TITLE 43. TRANSPORTATION

PART 15. DENTON COUNTY TAX-ASSESSOR COLLECTOR

CHAPTER 430. MOTOR VEHICLE TITLE SERVICES

43 TAC §§430.1 - 430.16

The Denton County Tax Assessor-Collector proposes amendments to 43 TAC §§430.1 - 430.16, relating to the regulation of motor vehicle title services in Denton County, Texas.

The proposed amendments to 43 TAC §§430.1 - 430.16 include the following.

A definition of the term "Applicant Business," which is used in §430.6 and §430.7 of the existing chapter but not defined, has been added to §430.1 for clarification purposes (proposed as renumbered §430.1(a)).

The term "Denton County Tax Assessor-Collector" is used throughout the existing chapter. In a few sections, the term "county assessor-collector" is used. The proposed amendments delete these terms from existing §§430.1 - 430.16 and in each case replace the deleted term with the term "DCTAC." In §430.15(b), (d) and (e) and §430.16, the word "Officeholder" has been added after the term "DCTAC" as applicable to clarify that the described action/decision is performed/made by the person who holds the office of the DCTAC. Definitions of the terms "DCTAC" and "DCTAC Officeholder" have been added to §430.1 (proposed as renumbered §430.1(c)).

The terms "licensed MVTS," "licensed motor vehicle title service" and "licensed title service" are used in numerous sections of the existing chapter. A definition of these terms has been added to §430.1 (proposed as renumbered §430.1(d)) for clarification purposes, and capitalization of these terms has been removed (changed to lower-case) as applicable throughout the chapter for purposes of conformity.

The terms "licensed MVTSR," "licensed runner" and "licensed title service runner" are used in numerous sections of the existing chapter. A definition has been added to §430.1 (proposed as renumbered §430.1(e)) for clarification purposes, and capitalization of these terms has been removed (changed to lower-case) as applicable throughout the chapter for purposes of conformity.

A definition of the term "motor vehicle title application" has been added to §430.1 (proposed §430.1(g)) for clarification purposes.

Minor changes have been made to existing subsections (a) - (e) of §430.1 for purposes of clarity, and capitalization of the terms defined in these sections has been removed (changed to lower-case) as applicable throughout the chapter for purposes of conformity. Subsections (a), (b), (c), (d) and (e) of §430.1 have been renumbered to (b), (f), (h), (i) and (j), respectively.

Language has been added to/deleted from §430.2(a) for the purpose of clarifying that "entity" means "business entity" and to distinguish between a "person" and an "entity."

Language has been added to/deleted from §430.3(2), and subsection (3) has been added for the purpose of clarifying the section's meaning.

Language has been added to/deleted from §430.5(a) and (a)(1) for the purpose of clarifying the section's meaning. The word "non-refundable" has been added to §430.5(a)(2) for the purpose of clarifying that the application fee is non-refundable.

Language has been added to/deleted from §430.6(b)(5). The purpose of this change is to add the requirement that each title service license applicant must provide a copy of its current lease for each location/office where business is to be conducted. Requiring tangible proof of the applicant's claim to the location/office will provide DCTAC with more reliable assurance that business will actually be conducted within the county.

Language has been added to/deleted from the first sentence of §430.8(a) for the purpose of clarifying its meaning. The following language has also been added to §430.8(a): "An on-site visit to any or all of the business locations listed on the applicant's TSLA form (§430.6(c)(5)) may be performed at the option DCTAC. Upon notification by DCTAC, applicant shall, in coordination with DCTAC, schedule for each location listed in the DCTAC notification an on-site visit at which the applicant will be present. Failure or refusal by applicant to schedule and carry out any such requested on-site visit shall be grounds for dismissal of the application." This new requirement/process is intended to deter attempts to list false location information in an application.

Language has been added to/deleted from §430.8(b) for the purpose of clarifying its meaning.

The word "coercive" has been added to §430.13(a)(5). The proposed addition is intended to provide additional clarity concerning the type of behavior that may result in revocation. The DCTAC makes this addition to clarify/warn that a licensee's attempt to coerce a DCTAC employee to accept/process any application that does not meet the criteria for processing/acceptance will constitute a cause for license revocation.

