Vehicle Storage Facilities Rule Review - Adoption Justification

JUSTIFICATION FOR ADMINISTRATIVE RULE ADOPTION
General Provisions for Vehicle Storage Facilities Program
16 Texas Administrative Code (TAC), Chapter 85, repeal of §85.205 and §85.452, and amendments to §§85.201, 85.204, 85.206, 85.450, 85.451, 85.650, 85.703, 85.704, 85.722, 85.800 and 85.1003.

The Texas Commission of Licensing and Regulation (Commission) adopted the repeal of current rules at rules at 16 Texas Administrative Code (TAC), §85.205 and §85.452, regarding the Vehicle Storage Facilities Program without changes to proposed text as published in the October 13, 2017 issue of the Texas Register (42 TexReg 5617).  The rules will not be republished.

The Commission also adopted amendments to existing rules at 16 Texas Administrative Code (TAC), §§85.201, 85.204, 85.206, 85.450, 85.451, 85.650, 85.703, 85.704, 85.722, 85.800 and 85.1003, regarding the Vehicle Storage Facilities Program with changes to proposed text as published in the October 13, 2017 issue of the Texas Register (42 TexReg 5617).  The rules will be republished.

The proposed amendments and repeals are necessary to implement Senate Bill 1501, Senate Bill 2065, House Bill 1247 and House Bill 2615, 85th Legislature, Regular Session (2017).  Collectively these bills remove fencing requirements during the initial licensure application process; eliminate dual licensure and associated fees; eliminate periodic and risk-based inspections and associated fees; relax certain signage requirements; as well as clarify required notices and databases; and update the advisory board composition.

The proposed amendments to §85.201 removes fencing requirements during the initial licensure application process.

The proposed amendments to §85.204 eliminate dual licensure and allow a person to work at a VSF if they hold a license under Chapter 85 or Chapter 86.

The proposed repeal of §85.205 eliminates dual licensure requirements.

The proposed amendments to §85.206 removes references to dual licensure.

The proposed amendments to §85.450 removes risk based inspections from general inspection rules.

The proposed amendments to §85.451 removes periodic inspections.

The proposed repeal of §85.452 removes language relating to risk based inspections.

The proposed amendments to §85.650 changes the composition of the advisory board.

The proposed amendments to §85.703 relates to notice requirements and databases that must be used to find vehicle owners and lien holders.

The proposed amendments to §85.704 relates to the second notice requirements.

The proposed amendments to §85.722 cleans up the language to bring it in line with other rules.

The proposed amendments to §85.800 eliminates fees related to dual licensure and risk-based inspections.

The proposed amendments to §85.1003 relaxes some signage requirements.

The Department drafted and distributed the proposed rules to persons internal and external to the agency. The proposed rules were published in the October 13, 2017 issue of the Texas Register (42 TexReg 5617).   The Department received a total of 11 comments from the public regarding this program and the proposed amendments. All comments are summarized below.

Comment: The Department received one general comment related to signage. The commenter asked if the rules could reflect an exemption on signage requirements for repo companies who hold a VSF license, but only use it occasionally to obtain storage liens. There was no reference to a specific rule.

Department Response--The Department maintains that anyone seeking and obtaining a VSF license must adhere to all licensing requirements, including those relating to signage.

The Department did not make any changes to the proposed rules based on this public comment. 

Comment: The Department received one comment related to § 85.704 which alleges a conflict between the proposed rule and the Texas DMV notice requirements for disposition of an abandoned vehicle.

Department Response--The Department maintains that there is no conflict between this proposed rule and the Texas DMV notice requirements. The rule relating to disposition of an abandoned nuisance vehicle is found in § 85.724, not proposed § 85.704. General Counsel staff forwarded the comment to Compliance staff and requested contact with the commenter to clarify the confusion.

The Department did not make any changes to the proposed rules based on this public comment. 

Comment: The Department received two comments relating to § 85.703(e)(2). Both assert that the proposed rule would cause undue financial burden on VSF’s because they would be unable to charge storage for the first 24 hours that a vehicle is on a storage lot.

Department Response--The Department believes that the commenters are misinterpreting the proposed rule.

The rule reflects a change in statute stating that if a VSF does not timely send its first notice, it cannot charge a fee until 24 hours after it has sent the required notice. If a VSF timely sends its notice as required by statute and the proposed rule, a VSF may charge the daily storage fee permissible under Tex. Occ. Code § 2303.155(b)(3) beginning when the vehicle enters its lot.

