89R9475 BEE-D     By: Flores H.B. No. 4089       A BILL TO BE ENTITLED   AN ACT   relating to the regulation and operation of electric bicycles.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 17.46(b), Business & Commerce Code, is   amended to read as follows:          (b)  Except as provided in Subsection (d) of this section,   the term "false, misleading, or deceptive acts or practices"   includes, but is not limited to, the following acts:                (1)  passing off goods or services as those of another;                (2)  causing confusion or misunderstanding as to the   source, sponsorship, approval, or certification of goods or   services;                (3)  causing confusion or misunderstanding as to   affiliation, connection, or association with, or certification by,   another;                (4)  using deceptive representations or designations   of geographic origin in connection with goods or services;                (5)  representing that goods or services have   sponsorship, approval, characteristics, ingredients, uses,   benefits, or quantities which they do not have or that a person has   a sponsorship, approval, status, affiliation, or connection which   the person does not;                (6)  representing that goods are original or new if   they are deteriorated, reconditioned, reclaimed, used, or   secondhand;                (7)  representing that goods or services are of a   particular standard, quality, or grade, or that goods are of a   particular style or model, if they are of another;                (8)  disparaging the goods, services, or business of   another by false or misleading representation of facts;                (9)  advertising goods or services with intent not to   sell them as advertised;                (10)  advertising goods or services with intent not to   supply a reasonable expectable public demand, unless the   advertisements disclosed a limitation of quantity;                (11)  making false or misleading statements of fact   concerning the reasons for, existence of, or amount of price   reductions;                (12)  representing that an agreement confers or   involves rights, remedies, or obligations which it does not have or   involve, or which are prohibited by law;                (13)  knowingly making false or misleading statements   of fact concerning the need for parts, replacement, or repair   service;                (14)  misrepresenting the authority of a salesman,   representative or agent to negotiate the final terms of a consumer   transaction;                (15)  basing a charge for the repair of any item in   whole or in part on a guaranty or warranty instead of on the value of   the actual repairs made or work to be performed on the item without   stating separately the charges for the work and the charge for the   warranty or guaranty, if any;                (16)  disconnecting, turning back, or resetting the   odometer of any motor vehicle so as to reduce the number of miles   indicated on the odometer gauge;                (17)  advertising of any sale by fraudulently   representing that a person is going out of business;                (18)  advertising, selling, or distributing a card   which purports to be a prescription drug identification card issued   under Section 4151.152, Insurance Code, in accordance with rules   adopted by the commissioner of insurance, which offers a discount   on the purchase of health care goods or services from a third party   provider, and which is not evidence of insurance coverage, unless:                      (A)  the discount is authorized under an agreement   between the seller of the card and the provider of those goods and   services or the discount or card is offered to members of the   seller;                      (B)  the seller does not represent that the card   provides insurance coverage of any kind; and                      (C)  the discount is not false, misleading, or   deceptive;                (19)  using or employing a chain referral sales plan in   connection with the sale or offer to sell of goods, merchandise, or   anything of value, which uses the sales technique, plan,   arrangement, or agreement in which the buyer or prospective buyer   is offered the opportunity to purchase merchandise or goods and in   connection with the purchase receives the seller's promise or   representation that the buyer shall have the right to receive   compensation or consideration in any form for furnishing to the   seller the names of other prospective buyers if receipt of the   compensation or consideration is contingent upon the occurrence of   an event subsequent to the time the buyer purchases the merchandise   or goods;                (20)  representing that a guaranty or warranty confers   or involves rights or remedies which it does not have or involve,   provided, however, that nothing in this subchapter shall be   construed to expand the implied warranty of merchantability as   defined in Sections 2.314 through 2.318 and Sections 2A.212 through   2A.216 to involve obligations in excess of those which are   appropriate to the goods;                (21)  promoting a pyramid promotional scheme, as   defined by Section 17.461;                (22)  representing that work