Subsections (a)(8), (9), (10) and (11) have been added to §430.13. The proposed additions are intended to provide additional clarity concerning the presentation of motor vehicle applications and the causes for which DCTAC may deny or revoke a license.

The first sentence of §430.14(a) has been amended as follows: "The DCTAC may suspend a license if the licensee or any applicant for the license in delinquent in the payment of property taxes or criminal fines or fees to Denton County." The intent of this change is to make licensee's or applicant's failure to pay property taxes owed to Denton County a cause for license suspension.

The Denton County Tax Assessor-Collector, Michelle French, proposes these amendments for the purpose of providing improved accuracy and clarity to the chapter, and for the purpose of enhancing its provisions to better ensure compliance and to better guard against attempts to subvert its requirements by undetected fraud.

Ms. French has determined that for the first five-year period the proposed amendments to 43 TAC §§430.1 - 430.16 are in effect, there will be no fiscal impact for state or local government. The proposed amendments do not create or eliminate any government programs or employee positions. The proposed amendments do not require an increase or decrease in future legislative appropriations or fees paid to the Denton County Tax Assessor-Collector. The proposed amendments do not increase or decrease the number of individuals subject to 43 TAC §§430.1 - 430.16. The proposed amendments do not impact the state’s economy. The proposed amendments do not create or repeal regulation, but enhance and clarify the existing regulations set forth in 43 TAC §§430.1 - 430.16.

Ms. French also has determined that for each year of the first five years the proposed amendments are in effect the public benefit anticipated as a result of enforcement of the rules will be to reduce vehicle theft and related document fraud.

Comments on the proposed amendments may be submitted to Stacey Dvoracek, Denton County Chief Deputy, Denton County Tax Office, 1505 E. McKinney Street, Denton, Texas 76209-4525. The deadline for all comments is 30 days after publication in the Texas Register.

Statutory authority

Texas Transportation Code Chapter 520, Subchapter E authorizes a county tax assessor-collector to adopt rules pertaining to the licensing of motor vehicle title services. Specifically, Section 520.059(b) states that the county tax assessor-collector shall adopt rules that establish grounds for the denial, suspension, revocation or reinstatement of a license and rules that establish procedures for disciplinary action.

The proposal does not affect any other statutes, articles, or codes.

§430.1.Definitions.

(a) The term "Applicant Business" means a business entity for which a motor vehicle title service license is sought by application, in accordance with these rules, of its partners, officers, or directors.

(b) [(a)] "Application." Except where otherwise expressly stated herein, the term "application" ["Application"] includes all documentation submitted with a motor vehicle title service application form (TLSA Form) [Motor Vehicle Title Service Application Form] or motor vehicle title service runner application (TSRA Form) [Motor Vehicle Title Service Runner Application Form].

(c) The term "DCTAC" means the Office of the Denton County Tax Assessor-Collector, except that the term "DCTAC Officeholder" means the person who holds the Office of Denton County Tax Assessor-Collector. The term "DCTAC Officeholder" includes a person who holds the Office by election or, in the event of a vacancy, by appointment.

(d) The terms "licensed MVTS," "licensed motor vehicle title service" and "licensed title service" each mean a motor vehicle title service that holds a current and valid license, issued by the DCTAC under these Rules, to act as a motor vehicle title service in Denton County.

(e) The terms "licensed MVTSR," "licensed runner," and "licensed title service runner" each mean a motor vehicle title service runner that holds a current and valid license, issued by the DCTAC, to act as a title service runner for a licensed MVTS.

(f) [(b)] The term "motor ["Motor] vehicle" has the meaning assigned by Texas Transportation Code §501.002.

(g) The term "motor vehicle title application" in §430.13(a)(7), (8) and (10) of this chapter (relating to Denial or Revocation of License) herein includes all documentation submitted with a motor vehicle title application.