The change in statute and in the proposed rule only penalizes VSF’s that do not timely send notice as required by § 85.703 (b)(1) and (b)(2).

The Department did not make any changes to the proposed rules based on this public comment. 

Comment:  The Department received one comment related to § 85.703(c). The commenter disagrees with the proposed removal of this rule section. The section contains language relating to an affirmative defense for license holders who are cited and prosecuted for failing to timely send first notice to vehicle owners or lien holders.

Department Response--The availability of the affirmative defense still exists in statute. It is unnecessary, and quite unusual, to state an affirmative defense in a companion rule. The proposed removal of this section does not affect licensees or any defenses to prosecution which are available to them in statute.

The Department did not make any changes to the proposed rules based on this public comment. 

Comment: The Department received one comment related to § 85.703(f). The commenter states that the language relating to a return receipt requested for certified and electronic certified mail is incorrect.

Department Response--The commenter is correct and the Department acknowledges a drafting error.

The Department corrected the drafting error so that the proposed rule now mirrors the statutory language.

Comment: The Department received one general comment relating to § 85.703. The comment asserts that there is an inconsistency in notice requirements between vehicle and lien holder information obtained directly from the state and information obtained from a third-party provider.

The commenter states that if there is a change in owner between the time that a first notice is issued and the time that a title application is submitted by a VSF, the VSF cannot obtain the title without starting the notice process over if it originally utilized a third-party provider to obtain locating information for the first notice.  

Department Response--There is nothing in statute or in the proposed Department rule that requires a VSF owner to start the notice process over if it uses a third party provider to obtain locating information for the vehicle or lien holder and there is a subsequent sale of the vehicle after that information is obtained, but before the VSF secures title.

If the DMV or local governments require a VSF to start the notice process over under this circumstance, that is an issue for those agencies to address. The Department’s proposed rule does not contain such a provision.

The Department did not make any changes to the proposed rule based on this public comment. It will, however, address the issue in an FAQ.

Comment: The Department received one comment related to § 85.204(b). However, the comment was actually a question relating to service workers that a VSF might periodically hire to perform landscaping work for their business.

Department Response--This question does not pertain to the proposed rule. General Counsel staff forwarded the question to Compliance staff for further handling.

The Department did not make any changes to the proposed rule based on this public comment. 

Comment: The Department received one comment related to § 85.450(a). The commenter suggested adding language to the first sentence of the rule so that it reads: “A towing company shall be inspected periodically to warn a towing company of a violation if found or as a result of a complaint. (italicized words represent the suggested addition). 

Department Response--The rule at 85.450(a) relates to inspections. TDLR conducts inspections at towing companies to provide notification of any violations. Accordingly, the Department determined that the suggested language is redundant and does not substantively add to, or clarify, any portion of the rule.

The Department did not make any changes to the proposed rules based on this public comment. 

Comment: The Department received one comment related to § 85.650 (a)(7) with regards to the change in reference to a board member as a “representative” instead of an “owner”. The commenter suggests that the board members be referred to as “representative or owner”.

Department Response--The Department’s proposed amendment updates the rule to mirror language used in the statutory change to Tex. Occ. Code 2308.051(a). The updated language in rule is not discretionary and must replicate the language in statute. In statute, certain board members are now referred to as “representative” in lieu of “owner”.

Comment: The Department received one comment related to § 85.722. The comment was a question about the amount of the fee authorized for this section.

Department Response--This question does not pertain to the proposed rule. General Counsel staff forwarded the question to Compliance staff for further handling.

The Department did not make any changes to the proposed rule based on this public comment. 

§85.201. License Requirements--Vehicle Storage Facility License. 

To be eligible for a VSF license, an applicant must:

(1) submit a completed application on a department approved form;

(2) pay the fee required under §85.800;

(3) provide proof of insurance required under §85.400;

(4) successfully pass a criminal background check;

(5) provide the name, and address of each partner if the applicant is a partnership;

(6) provide the name, and address of each corporate officer, including the president, secretary, and treasurer, if the applicant is a corporation;

(7) provide the name, and address of each owner of the VSF and the percentage of ownership interest each holds in the facility;

(8) provide the name, and address of the operator or manager of the VSF if it is not operated or managed by one of the owners;

(9) provide the facility's physical address, mailing address, and telephone number;

(10) state the VSF's storage capacity; and

(11) include a statement indicating whether the facility has an all weather surface, signs posted in the proper locations, and lighting, as required by these rules; and

(12) adopt the model drug testing policy provided in these rules or file an alternate drug testing policy for approval under these rules.

