Senate Bill 11‑13 was brought to the Business & Commerce Committee to clarify the licensing status of businesses that convert manufacturer chassis into finished medium‑ and heavy‑duty vehicles, a practice several witnesses said has operated in Texas for decades.

Author Senator Hughes said the bill "will clarify the law and make sure that converters are not required to obtain an additional dealer license or general distinguishing number in order to sell their converted vehicles to retail purchasers," and that a committee substitute narrowed the bill so it would apply only to converters operating in Texarkana to avoid broader impact on dealer franchise laws.

Converter owners described longstanding operations. Steve Ledwell, who testified for his family's company, said his business has been converting chassis for 80 years and routinely supplies emergency and agricultural customers. "We've done the same thing on the same street for 80 years next June," Ledwell said, adding the converter relies on quick access to chassis so customers can return to service quickly.

The practical problem prompting the bill stems from recent changes to the state's license‑plate system. Darren Whitehurst, president of the Texas Automobile Dealers Association (TADA), said dealers have worked with converters and agreed to help complete titling and registration paperwork, and that the Department of Motor Vehicles (DMV) may be able to solve the issue administratively. Monique Johnston, Motor Vehicle Division director for the Texas DMV, told the committee the current statute (section 503.063) requires a dealer to affix a plate, and the agency is "working to see if a dealer agent possibility" could allow a converter to act as a dealer agent under an agreement with a franchise dealer.

Witnesses asked the committee for time to continue negotiations. The author noted she had worked with dealers and the DMV to find a solution and said the committee would leave SB 11‑13 pending while discussions continue.