(h) [(c)] The term "motor ["Motor] vehicle title service" or "MVTS" means any person or entity that for compensation directly or indirectly assists other persons in obtaining title documents, in either written or electronic form, by submitting, transmitting, or sending applications for title documents to the appropriate government agencies.

(i) [(d)]The term "title ["Title] documents" means motor vehicle title applications, motor vehicle registration renewal applications, motor vehicle mechanic's lien title applications, motor vehicle storage lien title applications, motor vehicle temporary registration permits, motor vehicle title application transfers occasioned by the death of the title holder, motor vehicle inquiries, license plate and/or sticker replacement or any other motor vehicle related transaction.

(j) [(e)] The terms "title ["Title] service runner," "runner" and [ "Runner," or] or "MVTSR" each means any person employed by a licensed motor vehicle title service to submit or present title documents to the DCTAC [county tax assessor-collector] on behalf of that licensed motor vehicle title service.

§430.2.License Required.

(a) A person or business entity may not act as a motor vehicle title service in Denton County unless the person or entity [it] holds a motor vehicle title service license [Motor Vehicle Title Service License] issued by the DCTAC [Denton County Tax Assessor-Collector ] under these Rules.

(b) A person may not act as a title service runner for a motor vehicle title service unless that person holds a motor vehicle title service license [Motor Vehicle Title Service License] issued by the DCTAC [Denton County Tax Assessor-Collector] under these Rules. A person may hold only one MVTS runner license [Runner License] at a time.

(c) A person commits an offense if the person violates a provision of Title 7, Subtitle A, Chapter 520, Subchapter C of the Texas Transportation Code or a rule adopted by the DCTAC [Denton County Tax Assessor-Collector] under Subchapter E, §§520.051 - 520.063 of the Texas Transportation Code. Such an offense is a Class A misdemeanor.

§430.3.Eligible Applicants.

A person may not apply for a motor vehicle title service license or motor vehicle title service runner license [Motor Vehicle Title Service License or Motor Vehicle Title Service License Runner License] unless the person is:

(1) at least 18 years of age on the date the application is submitted; and

(2) authorized to handle financial transactions for [whether representing] himself/herself or another; and

(3) if the application seeks a motor vehicle title service license for a business entity, authorized to handle financial transactions for that business entity.

§430.4.Criminal Background Check.

Each applicant [Applicant] for a license must submit to a criminal background check.

§430.5.Submission of Application.

(a) Each license application [Applicant] must be submitted by the applicant, in person, at any DCTAC location during business hours. The application must be complete and include all required documentation. To submit the completed application, applicant must, at the time of the submission [ submit his/her completed application form, including all required documentation, in person to the Tax Assessor/Collector or the Tax Assessor/Collector's designated representative. The Tax Assessor/Collector or the Tax Assessor/Collector's designated representative will accept the completed Application provided Applicant]:

(1) presents a valid Texas driver's license and a valid Social Security Card or, if applicable, a U.S.-issued alien identification card issued by the Department of Homeland Security, and permits a copy of both to be made for DCTAC records [the Tax Assessor/Collector or Tax Assessor/Collector's designated representative to make a copy of both]; and

(2) pays the non-refundable application [Application] fee.

§430.6.Completion of Motor Vehicle Title Service License Application.

(a) A motor vehicle title service [Motor Vehicle Title Service] ("MVTS") license application [License Application] will not be considered complete under §430.5 of this chapter (relating to Submission of Application) unless all applicable information identified on the title service license application [Title Service License Application] form ("TSLA Form") has been provided, all required documentation has been attached, and the applicant [Applicant] identified on the TSLA Form has executed the Applicant Affidavit section of the Form as described in subsection (c) of this section. If Applicant Business is a partnership, each partner must submit a separate application. If Applicant Business is a corporation, each officer and director must submit a separate application and identify the state of incorporation on that application.

(b) The following documents must be submitted with and attached to the signed and completed TSLA Form:

(1) A copy of applicant’s [Applicant’s ] valid Texas driver's license and valid Social Security Card, or if applicable, a U.S.-issued alien identification card by the Department of Homeland Security;

(2) an original or certified copy of:

(A) if Applicant Business is a DBA, each applicable Assumed Name Certificate.

