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                                                                  H.B. No. 1350




AN ACT

relating to the definition of a salvage motor vehicle.                        
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 501.091(15), Transportation Code, is 
amended to read as follows:
		(15)  "Salvage motor vehicle":                                                
			(A)  means a motor vehicle that:                                             
				(i)  has damage to or is [damaged] missing a 
major component part to the extent that the cost of repairs, 
including parts and labor other than the cost of materials and labor 
for repainting the motor vehicle and excluding sales tax on the 
total cost of repairs, [repair] exceeds the actual cash value of the 
motor vehicle immediately before the damage; or
				(ii)  is damaged and that comes into this 
state under an out-of-state salvage motor vehicle certificate of 
title or similar out-of-state ownership document that states on its 
face "accident damage," "flood damage," "inoperable," 
"rebuildable," "salvageable," or similar notation; and
			(B)  does not include an out-of-state motor 
vehicle with a "rebuilt," "prior salvage," "salvaged," or similar 
notation, a nonrepairable motor vehicle, or a motor vehicle for 
which an insurance company has paid a claim for:
				(i)  the cost of repairing hail damage; or                                  
				(ii)  theft, unless the motor vehicle was 
damaged during the theft and before recovery to the extent 
described by Paragraph (A)(i).
	SECTION 2.  This Act takes effect September 1, 2005.                           




______________________________              ______________________________
 
   President of the Senate                               Speaker of the House      

	I certify that H.B. No. 1350 was passed by the House on April 
7, 2005, by a non-record vote.

                                                  ______________________________
                                                     Chief Clerk of the House   

	I certify that H.B. No. 1350 was passed by the Senate on May 
19, 2005, by the following vote:  Yeas 31, Nays 0.

                                                  ______________________________
                                                     Secretary of the Senate    



APPROVED:  _____________________                                            
 
                   Date                                                      




 
          _____________________                                          
 
                 Governor