HBA-CMT H.B. 2217 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 2217 By: Hawley Transportation 3/22/2001 Introduced BACKGROUND AND PURPOSE Currently, the Certificate of Title Act does not apply to a semitrailer used for the purpose of transporting farm products if the products are not transported for hire. This means that a title is not required to be issued for a farm semitrailer unless the semitrailer is over 4,000 pounds gross vehicle weight. If the owner of such a farm semitrailer applies for a title under the current law, a commercial license plate must be issued for the farm semitrailer for the owner to obtain the title. If a purchaser borrows money to purchase a semitrailer, the lending institution requires a title to be issued so that a first lien can be recorded on the title. Upon application to a county tax assessor-collector for a title and registration, the applicant is sold commercial registration plates which cost approximately $175 to $300 depending on the gross weight of the vehicle. Allowing the owner of a semitrailer to register the semitrailer with a farm vehicle license plate would reduce the fee for the issuance of the plate to $5.30. House Bill 2217 allows a county tax assessorcollector to issue title to a farm semitrailer of more than 4,000 pounds and to register that semitrailer with a farm vehicle license plate. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that rulemaking authority is expressly delegated to the Texas Department of Transportation in SECTION 1 (Section 501.036, Transportation Code) of this bill. ANALYSIS House Bill 2217 amends the Transportation Code to authorize the Texas Department of Transportation (TxDOT) to issue a certificate of title for a farm semitrailer with a gross weight of more than 4,000 pounds if the farm semitrailer is eligible for registration under the provisions for certain farm vehicles and drilling and construction equipment, and all other requirements for issuance of a certificate of title are met. To obtain a certificate of title under the provisions of this bill, the owner of the farm semitrailer is required to apply for the certificate of title in the manner required by the Certificate of Title Act, and to pay the required fee. The bill requires TxDOT to adopt rules and forms to implement and administer the provisions of this bill. EFFECTIVE DATE September 1, 2001.