(B) if Applicant Business is a corporation, the applicable Articles of Incorporation.

(C) if Applicant Business is a partnership, the applicable Partnership Agreement.

(3) all forms required by the DCTAC [Denton County Tax Assessor-Collector], signed and completed as required by the DCTAC [Denton County Tax Assessor-Collector].

(c) Each applicant [Applicant] shall provide all information indicated on the TSLA Form, which information shall include but is not limited to:

(1) Applicant name, address, telephone number, social security number, date of birth, Texas Driver's license number, citizenship status, and what position the applicant [Applicant] holds in the Applicant Business (i.e. owner, principal, director, officer, partner);

(2) Applicant Business name, physical address, mailing address, and telephone number(s);

(3) identification of Applicant Business type (i.e., DBA, Corporation or Partnership);

(4) name under which Service will conduct business (if different than Applicant Business name);

(5) the physical address(es) (including any applicable suite number(s)) of each location/office from which the service [Service] will conduct business (a P.O. Box will not be accepted), [and] a corresponding photo, with address numbers clearly visible, of each location/building where business is to be conducted, and a copy of the applicant's current lease for each such location/office;

(6) the name(s), as applicable, of:

(A) each individual with any ownership interest in the Applicant Business; and

(B) each principal, officer or director of Applicant Business.

(7) whether the applicant [Applicant] or Applicant Business has previously applied for an MVTS license (or permit), the result of the previous application, and whether the applicant [Applicant] or Applicant Business has ever held an MVTS license (or permit) that was revoked or suspended;

(8) Applicant Business federal tax identification number; and

(9) Applicant Business state sales tax number.

(d) Each applicant [Applicant] shall execute the Applicant Affidavit Section of the TSLA Form, attesting to the following:

(1) that information provided in and with the application is true and accurate; and

(2) that applicant [Applicant] freely grants the DCTAC [Denton County Tax Assessor-Collector ] and local law enforcement agencies permission to conduct a criminal background investigation on applicant [Applicant ] and/or Applicant Business [Applicant’s business].

§430.7.Completion of Title Service Runner License Application.

(a) A motor vehicle title service runner application [Motor Vehicle Title Service Runner License Application] will not be considered complete under §430.5 of this chapter (relating to Submission of Application) unless all applicable information identified on the title service runner application [Title Service Runner License Application] form ("TSRA Form") has been provided, all required documentation has been attached, and the applicant [Applicant] identified on the TSRA Form has executed the Applicant Affidavit section of the TSRA Form as described in subsection (c) of this section. The following documents must be submitted with and attached to the signed and completed TSRA Form:

(1) a copy of applicant’s [Applicant’s ] valid Texas driver's license and valid Social Security Card, or if applicable, a U.S.-issued alien identification card by the Department of Homeland Security;

(2) all forms required by the DCTAC [Denton County Tax Assessor-Collector], signed and completed as required by the DCTAC [Denton County Tax Assessor-Collector]; and

(3) sworn affidavits of each owner, partner, officer or director of the licensed title service [Licensed Title Service] identified on the TSRA Form, stating that the licensed title service [Licensed Title Service] (which must be identified specifically in the statement by name and License No.) employs applicant [Applicant] and authorizes him/her to submit or present title documents to the DCTAC [Denton County Tax Assessor-Collector] on its behalf.

(b) Applicants shall provide all information indicated on the TSRA Form, which information shall include but is not limited to:

(1) the name of the licensed motor vehicle title service for which the applicant [Applicant] seeks a license to submit or present title documents, the MVTS License Number, and date of issue;

(2) the name, office address and office phone of the title service owner, officer or employee who will supervise applicant [Applicant];

(3) Applicant name, address, telephone number, social security number, date of birth, Texas Driver's license number, and citizenship status;

(4) whether the applicant [Applicant] has previously applied for a MVTS or MVTSR license (or permit), the result of the previous application(s), and whether the applicant [Applicant] or applicant business [Applicant Business] has ever held an MVTS or MVTSR [MVTS Runner] license (or permit) that was revoked or suspended; and

(5) a sworn affidavit stating that the applicant [Applicant] is employed by the licensed motor vehicle title service identified on the application [Application] and authorized by that motor vehicle title service to submit or present title documents to the DCTAC [county tax assessor-collector].

