures for direct or indirect costs for structural
improvement or other safety work on bridge(s) in the equivalent-match project(s).
Work on one or more equivalent-match projects may be credited to one or more
participation-waived projects.
(3)
Eligibility. A local government is eligible for a waiver
if:
(A)
the construction contract for the participation-waived
project has not been awarded;
(B)
work on the equivalent-match project has not begun prior
to approval of the waiver (approval of the waiver does not guarantee that
the participation-waived project agreement will be executed);
(C)
the local government is in compliance with load posting
and closure regulations as defined in the National Bridge Inspection Standards
under 23 C.F.R. §650.303;
(D)
the bridge on the proposed equivalent-match project(s)
is a deficient bridge, or a bridge that is weight restricted for school buses;
and
(E)
the equivalent-match project increases the structural load
capacity of the existing bridge, replaces the bridge with a new bridge, or
otherwise increases safety, with a minimum upgrade to safely carry expected
school bus loading.
(4)
Request for waiver. To request a waiver, a local government
must provide a written request to the district engineer that includes the
location(s), description of structural improvement or other safety work proposed,
estimated cost for the equivalent-match project(s), and a copy of the local
governmental body's resolution or ordinance. The resolution or ordinance must
acknowledge assumption of all responsibilities for engineering and construction
and complying with all applicable state and federal environmental regulations
and permitting requirements for the bridge(s) on the equivalent-match project(s).
(5)
Considerations. In approving a request for waiver, the
district engineer will consider:
(A)
the type of work proposed for the equivalent-match project(s);
(B)
regional transportation needs; and
(C)
past performance under this subsection.
(6)
Approval. The district engineer will submit a letter to
the local government indicating the district engineer's approval or disapproval
of the waiver. If disapproved, the letter will state the reasons for disapproval.
If the waiver is approved, the letter will state that the local government,
for the equivalent-match project(s) will assume:
(A)
all costs of the work;
(B)
responsibility for complying with all applicable state
and federal environmental regulations and permitting requirements; and
(C)
responsibility for the engineering and construction necessary
for completion of the work.
(7)
Agreement and conditions.
(A)
If the district engineer approves the waiver, the local
government and the department will enter into an agreement for the participation-waived
project as specified in §15.52 of this subchapter. One or more participation-waived
project agreements can utilize one or more common or independent equivalent-match
projects if the total equivalent-match project amount equals or exceeds the
total remaining local participation amount being waived at the time the agreement
is executed, and the common agreements are adequately cross-referenced. Previously
executed agreements may be amended to incorporate these participation waiver
provisions, or to utilize an additional equivalent-match project(s) for any
outstanding amount not previously waived, provided the construction contract
for the participation-waived project has not been awarded and the equivalent-match
work has not begun.
(B)
Local governments will be allowed a maximum of three years
after the contract award of the participation-waived project(s) to complete
structural or other safety improvements on the equivalent-match project(s).
If more than one participation-waived project utilizes a common equivalent-match
project, the time period allowed for completion of the equivalent-match project(s)
will begin when the first of the participation-waived projects is awarded.
The district engineer may specify a period less than three years for completion
of equivalent-match projects if project specific conditions warrant. If specified,
the shorter allowable work period must be explicitly stated in the agreement(s).
No later than 30 days after completion, documentation of completion of the
equivalent-match project(s) requirement will be provided by letter to the
district engineer. If the local government fails to adequately complete the
equivalent-match project(s), it will be excluded from future waivers under
this subsection for a minimum of five years.
(C)
With the approval of the district engineer, an equivalent-match
project(s) may be substituted by subsequent amendment to the participation-waived
project agreement(s). A substitution may be allowed for unforeseen circumstances,
including but not limited to, an equivalent-match project that is selected
for replacement under some other program of work. Work on the substituted
equivalent-match project(s) must be completed within a maximum of three years
after the award of the construction contract for the original participation-waived
project.
(D)
The local government is responsible for all of the direct
cost of any participation-waived project cost item or portion of a cost item
that is not eligible for federal participation under the Federal Highway Bridge
Replacement and Rehabilitation Program under 23 U.S.C. §144 and 23 C.F.R. §650
Subpart D. The local government is also responsible for any costs resulting
from changes made at the request of the local government.
(E)
The local government will be responsible for 100% of right
of way and utilities for the participation-waived project.
(F)
A local government located in an economically disadvantaged
county that receives an adjustment under subsection (b) of this section may
participate in the provisions of this subsection in the amount of its reduced
matching funds requirement.
(G)
The department will not reimburse funds already received
by the department under the terms of existing agreements. Funds already received
for a specific project(s) may be credited against the local government's required
participation for the subsequent participation-waived project agreement(s)
for that same project(s).
(H)
Any equivalent-match project(s) cost that is in excess
of the local government's required participation for a specific participation-waived
project agreement(s) cannot be credited for use on a future participation-waived
project(s).
(I)
Each equivalent-match project(s) must be specifically identified
in the participation-waived project agreement(s) at the time of execution.
(J)
The local government must pay its funding share of the
estimated participation-waived project cost, as provided in §15.52(6)(A)
of this subchapter, for any local participation balance that is remaining
at the time the project agreement(s) is executed. This balance would include
any remaining required local participation amount in excess of the amount
waived as a result of credit for equivalent-match work to be performed as
part of the agreement.
This agency hereby certifies that the proposal
has been reviewed by legal counsel and found to be within the agency's legal
authority to adopt.
Filed with the Office of
the Secretary of State on June 28, 2002.
TRD-200204136
Bob Jackson
Deputy General Counsel
Texas Department of Transportation
Earliest possible date of adoption: August 11, 2002
For further information, please call: (512) 463-8630
43 TAC §§15.103 - 15.105
The Texas Department of Transportation (department) proposes
amendments to §§15.103-15.105, concerning the Border Colonia Access
Program.
EXPLANATION OF PROPOSED AMENDMENTS
Senate Bill 1296, 77th Legislature, 2001, added Government Code, Chapter
1403, which requires the Texas Public Finance Authority, in accordance with
requests from the Office of the Governor, to issue general obligation bonds
and notes in an aggregate amount not to exceed $175 million, and as directed
by the department, to distribute the proceeds to counties as financial assistance
for colonia access roadway projects to serve border colonias. Senate Bill
1296 requires the Texas Transportation Commission (commission) to establish
a program to administer the use of the proceeds of the bonds and notes. Rider
52 to the department's appropriations for Fiscal Years 2002-2003 requires
the department to establish a transportation program to improve access to
colonias. The commission adopted §§15.100-15.106 to implement the
requirements of Senate Bill 1296 and Rider 52, set forth the procedures by
which an eligible county may apply for assistance, and establish criteria
by which the commission will select projects.
The department has issued its first program call for county funding applications,
and the commission has approved $50 million in funding. This experience has
resulted in the need to amend the application procedures, the criteria considered
by the commission in selecting projects for funding, and the distribution
and use of program funds. The amendments are intended to make the application
process and the funding approval process more efficient, to help ensure that
projects approved for funding serve the greatest number of colonia residents
possible, and to ensure that at least a minimum amount of funding is provided
for necessary projects in each eligible county.
Section 15.103 is amended to provide that an eligible county must prepare
a separate application for each project. In the previous program call, applications
were submitted that contained one project, multiple projects in one colonia,
and multiple projects in multiple colonias. The amendment is necessary in
order to provide a reasonable basis for comparing competing projects.
Section 15.104 previously provided that the commission, in considering
projects for funding, would consider the population of the border colonia
the project is to serve. This criterion is amended to provide that the commission
will consider the number resulting from dividing the population of the border
colonia the project is to serve by the total number of miles of roadway in
the border colonia. A similar existing criterion that requires the consideration
of the number resulting from dividing the population whose residences abut
the project limits by the number of miles of roadway in the project is proposed
for deletion. The amendment places greater emphasis on the population of the
colonia. This will help ensure that projects approved for funding serve the
greatest number of colonia residents possible. Generally, the higher the border
colonia population, the more in need of goods and services that colonia will
be.
In order to ensure that each eligible county is provided a minimum amount
of funding so that each county may carry out the greatest number of needed
projects possible, §15.105 is amended to provide that the maximum amount
of funding that is available for each project is $200,000 per mile. It is
estimated that a project can be built at a cost of about $80,000 to $100,000
per mile. The department doubled that estimate to allow the funding of associated
costs such as engineering, right of way acquisition, and drainage. Additionally,
each county will receive a minimum of $100,000 during each program call. The
remaining funds will be distributed under the current method, with half distributed
to each county in proportion to its colonia population, and the other half
distributed on a project basis. In order to provide for the most efficient
use of program funding and to better leverage county funding, a county may
use funds distributed as part of its minimum allocation and funds distributed
in proportion to its colonia population to pay project cost overruns if any
of those funds remain after the county's projects are funded and other projects
are funded on a competitive basis.
FISCAL NOTE
James Bass, Director, Finance Division, has determined that for each year
of the first five years the amendments as proposed are in effect, there will
be no fiscal implications for state government as a result of enforcing or
administering the amendments. There will be fiscal implications for local
governments as a result of enforcing or administering the amendments. The
department anticipates that counties will incur additional costs in preparing
applications for assistance under the program. Those costs cannot be estimated
with any certainty because of the uncertainty relating to the number of projects
that will receive funding, and the quality of the information that will be
provided in an application. It is also anticipated that counties participating
in the program will obtain increased revenues as a result of being provided
additional program funding. The amount of increased revenues will depend on
the county involved, the number of projects receiving funding, and the amount
of funding available. There are no anticipated economic costs for persons
required to comply with the amendments as proposed.
James L. Randall, P.E., Director, Transportation Planning and Programming
Division, has certified that there will be no significant impact on local
economies or overall employment as a result of enforcing or administering
the amendments.
PUBLIC BENEFIT
Mr. Randall has also determined that for each year of the first five years
the amendments are in effect, the public benefit anticipated as a result of
enforcing or administering the amendments will be improved access to and from
border colonias resulting from the construction and improvement of roads serving
the colonias. There will be no adverse economic effect on small businesses.
PUBLIC HEARING
Pursuant to the Administrative Procedure Act, Government Code, Chapter
2001, the Texas Department of Transportation will conduct a public hearing
to receive comments concerning the proposed amendments. The public hearing
will be held at 10:00 a.m. on July 23, 2002, in the first floor hearing room
of the Dewitt C. Greer State Highway Building, 125 East 11th Street, Austin,
Texas and will be conducted in accordance with the procedures specified in
43 TAC §1.5. Those desiring to make comments or presentations may register
starting at 9:30 a.m. Any interested persons may appear and offer comments,
either orally or in writing; however, questioning of those making presentations
will be reserved exclusively to the presiding officer as may be necessary
to ensure a complete record. While any person with pertinent comments will
be granted an opportunity to present them during the course of the hearing,
the presiding officer reserves the right to restrict testimony in terms of
time and repetitive content. Organizations, associations, or groups are encouraged
to present their commonly held views and identical or similar comments through
a representative member when possible. Comments on the proposed text should
include appropriate citations to sections, subsections, paragraphs, etc. for
proper reference. Any suggestions or requests for alternative language or
other revisions to the proposed text should be submitted in written form.
Presentations must remain pertinent to the issues being discussed. A person
may not assign a portion of his or her time to another speaker. Persons with
disabilities who plan to attend this meeting and who may need auxiliary aids
or services such as interpreters for persons who are deaf or hearing impaired,
readers, large print or Braille, are requested to contact Randall Dillard,
Director, Public Information Office, 125 East 11th Street, Austin, Texas 78701-2483,
512/463-8588 at least two working days prior to the hearing so that appropriate
services can be provided.
SUBMITTAL OF COMMENTS
Written comments on the proposed amendments may be submitted to James L.
Randall, P.E., Director, Transportation Planning and Programming Division,
125 East 11th Street, Austin, Texas 78701-2483. The deadline for receipt of
comments is 5:00 p.m. on August 12, 2002.
STATUTORY AUTHORITY
The amendments are proposed for adoption under Transportation Code, §201.101,
which provides the commission with the authority to establish rules for the
conduct of the work of the department, and more specifically, Government Code, §1403.002
and Rider 52 to the department's appropriations for Fiscal Years 2002 - 2003,
which require the commission to adopt rules for the administration of the
program.
No statutes, articles, or codes are affected by the proposed amendments.
§15.103.Application Procedures.
(a)
The department, through the border district offices, will
issue a program call to the eligible counties to prepare an application for
each project that a county would like to submit for consideration.
A
separate application must be prepared for each project.
The border district
offices will have application forms available for the counties.
(b)
The department will establish a deadline for applications
to be received. In order to be considered for the program call, the application
must provide:
(1)
a clear and concise description of the work proposed;
(2)
an implementation plan, including a schedule of proposed
activities and a detailed estimate of project costs;
(3)
a map delineating project location and termini; and
(4)
documentation addressing the criteria prescribed in §15.104
of this subchapter.
(c)
The department will evaluate the applications, and if determined
to be in compliance with this section, will submit the applications to the
commission for approval under §15.105 of this subchapter.
§15.104.Project Selection Criteria.
(a)
The commission will consider the following criteria for
project selection:
(1)
the number resulting from dividing the
population
of the border colonia the project is to serve, based on the latest estimates
from the Texas Water Development Board
, by the total number of miles
of roadway in the border colonia
;
(2)
condition of current roads, such as the number of existing
paved roads in and to the border colonia the project is to serve;
(3)
whether the project is on an existing or planned school
bus route;
and
(4)
access to other parts of the region, such as the number
of roads, paved or unpaved, to the border colonia the project is to serve
.
[
[(5)
the number resulting from dividing the
border colonia population whose residences abut the project limits by the
number of miles of roadway in the project.]
(b)
Each criterion will be weighted
25
[
§15.105.Apportionment.
The department will apportion and distribute available funds in the
manner described by this section.
(1)
Each county will receive a minimum of
$100,000 in funding during each program call.
(2)
[
(3)
[
(4)
[
(5)
[
(6)
[
(7)
The maximum amount of funding that is
available for each project is $200,000 per mile.
(8)
Projects partially funded under prior
program calls are eligible for funding under this subchapter.
This agency hereby certifies that the proposal has been
reviewed by legal counsel and found to be within the agency's legal authority
to adopt.
Filed with the Office of
the Secretary of State on June 28, 2002.
TRD-200204137
Bob Jackson
Deputy General Counsel
Texas Department of Transportation
Earliest possible date of adoption: August 11, 2002
For further information, please call: (512) 463-8630
Subchapter A. MOTOR VEHICLE CERTIFICATES OF TITLE
43 TAC §17.11
The Texas Department of Transportation (department) proposes
new §17.11, concerning an electronic lien title (ELT) program.
EXPLANATION OF PROPOSED NEW SECTION
House Bill 1535, 77th Legislature, 2001, requires the department to develop
and implement an ELT Program. An ELT Program will allow the department to
exchange lien and title information with lienholders electronically.
Section 17.11(a) and (b) provide an explanation of the ELT Program, lienholder
participation, and contracts that will enable the department to implement
the system.
Section 17.11(c) addresses the title application process and electronic
communication between the department and lienholders to confirm that liens
have been accurately recorded. The confirmation of a lien by a lienholder
will protect the integrity of title records.
Section 17.11(d) provides for the release of electronic liens and for the
printing and mailing of paper titles. The release of lien and the printing
of a new paper title will place the owner of a vehicle in the same position
as under the current system.
Section 17.11(e) permits a lienholder with an electronic lien to obtain
a paper title. This will allow a lienholder to obtain a new title after repossession,
to deliver a paper title to the owner after a lien has been released, to reassign
the lien to a new lienholder, or otherwise to place itself in the same position
as a lienholder that has not participated in the ELT Program.
Section 17.22(f) allows for a lien to be assigned electronically at the
request of a lienholder.
Section 17.22(g) provides that a certified copy of title will not be issued
for a title record indicating an ELT remark. This will reduce the potential
for the fraudulent use of certified copies of titles.
FISCAL NOTE
James Bass, Director, Finance Division, has determined that for each of
the first five years the new section is in effect, there will be minimal fiscal
implications for state or local governments as a result of enforcing or administering
the new section. There are no anticipated economic costs for persons required
to comply with the section as proposed.
Jerry Dike, Director, Vehicle Titles and Registration Division, has certified
that there will be no significant impact on local economies or overall employment
as a result of enforcing or administering the new section.
PUBLIC BENEFIT
Mr. Dike has also determined that for each year of the first five years
the section is in effect, the public benefit anticipated as a result of enforcing
or administering the new section will be to reduce paperwork for the state
and for businesses participating in an ELT Program. There will be no adverse
economic effect on small businesses.
SUBMITTAL OF COMMENTS
Written comments on the proposed new section may be submitted to Jerry
Dike, Director, Vehicle Titles and Registration Division, 125 East 11th Street,
Austin, Texas 78701-2483. The deadline for receipt of comments is 5:00 p.m.
on August 12, 2002.
STATUTORY AUTHORITY
The new section is proposed under Transportation Code, §201.101, which
provides the Texas Transportation Commission with the authority to establish
rules for the conduct of the work of the department. In addition, the new
section is proposed under Transportation Code, §501.131, which requires
the department to adopt rules to administer the titling system. The new section
is also proposed under Transportation Code, §501.117, which requires
the department to develop a system under which a security interest in a motor
vehicle may be assigned, discharged, and canceled electronically, and requires
the department to adopt rules to administer the system.
No statutes, articles, or codes are affected by the proposed new section.
§17.11.Electronic Lien Title Program.
(a)
The Electronic Lien Title (ELT) Program provides an electronic
method for the department to exchange lien and title information with lienholders.