or services have been   performed on, or parts replaced in, goods when the work or services   were not performed or the parts replaced;                (23)  filing suit founded upon a written contractual   obligation of and signed by the defendant to pay money arising out   of or based on a consumer transaction for goods, services, loans, or   extensions of credit intended primarily for personal, family,   household, or agricultural use in any county other than in the   county in which the defendant resides at the time of the   commencement of the action or in the county in which the defendant   in fact signed the contract; provided, however, that a violation of   this subsection shall not occur where it is shown by the person   filing such suit that the person neither knew or had reason to know   that the county in which such suit was filed was neither the county   in which the defendant resides at the commencement of the suit nor   the county in which the defendant in fact signed the contract;                (24)  failing to disclose information concerning goods   or services which was known at the time of the transaction if such   failure to disclose such information was intended to induce the   consumer into a transaction into which the consumer would not have   entered had the information been disclosed;                (25)  using the term "corporation," "incorporated," or   an abbreviation of either of those terms in the name of a business   entity that is not incorporated under the laws of this state or   another jurisdiction;                (26)  selling, offering to sell, or illegally promoting   an annuity contract under Chapter 22, Acts of the 57th Legislature,   3rd Called Session, 1962 (Article 6228a-5, Vernon's Texas Civil   Statutes), with the intent that the annuity contract will be the   subject of a salary reduction agreement, as defined by that Act, if   the annuity contract is not an eligible qualified investment under   that Act;                (27)  subject to Section 17.4625, taking advantage of a   disaster declared by the governor under Chapter 418, Government   Code, or by the president of the United States by:                      (A)  selling or leasing fuel, food, medicine,   lodging, building materials, construction tools, or another   necessity at an exorbitant or excessive price; or                      (B)  demanding an exorbitant or excessive price in   connection with the sale or lease of fuel, food, medicine, lodging,   building materials, construction tools, or another necessity;                (28)  using the translation into a foreign language of   a title or other word, including "attorney," "immigration   consultant," "immigration expert," "lawyer," "licensed," "notary,"   and "notary public," in any written or electronic material,   including an advertisement, a business card, a letterhead,   stationery, a website, or an online video, in reference to a person   who is not an attorney in order to imply that the person is   authorized to practice law in the United States;                (29)  delivering or distributing a solicitation in   connection with a good or service that:                      (A)  represents that the solicitation is sent on   behalf of a governmental entity when it is not; or                      (B)  resembles a governmental notice or form that   represents or implies that a criminal penalty may be imposed if the   recipient does not remit payment for the good or service;                (30)  delivering or distributing a solicitation in   connection with a good or service that resembles a check or other   negotiable instrument or invoice, unless the portion of the   solicitation that resembles a check or other negotiable instrument   or invoice includes the following notice, clearly and conspicuously   printed in at least 18-point type:          "SPECIMEN-NON-NEGOTIABLE";                (31)  in the production, sale, distribution, or   promotion of a synthetic substance that produces and is intended to   produce an effect when consumed or ingested similar to, or in excess   of, the effect of a controlled substance or controlled substance   analogue, as those terms are defined by Section 481.002, Health and   Safety Code:                      (A)  making a deceptive representation or   designation about the synthetic substance; or                      (B)  causing confusion or misunderstanding as to   the effects the synthetic substance causes when consumed or   ingested;                (32)  a licensed public insurance adjuster directly or   indirectly soliciting employment, as defined by Section 38.01,   Penal Code, for an attorney, or a licensed public insurance   adjuster entering into a contract with an insured for the primary   purpose of referring the insured to an attorney without the intent   to actually perform the services customarily provided by a licensed   public insurance adjuster, provided that this subdivision may not   be construed to prohibit a licensed public insurance adjuster from   recommending a particular attorney to an insured;                (33)  owning, operating, maintaining, or advertising a   massage establishment, as defined by Section 455.001, Occupations   Code, that:                      (A)  is