TITLE 43. TRANSPORTATION
PART 10. TEXAS DEPARTMENT OF MOTOR VEHICLES
CHAPTER 221. SALVAGE VEHICLE DEALERS
SUBCHAPTER
B.
INTRODUCTION. The Texas Department of Motor Vehicles (department) adopts amendments to 43 Texas Administrative Code (TAC) Subchapter B, Licensing; §221.17, License Processing for Military Service Members, Spouses, and Veterans. These adopted amendments are necessary for the department to be able to identify and expedite the processing of these applications as required by Occupations Code, §55.0041, without significant licensing system programming changes. The department adopts §221.17 without changes to the proposed text as published in the April 24, 2026, issue of the Texas Register (51 TexReg 2684). The rule will not be republished.
REASONED JUSTIFICATION. Occupations Code, §55.004(b-1), as amended by Senate Bill 1818, 89th Texas Legislature, Regular Session, requires all state licensing agencies, including the department, to issue a provisional license to military service members, veterans and military spouses while the agency processes the application for licensure. The adopted amendments to §221.17(b) clarify the license application process for a military service member, military veteran, or military spouse to obtain a provisional license as a salvage vehicle dealer. These clarifications are necessary for the department to be able to identify and process these applications on an expedited basis as required by Occupations Code, §55.0041. Adopted amendments to §221.17(b)(1) establish less-onerous application requirements for a provisional license to align the rule with Occupations Code, §55.0041, which sets the specific requirements for this temporary license type. The adopted amendments to §221.17(b)(1) clarify that a military service member, military spouse, or military veteran may apply for a provisional license by downloading and completing the provisional license application form from the department website or contacting the department. Adopted amendments to §221.17(b)(1) also require the applicant to submit a completed provisional license application to the department at the email address designated in the application form, replace the requirement to submit a more comprehensive online application under 43 Texas Administrative Code §221.15 and §221.16, reletter the required attachments that must be submitted with the provisional license application, and clarify the circumstances in which certain attachments are required.
Adopted amendments to §221.17(b)(2) add the phrase "provisional license" to describe the application type, add in §221.17(b)(2)(A) military veteran to the list of those eligible and amend related prepositions, and change a verb in §221.17(b)(2)(B) to align with the language used in §221.17(b)(2)(A) and (C) and in Occupations Code, §55.0041. Adopted amendments in new §221.17(b)(2)(C) add that if the department confirms that the applicant is licensed in good standing in a state with licensing requirements that are similar in scope and practice, the department will promptly issue the provisional license and notify the applicant to submit a complete application as described in §221.15 and §221.16.
Adopted amendments to §221.17(b)(3) replace the first sentence with new text that aligns the rule with Occupations Code, §55.0041(b-1) and §55.005(a), both as amended by House Bill 5629, 89th Legislature, Regular Session, which require that all licensing agencies issue a license to a military service member, veteran, or military spouse within 10 business days of an application or explain why the agency is unable to issue the license. The adopted amendments to §221.17(b)(3) clarify that the department will issue a license within 10 days of receiving a complete application as described in §221.15 and §221.16, or notify the applicant why a license cannot currently be issued, if the applicant holds a provisional license, is currently licensed in good standing in another state with licensing requirements that are similar in scope and practice, or was licensed in good standing in Texas in the last five years. These adopted amendments streamline and standardize the salvage dealer licensing process for military members, military spouses, and military veterans consistent with the requirements of Occupations Code, Chapter 55, without requiring substantial licensing system changes that would delay implementation. The remaining text of current §221.17(b)(3) is redesignated as §221.17(c), and current §221.17(c) is redesignated as §221.17(d).
SUMMARY OF COMMENTS.
No comments on the proposed amendments were received.
STATUTORY AUTHORITY. The department adopts amendments to Chapter 221 under Occupations Code, §2302.051, which authorizes the board to adopt rules as necessary to administer Occupations Code, Chapter 2302; Occupations Code, §2302.052, which assigns the board a duty to set reasonable and necessary application fees, license fees, renewal fees, and other fees as required to implement Chapter 2302; Occupations Code, §2302.103, which requires a salvage vehicle dealer to apply for a license on a form prescribed by the department and pay an application fee; Occupations Code, §2302.104, which prescribes content that must be included in an application; Occupations Code, §2302.105, which requires the department to complete an investigation of the applicant's qualifications before issuing a license; Occupations Code, §2302.108, which authorizes the department to deny, suspend, revoke, or reinstate a license issued under Chapter 2302 consistent with the requirements of Government Code, Chapter 2001; and Transportation Code, §1002.001, which authorizes the board to adopt rules that are necessary and appropriate to implement the powers and the duties of the department.
The department also adopts amendments under the authority of Transportation Code, §§501.0041, 502.0021, and 503.002; and Government Code, §§2001.004, 2001.039, and 2001.054, in addition to the statutory authority referenced throughout this preamble.
Transportation Code, §501.0041 authorizes the department to adopt rules to administer Transportation Code, Chapter 501. Transportation Code, §502.0021 authorizes the department to adopt rules to administer Transportation Code, Chapter 502. Transportation Code, §503.002 authorizes the department to adopt rules to administer Transportation Code, Chapter 503.
Government Code, §2001.004 requires state agencies to adopt rules of practice stating the nature and requirements of all available formal and informal procedures. Government Code, §2001.039 requires state agencies to readopt, readopt with amendments, or repeal a rule as the result of reviewing the rule. Government Code, §2001.054 specifies the requirements regarding the grant, denial, renewal, revocation, suspension, annulment, or withdrawal of a license.
CROSS REFERENCE TO STATUTE. These rule revisions would implement Government Code, Chapter 2001; Occupations Code, Chapters 53, 55, and 2302; and Transportation Code, Chapters 501-503, and 1002.
The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.
Filed with the Office of the Secretary of State on August 14, 2026.
TRD-202603455
Laura Moriaty
General Counsel
Texas Department of Motor Vehicles
Effective date: September 3, 2026
Proposal publication date: April 24, 2026
For further information, please call: (512) 465-4160