Lienholder participation in this program is voluntary.
(b)
To participate in the ELT Program, a lienholder must enter
into a contract with the department. The contract must contain all terms and
conditions necessary to implement the ELT Program, as agreed on by the department
and the participating lienholder.
(c)
An application for title recording an electronic lien must
be filed in the usual manner with a county tax assessor-collector.
(1)
The department will notify the lienholder electronically
of the date the lien was recorded. The notification will include a request
for verification of the lien and vehicle information.
(2)
The participating lienholder shall verify the lien and
vehicle information in the message and electronically notify the department
whether the information is correct.
(3)
The lienholder shall send an error message electronically
to the department if any information in the notification is incorrect. The
department will then verify the lien and vehicle information submitted by
the applicant in the title application. Any error will be corrected, and if
necessary, the department will send a new notification to the lienholder with
corrected information. If it is found that the title applicant submitted incorrect
lienholder or vehicle information, the transaction will be rejected and returned
to the county tax assessor-collector.
(d)
When a lien is satisfied, the lienholder shall electronically
notify the department within 10 days. The ELT remark and the lien will be
removed from the record and a title will be printed in the name of the owner
of record and mailed to the address specified by the lienholder.
(e)
When requested by a lienholder, the department will remove
the ELT remark from a vehicle record and provide the lienholder with a paper
title.
(f)
When requested by a lienholder, the department will reassign
a lien electronically to a new lienholder if the new lienholder meets all
requirements for participation in the ELT Program.
(g)
The department will not issue a certified copy of a title
with an ELT remark.
This agency hereby certifies that the proposal has been reviewed
by legal counsel and found to be within the agency's legal authority to adopt.
Filed with the Office of
the Secretary of State on June 28, 2002.
TRD-200204138
Bob Jackson
Deputy General Counsel
Texas Department of Transportation
Earliest possible date of adoption: August 11, 2002
For further information, please call: (512) 463-8630
43 TAC §17.61, §17.62
The Texas Department of Transportation (department) proposes
amendments to §17.61 and §17.62, concerning salvage vehicle dealers.
EXPLANATION OF PROPOSED AMENDMENTS
These amendments specify record-keeping requirements for salvage vehicle
dealers to assist law enforcement personnel in conducting investigations designed
to prevent and uncover sales of stolen motor vehicles and parts. Additional
non-substantive amendments are made to improve clarity and readability.
Section 17.61 is amended to enhance consistency, to improve clarity, and
to eliminate unnecessary definitions. No substantive change is intended. In
addition, the department has added a new definition for "component part" and
"special accessory part" to conform the rules to the terminology used in Texas
Civil Statutes, Article 6687-2.
Section 17.62 is amended to specify the form in which salvage vehicle dealer
records must be kept. Non-substantive amendments are made to consolidate the
establishment of fees into a single subsection, to establish that all licenses
will be issued for a full 12 months, to correct grammar, to clarify potentially
ambiguous language, and to improve consistency in the use of terms.
Section 17.62(e) is added to provide a single source establishing salvage
vehicle dealer and agent fees. This will facilitate any future changes in
the rules.
Renumbered §17.62(g)(1) is amended to establish that all licenses
are issued for a 12-month period with staggered expiration dates. This replaces
the previous system, under which all licenses expired on the same date, but
license fees were prorated based on the number of months left in the year.
Renumbered §17.62(k) is amended to establish new record-keeping requirements.
Records must now be kept in a bound book or electronically, and electronic
copies must be backed up by paper copies. These requirements will assist law
enforcement personnel in reviewing the records of salvage vehicle dealers.
FISCAL NOTE
James Bass, Director, Finance Division, has determined that for each of
the first five years the amendments are in effect, there will be no fiscal
implications for state or local governments as a result of enforcing or administering
the amendments. There are no anticipated economic costs for persons required
to comply with the sections as proposed.
Jerry Dike, Director, Vehicle Titles and Registration Division, has certified
that there will be no significant impact on local economies or overall employment
as a result of enforcing or administering the amendments.
PUBLIC BENEFIT
Mr. Dike has also determined that for each of the first five years the
sections are in effect, the public benefit anticipated as a result of enforcing
or administering the amendments will be to provide salvage vehicle dealers
with current and accurate information regarding requirements for maintaining
inventory records and assignments of unique inventory numbers to each transaction,
in which the dealer purchases or takes delivery of a vehicle or component
parts. The amendments will also assist law enforcement personnel in conducting
investigations. There will be no adverse economic effect on small businesses.
SUBMITTAL OF COMMENTS
Written comments on the proposed amendments may be submitted to Jerry Dike,
Director, Vehicle Titles and Registration Division, 125 East 11th Street,
Austin, Texas 78701-2483. The deadline for receipt of comments is 5:00 p.m.
on August 12, 2002.
STATUTORY AUTHORITY
The amendments are proposed under Transportation Code, §201.101, which
provides the Texas Transportation Commission with the authority to establish
rules for the conduct of the work of the department. They are also proposed
under Transportation Code, §501.131, which requires the department to
adopt rules implementing the laws governing the titling of motor vehicles,
including salvage motor vehicles. More specifically, the amendments are adopted
under Texas Civil Statutes, Article 6687-1a, §4.01(b), which requires
the department to adopt rules governing the denial, suspension, or revocation
of a salvage vehicle dealer license, and under Texas Civil Statutes, Article
6687-2(h), which requires the department to specify the form in which salvage
vehicle dealer records are kept.
No statutes, articles, or codes are affected by the proposed amendments.
§17.61.Definitions.
The following words and terms, when used in this subchapter, shall
have the following meanings, unless the context clearly indicates otherwise.
(1)
Actual cash value--The market value of a motor vehicle
as determined:
(A)
from publications commonly used by the automotive and insurance
industries to establish the value of motor vehicles; or
(B)
if the entity determining the value is an insurance company,
by any other procedure recognized by the insurance industry, including market
surveys, that is applied by the company in a uniform manner.
(2)
Automobile recycler--A person in the business of dealing
in salvage [
(3)
Casual sale--The sale at auction of not more than one nonrepairable
[
(4)
Commission--The Texas Transportation Commission.
(5)
Component part--The front end assembly
or tail section of a motor vehicle, the cab of a light or heavy truck, the
bed of a one-ton or lighter truck, an interior component of a motor vehicle,
a special accessory part, or a vehicle part that contains or should contain
a federal safety sticker, motor number, serial number, manufacturer's permanent
vehicle identification number, or a derivative of a vehicle identification
number.
(6)
[
[(6)
Division director--The director of the
department's Vehicle Titles and Registration Division.]
(7)
Late model [
(8)
Late model salvage vehicle--A late model motor vehicle
with a major component part that is damaged or missing to the extent that
the total estimated cost of repairs to rebuild or reconstruct the vehicle,
including parts and labor, but excluding the cost of repairs to repair hail
damage, is equal to or greater than [
(9)
Major component part--One of the following parts of a vehicle:
(A)
the engine;
(B)
the transmission;
(C)
the frame;
(D)
the right or left front fender;
(E)
the hood;
(F)
a door allowing entrance to or egress from the passenger
compartment of the vehicle;
(G)
the front or rear bumper;
(H)
the right or left quarter panel;
(I)
the deck lid, tailgate, or hatchback;
(J)
the cargo box of a pickup truck;
(K)
the cab of a truck; or
(L)
the body of a passenger vehicle.
(10)
Motor vehicle--
A
[
(11)
New automobile dealer--A person whose primary business
is selling new motor vehicles, but who may also buy salvage and nonrepairable
[
[(12)
New model motor vehicle--A motor vehicle
with a year model that is newer than the current calendar year.]
[(13)
New model salvage motor vehicle--A new
model motor vehicle (other than a new model vehicle that is a nonrepairable
motor vehicle), that is damaged to the extent that the total estimated cost
of repairs, other than repairs related to hail damage but including parts
and labor, is equal to or greater than an amount equal to 75% of the actual
cash value of the vehicle in its predamaged condition.]
(12)
[
(13)
[
(14)
[
(15)
[
(16)
[
[(19)
Person--An individual, partnership,
corporation, trust, association, or other private legal entity.]
(17)
[
[(21)
Salvage pool operator--A person who
is engaged in the business of selling nonrepairable or salvage vehicles at
auction, including wholesale auction.]
(18)
[
(19)
[
(20)
[
(21)
[
(22)
[
(23)
[
(24)
[
[(29)
Salvage vehicle record--The record of
sales and purchases for each salvage vehicle handled by a salvage vehicle
dealer.]
(25)
Special accessory part--The tire, wheel,
tailgate, or removable glass top of a motor vehicle.
(26)
[
(27)
[
§17.62.Salvage Vehicle Dealer and Agent Licenses.
(a)
Applicability. A person who acts as an automobile recycler,
salvage vehicle agent, or salvage vehicle dealer, including a person who stores
or displays vehicles as an agent or escrow agent of an insurance company,
must obtain a salvage vehicle dealer or an agent license in accordance with
Texas Civil Statutes, Article 6687-1a, and the provisions of this subchapter.
(b)
Exemptions. The provisions of this subchapter do not apply
to:
(1)
a person who purchases a nonrepairable or salvage vehicle
from a salvage pool operator in a casual sale;
(2)
an insurance company authorized to engage in the business
of insurance in this state;
(3)
a person predominantly engaged in the business of obtaining
ferrous or nonferrous metals;
(4)
a person who sells or offers for sale
fewer than
[
(5)
a person who sells or offers to sell a [
(6)
an agency of the United States,
an agency of
this state, or
a
local government;
(7)
a financial institution or other secured party
that
holds a security interest in a vehicle and is
selling
that
[
(8)
a receiver, trustee, administrator, executor, guardian,
or other person appointed by or acting pursuant to the order of a court;
(9)
a person selling an antique passenger car or truck that
is at least 25 years old or a collector selling a special interest motor vehicle
as defined in [
(10)
a licensed auctioneer who, as a bid caller, sells or offers
to sell property to the highest bidder at a bona fide auction
under the
following conditions:
(A)
[
(B)
[
(C)
[
(c)
Classification of licenses. The department will classify
salvage vehicle dealers according to the type of activity performed by the
dealer. A salvage vehicle dealer may not engage in activities of a particular
classification as indicated in this subsection unless the salvage vehicle
dealer holds a license authorizing business under that classification. An
applicant may apply for a salvage vehicle dealer license in one or more of
the following classifications:
(1)
new automobile dealer;
(2)
used automobile dealer;
(3)
used vehicle parts dealer;
(4)
salvage vehicle pool operator;
(5)
salvage vehicle broker; or
(6)
salvage vehicle rebuilder.
(d)
Application for salvage vehicle dealer or agent license.
(1)
Application for salvage vehicle dealer license. An applicant
for a salvage vehicle dealer license must apply on a form prescribed by the
department. An applicant who will operate as a salvage vehicle dealer under
a name other than the name of that applicant
must
[
(A)
Form of application. The application form must be signed
by the applicant, be accompanied by the application fee [
(i)
the name,
each
business
address
[
(ii)
the name under which the applicant will do business;
(iii)
the location, by number, street, and municipality, of
each office from which the applicant will conduct business;
(iv)
a statement indicating whether the applicant has previously
applied for a salvage
vehicle
dealer [
(v)
an affidavit containing a statement that the applicant
has never been convicted of a felony or that it has been at least three years
since the [
(vi)
three business association references;
(vii)
the applicant's federal tax identification number, if
any;
(viii)
the applicant's state sales tax number;
(ix)
the applicant's social security number[
(x)
each classification of license
[
(B)
Verification of assumed name.
If an assumed name will
be used, the applicant must submit a copy of
[
(2)
Application for salvage vehicle agent license. An applicant[
(A)
the name of the applicant;
(B)
the name, business address, and business telephone number
of the salvage vehicle dealer authorizing the applicant as a salvage vehicle
agent;
(C)
the name under which the salvage vehicle dealer will do
business;
(D)
the location, by number, street, and municipality, of each
office from which the applicant will conduct business;
(E)
a statement indicating whether the applicant has previously
applied for a salvage vehicle dealer or agent license under this section,
the result of the previous application, and whether the applicant has ever
been the holder of a salvage vehicle dealer or agent license that was revoked
or suspended;
(F)
an affidavit containing a statement that the applicant
has never been convicted of a felony or that it has been at least three years
since the [
(G)
three business association references;
(H)
the applicant's federal tax identification number, if any;
(I)
the applicant's state sales tax number; and
(J)
the applicant's social security number.
(3)
Application for corporate salvage vehicle dealer license.
If a salvage vehicle dealer license applicant intends to engage in business
through a corporation, the applicant must apply on a form prescribed by the
department.
(A)
Form of application. The form must indicate the name of
the corporation, as it appears on file with the secretary of state, be signed
by the applicant, be accompanied by the application fee, and include:
(i)
the name,
each
business
address
[
(ii)
the name under which the corporation will do business;
(iii)
the location, by number, street, and municipality, of
each office from which the corporation will conduct business;
(iv)
the state of incorporation;
(v)
a statement indicating whether
any
[
(vi)
an affidavit containing a statement that
no
[
(vii)
three business association references;
(viii)
the applicant's federal tax identification number, if
any;
(ix)
the applicant's state sales tax number;
(x)
the name, address, date of birth, and social security number
of each of the principal officers and directors of the corporation;
(xi)
each classification of license
[
(B)
Verification of corporate franchise taxes.
At the
time the application is submitted, the
[
(4)
Partnerships. If the license applicant intends to engage
in business through a partnership, the applicant must apply on a form prescribed
by the department. The form must be signed by the applicant, be accompanied
by the application fee, and include:
(A)
the name,
each
business
address
[
(B)
the name under which the partnership will do business;
(C)
the location, by number, street, and municipality, of each
office from which the partnership will conduct business;
(D)
a statement indicating whether an owner, partner, or employee[
(E)
an affidavit containing a statement that
no
[
(F)
three business association references;
(G)
the partnership's federal tax identification number, if
any;
(H)
the partnership's state sales tax number;
(I)
the name, address, date of birth, and social security number
of each owner and partner; and
(J)
each classification of license
[
(e)
Fees for salvage vehicle dealer or agent
license.
(1)
The fee for each salvage vehicle dealer license is $95.00.
(2)
The fee for each salvage vehicle agent license is $95.00.
(f)
[
(g)
[
(1)
The license will be issued for a 12-month period.
[
(2)
A license
will
[
(3)
A person whose license has been revoked in accordance with §17.64
of this
subchapter will
[
(h)
[
(i)
[
(1)
The department
will
[
(2)
A salvage vehicle dealer or agent license expires on the
first anniversary of the date of issuance and may be renewed annually on or
before the expiration date on payment of the required renewal fee of $85.
(3)
If the license is not renewed
before
[
(4)
An expired license may be renewed under
the following conditions.
(A)
A license holder may renew a license by paying a renewal
fee of $127.50 if 90 days or fewer have elapsed since the license expired.
(B)
A license holder may renew a license by paying a renewal
fee of $170 if more than 90 days have elapsed since the license expired.
(C)
A license holder may renew a license by paying a renewal
fee of $170 if the license holder:
(i)
resides in another state and has been doing business as
a salvage vehicle dealer in that state for at least two years;
(ii)
provides a certificate or other official document issued
by that state and demonstrating that the license holder is doing business
as a salvage vehicle dealer in that state; and
(iii)
furnishes the expired Texas license number.
[(4)
If the license is not renewed prior to
the expiration date, and:]
[(A)
if it has been 90 days or less since the date of expiration,
the license holder may renew the license on payment of the renewal fee of
$127.50;]
[(B)
if it has been more than 90 days since the date of expiration,
the license holder may renew the license on payment of the renewal fee of
$170; or]
[(C)
if the license holder has moved out-of-state and has been
doing business in another state for two years, the license holder may renew
the license by providing:]
[(i)
the renewal fee of $170;]
[(ii)
a certificate or other official document issued by the
other state demonstrating that the license holder has a business in that state;
and]
[(iii)
the expired Texas salvage vehicle dealer or agent license
number.]
(5)
If
a
[
(j)
[
(1)
Assignment
[
(A)
A salvage vehicle dealer must receive a properly assigned
certificate of title when acquiring
[
(B)
If a [
(C)
If
a
[
(D)
A
[
(2)
Unique inventory number.
(A)
A
[
(i)
the
salvage vehicle dealer's license number;
(ii)
the
day, month, and year of the purchase or
delivery; and
(iii)
a
sequential log number [
(B)
The
salvage vehicle dealer shall attach a
unique
inventory number [
(C)
The salvage vehicle dealer who originally purchases
a component part shall retain that
[
(D)
The provisions of paragraph (2)(A) and (B) of this subsection
do not apply to a nonoperable engine, transmission, or rear axle assembly
purchased by one salvage vehicle dealer from another salvage vehicle dealer
or
from
an automotive-related business.
(E)
The provisions of this subsection do not apply to:
(i)
interior used component parts or special accessory parts
on a motor vehicle more than 10 years of age; or
(ii)
used component parts delivered by commercial freight lines
or commercial carriers.
