Important: New Laws May Affect Your TxDMV License!

Listed below are bills passed by the 86^th Texas Legislature related to TxDMV motor vehicle and salvage license holders.

Independent (GDN) Dealers

• Independent Motor Vehicle Dealers May Operate as Salvage Vehicle Dealers (HB 1667) - Effective September 1, 2019, a GDN Motor Vehicle, Motorcycle, Travel Trailer, or Utility Trailer/Semi-Trailer license holder will be able to operate as a Salvage Vehicle Dealer/Rebuilder without a separate Salvage license.  A GDN holder choosing to also operate as a salvage dealer/rebuilder must still comply with all other relevant laws and regulations related to salvage vehicles.
  
  
• Education and Training Requirement (SB 604) - GDN Motor Vehicle license holders who have been licensed continuously for fewer than 10 years, and new applicants for those licenses, will be required to complete web-based education training prior to submitting a new or renewal application. We’ll send out more information as we develop rules and processes.

Salvage Dealers

• Elimination of Salvage License Endorsements (SB 604)- Effective September 1, 2019, only one Salvage license will be required to conduct business as a Salvage dealer for all current endorsement functions (such as salvage rebuilder, used salvage vehicle dealer, salvage pool operator etc.). Instead of renewing an individual endorsement, existing license holders will apply for one new comprehensive Salvage license at expiration of the first endorsement.

• Elimination of Salvage Agent Licenses (SB 604) - The Salvage Agent license will be eliminated and all current Salvage Agent licenses will be closed on September 1, 2019.

• Salvage Vehicle Dealer License Term (SB 604) - The Department now has the authority to set the Salvage Vehicle Dealer license term. Rules have been proposed to make the license term two years instead of one. We’ll send out more information as we develop rules and processes.

Manufacturers, Distributors, Converters, Franchise Dealers, Representatives

• Elimination of Representative Licenses (SB 604) - A Representative license will be eliminated and all Representative licenses will be closed on September 1, 2019.
  
  
• Utility Vehicles are Motor Vehicles (HB 1548) – The definition of motor vehicle now includes utility vehicles.

Other Changes

• Out-of-State License of Military Spouse (SB 1200) – Effective September 1, 2019, the spouse of a military service member currently on active duty can operate as a Salvage dealer or Motor Vehicle industry license holder if he or she is verified by TxDMV to be actively licensed in good standing in another state with substantially equivalent licensing requirements.

• Shows and exhibitions (SB604) – License holders must still notify TxDMV in writing prior to participating in a new motor vehicle show or exhibition, however, they do not need to receive written approval from the Department. We’ll send out more information as we develop rules and processes.

Please continue monitoring your email for further updates and information pertaining to upcoming changes! Additional information on licenses, including requirements, can be found on the TxDMV website here. Please visit our resource page here for information on how to apply for a new license through our online eLICENSING system.