Used Automotive Parts Recyclers at a glance

Statutes: Title 14 T.A.C. Chapter 2309, Occupations Code Rules: Title 16 T.A.C. Chapter 87 Practice Act? Yes Title Act? No Inspections? Yes

Equipment? No

Individuals? Yes

Facilities? Yes Number of licensees in FY 2018: 681 (FY 20)

Overview: Used automotive parts recycling (APR) is the License Type Fees dismantling and reuse or resale of used automotive Permit Used Automotive Parts Facility Business (original application) $75 parts and the safe disposal of salvage motor vehicles or nonrepairable motor vehicles, including the resale Permit Used Automotive Parts Facility Business (renewal) $75 of those vehicles. A person may not own or operate a used automotive parts recycling business unless they hold a used Inspections automotive parts recycler license from TDLR. TDLR inspects each APR facility at least once every four years. Licensing The Used Auto Parts Recyclers Advisory Board has 5 members serving Applicants for a business license must submit a criminal history 6-year terms meeting at least twice annually: questionnaire if they have been convicted of, pleaded guilty or nolo ● Four members who represent used automotive parts businesses contendere to, or been placed on deferred adjudication for a felony; a misdemeanor punishable by confinement in jail or by a fine exceeding $500; violated an order of the commission or executive director, including an order for sanctions or administrative penalties; or ● owned by domestic entities, as defined by Section 1.002, Business Organizations Code. One member represents a used automotive parts business knowingly submitted false information on the application. owned by a foreign entity, as defined by Section 1.002, Business Organizations Code. Licenses are valid for one year. The advisory board may not include more than one member from any one used automotive parts business entity.

MOST COMMON VIOLATIONS FOR USED AUTOMOTIVE PARTS RECYCLERS:

1. Surrender of Vehicle Title. Failure of a used automotive parts recycler to submit to the Texas Department of Motor Vehicles a properly assigned manufacturer’s certificate of origin, regular certificate of title, non-repairable vehicle title, salvage vehicle title, other ownership document, or comparable out-of-state ownership document for the motor vehicle, before the 31st day after the date of acquiring the motor vehicle.

2. Removal & Disposal of License Plates. Failure to immediately remove any unexpired license plates from the vehicle and place the license plates in a secure place until destroyed by the used automotive parts recycler.

4. Proof of Liability Insurance. A used automotive parts recycling business may not conduct business or other automotive parts recycling operations in this state unless the licensee maintains a valid general liability insurance policy in an amount not less than $250,000.

5. Dismantlement or Disposition of Motor Vehicle. A used automotive parts recycler may not dismantle or dispose of a motor vehicle unless the recycler first obtains: (1) a certificate of authority to dispose of the vehicle, a sales receipt, or a transfer document for the vehicle issued under Chapter 683, Transportation Code; or (2) a certificate of title showing that there are no liens on the vehicle or that all recorded liens have been released.

6. Records of Purchases. A used automotive parts recycler shall surrender to the Texas Department of Motor Vehicles (DMV) for cancellation a certificate of title or authority, sales receipt, or transfer document, as required by the DMV. For each vehicle for which a document is surrendered, the licensee shall obtain a signed receipt for a surrendered certificate of title.

7. Failed to keep and maintain evidence of compliance with the DMV notification requirement. Used automotive parts recyclers shall keep and maintain evidence of compliance with filing of vehicle ownership documents.

8. Unlicensed Activity by a Business. Performed a function of an automotive parts recycling business without a license or while license expired.