(k)
[
(1)
Each
salvage vehicle dealer
[
(A)
the
date of purchase
for the vehicle or
part
;
(B)
the
name and address of the person selling the
vehicle or part to the dealer;
(C)
a description of the vehicle or part
, including
[
(D)
the vehicle's
ownership document number and
state of issuance, if applicable;
(E)
a
copy of the front and back of the ownership
document for the vehicle or [
(F)
the
date the ownership document was surrendered
to the department;
(G)
any
evidence indicating that an older model
salvage vehicle was dismantled, scrapped, or destroyed;
(H)
the
date of sale;
(I)
the
name and address of the person purchasing
the vehicle or part from the dealer; and
(J)
a
copy of the front and back of the ownership
document for
a
[
(2)
A
[
(A)
The
[
(i)
the date of purchase or delivery
for the part
;
(ii)
the name, age, address, sex, and driver's license number
of the seller and a legible photocopy of the seller's driver's license;
(iii)
the license number of the motor vehicle used to deliver
the used component part;
(iv)
a complete description of the item purchased, including
the type of material and, if applicable, the make, model, color, and size
of the item; and
(v)
the vehicle identification number of the motor vehicle
from which the used component part was removed.
(B)
Instead
[
(C)
A salvage vehicle dealer is not required to keep records
under this subsection for:
(i)
interior used component parts or special accessory parts
on a motor vehicle more than 10 years of age; or
(ii)
used component parts delivered by commercial freight lines
or commercial carriers.
(D)
A record of a used component part shall be kept on
a form prescribed by the department. A
[
(l)
[
(1)
Late model water-damaged salvage vehicles.
A late model salvage vehicle or nonrepairable vehicle is exempt from the provisions
of this subsection if its classification is based solely on flood damage.
The owner is not prohibited from selling the vehicle to any person.
[(1)
New or late model water damaged salvage
motor vehicles. The owner of a new or late model salvage motor vehicle or
a nonrepairable motor vehicle so classified solely caused by flood conditions
is exempt from the provisions of this subsection, and is not prohibited from
selling such vehicle to any person.]
(2)
Sale,
[
(A)
a governmental entity;
(B)
the vehicle's former owner;
(C)
a licensed salvage vehicle dealer;
(D)
an out-of-state buyer;
(E)
a buyer in a casual sale at auction; or
(F)
a person described by Texas Civil Statutes, Article 6687-2b,
Section (g)
, or its successor provision
.
(m)
[
(1)
[
(2)
[
(3)
[
This agency hereby certifies that the proposal has been
reviewed by legal counsel and found to be within the agency's legal authority
to adopt.
Filed with the Office of
the Secretary of State on June 28, 2002.
TRD-200204139
Bob Jackson
Deputy General Counsel
Texas Department of Transportation
Earliest possible date of adoption: August 11, 2002
For further information, please call: (512) 463-8630
Subchapter A. GENERAL PROVISIONS
43 TAC §18.2
The Texas Department of Transportation (department) proposes
amendments to §18.2, concerning definitions.
EXPLANATION OF PROPOSED AMENDMENTS
Section 18.2 is amended to clarify existing definitions, add new definitions,
and ensure consistency with statute and department policies and procedures.
Specifically, a definition for "conversion" has been added to clarify department
policy with regards to organization conversions by motor carriers under Texas
Business Corporations Act, Article 65.17. The definition of "insurer" is revised
to clarify that the term also applies to Subchapter G concerning vehicle storage
facilities. A definition of "replacement vehicle" has been included to add
precision and remove ambiguity in the rules. The remaining changes are nonsubstantive
and are made to improve clarity and readability.
FISCAL NOTE
James Bass, Director, Finance Division, has determined that for each of
the first five years the amendments are in effect, there will be no fiscal
implications for state or local governments as a result of enforcing or administering
the sections. There are no anticipated economic costs for persons required
to comply with the amendments as proposed.
Lawrance R. Smith, Director, Motor Carrier Division, has certified that
there will be no significant impact on local economies or overall employment
as a result of enforcing or administering the amendments.
PUBLIC BENEFIT
Mr. Smith has also determined that for each year of the first five years
the sections are in effect, the public benefit anticipated as a result of
enforcing or administering the amendments will be to provide clarification
and consistency of department policies and procedures. There will be no adverse
economic effect on small businesses.
SUBMITTAL OF COMMENTS
Written comments on the proposed amendments may be submitted to Lawrance
R. Smith, Director, Motor Carrier Division, 125 East 11th Street, Austin,
Texas 78701-2483. The deadline for receipt of comments is 5:00 p.m. on August
12, 2002.
STATUTORY AUTHORITY
The amendments are proposed under Transportation Code, §201.101, which
provides the Texas Transportation Commission with the authority to establish
rules for the conduct of the work of the department, and Texas Civil Statutes,
Article 6687-9a, which requires the department to regulate vehicle storage
facilities.
No statutes, articles, or codes are affected by the proposed amendments.
§18.2.Definitions.
The following words and terms, when used in this chapter, shall have
the following meanings, unless the context clearly indicates otherwise.
(1)
Approved association--A group of household goods carriers,
[
(2)
Binding proposal--A formal written offer stating the exact
price for the transportation of [
(3)
Certificate of insurance--A certificate prescribed by and
filed with the department[
(4)
Certificate of registration--A certificate issued by the
department to a motor carrier[
(5)
Certified scale--Any scale designed for weighing motor
vehicles, including trailers or semitrailers not attached to a tractor, and
certified by an authorized scale inspection and licensing authority. A certified
scale may also be a
platform-type or warehouse-type
[
(6)
Commercial motor vehicle--
(A)
Includes:
(i)
any motor vehicle or combination of vehicles with a gross
weight, registered weight, or gross weight rating in excess of 26,000 pounds,
that
[
(ii)
all tow trucks, [
(iii)
any vehicle, including buses, designed to transport more
than 15 passengers, including the driver;
(iv)
any vehicle used in the transportation of hazardous materials
in a quantity requiring placarding under the regulations issued under the
federal Hazardous Materials Transportation Act (
49 USC,
[
(v)
a commercial motor vehicle, as defined by 49
CFR
[
(B)
Does not include:
(i)
a farm vehicle[
(ii)
cotton vehicles registered
under
[
(iii)
a vehicle registered with the Railroad Commission
under
[
(iv)
a vehicle transporting liquor under a private carrier
permit issued in accordance with Alcoholic Beverage Code, Chapter 42;
(v)
a motor vehicle used to transport passengers
and
operated by an entity whose primary function is not the transportation of
passengers, such as a vehicle operated by a hotel, day-care center, public
or private school, nursing home, or similar organization;
(vi)
a motor vehicle registered under the Single State Registration
System established under 49
USC
[
(vii)
a vehicle operated by a governmental entity.
(7)
Commission--The Texas Transportation Commission.
(8)
Conspicuous--Written in [
(9)
Conversion--A change in an
entity's organization that is implemented with a Certificate of Conversion
issued by the Texas Secretary of State under Texas Business Corporation Act,
Article 5.17.
(10)
[
(11)
[
(12)
[
(13)
[
(14)
[
(15)
[
(16)
[
(17)
[
(A)
the actual weight of the equipment and its lading; or
(B)
the maximum lawful weight of the equipment and its lading.
(18)
[
(19)
[
(20)
[
(21)
[
(22)
[
(23)
[
(24)
[
(25)
[
(26)
[
(27)
[
(28)
[
(29)
[
(30)
[
(31)
[
(32)
[
(33)
[
(34)
[
(35)
[
(36)
Replacement vehicle--A vehicle
that takes the place of another vehicle that has been removed from service.
(37)
[
(38)
[
(39)
[
(40)
[
(41)
[
(42)
[
(43)
[
(44)
[
(45)
[
(A)
a motor vehicle owned and used exclusively by a governmental
entity, including a public school district;
(B)
a motor vehicle towing:
(i)
a race car;
(ii)
a motor vehicle for exhibition; or
(iii)
an antique motor vehicle;
(C)
a recreational vehicle towing another vehicle;
(D)
a motor vehicle used in combination with a tow bar, tow
dolly, or other mechanical device
if the vehicle
[
(E)
a motor vehicle[
(46)
[
(47)
[
This agency hereby certifies that the proposal has been
reviewed by legal counsel and found to be within the agency's legal authority
to adopt.
Filed with the Office of
the Secretary of State on June 28, 2002.
TRD-200204140
Bob Jackson
Deputy General Counsel
Texas Department of Transportation
Earliest possible date of adoption: August 11, 2002
For further information, please call: (512) 463-8630
43 TAC §§18.13, 18.14, 18.16, 18.17, 18.19
The Texas Department of Transportation (the department) proposes
amendments to §§18.13, 18.14, 18.16, 18.17, and 18.19 concerning
Motor Carrier Registration.
EXPLANATION OF PROPOSED AMENDMENTS
Transportation Code, Chapter 643 prescribes the methods by which the department
registers motor carriers. Specific requirements for registering motor carriers
are found in Chapter 645 regarding Single State Registration and Chapter 648
regarding Foreign Motor Carriers. Pursuant to these statutes, the Texas Transportation
Commission (commission) has previously adopted §§18.13, 18.14, 18.16,
18.17 and 18.19 to specify the processes by which the department will process
motor carrier registration applications, the expiration and renewal of commercial
motor vehicle registrations, insurance requirements, the single state registration
system, and the substitution of short term lease and substitute vehicles.
The amendments to §§18.13, 18.14, 18.16, 18.17, and 18.19 clarify
existing language, including restructuring and renumbering of existing subsections
and ensure that division policies and procedures comply with state and federal
requirements, including 643.003, which directs the department to develop rules
to implement Chapter 643.
Specifically, §18.13(a)(6) has been amended to comply with Transportation
Code, §648.102 which requires the department to adopt rules that conform
with 49 CFR Part 387 requiring motor carriers operating foreign commercial
motor vehicles in this state to maintain financial responsibility.
Section 18.13(a)(11) is renumbered and amended to clarify procedures for
the prorated application of pre-paid fees by motor carriers participating
in the Single State Registration System.
Section 18.13(b) and (c) are revised to clarify the processing of incomplete
motor carrier applications and the conditional acceptance of applications.
The changes ensure compliance with Transportation Code, §643.055, describing
the requirements for the conditional acceptance of motor carrier applications.
Section 18.13(d) has been revised to change the terminology used to refer
to documents issued to motor carriers as evidence of showing which vehicles
can be operated under the carrier's certificate of registration. Formerly
this document was referred to as the registration listing. Using the term
"insurance cab card" brings department terminology into compliance with Transportation
Code, §643.059, current industry practice, and law enforcement procedures.
Section 18.13(d)(1)(B)(vi) has been added to clarify that registration listings
previously issued will remain valid until expiration, renewal, revocation,
or suspension by the department.
Former subsection (d)(1)(A),(B) and (C) of §18.13 have been redesignated
as subsection (e)(1), (2) and (3).
In §18.13, new subsection (f) has been added to clarify existing procedures
for submitting supplemental applications for motor carrier registrations and
the conditions under which supplemental applications will be accepted. Former
subsection (d)(2)-(d)(5) is renumbered as subsection (f)(1)-(f)(4) with new
subsection (f)(5) added to address organizational conversions under Texas
Business Corporations Act, Article 5.17.
New subsection (f)(6) has been added to §18.13 to allow motor carriers
whose certificate or registration number has been revoked, suspended, or expired
to retain their prior certificate or registration number upon a showing that
the condition causing the revocation, suspension, or expiration has been cured.
Allowing motor carriers to retain and operate under a single certificate or
registration number improves department record keeping by reducing the number
of certificate or registration numbers associated with a motor carrier.
Section 18.13, new subsection (g), formerly subsection (d)(5), has been
renumbered and clarified to better describe the circumstances when changes
in ownership require a new motor carrier registration.
Section 18.13(i) is amended to clarify the language describing when a certificate
of registration issued to a Type B household goods carrier may be revoked
or suspended by the department. Subsection (i)(9) provides that Type B household
goods carriers may voluntarily cancel their certificate of registration by
submitting the appropriate documentation. These changes clarify current practice
and are consistent with the rulemaking authority found in Transportation Code, §643.153.
In §18.14(a)(1), the registration chart has been revised to change
the word "shall" to "must."
Section 18.14(a)(2) and (b) have been revised to change the amount of time
a motor carrier has to renew a registration, better explain the process for
submitting a renewal application after the motor carrier registration has
expired, and allow the motor carrier to keep the same registration number
when it renews an expired motor carrier registration. Subsection (b)(4) has
been revised to change the phrase "registration listing" to "insurance cab
card" in order to be consistent with §18.13 of this chapter and industry
practice and law enforcement procedures. Subsection (b)(5) has been added
to clarify the requirement that when renewing an expired registration, certain
information, including insurance information, must be on file with or submitted
to the department. These amendments are consistent with the provisions of
Transportation Code, §643.058 and §643.103.
Section 18.16(a)(1) is amended to require that proof of commercial automobile
liability insurance be submitted on a form acceptable to the Director of the
Motor Carrier Division. These amendments also specify that only the required
information is acceptable on each specific form and that any additional information
provided on the form may result in the form being rejected. These changes
are a direct result of a multi-faceted effort to evaluate and improve current
division processes and procedures to make them more efficient and increase
customer service.
Changes to the chart in §18.16(a)(1) amend sentence structure and
grammatical errors only. No substantive changes are made.
Section 18.16(b)(1) has been revised to specify that a Type A household
goods mover must file proof of financial responsibility for cargo with the
department. This requirement is consistent with existing subsection (e)(1)(B)
and has been added to clarify what documents must be provided to the department.
Amendments to §18.16(e)(1), (2), and (3) clarify department policy
for accepting documents evidencing required levels of insurance. The amendments
specify that the information must be submitted on a form acceptable to the
Director of the Motor Carrier Division. Subsection (e)(1)(B) has also been
revised to address both a Type A and B household goods carrier. Subsection
(e)(1)(C) has been removed and is no longer necessary since both Type A and
B household goods movers are now addressed under subsection (e)(1)(B). These
changes are a direct result of a multi-faceted effort to evaluate and improve
current division processes and procedures to make them more efficient and
increase customer service.
Section 18.16(e)(2) has been revised to better comply with Transportation
Code, §643.101 that requires registered motor carriers to maintain liability
insurance. Subsection (e)(2)(B) has been added requiring a motor carrier's
insurance company to submit proof of insurance on or before the cancellation
date of the insurance policy. Subsection (e)(2)(G) has been added to clarify
the requirement that an insurance company replacing an active policy must
submit the new policy to the department. Both (e)(2)(B) and (e)(2)(G) also
conform with proposed revisions to subsections (f) and (g) of §18.16
relating to cancellation of insurance policies. Subsection (e)(2)(D) has been
added to comply with §18.13(f)(6), allowing motor carriers to retain
a revoked certificate of registration.
Section 18.16(f) is amended to clarify that a motor carrier registration
will be revoked for failure to maintain proof of current insurance. Revocation
and suspension of registrations are addressed in §18.72(a)(1) which provides
that failure to maintain insurance is a basis for revoking a carrier's registration.
Former §18.16(f)(1) has been redesignated as subsection (h).
Section 18.16(g) has been added to clarify that new insurance filings that
replace a current policy will be accepted. This section conforms with new
subsection (e)(2)(G) which specifies how and when insurance filings must be
made to the department.
Amendments to §18.17 are made to change references from the Federal
Highway Administration to the Federal Motor Carrier Safety Administration.
Section 18.19(a)(1)(B) is amended to remove outdated information and incorrect
formatting.
Section 18.19(b) is amended to clarify requirements for proving the existence
of contingency liability insurance. Subsection (b)(3) has been revised to
bring department terminology into compliance with current business practices.
FISCAL NOTE
James Bass, Director, Finance Division, has determined that for each of
the first five years the amendments are in effect, there will be no fiscal
implications for state or local governments as a result of enforcing or administering
the amendments. There are no anticipated economic costs for persons required
to comply with the sections as proposed.
Lawrance R. Smith, Director, Motor Carrier Division, has certified that
there will be no significant impact on local economies or overall employment
as a result of enforcing or administering the amendments.
PUBLIC BENEFIT
Mr. Smith has also determined that for each year of the first five years
the sections are in effect the public benefit anticipated as a result of enforcing
or administering the amendments will be more efficient use of personnel resources,
clarification and consistency of motor carrier registration policies and procedures,
and improvement in customer service. There will be no adverse economic effect
on small businesses.
SUBMITTAL OF COMMENTS
Written comments on the proposed amendments may be submitted to Lawrance
R. Smith, Director, Motor Carrier Division, 125 East 11th Street, Austin,
Texas 78701-2483. The deadline for receipt of comments is 5:00 p.m. on August
12, 2002.
STATUTORY AUTHORITY
The amendments are proposed under Transportation Code, §201.101, which
provides the commission with the authority to establish rules for the conduct
of the work of the department, and more specifically, Transportation Code,
Chapter 643, which authorizes the department to carry out the provisions of
those laws governing the issuance of Motor Carrier Registration and Chapter
648, which specifies certain information must be gathered from motor carriers
operating foreign motor vehicles.
No statutes, articles, or codes are affected by the proposed amendments.
§18.13.Application for Motor Carrier Registration.
(a)
Form of application. Except as provided in subsection
(i)
[
(1)
Business or trade name. The applicant
must
[
(2)
Owner name. If the motor carrier is a sole proprietorship,
the owner
must
[
(3)
Principal place of business. A motor carrier
must
[
(4)
Legal Agent.
(A)
A Texas-domiciled
[
(B)
A motor carrier domiciled outside [
(C)
A legal agent
for service
of process shall be
a Texas resident, a domestic corporation, or a foreign corporation authorized
to transact business in Texas with a Texas address for service of process.
(5)
Description of vehicles.
An application must
[
(6)
Type of motor carrier operations.
An applicant must state if the applicant:
(A)
proposes to transport passengers, household
goods, or hazardous materials;
(B)
is a tow truck operator; or
(C)
is domiciled in a foreign country.
[
[
[
[
(7)
Insurance coverage. An applicant
must indicate insurance coverage as required by §18.16 of this subchapter.
