House Bill Could Mandate All Dealers Use webDEALER
The House has passed HB 3861, and now it is in the Senate. If it passes the Senate, every dealer will be required to use webDEALER to process most title applications. webDEALER allows a local tax office to complete paperwork in less time. As such, HB3861 is supported by most county Tax Assessors.
TIADA has long recommended that dealers consider using webDEALER but is concerned about this mandate, as webDEALER is not the right fit for every dealer. For example, certain types of transactions cannot be completed on the system, including applying for initial handicap plates and antique tags, and there are a couple of members who specialize in these types of vehicles. Also, some dealers utilize full-service deputies to process their paperwork. Yet TIADA also recognizes that too many dealers are facing long wait times at the tax office and knows our industry needs that process to be timely for both dealers and our consumers.
Dealers must do their part to help their local tax office process customer paperwork. Several ways to speed up the process are within a dealer's control. Your dealership should be mindful of the completeness of the paperwork submitted to your tax office for several reasons. Incomplete, missing, or otherwise flawed paperwork increases the time it takes for the tax office to complete your transaction. Also, state law provides that a vehicle is considered titled after the tax office receives properly completed paperwork, which means you will not suffer a penalty due to them taking extra time so long as you have turned in properly completed paperwork.
The next way you can help the situation is to sign up for webDEALER if it makes sense for your dealership. A tax office employee can complete four to five times more transactions on webDEALER than if paperwork is dropped off in person. If you still need to sign up for webDEALER, we suggest you speak to your local tax office about signing up. You can also get training on webDEALER at https://www.txdmv.gov/dealers/webdealer/resources.
Right now, this bill is waiting for a Senate hearing, and if one does not occur in the next two weeks, this bill will not pass and become law. TIADA will continue to monitor the situation and update you as things progress.