not appropriately licensed under Chapter   455, Occupations Code, or is not in compliance with the applicable   licensing and other requirements of that chapter; or                      (B)  is not in compliance with an applicable local   ordinance relating to the licensing or regulation of massage   establishments; [or]                (34)  a warrantor of a vehicle protection product   warranty using, in connection with the product, a name that   includes "casualty," "surety," "insurance," "mutual," or any other   word descriptive of an insurance business, including property or   casualty insurance, or a surety business; or                (35)  selling or offering for sale as an electric   bicycle a vehicle equipped with an electric motor for propulsion   that:                      (A)  is not an "electric bicycle" as defined by   Section 664.001, Transportation Code; or                      (B)  is identified by the seller as:                            (i)  a Class 1 electric bicycle and is not a   "Class 1 electric bicycle" as defined by Section 664.001,   Transportation Code;                            (ii)  a Class 2 electric bicycle and is not a   "Class 2 electric bicycle" as defined by Section 664.001,   Transportation Code; or                            (iii)  a Class 3 electric bicycle and is not   a "Class 3 electric bicycle" as defined by Section 664.001,   Transportation Code.          SECTION 2.  Subchapter A, Chapter 13, Parks and Wildlife   Code, is amended by adding Section 13.024 to read as follows:          Sec. 13.024.  OPERATION OF ELECTRIC BICYCLE IN STATE PARK.   (a) In this section:                (1)  "Bicycle" has the meaning assigned by Section   541.201, Transportation Code.                (2)  "Class 1 electric bicycle," "Class 2 electric   bicycle," "Class 3 electric bicycle," and "electric bicycle" have   the meanings assigned to those terms by Section 664.001,   Transportation Code.          (b)  Notwithstanding any other law and subject to Subsection   (c), a person may operate in a state park or on public land under the   department's jurisdiction a Class 1, Class 2, or Class 3 electric   bicycle in an area where the operation of a bicycle solely under   human power is authorized.          (c)  A person may not operate a Class 2 or Class 3 electric   bicycle on a natural-surface singletrack trail.          (d)  The commission by rule may authorize the operation of an   electric bicycle of any class in a state park or on public land   under the department's jurisdiction, provided that the commission   may not authorize the operation of an electric bicycle in any   location where operation of a bicycle solely under human power is   prohibited.          SECTION 3.  Subchapter B, Chapter 551, Transportation Code,   is amended by adding Section 551.108 to read as follows:          Sec. 551.108.  OPERATION OF ELECTRIC BICYCLE ON PUBLIC LAND   UNDER STATE AGENCY OR POLITICAL SUBDIVISION JURISDICTION.   Notwithstanding any other law, a state agency or a political   subdivision of this state may regulate the operation of an electric   bicycle on a path or trail on public land under the state agency's   or political subdivision's jurisdiction.          SECTION 4.  Section 664.001(4), Transportation Code, is   amended to read as follows:                (4)  "Electric bicycle" means a bicycle [:                      [(A)]  equipped with [:                            [(i)]  fully operable pedals [;] and                            [(ii)]  an electric motor of fewer than 750   watts and having[; and                      [(B)  with] a top assisted speed of 28 miles per   hour or less.  The term does not include a bicycle that:                      (A)  fails to satisfy one or more of the   requirements under Section 17.46(b), Business & Commerce Code, for   an electric bicycle to be sold or offered for sale;                      (B)  has one or more operating modes, is equipped   with a throttle, and is capable of exceeding 20 miles per hour on   motorized propulsion alone in any mode when the throttle is   engaged; or                      (C)  has been configured or modified by any person   or is designed, manufactured, or intended by the manufacturer,   importer, or seller to be so configured or modified, to exceed any   required power or speed restriction if the operator engages:                            (i)  a mechanical switch or button;                            (ii)  a modification to the software   controlling the bicycle's electric drive system;                            (iii)  an application; or                            (iv)  any means intended by the   manufacturer, importer, or seller to modify the vehicle or allow   the vehicle to be modified to exceed any required power or speed   restriction.          SECTION 5.  The changes in law made by this Act to Section   17.46(b), Business & Commerce Code, apply only to an act or practice   that occurs on or after the effective date of this Act. An act or   practice that occurs before the effective date of this Act is   governed by the law in effect on the date the act or practice   occurred, and the former law is continued in effect for that   purpose.          SECTION 6.  This Act takes effect September 1, 2025.