(8)
[
(9)
[
(10)
[
(A)
An application
must
[
(i)
$100 for annual and biennial registrations;
(ii)
$25 for 90 day registrations; or
(iii)
$5 for
seven
[
(B)
An application
must
[
(i)
$10 for each vehicle requiring registration that the motor
carrier proposes to operate under a seven day, 90 day, or annual registration;
or
(ii)
$20 for each vehicle requiring registration that the motor
carrier proposes to operate under a biennial registration.
(C)
An application
must
[
(D)
An application
must
[
(11)
Application of fees. Applicants
who have paid vehicle fees under §18.17 of this subchapter may request
that the department apply those fees to the carrier's motor carrier registration.
The request must be accompanied by a copy of the Single State Registration
receipt. On review of the Single State Registration receipt, the department
will apply fees paid under the Single State Registration System as follows.
(A)
The per vehicle fees paid by the applicant will
be applied on a per vehicle basis toward the vehicle fees that the applicant
owes for the vehicles registered under motor carrier registration.
(B)
Vehicle fees will be applied only to the first
year of registration if an applicant applies for a biennial motor carrier
registration. The motor carrier must pay all vehicle fees for the second year.
[
(12)
[
(b)
Incomplete applications.
The director will return
an application to the applicant if it
[
(c)
Conditional acceptance of application.
The director may conditionally accept an application if it is accompanied
by all fees and by proof of insurance or financial responsibility, but is
not accompanied by all required information.
Conditional acceptance
[
(d)
[
(1)
Approval. An applicant meeting the requirements of this
section and whose registration is approved
will
[
(A)
Certificate of registration.
The department will issue
a certificate of registration. The
[
(B)
Insurance cab card. The department
will issue an original insurance cab card listing all vehicles to be operated
under the carrier's certificate of registration. The insurance cab card shall
be continuously maintained at the registrant's principal place of business.
The insurance cab card will be valid for the same period as the motor carrier's
certificate of registration and will contain information regarding each vehicle
registered by the motor carrier. This subparagraph does not apply to Type
B household goods carriers.
(i)
A copy of the page of the insurance cab card
on which the vehicle is shown shall be maintained in each vehicle listed.
The appropriate information concerning that vehicle shall be highlighted.
The insurance cab card will serve as proof of insurance as long as the motor
carrier has continuous insurance or financial responsibility on file with
the department.
(ii)
On demand by a department-certified inspector
or any other authorized government personnel, the driver shall present the
highlighted page of the insurance cab card that is maintained in the vehicle.
[
[
[
(iii)
The
[
(iv)
Any erasure, alteration, or unauthorized use of
an insurance cab card renders
[
(v)
If an original
insurance cab card
[
(vi)
Registration listings previously
issued by the department will remain valid until expiration or renewal or
until revoked or suspended by the department.
(2)
Denial. The department may deny a registration if the applicant
had a registration revoked under §18.72 of this
chapter
[
(e)
Additional and Replacement
Vehicles. A motor carrier required to obtain a certificate of registration
under this section shall not operate additional vehicles unless the carrier
identifies the vehicles on a form prescribed by the director and pays applicable
fees as described in this subsection.
(1)
Additional vehicles. To add a vehicle, a motor
carrier must pay a fee of $10 for each additional vehicle the motor carrier
proposes to operate under a seven day, 90 day, or annual registration. To
add a vehicle during the first year of a biennial registration, a motor carrier
must pay a fee of $20 for each vehicle. To add a vehicle during the second
year of a biennial registration, a motor carrier must pay a fee of $10 for
each vehicle.
(2)
Replacement vehicles. No fee is required for
a vehicle that is replacing a vehicle for which the fee was previously paid.
Before the replacement vehicle is put into operation, the motor carrier shall
notify the department, identify the vehicle being taken out of service, and
identify the replacement vehicle on a form prescribed by the department. A
motor carrier registered under seven day registration may not replace vehicles.
(3)
Fees paid under the Single State Registration
System. Vehicle fees paid under §18.17 of this subchapter will be applied
toward a motor carrier's vehicle fees under subsection (a)(11) of this section.
[
[
[
[
[
(f)
Supplement to original application. A motor
carrier required to register under this section shall submit a supplemental
application under the following circumstances.
(1)
[
(2)
[
(3)
[
[
[
(4)
[
(5)
Conversion of corporate structure.
A motor carrier that has successfully completed a corporate conversion involving
a change in the name of the corporation shall file a supplemental application
for registration and evidence of insurance or financial responsibility reflecting
the new company name. The conversion must be approved by the Texas Secretary
of State before the supplemental application is filed.
(6)
Retaining a revoked or suspended
certificate of registration number. A motor carrier may retain a prior certificate
of registration number by:
(A)
filing a supplemental application to re-register
instead of filing an original application; and
(B)
providing adequate evidence that the carrier
has satisfactorily resolved the facts that gave rise to the suspension or
revocation.
(g)
Change of ownership. A motor
carrier must file an original application for registration when there is a
corporate merger or a change in the ownership of a sole proprietorship or
of a partnership.
(h)
[
(1)
The carrier must notify the department on a form approved
by the director of its intent to register its agent's vehicles under this
subsection.
(2)
When
a carrier registers vehicles
[
(3)
The department may send
the
[
(i)
[
(1)
The carrier's application
must
[
(2)
The carrier's application must be accompanied by a $100
application fee.
(3)
The carrier's application must be accompanied by proof
of financial responsibility for cargo loss or damage and
by
the
filing fee
specified in
[
(4)
The carrier's application
must
[
(A)
[
(B)
if the carrier maintains an automobile liability insurance
policy to comply with Transportation Code, Chapter 601,
then
the
policy is an enforceable commercial or business automobile liability insurance
policy.
(5)
The department will issue an
[
(6)
A carrier
shall
[
(7)
The carrier
shall
[
(8)
On demand by a department-certified
inspector or any other authorized government personnel, the driver shall present
the certificate of registration maintained in the vehicle.
[
(9)
The certificate of registration
is continuously in effect until suspended or revoked by the department. A
motor carrier may voluntarily cancel the certificate of registration by submitting
a supplemental application or written request.
[
(10)
Any erasure, alteration, or unauthorized use of a certificate
of registration
renders
[
[
(j)
[
§18.14.Expiration and Renewal of Commercial Motor Vehicle Registration.
(a)
Expiration and renewal dates.
(1)
A motor carrier
[
Figure: 43 TAC §18.14(a)(1)
(2)
Certificates of registration for Type B household goods
carriers [
(3)
90
[
(4)
Seven day certificates of registration are valid for seven
calendar days from the effective date.
(b)
Registration renewal.
(1)
Approximately 60 days before the expiration of registration,
the
[
(A)
supply any new information required under §18.13
(f)
[
(B)
include a $10 fee for each vehicle requiring registration
that the carrier operates under an annual certificate of registration[
(C)
include a copy of the Single
State Registration receipt when requesting that vehicle fees paid under §18.17
of this subchapter be applied toward the fees specified by this subsection.
(2)
Seven day and 90 day registrations may not be renewed.
(3)
A
[
(4)
The
insurance cab card
[
(5)
To renew registration after
it has expired, a motor carrier must identify its vehicles on a form prescribed
by the director, pay all vehicle fees, and if current proof of insurance is
not on file with the division, meet all insurance requirements.
§18.16.Insurance Requirements.
(a)
Automobile liability insurance requirements.
(1)
A motor carrier, other than a Type B household goods carrier,
must file proof of
commercial automobile liability
insurance with
the department
on a form acceptable to the director
for each vehicle
required to be registered under this subchapter. The motor carrier
must
[
Figure: 43 TAC §18.16(a)(1)
(2)
Type B household goods carriers shall comply with the applicable
requirements of Transportation Code, Chapter 601. If a Type B household goods
carrier maintains an automobile liability insurance policy to comply with
Transportation Code, Chapter 601, the policy must be an enforceable commercial
or business automobile liability insurance policy.
(b)
Cargo insurance.
(1)
A Type A household goods carrier shall file
and maintain with the department proof of financial responsibility.
(A)
The minimum limits of financial responsibility
for a household goods carrier for hire is $5,000 for loss or damage to a single
shipper's cargo carried on any one motor vehicle.
(B)
The minimum limits of financial responsibility
for a household goods carrier for hire is $10,000 for aggregate loss or damage
to multiple shipper cargo carried on any one motor vehicle. In cases in which
multiple shippers sustain damage and the aggregate amount of cargo damage
is greater than the cargo insurance in force, the insurance company shall
prorate the benefits among the shippers in relationship to the damage incurred
by each shipper.
(2)
A Type B household goods carrier shall file
and maintain with the department proof of financial responsibility.
(A)
The minimum level of financial responsibility
for loss or damage to total cargo carried on any one motor vehicle is a $5,000.
(B)
The minimum level of financial responsibility
for aggregate loss or damage to multiple shipper cargo carried on any one
motor vehicle is $5,000. In cases in which multiple shippers sustain damage
and the aggregate amount of cargo damage is greater than the cargo insurance
in force, the insurance company shall prorate the benefits among the shippers
in relationship to the damage incurred by each shipper.
[
[
[
[
[
[
[
(c)
Workers' compensation or accidental insurance coverage.
(1)
If a motor carrier is
[
(2)
Accidental insurance coverage required by paragraph (1)
of this subsection shall be at least in the following amounts:
(A)
$300,000 for medical expenses and coverage for at least
104 weeks;
(B)
$100,000 for accidental death and dismemberment,
including
70% of employee's pre-injury income for not less than 104
weeks when compensating for loss of income; and
(C)
$500 for the maximum weekly benefit.
(d)
Qualification of motor carrier as
self-insured
[
(1)
General qualifications. A motor carrier may meet the insurance
requirements of subsections (a) and (b) of this section by filing an application,
in
a
[
(2)
Adopted final orders. The department
adopts all final orders of the Railroad Commission of Texas to the extent
that they concern self-insurance and were in effect on August 31, 1995. Those
final orders are continued in effect until changed by order of the department.
[
(3)
Applicant guidelines. In addition to filing an application
as prescribed by the department, an applicant for
self-insured
[
(A)
Applicant's net worth. An applicant's net worth
must
[
(B)
Self-insurance program. An applicant
must
[
(i)
reserves;
(ii)
sinking funds;
(iii)
third-party financial guarantees;
(iv)
parent company or affiliate sureties;
(v)
excess insurance coverage; and
(vi)
other appropriate aspects of the applicant's program.
(C)
Safety program. An applicant
must
[
(4)
Other securities or agreements. The department may
accept an application
[
(5)
Periodic reports. An applicant shall file annual statements,
semi-annual and quarterly reports, and any other reports required by the department
reflecting the applicant's financial condition and
the
status of
its self-insurance program
while the motor carrier is self-insured
[
(6)
Duration of
self-insured
[
(7)
Revocation of
self-insured
[
(8)
Appeal. An applicant may appeal a denial
or revocation
of self-insurance status [
(e)
Filing proof of insurance with the department.
(1)
Forms.
(A)
A motor carrier, other than a Type B household goods carrier,
shall file and maintain proof of automobile liability insurance for all vehicles
required to be registered under this subchapter at all times. This proof shall
be
filed on a form acceptable to the director.
[
(B)
A [
[
(2)
Filing proof of insurance and financial responsibility.
A motor carrier's insurance or surety company, bank
,
or other financial
institution[
(A)
at the time of
the original
[
(B)
on or before the cancellation
date of the insurance coverage as described in §18.16(f) of this subchapter;
[
(C)
when the motor carrier changes
insurers;
[
(D)
when the motor carrier asks
to retain the certificate number of a revoked certificate of registration;
[
(E)
when the motor carrier changes its name under §18.13
(f)(2)
[
(F)
when the motor carrier, under subsection (a) of this section,
changes the classification of the cargo being transported
; and
(G)
when replacing another active
insurance filing.
(3)
Filing fee. Each certificate of insurance or proof of financial
responsibility filed with the department for the coverage required under this
section shall be accompanied by a nonrefundable filing fee of $100.
This fee applies both when the carrier submits an original application and
when the carrier submits a supplemental application when retaining a revoked
certificate of registration number.
(4)
Other bonds, policies or certificates.
The department
will not accept a
[
(5)
Letters of credit as proof of financial responsibility
for Type B household goods
carriers
[
(A)
The department will accept an
[
(i)
The beneficiaries of the letter of credit must be designated
clearly as cargo loss or damage claimants of the carrier. No other parties
may have rights of recovery against the letter of credit. Payments under the
letter of credit must be made directly to the cargo loss or damage claimant.
A qualified beneficiary must establish and perfect its claims by having agreed
with the motor carrier in writing on a specific amount to be paid in final
settlement of the claim[
(ii)
The letter of credit may not be revoked until
after
settlement of
all claims[
(iii)
The letter of credit must state that the bank or financial
institution will notify the department of cancellation of or
any
change in the letter of credit.
(B)
The carrier shall provide the department with copies of
an amendment
[
(C)
The department retains the authority to terminate the letter
of credit filing at any time if it appears to the department that the carrier's
letter of credit fails to provide satisfactory protection for shippers or
if
the carrier fails to timely file any of the information required
by the department.
(D)
On receiving
[
(E)
A carrier may appeal a denial or revocation of a letter
of credit filing by filing a petition for an administrative hearing in accordance
with §§1.21 et seq. of this title (relating to
Procedures in
Contested Cases
[
(f)
Cancellation
[
(g)
Replacement Insurance Filing.
The department will consider a new insurance filing as the current record
of financial responsibility required by this section if:
(1)
the new insurance filing is received by the
department; and
(2)
a cancellation notice has not been received
for previous insurance filings.
(h)
[
(1)
[
(2)
[
(i)
[
§18.17.Single State Registration System.
(a)
Applicability. The State of Texas, through the department,
participates in the single state registration system established by §4005
of Title IV of the Intermodal Surface Transportation Efficiency Act of 1991
, 49 USC §14504,
[
(1)
An interstate carrier
must
[
(A)
in Texas; or
(B)
outside [
(2)
An interstate carrier
that is
authorized by
the Federal
Motor Carrier Safety
[
(3)
If an applicant's principal place of business is located
outside
[
(b)
Initial application for single state registration. An application
for single state registration must
[
(1)
Additional materials. An application must
[
(A)
a copy of the applicant's full interstate authority, unless
the department waives
this
[
(B)
a copy of Federal
Motor Carrier Safety
[
(C)
information on a form prescribed by the director of
the Motor Carrier Division concerning
[
(D)
a statement [
(E)
applicable fees[
(F)
proof of insurance showing the applicant's business address
as specified in
[
(2)
Requirements regarding principal place of business. An
interstate carrier's principal place of business for registration
is
[
(A)
The
registrant must provide a physical address and
may not provide only a post office box. The registrant may provide a second
address, including a post office box, for use solely as a mailing address.
[
(B)
An applicant may change its registration state[
(3)
Waiver of filing complete Federal
Motor Carrier Safety
[
(A)
provide the department a copy of the portion of the Federal
Motor Carrier Safety
[
(B)
file a prepared synopsis of the Federal
Motor Carrier
Safety
[
(4)
Documents improperly filed. If an applicant files or causes
to be filed any document that contains any misrepresentation, misstatement,
or omission of required information[
(c)
Registration issuance. The department will mail a registration
receipt to an applicant
that meets
[
(d)
Registration receipts. A registration receipt
becomes
[
(1)
Copies. A copy of the registration receipt, to be provided
by the registrant, shall be carried in each motor vehicle for which the registrant
has paid the applicable fees
. On
[
(2)
Alterations of registration receipts.
The department
may revoke the registration of an interstate carrier that alters its registration
receipt.
[
(3)
Transfer of registration receipts between vehicles.
A registration receipt
[
(4)
Lost or stolen registration receipts. If the registrant
fails to receive a receipt mailed by the department or
if
a registration
receipt is otherwise lost, stolen, or destroyed, a registrant may request[
(e)
Amendments and corrections after original registration.
(1)
Federal
Motor Carrier Safety
[
(2)
Change of registrant name. If the registrant changes its
name [
(3)
Change of registration state. A
registrant's
registration state [
(A)
If the registrant changes its principal place of business
to a non-participating state, it shall retain the current registration state
designation for registration purposes and file notice of a business address
change
in the form of a
[
(B)
If a registrant changes its principal place of business
to another participating state, the registrant shall:
(i)
notify its current
registration state
and the
new registration state within 30 days after making its selection;
(ii)
notify its insurer immediately; and
(iii)
file in the new registration state all the documents
required of a new registrant.
(C)
If a registrant changes its principal place of business
during a registration period and that change affects its reciprocity status,
the registrant
will
[
(4)
Transfer of ownership. When Federal
Motor Carrier
Safety
[
(5)
Other conditions requiring supplemental application. A
supplemental application
shall be filed
[
(A)
an addition of equipment [
(B)
an addition of states of travel; or
(C)
a change of designated process agent for any state [
(6)
Additional vehicles. A registrant
may not operate more vehicles in any participating state than the number for
which fees have been paid.
(7)
Failure to update process agent.
If a registrant fails to file a supplemental application reflecting a change
in its process agent, the department may suspend its registration under §18.72
of this chapter.
(f)
Correction of application form. To correct an application
form,
an
[
(g)
Cancellation of registration.
At
[
(h)
Expiration and renewal of registration.
(1)
Expiration. Registrations issued under this section are
valid for the period beginning January 1[
(2)
Renewal.
To
[
(A)
To renew its registration, a registrant
need not
[
(B)
An applicant
must
[
(3)
Renewal fee. All renewal applications shall be accompanied
by the appropriate fees as
specified
[
(i)
Payment of Fees.
