The department may set and enforce limits on how many dealer-issued license plates a dealer can get each year, and may deny database access if fraud is found.
Sec. 503.0633. DEPARTMENT REGULATION OF DEALER-ISSUED LICENSE PLATES AND ACCESS TO DATABASE OF DEALER-ISSUED LICENSE PLATES. (a) The department by rule may establish the maximum number of license plates or sets of license plates that a dealer may obtain in a calendar year under Sections 503.063 and 503.065. (b) The maximum number of license plates or sets of license plates that the department determines a dealer may obtain under this section must be based on the dealer's anticipated need for license plates and sets of license plates, taking into consideration: (1) the dealer's: (A) time in operation; (B) sales data; and (C) expected growth; (2) expected changes in the dealer's market; (3) temporary conditions that may affect sales by the dealer; and (4) any other information the department considers relevant. (c) At the request of a dealer, the department may authorize additional license plates or sets of license plates for the dealer if the dealer demonstrates a need for additional license plates or sets of license plates resulting from business operations, including anticipated need. (d) The department's denial of a request under Subsection (c) may be overturned if a dealer shows by a preponderance of the evidence the need for additional license plates or sets of license plates. (e) The department shall monitor the number of license plates and sets of license plates obtained by a dealer. (f) If the department determines that a dealer is fraudulently obtaining license plates or sets of license plates or fraudulently using the database of dealer-issued license plates, or has been denied access to the temporary tag database under former Section 503.0632(f), the department may, after giving notice electronically and by certified mail to the dealer, deny access to the database of dealer-issued license plates to the dealer. A dealer denied access to the database of dealer-issued license plates under this subsection may request a hearing on the denial as provided by Subchapter O, Chapter 2301, Occupations Code. Added by Acts 2023, 88th Leg., R.S., Ch. 668 (H.B. 718), Sec. 19, eff. July 1, 2025. Amended by: Acts 2025, 89th Leg., R.S., Ch. 862 (S.B. 1902), Sec. 1, eff. July 1, 2025.