(c) Each applicant [Applicant] shall execute the Applicant Affidavit section [Section] of the TSRA Form, attesting to the following:

(1) that information provided in and with the application is true and accurate;

(2) that applicant [Applicant] is employed by the title service [Title Service] identified in Section 1 of the application [Application] to submit or present title documents to the DCTAC [Denton County Tax Assessor-Collector] under Chapter 520 of the Texas Transportation Code; and

(3) that applicant [Applicant] freely grants the DCTAC [Denton County Tax Assessor-Collector ] and local law enforcement agencies permission to conduct a criminal background investigation on applicant [Applicant ] and/or Applicant's Business [business].

§430.8.Application Review/Applicant Background Check/Applicant Interview.

(a) After submission [acceptance] of a completed application, [Denton County Tax Assessor-Collector will conduct] an initial review of the application will be conducted [Application]. If information known to or obtained by the DCTAC [Denton County Tax Assessor-Collector ] conflicts or appears to conflict with information supplied in the application, [Application, Denton County Tax Assessor-Collector may ask] the applicant may be asked [Applicant] to provide additional clarifying or verifying information. An on-site visit to any or all of the business locations listed on an applicant's TSLA Form (§430.6(c)(5) (relating to Completion of Motor Vehicle Title Service License Application)) may be performed at the option of DCTAC. Upon notification by DCTAC, applicant shall, in coordination with the DCTAC, schedule for each location listed in the DCTAC notification an on-site visit at which the applicant will be present. Failure or refusal by applicant to schedule and carry out any such requested on-site visit shall be grounds for dismissal of the application.

(b) Following initial application review under subsection (a) of this section, [Denton County Tax Assessor-Collector will conduct] the applicant background [Applicant Background] check will be conducted. Upon completion of this process, interviews for eligible applicants [Applicants ] will be scheduled according to DCTAC [Denton County Tax Assessor-Collector] office needs/staff availability. Applicants are responsible for reserving open interview slots, which will be assigned [bu Denton County Tax Assessor-Collector] on a first-come, first-served basis. No license may issue unless each person required to apply for the requested license has completed the interview process. During the interview process, Denton County Tax Assessor-Collector may question Applicant applicant may be asked to provide additional information and/or request additional documentation for the purpose of establishing applicant’s [Applicant's] business reputation and character.

(c) Applicants will be notified of the outcome of an application within 30 days of the date the interview process is completed. Such notice will be sent by certified mail to runner license applicants [Runner License Applicants] at the home address listed on the application [Application] and to title service license applicants [Title Service License Applicants] at the business mailing address listed on the application [Application].

§430.9.License.

(a) License No./Effective Date. Each license granted will be assigned a number. The effective date of issuance is the date upon which notice is sent under §430.8(c) of this chapter (relating to Application Review/Applicant Background Check/Applicant Interview).

(b) Original. Each licensee shall be issued one original license.

(c) A title service shall process all work at the DCTAC [Denton] Main office for the first forty-five (45) days of the license period, after which the title service may process work at any DCTAC [Denton County Tax Assessor-Collector ] location. A title service whose license is renewed under §430.12(a) - (d) of this chapter (relating to License Renewal) may, upon the commencement of the renewal period, process work at any DCTAC [Denton County Tax Assessor-Collector] location.

§430.10.Records/Reporting.

(a) MVTS

(1) Each licensed MVTS must inform DCTAC [Denton County Tax Assessor-Collector] of a change to its primary physical and/or mailing address by submitting a written address change request form to the DCTAC [Denton County Tax Assessor-Collector ]. DCTAC [Denton County Tax Assessor-Collector] shall update the address information upon receipt of such request.

(2) A licensed MVTS shall report a change to its principals, partners, owners, officers, or directors as provided in §430.14(b)(1) of this chapter (relating to Suspension).