[
(1)
[
(2)
[
(j)
Insurance requirements. The applicant
must ensure
that proof of insurance is
[
(1)
Registrant name. Proof of insurance shall be filed in the
full and correct name of the
person
[
(2)
Form of proof. Proof of insurance shall be filed as specified
by 49
CFR,
[
(3)
Self insurers. If an applicant has been approved for self-insurance
by the Federal
Motor Carrier Safety
[
(4)
Changes in status. A registrant shall immediately notify
the department of all changes in the status of the registrant's public liability
protection.
(5)
Incorrect or falsified proof of insurance. If an insurance
company notifies the department that information relating to
a
[
(A)
If the department finds that incorrect or falsified filings
have been made, the department will notify the
registrant
[
(B)
If new and valid proof of insurance is not received, the
department may initiate a proceeding for suspension or revocation of a registration,
assessment of an administrative penalty, or both [
(6)
Cancellation of insurance.
On
[
(A)
If insurance lapses because a proof of insurance has not
been filed with the correct name and business address, the interstate carrier's
registration will be suspended until proper proof of insurance is filed with
the department.
(B)
When sufficient proof of insurance or other proof of compliance
is
[
(k)
Electronic filings.
The
[
§18.19.Short-term Lease and Substitute Vehicles.
(a)
Registration. A short-term lease vehicle registered under
this section is exempt from the registration requirements described in §18.13
of this
subchapter
[
(1)
Application. A leasing business registering vehicles under
this section shall file an application on a form prescribed by the director.
(2)
Annual Report.
[
[
(3)
Fees. An annual registration fee of $10 per vehicle operated
must
[
(4)
Cancellation, Expiration, and Revocation.
(A)
A leasing business must make
a written request for cancellation of registration.
[
(B)
A leasing business registration
expires
[
(C)
The department may suspend
or revoke a leasing business registration under §18.72 of this chapter.
[
(b)
Proof of contingency liability insurance. A leasing business
registering a vehicle under this section
must
[
(1)
Filings. A leasing business shall file proof of insurance
at the time of its
[
(2)
Filing fee. Each
proof of
insurance filing under
this section shall be accompanied by a nonrefundable $100 filing fee.
(3)
Cancellation
[
(c)
Substitute vehicles. A registered motor carrier is not
required to comply with the provisions of
§18.13(e)
[
(d)
Identification. A registered motor carrier is not required
to carry proof of registration, as required by
§18.13(d)(1)(B)
[
This agency hereby certifies that the proposal has been reviewed
by legal counsel and found to be within the agency's legal authority to adopt.
Filed with the Office of
the Secretary of State on June 28, 2002.
TRD-200204141
Bob Jackson
Deputy General Counsel
Texas Department of Transportation
Earliest possible date of adoption: August 11, 2002
For further information, please call: (512) 463-8630
necessary
structures
] related to public roads, either on or off the state highway
system.
and usually
including
] eligible utility relocation/adjustment costs
, and other
direct expenses when specified in the agreement
).
(38)
] Surface Transportation Program
(STP)--A federal-aid program where states may obligate federal funds to projects
related to certain public roads, in accordance with the criteria established
in federal law and regulations.
(39)
] Texas Trunk System--A rural
highway network as defined in §15.41 of this title (relating to Definitions).
(40)
] Transportation Enhancement
Program--A federally mandated program identified in §11.200 et seq. of
this title (relating to Statewide Transportation Enhancement Program), providing
federal funding for activities that enhance the intermodal transportation
systems and facilities within the state for the enjoyment of the users of
those systems.
(41)
] United States (U.S.) System
Route--Those routes designated on the state highway system as U.S. highways
and eligible for federal-aid funds as set forth in federal law and regulations.
(42)
] Urban Road System--A commission
designated system of routes that consist of the continuation of Farm to Market
Roads in urban areas over 50,000 in population.
(43)
] Urban Streets Program--A
state program of projects, designated by the commission, on certain urban
streets developed and constructed in accordance with state law and safety,
design, and construction standards.
(44)
] Urbanized area--As defined
in 23 United States Code §101, an area with a population of 50,000 or
more designated by the United States Bureau of Census, within boundaries to
be fixed by responsible state and local officials in cooperation with each
other, and subject to the approval of the United States Secretary of Transportation.
(45)
] Utility relocation/adjustment
costs--Costs of work related to the adjustment, relocation, and removal of
utility facilities accomplished in accordance with §21.21 of this title
(relating to State Participation in Relocation, Adjustment, and/or Removal)
and §21.31 et seq. of this title (relating to Utility Accommodation).
§15.54(f)
] of this subchapter.
Off State
] Highway System
Bridge Program. For projects funded in the
Off-State
[
Off
State
] Highway System Bridge Program, the local government is responsible
for the specified percentage, as shown in Appendix A to §15.55 of this
subchapter, of the estimated direct costs for preliminary engineering, construction
engineering, and construction, and the actual direct costs for right of way
and eligible utilities. The estimated direct costs are based on the department's
estimate of the eligible work at the time of the agreement. The local government
is responsible for the direct cost of any project cost item or portion of
a cost item that is not eligible for federal participation under the Federal
Highway Bridge Replacement and Rehabilitation Program under 23 U.S.C. §144
and 23 C.F.R. §650 Subpart D. The local government is also responsible
for any cost resulting from changes made at the request of the local government,
either during preliminary engineering or construction.
Off State
] Highway System Bridge Program, the department will determine
the final cost after the project is completed, based on its standard accounting
procedures. The department will notify the local government of any amount
due for payment of costs related to any ineligible items and for changes made
at the request of the local government. The local government shall promptly
transmit the required amount to the department. The department will return
excess funds paid by the local government if the amount received is in excess
of the local government's funding share required by §15.55(c) of this
subchapter.
Off State
] Highway System Bridge Program,
the department will determine the final cost after the project is completed,
based on its standard accounting procedures. The department will notify the
local government of any amount due for payment of costs related to any ineligible
items and for changes made at the request of the local government. The local
government shall promptly transmit the required amount to the department.
The department will return excess funds paid by the local government if it
is found that the amount received is in excess of the local government's funding
share required by §15.55(c) of this subchapter.
the award of
] preliminary
project engineering and design
for which reimbursement is requested
[
to a consultant
], bid opening, award of construction to a contractor,
and construction management by the local government or a consultant hired
by the local government of a highway improvement project, other than a project
to improve freeway mainlanes on the state highway system.
a metropolitan highway
] not maintained
by the department; and
signs, lighting,
] guardrails and other items incidental to the
roadway itself
, such as signing, pavement markings, signals, illumination,
and traffic management systems
[
on facilities for which the department
is responsible for maintenance
].
a contract is awarded
and managed by a local government
] is funded with at least 50% of the
funds not coming from federal or state highway funding; [
and
]
(V)
] the department reviews and
approves all plans, contract awards, and change orders.
Disadvantaged
Counties
]. In evaluating a proposal for a highway improvement project
in a local government that consists of all or a portion of an economically
disadvantaged county, the commission shall, for those projects in which the
commission is authorized by law to provide state cost participation, adjust
the minimum local matching funds requirement after evaluating a local government's
effort and ability to meet the requirement.
Off state
] highway system
bridge program.
off state
] system bridges utilizing 100%
local funds.
off state
] system bridge project in which the state agrees to pay for
local participation for eligible preliminary engineering, construction, and
construction engineering costs as shown in subsection (c) of this section.
This project must be authorized for development only, or for development and
construction, on the department's approved Unified Transportation Program,
satisfy minimum standards established by the department for
off-state
[
off state
] system bridges, and meet the additional requirements
of this subsection.
Subchapter I. BORDER COLONIA ACCESS PROGRAM
; and
]
20
] points, for a total possible score of 100. The commission will consider
the projects in descending rank order as far as available funding permits.
(1)
] The first 50% of
the remaining
available funds will be distributed to a county in proportion to its
border colonia population, based on the latest estimates from the Texas Water
Development Board. The commission will fund the highest ranked projects as
evaluated and scored under §15.104 of this subchapter.
(2)
] The remaining 50% of available
funds will then be distributed to individual counties on a project by project
basis. All projects submitted by the counties and not funded under
paragraphs
[
paragraph
] (1)
and (2)
of this section will
be funded in descending rank order as determined under §15.104 of this
subchapter as available funding permits.
(3)
] If a county did not submit
sufficient eligible projects to expend funds available under
paragraphs
[
paragraph
] (1)
and (2)
of this section, the
remaining funds will be distributed in accordance with paragraph
(3)
[
(2)
] of this section.
If the remaining funds are not
distributed under paragraph (3) of this section because of insufficient eligible
projects, the county may use those funds for project cost overruns.
(4)
] Funds available as a result
of a county being prohibited from continued participation in the program under §15.106(e)
of this subchapter or because of county reimbursements under §15.106(f)
of this subchapter will be distributed in accordance with paragraph
(3)
[
(2)
] of this section.
(5)
] Projects will be funded based
on the project cost estimates provided by a county under §15.103 of this
subchapter.
Except as provided in paragraph (4) of this section, project
[
Project
] costs above that estimate are the responsibility
of the county. A county may seek additional funds for a project if the department
issues subsequent program calls.
Chapter 17.
VEHICLE TITLES AND REGISTRATION
Subchapter D. SALVAGE VEHICLE DEALERS
motor
] vehicles for the purpose of dismantling the
vehicles to sell used parts and the resulting scrap metal or a person otherwise
engaged in the business of acquiring, selling, or dealing in salvage parts.
The term includes a dealer in used motor vehicle parts.
motor
] vehicle or [
new or
] late model salvage [
motor
] vehicle to the same person during a calendar year.
(5)
] Department--The Texas Department
of Transportation.
motor
] vehicle--A motor vehicle
with a model year
more recent than or
equal to the then current
calendar year or one of the five preceding calendar years.
an amount equal to
] 75% of
the actual cash value of the vehicle in its predamaged condition
. The
term also includes
[
; or
] a damaged vehicle that comes into
this state under a salvage vehicle certificate of title or other comparable
certificate of title.
Every
] vehicle
that
[
which
] is self-propelled
or that
[
and every vehicle which
] is propelled by electric power obtained from
overhead trolley wires, but
is
not operated upon rails.
motor
] vehicles to repair and sell.
(14)
] Nonrepairable vehicle--A
[
new or
] late model [
motor
] vehicle that is damaged
or missing a major component part
so
[
to the extent
]
that the total estimated cost of repairs to rebuild or reconstruct the vehicle,
including parts and labor other than the costs of materials and labor for
repainting the vehicle
, but
[
and
] excluding sales taxes
on the total cost of the repairs[
,
] and [
excluding
]
the cost of repairs to repair hail damage, is equal to or greater than an
amount equal to 95% of the actual cash value of the vehicle in its predamaged
condition
,
[
;
] or a vehicle that comes into this state
with a nonrepairable vehicle certificate of title or other comparable certificate
of title
issued by another state
.
(15)
] Nonrepairable vehicle certificate
of title--A document [
issued by the department
] that evidences
ownership of a nonrepairable vehicle.
(16)
] Older model [
motor
]
vehicle--A motor vehicle that was manufactured in a model year before the
sixth preceding model year, including the current model year.
(17)
] Other comparable certificate
of title--A document
that is not
[
other than
] a Texas
certificate of title or a salvage certificate of title, that relates to a
motor vehicle
, and
that the department considers sufficient to
support issuance of a Texas certificate of title for the vehicle.
(18)
] Out-of-state buyer--A person
who is
licensed by another state or jurisdiction in an automotive business
if the Texas Department of Transportation has listed the holders of
that
[
such
] license as permitted purchasers of salvage [
motor
] vehicles or nonrepairable [
motor
] vehicles based on
substantially similar licensing requirements and on whether salvage vehicle
dealers licensed in Texas are permitted to purchase salvage [
motor
]
vehicles or nonrepairable [
motor
] vehicles in the other state or
jurisdiction.
(20)
] Salvage part--A major component
part of a [
new or
] late model salvage vehicle that is serviceable
to the extent that it can be reused.
(22)
] Salvage vehicle--A [
new or
] late model [
motor
] vehicle with a major component
part that is damaged or missing to the extent that the total estimated cost
of repairs to rebuild or reconstruct the vehicle, including parts and labor,
but excluding the cost of repairs to repair hail damage, is equal to or greater
than [
an amount equal to
] 75% of the actual cash value of the vehicle
in its predamaged condition
,
[
;
] or a damaged vehicle
that comes into this state under a salvage vehicle certificate of title or
other comparable certificate of title
issued by another state
.
(23)
] Salvage vehicle agent--A
person employed by a licensed salvage vehicle dealer to acquire, sell, or
otherwise deal in [
new or
] late model salvage vehicles or salvage
parts in this state.
(24)
] Salvage vehicle broker--A
person who buys, sells, or exchanges salvage and nonrepairable [
motor
] vehicles with other licensed salvage
vehicle
dealers.
(25)
] Salvage vehicle certificate
of title--A document issued by the department that evidences ownership of
a salvage vehicle.
(26)
] Salvage vehicle dealer--A
person who is engaged in this state in the business of acquiring, selling,
or otherwise dealing in salvage vehicles or
salvage
[
vehicle
] parts of a type required to be covered by a salvage vehicle certificate
of title or nonrepairable vehicle certificate of title under a license issued
by the department that allows the holder of the license to acquire, sell,
dismantle, repair, or otherwise deal in salvage vehicles.
(27)
] Salvage vehicle pool operator--A
person who is engaged in the business of selling nonrepairable vehicles or
salvage vehicles at auction, including wholesale auction.
(28)
] Salvage vehicle rebuilder--A
person who acquires and repairs[
, for operation on public highways,
]
five or more late model salvage [
motor
] vehicles in any 12 month
period
for operation on public highways
.
(30)
] Used automobile dealer--A
person whose primary business is selling used motor vehicles, but who may
also buy salvage and nonrepairable [
motor
] vehicles to repair and
sell.
(31)
] Used vehicle parts dealer--A
person who is engaged in the business of obtaining salvage or nonrepairable
[
motor
] vehicles for scrap disposal, resale, repairing, rebuilding,
demolition, or other form of salvage.
less than
] five [
new or
] late model salvage [
motor
] vehicles [
of the same type
] in a calendar year when
each of those
[
such
] vehicles
is
[
are
]
owned, [
and
] registered, and titled in
that person's
[
the
] name [
of such person
];
new or
]
late model salvage [
motor
] vehicle acquired for personal or business
use if the person does not sell or offer to sell
the vehicle
to
a retail buyer and
if the purpose of
the transaction is not
to avoid
[
held for the purpose of avoiding
] the provisions
of Texas Civil Statutes, Article 6687-1a;
a
] vehicle [
in which it holds a security interest,
]
in the manner provided by law for the forced sale of
a
[
that
] vehicle;
the
] Transportation Code, §683.077, if the
special interest vehicle is at least 12 years old; and
if
] neither legal nor equitable
title passes to the auctioneer
;
and if
] the auction is not held
for the purpose of avoiding a provision of Texas Civil Statutes, Article 6687-1a,
or
[
and
] this subchapter; and
provided that if
] an auction is
conducted of vehicles owned, legally or equitably, by a person who holds a
salvage
vehicle
dealer's license, the auction
is
[
may be
] conducted at
a
[
any
] location for which
a salvage
vehicle
dealer's license has been issued to that person
or at a location approved by the department
under
[
as provided
by
] §17.63(a)(1) of this
subchapter
[
title (relating
to Place of Business)
].
shall
]
use the name under which that applicant is authorized to do business, as filed
with the secretary of state or county clerk, and the assumed name of
that
[
such
] legal entity
must
[
shall
]
be recorded on the application form using the letters "DBA."
of $95
],
and include:
address(es)
], and
each
business telephone
number
[
number(s)
] of the applicant;
vehicle
] license
under this section, the result of the previous application, and whether the
applicant has ever been the holder of a salvage vehicle dealer license that
was revoked or suspended;
applicant's
] termination of the
applicant's
sentence, parole, mandatory supervision, or probation for a felony conviction;
,
] if
the applicant is an individual; and
the classification(s)
of license(s)
] for which the form is being submitted.
The department will
require verification of the assumed name, if applicable, in the form of
]
an assumed name certificate on file with the secretary of state or county
clerk at the time the application form is submitted.
,
] who is authorized to operate as an agent for a salvage vehicle dealer
must apply on a form prescribed by the department. The application form must
be signed by the applicant, be accompanied by the application fee, and include:
applicant's
] termination of the
applicant's
sentence, parole, mandatory supervision, or probation for a felony conviction;
address(es)
], and
each
business telephone
number
[
number(s)
] of the corporation;
an
] employee, officer, or director has previously applied for a salvage
vehicle dealer license under this section, the result of the previous application,
and whether an employee, officer, or director has ever been the holder of
a salvage
vehicle
dealer [
vehicle
] license that was
revoked or suspended;
each
] officer and director has
ever
[
never
]
been convicted of a felony or that it has been at least three years since
the termination of
any officer or director's
[
the
] sentence,
parole, mandatory supervision, or probation for a felony conviction [
of each officer and director
];
the classification(s)
of license(s)
] for which the form is being submitted.
The
] corporation
must also provide verification that all corporate franchise taxes [
required
under the Texas Business Corporation Act, Article 2.45,
] have been paid
[
at the time the application form is submitted to the department
].
address(es)
], and
each
business telephone
number
[
number(s)
] of the partnership;
,
] has previously applied for a salvage vehicle dealer license under
this section, the result of the previous application, and whether an owner,
partner, or employee[
,
] has ever been the holder of a salvage vehicle
dealer license that was revoked or suspended;
each
] owner or partner has
ever
[
never
]
been convicted of a felony or it has been at least three years since the termination
of
any owner or partner's
[
the
] sentence, parole, mandatory
supervision, or probation for a felony conviction of each owner or partner;
the classification(s)
of license(s)
] for which such form is being submitted.
