Nothing can slow down the dynamic and resilient relationship between members of the Texas Automobile Dealers Association and the Texas Department of Motor Vehicles (TxDMV) – not even a pandemic.
It has been a year-and-a-half of remarkable challenge and change as all of us have had to shift the way we collaborate, communicate and strategize in an ever-changing and unfamiliar environment.
I commend TADA and its dealers for their agility and flexibility, which were critical to the continuity of your operations. For TxDMV and dealers, there is no doubt that what we do and how we do it will continue to evolve in this COVID-19 world.
At the department, we continue to enhance our tools and services that help promote – not get in the way of – the automobile industry, which is a vital part of the Texas economy. I appreciate this opportunity to update the TADA community on some of our current and upcoming initiatives.
eTAG Enhancements
Unfortunately, there are bad actors out there who abuse the use of eTAGs. These administrative and potentially criminal violations hurt the reputation of the thousands of hard-working dealers across the state and put other people on the roads at risk.
The department recognizes the impacts of fraudulent use of temporary tags and is continually analyzing opportunities to work with our partners to put stronger safeguards in place to prevent misuse.
House Bill (HB) 3927, which passed during the 87th Legislative Session, made several changes to how temporary tags are administered. The bill includes a recommendation from the TxDMV Board to allow rule-making authority to set the maximum number of temporary tags licensed dealers can issue. The maximum number will be based on quantifiable metrics, including time in operation, sales data, expected growth, and expected market changes. The bill also expands the authority of TxDMV to include denying access to the temporary tag database for users who fraudulently obtain tags from the database.
Rest assured, we will not implement this bill and develop rules without stakeholder input. Our new Motor Vehicle Industry Regulation Advisory Committee met twice in September 2021 and will make policy recommendations to the TxDMV Board on this important issue.
We will continue to work with members of law enforcement, motor vehicle dealer representatives, and other stakeholders to stop the improper use of temporary tags.
Customer Service Advisory Committee
Speaking of stakeholder involvement, the TxDMV Customer Service Advisory Committee (CSAC) also met in September 2021. This advisory committee is charged with making recommendations on topics related to improving and enhancing customer service. The committee met to take up another bill impacting dealers that passed during the last legislative session. Senate Bill (SB) 876 relates to the county in which a person may apply for the registration of and title for a motor vehicle.
This bill allows a dealer or purchaser of a vehicle to apply for title and for registration to any county tax assessor-collector willing to accept the transaction, in addition to the purchaser’s, seller’s, or lienholder’s county.
The CSAC met with TxDMV staff to discuss and consider ongoing efforts to implement SB 876, which include updating IT applications such as webDEALER and webSUB, rule development, revisions to forms and documents, development of training modules, and communications to stakeholders.
The department continues to accept applications for those who wish to volunteer for the CSAC and other advisory committees. Visit txdmv.gov/general-counsel/advisory-committees if you’re interested in learning more.
CCOs/Liens
Improvements to Certified Copy of Texas Title (CCO) issuance are helping optimize services to stakeholders and create efficiencies for the department. Prior to this change, the printing of CCOs by our Regional Service Centers consisted of printing individual certified copies on demand, and liens were not removed from the certified copies.
As of June 21, 2021, mail-in applications for CCOs are batch printed through our title print vendor, and liens are removed from the vehicle record when an original release of lien is submitted with the application.
Before there was the ability to batch print, our customer service representatives took approximately four to five minutes per mail-in transaction. This change should bring the average time to complete each transaction to approximately three-and-a-half minutes, which will have a significant operational impact.
Now, customers are no longer required to visit a county tax assessor-collector’s office to subsequently pay the title application fee and have a lien removed. This can all be completed in a single transaction, saving the customer time and money. Customers can still walk into any one of our 16 regional offices and receive a printed copy of the CCO in person.
Dealer Training
One of the guiding philosophies of our Enforcement Division is that compliance is best achieved through education. Ideally, the imposition of sanctions through administrative proceedings is a secondary course of action to be pursued when educational efforts have not been successful.
That is why TxDMV provides online dealer training seminars regarding the many laws and rules affecting the motor vehicle industry. These free sessions help dealers understand the rules and regulations that govern their businesses. Each day-long seminar includes information that enables dealers to stay in compliance and avoid common, unintentional violations. Topics include advertising, selling and financing, trade-ins, titles, and eTAG.
I highly encourage everyone who is already working or interested in working in the motor vehicle industry to attend. See our website for upcoming dates.
Scam Alert
The Texas Department of Motor Vehicles is aware that some webDEALER users have received emails claiming to come from TxDMV. But they are not. They are sent by cybercriminals attempting to gain access to your private information or deliver harmful files to your device.
Remember that TxDMV will never reach out to webDEALER users directly via email requesting any personal information. Contact the department if any email seems suspicious.
Closing Thoughts
It is a top priority of mine to keep an open line of communication between TxDMV and TADA. Communication is the foundation of trust and creates a positive atmosphere for productivity, teamwork and understanding. Dealers are the industry experts. So, by seeking valuable input from you, TxDMV can implement sound policies and procedures and make the best decisions for our state.
As our stakeholders, you are ultimately our partners in developing practical solutions to the issues we face. We look to you to identify issues in your industry where TxDMV can be a catalyst for change.
Be sure to regularly visit the Dealer page on the TxDMV website at txdmv.gov/dealers for the latest updates and information.
We look forward to seeing you in Austin in April 2022 for the next TADA annual conference!
