(a) A bonded title situation exists when complete documentation cannot be provided or obtained by an applicant requesting title, registration or ownership transfer of a vessel or outboard motor. The applicant may appeal the department's refusal to issue a certificate of title by applying for consideration of a bonded title. The department will accept applications for bonded title as provided in Parks and Wildlife Code, §31.0465.
(b) Bonded titles may be used in situations where the applicant is unable to produce complete documentation required by the department in order to title or transfer ownership of a vessel or outboard motor. Acceptable situations regarding the filing and award of a bonded title situation will apply where a complete history of ownership for a vessel or outboard motor cannot be produced by the applicant and the department has determined that the customer is unable to provide the history. Missing ownership documentation may consist of a certificate of title, bill of sale, invoice, or tax affidavit signed by the owner of record, or authority to handle a deceased person's estate. The inability to obtain the required documentation from the previous owner(s) or applicable lien holders must be evidenced by one of the following:
  (1) notice of verified mail, as defined in Property Code, §59.043(c), as mail considered delivered when the notice, properly addressed with postage prepaid, is deposited with the United States Postal Service or a common carrier;
  (2) proof of returned certified mail; or
  (3) the lack of any known addresses for a previous owner.
(c) The department shall not under any circumstances issue a bonded title if the applicant does not have any proof of payment, ownership transfer or other related documentation to support a claim of ownership, unless the vessel or outboard motor is determined to be abandoned, as defined by Parks and Wildlife Code, §31.003.
(d) For a bonded title situation involving an abandoned vessel or outboard motor, the requirements of this subsection apply, in addition to any other requirements of this section or Parks and Wildlife Code, Chapter 31, Subchapters B and B-1.
  (1) The applicant shall send notice via certified mail to a law enforcement agency, as defined in Transportation Code, §683.001(3), in whose jurisdiction the property on which the abandoned vessel or outboard motor is located. The notice shall be on a form provided or prescribed by the department. The applicant shall provide a copy of the completed form and evidence of certified mailing to the department at the time the application for bonded title is submitted. The agency receiving the notification shall notify the applicant within 30 days of receipt of the notice of any intent to remove the vessel or outboard motor under the provisions of Transportation Code, §683.011.
  (2) The department shall publish public notice of a qualified application for title to an abandoned vessel or outboard motor for a period of six consecutive months on the department's website. The publication shall take place within 10 days of receipt of the application by the department.
    (A) If there is a documented claim of interest by a recorded owner or lien holder adverse to the applicant, the department shall not issue a title until the issue is resolved. The parties may apply to a court of competent jurisdiction for resolution.
    (B) If there is no claim of interest, the applicant may proceed with consideration of the bonded title upon expiration of the six-month posting period.
  (3) The department may employ the department's Boat Registration Information and Titling System (BRITS) and the Vessel Identification System (VIS) operated by the United States Coast Guard to determine the most recent owner of record of a vessel or outboard motor.

Source Note: The provisions of this §53.100 adopted to be effective July 7, 2004, 29 TexReg 6309; amended to be effective October 30, 2011, 36 TexReg 7336; amended to be effective March 28, 2021, 46 TexReg 1745