(e)
] Issuance
of license
,
investigation, and report by the department. The department will not grant
a salvage vehicle dealer or an agent a license until the department completes
an investigation of the applicant's qualifications and references in accordance
with Texas Civil Statutes, Article 6687-1a.
The
[
Such
]
investigation
will
[
shall
] be conducted not later than
the 15th day after the date the application is received by the department.
On
[
Upon
] completion of the investigation, the
department
will provide each applicant with a written notification of the
results
of the investigation [
shall be reported to the applicant(s) by written
notification from the department
]. If the
application
[
applicant
] is denied, the applicant may appeal the decision as specified
in §17.64 of this
subchapter
[
title (relating to Denial,
Suspension, or Revocation)
].
(f)
] License issuance. The department
will issue a license to an applicant who meets
all
the license
qualifications of subsection (d) of this section and pays the required fees
[
described in this subsection
].
The license fee for each salvage vehicle dealer or agent license
issued for a period of less than one year shall be prorated and only that
portion of the $95 license fee allocable to the number of months for which
the license is issued shall be payable by the licensee. The amount of such
license fees will be rounded off to the nearest dollar.
]
may
] not be issued
in a fictitious name that may be confused with or is similar to that of a
governmental entity or that is otherwise deceptive or misleading to the public.
title (relating to Denial, Suspension,
or Revocation) may
] not be issued a new license before the first anniversary
of the date of the revocation.
(g)
] Use of agents by salvage vehicle
dealers. The holder of a salvage vehicle dealer license may authorize not
more than five persons to operate as salvage vehicle agents under the dealer's
license. An agent may acquire, sell, or otherwise deal in [
new or
]
late model salvage or nonrepairable vehicles or salvage parts as directed
by the dealer. An agent authorized to operate for a salvage vehicle dealer
may obtain
[
is entitled to
] a salvage vehicle agent license
by applying
[
on application
] to the department and
paying
[
payment of
] the required [
$95
] fee [
as provided by subsection (e) of this section
].
(h)
] License renewal.
shall
] notify
a salvage vehicle dealer or agent at least 30 days
before
[
prior to
] expiration of
a
license. The notice will be in
writing and sent to the person's last known address according to the records
of the department.
prior to
] the expiration date, a salvage vehicle dealer or agent may
not engage in the activities that require the license until the license has
been renewed.
the
] license has been expired
for a period of one year or longer, the license holder must apply for a new
license in the same manner as an applicant for an initial license, except
as provided in paragraph (4)(C) of this subsection.
(i)
] Licensee duties.
Proper assignment
] of
ownership.
If a salvage vehicle dealer
acquires
] ownership of a [
new or
] late model salvage vehicle
[
from an owner, the dealer must receive a properly assigned certificate
of title
]. If the assigned certificate of title is not a salvage or
nonrepairable [
motor
] vehicle certificate of title or comparable
ownership document issued by another state or jurisdiction, the licensed salvage
vehicle dealer shall, not later than the 10th day after the date of receipt
of the title, surrender the assigned certificate of title to the department
and apply for a salvage or nonrepairable [
motor
] vehicle certificate
of title
, [
as appropriate
] as provided by §17.8 of this
chapter
[
title (relating to Certificates of Title for Salvage Vehicles)
].
new or
] late model salvage or nonrepairable
vehicle is to be dismantled, scrapped, or destroyed, the salvage vehicle dealer
shall surrender the assigned ownership document to the department in the manner
prescribed by the department not later than the 30th day after the date the
vehicle is acquired
. The salvage vehicle dealer shall
[
and
] report to the department
when
[
that
] the vehicle
is
[
was
] dismantled, scrapped, or destroyed.
the holder of a
] salvage vehicle
dealer [
license
] acquires ownership of an older model vehicle from
an owner and receives an assigned certificate of title and
if
the
vehicle is to be dismantled, scrapped, or destroyed, the
dealer
[
license holder
] shall surrender the assigned certificate of title
to the department on a form prescribed by the department not later than the
30th day after the date on which the title is received.
The salvage vehicle
dealer shall report to the department when the vehicle is dismantled, scrapped,
or destroyed.
[
Evidence that the vehicle was dismantled, scrapped,
or destroyed must also be presented.
]
As required by Texas Civil Statutes,
Article 6687-2, a
] salvage vehicle dealer licensed as a used vehicle
parts dealer may not receive a motor vehicle unless the dealer first obtains
a certificate of authority, sales receipt, or transfer document in accordance
with Transportation Code, Chapter 683, or a certificate of title showing that
there are no liens on the vehicle or that all recorded liens have been released.
As required by Texas Civil Statutes,
Article 6687-2, a
] salvage vehicle dealer shall assign a unique inventory
number to each transaction in which the dealer purchases or takes delivery
of one or more component parts. The unique inventory number shall
incorporate
[
contain the
]:
for that day
].
shall then be attached
] to
the vehicle.
If a component part is removed, the salvage vehicle dealer shall also attach
to that part the unique inventory number of the vehicle from which the part
was removed
[
each component part the dealer obtains in the transaction
]. The unique inventory number may not be removed from the component
part while the part remains in the inventory of the salvage vehicle dealer.
Each component
] part
[
shall be retained
] in its original condition on the
dealer's
business premises
. The component part shall be retained for
[
of the salvage vehicle dealer who originally purchased the part for
] at least three calendar days, excluding Sundays[
, after the date
on which the dealer obtains the part
].
(j)
] Record of purchases, sales,
and inventory.
holder of
a salvage vehicle dealer license
] shall maintain records of each salvage
or nonrepairable vehicle and any salvage parts purchased, sold, or being held
in inventory [
by the license holder
].
Records shall be maintained
in a bound book or electronically. If records are maintained electronically,
the salvage vehicle dealer shall print paper copies and keep those copies
in a secure file. Records
[
Such records, except as specified in
paragraph (2)(C) of this subsection,
] shall be maintained for a five-year
period.
Records
[
These records
] shall include [
the
]:
to include
] the
model
year [
model
], make,
and vehicle identification or [
component
] part number, if applicable;
salvage
] part [
purchased by the
dealer
] unless the
model
year
is more than 10 years
older than the current model year
[
model exceeds 10 or more years
];
the
] vehicle or [
salvage
]
part sold by the dealer unless the
model
year
is more than
10 years older than the current model year
[
model exceeds 10 or
more years
].
As required by Texas Civil Statutes,
Article 6687-2, a
] salvage vehicle dealer licensed as a used vehicle
parts dealer shall keep an accurate and legible inventory of each used component
part purchased by or delivered to the dealer.
Such
] parts inventory shall
include:
In lieu
] of the information
required in subparagraph (A) of this paragraph, a salvage vehicle dealer may
record the name of the business from which the [
motor
] vehicle
or [
motor vehicle
] part is purchased and the Texas certificate
of inventory number or federal taxpayer identification number of the business.
As required by Texas Civil
Statutes, Article 6687-2, a
] salvage vehicle dealer shall maintain two
copies of each record
. The copies shall be maintained
[
for
used component parts addressed by paragraph (2) of this subsection on a form
prescribed by the department
] for one year after the date
on which
the dealer sells or disposes
[
of sale or disposal of
] the
item.
(k)
] Authorized sale.
Sales,
] transfer
,
or release of [
new or
] late model salvage or nonrepairable [
motor
] vehicle. A salvage vehicle dealer or agent may not sell, transfer,
or release a [
new or
] late model salvage or nonrepairable [
motor
] vehicle to anyone other than:
(l)
] Determination of estimated
cost of repair. If it is necessary for a salvage vehicle dealer or agent to
determine the estimated cost of repair,
including
[
which includes
] parts and labor, for completion of an application for Texas salvage
or nonrepairable [
motor
] vehicle certificate of title, the estimated
cost of repair parts shall be determined
by using
[
as follows
]:
by using
] a manual of repair costs or other
instrument that is generally recognized and commonly used in the motor vehicle
insurance industry to determine those costs;
or
] an estimate of the actual cost
of the repair parts; and
(2) the estimated labor costs shall be
computed by using
] the hourly
labor
rate and time allocations
that are reasonable and commonly assessed in the repair industry in the community
in which the repairs are performed.
Chapter 18.
MOTOR CARRIERS
or
] its agents, or both
, that
[
which
] has
an approved collective ratemaking agreement on file with the department
under
[
pursuant to
] §18.64 of this
chapter
[
title (relating to Rates)
].
the
] specified household goods
and any related services.
,
] in which an insurance carrier or surety
company warrants that a motor carrier for whom the certificate is filed has
the minimum coverage as required by §18.16
and §18.86
of this
chapter
[
title (relating to Insurance Requirements)
].
,
]
and
containing a unique
number.
platform
or warehouse type
] scale properly inspected and certified.
which
] is designed or used for the transportation of
cargo in furtherance of any commercial enterprise;
as that term is defined in this
section,
] regardless of the gross weight rating of the tow truck;
Title 49, United States Code,
] App. §§1801-1813); and
C.F.R.
] §390.5, [
that is
] owned or controlled
by a person or entity that is domiciled in or a citizen of a country other
than the United States.
, as defined in this section,
]
with a gross weight, registered weight, and gross weight rating of less than
48,000 pounds;
in accordance
with
] Transportation Code, §502.277;
pursuant to
] Texas Natural Resources Code, §113.131
and §116.072;
U.S.C.
] §14504
when operating exclusively in interstate or international commerce; and
such
] a size, color,
and contrast so as to be readily noticed and understood.
(9)
] Department--Texas Department
of Transportation.
(10)
] Director--The director of
the Motor Carrier Division, Texas Department of Transportation.
(11)
] Division--The Motor Carrier
Division.
(12)
] DOI--Texas Department of
Insurance.
(13)
] Estimate--An informal
oral
[
verbal
] calculation of the approximate price of transporting
household goods.
(14)
] Farmer--A person who operates
a farm or is directly involved in
cultivating land or in raising
[
the cultivation of land,
] crops[
,
] or livestock
that
[
which
] are owned by [
that person
] or are
under the direct control of that person.
(15)
] Farm vehicle--Any vehicle
or combination of vehicles controlled
or
[
and/or
] operated
by a farmer or rancher being used to transport agriculture products, farm
machinery, and farm supplies to or from a farm or ranch.
(16)
] Gross weight rating--The
maximum loaded weight of any combination of truck, tractor, and trailer equipment[
,
] as specified by the manufacturer of the equipment. If the manufacturer's
rating is unknown, the gross weight rating is the greater of:
(17)
] Household goods--
Personal
[
The personal effects and
] property intended [
to
]
ultimately to be used in a dwelling when the transportation of
that property
[
such effects
] is arranged and paid for by the householder
or
the householder's
[
his
] representative. The term
does not include personal [
effects and
] property to be used in
a dwelling when the [
effects and
] property
is
[
are
] transported from a manufacturing, retail, or similar company to
a dwelling[
,
] if the transportation is arranged by
a
[
the
] manufacturing, retail, or similar company.
(18)
] Household goods agent--A
motor carrier who transports household goods on behalf of another motor carrier.
(19)
] Household goods carrier--A
motor carrier who transports household goods for compensation or hire in furtherance
of a commercial enterprise.
(20)
] Insurer--A person, including
a surety, authorized in this state to write lines of insurance coverage required
by
Subchapter B and Subchapter G
[
subchapter B
] of this
chapter [
(relating to Motor Carrier Registration)
].
(21)
] Inventory--A list of the
items in a household goods shipment and the condition of the items.
(22)
] Leasing business--A person
that leases vehicles requiring registration under
Subchapter B of this
chapter
[
this subchapter
] to a motor carrier
that must
[
required to
] be registered.
(23)
] Manager--The manager of
the department's Motor Carrier Division, Compliance and Enforcement Section.
(24)
] Mediation--A
non-adversarial
form of alternative dispute resolution[
, that is a non-adversarial
approach to disputes
] in which an impartial person, the mediator, facilitates
communication between two parties to promote reconciliation, settlement, or
understanding [
among the participants
].
(25)
] Motor Carrier or carrier--
A person
[
An individual, association, corporation, or other legal
entity
] that controls, operates, or directs the operation of one or
more vehicles
that
[
which
] transport persons or cargo
over a
public
[
road or
] highway in this state.
(26)
] Motor transportation broker--A
person who sells, offers for sale, or negotiates for the transportation of
cargo by a motor carrier operated by another person[
;
] or a person
who aids and abets
another
[
a
] person in
selling,
offering for sale, or negotiating for the transportation of cargo by a motor
carrier operated by another person
[
performing an activity described
in this definition
].
(27)
] Moving services contract--A
contract between a household goods carrier and shipper, such as a bill of
lading, receipt, order for service, or work order, that sets out the terms
of the services to be provided.
(28)
] Multiple user--An individual
or business who has a contract with a household goods carrier and who
used
[
uses
] the carrier's services more than 50 times within
the preceding 12 months.
(29)
] Not-to-exceed proposal--A
formal written offer stating the maximum price
a
[
the
]
shipper
can
[
could
] be required to pay for the transportation
of [
the
] specified household goods and any related services. The
offer may also state the non-binding approximate price. Any offer based on
hourly rates must state the maximum number of hours required for the transportation
and related services unless there is an acknowledgment from the shipper that
the number of hours is not necessary.
(30)
] Principal place of business--A
single location that serves as
a
[
the
] motor carrier's
headquarters and where it maintains
its operational records
or
can make
them
available [
its operational records
].
(31)
] Public highway--Any publicly
owned and maintained street, road, or highway in this state.
(32)
] Reasonable dispatch--The
performance of transportation,
other than
[
excluding
]
transportation provided under guaranteed service dates, during the period
of time agreed
on
[
upon
] by the carrier and the shipper
and shown on the shipment documentation[
; provided, however, that the
defenses of force majeure as construed by the courts shall not be denied the
carrier
].
This definition does not affect the availability to the
carrier of the defense of force majeure.
(33)
] Registration receipt--A
receipt issued to the registrant by its registration state after the requirements
of 49
CFR, Part 367
[
, Code of Federal Regulation (C.F.R.),
Part 1023
] have been met.
(34)
] Registration state--A state
where the registrant maintains a valid single state registration as defined
in 49
CFR, Part 367
[
C.F.R. Part 1023
].
(35)
] Revocation--The withdrawal
of registration and privileges by the department or a registration state.
(36)
] Shipper--The owner of household
goods or the owner's representative.
(37)
] Short-term lease--A lease
of 30 days or less.
(38)
] Single state registration
system--The program established by 49
USC
[
U.S.C.
] §14504.
(39)
] SOAH--The State Office of
Administrative Hearings.
(40)
]
State
[
State(s)
] of travel--
A
[
The
] state [
or states
] in which a motor carrier [
or carrier
] operates motor vehicles
subject to the single state registration system.
(41)
] Substitute vehicle--A vehicle
that is leased from a leasing business and that is
used as a temporary
replacement for a vehicle [
leased from a leasing business
] that
has been taken out of service
for
[
due to
] maintenance,
repair, or
any other reason causing the temporary
[
other
]
unavailability of the
permanent
vehicle.
(42)
] Suspension--Temporary removal
of privileges granted to
a
[
the
] registrant by the department
or
a
registration state.
(43)
] Tow truck--A motor vehicle
equipped with[
,
] or used in combination with[
,
] a mechanical
device used to tow, winch, or otherwise move another vehicle.
The
[
For the purposes of this chapter, the
] following motor vehicles
are not considered tow trucks:
that
]
is not operated in the furtherance of a commercial enterprise; or
,
]
that is
controlled
or
[
and/or
] operated by a farmer or rancher[
,
]
and that is used for
towing a farm vehicle.
(44)
] Type A household goods carrier--A
household goods carrier
that uses
[
who utilizes
] at
least one vehicle or [
a
] combination of vehicles with a gross weight,
registered weight, or gross weight rating in excess of 26,000 pounds.
(45)
] Type B household goods carrier
- A household goods carrier
that
[
who
] does not use
a vehicle or combination of vehicles with a gross weight, registered weight,
or gross weight rating in excess of 26,000 pounds.
Subchapter B. MOTOR CARRIER REGISTRATION
(f)
] of this section,
an application
[
all applications
] for motor carrier registration
must
[
shall
] be in the form prescribed by the director and
must
[
shall
] contain, at a minimum, the following information.
shall
] designate the business or trade name of the motor carrier.
shall
] indicate the name and social
security number of the owner. A partnership
must
[
shall
]
indicate the partners' names, and a corporation
must
[
shall
] indicate principal officers and titles.
shall
] designate on the application the motor carrier's
principal business address. If the mailing address is different
from
[
than
] the principal business address, the mailing address
must
[
shall
] also be designated on the application.
The Texas domiciled
] motor carrier
must
[
shall
] provide the name
and address of a legal agent for service of process
if the agent is
[
, if
] different
from
[
than
] the motor carrier.
of
] Texas
must
[
shall
] provide the name and Texas address of the legal
agent for service of process.
All applications shall
] include a motor carrier equipment report
identifying each commercial motor vehicle
that requires
[
requiring
] registration
and
that the carrier proposes to
operate. Each commercial motor vehicle
must
[
shall
]
be identified by its motor vehicle identification number, make, model year,
and
type of cargo[
,
] and
by
the unit number assigned
to the commercial motor vehicle by the motor carrier. Any subsequent registration
of vehicles
must
[
shall
] be made
under
[
in accordance with
] subsection
(e)
[
(d)
] of this
section.
