84R4557 GRM-D
	By: Dukes	H.B. No. 1703

	A BILL TO BE ENTITLED
	AN ACT
	relating to the disposition and identification of certain goods
	acquired by recycling entities and pawnbrokers; providing a civil
	penalty.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Section 1956.064(a), Occupations Code, is
	amended to read as follows:
	(a)  A dealer may not melt, deface, alter, or dispose of
	crafted precious metal that is the subject of a report required by
	this subchapter before the 14th [11th] day after the date the report
	is filed unless:
	(1)  the peace officer to whom the report is submitted,
	for good cause, authorizes disposition of the metal;
	(2)  the dealer obtains the name, address, and
	description of the buyer and retains a record of that information;
	or
	(3)  the dealer is a pawnbroker and the disposition is
	the redemption of pledged property by the pledgor.
	SECTION 2.  The heading to Section 371.181, Finance Code, is
	amended to read as follows:
	Sec. 371.181.  STOLEN GOODS; ELECTRONIC DATABASE.
	SECTION 3.  Section 371.181, Finance Code, is amended by
	amending Subsection (a) and adding Subsections (c), (d), (e), (f),
	and (g) to read as follows:
	(a)  A pawnbroker shall monitor and register goods
	purchased, accepted in pawn, or otherwise acquired by the
	pawnbroker in order to identify and prohibit transactions involving
	stolen goods.
	(c)  The commissioner shall create and maintain an online
	database to register goods purchased, accepted in pawn, or
	otherwise acquired by pawnbrokers. The database may be accessed
	only by law enforcement officials for law enforcement purposes.
	The finance commission shall adopt rules necessary to implement the
	database.
	(d)  The rules adopted by the finance commission under
	Subsection (c) must:
	(1)  require a complete description of the goods
	purchased, accepted in pawn, or otherwise acquired by the
	pawnbroker, including any available model numbers and serial
	numbers and other identifying characteristics; and
	(2)  require the name and address of and the driver's
	license number, military identification number, or other official
	number that identifies the person pledging or selling goods.
	(e)  A pawnbroker that fails to register an item on the
	online database created by the commissioner under this section is
	liable to the state for a civil penalty in an amount not to exceed
	$500 for each item not registered.
	(f)  The attorney general or the appropriate district or
	county attorney may bring an action to recover a civil penalty
	imposed under Subsection (e) in a district court in:
	(1)  Travis County; or
	(2)  a county in which any part of the violation occurs.
	(g)  A penalty collected under this section by the attorney
	general or a district or county attorney shall be deposited in the
	state treasury to the credit of the general revenue fund.
	SECTION 4.  Section 371.182, Finance Code, is amended to
	read as follows:
	Sec. 371.182.  HOLD PERIOD. A [The commissioner may
	designate a reasonable hold period during which a] pawnbroker may
	not sell or otherwise dispose of an item of goods acquired and
	offered for sale or other disposition by the pawnbroker before the
	14th day after the date on which the item was acquired.
	SECTION 5.  Section 371.181, Finance Code, as amended by
	this Act, applies only to goods purchased, accepted in pawn, or
	otherwise acquired by the pawnbroker on or after January 1, 2017.
	Goods purchased, accepted in pawn, or otherwise acquired by the
	pawnbroker before January 1, 2017, are governed by the law in effect
	immediately before the effective date of this Act, and the former
	law is continued in effect for that purpose.
	SECTION 6.  Not later than December 31, 2016, the consumer
	credit commissioner shall establish and implement the online
	database required by Section 371.181(c), Finance Code, as added by
	this Act.
	SECTION 7.  This Act takes effect September 1, 2015.