(3) Each licensed MVTS must keep on file at its principal place of business:

(A) the original MVTS license and application [Application] (including all submitted documentation); and

(B) a copy of each license issued to a MVTSR runner [Runner] for that MVTS, and of the application [Application ] (including all submitted documentation) submitted by each such licensed MVTSR [runner].

(b) Runner.

(1) In order to submit or present documents on behalf of an MVTS, a valid runner license must be presented. A licensed runner may submit or present title documents to the DCTAC [county tax assessor-collector] only on behalf of the licensed motor vehicle title service for which he/she is a licensed runner.

(2) Each licensed runner [Runner] must inform DCTAC [Denton County Tax Assessor-Collector] if his/her home address has changed by submitting a written home address change request to DCTAC [Denton County Tax Assessor-Collector ]. Upon receipt of such request, DCTAC [Denton County Tax Assessor-Collector] will update the runner’s [Runner's] home address information.

§430.11.License Fees.

(a) All license [License] fees must be paid by business check on account in the applying (title service license [Title Service License]) or employing (title service runner license [Title Service Runner License]) title service’s [Title Service's] name, unless the DCTAC [Denton County Tax Assessor-Collector ] in its sole discretion agrees to accept other forms of payment. Other forms of payment will not be considered accepted except as authorized in writing by the DCTAC [Denton County Tax Assessor-Collector].

(b) The fee for a motor vehicle title service license shall be $200 for the initial application and $200 for each annual renewal.

(c) The fee for a title service runner license shall be $50 for the initial application and $50 for each annual renewal.

(d) The fee for replacement of a license issued under §430.9(b) of this chapter (relating to License), lost title service license or title service runner license shall be $10.

§430.12.License Renewal.

(a) A license issued under these rules 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.

(b) A person who is otherwise eligible to renew a license may renew an unexpired license by paying to the DCTAC [county tax assessor-collector] before the expiration date of the license the required renewal fee. A person whose license has expired may not engage in activities that require a license until the license has been renewed.

(c) If a license has been expired for 90 days or less, the person/entity (as applicable), may renew the license by paying to the DCTAC [county tax assessor-collector] 1-1/2 times the required renewal fee.

(d) If a license has been expired for longer than 90 days but less than one year, the person/entity (as applicable), may renew the license by paying to the DCTAC [county tax assessor-collector] two times the required renewal fee.

(e) If a license has been expired for one year or longer, the person/entity (as applicable) may not renew the license. The person/entity may obtain a new license by complying with the requirements and procedures for obtaining an original license.

(f) Notwithstanding subsection (e) of this section, if a person/entity (as applicable) was licensed in this state, moved to another state, and has been doing business in the other state for the two years preceding application, the person/entity may renew an expired license. The person must pay to the DCTAC [county tax assessor-collector] a fee that is equal to two times the required renewal fee for the license.

(g) Before the 30th day preceding the date on which a license expires, the DCTAC [county tax assessor-collector ] shall notify the license holder of the impending expiration. The notice must be in writing and sent to the license holder's last known address according to the records of the DCTAC [county tax assessor-collector].

§430.13.Denial or Revocation of License.

(a) Grounds for the denial (after completed application [Application] submission) or revocation of a license include, but are not limited to:

(1) past or present submission by licensee or any applicant for the license, of a license application or related document to the DCTAC [Denton County Tax Assessor-Collector] that contains false information or that by its submission constitutes a misrepresentation of fact;

(2) the licensee or any applicant for the license has been convicted of any felony, any crime of moral turpitude, or deceptive business practice for which the sentence completion date is fewer than five years from the application date;

(3) licensee or any applicant for the license has been criminally or civilly sanctioned for the unauthorized practice of law by any government or quasi-government body with jurisdiction to do so;

(4) One or more than one of the affiants described in §430.7(a)(3) of this chapter (relating to Completion of Title Service Runner License Application) has withdrawn his/her affidavit or otherwise informed DCTAC [Denton County Tax Assessor-Collector ] that applicant [Applicant] is not employed and authorized to submit title documents on behalf of the title service identified in the application;

(5) disruptive, coercive, or aggressive behavior by a licensee or any applicant for the license at any DCTAC [Denton County Tax Assessor-Collector] location that in the opinion of the DCTAC [Denton County Tax Assessor-Collector] creates a security concern;

(6) any dishonest, fraudulent, or criminal activity by a licensee or any applicant for the license; [and/or]

(7) failure to pay fines and/or fees identified in a suspension notice under §430.14(a) of this chapter (relating to Suspension) within 30 days of the suspension's effective date;[.]