(6)
Description of cargo. An applicant
shall also:]
(A)
state as to whether or not the carrier proposes
to transport passengers, household goods, or hazardous materials;]
(B)
state whether or not the applicant is a tow
truck operator; and]
(C)
specify the amount of insurance coverage.]
(7)
] Safety
affidavit
[
Affidavit
]. Each motor carrier
must
[
shall
]
complete, as part of the application, an affidavit stating that the motor
carrier
knows
[
has knowledge of,
] and will conduct operations
in accordance with[
,
] all federal and state safety regulations.
(8)
] Duration of registration. An
applicant
must
[
shall
] indicate the duration of the
desired registration. Registration may be for seven calendar days[
,
]
or for [
a period of
] 90 days, one year, or two years. The duration
of registration chosen by the applicant
will be
[
is
]
applied to all vehicles [
on the registration for the entire registration
period
]. Household goods carriers may not obtain seven day or 90 day
certificates of registration.
(9)
]
Additional requirements.
[
Accompaniments to application.
] The following fees and
information
must
[
shall
] be
submitted
[
included
] with all applications.
shall
] be accompanied
by an application fee of:
7
] day registrations.
shall
] be accompanied
by a vehicle registration fee of:
shall
] be accompanied
by proof of insurance or financial responsibility and insurance filing fee
as required by §18.16 of this
subchapter
[
title (relating
to Insurance Requirements)
].
shall
] be accompanied
by any other information [
as
] required by law.
(10)
Payment of fees. Fees paid
under paragraph (9) of this subsection are non-refundable and will not be
prorated. Credit will be given to seven day, 90 day, and annual registration
applicants for fees paid under §18.17 of this title (relating to Single
State Registration System), if the carrier provides a copy of the single state
registration receipt.]
(11)
] Place of application.
An application
[
All applications
] for motor carrier registration
must
[
shall
] be filed with the department's Motor Carrier
Division.
Any application for registration
that
] is
not
[
incomplete, but that is
] accompanied
by all fees and
by
proof of insurance or financial responsibility
[
, may be conditionally accepted by the director
].
shall
] in no way
constitutes
[
constitute
]
approval of the application. The director will notify the applicant of
any
[
the additional
] information necessary to complete the
application. If the applicant does not supply all necessary information within
45 days from notification by the director, the application will be considered
withdrawn and all fees will be retained.
(c)
] Disposition of application.
shall
]
be issued the following
documents
[
information
].
A
] certificate of registration
will contain the name and address of the motor carrier and a single registration
number, regardless of the number of vehicles
requiring registration that
the carrier operates [
which require registration
].
(B)
Registration listing. An original registration
listing will be issued by the department and shall be continuously maintained
at the registrant's principal place of business. Such listing shall be valid
for the same duration of time as the motor carrier's certificate of registration
and will contain information regarding each vehicle registered by the motor
carrier. This subparagraph does not apply to Type B household goods carriers.
]
(i)
A copy of the page of the registration
listing on which the power unit is shown shall be maintained in each power
unit registered, with the appropriate information concerning that vehicle
to be highlighted. The registration listing shall serve as proof of insurance
as long as such insurance is in effect and such vehicle is registered with
the department.
]
(ii)
The highlighted page of the registration
listing maintained in the power unit shall, upon demand be presented by the
driver to a department certified inspector or any other authorized government
personnel for inspection in accordance with §18.31 of this title (relating
to Investigations and Inspections of Motor Carrier Records)
].
Before the expiration of its registration
listing, the
] carrier shall notify the department in writing
if
[
when
] it discontinues use of a registered commercial motor
vehicle
before the expiration of its insurance cab card
.
a registration listing shall render
] it void.
registration
listing
] is lost, stolen, destroyed,
or
mutilated,
if it
becomes illegible, or
if it
otherwise requires replacement,
a new
insurance cab card
[
registration listing
] will
be issued by the department
at the
[
upon written
] request
of
[
by
] the motor carrier.
title (relating to Suspension and Revocation)
].
(d)
Supplement to original application.
A motor carrier required to register under this section shall submit a supplemental
application under the conditions described in this subsection.]
(1)
Additional vehicles.]
(A)
A motor carrier may not operate an additional
vehicle requiring registration unless the carrier pays a $10 registration
fee for each additional vehicle the motor carrier proposes to operate under
a seven day, 90 day, or annual registration, or a $20 registration fee for
each additional vehicle the motor carrier proposes to operate under a biennial
registration, except as provided in subparagraphs (B) and (C) of this paragraph,
and must have evidence of continuing insurance or financial responsibility
in the amounts set forth in §18.16 of this title.]
(B)
A motor carrier registered under a 90 day,
annual, or biennial registration is not required to pay the $10 registration
fee for a substitute vehicle that is a replacement for a vehicle for which
the fee was previously paid, provided that the motor carrier notifies the
department of the vehicle being taken out of service and identifies the replacement
vehicle on a form prescribed by the department, before the replacement vehicle
is put into operation.]
(C)
Credit will be given to a seven day, 90 day,
or annual registration certificate holder for fees paid for vehicles in accordance
with §18.17 of this title, if the carrier provides the department with
a copy of the single state registration receipt.]
(2)
] Change of cargo. A registered
motor carrier may not begin transporting household goods or hazardous materials
unless the carrier
submits
[
presents
] a supplemental
application
to the department and
[
which
] shows the
department evidence of insurance or financial responsibility in the amounts
specified by §18.16 of this
subchapter
[
title
].
(3)
] Change of name. A motor carrier
that changes its name [
(other than by transferring ownership)
]
shall file a supplemental application for registration [
in compliance
with this section
] no later than the effective date of the change. The
motor carrier shall include evidence of insurance or financial responsibility
in the new name[
,
] and in the amounts specified by §18.16
of this
subchapter
[
title
]. A motor carrier that is
a corporation
must have its name change approved by the Texas Secretary
of State before filing a supplemental application
[
shall include
a copy of the amendment to its articles of incorporation approved by the Texas
Secretary of State along with its supplemental application for registration
]. A motor carrier incorporated outside the State of Texas
must
complete the name change under the law of its state of incorporation before
filing a supplemental application
[
shall include a copy of its
amendment to its articles of incorporation approved by the corresponding chartering
authority
].
(4)
] Change of address or legal
agent for service of process. A motor carrier shall
file a supplemental
application for
[
notify the director, in writing, of
] any
change of address or
any change of its
legal agent for service
of process no later than the effective date of the change. The address most
recently filed
will
[
shall
] be presumed conclusively
to be the current address.
(5)
Change of ownership.]
(A)
A change of ownership of a sole proprietorship
or partnership, and the merger, sale, or transfer of a corporation will require
the new owner to file a new application for registration in accordance with
the provisions of this section.]
(B)
]
Change in principal officers
and titles.
A motor carrier that is a corporation shall
file a
supplemental application for
[
notify the director, in writing,
of
] any change in the principal officers and titles no later than the
effective date of the change.
(e)
] Alternative vehicle registration
for household goods agents. To avoid multiple registrations of a commercial
motor vehicle, a household goods agent's vehicles may be registered under
the motor carrier's certificate of registration
under
[
in
accordance with
] this subsection.
registering
a vehicle
] under this subsection,
the
[
a
] carrier's
certificate
will include
[
includes
] all vehicles registered
under its agent's certificates of registration. The carrier must register
under its certificate of registration all vehicles operated on its behalf
that do not appear on its agent's certificate of registration.
to a
]
carrier [
registered under this subsection
] a copy of any notification
sent to the agent concerning
circumstances that
[
a change
in the agent's motor carrier certificate of registration which
] could
lead to denial, suspension, or revocation of the agent's certificate.
(f)
] Type B household goods carriers.
An application for motor carrier registration submitted by a Type B household
goods carrier[
, as defined in §18.2 of this title (relating to Definitions),
] shall be in the form prescribed by the director.
shall
]
contain all the information described in subsection (a) of this section, except
for the information
specified in
[
prescribed by
] subsection
(a)(5) and (7) of this section.
as required by
] §18.16
of this
subchapter
[
title
].
shall
]
include a statement certifying that
the carrier
:
the carrier
] is in compliance with Transportation
Code, Chapter 601; and
An
]
original certificate of registration
, which
[
will be issued
by the department and
] must be continuously maintained at the registrant's
principal place of business.
must
] carry a copy
of its certificate of registration
either
in [
either
]
the cab of each
vehicle
[
power unit
] or
in
each trailer used for the transportation of household goods.
must
] notify the
department in writing when it discontinues operations as a transporter of
household goods.
(8)
The certificate of registration
maintained in the vehicle shall, upon demand, be presented by the driver to
a department certified inspector or any other authorized government personnel
for inspection in accordance with §18.31 of this title.]
(9)
The certificate of registration
is continuously in effect until canceled by the department through suspension
or revocation. If the carrier wishes to cancel its certificate of registration,
it must submit a written request for cancellation to the department.]
shall render
] it void.
(11)
The carrier may make a written
request for a replacement certificate of registration.]
(g)
] Substitute vehicles leased
from leasing businesses. A registered motor carrier is not required to comply
with the provisions of subsection
(e)
[
(d)
] of this section
for a
substitute vehicle leased from a business registered under §18.19
of this subchapter
[
vehicle leased from a leasing business registered
under §18.19 of this title (relating to Short Term Lease) and used as
a temporary replacement for the originally leased vehicle due to maintenance,
repair, or other unavailability
]. A motor carrier is not required to
carry proof of registration as described in subsection
(d)
[
(c)
] of this section if a copy of the lease agreement for the originally
leased vehicle is carried in the cab of the temporary replacement vehicle.
Motor carriers
]
with annual or biennial registration, other than
a
Type B household
goods
carrier
[
carriers
], will be assigned a date for
the expiration and renewal of its motor carrier registration according to
the last digit of the carrier's certificate of registration number, as outlined
in the following chart:
shall
] remain in effect until [
canceled,
]
suspended [
,
] or revoked.
Ninety
] day certificates of registration
are valid for 90 calendar days from the effective date.
The
] department will mail
a
renewal
notice
[
notices
] to
each
[
the last known
address, according to the department's records, of all
] registered motor
carrier
[
carriers
] with annual or biennial registration,
other than
a
Type B household goods
carrier
[
carriers,
approximately 45 days prior to registration expiration
].
The notice
will be mailed to the carrier's last known address according to the division's
records.
Failure to receive the notice does not relieve the registrant
of the responsibility to renew. A motor carrier
must
[
shall
] ensure that the department receives the renewal at least 15 days prior
to the renewal date specified in subsection (a) of this section.
A supplement
[
All supplements
] to an application for motor carrier registration
renewal
must
[
shall
]:
(d)
] of this
subchapter if the information
[
title (relating to Application for Motor Carrier Registration) which
] has not previously been supplied to the department; [
and
]
,
] and a $20 fee for each vehicle requiring registration that the carrier
operates under a biennial certificate of registration
; and
The
] motor carrier shall maintain
continuous insurance or
evidence of
financial responsibility in
an amount at least equal to the amount prescribed under §18.16 of this
subchapter
[
title (relating to Insurance Requirements)
].
registration listing
] issued to a motor carrier
is
[
shall be
] valid
for the same
period
[
duration of time
] as the motor
carrier's certificate of registration.
shall
] carry and maintain automobile liability insurance
that is combined single limit liability for bodily injury to or death of an
individual per occurrence, [
and
] loss or damage to property (excluding
cargo) per occurrence, or both.
Extraneous information will not be considered
acceptable, and the department may reject proof of commercial automobile liability
insurance if it is provided in a format that includes information beyond what
is required.
Minimum insurance levels are indicated in the following
table.
(b)
Cargo insurance.]
(1)
A Type A household goods carrier shall carry
cargo insurance in the same amount required by 49 U.S.C. §10102. The
minimum limits of financial responsibility for household goods carriers for
hire are as follows:]
(A)
loss of or damage to total cargo carried on
any one motor vehicle - $5,000; and]
(B)
aggregate loss of or damage to multiple shipper
cargo carried on any one motor vehicle - $10,000 (in cases where multiple
shippers sustain damage and the aggregate amount of cargo damage is greater
than the cargo insurance in force, the insurance company shall prorate the
benefits among the shippers in relationship to the damage incurred by each
shipper).]
(2)
A Type B household goods carrier shall file
and maintain with the department proof of financial responsibility for cargo
in at least the amount of $5,000 for:]
(A)
loss of or damage to total cargo carried on
any one motor vehicle; and]
(B)
aggregate loss of or damage to multiple shipper
cargo carried on any one motor vehicle (in cases where multiple shippers sustain
damage and the aggregate amount of cargo damage is greater than the cargo
insurance in force, the insurance company shall prorate the benefits among
the shippers in relationship to the damage incurred by each shipper).]
Motor carriers
]
required to register under this subchapter
, if its
[
whose
] primary business is transportation for compensation or hire, and
if it operates
[
who operate
] between two or more incorporated
cities, towns, or villages,
the carrier
shall provide workers'
compensation for all its employees[
,
] or accidental insurance coverage
in the amounts prescribed in paragraph (2) of this subsection.
This
[
Provisions of this
] subsection
does
[
do
]
not apply to Type B household goods carriers.
self-insurer
].
the
] form prescribed by the department, to qualify
as a
self-insured
[
self-insurer
]. The application
must
[
shall
] include a true and accurate statement of the
motor carrier's financial condition and other evidence that establishes its
ability to satisfy obligations for bodily injury and property damage liability[
,
] without affecting the stability or permanency of its business.
The
[
In lieu of other proof, the
] department may accept United
States Department of Transportation [
or Interstate Commerce Commission
] evidence of the motor carrier's qualifications as a
self-insured
[
self-insurer
].
(2)
Adopted final orders. The
department will adopt all Railroad Commission of Texas final orders concerning
self-insurance active on August 31, 1995, and will continue such final orders
as authorized by the Railroad Commission of Texas until further amended or
changed by order of the department.]
self-insurer
] status
must
[
shall
] submit
materials that will allow the department to determine the following information.
shall
] be adequate in
relation
[
relationship
] to the size of its operations and the extent of its request for self-insurance
authority. The applicant
must
[
shall
] demonstrate that
it can and will maintain
an adequate
[
such a
] net worth.
shall
] demonstrate that it has established[
,
] and will maintain[
,
] a sound insurance program that will protect the public against all
claims involving motor vehicles to the same extent as the minimum security
limits applicable under this section. In determining whether an applicant
is maintaining a sound insurance program, the department will consider:
shall
] submit evidence of substantial compliance with the Federal Motor Carrier
Safety Regulations as adopted by the Texas Department of Public Safety[
,
] and with Transportation Code, Chapter 644.
consider applications
] for approval
of
a security or agreement
[
securities or agreements and may
approve any applications
] if satisfied that the security or agreement
offered will
adequately protect
[
afford adequate protection
of
] the public.
during the period of the motor carrier's self-insurer status
].
self-insurer
] status. The department may approve an applicant as a
self-insured
[
self-insurer
] for any specific time [
period,
]
or for an indefinite
time
[
period until revoked under the
provisions of paragraph (7) of this subsection
].
self-insurer
] status.
On receiving
[
Upon
] evidence that a
self-insured motor carrier's financial condition has changed,
that its
safety program or record is inadequate, or
that it
is otherwise
not in compliance with this subchapter, the department may at any time
require the self-insured to provide additional information. On 10 days notice
from the department, the self-insured shall
[
, with 10 days notice
to the self-insurer, require the self-insurer to
] appear and demonstrate
that it continues to have adequate financial resources to pay all claims involving
motor vehicles for bodily injury and property damage liability
. The self-insured
shall also demonstrate
[
; and
] that it remains in compliance
with the requirements of this section and
of
any active self-insurance
orders issued or adopted by the department. If an applicant fails to
comply with this paragraph
[
so demonstrate
], its
self-insured
[
self-insurer
] status may be revoked.
or revocation of such status
]
by filing a petition for an administrative hearing in accordance with §§1.21
et seq. of this title (relating to
Procedures in Contested Cases
[
Contested Case Procedure
]).
on a Form
E or Form E-2 or their successors as prescribed by the department and the
Texas Department of Insurance (DOI) in coordination with the Texas Department
of Public Safety
].
Type A
] household goods carrier shall file
and maintain proof of cargo insurance for its cargo at all times. This proof
shall be
on a form acceptable to the director.
[
on a Form
H or its successor as prescribed by the department and the DOI.
]
(C)
A Type B household goods carrier
shall file and maintain proof of financial responsibility for its cargo at
all times. Proof of financial responsibility may be made by filing proof of
cargo insurance on a Form H or its successor as prescribed by the department
and the DOI. Alternatively, the proof of financial responsibility may be a
surety bond, filed on a Form J or its successor as prescribed by the department
and the DOI, or a letter of credit as described in paragraph (5) of this subsection.]
,
] shall file and maintain proof of insurance or financial
responsibility on
a form acceptable to the director
[
the appropriate
form
]:
initial
]
application for motor carrier certificate of registration;
(B)
at the time of initial registration
of a vehicle;]
(C)
when the insurance carrier
changes;]
(D)
when the ownership of the
certificate changes;]
(d)(3)
] of this
subchapter;
[
title
(relating to Application for Motor Carrier Registration); and
]
No
] surety bond, insurance policy, or
certificate of insurance [
will be accepted by the department
] unless
it is
issued by an insurance or surety company licensed and authorized
to do business in the State of Texas
. It must be
[
,
]
in
a
[
the
] form prescribed or approved by the DOI[
,
] and signed or countersigned by an authorized agent of the insurance
or surety company. The department will accept a certificate of insurance issued
by a surplus lines insurer that meets the requirements of Insurance Code,
Article 1.14-2, and rules adopted by the DOI under that article.
carriers' cargo
].