§85.204 License Requirements—Vehicle Storage Facility Employee License.

(a) To be eligible for a VSF employee license, an applicant must:

(1) submit a completed application on a department-approved form;

(2) pay the fee required under §85.800;

(3) successfully pass a criminal background check; and

(4) if the applicant for renewal has within the preceding 12-month period tested positive for drugs under §85.725, the applicant must submit a negative drug test to the department.

(b) A person may not work at a VSF unless the individual holds

(1) a license issued under this chapter;

(2) an incident management towing operator's license under Section 2308.153;

(3)  a private property towing operator's license under Section 2308.154; or

(4)  a consent towing operator's license under Section 2308.155.

(c) A VSF may not employ a person to work at the VSF unless the person holds a license issued under this chapter or under Chapter 86.

(d) For purposes of this chapter, persons operating or managing a VSF as a sole proprietor or other unincorporated business organization are employees of the VSF and required to obtain a VSF employee license or otherwise be licensed under this chapter or under Chapter 86.

§85.206. License Requirements--Vehicle Storage Facility Employee License Renewal

(a) To renew a VSF employee license an applicant must:

(1) submit a completed application on a department-approved form;

(2) pay the applicable fee required under §85.800;

(3) successfully pass a criminal background check; and

(4) if the applicant for renewal has within the preceding 12-month period tested positive for drugs under §85.725, the applicant must submit a negative drug test to the department.

(b) To renew and maintain continuous licensure, the renewal requirements under this section must be completed prior to the expiration of the license. A late renewal means the licensee will have an unlicensed period from the expiration date of the expired license to the issuance date of the renewed license. During the unlicensed period, a person may not perform any duties of a VSF employee that requires a license under this chapter.

(c) Non-receipt of a license renewal notice from the department does not exempt a person from any requirements of this chapter.

§85.450. Inspections--General.

(a) All VSFs shall be inspected periodically or as a result of a complaint. These inspections will be performed to determine compliance with the requirements of the Act and these rules. In addition, the department may make information available to VSF owners and managers on best practices for risk-reduction techniques.

(b) Inspections shall be performed during the normal operating hours of the VSF. The department may conduct inspections under the Act and these rules with or without advance notice.

(c) The department inspector will contact the VSF owner, manager, or representative upon arrival at the VSF, and before proceeding with the inspection.

(d) The VSF owner, manager, or representative shall cooperate with the inspector in the performance of the inspection.

§85.451. Periodic Inspections.

(a) Each VSF shall be inspected at least once every two years.

(b) The VSF owner, manager, or representative must, upon request, make available to the inspector all records, notices and other documents required by these rules.

(c) On completion of the inspection, the VSF shall be advised in writing of the inspection results.

(d) The inspection report will identify violations that must be corrected by the licensee. The report will also indicate the corrective actions required to address the violations, in accordance with §85.453. Additionally, the department may assess administrative penalties and/or administrative sanctions for violations.

§85.650. Towing and Storage Advisory Board.

(a) The advisory board consists of the nine members appointed by the chairman of the commission with the approval of the commission. The nine members include:

(1) one representative of a towing company operating in a county with a population of less than one-million;

(2) one representative of a towing company operating in a county with a population of one-million or more;

(3) one representative of a vehicle storage facility located in a county with a population of less than one-million;

(4) one representative of a vehicle storage facility located in a county with a population of one-million or more;

(5) one peace officer from a county with a population of less than one-million;

(6) one peace officer from a county with a population of one-million or more;

(7) one parking facility representative,

(8) one representative of a member insurer, as defined by Section 462.004, Insurance Code, of the Texas Property and Casualty Insurance Guaranty Association who automobile insurance in this state; and

(9) one person who operates both a towing company and a vehicle storage facility.

(b) The advisory board shall include representation for each classification of towing.

(c) Advisory board members serve terms of six years, with the terms of two or three members, expiring on February 1 of each odd-numbered year.

(1) A member may not serve more than two full consecutive terms.

(2) If a vacancy occurs during a term, the chairman of the commission will appoint a replacement who meets the qualifications of the open position to serve for the balance of the term.

(d) The chairman of the commission appoints one of the advisory board members to serve as the presiding officer of the advisory board for one year. The presiding officer of the advisory board may vote on any matter before the advisory board.

(e) Advisory board members do not receive compensation. They are, subject to the General Appropriations Act, reimbursed for actual and necessary expenses incurred in performing the duties of the advisory board.

