HBA-MPA H.B. 2176 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 2176
By: Siebert
Transportation
3/12/1999
Introduced



BACKGROUND AND PURPOSE 

Currently, the law provides two different deadlines for release by the
holder of a lien against a motor vehicle when the lien is paid off,  one
states not more than 10 days under the Finance Code and another states not
more than 21 days under the Transportation Code.  H.B. 2176 resolves the
conflict by amending the Transportation Code to refer to the Finance Code,
thus establishing  the10-day time limit as the standard. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 501.115(a), Transportation Code, to require the
lienholder, when a debt or lien has been satisfied, to execute and deliver
a discharge of the lien, within a reasonable time not to exceed the maximum
time allowed by Section 348.408 (Outstanding Balance Information; Payment
in Full), Finance Code, which is ten days, rather than 21 days, from the
receipt of the final payment as stated in the existing language. 

SECTION 2. Emergency clause.
  Effective date: upon passage.