(8) submission of a motor vehicle title application to the DCTAC that contains false information that the submitting MVTS knew or should have known was false;

(9) runner presentation of motor vehicle title application documents that were not prepared and delivered to the runner for submission by a licensed title service;

(10) any violation of these Rules, Chapter 520, Subchapter E of the Texas Transportation Code, Title 43 TAC Chapter 217, Subchapter A, or any other applicable law by a licensed MVTS or licensed MVTSR;

(11) runner presentation of a motor vehicle title application prepared and delivered to runner for submission by a licensed MVTS, if runner has, removed, added or otherwise altered the contents of the application as delivered by the MVTS to the runner for submission.

(b) Upon its determination that a license should be denied or revoked, DCTAC [Denton County Tax Assessor-Collector ] shall send notice of denial/revocation to the applicant(s)/licensee by certified mail. Notice of any license denial shall be sent to each applicant at the home address listed on his/her application form. Notice of a runner [Runner] license revocation shall be sent to the most recent home address on file. Notice of a title service license [Title Service License] revocation shall be sent to the attention of "all" MVTS partners, owners, officers, directors, or principals (as applicable) at the most recent primary physical business address on file for licensee. The notice shall identify the grounds that warrant the determination.

(c) Revocation - effective date. Revocation shall be effective upon the date notice described in subsection (b) of this section is sent.

(d) A licensee whose license is denied or revoked may not apply for any license before the first anniversary of the date of the revocation. No applicant for a license that has been denied or revoked may apply for any license before the first anniversary of the date of revocation.

§430.14.Suspension.

(a) Suspension for unpaid fines/fees. The DCTAC [Denton County Tax Assessor-Collector] may suspend a license if the licensee or any applicant for the license is delinquent in the payment of property taxes or criminal fines or fees owed to Denton County.

(1) Suspension notice. DCTAC [Denton County Tax Assessor-Collector] shall send notice of suspension, which notice shall include a statement identifying the unpaid fines/fees, by certified mail. Notice of suspension of a Runner license under this section shall be sent to the most recent home address on file for licensee. Notice of a Title Service license suspension under this section shall be sent to the attention of "all" MVTS partners, owners, officers, directors, or principals (as applicable) at the most recent primary physical business address on file for licensee. Suspension shall become effective upon the date notice is sent. Failure to pay the fines/fees identified in the suspension notice within 30 days of the suspension date shall result in revocation of the license.

(2) A license suspended under [this] subsection (a) of this section will be reinstated if, within 30 days of the suspension's effective date, licensee provides DCTAC [Denton County Tax Assessor-Collector] with notice that includes a certified copy of the Denton County invoice showing that the fines/fees identified in the suspension notice have been paid in full. Licensee may deliver such notice in writing by certified mail, return receipt requested, in which case notice will be considered received by DCTAC [Denton County Tax Assessor-Collector] on the date the return is signed. Licensee may deliver such notice in person by presenting a certified copy of the paid invoice at a DCTAC [Denton County Tax Assessor-Collector] location, in which case notice shall be considered received when the DCTAC [Denton County Tax Assessor-Collector] issues licensee a copy of the file-stamped invoice submitted. If DCTAC [Denton County Tax Assessor-Collector] becomes aware that, within 30 days of suspension, the fee/fines identified in the suspension notice were paid in full, the DCTAC [Denton County Tax Assessor-Collector ] is not required but may elect to reinstate the suspended license without notice from licensee.

(b) Automatic Suspension.