(f) The advisory board meets twice yearly and may meet at other times at the call of the chairman of the commission or the executive director.

(g) The advisory board provides advice and recommendations to the department on technical matters relevant to the administration and enforcement of this chapter, including examination content, licensing standards, continuing education requirements, and maximum amounts that may be charged for fees related to private property tows.

§85.703 Responsibilities of Licensee--Notice to Vehicle Owner or Lienholder.  

(a) If a vehicle is removed by the vehicle owner or authorized representative within 24 hours after the VSF receives the vehicle, notification as described in subsections (b) – (j) does not apply.

(b) The registered owners and lien holders of a vehicle accepted at a VSF shall be notified in the following manner.

(1) If a vehicle is registered in Texas, the VSF shall notify the vehicle's registered owner and primary lien holder by certified mail, return receipt requested, registered, or electronic certified mail, within five days, but no sooner than within 24 hours of receipt of the vehicle.

(2) If a vehicle is not registered in Texas, the VSF shall notify the vehicle's registered owner and all recorded lien holders within 14 days, but no sooner than within 24 hours of receipt of the vehicle.

(c) The operator of a VSF shall send the notice required by subsections (b)(1) and (b)(2) to an address obtained by mail or electronically from:

(1) The governmental entity responsible for maintaining the motor vehicle title and registration database for the state in which the vehicle is registered; or

(2) A private entity authorized by the governmental entity to obtain title, registration, and lienholder information using a single vehicle identification number search obtained through a secure access portal to the government entity’s motor vehicle records.

(d) Notification has occurred when the United States Postal Service places its postmark and is timely if:

(1) the postmark indicates that the notice was mailed within the period described by subsection (b); or

(2) the notice was published as provided by subsection (f)

(e) If a VSF sends a notice required under this section after the time mandated by Subsections (b)(1) or (b)(2):

(1) The deadline for sending any subsequent notice is based on the date that notice was actually sent to the vehicle owner and any lien holders;

(2) A VSF may not charge the daily storage fee permissible under Tex. Occ. Code Section 2303.155(b)(3) until 24 hours after it has sent the notice required under this section.

(f) Notice required under this section may be completed by publication in a newspaper of general circulation in the county in which the vehicle is stored if:

(1) the vehicle is registered in another state;

(2) the VSF submits to the governmental entity that is responsible for maintaining the motor vehicle title and registration database for the state in which the vehicle is registered, or to a private entity that is authorized by the governmental entity to access title, registration, or lienholder information, a written or electronic request for information relating to the identity of the registered owner and any lienholder of record.

(3) If mailed, such requests shall be correctly addressed, with sufficient postage, and sent by certified mail, return receipt requested or electronic certified mail, to the governmental entity with which the vehicle is registered requesting information relating to the identity of the last known registered owner and any lienholder of record.  

(4) the identity of the registered owner cannot be determined; 

(5) the registration does not contain an address for the registered owner; or 

(6) the operator of the storage facility cannot reasonably determine the identity and address of each lienholder. 

(g) Notice by publication is not required if each notice sent in accordance with this 

Section is returned because:  

(1) the notice was unclaimed or refused; or  

(2) the person to whom the notice was sent moved without leaving a forwarding address.   

(h) Only one notice is required to be published for an abandoned nuisance vehicle.  

(i) All mailed notifications must be correctly addressed; mailed with sufficient postage; and sent by certified mail, return receipt requested, registered, or electronic certified mail.  

(1) All mailed notifications shall state:  

(A) the full licensed name of the VSF where the motor vehicle is located, its street address and telephone number, and the hours the vehicle can be released to the vehicle owner;  

(B) the daily storage rate, the type and amount of all other charges assessed, and the statement, "Total storage charges cannot be computed until vehicle is claimed. The storage charge will accrue daily until vehicle is released"; 

(C) the first date for which a storage fee is assessed;  

(D) the date the vehicle will be transferred from the VSF and the address to which the vehicle will be transferred if the operator will be transferring a vehicle to a second lot because the vehicle has not been claimed within a certain time;  

(E) the date the vehicle was accepted for storage and from where, when, and by whom the vehicle was towed;  

(F) the VSF license number preceded by the words "Texas Department of Licensing and Regulation Vehicle Storage Facility License Number" or "TDLR VSF Lic. No.";  

(G) a notice of the towed vehicle owner’s right under the Texas Occupations Code, Chapter 2308, to challenge the legality of the tow involved; and 

(H) the name, mailing address, and toll-free telephone number of the department for purposes of directing questions or complaints.  