An
]
irrevocable letter of credit [
will be accepted by the department
]
if
it is
issued by a bank or financial institution whose deposits
are guaranteed by the Federal Deposit Insurance Corporation. A letter of credit
filed by a carrier must be signed or countersigned by an officer of the bank
or financial institution and must comply with the following provisions at
a minimum.
,
] or by having obtained a final judgment
rendered by a court of competent jurisdiction establishing the motor carrier's
liability and the amount
of that liability
[
thereof
].
,
] arising during the time the carrier
had
[
has
] authority from the department to use the letter
of credit to satisfy cargo insurance requirements of this section[
, have
been settled
]. Claims must be filed with the household goods carrier
within 90 days after delivery of the property or, in case of failure to make
delivery, within 90 days after reasonable time for delivery has elapsed.
A lawsuit
[
Suits
] must be instituted within two years and
one day from the day when
written
notice is given[
, in writing,
] by the household goods carrier to the claimant that part or all of
the claim has been disallowed.
When
[
Where
] a claim
is not filed or a suit is not instituted
as specified in this clause
[
in accordance with the foregoing provisions
], a household
goods carrier shall not be held liable [
and the claim will not be paid
].
amendments
] or successor
letter
[
letters
] of credit no later than 30 days
before the amendment
or successor letter goes into effect
[
prior to the change
].
Any
change
[
changes
] in the terms of the letter of credit
must be given prior approval by the department. Draw downs may be made only
to satisfy claims for cargo loss or damage, and any draw down from the letter
of credit [
not replenished within seven days
] must be reported
immediately to the department
if it is not replenished within seven days
.
Upon
] evidence that
the letter of credit is no longer adequately funded,
that
the financial
condition of a carrier with a letter of credit filing has changed, or
that
the carrier is otherwise not in compliance with this subchapter,
the department may at any time[
, with 10 days notice to the carrier,
] require the carrier to
provide additional information. On 10
days notice from the department, the carrier shall
appear and demonstrate
that it continues to have adequate letter of credit funding to pay all claims
involving cargo loss or damage liability[
,
] and that it remains
in compliance with the requirements of this section. The department may revoke
the letter of credit
filing
if a carrier fails to demonstrate adequate
letter of credit funding to pay all claims involving cargo loss or damage
or fails to comply with any requirement of this section.
Contested Case Procedure
]).
Termination
] of insurance
coverage. Except when replaced by another acceptable form of insurance coverage
or proof of financial responsibility approved by the department, no insurance
coverage, surety bond, or letter of credit shall be canceled or withdrawn
until [
after
] 30 days
after
notice has been given to
the department by the insurance or surety company or
by the
bank
or financial institution[
,
] in
a
[
the
] form
[
prescribed by the department and the DOI, or
] approved by the
department.
Nonetheless
[
However
], proof of insurance
coverage for a seven day or 90 day certificate of registration may be canceled
by the insurance company without 30 days notice
if
[
provided
] the certificate of registration is expired,
suspended
[
canceled
], or revoked, and the insurance company provides a
cancellation
[
termination
] date on the proof of insurance coverage.
The department will revoke a certificate of registration under §18.72
of this chapter for failure to maintain proof of current insurance.
(1)
] Insolvency of insurance carrier.
If the insurer or surety of a motor carrier becomes insolvent or becomes involved
in a receivership or other insolvency proceeding, the motor carrier may apply
for approval of a surety bond, insurance policy
,
or letter of credit
issued by another surety, insurer, bank, or other financial institution
by
[
upon
] filing an affidavit with the department.
The
[
Such
] affidavit
must
[
shall
] be
executed by an owner, partner, or officer of the motor carrier[
,
]
and show that:
(A)
] no accidents
have occurred
and
[
or
]
no
claims have [
occurred or
]
arisen during the insolvency of the insurance carrier, surety, bank, or other
financial institution; or
(B) that
] all [
damages and
] claims have been satisfied.
(2)
] Notifications. The department
will
[
shall
] notify the Texas Department of Public Safety
of each notice received by the department under this subsection.
(49 U.S.C. §14504)
] and Transportation
Code, Chapter 645. A for-hire interstate carrier that is not registered under
the single state registration system and is exempt from economic regulation
by the Federal
Motor Carrier Safety
[
Highway
] Administration
under the Interstate Commerce Act shall register pursuant to Transportation
Code, Chapter 643, and [
the provisions of
] §18.13 of this
subchapter
[
title (relating to Application for Motor Carrier Registration)
].
shall
]
file with the department an application to register for all states of travel
as required by 49
USC
[
U.S.C.
] §14504 before beginning
operations in Texas if the carrier has its principal place of business:
of
] a participating state and selects
Texas as its registration state under 49
CFR
[
C.F.R.
] §367.3.
Highway
] Administration
to transport passengers or property
and
that must register in a
state other than Texas must fully comply with 49
USC
[
U.S.C.
] §14504 before operating in Texas.
in a jurisdiction that is not
] a participating state,
the applicant shall apply for registration in the state in which the applicant
will operate the largest number of motor vehicles during the next registration
year.
The applicant may choose a registration state from participating
states in which it will operate an equal number of vehicles if it will not
operate a larger number in any other participating state.
[
If the
interstate carrier will operate the same largest number of vehicles in more
than one state, the applicant or registrant shall choose which participating
state will be its registration state.
]
shall
] be made with the
department's Motor Carrier Division on a form approved by the director. All
information provided to the department must agree with information in the
most recent Federal
Motor Carrier Safety
[
Highway
] Administration
certificate or permit issued to the applicant.
Accompaniments to application. All applications shall
] be accompanied
by:
such
] requirement as described
in paragraph (3) of this subsection;
Highway
] Administration form BOC-3, prescribed by 49
CFR,
[
C.F.R.
] Part 366[
, designating an applicant's legal agent(s)
for service of process for each state of travel, or a completed Federal Highway
Administration form BOC-3]
;
department Forms RS-1 and
RS-1A with applicable information completed for
] all vehicles, whether
owned or leased, that the applicant or registrant operates under Federal
Motor Carrier Safety
[
Highway
] Administration authority;
as to
] whether the applicant will
be transporting hazardous commodities in interstate or foreign commerce;
,
] payable
under
[
as described in
] subsection (i) of this section; and
, filed in accordance with
] subsection (j)
of this section[
; if such proof is not filed with the application the
form will remain incomplete until proof of insurance is filed with the department
].
will be
] the business address the interstate carrier indicated
on the order issued by the Federal
Motor Carrier Safety
[
Highway
] Administration or[
, pursuant to a change of address,
]
the business address reported by the registrant to the Federal
Motor
Carrier Safety
[
Highway
] Administration
as a change
of address
.
business address of the registrant must be a physical address;
a post office box is not acceptable. A mailing address may be given for mailing
purposes only.
] An applicant domiciled in a rural area that does not
have a street address may submit a rural route with a box number.
,
]
under
[
as provided by
] subsection (e)(3) of this section[
, if the applicant changes its principal place of business or its registration
state ceases or commences participation in the program
].
Highway
] Administration authority. If the Federal
Motor Carrier Safety
[
Highway
] Administration authority is
longer than 20 pages, the department will waive the filing of the complete
authority
. In that case
[
and
] the applicant
must
[
shall
]:
Highway
] Administration order that
includes
[
shows
] the service date and order section; and
Highway
] Administration authority.
,
] or
that
[
which
] does not include the payment of fees, the document
will
[
shall
] be deemed [
to be
] incomplete and will
not be processed by the department until all items have been corrected.
meeting
] the requirements
of this section[
,
] and whose registration is approved.
The
[
Such
] registration receipt
qualifies
[
shall qualify
] the registrant to operate under its Federal
Motor
Carrier Safety
[
Highway
] Administration certificate or permit
in all jurisdictions indicated.
shall become
] effective
on
the date specified
on the receipt and
expires
[
shall expire
] on the 31st
day of December of the registration year for which it was issued. A registrant
must retain its original registration receipt at its principal place of business
for [
a period of
] three years.
and, upon
] demand,
the driver of a motor vehicle
shall
[
must
] present a
copy of a registration receipt for inspection by any department certified
inspector in accordance with §18.31 of this
chapter
[
title (relating to Investigations and Inspections of Motor Carrier Records)
] or any other authorized government personnel for inspection.
Altering the registration receipt shall subject the interstate
carrier's registration to revocation.
] Any law enforcement officer is
authorized to confiscate the altered copy on sight. The confiscated registration
receipt
shall
[
will
] be returned to the department after
any court action is completed by the state in which it was confiscated.
Registration receipts
] may be transferred
from
a vehicle
[
vehicles
] taken out of service to the
registrant's replacement
vehicle
[
vehicles
].
, without charge,
] a replacement registration receipt
, which will
be provided without charge
.
Highway
]
Administration amendments and revisions. A registrant shall file a supplemental
application with the department if the registrant is issued new Federal
Motor Carrier Safety
[
Highway
] Administration operating authority,
order, or re-entitlement[
,
] or if any
amendments or revisions
[
amendments/revisions
] are made by the Federal
Motor
Carrier Safety
[
Highway
] Administration to the registrant's
authority and operations. A copy of
those
[
such
] documents
shall
[
must
] be provided to the department as soon as they
are issued.
(
]other than by transferring ownership[
)
], the
registrant shall submit a request for a name change on a form prescribed by
the director. The registrant shall submit to the department a copy of the
re-entitlement issued by the Federal
Motor Carrier Safety
[
Highway
] Administration. A registrant shall also furnish proof of insurance
in the new name.
for a registrant
] may be changed only
if
[
when
] the registrant changes its principal place of business
or
if
[
when
] its existing registration state ceases
to participate in the single state registration system.
(
]copy of
a
letter
from the interstate carrier to the Federal
Motor Carrier Safety
[
Highway
] Administration
and shall also submit
[
)along with
] a new proof of insurance filing in its registration state.
shall
] not be
given a
[
allowed any
] credit or refund
for
[
of prior
]
fees paid for that registration period. The current registration state will
use the new principal place of business when determining fees for additional
states of travel or equipment.
Highway
] Administration authority is transferred
to a new owner, the current registrant
shall
[
must
]
notify the department in writing to cancel its registration, and the new owner
shall register with the department in accordance with this section.
will be required
] if there is:
(a registrant may not operate
more motor vehicles in any participating state than the number for which fees
have been paid)
];
(if a registrant fails to maintain the current name of its process agent,
the interstate carrier's registration shall be subject to suspension under §18.72
of this title (relating to Suspension and Revocation)
] .
the
] interstate carrier
may
[
shall
] notify the department in writing [
to amend its application
form,
] or [
the interstate carrier shall
] correct the application
returned by the department.
Upon
] the written request of
a
[
the
] registrant, the
department will cancel the interstate carrier's registration.
,
] and ending December
31[
,
] or
for
any portion
of that period
[
thereof
].
If registration is for a fraction of a year, the registration
fee
[
Such registrations
] will not be pro-rated.
In order to
] renew an
interstate carrier's registration, a registrant
must
[
shall
] follow the procedure outlined in subsection (b) of this section before
December 1st of the existing registration period. The department
will
[
shall
] mail
a
renewal
notice
[
notices
] to
each registrant
[
all registrants
]
between August 1 and November 30 of the existing registration period. Failure
to receive the notice does not relieve the registrant of the responsibility
to renew.
will not be required to
] refile a full copy of its Federal
Motor Carrier Safety
[
Highway
] Administration authority.
shall
] attach
to its renewal application copies of additional authority grants, re-entitlements,
transfer orders, or grants of self-insurance issued by the Federal
Motor
Carrier Safety
[
Highway
] Administration
to the extent
that those documents have
not
been
previously filed with
the department.
outlined
] in department
Form
[
form
] RS-2 [
, and payable in accordance with subsection
(i) of this section
].
(1)
Applicable fees due may be
determined by consulting department form RS-2.]
(2)
] Fees
must
[
shall
] be paid
as specified
in [
accordance with
] §18.15
of this
subchapter
[
title (relating to Payment of Fees)
].
(3)
] If an applicant [
or registrant
] has evidence
that any
[
of
] fees[
,
]collected
or charged
on or before
[
as of
] November 15, 1991,
were
[
which are
] different from the fees specified in the
department's Form RS-1A, the applicant [
or registrant
] shall submit
the
[
such
] evidence to the department with the application.
After considering
the submission,
[
any such evidence,
]
the department will notify the applicant or registrant if the proper fee has
not been paid. Each participating state, in computing the appropriate portion
of the revenue due the department for its registrants, may
use
[
utilize
] the department's Form RS-2 to determine the registrant's
per-vehicle fee.
shall cause to be
] filed [
and maintained
] with the department
. Proof
[
proof
]
of insurance
must be
in accordance with the levels and forms specified
by 49
CFR,
[
C.F.R.
] Part 387, Subpart C. In all applications,
the interstate carrier shall indicate whether proof of insurance will be filed
or has been filed with the department and whether the interstate carrier's
public liability protection remains effective. A [
true
] copy of
the
applicant's
[
applicant or registrant's
] public liability
policy with the endorsements attached shall be maintained at the interstate
carrier's principal place of business.
individual, partnership,
corporation, or person
] to whom the certificate or permit is issued.
The registrant's full name
must include
, [
including
]
all owner names and any fictitious name or d/b/a
. The name
[
,
] and business address on the proof of insurance[
,
] must
be identical to
the name and business address contained
[
such information
] in its application and
in
its most recent
Federal
Motor Carrier Safety
[
Highway
] Administration
order.
C.F.R.
] Part 387, Subpart C. A "certificate
of insurance" issued by an insurance agent will not be accepted as proof of
insurance.
Highway
] Administration,
the applicant
must
[
shall
] indicate the status of such
self-insurance on the application
form. The applicant must also
[
Form RS-1 and shall
] file with the department a copy of the Federal
Motor Carrier Safety
[
Highway
] Administration order approving
a public liability self-insurance or other public liability security or agreement
under the provisions of 49
CFR,
[
C.F.R.
] Part 387, Subpart
C. The registrant shall immediately notify the department if the self-insurance
plan is suspended, revoked, or modified by
a
[
an
] Federal
Motor Carrier Safety
[
Highway
] Administration order. Failure
to comply may result in the suspension of the registration.
an applicant or
] registrant's proof of insurance is incorrect
or has been falsified, the department may verify the insurance information
of the insured.
registrant(s)
] immediately and request new proof of insurance.
for non-compliance
of filing proof of insurance
].
Upon
]
receiving notice of cancellation of a registrant's proof of insurance, the
department
will
[
shall
] notify the registrant in writing
that its registration to operate in all states of travel is suspended on the
effective date of the cancellation of the insurance as specified in 49
CFR
[
C.F.R.
] §387.317. The effective date of the cancellation
notice for proof of insurance
will
[
shall
] be computed
as 30 days from the date notice is received by the department.
An insurer
may not terminate coverage until at least 30 days after the department has
received notice of the cancellation.
[
A cancellation notice received
prior to a new filing shall terminate the liability within 30 days of notice
to the department.
]
are
] filed and in effect after a suspension of the registration,
the department
will
[
shall
] immediately reinstate the
interstate carrier's registration and notify the registrant that its registration[
, pursuant to these standards,
] is restored.
At its option,
the
] department may
elect to
receive or verify electronic
filings of proof of insurance.
title (relating to Application for Motor
Carrier Registration)
] while leased to a registered motor carrier.
(A)
]
The operation of a short-term lease vehicle
shall be reported to the department on a form prescribed by the director not
later than April 1 of each calendar year for the previous calendar year's
operations. The report
must
[
shall
] identify the number
of short-term lease vehicles
that
[
which
] would otherwise
be subject to the registration requirements of this subchapter.
(B)
The initial March 1998 report
shall identify the number of short-term lease vehicles operated from September
1, 1997 through December 31, 1997.]
shall
] be paid at the time the report is filed under
paragraph (2) of this subsection.
(A)
A request for cancellation
of a leasing business registration must be made in writing to the department
by the leasing business.]
shall expire
] on April 30 of each year unless the leasing business reports[
,
] by April 1[
,
] the actual number of vehicles requiring
registration operated in the previous calendar year.
(C)
A leasing business registration
may be suspended or revoked by the department in accordance with §18.72
of this title (relating to Suspension and Revocation).]
shall
]
file and maintain proof of liability insurance
on a form prescribed by
the director
as required by §18.16 of this
subchapter
[
title (relating to Insurance Requirements) with the department on a
form prescribed by the director
].
upon
] initial registration[
,
]
and whenever it changes insurance carriers[
,
] in accordance with §18.16
of this
subchapter
[
title (relating to Insurance Requirements)
].
Termination
] of insurance
coverage. Any
cancellation
[
termination
] of insurance
filed under this section must comply with the requirements set out in §18.16
of this
subchapter
[
title (relating to Insurance Requirements)
].
subsection §18.13(d)
] of this
subchapter
[
title
(relating to Application for Motor Carrier Registration)
] for a vehicle
that is
leased from a leasing business
and that is
[
registered under this section and
] used as a temporary replacement for
a
[
the originally leased
] vehicle
that has been taken
out of service for
[
due to
] maintenance, repair, or
any other reason causing the temporary
[
other
] unavailability
of the permanent vehicle
.
§18.13(c)(1)(B)
] of this
subchapter
[
title
(relating to Motor Carrier Registration)
], in a vehicle leased from
a registered leasing business. A copy of the lease agreement[
,
]
or
of
the lease for the originally leased vehicle, in the case
of a temporary replacement vehicle, must be carried in the cab of the vehicle.
Subchapter F. ENFORCEMENT