(1) A title service [Title Service] license shall be automatically suspended upon the addition or replacement of any of the title service’s [Title Service’s ] principals, partners, officers, owners or directors. A title service [Title Service] shall immediately deliver written notice of any such addition or replacement and the license issued under §430.12(b) of this chapter (relating to License Renewal) to DCTAC [Denton County Tax Assessor-Collector] by certified mail, return receipt requested.

(2) Within ten (10) days of becoming a new principal, partner, owner, officer or director in a title service [Title Service] described in paragraph (1) of this subsection, a person may submit an MVTS license application that meets the criteria set forth in §430.5 of this chapter (relating to Submission of Application) and §430.6 of this chapter (relating to Completion of Vehicle Title Service License Application). If the application is granted following completion of the process set forth in §430.8 of this chapter (relating to Application Review/Applicant Background Check/Applicant Interview), the license shall become effective again on the date notice is sent under §430.8(c)(2) of this chapter. In this event, the license shall expire on the anniversary or its original effective date.

(3) If the completed application of a prospective principal, partner, owner, officer or director in a licensed MVTS is received, reviewed and approved in accordance with §§430.5, 430.6, and 430.8 of this chapter before the prospective position is actually assumed, the license will not become ineffective under paragraph (1) of this subsection when the applicant assumes that position.

§430.15.Appeals.

(a) An applicant/licensee may appeal the denial/revocation of a license by filing a written appeal request with the DCTAC [Denton County Tax Assessor-Collector] within 30 days of the date notice is sent under §430.13(b) of this chapter (relating to Denial or Revocation of License). Any information/documentation in support of such appeal must be submitted with the appeal request.

(b) The DCTAC Officeholder [Denton County Tax Assessor-Collector] shall appoint a Review Board consisting of five members. At least one member of the Review Board shall be a law enforcement officer. The DCTAC Officeholder [Denton County Tax Assessor-Collector] may appoint one or more DCTAC [Denton County Tax Assessor-Collector] employees to serve on the Board. Provided at least one law enforcement officer is in attendance, appeals shall be reviewed at a meeting of at least three members of the Board. Such meetings shall be held periodically as determined by the DCTAC Officeholder [Denton County Tax Assessor-Collector].

(c) Timely filed appeals will be scheduled for review at the next Review Board meeting, which meeting shall take place no less than sixty (60) days following the filing of the appeal. An applicant/licensee whose appeal is under review may attend the meeting and, at the Board's discretion, provide testimony in support of the appeal. The Board also has discretion to consider documentation not timely provided under subsection (a) of this section.

(d) Recommendation. The law enforcement officer in attendance shall preside over the meeting and determine when each appeal has been sufficiently considered, discussed and reviewed by the members in attendance. Following such determination, each member in attendance shall state and briefly describe the reasons for his/her opinion as to whether the action appealed should be sustained. Thereafter, the presiding law enforcement officer shall independently make a written recommendation to the DCTAC Officeholder [Denton County Tax Assessor-Collector]. The written recommendation shall be signed by the presiding officer and shall identify which, if any, of the other members in attendance did not agree with it.

(e) Within (15) days of receiving the presiding officer's written recommendation, the DCTAC Officeholder [Denton County Tax Assessor-Collector] shall make a final determination on the appeal. The DCTAC Officeholder [Denton County Tax Assessor-Collector] shall consider the presiding officer's recommendation before making the final determination.

(f) The DCTAC [Denton County Tax Assessor-Collector ] shall send notice of its final determination to the applicant(s)/licensee by certified mail as follows:

(1) License denial - to each applicant at the home address listed on his/her application form.

(2) Runner License revocation - to the most recent home address on file.

(3) Title Service License revocation - to the attention of all partners, owners, officers, directors, or principals (as applicable) at the most recent primary physical business address on file.

§430.16.Amendment of Rules.

The DCTAC Officeholder [County Tax Assessor-Collector ] may amend these rules in his/her sole discretion and as deemed necessary at any time.

The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 3, 2023.

TRD-202301008

Michelle French

Denton County Tax Assessor-Collector

Denton County Tax Assessor-Collector

Earliest possible date of adoption: April 16, 2023

For further information, please call: (940) 349-3500