(2) All published notifications shall state:  

(A) the full name, street address, telephone number, and VSF license number, and the Department's internet address;  

(B) a description of the vehicle; and  

(C) the total amount of charges assessed against the vehicle.  

(3) Notices published in a newspaper may contain information for more than one towed vehicle.  

(j) If authorized, a notification fee may not be charged unless actual notice has been given as required under this section.

§85.704 Responsibilities of licensee--Second Notice; Consent to Sale.

(a) If a vehicle is not claimed by a person permitted to claim the vehicle before the 10th day after the date notice is mailed or published under §85.703, the operator of the VSF shall consider the vehicle to be abandoned and, if required by the law enforcement agency with jurisdiction where the vehicle is located, must report the abandonment to the law enforcement agency.  If the law enforcement agency notifies the VSF that the agency will send notices and dispose of the abandoned vehicle under Subchapter B, Chapter 683, Transportation Code, the VSF shall pay the fee required under Section 683.031, Transportation Code. 

(b) If the vehicle is not claimed, the second notice shall be sent no earlier than the 15th day, and no later than the 21st day, after the date the first notice is mailed or published under §85.703. The operator of a VSF shall send a second notice to the registered owner and each recorded lienholder of the vehicle if the facility:

(1)  was not required to make a report under Subsection (a); or 

(2)  has made a required report under Subsection (a) and the law enforcement agency: 

(A)  has notified the facility that the law enforcement agency will take custody of the vehicle; 

(B)  has not taken custody of the vehicle; or 

(C)  has not responded to the report. 

(c) If the VSF sends a second notice after the 21st day on which the first notice was mailed or published, it may not charge a daily storage fee authorized under Section 85.722(d) until 24 hours after the second notice is mailed or published.

(d) Notice under this section must include:  

(1) the information listed in § 85.703(h)(1)(A)-(H);

(2) a statement of the right of the facility to dispose of the vehicle under subsections (a) and (b);

(3) a statement that the failure of the owner or lienholder to claim the vehicle and personal property before the 30th day after the date the notice if provided is: 

(A) a waiver by that person of all right, title, or interest in the vehicle and personal property; and 

(B) a consent to the sale of the vehicle at a public sale.  

(e) Notwithstanding subsection (a), if publication is required for notice under this section, the notice must include: 

(1) the information listed in § 85.703(i)(2); and 

(2) a statement that the failure of the owner or lienholder to claim the vehicle before the date of the sale is: 

(A) a waiver of all right, title, and interest in the vehicle;

(B) and a consent to the sale of the vehicle at a public sale.  

(f) The operator shall pay any excess proceeds to the person entitled to those proceeds.  

§85.722. Responsibilities of Licensee--Storage Fees and Other Charges. 

(a) For the purposes of this section, “VSF” includes a garage, parking lot, or other facility that is: 

(1) owned by a governmental entity; and 

(2) used to store or park at least 10 vehicles each year. 

(b) The fees outlined in this section have precedence over any conflicting municipal ordinance or charter provision.

(c) Notification fee. 

(1) A VSF may not charge a vehicle owner or authorized representative more than $50 for notification under these rules. If a notification must be published, and the actual cost of publication exceeds 50% of the notification fee, the VSF may recover the additional amount of the cost of publication. The publication fee is in addition to the notification fee. 

(2) If a vehicle is removed by the vehicle owner or authorized representative within 24 hours after the date the VSF receives the vehicle, notification is not required by these rules. 

(3) If a vehicle is removed by the vehicle owner or authorized representative before notification is sent or within 24 hours from the time VSF receives the vehicle, the VSF may not charge a notification fee to the vehicle owner. 

(d) Daily storage fee. A VSF may not charge less than $5.00 or more than $20 for each day or part of a day for storage of a vehicle that is 25 feet or less in length. A VSF shall charge a fee of $35 for each day or part of a day for storage of a vehicle that exceeds 25 feet in length. 

(1) A daily storage fee may be charged for any part of the day, except that a daily storage fee may not be charged for more than one day if the vehicle remains at the VSF less than 12 hours. In this paragraph a day is considered to begin and end at midnight. 

(2) A VSF that has accepted into storage a vehicle registered in this state shall not charge for more than five days of storage fees until a notice, as prescribed in §85.703 of these rules, is mailed or published. 

(3) A VSF that has accepted into storage a vehicle not registered in Texas shall not charge for more than five days of storage before the date the request for owner information is sent to the appropriate governmental entity or to the private entity authorized by that governmental entity to obtain title, registration, and lienholder information using a single vehicle identification number inquiry. 

