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AUTO THEFT DIVISION - Auto Dealers Unit

Auto Dealers

The Auto Dealers Detail is a self-funding nonprofit unit of the Auto Theft Division. Auto Dealers is responsible for the enforcement of Chapter 8 of the Code of Ordinances; The Texas Litter Abatement Act, Article V of Section 4477-9a V.T.C.S.; and those sections of the Texas Motor Vehicle law which pertain to the businesses licensed by the detail.

The Auto Dealers Detail has numerous and complex responsibilities, many of which are mandated by law. Auto Dealers is divided into specialized units based on the different laws. The division of responsibilities are as follows:

  • Business Office
  • Auction Squad
  • License and Regulatory Squads
  • Storage Lot Squad

BUSINESS OFFICE

The business office itself is divided into specialized functions. These divisions are:

  • Detail Operations Section
  • Reception and Complaints Section
  • Business Licensing Office
  • Salesperson Licensing Office
  • Abandoned Motor Vehicle Data Entry Section

Detail Operations Section

The Detail Operations Section serves as liaison between the business community and the Automotive board.

The Automotive board is comprised of a cross-section of business persons from the automotive industry and one citizen with no interest in any automotive business. The board members are appointed by the mayor for one year terms. This Board is responsible to approve, deny, or revoke any license under the provisions of Chapter 8 of the Code of Ordinances. The board also hears appeals for revocation of Police Private Storage Lot Agreements. The initial hearing is before a hearing examiner in Finance and Administration. The current members of the board and their positions are:

  • POSITION 1 William C. Smith - New Car Dealer Representative
  • POSITION 2 Billy H. Jones - Used Car Dealer Representative
  • POSITION 3 E. Dale Early - Wholesale Parts and Accessory Representative
  • POSITION 4 Manuel Cano - New and Used Retail Parts Representative
  • POSITION 5 Hussein Abdellatif - Service Station Representative
  • POSITION 6 Tracie L. Perdue-Carter - Storage Lot Representative
  • POSITION 7 James H. Anthony - Consumer Representative
  • POSITION 8 Phillip A. Gebhart - Automotive Repair Facility
  • POSITION 9 Tim Straney - Automobile Wrecking and Salvage Yard
  • POSITION 10 Jan Clark - City of Houston Legal Department
  • POSITION 11 Lieutenant M. A. Dirden, Houston Police Department / Auto Dealers Detail

Decisions by the board can be appealed to City Council.

Reception and Complaint Section

The Reception and Complaint Section is responsible for answering incoming telephone calls and to greet anyone entering the office. Members of this detail perform the following functions:

  • Answer all incoming telephone calls for the detail
  • Greet all visitors and pass out applications to all applicants
  • Review the applications when they are turned in to verify if all the questions have been answered and administer a sworn oath to all applicants
  • Enter and maintain wrecker drop lot location list (The storage lot list must be maintained on the computer to limit drop lots to locations which have a police contract to accept police authorized tows)
  • Enter and maintain 632 individual wrecker driver's drop lot locations in the computer system
  • Enter all complaints received by telephone into an Auto Dealers Detail computerized complaint system
  • Enter the investigator's complaint investigation results into the computer
  • Enter the names of persons selling used auto parts in the city into the computer system (all businesses that buy used auto parts must provide a list of the parts bought and the name of the person selling the part to the Auto Dealers Detail within twenty-four (24) hours of the time of purchase)

Dealer Licensing Office

The Dealer Licensing Office is responsible for processing new applications for business licenses, the annual renewal of existing business licenses, and maintaining business files. There are 5,300 businesses processed through this section annually which generates $695,300 in revenues. There are eleven types of licenses issued:

  • ARF Automotive Repair Facility
  • APR Automotive Parts Rebuilder
  • AR&D Automotive Rebuilder and Dismantler
  • MV&RSD Motor Vehicle and Retail Supply Dealer
  • MVD Motor Vehicle Dealer
  • RSD Retail Supply Dealer
  • WJ&RSD Wholesale Jobber and Retail Supply Dealer
  • WJ&SD Wholesale Jobber and Supply Dealer
  • SL Automotive Storage Lot
  • UP&UAD Used Parts and Used Accessories Dealer
  • ASL Police Private Storage Lot Agreements

There are seven different fee structures depending on the type of license chosen. Licenses are issued on a prorated basis, therefore, the fee structure changes each month.

A person who applies for a business license must complete an application, have the application notarized, attach a copy of his certificate of occupancy, pay the appropriate fee, and submit to a criminal history check before a license can be issued. A person with a criminal history must report in person before the Automotive Board. A permanent file is maintained on each business.

Salesman Licensing Office

The Salesman Licensing Office is responsible for processing new applications for business licenses and the renewal of existing salesperson licenses. There are 3,000 salespersons licenses processed through this section annually which generates $81,200 in revenues.

A person who applies for a salesperson license must complete an application, have the application notarized, attach a picture of himself, pay the appropriate fee, and submit to a criminal history check before a license can be issued. A person with a criminal history must report in person before the Automotive Board. A permanent file is maintained on each salesperson.

Abandoned Motor Vehicle Data Entry Section

The Abandoned Motor Vehicle Entry Section is responsible for processing "10-Day lists". These list are submitted by the storage lot operators in order to comply with the Texas Litter Abatement Act. The provisions of this Act requires a storage lot operator to submit a list of all vehicles which were not claimed within 10 days along with $5.00 per vehicle to the police department. The storage lot operator has 10 days from the tenth day the vehicle is not claimed to complete this process or lose all right to charge for storage. The police department must use this money to pay for the cost of notifying the registered owner and lien holder as to where the vehicle is being stored. If the vehicle is not claimed after the police department notification then the vehicle is scheduled for auction.

AUCTION SQUAD

The Texas Litter Abatement Act requires the police department to auction unclaimed abandoned motor vehicles. By law, the revenue generated through this process must be used to offset the cost of the auction operations.

By law, the auction sales receipts must be signed by a police officer. There are two key statistics associated with this function.

  • There were 1,301 auctions in 1994.
  • There were 17,100 vehicles sold at police auction in 1994.

LICENSE AND REGULATORY SQUAD

This unit regulates the 4,500 licensed businesses and seeks to license over 2,000 additional unlicensed businesses which have been identified.

STORAGE LOT SQUAD

Members of this squad have the following responsibilities:

Review all storage lot applications and determine if the yard will be in compliance with the "300 foot law" (this laws prohibits someone from locating a storage lot within 300' of a church school or residence);

Ensure that the storage lot laws are enforced uniformly throughout the city.