(4) A VSF shall charge a daily storage fee after notice, as prescribed in §85.703, is mailed or published for each day or portion of a day the vehicle is in storage until the vehicle is removed and all accrued charges are paid. 

(e) Impoundment fee. A VSF may charge a vehicle owner or authorized representative an impoundment fee not to exceed $20. If the VSF charges a fee for impoundment, the written bill for services must specify the exact services performed for that fee and the dates those services were performed. 

(f) Governmental or law enforcement fees. A VSF may collect from a vehicle owner or authorized representative any fee that must be paid to a law enforcement agency, the agency's authorized agent, or a governmental entity. 

(g) Environmental hazard fee. A VSF may collect from a vehicle owner or authorized representative a fee in an amount set by the commission for the remediation, recovery, or capture of an environmental or biological hazard. 

(h) Additional fees. A VSF may not charge additional fees related to the storage of a vehicle other than fees authorized by these rules or a nonconsent-towing fee authorized by Texas Occupations Code, §2308.2065. 

§85.800. Fees. 

(a) Application fees. 

(1) Vehicle Storage Facility License

(A) Original Application--$250

(B) Renewal--$250

(2) Vehicle Storage Facility Employee License

(A) Original Application--$75

(B) Renewal--$75

(b) Revised/Duplicate License/Certificate/Permit/Registration--$25

(c) Late renewals fees for licenses under this chapter are provided under §60.83 of this title (relating to Late Renewal Fees). 

(d) All fees are nonrefundable.

§85.1003. Technical Requirements--Storage Lot Signs. 

(a) Facility information. All VSFs shall have a clearly visible and readable sign located at the main entrance. The sign shall have letters at least 2 inches in height, with a contrasting background, be readable  at 10 feet, and  contain the following information: 

(1) the registered name of the storage lot, as it appears on the VSF license; 

(2) street address; 

(3) the telephone number for the owner to contact in order to obtain release of the vehicle; 

(4) the facility's hours, within one hour of which vehicles will be released to vehicle owners; and 

(5) the storage lot's state license number preceded by the phrase "VSF License Number." 

(b) All VSFs shall have a sign in view of the person who claims the vehicle setting out the charge for storage and all other fees, which may be charged by the storage lot, including notification and impoundment fees. The sign may be affixed to the payment window and shall include all forms of payments the VSF accepts for any charge associated with delivery or storage of a vehicle. If the sign is affixed to the payment window, it must be located so it is clearly visible to a vehicle owner at the place of payment and meet the following font sizes and fonts to produce text not smaller than 24 points Helvetica or Arial Black for headers and 14 points Helvetica or Arial Condensed for all body text.

(c) Nonconsent towing fees schedule. All VSFs shall place a clearly visible and readable sign where payment to the VSF is made which states

(1) 'Nonconsent tow fees schedules available on request.' The VSF shall provide a copy of a nonconsent towing fees schedule on request; and 

(2) The nonconsent towing fees provided for viewing and to the vehicle owner or representative must match the nonconsent towing fees authorized by this chapter or Texas Occupations Code §2308.2065. 

(d) Instruments accepted for release of vehicle. VSFs shall have a sign describing the documents that may be presented by the vehicle owner or his/her authorized representative to obtain possession of the vehicle. This sign shall list all instruments as described in §85.710(a)(3)(A) - (I), and shall also state: "Affidavit of Right of Possession Furnished Upon Request." The sign may be affixed to the payment window.

(e) A VSF must conspicuously post a sign that states: "This vehicle storage facility must accept payment by cash, debit cards and credit cards for any fee or charge associated with delivery or storage of a vehicle."

(f) Combination signs. A VSF may combine the signs described in subsections (b), (c), (d), and (e), if the combination sign meets the requirements of each of the separate signs.

The repeals are adopted under Texas Occupations Code, Chapters 51 and 2308, which authorize the Commission, the Department’s governing body, to adopt rules as necessary to implement these chapters and any other law establishing a program regulated by the Department.

The statutory provisions affected by the adoption are those set forth in Texas Occupations Code, Chapters 51 and 2308.  No other statutes, articles, or codes are affected by the proposal.

[§85.205. Licensing Requirements--Dual Vehicle Storage Facility Employee and Towing Operator License]

[§85.452. Risk-based Inspections]

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State, on December 21, 2017


Brian E. Francis
Executive Director
Texas Department of Licensing and Regulation